Tesla to drop stores for online sales only

Tesla to drop stores for online sales only https://ift.tt/2ECBIYj

Tesla said it will largely abandon its long-controversial retail model of factory-owned stores, turning instead to an equally radical model for selling vehicles — online sales only.

Tesla launching $35,000 Model 3 with deliveries as soon as next month

Tesla launching $35,000 Model 3 with deliveries as soon as next month https://ift.tt/2NAfNEb

The Model 3, when first shown off by CEO Elon Musk in March 2016, was promised to be a $35,000 car -- before incentives -- to appeal to the mass market. But Tesla had never managed to sell the car at that price. 

Cars.com review continues; 2018 earnings plunged

Cars.com review continues; 2018 earnings plunged https://ift.tt/2Vlv5iG company began a strategic review of its business in September and revealed in January that the process could ultimately lead to a sale. Earnings plunged in 2018.

30-day auto loan delinquency rate drops slightly in Q4, Experian says

30-day auto loan delinquency rate drops slightly in Q4, Experian says https://ift.tt/2UaRj6N

Despite an uptick in serious auto loan delinquencies, the 30-day delinquency rate is improving, according to Experian.

Automakers need a consensus on EV tax credits, Dingell says

Automakers need a consensus on EV tax credits, Dingell says https://ift.tt/2Xt6CtC

Any new rules on EV tax credits should restrict companies that close plants and move them offshore from receiving the benefit, Rep. Debbie Dingell said.

U.S. auto sales projected to fall again in Feb.

U.S. auto sales projected to fall again in Feb. https://ift.tt/2Vn7r5p second straight monthly sales setback to start the year would signal that an era of declining demand has finally arrived.

A new digital future for AutoNation?

A new digital future for AutoNation? https://ift.tt/2XB8noS

As Carl Liebert, a digital pro, becomes AutoNation's CEO next month, a digital F&I component could be front and center.

Half of public dealership groups hit record F&I profit per vehicle

Half of public dealership groups hit record F&I profit per vehicle https://ift.tt/2EezLjw of the six largest public new-vehicle dealership groups increased F&I profit per vehicle on a same-store basis in the fourth quarter. Executives pointed to technology in the F&I office, higher customer traffic and training in underperforming stores as profit boosters.

Napleton Automotive Group buys 3 Minnesota dealerships

Napleton Automotive Group buys 3 Minnesota dealerships https://ift.tt/2Ns3qtR Napleton Automotive Group bought Lexus of Wayzata, Lexus of Maplewood and Village Chevrolet in Wayzata in suburban Minneapolis from Village Automotive Group. The transaction closed Monday.

Zurich acquires service contract app company

Zurich acquires service contract app company https://ift.tt/2NvmQhy

F&I product and training company Zurich North America is acquiring an app developer after piloting the technology to help sell service contracts in dealership service departments.

Dealer anniversaries

Dealer anniversaries https://ift.tt/2GLcGsg

Dealers featured this week include Dave Everett, owner of Everett Chevrolet-Buick-GMC in Hickory, N.C.; and Land Rover San Diego.

Sonic takes axe to costs

Sonic takes axe to costs https://ift.tt/2Nrdaoa

Sonic Automotive Inc. is the second public auto retailer to cut jobs and announce a restructuring program amid concerns 2019 will be a tough year for auto retailers.

New leader brings supply-chain savvy to AutoNation

New leader brings supply-chain savvy to AutoNation https://ift.tt/2GHQ1gK

Hundreds of hand-raisers failed to meet Mike Jackson's impossibly high standards for his hand-picked successor as AutoNation's CEO. He finally found what he wanted -- in an executive without auto experience

DMS giants sharpen their focus on customer service

DMS giants sharpen their focus on customer service https://ift.tt/2H1aSLh the dealership software giants try to prevent defections to a growing array of alternatives, they say they're focusing more on keeping dealers happy.

Publics adapt as buy-sells rev up

Publics adapt as buy-sells rev up https://ift.tt/2GJbOVm

Many of the public auto retailers say the buy-sell environment is heating up in 2019 and they are fielding calls from sellers. They are being careful in their buying strategy and also are divesting stores that are underperformers.

Vendor collaboration could simplify business for dealers

Vendor collaboration could simplify business for dealers https://ift.tt/2NrIMdf

Promises of increased data sharing and software integration signify a potential renaissance in vendor collaboration that could reduce headaches for dealers and help save them money.

How auto retailers should lure top talent

How auto retailers should lure top talent https://ift.tt/2GHMD5x

Dealers need to market open positions in the same way they do cars on their lot to find top salespeople and service techs, and lure top talent from other fields. The survival of their industry depends on it.

Polestar's low-cost dealership strategy

Polestar's low-cost dealership strategy https://ift.tt/2NrILGd

Volvo-affiliated EV startup Polestar is proposing a low-cost U.S. dealer network with small and modest stores, no F&I offices, zero inventory and outsourced service.

Honda Passport will get TV push during Oscars, sporting events

Honda Passport will get TV push during Oscars, sporting events https://ift.tt/2U2G4NI has put together a full marketing itinerary for its recently launched Passport crossover.

Auto origination bump in Q3 of 2018 smaller than expected

Auto origination bump in Q3 of 2018 smaller than expected https://ift.tt/2GCAmPB originations grew half a percent year-over-year, substantially below TransUnion's initial origination forecast of 5.5 percent growth.

Subaru reaches top of Consumer Reports' rankings; Tesla falters

Subaru reaches top of Consumer Reports' rankings; Tesla falters https://ift.tt/2GBZXbn

In an annual reliability scorecard, Subaru narrowly topped last year's winner, Genesis, and Tesla's Model 3 failed to win a "recommended" rating as the brand tumbled.

Is Tesla a cult? Sonic's Dyke wonders as BMW takes hit

Is Tesla a cult? Sonic's Dyke wonders as BMW takes hit https://ift.tt/2ElaR2N

One of the largest U.S. auto dealers just had a rough quarter selling BMWs, and a top executive said Tesla played a major role.

Would-be Tesla customers grouse as deposit refunds take months

Would-be Tesla customers grouse as deposit refunds take months https://ift.tt/2DWijjM

Seventeen people interviewed for this report described months of effort to get Tesla to refund their deposits.

Sonic Automotive cut 6% of corporate staff in quarter

Sonic Automotive cut 6% of corporate staff in quarter https://ift.tt/2ImmNFE

Sonic Automotive, preparing for a tough year ahead, said interest rate hikes in 2019 could erode profits.

How to break the F&I stereotype

How to break the F&I stereotype https://ift.tt/2BFIRVR can F&I managers convince customers that negative F&I stereotypes are as obsolete as eight-track tape players? Savvy dealers, general managers and finance managers weigh in.

Sonic Automotive cuts 6% of corporate staff

Sonic Automotive cuts 6% of corporate staff https://ift.tt/2XnhWYq

Sonic Automotive, preparing for a tough year ahead, said interest rate hikes in 2019 could erode profits.

Tesla plans Model 3 leases to boost demand, report says

Tesla plans Model 3 leases to boost demand, report says https://ift.tt/2Ip7egv

An email stated that employees will be able to lease a Model 3 within the next two weeks, Electrek reported.

China's Zotye adds marketing vet Jan Thompson to U.S. team

China's Zotye adds marketing vet Jan Thompson to U.S. team http://bit.ly/2IrbdJs

Zotye, the Chinese automaker planning to begin retail operations in the United States in late 2020, has hired two top marketing executives, including former Toyota-Mazda-Nissan exec Jan Thompson.

For many small family dealers, it's ?grow or go'

For many small family dealers, it's ?grow or go' http://bit.ly/2SGorH8

They're looking at an industry that's being transformed by consolidation, technology and increasing capital demands — and deciding to get out.

Dealer anniversaries

Dealer anniversaries http://bit.ly/2SJbCeS

Dealers featured this week include Dale Zude, president of Courtesy Car City, a Nissan-Kia-Mitsubishi dealership in Moline, Ill.; and Doug Kool, dealer principal of Kool Toyota in Grand Rapids, Mich.

Growing backlash against stair-steps

Growing backlash against stair-steps http://bit.ly/2DLTJSu

Some dealers say they'll no longer chase automakers' targets in a shrinking market. And one is working to help dealers fight back against the reviled incentives.

OBITUARY: Dick Kempthorn

OBITUARY: Dick Kempthorn http://bit.ly/2GwM2U9 dealer Dick Kempthorn died Feb. 8. He was 92.

Fla. store puts service parts near its techs

Fla. store puts service parts near its techs http://bit.ly/2SMVyJq

All the back-and-forth walking from DeLuca Toyota's service bays to the parts department was inefficient and counterproductive for time-sensitive repair orders. So now the parts come to the work.

Honda vows to back off CR-V spiffs

Honda vows to back off CR-V spiffs http://bit.ly/2DNtTNR

It looked like Toyota and Nissan had drawn Honda into a compact-crossover inventive battle. A key question now is how long Nissan can keep up the pace in a softer market.

Mediation ordered for Ford Credit, Texas group

Mediation ordered for Ford Credit, Texas group http://bit.ly/2IkdTZm consumers affected by the Texas dealership group as a concern, Judge Robert Jones has ordered Ford Credit into mediation with Reagor Dykes.

Toyota to ramp up accessories

Toyota to ramp up accessories http://bit.ly/2SFizh2

Toyota is giving its dealers another source of profits with a line of factory-developed accessories for its pickups and SUVs.

NADA can help fight stair step incentives

NADA can help fight stair step incentives http://bit.ly/2DQ96JA

Pushing back on seemingly arbitrary "sales effectiveness" targets is the kind of case that NADA can support — and does with some success.

New study says dealership service customers demand transparency, convenience

New study says dealership service customers demand transparency, convenience http://bit.ly/2SYWSb8

New-vehicle dealerships are losing as much as $266 billion a year in service revenue — $15.9 million for the average dealership — because they are falling short on keeping customers, a study estimates.

Most dealerships still fumble sales-to-service handoff

Most dealerships still fumble sales-to-service handoff http://bit.ly/2GyLzke easy way a dealership can start to build loyalty and retention among service customers is for salespeople to introduce car and truck buyers to the service department when the vehicle is delivered. But a new survey of consumers suggests that such handoffs occur less than half the time.

Virginia dealership group trains nonviolent inmates to become its service techs

Virginia dealership group trains nonviolent inmates to become its service techs http://bit.ly/2SYLMD3

Virginia dealership group fights service technician shortage by training and hiring nonviolent jail inmates

Service counter

Service counter http://bit.ly/2NcfTSe

Brick-and-mortar retailers attracted two-thirds of consumer dollars spent in 2017 on automotive specialty equipment, a report says. New-vehicle dealerships captured about one-seventh of that market.

Fixed in time

Fixed in time http://bit.ly/2SWxtPl

Two decades after it opened in 1938, Jaffarian's Service in Haverhill, Mass., sold Hudson and Rambler vehicles and built what the store's owners called the largest Dunlop Tire dealership in the Northeast.

Drivers for ride-hailing services can be a prime source of fixed ops profits

Drivers for ride-hailing services can be a prime source of fixed ops profits http://bit.ly/2TYcf12

Dealers who want to increase their fixed ops business should reach out to those who drive their vehicles the most: ride-hailing drivers.

Buick's U.S. lineup may draw on China

Buick's U.S. lineup may draw on China http://bit.ly/2V2M3T2

As Buick reshuffles its U.S. lineup, the brand expects GM China to play a bigger role.

Sonic warns of weaker Q4 profits related to BMW, Honda challenges

Sonic warns of weaker Q4 profits related to BMW, Honda challenges http://bit.ly/2X33Riw Automotive — for the second time in three quarters — has issued a profit warning for weaker-than-predicted quarterly results related to incentives and performance from BMW and Honda. The retailer is set to release fourth-quarter results Feb. 20.

Subaru emphasizes safety, capability with Forester ad campaign

Subaru emphasizes safety, capability with Forester ad campaign http://bit.ly/2DJcxBM

Subaru of America has launched its national ad campaign for the redesigned 2019 Forester and much like the vehicle itself, the commercials have a familiar look and feel.

Lithia gets Q4 lift from used cars

Lithia gets Q4 lift from used cars http://bit.ly/2tiXvOx

A double-digit percentage rise in used-vehicle sales and higher finance-and-insurance income helped give Lithia Motors, the country's fourth-largest dealership group, a boost in fourth quarter revenue and adjusted earnings. But net income dropped on a comparison with the year-earlier quarter that included a large one-time tax benefit.

Lithia boosts revenue, results, though year-ago tax gains ding net income

Lithia boosts revenue, results, though year-ago tax gains ding net income http://bit.ly/2S16YDU

A double-digit percentage jump in used-vehicle sales and higher finance-and-insurance income helped give Lithia Motors, the country's fourth-largest dealership group, a boost in both revenue and adjusted earnings for the fourth quarter of 2018. But net income dropped on a comparison to a year-earlier quarter that included a large one-time tax benefit.

Break the rules? Expect the consequences

Break the rules? Expect the consequences http://bit.ly/2E8iA48

Dealerships should document the penalties for violating store policies. If an employee can plead ignorance to the consequences of breaking a rule at a dealership, there's something missing from the compliance standards.

Serious auto delinquencies reach highest level since 2012

Serious auto delinquencies reach highest level since 2012 http://bit.ly/2UVm3bZ

The New York Fed is keeping a close eye on a recent uptick in auto loan originations to borrowers with subprime credit and an increase in delinquencies among younger buyers.