Dealers Do Good
AIADA continues to recognize dealers who are making a difference in their communities in 2021 through our Dealers Do Good campaign. If you’re a dealer doing good, or you know about one, let us know here. Or, tag us on Twitter or Facebook with the #DealersDoGood hashtag.
Gettel Automotive Group’s Gettel Foundation recently donated $10,000 as part of its 9th annual Pack a Backpack drive supporting Florida’s Manatee, Sarasota, Charlotte, Marion, and Alachua Counties. The Education Foundations enhance the potential of local students and promote excellence in teachers and inspire innovation. Click here to check out a picture David Kelly, Chief Marketing Officer, and James Gettel, President of Gettel Automotive, with the check.
Lexus of Dayton in Centerville, Ohio, has teamed up with the Dayton Dragons for a charity home run challenge. The dealership reports it is donating $100 to the Dayton Food Bank for every home run hit by the Dragons. The challenge has raised over $12,000 to-date.
Quirk Hyundai in Bangor, Maine, has provided a Hyundai Kona EV for the Bangor Police Department. The vehicle was provided through the public safety lease program, which allows the police department to test the vehicle for three years. Click here for photos.
Volvo Warns on Sales as Supply Woes Drag Out
Volvo Cars warned that sales volumes in the second half could fall after it was forced to cut production due to material shortages, reports Automotive News. Global vehicle sales fell 11 percent to 45,786 from a year ago in August, despite strong underlying demand, the automaker said in a statement on Friday. Volvo cautioned that the potential decline in volumes in the second half could impact revenue and profit. Volvo said supplier shutdowns since mid-July due to local efforts to limit the spread of the highly contagious delta variant in southeast Asia had worsened an already strained supply situation, forcing it to halt production. A global chip shortage over the past year had already caused a major delay in manufacturing activity and forced several automakers to scale back output. Volvo's vehicle sales fell 25 percent in Europe in August while they rose 3 percent in the U.S. Read more here (Source: Automotive News).
BMW Launches New Sports Car Line in Mexico After Plant Expansion
German automaker BMW kicked off a new production line on Thursday for its Series 2 Coupe compact sports car at the company's two-year-old factory in central Mexico, doubling down on its Mexican operations in a push to accelerate global sales. Reuters reports that exports of the new models to North America are expected to begin by the end of this year, with European sales set to start in early 2022, the company said in a statement. According to BMW's U.S. web page, the 2022 models' starting price will range from about $36,000 to $59,000. BMW invested $125 million in the new production line for its San Luis Potosi factory, expanding its capacity beyond assembly of its initial model, the Series 3 sedan. Read more here (Source: Reuters).
Audi Unveils New Grandsphere Concept Car as a 'Private Jet for the Road'
Audi is touting its newest Grandsphere concept car as a “private jet for the road,” reports CNBC. While the vehicle can’t fly, the German automaker said it designed the electric car with such luxury private travel in mind. Specifically, the interior of the vehicle is designed to be able to transform into a “first class lounge” when the car is in self-driving mode, including a steering column that stows away for more space for the driver and front passenger. The concept car represents what the Volkswagen-owned brand believes it could achieve, as it pivots to electric and autonomous vehicles, according to company officials. Audi plans to exclusively offer EVs by 2033 after the last of its new vehicles with a gas-powered engine is introduced in 2026. Read more here (Source: CNBC).
Car Buyers Face Bleak Prospects This Labor Day Weekend
The U.S. auto industry is heading into one of its biggest selling weekends of the year with dealership lots stripped bare of inventory and some buyers having to drive great distances to secure a new ride, reports The Wall Street Journal. For a second year in a row, car shoppers are facing bleak prospects in trying to buy a car this Labor Day weekend. The period has historically been a time of blowout deals and big sales events for car companies and dealerships trying to clear out old vehicle stock to make way for the new model year. Some dealers are so short on vehicles that they are cutting their advertising budgets for the month and closing Friday and Saturday. “Customers are walking in and saying, ‘Hey, I really want this vehicle.’ Well, yeah, so do we,” said Scott Smith, president of Smith Automotive Group, which operates dealerships in the Atlanta area. “It’s been tough to meet all of the demand.” Read more here (Source: The Wall Street Journal).
KAR Global: Changing How We Look at Sourcing Inventory
With the industry’s shift to digital marketplaces, there’s greater access to vehicles and more profit opportunity, enabling dealers to work more efficiently than ever before. Pre-COVID, the average dealership was choosing from 650+ vehicles when purchasing in person and usually from just one auction. But buyers are now embracing integrated digital marketplaces to access thousands of vehicles digitally from multiple geographies throughout the entire week. With ADESA and BacklotCars, you have 24/7 access to 50,000+ vehicles daily. It’s resulted in buyers sourcing from across the nation and with significant price variation between markets, often finding vehicles cheaper. We help navigate all this inventory by leveraging data and technology to recommend vehicles tailored to your buying behavior and with the greatest profit opportunity for you. We match dealers with nearly 50 percent more vehicles that can turn quickly while earning you a sizable profit. So remember, when you’re looking at our recommendations, no one else is seeing those exact matches, because they’ve been curated specifically for you. Simply put, digital marketplaces aren’t here to disrupt your business, they’re here to help you accelerate it and KAR Global is here to be your partner on that journey, every step of the way.
Around the Web
The State of the Auto Retail Industry: A Conversation with Steve Shannon [Beltway Talk]
Jaguar C-Type Continuation Revealed [Car and Driver]
Land Rover Launches Defender V-9 Bond Edition [MotorAuthority]
