Inside Automotive
The era of great sales and high pricing is over — Kevin Tynan l Bloomberg Intelligence
In many cases, it was another winning quarter for the OEMS. On today’s episode of Inside Automotive, Kevin Tynan, Sr. Automotive Analyst for Bloomberg Intelligence, joins us to talk about the recap of the earrings and the woe’s Carvana is currently facing. According to Tynan, Rivian’s gross margin line was not lucrative. This suggests that it costs them more to produce a vehicle than they would earn from selling it. Watch full segment here.
Top Stories
Recent industry reports have discovered that customers are still paying well above MSRP, despite supply chain improvements. According to J.D. Power, nearly a third of all new cars sold in February were above sticker price, while a separate study from iSeeCars found that customers paid an average of $45,296 last month, roughly 9% higher than the MSRP of $41,637. The vehicles with the biggest premiums were in the luxury segment, topped by the Genesis GV70, which retailed with an average markup of 27.5%. Read More
Nissan is attempting to fix multiple problems at its Japanese factory which are delaying production of the new Ariya EV. The car is the automaker’s first global addition in half a decade, but only 201 deliveries have been reported since its launch in 2022. People familiar with the matter claimed that the disruption is related to the plant’s automated design, which also introduced a new system allowing electric, gas and hybrid powertrains to be built on a single line. However, Nissan attributes the delay to supply chain issues and other logistical factors. Read More
Last Thursday, Florida Senator Marco Rubio escalated his efforts to block a partnership between Ford and Chinese company CATL by introducing legislation which would disqualify both parties from earning tax credits. In February, the two companies announced a deal which would see CATL license battery technology to the automaker for use in a new EV factory. Rubio has criticized the deal since its announcement, arguing that China would indirectly benefit from tax incentives in the Inflation Reduction Act. Ford has responded to the senator’s criticism by explaining that the new factory will be its own subsidiary, meaning no taxpayer money would go towards the Chinese manufacturer. Read More
GM is seeking to cut its workforce through a voluntary separation program, several weeks after company chiefs dismissed layoff concerns while outlining a $2 billion cost savings plan. Through the initiative, certain staff members and executives who choose to leave the automaker after several years of employment would be entitled to a severance package including a lump sum payment and other compensation. The move comes only ten days after it was revealed that GM was unexpectedly terminating over 500 positions due to unsatisfactory performance evaluations. Read More
For Dealers
You have more control over market share than you think you do
Market share isn’t driven by world events. It has nothing to do with the price of gas, Putin’s war, or rising interest rates. Good economy or bad, there will always be winners, there will always be losers, and there will always be share of market. The question is how do you control and expand your slice of it? The data you need to move inventory, improve gross, and build market share is out there. Every bit of it. Read More
Not investing in electric vehicle accessibility is a missed opportunity
As the world continues to move towards sustainable energy, electric vehicles (EVs) are becoming more popular than ever. However, for disabled individuals, owning and operating an EV comes with its own set of challenges. In this article, we will explore the challenges that disabled persons face with regard to electric vehicles and potential solutions to these challenges. One of the biggest challenges facing disabled individuals when it comes to EVs is accessibility. Read More
