Dealers Capitalize on Boom in Used-Vehicle Sales
A few years back, some industry observers looked at the looming wave of off-lease vehicles ready to hit the used side of the business and figured values would take a hit. So far, that hasn't happened. Instead, reports Automotive News, a kind of equilibrium has been reached, in which demand has kept up with supply. "As far as I'm concerned, used is red hot," Andrew Stowe, senior director of vehicle valuations at J.D. Power, said at Used Car Week in Las Vegas. "This is where you want to be." Dealers, for the most part, seem to agree. But they also know they have to capitalize on the strong market while they can, as factors such as affordability drive buyers away from new vehicles, which have been carrying little if any profit margins, anyway. Some dealers, such as James Boening, executive director of Ourisman Lexus of Rockville in Maryland, are bullish on used. "We're pricing people out of the [new] market," Boening told Automotive News. "So I think used has a trajectory that's long." Read more here.
Ferrari Aims to Entice New Buyers with Roma Coupe
Ferrari unveiled a new, easy-driving coupe dubbed Roma aimed at attracting buyers who have been intimidated by sports cars and perhaps even the Prancing Horse’s racing heritage, reports The Detroit News. The Ferrari Roma is the fifth new model launched by the luxury sports car maker this year, and it’s one of 15 to be rolled out through 2022 under an ambitious model overhaul. “We believe we will attract an important number of new-to-Ferrari clients,” said commercial and marketing director Enrico Galliera. Unveiled in the Italian capital, the Roma is designed “for people who would like to drive a sports car, or a Ferrari, but are a little bit afraid of Ferrari and sports cars,” he said. According to The Detroit News, it brings a sports-car sleekness with the comforts of so-called Gran Turismo cars meant to be easy to drive over longer distances. Together with the SF90 Stradale — Ferrari’s first production series plug-in hybrid launched earlier this year — it represents a new kind of offering. Read more here.
California Has the Power to Shape America's Charging Grid
In an ad running on social media, San Diego Gas & Electric boasts that public EV chargers in the region are more plentiful than surfers at popular Swami's Beach, apple pies in the mountain town of Julian "or gas stations in all of San Diego." The same is true in much of the rest of California. But that still might not be enough to meet electric-vehicle growth projections, reports Automotive News. SDG&E, a private utility, estimates there are 1,500 public charging stations in the San Diego-South Orange County area. That sounds like a lot. But finding them and getting charged in Southern California or San Francisco can be a chore. Unlike gas stations, they're not always in high-traffic areas, and their fill-up time takes longer than five minutes. California is the epicenter for EV driving in the U.S., and it is central to the industry's projections on electric-vehicle sales in the coming decade. The solutions that the state and its cities and counties reach on how to keep all of its future EVs charged will shape the national charging grid. Read more here.
The Most Notable Debuts Coming to the 2019 L.A. Auto Show
Considering the trends dominating the U.S. automotive market you likely can guess the sorts of products that will dominate the debuts at this year’s Los Angeles Auto Show. That, of course, includes plenty of SUVs and a fair number of EVs, as well, including the Ford Mustang Mach-E that’s been generating big buzz leading up to the annual Tinseltown gathering. All told, the 2019 L.A. Auto Show will bring out around 50 new production and concept vehicles, about half of them appearing for the first time anywhere, others making their first public showing in North America. Here’s The Detroit Bureau’s list of the most important of the new models will be watching in Los Angeles – and, of course, keep coming back for even more complete coverage as they’re formally unveiled. Read more here.
UAW Workers Ratify Ford Contract Securing $9K Signing Bonuses, Pay Raises, New ProductAfter two weeks of voting with little drama or controversy, UAW workers ratified their four-year contract with Ford by 56.3% of the vote, the UAW announced Friday evening, reports The Detroit Free Press. The union announced the percentage without specific numbers after members finished casting votes nationally at 7:30 p.m. “Every Ford employee and temporary employee will be at the top-rate for full-time status at the end of this four-year agreement,” said acting UAW President Rory Gamble, who is Director of the UAW-Ford Department, in a prepared statement. “This is a life changing contract for many and provides a template for all future Ford UAW members to a full-time, top-rate status. There will be no more permanent temporary situations and no more permanent tiers.” Ford has more UAW members than any other automaker in the U.S. An estimated 55,000 workers are covered by the deal. Read more here.
Webinar TOMORROW: How to Protect Your Used Car Margins
AutoTalk's car gurus are back!
Tomorrow, Tuesday, November 19th at 2:00 p.m. EST, tune in as Bob Grill, Carfax Senior Partner Development Manager, along with Automotive Consultant Mike Rossman deliver a robust presentation detailing how to:
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Drive buyers, not just traffic
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Create better listing descriptions
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Skillfully win more trades
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Increase your closing ratio while holding your gross margins
Around the Web
The Cars We're Most Excited for in 2020 [Road and Track]
2020 Acura MDX Latest to Receive Plush PMC Touch [MotorAuthority]
Fully Autonomous Cars Could Be on Open Roads Within 5 Years [CNBC]
Jaguar-Land Rover Rules Out Downsizing Into New Segments [Autoblog]
