Quarter Century of Challenges Tackled

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

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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.

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[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. the vehicle industry shouldn’t be Development failing to act to get quick process with the last five “Over the next four to five years, underestimated. an approved frequency.” remaining assemblers closing we will probably not recognise the Another strand to this issue is He believes future technology within a six-month period. Plant vehicles with the rate of change how the government responds. The will “quite dramatically” reduce and equipment was shipped to that’s going on and so-called industry hopes no impediments the road toll, but questions why Thailand and other destinations. intelligent transport systems. will be put in its way, so it can bring the government appears to be “All the while, although we skirting around the issue of having knew this had to happen for the electronic stability control (ESC) on industry, we were being bagged all vehicles crossing the border. by the ‘media’, nothing new there. And what about alternative fuel “This bagging concentrated “There have been significant sources? Kerr feels this market is on the loss of local employment in its infancy and will take time to and played up the emotional advances in technology over develop because of pricing issues. side of everyday people losing – Perry Kerr “Japan is focused on hybrids their jobs.” the past five years.” and Europe on overall fuel Another big challenge involves consumption, but I feel the market fast-forwarding to an issue that’s “The technology – with the likes new technology to the market. here for hybrids may not develop relevant now and will be well of collision avoidance, self-drive and “The approval of radio for another four to five years.” into the future – and that’s new automatic parking – will be part and frequencies in the past resulted As for electric vehicles (EVs), technology on vehicles being parcel of the industry and will filter in some distributors removing they may take longer because offered to the public. down to lower-priced vehicles.” adaptive cruise control functions they are heavily subsidised by “There have been significant Many of the advances are being from vehicles,” recalls Kerr. some overseas governments by advances in technology over driven out of Europe and Japan, “This all stemmed from up $10,000, and Kiwi fuel is much  TAKE CONTROL with Dealer Dashboard  Never be caught-out with vehicles in your Trader Network  At a glance view your current trader network vehicles  Tag vehicles for urgent attention  Quickly view graphs of vehicle age and time in stock

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 cheaper than in other countries, Off to Oz – Clare and Perry Kerr know he will do an excellent job.” such as the UK. Looking back on his time With regard to the overall in the industry, what Kerr will market, Kerr notes that in 2012 remember most during his New Zealand new vehicles – retirement on the Gold Coast are passenger cars and commercials the people he has met. – outsold used imports. “The most rewarding part of the Looking forward, he sees the job has probably been meeting the new industry getting stronger many and varied personalities of because its vehicles are “superior people in this industry and,” says to used imports because of Kerr, and adds with a mischievous their technology and pricing is grin, “not forgetting the little competitive”, and he expects last victories over the used importers. year’s trend to continue. “Anyone who spends enough Vehicle safety has always been time working with the industry a key driver for the MIA. It’s in this can’t help but realise no two area Kerr says one of his biggest personalities are the same and successes as CEO has come. some drive you crazy. “It’s definitely the introduction industry for so long and not have He’s confident the association is in “They’re all so passionate with of the frontal-impact rule as a some regrets, some unfinished good shape for the future and that their views, the competition is safety standard, which started with business. For Kerr, one is the the role of CEO has been passed fierce and each one’s brand is a meeting with Mark Gosche, the absence of a seven-year age limit into safe hands. always the best. incoming Minister of Transport. on used imports. “David Crawford has so far “But they’re all helpful – at “I provided him with “I cannot understand the picked up about 90 per cent plus times, above and beyond – and information on the benefits of reluctance of the Imported Motor of the monthly processes, which is this makes dealing with them a frontal impact when New Zealand Vehicle Industry Association going great guns,” enthuses Kerr. pleasure, while others are such vehicles, in the main, were lagging to genuinely engage in this “In terms of government good fun.” behind overseas markets and the discussion,” he says. contacts and his lobbying ability, I [continued on page 6] last major safety initiative was “The other is not having ESC on compulsory seat belts. all imports, but I’m confident David “The minister had personal Crawford will be pushing hard for experience. His son was involved in this to happen.” a frontal-impact crash and he took On some core subjects, the this issue forward. The introduction MIA’s results have been higher than HAPPY of this rule has become the pass rates. WITH YOUR CURRENT blueprint for introducing other With the controversial emissions

safety standards.” rule, it supplied politicians with ARE YOU VEHICLE SUPPLIER Kerr says his biggest DVDs explaining the issues as the ? disappointment over the years was MIA saw them. WHAT YOU GET WITH the government’s lack of action on Kerr praises Judith Tizard, the “widespread” importation of gives credit to John Leighton, the clocked Japanese cars. president of the MIA at the time, and “Honda NZ identified, by recognises the Labour government comparing odometer readings for “taking some hard decisions for RELIABILITY for used vehicles in New Zealand the good of the country”. First choice for NZ dealers for 20 years against warranty records in Japan, Fuel economy may come back EXPERIENCE that significant numbers of its onto the government’s agenda – it’s Our buyers are knowledgeable about NZ dealers requirements vehicles had been wound – some just a matter of what form this takes. by up to 200,000km. “It’s currently not a pressing CHOICE 100,000 vehicles per week available through our auction search engine “My view is the government issue but a Labour-Green dropped the ball. Rather than government is likely to have a STOCK READY FOR SHIPPING Extensive range of pre-purchased stock available for shipping NOW requiring importers to prove different view, although much odometer readings were accurate, progress has been made. PEACE OF MIND All vehicles Ramp Inspected before departure it placed the onus on Customs to “As for consumer legislation, prove they weren’t. vehicle companies are so TRUE DEALER WHOLESALE “It’s not so much of a problem responsive to demand and Fixed fee includes all Japan side: transport, documents and taxes with vehicles from Japan now. It complaints now that this isn’t really STRICTLY DEALER ONLY was rife with used imports from an issue and they respond well to Heiwa Auto never sell or export vehicles to private buyers Singapore and I think there’s an safety recalls.” Reece McKerrow Ph: 021 988 727 issue in the UK.” Overall, Kerr is proud of the www.heiwa-auto.co.nz It must be hard to work in the MIA’s achievements on his watch.

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[continued from page 5] Meeting people most rewarding

When asked whether it has been curve for her, starting from the hard to let go, Clare interjects and point when she said, ‘I will just type Trip back instructs her husband to front up. what you tell me, but don’t expect “It has been very hard,” says me to be interested’. in time Kerr. “Clare says it’s not because “It’s very funny the industry Sometimes you have got to give I’m leaving my job, but because has sucked her in as well. Often it’s a man enough rope, so here’s an I’m leaving behind what has been now Clare who reminds me of a insight in Perry Kerr’s early years. my life and passion for the past question that needs to be followed 25-plus years.” up, or makes me defend my What was your first car? Clare says the job has been all position on an issue.” It was a Vauxhall Victor, which cost encompassing, even on holidays The MIA’s office has been about $1,300 second-hand. The and at family weddings. She relocated to Wellington, their home motor blew up within six months. recalls sitting in hotels around in Auckland is being packed up and Asia at 3am sending out those the Kerrs will soon be cashing in What did you do before joining “dreaded NZTA tables”. their one-way ticket to Australia. the auto industry? There’s a saying that a man’s So what has the lucky country Of course, there was the Customs A young Perry Kerr in his Customs uniform only as good as his wife and Kerr’s got that the land of the long, white Department. I joined as a cadet reply is “that speaks for itself”. cloud doesn’t? and gained my qualification to act as business. When LAB found out, I “We always went with the “That one’s very simple. Two a licensed Customs agent. was shown the door. philosophy that Clare and I never daughters who mean the world to However, the relationships I had worked together – she is way too Clare and I, including a son-in-law Did you look dapper in the uniform? built with the MVMA’s members bossy – but for the past five years and long-term partner, two sisters- I wore the uniform for about 12-18 came to my rescue. It was – along in Auckland, we’ve done just that. in-law plus families and, of course, months when I was working as with the tobacco industry – my “It has been a steep learning sun, sun, sun”. a Customs officer at Wellington first major client. The relationship International Airport. Those were continued 27 more years. the days when the airport was a tin can with one or two flights a day. What are your endearing memories from those days? SHIP YOUR CAR So what comes next on your CV? The main one was the MVMA I went onto the NZ Manufacturers’ deciding to come with me. I was WITH CFR Federation as its tariff officer, young with a new house, a new where I also began my career baby, the share market had just with trade groups. Next was Price crashed and I was sweating bricks. Waterhouse, where I set up a tariff My first IBM computer, including consultancy division. software, cost $18,000. It was an From there it was Lawrence expensive purchase and included Anderson Buddle (LAB), which was a dot-matrix printer. Each month Shipping cars from the UK or USA? NZ representative for international when that pay check came in, Clare firm Arthur Andersen. Again, I set and I breathed sighs of relief. CFR Line offer: up a tariff consultancy division. I also had smaller clients, • Fixed door to door pricing This firm was acting as secretary which followed me from Price • Weekly sailings to NZ ports for the Motor Vehicle Manufacturers’ Waterhouse and LAB – for instance Association (MVMA) and one of an aluminium fabricator, two • In house customs and MAF clearance my tasks was working with the marine wholesalers, some china • Safe, reliable vehicle shipping from assemblers as the industry plan importers, a tile importer, a light containerised shipping experts kicked in. This takes us up to 1987. fittings importer, and nail and steel wire manufacturers. Call us for your UK or USA How did you get into the auto These guys were the vehicle shipping solutions industry? entrepreneurs of their day and LAB went belly up. Price Waterhouse some paid in kind. We had the most Paul Stichbury came in and bought its client amazing tiled bathroom worth 09 475 5185 book. I was offered a position with more than the rest of the house. 021 237 8492 Price Waterhouse, but there was One year we were given the [email protected] CONTACT animosity due to me earlier leaving biggest-ever fake Christmas tree the company for LAB. from the States before they were After considering my position, available here. Life was certainly CFR Line NZ Ltd I set up my own tariff consultancy interesting then.

6 | www.autofile.co.nz news Partners unveil future vision

new vehicle distribution will see us more than McDonald’s.” “Regularity of supply will enable to expand our pre-delivery work. network will spend about Much emphasis will go into us to go forward and we’re looking “The timing and combinations $8 million in advertising that online presence, which is “as to improve this business one day we have brought together Ato promote its brands, embark on a important as bricks and mortar and at a time. couldn’t be better for the launch fresh approach to selling cars and needs to be fun, engaging, helpful “We will also be working with of our company. revamp its dealerships. and easy to use”. Ateco Automotive NZ in key “Whether it’s Clyde’s expertise Fiat Chrysler New Zealand’s He says: “The majority of areas such as purchasing. This in working with Chrysler and my vision was unveiled last week at its new multi-million-dollar headquarters in Mt Wellington, Auckland, which it’s sharing with “The majority of customers Ateco Automotive NZ. Neville Crichton, executive have made decisions before chairman of Ateco Automotive, and Clyde Campbell, president they reach a dealership.” and chief executive officer of the – Clyde Campbell, Fiat Chrysler NZ Fiat Chrysler Group Australia, both have a 50 per cent stake in the customers have made decisions means we can punch above our experience with the New Zealand new company. before they reach a dealership. separate weights.” market and European brands, or The venture brings together “Selling the company, Crichton adds: “We’ve got to the brilliant products, we’ve put Fiat and Alfa Romeo with Chrysler, brands and products – what the have a good relationship with our together the ideal solution to Jeep and Dodge into one network sales person used to do in the suppliers. This is a big part of meet the needs of buyers. for this country. It also includes showroom – now largely takes what we do and it’s very “That means solid, long-term the Mopar, Abarth, SRT and Fiat place on the internet, so we’ll be important. We also have the ability [continued on page 8] Professional brands. lifting our internet presence to “It’s only by having one new levels.” distributor for the major Fiat But Campbell stresses dealers are Chrysler Group brands that New important. Without a big network, Zealand may fully benefit from the higher volumes will not be sold group’s strengths,” says Campbell. and it’s being reorganised to reflect “We see our approach as doing the distributor with franchises the best by our brands and I like representing all group brands. good, honest relationships. “If you don’t leave enough “The numbers stuff is all money in it for dealers, they will about mine is bigger than yours not look after you,” he adds. “We and the dealerships have got to will take back customers, and we’ll Full be looked after. have great facilities and well- “When they become less value trained staff. PORT to DOOR propositions, you can get into cost- “We’ll get dealers to talk to us cutting, less customer service and about how we spend our money. service price wars.” We want them to be on the Campbell says the $8m same page and it’s not just about VESSELS ARRIVING earmarked for spending on pushing metal.” EVERY TWO WEEKS television campaigns is comparable As for the new headquarters, to Australia. this brings the business under Call me now “By getting onto people’s one roof where more products to discuss your screens, you influence their can be kept in stock. It will also shipping requirements purchasing decisions. TV is a great help to speed up response rates Ph: 09 373 5881 Fx: 09 303 0072 medium for us to drive emotion, and raise service levels. Karla Sorensen and the core of what we’ll do is TV Campbell outlines Fiat Chrysler and radio. NZ’s approach as being based on Karla Sorensen Steph Archer 0276 796 981 021 825 212 “It’s the most effective tool to ‘how would you feel if you were [email protected] [email protected] alert customers to new products the customer’. Martin McCullough Garrick Gibbons and prices, and can guide them to “The more our customers are 0274 725 262 021 548 130 our enhanced internet presence. pleased with their experiences, “We will be one of the top 10 the more likely our business is to advertisers in this country and you succeed,” he explains. www.dolphinshipping.co.nz

www.autofile.co.nz | 7 news

[continued from page 7] Venture’s ‘greater buying power’ growth for Fiat Chrysler NZ and its dealers.” The company will now reposition its existing products to boost sales with new models being imported. “The repositioning of models will not just be about price,” explains Campbell. “It will include changes in specification, variants and price as we tailor every model and variant to meet the needs of the market. “We’re able to do this through our greater buying power and Fiat Chrysler’s and Ateco Neville Crichton at the lower operating costs as single Automotive’s new Auckland HQ Mt Wellington base last week distributor for Fiat Chrysler Group brands and products.” small cars and SUVs, should also joined forces with America’s The country’s largest Price is seen as the “value benefit the company with Fiat Chrysler Group. independent car importer is proposition” on all products. This Chrysler seeing itself as strong in Since then, Fiat Chrysler predicting 2,000 sales during covers specifications so vehicles these sectors. has been working to ensure all 2013 of the two marques already have what Kiwis want, the position of benefits of the company are established here, more than entry-level variants and price ranges. BEHIND THE HEADLINES applied around the world. In many double last year’s tally. Structural changes in the Globally, the Fiat Chrysler Group cases, this has meant bringing Ateco Automotive NZ was set market, which has seen growth in was formed in 2009 when Fiat together separate importers for up a decade ago to distribute the Italian and US brands. European brands, but the past four This process has now reached years have seen its emphasis move these shores, with the launch of the to the Chinese side. new distributor. “Ateco has never been wedded Neither Ateco nor Fiat Chrysler to one particular business type or Group has any equity in Fiat plan,” says Crichton. Chrysler NZ, which assumes Kiwi “A decade ago, when we started market responsibility for Fiat and our Chinese programme, it would Alfa Romeo rights from Ateco have seemed almost laughable to Automotive NZ and Chrysler some people that it would become Group rights from independent the core of our business. importer Sime Darby. “But our foresight means In return, Sime Darby has taken Ateco isn’t only the first company Citroen distribution rights for New to bring Chinese brands to New Zealand from Ateco NZ, adding Zealand, we’re still the only the French brand to its existing company to have successfully Peugeot franchise on both sides of marketed them across New the Tasman. Zealand and Australia. These brands have been “There’s no doubt that the Chinese Trans Future 7 Voyage 62 in limbo since last year when market is the way of the future.” osaka 6 May, Nagoya 7 May, kawasaki 11 May, factory-owned Chrysler Group The new Mt Wellington HQ Auckland 29 May, Lyttelton 31 May, wellington 2 Jun, Nelson 3 Jun Australia took over distribution marks a considerable gain in of Fiat and Alfa Romeo across the size over its previous facility, Spring Wind Voyage 10 ditch from Ateco Australia, and which means Ateco is ready to osaka 22 May, kawasaki 24 May, Sime Darby took on Citroen in take Chery and Great Wall to the Auckland 5 Jun, Lyttelton 15 Jun*, wellington 17 Jun*, Nelson 18 Jun* Australia from Ateco in a swap next stage of their growth and *To be trans-shipped on Trans Future 6 v63 for SsangYong. accommodate Foton’s launch. Trans Future 6 Voyage 63 Ateco, under the direction of FOCUS ON CHINESE CARS general manager Lawrie Malatios, osaka 20 May, Nagoya 21 May, kawasaki 25 May, Ateco Automotive NZ will now will share media buying power Auckland 13 Jun, Lyttelton 15 Jun, wellington 17 Jun, Nelson 18 Jun dedicate itself to Chery and Great with Fiat Chrysler NZ for it to have Wall, with Foton’s 4,000kg-plus more advertising and marketing truck line coming later in the year. without major cost increases.

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AutohubAutohub full Port full to Port Door to DoorLogistics, Logistics, Japan Japanto NZ, to UK NZ, to NZ. UK to RegisterNZ. Register NOW NOW at www.autohub.co.nz at www.autohub.co.nz Ph Tony: 09 411 7425 or 021 611 271 news Sale advert complaint dismissed complaint lodged by a “When I returned to Hamilton, would-be buyer, who I checked the website again and travelled to Auckland to found the advert was still there.” Abuy a car only to find it had been About two weeks later, he was sold, has been thrown out. contacted by a sales person and The matter concerned an online asked if he was interested in advert for Andrews Simms European, buying a standard model. which featured a clearance sale of “I told him I was pre-registered Citroens and “until disappointed that last time current stocks last”. I looked the advert for the M Pryor, the complainant, demonstrator was still there travelled from Hamilton to the and he undertook to have dealership in Newmarket to buy it removed,” said Pryor. one of the vehicles, but when he “I checked the website again A 2012 Citroen DS3 arrived was told it had been sold. and downloaded the advert, which The website advert featured appeared to be the same as the “When the advert was placed, only valid while stocks last in the demonstrator and used Citroen original. I believe this was misleading.” all vehicles were available. The terms and conditions,” it said. cars, and included “clearance sale, Andrew Simms Newmarket vehicle Pryor inquired on was the “If Pryor had inquired before this hurry – final days”. responded by stating the advert 2012 Citroen DS3. vehicle was sold, we would have “I travelled to view them and was run in the NZ Herald and “Before he inquired, this vehicle sold it to him. The complainant was told by the sales manager they placed on its website. had been sold as a motor vehicle missed out by a few days.” had all been sold,” Pryor told the “It had one-off pre-registered, registration check will confirm. The complaints board complaints board of the Advertising demonstrators and used vehicles “Other vehicles in the advert considered the advert with Standards Authority (ASA). for sale,” it said. were still available for sale when reference to basic principle four the complainant inquired,” stated and rule two of the code of ethics. the franchise. This required it to consider if the “We are confident this advert advert contained anything likely to was prepared with a due sense of deceive or mislead the consumer, social responsibility. and if it had been prepared with “This was a genuine clearance of social responsibility. vehicles owned by Andrew Simms The board acknowledged European. No representation was Pryor’s frustration at the car being made that more than one of each unavailable. Reliable fortnightly vehicle was available for sale. But taking into account the advert vehicle logistics “This advert shows pre- featured specific makes and models, service JAPAN to NZ registered, demonstrator and used along with registration numbers vehicles with registration numbers, and qualifying statements regarding colours and kilometres travelled.” availability, the board stated it PORT TO PORT / The dealership believed even didn’t reach the threshold effect of DOOR TO DOOR reasonable consumers without breaching rule two of the code. to Auckland, Christchurch, knowledge of cars would be unlikely It also decided the advert had Wellington, and Nelson to be deceived into believing there been prepared with the requisite were multiple vehicles with the standard of social responsibility same registration number, colour required under basic principle Full MPI inspection and odometer readings. four, so it ruled to not uphold the service from Kawasaki, “This advert clearly states it’s complaint. Osaka, and Nagoya

+ Marine Insurance available Code of ethics exaggeration – that is misleading or likely to deceive consumers, Rule two in the code of ethics make false and misleading FOR EFFICIENT CUSTOMER FOCUSED relating to advertisements representations, abuse the covers truthful presentation. buyer’s trust, or exploit a lack of SERVICE CONTACT NYK Adverts shouldn’t contain a experience or knowledge. statement or visual presentation Basic principle four states all Anna Raina – or create an impression that adverts should be prepared with a 021 225 3749 or 09 915 2710 directly or by implication, due sense of social responsibility [email protected] SUN PHOENIX CO.,LTD. omission, ambiguity or to consumers and society.

10 | www.autofile.co.nz Delivering savings to importers and dealers

About 800 dealers have signed up to a trading platform that saves them money and hassles by cutting out the middle man. Autoport is an online offer and counter-offer system for buyers and sellers to decide on prices as if they’re in the same room. The service, launched by Hamish Lusk and David Paviour earlier this year, also offers a buy- now option, while New Zealand dealers can list their vehicles for free. Autoport is proving so popular the company has taken on extra staff in Auckland, and has opened offices in Japan and the UK. “What we’re offering is an international trading platform with great processes in place,” From left, John Lennon, technology generalist, Tara Cudby, administration manager, co-founder David Paviour, Paviour explains. Lachlan Wilkinson, NZ sales and account manager, Tatsuichiro Komiya, NZ-based Japanese account manager, and co-founder Hamish Lusk “Our service allows dealers to avoid agent, auction success fees and other costs. We put The process then continues as outlined in the car dealers can also request appraisals. traders in touch with each other. diagram below: “The response has been great after everything is “Our processes are robust and buyers know what explained and dealers realise we’re not an agent but they’re getting. When something’s bought, we get it Seller loads vehicle with FOB price provide a great buying process. That’s our point of checked. What you see is what you get. difference. It saves dealers time and money.” “We are making it easier for importers and Seller and buyer agree conditional price those who haven’t imported before by covering WELCOME ON-BOARD some pitfalls. Among the new faces at Autoport’s HQ in Auckland “We’re starting to take the wholesale market Buyer pays Autoport, which holds are Lachlan Wilkinson, NZ sales and account by storm, making big steps quickly, getting payment in trust account manager, and Tara Cudby, administration manager. infrastructure in place and already have 10 people “My role is looking after dealers and in our organisation.” Autoport’s third-party checker establishing relationships with those yet to come inspects vehicle on yard Part of that infrastructure is opening offices in on-board,” says Wilkinson. Southampton and Osaka, with one in Tokyo to follow. “Autoport is an easy way to get hold of cars VEHICLE In the UK, Autoport helps dealers by finding VEHICLE FAILS from Japan and the UK, and it’s great for dealers PASSES VAT-qualifying cars, having them go through who haven’t imported before. Autoport’s independent yard check, getting “We don’t sell cars. We’re selling a service to Vehicle sent vehicles NZTA and MPI checked at the port and Deal off or provide buyers with secure processes to purchase to port and renegotiated onto the boat. It’s a full door-to-door service. seller paid cars directly. “Every vehicle has a 140-point yard check,” “Our processes can help them find what they’re says Lusk. “If anything – including rust – comes looking for. For instance, searches can be set up by up it will not leave the UK and the dealer Car is MPI Cash returned clients for specific vehicle types.” has his payment returned, which is held by checked etc and to buyer, Tara Cudby is liaising with dealers here as soon loaded to ship seller pays fee Autoport until it’s passed the check and is as vehicles are in transit. booked on-board. “After the deal has been struck, I handle “One of our traders has bought 12 cars Kiwi dealers can also list on Autoport for free to sell everything from there,” she says. “That includes from the UK and they flew through checks and in-trade and stock is easy to load onto the website. getting stock to port, onto anywhere in this compliance.” “There are probably no dealers who wouldn’t country, and NZTA and MPI clearance.” Japan is a more mature market when it mind wholesaling vehicles,” enthuses Lusk. “We comes to exporting, but cars are still properly want to show dealers how robust the system is checked at yards and go through MPI and and how it safeguards their interests against the autoport.net odometer processes. pitfalls of buying from overseas. Lachlan Wilkinson: (09) 903-0717 [email protected] They are verified by Autoport’s third-party “If there’s something unclear about a car David Paviour: (09) 903-0711 [email protected] inspection service provider at sellers’ yards or they want more information, they can Hamish Lusk: (09) 903-0712 [email protected] before deals are finalised. If they pass, it’s all ask questions anonymously in English, Tara Cudby: (09) 903-0715 [email protected] systems go. which will be translated into Japanese, and www.autoport.net new cars Marque unwraps luxury sedan

he first mid-size four-door Pricing and specifications will sports sedan in a brand’s be released closer to launch. 100-year history has been unveiledT at the Shanghai Motor Show. SUV FOR ‘BRITISH’ MARQUE The Ghibli is being released as MG’s first SUV will be in the shape of part of Maserati’s drive towards the CS concept, which previews the 50,000 sales a year. model due to go on sale next year. New Zealand’s campaign role It’s expected the CS will be will start in the third quarter of this based on the MG3 small car’s year when the new Quattroporte underpinnings and powered by a debuts, followed by the Ghibli in 1.5l, 1.8l or 2l turbo petrol. early 2014. A 1.9l diesel engine may be Maserati hopes to match its an option, while the production global target with 1,500 Australasian version is likely to be similar in Maserati’s all-new Ghibli sales in 2016, of which 10 per cent size to Kia’s Sportage. will be allocated to this country. The car was designed by MG’s The two models will boast design director, Anthony Williams- two different power outputs from Kenny, and the marque believes turbo-charged V6 petrol engines it “oozes British design flair while with rear-wheel-drive (RWD). embracing the sport DNA of MG”. The Ghibli’s eight-speed The concept’s features include automatic transmission will also headlights with a multi-faceted be offered in the marque’s first “shard” structure. These refract light diesel engine. in different colours and shapes from The turbo-diesel three-litre V6 the side, but form MG’s trademark will deliver high performance but octagon from the front. use less than six litres per 100km More details will be available later on the NEDC fuel-economy cycle. this year, but it’s likely to cost about Lexus’ GS 300h hybrid The most powerful V6 will $30,000 based on the MG6’s pricing. be the Ghibli S’ twin-turbo, with Zealand drivers a range of hybrids,” manufacturers are launching China- 301kW of power at 5,500rpm and HYBRID IN LUXURY RANGE says Neeraj Lala, general manager only EV brands with local partners. 550Nm of torque from 1,750rpm. Lexus unveiled its all-new GS 300h of product planning. Daimler and BYD Auto, which The all-wheel-drive S Q4 will in Shanghai, expanding its sedan Incorporating a 2.5-litre four- is 10 per cent owned by Warren reach 100kph in 4.8 seconds, with line-up with another fuel-efficient cylinder Atkinson-cycle petrol Buffett’s Berkshire Hathaway, the RWD version taking 0.2 seconds hybrid set to arrive on these shores engine with D-4S direct injection displayed their first Denza longer. The S has a top speed of towards the end of 2013. technology and electric motor, electric SUV. 285kph, 1kph faster than the Q4. The range addition is aimed at the rear-wheel-drive has a CO2 Toyota and the FAW Group The second turbo-charged customers wanting a spacious mid- emissions target of below 110g/km. showed an EV with the Ranz badge, three-litre V6 petrol engine available size sedan that “combines quality and Detroit Electric launched the has power of 243kW and 500Nm with fantastic fuel efficiency”. ALTERNATIVE FUEL SOURCES world’s fastest EV, which it plans to of torque. It delivers economy of “The GS 300h will strengthen The future of hybrids and electric market in China with Geely – the 9.6l/100km and accelerates to Lexus’ market share and underline vehicles (EVs) came under the SP.01 makes 0-100kph in 3.7 seconds. 100kph in 5.6 seconds. the brand’s ability to offer New spotlight in Shanghai. The government is focusing SKIN GETS COVERED UP MG’s SUV concept on low-emission technology after Promotional girls in Shanghai having severe air pollution in the returned to modest outfits after a city and Beijing. It has set sales crackdown on skimpy clothes. targets of 500,000 hybrids or EVs The organisers of last year’s by 2015 and five million by 2020. Chengdu Motor Show were Geely, which owns Volvo, aims to reprimanded by the government sell 3,000 EVs next year and 10 times after near-nude models created that by 2016. The company has mayhem in the crowds. spent NZ$188 million developing But the Shanghai event was them, but an insufficient number of more sedate. While models favoured charging stations is a roadblock. plunging necklines and short skirts, Although EV sales are there were no see-through blouses disappointing, global or exposed skin.

12 | www.autofile.co.nz Shipping vehicles with

If something can be done, logistics company CFR Line (NZ) Ltd will get it done and has the no hidden surprises experience do so efficiently. The Auckland-based operation has been a well-respected provider of shipping solutions – especially for importing motor vehicles from the UK and US – for more than four years. Now it has branched out to cover a wider range of stock from those two markets, with importers and car dealers here in New Zealand enjoying a fixed pricing structure. “Our door-to-door service covers the entire process from picking up vehicles to delivery and compliance at this end,” explains Paul Stichbury, CFR Line’s trade lane manager. “We do all of the unpacking and Paul Stichbury by CFR Line’s Customs- full MPI and Customs clearance at controlled area and a recently imported Mini our Penrose site, which gets vehicles off the wharf quicker. emphasises Stichbury. and individual customers. Nelson, Lyttleton, Port Chalmers and “This has advantages in The company has always “We’re also seeing a steady the Pacific Islands as destinations. that fewer hands handle them, transported cars and caravans from stream of classics and later model CFR Line (NZ) Ltd was formed everything’s done here with great the UK. But with that market changing performance cars, such as Camaros, about four years ago when its care and our security systems mean about 18 months ago and more cars Corvettes and Mustangs.” directors, all with extensive industry there are eyes on them all the time. arriving onto these shores, it felt the The cross-rate between the experience, felt the time was right “Completing all pre-export time was right to expand services. New Zealand dollar and British to put together a new company to and post-import work on-site also The shipping is containerised pound is making UK imports even better service the market. enables us to be flexible with pick- for cars and caravans, with roll-on, more attractive to buyers. “It started with the idea of up and delivery times to fit in as roll-off services for bigger items, “What we’re shipping from the UK importing vehicles and caravans, best we can with customers’ needs.” and a similar set-up for the US. includes mainly later model SUVs and along with freight and logistics,” says CFR Line’s fixed pricing sets “We have a lot of later model upmarket sedans,” says Stichbury. Stichbury, who has worked in freight importers’ costs depending on stock coming in from America,” CFR Line has been shipping forwarding for about 25 years. what type of vehicle is being says Stichbury. “We can now classic cars since 1988, and offers “What the company has is brought into the country, while import many more models without weekly shipments to Auckland experience and integrity. Harald its door-to-door service provides having to change them to right- departing from Los Angeles, New Hermans, our managing director, security and peace of mind. hand-drive. York, London, Sydney, Melbourne has 30 years’ experience in shipping. “Car importers and dealers “That has changed the mix in and Brisbane. “Our team’s experience means know what they will get and containers. These later model vehicles The company can also offer if something can be done, we’ll do there are no hidden surprises,” represent a mix between dealerships Tauranga, Napier, Wellington, it and we’ll do it right.” About the company Get in touch CFR Line (NZ) Ltd’s Customs-bonded modern storage and handling facilities for CFR Line NZ Ltd is based at storage area and MPI-approved inspection cargo and specialised products, from 270 Neilson Street, facility in Penrose is a one-stop shop. carpets to bulk paper and food. Penrose, Auckland. Unusual items imported have included A well as offering reverse fibreglass rhinoceroses destined for logistics and inventory freephone promotional use outside high-street carpet management, the company is also 0800 237 393 stores and a 1960 Pontiac hearse, about Placemakers’ logistics provider. the size of three modern cars. The Customs email CFR Line offers weekly caravan and brokerage side’s [email protected] camper shipping services from its UK depots industry-leading systems in Ipswich, Hull and Southampton. ensure efficient clearance, while the air web Its warehousing and distribution arm offers freight operation offers competitive rates. www.cfrline.co.nz VEHICLES WANTED DEALERS BUYING NOW News in brief Japanese claim global first for recycling battery metals The world’s first process to reuse earth metals from nickel-metal hydride Audi VW batteries in new ones has been created by Honda. The marque extracts an oxide containing rare metals from used WE PURCHASE NZ NEW CARS AND COMMERCIALS FOR ALL OUR FRANCHISES batteries at Japan Metals & Chemicals (JMC). Brett Harris 029 293 1232 By applying molten salt electrolysis to the oxide, Honda takes out [email protected] www.farmerautovillage.co.nz metallised rare earth to use as negative-electrode materials in batteries. The material extracted is more than 99 per cent pure, which is as high as rare earth metals newly mined. vehicles wanted The process also removes more than 80 per cent of rare earth metals in nickel-metal hydride batteries. The metals are being reused in hybrid- vehicle batteries. When enough volume is secured, Honda will apply the same process JAGUARS, LAND ROVERS, RANGE ROVERS, RENAULTS AND VOLVOS to recycle rare earth metals from used nickel-metal hydride batteries Phone JEREMY GATES - (021) 8999 21 collected by dealers when they are replaced. Fastest car on planet loses title – then gets it back Bugatti’s Veyron Super Sport, pictured, was once again world’s fastest car, one week after being stripped of its title. VEHICLES WANTED Guinness World Records officials withdrew the title last month amid Always buying NZ new cars revelations it had been tampered with. and commercial vehicles. Engineers removed its speed limiter to We buy nationwide. allow it to reach 431kph in 2010.

Phone Taylor Campbell 027 600 5600 [email protected] But they back-flipped after a technical review and stated, “Guinness World Records is satisfied a change to the limiter didn’t alter the fundamental design of the car or its engine”. The topless Veyron Grand Sport Vitesse was recently named the world’s fastest convertible after hitting 408kph. A LWAYS B U Y I N G GOOD NZ NEW VEHICLES More jobs to be created by parts distribution centre Yuji Nakamine, senior managing executive officer of Mazda Motor Corporation, has officially opened a new parts distribution centre. Having outsourced its parts supply and distribution for 14 years, Mazda Call Guy Walker 021 992 048 NZ decided to take the service back in-house. Andrew Clearwater, managing director of Mazda NZ, says parts logistics is integral to providing a full service to customers and will strengthen the VEHICLES WANTED brand’s market share. “With more than 240,000 Mazdas on New Zealand roads, this cutting- edge facility will enable us to respond faster.” The facility next to the marque’s head offices in Mt Wellington, Auckland, boasts 5,000sq m of space and a 1,100sq m all-weather canopy.

ALL PORSCHE, LAND ROVERS, RANGE ROVERS, JAGUARS AND VOLVO MODELS It will create new employment opportunities over the coming months. Simon O’Reilly I 021 31 9992 I [email protected] I www.armstrongprestige.com

Award-winning compact MPV heads to these shores Kia has won a hatful of accolades in an international competition, including Mitsubishi • Mercedes Benz • Honda “best of the best” for the pro_cee’d, its European three-door sports hatch. Hyundai • Isuzu Utes www.inghamdriven.com SsangYong • Great Wall The Korean marque also won Red Dot design titles for the cee’d five- Karl Briggs 0274 721 551 We purchase NZ new cars & commercials. door, cee’d Sportswagon and Carens compact MPV. [email protected] All makes & models. Anywhere in NZ. Kia Motors NZ is scheduled to launch the Carens here later this year, and is studying performance versions of the pro_cee’d and cee’d for limited release. High demand for scooters boosts two-wheel market Buying: Vans, Utes, Light Trucks. Nationwide. On-road motorcycles sales rounded out a positive market overall last Contact Gareth 021660180 [email protected] www.317.co.nz month, with sales up by 23 per cent over April 2012. Year to date, on-road bike registrations are up 15 per cent, driven largely by growth of 32 per cent in the scooter, or sub-60cc, class. To advertise here, contact: Ph 14021 | www. 455autofile 775.co.nz advertising@autoﬁ le.co.nz Powering back into production ord Australia has returned to finished at the 45-acre facility at This GT was Broadmeadows’ first Ford-built FPV full GT production after 37 Broadmeadows. years, with FPV now based By bringing production in- Powered by the high-performance With up to 335kW of power, the atF an assembly plant north of house, Ford is eliminating the four-litre turbo-charged DOHC five-litre Miami V8 the FPV GS and Melbourne. double-handling of vehicles, while 24-valve in-line six, the F6 can GT range meets FPV’s stringent President Bob Graziano says FPV their exhaust vacuum tubes can produce 310kW of power and performance requirements. is the “ultimate version of the Falcon be fitted on the production line to maximum torque of 565Nm. Based on the Coyote five- and we’re excited to have taken over remove the need to reassemble To achieve the 40kW increase litre in the Mustang GT, the assembly of these machines”. further down the line. over Ford’s XR6 Turbo variant, FPV Miami has a quad-cam 32-valve Ford’s history with performance As the brand responsible for strengthened the piston design head combined with a Harrop vehicles goes back a long way and tuning the blue oval’s locally and cranked up the boost. supercharger to produce 335kW nameplates – such as the GS and produced Falcon models, FPV has A new intake system has and 570Nm in GT guise. GT – have now been welcomed created performance Fords since improved airflow from the intake At the end of last year, Ford back in-house. 2002, including the BA Boss GT and to the engine head inlet, which bought the FPV assets to engineer, “The F6 range features the GT R-SPEC. reduces pressure drop without manufacture and market the brand most potent version of our locally The FPV range currently consists losing boost capability. in Australia. developed i6 engine and it’s a buzz of three six-cylinder and five V8 The F6 has fuel consumption The first entirely Ford-built FPV to be completing these cars for the models, with the turbo-charged figures of 12.3l/100km in manual to come off the Broadmeadows first time,” says Graziano. F6 sedan, F6E and F6 ute boasting transmission and 12.1l/100km with assembly line was a silhouette Each FPV is now hand- 310kW of power. the automatic. black GT. Lending laws in place VEHICLES WANTED ew legislation will crack licensed, and goods cannot be down on unscrupulous repossessed unless consumers are lenders “who prey on identified in contracts. Mercedes Benz Ndesperate people and leave them Meanwhile, the government Volkswagen trapped in a spiral of debt”. will exempt unregistered vehicles The Consumer Credit and operating under trade plates from BMW Financial Services Law Reform Bill, road-user charges (RUC). often touted as the loan shark laws, is The Motor Trade Association Audi the biggest overhaul for a decade. (MTA) says the Ministry of Transport “The changes usher in an era advised industry groups on April Lexus where lenders must act responsibly, 24 as part of a move to extend consumers have the information exemptions on vehicles not required Toyota they need and where there are to be registered. significant consequences for those Dougal Morrison, general Nissan who breach the law,” says Craig Foss, manager of advocacy and training Chrysler Minister of Consumer Affairs. at the MTA, says: “The government Lenders have to take has recognised it’s not possible Jeep responsibility for the effect of credit to issue distance licences to they provide, can only lend when the unregistered vehicles.” Dodge loan meets borrowers’ requirements The government will bring in an and repayments should cause no annual charge of $245, excluding We are always looking to purchase late model substantial hardship. Companies GST, for trade plates on heavy NZ NEW CARS AND COMMERCIALS can be banned for failing to lend vehicles in addition to existing responsibly and a code of responsible charges associated with trade plates. PAUL CURIN 0274 333 303 [email protected] lending will be introduced. The RUC exemption should be in There will be better controls on place in late 2013 or early 2014, with misleading adverts, repossession the annual charge coming into effect miles motor group agents and employees will be on January 1.

www.autofile.co.nz | 15 tech report

The iMviA Technical report is proudly brought to you by leading certiﬁ cation service provider, viNZ from the trade and for the trade Controlling loss of traction s some dealers may DSC is used by the control system (PSC). In 1997, a Swedish journalist or may not be aware, Rover Group, BMW, The history of ESC rolled an A-Class Mercedes-Benz the Safer Journeys Mini, Land Rover, Range goes back to the late at 78kph during one of these tests. initiativeA released by the Ministry Rover, Skoda and 1980s when BMW This resulted in the manufacturer of Transport (MoT) indicates Jaguar. and Mercedes-Benz recalling 130,000 A-Class vehicles there may – in the future – be a In addition to DSC, introduced traction to retro-fit them with ESP. requirement for vehicles entering Mazda has dynamic control systems. The European Union (EU) has the New Zealand fleet to be traction control (DTC), MALCOLM YORSTON These worked by now mandated the fitment of ESC IMVIA Membership and equipped with electronic stability while Volvo has ESP and Technical Services Manager applying individual to all new model cars introduced control (ESC). dynamic stability and wheel braking from November 1, 2011. This computerised technology traction control (DSTC). and accelerator control while No existing models without ESC controls vehicle stability when it ESP is also used by Holden, Audi, accelerating to prevent loss of are permitted to be sold new in the detects a loss of traction through Chrysler, Mercedes-Benz, Saab and traction to the drive wheels. EU after the end of 2013. skidding. Volkswagen, while Maserati stability In the early 1990s, Mercedes- In the US, the National Highway The loss of traction is programme (MSP) and Porsche Benz developed its Elektronisches Traffic Safety Administration controlled by applying the brakes stability management (PSM) are Stabilitätsprogramm, which required all new passenger vehicles to individual wheels via the anti- self-explanatory. translates as electronic to be equipped with ESC by 2012. lock braking system to modulate Vehicle dynamic control (VDC) stability programme and was ESC is a passive system. It braking as required. is utilised by Subaru and Nissan, trademarked as ESP. continually monitors steering and Some ESC programmes will and Honda has vehicle stability This was introduced to the other factors to detect the angle also moderate engine speeds as assist (VSA). market in the S-Class (W140) in the driver has the steering wheel part of the control system – while Toyota and Lexus have vehicle 1995 and BMW followed later that at, which indicates the direction these systems do not improve the stability/swerve control (VSC) year with other manufacturers the driver intends to go. vehicle’s cornering ability, they and vehicle dynamics integrated progressively following suit. It also monitors the actual help minimise loss of control. management (VDIM). Another development in the direction the car is travelling, The Rightcar website lists StabiliTrak is used by General 1990s was the Moose-Test, when which is monitored by lateral manufacturers’ names with Motors, Buick and Pontiac, while vehicles had to manoeuvre around accelerometers and vehicle yaw acronyms of their ESC systems, Oldsmobile has its precision obstacles at prescribed speeds. and individual wheel speeds. and there are many different ones Only when the ESC senses After a 1997 A-Class was rolled at around the world. 78kph, Mercedes-Benz recalled the vehicle isn’t going where the Mitsubishi’s are active stability 130,000 models to retro-fit ESC driver is intending it to – over steer control (ASC) and active skid or under steer – will it intervene and traction control multimode and apply braking to individual (ASTCM), while Ferrari’s is wheels as required to bring the car controllo stabilita (CST). under control. Ford’s system is called This may also result in reducing AdvanceTrac with roll stability the power supplied by the engine control (RSC). to the wheels. The blue oval also has interactive Motorists shouldn’t rely on vehicle dynamics (IVD) and ESC but should employ good electronic stability programme (ESP), driving practices to eliminate the and dynamic stability control (DSC), possibility of getting into situations which is only available in Australia. that activate these systems.

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16 | www.autofile.co.nz sales talk

Selling systems PROTECTA Nationwide F & I results April 2013 indispensable 18%

Finance 42% ’ve heard this the system works – remark a number McDonald’s can make of times: “I have my almost everyone into a 11% Iown style of selling.” productive employee. Payment Payment It usually comes from The truth is good protection 25% New relatively inexperienced systems make people Used sales people. effective. It’s like a 10% What they normally football game. No GAP GAP mean is something like: Ray Meharg coach says: “Okay, 27% “I don’t have any National sales manager go out and figure real system, I don’t Vehicle sales out how to be 12% want scrutiny survey successful.” and I’m probably A coach Insurance 18% Best result $995 not going to About customers develops a best Worst result $385 learn anything % have a vehicle now or will way to tackle, get one soon. from you.” 95 pass, catch and

want to drive the vehicle MBI How valid is % so on, develops before buying it. 30% this position? 99 the system, % decide to buy before Does every sales creates a game leaving home. 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% person have a 85 plan and teaches % of people who look at a car unique style, or 78 buy one. the players what are they trying they are. to hide from At the dealership Similarly, a % stated they were “just looking” accountability selling system 83 when approached by sales under this cover? people. addresses Let’s consider % said the sales person didn’t interaction the concept of a 85 guide or direct the sale, failed between the “selling system”. to qualify their needs and sales person McDonald’s didn’t build rapport. and customer to didn’t grow its % received a poor presentation provide a game business by 88 and demonstration. plan for success. asking staff to Making the purchase Think of it figure out how % bought on the spot after as a template to do the job. 50 receiving a good presentation for the sales They work on and demonstration. person’s face- the basis there’s % purchased a car within one to-face tactical week after shopping at the a “best way” to 90 encounters. first dealership. Adding greet customers, When it comes % who didn’t buy were never take an order, sell to selling, there 90 contacted after leaving the trader. extras and cook are principles, value we can a burger. When they did buy processes and They figured % couldn’t remember the sales tools that are person’s name a year later. out the best 82 more effective % were never contacted again measure and way, got the than others. about buying another vehicle. required tools 90 To be % had no plans to buy from and documented 85 the same sales person or effective in effective sales, sooner you can bank dealership again. processes – and % had a family member or close or later you’ll train everyone to 62 friend who wanted to buy need to develop do it that way. within six months. a system. If As a result, % bought the same product you need Freephone: 0800 435 7868 people work 58 they looked at on the first visit. help, contact a [email protected] • www.protecta.co.nz the system and Source: Vehicle Sales Academy specialist.

www.autofile.co.nz | 17 disputes

The case: The buyer asked the Dealer’s rusty doors defence hinged seller to repair some rust, which was noticed a few months after purchase, on vehicle being old and safe to drive on the doors of a BMW. The decision: The dealer refused to do so and offered Background It was, however, willing to areas, repaint the doors’ inner to get the vehicle fixed at the Kogilan Naidoo bought a BMW have the rust removed at trade areas and refit them. customer’s expense at trade rates, but this failed to meet the trader’s 318i from Vital IP Ltd, trading as prices at a fraction of the quote The adjudicator and obligations under the Consumer Metro Automotive, on November and less than the amount Naidoo assessor inspected the BMW in Guarantees Act (CGA). 13, 2012. indicated he was happy to share a car park. The natural light in The Motor Vehicle Disputes He wanted to recover the with Vital IP. the building wasn’t particularly At: Tribunal, Auckland. costs of repairing rust, estimated Naidoo then went to S&J Panel good, but it was possible for the at between $2,000 and $2,576, Beaters Ltd, which quoted $2,000 rust to be seen. and said the vehicle wasn’t of to replace all four doors with All four doors were affected a reasonable consumer would acceptable quality in terms of second-hand ones, paint them by surface corrosion and or regard as acceptable. the CGA. and blend the paint into the front perforated corrosion of the panel Tharani’s submission might Vital IP said the car was an eight- and rear guards. seams: have been correct in the case year-old import from Singapore, Amyn Tharani, the trader’s  Along the vertical trailing edge of an old, cheap car when the had travelled 106,800km and was manager, said there was no of the front doors. presence of surface rust wasn’t sold for $12,800. reason his company couldn’t sell  Along the leading edge, a WOF or safety issue, but that Naidoo inspected the BMW a car with cosmetic defects and trailing edge and a large wasn’t the situation in this case. twice and if the cosmetic condition the selling reflected the vehicle’s portion of the lower edge of The tribunal ruled the car was unacceptable, he shouldn’t condition. the rear doors. didn’t comply with the guarantee have bought the vehicle. He said the BMW went of acceptable quality when sold. Vital IP added it was safe to use through compliance on October The finding There was no dispute whether because it was sold with a warrant of 16, 2012, with no rust issues, but In deciding if the car complied or not Naidoo had required Vital fitness (WOF) and it wasn’t required acknowledged it had rust on the with the guarantee of acceptable IP to remedy the rust. He did and to supply a rust-free vehicle. weld seam of all doors and that it quality when sold, the tribunal Vital IP’s position was it didn’t was visible. considered it was eight years old think it was its responsibility. The case Tharani emailed Naidoo on and had travelled 106,850km Vital IP refused to repair Naidoo test drove the car once, February 11 to say Vital IP could, when bought for $12,800. the rust at its own expense, inspected it twice and the trader at the buyer’s cost, have the rust It also took into account it had but offered to get it repaired repaired some minor faults removed and the doors repainted been used in Singapore’s sub- at Naidoo’s cost at trade rates. before selling it with a three-year using its repairer for $500 plus GST. tropical and corrosively harsh This failed to meet the trader’s mechanical breakdown policy. He also said, but didn’t record climate for eight years before obligations under the CGA. The buyer noticed rust along this in his email, that he told being imported in October 2012. Naidoo was entitled to have parts of the seams on the front Naidoo Vital IP would give him a The tribunal didn’t think a the failure remedied elsewhere doors on January 9, 2013, and two-year guarantee on the work, reasonable consumer buying and obtain from Vital IP all Gray & Galpin Panelbeaters Ltd which would’ve exceeded the 12 such a car would regard it reasonable costs incurred. initially orally quoted $1,400 to months normal given by the trade. acceptable to have rust on all He produced two estimates – repair and paint them. Naidoo didn’t accept this offer. four door seams within three Gray & Galpin’s for $2,576 and S&J Naidoo proposed the trader Tharani took the car to VTNZ months of supply. Panel Beaters’ for $2,000. pay half of the estimated repair, for a WOF on February 11 after it It didn’t accept Tharani’s The tribunal normally orders but Vital IP refused. had travelled 3,431km. submission a trader could sell a trader to pay the lower of two On January 16, Gray & Galpin It failed because Naidoo had a rusty car to a consumer, and estimates, but agreed with Tharani’s also found rust in the seams of changed the tyres and wheels, and that it was up to the consumer comments that S&J’s estimate both rear doors. It quoted $2,576 to his supplier had put the left rear to check and satisfy himself of its appeared unreasonably low. remove and replace all of the doors, tyre on the rim the wrong way. The condition. repair, paint and realign them. car also had an exhaust leak, but Applying the CGA to this Order Naidoo told Vital IP he was didn’t fail the WOF for rust. case, the rust rendered the car Vital IP Ltd was ordered to still prepared to pay half, but Tharani produced a quote of neither acceptable in appearance reimburse Naidoo’s repair costs up the trader again refused to $575 from Fairfax Panel & Auto and finish, nor free from minor to $2,576 on presentation of the contribute. Service Ltd to treat the rust-affected defects and not as durable as original GST repair invoice.

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18 | www.autofile.co.nz disputes

The case: The buyer of a Ford Tribunal dismisses buyer’s claim she Focus claimed the trader made false representations about the vehicle’s was told engine was chain-driven engine at the time of purchase. The decision: The tribunal needed to be satisfied – on the Background But the Allion hadn’t been December 2011, denied he balance of probabilities – the dealer Emily Lathole bought a 2004 Ford complied and Alphera Financial would have told them the car told the buyer the car was chain- driven, but it wasn’t convinced the Focus from Wheels on Wairau Sales Services needed the vehicle was chain-driven. owner was misled or deceived into Ltd for $13,990 on December 14, identification or registration Mr Rutherford, the trader’s thinking that. 2011. She claimed she was told it number to finance it. director, offered to replace or repair The Motor Vehicles Disputes had a chain-driven motor. Lathole discussed buying the the engine with the parties sharing At: Tribunal, Auckland. In February 2013, the vehicle Allion over the phone with Bartulovich the cost. The Latholes rejected that. failed and Lathole discovered it between December 10 and 14. The trader towed the car to wasn’t chain-driven. She claimed He allegedly told her the Focus its workshop on February 19. The Focus with its cam-belt motor. He the engine was misrepresented to was the same as the Allion, so she cam-belt tensioner bearing had was certain he didn’t tell them the her and sought remedy under the understood its engine was chain- collapsed causing misalignment, Focus was chain-driven. Fair Trading Act (FTA). driven and bought the Ford on which damaged all 16 valves. The trader denied this and said December 14. It replaced the engine and cam The finding Lathole might have been confused The couple didn’t test drive belt, cam-belt tensioner and idler, The tribunal needed to be satisfied by information she was given about a the Ford or have a pre-purchase and serviced the car. The cost was Bartulovich told the buyer the Focus Toyota Allion, which was chain-driven. inspection carried out. The $2,907. The Latholes had a loan had a chain-driven motor, but it It replaced the engine at its own cost. odometer was on 36,666km. car during the work, but said the wasn’t satisfied to the extent required The trader had the car serviced repairs weren’t agreed to by them. that he misled or deceived Lathole. The case on November 25 and placed a Ms S Rapley, the trader’s The tribunal accepted from Under the Motor Vehicle Sales Act, sticker on the windscreen showing administration manager and Lathole’s evidence she wasn’t and the tribunal can inquire into and the next service was due on May accountant, disputed that. didn’t claim to be mechanically determine claims between traders 25, 2012, or at 46,600km. She said the couple was willing knowledgeable. and buyers. The Latholes didn’t have the to have it repaired and Lathole’s It thought she was probably In doing so, it can apply the Sale of Focus serviced while they owned application stated “Stephen asked confused about which of the cars Goods Act, the FTA or the Consumer and drove it 30,766km. No service him [Bartulovich] if he would call she inspected was chain-driven. Guarantees Act to the matter. handbook was supplied and they his manager to arrange a courtesy This was because of the three In this application, the FTA didn’t research or ask if the car had car until the car was fixed”. vehicles she saw, and the two she applied because section nine a timing belt or chain. Rapley thought the Latholes test drove, only the Allion had a states: “No person shall, in Lathole’s husband said the car were confused about which cars chain-driven engine. trade, engage in conduct that’s made no unusual noises before they inspected in December 2011 The tribunal accepted that misleading or deceptive, or is likely its engine ceased on February 14, had a cam chain. Only the Allion Bartulovich, an experienced salesman, to mislead or deceive.” 2013, although she said it failed on had one, while the Tiida and Focus would know a 2004 Ford Focus didn’t In December 2011, Lathole and February 13. had cam belts. have a chain-driven motor. her husband Stephen decided to The car was towed from She said the Latholes rejected It added there was little point replace their 2001 Toyota Harrier Riverhead by Apex Automotive all offers, even trading in their in Bartulovich misrepresenting the with another second-hand car at a Services to its workshop in Porana repaired car for a Toyota Avensis, Focus because the truth would have cost of $12,000-$14,000. Road, Wairau Valley. which had done 44,000km, for a become evident when the Latholes On December 9, they visited the Apex’s undated letter stated change-over of $4,000. had the vehicle serviced and were trader’s yard, met Mr S Bartulovich it appeared the cam-belt had Instead, they wanted a straight advised to replace the cam belt. and said they wanted a chain- stripped. It found the car had swap of the Focus for the Avensis, The tribunal noted Lathole driven car. no compression on its four which the trader declined. hadn’t suffered any loss because the The salesman showed them a cylinders and it was suspected the Bartulovich told the tribunal car has been repaired by the trader Toyota Allion, Nissan Tiida and the valves were bent. The estimated he had been in the industry for at its cost. Even if she had been Focus. They claimed he told them replacement cost was $3,000. 44 years and was aware of the misled, there would have been no the Allion was chain-driven. The Latholes went to the trader difference between cam-belt and remedy for her because of this. The Latholes test drove the on February 13, 2013, and met chain-driven motors. Tiida, but didn’t like it, and the Bartulovich who, although he He said the Latholes agreed to Order Allion, which they decided to buy. couldn’t recall their discussion in buy an Allion, but then wanted the The application was dismissed.

www.autofile.co.nz | 19 industry statistics

Biggest Increases/Decreases by town year-on-year Around (April 2013 vs April 2012) Biggest Increases New Used the Rotorua  103.8% Whangarei  74.7% Nelson  37.0% Palmerston North 66.7% country Greymouth  28.6% Timaru  65.0% Biggest Decreases New Used TWO SAILINGS PER MONTH JAPAN TO NZ Westport  70.0% Greymouth  22.2% Car sales - April 2013 Oamaru  39.1% Napier  15.7% Dunedin  10.7% LATEST SCHEDULE Sepang Express Morning Miracle Hoegh Xiamen Sepang Express Passenger Vehicle Registrations Used Vehicle Registrations Port Calls New versus Used North Island versus South Island V5 V1 V17 V6

6000 5883 Osaka 30 Apr 20 May 30 May 16 Jun 8000 5000 Nagoya 1 May 21 May 1 Jun 17 Jun Used 7000 7418 North Island 4000 Yokohama 2 May 22 May 2 Jun 18 Jun

3000 6000 New Auckland 19 May 9 Jun 19 Jun 7 Jul 5907 2000 Wellington 24 May 13 Jun 23 Jun 11 Jul 5000 1535 1000 South Island Lyttelton 31 May 15 Jun 28 Jun 13 Jul 4000 v ‘12 v ‘12 Oc t ‘12 Feb ‘13 JuL ‘12 No Oc t ‘12 JA N ‘13 D EC ‘12 Feb ‘13 JuL ‘12 Jun ‘12 No Aug ‘12 Aug JA N ‘13 D EC ‘12 APr ‘13 Jun ‘12 Aug ‘12 Aug APr ‘13 MAY ‘12 MAY M a r ‘13 MAY ‘12 MAY M a r ‘13 SepT ‘12 SepT ‘12 DOOR TO DOOR SERVICE GENEROUS REWARDS Used Import Passenger Vehicle Registrations by City INCLUDING: PROGRAMME Auckland, Wellington, Christchurch Hamilton, Tauranga, Dunedin, Palmerston North  4500 MAF Border inspection Ship your motor vehicles on 600 4000  Odometer certifi cation Armacup vessels and you 3676 3500 500 448  can earn seamiles points for 3000 Digital Photography for prior sales in NZ 400 Auckland air travel (only applicable to 2500 Hamilton  NZ Customs clearance 300 2000 306 used imports) Tauranga  Delivery Nationwide 1500 200 216 Vehicles sold Vehicles Vehicles sold Vehicles Dunedin Christchurch 190 1000  989 100 Insurance 500 669 Palmerston Nth Wellington 0 0 v ‘12 v ‘12 Oc t ‘12 Feb ‘13 JuL ‘12 No JA N ‘13 D EC ‘12 Jun ‘12 Aug ‘12 Aug APr ‘13 Oc t ‘12 Feb ‘13 MAY ‘12 MAY JuL ‘12 M a r ‘13 No JA N ‘13 D EC ‘12 Jun ‘12 Aug ‘12 Aug APr ‘13 SepT ‘12 MAY ‘12 MAY M a r ‘13 SepT ‘12 PHONE 0800 ARMACUP (276 2287) or 09 303 3314 EMAIL [email protected] NZ SALES OFFICE Our premium online service. SIGN UP FOR FREE! Telephone: +64 9 257 0050 BECOME A MEMBER AND ENJOY THESE EXCLUSIVE BENEFITS: Email: [email protected] www.armacup.co.nz ✓ Exclusive opportunities to buy direct from Japan. ✓ Hundreds of vehicles! Two shipments each month. NZ CUSTOMER SERVICE CENTRE ✓ ✓ Get exclusive access to AutoTerminal’s latest purchases. Get the best prices, based on Japan direct pricing, in $NZD. Telephone: +64 9 257 0070 ✓ Buy with confidence! Our vehicles are risk-free, with a ✓ View a wider range of vehicles, including AutoTerminal’s Email: [email protected] seven day right of return. in-transit and unshipped vehicles. ✓ We are New Zealand owned and operated, and off er a full New Zealand-based support service. www.autoterminal.com

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LATEST SCHEDULE Sepang Express Morning Miracle Hoegh Xiamen Sepang Express Port Calls V5 V1 V17 V6 Osaka 30 Apr 20 May 30 May 16 Jun Nagoya 1 May 21 May 1 Jun 17 Jun Yokohama 2 May 22 May 2 Jun 18 Jun Auckland 19 May 9 Jun 19 Jun 7 Jul Wellington 24 May 13 Jun 23 Jun 11 Jul Lyttelton 31 May 15 Jun 28 Jun 13 Jul

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YOUR FIRST CHOICE IN SHIPPINGwww.autofile.co.nz | 21 www.heiwa-auto.co.nz Used imports break 10k barrier he number of used cars and 6,504 with 6,613 last April. unit registered,” he says. “Sixty- March and 7,416 in April. The totals brought into New Zealand The year-to-date total is 32,144, five record 100 or more units for the same months of 2012 were reached its highest level in a monthly average of 8,036, so registered, 82 per cent of the total. 6,403, 6,021, 6,457 and 5,909. nearlyT five years last month – and a if current trends continue used “It’s obvious the top end is The Audi Q7 is leading the bumper May is being predicted. imports could top 96,000. competitive. There are just five makes stakes for diesels, with 65 units The sector’s performance in Autofile understands, from or models with 1,000-plus registered imported so far this year, followed April backed up strong results reliable industry sources, May will and the numbers are close.” by the BMW X5 on 49 and Land achieved by the new car and be a bumper month with 12,000 The top-runner, Toyota’s Corolla, Rover’s Range Rover on 35. commercial vehicle markets. vehicles or more predicted to cross has registered 1,422 units. In fifth Year to date, 1,517 used diesels Last month, 10,539 used the border. position is the Nissan Tiida with 1,203. have crossed the border compared passenger vehicles crossed the But after that, expectations are Sandwiched between them to 492 over the same time in 2012. border. The flood of arrivals flowed yards will be full and the supply are the Mazda Demio on 1,353 And more hybrids have been through with 7,418 units sold, chain will settle for a time. units, Suzuki’s Swift on 1,336 and imported – 111 compared to 69 by which was a 26 per cent increase John Nicholls, auto industry Mazda’s Axela on 1,285, with the April last year. over April 2012. consultant, says to the end of April Swift coming first in April with The yen’s exchange rate, with Year to date compared with last there were more than 700 separate 351 units. the dollar’s value increasing up year, used imports are 51 per cent makes or models of imported used This year’s total for used petrol- to 30 per cent since December, is ahead and sales are up by 19 per cent. cars registered in New Zealand. fuelled vehicles comes to 29,183 one reason why used imports are This year started with 4,485 His year-to-date statistics show compared to 24,470 between running at high levels. used imports in January, followed there are 118 diesel models, 698 with January and April 2012. But trade is also being encouraged by 8,268 in February and 8,852 in petrol engines and nine hybrids. The monthly aggregates for by more compliant stock being March. The corresponding monthly “There are 761 makes or petrol cars this year are 7,343 in available and the buoyancy of the totals in 2012 were 3,191, 4,920 models and 291 record only one January, 6,895 in February, 7,529 in used car market here. Used import passenger vehicles arrivals 11000 10000 9000 8000 7000 6000 2010 5000 2013 4000 2011 3000 2012 2000 2009

JAN FEB MAR APR MAY JUN JUL Aug Sept Oct Nov Dec

Used Import Passenger Vehicles By Country Of Export

Country of 2013 2012 2011 Export Monthly Market JAN ’13 Feb ’13 Mar ’13 APr ’13 2013 TOTAL Market Share Q1 Q2 Q3 Q4 2012 TOTAL Share 2011 total % Total Australia 113 126 157 176 573 1.7% 276 302 275 346 1199 1.6% 1015 1.2% Great Britain 293 195 194 221 903 2.1% 601 704 618 807 2730 3.7% 1573 1.8% Japan 3940 7821 8401 10006 30168 94.9% 13441 19841 15152 19008 67442 92.6% 83534 95.2% Singapore 11 14 6 8 39 0.1% 31 48 45 30 154 0.2% 327 0.4% Usa 94 90 83 106 373 1.0% 222 235 227 292 976 1.3% 976 1.1% Other countries 33 22 11 22 88 0.2% 44 123 64 105 336 0.5% 287 0.3% Total 4484 8268 8852 10539 32144 100.0% 14615 21253 16381 20588 72837 100.0% 87712 100.0%

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22 | www.autofile.co.nz Proud to sponsor the SecondHand Car Sales Statistics Healthy jump for dealer sales ales of second-hand cars are It recorded a 53.8 per cent in the motor industry back in 1975. is starting to hot up with a bit more continuing to perform well, increase in trade-ins from 80 to 123 “It has also been a successful inquiry, which has jumped up across with last month returning units and private sales rose by 15.5 harvest and the weather has been the board in the past two months. goodS figures. per cent from 316 to 365, so Autofile playing ball,” he adds. “It’s a case of having good There were 16,067 dealer-to- spoke to some dealers in the town. Andrew McKendry, of second-hand stock on the yard, but public transactions in April, which Phil Brown, of Phil Brown McKendry Motors, says the used it’s busy and feeling good. It feels was a 15.3 per cent improvement Motors, says business so far this trade can be tough going at times, like trade will stay busy.” on April 2012’s total of 13,935. year has been okay, “ticking along”, although the past few months Nelson recorded the second Public-to-dealer sales recorded with a good April. have been a bit better with later highest percentage increase in a healthy increase of 17 per cent “I sell a lot of hatchbacks up models and good stock. dealer-to-public transactions, – from 11,224 in April last year to to about $12,000 and a bit of The business has another yard making it a one-two for the top of 13,136 last month. everything,” he says. to cater for the market of less than the Mainland. Private sales also increased, “Walk-in trade is up and down – $12,000 and that has been doing Its 332 sales recorded last but by a more modest 5.3 per cent one week it will be busy and then “great” trade. month were up by 33.3 per cent on from 36,156 transactions in April it’ll be quiet. “That’s the market where people April 2012’s total of 249. 2012 to 38,061 last month. “Internet inquiry is much the have got money and being a dealer, Napier was third with a 28.2 Blenheim recorded the same. It seems to go from being no- we stand behind our vehicles,” he says. per cent increase from 429 to 550 country’s biggest percentage rise one’s looking to a lot of inquiries.” “Many people still prefer dealer transactions. over that reporting period for It was another “beautiful blue over private transactions and When it came to trade-ins, dealer-to-public sales. day in paradise” when Autofile buyers are starting to spend again. Palmerston North recorded the Last month’s total came in at called and days like that always Inquiry is up big time.” biggest percentage rise. Its 1,098 187, which was 40.6 per cent up on help says Brown, who established Jared Morris, director of Wadsco transactions last month rose by 69.7 April 2012’s total of 133 sales. the business in 1996 and started off Motorworld, says: “The used market per cent from 647 in April 2012.

Secondhand car sales - April 2013

Dealer-To-Public Public-To-Public Public-To-Dealer Apr '13 Apr '12 +/- % MARKET SHARE Apr '13 Apr '12 +/- % Apr '13 Apr '12 +/- % Whangarei 526 440 19.5 3.27 1603 1467 9.3 299 275 8.7 Auckland 5329 4639 14.9 33.17 13204 12717 3.8 4221 3800 11.1 Hamilton 1361 1209 12.6 8.47 2898 2806 3.3 1295 1091 18.7 Thames 185 168 10.1 1.15 413 455 -9.2 86 112 -23.2 Tauranga 782 714 9.5 4.87 1985 1845 7.6 581 504 15.3 Rotorua 260 214 21.5 1.62 713 562 26.9 145 132 9.8 Gisborne 173 141 22.7 1.08 343 351 -2.3 104 94 10.6 Napier 550 429 28.2 3.42 1328 1229 8.1 441 344 28.2 New Plymouth 402 380 5.8 2.50 963 926 4.0 280 233 20.2 Wanganui 174 182 -4.4 1.08 433 356 21.6 159 138 15.2 Palmerston North 761 677 12.4 4.74 1523 1461 4.2 1098 647 69.7 Masterton 164 141 16.3 1.02 334 315 6.0 109 93 17.2 Wellington 1389 1275 8.9 8.65 2843 2655 7.1 1183 1086 8.9 Nelson 332 249 33.3 2.07 901 835 7.9 249 203 22.7 Blenheim 187 133 40.6 1.16 365 316 15.5 123 80 53.8 Greymouth 74 80 -7.5 0.46 164 183 -10.4 44 57 -22.8 Westport 30 40 -25.0 0.19 76 87 -12.6 - - - Christchurch 2086 1739 20.0 12.98 4878 4589 6.3 1784 1479 20.6 Timaru 230 188 22.3 1.43 492 502 -2.0 150 118 27.1 Oamaru 65 52 25.0 0.40 159 158 0.6 19 12 58.3 Dunedin 631 515 22.5 3.93 1523 1490 2.2 452 426 6.1 Invercargill 376 330 13.9 2.34 920 851 8.1 314 300 4.7 NZ total 16067 13935 15.3 100.00 38061 36156 5.3 13136 11224 17.0

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www.autofile.co.nz | 23 Passenger Car Sales by Private/Business split (Does not include SUVs) Make Private % Private Business % Business Total Swift swoops Alfa Romeo 2 25.0 6 75.0 8

Aston Martin 1 50.0 1 50.0 2 Audi 20 25.0 60 75.0 80 into top spot Bentley 2 100.0 0 0.0 2 he number of new its real-value pricing policy, 12 BMW 48 50.5 47 49.5 95 passenger vehicles sold months’ on-road costs and extras,

Chery 0 0.0 6 100.0 6 fell slightly last month such as five years’ roadside assist. comparedT to March, while Suzuki “By making the price as Chrysler 4 80.0 1 20.0 5 knocked the Corolla off the top of attractive as we can in the market, Citroen 4 22.2 14 77.8 18 the models table. we remove some of the need for

Daihatsu 31 67.4 15 32.6 46 In April, there were 3,620 the haggle. Customers see the registrations, excluding SUVs, of value upfront and Swifts hold onto Dodge 10 47.6 11 52.4 21 which 2,026 – or 57 per cent – resale values.” Ferrari 1 100.0 0 0.0 1 were business sales. Collins told Autofile strong

Fiat 5 50.0 5 50.0 10 The March total was 4,028 with private-sector transactions drive 58.8 per cent – or 2,369 units – more business to dealerships Ford 99 30.7 224 69.3 323 being sold to businesses. instead of the marque being Geely 1 100.0 0 0.0 1 Toyota retained top spot with involved in more sales.

Holden 144 33.9 281 66.1 425 404 sales, with 68.6 per cent – or He says the Swift’s widespread 393 – being business. April’s total appeal can be traced back to the 2005 Honda 113 54.6 94 45.4 207 was down on 840 sales in March. model, which featured much stronger Hyundai 95 36.1 168 63.9 263 Holden came second with 425 styling more akin to the current car.

Jaguar 2 40.0 3 60.0 5 units. Of those, 281 were business – “People like the look of the or 66.1 per cent – and last month’s Swift. When they drive one, the Kia 63 40.4 93 59.6 156 total was up from 417 in March. drive matches the styling by Lexus 9 69.2 4 30.8 13 Suzuki’s sales in April totalled performing and handling very well.”

Maserati 2 100.0 0 0.0 2 404, down 50 units on the However, it’s not just private previous month, with 237 private buyers seeing the Swift’s strengths. Mazda 114 47.3 127 52.7 241 registrations making up 58.7 per Business sales remain strong. Mercedes-Benz 35 41.2 50 58.8 85 cent of its total. For example, Kapiti Coast District

Mini 16 50.0 16 50.0 32 The Swift outsold the Corolla for Health Board has a couple of the first time this year by 307 units hundred Swifts in its fleet. Mitsubishi 73 67.6 35 32.4 108 to 287. That was a 34.6 per cent Collins says: “It has also got a Nissan 40 44.4 50 55.6 90 jump on 228 units in April 2012 for lot going for it with fleet operators

Peugeot 32 43.2 42 56.8 74 a market share of 5.2 per cent. because drivers enjoy the product The Swift has now sold 1,136 units and look after it.” Porsche 7 63.6 4 36.4 11 this year for a 4.4 per cent market Instead of offering a discount Renault 2 50.0 2 50.0 4 share, compared to 1,750 Corollas. structure to attract more business

Skoda 9 20.5 35 79.5 44 “It’s a great result for us to take sales, Suzuki’s “sharp retail prices” have top spot with the Swift,” says Gary impacted more in the private market. Ssangyong 0 0.0 2 100.0 2 Collins, Suzuki’s general manager That said, for smaller fleets Subaru 13 30.2 30 69.8 43 of automobile marketing. “This the Swift is a “great sign-written

Suzuki 237 58.7 167 41.3 404 happened a number of times last mobile billboard”. year, but it’s the first time this year. Back to the statistics, Ford Toyota 180 31.4 393 68.6 573 “The Swift has got such a retained fourth spot with 323 sales Volkswagen 138 66.3 70 33.7 208 general appeal to people of all in April, of which 224 – or 69.3 per

Volvo 6 50.0 6 50.0 12 ages, and men and women. cent – were business. “It’s largely sold to the Hyundai was fifth with 168 Total 1558 43.0 2062 57.0 3620 private market because of the business sales amounting to 69.3 *Business sales include rental and government sales, and the totals include passenger cars only. SOURCE: MIA attractiveness of the product range, per cent of its 263-unit total.

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24 | www.autofile.co.nz New vehicle sales buoyant UVs continue to be the vehicle the Suzuki Swift with 307 sales, accepted and there’s good stock good and getting a lot of inquiry.” of choice for many buyers, with followed by Toyota’s Corolla on after some initial issues. The dealership racked up 28 the segment securing 27.7 per 287. Third-equal position went to “Interest has always been there sales in April when combining its centS of total registrations last month. Mazda’s CX-5 and Toyota’s RAV4, with new models and year to date Holden and Suzuki marques. This was followed by the each notching up 205 sales. there has been some solid growth.” “Last month was good for us pick-up and chassis-cab segment, Autofile contacted some The growth of the SUV market is in new vehicle sales and the level which accounted for 19 per cent franchises in Blenheim to see how being mirrored at the dealership, with of inquiry is carrying on for us this of registrations. trade is tracking. CX-5 sales “as strong as they ever have month, but it was softer at the start New passenger car sales, Andrew McKendry, of McKendry been”, while getting diesel models in of the year,” says Morris. excluding SUVs, were up by 1.6 per Motors, says sales of new vehicles stock will further boost this. “Across the country, trade seems cent. There were 3,620 registrations have been very good. “The Mazda 2 and Mazda 3 have indifferent in some places and busy last month compared to 3,562 “Passenger and commercial always been strong for us,” says in others. It’s been busy here.” during April 2012. vehicle sales are growing again, McKendry. “Mazda has been doing The SUV and light commercial Toyota topped the charts with which is great to see,” he enthuses. good promotions on both models markets have been performing 19.3 per cent of registrations with “The commercial sector has and the interest is there. The Mazda 3 well, and the Commodore has 1,477, of which 918 were cars and been good this year. The grape has been huge for Blenheim. been popular. 559 were commercials. growers getting cheques for a “The new Mazda 6 is getting some “In our market, we have a big Holden was second in the car change means they’re happy and traction and those three models are market share with the Swift making segment with 588 registrations, there’s confidence in the market. ticking along quite happily.” up 30 per cent of sales up to the followed by Hyundai with 542. “The BT-50 has taken a bit Jared Morris, director of Wadsco end of March, so it’s an important The top-selling car model was longer than expected to get Motorworld, says: “We’re going pretty vehicle for us,” says Morris.

NEW VEHICLE SALES BY BUYER TYPE - April 2013 NEW VEHICLE MARKET SEGMENTATION - April 2013

Apr '13 Apr '12 Mth % 2013 YTD 2012 YTD % YTD Apr '13 Apr '12 Mth % diff 2013 YTD 2012 YTD % YTD Passenger 3,620 3,562 1.6 16,214 16,930 -4.2 Passenger 3,620 3,562 1.6 16,214 16,930 -4.2 Private 1,558 1,502 3.7 6,363 6,233 2.1 SUV 2,252 1,818 23.9 9,521 7,859 21.1 Business 1,787 1,766 1.2 7,577 8,031 -5.7 Light Commercial 1,941 1,408 37.9 7,950 5,489 44.8 Gov’t 217 273 -20.5 847 990 -14.4 Heavy Commercial 281 209 34.4 1,004 880 14.1 Rental 58 21 176.2 1,427 1,676 -14.9 Other 49 24 104.2 171 172 -0.6 TOTAL MARKET 8,143 7,021 16.0 34,860 31,330 11.3 SUV 2,252 1,818 23.9 9,521 7,859 21.1 Private 950 686 38.5 3,688 2,916 26.5 Light 1,129 1,126 0.3 5,060 4,767 6.1 Business 1,247 1,078 15.7 5,399 4,479 20.5 Small 1,483 1,358 9.2 6,579 7,110 -7.5 Gov’t 45 43 4.7 178 183 -2.7 Medium 527 594 -11.3 2,371 2,694 -12.0 Rental 10 11 -9.1 256 281 -8.9 Large 317 344 -7.8 1,433 1,626 -11.9 Light Commercial 1,941 1,408 37.9 7,950 5,489 44.8 Upper Large 16 5 220.0 82 50 64.0 Private 367 273 34.4 1,553 1,036 49.9 People Movers 38 37 2.7 226 238 -5.0 Business 1,442 987 46.1 5,774 3,898 48.1 Sports 110 98 12.2 463 445 4.0 Gov’t 89 126 -29.4 416 404 3.0 SUV Small 460 402 14.4 2,074 1,751 18.4 Rental 43 22 95.5 207 151 37.1 SUV Medium 949 643 47.6 3,712 2,758 34.6 Sub Total 7,813 6,788 15.1 33,685 30,278 11.3 SUV Large 810 741 9.3 3,585 3,233 10.9 Private 2,875 2,461 16.8 11,604 10,185 13.9 SUV Upper Large 33 32 3.1 150 117 28.2 Business 4,476 3,831 16.8 18,750 16,408 14.3 Light Buses 33 23 43.5 114 119 -4.2 Gov’t 351 442 -20.6 1,441 1,577 -8.6 Vans 358 321 11.5 1,765 1,548 14.0 Rental 111 54 105.6 1,890 2,108 -10.3 Pick Up/Chassis Cab 4x2 592 382 55.0 2,289 1,351 69.4 Pick Up/Chassis Cab 4x4 958 682 40.5 3,782 2,471 53.1 Heavy Commercial 281 209 34.4 1,004 880 14.1 Heavy Commercial 281 209 34.4 1,004 880 14.1 Other 49 24 0.0 171 172 0.0 Other 49 24 104.2 171 172 -0.6 TOTAL 8,143 7,021 16.0 34,860 31,330 11.3 TOTAL MARKET 8,143 7,021 16.0 34,860 31,330 11.3 Your ﬁ rst choice in automotive lending.

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www.autofile.co.nz | 25 new commercial sales Mammoth month for sales ast month’s 2,235 new Great Wall is going from strength to New Commercial Sales - 2011-2013 commercial vehicle 3250 strength with “some great product” 2013 registrations was the 3000 coming out of China. 2012 highestL total for an April since 1982 “We’re getting some pleasing 2750 2011 when 2,754 units were sold. sales figures,” he says. “These utes 2500 The sales of commercials last have good looks, drive well and 2250 month represented a 38 per cent are cheap. increase on the same month of 2000 “It’s hard for trades people last year when there were 1,618 1750 to fork out $50,000 to $60,000 transactions. 1500 on a full-specification Japanese Year-to-date, registrations of 1250 ute when, for $30,000, they can light commercials are an impressive 1000 get a Great Wall that also has full 41 per cent – or 2,615 vehicles – Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec specifications, 20-inch wheels, roll ahead of the same period in 2012. bar and accessories. The results show the market is year for forestry,” he says. models but sales of the ute are “Our sales in the trade market continuing to be strong and is well “This year has been the best “relatively active”. have been phenomenal and up on sales levels before the global vintage for grapes for 30 years, but He says Holden’s model is a one of these utes is an attractive financial crisis hit, with transactions the weather has been no good for serious contender in the market proposition for someone running a performing at levels last seen in the crops, such as corn. because of its high specifications small business.” mid-1980s. “The Ranger has been selling and good price points. Wales says Mitsubishi’s L300 Brian Read, dealer principal well, but not to farmers, and we’re “There’s a lot of pressure on the vans perform strongly for the of Gisborne Motors, says sales of doing our fair share of BT-50s but Hilux at the moment with Toyota dealership, which sells about 15 Ford’s Ranger have been good but not as many as Rangers.” waiting for the new model,” says a month, while Fiat Professional’s the market for new commercials Ian Penten, chief executive Penten. “But we’re getting a lot of range is also popular. was hit by this year’s drought. officer of Davie Motors Holden good inquiries on the Colorado.” “This is something we will be “Farmers have held off across in Manukau, says there are still Matthew Wales, dealer principal focusing on because the market for the board, but it has been a good supply issues with some Colorado at Andrew Simms Newmarket, says vans is strong.”

New Commercial Sales by Make - April 2013 New Commercial Sales by Model - April 2013

Apr '13 2013 2013 Apr '13 2013 2013 Make Apr '13 Apr '12 +/- % Make Model Apr '13 Apr '12 +/- % Mkt Share Full Year Mkt share Mkt Share Full Year Mkt share Toyota 559 420 33.1 25.0% 2149 23.9% Ford Ranger 416 279 49.1 18.6% 1299 14.4% Ford 488 331 47.4 21.8% 1575 17.5% Toyota Hilux 360 278 29.5 16.1% 1339 14.9% Nissan 232 219 5.9 10.4% 1012 11.2% Nissan Navara 212 214 -0.9 9.5% 967 10.7% Holden 160 20 700.0 7.2% 722 8.0% Toyota Hiace 179 130 37.7 8.0% 726 8.1% Mitsubishi 133 127 4.7 6.0% 679 7.5% Holden Colorado 143 9 1488.9 6.4% 668 7.4% Isuzu 88 57 54.4 3.9% 409 4.5% Mitsubishi Triton 91 83 9.6 4.1% 345 3.8% Great Wall 85 59 44.1 3.8% 275 3.1% Mazda Bt-50 71 69 2.9 3.2% 366 4.1% Volkswagen 76 51 49.0 3.4% 401 4.5% Ford Transit 66 40 65.0 3.0% 246 2.7% Mazda 71 69 2.9 3.2% 366 4.1% Volkswagen Amarok 52 25 108.0 2.3% 268 3.0% Hino 52 30 73.3 2.3% 126 1.4% Great Wall V240 50 24 108.3 2.2% 164 1.8% Ssangyong 38 15 153.3 1.7% 139 1.5% Mitsubishi L300 42 44 -4.5 1.9% 334 3.7% Mitsubishi Fuso 36 29 24.1 1.6% 113 1.3% Isuzu D-Max 38 10 280.0 1.7% 232 2.6% Mercedes-Benz 24 25 -4.0 1.1% 130 1.4% Ssangyong Actyon Sport 38 15 153.3 1.7% 139 1.5% Volvo 23 33 -30.3 1.0% 76 0.8% Great Wall V200 35 35 0.0 1.6% 111 1.2% Hyundai 22 36 -38.9 1.0% 190 2.1% Hino 500 35 14 150.0 1.6% 75 0.8% Daf 19 9 111.1 0.9% 81 0.9% Volvo Fm 22 28 -21.4 1.0% 51 0.6% Fiat 16 10 60.0 0.7% 69 0.8% Hyundai Iload 21 28 -25.0 0.9% 180 2.0% Iveco 14 3 366.7 0.6% 32 0.4% Isuzu N Series 21 28 -25.0 0.9% 83 0.9% Freightliner 12 9 33.3 0.5% 32 0.4% Nissan Urvan 20 5 300.0 0.9% 45 0.5% Kenworth 12 5 140.0 0.5% 46 0.5% Toyota Landcruiser 20 12 66.7 0.9% 84 0.9% Ud Trucks 10 10 0.0 0.4% 43 0.5% Isuzu F Series 19 9 111.1 0.9% 69 0.8% Western Star 10 7 42.9 0.4% 46 0.5% Fiat Ducato 16 10 60.0 0.7% 67 0.7% Alexander Dennis 8 3 166.7 0.4% 34 0.4% Daf Cf 15 2 650.0 0.7% 64 0.7% Others 47 41 14.6 2.1% 251 2.8% Others 253 227 11.5 11.3% 1074 11.9% Total 2235 1618 38.1 100.0% 8996 100.0% Total 2235 1618 38.1 100.0% 8996 100.0%

26 | www.autofile.co.nz used commercial sales Growth in used market sustained

sed commercial vehicles are fielding inquiries from all over the kilometres aren’t big issues. utes and vans at the right price. enjoyed a strong April New Zealand. “When our leased utes return, “We can’t buy used commercials with 433 units sold, which “Our reasonably full line-up the commercial sector knows when from Japan, although some are wasU up 88 per cent compared to includes some nice Hiluxes, four and they are coming back so they are coming out from the UK,” he says. the same month of last year. two-wheel-drives great for families, pre-sold before hitting the yard. “I would like to sell more Hiluxes The stand-out vehicle type in and utes with and without canopies.” “It’s a good market and we have and Hiaces, but it’s impossible to the market proved to be the petrol- Andrew McKendry, of McKendry noticed that wineries have been buy them because the demand is powered van. Motors in Blenheim, says: “With holding onto their new vehicles for higher than the supply. For the year to date, arrivals of the used commercial stock we longer, so it’s gone from a three- “When they come up at auction, used imported commercials are up have got, we’re finding that we are year to a five-year turnaround.” we can’t get them because everyone by 73 per cent with sales ahead by moving it quickly. Henry Schmidt, of Autolink wants them and they pay big money. 609 units, or 56 per cent. “There’s huge demand for Cars in Auckland’s Grey Lynn, says We get them when dealers are The 401 vehicles landed last vehicles up to five years old and it’s still proving hard to buy used trading them, but they don’t last long.” month was 145 units – or 57 per Ian Penten, of Davie Motors cent – ahead of April 2012. Used Commercial Sales - 2011-2013 Holden in Manukau, has been 500 Neil Smith, of Grey Ford in 2013 receiving a lot of passive inquiries 475 2012 Greymouth, is one of the few dealers but these are starting to firm up. 450 2011 contacted by Autofile in recent 425 “It’s quite a competitive market months who hasn’t experienced 400 with auctions and online bidding, stock shortages in this market. 375 but we have got stock again,” he says. 350 “We’ve got a good line-up Gary Jenkins, owner-operator of 325 because of trade-ins on new 300 Jenkins Main Drive in Gore, used to Rangers,” he says. “We have noticed 275 buy the odd used commercial. a slowdown in other used vehicles, 250 “Four-wheel-drive double- but not in used light commercials. 225 cabs are sought after and popular “They are standing up on their 200 here. They’re also the most own in the national market and we Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec expensive as well.”

Used Commercial Sales by Make - April 2013 Used Commercial Sales by Model - April 2013

Apr '13 2013 2013 Apr '13 2013 2013 Make Apr '13 Apr '12 +/- % Make Model Apr '13 Apr '12 +/- % Mkt Share Full Year Mkt share Mkt Share Full Year Mkt share Toyota 210 89 136.0 48.5% 757 44.9% Toyota Hiace 159 63 152.4 36.7% 573 34.0% Nissan 118 58 103.4 27.3% 393 23.3% Nissan Caravan 66 18 266.7 15.2% 200 11.9% Nissan Vanette 36 27 33.3 8.3% 118 7.0% Ford 25 11 127.3 5.8% 124 7.4% Toyota Regius 25 7 257.1 5.8% 63 3.7% Mazda 25 21 19.0 5.8% 75 4.4% Mazda Bongo 20 16 25.0 4.6% 59 3.5% Hino 10 7 42.9 2.3% 42 2.5% Ford Transit 14 4 250.0 3.2% 75 4.4% Isuzu 9 8 12.5 2.1% 52 3.1% Toyota Dyna 11 8 37.5 2.5% 60 3.6% Chevrolet 8 5 60.0 1.8% 40 2.4% Nissan Navara 8 3 166.7 1.8% 30 1.8% Mitsubishi 6 7 -14.3 1.4% 29 1.7% Toyota Toyoace 7 2 250.0 1.6% 18 1.1% Dodge 3 1 200.0 0.7% 8 0.5% Isuzu Elf 6 2 200.0 1.4% 39 2.3% Gmc 3 1 200.0 0.7% 9 0.5% Hino Dutro 5 4 25.0 1.2% 15 0.9% Ford Ranger 4 0 400.0 0.9% 7 0.4% Volkswagen 3 2 50.0 0.7% 16 0.9% Nissan Atlas 4 7 -42.9 0.9% 36 2.1% Daf 2 0 200.0 0.5% 9 0.5% Chevrolet Pickup 3 1 200.0 0.7% 10 0.6% Holden 2 0 200.0 0.5% 5 0.3% Hino Ranger 3 1 200.0 0.7% 9 0.5% Man 2 0 200.0 0.5% 33 2.0% Mazda Titan 3 5 -40.0 0.7% 10 0.6% Peugeot 2 0 200.0 0.5% 6 0.4% Mitsubishi Canter 3 1 200.0 0.7% 15 0.9% Custombuilt 1 0 100.0 0.2% 2 0.1% Toyota Coaster 3 0 300.0 0.7% 3 0.2% Dennis 1 0 100.0 0.2% 1 0.1% Toyota Hilux 3 1 200.0 0.7% 22 1.3% Chevrolet C10 2 1 100.0 0.5% 5 0.3% Mercedes-Benz 1 2 -50.0 0.2% 21 1.2% Daf Cf 2 0 200.0 0.5% 4 0.2% Mitsubishi Fuso 1 0 100.0 0.2% 3 0.2% Dodge Ram 2 1 100.0 0.5% 6 0.4% Volvo 1 0 100.0 0.2% 4 0.2% Gmc Sierra 2 1 100.0 0.5% 8 0.5% Others 0 18 -100.0 0.0% 58 3.4% Others 42 57 -26.3 9.7% 302 17.9% Total 433 230 88.3 100.0% 1687 100.0% Total 433 230 88.3 100.0% 1687 100.0%

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