Yahoo Autos Chevrolet Sees an Opportunity with Sedans
Sedans are no longer the reason for a brand's success. The category that was once the volume seller is being quietly overtaken by crossovers, which have superseded sedans as the vehicles of choice for families, livery drivers, and people who just want a big trunk and a higher ride height.
So the sedan market isn't as big as it once was, and automakers have responded. Ford, for instance, has gone as far as to announce that it will cease production of all sedans for the U.S. market, instead opting to focus on crossovers and other utility vehicles.
Chevrolet won't be one of those brands. Speaking with Automotive News at the recent launch of the 2019 Malibu RS, Steve Majoros, Chevy's marketing director for cars and crossovers, said that sedans are a "pretty big opportunity for us."
Even though there are fewer sedans being sold, there are also fewer competitors in the segment, which means a single brand can get a bigger piece of the pie. We're also not talking about peanuts here; compact and mid-size cars such as the Malibu are still 20 percent of the vehicles sold. That's nothing to run away from.
The problem Chevy has is that the continued investment needs to be met with tangible results. Cars like the Honda Accord and the Toyota Camry have long dominated this part of the market, with the Malibu thought of more as a fleet special or just overlooked.
It's part of why Chevy is offering the RS trim with the updated Malibu. This one is aimed at the Accord Sports and Camrys of the world, with more aggressive styling, a 1.5 liter turbo engine, and a new continuously variable automatic transmission (CVT), the first in-house unit for General Motors in ages. It will be a volume trim, too, expected to be chosen by 20 percent of buyers.
Brands will continue to leave sedans behind as crossovers grow in popularity. That's a given. But it's not a given that sedans will die altogether. This could be great news for sedans, as automakers will take time to invest in them to make a compelling product to try to own that small market.
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