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Thursday, October 25, 2007

The Auto Retail Informer: October 25, 2007

Auto Retail Informer Intro October 25, 2007

"Almost 50% of our customers have never owned a Toyota before. . . 76% of customers indicate they probably will buy a new vehicle next time.  They are so happy with the experience that they are moving up." 

 Source: Norman Olson.  Head of Toyota Certified Used.  National Remarketing Conference.  October 24, 2007

Highlights:

  • AutoNation 3Q07 Earnings Call. "It needs to be a win win." No set plans for AutoNation Direct
  • National remarketing conference thoughts

 

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AutoNation 3Q07 Conference Call (10/25/07)

AutoNation's financial results continue to struggle.  And I think you know my thoughts on using California and Florida housing as an excuse.    

But I will say that I was encouraged with some of the comments that came out of management on the call yesterday. 

As you may remember, last week I made two general comments about AutoNation.  I said they did not make their compensation plan changes a "win win" for the most productive employees. 

And I said it could be devastating to roll out AutoNation Direct in November to all of its stores.  Instead, I said they needed to roll out the initiative very slowly (market by market) as they prove to the employees the initiative is a "win win."    

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National Remarketing Conference Thoughts (10/25/07)

Yesterday I attended the National Remarketing Conference and Used Vehicle Exposition in Las Vegas.

I think there were some interesting points raised during the keynote panel discussion about the impact of the Internet Media on the Growth of Certified Used. 

Norm Olson (Toyota's Certified Chief) said their certified pre-owned vehicles turn on average 27 days while non certified Toyota's turn 59 days.  And he said certified Toyota's gross more. 

Ok, so he was selling the idea of certified (his job.) 

But I'll go along with it.  Because you have heard me discuss before that I do not think there is a shortage of vehicles in the United States (1.2 vehicles per licensed driver.)  Instead, I think a bigger need out there is for more reliabl ...

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