#576 - 🔮📊🔍 2024-Casting

TOGETHER WITH

We know everyone is working their you-know-whats off this week trying to close out this week, month, quarter, and year with a bang.

So, we’ll keep it brief, and just say thank you for putting in the hard work, the long hours, and the dedication necessary to keep this amazing industry thriving.

We see you, and we appreciate all that you do. 👊

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

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BUSINESS

Notable News

Chevy's Blazer EV Hits a Software Snag

Chevy's new electric SUV, the 2024 Blazer EV, hit a bump in the road with software issues leading to a pause in sales.

💾 Software Glitch: Key functionalities of the Blazer EV are hampered by software problems, particularly in the infotainment system.

🚫 Sales Halt: Chevrolet has paused sales of the new model, indicating that fixes will be delivered through software updates.

🛠️ Fix in Progress: Chevy is actively working on resolving these issues but neglected to confirm how many vehicles are affected, other than saying it’s a “limited” number.

Auto Brands and Driver Safety Study

A recent insurance study by LendingTree shed light on the accident rates among drivers of various auto brands, revealing some intriguing patterns in road safety.

🐏 Ram’s Rough Riders: Across 30 car brands analyzed, Ram has the worst overall drivers. They also have the worst drivers in 23 states.

🤕 Accident Prone: Tesla leads in accident rates compared to other brands, with over 20 incidents per 1,000 drivers.

🚨 Over-Served: BMW drivers have the highest DUI rate by a wide margin with 3.13 DUIs per 1,000 drivers.

Hyundai's European EV Game-Changer: Ioniq 2

Shaking up the competition, Hyundai is hoping to capture Europe's EV market with an upcoming, affordably-priced Ioniq 2.

💶 Price Point: Priced around €22,000 (about $24,300), the Ioniq 2 targets cost-conscious European consumers.

🔌 EV Platform: It will be underpinned by the company’s second-generation EV platform, known as the Integrated Modular Architecture (IMA), replacing the current Electric-Global Module Platform (E-GMP) used by the likes of the Ioniq 5, Ioniq 6, Kia EV6, and Genesis GV60.

⚔️ Competitive Edge: With its attractive price, the Ioniq 2 positions itself against pricier rivals like the VW ID.2.

TOGETHER WITH AUTOMOTIVE VENTURES

Snackable Industry Intel

The weekly Intel Report from our friend Steve Greenfield at Automotive Ventures is always jam-packed, y’all. Even the day after Christmas.

We always get the perfect, bite-sized highlights on things like:

🏆 Top 10 Automotive Updates of 2023. From the UAW strike to Hyundai snuggling up with Amazon and everything in between, this year was a pivotal one for auto.

⚡️ State of the EV Market. Evolving tax credits and market strategies are changing as automakers and consumers adapt to new technologies.

🚄 Hyperloop One Developments. Another venture spearheaded by Elon Musk that is facing operational challenges in 2023.

Short, sweet, and full of everything you need and want to know. Stay ahead of the curve, and sign up for more insights from Automotive Ventures here!

DATA & INSIGHT

2024-Casting

The new year is right around the corner, and data fanatics are pooling together all of their facts, figures, and expertise to predict what the automotive industry is likely to look like in 2024. Here’s what the experts are seeing…

👀 Economic Outlook:

• Shaky Global Ground — Though modest earnings growth is projected in the new year, global financial services firms like J.P Morgan are expressing wariness about how risky investments and the overall economic outlook will pan out, especially when up against declining consumer strength and increased credit stress like rising credit card debt and auto loan delinquencies.

• On The Bright Side — The global economy is predicted to avoid a near-term recession and inflation is on a downward trend due to fading energy pressure and weaker labor markets.
   

🚗 Industry Projections:

• Slow and Steady — U.S. sales volumes are expected to slow but still increase by 2%, reaching 15.9M units.

• Profit Pinch — Despite the modest increase, dealer profitability is expected to fall further in ‘24 as incentives and discounts are on the rise.

• Inventory Stabilized — New-vehicle inventory will likely hit pre-pandemic norms in the new year resulting in downward pressure on pricing by approximately 3%.

• Used & CPO Sales — Cox Automotive predicts minimal gains in the new year – less than one percent. They expect certified pre-owned sales to outpace used-vehicle growth and reach a 3% increase from 2023.

• Oversights and Regulation — With new governmental rulings like the CARS Rule and UN 155R, the auto industry is about to enter an era of much stricter data and security standards.

• Lean Means — US consumers in the market for a new vehicle in the new year will continue to face affordability issues because of those pesky high interest rates and tight credit conditions.
   

🪫 EV Predictions:

• Growth Meets Reality — EV sales are increasing, but customer acceptance is more gradual than expected.

• The Future of Sales — Cox Automotive anticipates EV sales in the U.S. will top the more than 1M-unit record set in 2023, and the share of electrified vehicles (EVs, Plug-in Hybrids, Hybrids) will increase to nearly 24% of the market next year.

• Affordability and Availability — Prices of EVs are dropping, and there's more inventory around. In fact, by the end of 2024, there will be nearly 100 BEV models available, double the number there were in 2022. Federal incentives and a projected 5% increase in EV leasing are expected to continue helping encourage purchases.

• The Biggest Challenge? — Convincing the average consumer of the benefits of EVs is no easy task according to dealers.

TIE CUTTERS

2024 TIME Dealer of the Year Nominee:
H. Lehman Franklin

H. Lehman Franklin, shining bright as one of 49 elite nominees for the TIME Dealer of the Year Award, is not just a top auto dealer but also a beacon of community service in Georgia.

His journey, from a Citadel graduate to leading the Franklin Automotive Group, is marked by innovative ideas and a commitment to nurturing talent.

But, it's his community involvement that truly sets him apart. From backing local law enforcement K9 programs to spearheading toy drives and college scholarships, Franklin's dedication enriches local life in myriad ways. Whether it's supporting technical education or various local festivals and charities, his actions reflect a deep-rooted commitment to making a positive impact.

Congratulations on a well-deserved recognition and nomination, H. Lehman! 👏

AROUND THE ASOTU-VERSE

Coming Soon

• JANUARY + FEBRUARY
  More Than Cars Episodes 3 + 4
  Tired of waiting for new episodes of retail auto’s only docu-series, More Than Cars? Us too. So, we’re dropping new episodes in January and February. Let’s start the new year right!
   👀 Watch episodes 1 and 2 👀

   

• 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 🤝

Quick Hits

• U.S. retail sales rose 3.1% between November 1st and December 24th. 🛒🛍️📈

• A six-year-old boy pulled a Kevin McCallister last week when he boarded the wrong Spirit Airlines flight. 🫸😲🫷

• After a bit of a rough patch, it seems cryptocurrencies are surging again. 🧱⛓️🤑

History

• 1830: The first successful round-trip on a steam-powered passenger train called “The Best Friend of Charleston” is achieved (running between Charleston and Hamburgh, SC). 🚂

• 1932: Radio City Music Hall opens at Rockefeller Center in Manhattan, NYC. 📻

• 1941: The U.S. begins WWII tire rationing. 🛞