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Geneva is my favourite motor show. It's compact enough to do in a day and most manufacturers like to do their new European reveals there. Last year, many brands were displaying their latest models in white, the ‘new colour of success‘. Wow how things have changed in a year. Now, the whole industry is teetering on the edge as the world economic meltdown has made the motor industry start to grasp reality.

This year, whilst the specialist tuners are showing matt finished paintwork as the new über-exclusive fashion accessory, the motor industry is distinctly off colour as the banks and finance companies have lost their money and there is no more funding to support the copious oversupply of unsold new models.

In the UK, the normal annual registrations of new cars runs from 2.1 to 2.4M units whereas the actual natural number of sales is circa 1.6M units. The difference in these numbers is usually taken up with demo cars, pre-registration and daily rentals. The trouble is that capacity remains in excess of 2.0M units and actual real sales today are probably less than half that. Without the finance to fund unsold cars, the manufacturers are having to put the brakes on production lines.

For the first time that I can remember the Bentley stand was not roped off! It didn't matter anyway as there were fewer visitors than usual. They were showing the new Bentley Continental Supersport that produces 630hp tops 205mph and gets to 62 in 3.8 secs - all on "eco friendly" bio-ethanol.

Aston Martin was not to be outdone with 3 new models, the V12 Vantage which has the 6.0 V12 DB9 unit shoehorned into the smaller 2 seat Vantage; the DBS convertible, offering the James Bond car with open air motoring; and the One-77, a limited edition of 77 outrageous supercars available for $1.75M.

Perhaps a clue to the future direction for Aston Martin was the second day reveal of a concept Lagonda - the off-road, off brand, 4 wheel drive design taking its lead from the handsome Vignale concept from a few years back.
One of the most controversial-looking cars at the show, but clearly Aston believe that a secondary platform (it's based on a Mercedes GL chassis) is necessary as it avoids relying solely on the sports car market.

The main problem for Aston, is that with Jaguar announcing its potent 5.0 supercharged engines for both the XFR and XKR, the reasons to buy an Aston DB9 for nearly twice the price are weak regardless of the credit crunch.

Speaking of cars that offer conspicuous value compared to the competition, Audi showed the R8 V10 which for £100K sports a slightly detuned Lamborghini engine turning the current superb R8 V8 into the ‘base model'. Not so ridiculous as there is nothing available sub £140K that can touch the V10 Audi as an out and out sports car.

As wonderful as the Lamborghini LP560 is, it is not worth 50% more than the similarly-engined Audi. In fact Lamborghini were showing the run out version of the Murcielago, the LP670-4 SV with only 350 to be produced. Having spend 9 months trying to sell an LP640 with 1000 miles for 60% of new cost and eventually having to export it to South Africa I question any market for this model in the UK.

The other car that in normal circumstances would be an exciting additional model is the new Rolls Royce EX200 ... a baby Phantom. Rolls say they think this car will be additional to their client's garage, i.e. bought to sit alongside a full-fat Phantom. I disagree. The existing Phantom is like nothing else, an automotive Sunseeker. But the problem is that "less is more" in today's car buyers' psychology. The days of conspicuous consumption are over. The new ‘baby Rolls' is still a large car but could be the way the captains of industry of this world show they are tightening their belts, by spending £180K instead of £280K on a car that looks similar and does the same status thing.

However, the key new products or concepts were all along the alternative energy theme. It was good to see the Lightning sports car on display.

We were lucky enough to have this prototype on show in our showrooms after the London Motor Show last year and we found that many customers believed it to be a production ready Aston. It is yet to go into production, but hopefully they will secure the funding, especially as we have already helped them sell 3 of them!

As featured as the headline photo, although the Tesla got there first to production, my money is on the Fisker Karma as the real alternative fuel executive express. Fisker is a brilliant designer and has produced a handsome executive car in the mould of the Mercedes CLS but driven by electric power. It has a small 4 cylinder petrol engine motor on board which acts as a generator to charge the batteries on the move. Likely to cost the price of a high spec 7 series BMW i.e. circa £60K but with the presence of a car costing twice this, I can see this being a great success as they seem to have the funding and the infrastructure in place.

If I was buying for myself, I think I would rather pass on the expensive Tesla and wait for the Lightning or the Fisker Karma. Often second or third in the market is better than first in.

Finally, in a tough economic climate it is easy to see why people won't be buying new cars.

This is why the luxury used car market is seeing very strong growth in demand as many people see their dream cars fall quickly to an affordable price range like never before.

However, of course, the laws of supply and demand still apply and as supply dries up, we can expect to see increases in prices for such cars.

So don't waste time, NOW is the best time ever to buy your dream car! Please feel free to contact me directly at clives@clivesutton.co.uk for impartial friendly advice.