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- #658 - 🚗 Ups and Downs
#658 - 🚗 Ups and Downs
Used Inventory, Bangkok, and All-In
TOGETHER WITH
Which superpower did the eclipse give you?
We can now predict what prize is in Cracker Jacks.
It’s always a sticker. 😎
Keep Pushing Back
-Paul, Kyle, Chris & Kristi
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BUSINESS
Tuesday’s Ups and Downs
Giphy
Suggested listening: “Life Has Its Little Ups and Downs” by Charlie Rich
Sometimes, the news is up; sometimes, it is down. But, no matter what it is, it it’s never “set.”
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Used Inventory Level Dips
The ZeroSum State of the Dealer report highlighted a 4% month-over-month decline in used vehicle inventories, dropping below 1.9M units for the first time since October 2023, despite a 17% increase in sales in March.
This surge is expected to decrease slightly in April, though it remains high.
Meanwhile, new vehicle inventories rose by 3%, and the average marketed price of used vehicles increased for the first time since May 2023, indicating a potentially sustained upward trend in the market.
High Dollar Brands
Rolls-Royce Spectre: $1988.25 per mile. In a recent Edmunds test, the $558,700 2024 Rolls-Royce Spectre surprised everyone by reaching a 281-mile range on a single charge, surpassing its initial 260-mile estimate. Other notes:
3.9s 0-60 time.
"Unparalleled quietness."
Powerful despite no v12 engine.
Ferrari is taking a different approach. The renowned carmaker has established the E-Cells Lab in collaboration with Bologna University and NXP Semiconductors. This initiative is a testament to Ferrari's commitment to deepening its understanding of battery cells, a crucial step on its electrification path.
Since 2019, it has been selling hybrids; it plans to introduce a fully electric vehicle next year. However, CEO Benedetto Vigna has made it clear that they have no intention of manufacturing their own cells. Instead, they are focusing on understanding battery cells, a crucial aspect of their electrification plans.
Imagine opening a spaghetti laboratory with some Italian friends and then telling people you have no interest in opening a spaghetti restaurant. Kinda sus.
Also, “Spaghetti Laboratory” is a good band name if you need one.
Toyota in Bangkok
From March 27th to April 7th, the Bangkok International Motor Show sparked a 27.5% surge in automotive orders in the Thai market.
Toyota lead the charge.
A third of the orders were EVs.
About 53K cars and 5K motorcycles were ordered over the 2 weeks.
Over in the U.S., Toyota's journey into the electric market has been more cautious. The company's EV sales increased by 9% in the first quarter of 2024, but with just 1,897 electric vehicles sold, they represent only a tiny fraction of Toyota's total sales in the country.
Same Market, Different Brand(s). Hyundai and Kia are making significant inroads in the EV market, with both companies reporting robust sales and an aggressive push towards electrification.
Speaking of Hyundai
The company's U.S. CEO, Randy Parker, is challenging competitors and committing fully to electric vehicles.
With nearly 40,000 EVs sold last year in the U.S., Hyundai has overtaken traditional automotive giants like Ford and GM, positioning itself as the second-leading EV brand behind Tesla.
The push comes as rivals scale back on EV development due to slower demand, highlighting Hyundai's commitment to leading in the electric market with affordable models and plenty of inventory.
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Last week, we saw some ICE plans get dusted off, some hybrid plans fill in where EV plans backed off, and all around, some recalibration of meeting consumer wants and needs. This week, Hyundai said, “more EV market for me.”
TOGETHER WITH REYNOLDS AND REYNOLDS
GM at San Leandro Talks Owning Your Local Market
Jose Mendoza, the GM at San Leandro Honda, joined the Connected podcast to talk tips for owning your local market and the best ways to manage inventory with relevant data.
With inventory levels stabilizing, Jose offers some great tips for navigating the used vehicle market. Tune in to hear his insights on:
🤝 Selling new vs. used vehicles.
👀 Finding profitable inventory.
🏷️ Pricing to your specific market.
Plus many more practical tips and takeaways you won’t want to miss — check out the episode today!
/MTCM
If we tried to tell all the wonderful, charitable, and creative stories happening in dealerships across our industry, we would need a bigger email. But we have just enough space in this email for YOUR story.
Let us help show the community and world what you have going on in your store! 🕊️
MORE THAN CARS MOMENTS
Wheels of Fortune
This Easter delivered a special kind of joy to a single mom and her daughter, thanks to a heartwarming collaboration between Carter Myers Automotive and Giving Words, Inc. 🎁
Behind this touching gesture is our bestie, President and CEO of CMA (and our bestie) Liza Borches, who, along with her team, believes deeply in demonstrating the philosophy: "Everyone Wins.”
It was this dedication and compassion that also inspired a generous customer to donate their 2006 Volvo V50 to the cause.
Her team of skilled technicians then put their expertise to work, ensuring the car was ready for its new beginnings to a deserving mother and her family.
Bravo to the team at CMA, and cheers to many more wins for everyone! 👏
AROUND THE ASOTU-VERSE
Coming Soon
We’re bringing together some of the smartest folks in the biz at this year’s ASOTU CON to discuss and discover the latest market trends, practices, and strategies to keep you and your team ahead of the curve.
Here’s why Paul J Daly and Kyle Mountsier, our very own Automotive Troublemakers, think you should be there, and we think you’ll agree.
Podcast
Hilary Haron’s experiences, from the Capitol’s halls to the dealership floor, offer invaluable lessons on the power of voice, the necessity of change, and the endless potential of paving new paths.
Catch this inspiring and insightful conversation on our most recent episode of Auto Collabs! 🎙️
Quick Hits
History
1667: The first public art exhibition held at the Palais-Royale in Paris. 🖼️
1833: The first U.S. tax-supported public library opens in Peterborough, New Hampshire. 📚
1865: Confederate General Robert E. Lee and 26,765 troops surrender to U.S. Lieutenant General Ulysses S. Grant, ending the Civil War in North Virginia. 🏳️
1968: Dr. Martin Luther King Jr. is laid to rest in Atlanta. 👑
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