Trade News – Page 159

Tesla on track to dislodge Toyota as king of California

Tesla's Model 3 is sometimes referred to jokingly as the "California Camry" for its ubiquitous presence in the nation's biggest car market, where the Toyota sedan has been the top seller.

But that Tesla reference is no longer a joke.

Model 3 registrations in the Golden State in 2022 surpassed those of the Camry — along with every other passenger car, according to the California New Car Dealers Association. In 2021, the Camry was the best-selling car.

There's more evidence that Toyota's No. 1 sales spot in the state is threatened by No. 2 Tesla: The EV maker's Model Y crossover was the top light truck in California new-vehicle registrations last year, beating Toyota's RAV4 for a second year in a row.

To be sure, the Toyota brand is still strong in California with a 17 percent share last year with 289,304 registrations. Tesla had 11 percent with 186,711 registrations.

But the sales trend is moving in Tesla's direction as it nearly doubled it…

Zoox’s purpose-built robotaxi reaches public roads in California

With Cruise and Waymo already operating extensive robotaxi fleets in San Francisco, it can be easy to forget there's a third self-driving company with plans to launch in the city.

Amazon-owned Zoox took a "big step" toward that goal over the weekend, according to CEO Aicha Evans.

A Zoox robotaxi carried dozens of employees on multiple trips via public roads linking two of the company's offices in Foster City, Calif., on Saturday. The vehicle reached speeds of 35 mph on its two-mile, round-trip route.

Last week, the California Department of Motor Vehicles granted Zoox a permit to deploy its purpose-built robotaxi on the public roads along the route. The specially designed robotaxi does not contain traditional controls like a steering wheel or brake pedal. It's not meant for human drivers.

Evans hailed the moment as a major milestone for the company, founded in 2014.

"Putting the vehicle on an open public road, and validating our approach to …

Next Toyota CEO says reforming EV strategy is his new team’s top priority

TOKYO – Toyota’s next CEO, Koji Sato, is pledging to “drastically” revamp the carmaker’s slow-going electric vehicle strategy with a new leadership team he just unveiled to reinvent the world’s largest automaker as a mobility company in a challenging new era of industry upheaval.

While announcing the new roster Monday, Sato said the accelerated EV rollout would center around a next-generation platform, which is expected to arrive around 2026.

The ramp up comes amid mounting criticism among some investors, environmental activists and EV enthusiasts, that Toyota Motor Corp. is falling behind in the global race for battery-powered cars. Sato appointed a new top executive to steer the push, starting from Lexus.

“Lexus is going to have a leading role for that,” Sato said.

Toyota’s new management lineup keeps some executives in place and elevates younger ones as the 85-year-old automaker taps fresh blood and flexible thinking. Sato, 53, said he is prio…

Learning to use EV chargers the hard way

The nation's public charging network, with its steep learning curve and fussy technology, is proving to be a challenge for an auto industry working hard to sell consumers on electric vehicles.

While some early EV adopters are figuring out ways to navigate around broken stations, slow charging, tacked-on fees, unreliable software and myriad other hassles, these pain points are giving prospective EV buyers some pause.

Kurt Lammon, president of a Rainsville, Ala., company that supplies products to body shops to repair plastic components, is interested in EVs. He commutes around 120 miles per day, but he's not convinced that public chargers work well enough yet to make an EV practical for him.

"Time is the most valuable thing I've got. I'm not going to waste it charging an EV. But once they get charging figured out, maybe I'll consider it," Lammon said.

Pete Pryce, a program coordinator at a suburban Detroit automotive eng…

Column: For the want of a reliable EV charger

Electric vehicle detractors are often quick to point out perceived faults: EVs are too expensive, they don't have enough range for long trips, they're not truly "green," they're a hassle to charge.

It's hard to argue against that final point — if you have to rely on public charging. If the automotive industry wants to sell EVs to American consumers who aren't able to plug in at home or who need to drive long distances, it has to overcome this significant obstacle.

This week's issue of Automotive News examines a number of problems with the nation's charging network.

Richard Truett takes a deep dive into how consumers are navigating the charging network and its quirks. As newer EV drivers become acquainted with the network, they are learning that all charging experiences aren't created equal — different chargers refuel at different speeds, the charging companies' smartphone apps and payment software don't always work as advertised, and some chargers have surp…

The Intersection 2-12-23

For the want of a reliable EV charger

Electric vehicle detractors are often quick to point out perceived faults: EVs are too expensive, they don't have enough range for long trips, they're not truly "green," they're a hassle to charge.

It's hard to argue against that final point — if you have to rely on public charging. If the automotive industry wants to sell EVs to American consumers who aren't able to plug in at home or who need to drive long distances, it has to overcome this significant obstacle.

This week's issue of Automotive News examines a number of problems with the nation's charging network.

■ Richard Truett takes a deep dive into how consumers are navigating the charging network and its quirks. As newer EV drivers become acquainted with the network, they are learning that all charging experiences aren't created equal — different chargers refuel at different speeds, the charging companies' smartphone apps and payment software don't al…

Tool gives lenders look into dealership loan approvals

Artificial intelligence and data provider Point Predictive Inc. has gone into the matchmaking business.

The company recently unveiled a product called DealerExplorer that helps lenders decide if they want to work with a certain dealership.

The new platform gives lenders insight into the potential fraud risk of a dealership's customers before they decide to fund a loan. It shows lenders the quality and quantity of loans a dealership originates by flagging defaulted loans and fraudulent applications.

Frank McKenna, co-founder and chief fraud strategist for the company, told Automotive News the current system of lenders' sales representatives signing up dealerships is "a blind process."

"They don't know who has a good history and who doesn't," McKenna said. "We give them a portal to see how [dealership customers'] apps are scoring, number of defaults, volume, risk insights so they can determine if they're going to sign up tha…

Cars.com CEO: Digital is the future of retailing

There's no holding back anymore. For auto retailers, the choice is between digitization or being left behind, according to Alex Vetter, the longtime CEO of Cars.com, the 25-year-old third-party marketplace company.

"If you're not trying to digitize your operation and make everything begin online, you're out of touch with what the consumer is expecting," Vetter told Automotive News at last month's NADA Show in Dallas.

Digitization must be a top priority for dealers everywhere in today's market, said Vetter, a founding executive of Cars.com, which has branched out to retail technology products and services.

Vetter, 52, spoke with Staff Reporter Mark Hollmer and Retail Director Amy Wilson about market evolution, consumer expectations, the journey forward for digitization and more. Here are edited excerpts.

On addressing current consumer expectations for digitizing auto shopping experiences:

Over the next several years, as dealerships wrestle…

Inventories retreat slightly to 1.73 million

New-vehicle inventories pulled back slightly last month, interrupting a string of recoveries that stretched back to summer, but still remain significantly above where the industry was a year ago and far below where it has been historically, according to estimates from Cox Automotive and the Automotive News Research & Data Center.

Cox estimated U.S. inventories at 1,726,828 in its most recent assessment, a 57-day supply, down from the 1,803,717 vehicles, or a 58-day supply, it said were available for sale the previous month. The inventory figure is about 62 percent above where it was a year earlier but was still nearly a million vehicles short of where it was at the same point in 2021, and less than half of where it stood at this point in 2019. Cox attributed the decline to increased sales.

Among the volume segments, supplies were tightest in compact, midsize and subcompact cars, Cox said, and highest among full-size cars, EVs and sports cars.

Of th…

Reynolds, CDK, Cox Automotive looking at acquisitions in 2023

Reynolds and Reynolds Co., Cox Automotive and CDK Global are all seeking or contemplating new acquisition deals in 2023 as they work to modernize their offerings. And they may have their pick of potential targets because of a tough fiscal environment for startups.

Leaders of the three biggest retail technology companies confirmed to Automotive News that they're looking to buy other companies or products or are at least open to opportunities should they arise. While none offered details, they'll likely target dealer management software technology that includes legal compliance, consumer data platforms, robotic process automation and new-vehicle inventory tools, said Steve Greenfield, CEO of venture capital firm Automotive Ventures.

"The three legacy DMS providers have the benefit of thousands of existing paying dealer customers and are thus ideally positioned to acquire 'tuck in' acquisitions to cross-sell into their installed dealer base," Greenfield told Auto…

See Ram’s innuendo-packed Super Bowl ad, Jeep remix of ‘Electric Boogie’

Anyone overhearing Ram's Super Bowl ad from another room might confuse it with a run-of-the-mill male enhancement pitch.

Ram's spot, however, is about providing a different kind of spark. The truck brand is taking on range anxiety ahead of the 2024 launch of its electric pickup that will be known as the 1500 REV.

The innuendo-packed commercial planned for the fourth quarter is one of two from Stellantis after the company sat out last year's Super Bowl. Jeep is also using Sunday's game to spread the word about its electric ambitions. It's the first time Jeep created a Super Bowl spot to be deployed at a global level, the company said.

Stellantis is expected to be joined by only a few other automakers. General Motors is promoting its transition to EVs, while Kia is touting a new off-road version of its gasoline-powered Telluride crossover.

Ram's 60-second commercial provides the first glimpse of the production version of the 1500 REV and explores "…

Automakers in the Super Bowl, and their ads

GM, Kia and Stellantis have ponied up the money for 60-second ads during Super Bowl LVII. Here is a look at the ads.

Ram: Premature Electrification

Comedian Jason Jones, a former correspondent on "The Daily Show," offers a reassuring message for those who might be suffering from EV range anxiety. The upcoming electric 1500 REV pickup has a cameo.

Jeep: The Jeep 4xe “Electric Boogie”

This second Stellantis offering for the big game features a remix of the popular "electric slide" line dance by Jamaican Reggae singer Marcia Griffiths. Reggae artist and producer Shaggy joins Griffiths for the new track, which also has performances by up-and-coming artists Amber Lee, Jamila Falak and Moyann.

Kia: Binky Dad

A desperate dad needs a vehicle that will help him retrieve his baby's binky, and his odyssey becomes a viral sensation. Kia is presenting three alternate endings for the ad on its TikTok channel to generate engagement.