Toyota US sales exec says compact SUVs will outsell mid-sized sedans in five years’ time – report


A Toyota sales exec in the USA believes that the demand for compact SUVs will beat D-segment sedans in the years to come, Bloomberg reports. Bob Carter, Toyota Motor Corporation’s top sales executive foresees that the Toyota RAV4 will outdo the Toyota Camry in terms of sales in the next five years, with millennials being the majority of buyers.

“I’ll bet you lunch that will happen,” the exec asserted. Carter noted that many of those under the age of 35, entering the market “in a big way,” spent their lives growing up with an SUV. The exec admitted that five years ago, he never thought that one day, compact SUVs would outsell sedans. “There’s a really dramatic shift in consumer preference going on,” he said.

According to Carter, millennials and baby boomers are shifting to compact SUVs as they are economical, affordable and not harsh in terms of ride seeing that it shares the same underpinnings as compact cars. “Compact SUVs, have the comfort of mid-sized sedans, they’ve got competitive fuel economy, they’ve got all the amenities and the price is almost the same.”


He stated that compact SUVs such as the Toyota RAV4, Honda CR-V and Ford Kuga sell better than sedans like the Toyota Camry and Honda Accord. Toyota will sell 300,000 RAV4 models and some 425,000 Camrys in the US this year, he added. Last month, sales of the RAV4 in the US shot up to 30%, while the Camry rose by only 7.3%, however, total sales of the Camry is down by 1.2% for the year.

To cater to the great demand of the RAV4, Toyota will also be importing the model directly from Japan. In addition to that, the brand will be setting up a second plant in Canada, where it will be able to produce over 400,000 RAV4 models a year in North America, Carter disclosed.

While Toyota believes that the compact SUV will trump the sedan, its partner, Mazda, doesn’t quite feel the same way. Masamichi Kogai, Mazda’s global CEO says that although the SUV segment is continually growing, focusing on a sedan will allow it to create “great driving cars,” which in turn will play a role in the dynamics of its SUVs.

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Graham Chin

Having spent a number of years as a journalist for a local paper, a marketing executive for a popular German automotive brand and a copywriter, Graham, a true-blue Sarawakian, knew he had to take the leap back into the motoring scene - and so he did. To him, nothing’s better than cruising for hours along a scenic route, in a car that’s designed and built for that purpose.



  • We won’t be able to taste the RAV4 here. Sigh

    Like or Dislike: Thumb up 3 Thumb down 1
    • Nvm…it’s just a a junk or rubbish. Avanza is the best to own

      Like or Dislike: Thumb up 2 Thumb down 6
      • In 5 years time for Malaysia, cars like Altis, Vios and Camry cannot sell also cause the Y Generation all want VSC and more airbags.

        Now Toyota still got sales because old timers still syiok with Toyota but they have no knowledge it is a car with ZERO safety

        Like or Dislike: Thumb up 7 Thumb down 11
        • Sammy Loo on Dec 07, 2015 at 10:54 am

          many of those so called Y generation still got no idea what is VSC

          Like or Dislike: Thumb up 2 Thumb down 3
    • if the RAV is sold here UMW will take out the VSC and sell you a Moving Coffin.

      Very stupid Malaysians still buying cars with no VSC and only 2 airbags.

      Be wise, buy a car cheaper but comes with VSc and 6 airbags….Nissan, Mazda etc

      Toyota is junk

      Like or Dislike: Thumb up 6 Thumb down 7
  • Sam Loo ( ori1 ) on Dec 05, 2015 at 12:22 am

    Why wanna buy a new RAV4?

    Get a new Tucson instead. 1 year later, when you desperately wanna sell, I will show you the Hilux and offer you RM25k-28k

    Like or Dislike: Thumb up 9 Thumb down 3
    • 2ndhandealer on Dec 05, 2015 at 12:28 pm

      If u sale ur 5 years old Hilux, our company only accept price atvRM 13500.

      Like or Dislike: Thumb up 4 Thumb down 9
    • UMW Salesman desperate on Dec 05, 2015 at 1:56 pm

      Don’t talk big. In Malaysia nobody wants Toyota anymore. Got no VSC, no safety, people also consider it junk.

      This is why RV jatuh like crazy. 2014 Camry 2.5 selling for RM98k, jatuh from RM180k.

      Altis even better, no VSC still in their new cars. 2013 Altis 1.8, accident free, selling for Rm65k.

      Poor Same Lorrr, still with your old lies. People already know your tricks lah

      Like or Dislike: Thumb up 8 Thumb down 8
  • Dan proton pun masih tidur… sibuk nk keluarkn sedan… exora pun masih model lama. Fikirlah sendiri

    Like or Dislike: Thumb up 3 Thumb down 4
    • Bristol on Dec 05, 2015 at 12:30 pm

      Proton xade jual kereta kat US, SOHAI…

      Like or Dislike: Thumb up 1 Thumb down 3
      • Black Dog on Dec 05, 2015 at 1:20 pm

        Proton masih di zaman purba. Sibuk lawan dengan Perodua saja. Tidur dan mimpi lebih syok…

        Like or Dislike: Thumb up 0 Thumb down 1
        • Bruise on Dec 06, 2015 at 12:13 pm

          Only childish like u think that Proton sibuk lawan Perodua. Actually Proton sibuk dgn new generation future.

          Like or Dislike: Thumb up 0 Thumb down 0
        • Movingcoffin on Dec 06, 2015 at 6:14 pm

          So vios lagi purba. After gen still no VSC.

          Like or Dislike: Thumb up 1 Thumb down 0
      • Bristolbabi on Dec 06, 2015 at 1:30 pm

        Bristol…ko la Sohai….proton memang Sampah kot…tak Kisah la Kat mana sekalipun…

        Like or Dislike: Thumb up 0 Thumb down 0
        • taknaktoyota on Dec 07, 2015 at 7:49 am

          If proton sampah, toyota is moving coffin, much worse lol

          Like or Dislike: Thumb up 1 Thumb down 1
  • agreed… i am one of those who already ‘upgraded’ to SUV instead of D segment from C segment.. main reason for its capability of on-road and “off road” use… high ground clearance compared to normal car and can still drive at 160kmh at comfort..
    not to forget.. bigger space for larger stuff.. and all these at D-segment price.

    Like or Dislike: Thumb up 1 Thumb down 0

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