The Automotive Troublemaker w/ Paul J Daly and Kyle Mountsier

Shoot us a Text.Welcome to Wednesday as we talk about the likely EV regulation rollbacks on Trump’s Day One. We also talk about a Jaguar rebrand that’s unlike anything we’ve ever seen, as well Delta’s new initiative to serve ShakeShack on first class flights. Show Notes with links:Sean Duffy has been nominated to head the U.S. Department of Transportation by President-elect Trump, with a vision to lead America into a "golden age of travel." His nomination brings significant implications for automotive and transportation policies.A former congressman and Fox News host, Duffy is expected to roll back EV-supportive policies, aligning with Trump’s “Day One” initiatives.EV advocates have expressed concerns about potential climate change impacts under his leadership.He advocates for right-to-repair laws, citing high repair costs linked to automaker patent restrictions and may spearhead advancements in autonomous vehicle policies, including self-driving trucks.“It is imperative a federal policy framework on AVs be put in place,” said Jeff Farrah, CEO of the Autonomous Vehicle Industry Association.Jaguar is charging into a bold new era as it prepares to go fully electric by 2026. Alongside plans for an all-electric lineup, the automaker has unveiled a reimagined logo and identity that apparently attempts to blend its classic heritage with modern flair.The new logo spaces out the letters and mixes upper and lowercase for a sleek look.Jaguar leans on its founder’s motto, “A Jaguar should be a copy of nothing,” now simplified to “Copy Nothing.”Taglines include “delete ordinary” and “live vivid”, with Pop Art-inspired ads featuring very serious, very colorful models.Chief Creative Officer Gerry McGovern says it’s about capturing Jaguar’s essence for today’s world: “This is real,” he told reporters, “not the white stuff.”Their first electric model, a 2026 super-GT, promises exciting new designs.Delta Airlines is taking in-flight dining to the next level with a delicious new partnership with Shake Shack. Starting December 1, passengers in First Class on select flights will be able to enjoy Shake Shack’s iconic Cheeseburger while cruising at 30,000 feet.The burger will first be available on Boston flights, with plans to expand nationwide by 2025.The Shake Shack Cheeseburger features 100% Angus beef, a potato bun, and customizable toppings like lettuce, tomato, and their famous ShackSauce and the meal comes with chips, a Caesar salad, and a dark chocolate brownie.Passengers can pre-select their burger up to 24 hours before departure through the Fly Delta app.This collaboration builds on Delta’s partnership with Union Square Hospitality Group, founded by Shake Shack creator Danny Meyer.Shake Shack’s Michael Kark says, “We’re proud to partner with Delta to elevate the in-flight dining experience. It’s a great way to bring our iconic cheeseburger to new heights!”Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.We’re live in Petersburg VA this morning as we’re shooting the next episode of More Than Cars. Today, we’re talking about the latest Cars Commerce Industry Insights and what it means for supply and demand, how BYD has produced its 10 millionth new energy vehicle, and how this Thanksgiving could be a record for travel.Show Notes with links:The October Cars Commerce Industry Insights Report reveals that new vehicle supply is way up, while demand has only seen a small increase.New-car demand is up only 2%, while new vehicle supply is up a staggering 26.4% YOY, and new-car days live up 37.4%YOY new-EV supply is up a whopping 35%, which makes those production shutdowns make senseUsed-car inventory below $20k is the only price category growing YOY, but remains far below stock levels prior to 2021Used EVs receive 5.5x more searches than new EVs. The average list price of a used EV is down -9.1% YOY and searches are up 36.6% YOYBYD is marking a major milestone as the first automaker to produce 10 million new energy vehicles (NEVs). The EV leader is riding a wave of growth and expanding globally. Key points include:BYD has reached 10 million NEVs just three years after producing its 1 millionth vehicleOctober sales hit over 500,000 vehicles, marking the fifth consecutive record month.The company is gaining on global giants, having outsold Nissan and Honda, and is closing in on Ford.Global expansion is in full swing, with new plants in Thailand, Hungary, Brazil, Pakistan, Turkey, and Mexico.BYD’s EVP, He Zhiqi, says the company is scaling fast, hiring 200,000 employees recently to meet surging demand.Turkeys won’t be the only thing looking to take flight this holiday season as Thanksgiving weekend is set to be one of the busiest travel weekends in history.AAA predicts 79.9 million travelers, a 1.7 million increase from 2023.71.7 million will travel by car, with lower gas prices expected under $3 per gallon.Airlines anticipate a surge, with 31 million passengers projected, a 2 million increase from last year.United Airlines, American Airlines, and Delta all expect record-breaking passenger numbers.Stacey Barber, vice president of AAA Travel, said, “Thanksgiving is the busiest holiday for travel, and this year we’re expecting to set new records across the board, from driving to flying and cruising.”Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.It’s a busy week around the ASOTU halls as we’re in Florida for MRC and then Virginia for MTC. Today we’re covering how Carvana is scaling its capacity through the ADESA auction network, how Teslas topped a study on the most fatal cars on the road and the tech hiring slowdown.Show Notes with links:Carvana is reimagining its operations through strategic integrations of the ADESA auction network, emphasizing vertical integration and expansion.The used car retailer has converted 3 ADESA sites into multifunctional hubs in 2024, with plans for a 6th site by year-end and introduced Carli, a vehicle tracking system optimizing reconditioning and inventory management.Carvana has increased retail gross profit per vehicle to $3,497 in Q3 2024, up 30% year over year.CEO Ernie Garcia highlights the company’s capacity for processing 3 million vehicles annually with minimal capital expenditure."Adding capacity without significant time or expense — that’s the key to efficient growth," says Christina Keiser, Carvana EVP of Strategy.A recent iSeeCars study revealed that Tesla vehicles had the highest fatal crash rates among automakers in the U.S., raising questions about how they were driven and their design.Teslas led with 5.6 deaths per billion miles driven, double the industry average of 2.8. Kia (5.5) and Buick (4.8) followed as other high-fatality automakers.The Tesla Model Y recorded a 10.6 fatal crash rate, nearly five times the SUV average, while the Model S rate was twice the average at 5.8.Despite these figures, Teslas scored highly in IIHS and NHTSA crash tests.Analyst Karl Brauer linked the high rates to driver behavior: “The biggest contributor to occupant safety is avoiding a crash...and the biggest factor in crash avoidance is driver behavior.”The post-pandemic hiring landscape reveals a sharp slowdown in tech roles, with oversupply, automation, and changing priorities leaving many professionals facing a white-collar recession.White-collar roles like IT, engineering, and marketing fell 20%-32% from 2018-2024AI tools, like ChatGPT, have enhanced productivity, reducing the need for new hires in roles such as coding, where efficiency has skyrocketed.Sectors like healthcare bucked the trend, increasing hiring by 10% to address burnout and staffing shortages, while social services remained stable.Job openings now receive an average of 222 applications—nearly three times as many as at the end of 2021, overwhelming companies and making it harder for candidates to stand out.Job searches are taking longer, averaging 66 days “There’s so much angst, [among job seekers]” noted Jon Stross of Greenhouse, Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Nathan and Chris host the show this Saturday morning and talk about how Sioux City Ford Lincoln closed on Veteran's Day so they could do community service for the veterans in their community. Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.We’re almost at the end of another week, and today we’re covering how it seems that the Trump team is getting ready to eliminate the EV tax credit. Plus, GM is working with EV owners in Texas to offer free nighttime EV charging, and how on-the-job training is becoming harder to find.Show Notes with links:The Trump transition team is set to eliminate the $7,500 EV tax credit in an upcoming tax reform, a shift that could hinder the U.S.'s EV progress. Despite Tesla’s reliance on this subsidy, representatives of the company appear supportive of the repeal.Killing the credit aligns with Trump’s campaign pledge to end Biden's "EV mandate."Tesla, though impacted, may benefit as the change would likely harm its competitors more, especially legacy automakers like GM.Energy transition discussions are led by oil magnate Harold Hamm and North Dakota Governor Doug Burgum.Eliminating the subsidy could free up funds to extend Trump’s major tax cuts.The Alliance for Automotive Innovation stressed the importance of credits, calling them "critical to cementing the U.S. as a global leader."General Motors is collaborating with Reliant Energy to offer free nighttime charging for Chevy EV owners in Texas. The initiative, aimed at making EV ownership more affordable, leverages renewable energy credits to support sustainable charging.Chevy owners enrolled in Reliant’s EV plan get free charging from 11 PM to 6 AM, offset through monthly bill credits.Users must specify an EV on GM Energy’s Smart Charging Portal to qualify.This promotion is part of a broader trend as automakers like Ford offer perks to attract hesitant EV buyers.GM and Reliant claim charging is renewable, thanks to Renewable Energy Certificates (RECs), though these credits have been criticized for masking fossil fuel use.In many companies, new hires and even seasoned workers are left struggling due to inadequate training. With limited mentorship and lack of clear guidance, employees are increasingly expected to "figure it out" alone.High job turnover, hybrid work, and cost-cutting have weakened structured training.Only 50% of Gen Z workers report having mentors, despite 83% valuing it.Less than half of employees feel they fully understand their job expectations, per Gallup.Tech-based training has limitations, while mentorship apps often see low engagement.Kenneth Matos of HiBob warns that cutting training leaves junior employees overwhelmed and managers burnt out.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.It’s Thursday, and we’re almost halfway through November. Today, we’re talking about a CDK study that says car buying got harder for consumers in October, how Tesla has exhausted its Cybertruck reservation list and OpenAI’s autonomous Operator that’s coming to a computer near you.Show Notes with links:According to a recent CDK Global study, shoppers struggled a bit more in October with finding the right car as inventory disruptions such as stop sales, model turnovers, and natural disasters took a toll on the Ease of Purchase.87% of buyers reported an easy car-buying experience, down from September’s 89% and August’s record 93%.Only 49% of shoppers could buy their preferred vehicle on the lot, down from 54% in September, with the test-drive ease rate also slipping to 78%—a rare dip below 80%.Complaints about "too many things to choose from" and excessive paperwork led to a slight drop in ease for form completion, falling to 70% in October from 72% in September.The time it took to finalize purchases increased for 32% of buyers, up from 25% in September. Just 15% experienced a quicker purchase process, a significant drop from last month’s 25%.Tesla has begun offering Cybertrucks directly from new vehicle inventory, indicating that its once-massive reservation backlog may have dwindled.U.S. buyers can now order and receive a Cybertruck in roughly a week, suggesting Tesla has exhausted its initial backlog.Despite over a million initial reservations, Tesla has only delivered approximately 50,000 Cybertrucks in the United States so far.Changes in the production model, including a higher price and lower range than originally promised, may have deterred some reservation holders.Tesla has expanded Cybertruck deliveries to Mexico and Canada to match rising production capacity.OpenAI is set to release a new AI agent, codenamed "Operator," designed to take actions on users' computers, like writing code or booking travel. The tool is expected to launch as a research preview in January.Operator will be available through OpenAI’s API, allowing developers to integrate it into various applications.The tool aligns with an industry trend toward AI agents capable of completing complex, multi-step tasks autonomously.Competitors like Anthropic, Microsoft, and Google are also developing similar agent tools to manage tasks for users.OpenAI’s Sam Altman has hinted at this shift, calling it the next “giant breakthrough” in AI during a recent Reddit AMA.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Today’s the day when we release More Than Cars episode 4: Mohawk Chevrolet at 1PM! Oh and we’re also talking about Rivian and VW’s finalized joint venture, how the UAW is struggling to gain momentum following last year’s big wins and how Dodge is adjusting its EV and ICE muscle car plans.Show Notes with links:Rivian Automotive and Volkswagen Group have finalized a significant joint venture worth up to $5.8 billion to advance electrical architecture and software for future EVs, utilizing Rivian's current tech.Since the venture was announced in June, VW’s investment in Rivian has grown from an initial $5 billion.Rivian brings its advanced EV technology, while VW contributes its vast manufacturing scale.The initial phase includes deploying Rivian’s system in VW vehicles, launching Rivian’s R2 by 2026 and VW's Scout brand vehicles by 2027.The partnership focuses on electrical architecture and software, not hardware, though Scout Motors CEO Scott Keogh hinted Scout’s EVs will leverage the tech.“By combining complementary expertise, we aim to reduce costs and accelerate new tech,” VW’s Oliver Blume stated.This venture is crucial for Rivian’s financial strategy, as it faced a $1.1 billion Q3 loss amid slowed revenue and production.Outspoken UAW President Shawn Fain is facing mounting obstacles in organizing nonunion U.S. factories owned by Toyota, Hyundai, Mercedes, and others amid a shifting political and corporate landscape.Following historic labor deals with the Big 3, Fain aimed to build on momentum, targeting new factories, especially in the South.Despite a spring win at VW, recent efforts at Toyota and Hyundai encountered resistance, as these automakers raised wages to counter unionization drives.Initially focusing on a rapid approach, Fain encouraged online union pledges and fewer traditional one-on-one meetings. At Mercedes in Alabama, a quick vote resulted in a narrow loss, with 56% against unionizing.“It wasn’t like we got annihilated there,” Fain said. “That was a very, very close election.”Fain emphasized the importance of the UAW’s first contract with VW in Chattanooga, saying, “We won in a place where no one said we could win. Now, the argument is, ‘We’re not winning fast enough,’ when initially it was, ‘We can’t win.’”Dodge is moving up the launch date of its gas-powered Charger Sixpack to early summer 2025, five months ahead of schedule, in response to strong demand for traditional internal combustion muscle cars.The decision was influenced by anticipated regulatory shifts under President-Elect Donald Trump, potentially easing EV mandates.Originally planned for late 2025, the ICE Charger Sixpack is now set to arrive ahead of Dodge’s all-electric Charger Daytona.The Charger Sixpack will feature a 3.0-liter twin-turbocharged straight-six Hurricane engine, with up to 550 horsepower in the high-output variant.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.This Tuesday morning we are excited to publish the very first AutoIndustry.ai weekly email, covering everything the industry needs to know about AI. But before we talk about that, we’re covering how VinFast’s founder is jumping in to keep the company afloat again.Show Notes with links:VinFast is getting another major capital infusion from its billionaire founder Pham Nhat Vuong as well as parent company Vingroup to aid its global expansion.Pham Nhat Vuong, Vietnam’s first billionaire, pledged a personal investment of $2 billion, and Vingroup plans to loan an additional $1.38 billion.Existing loans from Vingroup to VinFast Vietnam (valued at 80 trillion dong) will convert to preferred shares.Vuong and Vingroup pledge continued support through 2026 to reach “cash flow equilibrium by the end of 2026.”Vuong said in June that he was willing to bet all his money on the company’s growth.As AI investments accounted for almost 40% of VC deals in Q3, dealerships should prepare for a surge in AI-driven solutions, likely unfolding in three phases, according to guest contributor Steve Greenfield.Phase 1: The AI-Powered “Co-Pilot”: AI “Co-Pilots” can double productivity by handling routine tasks, allowing employees like BDC agents to respond to twice as many leads and accelerating accounting workflows.Phase 2: The AI-Powered “Intelligent Agent”: Intelligent Agents, like Siri or Alexa, operate independently, managing tasks such as answering dealership calls and scheduling service appointments 24/7, making a “24/7 dealership” possible.Phase 3: AI Replaces Roles: Autonomous AI will start replacing repetitive roles. With human capital making up to 80% of costs, dealerships may see profitability benefits while AI handles tasks once managed by people.Steve’s Advice to Dealership Employees: Embrace AI changes and stay updated on new technologies to help your dealership thrive in the evolving landscape.AI Prompt of the week: “Please help me develop a prompt that captures my company's unique voice, tone, language, and energy. I want to ensure that AI-generated content aligns with our brand’s personality and connects authentically with customers, even as we enhance and streamline the process with AI.To do this, ask me one question at a time until you’re able to write a comprehensive, brand-aligned prompt for generating future content.” Pro Tip from the AutoIndustry.ai writing team: “Just because you’re talking to a chatbot doesn’t mean you should forget your manners. Always use “please” and “thank you” when prompting (mostly so that robots show mercy on you when the machines revolt).”Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Happy Veteran’s Day and thank you to all who have served! Today we’re talking about Ernie Garcia II cashing in on $1.4B of Carvana stock, a new Capital One study highlighting the role of trust and transparency in the car buying process and an IHOP-Applebees shared location.Show Notes with links:Ernie Garcia II, father of Carvana CEO Ernest Garcia III, has strategically sold $1.4 billion of Carvana stock since April, benefiting from a notable rally in the company’s share price amid an impressive restructuring turnaround.Garcia II has offloaded nearly 10 million shares, transitioning his Class B voting stock into Class A shares for liquidation.He still controls 69.2 million Class B shares, making up the core of his $17.6 billion fortune.Garcia’s last major sell-off was in 2021 when Carvana shares peaked, raising questions on the timing of his sales.The stock’s rebound from under $4 at the end of 2022 to around $240 has renewed confidence in the company’s trajectory.Nejat Seyhun, a finance professor at the University of Michigan, said “He might just have other alternatives and other investments… or maybe he expects the stock could fall—it’s better to sell early than late.”Capital One's 2024 Car Buying Outlook highlights the role of trust and transparency in car buying, emphasizing the opportunity for dealers to bridge the digital and in-person experience.88% of buyers complete at least half of the car buying process in person, up 5% from 2023, underscoring the dealership’s essential role.Digital tools are popular for early steps, with most buyers researching models, inventory, and financing options online before heading to the dealership.Trust drives loyalty: buyers are more than twice as likely to return to a dealer they trust, with 48% willing to pay more if they feel secure in the relationship.Transparency is key: while 73% of dealers see the process as “very transparent” or “completely transparent”, only 55% of buyers agree. “In a time when the ways cars are designed, sold, and purchased are rapidly evolving, the one thing buyers and dealers should see clearly from the start is each other,” says Sanjiv Yajnik, President of Financial Services at Capital One.Applebee’s and IHOP are launching their first-ever dual-branded location in the United States, set to open in Seguin, Texas, in early 2025.The Seguin site will combine Applebee’s lunch and dinner with IHOP’s breakfast and brunch, maximizing both brands' peak hours.With a shared kitchen and cross-trained staff, this setup aims to cut costs and improve profitability, potentially supporting struggling locations.The site will feature a drive-thru to meet demand for off-premises dining.Dine Brands plans to roll out up to 15 dual-branded locations in the U.S. “The addition of a second brand may improve unit economics,” said CEO John Peyton, viewing it as a smart strategy for growth.Dual-branding has gained popularity in hospitalityHosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Happy Saturday! Nathan and Chris host the show today to recap the ASOTU team's time in Austin, TX this week and then share some of the good we're seeing in the auto industry.Park Place Dealerships donates $100,000 in small grant giveaways to local charities. The charities are submitted by employees and community members and in a couple of weeks the Irvine, TX community will learn who has won the grant awards.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Welcome to Friday! As we wind down the week, we’re talking about how the Trump Presidency could affect the FTC CARS Rule. Plus, Mexico wants answers from Musk as to Tesla’s Mexico Gigafactory and a painting by an AI robot sold for over $1M at auction.Show Notes with links:The Federal Trade Commission’s new regulations to combat auto retail scams, known as the CARS Rule, face an uncertain future with the potential of President-elect Donald Trump’s second term. Here’s a breakdown of what might be ahead:Trump’s election might reduce federal oversight of dealership practices, as he’s known for favoring deregulatory policies.With the CARS Rule already contested by the National Automobile Dealers Association, the rule could lose FTC support in court, leading to a possible halt.Francis Curran from Tully Rinckey law firm says Trump’s supporters generally resist regulatory measures, making the CARS Rule a likely target.However, federal reductions may cause states to increase their enforcement of fair practices in auto transactions.The FTC’s “Unfair or Deceptive Fees” rule may remain, as attorneys like Chris Capurso believe it resonates more with consumers and imposes fewer admin burdens.“Whether or not [Trump] cares about the FTC, he’s probably going to appoint people who will roll back some of that,” says Francis Curran, highlighting a potentially quieter but still active FTC​.Following Trump’s election victory, Mexico is pushing Tesla for clarity on the previously announced Gigafactory Mexico, now on hold.Tesla announced Gigafactory Mexico in March 2023, aiming for rapid construction like in Shanghai.Plans stalled by year-end, with Elon Musk citing the uncertain global economy as a factor, opting to build its Robotaxi in Texas, leaving other planned vehicle models for Gigafactory Mexico canceled.Mexico fears heightened tariffs on Mexican goods and wants answers from Musk.Mexico’s Economy Minister Marcelo Ebrard said in a recent radio interview: “I’m going to set up a meeting with (Musk) soon so that he tells me exactly what he’s thinking and see what we can do so this project moves forward,”Ai-Da, the world’s first humanoid robot artist, set a new milestone as her AI-created portrait of Alan Turing sold at Sotheby’s auction for $1,084,800,.The piece, titled A.I. God, initially estimated at $120,000 to $180,000, attracted 27 bids.The portrait honors Turing, the "father of AI" and WWII codebreaker who cracked the Enigma machine, altering history.Ai-Da, capable of speech via an advanced language model, aims to spark discussion on AI’s role and its ethical implications.Sotheby’s calls the sale a “new frontier” in the art market, blending technology and visual arts in unprecedented ways.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.We’re live from Austin this morning where we’ll be speaking to the ATAE Comms Directors, but before that, we’re talking about how car dealer Bernie Moreno is headed to the Senate, the second annual list of CBT 40 Under 40 honorees and how Open AI spent a whopping $15M on the Chat.com domain.Show Notes with links:Bernie Moreno, former auto dealer and Trump-backed Republican, flipped a longstanding Democratic Senate seat in Ohio, securing a narrow victory over Sherrod Brown.Moreno won 50.2% of the vote, defeating Brown’s 46.4%, marking a GOP gain in the Senate.The race was one of the most expensive Senate contests in history, crucial for Republican control.His opponent, incumbent Sherrod Brown, targeted Moreno’s dealership past, implying he “would say anything to sell a car.” This line of attack backfired, galvanizing support from auto industry insiders who saw it as a slight against the profession.A critic of federal EV mandates, Moreno argued for consumer choice, advocating that Ohioans—and the auto market—should not be subjected to standards set by California.Moreno credited auto industry colleagues for their unwavering support, stating, “I appreciate the hundreds of phenomenal entrepreneurs in the car business.”CBT News has announced its second annual 40 Under 40 awards, spotlighting rising stars in the automotive retail industry. These honorees demonstrate exceptional talent in areas like sales, marketing, management, and innovation, shaping the future of automotive retail.The award recognizes contributions in sales, customer experience, and community service and aims to inspire future leaders in automotive retail.Co-founders Bridget and Jim Fitzpatrick commend honorees' resilience: "The resilience and dedication demonstrated by every member of the retail automotive community is truly inspiring."Friends of ASOTU: Nathanael Greklek, Chief Digital Brand Leader at Mohawk Auto Group,  and Michael Lucki, GM/Operating Partner at Riverhead MazdaOpenAI has made waves by purchasing the chat.com domain from HubSpot’s Dharmesh Shah, a move signaling their evolving approach to user interaction.Sam Altman, OpenAI’s CEO, shared the new domain, which directly redirects to ChatGPT.Originally bought by Shah for $15.5M, he later sold it to OpenAI, reportedly at a profit.Shah cited "Chat-based UX" as the next big trend in software for natural, intuitive interactions.Shah hinted that OpenAI paid with shares rather than cash, a unique twist on the transaction.This move aligns with OpenAI’s recent rebranding efforts, including new model series like “o1” aimed at simplifying and enhancing user perception.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Donald Trump’s return to the White House could disrupt the auto industry’s EV ambitions. Plus, Elon Musk’s advisory role with the new administration and his plans for autonomous tech. And, IKEA opens its first stand-alone restaurant in London.Show Notes with links:Former President Donald Trump has won the 2024 election, and his return could lead to major shifts for the auto industry, especially around electric vehicle (EV) policies, trade, and incentives. Here’s what might be in limbo for automakers:EV Regulations: Trump may roll back aggressive EV mandates set under Biden, reducing pressure on automakers to hit strict electrification targets.Tax Credits: Biden-era EV tax credits could be at risk, impacting demand and profitability for manufacturers deeply invested in electric tech.California’s Emission Standards: Trump might revoke California’s right to set its own emissions standards, affecting states that follow its lead.Trade Policies: Trump may tighten restrictions on Chinese vehicle parts, intending to boost domestic production but likely increasing vehicle costs.The Elon factor: Here’s how Musk’s involvement could shape auto policies and beyond:Trump has proposed forming a government efficiency committee led by Musk, aiming to cut $2 trillion from the federal budget. Musk has already expressed his interest in reducing government spending by 30%.Musk advocates for a unified federal approval process for autonomous vehicles, reducing state-by-state regulatory inconsistencies. He commented, “If there is a department of government efficiency, I’ll try to make that happen.”While Trump is generally less favorable toward EV mandates, analysts speculate that Musk’s influence may push for selective pro-EV policies that align with Tesla’s interests.Musk, a long-time proponent of U.S.-based manufacturing, may support Trump’s trade stance on limiting Chinese parts imports, which could impact supply chains and costs for EV makers.Tesla stocks spiked 15% following the election, underscoring investor optimism over Musk’s potential influence in the new administration.General Motors has claimed the number two spot in EV sales in the U.S. for Q3 2024, with 32,000 EVs sold across multiple brands. Ford, however, disputes GM's approach to these numbers.GM’s EV lineup includes the Chevy Silverado, Blazer, Equinox EVs, GMC Hummer EV, and Cadillac Lyriq, all on the Ultium platform.GM has sold 370,000 EVs in North America since 2016, with 300,000 of those in the U.S. Tesla remains far ahead, with over 5 million units sold globally since 2008.Ford argues it’s still the “No. 2 best-selling EV brand,” claiming GM’s figures count all brands together, altering the comparison.From Reddit polls to repeat diners, IKEA’s food offerings are beloved, with many customers visiting the store just for the food which is why IKEA’s first stand-alone restaurant next to its Hammersmith store in London marks a fresh chapter for the brand, leveraging its famous Swedish Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Happy Election Day! Well, now that we’ve covered that… today we’re talking about how Stellantis listened to dealers and cut prices on some Jeep models, how Tesla has given up on the human-driven affordable EV, and how your name might start being incorrectly spelled on Starbucks cups this fall.Show Notes with links:Stellantis has decided to significantly reduce prices on its 2025 Jeep Wagoneer and Grand Wagoneer models to address dealer concerns about high prices slowing inventory turnover.Price cuts range from $3,000 to $7,000, depending on the model, with the base Wagoneer now starting at $61,945, while the Grand Wagoneer begins at $86,945.The U.S. market has shown demand; Wagoneer sales are up 79% and Grand Wagoneer sales up 25% through September, supported by both retail and fleet sales.Standard features have also been enhanced, including adaptive cruise control on the Wagoneer and a passenger display on the Grand Wagoneer.Bob Broderdorf, Jeep North America chief, stated, “By lowering MSRPs as much as $7,000 and enhancing standard equipment... these vehicles have become even more compelling.”Tesla CEO Elon Musk has put to rest hopes for a human-driven $25,000 EV. He recently revealed that an affordable Tesla would only make sense as a fully self-driving vehicle, shelving plans for an anticipated mass-market, human-driven model.Musk called the idea of a $25K human-driven EV “pointless” and “silly” without full autonomy.Tesla’s updated plan now features the “Cybercab”, a two-door, two-seat autonomous vehicle priced at $25,000, planned for 2026.This strategy change represents a pivot from Tesla's initial goal of building 20 million affordable, human-driven vehicles annually by 2030.Tesla analyst Seth Goldstein “Tesla realized they were late to making an affordable vehicle versus their Chinese-EV peers… So, they changed their strategy rather than make a large investment to produce a new vehicle.”Get ready for your name to be spelled incorrectly on your coffee cup again. Starbucks CEO Brian Niccol is bringing Sharpies back into stores as part of his "Back to Starbucks" strategy, aiming to revive a personal touch that Starbucks lost during the pandemic.After three quarters of declining sales, Niccol is cutting unpopular items, like the Oleato, and removing charges for non-dairy substitutes.Sharpies will replace digital stickers on cups, allowing baristas to write personal notes or names, enhancing the in-store experience.Niccol’s “Back to Starbucks” plan focuses on creating a warm, welcoming environment that highlights skilled, personable service.“Our fourth-quarter performance makes it clear that we need to fundamentally change our strategy so we can get back to growth,” said Niccol.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.We’ve got Michael Cirillo in the studio on this Monday, as we’re talking about how its becoming harder for new auto dealers to secure floorplan loans, how Rivian has decided that voice control is better than physical buttons and how online customers are abandoning carts because of choice overload.Show Notes with links:New and smaller auto dealers face mounting difficulties in securing essential floorplan loans, a crucial step in dealership ownership. Amid rising interest rates and cautious lending practices, lenders are increasingly reluctant to finance smaller deals, affecting many hopeful first-time dealers.Banks and lenders now often require floor plans to exceed $10 million, and many first-time buyers are confronted with last-minute cash demands, sometimes needing an additional $250,000 to $1 million as collateral.Josh Letsis, aiming to buy a Chevrolet store, was denied floorplan loans by multiple banks and GM Financial, which required more cash on hand despite his strong credit. The deal’s collapse cost him $60,000 in fees.Chad Chase faced a similar setback when Stellantis unexpectedly pulled out of financing, forcing him to scramble to keep his Chrysler-Ford store purchase alive.In the great button-versus-touchscreen debate, Rivian’s Chief Software Officer Wassym Bensaid doubled down on voice controls as the future, saying in-car buttons are “an anomaly.”At TechCrunch Disrupt 2024, he noted that physical controls are “a bug, not a feature,” advocating that voice interactions should replace touch and physical controls. Rivian aims to make every vehicle function accessible by voice, with AI advancements potentially solving current issues in voice assistant technology.Many users remain skeptical, citing frustration with today’s voice controls and concern about losing quick access to functions like AC adjustments and seat controls.On top of this, Bensaid called Apple CarPlay (which isn’t available in Rivians) a “lazy” option that oversimplifies the UI, which Rivian plans to build out with proprietary, integrated software features.With endless options and extensive product information, today’s online shopping experience can feel less like convenience and more like an exhausting chore. Research suggests that too much choice is paralyzing, creating a phenomenon some call “choice overload.”A recent Accenture survey revealed 74% of consumers abandoned online shopping carts due to feeling overwhelmed by choices and content.Top abandoned online shopping carts include clothing (79%), flights (72%), snacks (70%), home goods, and electronics.Psychologist Barry Schwartz’s “paradox of choice” explains that while variety can make us happier initially, too many options complicate decision-making.Tools like filters and recommendations often backfire by introducing more factors to consider, which can make shopping fatigue worse, according to NYU’s Raluca Ursu.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.On Saturday's we like to talk about the ways we see dealers impacting their communities, and today, Kyle and Chris are talking about everything Halloween, from haunted car washes to PS5 giveaways to scary replicas of Paul and Kyle.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.It’s a new month and we hope you’re recovering from the candy hangover! Today we’re looking back at October in retail auto and reviewing how it did, examining how Ford is linking performance to manager bonuses and seeing how Target is moving Black Friday deals earlier than ever.Show Notes with links:October brought robust growth in U.S. auto sales, led by higher consumer interest in EVs and hybrids, as automakers capitalized on rising inventory and incentives.Hyundai and Kia set October sales records, up 16% and 18% respectively, with notable gains in electric and hybrid models, a trend seen industry-wide.U.S. light-vehicle sales are expected to climb up to 11% from last October, with retail demand offsetting declines in fleet sales, say industry analysts.The industry’s annualized sales rate is projected to hover between 15.8 and 16.1 million, sustaining the strong September pace.New-vehicle inventories are up 25%, though still below pre-pandemic levels, creating a mix of high turnover for brands like Toyota and large stockpiles at others.Rising inventories are pushing incentives higher, averaging $3,149 per vehicle—a 71% increase over last year—with EVs seeing the largest discounts.Ford CEO Jim Farley is driving a new culture of accountability by linking manager bonuses to key goals in quality and cost-cutting—and reducing bonuses to 65% of the total potential this year.Ford’s recent earnings met only the low end of expectations, causing shares to drop over 10% earlier this week.In a recent town hall, he stressed the urgency of the new performance-based bonus system to push for faster improvements in quality, saying current progress isn’t enough.“We now truly differentiate and reward excellence at Ford,” Farley said, describing the shift as a “massive culture change.”This move aligns Ford with broader trends, as GM also updated its bonus structure this year, now offering top performers 150% of their potential bonus.Target is launching its Black Friday deals earlier than ever, offering shoppers a jumpstart on savings with multiple ways to snag the best prices this season.The three-day Early Black Friday Sale runs from Nov. 7-9, giving shoppers early access to top discounts.Target’s Holiday Price Match Guarantee ensures shoppers get the best deal, with price matching on items that drop in price through Dec. 24.Daily deals start Nov. 1, and each week’s discounts include up to 50% off items like floorcare and toys, exclusively for Target Circle members.“We’re kicking off the holidays in a way only Target can,” said Rick Gomez, EVP at Target, promising a season of exclusive products, fun, and unbeatable prices.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Happy Halloween! It’s the last day of the month, and we’re tracking how Carvana has managed to continue its used car growth. Plus, we cover how Ford is slowing down its production of the F-150 Lightning and Starbucks getting rid of extra fees for non-dairy milk.Show Notes with links:Shout out to our friends at UVeye! Their AI-driven automated vehicle inspection has earned a spot on TIME’s prestigious 2024 Best Inventions list, showcasing innovations that transform daily life.TIME recognized its impact on safety, reliability, and transparency in inspections.Carvana posted a strong Q3 net income, impressing Wall Street despite an 80% decline from last year’s figures.Net income hit $148 million, up 208% from Q2 but down from Q3 2023's $741 million.Vehicle sales rose to 108,651, up 34% year-over-year and 7.1% over Q2.Operating income reached a record $337 million, a 602% year-over-year increase.Gross profit per vehicle climbed 25%, supported by reduced costs and faster sales.CEO Ernie Garcia praised the "efficient growth" from Carvana's ADESA network expansion, enhancing cost efficiency and customer experience.Brian Kramer called it a “MONSTER finish” for Q3, crediting the company’s disciplined acquisition and inventory management strategies. He attributed the rise in sales and gross profit to more accurate appraisal estimates, quicker sales, and higher margins on consumer-sourced inventory.Ford is pausing F-150 Lightning production for seven weeks, from mid-November to early January, responding to slower-than-expected demand for the electric pickup.Production will stop on Nov. 15, resuming on Jan. 6 after a holiday break, as Ford adjusts to find a better mix for sales growth and profitability.Despite an 86% year-to-date sales increase through September, the Lightning lost its title as the nation’s best-selling electric truck to Tesla’s Cybertruck.Ford’s supply of electric models remains high: a 100-day supply of F-150s, 130 days of the Mustang Mach-E, and 128 days of E-Transit vans as of September, per Cox Automotive.CEO Jim Farley remains optimistic about Ford's long-term EV strategy but acknowledges “the slow uptake of EVs,” emphasizing the company’s pivot to more affordable EV platforms in the coming years: “I wouldn’t trade [our strategy] for any of our competitors.”Starbucks is giving nondairy milk fans a break by dropping the extra fee for nondairy milk customizations starting Nov. 7.The change coincides with Starbucks’ holiday menu launch and customers can now enjoy soy, oat, almond, or coconut milk without added costs.CEO Brian Niccol says the shift supports Starbucks’ culture of drink personalization.Nondairy milk customizations are the second-most-popular modification, just after extra espresso shots.Customers could see a 10% pHosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.Ford Drops, Tesla Grows, Airline RefundsDescription:We are on day 2 of More Than Cars season two shooting, and we couldn’t be more encouraged by what we are discovering in Lafayette, IN. Today we look at Ford’s Q3 report of lower net income, Tesla expanding its vehicle output in 2025 and a new requirement for you to get quicker airline refunds.AnnouncementREPLAY available: ASOTU Edge Webinar with Amol Washampayan of fullthrottle.ai - Find Your Shoppers Using Free TVMore Than Cars Episode 4 Releases on November 13thRohrman MTC shoot Oct 28-30 - ATAE Comms Nov 6-7 -MRC Nov 16-17 - CMA MTC Shoot Nov 18-20Show Notes with links:Ford is adjusting their full year targets after posting a large drop in net income in Q3 due to expected EV delays.Ford reports a 26% drop in Q3 net income due to EV delays and associated costs.Revenue rose 5% to $46 billion, marking the 10th consecutive growth quarter.Ford now projects full-year EBIT around $10 billion, down from a $12 billion estimate.Cost-cutting efforts of $2 billion this year are offset by inflation and warranty costs.“Cost is holding us back…[but] we’re focused on improving costs every quarter,” CFO John Lawler commented.Tesla has set an ambitious target to deliver an additional 500,000 electric vehicles next year, leveraging factory enhancements and new production methodologies to expand its footprint in the global EV market.Tesla will ramp up production at its Giga Texas and Giga Berlin plants and adopt new streamlined manufacturing techniques to produce popular models like the Model Y and Model 3 faster and at lower costs.Advancements in Tesla’s battery technology, including structural battery packs and the 4680 battery cells, are central to achieving these targets, allowing for both extended vehicle range and reduced production costsKey factory upgrades are already underway, aimed at increasing both output and energy efficiency, aligning with Tesla's vision to scale sustainable manufacturing.CEO Elon Musk noted the significance of the target, saying, “This is not just about meeting demand; it’s about setting the pace for the global shift toward electrification. We aim to make EVs accessible on a mass scale.”New requirements for airlines just dropped, giving customers access to quicker refunds for disrupted flights.Airlines must now issue automatic cash refunds for significant delays or cancellations.Delays over three hours for domestic and six hours for international flights qualify.Refunds cover flight changes, downgraded service classes, and unavailable paid services.Checked bag fees must be refunded for delayed luggage beyond 12 hours (domestic) or 15 hourHosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email

Shoot us a Text.We’re live from Lafayette Indiana to start recording the second season of More Than Cars! Today, we’re running through the latest industry data from J.D. Power, pushing back against an article from the Verge that suggests Scout is doing “exactly what customers want”, and how Apple is innovating with its advertisements.Show Notes with links:J.D. Power’s preliminary October data reveals that while auto loan interest rates have dipped, monthly payments on new vehicles continue to climb, driven by reduced trade-in values.The average interest rate for new-vehicle loans fell to 6.7%, down from 7.4% a year earlier, with monthly payments reaching $738 on average, a 14% increase from October 2023.The average new-vehicle transaction price dropped 1.6% to $44,904, with used vehicles averaging $28,472.Trade-in equity plummeted 10% to $7,909.Cars are spending an average of 50 days on lots, more than double last October’s 20 days.Leasing rose to 23% of sales, driven by increased incentive spending, now 6.3% of sticker prices.Thomas King of J.D. Power explained, “This holiday season may require innovative strategies to entice customers into acquiring a new vehicle..”Scout Motors, backed by VW, is embracing a direct-to-consumer model, sidestepping traditional dealers and aiming for a seamless, digital-first sales process. Dealers, however, are already pushing back with legal threats.Scout plans direct sales for its Terra and Traveler EVs, similar to Tesla’s approach.CEO Scott Keogh promises a “transparent, super fast, and super easy” buying experience.Relying on an in-house digital platform, Scout bypasses the traditional dealership model.Scout aims to open 25 "Workshops" for service and test drives, plus Scout Studios for sales.“Only through a direct sales model can Scout Motors get a full 360-degree view of the customer,” says VP Cody Thacker.Key: it is clear consumers are getting information about dealers and their lawsuits from external sources and the rhetoric is against dealers.This week, Apple launched two new ads promoting its Apple Intelligence tools. While these quirky ads showcase AI’s ability to fix human oversights, some critics argue they highlight a disturbing trend in tech marketing.Ads depict relatable mishaps, like forgetting birthdays, solved effortlessly by AI tools.Directed by ad comedy expert David Shane, the spots add humor but raise questions.Critics say Apple’s ads subtly suggest AI as a “cure for the dumb and lazy.”Apple has used tech with heart in past ads, but these seem to replace human effort.“So far, Apple Intelligence is showing us how to construct a false impression of ourselves,” observers note, questioning the underlying message.Hosts: Paul J Daly and Kyle MountsierGet the Daily Push Back email at https://www.asotu.com/ JOIN the conversation on LinkedIn at: https://www.linkedin.com/company/asotu/ Read our most recent email at: https://www.asotu.com/media/push-back-email