#665 - 🚗 Major Moves in Motor City

TOGETHER WITH

The ASOTU crew is buzzing with excitement as we count down just 26 days until ASOTU CON. Some of us are already packing our bags! 🧳

We're curious though: what are your essential conference items? Hit reply, and let us know so we can make sure to add them to our list.

Can't wait to see you there!

Keep Pushing Back
-Paul, Kyle, Chris & Kristi

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BUSINESS

All Facts, No Fluff

The only constant in the auto industry is change, and today is no exception as some of the big players are making big moves — quite literally.

. . .

General Motors on the Move

GM announced the relocation of their global headquarters from the Renaissance Center, where they have been since 1996, to the Hudson’s Detroit development by 2025.

• Headquarters Relocation — GM will move from the RenCen to the former J.L. Hudson’s department store site, now redeveloped into a 12-story mixed-use complex. This new site will include office floors, retail space, and event areas, along with a hotel and residential units. GM will be the anchor tenant at the Hudson’s site, leasing the top two office floors.

• Strategic Partnerships — The move is in collaboration with billionaire Dan Gilbert's real estate firm Bedrock LLC and involves a broader plan to revamp the Renaissance Center, with potential plans for commercial, residential, or mixed uses.

• Modernization and Collaboration — GM’s CEO Mary Barra highlighted the move as a rebirth for the company, aiming for a headquarters that aligns with modern work styles and encourages more collaboration.

• Community Impact — In contrast with other companies moving out-of-state, the decision for GM to stay is being heralded as a strong commitment to Detroit and is expected to help revitalize the city center. Local and state leaders have praised the move for reinforcing the city’s position as a key player in the future of mobility.

Stellantis Grapples with Growth

Stellantis says it’s navigating a challenging landscape in 2024, with CEO Carlos Tavares pointing out the competitive and complex market conditions ahead. Here are some of the key developments shaping the Jeep-maker’s trajectory:

• Strained Supplier Relations — Stellantis is currently engaged in disputes with suppliers over pricing, leading to production disruptions and legal battles in the U.S. The company's stern negotiation tactics have resulted in halted shipments from suppliers like Kamax and McLean-Fogg, affecting production schedules and raising concerns over the future of these partnerships.

• Pay Bump — Despite challenges like these, Tavares defended his recent salary increase, which rose 56% to 36.5M Euros, saying it aligns with company performance and was approved by 70% of their shareholders. This decision has been met with criticism, especially during a period when the company is reducing it’s workforce.

• Brand Strategy and Market Position — Amidst rumors and market speculation, Tavares confirmed that Stellantis is not planning to sell any of its brands despite receiving purchase offers, emphasizing the strategic importance of all of the brands in Stellantis's portfolio.

BP Pivots on Pulse

In response to shifting market dynamics and internal restructuring goals, BP has made some cut-backs and adjustments to its EV charging business, BP Pulse:

• Workforce Reduction and Market Retraction — BP has cut over 10% of its workforce in the EV charging division, totaling more than 100 jobs, as part of a larger scale-back of its operations. This move included exiting several global markets, narrowing its focus from 12 countries to just four key markets: the United States, Britain, Germany, and China.

• Strategic Refocus — These changes are part of BP CEO Murray Auchincloss’s broader strategy to concentrate on the most profitable segments of the business amid skepticism from investors about the oil giant's transition to low-carbon energy sources.

• EV Charging as a Growth Engine — Despite these cutbacks, BP remains committed to its EV charging initiative, considering it one of the company’s five key growth areas. BP aims to expand its global network of charging points from 29K at the end of 2023 to 100K by 2030. The focus will be on developing fast charging hubs, especially since BP expects this segment to generate significant returns.

TOGETHER WITH EFFECTV

Join Effectv at ASOTU CON 2024!

Anthony Jingoli, Effectv’s Sr. Director of Automotive Strategy and Partnerships will be speaking on a panel at ASOTU CON focused on unlocking the power of first party data in TV and video, and how addressable advertising is providing advertisers with more targeted opportunities to reach specific audiences.

If you're interested in learning how dealers are utilizing first-party data, understanding the concept of addressable targeting, and examining real-world case studies, you can't miss this session.

Get your tickets to ASOTU CON today to join the conversation!

/Positivity

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MORE THAN CARS MOMENTS

Sowing Seeds of Change

At Checkered Flag Auto Group, driving off the lot in a new car now means more than just enjoying a fresh ride—it also means contributing to a greener planet.

Announced by our friend, Michael Wood, the group’s "Keys for Trees" initiative embodies an insightful and innovative approach to offsetting carbon emissions.

For every vehicle sold by the end of the month, Checkered Flag pledges to plant 75 trees. This thoughtful move, in partnership with The Global Improvement Group, ensures that each car sold begins its journey by giving back to the earth.

But, the environmentalism doesn’t stop rolling once the month ends. On May 1st, the initiative will expand to include all car buyers—new and used — and customers will be offered the opportunity to purchase a carbon offset at the time of their vehicle purchase. Each contribution will also translate into 75 trees being planted in what will soon likely become a Checkered Flag Forest.

Checkered Flag Auto demonstrates how businesses can operate responsibly and empower customers to become agents of change. Bravo!

AROUND THE ASOTU-VERSE

ICYMI

Our very own Paul J Daly recently spoke with Jim Fitzpatrick of CBT News to provide a sneak peek at what everyone can expect from this year’s ASOTU CON — give it a listen here!

Quick Hits

• Tesla cut the cost of their full self-driving subscription by half. ✂️

• NASA confirms the origin of the space junk that crashed through a Florida home last month came from the International Space Station. ☄️

• The white Bronco driven in the 1994 police chase of OJ Simpson is on sale for $1.5M. 🚓

History

• 1397: Geoffrey Chaucer tells the "Canterbury Tales" for the first time at the court of English King Richard II. 🏰

• 1964: The Ford Mustang officially goes on sale at a base price of $2,368. 🐎

• 2011: The hit television series "Game of Thrones" premieres on HBO. 🐉