#529 - ☀️ Suds and Spookies

TOGETHER WITH

Today’s email has something for everyone: Robots, graveyards, turtles, monsters, themed Crocs...

Okay, maybe it has something for everybody who is really excited it is almost Halloween.

Which, to be real, should be all of us. 🍁

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

TODAY’S LOT WALK

• Business: Winnebago’s Q4, Renualt’s Q3, and Tesla’s Q&A. 📈

• MTCM: Spooky-clean Halloween. 👻

• CULTURE: Treats for your feets. 👟

Reading time: 5 min and 12 secs

UAW UPDATE BY ASOTU

• UAW workers at a Mercedes-Benz supplying axle plant in Alabama have ratified a new contract, ending the strike threat for 4 more years.

• General Motors says they made their best offer and can’t meet UAW demands without devastating effects.

• Ford announced 150 more layoffs on day 35 of the strike.

BUSINESS

Genesis Grand Opening

Genesis is making some big bets in the US. They opened new standalone retail locations in Torrance, California, and Baton Rouge, Louisiana. The new shops bring their US presence to 33 of the 50 states.

In case vague proximity isn't a deal breaker for folks, they also offer three years of free Connected Services and EV charging from Electrify America to all 2023 model EV buyers.

Robo-Cruisin’ Over To Japan

A few missteps and investigations in the US aren't raining on Cruise's plans. They are partnering with GM and Honda to bring robotaxis to Japan by 2026.

The service will launch using the yet-to-debut Origin vehicle in Japan's dense urban areas where taxis are king... like literally, the Japanese taxi lobby may shut the whole plan down or at least limit the expansion in the country like they have done Uber.

Time will tell.

Cybertruck Update

During Tesla's Q3 earnings call, Elon Musk mentioned several things of note.

1. The first Cybertruck deliveries will be pushed back to November 30th at the Gigafactory in Austin, TX.

2. Tesla's Q3 2023 financials fell short of expectations, with revenues of $23.35 billion and earnings of $0.66 per share.

3. The company remains in the green with $800M added to its free cash flow last quarter.

Commenting on the Cybertruck delay, Musk added:
"We dug our own grave with the Cybertruck... the Cybertruck is one of those special products that comes along only once in a long while. And special products that come along once in a long while are just incredibly difficult to bring to market to reach volume, to be prosperous."

Slow Money > No Money

Renault's Q3 was like a turtle walking through a school zone - slower. Independent dealers are reducing their brand inventory, leading to an overall volume dip in Q3 and a nearly 8% drop in share value.

All is not lost. The French automaker didn't have a total down quarter, global sales volume jumped 6.1%, and revenue rose 7.6% to $11.1B. Most of the growth came from the brand's pricier models, but the plan to increase profits through 2024 WITHOUT significant discounts. They declined the invitation to the #PriceWar

Winnegabo’s Earnings

While everybody else is closing Q3, Winnebago just wrapped its Q4. Fiscal years can be confusing, we know. Another thing that can be confusing is the difference between revenue, earnings, and profits (not to be confused once more with Prophets.)

The house-on-wheels company surpassed its earning expectations with an adjusted profit of $1.59 per share. However, with a 35% year-over-year drop, its revenue came in at just $771M, missing Wall Street's projection of $784M due to weak discretionary spending and high inflation.

Turns out, while people are spending money on homes and transportation, homes that "transportate" isn't having a windfall.   

TOGETHER WITH EFFECTV

Human Stories

We had an enlightening chat with Dawn Williamson, the SVP and Head of Sales Development at Effectv, at ASOTU CON.

Luckily for you, we recorded the whole thing!

She shared about storytelling in advertising, how auto ties into human experiences, and the ever-evolving world of media, all concepts Effectv helps auto dealers realize every day.

Listen to the chat and learn more about what the people at Effectv are excited to help you achieve.

/Positivity

If we tried to tell all the wonderful, charitable, and creative stories happening in dealerships across our industry, we would need a bigger email. But we have just enough space in this email for YOUR story. Let us help show the community and world what you have going on in your store!

MORE THAN CARS MOMENTS

Suds and Spooks

A scary car wash typically involves accidentally leaving your sunroof open. 😱

But, not during Gwat-Thrilla! This annual Haunted Car Wash hosted by the Gwatney Auto Group’s Wash-N-Lube is filled with fresh terror like Pennywise lurking outside your window, or Freddy Krueger casually threatening to puncture your tires. 🫣🛞

The event happens every October just before Halloween and is kid-friendly, even allowing you to choose your level of engagement with the frightening figures. From “Bring it on, Michael Myers!” to “I’d prefer to enjoy you from a distance please, Mr. Leatherface,” the team at Gwatney’s mission is to make sure that everyone leaves with smiles. Oh, and a squeaky clean ride. 🫧🚙🫧

If you’re local to Jacksonville, Arkansas, you can join in on the fun on October 27, 28th, and 29th. Tell Chuckie we said hi! 👋

AROUND THE ASOTU-VERSE

Coming Soon

• TODAY, October 20th, 9:00 am EST / 6:00 am PST
   David Long’s All Things Used Cars
  Curating the Perfect Inventory (and Why It’s Like Grunge Music) on Clubhouse.

• Wednesday, October 25th @ 2:00 pm EST / 1:00 pm CST
  ASOTU EDGE 30-Minute Webinar in Partnership with Foureyes
  The Struggle is REAL, y’all. Find out how data is destroying the customer experience. 🤯

CULTURE

A Treat for Your Feet

Just in time for Halloween, Hershey’s has released a new collaboration with Crocs paying homage to some of their OGs.

Tipping a hat to Hershey’s classic milk chocolate and their peanut butter friend, Reese, these kicks come in a rich brown or fluorescent orange respectively, and can be further customized with Hershey’s Kisses or Reese’s Peanut Butter Cups in case you need a handy (err…footy?) afternoon snack. 🍫

In a mash-up that’s more repulsive than an ogre itself, these grotesque Crocs were most likely the result of someone’s fever dream marred heavily by Shrek running on repeat on a nearby television.

From the furry heel straps to the wonky satellite “ears,” this pair is unnerving at best. Tbh though, it’s mostly the nose for us. 🤢

A slightly less unnerving partnership, Disney is bringing Lightning McQueen’s wise-cracking, tow truck buddy straight to your feet to truck around some toes of your own.

Celebrating the ever-optimistic wrecker of Radiator Springs from the popular Cars series, these Tow “Mater” Crocs feature his signature buck-tooth smile and even a tow hitch on the back. You know, in case you’d like to drag some Hot Wheels along behind you. 🪝

Quick Hits

• Taco Bell is selling spicy chicken nuggets in Minnesota only for a limited time. Nug connoisseurs, be warned. 🐓

• People who pay for OpenAI’s ChatGPT can now access Dall-E 3 image creation in the same app. 👩‍🎨

• Three A-list Hollywood stars offer $150M to end the actors’ strike. 💸

History

• 1803: The United States Senate ratified the Louisiana Purchase. 🤝

• 1902: The disputed data of the first Cadillac assembly. 📊

• 1955: The final Lord of the Rings book is published. 💍