Independent tests key to road safetyInspections for commercial

vehicles need to stay independent so high on-road

standards are safeguarded.That’s the message being

sent to the government from the country’s transport service delivery agents (TSDAs).

The Ministry of Transport (MoT) has already announced the variable frequency of certificates of fitness (COFs) will be amended to three to nine months from the current three to 12 months.

VINZ, VTNZ and the AA are

now awaiting the first draft report into how the new regime will work, which could include opening the inspection market to commercial operators.

But there are grave concerns that if independence in the COF system is lost, there could be dire consequences for the fleet’s safety.

The TSDAs are offering to be more flexible in how inspections are provided as part of the Vehicle Licensing Reform (VLR), which the government says aims to reduce costs without

impacting on road safety.The draft COF model, which

they will probably get first glance of at the end of this month, may outline the way forward with non-independent service suppliers or having inspections at other sites.

“With strategies such as Safer Journeys, and heavier and larger vehicles on our roads, it’s imperative standards are maintained to mitigate safety issues,” says Frank Willett, general manager of VINZ.

Drastically reducing the time it takes to upload listings and expanding

search engine parameters are among the projects Trade Me Motors is spearheading.

The company says changes being developed will improve the website’s usability and how it works for dealers and buyers.

Darren Wiltshire, head of Trade Me Motors, told Autofile the new computer system for faster uploads should be operational by October.

“The quicker uploads mean moving away from AutoBase’s four-hour feed so it takes 15 minutes to make changes to listings,” he says.

“With our applicant programming interface [API], two systems can talk

to each other and this has been the case for some time.”

Now it’s a matter of Dealerbase operating with the API system instead of the previous feed.

“It can be instantaneous but with the processing of data we’re saying 15

The trusted voice of the auto industry for more than 25 yearsIssue 17-2013

20 September 2013

In this issuep 8 App stores vehicle details

p 14 Recovering from quakes

p 16 Saddling up for charity

p 17 Review into CIN cards

p 18 Raising flag on damage

p 26 Inside small car market

Freephone: 0800 435 7868 contact@protecta.co.nz • www.protecta.co.nz

Trusted for over 25 years

Retro Vehicle Enhancementwww.rve.co.nz

0800 RETRO 4 U

Driving Solutions

ACCESSORY BUNDLINGCREATE AN EXCLUSIVE MODEL FOR YOUR BRAND

MORE SALES MORE PROFIT

CUSTOMERS FOR LIFE

WWW.DEALERSHIPEDITIONS.CO.NZVIEW VIDEO

BMW’s all-electric i3 promotes sustainability

[continued on page 6]

[continued on page 4]

Faster uploads onto website

p10

Protect your investmentwith

E A S Y T O I N S TA L L A N D R E M O V E

P R E V E N T S K E R B I N G D A M A G E R A N G E O F C O L O U R S C O S T-E F F E C T I V E

0800 4 R I M P R O WWW.R I M P R O-T E C.C O M

“Our dealership has installed the system on its loan vehicles. They’re prone to a bit of kerbing, so RimPro-Tec has saved us quite a bit of money. For owners of high-performance cars with alloys worth $7,000 to $8,000, it’s an economical way to save rims. We’re selling quite a few each month.” - Evan Lorezon, Jerry Clayton BMW

M a Y c O V e R e X i s t i n G d a M a G e

www.autofile.co.nz | 3

RELIABILITYFirst choice for NZ dealers for 20 years

EXPERIENCEOur buyers are knowledgeable about NZ dealers requirements

CHOICE100,000 vehicles per week available through our auction search engine

STOCK READY FOR SHIPPINGExtensive range of pre-purchased stock available for shipping NOW

PEACE OF MINDAll vehicles Ramp Inspected before departure

TRUE DEALER WHOLESALEFixed fee includes all Japan side: transport, documents and taxes

STRICTLY DEALER ONLY Heiwa Auto never sell or export vehicles to private buyers

WITH YOUR CURRENT VEHICLE SUPPLIER

WHAT YOU GET WITH

ARE Y

OUHAPPY?

www.heiwa-auto.co.nzReece McKerrow Ph: 021 988 727 Greg Bardsley Ph: 0279 363 595

editor’s note

System needs to retain integrityThe government listened to

motor industry concerns in August about one aspect of

the Vehicle Licensing Reform (VLR), but the big question is will it take on-board its misgivings again?

The views of the AA, VINZ, VTNZ and Motor Trade Association came to bear fruit when the Ministry of Transport (MoT) delayed the warrant of fitness (WOF) changes.

The government announced October 1 was the date for the first phase of the new regime, but that will now be January 1.

The variable frequency for COFs will reduce from three to 12 months to three to nine months, but what has yet to be announced is if they will remain independent.

That’s because it affects so many Kiwis. According to the NZTA, there were roughly 2.3 million cars out of about 3.42m licensed vehicles on our roads in June 2012.

Major campaigns – for and against pushing many WOFs out from six to 12 months – made headlines, while the mainstream media showed some interest, albeit superficial.

What’s not such a political hot potato with voters is the certificate of fitness (COF) regime, which applies to around 427,000 trucks and some other vehicle classes.

The variable frequency for COFs will reduce from three to 12 months from three to nine months, but what has yet to be announced is if it will bin their independence.

Quite frankly, allowing operators to ensure heavy-vehicle in-service safety is utter madness – there are no guarantees commercial considerations will not overtake the integrity of inspections.

In its submission on the Land Transport Rule: Vehicle Standards Compliance Amendment (No 2) 2013, Federated Farmers said education was needed to ensure

owners knew what a safe heavy vehicle was.

It added a safety checklist developed with the transport sector would help, which says it all really.

Those comments were made in relation to the frequency changes, not what will amount to deregulation if some commercial operators are allowed to issue COFs.

The transport service delivery agents (TSDAs) aren’t anti-competition, in fact they welcome it by responding to market changes.

They are offering more flexibility in the way inspections are carried out and there have been suggestions of “mobile testing” at operators’ premises, which the TSDAs can’t currently do because the rules don’t permit them to.

At the moment we have a regulated environment where intervention ensures safety outcomes. It’s a system that’s fit for purpose and mitigation against it is merely window dressing.

Compliance costs appear to be overstated by some operators and it’s unlikely savings will be as big as the government believes.

Most of the heavy-vehicle industry values the role independent inspectors have in the process as a safeguard for it and road users in general.

The current regime isn’t broken, but if it does buckle under the pressure of change what will the results be?

Put simply, more deaths on our roads because big rigs are unforgiving against the metal bodies of cars and fragile shells of humans.

Let’s hope someone at the Beehive realises this, or perhaps the wrong decisions have already been made.

Darren RisbyEditor

Copyright: Published twice monthly by 4Media, PO Box 6222, Dunedin 9059 All statements made, although based on information believed to be accurate and reliable, cannot be guaranteed, and no liability can be accepted for any errors or omissions. Reproduction of autofile in whole or part, without written permission, whether by xerography or any other means, is strictly forbidden. All rights reserved.

Editor darren risby editor@autofile.co.nz 021 137 5430 Journalist Cameron Carpenter cameron@autofile.co.nz

advErtising Brian McCutcheon brian@autofile.co.nz 021 455 775dEsignEr adrian Payne arpayne@gmail.com

Autofile is also available as an electronic copy via email. If you’d like to receive electronic copies please send an email with your name and organisation to: subscribe@autofile.co.nz. Back copies are also available on request.

4 | www.autofile.co.nz

tune what’s needed, maintain the COF’s integrity and mitigate the risks by having independent testing in more locations.

“Our core business has been supplying inspection services and third-party tests for nearly 20 years.

“VINZ is already an experienced third-party site inspections provider and we could easily introduce COF mobility. We have vast experience in independent testing and we’re already mobile.”

Meanwhile, VTNZ feels removing

independence from COFs will place more emphasis on self-regulation with a big investment needed in auditing, compliance and enforcement – and without those safeguards, it could be hard to protect the integrity of inspections.

It feels most operators with good safety practices will take the same professional approach to fleet safety as they do now, but it’s naïve to think everyone will do the

right thing.“These changes will turn

the industry upside down all for the sake of around $26 million,” says VTNZ.

“You have to ask if it’s worth the increased risk and

disruption to a system that already works very well.”

Chief executive Mike Walsh has already floated the idea of “mobile COFs” in connection with the proposed 60 per cent sale of VTNZ to Stuttgart-based DEKRA SE.

He says the current regulatory regime restricts the TSDA from doing this, but offering tailored, on-site services at some time in the future would be backed by DEKRA.

[continued from page 1]

news

“For example, if a large, heavy rig fails in service, the results can be catastrophic.”

The TSDAs have emphasised the advantages of independent inspections to VLR officials and are resisting opening the market to what would amount to the deregulation of how the COF is supplied.

“We’re hoping the government and its officials can see the benefits of the current testing regime,” Willett told Autofile.

The industry believes independence must remain because of the many risks that could be created if this principal is abandoned.

“The extent of commercial pressure in the commercial vehicle sector – and expanded costs, auditing and training that would be needed to maintain standards – mean there would a greater risk of negative outcomes with more COF providers,” he says.

“There would also be added costs for the NZTA in regulation to ensure the right outcomes are achieved, and it would have to manage more relationships than just dealing with the three current organisations.

“The TSDAs and the industry, such as the Road Transport Forum, are arriving at the same assessment and that’s independence needs to be retained.”

The TSDAs acknowledge there can be more flexibility in the way COFs are provided.

Looking back to previous COF reviews, concerns were raised about the cost of travel, waiting times and rechecks, but cost savings have since been made.

For example, VINZ has removed the requirement for operators to book inspection times. Even by providing extra capacity through

this, some lanes still sit idle because the timing of when customers want to go in can’t be controlled.

The TSDAs could also offer inspections outside the working hours COFs are presently provided and at different locations.

“We understand the industry has suggested current service providers can operate in a more flexible manner,” says Willett.

“Throughout conversations with the VLR team and independent players, it appears many fleet operators and repairers have gone somewhat cold on providing inspection services themselves or maintaining inspections at their own facilities.

“We can open up, however. We have the ability to provide third-party inspections and carry out COFs at other locations.

“We’re open to a more flexible way of providing services and it would be up to the NZTA to allow more flexibility within the rules.

“This is an opportunity to fine

Mobile inspections put forward

AND OUR DEALERS AGREE!

WE TAKE PRIDE IN CALLING OURSELVES YOUR SOLID FINANCE PARTNERPhone Kim Dwyer

on 021 595 124 Freephone 0800 808 058

or visit avantifi nance.co.nz

+ Dealer support+ Market-leading commission+ Flexible fi nancial solutions

Crash statisticsTrucks are over-represented in crashes. They are involved in 15 per cent of fatal

crashes, but only make up about three per cent of the fleet – or six per cent of the total distance

travelled by vehicles.Seventy-two per cent of people killed in accidents

with them are other road users. Although truck drivers are generally responsible for about 50 per cent of serious accidents and 33

per cent of fatal accidents, the consequences of incidents involving them are greater for

other road users. source: Truck Crash Facts Report 2011,

Ministry of Transport

A vehicle going through its certificate of fitness inspection at VINZ’s testing station in Nelson

www.autofile.co.nz | 5

The AA also thinks – in the best interests of road safety – that COFs should continue to be performed by the TSDAs and greater flexibility in the provision of inspections should be avoided.

“The segregation of COF and repair services removes any risk of safety being compromised and ensures consistency across the network,” says Mark Stockdale in the AA’s VLR submission.

“We do, however, think it’s reasonable to help reduce compliance costs for heavy and commercial vehicle operators by permitting TSDAs to do minor repairs or issue COFs for minor defects without a recheck.”

FEEDBACK TO BEEHIVEThe summary and analysis of submissions on the Land Transport Rule: Vehicle Standards Compliance Amendment (No 2) 2013 covered the proposal to change the variable COF inspection frequency.

From July 1, 2014, well-maintained

Other submitters noted safety standards must be maintained under any changes.

Federated Farmers, while backing the proposal, said education was needed to ensure heavy vehicle owners knew what a safe vehicle was.

It believed a comprehensive safety checklist developed with the

transport sector would help.A small number of submitters

opposed the COF changes. These ranged from the current regime should stay, to those who believed the frequency range should be extended, or a change of ownership inspection with a maximum vehicle life should be adopted.

news

Transport officials said decreasing the upper limit of the variable frequency from 12 to nine months would allow the COF regime to better reward operators with good safety records while still targeting safety risks.

The default inspection frequency would remain at six months because the risk profile

of the heavy fleet didn’t justify changing it.

“Risk varies with vehicle type, size, use and mileage,” they stated. “As the make-up of the heavy and commercial fleet is complex, the opportunity to set different defaults for different categories of vehicles is limited.”

heavy vehicles will be eligible to have a COF applied from a range of three to nine months, decreased from three to 12 months, with a six-monthly default.

The government says extending the inspection frequency will encourage and incentivise operators to maintain safe vehicles.

This change received 48

submissions and was supported by most, including the Motor Trade Association (MTA), VTNZ and VINZ.

VTNZ and the MTA supported the proposal as long as the six-month frequency remained as the default and average, while VTNZ called for independent inspection requirements to remain.

The Hunt is on for new Isuzu Utes DealershipsIsuzu Utes are arguably New Zealand’s fastest growing automotive brand in 2013. Their utes are solid, reliable, built by a truck maker and suit Kiwis’ off-road needs. Due to the brand’s growing popularity, Isuzu Utes NZ is seeking suitable business partners to seize franchise opportunities in:

• Auckland (North Shore) • Tauranga • Taranaki • Dunedin

Applicants are invited to submit their Expression of Interest. The successful organisation will have a proven track record and be able to illustrate the investment required to deliver the best brand experience.

Isuzu Utes New Zealand has a strong focus on dealership profitability and you will have access to industry-leading training and product.

Apply in confidence to Murray Greenhalgh, General Manager Isuzu Utes New Zealand Limited PO Box 132305, Sylvia Park, Auckland 1644 Email: murray@isuzuutes.co.nz

THEHUNT2.CO.NZ

“If a large, heavy rig fails in service, the results can be catastrophic.” – Frank Willett, VINZ

6 | www.autofile.co.nz

Developing online for futurenews

minutes will be the maximum,” adds Wiltshire. “We’ve been doing more trials and this should be running by the end of the month.”

He hopes better searches on Dealerbase will improve searches on Trade Me Motors so it’s easier for buyers to find vehicles.

“The idea is people can find a vehicle based on how they want to find it,” explains Wiltshire. “That might be on the CCs and cylinders, or the fact they have four people, a dog, go surfing and like the colour blue.

“It will mean anyone can find a vehicle anyway through more detailed searching, such as lifestyle, recommendations, safety, fuel or on-road costs.”

Trade Me is looking to bolster search functionality by mid-2014, but dates for this and other projects on its road map could change with other priorities.

Dealerbase could also be amended so traders don’t need two accounts – one with Dealerbase and one with Trade Me – by the end of this year.

Meanwhile, the website is going to allow registered vehicle traders to list directly on Trade Me via auctions and classifieds.

“They will be verified by us and identified on the site as dealers, so buyers will be able to specify traders’ cars,” says Wiltshire.

This could become a Consumer Guarantees Act requirement through the Consumer Law Reform Bill, which is awaiting its third reading.

The new legislation may mean Trade Me has to ensure all dealers declare they are in trade, so it’s looking to keep ahead of future requirements.

“The Motor Trade Association

[continued from page 1]

[MTA] and some dealers have been asking us to tell the public they’re buying from traders,” says Wiltshire.

“This is likely to come in during October and I would like it to be compulsory.”

Trade Me’s design and usability team carries out substantial testing and talks to users about what they want.

It’s working on “price compare”, so people can see if vehicles are priced appropriately. It’s live in beta – the last part of the release life cycle – and dealers can access it through Dealerbase.

It can compare stock by make, model and year, but this only applies to dealer listings at the moment. It looks at vehicles on the site, how long they have been there and any sold in the past 12 months.

“It basically gives dealers a guide,” says Wiltshire. “If

“Buyers will be able to specify traders’ cars.”

– Darren Wiltshire, Trade Me Motors

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

ph 0800 668 679

www.autofile.co.nz | 7

news

something’s not shifting, they can check again.

“It’s only available to dealers but that’s all stock, including private. We might look to include private sales and have a different version of the tool for dealers in May or June.”

He stresses this is an example of Trade Me Motors trying to launch products to dealers first “to give them some advantage before making them available to private sellers”.

As for removing the dates of when vehicles are listed online, “there’s a discussion internally about this with a mix of people for and against it”.

“We might end up somewhere in between, but it will be consistent between private sellers and dealers. Perhaps that could involve changing listings to ‘more than six months’.

“Trade Me has to be transparent and consistent with listings dates.”

The company bases its development work around what the market wants.

“We talk to dealers and attend MTA meetings,” says Wiltshire. “A lot of it is feedback from people in the industry with some modifications to overseas ideas to see if they will work in New Zealand.

“Our design and usability team ensures changes will work. We also mock up screen shots and take those to the market, although dates and priorities on projects can change.”

This year, the company is also looking to report back with more information from data so informed buying and selling decisions can be made.

New cars will be stocked because 80 per cent of people who want to find out about them log onto the site.

BREAKFAST WITH DEALERSMore people are accessing online listings through mobile devices, says Trade Me’s chief executive officer. In July 2011, less than 10 per cent of visits were from mobiles but by July 2013 it exceeded 40 per cent.

Jon Macdonald told about 65 industry members at a dealer breakfast in Auckland that people spend about 15 minutes when they

It broke geographical barriers, enabled photos to be posted and it was free “because people didn’t buy anything on the internet”.

In 2000, the company dug deep to keep going, which sales commissions. One year later, inserting the “sell” tab at the top of the home page was a “big step change”.

In 2003, Trade Me Motors entered a partnership agreement with AutoBase, which it later bought. The website moved into

go onto their laptops compared to 30 seconds on smartphones.

“There’s been talk of how mobile will change our world and this is one signal of what it has meant to us. Mobile means faster, easier, more places and more times a day.

“Mobile has double edges with the risk of new competitors using it in ways we haven’t thought about. There’s a threat to revenue lines as the value for display advertisers isn’t great.”

Trade Me is well-represented across relevant platforms, for example developing apps for smart TVs with Panasonic and Samsung.

“One dilemma is the extent we represent different areas of the business on mobile services,” Macdonald said at the event at Alexandra Park Function Centre, Greenlane West, on September 10.

Trade Me tries to keep people in one online location, so there will be a single iPad app for the entire website instead of a separate one for motors.

Macdonald said websites were great at generating data, and Trade Me can target adverts at different genders, by region and more.

“Data can be relevant on mobile if we can use it to provide a personalised experience and ensure Trade Me remains relevant.

“Mobile data includes iPads at about 10 per cent, but the majority is by smartphone. We expect mobile use to top 50 per cent of all devices used to access Trade Me next year.”

During his presentation, Macdonald looked back to the website’s first home page from March 1999.

property in 2005 and the next year it was sold to Fairfax for $700 million.

Its first iPhone application for full streaming with mobile came out in 2012 and the company became publicly listed 2012 with Fairfax selling up.

Now Trade Me is trying to “stay young”. Macdonald said: “We want to remain a small, entrepreneurial company instead of getting too big for our boots.”

AUCKLAND

WELLINGTONNE LSON

KAWASAK I

NAGOYAOSAKA

RVessels arriving every two weeksRServicing Auckland, Wellington, Lyttelton

& Nelson with ‘Direct Port Calls’

w w w . d o l p h i n s h i p p i n g . c o . n z

Full PORT to DOOR service

Karla Sorensen Mob: 0276 796 981 Ph: 09 373 5881 Fx: 09 303 0072Email: karla@dolphinshipping.co.nz

JAPAN to

NEW ZEALAND

CALL ME NOW!

L YTT E L TON

news

Jon Macdonald at the dealer breakfast

8 | www.autofile.co.nz

Inspired to create app for carsA “light-bulb moment”

waiting in a post office queue has resulted in

an application being created for motorists to store important information about their vehicles on.

The MyCar Info app is being rolled out free to dealers and people signed up with Provident Insurance.

It can store all details about vehicles, such as the dealer, finance and insurance companies, and registration.

The app also has general information, including tips on how to change a tyre and dealing with a flat battery. It even has a service log that sends out reminders.

The idea for Provident’s app came from chief executive officer Steve Owens having a “light-bulb moment”.

“I was in a queue at the post

office buying road-user charges,” he says. “When I got to the counter, I was told the registration was needed but I couldn’t remember it because it was a new car.

“I didn’t have the information on me and it was pouring with rain, so I was kicking myself all the way back to the office.

“When I returned to the post office, I thought there must be a better way of doing this.

“There was a girl with an iPhone in front and it came to me that was where all my car information

could be and we should

develop an app.”

Owens says having all of this

information in one place

provides Provident dealers with

added value.“Everyone who buys

our motor breakdown cover gets this app,” he told Autofile. “It’s registered on iStore, but can only be accessed by our dealers and people registered for one of our warranty policies.

“It’s a great thing for our customers to have this app and they’re carrying

around our dealers’ names on their phones.

“And the first thing many people want to do after buying a car is to show to it to friends and family.

“This app’s great for that. It can show off pictures from the gallery while the dealer’s name is flashing on the front.”

Owens says feedback on the app, which went live this week, has been positive and dealers “love it”.

“Someone asked why I wasn’t selling it in the app store at $1.99 a go, but from me it’s all about providing something that’s added

value for our customers.“It’s great for Provident to

have something unique and innovative. There’s no doubt

technology is playing a massive role in the retail market for cars and other goods. We intend to be at the forefront of that.”

news

Print Ads BB.indd 1 29/07/13 12:41 PM

Provident Insurance’s MyCar Info app

Trans Future 7 Voyage 65

osaka 9 Sep, Nagoya 10 Sep, Kawasaki 14 Sep,auckland 2 Oct, lyttelton 4 Oct, wellington 6 Oct, Nelson 7 Oct

Fujitrans World Voyage 156

osaka 2 Oct, Kawasaki 4 Oct,auckland 16 Oct

Delphinius Voyage 338

osaka 16 Sep, Kawasaki 18 Sep,auckland 30 Sep, lyttelton 2 Oct

Car makers are looking at different ways to make their products greener,

but Jeep seems to have been the first to use soy.

The new Cherokee arrives in New Zealand in early 2014 and it includes a “revolutionary” body sealer created from a soy-based product that reduces the decibels and weight while boosting sustainability.

The company’s assembly complex in Toledo, Ohio, features special applicators that inject the acoustic soy foam into strategic parts of the body structure.

The foam blocks unwanted noise from entering the cabin, its density is lower than conventional acoustic material saving up to 0.68kg per vehicle and its renewable content “minimises the impact on the environment”.

Developed with Dow Automotive Systems, Betafoam Renue features the soy-based product instead of petroleum, which is normally used in such material.

And because its density is lower than that of conventional materials, less foam is needed to achieve the desired performance.

It bolsters 10 locations of the Cherokee’s body structure, including the A and B-pillars and rear-wheel wells. Its lower viscosity means it’s easier to work with than other material.

The new foam was first used earlier this year at the Chrysler Group’s assembly plant in Sterling Heights, Michigan, which is home to the 2013 Chrysler 200 and Dodge Avenger mid-size sedans.

Soy foam seals up

Print Ads BB.indd 1 29/07/13 12:41 PM

10 | www.autofile.co.nz

news

Sustainability at top endPresent and future converged

with new models from the BMW and BMW i brands,

including the i3’s premiere, at Frankfurt Motor Show.

With its passenger cell made from carbon-fibre reinforced plastic and eDrive technology for zero-emission driving, it’s the world’s first premium car conceived to provide all-electric mobility.

Its electric motor develops output of 125kW via a lithium-ion battery pack mounted low and central on the under body.

Like the passenger cell, the electric drive system and battery were also

developed and made by BMW.The i3 weighs 1,195kg and

has a range of 130-160km in everyday driving. This can be increased to 300km if the two-cylinder range-extender combustion engine is specified.

An i brand theme is sustainability through the chain. The passenger cell’s carbon fibres are made at Moses Lake in the US using hydropower, while the energy to make the cars at the Leipzig plant comes from wind turbines.

The marque also unveiled its X5 eDrive concept, which combines a sports activity vehicle

with a plug-in hybrid drive system.It combines the xDrive system,

speeds of up to 120kph on electric power alone and average fuel consumption in the EU test cycle of 3.8l/100km.

The system has a four-cylinder TwinPower Turbo combustion engine and 70kW electric motor.

The Active Tourer Outdoor concept showed how a “premium compact model’s ability to adapt to sports and leisure requirements can be maximised through space and detail solutions”.

As an introduction to a new segment, it has a bicycle carrier integrated into the interior and plug-in hybrid drive technology.

The mid-size segment BMW 4 Series Coupe and third-generation X5 also appeared.

The 4 Series will have one six-cylinder and two four-cylinder engines at launch, while the X5 has enhanced sports performance and a weight saving of up to 90kg.

CHARGED UP FOR TORQUEAlfa Romeo took the wraps off its new Giulietta in Frankfurt, with the marque’s 150hp two-litre JTDM engine making its debut in the range.

It’s equipped with the second-generation MultiJet injection system to optimise engine combustion, and cut fuel consumption and noise.

A small-sized turbocharger helps deliver the highest torque in the segment at low revs – 380Nm at 1,750rpm – and running flexibility.

The third-generation common-rail system

controls the diesel injected into the combustion chamber with a quick and flexible sequence, thanks to the hydraulic servo valve.

Up to eight injections per stroke are possible with systems that optimise combustion, such as injection rate shaping. This involves two injections close together for a modulated fuel supply.

Alfa’s TCT twin dry-clutch automatic transmission ensures greater efficiency and driving comfort, and has a sportier feeling than those with torque converters.

The new model should debut in New Zealand in the third quarter of 2014.

NEW ENGINES IN RANGEThe Fiat 500 range has got bigger with the arrival of three new engines.

As well as the engines – the 1.6-litre 120hp MultiJet and 1.4l 120hp T-Jet petrol for the 500L, Trekking and Living – the spotlight fell on the 500 GQ, pictured below.

It was presented in cabriolet version along with the 500e, an electric version sold in California.

The 0.9-litre TwinAir engine will be on sale at the end of 2013 with the new 500 range.

Combined with the six-speed manual gearbox, it generates 105hp at 5,500rpm with maximum torque of 145Nm at 2,000rpm. It has a top speed of 188kph and makes 0-100kph in 10 seconds.

The 500’s consumption and CO2 emissions are 4.2l/100km and

99g/km on the combined

cycle,

BMW’s Active Tourer Outdoor concept Alfa Romeo’s new Giulietta

Reliable fortnightly vehicle logistics

service JAPAN to NZ

PORT TO PORT / DOOR TO DOOR

to Auckland, Christchurch, Wellington, and Nelson

Full MPI inspection service from Kawasaki,

Osaka, and Nagoya

+ Marine Insurance available

Torhild Mellow 021 2253749 or 09 918 4700torhild_mellow@oc.nykline.com

Anna Raina09 918 1305 anna_raina@oc.nykline.com

FOR EFFICIENT CUSTOMER FOCUSED SERVICE CONTACT NYK

SSUUNN PPHHOOEENNIIXX CCOO..,,LLTTDD..

F R E E P H O N E 0 8 0 0 8 0 8 2 6 2

www.autofile.co.nz | 11

news

so it complies with European standards for 2020.

The new TwinAir family member combines less displacement and weight with engineering, via the high-efficiency turbocharger, exhaust manifold integration in the cylinder head and MultiAir 2 intake-valve control system.

The MultiAir optimises thermo-dynamic efficiency by modulating exhaust gases recirculated in the combustion chamber thanks to a new intake cam profile.

The exhaust manifold cuts the temperature of gases to boost fuel consumption.

ECO mode on start is available for the 500, which limits maximum torque to 120Nm and power to 98hp.

MEN’S FASHION CONCEPTMaserati’s Quattroporte Ermenegildo Zegna limited-edition concept features new colours, materials and finish – and is intended for development into production next year.

The marque says it will maintain the same personality as the new range that arrives in Australasia next month.

The concept’s exterior features a paint finish that simulates the fluidity of metal by using ultra-fine aluminium pigments.

The warm interior hues are reinterpreted to emulate Zegna’s latest men’s fashion collections.

Components, such as the seats, door panels and roof lining, are finished in soft leather, in addition

to a velvet-smooth bright fabric.Availability on these shores will

be confirmed next year.

FROZEN CONTINENT CUESJeep’s new Wrangler Polar features a new front grille with black accents, hard spare-tyre cover, body-colour hardtop, 18-inch gloss black alloys and polar white interior finishes.

Trac-Lok limited-slip rear differential is fitted for extreme routes and demanding driving conditions in any weather, and it’s powered by a 2.8-litre turbo-diesel or 3.6-litre V6 petrol engine.

The Polar is based on the Overland launched this year in New Zealand.

Its badge is by the front-fender

flares, and shows the 78°S and 106°E co-ordinates that correspond to Vostok in Antarctica where the world’s severest temperature was recorded at minus 89.2°C.

LIvERy CRAFTED by HANDThe Abarth 595 50th Anniversary edition is the most powerful 595 ever – thanks to its 180hp 1.4-litre engine and Competizione gearbox – and has a limited run of 299 units.

The first 595 appeared at Turin Motor Show in 1963. In the 1960s, the model was a success due to its performance and became the brand’s icon.

The livery is a modern reinterpretation of the original with the colour, logos and graphics handmade in Turin.

Jaguar Land Rover New ZealandCommunications ManagerSales & Product Analyst

With significant new models on the horizon for both Jaguar and Land Rover, increasing levels of sales and a growing dealer network, Jaguar Land Rover New Zealand is searching for two people to join our sales and marketing team in exciting new roles.

Communications ManagerReporting to the General Manager, the preferred candidate will have at least four years marketing & communications experience and will be required to deliver top-level communications to support the growth of the Jaguar and Land Rover brands. Experience in the automotive sector is not essential but it is advantageous. Candidates should also demonstrate their understanding of operating in luxury/high value segments.

Key components of the role will include:• Brand communications• Digital strategy (websites & social)• Direct communications (acquisition & retention)• Dealer support (advertising & CRM)• Events

Sales & Product AnalystReporting to the Jaguar Brand Manager and the Land Rover Brand Manager, the preferred candidate will be a recent graduate with a marketing degree. The role will provide sales, market and product support to the JLR team. A keen interest in cars; excellent Microsoft Office skills; a high level of accuracy; the ability to work under pressure; and excellent communication skills are all a requirement of this role.

Interested candidates for both roles should send a CV to the General Manager via e-mail to james.yates@jaguarlandrover.co.nz. Applications close October 14th

Maserati’s Quattroporte Ermenegildo Zegna Jeep’s new Wrangler Polar The Abarth 595’s 50th birthday edition

news

12 | www.autofile.co.nz

Illegal trader made $10k lossesA man carried on selling

motor vehicles despite being sent warning

letters from the authorities for being unregistered.

Daniel Stuart Procter was fined $4,500 by Dunedin District Court after pleading guilty to operating a motor vehicle business without being registered.

The action was taken by the Ministry of Business, Innovation and Employment (MBIE) after the Registrar of Motor Vehicle Traders (RVMT) received data from the NZTA.

Prosecuting counsel Steve Symon said Procter sold 11 vehicles between April 13, 2012, and February 7 this year without being registered.

A letter was sent to the 20-year-old on September 4 making him aware selling more than six units in a calendar year without being registered might breach the Motor Vehicle Sales Act (MVSA).

The letter advised that if the RVMT failed to hear from Procter, or he didn’t register as a trader by September 19, the matter could be referred for investigation.

The registrar received no reply, so another letter was posted on September 24 giving him 10 more days to complete the registration process.

“At that stage the defendant had sold 11 vehicles in the

past calendar year,” the court was told.“No response was received and

during this period the defendant continued to sell vehicles, so the matter was referred for prosecution.”

The maximum fine for individuals is $50,000 and the seriousness of the offending is largely determined by the number of vehicles sold by the guilty party.

The registration regime has minimal entry criteria aimed at ensuring only suitable people can participate in the industry.

“It ensures a regulation of the motor vehicle industry,” the court was told.

“For example, under section 68 of the MVSA, traders with at least two convictions under section 95 are capable of being banned by the registrar.

“The defendant has previous convictions. The informant doesn’t seek uplift for his criminal history, however we note his past undermines any submission the defendant is of good character sufficient to warrant a further discount.

“The informant accepts the defendant is entitled to the maximum discount for early plea, namely 25 per cent.”

The MBIE submitted a conservative starting point for sentencing was a fine of $6,000.

Judge Michael Crosbie noted that Procter said he hadn’t made any profit and had lost $10,000 along the way.

He said he had swapped one car for another to get to work and back, and hadn’t realised he was doing any wrong.

Procter accepted a $4,500 fine, which included the discount for his remorse and prompt guilty plea.

He was also ordered to pay $500 towards prosecution costs and court costs of $130 when he appeared on September 5.

PROTECTING THE MARKETThe purpose of the MVSA is to promote and protect the

interests of consumers.It defines people who are

treated as dealers as those habitually selling motor vehicles, rather than individuals who occasionally sell them.

Section 8(1) states someone is treated as a trader for the purposes of the act if they sell more than six vehicles in a 12-month period.

Traders must be approved by the Registrar of Motor Vehicle Traders, and the application for registration includes a statutory declaration, application fee and levy. Once accepted, a trader is listed on the register.

Registered traders must ensure a notice is attached to the offered vehicle in a prominent position, which sets out the prospective buyer’s rights under the Personal Properties Securities Act.

Consumer information about the vehicle must all be given in accordance with the Fair Trading

Act and any other “prescribed particulars”.

Dealers must keep a record of contracts for sale and have a duty to produce a certificate of registration on demand.

These obligations promote and protect the interests of consumers by ensuring they’re adequately informed about the vehicle and their rights.

Unregistered traders bring all dealers into disrepute.

JEVIC is now issuing odometer verification certificates to clients electronically via the

company’s website. The documents are enhanced

versions of the existing e-certificate formats and are available online in PDF format.

The changes came into effect on September 16, with the documents being printable and available to view online at www.jevic.com.

Chief executive Euan Philpot says JEVIC NZ has had strong

support from its customers for the enhanced service from logistic suppliers, shipping companies, and retail and wholesale clients.

“They now appreciate having the ability to not only save PDFs as part of their stock records, and they can choose to upload the PDF version to Trade Me and other vehicle-selling sites or print a hard copy for themselves.”

Judging by the number of hits on JEVIC’s website from people viewing certificates, Philpot says it’s obvious

there are also be benefits in having them printable for people in trade.

“It means importers can get them online quicker, so it’s a better way of doing business,” he told Autofile. “There’s also less admin for staff to cope with by the certificates being online.

“This all makes the system much more user-friendly and benefits the environment by not having to print them out.”

JEVIC has been issuing brochures to dealerships to replace the specific

use of certificates to inform clients how to view and download them.

Its in-depth verification process includes comprehensive and detailed checks so it’s satisfied the odometer reading is accurate.

JEVIC also examines service records to see if they correlate to the reading, checks the sales history and matches this data to other details about the vehicle.

If requested, it can remove and visually examine the odometer for signs of tampering.

Documents for clock checks available online

How to make a reportPeople who know or suspect someone is breaking the law by being unregistered can make a complaint to the Registrar of Motor Vehicle Traders.

Visit www.business.govt.nz/companies/ about-us/enforcement/ or phone

0508 446 834.

To fi nd out more about our suite of products or to partner with an industry leader that cares about your success,

PLEASE CALL AUTOSURE TODAY - MARK GREENFIELD 021 502289

AUTOSURE HAS THE SAME PHILOSOPHY AS YOUN We want your dealership

to be successful

N Our success is measured on your success

N We inspire each other and are part of a winning team

Talking of winning, we,

like the rest of the country congratulate

Emirates Team New Zealand on an excellent

campaign. The whole country has been behind them. So were

many non-Kiwis, people who didn’t even know who they were.

Why? Because they were inspired by their passion for success and the spirit of

delivering for those that support them.

It wasn’t about what the Kiwis did, or how they did it, it was why they

did it – this is what makes them different from the rest.

We are our toughest competition and our goal is to always beat our last performance and keep

challenging the status quo on how we do business to best support the motor industry.

We’ve challenged that status quo, with market leading initiatives and our latest enhancements

to our Mechanical Breakdown Insurance, which provides your customers with more protection than ever before. Not only does it markedly look better on paper, it’s backed up by 28 years of trusted, faithful and trialled dedication to our industry,

YOUR INDUSTRY.

MECHANICAL BREAKDOWN INSURANCE

PAYMENT PROTECTION INSURANCE

LOAN EQUITY INSURANCE

MOTOR VEHICLE INSURANCE

14 | www.autofile.co.nz

regional report

City rises to challenges

September marked four years since the first earthquake hit Christchurch in 2010 before

its more destructive descendant struck the following year on February 22.

Since then, the city is being transformed with new businesses emerging, entrepreneurs sparking fresh ideas and the automotive industry seeing strong sales increases.

But the scars of disaster remain and the rebuild has been slow leaving many people frustrated.

The numbers shared by Peter Townsend, chief executive of Canterbury Employers’ Chamber of Commerce, show just how far the recovery of the Garden City has to go.

Insurers are only halfway through fixing the least damaged homes with about 35,000 repairs carried out.

Only 700 of the 25,000 repairs costing more than 100,000 have been made, while 10,000 homes were destroyed during the February quake causing an accommodation shortage and rental and house prices to sky rocket.

While some Cantabrians face daunting waits in wrecked homes for insurers to settle, others have flourished from opportunities that have emerged amid the recovery.

Work and Income figures show almost 5,000 people came off the benefit in Christchurch last year, most going into full-time labouring work.

The city’s growth has been mirrored by new car registrations increasing by 16.4 per cent in the three-month period of May to July.

Overall, the automotive sector

showed huge growth in August compared to the same month of 2012, with sales up by 40 per cent in used cars, 26 per cent in new cars, 40 per cent in used commercials and 13 per cent in new commercials.

July recorded the strongest month in eight months for used cars with 1,391 sales – and used commercials on 131.

The latest ANZ Regional Trends survey out last month showed Canterbury was beating every region in New Zealand, with 6.6 per cent growth in the year to June 2013.

Townsend puts that down to

the start of the recovery phase and expects this to continue in Christchurch.

The government has also announced 20 public sector departments will relocate to the CBD in 2016 with 1,700 employees.

But it’s not only the rebuild that’s pushing forward the economy in the city, with exports from the Port of Lyttelton up by 30 per cent compared to last year.

Agriculture will continue to leverage growth with dairy and sheep, and cropping farms in the region and agribusinesses – such as Ravensdown and PGG Wrightson – are still based locally.

MOVING FORWARD TOGETHERFor car dealers, Christchurch’s growing economy must be a relief as they continue to battle the challenges of operating in the city.

City-centre dealerships Blackwells Holden and Canterbury Mazda were located directly opposite the CTV Building, which collapsed claiming the lives of 115 people.

These businesses closed when the second quake struck, but within

three days they were operating from commercial vehicle sites in the industrial area of Sockburn.

Dealer principal Steve Grenfell, of Blackwells, says the area was transformed into a shelter for earthquake refugees.

“The dealership was an open house for any of our staff and their extended families who needed showers, food, washing machines, freezers and power.”

The franchise has about 130 staff and Grenfell says work was almost a break for them. It created unity within the team as some dealt with horrendous situations at home.

“We ensured our staff had ongoing access to counsellors and we had frequent work barbecues.”

Blackwells has expanded its Sockburn site, which has meant finding more land and working through an arduous consent process.

“It was the most frustrating thing I’ve ever gone through and it took nine months to get consent for a small showroom and some asphalt – it felt like something so simple,” recalls Grenfell.

“My personal view is you have a number of people who are too frightened to sign consents off.”

“East Christchurch is a strong community. A lot of people are eager to get back to where they call home.”

– George Hopman, of Hopmans Cars QEII

Peter Townsend, chief executive of Canterbury Employers’ Chamber of Commerce, with Prime Minister John Key. Photo courtesy Fairfax Media

www.autofile.co.nz | 15

didn’t work for them – it’s quite a conservative town,” says Mackenzie.

“Others haven’t made it but that doesn’t mean others won’t and finding space will be a problem.”

RESILIENCE IN COMMUNITYOn the city’s east side – where the residential destruction is most evident – Hopmans Cars QEII manager, George Hopman, says some people have moved away.

“East Christchurch is a strong community. Many have come back, a lot of people we know of are eager to get back to where they call home and the majority never left.

“Overall it hasn’t affected us dramatically. We just focus on constantly adapting and moving forward.”

Hopman’s business has been operating in the area for 13 years and was closed for just seven days following the quake.

“Initially we noticed a small

decline during the three months after the February 22 quake, although that has remedied itself.”

He believes confidence has returned to the city, which is beginning to buzz again.

“There is high growth among most industries here. We have a lot of people choosing to go out on their own in business and many are expanding their companies.”

Grenfell continues to expand the dealership by building phase two of its showroom extension and planning for stage three while looking for a new city-centre site.

“There’s been an increase quite across the board and there’s no question there’s a good amount of business,” he told Autofile.

The next challenge is finding the right staff.

“We’re going to end up with a shortage of skilled labour in terms of technicians. It’s about bringing apprentices in through the business and growing them with the brand.”

FORCED FROM CITY CENTREDealerships are still taking a beating, but this time it’s the forces of legislation and not Mother Nature.

The Central City Recovery Plan has left them having to find new premises before they are forced off to make way for infrastructure projects laid out in the document.

“We started rebuilding our existing site on Madras Street and then the government acquired the land for the stadium, so we had to stop,” says Grenfell. “We found out on the six o’clock news like everyone else.”

Many of the motor vehicle dealers in the CBD situated between Antigua and Barbadoes Streets – including Cockram Hyundai and Miles Toyota – are affected by the plan because they are located on designated land.

Dealers are already finding new

premises as they settle with the government and recently Bruce Miles, of Miles Toyota, bought land near Moorhouse Avenue, one of the main arterial routes in Christchurch.

“What’s affecting more dealers here is the green zone the government wants to put in and a number of dealerships are still negotiating, but it’s a touchy subject at the moment,” says Andrew Mackenzie, Protecta’s agent for Christchurch.

He says the market for car insurance is strong. “It’s bucking the trend, we’re stronger than perhaps a number of other regions and I believe the rebuild has a major amount to do with it.”

But with all the growth in Christchurch, is there the opportunity for fresh blood in the car industry?

“We had bigger corporates from Auckland try out the region but it

Used Car sales FOr ChristChUrCh - august 2012 to august 2013

TraDer To PublIC

PublIC To PublIC

PublIC To TraDer ToTal TraDer To

PublIC %PublIC To PublIC %

PublIC To TraDer %

Aug ‘12 2139 4782 1588 8509 25.1% 56.2% 18.7%

Sept ‘12 1903 4731 1512 8146 23.4% 58.1% 18.6%

Oct ‘12 5697 4833 1747 12277 46.4% 39.4% 14.2%

Nov ‘12 2360 4708 1671 8739 27.0% 53.9% 19.1%

Dec ‘12 2191 4344 1410 7945 27.6% 54.7% 17.7%

Jan ‘13 2166 4817 1611 8594 25.2% 56.1% 18.7%

Feb ‘13 1986 4628 1640 8254 24.1% 56.1% 19.9%

Mar ‘13 1916 5009 1629 8554 22.4% 58.6% 19.0%

Apr ‘13 2086 4878 1784 8748 23.8% 55.8% 20.4%

May ‘13 2245 5192 1869 9306 24.1% 55.8% 20.1%

Jun ‘13 2009 4559 1545 8113 24.8% 56.2% 19.0%

Jul ‘13 2354 5102 1879 9335 25.2% 54.7% 20.1%

Aug ‘13 2269 5011 1779 9059 25.0% 55.3% 19.6%

annual total 29182 57812 20076 107070 27.3% 54.0% 18.8%

Increase on aug 2012 6.1% 4.8% 12.0% 6.5%

National YTD average

24.8% 56.5% 18.7%

VehiCle sales iN CitY - august 2012 to august 2013

uSeD CarS New CarS uSeD CommerCIalS

New CommerCIalS

Aug ‘12 842 733 85 260

Sept ‘12 803 1043 49 278

Oct ‘12 892 1281 66 263

Nov ‘12 1119 1135 65 326

Dec ‘12 1025 1396 61 228

Jan ‘13 1008 734 96 271

Feb ‘13 908 563 69 290

Mar ‘13 971 829 109 387

Apr ‘13 989 596 112 316

May ‘13 1095 976 117 319

Jun ‘13 987 1292 124 382

Jul ‘13 1391 951 131 315

Aug ‘13 1182 923 119 294

annual total 12370 11719 1118 3669

Increase on aug 2012 40.4% 25.9% 40.0% 13.1%

regional report

Garden City factsPopulation: 363,200 in 2012.

Pedal power: Christchurch is known as New Zealand’s cycling city with about seven per cent of people riding to work.

Pay packets: In 2006, the median annual income for families in the city was about $58,000. About 20 per cent received $30,000 or less and 51 per cent received $50,000 or more.

Cruising time: There are about 800 members of the boy-racer fraternity. They cruise the city’s four avenues and meet up on the side of roads instead of in bars.

The former Blackwells Holden dealership being demolished in 2012

16 | www.autofile.co.nz

NewS in briefBrands compete at motor show to ‘shape new future’ All 14 Japanese manufacturers will feature at the 43rd Tokyo Motor Show, along with 18 overseas marques, in the capital’s Odaiba area.

The theme is “compete and shape a new future” and the event will feature vehicles, parts, machinery and related services. It attracted 842,600 visitors in 2011.

The Japan Automobile Manufacturers’ Association will stage Smart Mobility City during the show. This will cover “kuruma networking – automobiles connecting with people’s lives and society”.

The motor show runs from November 23 to December 1, with a preview night on November 22 with admission limited to 10,000 visitors so the event “can be enjoyed in an uncongested manner”.

Tokyo also hosts the Intelligent Transport Systems World Congress from October 14-18. Its theme is “next generation automobiles and social systems”, and there will be exhibits, test rides and symposia.

Marque gets saddled up for two-wheeled challengeHolden is backing New Zealand’s premier bike event, the Contact Lake Taupo Cycle Challenge, by becoming the new major vehicle sponsor and providing a Trax as a spot prize.

The marque also has the naming rights for the open men’s race, which will now be called the Holden Elite Men’s Classic Race.

From its humble beginnings in 1977 with 26 participants, the event now attracts more than 8,000 entrants with about 12,000 supporters flooding into the township.

The challenge, which is registered as a not-for-profit organisation, is held on the last Saturday in November with proceeds going back into the community through charitable trusts.

Hadleigh van den Engel, dealer principal of Ebbett Holden Taupo, and event director Kay Brake are pictured above celebrating the deal.

Four-cylinder engine comes top of its class in awardsThe 200bhp engine in the new Peugeot 208 GTi and RCZ Sports Coupé has won Engine Technology International Magazine’s annual award in the 1.4 to 1.8-litre category.

The 1.6-litre, four-cylinder, direct-injection turbo petrol engine developed by PSA Peugeot Citroën and BMW Group scooped the title.

It delivers 147kW of power and peak torque of 275Nm with carbon emissions of 139g/km on the GTi, which arrived here in July.

Technologies include direct injection on the turbo version, variable valve timing, a volume flow-controlled oil pump and an on-demand water pump.

Clarifications: Tesla Model S range and drink-drive limitThe Tesla Model S comes with a 60kWh or 85kWh battery. At an average speed of 88kph, its range is 373km and 482km respectively, not 100km as stated in the previous issue of Autofile.

It was also stated the UK’s drink-drive limit is lower than New Zealand’s. They have the same blood-alcohol content of 0.08.

To adverTise here, conTacT:

Vehicles wanted

Ph 021 455 775 advertising@autofile.co.nz

dealers Buying now

Bill Julian p: 09 299 9182 m: 021 922 660 e: august@ihug.co.nz www.augustautos.co.nz

WANTED NOW ! Good quality commercial vehicles

ALWAYS BUYING GOOD NZ NEW VEHICLES

Call Guy Walker 021 992 048

VEHICLES WANTED

Simon O’Reilly 021 31 9992 simon.oreilly@armstrongs.co.nz www.armstrongprestige.com I I I

ALL PORSCHE, LAND ROVERS, RANGE ROVERS, JAGUARS AND VOLVO MODELS

Mitsubishi • Mercedes Benz • Honda Hyundai • Isuzu Utes

SsangYong • Great WallWe purchase NZ new cars & commercials.

All makes & models. Anywhere in NZ.Karl Briggs 0274 721 551 karl.briggs@inghamgroup.co.nz

www.inghamdriven.com

Contact Gareth 021660180 gareth@southcitymotors.co.nz www.317.co.nz

Buying: Vans, Utes, Light Trucks. Nationwide.

Brett Harris 029 293 1232 Brett@FarmerAutoVillage.co.nz www.farmerautovillage.co.nz

VWAudi

WE PURCHASE NZ NEW CARS AND COMMERCIALS FOR ALL OUR FRANCHISES

www.autofile.co.nz | 17

vehicles on safety ratings developed by Monash University in Melbourne.

The system is based on how well vehicles protect occupants from injury in crashes.

With recent improvements in active and passive safety systems, the safety profile of the fleet varies.

Private petrol-powered passenger

vehicles are charged $198 in levies while diesel-powered cars pay $321 through licensing fees.

Changes proposed for 2014/15 would mean the lowest risk-rated petrol vehicles would have an ACC

levy of $98 with $222 for diesels. The MTA previously submitted

cars with a better safety rating, less crash risks to occupants, and therefore a lower cost from an ACC perspective.

Dougal Morrison, general manager of advocacy and training, says: “Cars are getting safer and providing more

protection for occupants, and this is likely to continue.

“This is a good start, but the key will be ensuring enough categories are created and they reflect the state of the fleet over time.”

It may take about 24 months until amendments to consumer information notices (CINs) on

vehicles come into practice.The Imported Motor Vehicle

Industry Association (IMVIA) has had preliminary talks with government officials to explain processes as part of an on-going investigation by the Ministry of Consumer Affairs.

Chief executive David Vinsen says: “Being conservative, this review will probably take two years to make any changes.”

The review follows claims in the mainstream media that loopholes have been exploited so used vehicles crossing the border avoid being flagged as “imported damaged”.

Minister Craig Foss says he will amend the 2010 version of the CIN to provide “more meaningful information for consumers and help them make a more informed decision when purchasing a vehicle”.

“We agree imported damaged isn’t meaningful for consumers because it doesn’t mean anything, it’s just a category,” Vinsen told Autofile.

“Dealers aren’t putting down what damage there is on vehicles. It’s simply a yes or no tick box, and any work needed is repair certified.

“They must then be described as imported as damaged for the rest of their lives – even for a minor biff, or panel and sill damage – and there’s no ‘imported as undamaged’ category.”

After vehicles are flagged by agents inspecting the vehicles on behalf of the NZTA, compliance processes are stringent.

However, imports with minor dents might get flagged while those already being driven on Kiwis roads can go back into service after repairs for much more serious damage.

“One thing to develop out of this could be more information on repair certification on CINs, but then this should also apply to in-service vehicles,” says Vinsen.

Foss says: “Officials have provided me with a report and it’s clear information provided on the

current CIN could be more helpful.“They have been consulting

with industry and consumer groups, and will continue to do so throughout this process.”

NZTA PERMITS REQUIRED The IMVIA has warned dealers to ensure they have permits when

taking uncertified vehicles on the road.

A trader was recently prosecuted by the police for driving one without the correct paperwork.

The dealer, who was taking a late-model left-hand-drive (LHD) car to demonstrate to a buyer, didn’t hold an Annex B: conditional permit for the operation of uncertified vehicles.

Because it was a Category A car, it couldn’t be certified until a Category A LHD permit was approved by the NZTA in the new owner’s name.

To operate one of these or other uncertified light vehicles on trade plates, the Annex B permit and an Annex A list of addresses must be carried and displayed in the car.

The list of names and addresses on the form should include the operator, vehicle inspector or inspecting organisation, and repairer.

The NZTA’s website also has a section on trade plates for uncertified or unregistered vehicles.

The IMVIA advises dealers to read this section and use the forms when operating uncertified or unregistered vehicles on trade plates, “especially LHD vehicles in the process of sale and Category A permit application”.

SAFETY RATING LEVIESThe Motor Trade Association (MTA) has welcomed ACC proposals to base levies for private motor

miles motor groupPAUL CURiN 0274 333 303 pcurin@miles.co.nz

Mercedes BenzVolkswagen

BMWAudi

Lexus

ToyotaNissanChryslerJeep Dodge

VEHICLES WANTED

We are always looking to purchase late model NZ NEW CARS AND COMMERCIALS

Government flags up changes

“Imported damaged isn’t meaningful because it doesn’t mean anything, it’s just a category.” – David Vinsen, IMVIA

news

18 | www.autofile.co.nz

Certified repair rules modified

The ImvIa Technical report is proudly brought to you by leading certifi cation service provider, vINZ

from the trade and for the trade

JEVIC NZ 09 966 1779 www.jevic.co.nzNew Zealand

Japan

Singaporenngnngin

Specialists in Pre Shipment Inspections Full Border Inspections  Biosecurity Inspections

 Structural Inspections Odometer Verification

 Pre Export Appraisal Vehicle History Reports

JEVIC Authorised NZTA Border Inspection Agency

zones and kick-up areas.Cross-members: If there’s denting or distortion of the cross-member after a collision with an object.Cracking: In the unibody or chassis, any cross-members and sub-frames, load-bearing member or energy management paths in unibody structures, or a vehicle with a body-over-frame chassis in the energy management paths, engine, suspension or body mounts, pillars or sills.

Repaired damage: When signs of fresh repair, rust prevention or under-sealing to the structure are evident.Supplementary restraint system: If it has a deployed airbag or seatbelt pre-tensioner, or evidence of repairs to or tampering with airbag module covers.

REPAIRS TO BE CERTIFIEDWater or fire damage: A vehicle must be repaired if there’s such damage.

For the certification threshold, evidence of water damage may be physical or the vehicle is an

insurance write-off due to it.Corrosion damage: Outward signs of metal being eaten away, evident by pitting, include panel swelling between spot welds, or paint lifting or bubbling. In extreme

cases, affected areas fall out.Vehicles must be repair certified

for corrosion in structural areas.Rust bleed is a stain or mark

around corrosion that may be invisible. It’s commonly found where panels join or overlap when

corrosion has started and moisture has stained or marked the surface.

Perforated corrosion is when the metal is so corroded it has holes, or they appear when scale is removed. If metal is badly pitted causing a loss of thickness, it must be treated as perforated corrosion.

The repair of bolt-on parts, such as doors, within a 150mm circle around the outside of hinges or latches also needs certification.

Replacing these parts will not require certifying if the inspector is satisfied safety systems are unaffected.

NZTA criteria on flag removal for damage in certain areas – such as the

dog leg, rear quarter, and sill and rocker panel – have been tightened.

Rules have also expanded to include documents. If an invoice, registration, HPI or Australian PPSR certificate contains “statutory write-off”, “write-off”, “salvaged”, “junked” or “non-repairable”, the vehicle is flagged as damaged.

It must then be referred to a repair certifier before a transport service delivery agent can certify it. Repairs “must restore the damage or wear to within safe tolerance of its state when manufactured or modified”.

The following must be referred to repair certifiers.Under-body impact damage: If this results from a collision with an object that splits seam welds, distorts suspension members or mounting points, or tears off metal structures excluding floor-pan stiffeners.Denting or distortion: If there’s discernible denting or distortion to folds or swages in the dog leg, sill panel or structure of the inner/outer sill weld seam.

A vehicle must also be referred if rocker panels are dented or creased lengthways along the sill and the crease’s depth exceeds 25mm, or if the panels are vertically dented or creased across the sill regardless of the crease’s depth.Crush zones and kick-up areas: If distortion of longitudinal rails affects the front and rear crush

MALCOLM YORSTONIMVIA Membership and

Technical Services Manager

tech report

ISSUES THAT ARE ALLOWEDCosmetic damage or deterioration: To body panels if it doesn’t affect the integrity of the chassis, energy management paths, or bonded or welded seams or joints from manufacturing.

Cosmetic parts on a unibody chassis are generally bolt-ons, such as the front guard, boot lid and doors.Denting or distortion: If rocker panels are dented or creased lengthways along the sill to less than 25mm.Cross-members: Minor jacking damage if there’s no indication

of loss of steering or suspension alignment.Repaired damage: If only to correct cosmetic damage to outer panels, and the inspector can discern its extent and confirm no manufacturer’s seams or

joints have been disturbed.

FLAGGED AT THE BORDERWhen a border inspection organisation identifies damage, the vehicle will be flagged on LANDATA. If the damage doesn’t exceed the certification threshold, an application must be made to remove the flag.

A vehicle may have a flag removed if repaired in accordance with the Vehicle Inspection Requirements Manual and removal has been requested by the repair certifier.

Visit http://vehicleinspection.nzta.govt.nz/virms for the full requirements.

Repairs completed on motor vehicles because of flood damage must be correctly certified

www.autofile.co.nz | 19

Freephone: 0800 435 7868 Email: contact@ protecta.co.nz • www.protecta.co.nz

Your Partner for Profit

Trusted for over 25 years

Northland/Auckland: Russell Bowater - 021 794 154Auckland: Tony Knezovich - 021 963 559Waikato/BOP: Ron Gibson - 021 587 070Manawatu/Hawkes Bay/ Taranaki: Alan Marlow - 021 906 642Wellington: Kevin Whitaker - 021 242 7623Nelson/Canterbury: Andrew Mackenzie - 021 533 808Otago/Southland: Daniel Harvey - 021 333 373

National Sales Manager: Ray Meharg - 021 223 6851

Knowing market key to success

sales talk

17%  

11%  

20%  

10%  

31%  

27%  

25%  

17%  

43%  

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55%

Fina

nce

Paym

ent

prot

ectio

n GA

P In

sura

nce

MBI

New  

Used  

Best result $1,364Worst result $452

PROTECTA Nationwide F & I resultsAugust 2013

In last month’s article we addressed quality turnover and, judging

by the training we’ve done recently, many of our dealerships have taken this on-board with some excellent results.

If taken seriously, there’s a window of opportunity for the business manager to sell your and the dealership’s finance and insurance (F&I).

Doing your homework is important in understanding other options customers have.

When considering the competition, think about cash, bank loans, mortgages, revolving credit, hire purchase, operating leases, debt consolidation loans and credit cards.

Apart from banks, credit unions also have finance options. Friends or relatives can provide loans, as well as finance and mortgage brokers, while other dealers with business managers are also competitors.

WHAT CAN YOU DO?Find out the details of what competitors offer – interest rates, fees, charges, term, deferred payments and so on.

Complete a monthly mystery shopper’s survey. Research the market by calling banks, brokers, finance companies and credit unions, and make a chart with up-to-the-minute information.

Know the lending facilities. If buyers have vehicle loans through banks, they could go through to finance companies so establish what banks and financiers are affiliated.

Find out lending criteria – the vehicle’s age, loan-to-value ratios, driver’s licence status, visa status, homeowner or renter and so on.

Check each bank and finance company’s website for documentation, early termination account and monthly fees. Visit www.interest.co.nz for interest

rates to update your chart monthly.

Establish how long it takes for approvals and delays in pay-outs. After choosing cars, buyers are usually keen for delivery so find out how long it takes banks to process applications. 

Ask how long it will take to settle and funds to show in your bank account after a tax invoice is issued by the dealership

MARKET DIFFERENCESTake time to work out competitors’ shortcomings. Banks usually offer low interest rates, but have high fees and charges.

Finance companies usually have higher interest rates but lower fees and charges, so establish the dollar difference you offer. 

When your up-to-date chart is complete, memorise this information because when you are with customers you need to speak about competitors with confidence.

Knowing their offerings will mean you’re able to overcome customers’ objections to convert more of them into dealership F&I.

Dealers are vehicle financing specialists, competitors aren’t – they are general financiers.

Work out why buyers should use your products and how to present this. Ask questions with “are you aware that…” and don’t forget to offer F&I to all customers.

Don’t make your biggest competitor yourself by not taking up the challenge – do your homework and grab the opportunities provided to you.

Last month our results were strong following training we’ve completed through the country. If you would like to talk to us about increasing your bottom line, give us a call.

ERiN MiLLSBusiness development –

business manager training

20 | www.autofile.co.nz

Email subscribe@autofi le.co.nz and receive Autofi le twice per month to your inbox or mailboxThe trusted voice of the auto industry for more than 25 years

We love subscribers and it’s FREE for those in the auto industry

BackgroundRajamokan Panchalingam bought a 2005 Honda Airwave from Alfa Motors Ltd, trading as Car4u, for $13,995.

He rejected the car after claiming the tyres were mismatched and because panel work, windscreen and reverse gear faults weren’t fixed by the trader.

The dealer accepted the complaint about the tyres. It asked the buyer to return the car to have that rectified but he didn’t.

The trader added there was nothing wrong with the panels, windscreen or transmission at time of sale, and the buyer hadn’t required it to repair any faults of which it claimed it had no knowledge.

The casePanchalingam bought the car on September 26, 2012, after test driving it when its odometer was on 111,101km. The trader obtained a warrant of fitness (WOF) before it was supplied.

The buyer agreed to pay $13,995 and traded in a 1996 Toyota Camry which, after paying back an encumbrance on that car, left a credit balance of $38. This reduced the purchase price to $13,957.

He financed that through a collateral loan from Alphera Financial Services repayable over a 47-month term.

Shortly before the vehicle was supplied, the trader noticed one tyre had a puncture and replaced it with another that didn’t match the others on it.

It asked the buyer to take the car back in a day or two to have that rectified, but the trader said Panchalingam didn’t.

A day or two after he bought the vehicle, Panchalingam said he noticed a small stone chip in the windscreen in an area not swept by the wipers.

He also said he noticed panel damage and the car didn’t drive properly in reverse gear.

The purchaser claimed he phoned the trader about those faults and the trader promised to have them fixed, but the trader denied the buyer said this or required it to rectify any faults.

The buyer admitted he didn’t return the car because he was too busy.

On April 2, 2013, the buyer went to VTNZ to get a WOF done – the previous warrant obtained by the trader before selling the car expired on March 28.

The odometer was on 113,592km, so the buyer had driven it 2,491km in six months since purchase. It failed for worn tyres, tyre rotation and radial, and faulty wiper blades.

The buyer said a few days later he went to see Mr G Sharma, the trader’s salesman, who promised to change the tyres.

There was a conflict of evidence as to what happened next. The buyer said Sharma asked him to take the car to the trader’s mechanic to have the job done.

On the first occasion Panchalingam did so, he said the mechanic refused to do the job unless the buyer paid him $140 because the trader didn’t pay his bills.

The buyer acknowledged that on a second occasion he took the car back he missed an appointment.

The mechanic said he was unable to do the job because he

had sold the tyres when the buyer hadn’t kept his time slot.

The trader said when the buyer took the car back in April, he demanded the trader pay him $200 for each of four new tyres he wanted to fit.

The trader offered the buyer $400, who refused. The trader agreed to have its mechanic fit four tyres. But the buyer didn’t keep appointments and they weren’t replaced.

Sharma said he had never been told by the buyer there were issues with panels, the windscreen or reverse gear.

When the buyer took the vehicle back in April regarding the tyres, he saw no panel damage.

The buyer produced no photos to support his claim there was a chip in the windscreen or damage to the panel work, and offered no evidence these existed when the car was supplied.

A quotation of $2,371 from AOSC and produced by the buyer contained no information to establish if it had been tested and if any faults existed.

In the absence of any evidence about the problem, the tribunal wasn’t satisfied the buyer proved – on a balance of probabilities – the claimed fault with the reverse gear existed.

The findingThe tribunal found the car wasn’t of acceptable quality when sold because its tyres were mismatched and thought a reasonable consumer would regard this as unacceptable.

After listening to and questioning Panchalingam, it was satisfied he didn’t take the vehicle

The case: The buyer rejected the

car after claiming there were four

problems with it. The trader accepted

one, but said he failed to return the

vehicle so it could be rectified.

The decision: The tribunal

ruled the buyer didn’t comply with

his Consumer Guarantees Act (CGA)

obligations, so he wasn’t entitled to

recover the $200 he spent on the car

or reject it.

At: The Motor Vehicle Disputes

Tribunal, Auckland.

back to the trader and require it to repair any faults he claimed existed – the windscreen chip, damaged panel or the claimed problem with reverse gear.

His explanation for not doing so was because he was too busy.

However, the tribunal accepted the purchaser required the trader to remedy the fault with the tyres.

After listening to each party and observing the buyer, who displayed a “volatile temperament” at the hearing, the tribunal thought he probably adopted an unreasonable attitude and required the trader to pay $800 for four new tyres.

It accepted the trader was willing to pay to have its mechanic replace the tyres, but the buyer didn’t keep an appointment to take the car back to have them fitted.

The tribunal found the buyer didn’t comply with his obligation under section 18(2)(a) of the CGA to give the trader a reasonable time to remedy the faulty tyres before he bought four second-hand ones and had them fitted.

Panchalingam wasn’t now entitled to recover the $200 he spent buying them and wasn’t, for the same reason, entitled to reject the vehicle under the CGA.

OrderThe application was dismissed.

Buyer failed to return car to dealer for repairs because he was ‘too busy’

disputes

www.autofile.co.nz | 21

BackgroundSimon Patchett bought a 1998 Volvo S40 for $4,990 from Jeffrey Hauschild, trading as SS Enterprises, on February 2, 2013.

He sought to recover the cost of repairs to the engine and also wished to reject the car, but the trader claimed Patchett was entitled to neither.

The caseThe vehicle offer and sale agreement recorded the odometer reading as 101,000km at the time of sale.

But this was under-estimated given the registration invoice recorded a reading of 102,554km at a warrant of fitness inspection undertaken on January 13.

The cambelt tensioner bearing failed on April 24, damaging the belt and in turn the valves and the top of the pistons.

The most economical repair was to fit a replacement second-hand engine for $4,996.

Patchett provided an estimate for repair of the head damage, excluding any repair to the pistons, of $4,403.

The same day the engine failed, Patchett tried to contact Jeffrey Hauschild.

After a few failed attempts his father went to see the trader but he wasn’t prepared to help.

Patchett sent a letter rejecting the car on April 29. Hauschild didn’t accept that, so Patchett went ahead with the repairs at a cost of $4,996.

He told the tribunal that, before buying the car, he had been told by Hauschild the cambelt had been replaced and that Topp Motors had worked on the vehicle.

Both of these statements were correct, however the cambelt

wasn’t replaced by Topp Motors. Records indicated that it

appeared it was replaced by someone called Owen and it seemed likely only the cambelt was replaced, and not the idler or tensioner bearings.

It was usual for idler and tensioner bearings to be replaced at the same time as the cambelt.

Peter Burbidge, the automotive diesel engineer with 35 years’ experience who repaired Patchett’s car, said it was normal practice to replace the bearings when a new cambelt was fitted.

He said that if customers didn’t want this to happen, he required them to sign a disclaimer.

Burbridge thought the cambelt that had broken was relatively new, but the idler and tensioner bearings were original.

Patchett was concerned he had been misled about the cambelt. He submitted he was given the impression the replacement had been carried out by Topp Motors, so he concluded the idler and tensioner bearings had also been replaced.

Had he known the cambelt hadn’t been replaced by a professional mechanic, he said he wouldn’t have bought the car.

Patchett also claimed he had been misled into believing the car was economical.

He described a statement by Hauschild about travelling a considerable distance without having to fill the car up with fuel and stated he hadn’t been able to achieve that degree of fuel economy since he had it.

Patchett hadn’t raised this issue previously – it wasn’t referred to in his application – and was of some surprise to Hauschild.

But Patchett didn’t have any formal evidence of fuel consumption to support his claim.

Hauschild agreed he told Patchett that the cambelt had been replaced and Topp Motors had worked on the car.

He confirmed it was also his assumption the bearings had been replaced at the same time as the cambelt, but he and Patchett didn’t discuss that.

Hauschild’s key submission was the car was of acceptable quality when sold. He didn’t regard it unacceptable for a buyer to have to spend $5,000 on a car 12 weeks after purchasing it.

The findingWhen the car was sold, it had a relatively new cambelt but the idler and tensioner bearings hadn’t been replaced as would have been expected during routine maintenance.

The bearings failed seven weeks later after about 1,500km.

Leaving aside the question of whether or not Patchett was misled, the tribunal found the car failed the guarantee of acceptable quality in the CGA.

This was because no reasonable buyer would buy a car knowing he or she would have to spend the purchase price again to replace the engine less than two months later.

The tribunal found the failure was substantial and was satisfied a reasonable purchaser, fully acquainted with the car’s true condition, wouldn’t have bought it for $4,990.

Section 18 of the CGA gives remedies in respect of failures in the guarantee of acceptable quality.

The consumer may require

The case: The buyer applied to

recover the cost of having a second-

hand engine fitted to his car and to

also reject it under the Consumer

Guarantees Act (CGA).

The decision: The buyer wasn’t

entitled to recover repair costs and

then reject the vehicle because CGA rights cannot be exercised sequentially, so the trader was ordered to pay for the repairs.

At: The Motor Vehicle Disputes

Tribunal, Blenheim.

the supplier to remedy the failure within a reasonable time.

When a supplier refuses or neglects to do so, or fails to do so within a reasonable time, the consumer may have it fixed elsewhere and obtain from the supplier reasonable costs incurred in doing so, or reject the goods.

When the failure cannot be remedied, or is substantial, the consumer may reject the goods or obtain damages for any reduction in value below the price paid.

In addition, the consumer may obtain from the supplier damages for any loss or damage resulting from the failure – other than loss or damage through a reduction in the value of the goods – that was foreseeable as liable to result from the failure.

Patchett wasn’t entitled to both recover the costs of repair and then reject the vehicle.

Rights set out in the CGA as outlined above cannot be exercised sequentially, so in this case the appropriate remedy was to order Patchett be compensated for the cost of repairs pursuant to section 18(2)(b)(i).

The tribunal ruled the repairs paid for by the buyer were reasonable, so the cost of the engine was refunded.

OrderThe trader was ordered to pay the buyer $4,996.

Trader ordered to refund engine’s cost but rejection of vehicle thrown out

Email subscribe@autofi le.co.nz and receive Autofi le twice per month to your inbox or mailboxThe trusted voice of the auto industry for more than 25 years

We love subscribers and it’s FREE for those in the auto industry

disputes

Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne

Napier New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Westport Christchurch Timaru Oamaru Dunedin

Invercargill Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth

Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Whangarei Auckland Hamilton Thames Tauranga Rotorua

AR

ou

N d t H e C ou Nt

Ry

22 | www.autofile.co.nz

0800 7000 44autoport.netwww.

UK, Japanese and local vehicles.Finance available.

The TRUSTED online wholesale trading site.

PHONE 0800 ARMACUP (276 2287) or 09 303 3314EMAIL enquiries@armacup.com

www.armacup.com

YOUR FIRST CHOICE IN SHIPPING

TWO SAILINGS PER MONTH JAPAN TO NZ

Port Calls Sepang Express V8

Morning Miracle V4

Hoegh Xiamen V20

Sepang Express V9

Osaka 15 Sep 29 Sep 15 Oct 30 Oct

Nagoya 16 Sep 30 Sep 16 Oct 31 Oct

Yokohama 17 Sep 1 Oct 17 Oct 1 Nov

Auckland 5 Oct 17 Oct 5 Nov 18 Nov

Wellington 10 Oct 21 Oct 10 Nov 23 Nov

Lyttelton 19 Oct 19 Oct 16 Nov 29 Nov

LATEST SCHEDULE

PORT TO DOOR SERVICEINCLUDING: MAF Border inspection Odometer certifi cation Digital Photography for prior sales in NZ NZ Customs clearance Delivery Nationwide Insurance

GENEROUS REWARDS PROGRAMMEShip your motor vehicles on Armacup vessels and you can earn seamiles points for air travel (only applicable to used imports)

Biggest increases/Decreases By town year-on-year

(August 2013 vs August 2012)

Biggest increases new Used

Oamaru  100.0% Oamaru  120.0% Blenheim  65.7% Palmerston nth  73.2% rotorua  64.3% Blenheim  66.7%

Biggest decreases new Used

greymouth  50.0% westport  50.0% wanganui  36.0% Palmerston nth  32.8%

7000

6000

5000

4000

3000

2000

1000

AUG

‘12

SEPT

‘12

OCT ‘

12

NOv

‘12

DEC

‘12

JAN

‘13

FEb

‘13

MAR

‘13

APR

‘13

MAy

‘13

JUN

‘13

JUL

‘13

North Island

South Island

10000

9000

8000

7000

6000

5000

4000

AUG

‘12

SEPT

‘12

OCT ‘

12

NOv

‘1 2

DEC

‘12

JAN

‘13

FEb

‘13

MAR

‘13

APR

‘13

MAy

‘13

JUN

‘13

JUL

‘13

Used

New6828

8648

1806

6842

Used VehicLe RegistRationsNorth IslaNd versus south IslaNd

PassengeR VehicLe RegistRationsNew versus used

Vehi

cles

sol

d

4500

4000

3500

3000

2500

2000

1500

1000

500

0

AUG

‘12

SEPT

‘12

OCT ‘

12

NOv

‘12

DEC

‘12

JAN

‘13

FEb

‘13

MAR

‘13

APR

‘13

MAy

‘13

JUN

‘13

JUL

‘13

Auckland

Wellington

Vehi

cles

sol

d

600

500

400

300

200

100

0

AUG

‘12

SEPT

‘12

OCT ‘

12

N Ov

‘12

DEC

‘12

JAN

‘13

FEb

‘13

MAR

‘13

APR

‘13

MAy

‘13

JUN

‘13

JUL

‘13

Hamilton

Tauranga

Palmerston Nth

DunedinChristchurch

4323

509

1182

319

739

247213

aucklaNd, wellINgtoN, chrIstchurch hamIltoN, tauraNga, duNedIN, PalmerstoN North Used imPoRt PassengeR VehicLe RegistRations by city

August 2013

autoport.net

The TRUSTED online wholesale trading site.

www.autofile.co.nz | 23

PHONE 0800 ARMACUP (276 2287) or 09 303 3314EMAIL enquiries@armacup.com

www.armacup.com

YOUR FIRST CHOICE IN SHIPPING

TWO SAILINGS PER MONTH JAPAN TO NZ

Port Calls Sepang Express V8

Morning Miracle V4

Hoegh Xiamen V20

Sepang Express V9

Osaka 15 Sep 29 Sep 15 Oct 30 Oct

Nagoya 16 Sep 30 Sep 16 Oct 31 Oct

Yokohama 17 Sep 1 Oct 17 Oct 1 Nov

Auckland 5 Oct 17 Oct 5 Nov 18 Nov

Wellington 10 Oct 21 Oct 10 Nov 23 Nov

Lyttelton 19 Oct 19 Oct 16 Nov 29 Nov

LATEST SCHEDULE

PORT TO DOOR SERVICEINCLUDING: MAF Border inspection Odometer certifi cation Digital Photography for prior sales in NZ NZ Customs clearance Delivery Nationwide Insurance

GENEROUS REWARDS PROGRAMMEShip your motor vehicles on Armacup vessels and you can earn seamiles points for air travel (only applicable to used imports)

24 | www.autofile.co.nz

Cheap stock difficult to sourceA dealership with 20 years’

experience in the market says the availability of

stock in Japan isn’t an issue but price is.

There has been widespread talk about favourable dollar-yen cross-rates acting as incentives for dealers to import in high numbers.

All Kiwis are in the same boat when this happens, although it does create an advantage over buyers from other countries.

Auto Wholesale Ltd in Palmerston North imports direct and has access to every auction house in Japan seven days a week “so it can supply any vehicle not in stock”.

Manager Brady Kennett says there are plenty of cars available in Japan, but they are proving

hard to buy because they’re quite expensive.

“Whenever there’s a big move for the dollar over the yen, there’s a short window to get some good deals until the market is tightened up over there,” he told Autofile.

“You can do okay if there’s a swing of three to five cents and you take advantage of that window.

“There’s availability across the board in Japan, other than diesels, and there’s a massive portfolio of cars at auction.”

Kennett wouldn’t be surprised if the number of used vehicles for sale there on a daily basis was in the region of 50,000.

“It’s a lot and we’re online looking at what’s available all the time.”

The number of used passenger vehicles imported from Japan in August was the

highest for three months and the fourth highest of the year.

The total of 8,074 units beat 7,654 and 8,051 in June and July respectively.

Only May with 10,402 units, April with 10,006 and March with 8,401 have seen more Japanese imports cross the border.

The year-to-date figure is 64,349 units, which is 93.5 per cent of 68,461 used imports from all markets.

The UK remains in second place with 1,909 units imported so far in 2013 with 263 coming in last month, the third highest total this year. The best month was May, when 297 units were landed.

Kennett keeps up to date with the UK market and reports an “influx of SUVs” with the likes of Audi and Volkswagen.

With the exchange rate between the pound and dollar sitting where it is, he says the last thing the market needs is “Kiwis cutting each other’s throats” to source British stock, resulting in a few hundred units sitting on the wharves.

With such a favourable cross-rate, there are good margins to be made on UK imports “but an even flow into this country is needed”.

He adds: “With the pound only being double, this makes a massive change for us. Vehicles from there much more affordable and people are buying from the UK.”

Kennett has heard of someone bringing an ex-demonstration BMW out and making big savings on equivalent prices here, while “there’s nothing to stop people buying new cars in the UK – they could be sold here cheaper”.

www.heiwa-auto.co.nz

11000

10000

9000

8000

7000

6000

5000

4000

3000

2000

JAN FEb MAR APR MAy JUN JUL AUG SEPT OCT NOv DEC

2009

2011

2010

Used import Passenger Vehicles By Country Of export CouNTrY oF exPorT

2013 2012 2011JaN ’13 Feb ’13 mar ’13 aPr ’13 maY ’13 JuN ’13 Jul ’13 auG ’13 2013 ToTal moNThlY

mrKT Share 2012

ToTalmarKeT

Share 2011 ToTal % ToTal

Australia 113 126 157 176 171 118 196 167 1225 1.9% 1199 1.6% 1015 1.2%

Great Britain 293 195 194 221 297 206 240 263 1909 3.0% 2730 3.7% 1573 1.8%

Japan 3940 7821 8401 10006 10402 7654 8051 8074 64349 93.5% 67442 92.6% 83534 95.2%

Singapore 11 14 6 8 9 9 17 14 88 0.2% 154 0.2% 327 0.4%

USA 94 90 83 106 63 81 96 99 712 1.1% 976 1.3% 976 1.1%

Other countries 33 22 11 22 25 21 26 18 178 0.2% 336 0.5% 287 0.3%

Total 4484 8268 8852 10539 10967 8089 8626 8635 68461 100.0% 72837 100.0% 87712 100.0%

2012

Used imPOrt PasseNger VehiCles arriVals

PEACE OF MIND. Ramp inspection before shipping

Reece McKerrowPh: 021 988 727

Greg Bardsley Ph: 0279 363 595

www.heiwa-auto.co.nz

2013

www.autofile.co.nz | 25

Sales continue to curve up

seCONdhaNd Car sales - august 2013

Dealer-To-PublIC PublIC-To-PublIC PublIC-To-DealerauG '13 auG '12 +/- % marKeT Share auG '13 auG '12 +/- % auG '13 auG '12 +/- %

Whangarei 546 528 3.4 3.11 1758 1644 6.9 281 238 18.1

Auckland 5868 5605 4.7 33.43 13432 13430 0.0 4666 4010 16.4

Hamilton 1514 1413 7.1 8.63 3208 3007 6.7 1223 1095 11.7

Thames 221 187 18.2 1.26 476 451 5.5 83 70 18.6

Tauranga 864 888 -2.7 4.92 1931 1824 5.9 670 568 18.0

Rotorua 258 274 -5.8 1.47 700 710 -1.4 129 138 -6.5

Gisborne 160 152 5.3 0.91 409 336 21.7 94 81 16.0

Napier 522 556 -6.1 2.97 1310 1244 5.3 369 385 -4.2

New Plymouth 465 491 -5.3 2.65 1108 989 12.0 309 230 34.3

Wanganui 210 203 3.4 1.20 431 398 8.3 143 113 26.5

Palmerston North 845 769 9.9 4.81 1536 1627 -5.6 1072 598 79.3

Masterton 183 207 -11.6 1.04 356 357 -0.3 95 89 6.7

Wellington 1536 1460 5.2 8.75 2803 2725 2.9 1274 1074 18.6

Nelson 318 316 0.6 1.81 929 788 17.9 246 211 16.6

Blenheim 172 182 -5.5 0.98 332 347 -4.3 119 115 3.5

Greymouth 87 89 -2.2 0.50 216 170 27.1 42 48 -12.5

Westport 24 32 -25.0 0.14 89 132 -32.6 2 1 100.0

Christchurch 2269 2139 6.1 12.93 5011 4782 4.8 1779 1588 12.0

Timaru 259 264 -1.9 1.48 540 463 16.6 143 149 -4.0

Oamaru 73 70 4.3 0.42 162 175 -7.4 15 24 -37.5

Dunedin 738 669 10.3 4.20 1647 1538 7.1 502 425 18.1

Invercargill 419 448 -6.5 2.39 914 946 -3.4 286 337 -15.1

NZ total 17551 16942 3.6 100.00 39298 38083 3.2 13542 11587 16.9

Consumer Guarantees Act 1993 Motor Vehicle Sales Act 2003 Sale of Goods Act 1908 Fair Trading Act 1986 Energy Effi ciency and Conservation Act 2000

Compliance made simple... since 1999

Proud to sPonsor the secondhand car sales statistics

The number of trade-ins bought by car dealers from the public was about

4,000 units less than they sold to customers last month.

Nationally, there were 13,542 public-to-dealer transactions. This was a 16.9 per cent increase compared to 11,587 trades in August 2012 and they made up 24.9 per cent of last month’s total.

Over the same period, there were 17,551 trader-to-public sales compared to 16,942 – this 3.6 per cent rise equated to19.2 per cent of transactions in August.

Public-to-public sales beat both dealer totals by 8,205 units to claim 55.8 per cent of the market. There were 39,298 private transactions compared to 38,083 in August 2012, up by 3.2 per cent.

Thames posted the biggest

rise in dealer-to-public sales when comparing last month’s figures to August 2012 with 221 registrations to 187, a difference of 18.2 per cent.

Westport returned the biggest pro-rata decrease from 32 to 24 units, a shortfall of 25 per cent.

With trade-ins, the largest drop was in Oamaru – down 37.5 per cent from 24 to 14 units. Palmerston North was up by 79.3 per cent from 598 to 1,072 units.

Clive Linn, owner of Linn Motors in Thames, says used vehicle sales have been steady.

“We’re quite happy with how things are ticking along,” he says. “When we want something we cannot always find it, but that has always been the same.”

The sweet point is probably in the $8,000 to $18,000-$20,000 price bracket and the business is

doing “alright” with margins.“We’ve got to be conscious of

margins because they pay our bills, but where they’re at is competitive.”

Comparing internet to yard traffic, the dealership “gets a bit of both, although we’re probably doing more yard sales”.

Linn adds: “We’ve been in Thames for 23 years and our headquarters have been in Paeroa for 75 years. We get a lot of repeat trade because we’ve been here for so long and have a substantial clientele.”

Brady Kennett, manager of Auto Wholesale Ltd in Palmerston North, reports business as being pretty steady – “not too bad” – and this year’s sales curve looked similar to 2012’s until August when they picked up.

“There’s no answer to why, it’s just the motor trade and there never

seems to be a reason,” he says.“People movers, seven and

eight-seaters, are in favour. Normally they’re pretty steady, as are station wagons.”

The SUV segment is the next most popular, although there’s a lack of stock with the emissions rules.

“SUV values are quite strong for resale,” says Kennett. “To get something half-decent, you have to pick and choose because supply just stopped all of a sudden.”

“Our used car sales are okay,” says Ross Dodds, dealer principal of Windsor Nissan in Cambridge. “We’re doing well with ex-new, New Zealand stock and anything up to three years old.”

Most second-hand car sales in August were recorded in Auckland, followed by Christchurch, Wellington, Hamilton and Tauranga.

26 | www.autofile.co.nz

UDC Finance Limited lending criteria applies.

Seal the deal with UDC.Ph 0800 500 832 or visit www.udc.co.nz

Hatch to target private buyersKia Motors NZ finished

joint 10th with Nissan on August’s marques ladder

selling a total of 212 passenger cars and SUVs.

Of its monthly sales, 67 – or 31.6 per cent – were private, while 145 were business transactions.

The manufacturer is hoping its new Cerato hatchback, which is aimed predominately at private buyers and is currently being heavily advertised, will boost its presence in the small car market.

In the top 10, five brands had more private registrations pro-rata than Kia.

Mitsubishi had the highest proportion with 261 private sales in its total of 389, or 67.1 per cent.

It was followed by Volkswagen with 270 out of 424, or 63.7 per cent. Suzuki, Nissan and Mazda came next.

Toyota, Holden, Ford and Hyundai were the top four for overall and business transactions last month, with the Japanese marque exceeding 1,000 units.

Year to date, there are about 50 models and 270 variants in the competitive small car segment.

Seventy-three per cent of small cars sold are hatchbacks with 18 per cent being sedans, while 2013 has so far seen a 19 per cent increase in the models.

Kia, meanwhile, will have more presence when its three-door hatch arrives in November or February, and it recognises specification and delivery are important.

Since the Cerato sedan was launched earlier this year, global sales for the first six months of

2013 put the model 13.7 per cent ahead of the same period last year.

General manager Todd McDonald says this bodes well for the five-door variant and it’s good to have a hatchback after a four-month absence “for a push in sales”.

It’s expected to sell 650 units in 2014 and is aimed mainly at private buyers, but Kia expects some business sales.

An example of the small print is the car’s spare wheel because that – as opposed to having a space saver – is finding its way onto fleet buyers’ checklists.

Kia says it needs to introduce local character to the brand, and integrate its television, on-demand and social media offering.

With advertising, the marque reports growth in online, media as declining and television as consistent.

“We’re trying to introduce more brand appeal to women aged 25-plus and men aged 30-plus,” says McDonald.

That’s because 58 per cent of small cars are by bought by female over-35s, while the age group for new vehicle buyers is women aged 40-70 and men aged 45-80 with household incomes exceeding $80,000.

To target private buyers, Kia is the commercial partner for TV One’s Nothing Trivial, whose viewers fit its target demographics.

The business market is being targeted through a campaign on domestic Air NZ flights, while the television advert for the Cerato hatch is the marque’s first to be shot on these shores.

Passenger Car sales by Private/Business split (iNClUdes sUVs)

maKe PrIvaTe % PrIvaTe buSINeSS % buSINeSS ToTal

Alfa Romeo 7 30.4 16 69.6 23

Aston Martin 3 100.0 0 0.0 3

Audi 66 40.0 99 60.0 165

Bentley 1 50.0 1 50.0 2

BMW 66 37.3 111 62.7 177

Chery 9 75.0 3 25.0 12

Chrysler 4 26.7 11 73.3 15

Citroen 14 41.2 20 58.8 34

Daihatsu 5 50.0 5 50.0 10

Dodge 16 30.8 36 69.2 52

Fiat 12 54.5 10 45.5 22

Ford 127 21.9 452 78.1 579

Great Wall 12 57.1 9 42.9 21

Holden 237 27.6 622 72.4 859

Honda 231 50.9 223 49.1 454

Hyundai 138 27.5 364 72.5 502

Jeep 33 49.3 34 50.7 67

Jaguar 0 0.0 9 100.0 9

Kia 67 31.6 145 68.4 212

Lamborghini 0 0.0 1 100.0 1

Land Rover 23 65.7 12 34.3 35

Lexus 27 54.0 23 46.0 50

Maserati 1 100.0 0 0.0 1

Mazda 157 34.8 294 65.2 451

Mercedes-Benz 59 36.0 105 64.0 164

Mini 27 60.0 18 40.0 45

Mitsubishi 261 67.1 128 32.9 389

Nissan 86 40.6 126 59.4 212

Peugeot 75 68.2 35 31.8 110

Porsche 7 58.3 5 41.7 12

Renault 3 75.0 1 25.0 4

Skoda 16 32.0 34 68.0 50

SsangYong 33 45.2 40 54.8 73

Subaru 64 54.2 54 45.8 118

Suzuki 203 55.6 162 44.4 365

Toyota 311 28.8 768 71.2 1079

Volkswagen 270 63.7 154 36.3 424

Volvo 9 69.2 4 30.8 13

Total 2680 39.3 4134 60.7 6814

*Business sales include rental and government sales, and the totals include passenger cars and SUVs. SOURCE: MIA

www.autofile.co.nz | 27

Your fi rst choice in automotive lending.

UDC Finance Limited lending criteria applies.Ph 0800 500 832 or visit www.udc.co.nz

NeW VehiCle marKet segmeNtatiON - august 2013

auG '13 auG '12 mTh% DIFF 2013 YTD 2012 YTD % YTD

Passenger 4,552 3,799 19.8 33,154 32,767 1.2

SUV 2,262 2,125 6.4 19,976 17,156 16.4

Light Commercial 2,261 1,913 18.2 17,528 14,038 24.9

Heavy Commercial 317 267 18.7 2,298 1,899 21.0

Other 38 62 -38.7 323 340 -5.0

Total market 9,430 8,166 15.5 73,279 66,200 10.7

Light 1,308 998 31.1 9,980 9,241 8.0

Small 1,971 1,568 25.7 13,444 13,305 1.0

Medium 667 603 10.6 5,052 5,184 -2.5

Large 443 389 13.9 3,085 3,383 -8.8

Upper Large 18 25 -28.0 168 157 7.0

People Movers 77 91 -15.4 596 630 -5.4

Sports 68 125 -45.6 829 867 -4.4

SUV Small 506 501 1.0 4,283 3,611 18.6

SUV Medium 1,010 752 34.3 8,102 5,990 35.3

SUV Large 713 842 -15.3 7,310 7,296 0.2

SUV Upper Large 33 30 10.0 281 259 8.5

Light Buses 43 36 19.4 296 291 1.7

Vans 413 441 -6.3 3,372 3,249 3.8

Pick Up/Chassis Cab 4x2 690 537 28.5 5,147 3,499 47.1

Pick Up/Chassis Cab 4x4 1,115 899 24.0 8,713 6,999 24.5

Heavy Commercial 317 267 18.7 2,298 1,899 21.0

Other 38 62 -38.7 323 340 -5.0

Total market 9,430 8,166 15.5 73,279 66,200 10.7

NeW VehiCle sales BY BUYer tYPe - august 2013

auG '13 auG '12 mTh % 2013 YTD 2012 YTD % YTD

Passenger 4,552 3,799 19.8 33,154 32,767 1.2

Private 1,776 1,315 35.1 12,642 11,694 8.1

Business 2,232 1,814 23.0 15,585 15,903 -2.0

Gov’t 127 243 -47.7 1,756 2,048 -14.3

Rental 417 427 -2.3 3,171 3,122 1.6

SUV 2,262 2,125 6.4 19,976 17,156 16.4

Private 904 748 20.9 7,515 5,989 25.5

Business 1,189 1,273 -6.6 10,822 9,470 14.3

Gov’t 43 68 -36.8 431 440 -2.0

Rental 126 36 250.0 1,208 1,257 -3.9

Light Commercial 2,261 1,913 18.2 17,528 14,038 24.9

Private 498 354 40.7 3,667 2,816 30.2

Business 1,535 1,348 13.9 12,468 9,838 26.7

Gov’t 164 151 8.6 970 1,017 -4.6

Rental 64 60 6.7 423 367 15.3

Sub Total 9,075 7,837 15.8 70,658 63,961 10.5

Private 3,178 2,417 31.5 23,824 20,499 16.2

Business 4,956 4,435 11.7 38,875 35,211 10.4

Gov’t 334 462 -27.7 3,157 3,505 -9.9

Rental 607 523 16.1 4,802 4,746 1.2

Heavy Commercial 317 267 18.7 2,298 1,899 21.0

Other 38 62 -38.7 323 340 -5.0

Total 9,430 8,166 15.5 73,279 66,200 10.7

Two utes dominated new vehicle sales last month with 392 Ford Rangers

and 376 Toyota Hiluxes pushing the Corolla with 328 registrations into third place.

August was the fourth month out of the past five that the Ranger has been the best seller in its segment, although it trails the Hilux 2,970 units to 3,201 year to date.

Corey Holter, managing director of Ford NZ, says dealers around the country now have stock available.

“Ford’s objective with the all-new Ranger was to design and engineer a ute that was better than the competition in all areas, including refinement, safety, performance and capability,” he says.

“It’s a fantastic truck and we’re

“To get this four-wheel-drive so close to 30 grand is great and I’m excited about the new Peugeot stock.

“Utes are becoming readily available and the Isuzu D-Max has just come off the back of its second-biggest month.”

Paul Brown, dealer principal of John Andrew Ford and Mazda in Auckland, says small cars and SUVs continue to be top sellers.

“The retail market continues to grow and there are excellent new products from Ford and Mazda.”

Dennis Sweetman, owner of Dennis Sweetman Motors in Hastings, says sales of the Peugeot 308 have been strong.

“There’s a good range of electric-diesel vehicles coming out from Peugeot and – unlike other

Kiwis just keep on truckingvery glad to have it in our line-up.” 

Overall sales of four-by-fours have increased by 38 per cent in the past six years, while the SUV segment has been the only one to increase volumes faster – up by 64 per cent.

At the same time, sales of 4x2 utes have gone up by 23 per cent to make it the third fastest-growing segment between September 2007 to August 2013.

With average monthly sales running at 1,739 units, utes were the largest new vehicle segment behind SUVs on 2,499. They were followed by 1,673 small and 1,248 light passenger vehicles.

Paul Burborough, dealer principal of Winger Hamilton, says: “We’re excited by the recent release of the Impreza X at $31,990.

hybrids – they don’t compromise on power,” he told Autofile.

Michael Gapes, chief executive officer of Manukau Toyota, says the pricing of cars has been good. “Interest rates are low and deals seem to be attractive.”

August’s 9,430 new vehicle sales included 2,602 new commercial sales compared to 2,216 this time last year. That was an increase of 386 units – or 17.4 per cent – and the highest monthly total since August 1984.

There were 6,828 registrations of passenger vehicles – a 14.5 per cent increase over August 2012 when there were 5,959. It was the best August sales since 1987.

Year-to-date passenger vehicle sales are up by 6.1 per cent on this time last year.

+64 9 411 7425www.autohub.co.nzShip with us. Together we’re unbeatable.

Over 1500 nominations.1 winner. Enough said.

Print Ads Awards.indd 1 18/09/13 3:30 PM