Sales to fleets are a good way of gaining product exposure, but they are often viewed as a means of eliminating excess production, especially those to rental car companies. Polk compared retail vs. fleet vehicle registrations for eight brands to determine those that more closely match production to retail demand. Import automakers have seen a more consistent retail/fleet mix.
Typical of dealers everywhere is the rising wholesale price environment which is brought on by the scarcity of good used vehicles, leading to shrinking profit margins and shrinking opportunities to fill their used car lots. But North Carolina dealers showed determination as they hunker down and prepare for the "new reality" of smaller profits, fewer opportunities and around $1,500 more per car average.
Rising oil prices could become a key issue in the upcoming U.S. presidential election as they approach a nine-month high. Petroleum prices have been moving upward for the past few weeks, but the latest surge began when Iran announced a halt to exports to Britain and France. The average gasoline cost has already topped the $4/gallon mark in some areas of the U.S.
The next few years will bring more changes in car electronics as automakers strive to stay on top of the latest in the digital world. Spansion CEO John Kispert shared his predictions on more changes in car electronics. They include going digital with all major instruments, driver assistance to warn about hazards, gesture and voice recognition, better engine control, and black boxes.
CUDL, a major auto lending network for credit unions, announced a new initiative with Manheim?s OVE.com and GE Capital Fleet Services. They will cooperate to further expand GE?s remarketing channels and to offer CUDL?s dealer network a new online vehicle buying program. CUDL also has a separate alliance with Open Dealer Exchange.