Today’s Featured Interview:
CBT News Market Update: Jasen Rice, Lotpop & Derek Mah, LotLinx
To quickly recap this week’s numbers, new car sales came out to a retail SAAR of 13.41, a small 1.7% increase from 13.34 in 2019. Inventory levels among all new vehicles are down 17.6% from 2019, while used car levels were up 11.5%. New-vehicle sales hit 245,659 up 7.5% from last year when the inventory sold was 228,604. Used vehicles continue to stay ahead of last year’s numbers. This week, they sat at 200,175, a solid 14.4% increase from the year prior’s total of 174,978. Here to break down these sales results and how these numbers reflect larger industry trends are Derek Mah, Vice President of Product for LotLinx and Jasen Rice, Owner of Lotpop, Inc. Watch the full segment here.
Stefano Domenicali, chairman and CEO of Lamborghini is stepping down. The Italian automaker announced the move on Friday, stating that Domenicali would be taking on, “a new and prestigious professional role in January 2021.” Domenicali has held the position since 2016. In his time as CEO, Lamborghini added more than 700 jobs and doubled global sales. Sources have confirmed that Domenicali will be replacing Chase Carey as CEO of Formula 1 racing.
Electric vehicle manufacturers in Michigan have lost the legal battle to bypass dealers in a direct-sales model. On Thursday, legislation made the decision to pass a bill that would prohibit electric vehicle manufacturers, outside of Tesla, from selling directly to consumers in the state. EV startup, Rivian, was unhappy with the ruling due to the law’s inconsistency in the way it’s applied to each manufacturer.
The number of EV companies going public continues to grow. The latest group to make the move is ChargePoint. The company made the move in a merger with Switchback Energy Acquisition Corporation worth $2.4 billion. The deal is expected to help the electric vehicle charging network expand in North America and Europe. Officials expect the deal to close by the end of the year.
A local dealership group in Ohio has found a creative way to serve their community amidst the COVID-19 pandemic. Thayer Family Dealerships have opened their lots as drive-in movie nights for the fall. The company started its free screenings in July, in an effort to help families get out of the house during quarantine. The family movie nights were such a hit that the dealership group decided to continue showing films throughout the fall. The showings have generated a growing audience, building from 25 cars to a crowd of 50 vehicles. Some of the films scheduled for the fall include Grease, Remember the Titans, and Ford vs Ferrari.
News Stories & Opinion:
Edmunds forecasts a ‘roaring comeback’ for auto sales in third quarter
Retail auto sales will be a turning point for the industry in the third quarter, according to a press release from Edmunds.com. As Q3 2020 draws to a close, the research and shopping guide site is predicting that final numbers will reflect an increase of 30.6% compared to the results of the previous quarter. That increase is a dramatic improvement over the period of April through June when the COVID-19 pandemic wreaked havoc on all retail industries, not just automotive. Read More
Benefits of effective seasonal fixed ops marketing
For dealerships, January through March new and used car sales are usually at the lowest levels of the year – pandemic shutdowns notwithstanding. This year poses an even bigger problem with layoffs of critical members in the service and parts area. These are challenging times. And as in any other year, many OEMs and automotive dealers will cut marketing budgets because it’s low on the priority list if it’s not aimed directly at car sales. Do you still cut marketing for service and parts growth? Read More
Did you enjoy today’s automotive newscast? Please share your thoughts, comments, or questions regarding this topic with host Jim Fitzpatrick at email@example.com.