October 25, 2013
Need to Know

lithia_motors22 Lithia 3rd Quarter Shows Increased Dealer Profitability

Lithia Motors’ high­est quar­terly adjusted net income is based on new and used sales, ser­vice and parts per­for­mance as deal­ers focus on local geo­graph­i­cal areas.

Find out more about the com­po­nents in Lithia’s third quar­ter report. [More]

Market Wired
hyundai_hydrogen_fuel_cell22 Hydrogen Car from Hyundai Coming Next Year

Hyundai Motor Group is bet­ting heav­ily on the world’s light­est gas – with sales of its new hydro­gen fuel-cell vehi­cle set to begin in the U.S. early next year.

Find out more about Hyundai’s U.S. hydro­gen fuel cell ven­ture. [More]

The Detroit Bureau
jeep_cherokee22 At Last, 2014 Jeep Cherokees Are Shipping to Dealers

Chrysler has started ship­ping the first 2014 Jeep Chero­kees to deal­ers, after a 2-month delay, after work­ing up a fix for the “incred­i­bly elab­o­rate soft­ware system.”

Find out more about the lat­est Chero­kees with a nine-speed trans­mis­sion. [More]

Detroit Free Press

BLOG: Green Auto Market

While it has taken a while for the cre­ative team at “South Park” to slap around the Model S, the plug-in car did get a few moments on screen. Tesla Motors joins the ranks of Sci­en­tol­ogy and the Toy­ota Prius in get­ting lam­pooned… How CTDI is able to sal­vage and “reman­u­fac­ture” more than 90% of a vehicle’s elec­tron­ics parts and com­po­nents… Octo­ber 17th saw the 40th anniver­sary of the OPEC oil embargo. Here’s what remem­ber­ing the ini­tial embargo seems to mean today…

VIDEO: Service and Customer Retention
  Be Like Corvette, Not a Chevette

Here are three solid rec­om­men­da­tions about how your ser­vice depart­ment can make the OEM buzz word “cus­tomer reten­tion” actu­ally turn out to be “cus­tomer repur­chase intention.”

Click here to watch video
VIDEO: Good Times for Pickup Leads
Gutierrez_Alec_KBB field trip
  Pickup Truck Demand Way Up

KBB’s Alec Gutier­rez says….

1. New pickup truck sales are up 20% to 25% depend­ing on model and year.
2. As new home con­struc­tion picks up, we see shop­pers jump into pick­ups.
3. Used truck val­ues at auc­tions also show a lot of strength.

Hear what Alec Gutier­rez says about which spe­cific mod­els are see­ing the most strength…..

Click here to watch video

Dealer Pain Points

Dollars and cents of nuts and bolts The Dollars and Cents of Nuts and Bolts

A highly prof­itable ser­vice depart­ment saved more than a few deal­ers dur­ing the eco­nomic down­turn. Once con­sid­ered the back end of the business,it’s now the back­bone of a deal­er­ship. But just as impor­tant as increas­ing ser­vice rev­enue, is keep­ing a lid on expenses.

Click here to learn more.

Service center Why You Should Close Your Back Parts Counter

Shut­ting down your back parts counter may sound dras­tic but some deal­ers have done it with good results. They include more effi­cient — and prof­itable — parts and ser­vice departments.

Click here to watch the video and learn more.

Reputation online Is Your Reputation Getting Hammered Online?

Rep­u­ta­tion. It takes years and untold amounts of money to build a solid rep­u­ta­tion. But only sec­onds to lose it on the Internet.Brand dam­age usu­ally refers to a prod­uct in cri­sis. But in the case of deal­er­ships, the brand is the dealer’s name.

Click to see a video that describes some of the chal­lenges and solutions.

Doing It Right  

The data from a recent sur­vey has revealed that spend­ing is increas­ing rapidly over smart­phones and tablets.

Accord­ing to the results of a recent study, con­sumers con­tinue to love every­thing about their mobile devices and are using them on an increas­ing basis as a part of their over­all shop­ping expe­ri­ences through mobile commerce.

Con­sumers are using their smart­phones to help them to inter­act with their favorite retailers.

A mobile com­merce report revealed  that 55 per­cent of all time spent online on retail had orig­i­nated from a smart­phone device, com­pared with only 45 per­cent stem­ming from a desk­top or lap­top device.

In June 2013, mobile com­merce from smart­phones made up 44 per­cent of the time spent on retailer sites.

Read on ….

Behind the Numbers  

CNW Research Pres­i­dent Art Spinella has a few more provoca­tive points to make – new vehi­cle lease resid­ual value fore­casts are being over­val­ued 5% to 10%. This is being done to get monthly pay­ments lower and beat com­peti­tors in new vehi­cle sales.

Spinella is also fea­tured in a video inter­view with even more provoca­tive things to say. Here he takes apart the usual fore­cast num­bers being placed on new vehi­cles – month-over-month and year-over-year have less mean­ing these days, he says. Sea­sonal adjust­ments aren’t as real as incen­tive adjustments.

Other remar­ket­ing ana­lysts appear to be dis­agree­ing with CNW Research’s warn­ing about leas­ing being in trou­ble; one of them being Craig Car­row of Fis­erv, who’s fea­tured in a Skype video interview.

In the weekly mar­ket report from Black Book, Edi­to­r­ial Direc­tor Ricky Beggs reported that declin­ing gaso­line prices are start­ing to show their usual effect on soft­en­ing prices com­ing to fuel-efficient vehicles.

Find out more about what used vehi­cle mar­ket indi­ca­tors are look­ing like this week…….

Build a Better Dealership

Used car sales profitsWhere Are Used Car Prices Headed and What Does that Mean for Dealer Profits?

Used car prices have been fluc­tu­at­ing this year in whole­sale and retail trans­ac­tions. Sky­rock­et­ing prices that occurred in the first half of 2011 have been bob­bing up and down since that time.

What are the fore­casts for the rest of this year, along with other met­rics that shape remar­ket­ing profits?

Sup­ply is increas­ing, and there’s debate over whether that means prices will be strength­ened or weak­ened. Sup­ply growth is com­ing from off-lease vehi­cles, rental return, com­mer­cial fleet lease, and more aggres­sive lending.

There’s dif­fer­ing fore­casts com­ing from remar­ket­ing experts.

Here’s what expert are say­ing, along with a few trends to track as the year progresses…..

dos and dontsCombating the Top Mistakes of Automotive Marketing


Con­sumer behav­ior and the pur­chase process have intro­duced changes to auto­mo­tive mar­ket­ing and media attri­bu­tion, but deal­er­ships are look­ing at old met­rics in old ways, accord­ing to Cars.com.

Fol­low­ing these 7 “dig­i­tal sins” could mean a dealer is wast­ing media dol­lars and elim­i­nat­ing adver­tis­ing options that could help influ­ence shoppers.


Cars.com aims to posi­tion deal­ers to reach the right audi­ence, build aware­ness, drive con­sid­er­a­tion and ulti­mately improve con­ver­sion rates.

Cars.com Train­ers, Ed Woelfle and Jack Sim­mons, work together to high­light seven com­mon mea­sure­ment chal­lenges, and pro­vide tips to align processes and media buy­ing deci­sions with the behav­iors of today’s car shop­per in a webi­nar titled “The Seven Dig­i­tal Sins of Attri­bu­tion”.

Webi­nar reg­is­tra­tion is free. Read on!

Smart Thinking - Pass It On  
Xtime Introduces its Latest Scheduling System for Dealers

The Sit­u­a­tion:

Your cus­tomers want easy, secure access to your Ser­vice Depart­ment wher­ever they are. Your cus­tomers can now have access to a mod­ern, sophis­ti­cated dig­i­tal inter­face through­out the entire life­cy­cle of vehi­cle own­er­ship. Xtime has intro­duced two new com­po­nents to its sched­ul­ing sys­tem to meet the expec­ta­tions of even the most demand­ing among your cus­tomer base.

“Every aspect of the Xtime con­sumer expe­ri­ence is now state-of-the-art, which enables our deal­ers and man­u­fac­tur­ers to meet the expec­ta­tions of their increas­ingly demand­ing cus­tomer base,” says Neal East, CEO of Xtime.

How is that pos­si­ble? You’re About to Find out!

Deal­ers, if you give your ser­vice cus­tomers a visu­ally appeal­ing, trans­par­ent and con­ve­nient path to buy­ing ser­vice, you will max­i­mize the chance of retain­ing them. Drill down fur­ther to find out what Xtime offers deal­ers to increase ser­vice reten­tion an aver­age of 5 percent.

Stopping Auto Theft  
Dealers Can Get Training and Support

The Sit­u­a­tion:

Accord­ing to the FBI Uni­form Crime Report – 2012 – auto theft con­tin­ues to rise – notably in states such as Cal­i­for­nia, where some areas have seen an increase in motor theft up to 60%. The increase is being felt at auto deal­er­ships across the coun­try who are begin­ning to real­ize they need help in pro­tect­ing their inventory.

Motor vehi­cle theft is top­ping the charts as the #1 prop­erty crime in the U.S.

Now is the time to start think­ing about ways to pro­tect your deal­er­ship inven­tory from a vari­ety of ways in which thieves tar­get your deal­er­ship. Drill down fur­ther to learn more about what deal­er­ship auto theft looks like and how is can be prevented.

Dealer Resources 
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