The Automotive Troublemaker w/ Paul J Daly and Kyle Mountsier

There is lots of action this Friday as we talk about Ford’s ‘teach in’ where it thoroughly explained its $3B EV Loss. We also talk about JLR offering Dealers more Land Rover Inventory for closing their Jaguar stores, as well as United Airlines first Air Taxis coming in 2025. Ford held a “teach in” yesterday to explain their new reporting structure to an audience of mostly reporters, which was perfect, because they started by explaining that they are set to lose $3B just this year on EVs. Last year’s loss was $2.1BThey also reported $7B in earnings from their Ford Blue Division and $6B from Ford ProLast year the company changed their financial reporting structure to focus on the various business units vs. performance in different regions. This was the first time that Ford publicly released results in this mannerCFO John Lawler reiterated, "Ford Model e is an EV startup within Ford, and as everyone knows, EV startups lose money while they invest in capabilities, develop knowledge, build volume and gain share."Speaking of recent hires from Tesla,  Doug Field and Alan Clarke “It’s about the talent we have,” Lawler said. “We all know there is one profitable EV manufacturer. The folks that designed those vehicles are at Ford.”What will luxury Dealers give up to get their hands on more of that high-margin luxury inventory? If you’re a Jaguar Dealer, you may be tempted to give up your Jaguar Franchise. According to reports JLR has begun reducing stores by as many as 40 as reported in AN citing a Dealer source who wanted to remain anonymousManhattan Dealer Jonathan Soble closed his Jag Franchise in February but retains the ability to service Jags. He is using the extra showroom space for more Land RoversIn Europe, Jaguar is shifting upmarket with three all-electric ultraluxury SUVs on its exclusive Panthera platform, starting at around $122,000.The brand's dealership footprint could look more like that of ultraluxury brands it aspires to compete against such as Aston Martin and Bentley, which have fewer than 50 US dealerships.United Airlines is working to launch the first commercial electric air taxi route in Chicago by 2025.The air carrier is partnering with Archer Aviation as a part of its intentions to go 100% green by 2050.The first proposed route will use Archer’s Midnight electric VTOL air taxi between O’Hare International Airport and Vertiport Chicago, the largest vertical take off and landing facility in North America.The trip will take about 10 minutes, as compared to upwards of an hour during rush hour, and will operate at “pricing that is competitive with ground-based ride share.”Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

We’re throwing down Thursday as we discuss why Carvana’s earnings surprised the market yesterday. We’re also talking about how more and more Dealers are using TikTok in their stores, as well as a new campaign by Coke that puts the power of the brand in consumers' hands by leveraging AI.  Yesterday, Carvana announced a much smaller core loss than most expected saying they are looking at a Q1 loss of $50-100 million. A year earlier the loss was $348m.  The announcement sent shares north to almost 30% before they came back down to close the day still up 12% The company credited the better than expected performance to aggressive cost cutting measures implemented over the past yearIn a regulatory filing, Carvana estimated Q1 sales will be between 76,000 and 79,000 units. Carvana sold 105,185 vehicles in the year-earlier period and it sold 86,977 in the Q4  2022.Carvana attributed the drop to higher interest rates, lower inventory size, lower advertising expenses and focus on its profitability initiatives.More and more Dealers and their employees are taking to Tiktok to pull the curtain back on the buying process and letting some secrets out in the process.Many of the most popular videos discuss hidden fees and explain how some dealers might use scarcity tactics to sell cars"TikTok has actually produced more sales, more calls, more immediate business than any of the others," said Jesse Cannon-Wallace, a salesperson at Mercedes Benz Atlanta Northeast in Duluth, Georgia, who has 121,100 TikTok followers.Tito Suave, a salesperson at Gettel Nissan in Sarasota, Florida with 548,300 TikTok followers, posts videos sharing word tracks some dealers use to try to pressure you into buying a car.In addition to the sharing, they also use the platform for walkarounds and educationsCoca-Cola has launched an AI platform, "Create Real Magic," which combines OpenAI's GPT-4 and DALL-E technologies that offers consumers in select markets access to Coke-branded elements for use in AI-powered art. The artists have the chance to submit work for digital billboards that could be featured in New York City and London. According to Coke "Create Real Magic" aims to democratize both Coke's brand iconography and "highest-profile advertising assets," with a focus on testing and scaling AI technology quickly.Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to Wednesday friends. Today we’re talking about a new Reuters/IPSOS poll about consumers' EV preferences. We also cover the continued slide of Lithium prices, as well as the return to push buttons in vehicles. According to a recent Reuters/Ipsos poll, over one-third of Americans would consider buying an electric vehicle for their next car, 34% of all respondents would consider purchasing an EV, with Democrats being more likely to consider it at 50%, compared to Republicans at 26%, and independents at 27%56% of respondents would be willing to pay no more than $49,999 for an EV, and 35% would want an EV that offers 500 or more miles of electric driving range per full chargeIn the next several weeks, the EPA plans to propose new, more stringent vehicle emissions rules through at least the 2030 model yearGood news for EV makers as battery-grade lithium carbonate prices experienced the biggest drop of the year in China yesterday, down 3.85% from Friday. Falling prices could help ease cost pressures, while lithium miners' shares have been hit. As opposed to the tripling of prices from Nov ‘21 to Nov ‘22, the market is set to drop a further 25% by year-end, according to a recent Reuters report. Factors include rare discounts from Chinese battery giant CATL and new capacity coming online from companies such as Albemarle and Livent.Electric vehicles currently make up 80% of lithium-ion battery demandIf you found yourself longing for that analog world after you realized that those new touchscreen controls in your fancy new car were kind of terrible, you aren’t alone. It also turns out, they are quite the safety hazard. That’s why Hyundai is committed to bringing them back. According to Hyundai's head of design, Sang Yup Lee, physical buttons are a necessity for common functions like climate control, radio controls, windows, and moreTactile feedback is essential for no-look controlSang Yup Lee, Head of Design at Hyundai suggested that the company may consider using touch controls more heavily when autonomous driving becomes more common. Until then, physical controls remain a priority for the automakerReddit users weighed in with many citing dangerous situations like digital steering wheel features auto activating when becoming wet from rain on entry Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to Tuesday Troublemakers. Today we’re talking about an absurdly fantastic new muscle car, an effort to ban the bans in the US House, as well as NYC residents banding together to push back on a new logo. In an effort to ‘go out with their boots on’, Dodge is celebrating the retirement of its current V8 engine Challenger and Charger by bringing back the Challenger SRT Demon with an edition CEO Tim Kuniskis  calls “the new pinnacle of factory crazy.”The Demon will produce 1,025 total horsepower, 945 foot-pounds of torque and reach 60 mph from a rolling start in 1.66 secondsIt is touted as being ‘barely street legal’ and is capable of popping wheeliesDodge was expected to reveal the car earlier this year, but engineers were “blowing up” engines attempting to get as much performance as possible out of the car, Kuniskis said. The problems led engineers to develop a new supercharged engine for the vehicle.The production run will be about 3000 units and will start around 100k going up to 120k w/ add onsThus far, at least a dozen US states have pledged to ban ICE vehicles by around 2035, amidst a rousing debate over who should get to decide what consumers choose to drive. Now a new bill sponsored by aftermarket behemoth, SEMA has entered the US House in an effort to ‘ban the bans’. HR1435 was introduced by R-PA Rep John Joyce and is being branded as the “Preserving Choice in Vehicle Purchases Act” and promoted as a bill designed to protect Americans’ right to choose the technology that powers their cars. “SEMA believes that vehicle owners should not be directed toward a specific technology, but rather be allowed to choose the type of vehicle technology that best serves them,” said SEMA CEO Mike Spagnola. “While electric vehicle technology expands clean transportation options, SEMA will continue to advocate on behalf of the industry that has helped make the internal-combustion engine (ICE) a reliable, affordable and clean option for millions of consumers.”This week, New Yorkers (NYC residents specifically) were greeted with a rebrand of the iconic ‘I love NY’ designed by Milton Glaser in 1977. The collaborative work from several NYC agencies and the city made not so subtle changes to the logo which now reads, “We Love NYC”. New Yorkers are not so subtly hating on it. The move is designed to spark pride in those who are committed to fighting for, and maybe just staying in, the city“The goal of the new campaign is to help combat ‘negativity.’ Well that didn't work.” “Part of me hopes that they've done this as a PR stunt. And in a few weeks, they will be like ‘just kidding.’”Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Happy Monday Troublemakers. Today we’re talking about Mazda’s newly appointed leader as well as the tricky insurance game when it comes to repairing EVs. We also talk about 7 Eleven’s plan to keep EV drivers moving across the country. Late last week, Mazda announced the appointment of a new President and CEO, ​​40-year company veteran Masahiro Moro to replace current President and CEO Akira Marumoto, who has held the seat since 2018Moro is currently a director and senior managing executive officer and had previously been the head of Mazda’s North America operationsMoro cites recent growth in the US and hopes to continue by upgrading its 360 Dealerships and targeting 1,000 vehicles a year per store initially. "If that can be done, next would be to work to 1,200 units," he said.Mazda also nominated Jeff Guyton, 56, senior managing executive officer and its current North America head, as chief financial officer and assistant to the president pending the June approval of the shareholders and board.Insurers in Europe are being forced to write off almost new EVs with only slight damage to unrepairable battery packs according to a Reuters report. While some automakers have made battery packs easier to repair, Tesla's Model Y, has a new structural battery pack that has been described by experts as having "zero repairability."A replacement battery for a Tesla Model 3 can cost up to $20,000, for a vehicle that retails for about $43kPeter Gruber, owner of  Phoenix, Arizona, Gruber Motor Co has mostly focused on replacing batteries in older Tesla models says "An insurance company is not going to take that risk because they're facing a lawsuit later on if something happens with that vehicle and they did not total it," he said citing lack of data accessibility on TeslasAs a result, insurance premiums on EVs are higher than combustion vehicles. In Europe, as high as almost 30% moreThe company who brought us everyday concepts that were once unheard of such as; coffee in a to-go cup, self-serve fountain soda, and being open 24 hours is now planning on shaking up the EV Charging space. That company is 7 Eleven. Last week they announced their 7Charge network of EV chargers that will be rolling out across the US and CanadaIn a release, the company is looking to build “one of the largest and most compatible” networks and are also releasing a companion app to help them do soNetwork will be owned and operated by the company and powered by 100% green energyThere are already active chargers in several states including Florida, Texas, Colorado, and CaliforniaGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

It’s Friday and we’re on the final lap of the week as we talk about a new Mississippi ban on aut manufacturers selling direct to consumers. We also talk about VW’s new low-cost EV, we also talk about the new Microsoft Office add on that does the work for you.Earlier this week, Mississippi passed a bill that bans EV manufacturers from directly selling their vehicles, instead mandating that they work with franchised dealerships. The law includes a limited exception for Tesla's existing outlet in the state Supporters of the new legislation say it will protect small car dealerships across Mississippi EV startups including Rivian and Lucid have criticized the move, claiming it will hinder consumer choice and harm the state's economyVolkswagen, has unveiled a “plug-in for the people” with its ID. 2all concept unveiled  Priced at $26k and boasting a range of 279 miles, this Golf-lookalike hatchback is set to be the plug-in car for the masses. VW even took a not-so-subtle jab at Tesla, unveiling the car at an investor event just weeks after Elon Musk failed to reveal his own affordable EV. Looks alot like a VW Golf hatchback with it’s strong C Pillar designCharges from 10 to 80% in 20 minutesHas a “self explanatory” interior with different screen theme options like ‘retro’ featuring analog gauges and a rolling tape deck when playing musicWith plans to invest 180 billion euros ($193 billion) over five years in battery production and raw materials, VW hopes to overtake Tesla and others by increasing its market share. Expected release in 2025 with an even lower cost model, the sub $20k ID.1, planned shortly afterMicrosoft Office has been a place where millions of people get work done. Now the company is heavily deploying AI Language Model Chat GPT throughout the software suite to actually do the work for you with a new integration called “365 Copilot” Combines OpenAI’s GPT-4 with Microsoft 365 apps like Word, Excel, PowerPoint, Outlook and Teams to provide natural language controls by which a user can create presentations, generate text, suggest tones for writing and manage inboxes, as well as providing real-time summaries and action items, amongst other functions. The demo video shows some impressive power highlighting scenarios where the user prompts were‘Draft a proposal from yesterday’s meeting notes’‘Analyze the quarter’s business results and summarize key trends’‘Create a short presentation based on ______”Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

It’s Thursday and we have a full charge as we talk about Lithia’s entry into Great Britain. We also cover JD Power’s new report indicating waning satisfaction with home charging, as well as KIA’s new EV SUV with swivel seats. Yep. Lithia Motors has become the third public auto retail with holdings in the United Kingdom, joining Penske and Group 1, with its recently announced purchase of Jardine Motors Group which includes 40 new-vehicle franchise points in the UK, including luxury brands including Aston Martin, Porsche and BMW, according to Lithia CEO BryanDeBoer said.According to Britain's Sky News, the cost of the deal was between $361-482M and it will add around $2B in annual revenue to Lithia which already jumped 24 percent to $28.23 billionDuring an interview DeBoer called the deal "more affordable than what we typically find ... in the United States” and continued "... more importantly, it gives us a foundation to grow more in the United Kingdom, which is helping us drive towards our $50 billion target for 2025Customer satisfaction with their EV home charging solutions have taken a shock as the JD Power 2023 U.S. Electric Vehicle Experience (EVX) Home Charging Study  indicates a noticeable decline due to a combination of slow charging speeds, rising electricity rates, and lack of consumer education on charging programsSatisfaction is measured across eight factors: fairness of retail price; cord length; size of charger; ease of winding/storing cable; cost of charging; charging speed; ease of use; and reliability.When factoring cost, the index dropped more than 30 pointsNew EV owners were one of the primary reasons of the drop in scores due to charging speed of installed level 2 chargersOnly 51% of those surveyed were aware of programs that helped with the cost of install and charging costsAfter weeks of teased photos, we finally got a first look at the first EV in the 3 row segment with the flagship Kia EV9 that features an aggressive design, three rows of seating plus cargo space, and yes, the middle row seats swivelBuilt on Hyundai Motor Group’s 800V E-GMP platform, the release says the vehicle features “technology for life” design philosophy throughout that “promotes intuitive interactions between humans and machines.”More performance details will be released next month however the design is very close to the concept presented last year but many tech and convenience features like generous screens and charging points throughout will be standardHow about those 180 degree swivel seats in the center to bring us back to the 80s. Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to Wednesday as we talk about GM reversing course on a subscription and their CMO taking Barra’s buyout. We also talk about the major wholesale/retail used car gap, as well as the new version of Chat GPT that can tell you what a meme means.A reversal in a subscription sales decision after less than a year and a departing CMO have GM is in the news today.Last summer GM began adding a $1500 line item to every new Buick and GMC vehicle for a mandatory On Star subscriptionNow, they are reversing course for the 2024 year and only including it on premium Denali and Avenir models and making it part of the purchase priceThe service includes crash detection, remote features, and unlimited data streamingAll other models will receive OnStar Remote Access Features for freeAfter GM’s announcement of voluntary retirement via a buyout incentive, one of the highest profile exits will be from General Motors Global Chief Marketing Officer Deborah Wahl who started with the company as Cadillac CMO in 2018 and was promoted to Global CMO in 2019Wahl was an auto industry outsider coming from McDonald’s North America and was one of Automotive News’ 100 Leading Women in the North American Auto Industry list in 2000, 2005 and 2020Our friend Dean Evans, EVP at cars.com and former CMO at Hyundai and Subaru encouraged replacement from outside auto: “while we've been sitting here in an archaic industry that needs to move forward, why would we put a retread into that?”EDUCATIONAL MOMENT: Wholesale Used car prices are crazy. We’ve personally seen evidence of this in several vAuto accounts and there are experts across the industry talking about it. Wholesale valuations going up and retail values (book value) not keeping up meaning Dealers are buying used cars for thousands more than they can sell them for meaning a front end lossJust as you were getting used to the idea (or maybe not) of the Chat GPT AI language model doing your kids homework and writing your next job cover letter, Open AI has announced the new version, GPT-4 which is more advanced and nuanced…and it can look at pictures.The company claims the model is “more creative and collaborative than ever before” and “can solve difficult problems with greater accuracy.” It can parse both text and image input, though it can only respond via text.One way improvements are benchmarked based on the systems performance on standardized tests such as the Uniform Bar Exam, LSAT, SAT Math, and SAT Evidence-Based Reading & Writing exams on which it scored in the 88th percentile Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to Tuesday as we’re on the ground with Damon Lester of Nissan of Bowie. We also talk about how banks failing affect the auto industry, controlling what you can control, and insights into what the consumer is thinking about.Everyone’s talking about the collapse of Silicon Valley Bank, and Damon uses some of his CPA background to talk about what it means, especially for the auto industry.Damon shares the view from his area of the industry.Fixed Ops is the “weight room” of his store.Customers have questions about EVs, specifically when it comes to EV tax credits.On a practical note, Damon says that “How you start your day determines how you end your day.”Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

We knew it was moving fast, but according to sources close to the matter, GM is working on integrating Chat GPT into its vehicles in the form of a virtual assistantThe VA will use Microsoft’s Azure cloud service, which has exclusive rights to the OpenAI tech that powers ChatGPTScott Miller, GM’s vice president of software defined vehicle and operating system, confirmed some of the information as he expounded on the idea of a highly responsive virtual assistant that could explain how to change a flat, the meaning of a warning light, or perhaps even book a service appointmentMiller wouldn’t discuss details about which AI models will be used or the name of the assistantSpecial Guest: Jamie Oldershaw talks about DealerRater’s Dealer of the Year award and the race for reputation in 2023Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

It’s a beautiful Friday, folks and the ASOTUverse is ready for it! Today we’re talking about GM’s buyback moves as they try to cut costs the empathetic way. We also cover a new town just outside of Tesla’s Gigafactory in Austin Tx, as well as a reboot of an old Army recruiting slogan. Yesterday, General Motors announced it is working to avoid involuntary layoffs…by paying people to leave. The company will be offering buyouts to all salaried employees that have been with the company 5 years or more. They have until March 24th to accept the offer and will leave the company by June 30th. Non-executives will receive one month of pay for every year w/ the company up to 12 months, plus benefitsExecs will get base salary, incentives, health, and placement servicesThe move is expected to cost the company $1.5B and is part of the GMs plan to cut $2B annually from its cost structureIn a memo sent to employees, CEO Mary Barra highlighted the bright side of things as she wrote the the voluntary separation program, "...presents an opportunity to explore a new industry, make a career change, further a personal business venture or decide you can retire earlier."A reported plan is spinning as Elon Musk may be building a town on a 3500 acre plot just outside of Austin to offer affordable housing and services named “Snailbrook” after the mascot for The Boring Company. There is even a sign up that features a snail design and reads “Snailbrook, EST 2021”The main purpose of the town is to provide affordable housing to Tesla and SpaceX employees. The 2 and 3 bedroom houses will cost about $800/month and will have access to the town’s pool, outdoor athletic fields, and fitness center. There may also be a school built on the propertyThe site will also be home to some of the companies warehousesJust like bell bottoms come back around every couple of decades, the Army is reviving its “be all you can be” slogan and revealing new visual designs in a new brand campaign featuring pointed, cinematic storytelling and Creed III star Jonathan MajorsThe slogan was created in 1981 and ran through 2001 but then disappeared from the Army’s marketing As Majors walked through various scenes of historical challenges the Army has fought through, he asked the question, “When you look into your future, do you see obstacles, or possibilities?”Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Engines are fired (or charged) up this Thursday as we give a recap of our favorite Women’s Day videos. We also talk about Nissans new power plant plans as well as Best Buy’s plans to deploy the Geek Squad to take better care of your parents. Women’s Day Video RecapASOTU VideoFord Video : Men’s Only Edition ExplorerNissan gave a preview of its new EV powertrain technology at their global HQ yesterday, where the name of the game is reducing complexity. The primary target is to reach parity between the cost of its electric and gasoline powered vehiclesOne of the cost cutting strategies is to use solid state batteries with cheaper materials such as nickel or cobalt"For new electric vehicles, we would like to reduce diversity," said Senior Vice President Toshihiro Hirai, head of Nissan's powertrain and EV engineering division.Overall weight reductions will also increase performance, such as driving in snowNissan was one of the first players in the EV space with the Leaf and is expected to release a new version of the vehicle in 2026The company has a stated goal of releasing  27 electrified models, including 19 all-electric vehicles, by fiscal year 2030The retail industry is continuing its push into the multi-trillion dollar health care industry as electronics retailer Best Buy announced a partnership with Atrium Health to provide and install devices enabling patients to get hospital care while staying homeAtrium recently completed a merger with Advocate Health, the fifth largest healthcare system in the U.S. with 67 hospitals and more than 1,000 healthcare offices across six states. Atrium will buy devices from BB and Geek Squad will install them“We knew Atrium Health was the right partner to help tackle the unique challenges within the care at home experience,” said Deborah Di Sanzo, president of Best Buy Health“Our partnership with Best Buy Health will help change the lives of our patients and consumers, giving them access to the tools and experiences they need to receive care in the comfort of their own home,” said Dr. Rasu Shrestha, chief innovation and commercialization officer at Advocate HealthBest Buy Health s Lively brand already provides remote monitoring services where “Urgent Response Agents are available 24/7 at the touch of a button to offer help in emergencies big and small. Plus, you can speak with a nurse using Lively’s Nurse On-Call, and keep loved ones updated using Lively Link™.”Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to Wednesday as we talk about some notable movement in the wholesale used car market. We also talk about the new EV Ram as well as the quiet transition of Web3The used car market almost broke a record that has been in place since 2009. Remember ‘cash for clunkers’? The Cox Automotive's Manheim Wholesale Used Vehicle Value Index rose 4.3% in February from January which is the largest February increase since a 4.4% jump in 20092022 only saw month over month increases in May and December and the overall prediction was that 2023 would be a year of consistent declineOur friend, COX Chief Economist Jonathan Smoke told Automotive News that didn’t seem to be the case: "We've instead seen increasing wholesale prices, and I believe it's principally a reflection of how tight supply is in the used-retail market," Smoke told Automotive News.“Cox Automotive estimated that the retail used-vehicle supply in the U.S. was at 41 days at the end of February, down from 48 days at the end of January and 54 days at the end of February 2022. Wholesale used-vehicle supply ended February at 24 days, down from 26 days at the end of January and 29 days at the end of February 2022.”According to Black Book, retail listing prices are still down, but will likely follow the upward trend of wholesale pricesRemember that amazing EV Ram 1500 Revolution prototype with its aggressive stance and progressive interior? Remember those controversial Super Bowl commercials about premature electrification? Well, Stellantis released images of their production model of the 2024 Ram 1500 REV and it looks much more like the current Ram than the prototype…but at least it has a frunkThe company opened pre-orders, which required a $100 deposit for a “Rev + Insider Membership,” but that program was shut down about a week later citing “membership max capacity”No additional information was given regarding the actual number of memberships sold or if the pre-order would reopenThere is still little information on the exact specs of the truck, but we do know the target range is 500 milesWe also don’t know the price of the truck, although it is widely assumed that it will be similar to the F150 lightning starting price of $56k It’s been a while since we’ve mentioned 3 specific letters on this show; NFT. We aren’t the only ones who have seen the once culturally pervasive term lose relevance and interest. That doesn’t mean NFT’s are gone, they are undergoing a subdued coming of age according to a new AdAge article highlighting how big brands like Nike and Starbucks are rethinking their use.“Consumers don’t care about Web3 or NFTs,” saidGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to Tuesday ASOTUverse! Today we’re talking about Ford’s plans to produce different types of battery chemistry that saves money. We’re also talking about a hip new EV as well as a legacy company who is crushing their competition. Starting in the next few months, Ford will begin selling EVs with two different types of battery chemistry for its Mach E; The current and more expensive Lithiumnickel cobalt manganese chemistry, and the less expensive and less dense lithium iron phosphateThe lithium iron phosphate batteries can be 30-40% cheaper due to the broad availability of iron and phosphateThey also charge faster due to their decreased density and Ford says they are more apt to vehicles who can charge every night like a garaged commuter or a local delivery vehicleCustomers won’t have to worry about the chemistry selection and will simply choose ‘standard’ or ‘long range’ at purchaseIn late 2021, Tesla began offering lithium iron phosphate batteries on standard-range models. Stellantis plans to offer them on EVs in Europe, while General Motors could add lithium iron phosphate as it works to reduce EV costs, as well.Just when you thought everyone and their mother is releasing an EV, we have another new entrant into the space that is powered by grams of lithium as well as Grammy’s. Haitian hip hop artist Wyclef Jean, formerly of the Fugees just launched the ‘lightest electric supercar’ that can go 0 to 60 in 2.3 in Florida on Sunday, named the “Attucks Apex APO”The supercar is touted as being “designed in the UK and built in the USA” and is the lightest vehicle in its class coming in at just above 2600 lbs..  A Tesla Model S can weigh as much as 4800 lbsThe launch was in collaboration with Attucks Futures and Technology, a business founded by Wyclef Jean to promote an outlet for the community to grow and develop.The official release is set for next year and the pricetag will start at $350kSometimes, less is more. In the case of the 90 year old company Lego, 17% more than 2022. That’s the YoY sales increase that includes a 4% jump in profitability at a time most similar companies are facing declines and layoffs. Just 10 years ago Lego surpassed Mattel and Hasbro and now doubled their salesThe company credits investments in e-commerce and digital interaction as well as partnerships with other successful brands such as Star Wars Demand remains strong as the company still talks about the value proposition of being an educational toy that encourages children to critically think while they playThe digital focus will continue as the company invested over $1B in Epic Games last year and is planning a child-friendly version of the metaverse this yearGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

It’s another wonderful week in Retail Auto as we cover new EV brand Scout and their touch-of-dramatic  announcement of a new plant in South Carolina. We also cover some notable parts movement from Kia, as well as take some culture cues from the popular grocery store chain Trader JoesIt is confirmed that VW Group will be building a $2B EV Manufacturing plant to produce vehicles for its new Scout brand near Columbia, South Carolina creating 4000 jobs and producing as many as 200k vehicles per year. The final call to confirm the selection was captured in a video of Scott Keogh on one side, and officials from the state of South Carolina in which Keogh congratulated the groupGroundbreaking is set for mid 2023 and production for 2026 Scott Keough’s linkedin post announcement:In an effort to help parts departments move through backorders and continued shortages to keep customers on the road, Kia had introduced D2D Express, a dealership-to-dealership parts program that automates and incentives dealers to obtain backordered parts directly from other dealers. Seven months later, the program is showing big success. “The program allows a dealership to look at Kia's national parts ordering system to find where a component may exist. Kia handles the shipping costs and sends the provider dealership a bonus for its assistance worth 15 percent of the price of the part.”Since launch, the emergency backorder part delivery has improved four foldGM, Honda, and Stellanits have similar programs with similar success storiesA Retail Wire feature on the grocery chain, Trader Joe’s, gives a peek behind the curtain from “The Inside Trader Joe’s” Podcast, talking about why it has earned the extreme loyalty of some and has become an example of great company culture. The secret sauce according to Ty, a store manager in Colorado, is hiring nice people “who really love people.”“It’s hard to talk about Trader Joe’s without talking about love because if you talk to anybody about Trader Joe’s, they’re eventually gonna mention it. They love a product, or they love shopping at our stores, but a lot of it is, they love working here, you know, and that in and of itGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Fridays are for futurists as our friend Steve Greenfield joins us to talk about his latest Intel Report. We also introduce you to the new Subaru CEO as well as Ford’s new patent they said they don’t plan on using anyway. Who’s having fun!?!  We are. Welcome back regular guest Steve Greenfield to talk about his latest Intel Report and what he is most excited about heading into MarchSubaru has appointed 60 year old Atsushi Osaki as their new CEO replacing Current CEO Tomomi Nakamura who has been at the helm since 2018. Osaki recently served as global production chief but has a tenured history in quality assurance; outgoing CEO Nakamura will become ChairmanThe new CEO said “We at Subaru want to survive the age of electrification by being nimble, we will put various systems in place while focusing on flexibility and expansion.”  He also added that he sees sales growth in the USAlso announced is President & CEO of Subaru of America, Tom Doll, will be stepping down effective April 1st and will assume the role of Corporate Advisor, still based at the Camden, NJ HQ"The Subaru brand and Subaru of America hold a special place in my heart. Since the day I arrived here 41 years ago, we have worked tirelessly to make Subaru more than a car company. The growth of this company has been nothing if not spectacular, but I am most proud of the good we have done with our Love Promise programs and the lives we have impacted. It is the employees of Subaru of America, the great friendships we have developed and our amazing customers and retailers who are the secret of our success," said Doll.On April 1, 34 year Subaru veteran, Tadashi "Tady" Yoshida will be promoted to the role of Chairman and Chief Executive Officer of Subaru of America, Inc. from his current position of Executive Vice President who has served in the various roles of Overseas Sales and Marketing, Global Marketing and the Customer Service DivisionFord isn’t getting into the repo business and says it has no plans to use the technology that can disable a/c, create an “incessant and unpleasant” beeping, or even drive the car to another location in a repo situation in a patent they recently filed“We submit patents on new inventions as a normal course of business, but they aren’t necessarily an indication of new business or product plans,” Ford said in a statementJohn Van Alst, a senior attorney with the National Consumer Law Center said, “It really seems like you’re opening up a can of worms that, as a manufacturer, you don’t really need to be doing.” This patent comes during a period when auto loan delinquencies are on the rise Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

It's Thursday folks and we are running through the first week of March as we talk about the early results of Tesla’s Investor Day. We also summarize Auto Industry sales numbers from February, as well as Meta’s new cultural reports straight from Facebook and Instagram conversations.Yesterday’s three and a half hour Tesla Investor day was heavy on big picture thinking and light on the specifics as the company revealed some of its plans and challenges on the road to its target volume of producing 20 million vehicles per year worldwideChief Financial Officer Zach Kirkhorn said Tesla could need to spend $150 billion more to reach its long-term goals of that 20M number with a big focus on integrationToyota is the current largest who sells just over 10MTesla sold 1.3 M last yearPlans to get there include 10 more factories, of which one was just announced in Mexico, as well as making the materials needed to produce its battery cellsIt opened a lithium refinery in Corpus Christi and a is building a battery materials facility in the Austin areaNo details on the Cybertruck or the much anticipated ‘low cost’ TeslaThe company has had 14 consecutive profitable quartersShares were down 5% in off hours trading following the eventSales reports are coming out this week. Some went up and some went down.Hyundai, Kia, and Subaru went up for their 7th straight month while Toyota and Honda fell backNot surprisingly, Increased demand and rising inventory played a big roll in the winners while tight supply continued to stunt the forward motion of the othersToyota fell back 2.4 percent overall, however it’s Lexus division actually increased 6.1% breaking a 12 month streak of declinesSimilar story at Honda falling 1.4% overall, but Acura rose by 12%Ford and Volvo will be reporting numbers later today and the rest of the industry is on a quarterly reporting scheduleMeanwhile, as new car supply regulates, used car prices are declining moving some buyers back to the value"We have diverging markets today," said Charlie Chesbrough, senior economist at Cox Automotive. "New inventory is slowly stabilizing while used supply is falling. With many affordability-seeking vehicle buyers leaving the new market for the used, dealers may find they have too little used inventory, and price declines may reverse. And [automakers] may find they have too much new-vehicle inventory and be forced to be more aggressive with incentives to boost sales."Meta has released its second edition of its 56 page ‘Culture Rising’ report, which looks at emerging trends, based on analysis of millions of conversations across Facebook and Instagram, alongside additioGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

Welcome to the month where spring begins! Today we’re covering Toyota’s march toward EVs, Tesla’s investor day, and a resurgence of the manual transmission.Incoming Toyota CEO, Koji Sato is preparing to take the baton from long time CEO and industry icon Akido Toyoda on April 1st and he is making his intentions clear that Toyota will be taking a BEV first approach moving forward while maintaining its holistic and measured approach. "To deliver attractive BEVs to more customers, we must streamline the structure of the car, and — with a BEV-first mindset — we must drastically change the way we do business, from manufacturing to sales and service. Now that the time is right, we will accelerate BEV development with a new approach.”Sato is an experienced engineer who leads the Lexus International premium division as well as Toyota's Gazoo Racing motorsports arm. The company recently executed a full tear down of a Model Y and seemed to be impressed with the elegance and efficiency of its design with one executive saying "Taking the skin off the Model Y, it was truly a work of art. It's unbelievable."Toyota plans a strong continuation of its hybrid, plug-in hybrid and hydrogen-powered cars in addition to its development of EVs.Toyota owned Lexus, for example, already has a goal of going fully electric worldwide by 2035 and selling 1 million EVs globally in 2030Today at 4pm EST the much anticipated Tesla Investor Day will begin at the company's Gigafactory in Austin, TX. On Feb 13th, CEO Elon Musk tweeted  "Looking forward to Tesla Investor Day on March 1," "By this, we mean the broadest definition of investor, as in the people & life of Earth. It will be a message of good hope & positivity for the future." Musk said he will present Tesla's "Master Plan 3" for "a fully sustainable energy future."Expected announcements include progress toward a low cost Tesla often referred to as the Model 2, news on the company’s plans to increase sales, and also on a variety of topics from its solar business, battery materials, a revamp of the popular Model Y (code named Juniper) and potentially a revamped Model 3 (code named Highland)Anyone can watch the livestream by going to livestream.tesla.com  With all this talk about an EV future, the kids are doing what they do best…pushing back. Just like widespread digital music adoption spurred on a resurgence of the vinyl record, all this EV talk is bringing back the stick shift according to demand dataAfter a 30 year decline, JD Power reports manuals made up 1.7% of sales, over 1.2 in 2022 and .9 in 2021Autotrader is showing a 13% rise in pageviews of manuals over lastGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

The last day of February is full of surprises as we review the 2022 Automotive Loyalty awards, talk about Fiskers plans for the year, talk with AI on SNAP, and let Nintendo gamify our sleep. GM wins the top spot in S&P Global Mobility’s 2022 Automotive Loyalty Awards while Tesla passes Ford for the first time everAs inventory levels continue to rise, GM was able to grab the top spot of overall loyalty to manufacturer as Tesla took the crown for ‘Overall loyalty to Make” from Ford who has held it for the last decadeTesla also claimed the top spot in:Ethnic Market Loyalty to Make, Most Improved Make Loyalty, Highest Conquest Percentage, Alternative Powertrain Loyalty to MakeSubaru made our friend, Tom Doll, and all of their Retailers proud as they took home the “Overall loyalty to Dealer” award. Maybe they can rename it now. The stock price of new entrant EV maker Fisker jumped 30% yesterday as they announced their projection to produce 42,400 vehicles in 2023 with their manufacturing partner Magna International’s Austrian DivisionAn analyst from ‘Raymond James’ named Pavel Molchanov said the stock bump was  "a classic example of a relief rally," adding, "I think there were some fears that the production startup of the sport utility vehicle Ocean was getting delayed."CEO Henrik Fisker said they are ready to begin producing 20 cars per day with a ‘strong’ ramp in Q2Its Ocean SUV is very competitively priced at $37,499. Tesla’s Model Y  $54,990 after recent price cuts. Rivian Automotive Inc's R1S SUV costs around $78,000. Thus far, Fisker has produced a total of 56 vehiclesSnapchat introduces its AI integration that will allow users to integrate regular life conversation habits with AI says CEO Evan Spiegel“The big idea is that in addition to talking to our friends and family every day, we’re going to talk to AI every day,” he says. “And this is something we’re well positioned to do as a messaging service.”Only available to 3.99/mo paid subscribers and will be pinned to the apps chat tab above conversationsHas been trained by SNAP employees to avoid explicit content and politics Snap is one of the first clients of OpenAI’s new enterprise tier called Foundry, which lets companies run its latest GPT-3.5 model with dedicated compute designed for large workloadsSNAP has a total monthly user base of 750 millionRelax, it’s finally here. The new app from Nintendo that is designed to help you gamify…er…track your sleep, Pokemon Sleep. The new smartphone app and optional external device that looks like a Get the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion

It’s time to wrap up February and roll into March as we talk about some major movements in EV pricing. We also talk about a newly launched tech training collab from NADA and the Urban League as well as baseball at 1.5x speed.In a time of widespread conversations about EV practicality and governmental spending, one of the conversations beginning to dominate the center of the argument is ‘affordability’ and it’s no surprise. With inflation and interest rates still rising, consumers are searching for the right fit at the right budget EV or notReuters reports that Vietnamese manufacturer, VinFast is giving a deep discount to lease pricing to its first batch of US customers in California with deliveries starting this weekInitially it’s VF8 crossover was listed having a lease price of $599 for 24 months, but now that has been reduced to $399The company said the customers who are already taking delivery will pay only $274/mo according to messages to those potential buyers reviewed by Reuters"This is our special offer to VinFast customers for the VF 8 City Edition models in order to stay competitive with other brands," VinFast said in a statementRange for the VF8 is between 191 and 207 depending on the trim levelTesla’s Investor day scheduled for Wednesday March 1st is creating much speculation if there will be a game changing low-cost EV announced as CEO Elon Musk is anticipated to announce the “Third Master Plan” for the companyIn 2020 Musk said that a $25k EV "has always been our dream from the beginning of the company” however last year the vehicle, often referred to as the Model 2 had been put on hold due to lack of mastery of the new battery tech that would power the vehicleIn multiple interviews, Musk has said the rate of scale of the company and EV industry as a whole will be constrained by the amount of lithium that can be successfully secured by battery makersAlso announced today is the fact that the company’s Berlin factory has surpassed its production target of 4000 vehicles per week, 3 weeks ahead of schedule NADA and the Urban League are rolling out a technician training and apprenticeship initiative in Louisiana as a precursor to a national program. 20 candidates will begin the 4 week professional and life-skills training this month and will then go into local dealerships to shadow technicians and studying tech at local colleges“This program creates equitable pathways for a stronger and more innovative automotive industry in our state,” says Judy Reese Morse, who heads the Urban League of Louisiana.NADA says about 39,000 new service techs graduate from U.S. technical collegesGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email Share your positive dealer stories: https://www.asotu.com/positivity ASOTU Instagram: https://www.instagram.com/automotivestateoftheunion