Jan. 3, 2020
VW Bids Farewell to the Beetle with Big New Year’s Eve Campaign
Volkswagen is saying goodbye to the Beetle with a little help from a Beatles song, Kevin Bacon, Andy Warhol and Andy Cohen. According to Ad Age, a nostalgia-laden animated ad called “The Last Mile” got a significant push during New Year’s Eve TV programming, with airings on ABC, CNN, as well as digital billboard buys on Times Square. The spot depicts the iconic car’s role in the life of a man who is shown growing old with the Beetle, which ended production earlier this year. Click here to watch it. The ad is a sizable investment in a campaign for a car that won’t be sold again. The Beetle debuted in Nazi Germany in 1930s and later became countercultural force in the U.S., beloved by hippies. But VW killed the model this year—the last one rolled out of a Mexican plant in July—as more consumers dump small sedans in favor of crossovers and SUVs. The ad attempts to bridge the Beetle’s cultural heyday with VW’s future, which includes a heavy investment in electric vehicles. For the full story, click here.
Lower Fleet Shipments Ding Hyundai Results
Hyundai's U.S. sales slipped one percent last month behind weaker demand for several car and crossover models and sharply lower fleet shipments, though the brand posted an overall gain of three percent in 2019, reflecting an expanded crossover lineup. According to Automotive News, Hyundai’s December retail sales rose nine percent, driven by demand for the Santa Fe, Tucson, Kona and Palisade crossovers, even as the automaker's overall incentives per vehicle fell slightly to $2,796. Click here and scroll down for a chart comparing automakers’ December incentives. Most other automakers will report December U.S. results later Friday and overall light-vehicle demand is expected to fall, analyst say, in part because of one less selling day and one less weekend, even as incentives reach record highs. In November, U.S. sales hit a record 1.41 million for the month, likely pulling some volume forward across the industry, analysts said. For more on sales, including the SAAR outlook, click here.
Nissan Is Aggressively Cutting Costs but Says It Won't Affect Dealers, Shoppers
On top of former CEO Carlos Ghosn conducting a dramatic international escape from house arrest in Japan over the holidays, Nissan is dealing with more standard corporate turmoil issues: things like executive turnover and cost cutting. Car & Driver reports that recent changes in Nissan’s executive structure came with some new rules for the company. Most notably, Nissan Japan told managers at the end of December that they needed to slash nonessential spending and cut back on things like vehicle sales incentives and promotional events. Anyone looking to buy a new Nissan for the new year should not notice anything different. Dealers will operate normally, said Chris Keeffe, Nissan North America's director of corporate communications, and employees at Nissan and Infiniti dealerships are not affected. "Nissan will continue to support dealers with the tools they need for smooth operations," he said. "Customers can expect the same friendly and speedy customer service as always. Their buying experience will not be affected." For what might be affected, click here.
The 15 Most Important Cars of the Decade
As we say goodbye to 2019, we also bid farewell to the 2010s. There's no doubt that the last 10 years have produced some truly influential cars, from electric vehicles with practical driving range to SUVs that helped shape the modern automotive landscape. But which cars from the outgoing decade are the most significant? Click here to find out what the editors of MotorTrend picked as the most important cars of the decade. Their picks include the 2016 Volvo XC90 for its forward looking design, the 2011 Hyundai Sonata for its daring, coupe-like exterior styling, and Volkswagen's TDI Diesel Lineup and "Dieselgate," which can also take credit for killing the myth of "clean diesel." For all 15 picks, including what the editors had to say about the Tesla Model S, click here.
Automakers Follow Apple's Lead by Debuting Technology at Private Events
While there might be some news from automotive suppliers on the latest technologies for future vehicles, don't expect much from the Detroit Three automakers at the CES technology show next week in Las Vegas. According to the Detroit News, automakers have pulled back from the Consumer Technology Association's annual trade show, just as they have they have come to rely less on traditional auto shows to showcase their latest products and technology. Shows like these cost a lot, and automakers must fight to get their messages heard through the competing din of all the other news that's being released. Instead, automakers are following the lead of Tesla and Apple: showcasing their latest technology at their own private events. "The problem is at CES you have thousands of companies there all vying for attention. It’s easy to get lost in the crowd," said Sam Abuelsamid, principal analyst at Navigant Research. "They do it at their own events where it’s a lot less expensive and they aren’t fighting for that attention." For more on this strategy, click here.
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Around the Web
The Cars We're Most Looking Forward to in 2020 [CNet]
Watch Us Fix Toyota Supra's Most Annoying Problem with Cardboard and a Roll of Tape [Car & Driver]
Elon Musk: Underground ‘Loop’ Tunnel Could Open in Vegas This Year [AutoBlog]
Behind a U.A.W. Crisis: Lavish Meals and Luxury Villas [NYT]
