Silicon Valley Auto Dealers Dispute Claims of `Downturn'
9 January 2001
Silicon Valley Auto Dealers Dispute Claims of `Downturn'
SAN JOSE, Calif.--Jan. 9, 2001--Principals at three dealerships that have provided sales and service to automotive customers in the Silicon Valley for a combined total of 210 years strongly dispute national industry projections of a downturn in new vehicle sales."At least not in our backyard," said John Moore, President of Moore Buick Pontiac GMC, a company which has sold cars and trucks in Santa Clara County for 50 years. "Interest rates have dropped, the stock market is up; let's see what happens."
Moore is also president of the Silicon Valley Auto Dealers, a 68-member organization which sponsers the San Jose International Auto Show 2001 (running January 10-14 at the San Jose Convention Center.)
"The industry is offering such a diversification of product right now that the consumer can't help but respond enthusiastically," Moore added. "There's a definite move towards trucks with upgraded, automotive styling. I don't see that product being ignored."
Steve Lewis, General Manager of Bob Lewis Volkswagen, Suzuki and Hyundai (one of North America's largest VW dealers for 30 years) believes that fuel economy has altered the public's requirements, but not curtailed sales.
"Drivers may downsize their choice of vehicle to obtain better gas mileage, I think we're all (dealers) encountering that," Lewis offered, "but I don't agree that the industry is headed into a recession; certainly not here in the Silicon Valley."
Lewis credits his market, and many of his customers, with the key ingredient to perpetuating strong sales.
"This area is ground zero in the rapidly changing world of technology," Lewis explained. "Technological advancements mean SAFETY. Everytime you upgrade a car, you're more likely to live in the event of an accident."
Beginning with a thriving horse-drawn carriage business in 1875, Normandin Chrysler Jeep has served the transportation needs of the Santa Clara Valley for 125 years.
"I don't see a downturn in sales," said Mark Normandin, General Manager and fifth generation of the family ownership. "There may be a 'flattening', but 2000 was a pretty strong year for everyone in this market and I don't expect any significant changes. Detroit is responding with more interesting...more exciting cars. I can't speak for other regions of the country, but in our market, if we continue to respond to the public's demands, we're going to be successful. We'd be very pleased to repeat the success we had in 2000."
Normandin, who serves as chairman of The Auto Show, joins Lewis and Moore in anxious anticipation of new products to be offered in the spring of 2001.
"In this region high-end auto sales will not be affected," Lewis predicted. "The 'working man' dealers will feel it the most. We've added Hyundai. Last year sales were up 75% across the country and Hyundai has listened to the consumer and provided a reliable product with the best warranty in the country."
Moore expects General Motors' latest answer to mid-size, improved-mileage sport utility vehicles -- the Buick Rendezvous -- on his lot in late spring.
"It will be GM's first mid-size SUV with three rows of seats," Moore described. "They listened to our customers and sought to satisfy that demand."
Even the Jeep Cherokee, the industry's most popular SUV for 18 years, will see a re-sized spring facelift with the debut of The Liberty.
"It will be an improved vehicle, with better fuel economy," Normandin explained. "As long as the manufacturers listen to what the public is saying, this market is not going to slow."
The San Jose International Auto Show 2001 will be open from noon-10 p.m. January 10-12; 10 a.m.-10 p.m. January 13 and 10 a.m. to 7 p.m. January 14. Admission is $7.00 for adults and $3.50 for children ages 6-12. Children under age 6 are admitted free.
January 14 is Family Day with children 12 and under admitted free when accompanied by an adult.
Discount coupons offering $2.00 off the adult general admission are available at all Longs Drugs in the Bay Area beginning December 20.
More information can be obtained by contacting the Auto Show website at www.sjautoshow.com.