Franchise dealers in the US experienced a dip in service activity through December despite an increase in November.
Despite the decrease in volume, revenue increased about 3.5% YoY.
Another interesting point: Franchise dealer service departments saw a 5% decrease in same-day sales last month. Training opportunity or Christmas + economic tension = hesitation?
Some Cox Automotive suggestions:
Despite the widespread trend toward SUVs, Cadillac's CT5 sedan was last year's best-seller globally. This got us curious: what else won the 2023 numbers game?
So, did we learn what the market or Cadillac buyers prefer? We learned truck people won't jump ship to cars or SUVs, but the right SUV or car can pull people from one preference to another sale.
Are there any cars that play the part of "more affordable but meets most SUV needs" lying around? Part of loving people more is matching them with the right ride. They trust you to make suggestions like one of those fancy wine menu guys in the movies.
It's a dangerous world out there for startups. High interest rates, inflation, supply chain issues, and production struggles that plague the whole industry from time to time can make or break a small business in a fraction of the time it would take to make a more established brand tap the breaks.
UK EV maker Arrival is getting close to joining Lordstown, Proterra, and Volta on the bankruptcy list. It was already announced earlier this month that it missed its Dec 1st interest payment.
While the company once had backing from brands like Hyundai, Kia, and UPS, its inability to comply with Nasdaq listing rules had investors wary and the company heading for insolvency.
Everybody wants to get in on the ground floor with the next Tesla, as long as they don't need to go to the basement to do it.
Speaking of investing in Tesla... Tesla's investors are a bit worried about profitability and delivery numbers following production pauses and a range of price cuts, including the 26.5% drop for Model Ys in the US.
So, 2024 is looking rough for the most well-known EV brand? Not really. Analysts predict Tesla's growth target to be 2.19M units, a 21% increase from 2023.
Time to give up FSD and focus on production? Again, not really... FSD V12 beta just released. It updates the system to neural net-powered controls.
Before you even ask (because we had to look it up)- Neural Net-tech means the autonomous driving "brain" was taught to drive with videos of driving and not words on a screen. So, like, less DOS, more YouTube.
Back to Ford for a moment. Ford's total US sales increased 7.1% to nearly 2M units, with an 18% increase in their all-electric sales at just over 72K. Hybrids also saw a significant sales surge, with the top-ranking F-150's Hybrid model contributing to the 15% increase in F-Series sales, totaling about 750,789.
It was the F-Series’ 47th consecutive year at the top of the truck pile (like a dog pile but with more tailgates and fewer tails).
In addition, the F-150 Lightning was the best-selling full-size electric truck. But some dealers, markets, and consumers aren't convinced. Again, public infrastructure, charging times, and initial costs are keeping business and personal buyers away from even the top-selling EVs in some places.
From a certain point of view, a transition to electric vehicles is a transition to being besties with China. With over 75% of lithium-ion battery production and more brands than a Walmart peanut butter aisle, the country is always on the precipice of becoming an automotive superpower, held at bay by existing brands and policymakers working to ensure the economic sovereignty of a nation has a fighting chance.
Danger? In 2023, China unseated Japan as the top car exporter, with over 5M vehicles shipped overseas, and the US declined to the 6th position. The growth comes from the proliferation of car companies exporting new tech and electric vehicles. This rapid expansion will explode if/when sodium-ion batteries become more widespread.
Sodium-Ion. Cheaper, more sustainable, great for smaller(cheaper) vehicles, which many in the US and beyond are hurting for right now. In 2021, the global market for such batteries was about $275M, with compound annual growth expected at around 15% through 2030. Somebody is gonna grab that market and taking it from them will be much harder than filling it while vacant.
The US. Not only does the US have about 375M EVs worth of lithium sitting under California's Salton Sea, but it also has enough sodium carbonate reserves to lead the world in sodium-ion batteries. Coupled with the extensive electrification investments at the corporate and policy levels, the US could beat China to the punch in the widespread adoption and application of sodium-ion.