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Honda exec says US market near capacity, could hurt subprime buyers

Is there a point in the US auto industry where companies should start considering the welfare of their customers ahead of selling more cars? American Honda Executive Vice President of Sales John Mendel thinks that level exists, and we may be getting very close to it.
According to Automotive News, Mendel believes that finding more customers in the market could require pursuing subprime buyers and offering longer-term loans. However, he refuses to use those tactics. While selling models this way can improve things briefly, the strategies hurt resale prices and lower vehicle profits over time. The company won't do "stupid things in the short-term that damage the person who bought yesterday," he said to Automotive News. "It's a very, very short-term tactic especially in the subprime area."
American Honda, which combines the Acura and Honda brands, has seen market share decline from 9.7 percent to 9.1 percent through July 2014, according to Automotive News, and Autoblog's By the Numbers stats showed it posted falling sales in five of the seven months with data this year. Though, Mendel claims that was partially because the company focused on retail sales over fleets. The delays of the launches for the Honda Fit and Acura TLX likely didn't help either.

2016 Acura ILX First Drive [w/video]

Luxury carmakers love getting 'em when they're young. Sure, it takes older, well-heeled buyers to move high-margin flagships like S-Classes, 7 Series, and LSes, but to borrow from the late, great Ms. Houston, the children are the future – specifically, the ones buying entry-level sleds like the Audi A3 and Mercedes-Benz CLA. Since youthful buyers tend to cultivate lifelong patterns of loyalty (and thus, spending), Acura has invested effort in shoving its entry-level ILX into more upmarket territory. "The ILX was originally conceived during the recession," one Acura executive admitted during the launch of the facelifted 2016 model, conceding that the original compact sedan's priorities were biased towards economy, not plushness. Because Acura originally didn't see the $30,000-ish competitors from Audi and Mercedes coming, they didn't think twice about equipping the base, prior-gen ILX with rather uninspired styling and a meager 150-horsepower engine, the combination of which made it more of a glorified Honda Civic than a contender for European power players. What's an aspiring Japanese automaker to do in 2015's golden age of affordable luxury? If you're Acura, you scramble to release a mid-cycle upgrade to elevate the ILX's status. Upmarket Moves: Fresher Skin And A Friskier Soul With its ho-hum sheet metal, the outgoing ILX simply couldn't stand up to its more crisply styled competitors. The 2016 model comes to the rescue by adding Acura's signature "Jewel Eye" row of LED headlights, which joins a reworked grille and fascia to form a more aggressive front end that's been moved lower and wider. A redesigned rear deck incorporates new LED taillamps, while the ILX's proportions now boast a more hunkered-down stance. The look is sexier (especially thanks to those glimmering headlights), though the stodgy, Buick-like character line and rear haunches remain. Inside, a new multimedia and navigation system brings a level of modernity to the cabin, with an eight-inch upper display and seven-inch lower touchscreen gracing Premium and Tech Plus models. A multi-view rear camera is standard on all ILXs, and the Premium gets a seven-speaker sound system while the Tech Plus receives a 10-speaker ELS premium audio setup. Acura's new Navi link feature enables iPhones to display navigation functionality on the car's screen using a $99 cable kit and a $60 app, offering an affordable way to know where you're going. The kit was not available on the models we drove.

Acura NSX Concept is pretty on the inside, too [w/video]

The Acura NSX is still a couple years away from production (isn't it always?), but Acura has taken the dark window tint off last year's concept and opened the doors to show us what the interior of the car looks like. From what we can tell on the show-floor display, Acura's hybrid supercar will not only have a sexy exterior design, it will look great from the inside as well, but Acura pointed out that this is just "one possible direction" the interior could go. We suppose that means we can look forward to many more NSX concepts - you won't hear any complaints from us.
Building on Acura's latest tagline of "the synergy between man and machine," the NSX promises to provide a "human connected space" offering a simplified layout presumably chocked full of technology. Looking inside the concept reveals a cabin wrapped in maroon leather with sport bucket seats that will certainly provide plenty of support. We're sure there will be more information about the car and its interior at upcoming auto shows, but until then, scroll down for Acura's press release.