VOLUME 8 ISSUE 4 MAY 2017 Confidence for the road ahead Delays hitting dealers in the pocket elays getting vehicles off car car- once puts the squeeze on port opera- riers is complicating the compli- tions. Dance process and costing dealers’ “There’s less room for trucks to money. operate. It becomes a bit of a double Multiple ships have been berthed out whammy.” Dealer icon at sea waiting for space to become avail- The MIA is working with all affected able at the Ports of parties on the mat- Bob McMillan Auckland in recent ter, he says. weeks. A busy port passes In terms of the is “the sign of a numbers, the Ports strong market,” he utomotive dealer industry of Auckland says says. icon Bob McMillan has died, from April 12–20 it Crawford says Aaged 74. received 10,440 units but lost four work- reasons for the booming market include McMillan was a member of the ing days due to Easter, and from April the low cost of finance, immigration automotive trade in New Zealand 20–27 it expected 9516 units and lost growth and a high New Zealand dollar. for over half a century. His early one working day. Vehicle Inspection New Zealand chief career began in the 1960s with Motor Industry Association chief executive Gordon Shaw has also noticed the Ford Motor Company, before executive David Crawford says the delay the impact the delays have had on his returning to take over his father’s in getting vehicles to dealers and other team. Rover franchise, where he picked owners is days rather than weeks. “From our perspective, the challenge up a Ford franchise and operated “But every additional day costs them is always getting a good supply, so you out of Greenlane, in Auckland. money in foregone revenue by not get- don’t get a feast or a famine. We’ve defi- He acquired Jensen BMW in ting the car on the yard for sale. nitely been having a lot of feasts. 1985 to start his association with “It’s impacting all new and used “The delays are in hubs around the German brand. He stepped importers of vehicles when you get high Auckland, Wellington, Christchurch and aside from the day to day operation volumes over a short period of time.” Dunedin.” of Team McMillan BMW in 2011, Crawford says many ships arriving at Continued on page 6 selling his stake in 2014. McMillan was also a key player INSIDE in the introduction of aftermarket Goff softens on port? 3 warranties in the 1980s, bringing Toyota dealer breaks record 4 the idea back from the USA, and From Auckland to Hong Kong 9 Continued on page 8 Logistics leader looks back 12 9 12 The market leader for over a decade. Shift to the Autohub Team and experience the Autohub difference. GLOBAL VEHICLE LOGISTICS NZ · JAPAN · AUSTRALIA · UK · EUROPE | www.autohub.co FOUNDATION SPONSORS AutoTalk acknowledges the support of our foundation sponsors: WEEKLY PASSENGER & COMMERCIAL VEHICLE AUCTIONS 2 | AUTOTALK MAY 2017 | www.autotalk.co.nz NEWSTALK AutoTalk Magazine and autotalk.co.nz are published Deciding the port’s by Auto Media Group 8/152 Quay Street, Limited. P.O. Box 10 50 10, Auckland City, 1030. Ph. 09 309 2444. future “a long game” GROUP EDITOR AUTO TRADE TITLES Scott Morgan 021 240 2402 he automotive industry consultation will be required portant and useful input into [email protected] has had the chance to as the plans for the port are considerations on the future Ttell mayor Phil Goff developed.” of Auckland’s port.” MANAGING EDITOR its views on keeping Ports Vinsen says Goff was “very Ports of Auckland spokes- Richard Edwards of Auckland in its current open-minded” and extended man Matt Ball didn’t want 021 556 655 location. the discussion from the to comment on what was [email protected] But a final decision about scheduled half-an-hour to discussed at the meeting but the port’s future is still a 45 minutes. says it is positive the mo- PUBLISHER long way from being made. “From our perspective, tor industry’s voice is being Vern Whitehead During last year’s election we really appreciated the heard. 021 831 153 campaign, Goff suggested “All we would say is that [email protected] the port should be moved the car importing industry from its Waitemata Harbour is very important in New site, saying vehicles could Zealand and relied upon by CHIEF REPORTER be shipped into other North very many people.” Robert Barry 022 0180 998 Island ports. He says the Ports of Phil Goff David Matt Ball [email protected] Industry representatives Vinsen Auckland is still the best got the chance to state their port to import vehicles case for retaining the port opportunity to explain the through, given the largest SALES MANAGER when they met Goff last industry’s perspective from car market is in Auckland. Dale Stevenson 021 446 214 month. the views of shippers, truck- That’s despite a recent [email protected] Imported Motor Vehicle ers and the new and used car backlog created by several Industry Association chief industry,” he says. short weeks. executive David Vinsen says “Any opportunity for “Importing through any OPERATIONS MANAGER there was healthy debate at discussion is a step in the other port will add signifi- Deborah Baxter the meeting but an immedi- right direction. We were cantly to transport costs, put 027 530 5016 ate decision on the port’s concerned we hadn’t had a more trucks on already con- [email protected] future is unlikely. chance to talk with him.” gested roads and increase “This is probably going to Goff says he appreciated the environmental impact of be at best a medium-term the exchange of ideas and the industry through higher SUBSCRIPTION SPECIALIST exercise, more likely a long found the meeting informa- carbon emissions,” Ball says. John Stephens game. tive. 027 530 5023 “We have agreed that “The views of the vehicle [email protected] further discussion and import sector will be an im- Auto Media Group Limited makes every endeavour to ensure information contained in this publication is accurate, however we are not liable for any losses or issues resulting from its use. Annual subscription: $84 + gst ($96.60) Printed by: Alpine Printers. autotalk.co.nz autotalk.com.au INDUSTRY SUPPORTERS RECOGNISED BY dieseltalk.co.nz dieseltalk.com.au evtalk.co.nz carandsuv.co.nz identicar.co.nz AUTOTALK MAY 2017 | www.autotalk.co.nz | 3 NEWSTALK Manukau Toyota breaks national sales record Toyota dealer has bro- Toyota chief executive Mi- up 14% on the ken 200 new vehicle chael Gapes says. first quarter A sales in a month for “There’s a huge demand compared the first time. for services ... all those peo- with last year Manukau Toyota in South ple, including new migrants, and March Auckland squeaked over the need cars. alone was up line in March, selling 201 “The first quarter was 25%, he says. new vehicles. pretty good, January was Several fac- They were sold across bubbling along, February tors contrib- Manukau Toyota’s four went pretty well.” uted to the dealerships, the Manukau, New vehicle sales were success, in- The new car showroom at Manukau Toyota. Manukau Commercial, Papa- cluding a 2.9% kura and Pukekohe branches. finance offer and a slightly ers, you’ve got to have a ute It also has two service-only better supply of cars. to take home.” sites at Auckland Airport and “March is normally our Gapes says the group in Botany. best month, with the end of also tries to offer a positive “They’ve all contributed to the financial year and a gain car purchasing experience, the target. The car business Manukau Toyota Toyota New in momentum after Christ- which encourages repeat is a pretty good place to be chief executive Zealand sales mas. business. at the moment,” Manukau Michael Gapes. manager Steve “Toyota doesn’t do deals “We get them around to Pragnell. like 2.9% often. When it does, buy another car off us in it gets people’s attention.” due course. Toyota comes Gapes says everyone at up with the product and as a Dealer Information Notice the sites remained calm dealer, we are the provider. Dealer Information Notice and composed, despite the “Expectations are con- MTA MEMBERSHIP INFORMATION particularly busy month. stantly going up and up. Cost Interests “All the staff were on We’ve got to stay ahead of board. The place was the curve. National Subscription of motor vehicle dealers a priority bubbling without a lot of “Profitability is always an $700 Excl GST & Branch fee Yes No drama. issue. Big business like this Brand Year Capacity “Normally when we have is always on a knife-edge. Strong & nationally recognised Since 1917 4000 members a big month, it’s chaos. Products have to be sold at MTA is NZ’s largest dealer representative group: Franchise This time it went quite what the market will pay.” smoothly.” Business in used cars is dealers, used dealers, motorcycle dealers, and truck dealers Gapes also puts part also good, Gapes says. Market analysis - regular, Mediation Yes No of the success down to a “However, the very late accurate and detailed building boom in South model used range has had Advocacy - pushing the causes Auckland. the top taken off it by the HR Advice Yes No for your industry “There’s a hell of a lot of new car business. Benefits - save money with homes being built.