Could Holden's History End in Dealer Battle?

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2 | AUTOTALK MARCH 2020 | www.autotalk.com.au DEALERTALK

SUBARU AUSTRALIA DEALERS SEE INTO FUTURE

warm and familiar to our customers, but tells them loud and clear that they are in a Subaru store. “We’ve designed this look to be modular, to fit all shapes and sizes of existing dealerships as very few of them fit this perfectly square plan; with the central customer area at the heart of the showroom. “There are a few items which will be mandatory for every dealership and a number of features that will be optional on a site-by-site basis. Part of our approach is to bring back a bit of fun to retailing. “One of the core principles of this design is to give service customers an enhanced he Subaru Australia dealer network brand – inside one of our cars and in a experience. It will feel more like your local got a glimpse of the future week, Subaru dealership, so our showrooms cafe – somewhere you can kick back Twhen the brand, in partnership and service lounges should be a place and chill a bit while your car is getting with design group CHADA, unveiled a that feels exactly like Subaru,” Subaru serviced, or you can grab a take away new design language for showrooms and Australia assistant public relations and go. service lounges manager Chloe Fraser says. “It’s all about being relatable and Subaru Australia expects to begin rolling “Our new dealership look is all about comfortable for our customers, so their out the new look in showrooms and what’s on the inside, which is where we decision to visit our dealerships when service centres later in 2020. can have the greatest impact on the they have so many other things going on It says the new design language creates customer experience. It should also be in their daily life turns out to be a good an environment that is more inclusive for noted that cost control has been a key call. its customers and aims to be a community element in the design process. “We feel that our new dealership meeting place for people to share the “The aim with this design is to give internal design concepts will set us Subaru passion. customers a warm, comfortable and apart from the crowd and give our “There are only two places a customer welcoming feeling that is just a little bit retailers a point of difference,” Fraser can physically experience the Subaru different; a step into something that feels says.

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JOURNALIST BRIGHTON BMW Sophia Wang 021 240 2402 [email protected] WINS 2019 BMW BUSINESS MANAGER Dale Stevenson 021 446 214 [email protected] DEALER OF THE RECRUITMENT SPECIALIST / PRODUCTION Fran Da Silva 021 933 279 YEAR TROPHY [email protected]

GROUP GENERAL MANAGER MW Group Australia has an- introductions and to heighten customers’ Deborah Baxter nounced winners of its annual experience. 027 530 5016 BMW Trophy, MINI Excellence and “Their combined efforts enabled BMW [email protected] B 2019 Dealer of the Year awards. to increase its premium market share Held in Melbourne, the award ceremony and finish the year with 1.1% year-on-year PUBLISHER / CHAIR Vern Whitehead recognised and celebrated the sales volume growth. This is a fantastic 021 831 153 achievements of the 43 strong BMW result that would not have been possible [email protected] Group national dealership network. without such impressive efforts from all The awards underlined an ongoing our dealers and their professional staff,”

Auto Media Group Limited makes every endeavour commitment to invest in the BMW Group says Pawah. to ensure information contained in this publication is brands and to deliver a superior customer Shepparton BMW won the 2019 BMW accurate, however we are not liable for any losses or issues resulting from its use. service amid challenging market rural dealer of the year award, the runner conditions. up being Townsville BMW. Annual subscription: $84 + gst ($96.60) Brighton BMW was awarded the BMW Coastline BMW won the 2019 BMW Alpine Printers. Printed by: Trophy dealer of the year award for 2019, provincial dealer of the year award, the which demonstrated success across runner up being Hornsby BMW. key areas of their business, including Waverley BMW won the 2019 BMW metro customer centricity, target achievement dealer of the year award, the runner up and business excellence. BMW Brighton being Canterbury BMW. autotalk.co.nz also scooped up the 2019 major dealer of Essendon MINI Garage, Brisbane MINI autotalk.com.au the year award, the runner up being BMW Garage and MINI Garage Sydney were transporttalk.co.nz Brisbane. all recognised for their passion during transporttalk.com.au BMW Group Australia chief executive a year that saw MINI celebrate its evtalk.co.nz officerVikram Pawah says that 2019 60th anniversary while also honouring was an incredibly busy year for the BMW their determination to achieve further evtalk.com.au and MINI brands with dealers investing success particularly in enhancing the wheeltalk.co.nz considerable sums in their facilities to customer experience. identicar.co.nz accommodate the number of new model

4 | AUTOTALK MARCH 2020 | www.autotalk.com.au NEWSTALK DEALERS PREPARING FOR COMPENSATION BATTLE WITH HOLDEN

ustralian dealers are going on highly profitable domestically produced the offensive in preparation for a Commodore units in 2017/18. Abattle with General Motors (GM) “The compensation formula Holden regarding adequate compensation as the is using is applied consistently for all company terminates new Holden vehicle dealers and covers reasonable earning sales in the Australasian markets. expectations from the New Holden sales A group of unhappy dealers lead by the department over the remaining portion Australia Automotive Dealer Association of the Dealer Agreement. (AADA) met with prime minister Scott “All dealers also have the opportunity Morrison on February 26, telling him to continue as Holden Authorised that the Holden compensation offer was Service Outlets, maintaining their current “grossly inadequate”. service and repair client base. This is a One dealer told AutoTalk that a bone of consistently very profitable part of their Martin Ward contention was the belief that the New businesses. Zealand Holden dealers were getting a “The proposed compensation also better deal: “This is just the start, there is includes a provision to reimburse a lot more water to go under the bridge.” dealers for a portion of their unamortised The managing director and chief executive investments in their new car showroom, as officer of Australia’s largest dealership well as full reimbursement of unamortised groups says GM has a legal and moral investments in Holden dealer signage,” the obligation to ensure Holden dealers are Holden Australia spokesperson says. provided with adequate compensation packages. Class action avoidance AP Eagers boss Martin Ward says there are 943 dedicated GM employees who Holden dealers will be wise to recognise will be affected across his dealerships. He that General Motors has much experience said there is also GM stock, leases and in closing down operations, and they property that will all be directly affected, should pay heed that past litigation by James Voortman and GM need to take responsibility for this. disgruntled franchisees has not always He says although it is early days in relation been as fruitful as they wished. to the actual financial cost of the Holden There were 17 French Chevrolet dealers brand closure on the Australian economy who sued GM in a class action for 33 and more directly the impact on the million Euro in damages when the Holden car dealers, it is certain that the company announced at the end of 2013 cost will be significant. that the brand would be withdrawn from the market by the end of 2015. It’s a fair offer: Holden According to the Business-Standard, the French Chevrolet dealers claimed the But Holden Australia feels the dealers are withdrawal was brutal and disloyal as GM being treated fairly. and had not respected the required notice “Holden is doing the right thing by period. But GM was only forced to pay its dealers during this difficult time. out 8 million Euro plus court costs by the We believe the offer is fair,” a Holden French commerce tribunal. Australia spokesperson says. Dr Brett Dale “In most cases Holden dealers will receive Senate inquiry welcomed compensation to a factor of four times the average Holden new car profit/unit of On February 27, the Senate referred all dealerships over the 2017-2019 fiscal GM’s announcement on February 17, years. This number includes the sale of to withdraw the Holden brand and Continued on page 6

AUTOTALK MARCH 2020 | www.autotalk.com.au | 5 NEWSTALK

Continued from page 5 operations from Australia to the Education give evidence at a hearing on behalf of our and Employment references committee AADA Queensland members,” he says for inquiry and report by the first sitting Representing more than 3000 day in May 2020. The closing date for automotive businesses, the Motor submissions is March 20, 2020. Traders’ Association of NSW (MTA NSW) “This inquiry is crucial as the way in which has also welcomed the inquiry. Holden is allowed to exit Australia will MTA NSW, working with national body, set the benchmark for other offshore car the Motor Trades Association of Australia manufacturers considering an exit from the (MTAA), wants the issue of franchising country, a rationalisation of their network reforms to be raised in the Senate Inquiry or a change in their distribution model,” and will be the key to addressing current AADA chief executive officerJames imbalances in manufacturer dealer Voortman says. relationships. Stavros Yallouridis “The decision of the Senate to review “MTA NSW calls upon GM to negotiate the impacts of GM’s decision is very in good faith on a dealer-by-dealer basis welcome, particularly as it will also look and consider differing circumstances, at the broader context of the Franchising investments and a range of other issues Code and its role in this mess,” he says. peculiar to each business,” MTA NSW chief The Motor Trade Association (MTA) executive officerStavros Yallouridis says. Queensland Group says it will be working “Both associations would expect GM with the AADA to ensure it is forthright in to demonstrate ownership of their its advocacy for exit arrangements to be difficult decision in determining with equitable. the dealers, a proper and fair outcome “It is critical that GM compensate all and cautions GM that a definition of Holden dealers fairly and that the fair and reasonable worked out by the precedent set, is an appropriate one for board in Detroit, may be far removed Australia’s future,” MTA Queensland Group from an Australian community and dealer Wayne Pearson chief executive officerDr Brett Dale says. expectation of fair and reasonable,” he “We will provide a written submission and says. ALICE ALICE ALICE ALICE MAKE BETTER ADVERTISING DECISIONS. SELL MORE CARS. GENERATE MORE PROFIT.

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6 | AUTOTALK MARCH 2020 | www.autotalk.com.au DEALERTALK

Mercedes-Benz Berwick Metropolitan Retailer Of The Year Mercedes-Benz Berwick named metropolitan retailer of the year

elbourne-based Mercedes-Benz retailer of the year awards to 3 Point creating an optimal customer experience retailer, Mercedes-Benz Berwick, Motors (Cars) and Mercedes-Benz and these awards recognise the hard Mhas led a roll call of excellence Macgregor (Vans). work that goes in at our retail sites in the in the annual awards recognising the Mercedes-Benz Australia-Pacific pursuit of this goal,” he says. company’s most distinguished Australian managing director and CEO Horst von “Congratulations to all our retailers retailers for 2019. Sanden says the awards reflected a across Mercedes-Benz Cars and Vans Mercedes-Benz Berwick collected the culture of continuous improvement in the plus Mercedes-Benz Financial, and retailer of the year (Metropolitan) award company’s retail operations. especially to Mercedes-Benz Berwick ahead of Mercedes-Benz Melbourne “We place a great deal of importance on after a very successful year.” and Mercedes-Benz Brisbane, while the retailer of the year (Rural) award went to Mercedes-Benz Coffs Coast ahead of Carlin & Gazzard. Mercedes-Benz Berwick also swooped on the key individual awards for 2019 with Mike Buxton and Daniel Bey named new vehicle sales manager of the year (Metro) and AMG brand manager of the year respectively. In the Mercedes-Benz Vans segment, Mercedes-Benz Melbourne was named retailer of the year (Metropolitan) ahead of G Brothers and Mercedes-Benz Berwick. The retailer of the year (Rural) for Mercedes-Benz Vans was presented to Mercedes-Benz Mornington ahead of Callaghan Motors and Mercedes-Benz Sunshine Coast. Mercedes-Benz Financial awarded its Mercedes-Benz Coffs Coast Rural Retailer Of The Year

AUTOTALK MARCH 2020 | www.autotalk.com.au | 7 DEALERTALK

TRARALGON SUBARU WINS NATIONAL RETAILER OF THE YEAR

ubaru Australia has recognised outstanding and high-achieving Smembers of its dealer network with the Retailer of the Year awards. Colin Christie, Subaru Australia’s managing director, was joined by Makoto Inoue, Subaru Corporation’s general manager for overseas sales and Marketing division, to present the awards in Sydney. Subaru’s Regional Retailers of the Year are its top-shelf performers in its dealer network.

Subaru’s 2019 Regional Retailer of the Year winners were: • Bunbury Subaru, West Australian Retailer of the Year. • Eblen Subaru, Central Region Re- tailer of the Year. • Performance Subaru, Tasmanian Retailer of the Year. • Traralgon Subaru, Southern Region Retailer of the Year. • Subaru Docklands, Melbourne Re- Colin Christie, Wayne Robertson and Makoto Inoue tailer of the Year. • Jupiter Motors Subaru, Eastern Re- gion Retailer of the Year. team at Perth City Subaru listened to their Hook and the team at McGrath Subaru • McGrath Subaru Liverpool, Sydney customers and built a list of the common Liverpool were the delivering dealer Retailer of the Year. requests raised about vehicles during for a customer who won a very special • Wippells Subaru, Northern Region the sales journey. They then made the prize, the millionth Subaru vehicle sold Retailer of the Year. answers to those questions available via in Australia. From a simple hand over, it • Llewellyn Subaru, Brisbane Retailer video across internet and social media became something that the customer of the Year. channels with "How it Works" videos. said she will remember for life. Attention to the smallest details in making the Taking out top honours for the National Spirit Award - Llewellyn Subaru day a success was a hallmark of every Retailer of the Year was Traralgon Subaru, Wade Llewellyn and the team at team member involved and showed led by dealer principal Wayne Robertson. Llewellyn Subaru have been long-time a commitment to quality that shines “With retailers like this in our network, the supporters of worthy causes within their through in every customer interaction. benchmark has been firmly set,” Christie community, but they have taken this one Subaru also acknowledged members of says. step further. They have turned those ad- the sales elite – the 1000 Club. Each of At the event, Subaru also recognised hoc requests for support into a cohesive these dealers have created over 1000 the dealerships that implemented community building programme which new fans for Subaru – expanding our exceptional initiatives bringing to life makes their name synonymous with their owner base and building market strength. Subaru “do” and the core values of city and district, keeping the spirit of Imagination, Spirit and Quality. community and family alive and making Welcomed into the 1000 Club for 2019 them a respected pillar of that community. were: Imagination Award - Perth City Subaru • Perth City Subaru. The real power of imagination comes Quality Award - McGrath Subaru • Suttons Subaru Rosebery. when every team member is thinking Liverpool • Jarvis Subaru, Adelaide. about how they can change things to The key to quality for customers lies in • Subaru Parramatta. improve the customer experience. consistent execution, great ideas fail if • McGrath Subaru Liverpool. Dealer principal John Nossiter and the they are not executed with quality. Greg • Subaru Docklands, Melbourne.

8 | AUTOTALK MARCH 2020 | www.autotalk.com.au NEWSTALK

TRARALGON SUBARU WINS NEW DOORS TO OPEN FOR NATIONAL RETAILER OF THE YEAR AUSSIE ENGINEERS?

olden’s shutdown is a call to action for Australia to Hpromote its automotive engineering capabilities and expertise internationally, former Holden engineer Adrian Feeney says. But he says the Australian government, industry and educational sectors must act now “to strengthen their resolve and offer Australia's engineering capabilities more than Adrian Feeney ever to global customers." Feeney is chairman and chief executive of the Society of Automotive Engineers Australasia (SAE-A) which represents more than 2000 auto engineering professionals. He says Holden’s engineering cuts affected fewer than a quarter of the engineers working in Australia's vehicle industry. "Australian-based car, truck and specialist vehicle companies employ thousands of world-class auto engineers, and Holden is only part of the story.” Though Holden’s closedown is “a sad event, it’s also a wake-up call” for Australia to make the most of its engineers; one new start-up is already recruiting direct from Holden.

“Though Holden’s closedown is “a sad event, it’s also a wake-up call” for Australia to make the most of its engineers; one new start-up is already recruiting direct from Holden."

Feeney says Ford Australia employs more than 2000 engineers, designers, technical and automotive specialists developing vehicles for global markets – “and they’re not alone”. "There are hundreds more at companies such as PACCAR, which builds Australia's Kenworth trucks, and HSV, which builds right-hand drive versions of American cars. "And then there is VinFast, the Vietnamese car maker which is recruiting its engineers from Europe and Australia – and it already employs dozens of engineers in Melbourne." Feeney says that though Holden's demise is a low point in Australian automotive history, especially for the people who would lose their jobs, it has a potential silver lining. "As a former Holden engineer myself, I feel for all these good people, many of whom have been my colleagues and friends, but they’re too good not to rise again. "You can be sure that a host of emerging electric and autonomous vehicle makers will join the likes of VinFast in looking to Australia for their best engineers.”

AUTOTALK MARCH 2020 | www.autotalk.com.au | 9 DEALERTALK

Sue Alford

VOLVO SOUTH YARRA WINS TOP DEALERSHIP AWARD AGAIN

olvo Car Australia has named Volvo Cars South Yarra as its top Vdealership, taking out its Major Metropolitan Award for the second year running. Volvo announced the win at its annual Pinnacle Awards of Excellence dinner. Volvo Cars Melbourne was runner-up. Volvo Cars Geelong won the Metropolitan Award for the second consecutive year, with Volvo Cars Adelaide the runner-up. For a record fourth year, Volvo Cars Southern Highlands was judged the best rural Volvo dealership. Volvo Cars Central West was runner-up. Volvo Cars South Yarra dealer principal, Jason Gorell Sue Alford, says winning the Volvo Pinnacle Award for two consecutive years is “an incredible achievement for all of our staff. Our desire is to deliver on the Volvo brand promise to our customers every day through an outstanding level of service." Jason Gorell, dealer principal of Metropolitan Award-winner, Volvo Cars Geelong, says his company feels “proud of the transformation that Volvo Cars has enjoyed over the last couple of years knowing that we had a part to play." David Mackay, dealer principal of Volvo Cars Southern Highlands, says winning the rural award for the fourth year is “a proud moment for our business. We’ve been a Volvo dealer for over 30 years and have always been delighted to represent David Mackay the brand in the Southern Highlands."

10 | AUTOTALK MARCH 2020 | www.autotalk.com.au DEALERTALK RESPONSE TO KELLEY BLUE BOOK LAUNCH 'BEYOND EXPECTATIONS' elley Blue Book valuation tools greatly beyond our initial MarketLens and Pricing Service expectations,” he says. KAPI went live to the Australian mar- The two products enable ket in February 2020 after 12 months of OEMS, car dealers, development and six months of testing. insurance and finance Cox Automotive Retail Solutions chief companies to obtain an executive Michael Sommerton says the market reflective and initial market response to the two new comparative pricing guide products from OEMs, car dealers, insurance for their vehicles, claims, companies, fleet management companies and financing options. and other automotive industry stakeholders MarketLens delivers used- is beyond expectations. car Kelley Blue Book Values “The time was right to launch these in one environment by products in Australia, and we are enabling users to log in to a confident it more than competes with web interface and look up a similar products in the marketplace,” says valuation of a vehicle from Sommerton. the Kelley Blue Book catalogue. response from dealers, leasing, finance “We offer good, sound, credible, and Pricing Service API integrates the Kelley and insurance companies proves that there scientific-based valuation data, through Blue Book catalogue into any website, is a market requirement for the two new local connections, local know-how mobile app, inventory management products in Australia. and international experience. We are system, insurance underwriting, claims or “Up to now there have been two other determined to become an expert provide loan origination platform, allowing for a providers in the market, so for the of data solutions leveraging Kelley Blue more customised experience within the industry it’s a refreshing change to have Book’s phenomenal expertise. customers internal systems via an API another player. Kelley Blue Book offers a “Two weeks from launch the level of connection. new alternative to valuation using unique genuine enquiry from the industry and the Kelley Blue Book head of sales Ilias sciences that delivers data confidence to positive response to the products has been Stavropoulos says the overwhelming our customers,” says Stavropoulos.

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From left: Erin Davis, People & Culture specialist at ORIX Australia Jill Edwards, general manager - People and Culture at ORIX Australia Reggie Cabal, chief executive officer at ORIX Australia Libby Lyons, director at WGEA ORIX’S GENDER EQUALITY POLICY RECOGNISED

ustralia’s Workplace Gender neighbouring organisations. Equality Agency (WGEA) has A formalised flexible work policy that’s Aawarded its Employer of Choice open to all employees provides several for Gender Equality (EOCGE) citation to flexible work types, including job-share, ORIX Australia. remote working, varied hours, purchased The government agency’s citation leave and part-time employment. encourages, recognises and promotes On top of 12 weeks’ paid primary carers’ active commitment to achieving gender leave, ORIX offers four weeks’ paid equality in Australian workplaces. secondary carers’ leave. ORIX received the award for its work in A return to work programme lets several areas including flexible work, employees on parental leave stay gender pay equity, creating a gender- connected with their workplace and balanced workforce, preventing gender- team; they can nominate a personal email based harassment and discrimination, address so they’re kept up to date and and leadership and development. invited to events. “Building a more inclusive culture which ORIX also operates development plans harnesses the individual differences of for all employees to support and nurture our employees is critical to our success career development. as a business, and the gender equality ORIX Australia CEO, Reggie Cabal, says strategy is key to that,” says Jill Edwards, the company believes it’s “important ORIX Australia’s general manager, people to be at the forefront of driving change and culture, within the community in which we “Our employment framework focuses operate, as well as aiming to lead by on inclusion throughout the employee example. (The) gender equality strategy, life cycle so we can attract, recruit, part of our broader diversity and inclusion retain and develop the talent we need policy, will enable us to advance the to achieve our strategic goals.” culture we’ve fostered within our ORIX’s gender equality strategy includes workforce. a diversity and inclusion network in “We’re confident that together with our the Macquarie Park and North Ryde employees we can continue to build an business hub to share best practices with inclusive culture…”.

12 | AUTOTALK MARCH 2020 | www.autotalk.com.au AFTERMARKET

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t the scene of a breakdown or ac- the strobe’s felt-lined base will ensure no cident, visibility is a major priority, scratches to the paint. Aespecially in dim conditions or at This versatility as well as its fully sealed and nighttime. weatherproof design to IP65 and SAE Class Narva’s new Sentry Micro Rechargeable 1 output, means that the Sentry Micro is also LED Strobe is a lightweight and compact ideal for light commercial and construction (54mm tall), personal road safety device applications and legal to operate on any that comfortably fits in a vehicle’s job site. periods. Depending on the flash pattern glovebox or centre console, ready for use To ensure the strobe performs at its selected, users can expect a generous when needed. best year after year, it features a diecast run time of between 2-7 hours before The Sentry Micro is equipped with 8 x 1W aluminium base, a virtually unbreakable recharging via the supplied micro USB LEDs to provide a powerful output. It also polycarbonate lens and a reinforced top cable. offers four flash pattern options including cover. It is backed by a three-year LED warranty two rotating, SOS and steady on functions. The Sentry Micro is equipped with a lithium and can be purchased from automotive, Positioning this strobe to a vehicle is easy battery that can handle temperatures up transport and four-wheel drive outlets – the integrated magnets provide secure to 80° while offering consistent charge nationwide at a recommended retail price mounting, even at up to 60 km/h and retention even when not used for longer of about $109 including GST. HELLA AUSTRALIA BECOMES EXCLUSIVE DISTRIBUTOR FOR SCANGRIP

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AUTOTALK MARCH 2020 | www.autotalk.com.au | 13 AFTERMARKET

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2019 winner Jeremy Drabsch from Titan Automotive receiving RISING STARS the good news from Capricorn’s Bruce Luck.

ominations for Capricorn’s Rising Stars search for Australasia’s Nmost promising automotive ap- prentice are open until April 30, 2020. Entries can be made through the competition website, www. From Roadside Assistance Supplier capricornrisingstars.com. Last year, Capricorn members to Solutions Partner nominated 533 apprentices for the 365RoadsideAssistance.com.au competition which was won by Jeremy Drabsch. Your business can now connect with a leading national Partner of Supported by Capricorn’s preferred choice delivering nextgen roadside technology and service suppliers, Castrol, Repco, Autodata Training, The Workshop Whisperer and TaT, the competition gives Capricorn members a chance to recognise, reward and retain high-performing apprentices who show initiative, eagerness to learn and commitment to their careers. All apprentices nominated receive a certificate recognising their achievement, and the top five finalists and overall winner receive prizes that GROW TODAY include an all-expenses paid trip to the CLICK HERE TO LEARN MORE Vodafone Gold Coast 600, a $1000 Repco voucher, Workshop Whisperer Leadership Academy training, an Autodata Training subscription, and industry event tickets. The Capricorn member who nominates the overall winner receives a bonus 150,000 Capricorn Rewards points. “It’s clear we need to come together as an industry to support and retain the young men and women who are We’re supporting Manufacturers, Dealerships, Finance and Insurance groups in the future,” says Capricorn Automotive launching white-labelled APP’s and custom portals that drive innovation through CEO, Bradley Gannon. seamless Customer experiences and a dynamic Provider network. “The Capricorn Rising Stars programme is one simple way our members can do this, building their relationships with Partner. Connect. Grow. [email protected] their apprentices to strengthen the industry more broadly.” 02 8705 5497

14 | AUTOTALK MARCH 2020 | www.autotalk.com.au AFTERMARKET

Parts & Accessories

DAYCO AMBASSADORS SUPPORT BUSHFIRE RELIEF ayco Ambassadors and 2020 “Being from a country town myself, it is this fantastic fundraising initiative,” says Porsche Carrera Cup Australia great to do our bit as a team to assist Russell. Ddrivers David Russell and Roger in the bushfire fund raising effort and I “A huge thank you to Dayco for working Lago assisted the nation’s bushfire relief wanted to deliver our bushfire heroes with GOLD104.3 to raise funds for fundraising efforts at the first round of some strong results at this opening the Victorian Bushfire Appeal,” says racing held in Adelaide. round. breakfast host Christian O’Connell. “We Russell answered the call of The "I am sure that Heroes Gold looked great are lucky at GOLD104.3 to have such Christian O’Connell Breakfast Show on on our black beauty in Adelaide and strong support from our audience for GOLD104.3 seeking support from the encouraged more Aussies to take part in this worthy cause.” community to promote Heroes Gold beer which was developed to raise funds for the Victorian Bushfire Appeal. Heroes Gold was created by the Melbourne Breakfast radio show host in conjunction with independent brewer Hawkers. The popularity of O’Connell’s fundraising concept saw the first round of pre-orders for Heroes Gold completely sold out, with more than 650 cases sold in the first three days of availability. Russell made the offer to race with the Heroes Gold hashtags and logo at the opening event of the season in front of more than 250,000 spectators and many more television viewers. The black #23 Dayco Porsche GT3 Carrera Cup Car featured Heroes Gold hashtags below the front headlights along with Heroes Gold signage on the roof of the car throughout the three-day Superloop Adelaide 500.

AUTOTALK MARCH 2020 | www.autotalk.com.au | 15 PEOPLETALK

SUPPLIERS MUST ADAPT TO CHANGING TIMES TOO

ast-moving industry trends like The world’s first online electromobility, autonomous driving configurator, Autoneum’s Fand car-sharing are having major Acoustic Garage (acoustics. by Gerry Molloy impacts on the future plans and finances autoneum.com) helps predict World Car Awards advisor of the world’s vehicle manufacturers. and optimise the vehicle noise Those impacts are being exacerbated protection package already in by regulations designed to combat the concept phase. climate change. The regulations force Acoustic Garage provides a the rate of change to accelerate well step-by-step process to guide engineers needs and desires. beyond the evolutionary pace that has from the basics of acoustic development It’s a highly collaborative process that been the auto industry norm. And the to advanced customisations, using the exemplifies the integrated relationship impacts extend all the way from the company’s latest simulation methods. necessary between suppliers and shop floor to the boardroom. The designated steps include identifying automakers in today’s fast-paced As a result, the industry is in a specific body styles and power sources environment. transitional period that necessitates – internal combustion engine, hybrid, or And it’s evidence that, as an innovation rapid development of new systems battery- electric – then comparing the leader in acoustic and thermal and solutions while at the same time acoustic performance of different pre-set management, Autoneum is already maintaining all its normal functions and sound packages specifically designed for working to translate its expertise operations. the configuration. in research and development into It’s a tall order and it’s not just the The final step is customising that products and technologies that meet the automakers themselves that must adapt. package to suit customers’ individual requirements of future mobility. So too must their suppliers. There’s a growing demand for components designed to make vehicles significantly lighter, quieter and more environmentally-friendly while also improving driving comfort and keeping vehicles affordable – a tall order indeed. As the global market and technology leader in acoustic and thermal management for vehicles, our long-time World Car Awards partner Autoneum not only develops and manufactures innovative components for noise and heat protection, but also supports OEM partners to find the perfect acoustic package for any car model.

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16 | AUTOTALK MARCH 2020 | www.autotalk.com.au PEOPLETALK

HAPPY CUSTOMERS ARE YOUR BEST ADVERTISEMENTS

s a customer drives out of your their own vehicle. Social media posts delivery bay in their new car, it’s can easily be tagged and shared, by Gavin Cox Aeasy to turn around, pat yourself on which helps build brand’s exposure. managing director the back for another completed sale, and AdTorque Edge focus on the next prospect. ‘Don’t just take it from us!’ [email protected] However, it is important to consider the Many dealers have a dedicated flow on business that can be generated section on their website for delivery from one, single satisfied customer. photos and testimonials. With the right nurturing processes in place As well as contributing to the in your dealership, a happy customer can unique aesthetic and voice of your on a high from their purchase, so they are be your most effective - and cheapest! - website, testimonials are an opportunity more likely to give you a glowing report. form of advertising. for someone else to sell your dealership Some agencies even offer dealerships an A survey published by consulting firm, to prospective customers: “Look what our app for salespeople to quickly and easily BrightLocal found that 85% of consumers customers say about us”. upload a delivery photo and send it with said they trust online reviews as much as Encourage your customers to write you an SMS, congratulating the customer on personal recommendations, and 73% of a testimonial whilst in the dealership their purchase and requesting a review. consumers trust businesses more if they waiting to collect their car - that way you If salespeople are encouraged to use have positive reviews online. can capture it at a convenient time, and them, such apps are highly effective in These findings highlight the importance of you know it will be done. increasing online reviews and star ratings capturing and capitalising on your happy If you leave a testimonial for them to do for dealerships. customers’ experiences through digital when they get home, it is more likely mediums such as delivery photos, social that they will forget or push it down their ‘Thanks for the feedback’ media posts, star ratings and testimonials. priority list. The fact is, you are going to get some negative reviews – how you handle them ‘Say cheese!’ ‘You’re a star!’ is what is important. You don’t find a person much happier than Facebook and Google are the most A recent survey of online reviewers a customer on delivery day. They are all common places for car buyers to research found that 78% said that seeing a abuzz over their purchase – thrilled to be your dealership’s reputation, with 97% business respond to reviews made driving home in a new set of wheels. You of people saying that online reviews them trust that business more. When might even make them feel extra special influence their buying decisions, according a positive review comes through, you by adorning their windscreen with a giant to FanandFuel. should always make the time to thank bow and giving them a gift. BrightLocal’s study also found that over the person for their feedback. Why not capture that moment of bliss 50% of customers will not engage a And similarly, when a complaint pops for your customer by taking a photo. business if it has an online rating of less up online, ensure you respond with an Delivery photos can be used for a variety than four stars. apology and attempt to work through the of purposes, all of which can act as free So, how do you get customers to give issue with the reviewer. By doing this, dealership advertising. You can send the you a good review and rating? you show that you are engaged with your photo to the customer once they’ve left, as One way, our clients have found works customers, that you listen, and that your a positive, post-sale touchpoint. well is by sending an SMS to their business delivers good service. With permission, you can also post customer with links to their Google, My So, next time you hand over a set of the photo on your own website and Business and Facebook pages, asking keys to a new customer, view it as just social media pages – congratulating them to a write review and provide a star the start of a long and potentially fruitful the customer on their purchase, and rating. If this is done just after vehicle relationship. If managed and nurtured in subsequently reminding all your visitors delivery, it most effective, as you are the right way, that person could prove to and followers of the thrill of purchasing capturing the customer while they are still be very profitable for your dealership.

AUTOTALK MARCH 2020 | www.autotalk.com.au | 17 PEOPLETALK ANCAP SAFETY BOSS STEPPING DOWN

NCAP Safety has announced the advocate, leaving an influential mark on departure of its chief executive vehicle and road safety. AJames Goodwin who has been “During James’ tenure he has overseen appointed as the new chief executive of the successful adoption of common the Australian Airports Association. rating protocols and policies with Europe, Goodwin has held the role of ANCAP and strengthened relationships with Safety chief executive since October 2015 stakeholders and vehicle brands, leading and will step down this May. to record-high levels of market coverage Acknowledging his departure, ANCAP and availability of five-star rated vehicles. chair, Wendy Machin, says that during “Together with the ANCAP board, I thank the past four and a half years Goodwin James for his hard work and dedication James Goodwin led the organisation through a period of to the organisation and the advancement significant reform. of vehicle safety both nationally and The board is beginning a recruitment “James has been a strong consumer internationally,” says Machin. process to find Goodwin’s successor. PCA APPOINTS NEW PR AND PRODUCT MANAGER

eugeot Citroen Australia (PCA) has Administration degree from Queensland most iconic brands Down Under," says appointed Daniel Khan as its pub- University of Technology, held executive Khan. Plic relations and product manager. marketing roles at Yamaha and Kawasaki "With the global push towards automotive Khan brings broad experience to the role, Insurance. electrification and plug-in hybrid electric having specialised in product and sales- "Peugeot was one of the first brands to be vehicle (PHEV) models being launched based management areas with Ram Trucks sold in Australia, and so has a rich local in Australia this year it’s an exciting time and LDV vehicles. history and Citroen was the first brand for Peugeot Citroen as a group and an Before his work with Ram and LDV, Khan, to circumnavigate the continent. I am exciting time for me to be joining the who has a double Masters of Business honoured to be joining two of Europe's group.” TOYOTA AUSTRALIA THWARTS SUPPLIER SELLING COUNTERFEIT GRILLES

oyota Australia has successfully manager, Fabiola Dos Santos, says standards - an assurance that cannot stopped a large automotive body consumers could have been misled be offered by anyone selling counterfeit Tparts and panels supplier from im- into believing the grilles were genuine, parts. porting, advertising and selling counter- especially as they illegally displayed the "Some people mistakenly think that feit grilles in contravention of Australian Toyota trademark. buying counterfeit auto parts is harmless laws. Dos Santos says SSS Auto Parts had also and a simple way to get components at a Investigation and quick action by Toyota breached Toyota's copyright through the lower price. led to SSS Auto Parts withdrawing the unlicensed use of Toyota-owned images "But the impact can be far worse than counterfeit grilles from sale, offering a on its website. people realise as there is zero testing, no refund to buyers, forfeiting remaining "Toyota will act decisively whenever legal regulation and very little recourse stock, and paying compensation to counterfeit parts are being sold to for consumers if the part is ineffective or Toyota. Australian consumers, and to prevent the unsafe." Toyota Australia's brand protection use of forged Toyota packaging, markings Dos Santos says Toyota Australia is and branding," she says. working with the Australian Border "We devote significant financial, technical Force to identify and seize counterfeit and human resources to develop genuine parts, given the growing number parts and accessories that offer optimal entering the Australian market. performance, durability and safety "Consumers should not assume they are benefits to customers. buying a genuine part, even if it comes in "Our grilles are designed, engineered a branded box or has a Toyota label. and tested to allow sufficient airflow to "The best way to avoid purchasing a the radiator, protecting the engine from counterfeit item is to buy Toyota Genuine overheating. They are manufactured to parts and accessories directly from an Toyota's stringent quality and durability authorised Toyota dealer," she says.

18 | AUTOTALK MARCH 2020 | www.autotalk.com.au NEWSTALK

THREE TAILORED CONVENTION STREAMS AT AUTOCARE 2020

utocare 2020, the education-led are designed to provide speciality automotive trends. convention and trade show, will knowledge and foster business growth in Topics include: Vehicle modifications - Aaddress the latest global trends these key aftermarket areas. the future, how to sell to women who and bring together thousands of profes- The Mechanical Repair - Technical love cars, challenges and opportunities sionals from the automotive parts, service stream will provide technical training in the Australian automotive repair and and repair sector. for automotive technicians. Topics service industry, the future of digital Taking place June 19-20 at the Brisbane include: CAN BUS diagnostics and marketing, transport challenges of the Convention & Exhibition Centre (BCEC) automotive programming using J2534. future, and trends in automotive product and hosted by the Australian Automotive Forward thinking – five ways repairers development, testing and validation. Aftermarket Association (AAAA), it will must take the initiative, hybrid vehicle While the line-up of speakers and feature three tailored convention streams training, scan tool data interpretation and topics has been carefully selected to and a free-to-industry Trade Show. oscilloscope fundamentals and DPF forced meet the needs of mechanical repair – Keynote speaker Bill Hanvey, president regeneration not required. technical, mechanical repair – business and CEO of the Auto Care Association Targeting workshop owners and improvement, and automotive suppliers, in the US, will discuss the threat that managers, the Mechanical Repair - the convention allows for tailoring to connected cars and other disruptors Business Improvement stream will individual needs. present to industry, and the steps being provide attendees with tools, insights Registered delegates can attend any taken globally to address these. Another and industry trends designed to improve selection of sessions across any of the keynote speaker, Frank Massey, is an efficiency, sustainability and profitability. streams, to tailor their learning experience automotive technician and trainer from the Topics include: Three ways to connect to their individual business circumstances UK who will provide advanced training on with your female audience, planning and career goals. diagnostics, NVH and WPS. succession for your business, challenges Autocare 2020 will offer a free-to-industry The three Autocare convention streams and opportunities In the Australian Trade Show. Close to 100 Australian automotive repair and service companies will show the latest products industry, driving business and services and offer interactive displays. performance – maximising Anyone working in the industry can business tools to increase register for the Trade Show free of charge profit, find and keeping via autocare.org.au. great employees – what can A gala dinner will be held on Friday, June you do better?, and future 19. It will host inspirational Zimbabwe technologies. auto technician Taurai Raymond Sewera, The Automotive Suppliers and celebrate the 40th Anniversary of stream targets senior managers the Australian Automotive Aftermarket from aftermarket parts and Association (AAAA). accessories companies, who To register for Autocare 2020 and see a are looking to learn the latest full programme of speakers, topics and global developments and activities, head to www.autocare.org.au.

AUTOTALK MARCH 2020 | www.autotalk.com.au | 19 SHOWROOM

New Vehicle Industry and Product News

MERCEDES-BENZ LIVESTREAMS E-CLASS DIGITAL PRESS CONFERENCE In lieu of a planned introduction at the Geneva International Motorshow, Mercedes-Benz livestreamed a digital press conference introducing the new E-Class, the AMG E53 4Matic+ and three compact plug-in hybrid models.

he updated E-Class sedan, es- models. grey metallic and mojave silver. The wheel tate, and All-Terrain models will The steering wheel’s hands-off recognition line-up has also been expanded and Tbe launched in mid-2020 with the now works on a capacitive basis. This now includes aero wheels, which also coupe and cabrio models to follow, as well enhances user-friendliness when driving in contribute to saving fuel. as the China-only long wheelbase sedan. semi-automated mode. The new steering New appointment colours and materials Mercedes-Benz marketing and sales head wheel features a pad with the appropriate upgrade the interior. Britta Seeger says the E-Class is the best- sensors in the rim. These register whether These include the new colour selling model in the history of Mercedes- the driver is holding the wheel. If the combinations magma grey/neva grey, Benz, with more than 14 million units system detects that the driver does not black/nut brown and magma grey/ delivered; and has always been the heart have their hands on the steering wheel macchiato beige, and trim in open-pore of the brand. for a certain time, a warning cascade is silver ash wood, burr walnut fondant, “The current E-Class alone has sold more started, which finally activates Emergency brushed aluminium and aluminium with a than 1.2 million units worldwide. E-Class Brake Assist if the driver continues to be carbon grain. buyers are our most loyal customers: inactive. The seats combine long-distance Eight out of 10 buyers choose a The E-Class features all-LED headlamps suitability with avant-garde design. The Mercedes-Benz again the next time they as standard. Multibeam LED headlamps adaptive driver's seat adjustment is buy a car,” Seeger says. including ultra range high beam are particularly convenient: When the height of For the 2020 model update the highlights available as an option. Mercedes-Benz the body is entered on the media display are a more dynamic design, a new designers also updated the Saloon's rear or via Mercedes me, the seat automatically generation of driver assistance systems, a end with a new bumper, split tail lamps moves into a usually fitting position, which higher level of comfort and the expansion and a new boot lid. The inner design of the only needs to be fine-tuned by the driver. of the model portfolio to include numerous tail lamps was revised for all models. The new E-Class is also equipped with the electrified drive systems. The All-Terrain E-Class model is visually latest generation of the MBUX multimedia There are seven plug-in hybrids as Saloon more similar to the SUV models. In system. As standard, it includes two large and Estate models, petrol and diesel, with addition, signature All-Terrain components 10.25 inch/26 cm screens, which for a rear-wheel or all-wheel drive and a new M such as the radiator grille or the stylised widescreen look are arranged side by 254 two-litre, four-cylinder petrol engine skid plate now sport a mirror chrome finish side. Two 12.3 inch/31.2 cm screens are with ISG (Integrated Starter-Generator) and rather than the previous silver shadow optionally available. 48-volt on-board electrical system, rated hue. Australian and New Zealand deliveries output: 200 + 15 kW. There are additional The three new paint colours available for of the new E-Class will commence in the engine variants with six-cylinders as well the E-Class as part of the model refresh fourth quarter of 2020. as off-road drive modes for the All-Terrain go by the names high-tech silver, graphite

20 | AUTOTALK MARCH 2020 | www.autotalk.com.au SHOWROOM

New Vehicle Industry and Product News

LUXURY VIGNALE SPEARHEADS NEW FOCUS RANGE

he all-new Ford Escape range will arrive in Blue Oval dealerships from Tthe third quarter of 2020, bringing plug-in hybrid technology and a new premium-trimmed luxury model called Vignale. The line-up will comprise of three variants plus several powertrain options – the first variant, badged as Escape, the second, the sports-focused Escape FordPass also features several services apps including Waze and Spotify. ST-Line and Escape ST-Line PHEV; and that are designed to simplify customers’ The display screen also doubles as a full- the third, the upscale Escape Vignale. ownership experience, placing key vehicle colour reversing camera, with both front “The Escape will offer Australian information in the palm of their hand. and rear parking sensors standard across customers a range of models with unique These include access to roadside the range. identities,” Kay Hart, president and assistance, the ability to schedule a CEO, Ford Australia and New Zealand service online and check their recent 2020 Ford Escape Recommended MLP says. “Escape is also distinguished by service history, their owners’ manual, and (incl. GST) advanced safety and driver assistance even a convenient way to get in touch Escape FWD 2.0 EcoBoost $35,990 technology, including FordPass Connect.” with a Ford Guide, who can assist – by There is a choice of two powertrains, phone or email – with any queries about Escape ST-Line FWD 2.0 EcoBoost $37,990 with a mix of front-wheel and all-wheel connected services. drive models. All Escapes feature a 2.0L It will also offer a range of additional Escape ST-Line AWD 2.0 EcoBoost $40,990 EcoBoost powertrain with an 8-speed features that are designed to make automatic, excepting the Escape ST-Line owning an Escape ST-Line PHEV Escape ST-Line PHEV FWD $52,940 PHEV, which has its own 2.5L Atkinson seamless and convenient, such as cycle/electric powertrain. easy access to charging information Escape Vignale FWD 2.0L EcoBoost $46,590 The 2.0-litre EcoBoost develops including charge level and status, 183kW/387Nm and, teamed with information about charge locations Escape Vignale AWD 2.0L EcoBoost $49,590 the 8-speed paddle shift automatic, and preferred times, and the ability to is designed to deliver increased activate charging remotely. In addition to a five-year, unlimited performance. Combined fuel economy The Escape offers Ford’s Emergency kilometre full factory warranty, the is 8.6L/100km for both FWD and Assist as standard, which is designed 2020 Escape is eligible for the Ford AWD Escape variants powered by the to call “000” in an emergency when a Service Benefits programme, which EcoBoost powertrain. smartphone is connected. This can help brings owners a service loan car, auto Every 2020 Ford Escape will offer the reduce the response time of emergency club membership including roadside FordPass Connect embedded modem services in the event of an incident. assistance as well as sat-nav map as standard. It brings an array of remote Standard in every Escape is Ford’s SYNC 3 updates. vehicle functionality and connected infotainment with an 8.0-inch touchscreen, With 15,000km/12-month service services to make life simpler for Ford offering Apple CarPlay and Android Auto intervals, A and B logbook services for Escape owners, such as remote vehicle smartphone compatibility vi, built-in voice the first four years/60,000km are set at lock and unlock. activated sat-nav and compatibility with a maximum of $299 per service.

AUTOTALK MARCH 2020 | www.autotalk.com.au | 21 SHOWROOM

New Vehicle Industry and Product News

BMW HEATS UP PERFORMANCE SUV COMPETITION

MW Group Australia will throw The standard fitment M Sport exhaust Both the X5 M and X6 M match the down the gauntlet in May with the system is characterised by four 100mm outstanding performance with striking Barrival of the X5 M and X6 M mod- black chrome tailpipes. The exhaust styling and design aspects. Large intakes els only in Competition guise, guarantee- delivers a soundtrack that emphasises provide a dynamic aesthetic quality while ing customers the highest possible level the high revving and considerable output ensuring an effective supply of air to the of specification and power output. of the BMW TwinPower Turbo V8. engine, transmission and brakes. The new models combine the X5 and X6 Chassis enhancements include Adaptive In addition, the wheel and tyre packages platforms with the most powerful engine M Suspension Professional, which provide a dominant appearance while in the segment: the 460kW and 750Nm highlights the dynamic potential of the X5 also contributing to road holding. Both BMW M TwinPower Turbo V8 engine. M and X6 M with multiple modes, and the vehicles feature M light alloy wheels with These figures mark a 37kW power hike precise and direct M Servotronic steering. star-spoke style design shod with 295/35 on the previous generation X5 M and X6 Both vehicles also feature BMW M xDrive section tyres on the front and 315/30 M engine and help to propel the new X5 and Active M differential to deliver section tyres on the rear. M and X6 M from 0-100km/h in just 3.8 maximum traction and elevated dynamics The interior of both the X5 M and X6 M seconds. This is four tenths of a second for all driving situations. The fully variable combine BMW M elements with luxury faster than the outgoing models. M xDrive has a rear-biased set-up that appointments that provide a premium Technical highlights of the new engine brings the front axle into play only when ambience. It features M multifunction include twin-scroll turbochargers located the rear wheels are at the limits of sport seats trimmed in full leather ‘Merino’ in the V of the engine for optimum adhesion. upholstery and BMW Individual Alcantara efficiency and response, a forged The Active M differential is a needs-based headliner. crankshaft for exceptional torsional force differential lock that optimises traction, It is the first time this upholstery and resistance and a motorsport oil supply handling and stability elements. headliner have been offered as standard system that integrates baffling and active An M compound brake system, featuring equipment. suction in the sump to deliver lubrication six piston fixed calipers at the front with A suite of advanced safety and where needed for track use. 395mm drilled and inner-ventilated convenience systems including BMW The cooling system also evokes a race discs and single-piston floating calipers Driving Assistant Professional, Parking car set up with 10 individual coolers with 380mm discs at the rear, delivers Assistant Plus and BMW Live Cockpit including two water cooled intercoolers stopping power. The system can bring Professional with twin 12.3-inch LCD for the turbochargers and oil coolers for the X5 M and X6 M from 100km/h to colour displays complement the engine and transmission. rest in just 32 metres. performance of both models. Drive is sent to the ground via an The X5 M and X6 M also follow the M8 The X5 M Competition is priced at eight-speed M Steptronic transmission Competition in offering two levels of $209,900, while the X6 M Competition is with Drivelogic, which adopts the same braking feel via the comfort and sport $213,900. M control concept as the BMW M8 settings. Both vehicles are available to order now Competition vehicles. with deliveries beginning in May this year.

22 | AUTOTALK MARCH 2020 | www.autotalk.com.au TOP 10 BRANDS

NEW SUV SALES UP BUT MARKET DECLINE 1. TOYOTA 32,488 CONTINUES

he Toyota Hilux remains Australia’s best-selling vehicle but new vehicle Tsales in February continued decline, according to data released by the Federal Chamber of Automotive Indus- 2. MAZDA 13,925 tries (FCAI) under the updated VFACTS reporting system. The February 2020 market of 79,940 new vehicle sales is a decrease of 7162 vehicle sales or -8.2% on February 2019 (87,102) vehicle sales. February 2020 had Tony Webber the same number of selling days (24.0) as February 2019 and this resulted in a Toyota was market leader in February, decrease of 298.4 vehicle sales per day. followed by Mazda and Hyundai. Toyota The passenger vehicle market is down led Mazda with a margin of 10,449 vehicle by 4503 vehicle sales (-16.6%) over the sales and 13.1 market share points. same month last year; the sports utility The Toyota Hilux, with 3421 sales, again 11,388 market is up by 2012 vehicle sales (5.4%); claimed the title of Australia’s best- 3. HYUNDAI the light commercial market is down by selling vehicle, closely followed by its 4308 vehicle sales (-21.7%); and the heavy stablemate, the Toyota RAV4 with 3375 commercial vehicle market is down by sales. Australia’s third favourite vehicle 363 vehicle sales (-8.2%) versus January during February was the Ford Ranger, 2019. with 3202 sales, followed by the Toyota The FCAI attributes the difficult market Corolla (fourth) with 2520 sales. In fifth conditions to adverse factors affecting place was the Hyundai i30 with 2152 consumer confidence over 2018, 2019 sales. and the beginning of 2020. These Toyota claimed the status of market include political and financial uncertainty; leader, with 17,679 vehicles sales for the floods, drought and bushfires; and month and 22.1% market share. Mazda, growing concerns regarding a global with 7230 sales was the second highest 4. MITSUBISHI 10,621 pandemic from the coronavirus. brand for the month, claiming 9% market FCAI chief executive Tony Weber says share. Third was Hyundai, with monthly the market has now seen a downturn sales of 5945 and market share of 7.4%; each month for the past 23 months. closely followed by Mitsubishi with 5513 “A recession is declared after two monthly sales and 6.9% share; and Kia, quarters of negative growth – and this with 5120 sales and 6.4% market share. industry has now seen seven consecutive New SUV’s accounted for 49.2% of the quarters of negative growth,” Weber says. market with 39,304 recorded sales, “There is no doubt that this is an while passenger vehicles accounted for extraordinarily difficult time for the 28.3% with 22,648 recorded sales. Light automotive industry – a situation sadly commercial vehicles took 19.4% with underlined by the recent announcement 15,523 recorded sales. of Holden’s withdrawal from the 5. KIA 9,825 Australian market.”

AUTOTALK MARCH 2020 | www.autotalk.com.au | 23 Continued p24 TOP10 FEBRUARY TOP 10 BRANDS CONTINUED LIGHT CARS UNDER $25K MEDIUM SUV UNDER $60K

1. TOYOTA YARIS 1. TOYOTA RAV4 1,246 3,375

2. MG MG3 2. MAZDA CX-5 6. FORD 9,025 620 1,969

3. KIA RIO 3. NISSAN X-TRAIL 524 1,439

4. SUZUKI SWIFT 4. HYUNDAI TUCSON 439 1,241 7. NISSAN 7,248

5. SUZUKI BALENO 5. HONDA CR-V 418 1,165

6. VOLKSWAGEN POLO 6. MITSUBISHI OUTLANDER 325 1,133 8. HONDA 6,958

7. HONDA JAZZ 7. SUBARU FORESTER 291 1,047

8. MAZDA 2 8. KIA SPORTAGE 249 749 9. VOLKSWAGEN 6,879

9. SKODA FABIA 9. VOLKSWAGEN TIGUAN 67 481

10. HONDA CITY 10. FORD ESCAPE 16 304 10. HOLDEN 4,853

24 | AUTOTALK MARCH 2020 | www.autotalk.com.au STATSTALK HYBRIDS ROCKET, EVS ZOOM AND FOSSIL FUELS FALL

lectric vehicles (EVs) and hybrids continue to set the pace in the latest EVFACTs national report while petrol and diesel vehicle sales generally dive. It’s a trend which has been continuing for some time with EV, plug-in hybrid (PHEV) and hybrid sales still soaring at the expense of internal combustion engine (ICE) vehicles in February new vehicle sales figures released by the Federal Chamber of Automotive Industries (FCAI). “The Australian new vehicle market has now seen a downturn each month for the past 23 months,” FCAI chief executive Tony EVs and hybrids are increasingly popular. Weber says. “In economic terms, a recession is declared after two quarters of negative Here, non-private SUVs go from 57 to 1015 categories for electrics/PHEVs in YTD growth – and this industry has now seen in February comparisons and from 111 to comparisons – up 113.8% in private sales seven consecutive quarters of negative 1589 in YTD comparisons - up more than (58 to 124) and up 57.2% in the non-private growth.” 999% in both cases. market (70 to 110). Weber doesn’t mention the EV, PHEV Similar percentage increases apply to In the light commercial non-private sector, and hybrid results but the FCAI blames private SUV sales – up from 85 to 1539 in electrics/PHEVs show a small gain in growing coronavirus (Covid-19) concerns, February figures and 139 to 2441 in YTD February and YTD comparisons – rising bushfires, droughts, floods, political and comparisons. from one to six and three to 10 respectively. financial uncertainty and more for the Electrics/PHEVs also rise in the SUV Most categories show a drop in petrol and adverse impacts on consumer confidence market, but not as much as hybrids. diesel sales of anywhere between 4% to contributing to the difficult Australian These increase more than 73% in February 43%, many in the private sectors around market. comparisons in both private and non- the 20% mark. In the new passenger vehicle segment, private sectors (42 to 73 and 41 to 71 What this all shows is that EVs and hybrids hybrids lead the charge with sales up respectively). gain more ground while sales of diesel and 99.6% in February comparisons in the Good progress is also made in both SUV petrol vehicles continue to take a hit. private category and 60% in the non-private area. NEW VEHICLE SALES BY BUYER TYPE AND FUEL TYPE FEBRUARY 2020 They go from 498 in February 2019 to 994 last month in the private Month YTD Variance +/- Vol. & % sector, and also show a 67.8% rise Total Market 2019 2018 2019 2018 MTH YTD MTH YTD in year-to-date (YTD) statistics (1101 ELECTRIC to 1847). Electric/PHEVs in the same Passenger Private 46 56 80 78 -10 2 -17.9% 2.6% Passenger category fall slightly in February 57 11 130 37 46 93 418.2% 251.4% comparisons (56 down to 46) and Non-Private increase by just two in YTD totals SUV Private 73 42 124 58 31 66 73.8% 113.8% (78 to 80). SUV Non-Private 71 41 110 70 30 40 73.2% 57.1% But in the passenger non-private Light Commercial 6 1 10 3 5 7 500.0% 233.3% segment, EVs/PHEVs climb 418.2% Non-Private in the monthly comparisons (11 to Sub Total 253 151 454 246 102 208 67.5% 84.6% 57) and 251.4% (37 to 130) in YTD HYBRID comparisons. Passenger Private 994 498 1,847 1,101 496 746 99.6% 67.8% Hybrids in that category go up Passenger Non- 1,381 863 2,452 1,917 518 535 60.0% 27.9% 60% (863 to 1381) in the February Private comparisons and 27.9% (1917 to SUV Private 1,539 85 2,441 139 1,454 2,302 >999% >999% 2452) in YTD for 2019 and 2020 SUV Non-Private 1,015 57 1,589 111 958 1,478 >999% >999% respectively. The telling surge for hybrids is in Sub Total 4,929 1,503 8,329 3,268 3,426 5,061 227.9% 154.9% the popular SUV sector. TOTAL 5,182 1,654 8,783 3,514 3,528 5,269 213.3% 149.9%

AUTOTALK MARCH 2020 | www.autotalk.com.au | 25 HIGHLIGHTS OF THE MONTH

Monique Cotton has been appointed regional sales manager for Victoria, South Australia and Tasmania, and Phil Barker for New South Wales and Australian Capital Territory. Their appointments mark a significant step towards Gumtree Cars’ vision to become Australia’s number one motors marketplace. Reece, Cotton and Barker will be responsible for continuing to boost Gumtree Cars in the auto market. With a combined 50+ years of experience in the automotive sector, the three of them will play an important role in strength- ening the platform’s support network for its dealers and building awareness around the quality of cars and vehicles available on the platform.

Mercedes-Benz Australia commits to further recall actions ercedes-Benz Australia has committed to provide eligible customers who own vehicles affected by the Mcompulsory Takata airbag recall with a loan vehicle or reasonable alternative transport until their affected airbag is replaced. The vehicles involved are certain examples of C-Class (204) manufactured between 2008 and 2015, and some E-Class (207 & 212) built between 2010 and 2017. Customers eligible for loan vehicles or reasonable alternative transport will be contacted directly by Mercedes-Benz Australia. Mercedes-Benz Australia is providing this service under an enforceable undertaking to the Australian Competition and Consumer Commission (ACCC). Mazda is Australia’s Major Car Manufacturer of the Year Geneva Motor Show cancelled: azda ranks number one on an independent customer Coronavirus services satisfaction survey as Australia’s Major Car Manufacturer of the year by Roy Morgan. he Geneva International Motor Show in March has been ThisM win at the Annual Customer Satisfaction Awards follows cancelled following a Swiss government ban on gather- Mazda’s success in JD Power’s Customer Service Satisfaction ings of 1000 people or more due to coronavirus (Co- Awards last year. T vid-19) concerns. Mazda Australia director of marketing Alastair Doak says the A variety of EVs – including the BMW i4 – were due to be un- award represents Mazda’s ongoing commitment to customer veiled around the media days, March 3 and 4, with the show service and the strong relationship it enjoys with customers supposed to open to the public from March 5-15. nationwide. Now the EVs are likely to be revealed online. “Mazda Australia has long focused on providing exceptional The ban applies until March 15, show organisers saying they customer service, and to have that confirmed by customers regret the situation but the health of participants and exhibitors through Roy Morgan’s independent research tells us that we’re is top priority. on the right track,” Doak says. Mercedes-AMG launches most Gumtree Cars expands sales team powerful 45 models yet umtree Cars is expanding its regional sales team with three new appointments. ollowing the success of the A 35 4Matic and CLA 35 Brad Reece has been appointed regional sales manag- 4Matic, Mercedes-AMG are releasing the new A 45 S erG for Queensland, Northern Territory and Western Australian, 4Matic+ hatch and CLA 45 S 4Matic+ four-door coupé to F Continued on page 27

26 | AUTOTALK MARCH 2020 | www.autotalk.com.au HIGHLIGHTS

Continued from page 26 the Australian market. To improve global road safety, Volvo Cars believes countries Both featuring the world’s most powerful 2-litre turbocharged should introduce and enforce seat belt laws covering both front four-cylinder engine yet in series production. and rear seats. “We have completely redesigned our 45 models – from the engine and transmission through the chassis, to the body Kia introducing 500km plus range structure and the design itself to raise vehicle dynamics and the sporty driving experience to a level previously unimaginable in EV in 2021 the compact class,” says Mercedes-AMG GmbH chief executive officerTobias Moers. ia will have a halo EV next year as it ramps up electrification. The new vehicle will be the first built on a new, dedi- catedK EV platform and will be based on the award-winning ‘Imagine’ crossover concept revealed at the 2019 Geneva Motor Show. Designed to be a “super-high performance” model, the new EV is expected to deliver much greater distance than the company’s current Niro EV which has 455km range. Kia says a production-ready version of the Imagine concept will go on sale by the end of 2021 and will sit above the Niro EV in the Kia range. The new model will spearhead Kia’s plans to offer 11 fully electric vehicles by the end of 2025 that will be produced in sufficient volumes to take 6.6% of the worldwide EV market.

Volvo Cars wants UN to address road safety inequality

olvo Cars is asking governments and regulators globally to address a large inequality in road safety between developed and developing economies. VAbout 1.35 million people annually die from traffic accidents – including 1182 fatalities in Australia during the past year. World Health Organisation (WHO) data shows the risk of road traffic death is more than three times higher in developing countries than in developed countries.

Bapcor expansion boosts earnings

ustralian automotive parts company Bapcor has posted net profit after tax of A$45.3 million, up 5.1% for its half- year result. ARevenue was up 10.4% to A$702.5m and earnings before earnings before interest, tax depreciation and amortisation (EBITDA) up 4.6% to A$79.4m. Bapcor chief executive and managing director Darryl Abotomey says the company is focused on adding branches and also growing its commercial parts business. The business added 35 new branches to its network during the half-year period and now has over 1000 locations throughout Australia, New Zealand and Thailand.

AUTOTALK MARCH 2020 | www.autotalk.com.au | 27 NEWSTALK KBB.COM.AU

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