Nissan Motor Co Ltd recalls nearly 220,000 Versa vehicles in the United States and over 100,000 in Canada to fix a front suspension problem. According to the National Highway Traffic Safety Administration (NHTSA), salt may corrode the front coil springs, which in turn may puncture tires increasing the risk of accidents. The recall of model years 2007-2012 begins mid-November. The NHTSA began their investigation into the problem in May after receiving complaints about fractures in the suspension coil spring.
Though Nissan was not available for immediate comment on the problem, they previously issued a statement to the Detroit News that they are not aware of any incidents involving injury, fatality, crash, or property damage because of the coil spring problem.
Recalls are not a positive sign, especially when they begin to stack up – Early in September, Nissan announced another recall related to the Versa and Versa Note. There have been numerous complaints about the trim panel on the driver’s side preventing motorists from taking their feet off the gas pedal to tap the brakes. The NHTSA investigated this issue as well, and Nissan will be sending out recall notices later this month. That recall is for 2012-2015 Versa sedans built between June 9, 2011, and March 11, 2015; and 2014-2015 Versa Notes built between April 23, 2013, and March 11, 2015.
Repairs will be done by dealerships for free, but safety issues aside, that means time spent by owners doing something no one ever likes doing – either waiting at the shop for repairs or being without their vehicle.
Nissan being conspicuously out of the picture during these concerns does not serve them well. Two big recalls in two months being announced, both with true safety issues attached needs some pro-active efforts, not silence.
Getting ahead of the game may not be pleasant and may cost them some in the pocketbook, but it’s better to spend money on current customers than to lose them and have to recruit others. That’s far more expensive. They might also consider a free service to add while vehicles are being repaired for the recalls – something like an oil change, detailing, or the like just to show they are service minded and want to do what it takes to earn back the trust of their customers.
If they don’t find a way to make this right with their customers, the decline in sales, profits, and stock values for the company may suffer a sharp drop.
Roman Temkin is a New York based entrepreneur and Real Estate developer who thinks Nissan is in too deep here.