Chairman's Blog: Not Voting? Now That's Scary
AIADA Chairman Jason Courter writes in his latest blog that a lot of people are looking forward to Halloween this year, and the release from stress that a spooky, candy-based holiday can bring. However, as much as we anticipate donning masks for a FUN reason, we can’t lose sight of the fact that another big event looms on the horizon: Election Day. Voting is more than a right; it’s our civic duty. And it’s a duty that we all must take seriously and execute with foresight and careful consideration. As dealers, we have a responsibility to not only set a good example within our community, but also to ensure that our employees are given an opportunity to get to their polling place. In some areas voting has already started. In others, you still have time to register. Head to Vote.org to check your registration status and refresh yourself on the voting regulations in your state. Voting is our duty, and it’s one of the most essential actions you can take to protect your business, your employees, your family, and your community. So please, do your part, and wear your “I Voted” sticker on November 3rd with pride. Read more here.
#DealersDoGood Friday
Each Friday, AIADA highlights dealers who are doing great things in their communities. Check out this week’s shout outs. If you know of a dealer or dealership who should be highlighted for their community outreach efforts, let us know here, or spread the word on social media by tagging @AIADA_News and using the #DealersDoGood hashtag.
Bob Ross Auto Group in Centerville, Ohio, has partnered with local hospitals to host mammogram screenings at its dealerships. The clinics, aimed at providing mammograms to women who have rarely or never had one, are spearheaded by the Norma J. Ross Foundation, founded by former AIADA Chairwoman Jenell Ross in memory of her late mother and dealer Norma Ross, in conjunction with its Pink Ribbon Driven initiative. The Bob Ross Auto Group donated $50 for every vehicle sold in September to the American Cancer Society, and in October it is donating $75 of every vehicle sale to the Norma J. Ross Memorial Foundation. Check out a picture of its recent activities here. Read more about the Norma J. Ross Foundation, Pink Ribbon Driven, and its efforts during October and beyond at njrmf.org.
The Suburban Collection, with dealerships in the Troy, Michigan, region, recently announced the launch of “Drive Away Hunger,” a fundraising campaign engaging staff and community, to raise 1 million meals for Gleaners Community Food Bank by the end of 2020. “For decades Gleaners has been an unwavering lifeline for those facing hunger and continues to rise to the occasion now, when they are needed more than ever,” said David Fischer Jr., president and CEO of The Suburban Collection. “Across The Suburban Collection, our team members are enthusiastic and determined to meet the one million meal goal in support of Gleaners’ work for our community.” Prior to the onset of the COVID-19 pandemic, 1 in 5 people in Southeast Michigan struggled with hunger. Now, Feeding America, representing a nationwide network of more than 200 food banks, predicts an additional 212,000 people will be at risk of hunger in the region. Read more about the Suburban Collection’s “Drive Away Hunger” initiative here.
Subaru CEO: U.S. Auto Sales May Take Three Years to Recover from COVID-19
U.S. auto sales may take three years to recover to pre-coronavirus pandemic levels even as sales continue to rebound from an April low, the CEO of Japanese automaker Subaru Corp. said Thursday. "The feeling of Subaru America is that a return to the 17 million vehicle level could take two to three years," Tomomi Nakamura said during a press roundtable in Tokyo. In 2019 light vehicle sales in the U.S. totaled 17.1 million, according to the Automotive News Data Center. The U.S. market accounts for around two-thirds of Subaru's sales. The maker of the Outback and Forester sport-utility vehicle crossovers will see likely see U.S. sales of around 600,000 this year compared to a forecast of 700,000 made before the coronavirus outbreak, Nakamura said. That figure may grow to around 660,000 next year, he added. Read more here (Source: Automotive News).
Retail Spending Likely Rose in September on School Supplies, Vehicle Sales
Retail sales likely increased in September for the fifth month in a row, as consumers prepared for further months of working and studying from home by spending at home-improvement stores and on appliances and vehicles. Economists surveyed by The Wall Street Journal predicted that retail sales increased a seasonally adjusted 0.7% in September from a month earlier. That would mark a slight increase from the 0.6% increase recorded in August. Still, other data indicate the economic recovery is losing momentum. Overall consumer spending remains below prepandemic levels because outlays on in-person services such as dentist’s visits, travel, and sporting events haven’t fully rebounded. Monthly job gains have slowed in recent months. New applications for unemployment benefits, a proxy for layoffs, rose last week to the highest level since late August. And more workers are reporting their layoffs are permanent. Read more here (Source: The Wall Street Journal).
Daimler Posts $3.6B Operating Profit in Q3 on Sales Recovery, Cost Cuts
Daimler's earnings snapped back in the third quarter, with recovering car sales and cost cuts giving the Mercedes-Benz maker the confidence to predict its momentum will last through the end of the year, reports Automotive News. Earnings before interest and taxes surged to 3.07 billion euros ($3.6 billion) for the three months ended in September, Daimler said late Thursday. The preliminary operating profit exceeds the company’s result a year ago and far surpasses the 1.61 billion-euro average estimate among analysts surveyed by Bloomberg. “The third quarter shows a very strong performance and provides further proof that we are on the right path to reducing the break-even of our company,” CFO Harald Wilhelm said in a statement. “We expect positive momentum to continue in the fourth quarter.” Read more here (Source: Automotive News/Bloomberg).
Webinar: Used Car Supersession
Join the next AutoTalk on October 27 at 2 p.m., where a panel will cover wholesale pricing and volume outlooks, as well as some best practices to stay ahead of the curve. Tune in to hear what some of the most successful dealer groups are doing to meet the shortage of used cars.
Guests will include:
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Tom Kontos, Chief Economist, KAR Global: To provide real-time wholesale pricing and volumes through the various auction channels, and outlook for the remainder of the year.
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Bob Grill, Senior Partner Development Manager at Carfax and Mike Rossman, Automotive Consultant: Will share some innovative and contemporary best practices to address the current used car sourcing challenges.
Around the Web
Inside NYC's Insanely Loud Car Culture [NY Times]
Polestar 1: The World's Most Beautiful Hybrid Car Has Arrived [WSJ]
The Aston Martin DBS Superleggera Leads This Month's List of Discounts [Autoblog]
