S. Florida favors Japanese cars, data say

In South Florida, cars are still king. But not cars with American brand names.

Sedans made by the top two Japanese automakers occupy the top four positions on a ranking of top 30 new car registrations in South Florida during the first quarter of 2017, according to IHS Markit, a data and analytics company that tracks sales for the auto industry:

Toyota Corolla. Honda Accord. Toyota Camry. Honda Civic.

The ranking, compiled at the request of the Sun Sentinel, is a tally of new-car registrations from retail sales, consumer leases, fleet sales to rental car agencies and other bulk buyers, and a relatively small number by auto dealers and manufacturers. Sales and leases to consumers make up roughly 80 percent of the list, a company spokesman said. The company does not release figures for retail leases and sales only.

In contrast to South Florida’s affinity for small and midsize cars made by foreign car makers, buyers in the middle of the country prefer pickup trucks with big strong names.

Those preferences are reflected atop the national new car registration list: Ford’s F Series, Chevy’s Silverado and Chrysler’s Ram, respectively. These trucks tend to sell best in regions dominated by agriculture, industry and construction.

South Florida auto dealer Rick Case, who sells 12 brands locally, says trucks dominate the national sales list because that’s what buyers demand in big wide-open states like Texas, Oklahoma and Colorado. It’s an integral part of the culture, he says. “In markets like Texas, a family doesn’t just have one, they have two or three.”

South Florida residents, like in other communities on the east and west coasts, just don’t

need big trucks all the time, he says. There’s no snow and little need to go off-road in the tricounty area.

The popularity of the two largest Japanese automakers has been established for decades, Case says, and endures because buyers here stick with what they trust. Even as reputations of other manufacturers have caught up, many residents believe so strongly in Hondas and Toyotas, they no longer consider buying anything else, Case says.

Another reason economical sedans are ranked highest in South Florida is that residents spend a lot of time commuting but don’t want to break the bank on gas, says Marc Cannon, chief marketing officer and executive vice president at AutoNation.

Low-cost lease offerings make the Civic especially appealing to young adults “who love the sportier look” and the Corolla a sensible choice for professionals in their 30s and 40s, he says.

Part of the region’s affinity for economical sedans lingers from the days gas cost more than $3 a gallon, he says.

With gas more affordable over the past few years, more buyers are choosing compact SUVs and crossover SUVs that are a bit more powerful but still practical, he says. Cannon expects small SUVs like the Toyota RAV4, Nissan Rogue and Honda CR-V to keep growing in popularity.

Prominent among South Florida’s 30 most popular new cars are so-called “premium luxury” models. The Mercedes C-Class is No. 16, with 1,374 new car registrations. In addition, four Lexus models are on the list: the NX is 13th (1,462 units moved) and the RX is 17th (1,297 units) followed by the ES and IS at 28th and 29th.

Case says the area has always been a strong luxury market, especially in the winter, when wealthy snowbirds return with time on their hands and money to spend.

What they’re not buying, if they don’t prefer large trucks, are sedans made by domestic car makers. Just one American sedan made South Florida’s top 30 — the Ford Escape, while just three made the national list.

IHS Markit analyst Tom Libby says a faster-than-expected sales decline so far this year has resulted in a build up of the least popular vehicles, especially domestic non-luxury sedans.

That’s left automakers with excess inventory, he says.

Cannon says now is the best time for new car buyers to get a great deal. “Incentives [from car makers] are extremely high,” he says.