SUVs dominate and EVs rise at Paris Motor Show
Prior to the Paris Motor Show, open to the public from October 1st, JATO Dynamics and LMC Automotive have produced a segment analysis and forecast of the Show's new launches. Taken together, the new models launched at Paris present a good overview of the industry's priorities and capabilities, and of the direction of the market as a whole. In short, SUV and EV launches in particular will be closely watched, but the great number of launches in all segments point to a dynamic future – as do rising sales figures. Some key findings.
→ Despite steadily growing car sales, the European car market will exceed pre-crisis volume only by 2020. But the market itself has changed: consumers have higher and more varied demands, and manufacturers are better at responding to them quickly.
→ Total registrations in the first eight months have gone up from 9.38 million to 10.11 million. Interesting market development: YTD sales figures show SUVs are now the biggest segment (26% vs. 21% YTD '15), overtaking the C segment (20% vs. 22%) and the B segment (20% vs. 21%). All other segments are also losing ground slightly, or maintaining a status quo.
→ The re-launched Suzuki Ignis will be one of the highlights in the A segment (City-Cars): by mixing in SUV design hints, it looks a bit like a boxy Japanese kei car. Following the success of its Celerio and using its experience in Japan and India, Suzuki aims to gain market share in the European A segment – which overall is predicted to stagnate over the next four years.
→ The B segment (subcompacts) has also been declining in recent years. Paris will see a few attempts at reviving its fortunes: the third-generation Citroën C3 and the fourth-generation Kia Rio. They will face stiff competition from two sides: direct rivals such as the VW Polo and Toyota Yaris; and B-SUVs.
→ The C segment (Compacts) will see significant updates for the Hyundai i30 and Honda Civic, aiming to eat away at the VW Golf's dominance of this segment – a difficult, but not impossible task, as previously shown by the success of the new Opel/Vauxhall Astra and Peugeot 308.
→ The launch of the second-generation Audi A5, to rival the BMW 4-Series, will continue to shake up the D segment (Premium Midsize), previously energised by the introduction of the new Audi A4, Jaguar XE and Alfa Romeo Giulia.
→ As one of the industry's fastest-growing segments, the C-SUV segment (Compact SUVs) will be a major focus at Paris. And one of its most significant launches will be the Peugeot 3008 – a model previously positioned as an MPV, but now retooled as an SUV, to rival the Nissan Qashqai and Renault Kadjar.
→ The much smaller D-SUV segment (Mainstream Midsize SUVs) sees three launches: the Skoda Kodiaq, the Peugeot 5008 and the Renault Koleos. They will compete with well-established brands such as Jeep and Nissan.
→ In the tiny but glamorous Supercar segment, all eyes will be on the Ferrari Laferrari. The Italian manufacturer is a key player in this segment, in which the average unit price is €150,000. But Mercedes is also expanding its offer, with the new AMG GT Roadster – a rival to the Porsche 911 Cabriolet.
→ The EV and Hybrid segment now represents 3% of the overall new car market, and is growing fast: up 27% over the first half of last year to 231,300 units, of which in H1 2016 almost 43,700 units were pure electric (+8.2%), and 187,600 units were Hybrid and Fuel Cell (+31.9%). The long-range, affordably-priced Opel Ampera-e (pictured) will be a significant launch in this category at Paris.
Image: Opel