“GM has never sold a competitive small car in America.” Not true. The imported rear wheel-drive Opel 1900– the sedan version of the Manta– was a superb machine for its day. Unfortunately, a rising dollar and a lack of marketing and development vis-a-vis the Japanese competition (Datsun 510) doomed the 1900 to footnoted obscurity. And now, once again, General Motors NA turns to Opel to get back in the small car game. They've brought over the Eurozone’s best selling passenger car: the Astra. Starting this January, you can buy an Astra in America, only with the logo swapped from Opel’s lightning bolt to Saturn’s rings. Should you?
Latest auto news, reviews, editorials, and podcasts
In parts One and Two of this series, we looked at the websites of eight aspiring Chief Executives in an attempt to divine their positions on policies relating to automobiles. To say that our commentators considered their remarks fatuous would be like saying that a Hummer H1 would be slightly out of place at a Prius Owners Group. Still, civic duty inspires us to press on. Here’s what (the other) John, Joe, Chris and Ron have to say about alt. fuels, mpgs, etc.
AdAge reports "supermodel" Ganna Makeeva is suing Leo Burnett for negligence. Apparently, whilst shooting a superbowl ad for Cadillac back in '05, Ms. Makeeva was asked/instructed/paid to walk down a runway with a hole in it, as lights flashed, music thundered and her stomach rumbled (my add). The model fell. She sustained injuries to her "legs, knee, hands, wrists, stomach, head, neck and rib cage" and that she "has already undergone one knee surgery and must undergo yet another one to try to repair the painful and debilitating injury caused by the fall. She presently attends multiple therapy sessions each week in an effort to heal and recover from injuries she sustained." Wow. That sucks. But not, it seems, as much as the ad. "The ad… ultimately earned 2.5 out of four stars from Ad Age critic Bob Garfield, who wrote at the time: 'This is beauty photography, ostensibly eye-catching and sexy, in which slinky, exotic runway models strut their couture fashions while dripping with liquid chrome. Then, up from the vat, rises the 2006 Escalade, also slick with chrome. The visual is designed to stop you in your tracks. It won't.'" Stop you in your tracks. Geddit? If you didn't know ad folk are cold-hearted bastards before, you do now. Oh, and we reckon GM should step-up here and offer Ms. Makeeva a free car. Wouldn't you?
While greens (and tax collectors) the world over have hailed London's Congestion Charge (CG), the scheme is far from the showpiece legislation its proponents suggest, and it’s about to get worse. The Times reports that London's traffic has returned to pre-CG levels. Even less surprisingly, well-paid bureaucrats swallow a full 47 percent of the £800m raised by the CG– to the point where London has cut bus subsidies. At the same time, "The introduction of more bus lanes and pedestrian-friendly measures, TfL [Transport for London] admits, have also contributed to congestion." And now The Evening Standard reports that the recent tweak to the system– adding low CO2 cars like the Fiat Panda and Ford Fiesta to the hybrids who get a free pass– threatens to hole its income. As you (but not London Mayor Ken Livingstone) might imagine, the city cars' exemption from the £8 daily fee has sparked a boom in small car sales. I'm sorry, did I say £8? As part of the tweak, "gas guzzlers" will have to pay £25 a day to drive in inner London. Anyway, a study commissioned by Land Rover (for obvious reasons) reckons that the Mayor's plan to give A and B-class cars a free ride could add an extra 10k cars to London's traffic and "contribute to global warming" (way to stick the boot in).
Regular readers may recall that this blog doesn't do recalls, like today's re-do on 1.1m 1997 – 2003 model year Ford vehicles equipped with 7.3-liter diesel engines, including the E-Series van, Excursion, and F-450 Super Duty and F-550 Super Duty trucks. They're too damn many recalls, and we risk incurring the wrath of the bias bashers if we cover one brand's recall and neglect another's. But this little non-recall GM gem caught our editorial eye. Trading Markets reports "General Motors Corporation (GM) has determined that certain model year 2005, 2006 & 2007 Cadillac STS passenger cars equipped with sunroofs do not fully comply with paragraph S4(e) of 49 CFR 571.118, Federal Motor Vehicle Safety Standard (FMVSS) No. 118 Power-Operated Window, Partition, and Roof Panel Systems." That's because "for 60 seconds after the vehicles are started, if the engine is turned off and a front door is opened, the sunroof module software allows the sunroof to be closed if someone in the vehicle activates the control switch." Which is no biggie because "the following sequence of actions must occur: Driver starts engine, driver turns off engine, and driver or front passenger opens a front door. After this sequence of actions and still within the 60 second time frame, occupants must take additional actions: Push the sunroof close switch and position an occupant to create the risk of sunroof entrapment." Still, you have been warned.
If you have a brain, pulse, and/or soul, you probably missed "VH1's Fabulous Life Presents: Insane Celebrity Superspenders," which aired last night (12/10). "Celebrities are really loving the Tesla roadster," one of their hip-hack commentators said. A craptacular VH1 original show setting sail onto the sea of exaggerations? No surprise there. But it's a testament to Tesla's marketing that they effectively convinced the world that they've already launched an all-electric sports car. In fact all they've done so far is give a few celebs a ride around the block (as passengers, of course), take deposits, start construction of a showroom in LA, and put out reams of press releases. Nice job, Tesla. Bad job, VH1.
India's new car market is red hot. GM's Spark is not. As the Business Standard reports, "In the seven months between April and October this year, the Chevy Spark has managed to sell less than 12,000 units, or an average of 1,700 units a month, while its peers Alto and WagonR (Maruti Suzuki), Indica (Tata Motors) and Santro (Hyundai) have had average monthly sales of 10,000 – 18,000 units." Apparently, the Spark– a rebadged Daewoo Matiz– is a victim of GM's inability to move decisively (who'd a thunk?). Before GM took control of Daewoo in '01, the Daewoo Matiz– badged the Daewoo Matiz– had been India's best-selling car. Post-sale, The General dicked around trying to buy Daewoo’s assets in Surajpur, Uttar Pradesh. The deal went nowhere, leading to a five-year delay before the Spark's launch. And if that doesn't sound familiar (Camaro fans), how about this: "For 10 days in October, as a festival season offer, GM offered a massive discount of Rs 53,000 on the six-month old model, which got bookings for 12,000 units." Only capacity constraints at the Halol plant in Gujarat make timely delivery impossible. Never mind. GM's got big plans for the future, introducing six new Chevys from their Halol plant (85k capacity) and bringing its Talegaon plant (1.5m capacity) on-stream.
GM's one two three green light campaign to leapfrog the competition with its E-Flex plug-in electric – gas (in that order) hybrid continues apace, The General has just opened a new design studio dedicated to the Chevrolet Volt and its antecedents. According to the press release, GM's new Warren, MI-based E-Flex Systems Design Studio will house 45 designers, sculptors, design engineers, scientists and administrative staff in a greener-than-thou environment. That would be a reused space kitted-out with sustainable carpet, energy efficient florescent lighting and window shades, rugs made of 100 percent wool and Cradle to Cradle-certified furniture. While we still haven't seen the new-look Volt, The Motley Fool (of all people) tell us that GM designers have already cut 30 percent from the concept's wind drag. "The easier it is to push this vehicle through the air, the less energy you use," said Nina Tortosa, the Volt's aerodynamic development engineer and [possible] future author of Aerodynamics for Dummies. Anyway, the Volt's design director is pleased with his new digs. “There’s a lot of history in this building,” said Bob Boniface, “and I feel we’re making our own history by designing a whole new generation of vehicles that don’t require gasoline." I guess someone forget to tell Bob about the gasoline part of the Volt's propulsion system…
While there's not much joy in Motown, new car sales are hopping in The People's Republic of China. Chinadaily reports new car sales are up 22.83 percent this year, for a total of 5.66m units year-to-date (YTD). Sedans are the biggest seller, with 4.24m units sold so far this year. MPVs accounted for 203k sales, while SUVs clocked-in at 319k units. The best-selling models are the Jetta (FAW-Volkswagen), Santana (Shanghai Volkswagen), Buick Excelle (Shanghai General Motors), Camry (Guangzhou Honda), QQ (Chery) and Xiali (FAW Tianjin). For comparison, the U.S. car industry racked-up 7.2m cars and 7.5m light trucks YTD. That said, U.S. "light trucks" include MPVs and SUVs, which are counted as passenger cars in China. The rest of the vehicles sold as light trucks in the U.S. are sold predominately for commercial purposes in China, and aren't included in "new car" sales numbers. So now you know.
We have it on good authority (from two independent sources, as required by All The President's Men) that Chrysler PR Chief Jason Vines was given the old heave-ho. This morning's Detroit News further substantiates the story. Scribe Eric Morath reports that Chrysler has "realigned" its communications team. They will now report to the head of human resources rather than the chief executive, indicating that their focus will switch from external to internal communications. The News speculates that the move is also designed to plunge the privately owned company into [relative] radio silence– which would suit the outspoken, combative Vines about as well as an actual muzzle. This from Gerald Meyers, the former chairman of AMC and current University of Michigan biz prof: "They're not trying to be public, they're not trying to be popular, they're not trying to be transparent. Private equity work very hard to be opaque and they probably won't miss a PR person who helped put things into black and white." Needless to say, the News ends its report with some positive spin. Mike Szudarek, a partner at Farmington Hills-based public relations firm Marx Layne & Co., sees the silver lining. "I think it's a positive move that breaks down silos and helps integrate internal and external communications." We shall see… Meanwhile, we invite Mr. Vines to contact TTAC when he bails on Aubrun Hills in the New Year.
What a difference a month makes. The euphoria created by October's U.S. sales gains ended abruptly; November numbers fell like autumn leaves. Total light vehicle sales sank 1.6 percent compared to November last year, down 3.4 percent year-to-date (YTD). U.S. light truck sales did a November nose-dive, down 6.8 percent if you include crossovers, down 15.5 percent if you don't. In this inhospitable climate, Toyota sales shot by Chevrolet for the month, leaving Ford in the dust. While Chevy should end the year in the number two slot, Ford's stuck at number three, accounting for just 13 percent of the market. And once again, The Big 2.8's combined market share fell below fifty percent. So, it was more of the same, only more so.
It’s doubtful that the AC-Delco engineers who devised the first electronic ignition system in 1961 envisioned the automotive revolution to follow. By then automobiles’ basic technological framework was well-established (piston engines, welded steel bodies, pneumatic tires, hydraulic brakes, etc.). Electronic ignition probably seemed like just another incremental improvement. Instead, electronics enabled quantum leaps in automotive performance, safety, comfort, efficiency and environmental impact. No other technology has been nearly so transformational.
Well, I've sent it off: my email to the Detroit Auto Dealers Association. I've politely requested that their Credentials Committee reconsider their decision to deny TTAC press passes for the North American International Auto Show (NAIAS). As the Powers that Be didn't list any reason for their rejection, all I could do was throw some new stats into the mix and forward a letter of recommendation kindly sent by former Car and Driver editor and occasional TTAC contributor Stephan Wilkinson. The data was mined by Adrian Imonti, one of The Gang of Four that we hope (still) to send to Cobo to cover the car confab. Mr. Imonti reported that our Google page ranking is "7." That's equal equal to that of AutoWeek, Autoblog and the home page of the Business Week and CNN/Money Autos' sections. It's better than The Detroit News Autos Insider page, Car and Driver, Motor Trend, Automobile, Top Gear, Road and Track and Edmunds Inside Line (all rated "6"). I don't know about you, but I'm impressed. We have a tiny fraction of their resources. But we do have an unstoppable dedication to telling the truth about cars, and you, the autoblogosphere's best and brightest. And that's the key. These days, whenever I write/edit a review, editorial or blog post, I think of it as a starting point for your evaluation, discussion, context and yes, correction. In fact, we are a team. In the coming days, I may need team TTAC's help in this matter. But for the moment, let's assume that the Detroit Auto Dealers Association will recognize the importance of this website, and our potential positive contribution to Detroit auto show coverage.
I'm not quite sure how Brandweek decided the winners and losers in their ROI (Return on Investment) analysis of automotive advertising. The Malibu campaign is considered a winner even though Chevy's spent a reported $150m (upped here to $300m) to sell 7,210 cars through November. I know: it's WAY too early to make that calculation. And how is the Tundra a winner when they forked-out $1,404 per Tundra sold– unless Brandweek's looking at total profit margin, which they're not. Sigh. I think scribe Steve Miller just took the money and ran, picking his favorite car ads and justifying them, then selecting a few sales dogs and doing the math. Speaking of which, Ford spent $108 per Taurus sold, which wasn't very many (26,720 through November). Miller's accompanying text hits the nail's head: "The relaunched Taurus tried to rally around safety, which is a one-trick game. Volvo wins with that gambit, not Taurus." And once again, Chrysler tops the bottom of a worst list. Chrysler spent $84 per Avenger (pithy quote above from George Peterson, president of Auto Pacific) and $110 per Sebring. Apparently "consumers have misgivings about Sebring’s overall quality." I wonder why…
Though local labor unions approve of an Indian owners for the venerable Jaguar brand, stateside dealers want none of it. "My concern is perception, and perception is reality," said Ken Gorin, chairman of the Jaguar Business Operations Council, to The Wall Street Journal (as reported by The India Times). "I don’t believe the US public is ready for ownership out of India for a luxury-car brand such as Jaguar… I believe it would severely throw a tremendous cast of doubt over the viability of the brand.” Though working for former Ford CEO money whiz Jac Nasser and the cash leveraged Equity One make for optimal conversation at high tea, the marble-lined showroom stockers should remember this: money talks and bullshit walks. If Jaguar sells the right cars at the right price, it won't matter from whence the leaping cats come, or which nation builds them. If Ford can sell Mexican Fusions, and GM can sell Australian Pontiacs, and Porsche can sell Finnish Boxsters, and BMW can sell German MINIs, why can't you sell Indian Jags? For shame.
Recent Comments