Penske, automaker testing subscriptions

Penske Automotive Group has a subscription experiment in the works with an automaker and continues to expand its used-only supercenters business.

source https://www.autonews.com/retail/penske-automaker-testing-subscriptions

Hiring advice for dealers

An employment data analyst says dealerships need to change their hiring practices to stem the loss of qualified applicants to other sectors of the job market.

source https://www.autonews.com/dealers/hiring-advice-dealers

The CarMax approach: Personalize car buying

A woman with a newborn who didn't want to trek into the city to buy a car, and instead had one delivered, is a perfect example of an omnichannel customer, CarMax CEO Bill Nash said.

source https://www.autonews.com/used-cars/carmax-approach-personalize-car-buying

NAAA: Don't count out brick-and-mortar

Leaders of the auction association argue for a permanent place for brick-and-mortar in an increasingly digital world.

source https://www.autonews.com/retail/naaa-dont-count-out-brick-and-mortar

FCA sales, diesel scandals resurface

As Fiat Chrysler Automobiles updates its portfolio with fresh products and forges ahead with a revised leadership team led by CEO Mike Manley, it's contending with old scandals that continue to play out in the legal sphere.

source https://www.autonews.com/sales/fca-sales-diesel-scandals-resurface

Dealers lean on used cars, cost cuts, data

Declining new-vehicle margins and tougher stair-step target programs, coupled with higher expenses, have challenged dealers' profitability.

source https://www.autonews.com/dealers/dealers-lean-used-cars-cost-cuts-data

Smiles are guaranteed at California stores

Capistrano Volkswagen and Capistrano Mazda stand out thanks to the core promises of the Smileage Guaranteed program.

source https://www.autonews.com/best-practices/smiles-are-guaranteed-california-stores

Behind sales, a profit struggle at BMW, Mercedes

BMW and Daimler find themselves in unfamiliar territory: trailing mass-market rivals in profitability. The two saw returns shrink in their normally lucrative second quarters.

source https://www.autonews.com/retail/behind-sales-profit-struggle-bmw-mercedes

Dealerships prepare for down cycle

For dealerships, some experts say increasing scale could be a beneficial strategy, not just to prepare for a downturn, but to prepare for future  shifts in the auto retail model.

source https://www.autonews.com/dealers/dealerships-prepare-down-cycle

Fiat Chrysler to pay $40 million for inflated U.S. sales figures, SEC says

The settlement with the Securities and Exchange Commission follows nearly four years of litigation over FCA's inflated sales reports that were released from 2012 to 2016. In July 2016, the company revised more than five years of monthly U.S. vehicle sales figures to reflect a new reporting method, amid an investigation by federal authorities.

source https://www.autonews.com/sales/fiat-chrysler-pay-40-million-inflated-us-sales-figures-sec-says

Fiat Chrysler to pay $40 million over inflated U.S. sales figures, SEC says

The U.S. Securities and Exchange Commission said that between 2012 and 2016 Fiat Chrysler's U.S. unit issued monthly press releases falsely reporting new vehicle sales and falsely touting a "streak" of uninterrupted monthly year-over-year sales growth, when the growth streak ended in September 2013.

source https://www.autonews.com/sales/fiat-chrysler-pay-40-million-over-inflated-us-sales-figures-sec-says

GPB Capital seeks fresh start for Prime

In July, Prime Automotive CEO David Rosenberg sued the owner of his dealership group, GPB Capital Holding. Now, two months later, the prominent New England dealer has been removed as GPB seeks a fresh start for the 56-store portfolio.

source https://www.autonews.com/dealers/gpb-capital-seeks-fresh-start-prime

Dealer anniversaries

Dealers featured this week include Paula Callari, president of BMW of Darien in Connecticut; John Ventura, dealer principal of Courtesy Nissan in Altoona, Pa.; Thomas Norris, dealer principal of Toyota of Easley in South Carolina; and Tim Dahle, dealer principal of Tim Dahle Nissan Murray, in Utah.

source https://www.autonews.com/dealers/dealer-anniversaries-29

Basking in the glow: Automotive News' Best Dealerships To Work For

Dealers and their employees gathered in Chicago last week to celebrate their inclusion in the 2019 Best Dealerships To Work For rankings. Here is a glimpse of the celebration.

source https://www.autonews.com/dealers/basking-glow-automotive-news-best-dealerships-work

Manheim, SiriusXM offer pre-activation in pre-owned vehicles

Dealers will no longer need to individually activate radios for vehicles purchased from Manheim, the companies said in a statement. New customers will get a free three-month subscription as part of the arrangement. 

source https://www.autonews.com/dealers/manheim-siriusxm-offer-pre-activation-pre-owned-vehicles

Bill banning forced arbitration clears U.S. House

Consumer advocates have pushed for the end of mandatory arbitration in contracts, which can shield companies from lawsuits by consumers pursuing claims of wrongdoing. But the so-called FAIR Act faces an uphill battle in the Senate.

source https://www.autonews.com/finance-insurance/bill-banning-forced-arbitration-clears-us-house

Even small interest-rate cuts help, retailers say

Auto analysts say reductions in the Federal Reserve's benchmark interest rate are unlikely to move the needle much for car shoppers this year, but some car dealers disagree.

source https://www.autonews.com/finance-insurance/even-small-interest-rate-cuts-help-retailers-say

One-touch system points at possibilities

Some dealerships that experimented with one-touch hybrid sales and F&I managers over the years ended up going back to separating the roles, saying the change ultimately dragged out the process for customers and cost them thousands in profit.

source https://www.autonews.com/fi-blog/one-touch-system-points-possibilities

CarMax says Q2 net income rises 5.8% amid robust used-vehicle sales

Pre-owned vehicle unit sales rose 6.2 percent for the nation's largest used-vehicle retailer.

source https://www.autonews.com/dealers/carmax-says-q2-net-income-rises-58-amid-robust-used-vehicle-sales

Group 1 estimates at least $12.5 million in damages from storm

Group 1 said its stores in Houston reopened Friday. Stores in Beaumont, Texas, are "open on a more limited basis."

source https://www.autonews.com/dealers/group-1-estimates-least-125-million-damages-storm

A renewed Darvish returns to auto retail

Pushed out of her family business, retail veteran Tammy Darvish started over, and now aims to turn around AutoCanada's U.S. unit.

source https://www.autonews.com/dealers/renewed-darvish-returns-auto-retail

AutoNation's new CEO: ?We'll be opportunistic'

Cheryl Miller talks with Automotive News about her first two months leading the largest dealer group in the United States.

source https://www.autonews.com/dealers/autonations-new-ceo-well-be-opportunistic

Dealer anniversaries

Dealers featured this week include Paula Callari, president of BMW of Darien in Connecticut; John Ventura, dealer principal of Courtesy Nissan in Altoona, Pa.; Thomas Norris, dealer principal of Toyota of Easley in South Carolina; and Tim Dahle, dealer principal of Tim Dahle Nissan Murray, in Utah.

source https://www.autonews.com/dealers/dealer-anniversaries-29

Basking in the glow: Automotive News' Best Dealerships To Work For

Dealers and their employees gathered in Chicago last week to celebrate their inclusion in the 2019 Best Dealerships To Work For rankings. Here is a glimpse of the celebration.

source https://www.autonews.com/dealers/basking-glow-automotive-news-best-dealerships-work

GPB Capital seeks fresh start for Prime

In July, Prime Automotive CEO David Rosenberg sued the owner of his dealership group, GPB Capital Holding. Now, two months later, the prominent New England dealer has been removed as GPB seeks a fresh start for the 56-store portfolio.

source https://www.autonews.com/dealers/gpb-capital-seeks-fresh-start-prime

CDK chief says AVs no threat to dealers

Brian Krzanich, CEO of dealer software giant CDK Global Inc., said self-driving vehicles are about a decade away and will present new opportunities for dealers.

source https://www.autonews.com/dealers/cdk-chief-says-avs-no-threat-dealers

Dealer has the 'The Right Stuff'

Crews filming "The Right Stuff," an upcoming TV series about the early days of the U.S. space program, used part of a Florida Nissan dealership to recreate an Apollo-era Chevrolet store that leased Corvettes to astronauts for $1 a year.

source https://www.autonews.com/dealers/dealer-has-right-stuff

A Nissan dealer wish list for the next CEO

Asked to give advice to a CEO who hasn't been hired yet, Nissan retailers from around the country asked for consistency more than anything else.

source https://www.autonews.com/dealers/nissan-dealer-wish-list-next-ceo

2 Reagor-Dykes employees plead guilty in $23M 'check kiting scheme'

The U.S. Attorney for the Northern District of Texas said the employees admitted that "the dealer group had an entire team at its headquarters specifically designated to kite checks."

source https://www.autonews.com/dealers/2-reagor-dykes-employees-plead-guilty-23m-check-kiting-scheme

General manager finds his purpose creating a place for employees to achieve success

Yuri Cil finds purpose in recruiting and retaining employees, especially those who — like him — hail from unlikely places.

source https://www.autonews.com/dealers/general-manager-finds-his-purpose-creating-place-employees-achieve-success

Dealership works on boosting employee morale even when sales are down

That Nissan of Turnersville in Turnersville, N.J., has been able to maintain its position near the top of the Best Dealerships To Work For list despite a significant sales slump is testament to the creativity general manager John Fanelli is applying to store's employment practices.

source https://www.autonews.com/dealers/dealership-works-boosting-employee-morale-even-when-sales-are-down

How to be the best? Start with what you know

The president of Best Companies Group says improving employee engagement cannot happen unless there is a keen understanding of what motivates and drives employees.

source https://www.autonews.com/commentary/how-be-best-start-what-you-know

Hendrick Automotive lands 9 stores on the '19 list

After taking a three-year break from entering its stores to be considered for ' Best Dealerships To Work For list, Hendrick Automotive Group roared back in a big way in 2019.

source https://www.autonews.com/dealers/hendrick-automotive-lands-9-stores-19-list

Perks that go a long way

Not-so-formal incentives can encourage employee loyalty, say industry experts and some of the Best Dealerships To Work For.

source https://www.autonews.com/dealers/perks-go-long-way

Dealership creates family atmosphere but still offers benefits of large, profitable company

For the second consecutive year, the Best Dealership To Work For in the U.S. is part of a huge Penske Automotive Group auto mall in Turnersville, N.J., about 20 miles southeast of Philadelphia.

source https://www.autonews.com/dealers/dealership-creates-family-atmosphere-still-offers-benefits-large-profitable-company

Buy a car, get a job

Some dealerships are employing a surprising strategy for hiring employees that are less prone to turnover.

source https://www.autonews.com/dealers/buy-car-get-job

Successful branding can attract potential employees just as it does shoppers

Recruiting experts say dealers aren't doing enough to combat the churn of workers in and out of their stores. One potential solution? Developing an employment brand.

source https://www.autonews.com/dealers/successful-branding-can-attract-potential-employees-just-it-does-shoppers

Families add to the fun

Family events are a way to show appreciation, encourage work-life balance and celebrate employees' biggest supporters at the Best Dealerships To Work For.

source https://www.autonews.com/dealers/families-add-fun

Dealerships turn to job fit assessments, personality tests to hire workers and work things out

Job fit assessments, which test an applicant's judgment capacity, are considered more effective — and ethically superior — to personality tests, hiring experts say. But personality tests still serve a valuable purpose.

source https://www.autonews.com/dealers/dealerships-turn-job-fit-assessments-personality-tests-hire-workers-and-work-things-out

Tesla, state regulators sued by New Jersey dealer association

The New Jersey Coalition of Automotive Retailers says the state is not addressing violations of franchise, dealer licensing and consumer protection laws by Tesla.

source https://www.autonews.com/dealers/tesla-state-regulators-sued-new-jersey-dealer-association

New Jersey dealer association sues Tesla, state regulators

The New Jersey Coalition of Automotive Retailers says the state is not addressing violations of franchise, dealer licensing and consumer protection laws by Tesla.

source https://www.autonews.com/dealers/new-jersey-dealer-association-sues-tesla-state-regulators

Feds sue Okla. dealership over allegation of hiring discrimination

The U.S. Equal Employment Opportunity Commission filed the lawsuit on behalf of a sales associate who said that because of her gender, she was not hired during an ownership change.

source https://www.autonews.com/dealers/feds-sue-okla-dealership-over-allegation-hiring-discrimination

More rate cuts won't help shoppers, Cox says

As borrowers and lenders anticipate the Federal Reserve will shave another 50 basis points off short-term, benchmark interest rates this year, including another cut expected Wednesday, auto experts say car shoppers won't see an appreciable difference in the rates they secure to borrow for a new crossover or pickup.

source https://www.autonews.com/finance-insurance/more-rate-cuts-wont-help-shoppers-cox-says

Longer loan terms worse for customers, AAA says

The average yearly cost of owning a vehicle is creeping closer to $10,000 — driven by shifting finance conditions and in some cases, longer loan terms, a AAA study finds.

source https://www.autonews.com/fi-blog/longer-loan-terms-worse-customers-aaa-says

GPB Capital names Westfall interim CEO of Prime Automotive, removes Rosenberg

The move comes two months after David Rosenberg sued GPB, which is embroiled in several regulatory investigations and lawsuits.

source https://www.autonews.com/dealers/gpb-capital-names-westfall-interim-ceo-prime-automotive-removes-rosenberg

Dealer inventories ease in August

Stockpiles at new-vehicle dealerships in China dipped to a 45-day supply in August from 53 days the previous month, according to the China Automobile Dealers Association.

source https://www.autonews.com/china/dealer-inventories-ease-august

Don't like the car you bought? Pick another

After buying a car from stores in the Ricart Automotive Group, customers have 72 hours to change their minds and exchange the vehicle for another – no questions asked.

source https://www.autonews.com/best-practices/dont-car-you-bought-pick-another

Inventory dips as summer wanes

Estimated automotive inventories have fallen for the second consecutive month as dealers continue to sell off existing stocks while automakers work through the end of their traditional summer production shutdowns and model-year changeovers.

source https://www.autonews.com/sales/inventory-dips-summer-wanes

Buy-sell action likely to rebound after falloff

The number of transactions in the second quarter fell from a year ago but is expected to rise in the second half of the year, according to two companies that track deals.

source https://www.autonews.com/retail/buy-sell-action-likely-rebound-after-falloff

Dealers worried but used profits offer hope

Setting aside price pressures and softening new-vehicle sales, 2019 has been remarkably stable for U.S. auto dealers, Cox Automotive notes in its latest Dealer Sentiment Index survey.

source https://www.autonews.com/dealers/dealers-worried-used-profits-offer-hope