Forget the hot new retail store or restaurant that just opened in your neighbourhood; the real buzz in the community is happening at your local auto dealership.
Vehicles have been rolling off the lot at a record pace over the past two years, thanks to low interest rates, falling gas prices, greater consumer confidence and the dozens of new makes and models being unveiled by manufacturers.
In fact, 2014 was another record-breaking year for auto sales in Canada.
In B.C. alone, vehicles sales increased 7.5 per cent in 2014 compared to the year before, according to data compiled by DesRosiers Automotive Consultants. Nearly 194,000 vehicles were sold in the province last year, including cars, light trucks and SUVs.
The only province that saw a larger percentage increase in sales in 2014 was Ontario, where more than 718,000 vehicles were purchased, which is an increase of 11.3 per cent compared to the year before.
Overall in Canada, a record 1.85 million vehicles were purchased in 2014, a 6.1 per cent increase from 2013. That smashed the previous high of 1.74 million vehicles sold in 2013. Both beat the previous record set in 2002, when 1.7 million vehicles were sold.
DesRosiers said in a year-end report that 14 automakers posted new sales records in 2014. Ford had its best year since 1997, becoming the top-selling automaker in the country last year, while Chrysler set its own record of 290,004 light vehicles sold in 2014.
Trucks were the main attraction for many manufacturers in 2014. Light truck sales were up 11 per cent in 2014, while passenger car sales were flat.
Lower gas prices have made it more economical for some consumers to purchase these vehicles with more space and hauling power.
So far, 2015 is shaping up to be another strong year in the auto industry, and could be further fuelled by the Bank of Canada’s recent cut in the benchmark interest rate.
However, lower oil prices are expected to put a damper on sales in places like Alberta where economic activity has slowed.
Bank of Nova Scotia economist Carlos Gomes is forecasting auto sales in Canada to reach 1.85 million units in 2015, with light trucks once again leading the way.
Consumers are looking for new vehicles to suit their lifestyles and many are attracted by the new technology that helps make driving safer and more convenient. Manufacturers are also constantly updating their models to cater to consumers needs.
Some of the latest technologies will be on display at the 2015 Vancouver International Auto Show, which takes place March 24-29 at the Vancouver Convention Centre.
In next week’s column I’ll give you a sneak peek of some of the highlights of the 95th annual show, which promises to be even bigger and better than last year.
Meantime, for more information on the show and how to get tickets visit vancouverinternationalautoshow.com
Blair Qualey is president and CEO of the New Car Dealers Association of BC. You can email him at bqualey@newcardealers.ca
