#569 -⚡️📦🚐 More Electric Vans

TOGETHER WITH

Rivian's new partnership with AT&T, GM's strategic shifts and challenges with its Cruise division, Tesla's Cybertruck entering the market with known replacement costs, and BMW's autonomous driving technology advancement in China highlights mobility's dynamic and evolving nature.

Sometimes, it’s nice to have a bit of solid ground in a world of so much movement. Even surfers need boards to enjoy the waves.

Keep being the solid ground, reliable presence, and friendly partner for your community today. And, as always…

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

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BUSINESS

A Few Announcements

Rivian Partners with AT&T for Electric Delivery Vans

• New Partnership: Rivian and AT&T collaborate on a pilot program for electric delivery vans and R1 vehicles.

• Fleet Transition and Emissions: AT&T aims for carbon neutrality by 2035, with plans to utilize Rivian's vans for cost efficiency and reduced emissions.

• Rivian's Market Expansion: Post-Amazon exclusivity, Rivian eyes larger fleet clients, with vehicle safety and technology as critical features.

• Company Growth: Rivian raises its 2023 production goal to 54K vehicles, with an upcoming R2 platform offering models in the $40K-$60K range.

GM's Leadership Shuffle Amid Stock Stagnation and Cruise Controversy

• GM's Share Price Woes: CEO Mary Barra's decade-long efforts show little movement in GM's share price.

• Strategic Overhaul: Leadership changes and a $10 billion share buyback program aim to revive investor interest.

• Cruise Robotaxi Challenges: Recent safety incidents led to executive dismissals and potential fines, highlighting the difficulties in GM's autonomous vehicle venture.

• Barra's Leadership Outlook: Focused on guiding GM through the EV transition and overcoming current market challenges.

Tesla Cybertruck Replacement Parts Pricing Revealed

• Cost of Parts: Replacement costs for the Cybertruck's wiper blade and windshield are estimated at $165 and $1,900, respectively.

• Window Costs: Side windows, touted as 'baseball-proof,' could cost between $225 and $260.

• Delivery Milestone: Tesla begins delivering the first batch of Cybertrucks.

BMW Advances in Autonomous Driving with Shanghai Testing Permit

• Autonomous Testing Approval: BMW receives authorization to test L3 self-driving vehicles in Shanghai.

• L3 Technology Focus: The company aligns with Chinese market demands for advanced autonomous driving features.

• Global and Local R&D: BMW is actively developing L3 functionality for the Chinese market and plans to launch equipped models in Germany by Spring 2024.

• Regulatory Progress: Chinese guidelines for L3 and L4 autonomous driving tests stimulate interest in Tesla's Full Self-Driving capabilities in China.

TOGETHER WITH AUTOMOTIVEMASTERMIND

Time To Go

Much like those holiday house guests who overstay their welcome, some cars just won’t seem to leave.

The longer they lounge on your lot, the more you're watching those potential profits slip away.

That's where Turn steps in — a new feature of Mastermind, the automotive industry’s trusted solution for predicting who will be in the market, how they will be shopping, and for which vehicle.

Turn is like having a super-smart assistant, helping you sort your vehicles by age, make, model, and days on the lot, helping you spot the ones that have been lingering too long.

And, the cherry on top? Turn doesn't just help you move aging cars. It's also your secret weapon for finding customers with high-value trade-ins, setting you up for your next sale.

Ready to accelerate sales and show slow-sellers the door? Let Turn from automotiveMastermind be your guide!

DATA & INSIGHT

Cox Auto: U.S. New-Vehicle Prices Show Downward Trend; Market Leans Towards Buyers

• Average Transaction Price (ATP): November 2023 saw the ATP for new vehicles at $48,247, down by 1.5% year over year, marking a third consecutive month of decline.

• Incentives on the Rise: November's incentives exceeded 5% of ATP, a peak not seen since September 2021, showcasing a shift to a buyer-friendly market.

• Luxury Vehicle Prices Decreasing: Luxury vehicles experienced a notable price drop of over 7.5% compared to last year, with their market share exceeding 20% - a record high.

Incentive Trends:

• Year-Over-Year Increase: Incentives are up by 136% compared to last year.

• Luxury and Electric Vehicles: Incentives for these categories are significantly above the industry average, while full-size SUVs, minivans, and small/mid-size pickups have minimal incentives.

Luxury vs Non-Luxury:

• Luxury Sales Surge: Prices for luxury vehicles dropped by 7.5% year over year, likely fueling a 19.6% increase in sales.

• Non-Luxury Stability: With historically low incentives, average non-luxury vehicle prices showed a minimal year-over-year decrease.

Electric Vehicles (EVs):

• Closing Price Gap: The average price for EVs in November was $52,345, only 8.5% higher than the industry average, due to increased incentives and good inventory levels. This trend suggests a nearing price parity with internal combustion engine vehicles.

TIE CUTTERS

2024 TIME Dealer of the Year Nominee:
John Hiester

John Hiester is another TIME Dealer of the Year Award nominee! As the leader of the Hiester Automotive Group in North Carolina, he is celebrated for fostering employee growth and actively engaging in community betterment.

Hiester's journey in the automotive world began in sales and evolved into dealership ownership. He is known for his innovative management approach, including initiatives like the Hiester Book Club and employee educational partnerships. His Hiester Cares Foundation focuses on suicide prevention and supporting underprivileged youth.

The ASOTU team congratulates John Hiester on this prestigious nomination. Your exceptional blend of business leadership and community involvement sets a remarkable example. Best wishes for your continued success! 👏

AROUND THE ASOTU-VERSE

Coming Soon

• Thursday, DECEMBER 22 @ 1:00 PM EST
  The 3rd Annual ASOTU Year End Extravaganza
  We’re capping off this wild year with our annual Year End Extravaganza! Join us in re-living 2023’s greatest hits, and planning for big moves in 2024.
  🥳 Experience the Extravaganza 🥳

   

• 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.
  🤝 Partner with us 🤝

MORE THAN CARS MOMENTS

The Gift of Mobility

In the heart of Minnesota, a remarkable initiative driven by collaboration and community called "The 12 Moms of Christmas" has been transforming lives every holiday season since 2019. Yesterday, they did it again.

Each year, six dealerships come together to gift twelve cars to local single mothers as part of the Wheels for Women program at Newgate School in Minneapolis. And, not just any cars. These cars come brimming with presents and essentials.

Spearheaded by Apple Autos, White Bear Mitsubishi, Miller Chevrolet, Gilleland Chevrolet, Volkswagen of Inver Grove, and Friendly Chevrolet, this project is a lovely testament to the good that can be achieved when generosity meets teamwork. 🎁

👏 Shout out to Sean Hopper for sharing this one with us! These kinds of stories are our favorite. 👏

Have a story you’d like to share? 👇👇👇

/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! 🕊️

Quick Hits

• November retail sales growth exceeded Wall Street’s expectations.

• YouTube announces fewer, longer ads. We are legit circling our way back to the dark ages of TV, folks. 📺

• FIFA is getting into NFTs with digital collectibles and World Cup tickets. ⚽️

• Are future EV batteries powder-powered? Tesla’s main US battery supplier, Panasonic, thinks so. 🔋

• After 25 years, fans of The X-Files have tracked down a piece of background music. For X-Files fans, this is pretty exciting news, we guess. 👽

History

• 1791: The Bill Of Rights, which limits the power of the U.S. federal government, is ratified by three-fourths of the States. 🇺🇸

• 1939: Gone with the Wind (the highest inflation-adjusted grossing film ever) receives its premiere at the Loew's Grand Theatre in Atlanta. 🌬

• 1969: The last Plymouth Superbird is built. 🦅