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Continuing its recession-defying act, Subaru posted a 41% climb in October sales over last year. That makes it the fifth straight month of sales increases, and a stellar 13% increase year-to-date. AWD traction for the win! Subaru does tend to do well well with the highly educated demographic, which has been proportionately less impacted in the recession.
36 Comments on “Subaru defies gravity; up 41% in October...”
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I am glad to be one of the “highly educated demographic.” Disclaimer: I bought one this May, and I have an MSc. degree in EE.
Now thinking about it again, it was my worst mistake to pursue that degree. I really should become a real estate agent at that time.
I am not joking.
After a year of contraction, my local real estate market is at all time high again, as of right now!
Subaru does tend to do well well with the highly educated demographic, which has been proportionately less impacted
And lesbians. With the recession hitting men harder than women, households headed by two women would tend to be less impacted by the economic crisis.
jmo:
“And lesbians. With the recession hitting men harder than women, households headed by two women would tend to be less impacted by the economic crisis.”
It’s truly a niche that other makes have trouble penetrating…
jmo, that would have explained a smaller decline. But we are talking about a real surge here. It must be something else.
The major reason is that Subaru has taken a very very aggressive lease policy. It’s probably the best lease deals out there right now
Bancho,
+1 for the nice double entendre.
This morning I commuted alongside one of the new Outbacks. That thing is definitely not easy on the eyes. I refuse to believe that this car has anything to do with an INCREASE in sales for Subaru. What were they thinking?
When I bought my Forester a few years back, the demographics showed that Subaru had the highest IQ buyers of any automaker. The college professors had made the switch from Ovlov. I made sure to tell my friends.
Of course IQ doesn’t necessarily correlate to wealth, or Ferrari and Aston Martin would have the highest IQ demographics.
I was just trying to come up with a funny lesbian thing, but then I reread Bancho’s comment and I have to concede that I could never come close to this level of wit.
I’m fine with this news but would really like to know whether anyone (either previous Subie buyers like myself, or otherwise) actually likes the new Legacy and Outback designs. I’ve seen exactly one new Outback and no new Legacys in the Maryland suburbs of DC. However, there are plenty of current-generation Foresters and Imprezas; I’m finally starting to get used to the Impreza’s appearance.
As I’ve written before, Subaru should bring the Exiga here to replace the Tribeca; the Exiga appears to have a slightly less cramped third-row seat and is much nicer-looking with an airy cabin, judging by the photos and 360-degree tour at the Japanese website.
I wonder if the persistent “Toyotafication” of the design has anything to do with it?
I’ve said this before when the now-standard eyebrow-raising post here about Subie’s great sales numbers: can we see a state-by-state breakdown?
I doubt they sell much in the South, probably because of all the lowly edumacated people there.
And it never snows. And it’s a well known fact there are no lesbians in the South.
And the “toyotafication” of the Forester’s design was A Good Thing. The thing holds as much as our old 93 Explorer did and doesn’t look nearly as big.
@grog:
BS, MBA plus another MS, CPA and Texas Resident. Proud owner of a new STI. Definitely not a lesbian though! And as far as penetration…I think the answer is latex.
I could be way out of line, but it could be because they make cars that are durable and reliable, at an afforable price. In this economy, people need that, and have found it, with Subaru.
Plus, they aren’t run by the government. Bonus!
And…. Lesbians too. Sure. Carnies also (little people, smell like cabbage) – oh wait, education – hmmm…..
My son and his wife just bought a new Subaru. Their second, but their first brand new one. AWD is probably more popular than many automakers seem to realize.
@Logans_Run:
Ah, there are exceptions to every gross over-generalization. As I like to say “Appalachia is a state of mind” to characterize those types of places that exist everywhere. As the old joke goes “What’s located between Pittsburgh and Philadelphia? Alabama.” (or insert any state that is stereotyped that way). Having spent a lot of time in Central PA, that stereotype and my “state of mind” theory holds true. In fact, I’ve seen far more Stars and Bars displayed in various ways on rusting ‘Murkin pickemup trucks in central PA than I ever have in Arkansas.
And you don’t see Subarus there.
@mountainman:
I wonder if another reason for the surge in Subie sales has anything to do with another favorite stereotypie, the 90 Pound Suburban Mom Driving Her Suburban Panzer, moving “downscale” a bit but still wanting AWD…without the bulk.
I know here, all said such women who’ve purchased massive SUVs mainly for bragging rights, don’t use them near to what they can do. So, perhaps they cast around for something a bit less ostentatious (since here, most are up to their eyeballs in debt anyway) and find that a Subie Forester or Outback would do the same job.
Not that I’ve seen that locally, which leads me back to wanting to see Subaru sales broken down by state.
Subaru doesn’t sell much in the South (and Southwest) not because of any perceived intelligence gap, but because those of us who live in such places aren’t willing to pay the weight, complexity, and mpg penalty for AWD, for which we have no use.
I would replace my beloved Volvo Diesel with a FWD Subaru wagon in a heartbeat, but Subaru gave up the FWD market in the early 90’s.
I’m still not sure why.
mountainman :
November 3rd, 2009 at 3:51 pm
I could be way out of line, but it could be because they make cars that are durable and reliable, at an afforable price. In this economy, people need that, and have found it, with Subaru.
There you go. Outside the echo chamber of TTAC comment sections, almost everyone I talk to really likes the new Subaru designs (they’ve gone away from cute and quirky, which is a good thing for mainstream success). Everyone assumes they are as reliable as Toyotas (almost, in reality), everyone and their mom knows the performance of STi and WRX (which has the perception effect of carrying over to other models), and everyone knows about standard AWD. In other words, their design as finally caught up to their reputation, and now people are willing to actually buy the things. Oh, and consumer reports recommends nearly every model. NEVER underestimate the power of CR.
willamettejd: +1 on the Subie comments, +10 on the echo chamber crack.
It is good to know that Mazda who are darlings of automotive press (“highly uneducated demographic”) are deservedly declining. Seems like recession has made shoppers smarter.
Didn’t Subie dealers have a Free Flannel Shirt with purchase promo this month? Was that national, or only in Vermont?
Admission: My wife (literally) just signed the paperwork for an ’10 Impreza OBS.
I’ll tell you why they’re successful: No nonsense dealers that are used to the old Saab demographic. Not alot of typical new car shenanigans (low margin volume is their norm), along with a reasonable price/value ratio, stellar crash tests and an image that, despite the protestations of the B&B here, is exactly in tune with the national zeitgeist.
BTW-My wife turned down BMW, Merc and Audi wagons at twice the price as too ‘stuck-up’…god, do I love that woman!
Subarus is in an idea position to pick off customers who once might have bought Saabs or Volvos as well as people moving down from big SUVs but who still want AWD. Subaru’s relatively small size means that it doesn’t have to pick up many customers from competitors to make the numbers look really good. It would be interesting to see the trade-in data for new Subaru sales.
“BTW-My wife turned down BMW, Merc and Audi wagons at twice the price as too ’stuck-up’…god, do I love that woman!”
Good for her, and smart of you to marry her!
Subaru has a rep of building solid, reliable, reasonably-priced cars that are great in bad weather. Up here in Maine the Outback is practically the state bird. My wife has a Forester for her long commutes in snowy weather and it’s been a fantastic vehicle for us. She’s even wrecked it twice, and it’s been put back together again both times with nary a rattle or a problem to be found.
TTAC talks a ton about branding; Subaru’s got it down pat. AWD vehicles, solidly built, great reliability, and not too ostentatious. I wish them nothing but continued success.
Here in East TN in the mountains they seem pretty popular. Seems like I used to see more Saabs running around in years past, Volvos are still pretty common.
Yep, gotta be because href=”https://www.thetruthaboutcars.com/review-2010-subaru-outback/” rel=”that new Outback sucks”.
I have just put in an order for a loaded up Outback 3.6R Limited because it was the best built, most fuel efficient, most comfortable vehicle I could find that met my price and capability requirements.
I also happen to think it looks really good in person.
Crap… Can’t edit my comment.
Should say that it’s gotta be that the new Outback sucks. At leats according to the TTAC review I linked to.
“BTW-My wife turned down BMW, Merc and Audi wagons at twice the price as too ’stuck-up’…god, do I love that woman!”
Good for her, and smart of you to marry her!
Thanks…gotta agree. Had a CPO 07 530xiT lined up with all the goodies and she flat out said she couldn’t see herself driving around in it. The OBS should provide years of use without wondering what the next problem will cost to fix.
*Anyone know of the usefullness/upgrade the front strut brace may provide? I’ve heard it’ll tighten things up wihtout voiding any warranties…is it worth the $300 to buy and afix?
I still have my 05 STi all paid off. Last fillup was 24.5mpg with 80% highway 20% rural city. Highway was mostly between 55 & 80, with 60-65 the most common speed.
Not fantastic, but I could be doing worse.
No problems at 30k miles in 5 years.
Subaru has aggressive marketing, a small enough base that such significant increases are possible, and some darn good and mostly new product. The TTAC review notwithstanding, the 3.6 Outback is a crackerjack of a new car — just the right size inside (no longer a small punishment box (back seat in particular)), good performance all around, good around town to drive (who cares how well the Outback takes a curve in town– that’s what the Legacy is for), decent fuel economy for the power, and regular gas. It also has decent visibility. What’s not to like?
I opted for the Impreza Wagon (’09) when I bought in August. I’ve liked the new design since it came out and haven’t understood the hatred for it, especially since I mistook a Mazda 3 for my car one day (not sure the vintage of the 3).
To answer a question posed earlier, I’m not a big fan of the new Outback design but I don’t think it looks bad. I loved the previous gen Legacy wagons and wish they still offered them.
Don’t forget Alaska. We love our Subaru’s also. The new Outback already sells in volume. Roads in Alaska, as elsewhere are atrocious. The state won’t be able to keep the roads clear or well maintained as in years past (thank you Sarah Palin). Subaru offers an entire line of quality, reliable vehicles featuring a low center of gravity, good fuel economy, excellent safety, and AWD that meet or exceed the needs of a daily, for six months, -40F commute through the wilderness.
Scooby Dooby Doo!!!!!!!!
OK! I will bet my left one that as sales climb, the average average IQ of Subaru buyers declines.
This new bigger outback we are all – mostly all – loving to decry is appealing to a broader swath of people because it is bigger and, well, it’s like if Subaru had built the Explorer in the first place – or if the Outback had been big enough to carry Paul Hornung, not Paul Hogan.
Sales growth comes from broader appeal. So do those Subaru product planning boys have high IQs? You betcha!
Subaru has really been pushing the leasing this year. With the rock solid residuals on their cars they can run with Toyonda in this game. I recall seeing several low low teaser rates for the Impreza and Legacy.
As other have said when you only have 2-3% market share it takes less to move the needle.
They are also in the sweet spot of the product cycle with almost their entire lineup currently being fresh n’ hot.
GO SCOOBIE!
Great dealer:
New 04 WRX no hassle MSRP
New 06 Sti no hassle MSRP
used 04 Saturn Vue for well below market value. No hassle and no brainer buy for the wife
I’m a big fan but with a level head and yes went to post secondary twice so I guess I’m smart?
Both have had a couple of recalls. The biggest was the rear struts on the Sti. Replaced under warranty. The Odometer is showing 73000kms and the best part is its paid for.
Here is hoping she goes to 200,000kms!
Mitch
AWD continues to grow in the Northeast, not surprised to see Subaru gains. Nice redesigns make these cars more presentable, they were too downmarket before this.
Just bought a 2010 Forester for my 80 y.o. in-laws, who never owned a Subaru or an SUV of any size. Beat the Rav4 & CRV easily.
About to buy a 2010 Legacy or Outback to replace a 2002 Passat AWD for my wife. Beat the 328xi on price and beat the Fusion AWD on everything else. Dealer says prepare to wait 4-6 weeks, everything is on backorder and allocation.