NADA in Your Corner -- Pricing Used Vehicle to Sell
 
As a dealer in today’s competitive and changing market, trying to get the price right on a used vehicle can be like throwing darts blindfolded if you don’t have the best information and tools at your disposal.   
 
To put the right price on the right car, you need to know:  
•  What that model and similar vehicles are selling for in your market
•  The online asking and advertised prices
•  The day’s supply for your area
•  What it is selling for at auction
•  Its trade-in, loan and retail values
•  The vehicle’s history
•  The reconditioning costs and profit expectations.
 
Of the growing number of franchise and independent dealers who have tried NADA AppraisalPRO, about 90 percent report satisfaction and say they would recommend it to a colleague.

Here’s what they are saying:
•  “The tool has a lot of value for us. I can’t go to an auction to get a price; round trip is a full day.  This allows me to get that info at my desktop.  I find that’s a real valuable tool.  I put high value on this product.” (franchise dealer)
• “I rely on it quite a bit. I can find out all this information without using this tool, but it’s time.  When you have to look up hundreds of cars a day -- 30 seconds or a minute per car -- that’s a ton of time.  I definitely wouldn’t want to do without it.”  (independent dealer)
 
NADA AppraisalPRO receives high marks from dealers because it provides access to localized data from six industry leaders, including:  AutoTrader.com (asking prices); J.D. Power & Associates/PIN (retail sales transactions); Manheim Market Report (auction sales transactions); NADA (used vehicle values); vAuto (used vehicle market days supply); and Experian AutoCheck (vehicle history reports).  
 
For more information, go to www.nada.com/appraisal.  

Automakers, Dealers Get Good Deals in D.C.
Congressional financial reform bill, about to be passed into law, addresses auto safety issues, but the language is toned down and does not include huge fines for companies that fail to report defects promptly, nor does it give a timetable for installing data recorders in vehicles.
Edmunds Auto Observer, July 13, 2010

Ford Makes Gains As Toyota Tumbles
Domestic automakers, and particularly Ford, are gaining market share according to recent vehicle registration figures compiled by Experian Automotive. Ford Fusion has done well in 2010, while the Toyota Yaris has seens large 1st quarter losses. Fullsize pickups are still in demand.
TheDetroitBureau.com, July 15, 2010

Perk-Packed 2011 Ford Edge Offers Luxury in Growing Crossover Market
The 2011 Edge, arriving in dealership showrooms next month, should be a real winner for Ford in the crossover market, garnering about 11 percent of the U.S. market. Edge sales have already climbed by 35.8 percent Jan-June.
Detroit News, July 15, 2010

Retro Style and Street-Rod Flair Made PT Cruiser a Star
Chrysler is ending production of the PT Cruiser, one of the industry's most celebrated vehicles. It was born from a small-car platform, had SUV-type attraction, was built in a low-cost country and appealed to many with its retro styling.

Recalls Announced at Ford, Chrysler
Ford is recalling almost 34,000 Transit Connect vans, and Chrysler is recalling 22,000 Dodge and Jeep vehicles. The Transit has a roof-related problem that may keep the vehicle from meeting safety standards. The Chrysler vehicles may have a problem with a brake component.

ABA: Direct, Indirect Auto Loan Delinquencies Improve
Both direct and indirect auto loan delinquencies showed improvement for the quarter, according to the American Bankers Association. ABA reported that direct auto loan delinquencies dropped from 1.94 percent to 1.79 percent. Meanwhile, indirect auto loan delinquencies fell from 3.15 percent to 3.03 percent.

Mazda Introduces CPO Program

Mazda North America unveils new certified pre-owned vehicle program aimed at boosting its used vehicle segment while making a better buying experience for shoppers. CPO program will include thorough multi-point inspection and reconditioning processes for dealers to follow. Qualifying vehicles must be 2006-2010 with less than 60,000 miles. Mazda says warranty coverage is "over and above any existing factory warranty." More info available or visit www.mazdaUSA.com.

AutoSoft Adds Menu Selling to F&I Solution

Dealer management system provider AutoSoft International  today announced the latest addition of menu selling to Finance Assistant, its F&I solution, providing a powerful selling tool that can increase F&I sales and improve customer satisfaction with fully customizable menus and multiple product/services packages. Also includes all legal disclaimer forms ensuring full dealership compliance with industry regulations. For more info visit AutoSoft International.

NADAguides.com Offers 2010 Model Data

Pricing and information for 2010 model vehicles is now available at NADAguides.com. Dealers can access info through the website. Pertinent information is updated daily, including wholesale, retail and asking price data, and is reflective of current and forecasted market conditions using advanced analytical tools and making it invaluable to dealers. Visit NADAguides.com for more information.

Dealers Must Closely Monitor Auction Pricing
By Stu Zalud

Despite modest declines in June, used-vehicle prices have gained strength overall this year and are likely to continue that upward trend. Used-vehicle supply is expected to fall about 4 percent for the full year, contributing to the pattern.  This means that many dealers will continue to look at the used side of their business for profits, at least for the foreseeable future.  Keeping a sharp eye on pricing movements in a market that stubbornly defies predictability is critical -- but no easy task without the right tools and information.

That’s why now, more than ever, it’s absolutely essential to have a reliable source to closely monitor pricing fluctuations in the auction lanes.  No longer can you just count on prevailing pricing trends or seasonal patterns to hold true.  As a result, more and more dealers are turning to NADA auction values, introduced earlier this year.   These auction values represent recent price action for a vehicle at wholesale auction. By using NADA auction values, it’s much easier to price trades correctly and make better buying or selling decisions in the remarketing channel.    

Accuracy is the key to NADA auction values.  NADA reviews almost 80 percent of total auction sales volume to determine its auction values.  That data is then analyzed to ensure accuracy and industry-leading reliability.  High, average and low auction values reflect the critical differences in current supply and demand, reconditioning levels and/or vehicle options.

Dealers can access NADA auction values through NADA’s electronic products, including NADA Online and NADA e-valuator for Dealers.  Current subscribers of these products already have access to the auction values at no additional cost.  For more information, visit www.nada.com/power.

Stu Zalud, Director of Dealer Services NADA Used Car Guide, can be reached at szalud@nada.org.

There aren't too many issues you can have with an ignition system, or are there? Ignition systems are of three basic designs: the distributor ignition system, the distributorless (DIS) ignition system or the coil-on-plug (COP) system. They all perform the same function, but due to design differences a "one size fits all" troubleshooting guide is not in the offing. Then there's that 1989 Jeep, one technician worked on. The Electric Control Unit (ECU) of a Chrysler Jeep is a separate type of service issue. Click here and then click on the image for some insight into solutions surrounding "no spark," a "weak spark" or a situation where the spark is happening at the wrong time.
 

The Audi A8 is a “Paradigm Shift” in MMI Navigation
Telematics speaks with vehicle architecture execs at AUDI AG

Mathias Halliger, chief MMI architect AUDI AG, and Daniel Rosario, project leader for connected vehicle architecture at AUDI AG, comment about how growing wireless access will affect the industry—and the impact of AUDI AG’s recent Telematics Update award (named jointly with Google).

What is the product/service that won the Telematics Update Best Embedded Telematics Navigation Product award?
The new Audi A8, which celebrated its launch in Europe and other global markets in the first quarter of 2010, set the bar at new heights with regard to connected vehicle technology. The MMI navigation system in the new Audi A8 luxury sedan is available in selected markets with a variety of Google services and information via the Internet.

What does winning this award mean to your company?
We are very pleased to be recognized for our joint efforts in what we believe to be the leading edge of the infotainment arena. This recognition is an excellent example of the close cooperation between Audi and Google teams in Silicon Valley and Germany. We are convinced that this feature not only introduces a new, progressive experience to our customers, but also presents a paradigm shift in this category.

Where do you see major developments happening in the industry?
The major developments that will significantly impact the industry in the coming years will be the arrival of faster broadband wireless data networks, the ubiquitous spread of wireless data coverage, and the continued democratization of access to wireless data through affordable data pricing plans.

Click here for the complete line up of innovative, highly connected Audi vehicles!

Electric Cars -- Some Cities More Prepared Than Others

Major automakers everywhere are preparing for the inevitable popularity and dominance of the EV segment. But unless there is a network of charging stations in your city, selling them or buying one will be just about pointless. At present, some cities are working faster than others to prepare, eager to be in the mainstream of the 'electric age'. There are, however, risks in being too prepared, as witnessed by an ambitious plan to install 25,000 charging points in London. But what if EVs don't become the accepted mode of transportation there? Click here for the list of America's EV capitals and then click on the image for a timely discussion on the other side of getting charged up!