The Rivalry Continues: Accord Outselling Camry
Accord vs. Camry is one of those classic rivalries, like Coke vs. Pepsi, Alien vs. Predator, Yankees vs. Red Sox, Beatles vs. Stones, or Scots vs. the rest of the world and also themselves (“Damn Scots! They ruined Scotland!”).
In the 1990s, when both midsize family sedans began outselling American cars, Honda was the one winning the race between the two top dogs. Then in 1997, the Camry surpassed the Accord, only giving up its crown once since then, in 2001.
Until this year, that is. In August of 2014, Honda sold a monthly record 51,075 Accords, a remarkable 33% increase over last year’s August sales. Camry, meanwhile, moved 44,043 units in August – not bad, but still a decisive second place finish. While the Accord has experienced a 6.7% growth increase in the 12 months from August 2013 to August 2014, the Camry has grown by 5.6%. So what has made the difference?
It appears that Honda’s strategy of stepping up incentives to attract retail buyers has paid off for the company when it comes to Accord sales, which now account for 26% of all Hondas sold in the US. Loyal customers are inspired to trade in their older models when they hear about the deals being offered. It’s the same strategy that has worked well for sales of the Ford Fusion and Nissan Altima.
“All those vehicles have pretty large customer bases,” Edmunds analyst Jessica Caldwell told The Washington Post. “They see some of the deals that are out there.” Edmunds calculated that in August of 2014, Honda offered an incentive of $2,013 per Accord, which is three times the incentive amount offered in 2013.
Honda is hoping to keep the Accord on top with its new 2015 model, which went on sale at the end of August. Available in Coupe, Sedan, and Hybrid models, the 2015 Accord has some upgraded tech, such as a HomeLink universal remote system that can be programmed with devices like one’s garage door opener or home security system. Whether the 2015 model will keep the Accord ahead of the Camry is anybody’s guess.
Source: The Motley Fool