CBT automotive newscast: December 14, 2020

Today’s Featured Interview:

Is your dealership using video messaging to drive car sales? Stephanie Singletary, Covideo
The COVID-19 pandemic has pushed people to communicate through video engagements at higher rates both personally and professionally. Covideo is a video messaging company with strategies to take your communication and outreach to the next level. Today, we speak to Stephanie Singletary, senior account executive of Covideo, about the importance of communication in the midst of the pandemic, and how a robust video tool can assist dealers in their communications with customers and prospects. Watch the full segment here.

Top Headlines:

Ferrari CEO Louis Camilleri is abruptly stepping down from his position with the luxury automaker. Camilleri cited personal reasons for his early retirement, after being with the company for nearly two and a half years. The former CEO has dealt with ongoing health problems recently, including being hospitalized due to COVID-19. He is now recovering in his home and claims that contracting the virus was not a factor in his decision to step down. Ferrari Chairman John Elkann will lead the company on an interim basis according to a statement from the automaker on Thursday.

After months of steady improvements, certified pre-owned sales took a step back in the month of November. According to data from Cox Automotive, CPO sales declined 21% year over year last month, and were down 20% month over month compared to October. During the ongoing pandemic, CPO sales have been one of the strongest performing segments in the retail automotive market. Analysts at Cox Automotive believe the drop can be attributed to seasonality, broader economic conditions, and supply and demand.

The new 2021 Ford F-150 hybrid will top all of its gas-powered pickup rivals in mileage range. On Friday, Ford announced that the new F-150 hybrid will get an average of 25 miles per gallon, best in class among all lite-duty pickups powered by gasoline engines. While the truck still trails diesel-powered trucks such as the Chevy Silverado and Ram 1500, Ford is excited about the range capabilities paired with the eco-friendly engine.

Lincoln and Mini were ranked as the highest-scoring auto brands in the J.D. Power U.S. sales satisfaction index study. The index was designed to measure how well auto brands handled more digital interactions amid the pandemic. Lincoln scored 827 points, the most among all brands, while Mini scored 824 points. The two brands were able to outpace Tesla who only scored 804 points, below the luxury average. Tesla’s slide behind Lincoln and Mini is surprising for many industry experts since the EV maker relies heavily on its digital sales network.

News & Opinion:

Tips for adding ownership value, loyalty in an increasingly digital industry
In Cumming, Georgia, John Edwards and his wife, Lauren Sanchez have set Dec 12 as the first Saturday class at their service shop. Their independent repair facility will host classes that teach vehicle care basics and driver safety to new drivers in their community. Edwards came up with the idea after learning about a recent tragedy. He said, “I actually thought about it the other night when I sat down and watched the news and saw that a kid got killed on the road trying to change a tire. I thought, ‘You know what, kids don’t know how to do it, and neither do a lot of parents.’” Read More

How low-orbit satellites like Starlink are set to affect automotive
On Nov 24, SpaceX launched their Falcon 9 rocket to deploy 60 Starlink satellites into low orbit. As of that date, 895 of those low Earth-orbit (LEO) satellites are in operation and Starlink’s ‘Better Than Nothing’ beta internet service is being tested in the northern US and southern Canada. Other competitors are also aiming to have their own constellations like OneWeb, Boeing, ViaSat and several others. It’s expected that eventual speeds will exceed 1 Gbps although beta speed tests are currently between 50 and 150 Mbps, according to SpaceX. Read More