The trusted voice of the auto industry for more than 25 years Issue 09-2013 21 May 2013 In this issue Quarter century of p7 Fiat Chrysler new venture p10 Ad complaint thrown out p11 Delivering dealer savings challenges tackled p15 Marque under one roof p16 Examining ESC in depth any changes can take level and to agree to establish one place in an industry trade association,” recalls Kerr. p17 Selling systems essential during two-and-a-half “At that time, there were still Mdecades, but two of the biggest significant tariffs on CBU vehicles, challenges Perry Kerr has faced and a fair degree of animosity in the automotive sector came to between the importers and local pass within two years of each other. assemblers. Kerr is retiring next month “Having said that, there was after 26 years in the sector. a high degree of co-operation at Sixteen of those were as chief the technical level where I had executive officer of the Motor Perry Kerr co-ordinated numerous meetings Industry Association (MIA), between the importers and Trusted for which he helped to establish, time – getting the MIA up and assemblers. over 25 years and before that he worked for running and then overseeing the “For the importers, BMW’s John Freephone: 0800 435 7868 [email protected] • www.protecta.co.nz the Motor Vehicle Manufacturers’ closure of the assembly industry. Leggett was one of the primary Association (MVMA). The MIA, which was established movers in this co-operation.” He has relinquished his role as in October 1996, brought together As for the biggest challenge CEO of the MIA but is staying on the Association of Motor Importers since then, one that stands out is Maserati's new Ghibli until the end of June in an advisory and Distributors NZ and the MVMA. the end of the assembly industry debuts in Shanghai capacity as part of a structured The former represented new in 1998. handover to David Crawford, his vehicle importers, the latter “This involved negotiations successor. comprised of assemblers of with the government around the Kerr believes one of the major completely knocked down (CKD) exiting of this industry, but also changes going forward for the vehicles. It was much later – in 2007 involved the component suppliers industry will be embracing and – that the Motorcycle Distributors’ still supporting the CKD industry,” rolling out new technology Association joined the MIA. explains Kerr. that will take vehicle safety to “The first and biggest challenge “Any removal of tariffs also had unprecedented heights. in 1996 was getting the assemblers an impact on the CBU importers in It’s the late 1990s, however, he and completely built-up [CBU] terms of their existing stock. p 12 regards as the most challenging importers into one room at CEO [continued on page 4] ACCESSORY BUNDLING Retro Vehicle Enhancement MORE SALES CREATE AN www.rve.co.nz EXCLUSIVE MODEL MORE PROFIT 0800 RETRO 4 U FOR YOUR BRAND CUSTOMERS FOR LIFE VIEW VIDEO WWW.DEALERSHIPEDITIONS.CO.NZ Driving Solutions jacanna ad scrabble_art.pdf 1 6/05/13 9:24 AM C M Y CM MY CY CMY K jacanna ad scrabble_art.pdf 1 6/05/13 9:24 AM editor’s note Snarl-ups in the city of snails overnments always seem government and Auckland Council Britomart, which is a dead end. Cheap, reliable and efficient to eventually disappoint, to solve transport congestion. Trains are cheaper than buses public transport is needed irrespective of where The Beehive seems to kick and both belch out clouds of because motorists need viable Gthey sit on the political fence. most council ideas into touch. diesel fumes, while integrated alternatives to coax them out of And MPs normally fit into one The inner-city rail link is doomed ticketing costs have ballooned. their cars. of two boxes – those who aspire to without government support, not The upshot is an economic The motor vehicle industry serve the masses and those who that many Aucklanders are fussed and environmental mess with is unlikely to suffer from better appear to serve themselves. about it. price-tag of $1.5 billion in crashes, public transport. It’s hard to Few people would disagree At least the council has ideas – delays, vehicle costs and pollution. envisage car ownership rates with Aaron Gilmore calling himself the government should get on with Now the Consensus Building falling, journeys will be safer with a dickhead and arrogant. completing the city’s motorway Group says ratepayers and better-flowing traffic and the But some would contest “MP network by linking it up. motorists should contribute economy will boom. gets drunk, behaves like a plonker In the 1950s, Aucklanders could most of the extra $400 million It’s not just an Auckland and uses the PM’s name in vain” is catch the ferry, train, bus or tram needed for projects and the problem, it’s everyone’s problem hardly firing-squad stuff. or use their cars. government needs to come to – like Wellington’s “dying” or Gilmore’s behaviour could And there were plans the party. Christchurch’s rebuild are. be compared to John Key being to electrify trains, build an Road pricing has been on This country deserves more quoted as saying “I don’t think New underground CBD rail loop, the radar, which could reduce politicians who stay out of bun Zealanders give a toss about it” in and integrate bus and rail – the congestion but is unlikely to fights and want to make a long- C relation to the Christchurch MP’s fall massive irony being these matters fix the problems. This was first term difference. from grace. Hardly prime ministerial are on the agenda now. suggested by the NZTA about M language, some might say. The politicians and civil six years ago before vanishing Darren Risby Y As for Key wanting to get back servants back then opted for a car- without a trace. Editor CM to “running the country” instead is-king approach along the line of MY of answering questions about American models, so the harbour Gilmore, that could be construed bridge and motorway network CY as arrogant in the absence of were built. CMY superhero powers. The last tram journey was in K Then “Wellington is dying” 1956, followed by the last trolley was revised to the city facing bus in the late 1970s. “sustained pressure” and “we don’t By the 1990s, Auckland’s public know how to turn it around”. transport patronage per capita GENERAL MANAGER’s WELLINGTON Perhaps Steven Joyce should was lower than Los Angeles and AND PALMERSTON NORTH be cloned because Mr Fix It’s one today only seven per cent of Jafas Due to continued success and the move to the next stage of our strategic cabinet member who seems to ever use it. growth plan, we are looking for two exemplary leaders to continue the direction of our North Island Prestige operations from the front. Acknowledged get stuff done without too much The problems are immense. as one of New Zealand’s most dynamic dealer groups, we require two focussed, argy-bargy. Buses are expensive and professional, relationship oriented leaders for our Wellington and Palmerston North Prestige locations. Reporting directly to the North Island General One huge political football unreliable. The train network Manager and overall Managing Director you will be part of the 8 dealer is the conflict between the has two tunnels in and out of Armstrong Motor Group which, with more than 10 years focus on excellence in all facets of daily operation, is one of the country’s leading automotive businesses. Our General Manager’s are accountable for ensuring the dealership EDITOR achieves a return on its investment and commercial activities and you will be responsible for fostering a high performance culture of excellence, Darren Risby accountability and innovation across the Sales, Service and Parts business units. [email protected] 021 137 5430 Applicants will possess previous experience and commercial success managing an automotive new vehicle franchise or related business. A relevant degree ADVERTISING level qualification and or completion of Deloitte’s or similar such management DESIGNER course is advantageous although not essential. Proven people management Brian McCutcheon skills will need to pair with the commercial business acumen needed to [email protected] Adrian Payne deliver the standards of excellence and business performance expected. 021 455 775 [email protected] Vacancies providing this level of challenge, personal gain and appeal are rare; Autofile is also available as an electronic copy via email. If you’d like to receive electronic all the more so given the reputation of the group and the market dominance copies please send an email with your name and organisation to: [email protected]. of the brands represented. Back copies are also available on request. Applicants for this position should have NZ residency or a valid NZ work visa. The closing date for applications is 5pm Tuesday 28th May 2013 at which time all applications Copyright: Published twice monthly by 4Media, PO Box 6222, Dunedin 9059 will be processed. Please send applications to [email protected] or contact All statements made, although based on information believed to be accurate and reliable, Nick Allan on 04 384 8779 for a confidential discussion. cannot be guaranteed, and no liability can be accepted for any errors or omissions. Reproduction of autofile in whole or part, without written permission, whether by xerography or any other means, is strictly forbidden. All rights reserved. www.armstrongprestige.com www.autofile.co.nz | 3 news [continued from page 1] Technology key to future “Once all tariffs had been the past five years, or two model while competitiveness within the Ministry for Economic phased out, it was a relatively cycles,” says Kerr.