January 5, 2012

December Vehicle Sales End 2011 on a High Note
An end of the year surge gave dealers a reason to celebrate, reports AIADA’s Market Watch. Overall sales, including domestic brands and unadjusted for business days, rose 8.7 percent from December 2010 and 10.3 percent over the whole of last year. Overall, international brand sales were up 5.5 percent from December 2010 and 6.6 percent year to date. Domestic automakers were up 12.5 percent and 14.7 percent for the year. Hyundai’s sales were up 13 percent from a year ago. Kia also saw sales rise 43 percent, Mercedes was up 28 percent, and Volkswagen was up 36 percent. Toyota was up just 2 percent and Honda, still struggling with interruptions in supply, saw sales fall by 19 percent. At the time of this release, BMW, Mercedes, Jaguar, and Land Rover have not released final sales numbers. As a result, the information for these manufacturers has been estimated by using credible industry sources. “We expect sales to continue to rise next year,” said AIADA President Cody Lusk. “International nameplate dealers in particular are looking forward to several high profile model refreshes in 2012, along with growing consumer interest in new car sales.” Read the rest of Market Watch’s coverage of how international brands fared in December and 2011 by clicking here.

Obama Makes Recess Appointments to NLRB, Consumer Financial Protection Bureau
President Barack Obama on Wednesday said he will use a recess appointment to put two Democrats and one Republican on the National Labor Relations Board. As reported by The Wall Street Journal, the move sidesteps Senate approvals. It came hours after the president said he would use the same process to install Richard Cordray as head of the new Consumer Financial Protection Bureau. The appointees include Democratic union lawyer Richard Griffin, Democratic Labor Department official Sharon Block, and Republican NLRB lawyer Terence Flynn. The board lost its quorum and much of its decision-making ability on Tuesday when the term of Democrat Craig Becker – an earlier recess appointee – expired. According to Bloomberg, President Obama’s decision to install Richard Cordray as director of the Consumer Financial Protection Bureau will expand the agency’s reach into non-bank firms. Congressional Republicans, who opposed Democrats’ plans for the agency in talks leading to passage of Dodd-Frank in 2010, sought to block the seating of a director until changes were made in its funding and structure. Read more from Bloomberg on the recess appointment of Richard Cordray here. For coverage of the recess appointments of NLRB board members at The Wall Street Journal, click here.

BMW Projected to Have Outsold Mercedes to Win U.S. Luxury Title
The BMW brand may have outsold Mercedes-Benz in the United States last month to cement its victory as the top-selling luxury brand for the year, according to an estimate of their sales. BMW, with total U.S. 2011 sales estimated at 248,073, outsold Mercedes by 2,804 vehicles, according to Autodata estimates. Both automakers increased incentives in November and carried forward customer discounts into December, according to Ivan Drury, an industry analyst with Edmunds.com. Mercedes increased incentive spending in November by 39 percent compared with a year earlier and BMW's incentives rose 25 percent, reports Automotive News. Many of those discounts and incentives are on the C class and 3 series, which are the automakers' top sellers. This year, BMW and Mercedes will probably see greater competition from Lexus and Volkswagen AG's Audi, Edmunds's Drury said. Mark Templin, head of U.S. Lexus sales, said that the brand will grow about 20 percent this year with new products "We expect to be the fastest growing luxury brand in the industry," Templin said in a conference call. "We'll have a huge volume swing especially because of the launch of nine new vehicles. It gives us a big push this year." Read more on the luxury sales race here.

2012 Detroit Auto Show: A Sneak Preview
The North American International Auto Show is the traditionally the first car show of the year, reports Forbes. Once a place for car lovers to envision the dream cars of the future, the show is now a leaner, business-minded portfolio of what’s happening in the automotive business. Detroit was once the end all, be-all of car creation. These days, Detroit is more of a foundation for what’s happening worldwide, as the focus is on growth in global markets for even the domestic automotive companies. Just as important for the car companies is another conference happening simultaneously in Las Vegas – CES. Yet, thousands of journalists and analysts will still travel to Detroit to soak up new product and concepts cars. Many of the brands will unveil new cars, attempt to prove their value in strategy and sales figure speeches, and create more buzz about cars already shown in the fall at the Tokyo Motor Show, and shows in Geneva, Frankfurt, and Los Angeles. While some of the information I have remains embargoed until the media previews start next week, click here to check out the news that’s floating around the car universe on what to expect during next week’s unveilings.

Hyundai Motor America Reveals Plans, Rendering for New U.S. Headquarters
Auto Remarketing reports that Hyundai released a rendering of its proposed new U.S. headquarters in Fountain Valley, Calif. With plans to build the most expensive office building ever in the U.S., Hyundai Motors is celebrating a new beginning, as well as presenting its “vision for the future," with the release of a rendering of its proposed new headquarters in Fountain Valley, Calif. The new building – to be built in the OEM's U.S. base of operations for the past 20 years – will represent more than a $150 million investment. Click here to see a rendering of the new headquarters. Company officials noted this is the largest sum ever allotted for the construction of an office building in the U.S. Hyundai Motor America chief executive officer John Krafcik said, "This new national headquarters represents Hyundai's vision for the future and reflects the innovation and creativity that our brand has come to represent. Company officials stated that construction of the new building is expected to begin this spring and is projected to generate approximately 1,530 direct and indirect jobs during the estimated 19-month building process. The building is predicted to be completed by the fall of 2013. For more on Hyundai’s new headquarters, click here.

First Impressions are Critical. Does Your Team Look their Best?
First impressions are critical in this business. Successful dealers know a unified, professional look boosts your dealership’s brand and helps ensure a positive first impression. AIADA’s Affinity Partner, Lands’ End Business Outfitters understands this and offers thousands of high-quality apparel options. Now through Friday, January 13, get 30 percent off at Lands’ End Business Outfitters. Must mention EMSAVE30. (Valid on Lands’ End Labeled and Promotional Products.) Need to set up your logo? Lands’ End can help. Call (800) 770-9315 to speak with a Lands’ End consultant or click here to shop the AIADA Promotional Store. Whatever your needs are, Lands’ End’s quality is Guaranteed. Period.^® 

Around the Web  
Bugatti Veyron Grand Super Sport Set for Geneva Debut [MotorAuthority]
Photo Gallery: 2011's Concept Cars [Edmunds Inside Line]
Top Gear Stars' Car of the Year Winners [Autoblog]
Woman Sues Cop for Ticketing Her . . . Then Asking Her Out [USA Today]