New product will help Honda gain share in next few years
The entire industry will ramp up new product introductions in the next few years, but Hondaês accelerated pace will help it gain market share, according to Merrill Lynchês annual Car Wars report. The company plans to redesign 96 percent of its portfolio by the end of MY 2019.
The report predicts an average of 48 new models annually for the next four years, with 57 introductions in model year 2019 and most will be crossovers. In the past 10 years, automakers averaged 38 new models a year.
John Murphy, senior auto analyst for Bank of America Merrill Lynch Global Research, said the speeded-up new model introductions are a natural result of a recovering auto industry.
The longer lifecycle of Detroit Three models is a major reason why the companies have lost market share in recent years, Murphy said. Those companiesê aggressive new product plans will help them hold onto their current share, but Honda and Toyota will likely gain U.S. market share.Download Bulletin PDF