Fleet replacement drives new car sales

This year's biggest seller, the Toyota Hilux. Photo / Supplied.

New Zealand new-car sales are slowly increasing on the back of fleet replacement. New-car and light-commercial sales were up 17.2 per cent in August, but private buyers are largely staying away.

August sales rose by 17.2 per cent, and year-to-date figures by 14.3 per cent. But that's only a modest increase given August 2009 numbers were among the lowest recorded, assisted by fleets delaying replacement.

Mazda NZ managing director Andrew Clearwater says most fleet sales are from metropolitan dealers. "Our rural guys who traditionally do private business are still finding it pretty tough." He says given deferred fleet sales are driving this year's increase, the economy isn't so much recovering, as has hit a plateau - and his comments are echoed by other major players.

Meanwhile, fleet buys continue to drive the move away from large cars to SUVs, which now sell more than any other segment. Though they are seen as gas-guzzlers, the industry says that move is partly recession-driven. Cost-cutting employers still need to retain good staff, and telling someone they're swapping a large for a medium car is a bitter pill to swallow. Moving to an SUV is easier given the bracket's image, and it'll still do double-duty as a family car.

But so will a ute, and the year's biggest seller to date is Toyota's Hilux, with 2628 sales to Toyota Corolla's 2212. Suzuki's Swift comes in third at 1904, to Holden Commodore's 1529.