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They’re baaaaack!
Reports of the demise of auto shows were … well … way wrong

Ram cattle drive at the 2008 Detroit auto show

We’re so vain.

We in the media probably thought auto shows were about us.

And who would blame us? For decades, automaker execs crashed through convention center windows, rappelled from hall ceilings and herded cattle on nearby streets, all in a bid to capture more “media buzz” than their rivals.

And when they decided that spending a million dollars or more for a 20-minute time slot wasn’t worth it anymore, we started in with our “wither auto show” headlines.

And sure, that may actually have applied to the biggest venues, mainly Detroit’s North American International Auto Show. Pullouts by high-profile German automakers prompted Detroit into some soul searching that resulted in its move away from its traditional snowy January format.

But in the rest of the U.S., it’s been a different matter. According to Foresight Research, an estimated 11 million people attended U.S. auto shows during the 2018-19 season. That number had held steady for years — until the pandemic hit.

In Monday’s issue, we’ll put a spotlight on what’s shaping up as a revival.

In recent weeks, shows in Atlanta and Milwaukee have been held. On Saturday, the Twin Cities Auto Show kicks off, in a blend of indoor and outdoor facilities.

All over the U.S., dealer associations and automakers are gearing up for dozens of auto expos in markets big and small.

They’re hoping to capitalize on pent-up consumer demand for real-life experiences after months of much of America being cooped up to avoid the coronavirus. Show organizers also see demand rising as Americans get vaccinated. And there’s a real interest in seeing all those new electric vehicles that have hit the market since the pandemic hit.

Even with the prospect of sending enthusiasm-rich consumers into product-poor showrooms because of the microchip shortage, the basic math is still working for the industry.

As for show attendees?

“They drive up to an hour,” said Foresight’s Chris Stommel. “They pay for parking. They pay for overpriced concessions. They spend five hours on average on the show floor, all to attend what amounts to one long car commercial.

“So there is certainly value from the customers’ perspective.”

Dave Versical

GM Defense

 

“There’s a lot of similarities between racing and defense. It’s optimizing for a very particular intense use. My background and my engineering team came from the high-performance side, so it was a natural extension of our capability.”

 
– MARK DICKENS, CHIEF ARCHITECTURAL ENGINEER AT GM DEFENSE
 

From “GM Defense taps new president, opens N.C. production center”

 

Coming Monday in Automotive News:

International auto show venue in Munich

Remember when a handful of international shows ruled the roost? While some international shows, such as the ones in New York and Chicago, will return this year, the future of those kinds of tentpole extravaganzas remains in doubt. Automakers have largely learned to debut and launch vehicles without big auto shows, which were in decline before the pandemic arrived. Regional auto shows, meanwhile, are poised to kick off the 2021 season with cautious optimism at a time when many Americans are eager to get out of the house and explore. Automotive News examines the post-pandemic role of the smaller, regional show.

Buying a car online

That’s not the way Amazon would do it! Some experts argue that the common practice on dealer websites — asking for contact information before showing the price of a vehicle and then informing the customer that he or she will be contacted within 24 hours — no longer makes sense. Rather than spending time and money chasing down prospective customers once they’ve left a website, advocates argue that dealerships need to figure out the best ways to engage with them while they’re on the site and browsing. Automotive News talks with dealers who have done away with the traditional lead-generation model in favor of real-time communication with shoppers.

Weekend headlines

Musk boosts his brand on ‘Saturday Night Live’: The Tesla CEO opened his monologue by telling an audience in more than 100 countries he is “the first person with Asperger’s to host SNL. At least the first to admit it.”

Ford recalls nearly 617,000 Explorers to inspect, secure roof rail covers: The recall covers the 2016 through 2019 model years. Dealers will install pushpins and replace any damaged rail clips and roof rail covers, as necessary.

Chicago Auto Show

Chicago Auto Show to make July return: The event, which organizers had planned to bring back this spring before a COVID-19 outbreak hit in April, will be smaller than usual and run from July 15 to 19, half as long as in normal times.

Mark LaNeve

Ford, GM alum LaNeve joins KeyFetch board: Mark LaNeve, one of the few senior executives to hold top roles at both Ford and General Motors, has joined finance and insurance product provider KeyFetch Automotive as its nonexecutive chairman of the board. LaNeve is reuniting with his old boss, former GM CEO Rick Wagoner, an investor in KeyFetch and a strategic adviser to the board.

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Top Five U.S. Lease Deals  
MarketScan
What are the best deals nationally this week across the U.S.? Market Scan’s Payment Value Index (PVI) analyzes the relationship between MSRP* and the monthly payment to determine which lease deal delivers the best “bang for the buck.” For more information, visit www.marketscan.com.
Hatchback  
PVI Year Make Model Average MSRP*   Average Best Payment
93.27 2020 HONDA CIVIC TYPE R $37,950.00   $365.26
93.02 2021 HONDA CIVIC TYPE R $41,940.00   $411.62
91.30 2021 MINI HARDTOP 4 DOOR $26,250.00   $291.87
90.75 2021 TOYOTA COROLLA HATCHBACK $23,440.00   $273.51
90.44 2021 MINI HARDTOP 2 DOOR $32,375.00   $410.52

 

Crossover/SUV  
PVI Year Make Model Average MSRP*   Average Best Payment
99.43 2020 HYUNDAI KONA EV $42,583.33   $238.33
96.72 2021 HYUNDAI KONA EV $42,783.33   $311.18
93.71 2021 FORD ECOSPORT $25,750.71   $239.13
93.31 2020 KIA NIRO PLUG-IN HYBRID $34,176.67   $328.39
92.88 2021 KIA NIRO PLUG-IN HYBRID $34,176.67   $339.78

 

PVI Year Make Model Average MSRP*   Average Best Payment
90.83 2021 HONDA ODYSSEY $40,327.00   $471.08
90.75 2022 HONDA ODYSSEY $40,567.00   $475.93
89.62 2020 RAM PROMASTER CITY CARGO VAN $26,900.00   $338.30
89.34 2021 TOYOTA SIENNA $44,128.64   $571.27
88.61 2020 RAM PROMASTER CITY WAGON $28,500.00   $383.02
* Average MSRP is the average of the MSRP of all the individual trim levels for each model, and includes all taxes, registration and average dealership fees. Based on 36-month lease, 12,000 miles per year, 720 credit score, customer cash = 5% of MSRP, Selling Price = MSRP

Source: Payment Value Index (PVI) ™, a trademark of Market Scan Information Systems, Inc.

  Available through captive lender
  Available through non-captive lender

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A selection from Shift and Daily Drive:

May 9, 1970: UAW President Walter Reuther, his wife, May, and four others were killed when their chartered plane struck a tree while trying to land in northern Michigan.