july auto sales dropped sharply · page 1 subscriptions: $350 per year. this publication cannot be...

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www.spotsndots.com Subscriptions: $350 per year. This publication cannot be distributed beyond the office of the actual subscriber. Need us? 888-884-2630 or [email protected] Copyright 2017. The Daily News of TV Sales Thursday, August 3, 2017 JULY AUTO SALES DROPPED SHARPLY SEVENTH STRAIGHT MONTHLY DECLINE Sales of cars and light trucks have been down every month so far this year—following the record-setting 2016— and July was a real downer, especially for the Detroit Three. The seasonally adjusted annual rate (SAAR) of sales sank to 16.8 million. That’s the fifth straight month below 17 mil- lion and down sharply from the 17.9 million SAAR of July 2016. Total sales were down 6.9% from a year ago to 1.4 million units. GM posted the worst numbers of the Detroit Three, with sales down 15.4% to 226,107 units. “We have strategically decided to reduce car production rather than increase incentive spending or dump vehicles into daily rental fleets, like some of our competitors,” said Kurt McNeil, U.S. vice president of Sales Operations. The company emphasized that light trucks and crossovers accounted for 80% of sales. By brand, GMC was the best performer, down only 7.3%. Chevrolet was down 15.3%, Cadillac 21.7% and Buick 30.5%. FCA US also posted a double- digit decline, with sales off 10.5% to 161,477, although Jeep Compass, Chrysler Pacifica minivan and Ram ProMaster City each posted their best July sales ever. Alpha Romeo was up dramatically as its new dealer network ramped up, although that was still only 1,225 vehicles. The Ram nameplate was up 0.1%, while all others declined: Dodge by 11.9%; Jeep 12.3%; Fiat 18.0%; and Chrysler 30.1%. Ford Motor Company did a bit better, with July sales off 7.4% to 199,318 units. The company emphasized that retail sales fell only 1% as fleet sales dropped 26.4%a— in part because of a recall halt for sales of Transit trucks. Sales VP Mark LaNeve said “SUV retail sales were up 9.1% nationally, with growth in every region of the country.” Lincoln sales were down 2.5% and Ford 7.6%. One of the few companies to post a sales gain was Toyota Motor Sales, up 3.6% to 222,057. Sales of the RAV4 topped 40,000 to set an all-time monthly record. Toyota and Lexus were each up 3.6% and both saw record July sales for light trucks. Subaru gained 6.9% to 55,703. Another bright spot was a year-over-year increase in the industry’s average transaction price as the shift away from cars to pickups, SUVs and crossovers resulted in higher price tags. Kelley Blue Book put the average transaction in July at $34,721, up 1.7% from July 2016 and down only 0.3% from June of this year. Nissan USA posted only its second monthly decline of 2017, down 3.2% to 128,295, although Infiniti was up 9.0% as Nissan fell 4.1%. American Honda was down 1.2% to 150,980, with Acura up 3.7% and Honda down 1.7%. ADVERTISER NEWS Sometimes troubled companies make it back from the brink of disaster and Lumber Liquidators appears to be one of those. Devastated a few years back by a report on 60 Minutes about the safety of some of its flooring, second quarter comp store sales were up 6.1%, coming from a 5.3% increase in the number of customers and a 3.5% increase in the average sale. Profit rose by 38.1% for the chain, which stayed constant at 385 stores……AutoNation profit fell by 21.5% with retail unit sales down 2% on a same store basis and “very challenging…market conditions” in Texas and Floroda, two of the company’s biggest states. The company is moving ahead with its Brand Extension initiative, now operating 72 AutoNation Collision Centers with AutoNation Precision Parts centers and AutoNation Auto Gear locations remaining on track. Multiple parts categories are expected to be available at AutoNation USA stores by year-end…… Restaurant Brands reports it has made good progress so far integrating Popeyes Louisiana Kitchen into the rest of the company, but comp store sales for that chain were down 2.7% in the second quarter. Comps were also off by 0.8% at Tim Horton’s, but up 3.9% at Burger King. Including units opened within the last year though, all three units showed systemwide sales growth, led by Burger King’s 10.6% gain……Texas Roadhouse announced comp restaurant sales up 4.0% at company- owned units in the second quarter along with gains of 3.6% at domestic franchised locations. Seven company-owned units were opened, including two Bubba’s 33 locations. For the full year, management expects a total of 27-29 new units including four Bubba’s……Nestle Waters North America is launching a new campaign behind its Nestle Pure Life brand. TV support for the new campaign will break on September 12……As we have noted before, there’s usually quite a lag in getting production results from the furniture business, and the Furniture Insights survey of manufacturers now reveals the industry had a strong May, with new orders running 8% ahead of May, 2016. Backlogs at that point were also strong, 11% ahead of the prior year……Publix reversed the comp store decline it had recorded in the first quarter with a 1.6% increase in the second quarter, although the shift of Easter into the second quarter may have helped. Comps are still down slightly (-0.3%) on a year-to-date basis……Supermarket News says newly formed Cardenas Markets aims to be the largest Hispanic retailer (not just grocery store) in the U.S., with plans to add 5-10 stores per year going forward. The Ontario, Ca-based chain took over Mi Pueblo Food Centers to reach 47 stores recently, although both banners are currently still being used.

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Page 1: JULY AUTO SALES DROPPED SHARPLY · PAGE 1 Subscriptions: $350 per year. This publication cannot be distributed beyond the office of the actual subscriber. Need us? 888-884-2630 or

PAGE 1

www.spotsndots.comSubscriptions: $350 per year.

This publication cannot bedistributed beyond the office

of the actual subscriber. Need us? 888-884-2630 or

[email protected] Copyright 2017.The Daily News of TV Sales Thursday, August 3, 2017

JULY AUTO SALES DROPPED SHARPLYSEVENTH STRAIGHT MONTHLY DECLINE Sales of cars and light trucks have been down every month so far this year—following the record-setting 2016—and July was a real downer, especially for the Detroit Three. The seasonally adjusted annual rate (SAAR) of sales sank to 16.8 million. That’s the fifth straight month below 17 mil-lion and down sharply from the 17.9 million SAAR of July 2016. Total sales were down 6.9% from a year ago to 1.4 million units. GM posted the worst numbers of the Detroit Three, with sales down 15.4% to 226,107 units. “We have strategically decided to reduce car production rather than increase incentive spending or dump vehicles into daily rental fleets, like some of our competitors,” said Kurt McNeil, U.S. vice president of Sales Operations. The company emphasized that light trucks and crossovers accounted for 80% of sales. By brand, GMC was the best performer, down only 7.3%. Chevrolet was down 15.3%, Cadillac 21.7% and Buick 30.5%. FCA US also posted a double-digit decline, with sales off 10.5% to 161,477, although Jeep Compass, Chrysler Pacifica minivan and Ram ProMaster City each posted their best July sales ever. Alpha Romeo was up dramatically as its new dealer network ramped up, although that was still only 1,225 vehicles. The Ram nameplate was up 0.1%, while all others declined: Dodge by 11.9%; Jeep 12.3%; Fiat 18.0%; and Chrysler 30.1%. Ford Motor Company did a bit better, with July sales off 7.4% to 199,318 units. The company emphasized that retail sales fell only 1% as fleet sales dropped 26.4%a—in part because of a recall halt for sales of Transit trucks. Sales VP Mark LaNeve said “SUV retail sales were up 9.1% nationally, with growth in every region of the country.” Lincoln sales were down 2.5% and Ford 7.6%. One of the few companies to post a sales gain was Toyota Motor Sales, up 3.6% to 222,057. Sales of the RAV4 topped 40,000 to set an all-time monthly record. Toyota and Lexus were each up 3.6% and both saw record July sales for light trucks. Subaru gained 6.9% to 55,703. Another bright spot was a year-over-year increase in the industry’s average transaction price as the shift away from cars to pickups, SUVs and crossovers resulted in higher price tags. Kelley Blue Book put the average transaction in July at $34,721, up 1.7% from July 2016 and down only 0.3% from June of this year. Nissan USA posted only its second monthly decline of 2017, down 3.2% to 128,295, although Infiniti was up 9.0% as Nissan fell 4.1%. American Honda was down 1.2% to 150,980, with Acura up 3.7% and Honda down 1.7%.

ADVERTISER NEWS Sometimes troubled companies make it back from the brink of disaster and Lumber Liquidators appears to be one of those. Devastated a few years back by a report on 60 Minutes about the safety of some of its flooring, second quarter comp store sales were up 6.1%, coming from a 5.3% increase in the number of customers and a 3.5% increase in the average sale. Profit rose by 38.1% for the chain, which stayed constant at 385 stores……AutoNation profit fell by 21.5% with retail unit sales down 2% on a same store basis and “very challenging…market conditions” in Texas and

Floroda, two of the company’s biggest states. The company is moving ahead with its Brand Extension initiative, now operating 72 AutoNation Collision Centers with AutoNation Precision Parts centers and AutoNation Auto Gear locations remaining on track. Multiple parts categories are expected to be available at AutoNation USA stores by year-end…… Restaurant Brands reports it has made good progress so far integrating Popeyes Louisiana Kitchen into the rest of the company, but comp store sales for

that chain were down 2.7% in the second quarter. Comps were also off by 0.8% at Tim Horton’s, but up 3.9% at Burger King. Including units opened within the last year though, all three units showed systemwide sales growth, led by Burger King’s 10.6% gain……Texas Roadhouse announced comp restaurant sales up 4.0% at company-owned units in the second quarter along with gains of 3.6% at domestic franchised locations. Seven company-owned units were opened, including two Bubba’s 33 locations. For the full year, management expects a total of 27-29 new units including four Bubba’s……Nestle Waters North America is launching a new campaign behind its Nestle Pure Life brand. TV support for the new campaign will break on September 12……As we have noted before, there’s usually quite a lag in getting production results from the furniture business, and the Furniture Insights survey of manufacturers now reveals the industry had a strong May, with new orders running 8% ahead of May, 2016. Backlogs at that point were also strong, 11% ahead of the prior year……Publix reversed the comp store decline it had recorded in the first quarter with a 1.6% increase in the second quarter, although the shift of Easter into the second quarter may have helped. Comps are still down slightly (-0.3%) on a year-to-date basis……Supermarket News says newly formed Cardenas Markets aims to be the largest Hispanic retailer (not just grocery store) in the U.S., with plans to add 5-10 stores per year going forward. The Ontario, Ca-based chain took over Mi Pueblo Food Centers to reach 47 stores recently, although both banners are currently still being used.

Page 2: JULY AUTO SALES DROPPED SHARPLY · PAGE 1 Subscriptions: $350 per year. This publication cannot be distributed beyond the office of the actual subscriber. Need us? 888-884-2630 or

PAGE 2 The Daily News of TV Sales @ www.spotsndots.com

NETWORK NEWS At the Television Critics Association summer meetings, the CW network announced dates for its superhero crossover event. On Monday, November 27th at 8 PM (ET) Supergirl will be paired with Arrow. The following night, Tuesday, November 28th, The Flash will be in DC’s Legends of Tomorrow. When asked about the crossovers going from four nights last season to two this season, CW president Mark Pedowitz said, “Last year’s (crossover) was the most successful week in CW history in terms of ratings and everything. We felt in this particular case we had Flash and Legends paired, so it was better to make it two two-hour movies – a miniseries – we thought this was the best way to go. We had a lot of conversations with producers and marketing people. Next year, we might go back to four nights.” Last March, Supergirl starred on the musical Duet episode of The Flash…… Now is the perfect time for the CW reboot of Aaron Spelling’s iconic 80’s soap Dynasty. That’s according to executive producer Josh Schwartz. Speaking to critics at the Television Critics Association, Schwartz said, “We are living in an age of dynasties, you can’t look at the news,” he said, “without hearing about “Trump or the Clintons or the Kardashians or the Murdochs. Our news is filled with stories of dynasties.” The producers also announced the reboot will be set in Atlanta and not Denver……Another reboot is being considered at NBC. The network has put in development a new version of its signature 1980’s action crime drama Miami Vice, with Fast and Furious duo Vin Diesel and Chris Morgan producing. The original series ran from 1984-1989 and quickly became a pop culture phenomenon. It was unlike standard police procedurals of the time and drew heavily on the 1980’s New Wave culture and music. NBC’s new Miami Vice and Charmed at the CW are broadcast series remakes being produced for next season……ABC has announced that the upcoming ninth season of The Middle will be the show’s last. The series picked up an early season renewal from the network in January after moving to Tuesday from its anchor spot on Wednesday last season. The Wednesday night spot was taken over by The Goldbergs. In its new Tuesday spot, The Middle improved its half-hour by 22% year-to-year with total viewers and was the most watched comedy in the time period in five years – since the 2011-2012 debut of Last Man Standing. The final season of The Middle premieres Tuesday, October 3rd at 8 PM (ET).

COMPETITIVE INFO YouTube has expanded the business model of its online video platform to let major publishers who choose to use its backend video player the ability to control ad sales both on their sites and on the YouTube site. Ad Age reports that Google-owned YouTube is offering the video player and its services for free to those big online publishers to expand its footprint in online video ad distribution. The move is steps up its competition with third-party video players from companies like Brightcove, Ooyala and JW Player.

AVAILS Entravision, Boston MA, is looking for an extraordinary ad sales professional who wants to join a dynamic team as the Digital Sales Manager. This person will maximize advertising revenue by selling to digital focused advertising agencies and direct clients. Must aggressively manage new business development opportunities with key accounts and additional accounts. Digital advertising sales experience is required; prefer 2+ years of digital sales experience, with key agency contacts. To apply, please send cover letter/resume to: Carlos Sporleder, Digital Regional Manager,

[email protected] Bloom Ads seeks an Associate Media Director, Digital & Programmatic Strategy, Los Angeles, CA. This person will be responsible for establishing strong relationships with clients and partners which includes being the primary point of contact for day-to-day management of client business. The ideal candidate will have senior level client negotiation, cross platform digital planning and buying,

extensive programmatic strategy and management experience with the ability to write clearly and to make lively, imaginative but substantive presentations. Send resume, cover letter and salary requirements to [email protected] and use “AMD, Digital & Programmatic Strategy” in the subject line. WROC-TV8, a CBS Affiliate in Rochester NY seeks a Director of Sales to be responsible for leading the operations of the Sales Department. The DOS works with the sales team, and within established department guidelines, to increase sales volume. The successful Director of Sales will be active in the community, building business and strong relationship and knowledge of the local economic landscape. Bachelor’s Degree in Marketing, Advertising, Communications, or related field preferred. Minimum five year experience in sales, preferably in the media field. CLICK HERE to apply. EOE. KFVS-TV, the Raycom-owned CBS affiliate in Cape Girardeau, MO seeks a dynamic Director of Sales. The candidate must be an innovative leader who knows how to maximize revenue on all platforms. A successful track record driving LOCAL and DIGITAL revenue. Must have experience coaching, training and leading team members to consistently grow market share and new revenue streams. Three years television sales management experience and college degree preferred If qualified, please submit resume with your application HERE. No calls please. EOE/M/F/D/V Sports Radio Account Executive, WCMC-FM, Raleigh NC. We’re looking for a professional with a positive outlook, incredible drive, and tenacious “can do” attitude!

This position will focus on managing and growing existing station key accounts as well as developing new business on 99.9 The Fan ESPN Radio, Buzz Sports Radio and a host of other sports related

digital and event marketing opportunities. CLICK HERE for more info or to apply. EOE M/F. All CBC properties are tobacco free. Capitol Broadcasting Company participates in E-Verify.

8/3/2017

Jimmy Kimmel

L.A. has the Olympics in 2028. Only 11 more

years, and then volleyball! Between climate change

and Kim Jong Un it’s optimistic to think we’ll still have a Los Angeles in 2028.

Page 3: JULY AUTO SALES DROPPED SHARPLY · PAGE 1 Subscriptions: $350 per year. This publication cannot be distributed beyond the office of the actual subscriber. Need us? 888-884-2630 or

The Daily News of TV Sales @ www.spotsndots.com PAGE 3

TOY SALES MORE THAN KIDS’ PLAY The U.S. toy industry grew its dollar sales by 3% in the first half of 2017, according to The NPD Group. With about one-third of total annual sales typically occurring in the first half, NPD estimates that the industry will grow approximately 4.5% for the full year. “The toy industry is off to a slower start in 2017 than last year, but much of it has to do with the fact that the industry is comparing against strong Star Wars movies sales from last year, as a result of the December 2015 release of Star Wars Episode 7. This comparison will go away starting in September, just in time for the next Force Friday event,” said NPD SVP Juli Lennett. “The industry will need growth of around 5% in the second half of the year to reach NPD’s estimate, and I expect the box office to lead it there.” Six of the 11 super-categories posted gains, led by Games & Puzzles, Plush, and All Other Toys which includes fidget toys. Games & Puzzles grew the fastest at 24%, had the largest absolute dollar growth at $143 million, and represented over 40% of total toy industry gains. Within Games, adult games grew the fastest at 267%. Strategic trading card games made up about half the dollar growth, led by Pokémon – which was the number-one property as well as growth property for the total toy industry, up 60% compared to last year. Plush sales grew by 13%, driven undoubtedly by Hatchimals. Thanks to fidget toys, All Other Toys grew its sales by 9%. THIS AND THAT The E.W. Scripps Co. (a different entity from the company selling cable networks to Discovery) has bought the 95% it did not yet own of the Katz broadcast “diginets” for $292 million in a deal expected to close in early October. Katz operates four networks, all of which are rated by Nielsen and are forecast to generate about $180 million in revenue. Bounce TV is billed as the first and only African-American broadcast network. Grit targets men 25-54 with a lineup of western, war and action programming, while Excape targets women 25-54 and comedy network Laff runs off-network sitcoms and movies targeted to adults 18-49.....One Click Retail reports Amazon’s second quarter sales showed 50% growth year-over-year in Groceries along with 40% growth in Health & Personal Care items and Beauty Supplies. It’s also becoming a big factor in Pet products with 30% growth year-to-year.

DONE DEALS The Katz Television Group has named media executive Doug Pfaff Executive Vice President of Business Development and Partnerships. Pfaff brings more than 25 years of media sales experience to the newly created position, most recently at Fox Sports. Pfaff began his career as a media buyer before moving to account executive positions at various companies, including Seltel, Telerep and Blair Television. Pfaff will report to Leo MacCourtney, President of Katz Television Group.

BUSINESS BYTES Hospitals are salready large advertisers in some markets but a recent industry survey show that many more could benefit from increased advertising. Marketwatch reports “hospital operators haven’t been having a particularly good time in recent months,” as operators such as HCA Healthcare and LifePoint Health recently reported disappointing revenue and profit numbers. Among the problems are that many patients have been shifting insurance from more lucrative (to hospitals) insurance

plans to government plans, and, simply, people are going to the doctor less (because high deductibles and cost-sharing have changed people’s behavior, restraining some from doctor visits that could lead to hospital activity). HCA reported recently “We remain in a much lower healthcare utilization environment post-2008 and this is the new normal.” Ross Cellino & Stephen Barnes are lawyers with a very successful business built with TV support and helped by

having a jingle and a famous (888-8888) phone number—but now Cellino is suing Barnes in an attempt to dissolve the firm. Barnes, however, wants the business to keep going. “C&B is not suffering and its management is not impaired,” he wrote in arguing the firm should stay in business. “Ross chose to remove himself from actively participating in C&B.” Barnes added closing the firm would be a “foolish waste” of investments in the phone numbers and copyrighted firm name that had been branded through the “use of millions of advertising dollars.” He also accuses Cellino of trying to steal clients and attorneys for a new firm. Using local attorneys in many markets, C&B represents about 12,000 clients and is on track to win about $200 million in settlements, according to court filings.

8/3/2017

Michael Burke

Want the feeling of owning a boat? Stand in the shower

with your clothes on and rip up money.

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