New car sales were up slightly in Hamilton County in January over a year ago, and some dealers say Toyota’s recall problems may mean their brands may receive another look from buyers.
Some auto companies such as General Motors are offering incentives to Toyota owners.
“It’s an opportunity to really make sales increase,” said Lee Belk, general manager of Gentry Chevrolet Buick in Kimball, Tenn.
GM is offering Toyota customers payouts of up to $1,000 or free financing for up to five years if they trade in a Toyota for a GM vehicle.
NEW VEHICLE SALESHamilton County-January* 2010 – 736* 2009 – 727* 2008 – 1,178* 2007 – 1,273* 2006 – 1,258Source: Hamilton County Clerk’s Office
Ford Motor Co. and Hyundai Motor Co. also are rolling out incentives targeting Toyota owners in the wake of the Japanese automaker’s massive safety recall.
Ron Kwiatkowski, new car sales manager for Village Volkswagen of Chattanooga, said VW’s southern region director has indicated the German automaker won’t make “predatory rebates” targeting Toyota.
Still, Mr. Kwiatkowski said he hopes Toyota owners will give VW another look. Village Volkswagen’s January new vehicle sales were up over a sluggish month a year ago, he said.
In Hamilton County, new vehicle registrations in January were up 1 percent over a year ago to 736 units. Vehicle registrations are closely tied to sales.
Austin Watson, executive manager of Mountain View Nissan, said sales last month were “a tad” higher over January 2009.
But he expects sales to substantially increase in the second and third quarters of the year.
Mr. Watson said he doesn’t expect Toyota’s distress will create a big hike in sales for Nissan.
“I don’t see a lot of people jumping ship,” he said. “Time will tell.”