Toyota expects sales of the 2014 Highlander to increase 10% compared with the previous year.
With 2014 shaping up to be another promising year for new vehicle sales, Toyota expects sales of the new Highlander utility vehicle to grow by as much as 10% next year as it rolls out the revamped 2014 version of its mid-sized utility vehicle.
Jim Colon, Toyota Motor Sales vice president for product communication, said sales of the Highlander should top 140,000 units despite rugged competition from the Nissan Pathfinder, Ford Explorer and Jeep Grand Cherokee. “Mid-SUVs is a very competitive segment, added Colon. But it’s a key segment, accounting for almost 10% of all vehicle sales in the U.S.
The segment is growing because the mid-sized SUV with three rows of seating has become the vehicle of choice for active families, Colon said. The Highlander has had a strong position in the mid-sized segment ever since the first generation Highlander appeared in 2001. Toyota replaced the original Highlander in 2008 and Toyota started building the third generation Highlander at its big assembly plant in Princeton, Ind., earlier this month.
Colon said the latest version of the Highlander features a stronger, sleeker design, a modest improvement in fuel economy, a quieter cabin and a more luxurious interior that makes use of soft materials as well as new technology.
Toyota also believes the new version of the Highlander will succeed in bringing in new buyers. Some 40% of the buyers will come from other brands, Colon said. Surveys and clinics revealed that buyers had reservations about the earlier versions of the Highlander because of its less-than-stylish, boxy exterior and relatively unrefined driving dynamics.
The issues have been addressed in the new Highlander, which comes not only with more dynamic styling, but also a new more sophisticated double wishbone rear suspension that improves the ride and handling, Toyota officials said.
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Using the new suspension eliminated the need for the shock towers in the rear compartment, and created more room for seats and cargo. Toyota engineers also worked to develop more usable storage space inside the vehicle.
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Rebecca Kramer Rosengard said while many manufacturers are switching to smaller engines, Toyota’s own research indicated that customers in the mid-sized SUV segment are looking for more power. Toyota expects more than 80% of the customers buying the Highlander will opt for a powertrain with a V6 engine and six-speed transmission that will produce 280 horsepower, she said. The hybrid version will account for about 5% of Highlanders total sales, she said.
Toyota, like other manufacturers, expects to gain from the rising transaction prices in the segment. Prices for the new Highlander will start at $29,215 plus a destination charge of $860 and rise quickly to $49,750, plus the destination charge for the hybrid version in a top of line trim package.