Tata has reported that in the last three months sales at Jaguar have dropped by a massive 27%, although Land Rover’s have risen by 16.5%.
It’s become almost an expectation – rising Jaguar sales. It seems that every quarter for the last year or two Jaguar has proclaimed increasing sales. But not now.
Tata has released sales figures for the three months ending 30th June, which reveal that Jaguar’s sales declined by a far from insignificant 27% from a year before. Which does seem an awful lot of lost sales for a car company that has enjoyed a real resurgence in the last couple of years.
Perhaps we should have seen the first rumblings of this back in April, when we reported that Jaguar had increased sales by just 3% in March. Not that there’s anything wrong with a 3% increase in sales – most companies would be very happy with that in the current climate – but it was the background for that increase we should perhaps have looked at more closely.
Jaguar made a big deal in April of sales rises in some markets. China was up 6%, Korea 29%, Russia 70%, Germany 49% and Japan 34%. Unfortunately we didn’t get the starting point for those rises, but we should perhaps have made more of an overall sales increase of just 3% when such big gains in some markets means there must have been almost comparable losses in others.
So why are Jaguar sales suddenly going in to reverse?
Hard to say. We think Jaguar has the best range it’s had in more than a generation, and it has big plans for the future, which look very promising.
It’s finally extending the XF range with a 2.2 diesel offering aimed at business buyers (although it should have expanded XF offerings sooner with an Estate XF and a coupe XF), it has plans to put in to production the C-X75 supercar (which is probably more a vanity project than anything else), and we’re expecting to see a new small Jaguar Roadster – which will probably be called the Jaguar XE – at Frankfurt next month. Which should sell, especially as it will no doubt be marketed with some E-Type gloss attached.
But there must be a reason why Jaguar has lost more than a quarter of its sales in the last three months. As far as we know there have been no production problems. Yes, Land Rover has been gearing up in a big way for the Evoque (and has 18,000 orders in hand and deliveries up in the last quarter by 16%), but that can’t have impacted on Jaguar production.
We did think that maybe the deliveries of the stockpiled Jaguar XJ – which was held up until Jaguar could fix software issues – may have played a part in inflating figures for last year. But even the earliest of the new XJs didn’t start to be delivered until June – 2/3rds of the way through this finacial reporting period – and we know that only 295 XJs were delivered in the UK that month. So we wouldn’t have thought the numbers enough to distort 2010’s sales. Maybe they were?
Could it be the economy? Well, perhaps. But BMW has just posted its best sales figures ever, Mercedes sales are flying along and Audi has had seven record-breaking months on the trot, so it’s hard to blame a lack of buyers in the premium sector.
Are there reliability issues?
There don’t seem to be any huge issues being reported, although both Top Gear and Cars UK had some real problems with early XJs. We had software failures, turbo issues, battery drains and a complete meltdown of the electrics when we went through a puddle.
Top Gear had windscreen wipers fall off on the motorway, wayward trim, electronic meltdown, digital dash fails and ended up calling the XJ “…the most unreliable long termer in 10 years”.
But we had no problems with a subsequent XJ (which had yet more software updates before we got it, although we only had it for four months instead of six) and nor, we believe, did Top Gear, although we don’t know how long Jaguar let them keep their XJ.
In the US there are some vociferous complaints (and rejected cars) over ‘popping’ sunroofs. We didn’t experience that, but the sunroof did creak and groan when there was ice around, as if the XJ was flexing.
There do seem to be some niggles in the US on the XF – more so than we know about in the UK – with a ‘Consumer Reports’ survey calling the XF “…the least reliable car in the upscale/luxury field”.
We did have an XF Diesel S die on us completely last year after we had it valeted for a photo shoot, but it finally came back to life an hour or so later of its own accord. Jaguar never did tell us what the reason was. Maybe, like all cats, Jaguars are just water averse? But we loved the car and put it down to some over exuberance with the hose pipe. But who knows how reliable it would turn out to be if we had to live with it for more than a week?
As for the XK – the oldest model in Jaguar’s range – we’ve had no problems with cars in for review. The problems of the XK really stem from its ageing platform and compact interior, and the odd bit that looks as though it was made by a Blue Peter apprentice. But it’s a great car, and even if it’s getting old Jaguar has breathed new life in to it with the enormously appealing XKR-S.
But are a pile of niggles – irritating though we’re sure they are for Jaguar owners – enough to account for a drop of more than a quarter in car sales? Especially when the cars in question are hugely appealing cars for anyone who wants a great-looking driver’s car with soul.
It seems unlikely, unless the niggles are greater than we know. We do know XJ owners who do still have gripes on the software, battery issues and roof popping and there are some very recent stories of Jaguar doing the right thing and taking back particularly recalcitrant cars. Perhaps we ought to dig a bit more on that than we have?
Could the drop in sales be as simple as people hanging back from buying a new car because they know Jaguar are updating their whole range for 2012? Possibly, but it seems too big a drop for that too.
And maybe it’s down to a combination of all the aforementioned facts – and some we haven’t thought of – causing a temporary blip, and Jaguar sales will just bounce back through the roof in the next quarter? We hope so.
Any thoughts? Let us know in the comments.
2012 Jaguar XF Photo Gallery
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(13 photos – click any thumbnail for full gallery)
2012 Jaguar XKR-S Photo Gallery
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(16 photos – click any thumbnail for full gallery)




Paul Mallia says
I have purchased a 2011 XJL V6 Diesel and i am very pleased with the car it sure turns heads here in Sydney Australia, the problem that I have same as others battery goes flat after 2 days sitting,I have a 1970 Aston Martin DBS V8 that I uses once every month the battery is 10 years old and It will still crank and start the big monster under the bonnet.I took the Jag to the dealer and told me that they have replaced the main battery cable, they found out that there was a problem with the cable,( bull shit) the battery was going dead flat after a week sitting, now its going flat after 2 days ,Good job Trivett Sydney.The car is still under warranty so I have to call them to send someone to jump start. I hope they find the problem because this car cost me a lot of money and it is very annoying when I want to use it and the smart car tells me that the battery is flat.
DindntBuyOneYet says
I know why sales have gone down.
It’s because of Jaguar’s past decades reputation that didn’t go away with the new models. It’s a perception thing. It takes a long time to change perception to good, and nothing to change perception to “POS”.
Look at what Lexus did since the beginning – they reverse engineered S class mercedes cars and made them simpler, and better. Now, 20 years plus in the game, Lexus has this reputation of being built like tanks. It’s all about perception, and Jaguar has a **lot** of work to do in this department.
I talk to people that are not all that into cars, and their immediate reaction to the Jaguar brand is “OHHHHH that is a Ford…. must be a piece of crap!!” — they don’t even know Jaguar has moved on, bought by Tata, has better quality now compared to the past, etc…
But GOD is in the details. On Italian cars for example, if the math says they should use a 100 Ohm resistor in a circuit, but meh… an 80 Ohm resistor works the same way, they will use the 80 Ohm part. When their electrical systems start going haywire after a year or two, they scratch their heads and don’t know why.
Seems like Jags and gremlins are best friends — even though this might not be true, this is the perception from the public that this company has earned over the decades. The task is to change this perception, and IMHO it starts with top notch engineering, followed by top notch marketing.
Be obsessed about reliability. Expensive cars that break all the time, or waste their owner’s time with pesky problems are the fastest way to bankrupt the company.
When I first saw the new XJ-L I wanted to buy one, I had the cash and still do. I haven’t bought the car yet, because I am used to reliable cars. I don’t want to waste my time explaining to rookie dealership service people the car doesn’t work properly. Heck, I don’t want to go back to the dealership unless it’s for regular service.
The solution for Jaguar is simple: Build reliable cars, and let the world know about it.
EZDriver says
There are two areas that Jaguar definitely needs to address. Over-engineering the operation of the car is one serious problem. Simple, user friendly operation is very important. The computer industry learned that lesson a long time age. Consumer Reports has made this complaint as well as the complaint that the cars are not as reliaable as those from the Pacific countries. The other area that gets my attention mostly is the extreme out of proportion cost for maintenance and parts. When Jags run out of warranty the value drops like it fell down a well. And the reason is that people in the resell market won’t buy for the fear of having to go to a Jag DEALER to get work done. And along with that people that buy new don’t like the large depreciation which results from the resell market being so soft. People fear dealing with a Jag DEALER because they are afraid that the repair will be greater than the value of the car and the frequency of failures due to reliablilty being so poor.
Jack says
This is an $80,000 + vehicle. Why in the hell does it have roof popping, software, and battery issues? Bottom line, most people who can afford this car are educated consumers; they will not pay this much for a piece of crap.
The car is beautiful, but it has to function and be reliable. It is not. The dealers and Jaguar North America deny anything is wrong. Well, this is their reality, live with it. Sales will go down even further.
The customer is the consumer and Jaguar will not listen to the consumer.
Spangle says
The thing is, if you start to smell smoke, you will, quite reasonably, think fire.Buyers must be having problems that the dealers don’t seem to have answers for, that isn’t necessarily a big problem but if Jaguar keep ignoring them, it is definitely a worry. A worry that Jaguar don’t seem to want to address, leaving dealers isolated and having to put the fires out themselves. I’m just lucky my wife’s car always starts.
Percy says
I think I’m with Dteamer on this. There is the aroma of a cover up here. Both Top Gear and Cars UK have big XJ issues and they hatdly warrant a mention. Why?
Dteamer says
No sign of a confession that Jaguar knobbled you over the breakdowns you had? An XF that stopped working completely and XJ trouble that sounds as bad as Top Gear Magazines and no story? I smell a rat.
Spangle says
Hi, yes it’s almost like the car is sulking because you’ve left it alone for a while, I like a car with character, but that’s ridiculous. Seriously though the diesel engine is a revelation but perhaps those old problems you mentioned are starting to make other buyers hesitate. It is worrying when you’re walking up to the car and you’re wondering if it’s going to let you down, I thought, in this price range, those days were behind us.
RichieR says
Diesel car and it’s a great car. I have no idea why the battery goes flat when the car’s not used and I don’t think the dealer has either. Two batteries so far and still a problem. I guess that’ll teach me to buy a car on looks and promise as Jags were always prone to electrial issues. Maybe nothing’s changed?
Spangle says
Hi RichieR, Does your XJ have a diesel or petrol engine, and are the reasons for failing to start, engine related or battery ?
RichieR says
I’ve had an XJ for nine months and discovered I need to book the AA before I take a trip. I can’t leave the Jag unused for more than a week or it won’t start.
Spangle says
Why are websites not giving us the full story, not everyone can rely on a trip to the dentists to find out what Top Gear magazine really thinks about what’s going on at Jaguar.
Budee73 says
I picked this story up browsing on G here in the U.S. and I need to tell you this is nothing compared to the drop in Jaguar sales here.
XF sales in the U.S. for Jaguar were down over 50% in the first quarter of 2011. They sold under 300 XFs in each month of Q1. I have no figures for April to hand but they did rise up to around 500 sales in May and June. That’s still a way down on a year ago, but could account for a big piece of the world sales drop you report.
zeelister12 says
A friend has had the new XJ for nearly a year and has had no trouble with it, so maybe there are other factors at play to account for the drop in Jaguars sales.
Percy says
Do any of us actually believe car magazines are impartial? Of course Jaguar will try to keep a lid on bad news. How exactly they do that…
Dteamer says
…and I can’t find anything about the XF Diesel S packing up on your review of that either.
We were knobbled, weren’t we?
Dteamer says
I’ve found the Jaguar XJ problems hidden away on a few lines and dismissed as little concern near the end of your first XJ review.
Were we knobbled by Jaguar?!!
florenceanddougal says
top gears useless xj was all in the magazine and it doesn’t seem to have made it to the website where real people can comment. wonder why that could be, maybe the same reason cars uk haven’t made a big deal of what sound like big problems.
Oblivious says
Are you sure Top Gear had problems with their XJ? I’ve looked on their site and there’s a review of th V8 XJ and the diesel and they’re both glowing. And where is the reporting on Carsuk about YOUR XJ problems and the XF packing up?