Our thoughts on Canadian Sales for the 3rd quarter of 2014.

1. CANADIAN SALES
THIRD QUARTER 2014
by
Strada IQ
October 2014

2. The Perfect Storm
We are witnessing a “perfect
storm” for auto sales in
Canada.
When all the variables align
its awesome to see the
effect.
With impressive results.

3. Breaking Records
July-August-September are
literally off the charts.
This year:
July: + 11%
August: + 8%
September: + 13%
3rd Quarter: + 11%
Three Quarter: + 5%
200
150
100
50
0
Third Quarter
2014 2013 2012
July August Sept

4. WHAT GENERATES STRONG NUMBERS
THE BACKSTORY
• Monthly Payments: The magical $500.00 per month
• Dealing With Negative Equity: Being able to “Roll Over Deficiencies”
• Longer Loan Terms: The terms persist in getting longer, more widespread.
• Throttled Up: All manufacturers are being competitive.
• Big Data: Manufacturers using big data to laser focus incentives.
• Customers: Using the “incentives” to support the deficiencies.
• “Which manufacturer has an incentive on a model that suits our requirements, that we can roll over the
trade, get a new vehicle, and keep on paying $500/month.”

5. Who Is Really Ahead
YTD
Porsche: + 36%
Nissan: + 29%
Land Rover: + 28%
Jaguar: + 18%
Subaru: + 16%
Audi: + 16%
Infiniti: + 11%
VW: + 10%
Lexus: + 9%
Chrysler: + 9%
Mercedes-Benz: + 9%

6. Who Is Behind
Mini: - 20%
Volvo: - 7%
Kia: - 4%
Acura: - 4%
Notice that only a few are
slightly behind

7. Who is Disrupting?
Some models keep on “rattling”
the established order.
Jeep Cherokee….16,402
Lexus IS……..……3,094
M-B CLA…….……2,730
BMW 4 Series….…2,499
Porsche Macan…......798

8. Free Flowing Money
Long Terms
Low Rates
Loans
It’s a manifesto to the
financial services that
empower vehicle sales in
Canada.
The power of money, long
terms, rolling over
deficiencies.
Chart from JD Power PIN

9. • Jetta……………….26,216
• Ford Fusion…..…..14,508
• Honda Accord........13,483
• Toyota Camry……..12,008
• Hyundai Sonata..…10,611
• Chrysler 200…..…..7,864
• Nissan Altima…..…7,719
• Chevy Malibu……..5,345
The Jetta what can you say.
• Honda Civic……..51,936
• Hyundai Elantra…40,060
• Toyota Corolla…..39,035
• Mazda 3……....….33,016
The Civic is a constant, with the Elantra
and Corolla trading paint.
 All Figures from Automotive News
SOME NUMBERS
THIRD QUARTER 2014
Compact Mid Size Sedans

10. • Ford F Series…..…..97,223
• Ram…………….……66,675
• GMC Sierra…..……..36,342
• Chevy Silverado……31,757
The new GM pick ups are gaining ground
on the Ram.
• Ford Escape……….40,584
• Toyota RAV4……….27,183
• Honda CR-V……….25,861
• Hyundai Santa Fe…24,981
• Chrysler Journey…..19,516
• Chevy Equinox….....15,402
An hyper competitive segment. As usual
Escape is ahead, with a surge by the
RAV4.
SOME NUMBERS – 1
THIRD QUARTER 2014
CUV/SUV Pick Up

11. SOME NUMBERS - 2
Entry Luxury Luxury SUV/CUV
• Audi Q5……………………5,971
• Lexus RX…………………5,785
• Acura RDX…………….….5,865
• Acura MDX…….….…...…4,496
• BMW X5…………………..4,349
• M-B M Class………….…..4,206
• M-B GLK…………..………4,053
• BMW X3…………....…..…3,956
• Cadillac SRX…… .........…3,274
• Infiniti QX60………….....…2,598
• Buick Enclave…….….……2,540
• BMW X1……………….……2,137
• Lincoln MKX……………....2,115
• Range Rover Sport………1,912
The gun fight persists in the corral.
THIRD QUARTER 2014
• BMW 3 Series………7,462
• M-B C Class……..…4,958
• Audi A4………......…4,301
• Lexus IS……...……..3,094
• Cadillac ATS……...…2,612
• Infiniti Q50………...…2,497
• Acura TL…………….1,669
• Lincoln MKZ………...1,167
• CTS………………….…794
The IS - ATS – Q50 impressive!

12. • Lamborghini…..………..85
• Maserati………..….….393
• Ferrari………….….…..155
• Panamera…..…..…….182
• GT-R………………..…109
• R8……………..…..….100
• Rolls-Royce……..…….54
• Bentley…………...….103
• Tesla Model S…....…450
• Volt…………..…….1,294
• Leaf…………….….….805
• Mustang…………….4,391
• Camaro……………..2,630
• Challenger……...….1,331
Frozen in time. Yes, the new Mustang is
cool.
SOME NUMBERS - 3
THIRD QUARTER 2014
Pony Cars Did You Know

13. OUR THOUGHTS
ON THE THIRD QUARTER OF 2014
• Huge 3rd quarter…impressive and off the charts.
• Is MerBimAu cannibalizing sales with new models?
• We are disappointed by Ford.
• The new GM pick ups are finally gaining ground.
• When will the financing backlash occur?
• The segments remain hyper competitive.
• Every manufacturer will stay throttle up to the end of the year.
• On track to achieve new heights in sales.
• Expect judicious sales management during the last month.
Thank You