While Ford , Chrysler and General Motors dealers continue to struggle to move inventory amid a slumping market, Honda dealers are facing a much different battle — getting enough vehicles into inventory. Thanks to a fuel-efficient lineup, Honda vehicles are some of the most in demand vehicles in the nation.
In particular, Honda dealers can’t stock enough Civics and Fits, two of Honda’s most economical vehicles. As American buyers fell out of love with large trucks and SUVs, the Civic surged to become the best-selling vehicle in May – tallying a record-setting 53,299 sales – with the Fit setting a monthly personal best at 8,205 units.
“We’re out of Fits,” Rene Isip, one of the nation’s top Honda dealers told Automotive News, “and our days supply of Civics is in the single digits.” Isip added that the Civic drought is driving up the cost of the fuel-efficient nameplate at auction, with the average price of a used 1-year old Civic going for about $1,000 more than a brand new car.
In order to keep up with skyrocketing demand, Honda plans to boost North America output of its Civic – including opening a new factory in October – but dealers may be facing a Fit shortage into 2009. The Fit is made in Japan and, due to global popularity, is in very short supply in the U.S. — although U.S. dealers have already received about an extra 30,000 to 40,000 units this year. Supply is expected to increase when the redesigned 2009 model hits the market later this year.
