Spinning Our Wheels
Transcription
Spinning Our Wheels
Inside this issue: Dealership Showcase Luther Brookdale Toyota Industry Spotlight Steve Brimhall Spinning Our Wheels: , How MADA s Wheel Theft Investigation Help Protect Collision & ServiceCan Council Your Dealership From Crime Summer 2013 www.mada.org Volume 9 • Issue 4 delivering affordable care. offering more ways to save. The Minnesota Automobile Dealers Association and Blue Cross and Blue Shield of Minnesota offer more choices to keep health care affordable and provide opportunities to manage future health care costs for you and your employees. ➜ Delivering affordable care – Blue Cross plans deliver the lowest total cost per member per month1 ➜ Offering more ways to save – Our total cost-of-care high-performance networks and integrated pharmacy solutions offer savings opportunities you can see now ➜ Providing longer-term savings strategies – Our health support programs can help employees take action to live healthier lives and reduce future health care costs Find out how to accelerate your health care savings today and tomorrow. Call MADA Insurance at (651) 291-2400 or 1-800-652-9029. 1 2010 Milliman data Blue Cross® and Blue Shield® of Minnesota and Blue Plus® are nonprofit independent licensees of the Blue Cross and Blue Shield Association. 2 www.mada.org IN THIS ISSUE 10 Cover: Spinning Our Wheels 33 Dealership Showcase: Luther Brookdale Toyota 34 Industry Spotlight: Steve Brimhall Table of Contents MADA Minutes Awards........................................................4 2013 Executive Committee President Steve Brimhall, Minnesota Motor Company President Elect Morrie Wagener, Morrie’s Automotive Group Treasurer Greg House, House Chevrolet Secretary Mike Saxon, Inver Grove Ford Lincoln Immediate Past President Paul Walser, Walser Automotive Group Executive Vice President Scott Lambert EDITORIAL STAFF Scott Lambert, Publisher Alyssa Schlander, Publisher Ginger Lemke, Editor PHOTOGRAPHY Jim Mims, Mims Photography SUBSCRIPTIONS Minnesota Dealer Outlook is an official Minnesota Auto Dealers Association publication, provided quarterly to Members of the Minnesota Automobile Dealers Association. SUBMIT ADDRESS CHANGES TO: Minnesota Automobile Dealers Association 200 Lothenbach Avenue West St. Paul, MN 55118-3505 Phone: 651.291.2400 • Fax: 651.291.2894 Toll Free: 1.800.652.9029 Email: brom@mada.org ADVERTISING SALES: Ginger Lemke Phone: 651-291-2400 Email: ginger@mada.org www.mada.org On the Cover Spinning Our Wheels: How MADA’s Wheel Theft Investigation Can Help Protect Your Dealership From Crime....................10 Legislative News 2013 Legislative Wrap Up..........................7 Dealers Are Good Neighbors Good News...............................................16 Minnesota Auto Outlook Comprehensive New & Used Vehicle Information on Minnesota’s Automotive Market.......................................................19 Dealership Showcase Luther Brookdale Toyota...........................33 On the Cover: It’s elementary! Sherlock Holmes is none other than Bernie Wagnild of the Valley Auto Group who appears to have caught his man. MADA and GMADA Executive Vice President Scott Lambert surrenders to Bernie Wagnild for our cover story on private investigation of Wheel Theft. Industry Spotlight Steve Brimhall..........................................34 Data Source Information for Minnesota Auto Outlook on pages 19 - 33 Exclusive source for new vehicle registration data presented in Minnesota Auto Outlook is AutoCount, an Experian Company. AutoCount specializes in providing detailed new and used vehicle sales and registration statistics. Data is available on a timely basis on the internet. For more information on Auto Count, call 407-770-5900 or visit AutoCount’s web site: www.autocount.com Advertising Directory Blue Cross Blue Shield MN... Front Inside Cover CarSoup.com............................................. 23 CVR............................................................. 9 CliftonLarsonAllen....................................... 6 MADA Business Cards.............................. 32 MADA Direct Mail........................................ 8 MADA Endorsed Services and Vendors...... 8 Protective.....................................Back Cover Reliable Plus.............................................. 29 Schmit Towing........................................... 29 Super America............................................. 5 StarTribune.......................Back Inside Cover Wings Financial......................................... 18 WIPFLI LLP............................................... 30 3 MINUTES Awards Winona Chamber Celebrates Dahl Family The Winona Chamber Ambassador’s Progress Award recognized Dahl for “continuing to introduce into our economy their initiative, savings, resources, courage and enterprise.” The Dahl family has been in the automotive business for over 100 years. The family operates two dealerships in Winona; Dahl Chevrolet, Buick, GMC Inc. and Dahl Toyota. Co-owners of the dealerships are Andrew, Jansen and Tyler Dahl. AIADA Honors Local Dealers In May, the American International Automobile Association (AIADA) honored Morrie Wagener and Cindy Wagener Robin with its Legislative Action Network Grassroots Award. The award recognizes advocacy in reaching out and engaging Congress and other policy makers on issues important to the international nameplate auto dealer community. 4 Ken Waschke Auto Plaza Receives Award Ken Waschke Auto Plaza of Virginia has been recognized by General Motors as one of its Mark of Excellence Dealers; the 14th time that the dealership has been recognized with this honor by GM. The distinction is reserved for dealerships who exhibit professionalism and superior customer service, while growing their business. “We had a very strong year in 2012, and are proud that our hard work has been recognized,” said Kerry Waschke Collie of Ken Waschke Auto Plaza. Of GM’s approximately 4,500 Chevrolet, Buick, GMC and Cadillac dealerships across the United States, Ken Waschke Auto Plaza was one of only 308 dealerships to receive the Mark of Excellence award. Anniversaries Tom Heffernan Ford celebrated the dealership’s 40th year as Lake City’s Ford Dealer. Minnesota Motor Company will celebrate its 90th anniversary as a Chevrolet dealership. The celebration was delayed while a remodeling project was underway. Higley Ford of Windom is celebrating 50 years as a family-owned dealership. www.mada.org N I S H S 6 T H OV E R A L L A T T H E O M OAYES T I V ETeam C Oin M National PETITIO N Competition The Minnesota Automobile Dealers Association again sponsored a Minnesota High School AYES team, plus their instructor, to compete in the Greater New York National Automotive Technology Competition. As the first-place winners of the state competition, Moorhead High School automotive students Ken Bye and Bryce Jossund held their own, placing 6th out of 30 finalists. The national competition tests participants’ knowledge over 6 hours and then requires each student team to diagnose and repair a number of problems in a “bugged” car within 3 hours. h r l m n , e od m s Minnesota Automotive Youth Educational Systems is a partnership among manufacturers, dealers and select Minnesota’s auto technician team Ken Bye and Bryce Jossund high schools/tech prep schools to prepare students for demonstrated their sleuthing skills at a New York national comcareers in automotive technology. It is supported by the petition as finalists sponsored by MADA. Pictured Left to Right Bryce Jossund, Kenneth Bye Jr and their MADA Charitable Foundation. stall judge (an unidentified MAZDA Field Engineer). BUY FUEL ? York National Automotive Technology Competition is a test WANT FUELtheDISCOUNTS e of knowledge, and a race against clock—all rolled into? NEED hundreds of the nations best automotive high school seniorsCONTROL? country competing for the title of THE BEST AUTOMOTIVE C SA FLEET smart answer! cognized competition, developed in 1990 by90 the days SAVE which 10¢ awas gallon for the first k Automobile Dealers Association to help cure the shortage continue save 5¢educaa gallon motive techniciansThen and raise the level to of vocational with MADA discount the public school system. Thisthe year’s competition is celear as the preeminent competition of its kind. an $3 Million dollars in prizes were awarded to the particiand their schools from across the country. Thanks to the t provided by nearly every automaker, industry suppliers, ns and dealerships. M Y CM MY CY Call Lisa 651-403-3267 Start SAVING Today CMY K SUPERAMERICA.com www.mada.org safleet@superamerica.com 5 ©2013 CliftonLarsonAllen LLP build lasting value Strengthen your dealership with solid advice and industry experience you can use. Assurance Tax Advisory cliftonlarsonallen.com/dealerships Scott Gorden 612-376-4751 by Alyssa Schlander Vice President, External Affairs LEGISLATIVE NEWS Legislature Hikes Taxes by $2.1 billion; More To Come Next Year Although the 2013 Legislature passed plenty of tax increases and made some dramatic public policy changes this year, we were pleased that the MADAled initiative to eliminate the $6.50 wholesale transfer tax on used vehicles was approved. The fee sunsets in 2017. Additionally, all Minnesota counties were granted new authority to impose a $10 wheelage tax on annual motor vehicle registrations. Counties are now authorized to impose a $10 tax until 2017, then the wheelage tax may be increased “up to $20.” Wheelage taxes are imposed on vehicles according to where the vehicle is kept, not where the vehicle is sold. Also, after several years of debate, the legislature finally approved a change to the imposition of sales tax on auto repair shop materials and auto repair paint from the wholesale level to retail. Part of the legislature’s effort to raise over $2 billion in new taxes included extending the state sales tax to certain services... For the first time since 1990, the DFL held complete control of state government. The legislature passed substantial tax increases on high-income earners, cigarettes, and other services. Lawmakers also approved some longsought DFL initiatives like providing funding for all-day kindergarten, legalization of gay marriage, and authorization for the unionization of child care providers who receive state subsidies. MADA’s government affairs team successfully led the fight against municipal street improvement fees which would have allowed municipal governments to impose new property taxes. Part of the legislature’s effort to raise over $2 billion in new taxes included extending the state sales tax to certain services like warehousing, commercial equipment repair services, and electronics repair services. In addition, MADA opposed several other damaging tax increases: •efforts to increase the transit sales tax in the 7-county metro area, •an effort to increase the motor vehicle sales tax from 6.5% to 6.875%, •a proposal to increase the motor vehicle registration tax, •a move to impose sales tax on advertising, accounting, legal and most other business-tobusiness services, and •the extension of sales tax to auto repair labor, service contracts and extended warranties. Some tax increases will specifically affect the retail auto industry. The tax bill increased the rental car tax from 6.2% to 9.2%, making Minnesota’s taxes on rental cars amongst the highest in the country. Though these proposals did not become law in 2013, MADA expects many of these tax proposals to be on the table when the legislature reconvenes on February 25, 2014. The Governor’s campaign promise to “tax the rich” will become reality after the legislature approved a state income tax rate hike on top earners. The 2013 rate for married, filing jointly with taxable income over $250,000 will increase to 9.85%. www.mada.org 7 MADA Endorsed Services & Vendors Computerized Vehicle Registration CVR Dealership Marketing Visible Customer F&I Products Protective Group Health Insurance Blue Cross Blue Shield of MN Delta Dental ReliaStar Life Workers Compensation Ensure Agency Midwest Family Mutual Dealer Bond Program Ensure Agency Collections Springer Collections Check Guarantee/Credit Card Processing FIS / Certegy Disability Income Insurance & Section 125 Cafeteria Plans American Fidelity Assurance Call MADA for all of your Direct Mail Needs. 651-291-2400 • 800-652-9029 OSHA, EPA & DOT Compliance/Training ComplyNet Corporation Fleet Fueling Program SuperAmerica Office Supplies S & T Office Products Uniforms and Linen Services AmeriPride Linen and Apparel Services Hole-In-One Insurance Hole-In-One-USA Pre-Paid Legal, Jim Gavin Identity Theft Shield & Pre-Paid Legal Services 8 www.mada.org COMIC CORNER www.mada.org 9 : s l e e h W r u O g n i SpinDAns Wheel Theft InvestigatCiornimCean Help , From ip How MA h s r le a e D r u o Protect Y ,, Minnetonka: 72 wheels with 20 alloy rims stolen off 18 Chevy Suburbans and Tahoes. ,, Annandale: 12 wheels with 18 alloy rims stolen off three Chevy Suburbans ,, ,, Lakeville: 68 wheels with 20 and 22 alloy rims stolen from Chevy trucks and SUVs. ,, ,, White Bear Lake: 40 wheels with 18 and 20 alloy rims stolen off Chevy Silverados and Tahoes. ,, Roseville: 8 wheels with 22 aluminum rims stolen off a Mack Truck. 10 www.mada.org by Alyssa Schlander Vice President, External Affairs When Edmund’s reviewed the Lincoln Town Car a few years ago they appreciated the Town Car’s abundant storage areas, soft ride quality its “interior spaciousness and ability to swallow four sets of golf clubs in the huge trunk.” When Oakdale police stopped a 23-year-old man from Fridley driving a Town Car last spring, it was quickly apparent that the vehicle’s interior spaciousness was good for more than just four sets of golf clubs. The state trooper who stopped the Town Car noticed two new tires and Corvette rims in the backseat. Upon further inspection, he found two more wheels and tires, floor jacks, tire irons, a flashlight, gloves and concrete landscaping blocks swallowed up in that huge Town Car trunk. The Town Car-driving thief caused $7,000 in damage to a Corvette ZRI, now sitting on concrete landscape blocks at Village Chevrolet. But, that’s just the tip of the iceberg when it comes to wheel and tire thefts from Minnesota dealerships in the last couple of years. An MADA investigation of wheel and tire thefts in the greater metropolitan area revealed that financial losses to the dealerships and their www.mada.org 11 Spinning Our Wheels: , How MADA s Wheel Theft Investigation Can Help Protect Your Dealership From Crime insurance companies attributed to wheel and tire thefts is almost a half-million dollars in the past 18 months alone. There were no eyewitnesses to any of the thefts. There was little or no evidence of value found at the scenes. In most cases, the only remnants of a crime were vehicles sitting on supporting blocks without their wheels, lug nuts scattered on the ground and sometimes broken glass from vehicle windows. There were at least three large incidents involving the theft of more than 60 wheels and tires, which law enforcement says points to suspects with a well-planned and coordinated operation. In a couple of instances, security cameras captured shadowy images of the suspects committing the thefts, using a U-Haul truck to transport the stolen property. The video footage exposed the swiftness and methodical approach of the thieves, armed with cordless power tools and working as a crew to carry out the crimes. Nationally, wheel and tire thefts are now resurgent, thanks to anonymous online marketplaces. Couple that with the functionality of cordless power tools that allow thieves to remove wheels in a minute or two, and you’ve got an easy and lucrative target. According to the National Insurance Crime Bureau (NCIB), Honda vehicles are the favorite target of thieves in California, Nissan vehicles in Illinois, while Chevrolet and GMC vehicles are the top target in Texas and Minnesota. All of the victims interviewed in our investigation reported that the wheels stolen were alloy or aluminum wheels, ranging between 18” and 22” rims. Chevrolet and GMC tires are less traceable for police and, therefore, less risky for thieves. For instance, unlike Ford Motor Company, General Motors does not record the Department of Transportation number imprinted on the tires for each vehicle when 12 www.mada.org they are mounted at the factory. Moreover, interviews with GM dealers revealed that they do not regularly document the tires’ DOT numbers when the vehicles are entered into their inventory. Even when law enforcement is able to recover stolen property, the lack of serial numbers or identifiable marking makes verifying ownership of wheels and tires impossible. Law enforcement agencies have had limited success on these cases with a small number of suspects apprehended and charged with theft or attempted theft. In some cases, the thefts were disrupted by alert police officers. On others, police officers apprehended suspects on traffic stops shortly after the theft and found stolen wheels and tires, as well as the necessary tools and equipment, in their possession. Because these thefts are widespread across the metro area, a law enforcement task force has been established so that officers from various jurisdictions can share information on wheel thefts. Although the details of their investigations are sensitive and prohibited from public disclosure, a number of thefts appear to be linked to criminal gangs. GMADA has reached out to the task force to offer any assistance in sharing information on these crimes. If your dealership has experienced wheel thefts or attempted wheel thefts, please let us know so that we can continue to keep law enforcement informed. www.mada.org 13 Spinning Our Wheels: , How MADA s Wheel Theft Investigation Can Help Protect Your Dealership From Crime ,, Crime is common. Logic is rare. than upon the crime that you should Private Investigator and Former FBI Agent George Kyrillis investigated the rash of the thefts from Twin Cities dealers on behalf of MADA. Mr. Kyrilis recomended some common-sense strategies that dealers can use to deter wheel thieves. Use locking lug nuts on alloy and aluminum wheels. They won’t stop thieves entirely, but they may slow down organized criminals or cause amateur criminals to look elsewhere. Hide the keys indoors. Don’t keep the keys to the locked lug nuts in the vehicle’s glove box or anywhere else in the vehicle. Thieves have no problem breaking windows to find the keys. , Keep the wheels where we can see em! Don’t park the vehicles with the alloy wheels in back of the lot. Stagger your display. Consider parking vehicles with alloy wheels next to vehicles without alloy wheels. Our investigation revealed that the large thefts involved vehicles with alloy wheels parked in a row, making it easy for thieves to 14 www.mada.org Therefore, it is upon the logic rather ,, dwell. -- Sherlock Holmes. be efficient. Creating distance between the targeted vehicles would disrupt the speed of organized tactics. Turn the front wheels. With the front wheels turned, removing the lug nuts and front wheels from the vehicle would be more difficult. Use and record identifiable markings. Recording the DOT numbers on tires for each vehicle in dealership inventory and/ or discretely marking wheels with engraving pens will help law enforcement trace stolen wheels and return them to their rightful owners. Lights, camera... no action! Better lighting creates higher visibility for law enforcement and security patrols. It also improves the quality of the images captured by security cameras. Security cameras should be updated to capture nighttime images and positioned to capture images of vehicles and suspects at the entrance to the parking lot and the area where the trucks and SUVs are parked. If possible, cameras that capture the area adjacent to the dealership can capture usable evidence. Capturing an image of the vehicle used to transport the stolen property provides more evidence to law enforcement than footage of shadowy figures. www.mada.org 15 Dealers Are Good Neighbors Building Communities Support for Education Clusiau Sales and Rental, Grand Rapids, helped to Competition was tense for the Chevy Scholarship Program which offered a $5,000 scholarship check to a deserving student. The Program was created by 20 Chevrolet dealers that make up the Certified Heartland Chevy Dealers. The winner of the scholarship was Isaac Loegering who was sponsored by Brost Chevrolet in Crookston. raise over $2,000 for the Greenway/Nashwauk-Keewatin Stafford Thompson of Brainerd High School FFA was Track Team. awarded a $1,000 scholarship by Mills Motor, Inc. The Dodge Brand and A.M. Maus & Son, Inc., and the Ford Motor Company. The Built Ford Tough Kimball, helped to raise $4,500 for the Kimball Area FFA Scholarship program is designed to recognize High School to be used for the KAHS Booster Club. FFA member’s talents and accomplishments while Lee Brothers Sales, Inc. partnered with the Norman encouraging future academic achievements. County Summer League Baseball in Ada to provide new equipment, a monetary contribution, invitations to free instructional clinics and the opportunity for community members to enter the free Chevrolet vehicle sweepstakes. Hawkins Chevrolet has a similar partnership with the Fairmont Baseball Association in Fairmont.The national Chevrolet Youth Baseball program makes these contributions possible. In the eight years since Chevrolet introduced the program, more that 3 million young people have participated. The Marshall Fire and Rescue was presented with a Resusci Anne by Lockwood Motors and MADA Charitable Foundation. Partners in our Communities Honda of St. Cloud combined the fun aspects of a holiday party with charitable giving in a casino royale night theme to support Toys for Tots. Rudy Luther Toyota Scion built up Toys for Tots stock by offering $9.95 oil changes with a toy donation of $10 minimum value. The toy collection program has grown every year and will continue to be an annual tradition for both dealerships. A special event to support Gillette Children’s Specialty Healthcare was sponsored by Jaguar Land Rover 16 www.mada.org Minneapolis. The event raised $8,000 for this internationally-recognized pediatric care facility. Rudy Luther Toyota Scion was very pleasantly surprised when their very successful food drive results were matched by Toyota, resulting in a $5,000 food drive total! Make-A-Wish for Matthew Send YOUR good news to Sandy at brom@mada.org In early January, Morrie’s Automotive Group partnered with MakeA-Wish of Minnesota to grant “Matthew’s wish.” Matthew, who has battled Hodgkin’s Lymphoma for the past two years, wished to have his 1968 Dodge Charger restored and Morrie’s gladly delivered. After five months, over 600 hours of work and the combined efforts of over 40 employees and a dozen vendors, the car was completed in late May. On May 31, Morrie’s held a surprise reveal of the renewed car for Matthew and his family to meet the dozens of people who helped make his wish come true. Now Available ONLINE!!! View the entire publication online - anytime! • Always Available • Easy to share an article with a single click • No storage required Go to the MADA homepage: http://www.mada.org Click on “Read the MADA magazine” View Minnesota Dealer Outlook Online @ www.mada.org www.mada.org 17 Comprehensive Information on the State New Vehicle Market Improves 13.4% thru April ofof 2013 State New Vehicle Market Improves 13.4% thru April 2013 Minnesota Automotive Market FORECAST FORECAST MINNESOTA AUTO OUTLOOK 7.2% increase predicted forfor entire year 7.2% increase predicted entire year FORECAST State New Vehicle Market Improves 13.4% thru April of 2013 7.2% increase predicted for entire year The Minnesota new vehicle market got off off to atogood start in 2013, withwith newnew retail lightlight vehicle registrations increasing The Minnesota new vehicle market got a good start in 2013, retail vehicle registrations increasing 13.4% during the first four months versus a year earlier. The uptick comes on the heels of steady gains during the past 13.4% during the first four months versus a year earlier. The uptick comes on the heels of steady gains during the past The Minnesota new vehicle market got off to a good start in 2013, with new retail light vehicle registrations increasing 13.4% three years. Registrations increased 3.7% in 2010, 25.4% in 2011, andand 29.5% in 2012. Indeed, thisthis trend of growth followthree years. Registrations increased 3.7% in 2010, 25.4% in 2011, 29.5% in 2012. Indeed, trend of growth followduring themarket firstcollapse four months versus a yearwhat earlier. The uptick comes on the heels ofago. steady gains during the past three years. ing thethe market in 2009 is exactly Auto Outlook predicted four years ago. ing collapse in 2009 is exactly what Auto Outlook predicted four years Registrations increased 3.7% in 2010, 25.4% in 2011, and 29.5% in 2012. Indeed, this trend of growth following the market collapse Our forecast at the timetime waswas predicated on on twotwo main themes. depressed newnew vehicle sales in 2008 andand 2009 would in Our 2009 is exactly Auto Outlook predicted four years ago. First, forecast at what the predicated main themes. First, depressed vehicle sales in 2008 2009 would leadlead to an aging vehicle fleetfleet andand thethe accumulation of pent up up demand thatthat would givegive thethe market sustained momentum. to an aging vehicle accumulation of pent demand would market sustained momentum. Second, thethe onset of the financial crisis ensuing de-leveraging process in both thesales private andand public sectors oflead the Our forecast at the time predicated onand two main themes. First, depressed new vehicle in 2008 and 2009 would Second, onset ofwas the financial crisis and ensuing de-leveraging process in both the private public sectors of to thean economy would putand a damper on on economic growth for for several And these twotwo primary forces have indeed directed economy would put a damper economic growth several years. And primary forces have indeed directed aging vehicle fleet the accumulation of pent up demand thatyears. would give thethese market sustained momentum. Second, the onset the course of the newnew vehicle market for for thethe past fourfour years. Pent up up demand hashas supported theeconomy market, while sluggish course ofcrisis the vehicle market past years. demand supported the market, while of the the financial and ensuing de-leveraging process in both thePent private and public sectors of the would putsluggish a damper economic growth hashas heldheld back thethe pace of the sales recovery. AndAnd thisthis prescription should remain in place for for at least thethe economic growth back pace of the sales recovery. prescription should remain in place at least onnext economic growth forOutlook several years. These two increase primary forces have indeed directed theimprovement course of thelikely new market for next twotwo years. Auto Outlook is predicting a 7.2% in sales thisthis year, with further invehicle 2014. years. Auto is predicting a 7.2% increase in sales year, with further improvement likely in 2014. the past four years. Pent up demand has supported the market, while sluggish economic growth has held back the pace of the sales Below areare some other trends in the Minnesota vehicle Below some other trends in remain the Minnesota vehicle market: recovery. This prescription should in place for market: at least the next two years. Auto Outlook is predicting a 7.2% increase in sales this year, with further improvement likely in 2014. ‣ Car ‣ Car registrations were up 17.4% during thethe firstfirst fourfour months of this year, while lightlight trucks increased 10.9%. registrations were up 17.4% during months of this year, while trucks increased 10.9%. Below are some other trends in the Minnesota vehicle market: ‣ Japanese ‣ Japanese andand Detroit Three brands hadhad double digitdigit percentage increases in the firstfirst fourfour months of this year, while Detroit Three brands double percentage increases in the months of this year, while European brands declined. brands declined. • European Car registrations were up 17.4% during the first four months of this year, while light trucks increased 10.9%. ‣ Alternative ‣• Alternative and electric) vehicle market share reached 3.5% the First Quarter 2013. powertrain (hybrid and electric) vehicle market share reached in the First Quarter of year, 2013.while European Japanesepowertrain and Detroit(hybrid Three brands had double digit percentage increases in3.5% theinfirst four months ofofthis brands declined. ‣ Dodge, ‣ Dodge, Mazda, andand Lexus hadhad thethe largest percentage increases in registrations. Mazda, Lexus largest percentage increases in registrations. Alternative powertrain (hybrid and electric) vehicle market share reached 3.5% in the First Quarter of 2013. ‣ Chevrolet ‣• Chevrolet andand Ford market shares in the state exceeded National levels by abywide margin. Ford market shares in the state exceeded National levels a wide margin. • Dodge, Mazda, and Lexus had the largest percentage increases in registrations. • Chevrolet and Ford market shares in the state exceeded national levels by a wide margin. Annual Trend in Minnesota NewNew Vehicle Market Annual Trend in Minnesota Vehicle Market Annual Trend in Minnesota New Vehicle Market Market Review Market Review Market Review New light vehicle registrations New light vehicle registrations 250,000 250,000 200,000 200,000 210,500 210,500TOTAL TOTAL 196,295 196,295 150,000 150,000 168,673 168,673 100,000 100,000 151,589 151,589 148,311 148,311 120,903 120,903 116,541 116,541 50,000 50,000 0 0 2007 2007 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2013 2013 Forecast Forecast Years Years Data Source: AutoCount datafrom from Experian Automotive Data Source: AutoCount datadata from Experian Automotive. Data Data Source: AutoCount Experian Automotive. Data Source: AutoCount datadata fromfrom Experian Automotive. Source: AutoCount Experian Automotive. www.mada.org YTDYTD '12 '12 YTDYTD '13 '13 % ch. % ch. thruthru April April April thruthru April '12 to '12'13 to '13 61,012 69,201 13.4% 61,012 69,201 13.4% Car Car LightLight Truck Truck 23,925 23,925 37,087 37,087 28,078 28,078 41,123 41,123 17.4% 17.4% 10.9% 10.9% Detroit Three Detroit Three European European Japanese Japanese Korean Korean 33,140 33,140 4,668 4,668 18,372 18,372 4,832 4,832 37,632 37,632 4,469 4,469 21,998 21,998 5,102 5,102 13.6% 13.6% -4.3% -4.3% 19.7% 19.7% 5.6% 5.6% Detroit Three consists of vehicles soldsold by GM, Ford, andand Detroit Three consists of vehicles by GM, Ford, Chrysler. Chrysler. Data Source: AutoCount datadata fromfrom Experian Automotive. Data Source: AutoCount Experian Automotive. Data Source: AutoCount data from Experian Automotive 19 Brand Registrations Report Minnesota New Retail Car and Light Truck Registrations April Registrations 2012 2013 % change TOTAL 19,191 17,168 -10.5 Cars 8,016 7,415 -7.5 Light Trucks 11,175 9,753 -12.7 Domestic Brands 10,234 9,132 -10.8 European Brands 1,457 1,084 -25.6 Japanese Brands 5,926 5,659 -4.5 Korean Brands 1,574 1,293 -17.9 Acura 104 95 -8.7 Audi 142 112 -21.1 BMW 243 207 -14.8 Buick 381 399 4.7 Cadillac 124 131 5.6 Chevrolet 3,358 2,563 -23.7 Chrysler 452 339 -25.0 Dodge 501 635 26.7 Fiat 27 36 33.3 Ford 3,492 3,421 -2.0 GMC 788 603 -23.5 Honda 1,390 1,456 4.7 Hyundai 677 633 -6.5 Infiniti 73 101 38.4 Jaguar 3 11 266.7 Jeep 632 443 -29.9 Kia 897 660 -26.4 Land Rover 48 35 -27.1 Lexus 149 228 53.0 Lincoln 98 108 10.2 Mazda 307 362 17.9 Mercedes 238 159 -33.2 MINI 72 70 -2.8 Mitsubishi 63 96 52.4 Nissan 851 822 -3.4 Porsche 19 14 -26.3 Ram 408 490 20.1 smart 3 0 -100.0 Subaru 816 656 -19.6 Toyota/Scion 2,146 1,814 -15.5 Volkswagen 552 407 -26.3 Volvo 82 31 -62.2 Other 55 31 -43.6 Source: AutoCount data from Experian Automotive Market Share (%) 2012 2013 Change 41.8 58.2 53.3 7.6 30.9 8.2 0.5 0.7 1.3 2.0 0.6 17.5 2.4 2.6 0.1 18.2 4.1 7.2 3.5 0.4 0.0 3.3 4.7 0.3 0.8 0.5 1.6 1.2 0.4 0.3 4.4 0.1 2.1 0.0 4.3 11.2 2.9 0.4 0.3 43.2 56.8 53.2 6.3 33.0 7.5 0.6 0.7 1.2 2.3 0.8 14.9 2.0 3.7 0.2 19.9 3.5 8.5 3.7 0.6 0.1 2.6 3.8 0.2 1.3 0.6 2.1 0.9 0.4 0.6 4.8 0.1 2.9 0.0 3.8 10.6 2.4 0.2 0.2 1.4 -1.4 -0.1 -1.3 2.1 -0.7 0.1 0.0 -0.1 0.3 0.2 -2.6 -0.4 1.1 0.1 1.7 -0.6 1.3 0.2 0.2 0.1 -0.7 -0.9 -0.1 0.5 0.1 0.5 -0.3 0.0 0.3 0.4 0.0 0.8 0.0 -0.5 -0.6 -0.5 -0.2 -0.1 Year-to-date thru April Registrations Market Share (%) YTD '12 YTD '13 % change YTD '12 YTD '13 Change 61,012 69,201 13.4 23,925 28,078 17.4 39.2 40.6 1.4 37,087 41,123 10.9 60.8 59.4 -1.4 33,140 37,632 13.6 54.3 54.4 0.1 4,668 4,469 -4.3 7.7 6.5 -1.2 18,372 21,998 19.7 30.1 31.8 1.7 4,832 5,102 5.6 7.9 7.4 -0.5 340 415 22.1 0.6 0.6 0.0 486 448 -7.8 0.8 0.6 -0.2 733 848 15.7 1.2 1.2 0.0 1,122 1,465 30.6 1.8 2.1 0.3 430 578 34.4 0.7 0.8 0.1 10,414 11,414 9.6 17.1 16.5 -0.6 1,474 1,387 -5.9 2.4 2.0 -0.4 1,648 2,383 44.6 2.7 3.4 0.7 72 119 65.3 0.1 0.2 0.1 11,819 13,477 14.0 19.4 19.5 0.1 2,400 2,736 14.0 3.9 4.0 0.1 4,708 5,350 13.6 7.7 7.7 0.0 2,214 2,450 10.7 3.6 3.5 -0.1 266 360 35.3 0.4 0.5 0.1 12 16 33.3 0.0 0.0 0.0 2,043 1,862 -8.9 3.3 2.7 -0.6 2,618 2,652 1.3 4.3 3.8 -0.5 143 167 16.8 0.2 0.2 0.0 535 733 37.0 0.9 1.1 0.2 361 431 19.4 0.6 0.6 0.0 942 1,309 39.0 1.5 1.9 0.4 740 731 -1.2 1.2 1.1 -0.1 205 199 -2.9 0.3 0.3 0.0 212 290 36.8 0.3 0.4 0.1 2,953 3,092 4.7 4.8 4.5 -0.3 56 50 -10.7 0.1 0.1 0.0 1,429 1,899 32.9 2.3 2.7 0.4 7 5 -28.6 0.0 0.0 0.0 2,170 2,783 28.2 3.6 4.0 0.4 6,150 7,536 22.5 10.1 10.9 0.8 1,899 1,704 -10.3 3.1 2.5 -0.6 257 174 -32.3 0.4 0.3 -0.1 154 138 -10.4 0.3 0.2 -0.1 Top ten ranked brands in each category are shaded green. 20 www.mada.org MARKET TRACKER: BRAND MARKET SHARE MARKET TRACKER: BRAND MARKET SHARE Japanese Japanese Brand Brand Market Market Share Share Has Has Increased Increased in in 2013 2013 MARKET TRACKER: BRAND MARKET SHARE Japanese Brand Market Share Has Increased in 2013 Change in State Market Share: YTD 2013 thru April vs. YTD 2012 Change 2013thru thruApril Aprilvs. vs.YTD YTD2012 2012 ChangeininState StateMarket Market Share: Share: YTD 2013 Japanese Japanese 1.7 1.7 Japanese Japanese brand share brand share has increased has increased 1.7 points so 1.7 points so far this year. far this year. Detroit Three Detroit Three 0.1 0.1 -0.5 -0.5 Korean Korean -1.2 -1.2 European European -1.5 -1.5 -1.0 -1.0 -0.5 -0.5 0.0 0.5 0.0 0.5 Change in market share Change in market share 1.0 1.0 1.5 1.5 2.0 2.0 Data Source: AutoCount data from Experian Automotive. Data Source: AutoCountdata datafrom from Experian Experian Automotive. Data Source: AutoCount Automotive MARKET TRACKER: HYBRID ELECTRIC VEHICLES MARKET TRACKER: HYBRID AND AND ELECTRIC VEHICLES MARKET TRACKER: HYBRID AND ELECTRIC VEHICLES Hybrid & Electric Share Hits 3.5% First Quarter 2013 of 2013 Hybrid & Electric Share Hitsin3.5% in FirstofQuarter Hybrid & Electric Share Hits 3.5% in First Quarter of 2013 Quarterly (includes hybrid hybrid and andelectric electric vehicles) vehicles) QuarterlyAlternative AlternativePowertrain Powertrain Market Share (includes Quarterly Alternative Powertrain Market Share (includes hybrid and electric vehicles) 4.0 4.0 3.5 3.5 3.0 3.0 2.5 2.5 2.0 2.0 1.5 1.5 1.0 1.0 0.5 0.5 0.0 0.0 Trendline Trendline Alternative powertrain market share is Alternative powertrain market share is trending higher and reached 3.5% in the trending higher and reached 3.5% in the First Quarter of this year. First Quarter of this year. Q2 Q2 '10 '10 Q3 Q3 '10 '10 Q4 Q4 '10 '10 Q1 Q1 '11 '11 Q2 Q2 '11 '11 Q3 Q4 Q3 Q4 '11 '11 '11 '11 Quarters Quarters Q1 Q1 '12 '12 Q2 Q2 '12 '12 Q3 Q3 '12 '12 Q4 Q4 '12 '12 Q1 Q1 '13 '13 Data Source: AutoCount data from Experian Automotive Data Source: AutoCount data from Experian Automotive. Data Source: AutoCount data from Experian Automotive. www.mada.org 21 BRAND SCOREBOARD - PART ONE Dodge, Mazda, and Lexus Post Largest Gains So Far This Year BRAND SCOREBOARD - PART ONE Mitsubishi, Infiniti, and Cadillac also had big increases Dodge, Mazda, and Lexus Post Largest Gains So Far This Year Mitsubishi, Infiniti, Cadillac also hadevaluation big increases The graphs below and provide a comparative of brand sales performance in the state market. It shows the year-todate percent change in registrations for each brand, organized by category (i.e., Detroit Three, European, Japanese, and TheKorean). graphs below provide a comparative evaluation of brand sales performance in the state market. It shows the year-to-date percent change in registrations for each brand, organized by category (i.e., Detroit Three, European, Japanese, and Korean). Source: AutoCount data from Experian Automotive. Source: AutoCount data from Experian Automotive. Percent Change in State New Retail Light Vehicle Registrations Percent Change in State New Retail Light Vehicle Registrations YTD 2013 thru April vs. YTD 2012 YTD 2013 thru April vs. YTD 2012 Dodge 44.6% Cadillac 34.4% Ram 32.9% Detroit Three Brands Buick 30.6% Lincoln 19.4% Ford 14.0% GMC 14.0% Chevrolet 9.6% -5.9% Chrysler Jeep -8.9% Jaguar 33.3% Land Rover 16.8% BMW 15.7% European Brands Mercedes -1.2% MINI -2.9% Audi -7.8% -10.3% Volkswagen -10.7% Porsche smart Volvo -28.6% -32.3% Mazda 39.0% Lexus 37.0% Mitsubishi 36.8% Infiniti Subaru 35.3% Japanese Brands 28.2% 22.5% Toyota/Scion 22.1% Acura Honda 13.6% Nissan Hyundai Kia -40.0% 22 4.7% 10.7% Korean Brands -30.0% 1.3% -20.0% -10.0% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% www.mada.org BRAND SCOREBOARD - PART TWO BRAND SCOREBOARD - PART TWO Ford is Non-Luxury Car and Light Truck Brand Leader Ford is Non-Luxury Car and Light Truck Brand Leader BRAND SCOREBOARD - PART TWO BMW is best selling luxury car brand; Lexus is luxury light truck leader Ford isisNon-Luxury Car and LightLexus TruckisBrand Leader BMW best selling luxury car brand; luxury light truck leader BMW best-selling luxury brand; Lexus is luxury light truck leader The is four graphs below showcar market share leaders in Minnesota during the first four months of this year for four primary segments: Non below Luxury Cars, Non Luxury Cars, and Luxury Ford was of the best-selling Non Luxury Thefour fourgraphs graphs belowshow showmarket market shareTrucks, leadersLuxury Minnesota during theTrucks. first four four months year The share leaders ininMinnesota during the first months of this this year for forfour fourprimary primary Car brand, Non with Luxury a 1.8 point lead over second placeLuxury Toyota.Cars, Fordand wasLuxury the topTrucks. ranked Ford Non Luxury Truck brand, ahead segments: Cars, Non Luxury Trucks, was theLight best-selling Non Luxury segments: Non-Luxury Cars, Non-Luxury Trucks, Luxury Cars, and Luxury Trucks. Ford was the best-selling Non-Luxury of BMW was thelead best-selling Luxury Car Toyota. brand, while was trucks. CarChevrolet. brand, with a 1.8 point over second place Ford Lexus was the tophighest rankedfor Non Luxury Light Truck brand, ahead Car withBMW a 1.8 was pointthe lead over second placeCar Toyota. was the top-ranked of brand, Chevrolet. best-selling Luxury brand,Ford while Lexus was highestNon-Luxury for trucks. Light Truck brand, ahead of Chevrolet. BMW was the best-selling Luxury Car brand, while Lexus was highest for trucks. Top 10 Non Luxury Car Brands in State Market Top 10 Non Luxury Car Brands in State Market YTD 2013 thru April YTD 2013 thru April Top 10 Non-Luxury Car Brands in State Market YTD 2013 thru April Ford 17.0 Source: AutoCount data from Experian Automotive. Ford Toyota/Scion Toyota/Scion Chevrolet Chevrolet Honda Honda Hyundai Hyundai Subaru Subaru Kia Kia Volkswagen Volkswagen Nissan Nissan Dodge Dodge 6.2 6.2 5.9 5.9 5.7 5.7 7.5 7.5 7.3 7.3 9.8 9.8 12.1 12.1 15.2 15.2 3.9 3.9 5.0 10.0 15.0 5.0 of non luxury 10.0 car market 15.0 Share (%) 0.0 0.0 17.0 20.0 20.0 Top 10 Non Luxury Light Truck Brands in State Market Top 10 Non Luxury Light Truck YTD 2013 thruBrands April in State Market YTD 2013 thru April in State Market Top 10 Non-Luxury Light Truck Brands YTD 2013 thru April Ford 23.8 Ford Chevrolet Chevrolet Toyota/Scion Toyota/Scion Honda Honda GMC GMC Ram Ram Jeep Jeep Nissan Nissan Dodge Dodge Kia Kia 7.4 7.4 7.1 7.1 0.0 0.0 Share of non luxury car market (%) 0.0 0.0 0.9 0.9 3.5 3.5 5.9 5.9 5.6 5.6 8.4 8.4 11.5 11.5 11.0 11.0 13.5 13.5 9.4 9.4 5.0 5.0 4.9 4.9 4.2 4.2 3.6 3.6 2.8 2.8 5.0 10.0 15.0 20.0 5.0 of non 10.0 20.0 Share luxury light15.0 truck market (%) 23.8 25.0 25.0 Share of non luxury light truck market (%) Top 10 Luxury Car Brands in State Market Top LuxuryCar CarBrands Brandsin in State State Market Market Top 1010Luxury YTD 2013 thru April YTD 2013 thru April YTD 2013 thru April BMW BMW Mercedes Mercedes Lexus Lexus Audi Audi Cadillac Cadillac Infiniti Infiniti Lincoln Lincoln Acura Acura Volvo Volvo Porsche Porsche 21.6 21.6 Top 10 Luxury Light Truck Brands in State Market Top 10 10 Luxury Truck Brands in State Market Top LuxuryLight Light Truckthru Brands YTD 2013 Aprilin State Market YTD 2013 thru April YTD 2013 thru April 19.7 19.7 19.2 19.2 Lexus Lexus BMW BMW Cadillac Cadillac Lincoln Lincoln Mercedes Mercedes Acura Acura Audi Audi Infiniti Infiniti Land Rover Land Rover Volvo Volvo 7.0 7.0 6.3 6.3 6.3 6.3 12.3 12.3 11.1 11.1 10.9 10.9 10.7 10.7 16.0 16.0 14.8 14.8 3.5 3.5 5.0 10.0 15.0 5.0 of luxury light 10.0truck market 15.0 Share (%) 5.0 10.0 15.0 20.0 25.0 0.0 5.0 Share of 10.0 25.0 0.0 luxury car 15.0 market (%) 20.0 Share of luxury car market (%) AutoCount Share of luxury light truck market (%) Data Source: ExperianAutomotive Automotive. Data Source: AutoCount data data from Experian 20.0 20.0 Data Source: AutoCount data from Experian Automotive. 24 www.mada.org BRAND SCOREBOARD - PART THREE Ford and Chevrolet are Market Leaders BRAND SCOREBOARD - PART THREE Market share for both brands exceeds U.S. by a wide margin Ford and Chevrolet are Market Leaders Market share for both brands exceeds U.S. by a wide margin The graph below provides a comparison of Minnesota U.S. retail market share during months of this The graph below provides a comparison of Minnesota andand U.S. newnew retail market share during thethe firstfirst fourfour months of this year year for the top 20 selling brands in the state. Brands are positioned on the graph from top to bottom based on state marforket theshare. top 20Ford selling brands in the state. Brands are positioned on the graph from top to bottom based on state market share. was the state leader, accounting for 19.5% of the market, higher than its 13.8% share in the Nation. Ford was the state leader, for 19.5% of the market, higher than its 13.8% share in the nation. Source: AutoCount dataaccounting from Experian Automotive. Source: AutoCount data from Experian Automotive. Minnesota and U.S. Market Share - YTD 2013 thru April Minnesota and U.S. Market Share - YTD 2013 thru April Ford Chevrolet 10.8% Toyota/Scion 10.9% 7.7% Honda 4.5% Nissan Subaru 2.9% GMC 3.1% 13.3% 10.3% 7.1% 4.0% Hyundai 3.5% Dodge 3.4% 3.2% Chevrolet, Ford, and Subaru market shares in the state are well above U.S. levels. Honda, Nissan, and Toyota are lower in the state. 4.6% 2.7% 2.2% Ram Minnesota 2.7% 3.1% Jeep U.S. 2.5% 2.8% Volkswagen Buick 2.1% 1.4% Chrysler 2.0% 1.5% Mazda 1.9% 1.9% BMW 1.2% Lexus 1.1% Mercedes 1.1% 0.0% 16.5% 4.0% 3.8% 3.6% Kia Cadillac 19.5% 13.8% 2.4% 2.0% 2.3% 0.8% 1.3% Data Source: AutoCount Automotive. 5.0% 10.0%data from Experian15.0% 20.0% 25.0% Market Share www.mada.org 25 MODEL MODEL SCOREBOARD SCOREBOARD FordFord Focus Focus Gains Gains Market Market Share Share MODEL SCOREBOARD Toyota Toyota Camry Camry and Ram and are Ram also areup also up Ford Focus Gains Market Share The two The graphs two graphs below show belowmarket show market sharesshares in the state in thecar state andcar light and truck lightmarkets truck markets during during the firstthe four first months four months of 2012ofand 2012 and Toyota Camry and Ram aremodels also up 2013. Includes 2013. Includes the topthe tentop selling ten selling models for carsfor and cars light and trucks. light trucks. The two graphs below show market shares in the state car and light truck markets during the first four months of 2012 and 2013. DataIncludes source: Data source: AutoCount from data Experian fromfor Experian Automotive. the topAutoCount ten data selling models cars andAutomotive. light trucks. Data Source: AutoCount data from Experian Automotive. ChangeChange in Market in Market Share for Share Top for 10 Selling Top 10 Selling Cars - YTD Cars2013 - YTDthru 2013 April thru vs.April YTD vs. 2012 YTD 2012 Change in Market Share for Top 10 Selling Cars - YTD 2013 thru April vs. YTD 2012 7.0 7.0 6.0 6.0 Focus, Camry, Focus, andCamry, Sonata and market Sonata market shares areshares up thisare year. up this year. 2012 ytd 2012 ytd 2013 ytd 2013 ytd Market Share 5.0 4.0 3.0 4.0 3.0 2.0 2.0 1.0 1.0 0.0 0.0 Ford FocusFordToyota Focus Camry ToyotaFord Camry FusionFord Fusion Chevrolet Chevrolet Honda Accord Honda Accord Subaru Subaru Honda Civic Honda Civic Hyundai Hyundai Toyota Prius Toyota Chevrolet Prius Chevrolet Cruze Cruze Outback Outback Sonata Sonata Malibu Malibu ChangeChange inChange Market in in Market Share for Share Top for 10forSelling Top Light Trucks Light YTD 2013 -- YTD 2013 April thru vs. April YTDvs. vs. 2012 YTD2012 2012 Market Share Top1010Selling Selling Light-Trucks Trucks YTDthru 2013 thru April YTD 12.0 12.0 10.0 10.0 8.0 8.0 Ram, Equinoix, Ram, and Equinoix, RAV4 and market RAV4 shares market shares have increased. have increased. 6.0 2013 ytd 2013 ytd 6.0 4.0 4.0 2.0 2.0 0.0 26 Market Share 2012 ytd 2012 ytd Market Share Market Share 5.0 0.0 Ford F-Series Ford F-Series Chevrolet Chevrolet Chevrolet Chevrolet Ford Escape Ford Escape Ram Silverado Silverado Equinox Equinox Ram Honda CRVHonda Toyota CRV RAV4 ToyotaGMC RAV4SierraGMC Sierra Ford Edge FordFord EdgeExplorer Ford Explorer www.mada.org MINNESOTA MARKET VERSUS U.S. Increase in State Market is Higher than U.S. MINNESOTA MARKET MINNESOTA MARKET VERSUS U.S.VERSUS U.S. Detroit Three market share in is 13.6 points Increase in State Market isstate Higher than U.S.higher than in the Nation Increase Statemarket Market is Higher Detroitin Three share in state than is 13.6U.S. points higher than in the Nation The accompanying table provides a comparison of results in both the Minnesota and U.S. markets. New vehicle registrations instate the state improved fourofmonths of 2013, while the increased U.S. market increased 9.7%. Car market share improved 13.4%13.4% during during the first the four first months 2013, while the U.S. market 9.7%. Car market share in Minnesota wasin 9.3 share points lower than in thelower Nation. Detroit Three market shareThree in Minnesota 54.4%, up slightlywas from54.4%, a year earlier, and well Minnesota was 9.3 share points than in the nation. Detroit marketwas share in Minnesota up slightly from above the 40.8% share in the Nation. a year earlier, and well above the 40.8% share in the nation. accompanying table a comparison in both the Minnesota and U.S. markets. New vehicle registrations in the DetroitThe Three market share in stateprovides is 13.6 points higher thanofinresults the Nation The accompanying provides adata comparison results in both the Minnesota and U.S. markets. New vehicle registrations in the Source: table AutoCount from of Experian Automotive. Source: AutoCount data from Experian Automotive. state improved 13.4% during the first four months of 2013, while the U.S. market increased 9.7%. Car market share in Minnesota was 9.3 share points lower than in the Nation. Detroit Three market share in Minnesota was 54.4%, up slightly from a year earlier, and well above the 40.8% share in the Nation. Minnesota Market Source: AutoCount dataGrowth from Experian Automotive. Market % change in registrations YTD 2013 thru April vs. YTD 2012 13.4% Minnesota Market Car Market Share MarketCar Growth share of industry retail light vehicle % change in registrations- YTD 2013 thru April 13.4% registrations Domestic Car Market Share brand share of industry retail light vehicle registrations - YTD '13 thru April40.6% Car share of industry retail light vehicle Top-Selling registrations YTD 2013Retail thru AprilBrands light vehicle Detroit Top Threeselling Brand Market Share brands and market share - YTD '13 thru April Domestic brand share of industry retail light First vehicle registrations - YTD '13 thru April Second Third Top Selling Retail Brands Fourth Top selling light vehicle brands and Fifth- YTD '13 thru April market share Sixth First Seventh SecondEighth Third Ninth Fourth Tenth Fifth Sixth Seventh Eighth Ninth Tenth 54.4% Ford Chevrolet Toyota/Scion Honda Nissan GMC Subaru Kia Hyundai Dodge 9.7% U.S. Market YTD 2013 thru AprilThree vs. YTDBrand 2012 Market Share Detroit 40.6% 49.9% 54.4% 40.8% 9.7% 49.9% 40.8% Ford Chevrolet Toyota/Scion Honda Nissan GMC 19.5% Ford Subaru 16.5%Kia Toyota/Scion 10.9%Hyundai Chevrolet 7.7%Dodge Honda 4.5% Nissan 4.0% Hyundai 4.0% Kia 3.8% Dodge 3.5% Jeep 3.4% GMC U.S. Market 19.5% 16.5% 10.9% 7.7% 4.5% 4.0% 13.7% 4.0% 13.3% 3.8% 10.8% 3.5% 10.4% 3.4% 7.2% 4.7% 3.7% 3.3% 3.1% 3.0% Ford Toyota/Scion Chevrolet Honda Nissan Hyundai Kia Dodge Jeep GMC 13.7% 13.3% 10.8% 10.4% 7.2% 4.7% 3.7% 3.3% 3.1% 3.0% visit us online at www.mada.org www.mada.org 27 RECENT RESULTS IN MINNESOTA USED VEHICLE MARKET RECENT RESULTS IN MINNESOTA USED VEHICLE MARKET RECENT RESULTS IN MINNESOTA USED VEHICLE MARKET RECENT RESULTS IN MINNESOTA USED VEHICLE MARKET Minnesota MinnesotaUsed UsedVehicle VehicleHeads HeadsHigher Higherinin2013 2013 Minnesota Used Vehicle Heads Higher in 2013 Minnesota Used Vehicle Heads Higher 2013 Used vehicle registrations increased 27.7% in in first four months of the year Used vehicle registrations increased 27.7% in first four months of the year Used vehicle registrations increased 27.7% in first four months of the year Below is a list of key trends in the Minnesota retail Below is of a market: list key trends the Minnesota retail Below is avehicle list keyoftrends in theinMinnesota retail MINNESOTA RETAIL USED LIGHT VEHICLE REGISTRATIONS used MINNESOTA RETAIL USED LIGHT VEHICLE REGISTRATIONS used vehicle market: Below is a list of key trends in the Minnesota retail used vehicle market: Year to date thru April Year to date thru April MINNESOTA RETAIL USED LIGHT VEHICLE REGISTRATIONS used market: ‣ vehicle Retail used registrations in the state increased a Registrations % Change Market Share ‣ Retailused • Retail registrations in the increased state used registrations in the state a Registrations % Change Market Share Year to date thru April reported 27.7% during the first four months of this YTD '12 YTD '13 '12 TO '13 YTD '12 YTD '13 reported 27.7% during the first four months of this increased a reported 27.7% during the ‣ Retail YTD '12 YTD '13 '12 TO '13 YTD '12 YTD '13 used registrations in the state increased a Registrations % Change Market Share year versus a year earlier TOTAL 85,438 109,137 27.7% year versus a year earlier first four months of the thisfirst year versus a year reported 27.7% during four months of this TOTAL 85,438 109,137 27.7% YTD '12 YTD '13 '12 TO '13 YTD '12 YTD '13 year versus a year earlier ‣earlier. shown on the graph below, the new vehicle TOTAL 85,438 109,137 27.7% ‣ As As shown on graph below, new vehicle Cars 42,972 54,493 26.8% 50.3% 49.9% market grew at athe significantly fasterthe pace than the Cars 42,972 54,493 26.8% 50.3% 49.9% market atgraph a significantly faster thanup the Asused shown on graph below, thepace new ‣ •As Light Trucks 42,466 54,644 28.7% 49.7% 50.1% shown ongrew the below, the new vehicle market inthe 2012, while both markets were Light Trucks 42,466 54,644 28.7% 49.7% 50.1% Cars 42,972 54,493 26.8% 50.3% 49.9% used market in 2012, while both markets were up vehicle market grew at a significantly faster market at a significantly faster pace than the this grew year. this year. Light Trucks 42,466 54,644 28.7% 49.7% 50.1% used in 2012, bothin markets pacemarket than the usedwhile market 2012, were whileup Detroit Three 61,647 77,485 25.7% 72.2% 71.0% Detroit Three 61,647 77,485 25.7% 72.2% 71.0% this year. ‣both The sharp decline in new vehicle sales for 2009 markets were up this year. Japanese 17,213 22,760 32.2% 20.1% 20.9% ‣ The sharp decline in new vehicle sales for 2009 Japanese 17,21377,485 22,760 25.7% 32.2%72.2% 20.1%71.0% 20.9% Detroit Three 61,647 has led to short supplies of four year old vehicles, European 4,642 6,091 31.2% 5.4% 5.6% has leddecline short of four yearfor old vehicles, ‣ •The The sharp decline in vehicle new vehicle sales sharp in supplies new sales 2009 European 17,2134,64222,7606,091 32.2% 31.2%20.1%5.4%20.9%5.6% leading totothe 9.5 market share point drop in four Japanese leading to the 9.5 market share point drop in four Korean 1,936 2,801 44.7% 2.3% 2.6% has led to supplies of four year old foryear 2009 has led to short supplies ofvehicles, fouroldshort vehicle registrations. Korean 44.7% 5.4%2.3% 5.6%2.6% European 4,6421,936 6,0912,801 31.2% year old vehicle registrations. leading to the 9.5 market share point drop in four year-old vehicles, leading to the 9.5 market Korean 1,936 2,801 44.7% 2.3% 2.6% year old vehicle registrations. ‣share light drop truck werevehicle up 28.7%, point inregistrations four-year-old % Change in Retail New and Used Vehicle Markets ‣ Used Used light truck registrations were up 28.7%, %% Change inin Retail New while cars increased 26.8%. Change Retail Newand andUsed UsedVehicle VehicleMarkets Markets registrations. while increased 26.8%.were up 28.7%, ‣ Used lightcars truck registrations 40.0% % Change in Retail New and Used Vehicle Markets cars increased 26.8%. 29.5% 40.0% ‣Used •while light truck registrations F-Series was the best-sellingwere modelupin the 27.7% 29.5% ‣ Ford FordforF-Series was the model in the 27.7% 30.0% state vehicles three andbest-selling four years old. 40.0% 28.7%, while cars increased 26.8%. 30.0% state for vehicles three and four years old. 29.5% ‣ Ford F-Series was the best-selling model in the 27.7% 13.4% 20.0% 30.0% •state FordforF-Series best-selling model in vehicleswas threethe and four years old. 13.4% 20.0% 10.0% the state for vehicles three and four years 1.9% 13.4% 20.0%10.0% 1.9% old. 0.0% Tight supplies and high prices should ease in 2013 10.0% 0.0% -10.0% 0.0% -10.0% -20.0% -10.0%-20.0% -30.0% -20.0% -30.0% -30.0% 1.9% Used Used UsedNew New New YTD '13 vs. YTD '13 YTD '12 vs. YTD '13 YTD vs. '12 YTD '12 2012 vs. 2012 vs. 2011 2012 vs.2011 2011 MINNESOTA RETAIL USED VEHICLE REGISTRATIONS-THREE MONTH MOVING AVERAGE (MAY ’11 THRU APRIL ’13) MINNESOTA RETAIL USED VEHICLE REGISTRATIONS-THREE MONTH MOVING AVERAGE (MAY ’11 THRU APRIL ’13) MINNESOTA RETAIL USED VEHICLE REGISTRATIONS-THREE MONTH MOVING AVERAGE (MAY ’11 THRU APRIL ’13) MINNESOTA RETAIL USED VEHICLE REGISTRATIONS-THREE MONTH MOVING AVERAGE (MAY ’11 THRU APRIL ’13) 35000 35000 35000 30000 30000 30000 25000 25000 25000 20000 20000 20000 15000 15000 15000 10000 10000 10000 5000 5000 5000 0 0 0 Trendline Trendline Trendline Data Source: AutoCount data from Experian Automotive. Data Source: AutoCount data from Experian Automotive. Data Source: AutoCount data from Experian Automotive. 28 www.mada.org Two and Three year old market shares improve Tight supplies of 2009 model year vehicles led to the 9.5 market share point decline for four year old cars and trucks during the first four months of this year (see graph below). Three year old or newer share increased. The recovery in new vehicle USED VEHICLEsales SALESduring BY AGE the past three years will lead to increased supplies of nearly new used vehicles in 2013, which has been a contributing factor to the increased in used vehicle registrations. Four-Year-Old Vehicle Sales Declined Sharply Early This Year AutoCount data from Experian Automotive. TwoData andSource: Three-year-old market shares improve Tight supplies of 2009 model year vehicles led to the 9.5 market share point decline for four-year-old cars and trucks during the first four months of this year (see graph below). Three-year-old or newer share increased. The recovery in new vehicle sales during the past three years will lead to increased supplies of nearly new used vehicles in 2013, which has been a contributing Change in Market Share by Vehicle Age (vehicles six years old or newer) factor to the increase in used vehicle registrations. Source: AutoCount data from Experian Automotive. 15 YTD 2013 thru April vs. YTD 2012 Change in Market Share by Vehicle Age (vehicles six years old or newer) YTD 2013 thru April vs. YTD 2012 Change in market share 10 5.1 5.2 3 years old 2 years old or newer 5 0.3 0 6 5 4 3 2 years years years years years -1.1 -5 -10 -15 -9.5 6 years old 5 years old 4 years old The Best of Both Worlds: Soft-touch & Touch-free now on one machine. Introducing the Mark VII Choicewash XT®. Decades of proven Aquajet® Touch-free technology and the unsurpassed efficiency and effectiveness of a Softwash XT® Soft-touch automatic—truly two machines in one! Choicewash XT® is an industry first . . . One machine that can deliver a top quality wash in either mode and it’s your customer’s choice! For more information on upgrading your car wash— Call Reliable Plus today 800.782.8793 reliableplus.com Minnesota • Wisconsin North Dakota • South Dakota www.mada.org 29 o o o o o 30 www.mada.org TOP TOP SELLING SELLING MODELS MODELS Ford F-Series is Best Seller for Three and Four Year Old Vehicles TOP SELLING MODELS Impala was the two year old or newer leader Ford F-Series is Best Seller for Three- and Four-Year-Old Vehicles Impala was the two-year-old or newer leader The below show models in The graphs graphs below show top top selling selling models in two two age age categories: categories: vehicles vehicles two two years years old old or or newer, newer, and and three three and and four four year year old vehicles. Source: from Automotive. oldgraphs vehicles. Source: AutoCount data frominExperian Experian Automotive.vehicles two years old or newer, and three- and four-year-old The below showAutoCount top sellingdata models two age categories: Source: AutoCount data from Experian Automotive. vehicles. Top 25 Selling Models (Two years old or newer) Top 25 Selling Models (3 and 4 Year Old Vehicles) Top 25 Selling Models (Two years old or newer) Top 25 Selling Models (Two years old or newer) Used Used retail retail registrations, registrations, YTD YTD 2013 2013 thru thru April April Used retail registrations, YTD 2013 thru April Chevrolet Chevrolet Impala Impala Top 25 Selling Models (3 and 4 Year Old Vehicles) Top 25 Sellingregistrations, Models (3 and 4 Year Old Vehicles) Used Used retail retail registrations, YTD YTD 2013 2013 thru thru April April Used retail registrations, YTD 2013 thru April 2843 2843 1122 1122 Ford F-Series F-Series Ford Chevrolet Chevrolet Malibu Malibu 1096 1096 Toyota Camry Camry Toyota 1065 1065 Chevrolet Chevrolet Silverado Silverado 1043 1043 Chevrolet Silverado Silverado Chevrolet 1059 1059 Ford Ford Fusion Fusion 1020 1020 Toyota Corolla Corolla Toyota Chevrolet Chevrolet Cruze Cruze 918 918 Ford Fusion Fusion Ford Chevrolet Chevrolet Traverse Traverse 891 891 Chevrolet Impala Impala Chevrolet 920 920 878 878 798 798 Ford Ford Escape Escape 815 815 Toyota Rav4 Rav4 Toyota 637 637 Dodge Dodge Caravan Caravan 770 770 Honda Accord Accord Honda 636 636 Chevrolet Chevrolet Equinox Equinox 762 762 Chevrolet Malibu Malibu Chevrolet 574 574 Ford Ford F-Series F-Series 748 748 Honda Civic Civic Honda 562 562 Toyota Toyota Camry Camry 723 723 Ford Escape Escape Ford 549 549 Chrysler Chrysler T T& &C C 688 688 Chrysler T T& &C C Chrysler Ford Ford Focus Focus 679 679 Ford Focus Focus Ford 455 455 Hyundai Hyundai Sonata Sonata 664 664 Dodge Caravan Caravan Dodge 453 453 501 501 Ford Ford Edge Edge 579 579 Nissan Altima Altima Nissan 439 439 Nissan Nissan Altima Altima 529 529 Ford Edge Edge Ford 437 437 Kia Kia Sorento Sorento 473 473 Honda Crv Crv Honda 426 426 Toyota Toyota Corolla Corolla 451 451 Chevrolet Equinox Equinox Chevrolet 419 419 Volkswagen Volkswagen Jetta Jetta 412 412 Dodge Ram Ram Dodge 397 397 Chevrolet Chevrolet Suburban Suburban 411 411 Volkswagen Jetta Jetta Volkswagen 391 391 GMC GMC Acadia Acadia 395 395 Chevrolet Traverse Traverse Chevrolet 343 343 Ford Ford Explorer Explorer 340 340 Toyota Prius Prius Toyota 341 341 Buick Buick Enclave Enclave 332 332 GMC Sierra Sierra GMC 341 341 GMC GMC Sierra Sierra 331 331 Mazda 3 3 Mazda 308 308 Dodge Avenger Avenger Dodge 331 331 Honda Odyssey Odyssey Honda 308 308 0 0 www.mada.org 1000 1000 2000 2000 3000 3000 0 0 500 500 1000 1000 1500 1500 31 BRAND MARKET SHARE BY VEHICLE AGE Chevrolet and Ford are Leaders in State Used Vehicle Market Chevrolet has narrow lead over Ford for three and four year old vehicles BRAND MARKET SHARE BY VEHICLE AGE The two graphs below show brand market share leaders for vehicles two years old or newer, and for 3 and 4 year old vehicles. Chevrolet, Ford, and Toyota/Scion were ranked first, second, and third in both age categories. Honda had a 7% Chevrolet lead Ford for threeandtofour-year-old vehicles share for has threenarrow and four yearover old vehicles, compared 3.5% for vehicles two years old or newer. Chevrolet and Ford are Leaders in State Used Vehicle Market The two graphs below show brand market share leaders for vehicles two years old or newer, and for three- and four-year-old vehicles. Chevrolet, Ford, and Toyota/Scion were ranked first, second, and third in both age categories. Honda had a 7% share for threeand Market four-year-old 3.5% for vehicles two years or newer. Brand Share -vehicles, Vehicle 2 compared years old ortonewer Brand old Market Share - 3 and 4 Year Old Vehicles YTD 2013 thru 2April Brand Market Share - Vehicle years old or newer YTD 2013 thru April 2013 thru4April Brand MarketYTD Share - 3 and Year Old Vehicles YTD 2013 thru April Chevrolet Chevrolet Ford Ford Toyota/Scion Toyota/Scion Dodge Honda Honda Dodge Chrysler Nissan Hyundai GMC Nissan Pontiac GMC Volkswagen Kia Chrysler Buick Saturn Jeep Mazda Volkswagen Buick Mazda BMW Subaru Subaru MADA BC Ad 1-3h 5_11.pdf 0.0% 5.0% 10.0% 1 5/27/11 15.0% 11:04 AM 20.0% 25.0% 30.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% CUSTOM PROFESSIONAL C M Y CM MY CY BUSINESS CARDS • Hundreds of options • Competive pricing • Fast turnaround • Great customer service with an on-staff graphic designer • Quantity options available We can turn your business card into magnets too! CMY K To place your order, please contact Reggie Klein Phone: 651-789-2933 or 800-652-9029 Email: reggie@mada.org 32 www.mada.org DEALERSHIP SHOWCASE LUTHER BROOKDALE TOYOTA Anyone in the auto business knows that location is huge – and the caliber of your facility is almost as important. For nearly 30 years, “Toyota City” had to deal with being just a little too far north of 694 and working out of a facility that wouldn’t rank high on anyone’s list. The frustration was made even greater because the product was fabulous. During those years, Toyota was becoming the world’s number one automaker. All of that changed late in 2012. “Toyota City” became “Luther Brookdale Toyota,” sitting right at the exit ramp from 694 to Brooklyn Boulevard and opening its doors every day to a state-of-the-art facility of 6,500 square feet that has left customers pleased and amazed. Once inside Luther Brookdale Toyota, guests find digital signage around the store, a spacious show floor, a large guest lounge with big screen TVs, freshly ground and brewed Starbucks coffee, a cappuccino machine, pastries, cookies and snacks, six personal TVs, individual work stations, and free Wi-Fi. The new store even has installed high-speed, overhead service doors that open in less than two seconds. On the roof of the building are solar panels that provide 8% of the total energy that powers the new facility. One thing the dealership had accomplished in www.mada.org the old location was to build a service department with an incredible reputation. “Most of our service advisors and our service manager have been with us for more than 20 years,” noted General Manager Ron Murray. “The new facility makes the employees even better and more productive. The new facility has also been much more convenient for our guests because processes have become more streamlined and efficient. There is less waiting time for our service department or when guests purchase a vehicle from us,” Murray added. Rudy Luther began as a family-owned business in 1952, and still is a family-owned business today. Community involvement has always been part of the equation. Luther Brookdale Toyota has helped produce more than one million meals for starving children, and provided support to Hennepin Community College, Brooklyn Park Public Schools and Brooklyn Park soccer leagues. The Luther Brookdale Toyota dealership can only continue to get better with a beautiful new building in a new and better location. “Since the new facility opened, we have experienced tremendous growth,” Murray said. “We have increased our staff by 20% since our move.” Beyond the new location and increased business volume, the new Luther Brookdale Toyota will provide the north metro with a trustworthy and enjoyable customer experience. 33 Industry Spotlight STEVE BRIMHALL . On the Western plains of Minnesota, nestled at the foot of the Red River Valley and near the Continental Divide where the rivers start flowing North, lies the comfortable town of Fergus Falls. A prosperous farming community, Fergus Falls is a big little town of 20,000 hardworking souls. MADA’s 2013 President Steve Brimhall is the third-generation dealer from this community, and the fourth generation is already working at his side. His Chevrolet Buick store is just finishing up a $1 million renovation and he is busy planning his summer events. But, he took time from his business and construction project to chat with MADA’s Executive Vice President Scott Lambert. Happy to have the construction done? It was more of a remodel but yes. Are you satisfied with the outcome and the process? The process seems pretty inconsistent. Some dealers have to do some things while others can get away with not doing the same thing. We got a few breaks with our remodel. And we’ve had a lot of compliments about the store now that it’s finishing up. How’s your relationship with General Motors? It’s OK. I’m still mad about the circumstances of losing Cadillac during the whole bankruptcy/arbitration process. I’ll probably never get over it. GM didn’t act very rationally. Well, they sure didn’t with us. MINNESOTA MOTOR CO. President MADA President 2013 Always in Fergus Falls? My grandfather also started the GM stores in Alexandria and Wadena. We eventually sold the Alexandria store to the Steinbrings and the Wadena store to the Hubers. The Wadena store is closed now. Fergus Falls has been good to you and your family? My grandfather died at only 60, but it was my Dad and my Uncle Bradford who partnered in the store. Very much, and we try to give back to the community every day. We’ve contributed to the new cancer center and hockey arena, and I think we’ve bought every scoreboard in town, not to mention Ducks Unlimited. How long have you been the dealer? I’m a longtime DU member myself. Your Dad, Dick, was the dealer here for a long time. I’ve been the dealer for 20 years, along with my cousin, Tom. Family is important to you, correct? Well, I got a lot of them. I’ve been with DU for over 40 years and have held just about every position. We’ve got one of the biggest chapters in the state, and our Greenwing event is the biggest in the nation. We’ll have 600 to 800 kids here. What about your children what do they You like to Duck Hunt? My grandfather started in 1922 with Chevrolet. do now? I prefer pheasant hunting, but I’ve recently Tell me about your roots in the area? He added Buick in 1924 and Cadillac in 1941. Matthew is working as a General Manager and Benjamin is the Internet Manager. torn up my Achilles tendon and it’s hard to walk the fields right now. What about your daughter? What do you have for dogs? So she’s the smart one? Any plans to slow down? Jessica is a professor of Biology and Chemistry at M State here in Fergus Falls. Yes, and she’s married to a professional comedian, Chad Daniels. Two large Munsterlanders, eleven and three years old. They’re pointers. I have no plans to retire. I’ve recently taken up golf, but I love what I’m doing. That must be interesting. It makes for some great 4th of July parties. He’s very funny. Carol and I are very lucky and happy the way all of our kids have turned out. 34 www.mada.org Customers come standard. In Minnesota, Star Tribune rules the road. • Mobile & apps Over 3.2 million Minnesotans visit us online every month. And our • Geotargeting newspaper circulation is growing, reaching over 1.3 million people every • Audience targeting week. Massive reach. Pinpoint targeting. Let us help you rev up your • Search engine marketing sales and reach more car buyers in your area today. • E-mail marketing Turbocharge your advertising. 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