June car sales rebound after May slump

The ideal market for fleet managers to invest in new vehicles could be upon us, after an announcement from the Federal Chamber of Automotive Industries (FCAI).

June new car sales are up 25 per cent on May's figures, largely thanks to the abundance of end of financial years specials offered by car suppliers and manufacturers. There were 118,309 vehicles sales during the month, which is slightly below last June's figures, but well up on recent months.

Both government fleets and private business fleets saw major growth from last month. Private sales are up 8.6 per cent while state purchases have also increased 5.3 per cent.

Andrew McKellar, chief executive of the Australian Automobile Association, believes June was always going to be a strong month considering the problems in April and May, in particular.

"It's very clear that demand for new car purchases has softened in recent months," he told Drive on July 3.

"June is typically a stronger month for sales, as brands compete at the end of financial year. It's very clear that they are having to offer good deals to attract new buyers in this current market."

Top sellers

Toyota is still the leading Australian car brand in relation to purchases. The car manufacturer took a 17.6 per cent market share, followed by Holden with 10.4 per cent of sales.

It was then no surprise that the Toyota Corolla was the most popular vehicle. More than 4,600 units were sold across the country which was well more than the Toyota Hilux (4,276) and the Mitsubishi Triton (4,124).

State leaders

Several states shone brighter than the rest for its car sales in June. Northern Territory purchases soared by 8.3 per cent, closely followed by South Australia where there was a 7.6 per cent increase.

It is hoped the next couple of months will provide similar buying conditions for fleet managers. This could also be the opportunity to invest in green cars that fleets have been waiting for.