The May 2008 sales numbers from car makers are in, relative to the same month in 2007. And it’s marked by heavy losses for the Detroit Three.

The Losers

• Isuzu: -27.9%
• General Motors: -27.5%
• Chrysler LLC: -25.4%
• Mitsubishi: -23.6%
• Porsche: -16.5%
• Ford Motor Co.: -15.9%
• Toyota: -4.3%
• VW: -1.2%

The Winners

• American Honda: +15.6%
• Subaru: +13.2%
• Daimler AG: +12.4%
• Nissan: +8.4%
• Hyundai Group: +7.0%
• Mazda: +4.2%
• BMW: +3.1%
• Suzuki: +1.7%

It’s no mystery why the Detroit Three suffered such heavy losses.

The short answer is their line up lacks the type of vehicles that new car buyers are looking for. Their dealers are loaded down with big, gas guzzling trucks and SUVs that hardly anyone wants. Couple that with other new car buyers trading in their trucks and SUVs for more efficient vehicles and you have one hell of a mess for the Detroit Three and their dealers.

The long answer is the Detroit Three were so focused on short term profitability during the real estate bubble and cheap (relatively speaking) gas prices, they completely forgot about the potential for crude prices to explore into the stratosphere. I can personally attest to this, as I attended a meeting with the Focus brand management group at Ford and J. Walter Thompson, Ford’s agency of record at the time, in February 2001. Despite my suggestion that they really think about a concerted, vested effort into the sport compact market, both parties rebuffed my input. They stated that they were focused on SUVs and trucks for the foreseeable future and they didn’t see much viability or potential market share in the compact segment. Well, well. Look at where that type of thinking has gotten you.

All the winners for the month of March have specific things in common:

1. An existing high level of brand equity or rising brand equity
2. A diverse line up of products
3. A "younger," more dynamic brand image

So there you have it. What will June hold? We’ll find out soon enough.