Minivan sales plunge as America's love affair with SUVs continues

Minivan sales as a percentage of the entire U.S. auto industry fell from 4% in 2009 to 2.6% in the first quarter of 2019, according to research and data firm IHS Markit.

Shifting needs

The primary factor hurting minivan sales is the nation's love affair with SUVs and crossovers , Augustaitis, director of industry and economic analytics at CarGurus, said the nation's declining birth rate and a movement toward city life have contributed. to the decline of minivans.

"It's slightly easier to get around in a SUV and if you only have one kid and you're 28, 29, 30, the SUV is going to provide everything you need," he said

SUVs now account for about 50% of US vehicle sales, up from about 31% in 2009, according to Edmunds and IHS Markit, respectively.

3-row SUVs proliferate

The shift has been spurred more automakers to add SUVs to their lineups while shrinking their minivan offerings .

For years, there were only a few three-row SUVs on the market – largely from the Detroit Three automakers. But now, foreign automakers are suddenly introducing SUVs present at viable alternatives to minivans

Recent three-row SUVs include the Hyundai Palisade, Kia Telluride and Volkswagen Atlas. Toyota revealed that redesigned Highlander SUV at the New York Auto Show in April and the Honda Pilot has been soaring in popularity.

"Manufacturers

Minivan nameplates disappear

About a boxing minivans have been discontinued in the last decade and a half, including most recently the Nissan Quest follows the 2017 model year. Minivans like the Chevrolet Uplander, Buick Terraza, Mazda 5 and Pontiac Montana are long gone.

There are only five left still in production: the Toyota Sienna, the Honda Odyssey, the Kia Sedona, the Chrysler Pacifica and the Dodge Grand Caravan. But Fiat Chrysler is expected to continue the caravan sometime in the coming years.

That doesn't mean minivans will perish altogether at any point in the immediate future. Fiat Chrysler, for example, sold 151,927 Grand Caravans in 2018, although analysts say the vehicle is largely sold to buyers, not consumers. And the automaker's Chrysler Pacifica, introduced in 2017, with its design and technology, including hybrid and plug-in hybrid options.

Analysts say the minivan could even be credited for a resurgence one day as the world gravitates toward self-driving cars and Americans giving up vehicle ownership.

"When it comes to moving people and things, minivans remain a top choice to get the job done, "Fiat Chrysler said in an emailed response to questions. "As the original utility vehicle, offering up to amazing blend of functionality, efficiency and comfort."

Surviving minivans on shaky ground

Still, Fiat Chrysler confirmed that the Grand Caravan "will eventually go away," but the timing has not been determined.

Other automakers say they're sticking to their minivans:

"spokenwoman for the Sienna."

• Honda spokeswoman Jessica Pawl said the Odyssey "remains an important part of our lineup."

• Kia spokesman James Bill said the Sedona "is an important vehicle for Kia markets around the world, including the US "

Eric Lyman, chief industry analyst for ALG, a subsidiary of car-buying research site TrueCar, said the Honda Odyssey and Toyota Sienna have performed the best among retail customers, though they ranked no. 3 and No. 4, respectively, among all minivans 2018 total sales.

"The idea of ​​reliability and durability and product quality is paramount to the purchase and Toyota and Honda have wrapped up that perception," said Lyman.

One "consequence from all these utilities instead of minivans is a lot more by the parking lots of Walmarts and malls across America as kids enter and exit the vehicle "or SUVs, Lyman said.

Lyman owns a minivan and remains a body style but acknowledged that he's increasingly the exception.

"The minivan is a functional vehicle and most certainly become more stylish, but there is a limit to what you can do from a styling perspective of a minivan – and does the target demographic really care about some of the nuance in that styling? " he said.

With sales consideration plunging, according to Autotrader, the future of the minivan may follow a similar course as other vehicles that ended up in the auto industry's junkyard.

"When I looked at the sales and looked at the (market) share drop, it reminded me of the compact pickup segment, "CarGurus analyst Augustaitis said.

No automakers sell compact pickups in the US