CBT automotive newscast: February 1, 2022

Inside Automotive:

Jennifer Suzuki’s ‘competitive not complacent’ mindset for progressive car dealers
Before the competition and inventory ramps back up, now is the time to make sure your house is in order. Joining us now to talk about what she’s seeing in terms of salespeople and what she’s recommending for her clients is Jennifer Suzuki, President of e-Dealer Solutions and acclaimed sales trainer. Suzuki focuses on strengthening sales teams’ mentality and processes. She also works with managers to embrace new ways of leading teams, coaching, and training on digital selling skills. Watch the complete segment here.

Headlines:

Global consulting firm Umlaut recently conducted an assessment of the electric vehicle charging infrastructure currently available throughout the United States. The firm tested EV chargers made by providers such as Blink Charging, ChargePoint, Tesla, and Volkswagen, and found that the overall performance of the chargers varied greatly between providers. Volkswagen’s Electrify America chargers topped the charts with the highest performance and were followed closely by Tesla, while provider EVconnect came in last. Analysts say that in order to increase consumer interest in EVs, reliable charging infrastructure is needed all throughout the country.

General Motors will be releasing its fourth-quarter results this afternoon, and Cox Automotive analysts are anticipating its overall earnings will be decent despite a huge drop in sales compared to Q4 2020. GM sales reportedly saw a 43% decline last quarter, dropping over 20% in the overall auto market. Despite much lower sales, Cox Auto predicts GM’s ultimate earnings will be “solid” due to a 65% decrease in consumer incentives as well an almost 20% uptick in average transaction prices throughout the quarter.

Credit Suisse analyst Dan Levy told clients Monday that his firm is confident that Tesla stock will recover from the overall market decline. The firm is keeping its target price at $1,025 per share despite the negative impact the widespread growth stock sell-off has had on Tesla. Levy also cited Tesla’s “strong margins” and said that Tesla stock “checks all the boxes” needed to recover. Credit Suisse also upgraded Tesla stock to “outperform” on Monday after previously rating it “neutral” in April of 2020.

Cox Automotive is launching its new ‘Global Automotive Mobility’ division, which comes after strong acquisitions including Fleetmaster and Spiers New Technologies. Cox Auto said its division will initially focus on mobility solutions throughout North America, continental Europe, and the United Kingdom, but plans on expanding to other regions at some point. The firm indicated the four areas the division will focus on are “fleet services, fleet operations, EV battery solutions, and emerging ventures.” Managing Director Paul Humphreys said the new division will re-define vehicle ownership and expand mobility support to fleet owners and consumers.

News & Opinion:

How the automotive industry is getting involved with cryptocurrency
While the idea of cryptocurrency came about in the mid-90’s and Bitcoin made its debut in 2009, it has taken quite some time for consumers to actually start investing in it and wanting to use it for everyday purchases. The crypto industry is perceived to be quite volatile, and due to its potential instability and widespread unfamiliarity with it, many vendors have been hesitant to accept it as payment for goods and services. However, cryptocurrencies are becoming more and more accepted by both buyers and sellers, including some of those within the auto industry. Read More

5 auto retail trends car dealers should keep an eye on in 2022
A brief glance back at the auto retail industry from the turn of the millennium would be markedly different than it is today. Cars are exponentially more technologically advanced, and the cliché salesperson has been replaced with product advisors. The number of customers financing rather than paying cash or using their own money source has also grown, and of course, MSRP has climbed by around 60% in the past 20 years. The next few years will see accelerated industry growth far beyond what previously occurred in two decades. This year alone appears to have potential to be a groundbreaking one. Read more