#551 -👋🙋‍♂️✌️ Hellos and Goodbyes

TOGETHER WITH

The news from Cruise serves as a neat reminder of the importance of not anchoring your future to just one person.

CEOs come and go (yes, even at places like OpenAI).

But what really happens to a vision when the visionary steps aside?

Ideally, you discover that your team is motivated by more than just approval or paychecks; they're invested in bringing an idea to life for their community.

Of course, you could play the waiting game to see the impact of a leadership change, or you could take a proactive approach, connecting people's work with their world.

Either way, the key is to….

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

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BUSINESS

Get Down

Cruise CEO Resignation and Company Challenges

• Kyle Vogt, CEO and co-founder of Cruise, resigns

• Mo Elshenawy steps in as president and CTO

• Challenges: Voluntary recall of 950 robotaxis, pedestrian incident suspension

• Background: GM acquisition in 2016, significant investments but substantial losses

We get it; we also don't want to be in, around, or under self-driving vehicles this side of 10 more years of closed course development. 

Japanese Automaker HW ELECTRO's 'PUZZLE'

• 'PUZZLE': Solar-powered tiny van entering the North American market by 2025

• Features: AC outlets, USB ports, Wi-Fi, emergency tools

• Target: Commercial use, van-life enthusiasts

Finally, a vehicle that caters to our love for weird-looking things and says, "Sorry, I don't have space," when people ask me to help them move. 

Rivian's Customer-Focused Initiatives

• The Offer: Home Charging Bundle for R1T buyers ($2,000 installation credit). That's one way to compete with the Cybertruck, we guess. 

• Customer Experience: Full buyback for Mitch Dumke after 24K miles and multiple breakdowns. He says he still liked the truck; he just needed to get where he wanted to be with a little more consistency.

A free charging bundle? ✋
A year of roadside assistance? 👈

Stellantis' Revitalization Plans

• Italian Goal: One million vehicles annually

• Focus: Enhancing R&D, investing in new models, retraining workers

• Diesel-to-Electric Conversion: For vans like Peugeot Expert, starting 2024 in France

Ah, Italy, wood fire pizza, the Alps, and worker's unions that make the UAW look like a brunch club.

Kia's EV Innovations at LA Auto Show

• New Models: Concept EV3 crossover, EV4 sedan, 2025 Sorento

• Expansion: $7.6 billion facility in Georgia

• Safety Concerns: NHTSA investigation into fire risks

6.4 million vehicles being recalled for fire is a big deal; luckily, it isn't one of those pesky electrical issues plaguing some EVs... instead, it's a brake fluid leak... that causes an electrical issue. It's a totally different beast, y'all. 

TOGETHER WITH MORE THAN CARS

On Your Sleeve

We know our borrowed motto, “Love People More Than You Love Cars,” (shout out to Liza Borches, an undeniable real one) is written on the hearts and minds of so many across our innovative community. 🥰

Over and over, Retail Auto and its partners stand head and shoulders above the rest when it comes to turning business success into community support.

You already love people more than cars; let us help you show it, and we will double your investment with a dope buy-one-get-one sale on tees and hats.

Update your Christmas List now and get ready for our Black Friday sale!

PS: These make epic dealership wide gifts for the holidays 😉.

DATA & INSIGHT

Economic Twists and Turns

Market Mood Swings

• Recession Rumblings: The Conference Board whispers of a mild recession around the new year among dipping consumer confidence and geopolitical unrest.

• Retail Sales: Motor vehicles and parts are up 3.3% YOY, while gas stations, furniture/home furnishings, electronics, and appliance stores are struggling the most.

UBS Group AG's Crystal Ball

• Interest Rate Rollercoaster: UBS predicts a whopping 275 basis-point cut next year, outpacing market expectations.

• Recession Red Flags: UBS eyes a mid-2024 recession, nudging the Fed to ease up on rates.

Used Cars in the Retail Spotlight

• October Tales: A minor dip to 1.57 million in sales volume, but hey, it's only a 0.4% drop from September.

• CPO Dips: Sales declined 10% in October.

Inventory Insights

• New Cars: November kicks off with 2.4M units, and days' supply hitting 67. Trucks are aplenty, but crossovers and sedans play hard to get.

• Used Cars: A 4% inventory dip from last year. November starts with a steady 49-day supply, with the under $10,000 gang tighter on stock.

Retail Price Trends

• New Car Bargains: Average prices in October were down 1.4% from last year. A 3.5% year-to-date drop spells good news for buyers.

• Used Car Deals: Prices dipped to $26,533 in November, shedding 3% since 2022.

Wholesale Findings

• Index Insights: A dip in wholesale prices after September, with dealers paying 3.3% less than last year.

• Segment Stories: Pickups inch up 0.4% in early October, but other sectors see price drops. Expect used car prices to stay lofty.

• Correction Course: Post-strike, the market is correcting itself, especially in Trucks and SUVs. Car segments decreased by 1.13%, and Trucks by 1.73%. Days-to-Turn hovers around 50 days.

• Dealer Playbook: Despite a deceleration in valuations, savvy players can spot silver linings. The secret? The gap between car ownership costs and selling prices is widening in favor of the sellers. How? Retail prices are dropping at a slower pace than wholesale prices – a vital metric for those with skin in the game.

TIE CUTTERS

2024 TIME Dealer of the Year Nominee:
John Roberts, Sr.

John Roberts Sr. from Manchester, Tennessee, is a TIME Dealer of the Year nominee, recognized at the NADA Show in Las Vegas.

Chosen by the Tennessee Automotive Association, he's among 49 elite dealers for this prestigious honor.

Roberts, a Lipscomb University alumnus, leads John Roberts Toyota and Nissan, continuing a family legacy in the auto industry. His nomination reflects his business success and his commitment to community service, including roles in local development and support for various charities like Lipscomb University, Coffee County Athletics, Good Samaritan, Tennessee Kidney Foundation, and the Adoption Project Foundation.

Congratulations from ASOTU, John! We're grateful for all you do for your people and our community!

AROUND THE ASOTU-VERSE

• TODAY @ 7:00 pm EST

  More Than Cars: Episode 1-3 Mashup Premiere

  Invite friends to watch that need a new career path, or show off the industry you work in to your family with this special mash-up of individual stories showcasing the hidden side of automotive retail.

  👁️ See it first 👁️
   

• FEBRUARY 1 - 4, 2024

  NADA 2024 in Las Vegas

  Are you going to NADA and itching for some eye-catching media coverage? We're your dream team for content creation.

  🎥 Let’s link up 🎥 
   

• MAY 14 - 17, 2024

  ASOTU CON 2024 in Baltimore

  Next year, we’re elevating the focus on context, connection, and dynamic conversations. Unlike traditional conferences, we’re going beyond a passive listening experience, turning every attendee, speaker, and exhibitor into a crucial part of the larger dialogue.

  🗓 Add it to your calendar 🗓

Quick Hits

• Just days after ChatGPT-maker Open AI fired its co-founder and CEO Sam Altman, Microsoft hired him to lead their new advanced AI research team. 🤖

• Totaled Teslas are finding new life in Ukraine. 🚑

• President Biden turned 81 yesterday, a whopping 43 years older than the median age of a person in the US. 🎂

• Nah, Snoop Dogg didn’t give up “smoke,” he is marketing a Smokeless fire pit. 🚭

• Harvard study says less sunlight makes more melatonin in our brains, leading to Seasonal Affective Disorder (the Wintertime Blues), and that just 30 minutes a day of light exposure can remedy much of it. 😎

History

• 1970: Ford introduces the one-year-only Boss 351 Mustang. 🐎

• 1976: The movie "Rocky" starring Sylvester Stallone premieres in New York. 🥊

• 1989: Law banning smoking on most domestic flights is signed by US President George H. W. Bush. 🚭