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MONTHLY MAGAZINE OF AUTOTALK.CO.NZ – VOLUME 10 | ISSUE 6 | JULY 2019

T H E V E H I C L E D E A L E R ’ S N E W S S O U R C E

INSIDE

13

GLOBAL VEHICLE LOGISTICS NZ · JAPAN · AUSTRALIA · UK · EUROPE | www.autohub.co

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Experience lost in restructure? 3Cars and solar power dealership 8On the hunt for ESC 13Multi-Tasking mum runs dealership 22 22

The former owner of Buy Right Cars is adamant he does not want the business back.

Brandon Orlandini sold the eight-yard business to Turners in 2016, part of Turners’ expansion into a more retail fo-cused business. Earlier this year Turners dropped the Buy Right Cars brand and replaced it with its own.

The deal was for a notional sum of $15.3 million plus inventory, which included $22m in vehicles. Orlandini, through his company Turnover Limit-ed, received $7.5m in cash and $2m in stock, with the rest to be paid out under

the earn-out deal.That earn-out deal is now at the

heart of legal proceedings, with a case set down for the High Court next year. It focuses on his claims that Turners forced him out of the business, and ran it in a way that was against the earn-out deal in the sales agreement.

For its part, Turners is steadfast that it has done nothing wrong.

In court, Justice Anne Hinton asked Orlandini’s lawyer Don MacRae if Or-landini was worried about the business-es assets being stripped, or just about

Buy Right deal ends up in High Court

Continued on page 12


The board of VIA is making progress on funding and its budgets - though is likely to

need an extension to the time-frame it was given at the recent AGM.

At the meeting, the board was given two months to present a bal-anced budget and funding options

to the membership. It is looking to stave off insolvency - caused by a loss of revenue channels and deficit budgets.

North Island chair Graeme Macdonald says work has pro-gressed, though not

as fast as they would have hoped.“We are in the final process of

finalising the working group that will be drawn from leaders of the indus-try,” Macdonald says.

That working group will be led by South Island chair Nick Owens, who has a background in accounting.

“We are hoping to have that under way in the next couple of weeks,” Macdonald says, suggesting the group’s makeup will likely be con-

VIA likely to need budget extension

Graeme Macdonald

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The New Zealand Transport Agency has restructured the team that drafts rules for the transport industry - raising

concerns from some that years of experience may have been lost.

AutoTalk was told by industry sources the team that handled rules were notified of a restructure, with some given relatively short notice that their position was no longer required.

Our understanding is some of the rule drafting work will be handled by Meredith O’Connell, the law firm that has been handing case reviews for the agency.

The agency denies this, but does acknowledge changes have been made to the legal team.

“A review of the NZTA’s legal team was initiated in April 2018,” a spokes-person told AutoTalk. “As part of the review process, there were several rounds of con-sultation, an opportunity to express interest in roles, and interviews with affected staff were undertaken before the final structure was implemented in March 2019.

“The new structure brings all of the NZTA’s regulatory legal functions into a single team (including rules drafting, legislative develop-ment and advisory work). The team that was previously dedicated to rules drafting was disestablished, but the functions the team performed have been brought into the new regulatory legal team.

“As a result of the restructure, a larger

in-house legal team, with more senior roles has been put in place to ensure that the team has the capability and capacity to support the current and future needs of the Transport Agency,” the spokesperson says.

Motor Industry Association chief executive David Crawford says a larger, broader team may not necessar-ily be a poor outcome.

“So long as the functions remain in-house to the NZTA and some of the staff were transferred from the old rules team to the new larger team, then the extent of institutional

knowledge lost is reduced,” Crawford says.“However, losing some of the senior staff

from the old rules team does mean the new team cannot rely on the extent of experience and institutional knowledge previously availa-ble to the agency,” he explains.

“This can be ameliorated to a certain extent by seeking advice from the Ministry of Transport who retain an oversight of all transport rules.

VIA chief executive David Vinsen is signifi-cantly more critical of the move.

“We’re disappointed that a wealth of insti-tutional knowledge and expertise in rules drafting and implementation appears to have been lost,” Vinsen says.

Experience lost in rules reshuffle

David Vinsen David Crawford

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in Japan & UK Mercedes-Benz New Zealand chief financial

officer Lance Bennett has been, announced as the brands new general manager.

The move follows the resignation of Ben Giffin, who is making the move to retail, becoming dealer princi-pal of Botany Mercedes-Benz - part of the Arm-strong Motor Group.

Bennett brings to the role a wealth of experi-ence from more than 13

years in the automotive industry, having held a number of different roles within MBNZ, MBUSA, Fiat Chrysler (in Australia and New Zealand) and BMW.

“Since re-joining MBNZ as chief financial officer, Bennett has continually demonstrated a prom-inent knowledge and passion for the brand, the product and the market, as well as exceptional leadership capabilities on the ground.

“We are confident Lance’s expertise will help him to excel as he takes on this new responsibility,” MBNZ said in a statement.

Toyota New Zealand has promoted its general manager of new ve-

hicles and product planning to the role of chief operating officer.

Neeraj Lala has only been in the role since last year, when he returned from an executive leadership pro-gramme placement with Toyota in the United States.

Current chief executive officer and managing direc-tor Alistair Davis also spent time working in the US, and it has been long been expect-ed amongst the new vehicle trade that Lala could one day

be his successor.Lala is on the board

of TNZ as an executive director.

“Over the past two decades I have had the privilege of amazing opportunities within this great company,” Lala says. “It has been an honour and I am looking forward to continuing to grow with Toyota as we seek new levels of excellence in everything we do.”

He has worked in most areas of the Toyota business including mar-keting, new vehicles, product planning, IT and used

vehicles. In 2014, he com-pleted an Executive Master

of Business Administration (MBA) with Distinction from Massey University.

Bennett to lead MBNZ as Giffin becomes dealer

Neeraj Lala, Toyota New Zealand’s COO, and Alistair Davis, Toyota New Zealand’s CEO

Lance Bennett

Lala continues to rise at Toyota New Zealand


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The long and involved process of developing vehicle rules hit the headlines in the last month with a

huge debate amongst the industry - and in the media - over suggestions of a ban for “unsafe” models.

An import ban was being considered for vehicles that did not achieve a two-star safety rating under the Used Car Safety Rating system was reported by Radio New Zealand. The idea was one of many discussed by the Ministry of Transport’s safety reference group.

MOT mobility and safety manager Brent Johnston led the group, and not-ed none of its reports had been consid-ered by government, or were policy.

“Neither the reference group reports, or the discussions therein constitute government policy, and reference group members were advised they were not expected to reach a consensus,” John-ston told Radio New Zealand.

“The reference group reports are the views of a broad section of society, with over 100 people having their input.”

The priorities of the reference group will be used to help develop the next government road safety strategy, set to replace Safer Journeys next year.

The Motor Industry Association was quick to join the discussion, noting in a statement it would “welcome discus-sion on sensible policies to ban unsafe used vehicles from being imported into New Zealand as part of the govern-ment’s new road safety strategy”.

MIA chief executive David Craw-ford says that, for too many years now, New Zealand has been importing older unsafe vehicles that are not designed for New Zealand conditions.

“We have a huge number of used vehicles coming through our ports that do not meet modern safety standards of New Zealand-new vehicles.”

Crawford expects to see a big influx of lower quality used cars coming into the country in the next few months ahead of a ban on the importation of vehicles without electronic stability control (ESC) coming into force next year.

“ESC can reduce the risk of crashing due to loss of control by 30% and has been hailed as the biggest step towards reducing serious injuries and fatalities since the compulsory wearing of seat-belts,” Crawford says.

“We’ve effectively been a disposal

bin for other countries’ old bangers for many years now. Many of these vehicles have been at the end of their use-by dates in their country of origin.”

VIA chief executive David Vinsen swung back, indicating such a rule change would hit some MIA members as well.

“It is going to catch his members too as they are bringing in one and two star cars,” Vinsen says, adding next year’s ESC rule will largely clear out the older cars.

“As far as used cars go, the focus on one and two star cars is likely to be overtaken by ESC next year,” Vinsen says.

He believes the current coverage is a tiny aspect of broad ranging work being taken out of context.

“This is not news, the news is the government is working on improving the fleet. It is one idea amongst a num-ber of ideas. And it is some two years away from implementation.

“We support the general initiative of the government reviewing the New Zealand fleet.”

Vinsen is not expecting any specific rules soon after ESC to further restrict what can be imported.

“Not at this stage. There is all sorts of stuff being chucked around. From this I am expecting some initiatives to improve the safety and efficiency of the fleet.”

Vinsen notes a lot of the work to this

stage by officials has been on establish-ing what constitutes an unsafe car and even the suggestion of banning cars on a star rating is an issue.

“What is a two star car? A two star car from last year is not the same as a two star car from a few years ago.”

Suzuki NZ an innocent victim?Suzuki New Zealand quickly became

an innocent victim in the debate - with the prime example of vehicles that could be banned being the previous generation used import Suzuki Swift.

Suzuki New Zealand automobile marketing general manager Gary Col-lins says customers are also unaware on the difference in specifications between New Zealand new vehicles and used import models, the latter often having lower safety equipment levels.

New Suzuki Swift models since 2005 have never ranked less than four stars on the ANCAP crash testing procedure rating.

ANCAP’s crash testing procedure as a safety rating is used until a car is seven years old, then it is rated on the New Zealand government’s used car safety, ratings based in part on data from local crashes.

“This alternative rating for earlier model cars is much more subjective than the rigorous and highly regulated ANCAP crash testing with results not reflecting the international ANCAP standard,” Collins says.

The ban that wasn’t? Report triggers big debate

David Vinsen David CrawfordGary Collins

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Like us Kiwis, the Japa-nese know a little about natural disasters. The

devastating Tohuku earth-quake of 2001, like Christ-church, left thousands of homes wrecked, and millions without services for weeks.

Mitsubishi Motors Japan saw a way they could assist their customers with their - at the time - relatively new electric vehicle product lineup. The first move was a unit that could be plugged into the Chademo port on the small iMiev and provide power to homes in the event of extended outages.

The next step spread the idea further. Every Japa-nese-sold Outlander PHEV

came with a built-in inverter capable of supplying up to 1500 Watts at the Japa-nese-standard 110-120 volts. Again, the idea being is when the power goes out you can run home basics as long as you have battery charge or even petrol in your tank.

Those 1500 Watts will go a long way, with Mitsubishi sales staff in dealerships demonstrating that this could be enough to run a house-hold fridge, keep devices charged, heat a jug, run a laptop and even run a micro-wave with a little manage-ment.

Such demonstrations are part of a Mitsubishi dealer concept called the Dendo

Drive Station - a merger of vehicle charging, home tech-nology demonstrations and civil defence operation all rolled into one. On a recent trip to Japan, AutoTalk took a tour of the station in Seta-gaya, a suburb of Tokyo, with Taku Kawai, manager of do-mestic network development

for the sales and EV solution departments of Mitsubishi Motors Corporation.

Of the 591 Mitsubishi dealerships, 66 (as of the end of May), feature a drive station of some form or another. The Dendo system includes roof-top solar, DC and AC charging, a V2H unit and a demonstration “apart-ment” where all the technol-ogy comes together.

Overall, 501 dealers have DC fast charging units. They service a Mitsubishi plug-in fleet of 49,476 vehicles - in-cluding the Outlander, iMiev and Miev commercials.

In the apartment, specially trained staff can literally plug in and out real appliances to show the customer how much they can run off their Outlander. An artificial black-out is triggered, and then you switch to the vehicle supply and add appliances.

It’s an interesting way to sell the concept, and really does break down what can be done with the vehicle's energy in an easy-to-understand way.

The building itself is partially powered by 3.3kW of solar panels, which feed either into the main building supply, or into a demonstrator Outlander

parked on a V2H unit. Excess energy can be supplied to the grid. A smaller number of Hyper Energy Stations have also been build which feature more solar, up to 30kW, and a 12kWh battery storage unit.

A small colour display and control unit show how much power is coming in and where it is going - either back into the car, out of the car or in from the grid. On the day we visit the sun is shining and the dealership is taking full advantage of the solar to power itself.

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Continued on page 9


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independent means that in the event of an emergency, the dealership can be used as a gathering point for the local community. The main local emergency gathering point is technically in a park across the road, but working with the local government the dealership and its energy will be put to use should it be required.

In its own right, the deal-ership is an appealing space. Japanese dealerships are small, and tend to eschew large number of cars inside for people friendly spaces, coffee to order and even play areas for children. Full height glass walls and high ceilings give a feeling of space and

light.The design of this deal-

ership is similar to the new concept being rolled out in New Zealand, with black exterior finishes and signage. It is striking and stands out amongst brands.

Mitsubishi believes charging is a way to main-tain a connection with the customer, and while most charging is AC at home, it welcomes customers to the dealership to top up.

"Yes, this is a part of the corporations for the devel-opment of EV infrastructure as a social action, and it also can be aiming for our EV customer’s satisfaction," the brand said in a statement.

Kawai is working on devel-oping the sales of V2H sys-tems to customers, both from the perspective of including it

in vehicle financing and mak-ing it more affordable.

"It is currently too ex-pensive, we are asking for it to be cheaper," he says. He prefers to call the unit a “car conditioner” than its more technical name.

Drive station charging is not just restricted to Mitsub-ishi vehicles, with an eGolf popping in for a top-up while we were at the site.

How much does charging cost? In Japan you tend to subscribe to a membership card. With Mitsubishi's, for 50kW DC you pay five Yen a minute at a dealer, up to 12 Yen a minute at non-auto branded chargers and 15 Yen a minute at other automak-er's chargers. AC charging

costs around 1.4 Yen per minute.

Don't just expect to be ignored when coming into charge either. When driving an electric vehicle in a rural area we pulled into a Nissan dealership just as it was opening. Sales staff waved us into the charging slot, plugged us in, lead us into

the customer waiting area and offered a coffee.

Considering the charge only cost around $5 it makes for good value - and a strong bond to the brand.

DC prep for Mitsubishi New Zealand dealer

Mitsubishi Motors New Zealand is currently planning on taking on aspects of the Dendo Drive concept for New Zealand.

“Absolutely, in fact we are currently working on a pro-totype Dendo House. We are hoping to have more informa-tion to share on this exciting project later in the year,” head of marketing and corporate affairs Reece Congdon says.

Already most of its metro dealerships have AC charg-ing for customer use.

“We are also seeing a

number of our parts and ser-vice dealers also upgrading their facilities to incorporate EV charging,” Congdon says. “At head office out at Porirua we have 5 AC and 2 DC chargers currently in use.”

DC is being consid-ered for some dealerships, though that comes with challenges.

“We are reviewing 25kW DC fast chargers at dealerships but this requires street transformer upgrades in many locations,” he explains. “Our new dealer-ship rebuild in Tauranga has

been upgraded to enable DC fast chargers to be installed once the new dealership is completed.”

The possibility of mak-ing V2H units available to Outlander customers is being considered, but cost is get-ting in the way.

“MMNZ in very keen to take a leadership stance in this space and see a vast ar-ray of opportunities for own-ers in the future. However, at this current point in time V2H devices are still prohibitively expensive as prototypes.”

Continued from page 8

Taku Kawai


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Trucks and utes were key highlights at the 51st Fieldays at Mystery Creek which saw more than

128,000 people through the gates over four days.

The Mystery Creek event ran from June 12 to 15 featuring the latest in heavy equipment, tractors and agricul-tural machinery.

Thrusday proved the busiest day with a whopping 40,135 turning up to check out the show.

Prime minister Jacinda Ardern cut the ribbon to the event alongside New Zealand National Fieldays Society presi-dent Peter Carr.

Society chief executive Peter Na-tion says the event is a “platform that educates and supports those within the industry while attracting opportunities for trade with international visitors”.

“It is always a proud moment for us when we open the gates on opening day and we stroll through the streets to see the various agribusinesses with their

finest on display and the large numbers of punters getting some valuable time off farm to keep up with the industry’s latest,” Nation says.

Gough Cat and John Deere were among Fieldays 2019 exhibitors awarded for effort and ingenuity in the creation of their sites.

The companies took out the Best Heavy Equipment Precinct Site Award and Best Tractor and Machinery Site Award, respectively.

In the motor vehicle pre-cinct, the judges struggled to select the winning site, with the likes of Hyundai, Isuzu Utes and Toyota all vying for the coveted award.

However, it was fan-fa-vourite Volkswagen New Zealand that stole the show with its

twinkling lights, vintage Beetle display, and stunning architectural design.

The first round of judging took place on the opening Wednesday, with 16 volunteer judges assigned a sector to assess based on the overall attractiveness of the site, experience-enhancing interactive elements, recognisable branding and signage, and a clear focus on customer service.

At the end of the round, they designated several finalists for each precinct. Two senior managers from principal partner, Xero, had the task of judging the finalists on Thursday.

As well as sponsoring the awards, the Xero judges were required to assess the sites’ use of innovation, education, tech-nology, sustainability and, of course, the Fieldays theme.

The Fieldays 2019 Supreme Site Award, and Best Agribusiness Indoor Site Award, were won by four different organisations operating under Crown Research Institutes.

A unique winner for this year’s cate-gory, the site was shared by the AgRe-search team, Manaaki Whenua Landcare Research, Scion, and ESR.

This year, the Agribusiness Outdoor Site Award was separated into three categories based on the size of the exhibitor sites.

Cars join commercials at 51st Fieldays


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Lely Dairy New Zealand Ltd were the lucky recipients of the Best Agribusiness Outdoor Site Award (Small). Its bright red site design secured them the win.

The Best Agribusiness Outdoor Site Award (Medium) was awarded to Waikato Milking Systems, recog-nised for its tidy site.

Meanwhile, the Best Agribusi-ness Outdoor Site Award (Large) was won by Ballance Agri-Nutri-ents, whose site felt more like a playground for farmers.

The winner of the Best Ru-ral Area Site Award was NZ Tiny Homes, with its site drawing admiring visitors over the ti-ny-yet-innovative designs.

And finally, the celebrations of The Local team were heard site-wide when they discovered they were the recipient of the Best Food Vendor Site for the second year running.

The newest category introduced this year was the Contribution to Sustainability Award. Instep repre-sentatives covertly judged which site made the greatest effort to not only practice sustainability in the creation of their site, but to also involve visitors in their vision.

The Contribution to Sustainabil-ity Award was presented to Zespri International which featured the popular “blender bikes” which enabled visitors to create their own smoothie masterpieces through the power of simple pedalling.

The Zespri International team were “absolutely stoked to be the inaugural winners” of the new award and hope to see other exhibitors jumping on board in the coming years.

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THE FUTURE IS

how his former business was being run.“Your client does have to remember

this is no longer his business.”Hinton also commented that the

significant reduction in profit the company produced following Orland-ini’s departure was not a good look for Turners.

MacRae told AutoTalk that Orland-ini did not want the business back, or anything to do with its operations.

Speaking to AutoTalk, Orlandini

was very clear on the same question.“No, no thanks. I sold the business

and I don’t want it back”. He said he had “no emo-tional attachment to the business”.

With the case before the court, Turners was limited in what it would say about the case when approached by AutoTalk.

“Turners Automotive Group ac-knowledge we are currently in a

dispute with Mr Orlandini about the earn-out consideration for the sale of Buy Right Cars,” chief executive Todd Hunter said in a statement.

“As this matter is currently be-fore the courts we would not want to comment on aspects of the case or go into detail around our “side of the story”. However, Turners are very confident in our position in relation to the dispute and that we have done nothing wrong.”



Buy Right deal ends up in High Court

firmed at a VIA board meeting next Thursday.

The first job of the working group will be to establish if a levy on all imports can be established. The levy has been an issue in the past, with concerns it could be viewed as anti-competitive

and draw the attention of the Commerce Commis-sion.

“The levy is still the preferred model,” Mac-donald says.

Macdonald says in the meantime, the association

has made no spending commitments that can not be unwound, although no other spending cuts have been agreed.

Macdonald notes VIA’s biggest resource is people, and discussions around that spending is sensitive in nature.

VIA likely to need budget extension

Nick Owens

Todd Hunter


http://www.adtorqueedge.co.nz

NEWSTALK

call 0800 385 385 www.myfinance.co.nz

We’re in this together

When AutoTalk spoke to a range of import dealers earlier this

year to establish what they were expecting from next year’s introduction of the final stage of electronic stabili-ty control, answers varied widely.

From hugely disruptive to a small blip was the rang.

Some expected little change to their stock, others were predicting hits to vol-ume of up to 50%.

Japan was simply late to the party with domestic fit-ment of ESC on small vehicles - it only became commonon such vehicles from 2010.And last year only 30% of thevehicles imported into NewZealand were built from thatdate, according to figuresprovided by VIA.

Already in Japan to check out other parts of the indus-try, and with a day to spare, we figured we would go to the source and head for an auction to see how hard it is to find cars that will fit the new rule for ourselves.

Our guide for the day was old friend and well-known former dealer, now export-er, Nick Jenkins. He is best known as the original oper-ator of the Croydon Whole-salers. Today, he exports to a select number of dealers in New Zealand from his central

Osaka base.The auction for today was

Toyota Auto Auctions, TAA for short. It is a relatively new facility, with modern auction rooms - rows and rows of terminals on end, bleeping like gaming machines. There are a couple of multi-sto-ry buildings on site holding thousands of vehicles, and satellite yards holding thou-sands more - just a short ride in a Crown Comfort or Hiace Minibus away.

The simplest answer for cars that comply comes with a vist to the hybrid yard. Con-veniently TAA keeps them all together in one place. Prius, Aqua, Camry, Voxy and Noah minivans all in one place, all sized well for the Kiwi market, and pretty much all with elec-tronic stability control.

And there are lots of them. Millions in fact.

The second and third gen-eration Prius models topped the market for a long period in Japan, until there were re-placed by the Aqua. With both now available for a significant period of time and coming off fleet they are easily affordable for the New Zealand market - both beginning to fall underthe sweet-spot $10,000 retailmark.

Jenkins, a former Prius owner who now runs a plug-

Options limited on the hunt for ESC



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NEWSTALK

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in hybrid is a big fan of the hybrid models, and today is in the yard to check out a couple of Aquas - at least one of which he ends up successfully bidding on.

“There is a lot of demand for this type of car now, with the petrol prices in New Zealand,” Jenkins explains.

“This will be one of probably the top five most popular cars, because people actually want to buy it - not just because it is one of the only ones with ESC,” he says.

“We have plenty of other cars with ESC, but these will be very popular, cause there’s a lot of them here.”

“Availability is very, very good - it was the top selling car in Japan for quite a long time.”

Back at the main facility in the multi-storey lots, the

story gets a little trickier. Yes, there are a lot of vehicles here. But picking at a glance the ones with stability control is not simple, and most are priced well above that $8-$10,000 sweet spot the New Zealand market loves.

Jenkins is using his years of experience to guide him. For most it will come down to leaning on your agent’s expertise, visual inspection and the assistance of tools being developed by VIA to assist in selecting cars.

What will work, Jenkins suspects, is older European vehicles - 10 years or more old Volkswagens, BMWs, Audis and Mercedes-Benz are relatively low in price and almost universally fitted with the technology. Though by this age their comparable reliability compared to Japa-nese models is debatable.

We are back on the road again, this time in a Hiace Minibus to another yard, filled with a mix of older vehicles and commercials. Both present their own issues.

You can wipe out most of the older stock in the yard - except for the extremely old stock. With previous stages of ESC, VIA reports the importation of vehicles older than 20 years - which don’t need to comply - doubled. Some yards arenow stocking older Hiaces,SUVS and people movers.

VIA is picking next year this business could rise to 4.2% of the market - some-what counter intuitive to the rule improving the safety of the fleet.

Vans and people movers are both going to be a strug-gle for importers. Those peo-ple movers that do comply - Jenkins thinks the NissanSerena will be one of thosethat can be made to work -will be more expensive, start-ing in the high teens, ratherthan the $6000-plus pricebracket they are commonlyfound in.

There will also be compe-tition to use the cheaper ones as vans, with most of the vans imported into New Zealand wiped from the market.

Jenkins suggests the best they will be able to do with the full-size vans will be the likes of Nissan NV350s, late model, priced at around $30,000.

“We are going to have to cover it from two angles, one is people movers with the seats pulled out at the bot-tom end, and at the top end we will have near new Nissan NV350s and Toyota Hiaces that will probably be in the $30,000 to $40,000 price bracket,” Jenkins says.

He sees the import market is going from its own niche and competing with the Chi-nese vans that sit in a similar price point.

“It is going to be a prob-lem. It is going to affect business for small com-panies, like plumbers and couriers. They won’t be able to buy cheap vehicles.”


Options limited on the hunt for ESC


http://www.buyerscore.co.nz

https://www.youtube.com/watch?v=nHfH6W-Vchs

INDUSTRYTALK

How many customers that visit your deal-ership today, are in

the market and ready to buy from you? The answer is more ready than ever before! That’s right, today, that prospective customer is a far hotter more qualified lead than those expe-rienced 20 years ago.

Over the past few years, the online experience and available information for people thinking about pur-chasing vehicles has contin-ually improved with more and better quality photos, better descriptions, more information, better search tools and multiple sources that aid their research.

Their time online is now substantially more than what’s spent on the ground at dealerships - dealers have generally listened and evolved – albeit slowly – to deliver information and expe-riences online that customers can make decisions from.

This growing need for enhanced, deeper online experiences is going to con-tinue to evolve. What sales people need to understand and accept, is when that cus-tomer makes contact with your dealership and walks into your business to look at

a vehicle, they are extremely ready to buy – recent studies indicate that up to 70% of buyers plan to purchase from the first dealership they visit.

When they have narrowed all their research down to just a couple of cars to view and choose from, they are right at the end of their purchasing cycle.

It’s easy for dealers to start treating them like they are at the beginning, like back in the old days when they would look at 5, 10, 15 different vehicles across many yards while doing the long walk along main roads dominated by dealerships.

No wonder the term tyre-kickers came about back in the day. The experience dealers had with customers then was right at the start of the purchasing cycle when their only form of research was the task of scrolling through the classifieds in newspapers, Trade & Exchange and the big fat Autotrader.

This process was long and hard compared to how fast it is these days to narrow the search online incredibly quickly, and not just see one

photo of the car, but 20.

Instead of one sentence, they can now read lengthy descriptions. On top of that, they can do their research about a deal-ership, and whether they feel it can be trusted and so on. This part of the process not only narrows down the vehicle/s of choice but also within that the dealerships that they’d prefer to interact with.

I’ve used some numbers in the following table for ease of getting this point across, which are purely hypothetical from my thoughts, but you’ll get the picture.

Over the past two to three decades or so, dealers have

also had their biggest emerg-ing competitor come along and that’s the private seller.

Don’t get me wrong, pri-vate sales have always been around. However, it was much easier to go to a deal-ership and look at a selection of 50 different vehicles at once, rather than 50 individ-ual private vehicles all over town, before the internet came along.

So, don’t treat your cus-tomers as if they’re going about their car-buying

Customers – tyre kickers or legit buyers?

25+ years ago 2019

Customers’ purchasing cycle

60-90 days 20-30 days

Number of vehicles viewed

10-30 (physically) 100s-1000s (online)

Number of dealerships visited

6+ 2-3

Number of test drives 5-10 1-2

Probability of customer being ready to purchase when visiting a dealership

10-20% 90%


Mark Greenfield, general manager, [email protected]


http://www.mta.org.nz/mediation

INDUSTRYTALK

I get asked all the time of ways to overcome objections, such as “more for trade”, “I can get it cheaper up the

road”, “bigger discount”, a similar prod-uct is cheaper, service plans, finance offers and so on.

I figured out early in my sales career there is no cookie cutter solution because of the different contexts and situations you come across, like cus-tomer criteria, location, gender, genera-tions, buying motivation, pressure not to mention decision makers.

When you play golf it is difficult to putt from the tee. You need to play some shots and lay the ball up to get on or under par. It is the same in sales. I recently met the best real estate sales-man in history.

I want to tell you a story, picture the scene: You have sold a house three times, only for every deal to fall over for different reasons, buyer remorse, finance or change of circumstance.

So, you decide to keep the property.That is until you meet Nigel. He owns

a real estate agency and had tracked the progress of your property and ap-proaches you on two separate occa-sions, without pressure, inviting you to have a chat when you’re ready. You are too busy, so decline.

A few months later Nigel calls again to catch up and you still have no inten-tion of selling but admire his follow-up style and tell him you’re not really interested and luke-warm, but happy to have a chat.

You meet and within 30 minutes he has the listing. You ask for a discount but for some reason you are convinced he will be worth the money. Within three weeks you have an offer which was slightly under the list.

You speak with him regarding a counter offer to eliminate buyer’s remorse and he explained his ne-gotiation technique which is based on building a relationship, trust and removes buyer’s remorse by working with the buyer by building value with a win/win situation.

Now there were a couple of glitches and he sorted them out and kept you in the loop every day.

How did he convince you to sell and the buyer to buy? His philosophy is simple and has seven steps:

1. Work togetherOpening up avenues of communica-

tion to your customer signals that you are ready to listen, an integral first step to building rapport between negotiating customers by building trust … as well as displaying empathy.

2. PatienceNot only is it important to allow your

customer to air concerns during a ne-gotiation, it is also critical for the negoti-ator to be patient and “avoid jumping to conclusions and rushing quickly towards a resolution”.

3. Active listeningActive listening is an effective skill

when it is used to build trust and rapport between negotiating parties with the ef-fective by-product resulting in informa-tion gathering, which can help maintain an open dialogue with your customer.

4. RespectActive listening and patience are high

on the list of resolution tactics. Both result in your customer feeling they are respected and that their concerns are being heard and addressed.

5. CalmDisplaying calm in the midst of a heat-

ed negotiation and not rushing to close on the counter or unreasonable offer.

6. Self-awarenessSelf-awareness involves the dual real-

isation that the negotiator must establish a relationship with a complete stranger, while keeping their communication stra-tegic and purposeful in nature.

7. AdaptabilityA negotiation technique that all

skilled negotiators should possess in their negotiation skills repertoire is the ability to adapt to changing cir-cumstances and to respond to those circumstances in a way that preserves the relationship they have built with their customer while also bringing them closer to their negotiation goals.

SummaryWhile negotiations are never uniform

or universal, the relationship building and communication skills advocated in this article, do apply in nearly every negotiation scenario you can imagine.

Business negotiation still relies upon trust, rapport, and a mutual sense of respect in order to make the deal happen.

Likewise, when dealing with difficult people in your daily life, active listening and a respectful, calm demeanour are proven techniques for preserving your relationship with everyone while also addressing their concerns in a thought-ful way.

Internalised word tracks will help but without the above-mentioned attributes they have limited power.

Learn to play the ball and become a scratch player.

Graham Taylor-Edwards - managing directorGraham has been involved in automotive and customer service training for over 40 years.

To contact Graham: 021 246 8885

Negotiation is not just about word tracks

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INDUSTRYTALK

CRAWFORD’S CASEDavid Crawford,CEO of the Motor Industry Association

Keep your stock turning over.10K Kiwis viewing motors every hour.

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In recent months I have been asked several times about the place of hydro-gen as a transport fuel. My response

has been an enthusiastic “you betcha!” There are many reasons why I see hy-drogen as a must and the important role it will play as a transport fuel in coming years. More on that later.

However, what I was not expect-ing when providing my views was the strength of opposition to hydrogen-pow-ered vehicles. Some of this opposition came, in my view, from surprising places.

Readers of this column will know that I am a member of the Government’s Elec-tric Vehicle Programme Leadership Group. The subject has come up several times in recent meetings and some of the mem-bers almost go apoplectic at why anyone would want to talk about hydrogen as a transport fuel source, especially for light vehicles.

In the last month I attended a presenta-tion by a visiting consultant who was host-ed by Z Energy and Deloitte, who I hasten to add don’t necessarily support the views of the presenter. What was puzzling was that while the presenter gave a very good explanation of the need to decarbonise transport, when speaking about hydrogen he was downright dismissive.

His views on the rate of electrification of the fleet match more closely what we in industry believe, which is not as bullish as many governments here and abroad believe and certainly not as

bullish as the figures in the ICCC report to our Government.

He had me nodding my head in agree-ment with him until he clarified his view on hydrogen. His view was the inefficiencies in converting electricity to hydrogen to run a fuel cell where electricity is generated to drive the electric motors is not great.

Yes, it is an inefficient process. No one is saying it is not, you simply cannot ignore thermodynamics.

However, the point of hydrogen as a transport fuel is not about inefficiencies, it is about lowering or eliminating CO2 emissions from the transport task. This point seems to be lost on some of my colleagues on the EV Leadership Group too.

Currently the long run marginal cost of wind generation is about $90 to $105 per MWh - this compares to the average retail price of electricity at $170 MWh. As we move to generating more renewable electricity the cost of new wind generation is getting cheaper. Some expect this cost to reduce to about $70 to $80 per MWh within the next few years and possible to about $50 per MWH by 2030.

All this is to say generating electricity from wind is getting cheaper. Solar power is also getting cheaper by the year and more efficient. You do not need bright sunlight for it to work either, just daylight.

As the country heads to a greater pro-portion of its generation from renewable sources, more wind power generating ca-

pacity will need to be installed. The thing is, with our combination of wind, hydro and geothermal (the latter which is not carbon neutral), wind generation gets turned on and off, which makes the current eco-nomics of wind less exciting.

Now imagine a world where wind generation stays on all the time (that there is wind blowing) and when it is not needed for general electricity gen-eration it instead makes hydrogen. It is entirely plausible. In this example, from a transport perspective we don’t care about efficiency, just that hydrogen is made from renewable sources.

Hydrogen absolutely makes sense for heavy vehicles. The weight of the fuel cell is miniscule compared to the weight of a large battery pack for heavy vehicles and the range from a fuel cell is impressive. It even makes sense for light vehicles once the cost of the hydrogen fuel becomes more economical and it will.

And this is where I differ from the naysayers. I find it interesting that the EV evangelical brigade are gloating when noting that only a decade ago saying full electric vehicles will dominate our vehicle mix would generate guffaws of disbelief? A decade on who is laughing now?

They have a gall to laugh at those of us who have open minds and are technology agnostic. The truth is, we will need all types of carbon-free transport options, including hydrogen, to reach our 2050 goals legis-lated by Government.

Why Hydrogen?


http://www.motorweb.co.nz

After April was one of the worst performing months in recent memory, we experienced a bounce back in May 2019 with increases in the number of leads, test drives

and sales recorded. We saw leads increase by 14.2%, test drives by 17.4% and

8.0% increase in sales from April 2019 to May 2019.

The top three sources of leads remain unchanged with web – classified bouncing back from an 11.7% decrease from March to April, with a 10% increase from April to May 2019.

Leads from the web – dealer source increased by 6.7% and continued to be the second most common source of leads in May.

As brands geared up for Fieldays in NZ we saw a number of pre-qualified leads for the event get pushed through to dealers in advance of Fieldays.

This was reflected in an increase in leads from the brand source of 29.6% from April 2019 to May 2019.

Following the trend, we saw test drives increase by 17.4% April to May 2019. The most common source was again web – dealer leads which increased by 12.4% month to month. After drops of more than 30% in April, test drives from web

– classified sources bounced up to second on the back of a 16.4% increase month to month.

Direct test drives also increased, but by a smaller margin (6.8%) – slipping to third in test drive tracking.

As with leads and test drives, we saw an increase in sales. This played out as an 12.9% increase in sales attributed to web - classified sources, 3.5% increase in sales from dealer websites (web – dealer) and 5.6% increase in sales attributed to repeat lead sources.

With Fieldays just completed in June, we expect to see a big increase in brand leads when we publish the June figures next month.

Make sure to check Autotalk next month for the top sourc-es of leads, test drives and sales in June 2019.

MARKETINGTALK

Matt Darby works for AutoPlay which specialises in pre-sale lead management tools. To find out more about AutoPlay services email [email protected] or visit www.autoplay.co.nz

Lead, test drive and sales by source May 2019 (vs April 2019)

1

Top 3 Sources for Leads, Test Drives and Sales - New Zealand Dealerships May 2019 ( vs April 2019)

Repeat 5.6%

Web - Dealer 3.5%Web - Classified 12.9%

SALES

Direct 6.8%

Web - Classified 16.4%Web - Dealer 12.4%

TEST DRIVES

Brand 29.6%

Web - Dealer 6.7%Web - Classified 10.0%

LEADS




MARKETINGTALK

Peter [email protected] or 021-940 318

Facebook, the gorilla of social media A

few years back, an anticipated re-action to this month’s article may well have been a pronounced roll

of the eyes followed by an exclamation to the effect: “Why not write about a topic that is more relevant to our retail motor industry”.

Not so today. Whether one likes it or not this gorilla of social media is here to stay, plus, it has now forced its way to near the top of the dealership digital marketing leaderboard in terms of effective outcomes. Simply put, Face-book is now a key dealership advertis-ing/promotional medium - ignore it at your peril.

To be honest I’m no great fan of Facebook, I scroll my family members and friend’s postings maybe two or three times a week, very seldom post myself, yet do understand how it has become such an essential component of everyday life for so many. I guess what that says of me is that I’m not the a-typical Facebook user.

Whilst I may not be your a-typical Facebook user, I have read comprehen-sively on the subject of applying Face-book for businesses. Additionally, I have reviewed numerous dealer renderings to know Facebook has become a very effective marketing tool for our industry.

As for any marketing tool to im-plement, an effective and sustainable Facebook campaign does require a dealership financial commitment and having the right-sized human resource to mount the effort.

For lower volume dealerships this may often be left to a family member who has the time or a local, lower tier, hence lower cost advertising agency. Often larger dealer groups are able to host and co-ordinate mul-ti franchise rooftop or multi branch Facebook campaigns.

So where to start? If your under-standing of Facebook as a business marketing tool is limited, then take heart, as Facebook published earlier this year a 61-page article with a link in the May 2019 edition of “Automotive News”. The link is: s3-prod.autonews.com//2019-05

In their introduction Facebook ref-erence the fact as most of us are aware that they: “Enable 1.52 billion people globally to access Facebook every day. Their platforms enable you to reach real people with the right message at the right time to influence your key audiences. A recent survey of people who purchased a vehicle within the past six months revealed that 87% of them used a discovery platform during their research, and 80% of them visited a Facebook property.”

This publication is divided into four key Facebook strategies that are rele-vant to the retail motor industry, they are listed in the publication as:

Why buy hereThis strategy is all about build-

ing your brand equity with potential customers and to convince them to purchase from your dealership as 78% of potential customers who plan to purchase a vehicle within three months don’t know where they will buy. This strategy is focused on driving awareness and differentiating your dealership from others.

Reach ready-to-buy consumersThis strategy uses advanced machine

learning to capture prospective in-mar-ket shoppers who are actively search-ing online. Automotive industry ads automatically show the dealer’s most compelling inventory to the right audi-ences - driving them to vehicle detail

pages, lead submissions or other areas as appropriate.

Since this strategy is focused on targeting people who show intent to purchase, the focus should be on “cost per view” or “cost per click”.

Build customers for lifeThis strategy focuses on your ex-

isting customers or those who have been in touch with the dealership at some point, their information already captured by your CRM database. Using Facebook’s remarketing platform, it then becomes a task of matching data-bases of your CRM with those using the Facebook platform. This strategy can be compared to either your direct mail or email campaigns for effectiveness by comparing both costs and results.

Drive promotions and eventsThis strategy covers events your

dealership hosts and/or sponsors. Whether your dealership is hosting a sales event or sponsoring a communi-ty event, you can promote your event using this easy-to-execute strategy.

In summary The obvious marketing advantages

Facebook has over traditional media advertising is that of its accuracy target-ing potential customers in the market, coupled with its ability to be more cost effective.




Vinsen’s ViewThe monthly update from VIA chief executive David Vinsen

JULY 2019

ADVANTAGE

WHAT DO WE DO?

Advice and advocacy for the used vehicle industryIf you have technical questions, compliance problems, consumer complaints, staff issues — we can help.

For more information: www.via.org.nz | Free phone: 0800 842 842 | Phone 09 573 3058

Challenges ahead …F

or the past few years, there have been no major government inter-ventions that affected our industry.

In fact, I’ve been able to comment that we were in a “benign political environ-ment”.

But that has all changed, and we have some very real challenges ahead of us. Some were foreseen and planned, but some are new initiatives and were not expected.

The only legislation that we’ve actually had to deal with recently has been the implementation of the various phases of the Electronic Stability Rule, with the final phase to come into effect on March 1 next year.

This phase will require all passenger vehicles to have ESC fitted, which will severely limit the range of available used vehicles to choose from.

Although we’ve had plenty of notice about this rule, it has been difficult to accurately assess the likely impacts.

We do know that the number of used vehicles imported after March 1, 2020 will be severely reduced, as the number of available used vehicles that have ESC fitted is going to be limited. Some major importers have estimated that their volumes will be down by 40% to 60% next year.

The key challenge is being able to identify those vehicles that are ESC-compliant, and more importantly, those that are not, so that they can be excluded from purchase and import.

VIA is now finalising work on an ex-tensive database of the specifications of all Japanese domestic market vehicles,

and a tool that will enable the database to be searched.

The tool will be available as a smartphone app, so that buyers and exporters can check vehicles before they purchase - we are already run-ning trials of the initial version of the system.

Although we’ve had relatively few political interven-tions in the vehicle industry over the past six or seven years, that is all about to change: We have some challenges ahead that will add up to something of a crisis.

The All Blacks’ approach to dealing with challenges is to “identify the chal-lenge, prepare for it, walk towards it and embrace it”. And out of challenge comes opportunity:

“When written in Chinese, the word 'crisis' is composed of two characters: One represents danger and the oth-er represents opportunity”. - John F Kennedy

VIA’s role is to help the industry identify the challenges and prepare for them. And there may be opportunities among these challenges.

I’ve listed the issues that are going to affect us in the short to medium term:

BiosecurityEnsuring that the country is kept free

from imported biosecurity risk is an ongoing issue.

The industry and Government col-laborated and performed extremely well over the past 18 months in dealing with the stink bug crisis; in particular, recognition and thanks need to go to the three Border Inspection Organisa-tions (all VIA members), who made a significant investment in research and development of heat treatment and other procedures to mitigate this risk.

But we need to remain vigilant to ensure that stink bugs and other bios-ecurity risks are controlled; we have already been advised of the re-emer-gence of the risk of Asian gypsy moth infestations.


Advice and advocacy for the used vehicle industry

CORPORATE PARTNERS

UPDATE

Are you prepared for the new Health and Safety framework?

By 2020, the Government aims to achieve a 25% reduction in workplace injuries. Are you ready?

VIA is here to help, with industry-ready Procedures Kits for workshops, car yards and compliance shops – developed in conjunction with experts HRtoolkit.

For more information, contact: Malcolm Yorston, Technical Services Manager on 0800 046 842 or DDI 09 573 3243

Email: [email protected]

Health and Safety

Airbag recallThe largest recall in New Zealand’s

history, with up to 600,000 vehicles affected, is continuing to be managed by the combined new and used vehicle industries, and the relevant Government departments. Once again, this is a joint industry-Government exercise.

Fuel economyIn my last article, I wrote about the

Government’s intentions to improve the average fuel economy of vehicles entering the fleet.

Without going into the detail again, it’s worth still noting that whatever scheme is finally introduced will have the potential to limit or change the range of vehicles, new and used, that are able to be imported.

Although it may be some time before any fuel economy scheme is actually implemented, the combined effect of the final phase of ESC and a fuel economy scheme will pose signifi-cant challenges for sourcing adequate volumes of vehicles.

Until we know the type of scheme that may be introduced, we have no way of quantifying the likely effects on the industry, but we do know that there will be changes to the type and number of vehicles that can be imported.

Once again, a Government interven-tion, with no clear understanding of its consequences.

As the economist and philosopher Ludwig von Mises commented:

Every government intervention in the marketplace creates unintended conse-quences, which lead to calls for further government interventions ...

Safer vehiclesMany of you will have noted re-

cent articles and discussions about the Government’s intention to improve the safety of the vehicles in the fleet. The Ministry of Transport, NZTA, industry and other interest groups have been working on various ideas and initiatives

to improve vehicle safety. The obvious, simplistic solution is to

“reduce the average age of the vehicles in the fleet”. This would also achieve the Government’s goal of improving fuel economy.

The ideas of reducing the average age of the fleet or reducing the number of “less safe vehicles” in the fleet is far easier said than done. The first difficulty is to identify which vehicles are “less safe”. What criteria should be used? • Vehicle age?• Safety star ratings? • Standards and specifications?

These are not easy decisions, with no obvious choices.

And once the criteria have been chosen, the next obstacle is to identify those “less safe” vehicles already in the fleet … and then decide what should be done about them? • Incentivise scrappage?• Stricter enforcement of existing

safety inspections?• Roadside inspections?

Once again, not simple choices … and every intervention will have unin-tended consequences - the effects on people’s transport choices, convenience and affordability.

The over-arching drive is to improve road safety; safer vehicles can contrib-ute in two significant ways to improved road safety: To reduce the risk of vehicle crashes, and to mitigate the effects of crashes.

All of the initiatives I’ve mentioned above have been on the agenda for a while, with some being actively worked on and some on the back-burner. It seems that all of these initiatives are now being actively considered.

But wait, there’s more…

Exhaust emissions ruleWe’ve just been advised that the MoT

has started work on the next phase of the Exhaust Emissions Rule. This has nothing to do with greenhouse gases, but is focused on minimising noxious gases. Any changes in the rule would

move the required standards from the current Euro 4 to Euro 5 or Euro 6.

In the case of diesel vehicles, there would be significant improvements from moving to Euro 5 or Euro 6, but for pet-rol vehicles the difference is marginal.

Any revision of the Exhaust Emis-sions Rule would be a new issue, which would take some time to work its way through the system … but it would still be a further challenge for the industry to deal with.

So as you can see, we have some se-rious issues and challenges ahead of us.

In my 15 years’ experience in this role, I don’t think I’ve seen a longer list of current matters that the association has to deal with; there’s never been a greater need for a strong voice for the industry.

At the same time, VIA is facing financial difficulties, as has been widely reported. We have a fair bit on our plate!


NEWSTALK

Multi-tasking mum of 6 juggles home-life and dealership

Kelly Gordon has four children and two step-daughters, and runs HMC Kapiti with husband Daniel

in Wellington. She has been the dealer principal

since April 2009, and has built up the Holden, Suzuki and Kia franchise deal-ership on the Kapiti Coast.

Gordon got the shock of her life when her parents called her and asked if she wanted to take over their dealership, at aged 22 and pregnant.

“I was thrown in the deep end at age 22,” Gordon says. “My parents called me out of the blue and said ‘oh, we’ve taken on the Williams and Adams Kapiti deal-ership, do you want to run it for me’?”

“I took the opportunity and ran with it!

Gordon and her now-husband Daniel Gordon front HMC Kapiti, with Daniel taking over the dealer principal role while Gordon takes care of her eight-month-old newborn.

Gordon describes her life as “hectic” – with six children – one a newborn, running a dealership and still doing the background work.

AutoTalk spoke with Gordon on her day off, Monday, about what’s lead her to where she is now.

Gordon began running the dealership with no experience whatsoever about leadership. Since then, it’s been 10 years and the Gordon family have built a successful dealership. Husband Daniel came from the tyre industry and Gordon has been helping him through it.

These days, Gordon works three days a week, and spends the rest of her time working from home and caring for her youngest child. But she says she misses the control of physically being in the dealership and around the staff.

“It’s nice to do the mum and work thing,” Gordon says. “My life is my work. When I had my first two children, I went back to work 10 days after having them!”

“Customer and staff satisfaction are what motivates me. Without those two things, drive and business, it’s hard to be successful. I focus on that and see good results, and profit from that.”

The Gordon family purchased the business just before eight-month-old Audrey was born, and Gordon says the business has had a rapid growth period.

Previously, Gordon was doing all the admin and marketing work on top of a newborn last year.

“Now, we’ve grown our staff 30% so it’s taken a little of the pressure off,” Gordon says.

HMC Kapiti is preparing to expand to Levin, opening a new dealership there.

“We want to diversify our offerings and increase our backend,” Gordon says. “It’ll be the same business, but un-der a different name. HMC Kapiti hardly works in Levin!”

“We’ve got some opportunities in the backend in regards to servicing. The site’s secured, the brand’s secured already.”

“We are capitalising the growth po-tential that we’re seeing at HMC Kapiti.”

If Gordon could give her past self advice, it would be to have more confi-dence in herself.

“I was 22 and pregnant, in charge of this dealership. The people there not knowing if they had their jobs, and here’s me coming in with no experi-ence whatsoever. I would tell myself to keep holding myself high and have more confidence, so the staff knew they

could rely on me. I could only imagine what was going through their heads!”

Going into the future, Gordon says she will keep evolving.

“Don’t rest on morals,” Gordon says. “The industry is constantly changing. Buying and research habits are chang-ing rapidly. We have to look beyond the next 12-24 months.”

“We have to keep moving forward.” Gordon has a lot on her plate, but

she says motherhood has given her skills others wouldn’t have.

“Multi-tasking,” Gordon laughs. “Motherhood has made me a mul-ti-tasker. I have six children!”

Gordon comes from a customer relations background, so her focus is in customer satisfaction. In her role, she wears multiple hats.

“I do marketing, admin, I’m on the floor selling, and finance,” Gordon says. “I do a bit of everything.”

Gordon is just about to finish her certificate in financial services – soon she will be qualified, something she says will be good to have.

The new Levin dealership will see the Gordon husband and wife pair split up, with husband Daniel likely to stay at HMC Kapiti dealership and Gordon working out in Levin.

“I love my job,” Gordon says.


JAPANESE MARKET REPORT


Toyota has signed a deal with a Chinese electric vehicle battery maker

as it ramps up its plans for EV production.

Toyota has said it would partner with leading Chinese battery-maker Contemporary Amperex Technology Co (CATL), as well as Chinese EV-maker BYD for components.

Toyota has led in technol-ogies for hybrid and fuel cell vehicles, but it has trailled rivals such as Nissan, Hyun-dai, Volkswagen and Tesla in bringing fully electric vehicles to showrooms.

Toyota has been develop-

ing its own lithium batteries for some time, and has a partnership with Panasonic for production, however, the Chinese deal will add capacity.

Last month it announce plans to develop an electric SUV jointly with Subaru, while it is also working with Mazda and Suzuki on EV technology.

CATL already supplies bat-teries to Honda and Nissan.

Toyota advances dealership strategy

Toyota has announced it will bring forward its plan to simplify the

structure of its dealerships and what they sell.

Originally planned for 2022-2025, from next May the brand will shift to having all its outlets sell its full model range.

For decades the brand has maintained four dealer

networks: Toyota for pre-mium vehicles, Corolla for mass-market models, and Netz and Toyopet for young drivers.

The brand has also launched a car subscription programme, Kinto, while also planning to fully enter the car-sharing business using test-drive cars at its dealer-ship chains and 1200 outlets

of its rent-a-car service affili-ate Toyota Rent-a-Lease.

“By making vehicles and all

possible services related to mobility available to custom-ers through any outlet, Toyo-ta aims to be able to provide at an early stage, services that better approach the needs of its customers,” the company says in a statement.

A trial in Tokyo began in April, with all model lines coming under one roof.

Dealership targets foreign workers with finance

A Japanese trading house is using technology to assist foreign workers

living in Japan buy cars.According to Sojitz Auto

Group, and its used car partner Million Auto Service, it has been difficult until now for non-Japanese workers to get finance on vehicles.

Now customers at the Easy Car Ride dealership in Anjo, Aichi Prefecture submit their personal information and work history, after which the online system assesses their loan application.

The catch? If the bor-rower fails to keep up with payments the car can be

remotely disabled.Easy Car says minivans have

become the most popular models sold under the scheme.

The number of foreign

workers in Japan doubled in five years to hit a record 1.46 million in 2018, according to the Ministry of Health, Labor and Welfare.

Toyota in Chinese EV tie-up

Subaru, Mazda join Toyota's self-driving vehicle venture

Subaru, Mazda and Toyota are already working together

on platforms and electric vehicles. Now they are adding autonomous vehi-cles into the mix.

Along with Suzuki, Isuzu and Daihatsu, the brands are all investing in Monet, an on-demand, self-driving car service.

Toyota and communi-cations technology firm Softbank own 35% of the company each. Honda and Hino are also investors.

The venture, launched in October, plans to roll out on-demand bus and vehicle services in Japan in the next year, and a ser-

vices platform for electric vehicles in the country as early as 2023 based on Toyota's boxy "e-palette" multi-purpose vehicle.

Automakers are increas-ingly joining forces with technology companies as well as each other as they grapple with the large investment and software expertise required to devel-op these new services for which demand has yet to be tested.

The announcement comes after Monet's CEO told Reuters it was plan-ning to expand its investor base and start operating in Southeast Asia next year.

The key to Autosure’s partnership model is our focus on strategically engaging with agents at all levels.

This includes interaction from our senior managers to ensure we understand, meet and assist with our partners’ strategic growth initiatives.

Plus, we have a large sales team who support their teams on an individual basis.

I’m Warwick Bourne, Autosure’s national sales manager and I’d like to tell you a bit more about myself and the team ...

The teamWe have three managers tasked

with heading up our regional teams, consisting of 11 account managers in key locations around the country, who provide support for our agents on a day-to-day basis.

The Autosure sales team has a wealth of knowledge and experience, plus a genuine desire to help dealers grow their business.

A bit about meI’m English by birth, but have lived in

New Zealand for 18 years now and love it.

I have over 26 years’ motor vehicle industry experience.

I’ve worked at UDC in commercial finance, spent five years at Ford Credit finishing as the sales & marketing manager, and also held sales management roles at Fleet Partners and Custom Fleet for eight years.

My roleI enjoy the opportunity to develop

our people and customers.I also love the variety - no two days

are the same.With the backing of DPL Insurance,

I enjoy being part of a more nimble operation that’s focused on delivering outstanding customer service.

Our company cultureIt’s a really driven, supportive culture

here.We work closely with our

amazing claims and operations teams and the whole team strive for continuous improvement in terms of professionalism.

Doing the right thing for our agents and customers is paramount.

What’s new at Autosure?The biggest news is our new market-

leading system and products, which are helping us and our agents in terms of compliance.

Generator is a very user-friendly sales system, it’s very quick to quote and process policies.

We continuously review our policy wording – based on feedback from dealers, our claims, sales and operations teams – to identify ways we can improve them.

And last year we took this to a new level by developing a whole new range of policies.

These have been improved to be customer-friendly, easy to read and

understand, and reflect the complexity of the modern car.

I’m proud ofHow we support our dealers and end

customers during those moments of truth.

The biggest change I’ve seen in the industry?

The way people buy a car. They no longer visit multiple yards, just one or two after extensive research online.

Key challengeThe need for conduct and compliance

to become part of the culture of every business in the industry is paramount.

I’m pleased to say that this – ensuring good customer outcomes – is at the core of everything we do at Autosure.

Dealer supportThe team support dealers by talking

through their goals and matching best practice technique to help achieve them.

Each account manager has a core portfolio of agents they can actively focus on adding value to.

We also have a wide range of tools to support dealers and offer a high level of training - one-on-one, for groups and bespoke to suit.

How is the Autosure sales team different?

We have very diverse backgrounds – business managers, mechanics, advertising etc – but what we all have in common is that we’re solutions-focused and truly want to help our partners grow their businesses.

The Autosure sales team is here to help our dealers grow their business – and we do a great job of it. If you’d like to become an Autosure Approved Dealer, contact us to find out more.

F&ITALK

Warwick Bourne national sales manager

The Autosure sales team – we’ve got NZ covered

Here’s the team

Stephen Mills heads up the Northern Team

Wendy Fenning heads up the Central Team

Nigel Trewhitt heads up the Southern Team

Amanda Stephens

NatalieLoader

BrendaAdams

KerryLucas

CraigPeach

BradPrentice

DanielWarman

Stephen McMeeken

KerrySmith

David Clarkson

Warren Barnes


Confidence for the road ahead.

www.autosure.co.nz | 0800 267 873

We’ve got New Zealand covered!Our Autosure Sales Team are exactly where you need them.

Supporting dealers to drive their sales forward.

Territory boundaries are indicative only.

Wendy Fenning

Amanda Stephens

Natalie Loader

Kerry Lucas

Brenda AdamsBrad

PrenticeWarwick Bourne

Daniel Warman

Stephen McMeeken

Nigel Trewhitt

Kerry Smith

David Clarkson

Warren Barnes

Stephen Mills

Craig Peach


F&ITALK

Responsible selling and disclosureR

esponsible selling of finance and insurance products is best described, simply, as responsible selling, and it applies to all add-on and aftermarket products sold via dealerships.

Disclosure is required under the Responsible Lending Code. I would like to reinforce to traders and lenders alike that you have a duty regarding disclosure, so that you meet your legal re-sponsibility to comply with the Credit Contracts and Consumer Finance Act.

Let’s refresh and remind ourselves of the two key responsibility principles:

1. Responsible selling Lenders must act as

responsible lenders and they must comply with specific lender responsibilities in all dealings:i. Lenders need to make enquiries of borrowers (and their

affordability to avoid substantial hardship).ii. Lenders need to help borrowers make an informed deci-

sion.iii. Lenders must act reasonably and ethically – with 100%

disclosure.iv. Credit-related insurance must match borrowers’ needs.

2. DisclosureLenders and traders acting as insurance providers must meet

their obligations of disclosure when offering finance and insur-ance products.

It is equally important to understand not only your legal obligation of disclosure upon completing the sale of these products, but also with regard to initial disclosure and the way in which products should be introduced to your customer.

You have a duty to disclose all the relevant information in a simple and easy to understand format in order to help your customers make an informed decision. Your customer can then decide whether entering into the credit contract is within their means, and that the offer of Insurance products will suit their personal circumstances.

You have a duty to offer all relevant products to protect their liability under their credit contract, and explain how they are designed to assist and protect your customer. To be compliant you need to offer your customer an insurance summary sheet for each product that is offered. This summary needs to also refer the customer to a policy booklet, for the full terms and conditions of the insurance product being offered.

Ensure that your initial disclosure and summary sheets include the following for your customer:



http://www.providentinsurance.co.nz

SHOWROOMNEW VEHICLE INDUSTRY AND PRODUCT NEWS


Audi New Zealand has pulled the local covers off its first battery electric model and made the bold

claim: Electric has gone Audi.OK, so there is a little marketing blus-

ter in there, but as far as the New Zea-land market goes, the brand does have a little bit of a claim to doing electric to the extent that only Tesla has done before, and in some areas beyond.

Two months ahead of launch it has landed four left-hand drive models into the country and registered them for road use - they actually showed up in May's used car registrations. They are travelling the country for charger verification and testing and will go on show and be available for test drives around the country.

You can call your local Audi dealer if you want a look, though if you're going to buy, the first 100 units destined to arrive this year are already spoken for.

Audi will be selling the car at all of its dealerships, and they will all have DC fast charging, some set to outstrip the current local standard with the fitment of 175kW ABB units. Selling and servic-

ing at every dealership comes at a significant cost to the brand, with 40 technicians already coming to Auck-land for high-voltage vehicle training.

Audi's focus on charging will ex-tend into customers’ homes, with a partnership with Vector and its HRV subsidiary. HRV will provide home energy assessments as to how much power is fed into the house, and sub-sequently, how much charging can be provided. More on that later.

The first of Audi's BEVs to arrive is the e-tron, a medium-to-large SUV that retails from $148,500 for the 55 Quattro model, and $157,000 for the advanced model. It comfortably seats five and is sized at slightly smaller than the sev-en-seat Q7, around the same as the Q8.

Built in Belgium, it shares a plat-form with those fossil-fuelled models, though being modular, Audi has done an excellent job of laying out the battery in a way that does not impinge on the spacious interior.

The battery is 95kWh and actively cooled. Charging is CCS Combo type 2, with DC fast charging at up to 150kW,

and AC charging at up to 11kW. Audi New Zealand general manager Dean Sheed tells EVtalk 22kW may come next year in combination with a vehicle-to-home unit that can be packaged with the car.

The two electric motors - one front, one rear, give a combined 300kW of power and a beastly 660Nm of torque. Performance from 0-100km/h is rated at 5.7-sec-onds per 100km.

Audi is keen to push that the

e-tron is ready for Kiwi life. An optional tow bar gives the ability to pull up to 1.8-tonnes, which is not enough for a substantial boat or caravan, but suitable for most uses. Roof rails, roof boxes and cycle racks can all be fitted as options.

"Performance means something different in New Zealand, and here at Audi we repositioned performance in NZ terms," Sheed explains.

The e-tron counter's Tesla's massive screen with the brand's virtual cockpit system. The driver gets a screen in front of them, one atop the centre console where you would typically expect one, and a screen below this. The driver interacts with the variable drive sys-tems and regen systems through the main screen using an “efficiency assist” system. In combination with the adap-tive cruise assist, the efficiency assist can also brake and accelerate the Audi e-tron predictively.

The infotainment system included an embedded sim for the Audi Connect system, allowing for live services and 3D Google mapping.

On top of the assist systems is the Continued on page 28

Has electric gone Audi?



central driver assistance controller, which continuously computes an exact model of the environment. The required data is obtained – depending on the selected options – from up to five radar sensors, six cameras, 12 ultrasound sen-sors and the laser scanner.

A unique option - unique to the point that the NZ Transport Agency has had to give Audi an exemption for the tech - is the optional virtual exterior mirrors. Integrated into each of the mirror supports is a small cam-era, whose images are displayed on high-contrast OLED displays inside the vehicle.

Removing the mirrors gives a 35km gain in range, thanks to the lower wind-age of the camera mounts. The mirrors come as part of a $5800 tech package on the Advanced model only.

The differences between the stand-ard and advanced models are relatively minor. The Advanced gains 20-inch wheels over 19-inch units, extra rear side airbags, 360-degree camera, a heads up display, upgraded front arm-rest and higher quality leather. S-Line, Luxury and the aforementioned tech-nology and comfort packages can only be added to the Advanced.

Just the startSheed says the e-tron is just the

start of Audi's electric fleet - not that it is a cold start, with the A3 and Q7 e-tron plug-in hybrids having been on sale for a few years already.

Sheed, prominent for his work with Drive Electric, is one of the most EV-passionate members of the new vehicle trade.

The brand will have 30 electrified models on sale by 2025, 12 of those full BEVs. Four will be on the road by 2021, and you can expect most will come here.

"We are almost beyond this car, plan-ning what is coming over the next four years," Sheed says."

What is next? An S version of the e-tron will be here in six to nine months, a Sportback around the same time, and after that the e-tron GT - a platform mate to the Porsche Taycan.

“We've got SUV's, we've got sports cars, we've got all the stuff you would expect. Our theory is the vehicle brought to you by Audi happens to be available as electric.”

The hard work marketing Audi's elec-tric efforts and planning have already been rewarded, with the first allocation sold out in just a few days.

"We sold a year's supply in eight days. It is kind of a good problem to have, but not good at the same time."

Sheed explains the brand decided to work with ABB and dealers - who are footing most of the bill - to put DC charging in because as the volume of vehicles grows, fast charging will be required to keep up with demand from cars coming in for service. It could be that those chargers are opened up to customer use, but that will be on a case by case basis. The

units are ready for it."We have spec'd our chargers with an

RFID reader, EFTPOS and 3G. Now if a dealership chooses to put one of those in a very popular location ..."

For most out-of-home charging, e-tron owners will have access to the ChargeNet NZ network. Chargers were tested and adapted to ensure they work, while all owners will get a ChargeNet fob built into their Audi key-ring.

It’s an AudiSo what is the e-tron like? EVtalk got

to check it out, and take it for a very short drive at the brand’s reveal and launch event in Auckland recently.

First off, don’t expect some crazy spaceship-like electric concept. The e-tron fits very nicely between its con-ventional cousins. Yes, it is modern with its sharp lines and blacked-out glass, but it looks like the crossing of an Audi Q7 and Audi Q8 – which makes sense.

That appearance similarly applies unless the option of the camera-based rear-vision mirrors is ticked. It takes a moment to get used to the look of a ve-hicle with only stubby stalks where mir-rors usually would be. From the driver’s seat, the system will likely take a little getting used to as well, the mirror image

Has electric gone Audi?Continued from page 29





It is 7.30pm at night, pitch back, and rather cold. While I could be sitting in front of a fire, instead I am behind the

wheel of BMW’s new M 850i convert-ible, driving down the Crown Range with Vanilla Ice’s Ice Ice Baby on the stereo.

How did I end up here? I am sup-posed to be on top of the Pisa Range, driving BMW M-cars on ice as part of the brand’s first running of the M Town on Ice event, a spin-off of its long run-ning, and very successful BMW Alpine Experience based on the global M-town digital campaign.

Sadly, the weather has not played ball.

Instead of the sub 2-degree weather, the day has been rather warm, and cars can’t even get up to the North Plain test area - BMW’s press release best de-scribes what we were supposed to experience.

“Upon sunset, a light show of BMW headlights and fire installations lit up the SHPG to set the stage for M Town on Ice. Here, guests had the opportunity to test their night driving skills in the

hot seat, alongside trained professional BMW instructors in a fleet of BMW X and M Range vehicles.”

Still, along with Australian journal-ists, we were treated to a jet boat ride and helicopter trip up to the Southern Hemisphere Proving Grounds. Following the disappointing, but understandable

cancellation, the drive down in the 850 is a pretty decent consolation. At the end of it was a Josh Emmett-curated menu served in Michael Hill’s private golf clubhouse.

The M-town on Ice event is just one

part of a far larger venture. Running from June 27 to July 5, over 150 cus-tomers, dealers and other partners will - weather permitting - get the chance to try their luck on the icy surface, along-side trained professional BMW instruc-tors in a fleet of BMW X and M Range vehicles.

Driving experiences include slaloms, high-speed hot laps, drifting on ice, figure eights, and road-course layouts all on a snow-covered racetrack.

“We’re here to keep every-one on the edge of their seats, it’s not every day that people have the freedom to bury the accelerator of a high-perfor-mance BMW on a snow track used to test cars around the world,” says Mike Eady, the well-known driver and in-structor who leads the on-ice activities.

“Each year, we see more and more people looking for new winter experi-ences, and the BMW Alpine Experience is just that.”

A seat on the experience costs

Warm weather fails to dampen BMW’s enthusiasm for ice



displayed on screens in the door of the car, just below the front corner of the window.

The interior itself is fabulous. The virtual cockpit screens are all canted towards the driver and in easy reach. The front seats are large and com-fortable, while the rear seats are very spacious – more so than the Mercedes-Benz EQC. Even with the optional panoramic sunroof, head-room is excellent. Knee space for the centre rear passenger is right due to the position of the climate controls.

The boot, at 660 litres with the seats up, is proper Kiwi-family size.

Behind the wheel, there is a slight learning curve over the standard mod-

el, with a unique transmission shifter – the main shifter is rigid, and you select Drive by pushing its centre-right section forward and back. Pulling away in the e-tron is quiet and smooth.

The length of the drive means we can’t give you too much insight into how it handles, but we can see the steering is light and has a nice feel to it, the ride is excellent on imperfect city roads, and that the Audi is quiet - very quiet.

A blast away from the lights proved performance-wise the Audi is no Tesla, but arguably it does not need to be, and will likely still beat most SUVs off the mark. I would hazard a guess that despite the deficiency in power over a Model S or X, in real-world conditions,

particularly on more dynamic roads, the e-tron will not be left behind.

The Efficiency Assist system has a range of automatic and manual models that maximise range through reducing response or beefing up re-generative braking. Regen can also be boosted using steering-wheel-mount-ed paddles. Audi claims the car can generate up to 220kW of energy when regening, and claims, if you are com-ing down a steep hill, you can gain one km of range for every km travelled.

Our drive in the e-tron was impres-sive but all too short. We will get to drive the car properly – and in right-hand drive rather than left-hand drive – in late July. Keep an eye on EVtalk.co.nz for that report.


Has electric gone Audi?

$3500, though this includes the chop-per ride up, two nights’ accommodation at Millbrook, a special dinner afterwards and a branded Icebreaker jacket to keep the chill out.

Attendees are predominantly cus-tomers from New Zealand, although BMW NZ’s head of marketing Gabrielle Byfield says they are increasingly taking interest from Australia customers and others just wanting the experience.

Not all customers will have to foot

their own bill, with some dealers using it as part of their marketing efforts.

“Some dealers will use it as a great opportunity to reward loyal custom-ers,” Byfield says.

For BMW NZ, running the event is an expensive exercise, though it does pay off.

“It is part of investing in the brand,” Byfield says. “We get existing customers and those new to the brand who get to try new vehicles - and that can turn into sales - a benefit that cascades down to the dealers.”

The cancelled event is not going to put BMW off returning to the mountain.

“BMW Alpine Experience is open to everyone, so we hope even more peo-ple can join us next year for this incred-ible adventure that is so unique to New Zealand,” Byfield says.

“It’s not every day that people can get behind the wheel of a luxury high performance vehicle in the snow and take on the same course global brands use to test their new models and snow tyres.”


Warm weather fails to dampen BMW’s enthusiasm for ice



More SEATS and more service

Spanish brand SEAT has just introduced the new Tarraco seven-seater to the New Zea-

land market, joining the Ateca in the A segment of our very popular medium SUV market.

SEAT sits in sixth spot on the VW family tree, but with worldwide sales in 2018 of over 517,600 and net profits of 254 million euro, it’s not exactly an unwelcome sibling.

In figures shown by James Yates, general manager of Espana Motors Ltd, since 2010 in NZ SUVs have grown from 28% of the market to a whopping 65% with the A segment holding the major share. On top of that, the demand for European headquartered passenger vehicles has experienced significant growth, rising from 12-17%.

As a brand created in Barcelona, SEAT basks in its vibrant youth ap-peal and this may prove to be a key point of SUV difference, as figures show that in NZ since 2010 the age of SUV buyers under the age of 40 has almost doubled to 39%.

So, according to SEAT, when it comes to expanding their SUV range and launching the new Tarraco, “why not now”.

In sheer size, the 8.7 square metre Tar-raco eyes its competition (outside of the VW group) as being everything from the Mazda CX-5 to the Hyundai Santa Fe.

The Tarraco comes in seven-seat

only. It offers two powertrains, a 1.4L TSI 110kW/250Nm with six-speed DSG and a 2L TSI 140kW/320Nm 4Drive with a seven-speed DSG and comes in a three-model range, Tarraco Style (1.4L only) $47,900, Tarraco Xcellence (1.4L) $53,900 and Tarraco Xcellence (4Drive) $59,900. No diesel models are available.

“We are a petrol-only brand until plug-ins arrive,” James Yates says.

Style offers 18-inch alloys, adaptive cruise control, AEB, LKA,LED headlights, rear view camera, keyless entry and go, hands-free tailgate, eight-inch infotain-ment screen, 10.25-inch digital instru-ment cluster, triple-zone climate, five-star ANCAP and five-year/100,00km warranty. While Xcellence adds in 19-inch alloys, top view camera, cloth/Alcantara seats (heated front and rear), electric driver’s seat with memory, LED

ambient lighting and park assist with front parking sensors.

On the road, the SEAT Tarraco has a confident feel about it. Despite being 4.74 metres long and 1.66m tall, it navigates both town and country roads well. The steering feels well weighted and it has good acceleration, with the

2L reported to get to 100km in eight seconds. It’s comfortable and spacious, boasting a seat-down luggage area of 1775 litres, plus its digital screens and dash design give off a vibrant and modern look.

For the foreseeable future, SEAT is concentrating its efforts on SUVs (SEAT Urban Vehicles) and looking to increase test drives nationally.

The NZ network is expanding with Farmer Autovillage Tauranga, Gazely Motors Wellington and Archibalds Christchurch becoming sales agents, where clients are invited to test drive and purchase vehicles there on be-

half of the SEAT store in Auckland.Although SEAT is currently a pet-

rol-only brand, their EV quest is ever present. While the Mii electric vehicle won’t be coming to NZ, it will look to reduce the brand's global carbon footprint and the SEAT Minimo concept/SEAT eXS KickScooter powered by Seg-way may look to make an appearance locally at some point.

However, one thing’s for sure, the electric hatch el-Born is due here around 2021.

NEWSTALK

As part of the Paralympics New Zealand celebration project, 18 Waikato Paralympians were

awarded pins in the Ebbett Toyota showroom in Hamilton.

Each Paralympian was rewarded to celebrate their achievements in local community events. Since New Zea-land’s first Paralympics in 1968 in Tel Aviv, 209 have now represented the country.

Ebbett Toyota chief executive officer Richard van den Engel says it was a

privilege to host the celebration event.“One of our ‘believe’ statements here

at Toyota is ‘if you can dream it, you can do it,’ and wow, did the Paralympians I met personify that statement,” van den Engel says.

“Thank you, team Paralympics NZ, for inspiring us, challenging us and unifying us.”

The next Paralympics will be the 2020 Games in Tokyo. Toyota is a worldwide mobility partner to the Olympics and Paralympics Games.

Ebbett Toyota celebrates Paralympics NZ

All the Auto Industry HOT NEWS every day as it happens on www.autotalk.co.nzSubscribe online for FREE twice weekly updates direct to your email

www.autotalk.co.nz


TOP 10 USED IMPORT COMMERCIAL MODELS

MAKE MODELJUN '19

MAKE MODELJUN '18

TOYOTA HIACE 293 TOYOTA HIACE 355NISSAN CARAVAN 62 NISSAN CARAVAN 60NISSAN NV200 50 MAZDA BONGO 53NISSAN NV350 50 TOYOTA REGIUS 40ISUZU ELF 32 NISSAN NV200 38TOYOTA DYNA 32 ISUZU ELF 29MAZDA BONGO 28 NISSAN VANETTE 29TOYOTA REGIUS 28 NISSAN NV350 27NISSAN VANETTE 22 TOYOTA DYNA 27HINO DUTRO 18 NISSAN ATLAS 23

USED IMPORT COMMERCIAL MAKES

MAKEJUN '19

JUN '18

Movement% Change

Market Share

TOYOTA 392 453 -13.5 45.7NISSAN 213 201 6.0 24.8ISUZU 42 53 Up 1 -20.8 4.9MAZDA 36 65 Down 1 -44.6 4.2MITSUBISHI 32 33 Up 2 -3.0 3.7HINO 31 33 -6.1 3.6FORD 28 39 Down 2 -28.2 3.3FIAT 13 20 Up 1 -35.0 1.5CHEVROLET 11 20 Down 1 -45.0 1.3HOLDEN 10 13 -23.1 1.2OTHER 50 69 -27.5 5.8TOTAL 858 999 -14.1 100.0

STATSTALKUSED VEHICLES


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agentFor more than 30 years

Used import registra-tions have continued to fall - with the pas-

senger car market the worst since the current boom began in 2014.

Passenger registrations for the month were down 11.75 to 11,177 units - from 12,651 this time last year.

At the halfway point of 2019, registrations are down 8% to 68,851, compared to 74,572 in the first six months of last year.

Commercials took a larger hit for the month, down 14.1% to 850 units from 999 12 months ago. Year-to-date commercials have fallen 5% to 5582.

The Toyota brand contin-

ues to be the hardest hit by the decline in the market. In June, the volume of Toyota badged vehicles fell 14.1% to 2474, equating to 22.1% market share.

Nissan continues to close in at second, down 6.6% to 2323, down 6.6% for a 20.8% share, followed in third by Mazda on 1755, down 13% for a 15.7% share.

Honda was fourth in June, with volume was down 5.4% to 1251 units or an 11.2% share, followed by Subaru, down 5.4% but up a spot with a 5.8% share.

It is possible the all the discussion of safety and the Suzuki Swift mentioned on page six may have influenced

sales for the brand, with registrations down 16.4% to 597 units and a 5.3% market share.

Mitsubishi took seventh on 538 vehicles, up 27.8% for a 4.8% share, followed by BMW on 377, Volkswagen on 368 and Audi on 184.

The Mazda Axela took the top import spot again, with 574 units registered for the month. This time last year the Nissan Tiida lead the market but has since fallen to fourth.

In second was the Honda Fit on 525, followed by the Suzuki Swift on 492.

The Tiida recorded 456 unit registrations, while the Toyota Corolla rounded out the top five on 418.

The Toyota Prius was the top hybrid on 336, the Mitsubishi Outlander the top SUV on 303, the Nissan Leaf the top EV on 290, the Toyota Wish the top MPV on 257, the Mazda Atenza the top large car on 254 and the Volkswagen Golf the top European model on 252.

In commercials, Toyota topped the market with 392 vans, Utes and trucks, down 13.5% for a 45.7% market share.

Nissan took second on 213 vehicles, up 6% for a 24.8% share, followed in third by Isuzu on 42, down 20.8% for a 4.9% stake.

Mazda was fourth with 36

Imports continue steep decline




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USED IMPORT COMMERCIAL MAKES – YEAR-TO-DATE 2019

CH

EV

RO

LET

DO

DG

E

FIA

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FOR

D

HIN

O

HO

LDE

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ISU

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MA

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19-Jan 19 1 30 58 35 19 39 40 35 206 399 6 50 93718-Jan 13 8 35 45 26 22 57 78 36 210 441 3 50 1024

% diff 46 -88 -14 29 35 -14 -32 -49 -3 -2 -10 100 0 -819-Feb 22 9 24 48 45 13 42 61 29 213 437 9 48 100018-Feb 19 3 15 48 49 16 47 41 41 203 407 8 51 948

% diff 16 200 60 0 -8 -19 -11 49 -29 5 7 13 -6 519-Mar 12 6 15 36 38 14 45 50 20 218 499 10 46 100918-Mar 21 6 7 39 30 20 48 75 39 229 399 3 59 975

% diff -43 0 114 -8 27 -30 -6 -33 -49 -5 25 233 -22 319-Apr 11 1 10 34 34 18 37 44 25 209 381 3 41 84818-Apr 13 3 4 38 30 11 54 35 22 174 389 5 50 828

% diff -15 -67 150 -11 13 64 -31 26 14 20 -2 -40 -18 219-May 13 3 6 40 38 18 51 26 36 218 446 5 40 94018-May 24 11 5 41 46 29 79 65 41 223 494 7 41 1106

% diff -46 -73 20 -2 -17 -38 -35 -60 -12 -2 -10 -29 -2 -1519-Jun 11 5 13 28 31 10 42 36 32 213 392 6 39 85818-Jun 20 4 20 39 33 13 53 65 33 201 453 6 59 999

% diff -45 25 -35 -28 -6 -23 -21 -45 -3 6 -13 0 -34 -14YTD 19 88 25 98 244 221 92 256 257 177 1277 2554 39 264 5592YTD 18 110 35 86 250 214 111 338 359 212 1240 2583 32 310 5880

%diff -20 -29 14 -2 3 -17 -24 -28 -17 3 -1 22 -15 -5

AROUND THE COUNTRY PASSENGER

REGISTRATIONS

DISTJUNE '19

JUNE '18

% CHANGE

WHA 289 279 3.58AUC 5269 5905 -10.77HAM 787 887 -11.27THA 109 104 4.81TAU 399 458 -12.88ROT 162 173 -6.36GIS 71 73 -2.74NAP 216 297 -27.27NEW 148 187 -20.86WAN 119 129 -7.75PAL 288 398 -27.64MAS 90 72 25.00WEL 856 1011 -15.33NEL 240 265 -9.43BLE 60 61 -1.64GRE 27 28 -3.57WES 3 3 0.00CHR 1379 1582 -12.83TIM 117 121 -3.31OAM 23 19 21.05DUN 363 409 -11.25INV 162 190 -14.74TOTAL 11177 12651 -11.65



registrations, down 44.6% for a 4.2% stake, followed by Mitsubishi on 32, down 3% for a 3.7% stake.

The Toyota Hiace is, as always, the most popular commercial on 293 units for June.

Second was the Nissan Caravan on 62, followed by the Nissan NV200 and NV350 on 50 units each.

The Isuzu Elf and Toyota Dyna rounded out the top five, and tied for most popu-lar truck, on 32 units each.

Sales see dealer bow outFor used car dealer Pete

Fisher of PFVehicles in Thames, Saturday, July 6 will be his last day.

“I’ve pulled the pin,” Fish-er says. “I would have stayed in the game if it was going to go well.”

The month of June saw Fisher drastically reduce the prices of the vehicles in his yard, and stock went very quickly.

“This just shows there are still people out there buying cars.”

Fisher says 85% of the sales were on finance.

Since Christmas, Fisher says that’s when the slump started. Prior to Christmas, he sold 370 vehicles in 18 months, which he says for a population of 10,000 in Thames, it isn’t so bad. From then until the end of May,

Fisher’s yard only achieved 40 sales.

June saw 40 sales, the same amount as the first

five months of the year in total.

Fisher took a few grand off the price, and sales were made due to the slashed prices.

“I’ve talked to some deal-ers in the area. In Thames, there are five car dealers. One sold seven, one did five, another did four. These guys are normally doing 10-15 each month.”

Two of these Thames dealers are nearly 90 years old and have stayed in the game because they love it. But it’s costing them more money to stay open.

“I just can’t compete an-ymore with these big guys,” Fisher says. “We’re having to accept the price that brands like Honda and Toyota put on. The margins have shrunk considerably.”

“The market has changed so much. People’s percep-tions have changed. The market is still very confused,” Fisher adds.

Fisher says 12 month ago, there were 3700, and now there’s around 3200.

“Five hundred have gone,” Fisher says. “It’s just too bloody hard.”

Fisher says the industry has had a total change and highlights the emergence of electric cars, and the govern-ment trying to reduce fossil fuel cars on the roads.

He says with so many people out there selling used cars illegally, taking that all into consideration, it’s no wonder the market has shrunk.

“There are way too many dealers, it’s almost too easy to get a license,” Fisher says. “The good buys get penalised for what the bad guys have been doing.”

Fisher says SUVs sold very well at PFVehicles in June. These SUVs were almost all sub-$15,000.

For used car dealership Devonport Car Company,



http://www.autofinancedirect.co.nz


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20 TOP USED IMPORT PASSENGER MAKES

MAKEJUN '19

JUN '18

Movement% Change

Market Share

TOYOTA 2474 2881 -14.1 22.1NISSAN 2323 2486 -6.6 20.8MAZDA 1755 2018 -13.0 15.7HONDA 1251 1322 -5.4 11.2SUBARU 648 685 Up 1 -5.4 5.8SUZUKI 597 714 Down 1 -16.4 5.3MITSUBISHI 538 421 Up 1 27.8 4.8BMW 377 590 Down 1 -36.1 3.4VOLKSWAGEN 368 363 1.4 3.3AUDI 184 267 -31.1 1.6MERCEDES-BENZ 121 216 -44.0 1.1LEXUS 110 105 4.8 1.0VOLVO 56 76 Up 1 -26.3 0.5FORD 53 81 Down 1 -34.6 0.5CHEVROLET 39 34 Up 2 14.7 0.3HOLDEN 32 34 Up 2 -5.9 0.3JAGUAR 26 44 Down 2 -40.9 0.2LAND ROVER 26 41 Down 2 -36.6 0.2DODGE 25 33 -24.2 0.2JEEP 20 22 Up 4 -9.1 0.2OTHER 154 218 -29.4 1.4TOTAL 11177 12651 -11.7 100.0

20 TOP USED IMPORT PASSENGER MODELS

MAKE MODELJUN '19

MAKE MODELJUN '18

MAZDA AXELA 574 NISSAN TIIDA 627HONDA FIT 525 MAZDA AXELA 621SUZUKI SWIFT 492 SUZUKI SWIFT 605NISSAN TIIDA 456 TOYOTA COROLLA 559TOYOTA COROLLA 418 HONDA FIT 550MAZDA DEMIO 392 MAZDA DEMIO 474TOYOTA PRIUS 336 SUBARU LEGACY 356MITSUBISHI OUTLANDER 303 TOYOTA PRIUS 336NISSAN LEAF 290 TOYOTA WISH 322TOYOTA AQUA 270 NISSAN LEAF 297TOYOTA WISH 257 MAZDA ATENZA 237MAZDA ATENZA 254 MAZDA PREMACY 231NISSAN DUALIS 252 MITSUBISHI OUTLANDER 230VOLKSWAGEN GOLF 252 VOLKSWAGEN GOLF 228SUBARU LEGACY 251 NISSAN NOTE 223TOYOTA VITZ 236 TOYOTA VITZ 216SUBARU IMPREZA 224 BMW 3 SERIES 209NISSAN NOTE 197 NISSAN SKYLINE 181NISSAN X-TRAIL 184 SUBARU IMPREZA 180HONDA STREAM 156 NISSAN DUALIS 169

THE 17 LEADING USED IMPORT PASSENGER MAKES – YEAR-TO-DATE 2019

AU

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19-Jan 177 417 44 8 90 31 1270 23 1873 149 552 2328 2 653 653 2450 391 487 1159818-Jan 250 523 65 8 115 46 1356 27 2310 210 440 2629 26 809 722 3232 445 506 13719

% diff -29 -20 -32 0 -22 -33 -6 -15 -19 -29 25 -11 -92 -19 -10 -24 -12 -4 -1519-Feb 210 395 39 8 79 24 1224 20 1780 171 531 2207 9 621 601 2406 344 460 1112918-Feb 192 467 63 8 122 39 1232 2 1996 250 325 2220 16 696 682 2872 366 500 12048

% diff 9 -15 -38 0 -35 -38 -1 900 -11 -32 63 -1 -44 -11 -12 -16 -6 -8 -819-Mar 248 456 39 5 84 32 1373 25 1979 152 526 2260 5 665 691 2483 356 473 1185218-Mar 235 514 48 8 104 40 1188 35 1978 227 307 2132 22 704 606 2878 357 458 11841

% diff 6 -11 -19 -38 -19 -20 16 -29 0 -33 71 6 -77 -6 14 -14 0 3 019-Apr 207 394 39 6 66 26 1216 20 1882 146 530 1976 9 614 594 2392 339 427 1088318-Apr 228 471 39 9 0 25 1053 23 1760 222 379 1970 14 623 604 2644 371 458 10893

% diff -9 -16 0 -33 4 15 -13 7 -34 40 0 -36 -1 -2 -10 -9 -7 019-May 246 441 38 1 66 44 1318 39 2013 156 512 2424 8 748 636 2591 415 516 1221218-May 276 621 41 12 102 44 1374 30 2063 257 463 2630 17 770 682 3102 402 534 13420

% diff -11 -29 -7 -92 -35 0 -4 30 -2 -39 11 -8 -53 -3 -7 -16 3 -3 -919-Jun 184 377 39 3 53 32 1251 19 1755 121 538 2323 16 648 597 2474 368 379 1117718-Jun 267 590 34 11 81 34 1322 25 2018 216 421 2486 15 685 714 2881 363 488 12651

% diff -31 -36 15 -73 -35 -6 -5 -24 -13 -44 28 -7 7 -5 -16 -14 1 -22 -12YTD 19 1272 2480 238 31 438 189 7652 146 11282 895 3189 13518 49 3949 3772 14796 2213 2742 68851YTD 18 1448 3186 290 56 524 228 7525 142 12125 1382 2335 14067 110 4287 4010 17609 2304 2944 74572

%diff -12 -22 -18 -45 -16 -17 2 3 -7 -35 37 -4 -55 -8 -6 -16 -4 -7 -8




owner Lewis Rowe says June was a surprisingly strong month.

“We had a really strong month in regard to retail sales,” Rowe says. “It was

completely out of the blue.”“We had a hard May, so

June evened us out.”Rowe says the company

hit well above average target and is surprised because typ-ically sales decrease during

winter.When asked why the

sudden push in June, Rowe couldn’t pinpoint one reason.

“We stock really high-quality stock, and just had the right mix of what people wanted. It was weirdly good.”



UDC Finance Limited lending criteria applies.

UDC has money to lend. Lots of money.

Talk to us today about stock funding options for your dealership.

Ph 0800 500 832 or visit www.udc.co.nz

NEW VEHICLES COMPETITIVE FINANCE

BROUGHT TO YOU BY:

NEW PASSENGER MAKES

MAKEJUN '19

JUN '18

Movement% Change

Market Share

TOYOTA 1561 1558 0.2 17.8HYUNDAI 926 823 Up 1 12.5 10.6MAZDA 790 862 Down 1 -8.4 9.0MITSUBISHI 616 727 -15.3 7.0SUZUKI 569 563 Up 2 1.1 6.5KIA 562 639 -12.1 6.4HOLDEN 540 695 Down 2 -22.3 6.2NISSAN 393 394 Up 3 -0.3 4.5HONDA 333 521 Down 1 -36.1 3.8FORD 326 443 Down 1 -26.4 3.7VOLKSWAGEN 304 413 Down 1 -26.4 3.5SUBARU 282 323 -12.7 3.2MERCEDES-BENZ 193 207 Up 1 -6.8 2.2AUDI 161 213 Down 1 -24.4 1.8BMW 159 170 -6.5 1.8SKODA 122 170 -28.2 1.4LAND ROVER 96 124 Up 1 -22.6 1.1SSANGYONG 96 69 Up 2 39.1 1.1HAVAL 81 49 Up 5 65.3 0.9JAGUAR 79 48 Up 5 64.6 0.9OTHER 559 714 -21.7 6.4TOTAL 8748 9725 -10.0 100.0

NEW PASSENGER MODELS

MAKE MODELJUN '19

MAKE MODELJUN '18

TOYOTA COROLLA 449 TOYOTA RAV4 678

TOYOTA RAV4 405 TOYOTA COROLLA 360

HYUNDAI TUCSON 338 MAZDA CX-5 328

MAZDA CX-5 287 KIA SPORTAGE 293

TOYOTALANDCRUISER PRADO

281 HOLDEN CAPTIVA 282

KIA SPORTAGE 263 MITSUBISHI ASX 265

MITSUBISHI OUTLANDER 253 HYUNDAI TUCSON 255

SUZUKI SWIFT 229 SUZUKI SWIFT 243

MITSUBISHI ASX 226 HONDA JAZZ 241

HYUNDAI SANTA FE 189 MITSUBISHI OUTLANDER 222

NISSAN QASHQAI 189 HYUNDAI KONA 194

HYUNDAI KONA 179 NISSAN QASHQAI 189

NISSAN X-TRAIL 163 HYUNDAI SANTA FE 162

MAZDA MAZDA3 153 FORD ESCAPE 149

HOLDEN COMMODORE 144 NISSAN X-TRAIL 148

SUZUKI VITARA 136 SUBARU OUTBACK 143

TOYOTA YARIS 126 MITSUBISHI ECLIPSE CROSS 138

FORD ESCAPE 114 HONDA CRV 137

SUBARU XV 114 MAZDA MAZDA3 136

HOLDEN EQUINOX 107 TOYOTA HIGHLANDER 121


STATSTALKNEW VEHICLES

Fewer new vehicles were sold in June compared to the same month last year, confirming the

overall market for the year is likely to be down on 2018.

Of just is much concern is dealers talking to AutoTalk no longer appear positive about the state and prospects for the market.

The latest registration data shows a total of 13,952 new vehicles hit the road in June, down 8% compared to 15,172 units in the same period last year.

Motor Industry Association chief executive David Crawford says overall year-to-date sales are down by nearly

5.5% on the first six months of 2018.“The trend is downward though we

have seen some lumpy results in the first half of this year. Two months of registrations were stronger compared to 2018 whereas the other four months were weaker.

“However, we need to remember that we are coming off five year-on-year records for new vehicle sales in New Zealand,” Crawford says.

“In this context, while 2019 is looking to be a more pedestrian year compared to the last two years, the expected out-turn is likely to be better than in 2016.”

Toyota remains the overall market leader with 18% market share (2534 units), followed by Ford with 11% (1474) and Holden retained third sport with 9%

market share (1222).Toyota was the market leader for

passenger and SUV registrations with 18% market share (1561 units) followed by Hyundai with 11% (926) and then Mazda with 9% market share (790).

The top selling passenger and SUV models for the month were the Toyo-ta Corolla (464 units) followed by the Toyota RAV4 (405) and the Hyundai Tucson (338).

The top three segments for the month of June were SUV medium vehicles with 19% share followed by the pick-up/chassis cab 4×4 segment with 18% share and the SUV compact in third with 13%, the same market share as for the previous month.

Heat comes off new vehicle market









BROUGHT TO YOU BY:

NEW COMMERCIAL MAKES (UNDER 3500KG) – YEAR-TO-DATE

FIA

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NG

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NG

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VOLK

SWAG

EN

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HE

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TAL

19-Jan 51 888 32 73 33 53 353 76 283 120 163 84 445 338 33 594 99 278 3996

18-Jan 101 808 66 66 16 46 385 64 258 153 172 57 318 284 94 780 165 204 4037

% diff -50 10 -52 11 106 15 -8 19 10 -22 -5 47 40 19 -65 -24 -40 36 -1

19-Feb 44 818 23 73 33 51 302 76 246 140 196 76 506 335 43 817 119 221 4119

18-Feb 59 788 47 50 8 68 366 64 304 102 169 48 368 384 63 946 110 172 4116

% diff -25 4 -51 46 313 -25 -17 19 -19 37 16 58 38 -13 -32 -14 8 28 0

19-Mar 66 982 26 77 30 68 493 113 308 164 284 111 594 325 36 737 162 270 4846

18-Mar 69 1047 49 99 17 55 427 80 322 191 159 73 382 315 64 1225 160 244 4978

% diff -4 -6 -47 -22 76 24 15 41 -4 -14 79 52 55 3 -44 -40 1 11 -3

19-Apr 57 865 28 58 27 62 403 52 254 73 154 68 465 268 37 694 78 219 3862

18-Apr 60 803 41 47 14 54 312 44 281 144 133 101 258 268 28 598 122 267 3575

% diff -5 8 -32 23 93 15 29 18 -10 -49 16 -33 80 0 32 16 -36 -18 8

19-May 60 1009 22 80 40 80 466 114 273 86 206 95 514 362 39 807 19 363 4635

18-May 80 1132 64 67 18 55 412 80 319 159 197 94 437 466 21 789 205 297 4892

% diff -25 -11 -66 19 122 45 13 43 -14 -46 5 1 18 -22 86 2 -91 22 -5

19-Jun 30 1148 14 69 43 59 682 119 286 154 199 86 530 364 70 973 164 213 5203

18-Jun 61 1186 57 122 16 70 581 56 415 255 202 97 507 365 23 900 244 290 5447

% diff -51 -3 -75 -43 169 -16 17 113 -31 -40 -1 -11 5 0 204 8 -33 -27 -4

YTD 19 308 5710 145 430 206 373 2699 550 1650 737 1202 520 3054 1992 258 4622 641 1564 26661

YTD 18 430 5764 324 451 89 348 2483 388 1899 1004 1032 470 2270 2082 293 5238 1006 1474 27045

%diff -28 -1 -55 -5 131 7 9 42 -13 -27 16 11 35 -4 -12 -12 -36 6 -1

NEW AROUND THE COUNTRY PASSENGER

REGISTRATIONSDIST

JUN '19

JUN '18

% CHANGE

WHA 211 185 14.05AUC 4025 4293 -6.24HAM 634 679 -6.63THA 121 135 -10.37TAU 339 420 -19.29ROT 148 140 5.71GIS 34 46 -26.09NAP 254 267 -4.87NEW 157 151 3.97WAN 87 103 -15.53PAL 218 258 -15.50MAS 76 102 -25.49WEL 736 812 -9.36NEL 98 113 -13.27BLE 65 69 -5.80GRE 18 26 -30.77WES 4 -100.00CHR 1101 1430 -23.01TIM 51 70 -27.14OAM 5 13 -61.54DUN 236 257 -8.17INV 134 152 -11.84TOTAL 8748 9725 -10.05





In commercials, Ford retained the market lead with 22% market share (1148 units) followed by Toyota with 19% (973) and Holden third with 13% (682).

The Ford Ranger retained the top spot as the bestselling commercial model with 20% share (1057 units), followed by the Toyota Hilux with 14% share (719) with the Holden Colorado in third with 13% (677).

Year-to-date, utes continue to dominate the market. The Ford Ranger retains the market lead with 5077 units, followed by the Toyota Hilux (3505), Mitsubishi Triton (3046), Holden Col-orado (2662) and the Toyota Corolla regains fifth spot (2073).

Sales ‘okay’ according to dealerNelson Bays Motor Group Suzuki &

Subaru dealer principal Mark Chapman says new car sales were “okay” this month.

“June was okay, we weren’t beating the people down at the door or any-

thing. It’s a little bit tougher compared to last year with Suzuki.

“Subaru has been ticking along against the trend nationally,” Chapman says. “The market is down 10%, but Subaru’s performance remains strong compared to its competitors.”

Whilst Subaru is going against the trend and climbing in sales, Suzuki is sticking to the status quo.

“All and all we had a good first quar-ter,” Chapman says.

Suzuki celebrates its 22nd birthday in June, which helped sales a little bit. Chapman’s dealership had a birthday sale on Swifts, taking $2000 off the price. Eight units were sold, compared to an average of three a month.

Chapman says his dealership is fortunate because the two brands are good and complement each other.

In June, enquiry was strong about the Subaru XV, Chapman calling it the “star performer” and “biggest turnover for Subaru”.

Swifts also performed this month, largely due to the promotion, which was

not a nation-wide promo-tion but just at Nelson Bays Motor Group.

Chapman says some dealers and down, some are up. He predicts things will be tougher in the second half of this year.

“With this month, and going forward, business confidence is waning.”

In Auckland, John Andrew Mazda dealer principal Paul Ah Kuoi says new car sales were strong this month.

Even though they were just short of their target of 163 at 153, Ah Kuoi says given the talk of the downturn of the market, John Andrew Mazda ended up fairly strong in new vehicle sales.








BROUGHT TO YOU BY:



NEW COMMERCIAL MAKES (UNDER 3500KG)

MAKEJUN '19

JUN '19

Movement% Change

Market Share

FORD 1148 1186 -3.2 22.1

TOYOTA 973 900 8.1 18.7

HOLDEN 682 581 17.4 13.1

MITSUBISHI 530 507 4.5 10.2

NISSAN 364 365 Up 1 -0.3 7.0

ISUZU 286 415 Down 1 -31.1 5.5

MAZDA 199 202 Up 2 -1.5 3.8

VOLKSWAGEN 164 244 -32.8 3.2

LDV 154 255 Down 2 -39.6 3.0

HYUNDAI 119 56 Up 5 112.5 2.3

OTHER 584 736 -20.7 11.2

TOTAL 5203 5447 -4.5 100.0

NEW COMMERCIAL MODELS (UNDER 3500KG)

MAKE MODEL JUN '19

MAKE MODEL JUN '18

FORD RANGER 1055 FORD RANGER 1049TOYOTA HILUX 719 TOYOTA HILUX 646HOLDEN COLORADO 677 HOLDEN COLORADO 567MITSUBISHI TRITON 530 MITSUBISHI TRITON 507NISSAN NAVARA 364 NISSAN NAVARA 365TOYOTA HIACE 235 ISUZU D-MAX 286MAZDA BT-50 199 TOYOTA HIACE 227ISUZU D-MAX 195 MAZDA BT-50 202HYUNDAI ILOAD 113 FORD TRANSIT 137FORD TRANSIT 91 LDV T60 135

NEW PASSENGER MAKES

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ER

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PO

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U

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UK

I

TO

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VO

LKSW

AG

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R

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TAL

19-Jan 17 111 130 0 0 0 606 0 689 450 551 110 710 179 76 1052 247 65 803 370 107 60 113 72 382 592 1718 374 68 290 9942

18-Jan 12 178 187 0 1 7 846 0 777 524 553 82 762 73 62 1025 188 77 626 423 89 54 140 82 342 591 2490 300 57 250 10798

% diff 42 -38 -30 -100 -28 -11 -14 0 34 -7 145 23 3 31 -16 28 -13 20 11 -19 -12 12 0 -31 25 19 16 -8

19-Feb 9 120 163 0 1 0 416 0 545 512 528 55 580 128 76 758 152 41 547 355 72 49 108 55 299 580 800 309 64 256 7578

18-Feb 5 169 144 0 1 4 395 0 602 412 489 142 512 76 69 773 166 70 489 269 86 35 104 64 157 577 1013 342 47 203 7415

% diff 80 -29 13 0 -100 5 -9 24 8 -61 13 68 10 -2 -8 -41 12 32 -16 40 4 -14 90 1 -21 -10 36 26 2

19-Mar 19 157 178 0 0 0 346 0 543 699 561 77 626 135 70 805 214 72 631 489 84 22 124 67 338 564 960 307 61 276 8425

18-Mar 6 193 232 0 1 4 504 0 673 636 551 143 617 83 71 858 200 66 722 371 99 37 164 59 291 605 1196 341 53 274 9050

% diff 217 -19 -23 -100 -100 -31 -19 10 2 -46 1 63 -1 -6 7 9 -13 32 -15 -41 -24 14 16 -7 -20 -10 15 1 -7

19-Apr 12 98 109 0 0 0 273 0 325 305 562 82 537 90 74 601 159 58 444 365 42 43 107 76 299 460 1112 231 46 268 6778

18-Apr 8 140 126 0 0 8 312 0 540 317 398 88 511 60 61 760 183 46 486 354 84 20 116 42 373 539 712 258 51 255 6848

% diff 50 -30 -13 -100 -13 -40 -4 41 -7 5 50 21 -21 -13 26 -9 3 -50 115 -8 81 -20 -15 56 -10 -10 5 -1

19-May 11 125 139 0 0 0 328 0 536 407 688 37 455 96 69 707 192 81 474 346 71 32 133 92 305 528 1086 311 54 321 7624

18-May 6 176 161 0 0 5 487 0 660 399 831 153 618 135 66 879 187 65 600 268 84 30 130 52 342 543 1779 336 50 233 9275

% diff 83 -29 -14 -100 -33 -19 2 -17 -76 -26 -29 5 -20 3 25 -21 29 -15 7 2 77 -11 -3 -39 -7 8 38 -18

19-Jun 5 161 159 0 0 1 326 0 540 333 926 66 562 96 72 790 193 77 616 393 66 36 122 96 282 569 1561 304 57 339 8747

18-Jun 22 213 170 0 0 5 443 0 695 521 823 169 639 124 66 862 207 56 727 394 71 33 170 69 323 563 1558 413 53 336 9725

% diff -77 -24 -6 -80 -26 -22 -36 13 -61 -12 -23 9 -8 -7 38 -15 0 -7 9 -28 39 -13 1 0 -26 8 1 -10

YTD 19 73 772 878 0 1 1 2295 0 3178 2706 3816 427 3470 724 437 4713 1157 394 3515 2318 442 242 707 458 1905 3293 7237 1836 350 1750 49094

YTD 18 59 1069 1020 0 3 33 2987 0 3947 2809 3645 777 3659 551 395 5157 1131 380 3650 2079 513 209 824 368 1828 3418 8748 1990 311 1551 53111

%diff 24 -28 -14 -67 -97 -23 -19 -4 5 -45 -5 31 11 -9 2 4 -4 11 -14 16 -14 24 4 -4 -17 -8 13 13 -8

“We had a strong three quarters of the month. We had a slow start to June, but it picked up in the last three weeks,” Ah Kuoi says.

Ah Kuoi says the market is officially trending down, with figures not going to match last year’s volume based on June numbers.

“We were quite buoyant,” Ah Kuoi says. “We had strong sales in both fleet and retail.”

Ah Kuoi says the Mazda CX SUV range was strong this month.

“It’s kind of where a lot of our bread and butter sales come from.”

“Challenging” is what Waikato Honda general manager Hamish Spall de-scribes June new car sales.

“I see the market contracting in the future in the new car market,” Spall says. “The conditions are challenging.”

Spall says SUVs are still popular.“We’re lucky to have a strong player

in the small hatch segment with the Honda Jazz,” Spall says.


“We do well with the Honda Jazz and the small car segment.”




STATSTALKSECONDHAND

SECONDHAND REGISTRATIONS − JUN 2019SALE TYPE WHA AUC HAM THA TAU ROT GIS NAP NEW WAN PAL MAS WEL NEL BLE GRE WES CHR TIM OAM DUN INV TOTAL

Cars 2019

Public to Trader 234 4883 943 183 540 117 51 436 218 120 1194 86 976 188 87 31 1754 99 1 398 222 12761

Public to Public 1926 12828 3085 617 2022 895 347 1335 1010 565 1606 464 3003 992 393 179 25 4601 479 130 1929 1060 39491

Trader to Public 535 5591 1302 247 777 387 142 568 384 212 662 196 1410 253 153 60 6 1972 168 29 689 386 16129

Cars 2018

Public to Trader 254 4965 1002 178 632 124 70 436 183 141 1320 112 1082 228 109 35 1663 147 1 473 270 13425

Public to Public 1930 13565 3150 621 2123 1009 411 1449 1010 636 1592 474 3146 1005 463 157 28 5088 499 133 2006 1130 41625

Trader to Public 585 5923 1279 282 839 392 138 607 363 260 794 206 1544 277 210 53 7 2063 221 38 713 453 17247

Cars % Change

Public to Trader -7.9 -1.7 -5.9 2.8 -14.6 -5.6 -27.1 0.0 19.1 -14.9 -9.5 -23.2 -9.8 -17.5 -20.2 -11.4 5.5 -32.7 0.0 -15.9 -17.8 -4.9

Public to Public -0.2 -5.4 -2.1 -0.6 -4.8 -11.3 -15.6 -7.9 0.0 -11.2 0.9 -2.1 -4.5 -1.3 -15.1 14.0 -10.7 -9.6 -4.0 -2.3 -3.8 -6.2 -5.1

Trader to Public -8.5 -5.6 1.8 -12.4 -7.4 -1.3 2.9 -6.4 5.8 -18.5 -16.6 -4.9 -8.7 -8.7 -27.1 13.2 -14.3 -4.4 -24.0 -23.7 -3.4 -14.8 -6.5

Motorcycles 2019

Public to Trader 4 99 21 3 19 1 3 2 13 10 46 5 24 3 5 2 260

Public to Public 69 502 131 44 91 43 12 68 56 24 64 16 157 43 34 5 207 26 4 62 37 1695

Trader to Public 15 96 34 5 18 8 5 12 10 6 23 12 31 4 3 1 40 3 16 2 344

Motorcycles 2018

Public to Trader 2 133 38 2 28 1 8 2 3 15 6 47 4 3 28 1 14 4 339

Public to Public 54 435 115 37 99 48 8 53 37 28 57 11 154 49 27 3 1 195 22 3 54 36 1526

Trader to Public 12 127 50 5 27 12 2 15 8 13 16 8 33 6 3 1 37 3 16 2 396

Motorcycles % change

Public to Trader 100.0 -25.6 -44.7 50.0 -32.1 0.0 -62.5 -100.0 -33.3 -13.3 66.7 -2.1 25.0 -100.0 -14.3 200.0 -64.3 -50.0 -23.3

Public to Public 27.8 15.4 13.9 18.9 -8.1 -10.4 50.0 28.3 51.4 -14.3 12.3 45.5 1.9 -12.2 25.9 66.7 -100.0 6.2 18.2 33.3 14.8 2.8 11.1

Trader to Public 25.0 -24.4 -32.0 0.0 -33.3 -33.3 150.0 -20.0 25.0 -53.8 43.8 50.0 -6.1 -33.3 0.0 -100.0 8.1 0.0 0.0 0.0 -13.1

Trucks 2019

Public to Trader 80 965 306 63 115 53 21 100 51 34 176 39 150 62 41 9 284 28 79 90 2746

Public to Public 376 1635 513 141 364 170 88 258 176 110 272 127 411 207 63 28 4 727 88 27 350 232 6367

Trader to Public 149 813 292 91 159 83 62 148 83 60 167 55 181 96 66 17 332 33 9 151 119 3166

Trucks 2018

Public to Trader 81 842 294 65 111 34 28 108 41 27 136 36 137 68 47 9 286 34 1 97 95 2577

Public to Public 417 1591 531 137 382 202 106 269 198 121 270 111 407 205 105 38 6 789 93 16 348 230 6572

Trader to Public 142 741 243 76 166 102 54 128 83 70 162 67 190 63 51 15 2 347 58 14 154 115 3043

Trucks % change

Public to Trader -1.2 14.6 4.1 -3.1 3.6 55.9 -25.0 -7.4 24.4 25.9 29.4 8.3 9.5 -8.8 -12.8 0.0 -0.7 -17.6 -100.0 -18.6 -5.3 6.6

Public to Public -9.8 2.8 -3.4 2.9 -4.7 -15.8 -17.0 -4.1 -11.1 -9.1 0.7 14.4 1.0 1.0 -40.0 -26.3 -33.3 -7.9 -5.4 68.8 0.6 0.9 -3.1

Trader to Public 4.9 9.7 20.2 19.7 -4.2 -18.6 14.8 15.6 0.0 -14.3 3.1 -17.9 -4.7 52.4 29.4 13.3 -100.0 -4.3 -43.1 -35.7 -1.9 3.5 4.0


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The market for second-hand vehi-cles appears to be following the trend of the new and used import

categories.Trader sales of second-hand units

were down 6.5% to 16,129 units, de-spite reports dealers have been shifting to models seeking bigger margins.

Dealer trade-in volumes were down 4.9% to 12,761, while public-to-public transactions fell 5.1% to 39,491.

In bikes, dealer sales were down

13.1% to 344, while dealer purchases dropped 23.3% to 260.

The public transacted 1695 units, up 11.1%.

In trucks, dealer sales rose 4% to 3166, while purchases were up 6.6% to 2746.

Public-to-public regis-trations were down 3.1% to 6369.

Second-hand reflects market slump

STATSTALKTRUCKS

STATSTALKBIKES

USED BIKE MAKESMAKE JUN '19 JUN '18 % Change

% of Market

HARLEY DAVIDSON 64 57 12.3 44.1TRIUMPH 20 10 100.0 13.8HONDA 14 13 7.7 9.7DUCATI 8 15 -46.7 5.5SUZUKI 8 5 60.0 5.5YAMAHA 7 14 -50.0 4.8BMW 6 5 20.0 4.1KAWASAKI 5 6 -16.7 3.4APRILIA 2 1.4BUELL 2 2 0.0 1.4other 9 22 -59.1 6.2TOTAL 145 149 -2.7 100.0

NEW BIKE MAKES

MAKEJUN '19

YTD '19

JUN '18

% Change

Market Share %

SUZUKI 82 789 78 5.1 15.3HARLEY DAVIDSON 53 384 76 -30.3 9.9HONDA 47 352 56 -16.1 8.8KTM 46 209 29 58.6 8.6YAMAHA 44 548 45 -2.2 8.2TNT MOTOR 36 232 20 80.0 6.7KAWASAKI 34 248 36 -5.6 6.4TRIUMPH 31 230 36 -13.9 5.8FORZA 23 154 15 53.3 4.3ROYAL ENFIELD 21 134 7 200.0 3.9APRILIA 12 67 8 50.0 2.2DUCATI 12 74 11 9.1 2.2MOTO GUZZI 10 32 3 233.3 1.9BMW 9 176 33 -72.7 1.7INDIAN 8 56 9 -11.1 1.5MOPED 8 90 18 -55.6 1.5VESPA 8 81 9 -11.1 1.5ZNEN 8 45 7 14.3 1.5KEEWAY 6 37 2 200.0 1.1HUSQVARNA 5 32 2 150.0 0.9Other 32 372 73 -56.2 6.0TOTAL 535 4342 573 -6.6 100.0

Talk to Dale Stevenson about advertising your business here with AutoTalk – in print and online

Phone: + 64 21 446 214 | Email: [email protected] | www.autotalk.co.nz

Do you sell or deal with Motorcycles? your

ad here

NEW BIKE MODELSMAKE MODEL JUN '19TNT MOTOR ROMA 2T 35KTM 790 ADVENTURE R 21SUZUKI UZ50 19FORZA CICLONE 15HARLEY DAVIDSON STREET 19 STREET 500 14HARLEY DAVIDSON SOFTAIL 19 SPORT GLIDE 9SUZUKI GN125H 9FORZA CAPRI LX 8MOTO GUZZI V85 TT 8SUZUKI GSX150 FDZA GIXXER 8


Another dip for bikesM

otorcycle registra-tions were down again in June, with

the market continuing to trail 2018.

A total of 535 new bikes were registered, down 6.6% year-on-year; 2019 registra-tions total 4342 units.

In June, Suzuki returned to the lead, with registra-tions up 5.1% on last year to 82 bikes and 15.3% of the market.

Harley Davidson was second on 53, down 30.3% for a 9.9% share, followed in third by Honda on 47 - down 16.1% for 8.8% of registra-tions.

In fourth, KTM was up 58.6% to 46 and an 8.6% share, while Yamaha rounded out the top five - down 2.2% to 44 and an 8.2% share.

The TNT Roma topped the model list with 35 units, though probably more interesting was the arrival in second o the KTM 790 Ad-venture R with 21 bikes.

The Suzuki UZ50 was next on 19, followed by the Forza Cyclone and the Harley Da-vidson Street 500 on 14.

Used bike registrations were down 2.7% to 145 units from 149 this time last year.

Harley Davidson, as usual, dominated - up 12.3% to 64 units and 44.1% of the market.

Triumph was second on 20, followed by Honda on 14.

In Tauranga, Mount Motor Cycles salesman Ray Holmes says June was reasonably steady.

“I think maybe slightly better than last year,” Holmes

says. “It may change this month, with the weather bucketing down. You’d have to have rocks in your head to look at mo-torcycles when it’s raining.”

The motorcy-cle market seems to be “pretty even” all year, Holmes says.

“For us, it’s been a little bit better than last year.”

At Mount Motor

Cycles, BMW adventure bikes are the big seller, and is also the dealership’s primary fo-cus.

STATSTALKTRUCKS

NEW TRUCK MAKES (OVER 3500KG)

MAKEJUN '19

JUN '18

% CHANGE

MARKETYTD '19

YTD '18

ISUZU 91 129 -29.5 20.1 625 600FUSO 69 122 -43.4 15.3 430 453HINO 59 70 -15.7 13.1 373 348MERCEDES-BENZ 34 25 36.0 7.5 195 168SCANIA 27 37 -27.0 6.0 93 125IVECO 22 14 57.1 4.9 135 126UD TRUCKS 21 23 -8.7 4.6 132 118KENWORTH 20 22 -9.1 4.4 144 142DAF 14 24 -41.7 3.1 126 152FIAT 13 32 -59.4 2.9 129 179Other 82 175 -53.1 18.1 696 736TOTAL 452 673 -32.8 100.0 3078 3147

USED TRUCK MAKES

MAKEJUN '19

JUN '18

% CHANGE

MARKETYTD '19

YTD '18

ISUZU 37 48 -22.9 22.7 230 290TOYOTA 33 35 -5.7 20.2 231 217HINO 31 33 -6.1 19.0 221 214MITSUBISHI 20 16 25.0 12.3 117 113NISSAN 14 17 -17.6 8.6 105 90FIAT 5 4 25.0 3.1 18 22MAZDA 5 3 66.7 3.1 27 28KENWORTH 3 4 -25.0 1.8 10 12MERCEDES-BENZ 3 5 -40.0 1.8 12 24FACTORY BUILT 2 1.2 5 7Other 10 22 -54.5 6.1 127 129TOTAL 163 187 -12.8 100.0 1103 1146


New commercial regis-trations have dropped in June, down by 221

units year-on-year. Total registrations of

new trucks and buses over

3500kg GVM sits at 452 units for the month.

This is down 32.8% com-pared to the same period last year which saw 673 registrations of new com-mercials for the month.

A total of 3078 new trucks and buses have hit the road in the year-to-date compared to 3147 for the same period last year.

Isuzu is market lead-er for June with 91 units registered and a 20.1% market share. The brand was down 29.5% year-on-year compared to the 129 registered in the same period last year.

Fuso is in second spot for the month, down 43.4% with 69 units regis-tered and a 15.3% market share.

Hino comes in third, down 15.7% with 59 units registered and a 13.1% market share.

Mercedes-Benz fol-lows, up 36% with 34 units registered, Scania down 27% (27), Iveco up 57.1%

(22), UD Trucks down 8.7% (21), Kenworth down 9.1% (20), DAF down 41.7% (14) and Fiat down 59.4% (13).

Meanwhile, total used imported truck and bus registrations were also down year-on-year with 163 units registered in June compared to 187 registered in the same period last year.

Isuzu lead the used com-mercial import market for the month with 37 units regis-tered and a 22.7% market share. This was down 22.9% compared to the 48 in the same period last year.

Toyota comes in second, down 5.7% with 33 units reg-istered and a 20.2% market share.

Hino third, down 6.1% with 31 registered and a 19% market share.

Mitsubishi follows, up 25% (20 units), Nissan down 17.6% (14), Fiat up 25% (5), Mazda up 66.7% (5), Kenworth down 25% (3), Mercedes-Benz down 40% (3) and Factory Built (2).

Truck registrations down in June

TRIBUNALTALK

False CGA statement referred to Commerce Commission

In August 2018, the purchasers bought a 2010 Ford Falcon from the trader for $10,995. The vehicle had an

odometer reading of 157,100km at the time of sale.

The vehicle had not been issued a warrant in over eight months - some-thing the trader had an obligation to do prior to delivering the vehicle. As it has not had a check, the purchasers took the vehicle to a local repairer for a warrant of fitness inspection.

The vehicle failed this inspection due to:a. discoloured indicator bulbs;b. low brake fluid;c. a faulty left front fog light;d. both rear lower shock absorber

bolts were fouling on suspension arms;

e. the tread depth on the left hand rear tyre was below minimum re-quirements.

The repairer also considered that the right rear tyre was close to the minimum tread depth, that play was developing in the rear suspension, that the front tyres were becoming worn on their inner edges and that the auto transmission cooler was leaking or seeping.

The purchasers asked the trader to repair all the failures, which it did, as well as replacing the worn right rear tyre.

"I am satisfied that the vehicle was not of acceptable quality for the pur-poses of section 6 of the CGA because of the faults that caused it to fail the warrant of fitness inspection,” the adju-dicator says.

“Notwithstanding that the purchaser of an eight-year-old Ford Falcon that has travelled more than 157,000km at time of sale must have realistic expec-tations as to its quality and durability, I am satisfied that a reasonable consumer would not expect such a vehicle to have pre-existing warrant of fitness failures."

In March 2019 the purchasers took the vehicle in for a service, and multiple further issues were found: Worn front

tyres, a power steering leak, a rear dif-ferential leak and split bushes.

The adjudicator felt the tyres were not a relevant fault, as they were fine at the time of purchase and had lasted in a reasonable way.

Regarding the power steering leak, which had required regular top-ups by the purchasers, the adjudicator felt on the advice of the tribunal's assessor, that this was likely to be pre-existing - and would be considered a fault under the CGA.

The rear differential and split bush-es were not considered the same way. "There is no evidence to suggest that these defects existed at the time of sale, and because the defects were not identified until more than seven months after sale, I am satisfied that the vehicle has been as durable as a reasonable consumer would consider acceptable."

The assessor noted these are com-mon faults with this type of Ford Falcon.

Overall, the adjudicator was satisfied that the vehicle had pre-existing faults, some of which caused it to fail a warrant of fitness inspection, that breached the acceptable quality guarantee.

The adjudicator awarded the pur-chasers $125 as being half the excess of the differential repair under their mechanical warranty, $69 for the cost of freight for parts to fix the power

steering, $71.26 for power steering fluid, $80 for the cost of a wheel alignment required after the power steering re-pairs, and $55 for the warrant of fitness check.

Misleading conduct?Further to the main claim, the pur-

chasers alleged the trader engaged in misleading conduct in breach of section 9 of the Fair Trading Act by representing that the vehicle had been fully serviced.

The purchasers advise that the ve-

hicle’s transmission should have been serviced when its odometer reading was 90,000km and that he has been told that due to the condition of the trans-mission fluid, that service most likely did not occur.

They also advised that the vehicle has a plastic transmission pan, which would have been replaced with a steel transmission pan if the vehicle’s trans-mission had previously been serviced.

Email evidence from the trader - who did not attend the hearing - denied representing that the vehicle had been fully serviced.

The adjudicator noted the evidence from the purchasers does not show that the vehicle’s transmission has not been serviced, with the assessor noting the presence of the plastic transmission pan

Savage v Park N Sell Ltd



business “back in the day” because the reality is they aren’t. If you do, you will lose them to another dealership, or worse still a private seller who delivers them a better experience combined with a similar vehicle to the one you had.

Once customers visit your dealership, they are yours to win, so give them every rea-

son to purchase from you. In many cases it’s the

smallest things that can start reducing your chances of success, so it’s impor-tant to view the experience through your customer’s eyes, accept the things you can improve and – most importantly – do some-thing about them.

The next phase in the evolution of the custom-

er’s buying journey will be another interesting one that we need to adapt and evolve with.

But as long as vehicles continue to be physically presented and delivered to clients at dealerships, areas such as presentation, cus-tomer service, experienced staff, and what your past customers say with ratings and reviews will play a

pivotal role in your success in getting people buying from you, something they already wanted.

Our dealer solutions team has various tools and ideas that can help you understand your customers and deal-ership’s performance. For more information, phone us on 0800-623 687 or email [email protected].

is not evidence of a lack of servicing. The assessor says that the pan

would have been replaced with a steel transmission pan if it had been ser-viced by a Ford servicing agent, but is unlikely to have been replaced if it was serviced by any other mechanic.

Further, in the absence of service records proving that a transmission service was performed, there is simply no way of knowing whether the trans-mission has been serviced, because the condition of the transmission fluid can degrade quickly and cannot be relied

upon as evidence that routine servicing has not been performed.

This aspect of the claim was turned down.

The adjudicator did find the trader had mislead the purchasers in one area, however. The purchasers claimed that when they asked the trader to recti-fy faults, the trader refused to do so, claiming that the CGA no longer applied because its arbitrary 30-day period had expired.

"There is no such 30 day period in the CGA, and in addition to being a mislead-ing representation as to [the purchas-

er's] rights under the CGA, I am satisfied that [the trader's] statement amounts to a refusal to rectify the vehicle’s faults."

"Consequently, I will refer this de-cision to the Commerce Commission, which has jurisdiction to consider such matters under the Fair Trading Act."

Further to this, the trader emailed the tribunal indicating he was travel-ling overseas and unable to attend. The tribunal requested evidence of travel and this was not supplied.

He charged the trader a further $50 to cover the purchasers’ appearance fee.

TRIBUNALTALK



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NEWSTALK

• The key benefits and features of the Insurance policy.

• The key exclusions of the policy.• The amount of the premium.• The total amount of interest

charged, which includes the amount of interest charged on the policy offered.

• Advise that the purchase of your policy is optional.

• The duration of the policy.• The cooling-off period for the

policy.• A reference to review the full policy

terms and conditions of the policy prior to purchase.

Your customer then needs to make an informed decision as to whether the following applies:• Does the policy provide appropriate

cover for my personal circumstanc-es?

• Will the provision of the policies prevent financial hardship?

• Do I understand the terms and con-ditions of the policies?

• Have I had sufficient time to con-

sider the benefits of the policies?It is essential that you use and have

your customer read a disclosure form in conjunction with the use of a detailed insurance summary sheet, to ensure that you provide this information correctly.

List all products on the disclosure form and request that your customer answers “Yes or No” to accept or decline each individual product. Make sure you obtain their signature to confirm the process.

Involving your customer and keep-ing a record achieves two important procedures: 1. Enables the customer to make an

informed decision to purchase the policy.

2. Provides a record of the disclosure process to protect you as the trad-er, should a customer portray at a later date that they were not offered protection, or the disclosure was not correctly undertaken.

Upon the purchase of the insurance policy you need to immediately supply the customer with a copy of the full policy terms and conditions, together with a

schedule or policy certificate, and confirm the payment terms of the premium.

As professionals, we are legally required to disclose the offering of any insurance product in all cases, and we should not pre-judge the requirements of an individual customer. Unless you disclose you will have no idea how you can assist and protect your customer.

If you disclose your products cor-rectly and you understand how to dis-cuss with your customer any questions or concerns they may have, the benefits and features will allow the product to sell itself.

Remember, the offering of pro-tection makes for a better customer experience. “Insurance is the one thing that you can’t buy when you are in immediate need of its protection”.

If you or your staff need further advice, training or assistance to under-stand your responsibilities regarding responsible selling and disclosure or the use of disclosure forms to effectively offer finance and insurance products, call me and I’ll be happy to help.


Responsible selling and disclosure

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THE DIARY AutoTalk’s editor Richard Edward looks at the month gone by on AutoTalk.co.nz

DIARYTALK

June 4Ford Ranger line-up gets upgrades at no extra costThe Ford Ranger has up-graded its line-up at no extra cost, now with autonomous emergency braking (AEB) and pedestrian detection.

“Ranger has established a tradition of providing class-leading technology, which includes being the first pick-up to achieve a five-star ANCAP safety rat-ing, and in 2018 we added more powertrain choices and significant drive assist technology coupled with a five-year, 150,000km war-ranty,” Ford New Zealand managing director Simon Rutherford says.

MITO backs EVolocity to help trainingAutomotive industry training organisation MITO is support-ing EVolocity, a programme where secondary school students design, build and race small electric vehicles.

MITO says it sees value in aligning with EVolocity to support the human infra-structure required for the widespread uptake of EVs in New Zealand, supporting the programme for the second successive year.

Slow May sign of things to come?New vehicle sales fell signif-icantly year-on-year in May, a clear indication that the long-expected slowing of the market has arrived.

Total registrations for the month were down 13.5% (1910 units) on the same month in 2018.

The May 2019 result is stronger than the same month in 2016 but weaker than the

month of May in the previous two record years.

June 5Jaguar Land Rover set sights on QueenstownJaguar Land Rover New Zea-land want in on the booming Queenstown market, and are on the hunt for an experienced car retailer to do it with.

Jaguar Land Rover NZ gen-eral manager Steve Kench-ington says Queenstown is one of the fastest growing towns in the country and like many other areas around New Zealand, the upward trend in property values has had a positive impact on demand for premium vehicles.

June 6 Greg Murphy says driver training will save livesGreg Murphy says he drives every day and sees people making terrible driving deci-sions.

Training people to be more prepared and responsible drivers is the answer to saving lives on our roads – rather than reducing speed limits or blam-ing the roads, Kiwi motorsport driver Greg Murphy says.

Murphy says the most important message is to start taking driver responsibility, training and testing seriously, as people will still crash if the current driving culture does not change.

Holden Colorado ROX takes ‘pride of place’Holden New Zealand is aiming to steal the show at this year’s Fieldays with the beefed-up concept Colorado ROX.

The special ute, featuring significant aesthetic and dy-namic upgrades, was months in the making and Auto Media was among the first to get a glimpse of the vehicle ahead of the Mystery Creek event starting June 12.

June 7 Imports down across the boardThe used import market struggled in May, with falls in every segment, and down at a significant rate for the year.

Used import passenger vehicle registrations were down 9% for the month to 12,212 units from 12,420 this time last year. For the year, the market for passengers cars is now down 7%.

June 10 McLaren sportscar comes with Auckland propertyIn North Auckland, an eight-hectare property is up for sale and comes with a treat – the property comes with an orange MP4-12C McLaren sportscar.

Designed and manufac-tured by McLaren Automotive, the McLaren 12C is powered by a McLaren M838T 3.8L twin-turbocharged V8 engine and has a maximum speed of about 333km.

June 12 Mercedes-Benz NZ boss chooses dealership roleMercedes-Benz Cars New Zealand general manager Ben Giffin has quit his head office role with the brand – to work with one of its dealers.

Who that dealer is has yet to be announced, though Au-toTalk understands it is likely to be the new Botany deal-ership, with the Armstrong Group recently advertising for a dealer principal.

Giffin has led the Mercedes-

Benz Cars team in New Zealand for the past seven years, guiding the team to the number one position within the segment for the past three years.

Costco’s NZ arrival a ‘game changer’A fuel station and a tyre centre are all part of the package for global bulk discount retailer Costco which has announced plans to enter New Zealand.

The US giant has worked with the New Zealand Retail Property Group and secured a site at Westgate in Auckland’s North West.

June 14 NZTA Palmerston North office evacuatedThe NZ Transport Agency’s Palmerston North office was evacuated on June 13 after it was revealed the building is earthquake prone.

Structural investigations were carried out on the Palm-erston North office building, before advising NZTA that the building is below 34% of the New Zealand Building Standard.

“Staff are evacuating the building and it will be closed until further notice,” NZ Transport Agency Interim chief executive Mark Ratcliffe says.

Second-hand quiet in WellingtonUsed car dealership AutoSelect Wellington sales team leader Ilias Musa says sales were very quiet this month.

The first week was good, but the two weeks in the mid-dle of May were very quiet, Musa says.

June 17 Bill prohibiting smoking in cars with children in motionA ban to prohibit smoking in cars with children has taken a step closer with a new bill introduced to parliament.



DIARYTALK

AussieTalk Diary AutoTalk Australia’s editor Scott Murray looks at the month gone by on autotalk.com.au

June 4Seasoned Mitsubishi dealers still brand’s bestMitsubishi Australia has awarded its top dealers for 2019, many of whom are seasoned franchisees.

The Distinguished Dealer awards, which Mitsubishi says are one of the long-est-running dealer recog-nition initiatives recurring since 1981, praised the tri-di-amond brand’s best in sales, parts, service and customer experience.

June 5Ranger arrows Hilux in soggy MayFord has finally outsold Toy-

ota in the Ranger versus Hilux ute arm wrestle for the first time in years.

Ranger 4×4 reported 3604 sales in May, topping the 3137 Toyota could manage in the same period, however, that’s where the sales dom-ination ends, according to VFACTS sales data provided by the Federal Chamber of Automotive Industries.

June 11Dealer outlook ‘less optimistic’ than last yearThe Cox Automotive Dealer Sentiment Index survey says the franchised new car retail network is nervous about the future.

The survey of 115 dealers reveals the tightening of fi-nancial regulations since the

conclusion of the banking royal commission has damp-ened enthusiasm among the automotive businesses.

Victorian treasurer tells LandCruiser buyers to ‘get a life’Victoria treasurer Tim Pallas has told the Melbourne Press Club buyers of $100,000-plus vehicles his new luxury car tax was introduced “because I could”.

According to The Aus-tralian, Pallas initiated what Liberal opposition leader Michael O’Brien dubbed the “Toyota Tax” due to a reduced stamp duty revenue in the property market.

June 19 LandCruiser V8 set for extinctionThe era of V8-powered Toyota towing ability could be coming to an end.

A CarAdvice report sug-gests the next generation of

Toyota LandCruiser is likely to see the iconic 4.6-litre petrol and 4.5-litre twin-tur-bo diesel V8 powerplant dropped in favour of V6 propulsion.

June 21 Auto industry meets with legal counsel todayThe Australian Automo-tive Dealer Association and Federal Chamber of Automo-tive Industries are meeting with their legal teams today in preparation to fight the Victorian government’s luxury vehicle tax

The AADA says it is keep-ing its legal options open and has good advice which suggests there could be constitutional grounds for a case against the Victorian (and Queensland) govern-ment which announced the tax on $100,000-plus vehicles in its state budget last month.

The Smoke-free Environ-ments Amendment Bill was in-troduced as part of the govern-ment’s plan to prevent people smoking in cars with children and commitment to reaching a smoke-free nation by 2025.

Ban of low safety rated cars discussedA Ministry of Transport ref-erence group has discussed the possibility of banning low safety rated cars from entering the fleet – though it appears the chance of any such move coming to reality is unlikely.

Radio New Zealand report-ed on the idea, pulled from a report by the Vehicle, Vehicle Standards and Certification Reference Group.

June 18 Volkswagen is best exhibit at Fieldays

Volkswagen New Zealand won the coveted motor vehicle pre-cinct site at the Mystery Creek Fieldays 2019.

The judges struggled to select the winning site, with the likes of Hyundai, Isuzu Utes and Toyota all vying for the coveted award.

However, it was fan-favour-ite Volkswagen New Zealand that stole the show with its twinkling lights, vintage Beetle display, and stunning architec-tural design.

Suzuki responds to car safety ban confusionsSuzuki New Zealand has been responding to confused consumers who misunder-stood the proposals to ban the importation of some older, used cars.

New Zealanders are concerned certain old model Swifts may be among the models likely to be banned if the proposals go through.

June 20 MoT fraudster Joanne Harrison’s criminal past revealedThe woman who commit-ted massive fraud against the Ministry of Transport (MoT) has had her previous fraud history made public.

Joanne Harrison was sen-tenced to three years and sev-en months in jail for stealing more than $725,000 from MoT to pay off credit cards and her mortgage. She has since been released and deported to the United Kingdom.

June 24 Lexus showroom wins architecture awardThe Lexus is easily seen from vehicles travelling around an

adjacent roundabout.A dealership with just one

car won the commercial building category at the New Zealand Institute of Architects Southern awards.

GWD Lexus of Queenstown, designed by Anna-Marie Chin Architects, features one Lexus in a one-car showroom on a high-profile site in Queens-town.

Thieves use unmarked tow trucks to steal carsPolice are investigating reports of thieves using unmarked tow trucks to steal cars off the street.

Thieves are pretending to be tow truck drivers as an undercover way to steal the vehicles, before dropping them off at wrecker yards.


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EVTalk Diary EVtalk New Zealand editor Geoff Dobson looks at the month gone by on www.evtalk.co.nz

TransportTalk DiaryTransportTalk New Zealand editor Nigel Moffiet looks at the month gone by on www.transporttalk.co.nz

June 12NZ’s EV progress discussedA need to increase electric vehicle uptake and reduce emissions from the light vehicle fleet, in particular, has been ex-pressed by associate transport minister Julie Anne Genter.

This came during discus-sions with the Electric Vehicles Leadership Group meeting in Wellington on June 12 in which EV initiatives are seri-ously being considered.

June 17ACEV in new 900sqm showroom

Auckland City Electric Vehi-cles (ACEV) officially opened its new showroom in Takapu-na on June 15.

Owners Hadley Hargadon and Alana Clarke moved to a larger, fully indoor show-room to cater for their elec-tric vehicles.

Audi dealerships to provide EV chargingAudi New Zealand and ABB New Zealand will offer charg-ing points in Audi authorised dealerships nationwide.

Designed to align with the arrival of the electric Audi e-tron in New Zealand, the charging stations will offer both AC and DC, includ-ing 50kW and 175kW fast charging.

June 19Christchurch revealing a raft of electric initiativesThe first announcements around electric transport coming out of Christchurch include park rangers now riding UBCO electric bikes.

A keen promoter of more environmentally friendly initiatives, the Christchurch City Council is also revealing its all-electric LDV EV80 van for central city parks mainte-nance, stocked with battery electric tools and equipment.

June 26E-bikes haul dog team around AucklandSpecial canine cabs towed by electric bikes transport

Auckland’s biosecurity dogs around the city.

The terrier team ride from their home base to Auckland’s wharves where they check for pests on boats bound for Hauraki Gulf Islands.

Fast charger opening extends rolloutThe official opening of a fast charger at Pak’nSave Mill Street Hamilton on June 26 pushes the nationwide rollout closer to about 70 supermar-kets in 60 towns by the end of this year.

Hamilton mayor Andrew King opened the charger with store owner opera-tor Hamish Walton saying Foodstuffs is committed to sustainable practices and promoting the uptake of clean energy transport.

June 4TRT expands South Island operationsTidd Ross Todd Limited (TRT) has moved its South Island operations into a larger site to carry a greater variety of truck and trailer parts.

The new warehouse fa-cility is located at 6 Brydone Road, Hornby, Christchurch. The move comes only 10 months after TRT’s first branch opening in the South Island.

June 10New boss for Isuzu TrucksIsuzu Trucks New Zealand has appointed Dave Ballantyne as its new general manager.

He takes over from Colin Muir who resigned from the business in April.

Ballantyne was promoted from his previous position of national sales manager, a post he held since joining Isuzu Trucks in September 2016.

June 12Otago Polytechnic starts heavy vehicle trainingOtago Polytechnic is launching a heavy automo-tive engineering programme and driver training as a result of consultation with local industry to meet the skills shortage.

Otago Polytechnic auto-motive programme manager Hamish Miller says “it’s a win-win”.

The level 4 New Zea-land engineering certificate “gives learners a really strong grounding”.

June 17Napier-Wairoa rail officially re-openedThe reopening of the Napier to Wairoa rail line in the Hawkes Bay is being wel-comed as an important step in boosting the region’s forestry sector.

State-owned enterprises minister Winston Peters and regional economic develop-ment minister Shane Jones were at the official opening of the line at KiwiRail’s Napi-er depot on June 14.

June 21Waterview Connection wins international award

The Waterview Connection project has been recognised at the Los Angeles Busi-ness Council’s Architectural Awards.

Urban design and archi-tect partners Boffa Miskell and Warren and Mahoney received the Tripartite Award at the event.

June 26Ports of Auckland scoops awardPorts of Auckland has won Best Seaport in Oceania at the 2019 Asian Freight, Logistics and Supply Chain Awards.

Leading companies in the cargo, logistics and supply chain sectors took home 48 different awards at the Hong Kong event on June 17.

Ports of Auckland was the only New Zealand seaport in the Oceania category as a finalist.


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