With economic activity in a pandemic freeze during much of the second quarter, Nissan’s quarterly sales cratered 50 percent.
The Nissan division sold 161,233 vehicles in the quarter, down 50 percent from the year earlier. Infiniti volume tumbled 44 percent to 16,095 vehicles.
Behind the dismal performance is good news.
Monthly sales momentum rose consistently in April, May and June — with retail deliveries accounting for a growing share of volume, said David Kershaw, Nissan division vice president of sales and regional operations.
“Retail sales have exceeded our expectations in the second quarter as we continue to decrease rental fleet volume and focus on steadily building a quality, sustainable business for our employees, dealers and for our customers,” Kershaw said, declining to disclose the retail-fleet sales mix.
Nissan is pivoting away from an aggressive pursuit of market share championed by former Chairman Carlos Ghosn. A cornerstone of that strategy is a pullback from a reliance on rental fleet shipments that dinged residual values and brand value.
Kershaw is hopeful about the remainder of the year as economic activity and car-shopping shows signs of picking up.
Nissan has a lot riding on a recovery in demand as it orchestrates two major product launches — the Sentra compact sedan and Rogue compact crossover — this year. The introductions are part of a product offensive that will see about 70 percent of the brand’s portfolio updated by mid-2021.
“We have a very good mix of product and we feel very good about the dealer inventory levels right now,” Kershaw said. “If the market comes back we have the production capabilities to ramp up to meet that.”
The Murano midsize crossover, which was freshened early last year, will be a “focus vehicle” throughout the summer, Kershaw said.
“The segment is growing,” he said. “It’s an outstanding product for us.”
Brands: Nissan down 50% in second quarter; Infiniti down 44%
Notable nameplates: Nissan Titan down 23%; Maxima down 36%; Altima down 62%; Rogue down 42%; Infiniti QX50 down 4.7%; Infiniti Q50 down 40%
Incentives: $4,454 for Q2, up 24% from a year earlier, ALG says.
Average transaction price: $27,680, up 2.6% from a year earlier, according to ALG.
Did you know? Q2 sales were down for every nameplate — with two exceptions: the Murano midsize crossover (up 0.3 percent) and the aging 370Z sports car (up 24 percent).