#645 - 🚗 New Normal

TOGETHER WITH

Welcome to your week, friends.

There is an important difference between “This week” and “My week.” The same seven days can be something that happened to us or something we participated in.

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

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BUSINESS

Taking Control of Monday

Monday! Time to talk about some things that will shape the news we watch this week and beyond. We doubt These SEC and DOJ stories will vanish soon, gas-bans neither.

But then, Tesla cutting production and Toyota releasing a Prius is the sort of stuff that happens all the time. So we got a bit of both today. And also a picture of a cheese car.

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iMonopoly?

Two possible court cases to watch from our corner of the world. One says Tesla (Why is it always Tesla?) has a bunch of yes-men on the board. And the other brings Apple's CarPlay into the monopoly accusations Apple is facing. 

1. Sen. Elizabeth Warren has urged the SEC to probe Tesla for violations of board independence rules. Concerns include board members' close ties to Musk and substantial stock options, raising questions about their independence and the board's transparency with investors.

2. The U.S. Department of Justice has filed an antitrust lawsuit against Apple, alleging CarPlay exerts excessive control over the auto industry, stifling competition. The DOJ claims Apple's integration of CarPlay into vehicle functions represents monopolistic behavior, impacting consumer choice and competitor innovation.

Toyota Prime

Toyota's Prius Prime has 44 miles of pure-electric range and a massive 127 mpg after the battery runs out. Morot1's article says it pretty much makes all EV conversations obsolete.

• 220 horsepower on the hybrid side.

• Priced from $34,495.

• The 600-mile range before needing to refuel/recharge. 

• And of course, a nifty aerodynamic design that progresses vehicles another step toward the ideal "cheese-wedge" shape.

Chinese Downturn

Tesla also just trimmed its Chinese production projection following a slowing demand report. Or MAYBE they heard Toyota declared itself the victor of the EV wars with its gas-powered hybrid?

The Giga Shanghai plant will reduce Model 3 and Model Y production from 6.5 days a week to just 5. The announcement follows a 19% drop in Made-in-China Tesla sales for Feb 2024 compared to 2023. Even BYD experienced the downturn, and they are the global leader in EV sales as well as being local to China. 

Used Cars New Normal

People keep warning us that things may "never go back to pre-pandemic levels," and at this point, we will just assume that and ask the experts to speak up when they find something that WILL. 

•  New car prices in February were down 2.2% year-over-year but remain 14% higher than in February 2021, signaling a shift to a "new normal" in pricing. 

• Technological advances and higher labor costs contribute to sustained high prices, with even minor repairs becoming significantly more expensive. 

• Used cars also maintain higher price points due to a pandemic-induced production drop, limiting availability. 

• However, 2024 offers a glimmer of hope with expected incentives and potential interest rate cuts, making it a potentially favorable year for car buyers.

EU Vs. Auto

Some European automakers are criticizing the EU's ambitious emission targets. BMW, VW, and Renault say a full ban on ICE cars by 2035 is too much, but even the 2025 deadline for reducing fleet emissions by 25% is coming quickly and impossible. 

The automakers say the fines imposed for missing deadlines would punish companies for slow consumer adoption and create unneeded difficulty and imbalance for companies looking to do business in Europe.  

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“Back in my day” jokes don’t land the same when you’re talking about 3 years ago. Just kinda stings, like used inventory prices.

TOGETHER WITH GUBAGOO

From Click to Key

Ever feel like your digital retailing game is more “whomp-whomp” than “woo-hoo?”

Well, Swickard Automotive Group's very own Abe Samari, aka the Director of Retail Strategy, spills the beans on how they are elevating their online presence using all of the fabulous digital retailing tools from Gubagoo.

“Gubagoo has really been a huge game-changer for us,” he raves. Their “digital experience provides more transparency and leads to higher dollar amounts.”  Why does transparency matter? Because in a world where 90% of customers start their car search online, it’s important that what’s on your website matches what you provide in your showroom. Gubagoo's Virtual Retailing solution is like having a digital concierge, guiding buyers from their first click all the way to the driver's seat.

Abe says that adding Gubagoo into their digital strategy has made his team twice as efficient by lessening their workload. “It really is a no-brainer.”

Check out Abe's full story here and learn how your dealership can benefit from Gubagoo today!

/MTCM

We talk a lot about “Unreasonable Hospitality” around here, and we are excited to hear more from Will Guidara at ASOTU CON about how we can learn from his experience.

Have you seen any stories of unreasonable hospitality in our industry? We call those More Than Car Moments, and we LOVE telling people about them.

Hit reply or the link below and let us help share your story!

MORE THAN CARS MOMENTS

Mega Derby Day at Mohawk Chevrolet

From the biggest, most technologically advanced vehicles to the smallest wooden blocks on four wheels, Mohawk Chevrolet welcomes all cars into their showroom.

On March 17th, the dealership hosted the Shen Scouts annual Mega Pinewood Derby. Packs 4043, 4044, and 4045 participated with pack 4043 walking away with the Cub Scout Cup trophy this year. 🏆

We’ll never stop applauding dealerships who offer up their space, their resources, and their time to help their community. Way to go, Mohawk!

AROUND THE ASOTU-VERSE

More Than Cars Episode 3

More than Cars Episode 3 drops this week! We are so excited to share with each of you what we have been working on, which is a funny thing to say, considering More than Cars is our way of honoring what YOU’VE been working on.

Quick Hits

• The restored Star Trek Enterprise-D bridge will go on display in May at the Sci-Fi World Museum in Santa Monica, California. 🚀

• Notepad is getting a spellcheck feature. It only took 13 major versions of Windows to get there. 🧙‍♀️

• Walmart is targeting richer folks, which is a really optimistic way of saying they’re pricing out some people. 🏪

History

• 1655: Saturn's largest moon, Titan, is discovered by Christiaan Huygens. 🪐

• 1965: Civil rights activists led by Martin Luther King Jr. successfully complete their 4-day 50-mile (80 km) march from Selma to the capitol in Montgomery, Alabama. 🥁

• 1979: The first fully functional Space Shuttle orbiter, Columbia, is delivered to the John F. Kennedy Space Center to be prepared for its first launch. 👩‍🚀

Thanks for reading another one, friend. We’re loving the uptick in folks hitting “reply” and letting us know their thoughts lately. Feel free to try it out, we see them all. 👀