Trade News

little more than a year ago, Ken Garff Automotive Group in Utah was planning to highlight its brand values in a training campaign aimed at its 4,500 employees.

Then the world changed. The COVID-19 pandemic led to the death of Chairman Bob Garff in March 2020 and gave staffers a different lens through which to see the group's philosophy.

The intent of the campaign was to take employees out of the showroom and present Ken Garff's five tenets — respect, integrity, growth, humility and teamwork — through a series of professionally shot promotional videos at conference rooms and movie theaters. The health crisis altered that vision and turned the enrichment effort into a largely digital affair on the group's online hub, but it didn't diminish the campaign's scope.

While retailers adjusted to doing business in the COVID-19 era as they sought to cater to consumers, Garff Automotive made sure to invest in its employees as well during a try…

Even after killing its long-controversial stair-step dealer sales incentive program this month, Nissan is continuing with a volume-based program for full-size pickups that some retailers say favors high-volume stores.

Nissan is offering dealers cash incentives based on the number of Titan pickups they sell. Under the program that runs through May 3, stores can earn $2,500 or $4,000 — or nothing — per pickup depending on how many 2020 and 2021 Titans they sell.

Some retailers argue the incentive program is not fair because the volume targets are not adjusted for market size. The program favors major metro stores with large customer bases and penalizes rural dealerships, said a small-market Nissan dealer who asked not to be identified.

"There are markets like Las Vegas where you have about 700,000 people per Nissan store, and there's towns in America with 20,000 people," the retailer said.

The dealer said he cannot compete with big-city stores that …

Cruise is sponsoring a blind man's attempt to set a world speed record as a way to promote the potential for autonomous-vehicle technology to help visually impaired people get around more easily.

Race car driver Dan Parker, who lost his sight in 2012, aims to break the Guinness World Record for "fastest speed for a car driven blindfolded." The record of 200.5 mph belongs to Mike Newton of the United Kingdom.

"The future of autonomous vehicles is making the world more accessible for blind drivers like Dan, who want to be able to get around in the world on their own terms," Rob Grant, Cruise's senior vice president of government affairs and social impact, said in a statement.

"Transportation remains one of the areas where blind Americans face the greatest obstacles to participation, and Cruise's mission is to transform the problems in our current transportation system that aren't accessible or inclusive by creating new opportunities for all."

But Pa…

Out of an all-GT Final Four, the 1965 Mustang Shelby GT350 emerged as the winner of Ford Motor Co.'s version of March Madness.

The Shelby GT350 topped the 2020 Mustang GT500 in the championship round of the Ford Frenzy tournament after three weeks of online voting. The other semifinalists were the 1965 GT40 MKI and the 2017 GT.

The no-stakes competition started with 64 vehicles from throughout Ford's history. Ted Ryan, the company's archives and heritage brand manager, posted several videos explaining the selection process and handicapping some of the battles, and he was surprised by some of the voting results.

"While I like the Mustang Boss, there is no way it should be beating the original Mustang 70%-30%," Ryan tweeted. The Boss, a No. 4 seed in the "Rouge" region, ended up taking out the top-seeded 1964½ Mustang in what Ford called the 1.6-liter round (instead of the Sweet 16).

Two No. 15 seeds, the 1955 Fairlane and …

Old habits die hard. But it's time — past time — for Nissan to quit stair-step incentives once and for all.

The Ghosn-era relic is not always a destructive tool, but after the damage the programs have done to the brand's reputation and resale values, it's one that needs to stay buried — for real this time — if the brand is to get out of its tailspin in the U.S., its second-biggest market.

Dealers, it seems, are finally being heard by senior executives after years of clashing with Ghosn and his team over his over-ambitious market share goals in the U.S. Some protested with their feet, leaving Nissan, while others remained but simply stopped chasing aggressive targets.

And stair-steps don't hurt just new- and used-vehicle sales operations. As reported by Fixed Ops Journal, enticing subprime borrowers in order to meet volume targets can result in a population of customers who can't afford to have even basic repairs done. With dealer profitability greatly r…

Mercedes-Benz's midsize coupe is getting a sporty face-lift that includes a new grille and bumper.

The mild makeover for the 2022 model year comes as consumer demand for cars continues to slide across the industry. With the increasing focus on sporty crossovers in the U.S., the CLS' days could be numbered.

The brand plans to jettison several car models in the U.S., former Mercedes-Benz USA CEO Nicholas Speeks told dealers last summer. According to people familiar with the plans, vulnerable vehicles include the CLS along with the coupe and convertible versions of the C-Class, E-Class and S-Class.

With styling a key CLS feature, it's difficult to compete with the new wave of crossovers that offer the same luxury appointments and similar performance with more interior space and actual cargo capacity, said Sam Fiorani, a vice president at AutoForecast Solutions.

The updated CLS 450 4Matic features a mild-hybrid powertrain. The 3.0-liter inline six-c…

For many dealers, Ford Motor Co.'s used-vehicle platform launched in February couldn't have come at a better time.

Not only is the new Autotrader-powered digital retail tool, called Ford Blue Advantage, giving dealers a greater slice of the pre-owned sales pie, it's offering them another revenue stream as new-vehicle inventory continues to dwindle amid the ongoing semiconductor shortage.

At Power Ford in Albuquerque, N.M., used-vehicle sales are up 19 percent so far in 2021 compared with 2020. Used-vehicle sales jumped 26 percent from February to March, and officials there believe the Ford Blue Advantage platform was the main driver.

"Today's buyers are looking for a transparent, worry-free buying experience," Rob Sneed, the store's general manager, told Automotive News. "Our ability to provide high-quality, highly reconditioned vehicles that come with the assurance of a warranty is precisely the point of separation Ford dealers need to be competitive i…

In the battle for talent, a small automaker has pulled out the big guns.

Starting this month, Volvo Cars is providing six months of paid parental leave to its employees, including factory workers, globally.

The benefit sets a benchmark for the auto industry in the U.S. and gives the Swedish automaker a competitive edge in the race to attract the best minds.

Michelle Andersen, who leads Boston Consulting Group's automotive group in North America, referred to Volvo's new benefit plan as a "flagship move."

"There is a real fight for talent," Ander sen said. "Automakers used to compete more with traditional industrial companies — now they are competing more with technology companies and startups."

For Volvo, a generous parental leave policy serves as a differentiator in the tussle for talent.

Volvo's benefit is "unprecedented in the U.S.," said Jonathan Grosso, senior vice president at talent serv…

TOKYO — Toyota's advanced new automated-driving system has finally reached the market in Japan, packed with lidar, full over-the-air update ability and machine learning technologies — all firsts for the automaker.

The Level 2 driving setup, marketed under the name Advanced Drive, went on sale here last week in a special grade of the flagship Lexus LS 500h luxury sedan. It also will be sold in a version of the Toyota Mirai fuel cell sedan staring this week.

The technology, which enables the cars to automatically change lanes and pass vehicles in highway driving, represents a key step in Toyota's effort to catch rivals in the autonomous-driving race.

But the introductions also underscore Toyota's cautious, go-slow approach. The system will be available only in Japan for the time being, though it comes to the U.S. in the LS this fall. And it will be limited to the two top-tier offerings of the Lexus and Toyota brands, for now.

DETROIT — Ford. Lincoln. Bronco.

Even before the new Bronco goes on sale, some dealers are planning to turn the SUV and its offshoots into essentially a third brand for Ford Motor Co. by adding dedicated showrooms.

It's an idea originated by dealers, not a top-down edict from the factory. At their request, Ford created renderings for standalone stores and agreed to reward those who open one by slightly increasing their Bronco allocations.

Ford officials expect about 100 dealers to build Bronco showrooms, which will be near or connected to existing Ford stores and feature the SUV's horse logo instead of the Blue Oval.

A separate store is one of several optional facility improvements Ford has developed for dealers to show off one of its most highly anticipated nameplates in years, as well as the Bronco Sport that arrived in January and future additions to the off-roader family. It comes as rival Jeep prepares to add hundreds of standalone showrooms…