Toyota Runs Out Of Cars
Toyota's most popular models are disappearing from dealership lots at a pace that leaves buyers scrambling, and the price range of the vehicles flying off shelves reveals something surprising about the brand's dominance.
Market day supply” is what the car industry calls it. The figure represents the number of days it would take to sell all current inventory at the current daily sales rate. The average across the industry, including all models, is about 60. Toyota (NYSE: TM | TM Price Prediction) has six models in the top 10 list as of June, according to CarEdge.
The models are the Land Cruiser at 7 days, the Grand Highlander at 10 days, the Highlander at 12 days, the Sienna at 12 days, the Corolla Cross at 13 days, and the RAV4 at 13 days. The RAV4 and Grand Highlander are also among the ten best-selling models by volume in the US, according to the same analysis.
Based on the small number of days for each of these Toyotas, they are basically gone the moment a dealer gets them.
Toyota was the largest car company in the world, based on vehicles sold last year at 11,322,575. To give a sense of scale, the No.1 US car company ranked 4th. GM sold 6,183,928.
Perhaps as impressive as Toyota’s global numbers are, it is also amazing that it entered the US in a significant way when it introduced the Corona. Today, it is No.2 in market share in the US at about 15%. GM’s (NYSE: GM) is 17%, and Ford’s (NYSE: F) is 13%
The Land Cruiser and Sienna are among Toyota’s most expensive models. The huge Land Cruiser SUV has a base price of $58,000, which can jump above $70,000 with a number of features. The RAV4 is among its least expensive, with a base price of just shy of $32,000.
What may be the most impressive thing about Toyota is that both its cheapest and most expensive models are on the list.
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Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.
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