#441 - 📊 Crunching The Numbers

TOGETHER WITH

Here’s to the lot porters.

The ones that show up early to line up the lot. The ones who make Home Depot runs, airport trips, tag runs, and anything else the GM thinks of on a whim. Those incredible people who seem to always be warm in the winter and cool in the summer. The lot porters that hear everything and say little.

We need you and we thank you. Here’s to the lot porters!

Keep Pushing Back

-Paul, Kyle, & Chris

DEALERS

Ciocca Has Their Community “Covered”

Led by their GM, Frank DeCraine, our friends at Ciocca Subaru of Flemington collected hygiene products throughout May and donated them to the United Way of Hunterdon County.

Customers and employees contributed to the collection, which will be distributed to local food pantries and groups around the county to assist community members in dealing with financial stress.

Telling it like it is – We had to give this story a spotlight! Making sure your community has food is beautifully human, but making sure their kids have diapers is neighborly. 👶

AUTOMOTIVE

May Data Dips

Our pal, John Ellis, over at the Automotive Advisor Team is all about that data. 🧮

Last month was a bit of a doozy. 😵‍💫

Reports showed a bit of a slowdown in both new and used car sales last month, a shift that may have significant implications for dealers' supply and inventory. But, only if you aren’t prepared.

🌟Here’s what you need to know to help adapt your strategy: 🌟

🔎 Economic Outlook —

• Wage growth: Increased by 4.3% YOY, but the overall data suggests a softening labor market.

• Inflation is easing: The Federal Reserve will continue to pause its interest rate hikes (after 15 months of consecutive increases).

🔎 New Car Outlook –

• Days of supply: Stable at 55, 46% higher than last year.

• Sales: Dipped slightly in May, pushing up supply, but still 11% above last year.

• Prices: Holding strong, though trending down slightly in recent weeks.

🔎 Used Car Outlook –

• Days of supply: Maintaining spring levels at 47, and the average listing price is slightly up.

• Sales: Were down by 30K from last week, 8% below last year.

• Prices: Average listing price slightly up with affordability still a major roadblock for buyers.

🔎 Wholesale Outlook –

• Index depreciation: All model years depreciated week over week, but 5 to 6 year old models depreciated the least.

• Auction sales: Efficiency increased by 50% after successful Memorial Day sales showing that dealers are eager to replenish their inventory.

🔎 Retail Margin Outlook –

• Prices: The average retail price for Model Year 2020 dropped by $68, while the average wholesale value decreased by $249.

• Acquisition: Despite the market drop, there is still lots of opportunity in wholesale channels.

Telling it like it is – We don’t have a degree in data science or finance, but we are friends with John Ellis which is pretty close.

TOGETHER WITH STITCH FIX

Look The Way You Want

Job interview? 👔

Date night? 👗

Trip to the grocery? 👖

No matter the setting, your clothes should make you feel comfortable inside and out.

Stitch Fix offers men's and women's clothes from XS through 3XL to meet any needs. They offer expert-selected outfits, free shipping, great prices, and no commitment. You get to shop how you want, when you want!

So, if you are ready to try a new look or love your look and want more of it delivered right to your door, try Stitch Fix today.

AROUND THE ASOTU-VERSE

Join us on June 28th at 2pm ET for an exclusive webinar where we delve into the world of Google Analytics 4 and explore its massive potential for retail automotive. 🧑‍💻

AUTOMOTIVE

Motor Morsels: Tesla, Ford, Nissan, Stellantis

🤖🚗🎰

Robots or bust. Elon Musk, Tesla's CEO, suggested at Paris' VivaTech conference that Tesla's $827 billion market cap is closely tied to the automaker's progress in autonomous driving. Despite having limited insight into stock valuations, Musk reiterated the immense potential value of autonomy and Tesla's aspiration for a self-driving robotaxi fleet.

If Musk's tunnel drilling, flamethrowing, space exploring, and robot-building dreams come true. Mars will be the wildest vacation destination ever.

🥇🤝🥈

If you can't beat 'em, pay 'em? Bill Ford, Ford Motor's Executive Chairman, stated the US is not ready to compete with China in EV production, citing China's rapid development and exportation of EVs. Instead, Ford's plan involves a $3.5 billion EV battery plant in Michigan, where it will license Chinese technology for learning and competitive advantage.

Know thy enemy, know thy self, y'all.

👎⚡️💪

#NotMyStandard. While the market is shifting toward Tesla's charging standard, FLO and Nissan Canada have partnered to enhance EV adoption in Canada with special wires! New Nissan EV purchasers or lessees get $150 in FLO charging credits and access to FLO's seamless EV charging network. Furthermore, FLO's weather-resistant home chargers are now available at Nissan dealerships, simplifying home charging for EV owners.

Remember when everything came with a free year of XM radio? Are charging credits the new incentive nobody asked for?

📈💰🤷‍♀️

"Affordable" = 2 years of untaxed minimum wage? Stellantis, the owner of Jeep and RAM, aims to launch an affordable EV under its Citroën brand next year, competing against incoming Chinese EVs. The Citroën e-C3 city car, priced around $27,000, offers over 186 miles of range.

The average US driver travels 37 miles a day. Maybe EVs would get more affordable if we used that as a starting point instead of a full gas tank?

TL; DR – Musk says robo-driving is still going to make or break Tesla. Ford says China is winning at EVs and it is better to take notes than deny it. Nissan Canada and FLO are not getting in on the charging standard just yet. Stellantis says it will release a $27K EV as an affordable option.

CULTURE

Squid Game: The Show: The Gameshow

Netflix's "Squid Game: The Challenge," a reality spinoff of the hit series "Squid Game," will start streaming in November. Despite reports of dangerous on-set conditions, the show will include games but not the original's murderous element. The franchise's success has spurred $2.5 billion in Netflix's Korean projects.

Telling it like it is — Is it a great and original idea? Meh. Is it a popular idea that Netflix can afford to produce? You betcha!

Quick Hits

• “Frasier” is making a comeback, and Kelsey Grammer says it is better than the original. Which is exactly what you’d say if you wanted people to watch it, but we will give him the benefit of the doubt. 🥗🍳

• The FCC is looking into data caps. Since limiting data has never benefited a consumer ever, we hope the FCC will make the right call. 📊🧢

• Apparently, coconut, not citronella, keeps the mosquitoes away. 🥥🦟
  

History

• 1877: Alexander Graham Bell installs the world's first commercial telephone service in Ontario, Canada. ☎️

• 1903: Tom Fetch begins SF to NYC trip in a Packard. The trip takes 63 days and quite a toll on Mr. Fetch. 🗺️

• 1975: The first summer blockbuster film, Jaws, premiers. 🦈