Tesla Model Y was the world's best-selling car in Q1

Tesla Model Y was the world's best-selling car in Q1 https://ift.tt/OHXIkMo

The premium midsize crossover beat the Toyota Corolla for the title with 267,171 Model Ys sold in the first quarter.

Tesla Model Y was the world's best-selling car in Q1

Tesla Model Y was the world's best-selling car in Q1 https://ift.tt/3ARQDid

The premium midsize crossover beat the Toyota Corolla for the title with 267,171 Model Ys sold in the first quarter.

Texas bill to ban 'forced financing' may be out of time

Texas bill to ban 'forced financing' may be out of time https://ift.tt/z2LckqB

SB1464 would have prohibited an auto dealership from requiring consumers to use financing from the retailer or its partner lenders. The bill also would have barred dealerships from charging more to customers who bring cash or outside financing to a deal.

Dealer-backed VC fund raises $13 million, lower than target

Dealer-backed VC fund raises $13 million, lower than target https://ift.tt/3PKQ7hu

Automotive Ventures had hoped to raise as much as $50 million for its DealerFund, but economic trends left investors more cautious.

Ford adds 1,000 Escapes to mobile service fleet

Ford adds 1,000 Escapes to mobile service fleet https://ift.tt/Ah7njaM

The automaker says dealers can use Escapes to perform light maintenance, software updates and some recall fixes.

With stores, Tekion could work out kinks

With stores, Tekion could work out kinks https://ift.tt/uORyFW5

Tekion has some great operating features, but its launch into the market was premature and facilitated by a few automakers wrongly buying concept over actual function.

Tekion made DMS switch easy for store

Tekion made DMS switch easy for store https://ift.tt/HmRU1sl

The Tekion package was installed in our store about 12 months ago. This was our fourth dealership management system in 30 years of operation. Tekion’s implementation team performed flawlessly.

Dealer anniversaries

Dealer anniversaries https://ift.tt/Y80Mkqh

Dealers featured this week include John and Tom Zimbrick, dealer principal and owner of Zimbrick European, a Mercedes-Benz dealership in Madison, Wis.; Jeff Wood, dealer principal of Tom Wood Group; Stapp Interstate Toyota in Frederick, Colo.; Tom Wilkins, owner of Wilkins Mazda in Elmhurst, Ill.; Robert Woodall III, dealer principal of Robert Woodall Cadillac in Danville, Va.; and Jim Barr, general manager of Crest Acura in Syracuse, N.Y.

Multiple Stellantis dealerships and a Kia store sell in Q1, Q2 deals

Multiple Stellantis dealerships and a Kia store sell in Q1, Q2 deals https://ift.tt/fgH1Lha

Two auto retailers ranked among Automotive News' top 150 dealership groups completed second-quarter acquisitions, while a regional group and a pair of partners also expanded in deals this year.

New-vehicle sales rebound in first 3 weeks of May

New-vehicle sales rebound in first 3 weeks of May https://ift.tt/XLfYKPM

Retail sales of new passenger vehicles surged 41 percent in the first three weeks of May as the market continued to rebound from the same pandemic-hit period last year, according to the China Automobile Dealers Association. 

Dealership service, parts sales for 2022

Dealership service, parts sales for 2022 https://ift.tt/HNuPaOm

Other NADA Data numbers include the number of technicians employed and number of repair orders written.

Maserati, Alfa Romeo, Mazda, Volvo and domestic dealerships sell

Maserati, Alfa Romeo, Mazda, Volvo and domestic dealerships sell https://ift.tt/fPq0MEj

Two auto retailers in top 150 dealership groups, including publicly traded Sonic Automotive, completed second-quarter transactions, while a pair of growing regional groups also expanded.

Mercedes-Benz shows off 8 new vehicles to dealers; electric CLA and GLC coming to U.S. in 2024

Mercedes-Benz shows off 8 new vehicles to dealers; electric CLA and GLC coming to U.S. in 2024 https://ift.tt/lSGu0KM

Fresh product and improved supply should lift Mercedes U.S. sales by 5 to 10 percent this year.

A look at some used-vehicle-only retailers in the U.S. (revenue in millions)

A look at some used-vehicle-only retailers in the U.S. (revenue in millions) https://ift.tt/ELlGUPH

Joining CarMax on the inaugural list is a mix of national and regional used-vehicle retailers with high-volume, multistore operations. There are also publicly traded online used-vehicle retailers that gained more prominence in the last decade and grew sales volumes substantially during the COVID-19 pandemic.

11 charged with stealing cars from 26 dealerships in Ohio

11 charged with stealing cars from 26 dealerships in Ohio https://ift.tt/ryIv01h

At one dealership, prosecutors said, some of the suspects gave a salesperson their real names while casing the showroom before stealing from it the same night.

Tesla offering discounts of over $1,300 on some U.S. Model 3 cars

Tesla offering discounts of over $1,300 on some U.S. Model 3 cars https://ift.tt/iUp9wnf

Facing economic headwinds and mounting competition, Tesla this year has aggressively cut vehicle prices in several regions and is resorting to the traditional automakers' tactic of offering incentives to clear inventory, analysts said.

North Carolina's Leith group recruits techs at Cars and Coffee event. It's a success.

North Carolina's Leith group recruits techs at Cars and Coffee event. It's a success. https://ift.tt/2OqoPHe

Cars and Coffee Morrisville draws auto enthusiasts from around the state. Leith Automotive Group is using the event to hire badly needed technicians and other workers.

Gilchrist Automotive expands with 3 acquisitions

Gilchrist Automotive expands with 3 acquisitions https://ift.tt/AhT9g62

The auto retailer purchased four dealerships in three deals this year to grow in Oklahoma and Texas.

Lawsuit: Kunes Ill. managers encouraged fraud, retaliated against staff who wouldn't deceive lenders

Lawsuit: Kunes Ill. managers encouraged fraud, retaliated against staff who wouldn't deceive lenders https://ift.tt/XITKArZ

The March 30 complaint by former Kunes Hyundai and Kunes Chrysler-Dodge-Jeep-Ram sales manager Scott Grodeck and former Kunes Auto Mall general manager Edward Boliaux alleges they experienced retaliation when they refused to commit fraud at Sycamore, Ill., Kunes locations.

Sutherlin group buys Lexus-Toyota car dealership, sells 3 stores

Sutherlin group buys Lexus-Toyota car dealership, sells 3 stores https://ift.tt/CdXLrQs

Sutherlin Automotive Group sold three dealerships in Georgia last month and reentered another Southeastern state on Monday.

Column: Customer data platform technology could be auto retail's next big thing

Column: Customer data platform technology could be auto retail's next big thing https://ift.tt/v5UuTDx

Customer data platform technology is designed to help make customer interactions more efficient and customize the experience. CDP has been around for a while but is new to auto retail.

Tesla price cuts are having their desired effect on Model Y

Tesla price cuts are having their desired effect on Model Y https://ift.tt/ipmj4cu

The Model Y crossover, which received Tesla's biggest price discount, saw registrations rise 79 percent in the first quarter. The Model 3 sedan's bump was just 11 percent.

U.S. vehicles get older and bigger as economic environment, consumer preferences change

U.S. vehicles get older and bigger as economic environment, consumer preferences change https://ift.tt/nwm3vCl

Consumers' choices to keep their current vehicles longer and purchase used instead of new are pushing the average age of U.S. vehicles up — a boon for the service industry. Passenger cars are the oldest on average; electric vehicles are the youngest.

Ford dealer gives $5,000 scholarship to every applicant

Ford dealer gives $5,000 scholarship to every applicant https://ift.tt/ij38zUW

"If I can help people, it's my responsibility to do that," said Bazzy, who didn't attend college after graduating from high school outside Pittsburgh in the 1970s.

Tesla, other EV makers likely cost California dealers $910 million in 2022 profit opportunity

Tesla, other EV makers likely cost California dealers $910 million in 2022 profit opportunity https://ift.tt/yagh5P2

The lost profit opportunity breaks down to nearly $700,000 per dealership.

CarGurus Q1 net income down; digital wholesale revenue nose-dives

CarGurus Q1 net income down; digital wholesale revenue nose-dives https://ift.tt/E1FzO4h

The company's digital wholesale division, which includes trading platform CarOffer, saw a higher loss and a major drop in revenue, but CarGurus CEO Jason Trevisan said executives have taken steps to stabilize the business.

Vroom reports $75M net loss, shrunken revenue in Q1

Vroom reports $75M net loss, shrunken revenue in Q1 https://ift.tt/zPjl9yU

The retailer expects its gross profit per vehicle to improve in the second half of the year as it sells a higher mix of newer inventory, CEO Tom Shortt said.

New COO at JM Family; new presidents at JM&A, Southeast Toyota Finance

New COO at JM Family; new presidents at JM&A, Southeast Toyota Finance https://ift.tt/B5xSbdU

New JM Family COO Dan Chait had been president of Southeast Toyota Finance since 2012 and took on the JM&A Group presidency as well in 2021. JM Family has tapped Scott Gunnell to replace him at JM&A Group and Bill Shope to take over the presidency at Southeast Toyota Finance.

NADA Data: 2022 new-car inventory up; vehicle sales per dealership down

NADA Data: 2022 new-car inventory up; vehicle sales per dealership down https://ift.tt/UROiJfE

Franchise dealerships' total payroll in 2022 was up from 2021, but the average number of new and used vehicles sold per employee fell.

TrueCar used-car valuation tool launches as Q1 revenue drops, losses rise

TrueCar used-car valuation tool launches as Q1 revenue drops, losses rise https://ift.tt/d0KZRAz

TrueCar Wholesale Solutions is designed to help the company make the most of strong used-car demand.

New-car sales surge 56% in April

New-car sales surge 56% in April https://ift.tt/tnITD5K

Surge reflects rebound from April 2022, when Shanghai, China’s largest city and auto production hub, was locked down to contain a new way of coronavirus infections.

Ford, Stellantis and GM car dealerships sell in Iowa and Arizona

Ford, Stellantis and GM car dealerships sell in Iowa and Arizona https://ift.tt/GE1SYJN

Stores in Iowa and Winslow, Ariz., a town immortalized by the Eagles hit "Take It Easy," sell in 2022 deals.

Richest man in Vietnam reinforces risky $8.2 billion wager on VinFast

Richest man in Vietnam reinforces risky $8.2 billion wager on VinFast https://ift.tt/V6kfrq2

Pham Nhat Vuong's $8.2 billion investment so far has yielded just 93,000 vehicles and 162,000 e-scooters.

Guest commentary: Dealers, prep for straight talk on rates, value

Guest commentary: Dealers, prep for straight talk on rates, value https://ift.tt/CA3N5kP

During a recession, customers are willing to buy value even though they also seek the cheapest deal, APCO Holdings Training and Development Vice President Jeremiah Shelton writes in a guest column.

April auto sales defy economic uncertainty

April auto sales defy economic uncertainty https://ift.tt/9AH7WxD

Thanks to more inventory and rising incentives, consumers blew past higher interest rates and tightening credit to continue spending on cars and trucks. Fleet sales also played a large role in boosting April sales.

Carvana posts smaller Q1 net loss; revenue falls 25 percent

Carvana posts smaller Q1 net loss; revenue falls 25 percent https://ift.tt/6WaNqXj

The online used-vehicle retailer reported a net loss of $286 million for the quarter ended March 31, smaller than its loss of $506 million in the year-ago period. Revenue fell 25 percent to $2.6 billion.

Cars.com Q1 revenue and net income climb; dealer customers dip

Cars.com Q1 revenue and net income climb; dealer customers dip https://ift.tt/86uW1Sm

The company's acquisitions of Accu-Trade and CreditIQ over the last two years are helping to boost results.

Lighting fires in a positive way

Lighting fires in a positive way https://ift.tt/6DrZjkv

Servant leaders light a fire under someone, not behind them, says FixedOps Marketing CMO Charity Dunning.

Fed delivers small interest rate hike, flags possible pause in tightening cycle

Fed delivers small interest rate hike, flags possible pause in tightening cycle https://ift.tt/plwc8Gz

The unanimous decision lifted the U.S. central bank's benchmark overnight interest rate to the 5-5.25 percent range. The Federal Reserve’s actions increase the likelihood of higher borrowing costs for new and used vehicles and other forms of credit.

Morgan Automotive Group buys 4 dealerships in Florida, including its first in Miami

Morgan Automotive Group buys 4 dealerships in Florida, including its first in Miami https://ift.tt/qpFcThJ

Morgan Automotive followed its acquisitive 2022 by adding 4 dealerships so far this year and has entered the Miami market.

Kia will push EV leasing to reap tax credit boon

Kia will push EV leasing to reap tax credit boon https://ift.tt/Fze1JUv

Kia will lean more aggressively into the Inflation Reduction Act provision that extends a $7,500 federal EV incentive to leasing customers.

Honda surges; Ford, Toyota edge up; Hyundai, Kia post double-digit gains

Honda surges; Ford, Toyota edge up; Hyundai, Kia post double-digit gains https://ift.tt/8R0oAyQ

Analysts estimate the overall U.S. new light-vehicle market expanded up to 5.7 percent in April, with fleet driving most of the gain, as inventories continue to recover.

Tesla revives popular Model 3 Long Range after hiatus

Tesla revives popular Model 3 Long Range after hiatus https://ift.tt/01B7s45

The automaker is taking orders for the extended-range version of the most popular EV sedan in the U.S. CEO Elon Musk said last year that the trim had been paused because of too much demand.

KAR Global announces rebrand under the name Openlane

KAR Global announces rebrand under the name Openlane https://ift.tt/smkfFYa

KAR Global's corporate name will change to Openlane on May 15, and the rebranded company will keep trading under the ticker symbol "KAR" on the New York Stock Exchange, according to a news release.

AutoNation announces Formula One partnership with Alpine

AutoNation announces Formula One partnership with Alpine https://ift.tt/sZ2Pekc

The retailer will sponsor the BWT Alpine Formula One team in the Miami Grand Prix in Florida, it said in a statement.

Honda surges; Toyota edges up; Hyundai, Kia post double-digit gains

Honda surges; Toyota edges up; Hyundai, Kia post double-digit gains https://ift.tt/eGYwagi

Analysts estimate the overall U.S. new light-vehicle market expanded up to 5.7 percent in April, with fleet driving most of the gain, as inventories continue to recover.

Hyundai, Kia rack up double-digit U.S. sales gains in April

Hyundai, Kia rack up double-digit U.S. sales gains in April https://ift.tt/YNEp7On

Analysts estimate the overall U.S. new light-vehicle market expanded up to 5.7 percent in April, with fleet driving most of the gain, as inventories continue to recover.

AutoNation customer experience exec Cannon to retire; CMO named

AutoNation customer experience exec Cannon to retire; CMO named https://ift.tt/O3ilPeK

A veteran retail industry marketing executive will become the dealership giant's new CMO. Marc Cannon will pivot to AutoNation's philanthropic efforts and then retire by the end of 2023.

Group 1 CEO Kenningham views some car dealerships as overpriced

Group 1 CEO Kenningham views some car dealerships as overpriced https://ift.tt/iVCy3FS

Group 1 Automotive Inc. is calling out some dealership sellers who it believes are pricing their businesses unrealistically high.

"There is a certain portion of sellers that have unrealistic expectations," Group 1 Automotive CEO Daryl Kenningham said during the company's first-quarter earnings call last week. "I always like to tell people, we will never win a bidding war, but we try to stick to discipline with what we will pay for a group of stores."

Group 1, of Houston, is pursuing acquisitions as a big part of its growth strategy. It's also using capital for share buybacks and investment in growth areas such as service and technology.

Its latest acquisition of Estero Bay Chevrolet in Estero, Fla. in the first quarter is expected to add an estimated $150 million in annual revenue.

More acquisitions are likely in the months ahead, but Group 1 is avoiding transactions in which sellers are asking exorbitant prices, Kenningham said. They're not realistic, he added, because they don't factor in future performance expectations.

"They're trying to price them based on what they did make last year, or even the year before, as opposed to what they will be making moving forward," Kenningham said.

Gross profit estimates in that scenario were "once-in-a-lifetime" results based on supply chain issues "and microchip shortages that we'll probably never see again," he added.

But not all dealerships on the market are overpriced, Kenningham said.

"Some sellers understand the market and where it's heading," he said. "We always tell people we're engaged with on our transaction [that] we try to make offers based on what we believe the stores will make, not what they did make. That's always our guiding light on how much to offer for a dealership group."

Buying and selling

Even as Group 1 pursues growth through acquisitions, it's selling some dealerships.

"I just see us trying to manage our portfolio aggressively," Kenningham said.

Group 1 disclosed in its first-quarter earnings that it unloaded two dealerships. In March, Key Auto Group, of Portsmouth, N.H., purchased Group 1's Boardwalk Acura in Egg Harbor Township, N.J., west of Atlantic City. The store was renamed Key Acura of Atlantic City.

Group 1 also sold Staten Island Buick-GMC in New York to Island Auto Group, of Staten Island. That group renamed the store Island Buick-GMC, according to co-owner Marcello Sciarrino.

"We own 80 percent of the market here, so it just helps us grow our market," Sciarrino said.

According to Sciarrino, the deal took seven to eight months to close.

Group 1 said those stores, plus a Jaguar new-vehicle franchise in New Mexico it resigned in March, produced a combined $50 million in annual revenue.

The franchise move was part of JLR's rethinking of the Jaguar dealership network, Kenningham said. Group 1 kept an adjoining Land Rover dealership, "which was the vast majority of the volume," he added.

Group 1 ranks No. 4 on Automotive News' list of the top 150 dealership groups based in the U.S., retailing 154,714 new vehicles in 2022 (some of which include sales outside the U.S.). Island Auto ranks No. 64 on the list, retailing 13,217 new vehicles in 2022.