Usually when you hear of plunging auto sales, you think of Chrysler (sorry Marchionne, but it’s probably statistically true as well). Sales of Chrysler Group LLC were down 44 percent in 2009 when compared with 2008.

However, we now have another culprit – Daimler AG’s Smart USA. The brand saw a 40 percent drop in annual sales last year and to make matters worst, it sold only 278 units in January, down from 864 in December. January sales were also down 84.3 percent from the same period an year earlier, when Smart sold 1,776 units of its ForTwo coupe.

Nonetheless, company officials say that they know how to get back on track. Jill Lajdziak, former Saturn boss, says that the company will go back on the road to do shows and offer public test drives. A company spokesman says that Smart is seeing a “lack of brand awareness and misconceptions regarding its safety.”

A plug-in electric Smart ForTwo is also due in the fourth-quarter; but all that will do is raise awareness about the brand since only 250 units will be available in select markets.

- By: Kap Shah

Source: NY Times


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  • getagrip42

    In a way, they are a victim of their own success in the first year. Penske only planned for 15-16K units per year and M-B had previously capped US sales at 20K units per year. The big % decreases are artificially inflated from the first year's better than expected sales of a new brand/model during a period of high gas prices. There is still work to do, however. Some advertising, the diesel, and a four passenger model should be high on the smartUSA list, IMO.

    I have 29K miles on mine as a daily driver and trip car. I've averaged 43 mpg over the 25K + miles I've tracked (see XCAPEPOD at Fuelly.com) doing nothing special. The car has been to Philly, DC, NJ, DE, Indy, Nashville, Montgomery, AL, etc. You can see my first year of ownership on YouTube, just search for “a smart story” with the quotes.

    I've changed the body panels myself when a new color came out and survived a deer hit with only a damaged headlight that I replaced myself. The low insurance rates, lower than average fatalities, and accident stories posted on safeandsmart.com also show the relative toughness of this little car. I love those owner replaceable plastic panels!