I'm sure I'll draw some fire for this statement, but I think Volvo's sales drop is more related to their cars being complete garbage from about 2001 through whenever. Electrical nightmares, complete trash transmissions that are borderline unfixable, cheesy interiors, etc. When you're paying top dollar for a new car and it has all kinds of issues, it leaves a bad taste in your mouth. After someone has that experience, why not go BMW, Mercedes or Jaguar for the same money??
I wanted the newer body style V70 until I read all the reviews on them; they were pathetic. Tales of "Run, don't walk away from these cars" all over the place.