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July 7, 2014

ON THE WEB: Public Overestimates Dealer Profits

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Technology Drives Quality Rankings

Consumers believe car dealers make about five times more profit on the sale of a new car than they actually do, a survey by TrueCar Inc. finds. The survey showed that 26 percent of car buyers feel they overpaid for their purchase and that 32 percent would not return to the same dealership due to low customer satisfaction.

Age of Cars on Road Highest Since 2009

The percentage of older vehicles on the road has reached its highest level since 2009, according to Experian Automotive. Vehicles predating the 2001 model year made up more than 28.3 percent of all vehicles on the road during the first quarter of 2014, up from 22.1 percent six years earlier.

America’s Car-Mart Adds Two Stores

America’s Car-Mart Inc. recently opened two new stores in Hixson, Tenn., and Dothan, Ala. They are the chain ‘s 135th and 136th stores.

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TOP RIDE: Porsche drivers enjoy their vehicles, reporting the fewest problem per 100 vehicles of any brand, according to the J.D. Power 2014 Initial Quality Survey. Fiat finished at the bottom, with 206 problems per 100 vehicles. By Jenny King

DETROIT – Where once new-car buyers had complaints about air conditioning or a vehicle’s fit and finish, today’s top irritant is voice recognition devices. This was among the findings of the J.D. Power 2014 Initial Quality Survey

released June 18. And according to results of the annual study presented here to members of the Automotive Press Association, owners of 2014 Porsches reported the fewest number of problems per 100 vehicles (74) while Fiat was at the bottom of the chart with 206 per 100 cars.

The Initial Quality Survey, now in its 28th year, covers 32 brands and 207 2014 models. It comprises 233 problem symptoms and asks buyers to comment on them covering the first 90 days of ownership. For 2014, the average was 116 problems per 100 new

vehicles, up slightly from 113 per 100 vehicles in 2013. Porsche, on the strength of its Cayenne, 911 and Panamera models, had only 74 problems per 100 vehicles. Other makes with averages of less than one per vehicle included Jaguar, Lexus and Hyundai. Hyundai was Continued on page 12

Consumer Groups Attack CarMax over Recalls It has been a month of highs and lows for CarMax Inc. as advertising practices. the company reported record results, responded to charges The groups say the used-car superstore chain’s Certified from consumer groups about recalls and lost its founder. Quality Inspection misleads the public because technicians The company reported that net sales and operating reve- don’t repair recalls. nues increased to $3.75 billion in the quarter ended May 31. “CarMax is playing recalled used car roulette with its Used unit sales in comparable stores increased 3.4 percent customers’ lives,” said Rosemary Shahan, president of while total used unit sales rose 9.8 percent. Total wholesale Consumers for Auto Reliability and Safety, which unit sales increased 9.9 percent. spearheaded the petition. CarMax’s tremendous success might be drawing some CarMax responded in a statement that manufacturers do unwanted attention, however. Eleven consumer groups not give used car retailers, including CarMax, the authority petitioned the Federal Trade Commission to investi- to complete recall repairs. 260-BBU-Ad-7.175x1.8-UsedCarNewsCvrStp.pdf 1 5/20/14 2:38 PM gate and take enforcement action against CarMax for its Continued on page 10

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July 7, 2014ÛÛÝÛۀ

USED CAR NEWS

IAA CEO Deals with Challenges of Bigger Organization MBA from Northwestern is a critical asset. It’s difficult University. to find large pieces of land where we’re allowed to opUCN: How did you arrive erate our business. at IAA? Kett: (Former CEO) Tom UCN: How do you deal O’Brien and I had worked with local objections together when I was in the when you want to open a glass business. He recruited new site? me when he took over at Kett: It can be a long prothe end of 2000. As I said, cess in most municipalities. we were going through a Once we’re able to explain transformation of the whole what we really do and how company. He was a tremen- we operate, we’ve been fairly dous leader. successful at convincing loKett UCN: When I got here, we had cal governments that we’re a Tell us about your back- fewer than 50 locations and viable business. ground. now we have more than 160. Kett: When I arrived, we We grew the business for UCN: How has the mergwere really re-engineering a variety of reasons. One, er of IAA with ADESA and the whole business. We saw obviously, was to grow the Automotive Finance Corp. a lot of growth in the run up top and bottom lines of the worked out on your side? to merging with ADESA and business. But really it was to Kett: With ADESA, we’re creating KAR. I served as service our customers. The able to offer a single solupresident since June 2011. insurance companies espe- tion to fleet and commercial Before that, I was in metal cially were asking for a na- companies. We don’t operdistribution and before that tional footprint. ate together, but we share I was in the auto glass busiWe did a pretty good job of some real estate, so we can ness. That’s how I became filling the map. We’re adding take advantage of that. Duracquainted with the insur- locations now not so much ing catastrophes, we’ve ance business. because we’re not serving been able to take advantage My training is in account- a market at all, but because of ADESA’s properties and ing. I have an undergradu- we’re doing well there and even their reconditioning ate degree from Northern we need facilities. PAA-WAA-UCN2-July7_9x6.125.pdf 1 more 6/30/14space. 10:57 AM Illinois University and an In our business, real estate When the businesses got (John Kett is the CEO of Insurance Auto Auctions Inc., the salvage arm of KAR Auction Services Inc. Kett took over as CEO in May after 14 years with the Jon company.)

together, we didn’t really see the untapped potential for floor planning in the salvage business. It’s still a relatively small percentage of our overall mix, but it’s been growing steadily.

side the company.

UCN: What effect have you seen from the shortage of cars on the traditional auto auction side of the business? Kett: The shortage of cars UCN: How does your did drive demand up at our management style differ sales. Used-car prices are from Tom O’Brien? one of the main drivers of Kett: Tom and I have the prices in the salvage market. same passion for the business, but different personaliUCN: The main driver, of ties. We need to do a better course, is weather. What job of growing and identi- impact have extreme fying our high performers. weather events, such as When we were smaller, you Hurricane Sandy, had on could easily reach out to your business? your top talent. We need to Kett: Sandy was somebe more systematic at the thing we never want to resize we’re at now. peat. It was much more challenging than Katrina UCN: There is a new because of the real estate. It CEO at ADESA (Stephane was much easier to get land St. Hilaire), a new CEO at in Louisiana. Also, getting AFC (John Hammer) and people and vehicles and yourself. What kind of re- supplies in and out of there lationship do the three of was very, very difficult. you have? Kett: It’s been refreshing. (See the July 21 issue of I know John and Stephane Used Car News for the secvery well. We’re all taking ond half of Kett’s interview fresh looks at our business- and his views on auction es, but we all come from in- technology.)

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 ÛÛ�ÛÛJuly 7, 2014

USED CAR NEWS

MILESTONES Longtime buy-here, pay-here dealer Christopher Todd Smith, 47, of Columbia, Ala., died May 24. Smith was president of Dothan Motor Co., based in Dothan, Ala. The dealership was started by his grandfather in 1946 and was later owned by Christopher Todd his father and uncle before Smith Smith took the reins in 1996. Smith had always placed importance on coaching people and used leadership books and training exercises to improve his staff. In 2003, Smith talked about his philosophy of business. “I’m not here to just make money,� Smith said. “I’m here to impact lives. I want the company to add significance to the lives of our team members, the customers, and to add to the bottom line, too.� Smith was preceded in death by his father and mother, Dan and Vickey Smith; brother, Tim Smith; grandfather, J.O. Smith; and grandparents, Virgil and Edith Newton. He is survived by his wife, Lori Hoskins Smith; daughters, Victoria Grace Smith and Clarissa Hope

Smith; sons, Elliot Alexander Smith had turned over the CEO mantle to The company today publishes more and Harrison Rush Smith; brother, Ty in 2004) and his eldest grand- than 20 various trade publications. Troy Smith (Barbara); grandmother, son Blake joined He was inducted into the Fleet Ruth Hinson Smith; several aunts, the company in Hall of Fame in 2009. uncles, cousins, nieces and nephews. 2010. One of his greatest passions was Smith spent his early years in EnterHe had a big any sport played by his beloved prise, Ala., until his family moved to family and en- Michigan State, where he played Dothan, Ala. joyed hosting himself during his undergraduate Smith was a graduate of Auburn annual reunions career. University at Montgomery and marof his five grown This year’s Spartan victory at the ried his high school sweetheart, Lori children (his Rose Bowl, which he watched live, Hoskins Smith in 1991. daughter Bon- was, in his own words, “One of the They moved to Dothan in 1993 for nie predeceased happiest days of my life.� Ed Smith to join the family business. him in 2007), 14 He is survived by his five children: Bobit He eventually grew the business grandchildren, Ty Bobit, Barbara Jusseaume, Bobi from nine to more than 40 employ- and one great-grandchild. Jo Banas, Beverly Jacobson, and ees. He launched the company’s flag- Beth Edwards as well as 14 grandship publication in November 1961. children and one great-grandchild. Ed Bobit, founder and chairman of Bobit Business Media, died at Published By General Media LLC the age of 86. Bobit had undergone USED CAR NEWS (ISSN 1555-7413) is published at valve-replacement surgery last sum24114 Harper, St. Clair Shores, MI 48080 mer and had been working primarily Phone: 586-772-5200 or 800-794-0760 Fax: 586-772-9400 from home. Bobit was a man of outsize pleawww.usedcarnews.com sures, but none more than his work and family, which were usually one Charles M. Thomas and the same. Founder (1947-2002) Ed’s son Ty runs the company (Ed C R O S S WO R D by Myles Mellor

PAGE 21

Lynda R. Thomas, Publisher Colleen Fitzgerald, General Manager Editorial: Ted Craig, Managing Editor Jeffrey Bellant, Staff Writer

Contributing Writers: Ed Fitzgerald, Jenny King, Sheila McGrath Columnist: Tony Moorby Advertising: Shannon Colby, Account Manager Megan Frump, Account Manager Marie Hingst, Account Manager Circulation: Helen Thomas Production: Josie Godlewski, Media Manager Tim Montie, Graphic Designer ———

)&ĹşÉ&#x;ŲŰÉ&#x;É&#x;É&#x;Ć€É&#x;É&#x;É&#x;)ĹşÉ&#x;š

Used Car News is published the first and third Monday of each month. Subscribers: We print advertisements as sent to us by auctions and other advertisers. It is not possible to verify the correctness of listed vehicles in auction ads. Most lists are partial and all lists are subject to last minute changes by auto auctions, so before travelling a long distance for a particular auto auction event, contact the auction by telephone for a fax of vehicles in the sale. Used Car News assumes no guarantees or liabilities concerning the accuracy of any advertisements. All Rights Reserved. Reproduction in any form is prohibited without the written consent of the publisher. É&#x;  É&#x; É&#x;  Please submit clear, legible copy. Payments from first time advertisers must accompany the insertion order. Distribution is guaranteed by U.S. Postal Carriers. The advertising reservation deadline is 5:00 p.m. Friday, 10 days prior to the issue date. Camera ready ads must be received by noon on Monday prior to the issue date.

Join the Conversation! Visit Used Car News online at www.usedcarnews.com or scan this QR code with your smartphone to be taken directly to the website.

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July 7, 2014 ÝÛۂ

USED CAR NEWS

Past NIADA President Seeks New Office – Mayor By Jeffrey Bellant

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Dealer Anthony Underwood, a past president of the National Independent Automobile Dealers Association, is running for mayor of his hometown of Bessemer, Ala. The primary election is Aug. 26. The top candidate must get 50 percent of the vote to avoid a runoff. Underwood sought support from his fellow dealers during the recent NIADA annual convention in Las Vegas. The 2003 National Quality Dealer is hoping he can turn around Bessemer – known as the Marvel City – by bringing back business and reducing crime in a city that has seen its population dwindle over the years. The city had as many as 35,000 residents at one point, now it’s down to 27,000. Underwood said the city has become a “mini-Detroit,” with 13.9 percent unemployment and neighborhood deterioration and abandoned homes. One study ranks Bessemer

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the seventh most dangerous city in the U.S., just below Detroit at No. 6. Underwood said the problems became clear when he attended a local school event that promoted a “reuse, recycle and reduce” campaign. When he walked out of the school, he noticed an empty home with doors kicked in right across the street. “I thought (the recycling event) was hypocritical when we, as adults, weren’t even taking care of the most important thing – the safety of our young people,” Underwood said. “It’s a dire situation. We want to revive the city. This is where I was born and had my first job. This is my hometown and we want to make it a great place to live and work and grow. Underwood started his used-car business – Anthony Underwood Automotive – in Bessemer in 1994 with a rented trailer and 10 slots for cars. Now it’s a large dealership with a full service shop. Underwood’s son Roderick runs the store. Underwood also owns

MAKING HIS PITCH: Dealer Anthony Underwood shakes hands with a future voter while on the campaign trail. The past NIADA president and 2003 National Quality Dealer is running for mayor of Bessemer, Ala.

about a half-million square feet of commercial property in the city, serves on the chamber of commerce board and is involved in numerous other public service activities. Over the years, he’s been asked to run for office, but he’s always declined. Underwood thought his efforts in the auto business were the best way to help the city.

“I always thought there were other people that could handle the problem,” he said. The last two mayors have been a disappointment, Underwood said. Although Underwood and his wife had moved out of Bessemer into their dream home in another town, he felt strongly that the city needed new leadership and made his decision to run

six months ago. Underwood moved back into the city earlier this year to be eligible for the mayoral race. He understands that an incumbent is hard to beat, but Underwood has name recognition because of his dealership. “I tell people, I want to do for Bessemer what Bessemer has done for me,” Underwood said.

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ƒÛÝÛÛJuly 7, 2014

USED CAR NEWS

Dealers Defeat City’s Fee Plan By Jeffrey Bellant

ITCHING TO FIX THAT

A coalition of independent and franchise auto dealers fought off a proposed local ordinance that they said would have devastated dealerships in Pharr, Texas. Pharr, a town of 65,000 residents, is home to about 100 car dealerships, according to Jeff Martin, executive director of the Texas Independent Automobile Dealers Association. But its reputation as a dealershipfriendly town was in jeopardy when the Pharr City Commission tried to pass an ordinance early this year. The ordinance, introduced in February, would have imposed an inaugural $1,000 licensing fee on all Pharr car dealers and a $500 annual renewal fee. On top of that, the city would require a $25 fee to the seller for each car sold and dealers would have been required to give a percentage of their gross sales back to the city. “I don’t think they really understood what they were getting into,” Martin said. “It would have been a train wreck, just for a small city to try and license 100 dealers (by itself ).” Martin said association leaders met withCarolina_UCN_July-Print.pdf local officials to determine 1 their purpose for the ordinance.

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He said car sales already have a state tax, so cities cannot impose a sales tax on top of that. The Texas IADA partnered with members of the Valley Automobile Dealers Association and the Texas Automobile Dealers Association to challenge the proposed fees after the commission passed a first reading on Feb. 17. The groups sent a letter that laid out their concerns about the impact of the ordinance on the city’s auto businesses. By the second reading on March 6, the city dropped the gross-percentage of sales provision and changed the $25 fee to $10 and switched it to the buyer from the seller. But the dealer coalition still had several problems with the ordinance. The dealer groups argued that the ordinance would ultimately drive car dealers and their customers to other municipalities. The groups threatened a lawsuit if the ordinance moved forward. Public outcry and a packed city commission meeting for the third reading of the ordinance forced the city to eliminate several of the provisions detrimental to dealers. The fees structure was dropped from the amended ordinance leaving only4:14 regulations on dealer loca5/16/14 PM tion, lot size and grounds keeping.

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PAGE 8 - NIADA QUALITY DEALER AWARD

Winning Quality Dealer Award Overwhelms Operator By Jeffrey Bellant

LAS VEGAS – New Mexico dealer Marc Powell, an Air Force veteran and Harvard Law School graduate, has added the title of National Quality Dealer of the Year to his resume. Powell, owner of Recarnation, based in Albuquerque, received the honor during the recent National Independent Automobile Dealers Association’s Convention and Expo. It was the 39th annual National Quality Dealer award. “I feel deeply overwhelmed,” he said. “There were so many extraordinary dealers here with decades of experience and incredible stories. I’m just so humbled. “I hope we’ll be able to raise our standards to continue to excel.” Powell also graduated from Harvard’s Kennedy School of Public Policy and founded an investment firm before investing in the used car business. Recarnation includes a dealership, car rental operation and an 18,000-squarefoot service center. Powell is as active in char-

ity as he is in business, donating more than 50 percent of the operation’s profit to individuals and institutions in need. The dealership sponsors a charity every month. Powell even received a letter of recommendation from New Mexico Gov. Susana Martinez. Last year, Powell donated a vehicle to a high school student suffering with terminal brain cancer. After the student died, Powell raised more than $5,000 to pay for the girl’s funeral. Powell said the mother of the girl was later hired by the New Mexico IADA and has since moved on to a position with AFC. As he accepted the National Quality Dealer award, Powell told the audience at Caesar’s Palace that he didn’t write a speech because he didn’t expect to receive the honor. “I feel so grateful to be in this business,” he said. “Everyone in this room makes a community better. Every car dealer I know gives and gives and gives.” Powell said when he decided to go into business he didn’t want to sell t-shirts or

Photo by Jeffrey Bellant HUMBLED: Marc Powell, owner of Albuquerque-based Recarnation, finds himself at a loss for words when he accepts the 2014 National Quality Dealer of the Year Award.

some other product. “I wanted to help people,” he said. “It’s been an amazing experience.” Powell said being a car dealer is different from his experience as an analyst and owner of an investment firm. “It’s the deep relationships that we have formed with our clients,” he said. “Most of our clients require assistance with their transportation needs.

“We tried to rebuild the entire company to serve them and make them successful. Success isn’t real until it’s shared.” Powell also serves in a number of other positions. He is an active member of the Albuquerque Convention and Visitors Center, the Chamber of Commerce and is a board member of the Harvard University Committee on University Re-

sources. Powell also serves on the board of the U.S. Air Force Academy Association of Graduates among other groups. Powell was one of 19 nominees for the award. The nominees are chosen by various state IADAs. The selection of the National Quality Dealer is made by a review panel from Northwood University.

Manheim, NIADA Salute Dealership That Gives Back to Community Manheim and the National Independent Automobile Dealers Association presented the fourth annual NIADA Manheim National Community Service Award to Members Auto Choice of Suwanee, Ga. “It’s a privilege to be able to honor Members Auto Choice for their commitment to the community,” said Tim McKinley, senior vice president of sales for Manheim. “Independent auto dealers who share their time, talent and resources to improve the lives of others deserve to be honored. Michelle Groover and Dan Stryzinski of Members Auto Choice have embraced charitable giving and volunteerism through their support of more than 40 charities.” “We are so pleased to support their outstanding community spirit and partnerships, and commend the Michelle Groover and Dan

…ÛÛÝJuly 7, 2014

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Stryzinski and their team for their giving efforts in the metro Atlanta area,” NIADA President Keith Hagler said. “To reinforce its commitment to giving back, the dealership distinguished itself by raising money for more than 40 charities using their signature barbecue as a driving force.” McKinley presented Members Auto Choice with a check for $5,000 to be donated to Georgia Chapter of Concerns of Police Survivors (C.O.P.S.), the dealership’s charity of choice. C.O.P.S. provides resources to help the families and coworkers of law enforcement officers killed in the line of duty. Two other dealerships were honored at the NIADA National Leadership GIVING BACK: Tim McKinley, senior vice president of sales for Manheim, presents a check to dealer Billy Graham, Awards Banquet as finalists who accepted for Members Auto Choice of Suwanee, Ga. for the award: Grant Motors & Mint Motors, Ft. Myers, Fla., and Country Club Auto, Greenville, Ohio.

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~‡Û�ÛÛJuly 7, 2014 BelAirUCNad_July7-3.pdf

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USED CAR NEWS

3:08 PM

CarMax

– Continued from 1

The statement went on to say that CarMax supports federal legislation that requires used car retailers to fix recalls so long as the legislation also mandates that manufacturers fully enable used car retailers to make the repairs. The legislation should require manufacturers give used car retailers all recall notices, the same diagnostic and repair information, and the tools and parts that manufacturers make available to their franchise dealers. Finally, the company said goodbye to one of its founders when Richard L. Sharp died June 24.

Sharp was CEO of Circuit City Inc. when the now-defunct electronics retailer diversified into the used-car business. Sharp became CarMax’s first chairman of the board when Circuit City spun it off. Sharp battled Alzheimer’s disease for the past few years. CarMax dedicated its first store, located in Richmond, Va., to Sharp during a ceremony last year. The company also set up the CarMax-Rick Sharp Entrepreneurship Scholarship, which awards money to graduating high school seniors in the Richmond area.

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~ÛÝÛÛJuly 7, 2014

USED CAR NEWS

J.D. Power

- continued from page 1

Photo by Jenny King ANSWER MAN: J.D. Power’s Dave Sargent fields questions from the automotive press.

the top non-premium for 2014; owners reported 94 problems per 100 vehicles. Toyota was fifth followed by Chevrolet (the highest ranking domestic), Kia, BMW and Honda. Reliability is the No. 1 reason behind customer choice, followed by exterior styling, said Dave Sargent, vice president of global automotive at J.D. Power. “Quality has a direct impact on customer loyalty,” he said. “People remember problems of earlier

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models of a specific make they have owned.” Those flaws have a profound impact on an automaker: every ranking percentage point lost costs a company a lot of money, Sargent said. Voice recognition systems topped the problems reported for 2014 models. “It is bedeviling the industry,” Sargent said. “Complaints included the fact that the systems misinterpret commands.”

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~ÛÝÛÛJuly 7, 2014

USED CAR NEWS

PEOPLE IN THE NEWS KAR CEO Snags Award

KAR Auction Services Inc. announced that CEO Jim Hallett received the EY Entrepreneur of the Year 2014 Award in the consumer category in the Midwest. The award recognizes outstanding entrepreneurs who demonstrate excellence and extraordinary sucJim cess in areas such Hallett as innovation, financial performance and personal commitment to their businesses and communities. Hallett was selected by an independent panel of judges, and the award was presented at a special gala event at Navy Pier in Chicago on June 18. Now in its 28th year, the program has honored the inspirational leadership of such entrepreneurs as Howard Schultz of Starbucks Coffee Company, Pierre Omidyar of eBay Inc., and Mindy Grossman of HSN. Recent U.S. national winners include Reid Hoffman and Jeff Weiner of LinkedIn; Hamdi Ulukaya, founder of Chobani; and 2013 winner Hamid Moghadam, CEO and Chairman of Prologis.

As a Midwest award winner, Hallett is now eligible for consideration for the Entrepreneur of the Year 2014 national program. Award winners in several national categories, as well as the Entrepreneur Of The Year National Overall Award winner, will be announced at the annual awards gala in Palm Springs, Calif., on Nov. 15. The awards are the culminating event of the EY Strategic Growth Forum. In other news, KAR has named Ken Garbez as vice president of operations for High Tech Locksmiths. KAR acquired High Tech Locksmiths, a provider of transponder, remote, high-security and car smart keys in North America, in January. Garbez has more than 25 years of experience in the automotive industry, with 12 years spent at ADESA, a business unit of KAR. He has held various management roles at ADESA in the areas of operations, reconditioning and transportation, including assistant general manager at ADESA Golden Gate, and most recently, at ADESA Las Vegas. Automotive Finance Corp. has selected Huey Antley as its first vice president of marketing analytics. Antley joins AFC from Mitchell International, a provider of software solutions for the property and casualty insurance industry, where as di-

rector of analytics he helped Mitchell launch a solutions development team known as the ClaimsLab. Prior to Mitchell, he served as chief data scientist for The Walt Disney Company’s Customer Data Environment. These recent roles followed more than 20 years of experience in applying data science within financial services companies including GMAC Financial Services, HSBC Auto Finance and Alltel Information Services.

Manheim Promotes Managers

Manheim has named Peter Grupposo and Janet Hendrixson as vice presidents of national accounts. Both will report to Rich Coutu, vice president of commercial sales. Grupposo most recently served as NextGear Capital’s vice president of operations and business development. In that role, he oversaw NextGear’s corporate support departments of business initiatives and operational planning. Prior to joining NextGear Capital in 2013, Grupposo worked with Dealer Services Corp. from 2005 until the company was acquired by Manheim in 2012. Grupposo held a variety of roles at DSC, including sales executive, general manager and regional director

for the northeast region. Prior to joining DSC, Grupposo worked for Enterprise Rent-A-Car during his career. Hendrixson served as regional director for NextGear Capital prior to this new role. She was responsible for the management and oversight of all aspects of NextGear business in the Mid-Atlantic Region. Prior to joining NextGear Capital, Hendrixson served as general sales manager for Manheim’s Southeast Market. She joined Manheim in 2000 following the acquisition of ADT Automotive. During her career at ADT Automotive, Hendrixson focused primarily on establishing relationships with key customers and sales support. Manheim also promoted six general managers at seven operating locations in five states. The promotions to general manager include: Bo Beason (Manheim Mississippi), Donny Cohen (Manheim Daytona Beach and Manheim Jacksonville), Doug Kramer (Manheim Central Florida), Eddie Pope (Manheim Houston), Carter Theissen (Manheim Minneapolis) and Kim Waterman (Manheim Central California). They have all assumed their new roles.

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6/30/14 4:42 PM


Why successful dealers finance their inventory with NextGear Capital … REASON #

innovation Alex Perez, owner of A+ Auto Sales in West Chester, Ohio, says NextGear Capital’s partnership was instrumental in growing his business. He has increased his inventory and stayed updated on all the latest dealer and auction information with NextGear Capital’s innovative processes. “Everything I need is on the NextGear Capital website and mobile app. For instance, I can request titles, and within 24 hours I will have them in my office. Everything I need is at my fingertips.” Listen to more of what Alex and other dealers have to say at nextgearcapital.com/why/innovation.

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6/26/14 11:41 AM


~ƒÛÝÛÛJuly 7, 2014

USED CAR NEWS

MONTHLY DEALER CONSIGNMENT AVERAGES

COMPACT CAR

$5,755 $5,960 $6,262 $6,277 $6,067 $6,077

98,753 98,038 97,839 98,438 100,232 98,640

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$4,621 $4,600 $4,699 $4,713 $4,612 $4,650

108,480 109,110 110,445 110,363 110,137 109,723

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$11,915 $11,526 $12,532 $13,004 $12,847 $12,377

95,365 98,447 97,044 97,097 96,650 96,921

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$6,032 $6,200 $6,742 $6,651 $6,592 $6,458

108,145 109,354 106,758 108,048 108,370 108,103

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$12,889 $13,003 $13,559 $14,009 $13,890 $13,475

110,316 111,078 109,808 108,789 109,733 109,929

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$13,512 $13,627 $15,599 $15,818 $15,640 $14,936

80,365 81,636 75,678 75,542 77,183 77,833

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$11,234 $10,977 $11,760 $11,787 $11,817 $11,521

104,344 107,259 105,341 106,395 106,154 105,902

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

$6,079 $6,325 $6,576 $6,774 $6,638 $6,492

117,450 116,735 118,371 117,168 118,867 117,714

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Subaru, the Subaru logo, and Subaru Motors Finance are trademarks of Subaru of America, Inc. (“Subaru”) and any use by Chase Bank USA, N.A. (“Chase USA”) and JPMorgan Chase Bank, N.A. (“Chase”) is under license. Retail / Loan accounts are owned by either Chase or Chase USA and lease accounts are owned by Chase. 2 Jaguar and Land Rover, their respective logos, and the financial group names (Jaguar Financial Group and Land Rover Financial Group) are trademarks of Jaguar and/or Land Rover and any use by Chase is under license. Retail/Loan and lease accounts are owned by Chase. 3 The tradename “Mazda Capital Services” as well as the Mazda and Mazda Capital Services logos are owned by Mazda Motor Corporation or its affiliates and are licensed to Chase. Retail/Loan and lease accounts are owned by Chase. © 2014 JPMorgan Chase Bank, N.A. Member FDIC. All rights reserved. (14-221) 06/14 1

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AVG. MILEAGE

JAN 2014 FEB 2014 MAR 2014 APR 2014 MAY 2014 YTD AVG:

FULLSIZE CAR

We Buy Open Bankruptcies (7&13!) We Buy the First Time Buyer

AVG SALE PRICE

VAN

CURRENT YTD, THROUGH MAY 2014

SOURCE: MANHEIM CONSULTING

6/3/14 3:44 PM

6/30/14 9:21 AM


July 7, 2014 ÝÛÛ~„

USED CAR NEWS

RETAIL MARKETS CALIFORNIA

Mehdi Chitgari, president, Classic Chariots, Vista, Calif.: “We have one location. We’ve been in business 25 years. “I keep, on average, 150 cars in inventory. We get our vehicles from repos, lease returns, some rentals and trade-ins. We also go to auctions. “On average, we’re selling about 75 cars per month. We’re doing a little bit better this year compared to last year. “The average retail price is about $16,000. “We just sell straight retail. We have a good selection of banks and rates. “Right now, we’re carrying more cars than trucks because the industry is short of trucks. “But four years ago we used to sell more trucks. “So right now, one-third of my inventory is trucks. About 15 percent is SUVs and the rest are cars. “I sell more domestics than imports. IAG_UCN-jun2_All.pdf “The average model year 1 is 2011. The average mileage

is about 40,000. It’s almost the same as it was last year. “We service our own vehicles. I have a phenomenal service department. “We service every car before we sell them. We check brakes, rotors, tires, etc. I have about 12 bays. “My reconditioning costs average about $800. That’s about the same as last year. “We do most of our advertising online. We do AutoTrader.com, Cars.com and our own website, ClassicChariots.net. “We also do things in the community. We’re involved in the chambers of commerce in Vista, and Oceanside, Calif. “We have a lot of customers at Camp Pendleton and we service a lot of Marines. About one-third of our customers are military (families). “We also support local schools and give away some Thanksgiving dinners. “I’m a board member of a local hospital foundation and I’m president of the Tri-City Navy League. 5/13/14 2:12 PM “This is looking like a good year.

Compiled by Jeffrey Bellant “We just sold a 2010 Dodge Charger. It had about 70,000 miles on it. I believe we got $16,000.”

ILLINOIS

Joseph Mok, owner, Gmotorcars, Arlington Heights, Ill.: “We’ve been in business six years. My dad and I own the business. Before this I was in the IT field and my dad was a mechanic. Cars have always been our passion. “We started out with three cars in a driveway. Now we have 80 to 100 in stock. We sell between 55 and 65 a month. “We turn our inventory 8.5 times a year. I use statistics. If a car makes $200, $300 over cost – it’s gone. I don’t care. “I can replace anything. I’m sick of hearing people say a car is irreplaceable. “We did $7.8 million in sales last year. The winter was horrible. We got destroyed. We were $60,000 in gross behind, as of the beginning of May. “But May was really

strong. June has been up and down. “We do straight retail, no buy-here, pay-here. “The average car on the lot is about $14,000 (retail). That’s the same as this time last year. “We are heavy into using CarMax auctions (to get vehicles). We’re also heavy into Enterprise. We do what we can to limit our buy fees. “The average model year is 2007. The average mileage is about 60,000. “It’s absolutely been a challenge to get cars with (lower mileage). “We just search high and low. It’s a scavenger hunt. But if you buy Enterprise cars, for example, they are generally 50,000 miles or less. “We carry 80 percent domestic and 20 percent imports. That’s the same as last year. “We carry about 60 percent trucks and vans, with 40 percent cars. We have a phenomenal commercial market for cargo vans like the Dodge /Mercedes Sprinters and (Chevrolet) Expresses. That business is

consistent. “I think the economy is still volatile. It’s definitely better than what it was, though. We forget what it was back in 2008. “But back in the day, gas prices used to drop by pennies and go up by pennies. Now they drop by quarters or rise by dollars. So I don’t think the economy has stabilized. “We do our own service and we do outside business. We have six lifts and a full detail shop. “We do our own reconditioning. Our average recon is about $800. It’s the same as last year. There are not a lot of peaks and valleys with recon. “Our goal is to have a 36-hour turnaround (for reconditioning). “For advertising, we use Cars.com, Cargurus.com and Craigslist. We used Autotrader.com for a long time. But I just didn’t see the performance with them. So I took that money and put it into Cargurus.com. “We’re heavily active in our community and chamber of commerce.

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6/30/14 4:56 PM


~…ÛÝÛÛJuly 7, 2014

USED CAR NEWS

WHOLESALE MARKETS LOUISIANA

Steve Chiasson, managing partner, Greater Shreveport-Bossier Auto Auction, Shreveport, La.: “We’ve been in business seven and a half years. “We opened up our third lane in April. We added to the physical structure to (expand). It’s been good for us. “(In the past year) I hired Jarvis Thomas, who is an old pro and former auction owner. I guess you’d call him our sales manager, We’re a small company and we don’t go by titles much, but he can call himself anything he wants. “Right now, we’re running closer to 300 per week. We’re considerably ahead of last year. We’re seeing double-digit growth. “We’re averaging about a 58 percent sales rate for the year. “We’re mostly dealer consignment. We sell fleet, but the fleet volume is just a small part of our business. It’s about 10 percent of our business. “We run Budget, Avis and Enterprise rental cars and

our percentage has been good. “During a recent sale, the average price through the lanes was just over $6,000. Those figures are way up from 2013. Those numbers were in the high $4,000s last year. “We also run an in-op sale prior to the regular physical sale. It’s not big. “We run between 10 and 20 units. We do that primarily as a convenience for the dealers. “In the regular sale, midpriced cars with decent miles are doing well. Cars in the $7,000 to $15,000 price range are selling well. Prices never really softened up on those. “But I want a (butt) for every seat. I want a group of buyers that will buy the cheap stuff. “I also want a group of buyers that will compete for the mid-priced stuff. I want a group of buyers that will buy the high-dollar stuff, too. “We sell a lot of the (highline) vehicles as well. We’ll sell for the BMW store and the Mercedes stores. It’s

Compiled by Jeffrey Bellant not unusual for us to sell a $50,000 to $60,000 car and I need to have people compete for that. “We do target marketing. We review what we have before the sale and we try to match the inventory to buyers and contact them to find out of these are (vehicles) they’d be interested in them. We study buying patterns. “It’s a chess game matching the buyer to the seller.”

MINNESOTA

Rob R. Thompson, president and general manager, Mid-State Auto Auction, New York Mills, Minn.: “In August, we will have been in business 31 years. “We have four lanes. “Our volumes have been right around 400 per week. It might be up a touch from this time last year, but I’d say it’s pretty comparable. “In April, sales percentages were running about 65 to 67 percent. “Right now, it’s consistently 55 to 58 percent. So, all things considered, it’s not bad.

“On a week-to-week basis, about 85 percent of our volume is dealer consignment. The rest would be from lease companies, banks, repossessions and GSA. “On average, we’ll (draw) about 125 to 130 dealers in the lanes. “That’s comparable to last year. It seems like things slowed up a little bit in June, so there was a little bit more anxiety going on. “I think that we were coming off such highs in March and April that there was a little bit of a natural letdown in May and June. Of course, car prices were also pushed higher. But I don’t see anything out of the ordinary, compared to years’ past. “Our dealers come mostly from Minnesota, “But we’ll also get some from North Dakota, South Dakota, a few from Wisconsin and some from Canada. “But they are predominantly from Minnesota. “We have GSA sales several times throughout the year. “This year we had them in May and June. We’ll

have them (every month) through November. During a recent GSA sale, we had a lot of Malibus and Grand Caravans. We also get a fair amount of G6s, Ford Focuses and then a variety of trucks. We get a lot of ¾ ton trucks. We also had a lot of Uplander vans and Dodge Avengers. “The first sale we had a 106 units and the next was 116. So I’ll day we get 110 units on average. “On the fleet-lease side, we run cars from Westlake Financial, Union Leasing and United Auto Credit. Half of those vehicles are repos and half are regular fleet cars. “The average price coming through the lanes is about $4,800. I’m not positive, but I think that’s up about $200 from a year ago. “Trucks never really get soft, but if you have a really nice truck, those are doing well. If I’ve seen any softening, it’s probably in minivans. “But if you have anything in the 40,000 to 80,000mile range, then it’s doing well.”

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18_UCN.indd 1

6/30/14 5:26 PM


July 7, 2014 ÝÛÛ~†

USED CAR NEWS

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GET YOUR MOTOR RUNNING: Motorcyclists help raise funds for the Juvenile Diabetes Research Foundation during ADESA Boston’s 14th Annual Classic Car and Motorcycle Run.

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Nearly 150 motorcycles and 40 vintage vehicles took to the road last Sunday for ADESA Boston’s 14th Annual Classic Car and Motorcycle Run. Proceeds from the event benefit the Juvenile Diabetes Research Foundation. So far, the auction has collected $39,790 from this year’s event. Final totals will not be available until June 30. The “run” included a 30-mile police escorted ride through several Massachusetts towns. In the past 13 years ADESA Boston has donated more than $400,000 to local children’s charities. “The continued support of our employees, our customers, our local law enforcement agencies and the business community as a whole is greatly appreciated,” said ADESA Boston General Manager Jack Neshe. “Without them, our success wouldn’t be possible.” Along with the classic car and motorcycle run, the event included free food, live music and fun for the whole family.

Auction Celebrates 36 Years

Pittsburgh Auto Auction celebrated its 36th anniversary on May 5 and 6, welcoming more than 900 bidders to the auction lanes and posting the sale of more than 1,000 vehicles. Chris Angelicchio, PAA general manager, said the auction marked the occasion by dividing its regular weekly sale into two parts, with sales on both Monday and Tuesday and a customer dinner and entertainment in between. Monday’s auction featured three of the auction’s largest dealer consignors, who sold 96 percent of the 300 vehicles included in the afternoon sale. Buyers returned to the auction lanes in full force on Tuesday, bidding on the season’s best

19_UCN.indd 1

selection of cars, trucks and SUV’s, highlighted by consignments from CarGroup Holdings, CPS, Westlake financial, Markone Financial, Ally Remarketing, and GM Remarketing. Angelicchio said that on Monday afternoon following the sale, the auction switched gears, converting the auction arena into a supper club for more than 300 guests, visitors, and staff. We invite news items and top-quality photos from our readers to be considered for “Around the Block.” Please include the name of a contact person and a telephone number. Send items and photos to: Jeffrey Bellant Mail: Used Car News, 24114 Harper Ave., St. Clair Shores, MI 48080. Fax: (586) 772-9400 e-mail: jeff@usedcarnews.com

6/30/14 1:41 PM


TRUE COST OF INCENTIVES (TCI) TMV Does not include add-ons

May-13

May-14

Compact Car

TCI 1 2 3 4 5

$1,676 $14,503 $12,736 $12,042 $9,558 $8,160

TCI 1 2 3 4 5

$928 $12,625 $11,316 $9,830 $8,063 $6,773

TCI 1 2 3 4 5

$2,253 $14,754 $14,918 $13,877 $11,432 $9,343

TCI 1 2 3 4 5

$3,603 $18,952 $16,255 $14,443 $11,282 $9,529

TCI 1 2 3 4 5

$1,626 $18,190 $16,422 $15,140 $12,305 $10,296

TCI 1 2 3 4 5

$2,210 $20,799 $20,583 $17,909 $14,647 $12,498

TCI 1 2 3 4 5

$1,593 $23,230 $24,531 $19,280 $14,075 $13,042

TCI 1 2 3 4 5

$3,703 $27,582 $23,030 $19,186 $15,372 $14,151

TCI 1 2 3 4 5

$3,268 $33,520 $30,037 $26,807 $20,791 $16,553

TCI 1 2 3 4 5

$838 $19,733 $17,896 $16,023 $14,058 $11,705

TCI 1 2 3 4 5

$4,663 $24,777 $23,894 $20,564 $17,184 $15,743

$1,742 $15,286 $13,086 $11,711 $10,307 $8,258

Subcompact Car

$1,099 $13,620 $11,430 $10,621 $8,668 $7,000

Midsize Car

$2,222 $18,540 $14,297 $13,701 $11,719 $9,962

Large Car

$3,759 $19,992 $17,998 $16,174 $12,602 $10,528

Compact Crossover Suv

$1,539 $19,515 $16,963 $15,346 $13,094 $10,908

Midsize Crossover Suv

$2,188 $22,980 $20,772 $18,545 $14,984 $13,138

Midsize Traditional Suv

$1,750 $28,095 $24,159 $22,754 $18,074 $13,006

Large Crossover Suv

$3,663 $23,957 $24,412 $21,663 $16,983 $13,742

Large Traditional Suv

$2,997 $36,464 $32,328 $28,046 $24,635 $19,299

Compact Truck

$598 $22,876 $19,788 $17,328 $14,991 $13,807

Large Truck

$3,895 $29,747 $25,658 $23,548 $20,355 $17,790

% Change ‘13-’14

TMV Does not include add-ons

May-13

3.94% 5.40% 2.75% -2.75% 7.84% 1.20%

TCI 1 2 3 4 5

$3,560 $19,584 $21,229 $16,602 $12,610 $10,224

18.43% 7.88% 1.01% 8.05% 7.50% 3.35%

TCI 1 2 3 4 5

$1,888 $18,239 $16,343 $13,254 $11,357 $10,307

-1.38% 25.66% -4.16% -1.27% 2.51% 6.63%

TCI 1 2 3 4 5

$1,979 $20,749 $21,360 $20,628 $15,429 $12,040

4.33% 5.49% 10.72% 11.99% 11.70% 10.48%

TCI 1 2 3 4 5

$2,003 $37,565 $36,762 $30,408 $26,997 $22,202

-5.35% 7.28% 3.29% 1.36% 6.41% 5.94%

TCI 1 2 3 4 5

$3,110 $84,451 $73,386 $48,673 $48,771 $38,069

-1.00% 10.49% 0.92% 3.55% 2.30% 5.12%

TCI 1 2 3 4 5

$3,683 $26,095 $23,573 $21,501 $17,814 $14,627

9.86% 20.94% -1.52% 18.02% 28.41% -0.28%

TCI 1 2 3 4 5

$1,785 $27,990 $27,200 $24,421 $19,526 $15,446

-1.08% -13.14% 6.00% 12.91% 10.48% -2.89%

TCI 1 2 3 4 5

$4,026 $37,479 $34,439 $28,211 $21,284 $16,577

-8.29% 8.78% 7.63% 4.62% 18.49% 16.59%

TCI 1 2 3 4 5

$2,152 $39,969 $38,439 $33,073 $27,107 $21,826

-28.64% 15.93% 10.57% 8.14% 6.64% 17.96%

TCI 1 2 3 4 5

$5,347 $60,110 $53,441 $43,067 $35,525 $27,722

-16.47% 20.06% 7.38% 14.51% 18.45% 13.00%

TCI 1 2 3 4 5

$2,703 $52,265 $47,744 $38,020 $32,926 $24,164

May-14

Minivan

Van

% Change ‘13-’14

$2,514 $22,183 $18,357 $19,822 $13,392 $10,916

-29.38% 13.27% -13.53% 19.40% 6.20% 6.77%

$2,306 $20,325 $17,464 $14,918 $11,852 $11,555

22.14% 11.44% 6.86% 12.55% 4.36% 12.11%

Entry Sport Car

$2,607 $22,715 $21,250 $19,510 $18,287 $14,474

Midrange Sport Car

$1,553 $44,271 $37,596 $32,029 $29,183 $26,155

Premium Sport Car

$2,573 $81,048 $63,224 $58,174 $44,987 $44,384

Entry Luxury Car

$2,702 $27,558 $23,053 $22,087 $18,108 $15,355

Entry Luxury Suv

$1,987 $32,933 $27,768 $25,408 $21,459 $17,587

Midrange Luxury Car

$3,483 $39,389 $35,916 $32,248 $23,510 $18,557

Midrange Luxury Suv

$1,131 $42,345 $39,914 $32,072 $28,280 $23,135

Premium Luxury Car

$2,662 $64,179 $52,888 $44,779 $35,553 $29,539

Premium Luxury Suv

$3,208 $55,642 $47,589 $41,191 $33,431 $29,143

31.73% 9.48% -0.51% -5.42% 18.52% 20.22% -22.47% 17.85% 2.27% 5.33% 8.10% 17.80% -17.27% -4.03% -13.85% 19.52% -7.76% 16.59% -26.64% 5.61% -2.21% 2.73% 1.65% 4.98% 11.32% 17.66% 2.09% 4.04% 9.90% 13.86% -13.49% 5.10% 4.29% 14.31% 10.46% 11.94% -47.44% 5.94% 3.84% -3.03% 4.33% 6.00% -50.22% 6.77% -1.03% 3.98% 0.08% 6.55% 18.68% 6.46% -0.32% 8.34% 1.53% 20.61%

Edmunds.com’s monthly True Cost of Incentives (TCI) report takes into account all of the manufacturers’ various United States incentives programs, including subvented interest rates and lease programs as well as cash rebates to consumers and dealers. To ensure the greatest possible accuracy, Edmunds.com bases its calculations on sales volume, including the mix of vehicle makes and models for each month, as well as on the proportion of vehicles for which each type of incentive was used. TCI data (and other Edmunds.com data products) can be viewed industrywide, import vs. domestic, by country of origin, by make, by model and by segment. True Market Value (TMV) is the transaction price for vehicles.

20_UCN.indd 1

6/30/14 9:26 AM


July 7, 2014ÛÛ�ÛÛ~

USED CAR NEWS

Disconnected Jottings From Tony Moorby... “Bomp, bomp, thwok. Bomp, bomp, thwok.� The sound of the neighbors’ kids’ basketball hitting the driveway and the backboard. It’s one of those sounds that herald in the summer, along

toes that are just as likely to grab you by the throat before they bite you. If it were not for the protection of the porch I’d be housebound after five o’clock every day. I can be outside with my

Tony Moorby

Ć€É&#x; Ĺ´Ĺ°Ć?3,É&#x;0.,(É&#x;) É&#x;."É&#x;#(/-.,3 Ć€É&#x; ,-#(.É&#x; ,)'É&#x;ŹŚŚšƑŲŰŰŰÉ&#x;) É&#x;É&#x;É&#x; É&#x; /.)').#0 Ć€É&#x; ,0É&#x;-É&#x;Ɖ-É&#x;2/.#0É&#x;0#É&#x;É&#x; É&#x; *,-#(.É&#x;) É&#x;-&-É&#x;(É&#x;',%.#(! Ć€É&#x; )),3É&#x;Ć É&#x;--)#.-É&#x;ŲŰŰŜƑ*,-(. Ć€É&#x; 1,É&#x;."É&#x;#(!É&#x;) É&#x;)(),É&#x;3É&#x;É&#x; É&#x;   Ć€É&#x; É&#x;&&É&#x;) É&#x;',

with the other familiar reminders that the really hot weather is just around the corner. We have a screened porch that we’ve shared with two broods of starlings and about four carpenter bees who shower us with sawdust like confetti – they have to go! I’ve been told that the cold winter would cull the bug population – poppycock! After a wet spring we’ve been beset with mosqui-

wife and they will avoid her only to be all over me like a cheap suit. The fellows who mow our lawn arrive like a SWAT team on Thursdays so we can enjoy the grass’s new tonsure for the weekend. The neighbors, on the other hand, shatter the Sunday morning peace on one side and the afternoon on the other. One actually revs his blower in the belief that it’s more effective to do so. At

the end of this hour’s excruciating symphony, I’m ready to imagine all kinds of things to do with his blower! I planted a garden, raised from seeds grown in the greenhouse. The herbs are growing at a rate that far outstrips our ability to consume them, while I’ve not yet seen a flower on the tomatoes or pepper plants – the foliage is growing like Triffids! Despite all these challenges, man-made or natural, I like this time of year. I take the opportunity to drive my Morgan around the country roads like Toad of Toad Hall and go to Cars and Coffee with all the other local car wonks on Saturday mornings. The first Saturday of every month will do much to convince you of the wealth around Nashville – Lamborghinis abound, Ferraris everywhere, a bevy of Bentleys, a pack of Porsches all join the classics of the fifties and sixties.

C R O S S WO R D

It’s a kaleidoscope of cars in every color imaginable combined with the whining of twin turbos and the ‘berloom, berloom’ of old V8s. Forty-seven years in the car business hasn’t taken one tiny bit of the excitement away from me. It’s a blood-stirring thing and is probably now part of my DNA. I know that retail and wholesale car sales tend to hit the doldrums in July and now that I’ve “retired� I can now look at things from the periphery. I say retired but I seem to be busier than ever with various involvements at the edge of the business. Things

like helping out with some classic car auctions, a little consulting here and there – enough to keep me out of trouble and pursue some of my other interests. And time to pick up on things around me and enjoy some of the smaller things in life that hitherto may have gone unnoticed. I still go to the NIADA convention and by the time you read this I will have done my stint in Las Vegas in June, rubbing shoulders with the movers and shakers in the used car industry. Some things are as inevitable as the seasons. May God give me the grace to see many more.

To see past columns from Tony Moorby, visit www.usedcarnews.com/ columnists/tony-moorby

Sponsored by INSURANCE AUTO AUCTIONS

By Miles Mellor

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8

9

Across 1. Z06 sports car 5. Buick sedan 10. Durango or Journey 12. Honda’s longestselling car 13. Jaguar, e.g. 14. Many an MIT grad, for short 15. Pro 16. Speedometer pointer 18. Fast pace 20. Basketball association 21. ___ box 22. Isuzu SUV 23. Humanitarian org. 24. Promotional effort 25. Taxi 28. Indy 500, e.g. 30. Inexpensive

33. Radiator part 35. Small racer that makes kids “go� 37. Love to death 39. Jiffy offering 41. Mix of two kinds of cars 42. Look at for takeover 43. Honda Odyssey and Toyota Sienna 45. Subaru’s rival for the Mazda3 46. Car named after the daughter of the inventor 49. Cadillacs are made here 50. Method 52. VW ad phrase (with 26 down) 53. Brands 54. ____ box

Down

10

1. Kia 4-door 2. Honda off-roader 3. 12/31, e.g. 4. R.p.m. indicator 6. Ford SUV 7. Hyundai 4-door 8. Mitsubishi SUV 9. Toyota sedan 11. Till bill, perhaps 17. Sign before Virgo 18. Mini ___man 19. Roman 4 24. Temperature control button 26. See 52 across 27. Well known dog 29. Hyundai 4-door 30. Alan Mulally is one 31. Ketchikan state 32. Mini Cooper 2-door 33. Secures, like a seatbelt 34. Eleventh mo. 36. Rolls, for short 38. Accelerates 40. RX 300 maker

14

11

12

13 15

16

17

18

19

20

21 22

23 25

30

31

40

26

27

32

35 39

24 28

33 36

34

37

38

41

42 45

29

43 46

47

44

48

49 52

50 53

51

54

Answers to the 6/16/14 puzzle 1

44. Saturn roadster 45. Large amount of money 47. Dodge model 48. Koenigs___ 50. Seattle state 51. Accounts receivable, briefly

S

H

E

12

L

20

N

27

L

O

L

T 16

21

O

24

N

U I

D

V

E

E

D 31

O

I

B E

L

R 29

P

L P

Y

17

T

S

V

R

S

A

S

A I

28

C

N

E

I

L

41

A

S

E

A

R

N

E 34

F

I

T

O

V

E

22

R

N

T

R

23

O R

A N 38

B E

R

D

8

O G

Y N

19

M C

15

G

D

O

A

R

I

E

30

O

I I

H U

I

R

E O

P

W

R C

7 11

14

I

A C

C M

D

25

L

37

6

L 18

D

T

B

10

V

A M 33

O W S Y

L

O Z

5

E

N

O

35

B

P

A

T A

4 9

13

S

R

L

40

B

E

A

V

3

U

E

R 32

36

E X

D E

2

T

N I

I

C

D

42

S

A B

B U

S

A

U I

S 26

S 39

K E

K

Y

Answers to this puzzle in the 7/21/14 issue. Call 1.800.794.0760 for a FREE subscription.

21_UCN.indd 1

6/30/14 9:03 AM


ÛÝÛÛJuly 7, 2014

USED CAR NEWS

Advertisers are solely responsible for content of classified advertisements. To place an ad, or for more information, call the Classified Department: 800-794-0760 ext.107 DW_MeetSara_UCN.pdf

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Which auto auction has the best facility? Which auto auction has the best customer service? Which auto auction has the best reconditioning facility? Which auto auction has the best ringmen? Which auto auction has the best cafeteria/restaurant? Which auto auction has the best scheduled event/sales promotions? Which auto auction has the best run consignment sales? Which auto auction has the best run online sales? Which auto auction has the best auctioneers? Which auction is the most charitable? Required:

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