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How new car shortages may impact your buying experience

If you want further proof that the auto industry is bouncing back, look no further than the empty lots and forecourts of your local dealership. According to a story by The Wall Street Journal, continued high demand for mainstream cars is overtaxing automakers' ability to produce enough models. Several dealers interviewed for the story are reporting two-week supplies as opposed to the typical two-month allocations.
With sales expected to hit 1.4 million units when August numbers arrive shortly and incentive spending down to its lowest amount since January, these limited supplies are pushing prices even higher. For example, according to the WSJ, the average price of a Ford Fusion is up past $26,000. Unfortunately, it's difficult for manufacturers to increase production quickly. If it invests in its facilities, as many manufacturers have done, it risks wasting cash if growth suddenly slows. At the same time, the momentum gained over the past several years could be short lived if vehicle supplies continue to dwindle. "Manufacturers are in a precarious situation," notes Karl Brauer, a senior director at Kelley Blue Book.
Low interest rates and a wealth of desirable features are also allowing customers to purchase more expensive vehicles while justifying their higher overall price tags, a situation that is compounding supply shortages. Even now, during the annual end-of-summer clearance season, deals on new vehicles are remarkably difficult to come by. According to the report, the Toyota Corolla is in a self-inflicted state of shortage, as Toyota clears out inventory in anticipation of the new 2014 generation arriving in dealers. Ford's supplies should rebound as Fusion production comes on line at its Flat Rock, Michigan factory. The Chevrolet Impala, Honda Odyssey, Civic, and Accord and Subaru Forester are also facing shortages.

Honda Accord barely edges Toyota Prius as California's best-selling car

The Toyota Prius definitely still matters, at least to car buyers in California. The long-lived hybrid was the state's second-bestselling vehicle in 2014 by moving 71,210 units across all of its variants, including the Prius C. The Toyota was the leader there in 2012 and 2013 but lost the sales crown this time – just barely – to the Honda Accord, which sold 71,578 examples. The results in the Golden State illustrate just how different the auto market there is compared to the rest of the country. Prius sales slumped last year nationwide with a drop of 11.5 percent to 207,372 examples sold. However, according to the LA Times, the model's numbers ticked up two percent in California in 2014. Taken by itself, the standard hatchback model would have been the sixth-bestseller there, with 39,036 units purchased. While the Toyota showed modest growth, it wasn't enough to fend off the Accord's 17 percent year-over-year jump in the state, though. According to the Los Angeles Times, the rest of the California top ten included the Honda Civic, Toyota Camry, Corolla, Ford F-Series, CR-V, Nissan Altima, Sentra and Chevrolet Silverado, respectively. That list was quite a departure from the nationwide bestsellers in 2014, which was led by the F-Series, Silverado and Ram pickups. The Camry was the country's foremost car on the list in fourth place overall to beat the Accord in fifth. The Prius didn't break into the ten biggest sellers in the US last year. Related Video: Featured Gallery 2014 Honda Accord V6 Touring: Review View 42 Photos News Source: LA TimesImage Credit: Copyright 2015 Drew Phillips / AOL Green Honda Toyota Car Buying Hatchback Hybrid Sedan sales California hybrid sales toyota prius c

Lexus NX, BMW i3 to get Super Bowl commercials

At this point last year, we'd been getting news on automotive-focused Super Bowl commercials for more than two months. The teasers hadn't come out yet, but manufacturers lined up for the super-expensive spots were making their intentions known. This year? Almost nada, until this week. BMW has said it will air a 60-second spot promoting the i3 during the first quarter of the game, the Munich firm returning to The Big Game after a four-year absence. BMW says, "Big ideas like the BMW i3 take a little getting used to, and the creative idea surrounding our spot will play on this analogy." We say that pitching a tiny range-extended hatchback during the beer-iest American sports orgy of the year should make for some neat commentary afterward. Lexus is putting its new NX crossover in the second Super Bowl commercial it's ever aired, eschewing the glitter of celebrities and glamor for a straight-shooting spot and the tagline, "Be seen, be heard, make some noise." Joining those two are Kia, Mercedes-Benz, Nissan and Toyota. The six confirmed carmakers are down from eleven last year, when car spots made up a quarter of the total ad time. The price to do business for 30 seconds this year: reportedly around $4.5 million, up a stacks from last year's $4 million. You can watch the Lexus commercial in the video above, and beneath that, the BMW press release below has a bit more information on its effort. BMW to Advertise All-Electric BMW i3 during Super Bowl XLIX. The all-electric BMW i3 is featured in a 60-second spot during Super Bowl XLIX on Sunday, February 1, 2015. Woodcliff Lake, NJ – January 15, 2015... Today, BMW announced plans to feature the all-electric BMW i3 in a 60-second spot during Super Bowl XLIX on Sunday, February 1, 2015. After a 4-year hiatus, BMW will be returning to the big game with a commercial during the first quarter. "As one in three Americans will tune in to watch the Super Bowl, we are thrilled to use this platform to educate viewers on the importance of electric mobility," said Trudy Hardy, Vice President of Marketing, BMW of North America. "Big ideas like the BMW i3 take a little getting used to, and the creative idea surrounding our spot will play on this analogy." BMW i is BMW's forward-looking and sustainable brand dedicated to solving many of the mobility challenges faced by the world's most densely populated cities. The BMW i3 is the first of the BMW i vehicles constructed from the ground up primarily of carbon fiber.