Auto sales for November 2007 have been posted, and the results are a mixed bag yet again. Sixteen of the brands saw an increase in sales over last year, while nineteen have seen a decline. Auto sales are important to the satellite radio sector because they represent a large driver for getting consumers to at least experience what satellite radio has to offer. Data from XM indicates that slightly over half of those who experience satellite radio in their car elect to continue the service. While Sirius does not offer take rate data, it appears to be somewhat in line with XM’s experience (though extrapolation is difficult).
The data presented here does not represent satellite radio installations, but rather vehicle sales. The satellite radio partner of each brand is reflected in the data. It should be noted that not all brands are not equal in terms of satellite radio installation penetration. Some auto makers install at a much deeper percentage than others. Also important to note is that not all OEM deals are the same. Among the differences are the length of the initial subscription, the subsidy paid for the installation, monies received for the subscription, and the amount of revenue share paid to each manufacturer. Simply stated, some OEM deals are more profitable than others.
Position - Long Sirius, XM. No Position OEM's.