CBT automotive newscast: September 5, 2022

Inside Automotive:

EVs are driving changes in the F&I office—is your dealership prepared? — Scott Gunnell & Chris May | JM&A Group
As we see an increase in electric vehicle adoption and the supporting charging infrastructure, the sales and buying process at your dealerships will need to evolve. Today on Inside Automotive, we’re pleased to welcome Scott Gunnell, Group Vice President of Strategy, Marketing, and Sales Success of JM&A Group and we’re also joined by Chris May, Director of Product Innovation and Intelligence of JM&A Group to discuss their focus on creating coverage for electric vehicles. Watch the complete segment here.

Headlines:

Toyota Motor Corporation reported its US sales volume dropped 9.8% in August. Sales at Toyota USA were down 8%, while Lexus saw a 20% drop. Those numbers represent 13 straight months of decline at Toyota and seven months of consecutive decline at Lexus. The company ended August with 132,932 vehicles in US inventory, with only 16,556 of those vehicles currently at dealerships. The rest are at ports or in transit. Toyota USA reported they have a 20-day supply of vehicles, while Lexus has a 26-day supply. Read More

American Honda reported slowing sales in August, dropping 38%. Sales for the month came in at 71,461 units. Deliveries were down 36% at American Honda and 47% at Acura. That marks 13 straight months of decline for Honda and 12 consecutive months of decline for Acura. The company said its days’ supply of vehicles remains in the single digits. Honda has been struggling with supply issues related to the west coast rail embargo. Read More

The NHTSA released a list of recalls in the last week of August. Both Ford Motor Company and Hyundai Motor America are facing massive recalls of around 250,000 units each. Ford recalled certain models of its F-Super Duty F-250, F-350, and F-450 trucks and Lincoln Continental vehicles equipped with a 360-degree camera system, saying the camera’s anti-reflective lens coating can degrade. Both recalls are for model years 2017-2020, and 277,040 units are affected. Hyundai is recalling Palisade vehicles for the model years 2020-2022 due to an issue with the tow hitch harness accumulating debris and moisture, leading to a possible electrical short that could result in a fire. 245,030 units are affected. Read More

News & Opinion

The importance of building a robust mentorship program at your car dealership
Creating a car dealership mentorship program is a wonderful idea for dealerships that want to continue growing and expanding their influence in the area. Providing training and an expert or veteran mentor to new mentees is a professional development opportunity for both parties to grow in the dealership and move up in position. First, start by creating a template and understanding what you want the program’s purpose to be. What will the mentor and the mentee gain? Read More

Beyond PVR — dig deeper for greater F&I success
What does success look like in the F&I department? How should it be measured? PVR (per vehicle retailed) is currently the most examined metric used to judge whether or not F&I holds its own as a profit center for the dealership. But is PVR the right thing to lean on, or is there a better way to measure success in F&I? Is this general number still okay in today’s F&I department? Are there more important metrics to drill down to for a better picture of what’s working and what’s not? Read More

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