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After a number of failed attempts, Tesla finally gets an Arizona dealership license by winning a court battle that allows them to sell directly to consumers. The automotive dealer license is a standard license traditional automotive dealerships are required to hold in order to sell vehicles.
Late last year, the DMV issued a dealer license to Tesla, which had only been approved last week after a Maricopa County administrative law judge confirmed that the process for blocking such a license from the Arizona Department of Transportation did not apply to Tesla in the first place.
After claiming the license, the electric automaker will now be able to conduct test drives and sell vehicles out of their service centers and the gallery they are currently operating in Phoenix.Read the entire article Tesla has been granted dealership license in Arizona to sell its vehicles
It seems that Dubai has become home to some of the largest dealerships in the world. For instance, Lamborghini of Italy and Bentley of the United Kingdom have their largest dealerships in the most populous and perhaps wealthiest city in the rich United Arab Emirates. Now, French carmaker Bugatti has recently opened its largest dealership in this wealthy city.
Opening a dealership in Dubai is a simple decision for carmakers – especially those building high-end and premium units – to make. After all, Dubai is a city where premium vehicles, supercars and exotic mobile units are a common sight. Seeing a Ferrari or a Lamborghini in different parts of the city is considered a normal event, considering that it is home or the second home to several of the world’s wealthiest families and individuals.
Considering the special status of Dubai among carmakers, it was no wonder that Bentley opened its largest dealership where it matters. In fact, the French carmaker has received 30 orders for its new Bugatti Chiron hypercar from the UAE alone. The establishment off the new dealership should boost Bugatti’s presence in the Middle East.Read the entire article Largest Bugatti showrrom opens in the rich city of Dubai
The contracts of each of Toyota’s about 500 new car dealerships in Germany have been canceled effective May 31. The automaker is setting up a one-tier network as it hopes to stop a sales decline in the market. Thomas Schalberger, the head of Toyota Germany communications, said that the automaker wants to set up this network by June 1, 2016.
He said that letters of cancellation were sent to new car dealerships last Monday. Drafts that outline the partnerships based on new-car agreements were sent together with the cancellations. However, not all of the dealers received them.
Schalberger said that over the next 12 months, the dealerships will need to adapt their structures to the changes in market conditions. He said that the target is to have around 400 new car sales points in this country as of the summer of 2016.Read the entire article Toyota cancels all new car dealerships in Germany
Software that will make it more difficult to mistakenly sell a new General Motors vehicle that is being recalled will roll out this month. These software tools will be phased in during the third quarter. Tim Turvey, GM global vice president of customer care and aftersales, said that the company looks at safety as “a core value, a core priority.”
The first step is an “incentive lookup block.” GM said that with this software, dealerships will have to first perform the recall work as needed.
Dealerships won’t be able to look up the incentives that apply to a specific vehicle if it is part of a recall and no record of work is seen. It can be recalled that in the U.S. last year, GM issued its biggest-ever recall of 27 million vehicles in the wake of its ignition-switch safety predicament.Read the entire article GM software aids dealerships to do recall work on cars before selling
Purdy Motor Group wants to expand outside Costa Rica, where it is Toyota’s exclusive distributor, and is in talks with several potential sellers in the U.S. Purdy Motor’s CEO Jesus Castro told Automotive News that in three years, it hopes to own 5 to 7 Toyota dealerships and "a couple" of Lexus stores in the U.S. Purdy Motor isn’t even halfway yet to meeting that goal.
Castro said that he prefers to buy Toyota stores that acquire their units from Houston distributor Gulf States Toyota Inc. Purdy has set its target on Texas but it is also open to acquiring stores in Arkansas, Louisiana, Mississippi and Oklahoma – the other states that Gulf States Toyota serve.
According to Castro, Toyota stores in these states have an “excellent” distributor and that Purdy wants to “compete with the best." It was in December 2012 that Purdy purchased Atkinson Toyota-Scion Bryan and Atkinson Toyota Madisonville.Read the entire article Toyota’s Costa Rica retailer is in talks to buy US dealerships
Jeep plans to have more dealerships in China from 160 to almost 220 this year and commence local output of the Cherokee SUV in November and the Renegade in 2016, according to chief executive Mike Manley. Jeep is planning to hike its sales to 1.9 million cars in 2018 from over 1 million in 2014 by expanding outside North America through setting up production in Asia, Europe and South America.
Manley, who is also COO for Fiat Chrysler in Asia, told Bloomberg in an interview that "getting the launch of China right” is important as the country is one of the major cornerstones to achieve the 1.9 million sales target. The brand’s global sales have surged thanks to new products and the high demand for SUVs.
The expansion of Jeep as well as Alfa Romeo is vital to a strategy of Fiat Chrysler chief executive Sergio Marchionne to sell 7 million cars in 2018 from about 4.6 million in 2014. Jeff Schuster, an analyst with LMC Automotive, remarked that Jeep is iconic “and not just in North America." LMC expects Jeep to have over 30 percent of its production outside North America by 2018.Read the entire article Jeep to add more dealerships in China this year
2015 is a very important year for the Macan in the United States and Porsche knows this very well. As a result, the German manufacturer plans to increase supplies of its new mid-sized crossover in order to make sure that customers don’t have to wait too long for the Macan.
According to Joe Lawrence, COO of Porsche Cars North America, the German company doesn’t want to lose the customers who want a Macan as they need to wait six moths or more since the vehicle went on sale last May.
Still, Joe Lawrence didn’t say how many Macan will reach the United States market in 2015, but we do know that 7,241 vehicles were sold during the seven months it was on sale last year. Lawrence also added that the Macan saw a strong demand worldwide and will also help Porsche to achieve its goal of selling 50,000 vehicles in the United States this year.Read the entire article Porsche wants to deliver more Macan crossovers to US dealerships
For those who want to get their hands on the 2015 Dodge Challenger SRT Hellcat we have good news as the muscle car is on its way to dealerships. According to the manufacturer, over 4,500 orders for the 2015 Challenger SRT Hellcat were received in just five days after orders opened in September.
As you may already know, the Challenger SRT Hellcat starts at $59,995 in the United States, including the $2,100 gas-guzzler tax ($,1700 gas-guzzler tax on models equipped with an automatic transmission), but excluding the $995 destination charge.
The vehicles will be easily distinguished thanks to the 6.2-liter HEMI V8 Hellcat engine that produces 707 hp and 650 lb-ft of torque. The engine makes the Challenger SRT Hellcat the fastest mucle car ever with a Hot Rod Association-certified ¼-mile elapsed time of 11.2 seconds at 125 miles per hour (mph) with stock Pirelli P275/40ZR20 P Zero tires.Read the entire article 2015 Dodge Challenger SRT Hellcat is on its way to the dealerships [w/video]
Daimler has struck a deal with labor representatives allowing it to divest some company-owned Mercedes-Benz dealerships in Germany as the carmaker bids to revamp its sales network in its home turf. As part of the agreement, Daimler vowed not to implement any mass firings until 2023 as well as to invest EUR500 million ($670 million) in sales outlets in the next few years.
As part of the revamp, the sales network will be packaged with regional distribution centers as of 2015. Showrooms for passenger cars and commercial vehicles, on the other hand, will be separated.
Daimler’s drive to shrink its wholly owned retail organization in Germany is part of an effort by its chief executive -- Dieter Zetsche -- to hike the operating profit of Mercedes carmaking division's to 10 percent of revenue. Ilse Kestin, an IG Metall union representative, said in April that Daimler’s sales organization could only churn out up to a 2 percent margin.Read the entire article Daimler reaches deal with labor to sell some Mercedes-Benz dealerships
The governor of Pennsylvania --Tom Corbett – has inked a bill allowing Tesla Motors Inc. to run up to five stores in the state. It represents another victory for Tesla’s direct sales model that has been opposed by dealer groups all over the United States as it leaves out dealership middleman in the sales process.
A previous version of the Pennsylvania bill provided no cap on the number of stores that Tesla could set up in the state. The Alliance of Automobile Manufacturers, an association representing 12 carmakers excluding Tesla, lobbied strongly against that version of the bill, claiming that it would give the EV maker an unfair advantage over traditional carmakers.
However, unlike other dealer associations, the Pennsylvania Automotive Association supported the pro-Tesla legislation once the five-store cap was introduced in the bill. Pennsylvania’s state House passed the legislation 197-2 earlier this month.Read the entire article Pennsylvania governor signs bill allowing Tesla to open 5 stores
Dealerships for Lexus could now own up to eight retail stores, up from the previous cap of six, several people having knowledge of the matter told Automotive News. This means that dealership groups already having six stores could expand their outlets by up to two more, bringing in more opportunity to attract more potential buyers.
Lexus’ decision to remove the cap could spur Lexus dealership acquisition activity. Erin Kerrigan, managing director of Kerrigan Advisors dealership brokerage firm, told Automotive News that lifting the cap will increase the value of Lexus franchises since “the most well-funded buyers” who were already at the limit could now acquire more.
Sources with knowledge of the matter provided two reasons for Lexus’ move. First is the pressure from dealers, who may have felt that cap limited the value of their stores since some of the most active acquirers were on the sidelines for Lexus transactions.Read the entire article Lexus lifts cap for number of stores dealership groups can own
If you want your 2014 Hyundai Tucson to be noticed wherever you go and also survive the zombie apocalypse, the Korean manufacturer announced that The Walking Dead Special Edition just arrived to the dealerships. The vehicle was first unveiled back in November at the LA Auto Show and celebrates the 10th anniversary of The Walking Dead graphic novel series.
As you can see from the photos, the 2014 Tucson The Walking Dead Special Edition comes with an Ash Black exterior that features red accent graphics package and Special Edition exterior and interior badges.
The new roof rack cross rails provide additional room for your survival gear in case of an apocalypse, while the mudguards and custom floor cargo mats keep the vehicle clean. Inside, Hyundai offers a custom Zombie Survival Kit – a Walking Dead 72-hour survivalist’s backpack and a Walking Dead Tucson Quick Reference Guide, to help utilize all the features in the Special Edition vehicle.Read the entire article 2014 Hyundai Tucson The Walking Dead Edition hits the dealerships
Lincoln sold 677 units of the 2015 Lincoln MKC compact luxury crossover in May, although most of them are dealer demonstrators and test models. According to Andrew Frick, Lincoln group marketing manager, the brand is all set to make a big advertising campaign for the 2015 Lincoln MKC in September, although a social media campaign is already in place.
He remarked that Lincoln has a media plan that follows the launch curve. Lincoln is already ramping up output of the 2015 MKC at its Louisville site in Kentucky and has delivered some units to dealers. Lincoln is aching to avoid the same mistakes it committed when it launched the 2013 MKZ.
The brand was forced to delay the launch of the MKZ for several months due to quality glitches and parts shortages. While Lincoln advertised the MKZ during the 2013 Super Bowl, dealers were only able to get sufficient amount of the model months after.Read the entire article 2015 Lincoln MKC compact crossover starts arriving in dealerships
McLaren is already on a successful path and turned profit ahead of schedule in 2013. Despite the success of its models and the profit, the British company will still invest in new models and dealers over the next three years. According to CEO Mike Flewitt, McLaren wants to achieve, within five years, profit margins similar to those of Ferrari or Porsche.
What’s more interesting is that McLaren managed to post profit in 2013 without the backing of any major carmaker. The company managed to be successful without its former partner, Mercedes-Benz. For those who don’t know, between 2003 and 2009, McLaren built the SLR for Mercedes-Benz.
Still, analysts believe that McLaren is vulnerable without the backing of a major manufacturer because development costs are high and being able to tap into research elsewhere in the company is considered a big advantage. McLaren’s first supercar created by its own was launched in 1994, but the company made only 107 units of the acclaimed F1.Read the entire article McLaren will add two new supercars, expand dealership network
Most of Jaguar Land Rover’s customers are affluent people with a taste for luxury. However, it would be hard for dealership employees to understand what luxury is to customers if they haven’t seen how it is provided by other service-oriented shops.
That is why Jaguar Land Rover North Scottsdale took customer-facing employees for afternoon tea at the Ritz-Carlton hotel as part of a new training program to help them "experience what our customers are used to," according to Bobby Perich, general manager of the remodeled dealership that sells both Jaguar and Land Rover brands.
He remarked that the dealership's buyers have very high luxury expectations wherever they go -- including high-end restaurants and hotels that his employees can't afford. He said that customers need to get the same, if not a better, level of service when they visit his dealership.Read the entire article Jaguar Land Rover dealership lets staff see how luxury is served
JM Lexus, a dealership in Margate, Fla., has been largest-volume seller of new Lexus vehicles in the world for 22 consecutive years. Its secret? General manager Jim Dunn revealed a philosophy that has turned it into Lexus’ best-selling dealer -- if it isn't broken, then break it and make it better.
In March 2012, JM just did that, replacing its salespeople with product specialists who help potential buyers find the vehicles that best suit them. After that, the specialists would turn the customer over to sales managers who would do price negotiations and financing.
In effect, the move has allowed JM Lexus to reduce the time a customer spends in the store after deciding to buy a unit to 2.5 hours from 3.5 hours, including delivery. Likewise, the dealership posted a 27-percent jump in Lexus sales in 2013 to 5,976 new vehicles.Read the entire article JM Lexus hastens sales process by replacing salespeople with product specialists
Ford’s Lincoln brand is considered an iconic marque with 97 years of automotive history. Certainly, it is not a new-timer in the field of luxury auto business. But in China, Lincoln is considered as a startup, albeit a large one. Lincoln recently unveiled a new concept vehicle as well a new retail vision. It will initially open eight stores in seven cities this fall, and plans to expand that network to 20 by the end of 2014.
Two years later, Lincoln plans to operate 60 stores in 50 cities across. The brand said its dealerships will offer a new brand of customer service called “The Lincoln Way” that be built around relationships, not transactions.
Jim Farley, Ford executive vice president of global marketing, sales, service and Lincoln, in a statement, that Lincoln’s success in China is key to their efforts to build it into a global luxury brand. Matt VanDyke, director for Global Lincoln, remarked that the brand in China has their full attention in product development.Read the entire article Lincoln plans to open 20 stores in China by end of 2014
Muscatell Burns Ford, a rural Ford dealership in Hawley, Minn., has launched a two-week promotion – dubbed as the Muscatell Burns Outdoorsman Sale -- offering buyers a $350 voucher with the purchase of any new or used pickup. The voucher represents the value of a Remington 870 Express shotgun, which, depending on the option, could retail for between $350 and $650.
The dealership is collaborating with a sporting goods store in nearby Fargo, N.D. Jason Jalbert, sales manager at the dealership, disclosed that the store has around 80 to 90 pickups in stock. Trucks account for 90 percent of the Muscatell Burns’ business. He has told KFGO radio station that the promotion appeals to the dealership's customers.
"A lot of the employees are outdoorsmen and a lot of our customers' conversations revolve around that," Jalbert said. He remarked that while it has been tremendously cold in their location, they managed to post a year-over-year gain.Read the entire article Minnesota Ford dealership offering a shotgun voucher for every sold pickup
Penske Automotive Group Inc. has inked a letter of intent to open its seventh Porsche dealership in the United States in the second quarter of 2015. The dealership, Porsche of West Broward, will be located in Davie, Fla., around 12 miles west of Fort Lauderdale. Penske said the dealership is expected to generate around $125 million in annual revenue.
Porsche said in 2013 that it had been seeking to add one or two stores in high-growth areas. "The new dealership will afford us the opportunity to scale operations within our existing Florida footprint, and it provides an outstanding growth opportunity for our company," Whitfield Ramonat, Penske vice president for the central region, said in a statement. Porsche saw its new-car sales in the US more than double in the past four years.
Joe Lawrence, COO of Porsche Cars North America, told Automotive News that over 40 of its 189 dealerships in the US will expand, improve or build new facilities in this year.Read the entire article Penske signs letter of intent to open new Porsche store in the US
Auto dealers in Ohio are renewing efforts to block Tesla Motors' factory store model. Specifically, the Ohio Automobile Dealers Association is pressing for a legislation that will amend the state's dealer franchise law to more explicitly bar factory-owned stores. Association leaders claim that Ohio's existing law should have banned Tesla from receiving licenses for its stores in Cincinnati and Columbus.
"The legislation reinforces what we've always believed the laws to be: that a manufacturer cannot hold a dealer's license to sell vehicles at retail," remarked Sara Bruce, the association's vice president of legal affairs. "If there was any misunderstanding of what the law is or what the definition of a new motor dealer is, this certainly does clarify it," she said.
An executive for Tesla reiterated that its stores in Ohio comply with current state law and that the carmaker properly applied for and received the licenses. Diarmuid O'Connell, Tesla vice president of business development, said that the carmaker’s approach doesn't hurt existing dealerships.Read the entire article Ohio dealers pushing for legislation barring Tesla stores
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