#571 - 🚚📦🚢 Export Update

TOGETHER WITH

Nissan looks to export Chinese cars, a new self-driving start-up that may replace Cruise, and an EV made the trip from the North Pole to the South Pole. (We can’t even think of an adequate Santa Claus joke)

The news keeps coming, but our attention is turned to the wonderful things happening in your stores. We can’t open LinkedIn or Facebook without seeing so many blessings pouring out of your stores into the community and world.

It makes us feel good to support you as you support so much more than the mobility needs of your community.

Keep it up and…

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

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DATA & INSIGHT

EOY Market Watch

🏦 Economic Overview:

Inflation Stability — Headline inflation recorded its second-lowest reading since March 2021, indicating economic steadiness.

Strong Retail Sales — Despite expectations, November saw a surge in retail sales, with the automotive sector outperforming others, marking significant YOY growth since February.

Near and Afar — Housing costs rose, but transportation costs dropped, influenced by a significant decrease in fuel prices.

🛞 Auto Trends:

Tighter Auto Credit — Access to auto credit continues to decline with a noticeable tightening across various lending channels.

Wholesale Market — Depreciation slowed last week with 3-year-old models dropping only 0.1%.

New Cars — Sales finished the month strong, and days’ supply dropped to 53.

Used Cars — The sales rate rebounded after Thanksgiving week, and days’ supply dropped to 44 days.


EVs — Global sales in November saw a significant increase both monthly (+9.54%) and year-over-year (+27.15%). The BEV market currently makes up 7.9% of all new car sales in America.

👀 Looking Ahead…

• Minimum wage will increase in 22 states beginning January 1st, 2024, with three more states and Washington, D.C. set to raise their wages later in the year.

• Analysts suspect the Fed will cut rates by nearly 3 percentage points, leading to cheaper borrowing options and potentially stimulating consumer spending.

• Research from J.P. Morgan shows only a modest risk of a global recession in the near term. For the S&P 500, they estimate an earnings growth of 2–3% next year.

BUSINESS

No Games, Just News

Nissan's Export Plans

Nissan Motor is set to export China-developed electric vehicles globally, leveraging partnerships for advanced electrification research.

• Global Strategy: Exporting China-developed internal combustion and electric vehicles worldwide.

• Market Competition: Aligns with Chinese rivals and foreign brands like Tesla and BMW, focusing on competitive manufacturing and technology.

• Sales Impact: China accounts for a significant share of Nissan's increasing competition and EV market shift.

• Research Collaboration: A joint center with Tsinghua University will focus on EV innovation and strategies tailored to the Chinese market.

Everybody is playing China and “Everywhere else” like two separate games. Nissan is building bridges not walls, apparently.

Dealers Looking Out 

Matthew's Hyundai of Syracuse is temporarily closing its service department to focus on installing free Hyundai security upgrades. This response addresses the high theft rate of Hyundai vehicles, which lack anti-theft software and have become targets, as demonstrated in online challenges. 

Key-start Hyundais are particularly vulnerable, prompting the dealership to offer upgrades and free security tools like steering wheel locks. 

This initiative, driven by a rise in local car thefts, is part of a broader effort to enhance vehicle security and protect owners. Owners can contact the dealership to check if their vehicle needs an upgrade.

Ah, Kia, still leading the market in ride “sharing” tech.

Self-Driving Start-Up

May Mobility is launching a driverless minivan service in Sun City, Arizona, offering free rides to retirees. 

• First of its Kind: Fully autonomous service on public roads in a retirement community.

• Target Users: Aimed at providing mobility to aging seniors.

• Service Area: Begins with two driverless minivans in a 4.5-mile area.

• Accessibility: Easy booking through an app, connecting to key local destinations.

• Launch Date: Starts December 19, operating on weekday afternoons.

• Strategic Approach: Partners with cities and transit agencies for a scalable autonomy model.

• Business Model: Funded by cities/agencies, aiming for profitability in the autonomous vehicle (AV) sector.

Roadless Road-Trip

Chris and Julie Ramsey completed a historic drive from the North to the South Pole in a modified Nissan Ariya, marking a first for electric vehicles. Key points:

• Historic Achievement: First-ever polar traverse in an all-electric vehicle.

• Vehicle Details: Modified Nissan Ariya, named "Sonrisa"" with major changes being 39-inch tires and reinforced frame.

• Journey Stats: 17,000 miles over nine months, facing challenging polar climates and terrain.

• Charging Strategy: Adapted to regional charging limitations using solar panels and generators.

• Range Efficiency: Demonstrated practical range efficiency despite significant modifications.

• Environmental Adaptation: Overcame extreme cold, high altitudes, and thin air in Antarctica, proving electric vehicles' capabilities in harsh conditions.

Hey! Replacing drivers over the age of 100 with autonomous automobiles could reduce the risk of collisions.

TOGETHER WITH NADA

See You At The Sphere!

Have you heard!? The NADA Show is pulling out all the stops to host their Welcome Reception at the world’s largest orb — the Las Vegas Sphere. 🔮

The ASOTU Crew will be rolling deep for NADA and would love to see you there! 👀

Don’t miss out on The Sphere or The Floor — get your tickets now!

TIE CUTTERS

2024 TIME Dealer of the Year Nominee:
Jill Hattan

Jill Hattan, representing the Kansas Automobile Dealers Association, is a TIME Dealer of the Year Award nominee, recognized for her innovative leadership at Don Hattan Dealerships.

Hattan's commitment to customer and employee satisfaction is evident in initiatives like the Emerging Leaders program and Ladies Day. Her community engagement, including supporting Junior Achievement and hosting numerous local events, reflects her dedication to making a positive impact.

The ASOTU team is proud of you, Jill, for your entrepreneurial spirit and community-minded approach. Congratulations on your well-deserved nomination! 👏

DAVID LONG’S ALL THINGS USED CARS

A Drive to Thrive

Last week, David Long's All Things Used Cars community dropped some valuable insights for dealers looking to boost their performance in 2024. 

Recap: 

🏆 Reflect on Wins: Understand and build upon past successes.
🔮 Strategic Forecasting: Clearly define goals and ensure team alignment.
📣 Reputation and Social Media Management: Utilize these tools for market share growth.
📚 Consistent Training and Coaching: Invest in ongoing staff development.
🛠️ Management Accountability: Ensure managers are effectively leading and guiding their teams.
💡 Customer Experience Focus: Prioritize transparency and trust in customer interactions.
🌊 Adaptability: Be prepared for market shifts and emerging trends.

Join David and the All Things Used Cars community every Friday at 6 am PST/ 9 am EST on Clubhouse. 

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 Paul and Kyle with outstanding guests like Steve Greenfield, Jamie Butters, and Daniel Govaer to re-examine 2023’s greatest hits and plan 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 Season in Serramonte

We found out our friends at Lexus of Serramonte were giving away a van again this Christmas season and wanted to do a full write-up. 

As we dove into the story, we found that George Cannon and his team have a few other fun things for the season, so we decided to highlight them all!

Giving away a whole van is a pretty outstanding way to participate in the season of giving. And thanks to the Lexus of Sarramonte team, their local Boy's and Girl's Club can help even more kids reach their full potential with transportation as reliable as their commitment to the community. 

The team invites its community to participate in the generosity with a toy drop-off box to further benefit the children of the North San Mateo County Boys and Girls Club.

Finally, we want to highlight the dealership's ugly sweater day. Gaze upon them in all their difficult-to-behold glory. Gaze! 

Thanks for all you're doing in your community and for your people! ❤️‍🔥

Quick Hits

• Japan's Nippon Steel to buy U.S. Steel in a $14.9B deal. 👩‍🏭

• Steamboat Willie will enter the public domain in 2024. 🐁

• Off-road racing series “Extreme E” is switching to hydrogen power in 2025. 💧

History

• 1606: The ships Susan Constant, Godspeed, and Discovery depart England carrying settlers who founded, at Jamestown, Virginia, the first of the thirteen colonies that became the United States. ⚓️

• 1972: The final Lunar Roving Vehicle is left on the moon. 🔭

• 1997: Titanic, one of the highest-grossing movies of all time, opens in American theaters. 🧊