January guess the reg. - Page 2 - MG-Rover.org Forums
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post #21 of 60 (permalink) Old 06-02-2017, 16:49
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Originally Posted by Perry Stalsis View Post
I'll be unsurprised if Mirtininkas's view will be that it's somehow all my fault.
Makes a change from it all being my fault.
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post #22 of 60 (permalink) Old 06-02-2017, 17:42
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446 I bet. It'll be a great month
So I was well off. I'm pretty surprised but thinking about it after Christmas isn't always a good month for sales of a specialist, low volume producer.
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post #23 of 60 (permalink) Old 07-02-2017, 07:37
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Haha, thanks for mentioning me. Well, sales drop is bad, but like I said, we should always look in longer period as it’s not logical to make conclusions only from one month. I’m selling other products (not cars), so when I push sales at the end of any month to achieve sales target, there’s always drop after it…

GSI started thread about MG3 sales drop by -20% in November, despite there +66% increase in Sep-Oct period… So? In think there’s something impressive about MG Motor UK as they still can grow sales of 3 or 4 years old MG3 model without any major facelifts, with just same one old nasp engine. They also showed steel balls and their long-term prospects for UK market when they stopped production in Longbridge. So with major cut-costs project, with successful GS start (an average 81 GS per month, few times better than MG6?) and ZS coming soon, can we still see their growth in this competitive market?

MG sold 108 less cars than in 2016, comparing with other brands, some of them should really worry about:
No. 2 UK brand Vauxhall -1400 cars
Mazda -1450
PSA group -3100

Last edited by Mirtininkas; 07-02-2017 at 07:50.
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post #24 of 60 (permalink) Old 07-02-2017, 09:12
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My thread about the MG3 posed the question as to whether it had passed its peak sales. January's severely disappointing figures suggest that this may well be the case and it is time for MG to raise its game and provide the new engines that MG's dealers are clamouring for.

Or maybe a generous interpretation is that the pattern of registrations may comprise more peaks and troughs now that MG has retrenched from its commitment to UK assembly in favour of direct imports from China...which I assume don't arrive monthly?

A useful company to benchmark MG against is SsangYSsangYong. Some months MG is ahead of it, other months, SsangYong is ahead.

January 2017 MG 205, SsangYong: 298
December 2016 MG 367, SsangYong: 174

2016 Year to Date: MG 4,192 SsangYong: 4,444

Last edited by GSi; 07-02-2017 at 20:50.
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post #25 of 60 (permalink) Old 07-02-2017, 09:26
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Falling sales, production facility closure and layoff of staff now equals growth and success?
I'm beginning to understand the new phrase, 'Alternative Facts'.
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post #26 of 60 (permalink) Old 07-02-2017, 19:10
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Originally Posted by Mirtininkas View Post
Haha, thanks for mentioning me. Well, sales drop is bad, but like I said, we should always look in longer period as it’s not logical to make conclusions only from one month. I’m selling other products (not cars), so when I push sales at the end of any month to achieve sales target, there’s always drop after it…


That's very true and like I said upthread January is normally a slow month, last year for MG was boosted by offers. Longer term trends over the first three or four months of 2017 will be much more instructive.

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Originally Posted by Mirtininkas View Post
MG sold 108 less cars than in 2016, comparing with other brands, some of them should really worry about:
No. 2 UK brand Vauxhall -1400 cars
Mazda -1450
PSA group -3100

But isn't percentage change the most relevant figure? You must also realise working in sales that you would be a lot more concerned losing a third of your "sales" compared to the previous year than if you were in Vauxhall's shoes with considerably higher decline in raw figures which only equated to a less than 10% drop.

But like I said above there's all sorts of factors that can alter a short term picture and that goes for everyone, not just MG.
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post #27 of 60 (permalink) Old 08-02-2017, 11:31
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Originally Posted by Perry Stalsis View Post
Falling sales, production facility closure and layoff of staff now equals growth and success?
I'm beginning to understand the new phrase, 'Alternative Facts'.
Think whatever you want, businness is businness. I work in an international company and half year ago we closed our factory and fired 70 people. Now we import all our goods from factory which is located in Poland. It sounds so familiar with Longbridge factory, isnít it?


If you want to be competitive, if you want to earn more money from every sale you must do unpopular moves. And Itís better to make these moves ASAP or we might see similar MG-Rover and their 6k employees scenario

Iím repeating, please donít judge sales from one month. They aren't selling dairy products, you don't decide to buy a car every day.
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post #28 of 60 (permalink) Old 08-02-2017, 11:42
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Thank you for that adult and considered reply Mirtininkas, you and I may not agree on everything but at least you debate in a mature and reasoned fashion.

Unlike some others that I can think of.
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post #29 of 60 (permalink) Old 08-02-2017, 15:05
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Are you selling your products as a Lithuaninian produced product though? That is the problem that MG are facing...
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post #30 of 60 (permalink) Old 08-02-2017, 15:44
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Originally Posted by EbeneezerGoode View Post
But isn't percentage change the most relevant figure?
Partialy yes, partialy no. MG Motor UK "playground" is just 0.1-0.2% of all UK car sales... So in national scale MG is invisible and it will not impact UK economics at all if someday MG will dissapear from the map again... MG's percentage change is only revelant only for us.. these changes from small numbers are just insignificant.. Who cares about some brand who sold 100 cars less or more in 2.7M cars market? Only us because it's MG/Rover fans forum?

Vauxhall sold 1400 cars less, so let's pretend that they get an average 10k pounds from each of it. It means that company didn't receive 14M pounds turnover in just one month... That's a crazy amount of money! I couldn't find any data about their profits, only one quote "General Motors UK reported revenues of £3.8bn in 2014, and scraped a small profit." I have no doubt, if sales will drop drastically few month in a row, they will must to make very unpopular actions also... Secondly, Vauxhall loses their market share in a growing market, this is the worst scenario for a leading brand... Also we didn't know what they did last year, maybe they had lots of presales, fleet-deals or other moves that boosted sales. But, who cares about Vauxhall!
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post #31 of 60 (permalink) Old 08-02-2017, 16:11
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Are you selling your products as a Lithuaninian produced product though? That is the problem that MG are facing...
No, i'm selling well-known international brand. There were many negative feetbacks, comments and offers to boycott polish-made products... But all i can say - it didn't affect our sales at all! Lithuanians can only mumble in comments but in real life they act different.
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post #32 of 60 (permalink) Old 08-02-2017, 18:11
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Thats good that your products are still selling then. Perhaps MG should hire you.
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post #33 of 60 (permalink) Old 08-02-2017, 18:15
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Not a bad idea, he's got far more passion for the brand than all of the Longbridge sales and marketing team put together.
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post #34 of 60 (permalink) Old 08-02-2017, 19:00
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Longbridge sales and marketing team should disregard forum's commentators also, because since September/October when you all started blaming them here or on Facebook for closing factory, MG Motor UK sales increased by 38%. Conclusion?0 Your all barking didn't affect sales also
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post #35 of 60 (permalink) Old 08-02-2017, 19:09
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Surely everyone accepts the closure of Longbridge was the correct commercial decision.
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post #36 of 60 (permalink) Old 09-02-2017, 13:02
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The correct commercial decision was to leave it to die in 2005.
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post #37 of 60 (permalink) Old 09-02-2017, 19:44
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Surely everyone accepts the closure of Longbridge was the correct commercial decision.
There was no point continuing to operate a final assembly facility in a region where they get 4,000 registrations per year. Besides, post-Brexit I can easily see us having reduced trade barriers with Thailand or China which might help MG.
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post #38 of 60 (permalink) Old 10-02-2017, 08:42
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Originally Posted by EbeneezerGoode View Post
There was no point continuing to operate a final assembly facility in a region where they get 4,000 registrations per year. Besides, post-Brexit I can easily see us having reduced trade barriers with Thailand or China which might help MG.
That's a very good point EG and one I was thinking of myself. If tariffs on Chinese imports are that high how was it that the price of the MG3 didn't change at all? I am assuming that by assembling the car at Longbridge the import duty was zero?
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post #39 of 60 (permalink) Old 10-02-2017, 10:14
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How was it that the price of the MG3 didn't change at all? I am assuming that by assembling the car at Longbridge the import duty was zero?
The MG3 was not being assembled at Longbridge, as the photographic evidence of complete cars on site confirmed.
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post #40 of 60 (permalink) Old 10-02-2017, 10:20
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Originally Posted by EbeneezerGoode View Post
There was no point continuing to operate a final assembly facility in a region where they get 4,000 registrations per year. Besides, post-Brexit I can easily see us having reduced trade barriers with Thailand or China which might help MG.
The issue with Thailand is that it is a military dictatorship so western countries like the UK are unlikely to have a free trade agreement with the country though Thailand has kept membership of its local tariff-free area called ASEAN. ( https://news.vice.com/article/thaila...y-dictatorship

Vehicles imported into the UK (and EU) from China have a tax of about 8%. I can't see this reducing if we leave the EU given the issues with the steel industry.
Selling into China, countries such as the UK which have a most-favoured-nation status start at 25%. (Some other nations have 230% tariffs imposed!). But there are then sales taxes on the more expensive cars, and such cars tend to be imports eg Rolls-Royce, Maserati etc.
I agree that assembly for 4,000 vehicles is hard to justify for a factory for but MG made no attempts to sell into the rest of the EU.

Last edited by GSi; 10-02-2017 at 10:38.
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