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Old 07-02-2017, 06:25 AM   #1
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Default The Mustang (Sales) Effect

While I was preparing the annual sales stats for last year, one of the things that struck me as worth a closer look was the impact Mustang had in the under $80k Sports segment which it dominated throughout 2016.

The two pie charts below, depict the segment sales for the best sellers for 2015 (where there were almost no Mustang sales) and 2016 where 6,208 of them were sold.





What is interesting, is that although there were impacts to some of the existing contenders with the Toyota 86 down by 938 and Hyundai Veloster down by 453, there were other models that also gained with the MX5 gaining 660 sales and the segment grew by 23% or 4,241 units which was well above the overall market growth so it looks as if the majority of the Mustang sales have come from buyers who would not have previously shopped in this segment.

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Old 07-02-2017, 06:36 AM   #2
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Default Re: The Mustang (Sales) Effect

While technically Mustang may be in the same category as those other vehicles on paper, I don't believe in reality they are the same category of buyers. Which you do state in your last sentence I know.

I'm curious now, for those who bought a Mustang, what other vehicles did you consider? Perhaps if Mustang never come to Australia you wouldn't have bought a new car (yet) at all?
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Old 07-02-2017, 06:43 AM   #3
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Default Re: The Mustang (Sales) Effect

I'm guessing the Holden redline & or ss are above 80k then.
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Old 07-02-2017, 06:48 AM   #4
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Default Re: The Mustang (Sales) Effect

They have too many doors for the segment "rules" Blem.

From the people I know who bought Mustangs, they only bought them because of what the car is - and making it an addition to their garage for weekends & nice days.
They wouldn't have bought a new car at the time otherwise.
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Old 07-02-2017, 07:09 AM   #5
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Default Re: The Mustang (Sales) Effect

The Sport segmentation criteria includes car, coupe, convertible or roadster so it isn't related to number of doors but market intent. The SS, like the FPV's were included in the large sedan category.

Mind you, all of the current contenders in the Sport <$80k segment only have two doors so perhaps 4 doors is a barrier!

Abarth 124 Spider - 2 door convertible
Audi A3 Convertible - 2 door convertible
BMW 1 Series Coupe/Conv - 2 door coupe / convertible
BMW 2 Series Coupe/Conv - 2 door coupe / convertible
Ford Mustang - 2 door coupe / convertible
Holden Astra Sport - 2 door hatch
Holden Cascada - 2 door convertible
Honda CR-Z - 2 door hatch
Honda S2000 - 2 door coupe / convertible
Hyundai Veloster - 2 door hatch
Kia Cerato Koup - 2 door coupe
Kia Pro Ceed - 2 door hatch
Mazda MX5 - 2 door convertible
MINI Cabrio - 2 door convertible
MINI Coupe/Roadster - 2 door coupe / convertible
Nissan 370Z - 2 door coupe
Peugeot 308 Convertible - 2 door convertible
Peugeot RCZ - 2 door coupe / convertible
Renault Megane Convertible - 2 door convertible
Renault Sport Megane - 2 door hatch
Subaru BRZ - 2 door coupe
Toyota 86 - 2 door coupe
Volkswagen Golf Cabriolet - 2 door convertible
Volkswagen Scirocco - 2 door hatch
Volkswagen The Beetle - 2 door hatch

Cheers
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Old 07-02-2017, 08:24 AM   #6
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Default Re: The Mustang (Sales) Effect

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Originally Posted by russellw View Post
so it looks as if the majority of the Mustang sales have come from buyers who would not have previously shopped in this segment.
Pretty easy to explain

Lots of Bogans bought Mustang that would have previously bought a FPV or if the mustang was not released may have bought nothing.

Yes none would have bought a BMW, or MX5 or Hyundai.

Also Mustang is V8 and not in the same category as the above mentioned

Kinda like comparing am FPV to a Toyota Camry yeah they both have 4 doors but that's about the only thing in common.
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Old 07-02-2017, 08:29 AM   #7
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Default Re: The Mustang (Sales) Effect

That makes me a bogan! I have both an FPV and a Mustang so does that make me an even bigger bogan??
I certainly don't see myself as a bogan but every has their opinion I guess!!
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Old 07-02-2017, 08:34 AM   #8
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Default Re: The Mustang (Sales) Effect

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That makes me a bogan! I have both an FPV and a Mustang so does that make me an even bigger bogan??
I certainly don't see myself as a bogan but every has their opinion I guess!!
Your not a bogan yet, you still need to get a Camry for that to happen
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Old 07-02-2017, 08:48 AM   #9
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Default Re: The Mustang (Sales) Effect

I thought bogans were generally poor?
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Old 07-02-2017, 09:03 AM   #10
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Default Re: The Mustang (Sales) Effect

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Originally Posted by Junkyard-Dog View Post
I thought bogans were generally poor?
Heard of the term 'cashed up bogan'?
Also, too bad the previous baby bonus scheme isn't in, just 10 kids could buy you a Mustang.


Quote:
Originally Posted by russellw
The Sport segmentation criteria includes car, coupe, convertible or roadster so it isn't related to number of doors but market intent. The SS, like the FPV's were included in the large sedan category.

Mind you, all of the current contenders in the Sport <$80k segment only have two doors so perhaps 4 doors is a barrier!

Abarth 124 Spider - 2 door convertible
Audi A3 Convertible - 2 door convertible
BMW 1 Series Coupe/Conv - 2 door coupe / convertible
BMW 2 Series Coupe/Conv - 2 door coupe / convertible
Ford Mustang - 2 door coupe / convertible
Holden Astra Sport - 2 door hatch
Holden Cascada - 2 door convertible
Honda CR-Z - 2 door hatch
Honda S2000 - 2 door coupe / convertible
Hyundai Veloster - 2 door hatch
Kia Cerato Koup - 2 door coupe
Kia Pro Ceed - 2 door hatch
Mazda MX5 - 2 door convertible
MINI Cabrio - 2 door convertible
MINI Coupe/Roadster - 2 door coupe / convertible
Nissan 370Z - 2 door coupe
Peugeot 308 Convertible - 2 door convertible
Peugeot RCZ - 2 door coupe / convertible
Renault Megane Convertible - 2 door convertible
Renault Sport Megane - 2 door hatch
Subaru BRZ - 2 door coupe
Toyota 86 - 2 door coupe
Volkswagen Golf Cabriolet - 2 door convertible
Volkswagen Scirocco - 2 door hatch
Volkswagen The Beetle - 2 door hatch

Cheers
Russ
It's difficult to put the Mustang in a segment, but I do believe it belongs more with the HSV and FPV's.

I'm quite confident no Mustang buyer ever was tossing up between the Stang or any other vehicle on that list. "Ok, I've narrowed it down between the Mustang GT and the Golf Cabriolet, tough choice but I'll go the Mustang".
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Old 07-02-2017, 09:21 AM   #11
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Default Re: The Mustang (Sales) Effect

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Heard of the term 'cashed up bogan'?
Also, too bad the previous baby bonus scheme isn't in, just 10 kids could buy you a Mustang.
Cashed up bogan is only a temporary Title, Inevitably they become poor again.


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Originally Posted by mike_nofx View Post
It's difficult to put the Mustang in a segment, but I do believe it belongs more with the HSV and FPV's.

I'm quite confident no Mustang buyer ever was tossing up between the Stang or any other vehicle on that list. "Ok, I've narrowed it down between the Mustang GT and the Golf Cabriolet, tough choice but I'll go the Mustang".
I think its because its under 80K every other V8 2 door is over 100K?.
and we have no Muscle car segment. but I guess it would only have 4 cars..
And if the Chevys came here factory RHD they would be over 100K too
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Old 07-02-2017, 10:51 AM   #12
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Default Re: The Mustang (Sales) Effect

As one who cannot afford a Mustang, I tend to look critically at them.

First off, it is trading on nostalgia for those of us who always worshipped the Mustang.

But at $80,000, it looks good (apart from those ugly black wheels) and sounds good. But does the car represent value for money?

When compared to the price of the Mustang in the US, are we Australians being fleeced.

You can buy a new 2017 Mustang GT in California for $US 32,000 to 35,000.

Converting that $US 35k to Australian dollars puts it at about $AU 45,000

The AU price is effectively double the US price
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Old 07-02-2017, 10:58 AM   #13
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Default Re: The Mustang (Sales) Effect

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Originally Posted by Cav View Post
As one who cannot afford a Mustang, I tend to look critically at them.

First off, it is trading on nostalgia for those of us who always worshipped the Mustang.

But at $80,000, it looks good (apart from those ugly black wheels) and sounds good. But does the car represent value for money?

When compared to the price of the Mustang in the US, are we Australians being fleeced.

You can buy a new 2017 Mustang GT in California for $US 32,000 to 35,000.

Converting that $US 35k to Australian dollars puts it at about $AU 45,000

The AU price is effectively double the US price
Gov-co taxes, import duties, shipping costs, small market with limited economies of scale. It doesn't take long to mount up. We should be thankful that FoA made the effort at all.
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Old 07-02-2017, 11:08 AM   #14
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Default Re: The Mustang (Sales) Effect

Quote:
Originally Posted by Cav View Post
As one who cannot afford a Mustang, I tend to look critically at them.

First off, it is trading on nostalgia for those of us who always worshipped the Mustang.

But at $80,000, it looks good (apart from those ugly black wheels) and sounds good. But does the car represent value for money?

When compared to the price of the Mustang in the US, are we Australians being fleeced.

You can buy a new 2017 Mustang GT in California for $US 32,000 to 35,000.

Converting that $US 35k to Australian dollars puts it at about $AU 45,000

The AU price is effectively double the US price
They can be had for a fair bit lower than $80k, closer to mid $60k for the V8 and cheaper again if you're happy with half as many cylinders.

I don't believe it's just nostalgia, any new 2 door RWD sports V8 for mid $60k would do well.

The Toyota 86 was a sales success for similar reasons, 2 door RWD with a reasonable price tag.

Much like the 86, I see it as having booming sales to begin with, then easing back a lot.
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Old 07-02-2017, 11:28 AM   #15
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Default Re: The Mustang (Sales) Effect

Quote:
Originally Posted by Cav View Post
As one who cannot afford a Mustang, I tend to look critically at them.

First off, it is trading on nostalgia for those of us who always worshipped the Mustang.

But at $80,000, it looks good (apart from those ugly black wheels) and sounds good. But does the car represent value for money?

When compared to the price of the Mustang in the US, are we Australians being fleeced.

You can buy a new 2017 Mustang GT in California for $US 32,000 to 35,000.

Converting that $US 35k to Australian dollars puts it at about $AU 45,000

The AU price is effectively double the US price
Your logic isn't accurate.

PP GT with the options of an Oz GT is about $US 41000 or $AU 53,671 add 10% GST and you have $AU 59,039 add additional transport costs and the recommended retail price here of $AU57,490 not inc on roads for a manual is pretty good
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Old 07-02-2017, 11:34 AM   #16
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Default Re: The Mustang (Sales) Effect

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Gov-co taxes, import duties, shipping costs, small market with limited economies of scale. It doesn't take long to mount up. We should be thankful that FoA made the effort at all.
Plus the RHD development costs would be another reason we pay a premium. I did consider buying a new Mustang,I wasn't in the market for any other new car,I'm an old Skool car fan,newer cars are typically just an appliance as far as I'm concerned,if I have reliable daily transport that suits my needs I'm pretty happy,so I think Russ's research tended to ring true in my case. At the end of the day it would be my daily,I've got my weekend fun cars in the build stage,didn't need another one. I don't buy on hype and hysteria and I would have probably swayed to the ecoboost. At the end of the day it wasn't ideal for my daily use,and I realised I was actually only interested in it because of its Mustang name and for no real other reason (so much for not buying into my hype and hysteria theory!),if it was any other brand or name I wouldn't consider buying one,so I backed out. I also am very fussy when it comes to who works on my cars,the concept of my new car going in for servicing at the local Ford dealer I went to didn't sit well either. Unfortunately the cashed up bogan image seems to be beginning to attach itself to the Mustang in some people's minds,heard that mentioned a few times amongst non car types. Of course it's not true in all cases,but it's the image that some seem to have which is a shame,but I buy cars for my own reasons,not others impressions. Perhaps I'll revisit my options in a year or two after the hype settles and buy secondhand low km then,maybe.

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Old 07-02-2017, 11:42 AM   #17
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Default Re: The Mustang (Sales) Effect

Price of the Mustang is pretty good, IMO the only imported V8 I think is better value is the 300C SRT8 but its in a different category.
Out of interest can anybody advise how many of these sell
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Old 07-02-2017, 12:04 PM   #18
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Default Re: The Mustang (Sales) Effect

It's not just Ford enthusiasts and cashed up bogans who want a Mustang.

It's a head turning car. Very few other cars are as eye catching, and it will no doubt have gotten the attention of people who probably weren't really in the market for a sports car. Some might have started looking around at other options once they found out they'd have to wait 12+ months for it.
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Old 07-02-2017, 01:05 PM   #19
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Default Re: The Mustang (Sales) Effect

Quote:
Originally Posted by Cav View Post
As one who cannot afford a Mustang, I tend to look critically at them.

First off, it is trading on nostalgia for those of us who always worshipped the Mustang.

But at $80,000, it looks good (apart from those ugly black wheels) and sounds good. But does the car represent value for money?

When compared to the price of the Mustang in the US, are we Australians being fleeced.

You can buy a new 2017 Mustang GT in California for $US 32,000 to 35,000.

Converting that $US 35k to Australian dollars puts it at about $AU 45,000

The AU price is effectively double the US price
Every car in Aus is way more expensive than you can get the equivalent in the states. For example a 911 turbo s starts at $188k in the US. Cheapest on Carsales here is $490k. BMW M5 95k there, 202k here. Even when converted it doesn't add up. We get shafted with the Australia tax and it's not just cars. It's just about everything we buy.
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Old 07-02-2017, 01:23 PM   #20
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Default Re: The Mustang (Sales) Effect

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Originally Posted by Stefan View Post
Lots of Bogans bought Mustang that would have previously bought a FPV or if the mustang was not released may have bought nothing.
.
I know a few new mustang owners...far from bogans...but nice ACA style cheap stereotype.


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Also Mustang is V8 and not in the same category as the above mentioned
.
So...the Mustang isn't a 2 door sports car under 80K?
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Old 07-02-2017, 01:32 PM   #21
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Default Re: The Mustang (Sales) Effect

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Every car in Aus is way more expensive than you can get the equivalent in the states. For example a 911 turbo s starts at $188k in the US. Cheapest on Carsales here is $490k. BMW M5 95k there, 202k here. Even when converted it doesn't add up. We get shafted with the Australia tax and it's not just cars. It's just about everything we buy.
The Mustang price is very good !
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Old 07-02-2017, 02:05 PM   #22
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Default Re: The Mustang (Sales) Effect

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if you're happy with half as many cylinders.
Pfft, not possible!
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Old 07-02-2017, 02:46 PM   #23
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Default Re: The Mustang (Sales) Effect

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I know a few new mustang owners...far from bogans...but nice ACA style cheap stereotype.

So...the Mustang isn't a 2 door sports car under 80K?
As mention before no-one is tossing up between a V8 mustang, a hyundai veloster or an MX-5.

So I don't consider them in the same category, Those cars are not drawing buyers away from each other.

But just my opinion..

Everyone gets very offended about the bogan comment, its an endearing term I use to describe an FPV / HSV or muscle car owner. 40 or 50 something living in the burbs with 2 or 3 car garage....owning two FPVs and a XW GT, I'm firmly in the bogan category.

Tough crowd...LOL

I better not call WRX owners lebbos or female 4 x 4 owners soccer moms.. everyone will be upset.
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Old 07-02-2017, 03:12 PM   #24
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Default Re: The Mustang (Sales) Effect

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As mention before no-one is tossing up between a V8 mustang, a hyundai veloster or an MX-5.

So I don't consider them in the same category, Those cars are not drawing buyers away from each other.

But just my opinion..

Everyone gets very offended about the bogan comment, its an endearing term I use to describe an FPV / HSV or muscle car owner. 40 or 50 something living in the burbs with 2 or 3 car garage....owning two FPVs and a XW GT, I'm firmly in the bogan category.

Tough crowd...LOL

I better not call WRX owners lebbos or female 4 x 4 owners soccer moms.. everyone will be upset.
What makes you think someone interested in an MX5, won't also take a look at an Ecoboost Mustang convertible?
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Old 07-02-2017, 03:13 PM   #25
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Default Re: The Mustang (Sales) Effect

My take on a bogan is someone who gets around in a VN with no hubcaps,wears footy shorts, thongs, flanno, Winnie Reds in the top pocket and a ciggie behind the ear,
Hang on......that's me....
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Old 07-02-2017, 03:50 PM   #26
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Default Re: The Mustang (Sales) Effect

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What makes you think someone interested in an MX5, won't also take a look at an Ecoboost Mustang convertible?
Yes, the same women looking at MX5's possibly also consider 4 cylinder Mustangs.

But he said V8.
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Old 07-02-2017, 04:06 PM   #27
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Default Re: The Mustang (Sales) Effect

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Everyone gets very offended about the bogan comment, its an endearing term I use to describe an FPV / HSV or muscle car owner. 40 or 50 something living in the burbs with 2 or 3 car garage....owning two FPVs and a XW GT, I'm firmly in the bogan category.

Tough crowd...LOL

I better not call WRX owners lebbos or female 4 x 4 owners soccer moms.. everyone will be upset.
BOGAN: an uncouth or unsophisticated person regarded as being of low social status.
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Old 07-02-2017, 04:10 PM   #28
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Default Re: The Mustang (Sales) Effect

The pie chart certainly looks good for now. In their first import batch. Where everyone wanted the new toy. But the cars it was up against are not my cup of tea either. Well done on Ford for dominating the segment though.
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Old 07-02-2017, 04:20 PM   #29
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Abarth 124 Spider - 2 door convertible
Audi A3 Convertible - 2 door convertible
BMW 1 Series Coupe/Conv - 2 door coupe / convertible
BMW 2 Series Coupe/Conv - 2 door coupe / convertible
Ford Mustang - 2 door coupe / convertible
Holden Astra Sport - 2 door hatch
Holden Cascada - 2 door convertible
Honda CR-Z - 2 door hatch
Honda S2000 - 2 door coupe / convertible
Hyundai Veloster - 2 door hatch
Kia Cerato Koup - 2 door coupe
Kia Pro Ceed - 2 door hatch
Mazda MX5 - 2 door convertible
MINI Cabrio - 2 door convertible
MINI Coupe/Roadster - 2 door coupe / convertible
Nissan 370Z - 2 door coupe
Peugeot 308 Convertible - 2 door convertible
Peugeot RCZ - 2 door coupe / convertible
Renault Megane Convertible - 2 door convertible
Renault Sport Megane - 2 door hatch
Subaru BRZ - 2 door coupe
Toyota 86 - 2 door coupe
Volkswagen Golf Cabriolet - 2 door convertible
Volkswagen Scirocco - 2 door hatch
Volkswagen The Beetle - 2 door hatch
Technically speaking, the Hyundai Veloster should not be included in this list.
It's got a unique 3 doors (excluding the rear hatch)
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Old 07-02-2017, 05:28 PM   #30
Blue Shadow
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Default Re: The Mustang (Sales) Effect

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Originally Posted by Bevsta007 View Post
BOGAN: an uncouth or unsophisticated person regarded as being of low social status.
Me to a tee
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