Toyota's Direct Competitors May See Used Value Jump



Source: http://www.autoremarketing.com/ar/news/story.html?id=10811

AutoRemarketing - February 2, 2009

Situation
KBB says competitors may benefit from Toyota recall woes
Shoppers that considered Toyota may now look to competitors
Competing vehicles could show appreciation in used values
Significant Points
Officials say Toyota woes may have "far reaching" effects in used marketplace
Rental companies may also adjust their fleets as Toyota numbers fall
Vehicles ready for auction may have to return to service
That would push used-vehicle values upward
Officials also say Toyota might be under more scrutiny due to previous success
Says
"Toyota's much-publicized recall may have far reaching effects in the used-vehicle marketplace. As Toyota's perceived quality continues to take a hit, there may be a substitution effect as in-market consumers that had been considering a vehicle from Toyota begin to look for alternatives." -- Juan Flores, director of vehicle valuation, Kelley Blue Book

"News that Toyota dealers will begin throttle pedal repair first tells us that Toyota does understand one important rule of automotive success - without the support of the dealer network, their perilous situation could take a further turn for the worst (if that is even possible)." -- James Bell, analyst, KBB

"When Toyota passed GM as number one in 2008, I warned them - America loves underdogs, but often loses respect for the new champs. The incredible amount of scrutiny that Toyota has endured since the 'Throttle Summer of '09' caught them off-guard, and no doubt was fueled by the 'kick number one around' attitude." -- Bell

Web Source
Toyota's Direct Competitors May See Used Value Jump