The Automotive Troublemaker w/ Paul J Daly and Kyle Mountsier

It’s Friday already. Today we’re talking about Tesla's official Cybertruck recall. We also discuss GM's innovative move into hydrogen fuel as a diesel alternative, as well as the high-stakes wealth race in Silicon Valley as Mark Zuckerberg surpasses Elon Musk to become the world's third-richest person. Show Notes with links:They can’t fix this one with an over the air update. As a follow up to our story Monday, nearly 3,900 Cybertrucks from the 2024 model year are being recalled due to a risk that the accelerator pedal may dislodge and become trapped, potentially increasing crash risks.The defect could affect both accelerator and brake pedal torque, posing significant safety concerns, according to the National Highway Traffic Safety Administration.Deliveries of the Cybertruck are now officially delayed as Tesla addresses these issues with the accelerator pedal."Tesla is not aware of any injuries related to this defect," assured the company in its communication with the NHTSA. Tesla plans to notify affected owners in June 2024.It is unclear how the company plans to repair affected vehiclesGM is spearheading a new project to replace diesel engines with hydrogen fuel cells, debuting a medium-duty truck powered by hydrogen for Southern Co. in Georgia.The Chevrolet Silverado 5500 truck will feature GM's Hydrotec fuel cells, offering over 300 miles of range, weighs almost 20k pounds, and has the ability to generate 300 kilowatts—enough to power 250 homes.This initiative is part of the $65 million SuperTruck 3 program by the U.S. Department of Energy, aiming to explore hydrogen fuel's potential in heavy-duty vehicles and establish a microgrid for hydrogen fueling."This is the most exciting transformation I've been part of at GM," shared Mark Dickens, vehicle chief engineer for future fuel cell products, emphasizing the shift from concept to real-world application.Mark Zuckerberg has overtaken Elon Musk to become the world's third-richest person, with a net worth of $175 billion.Meta Platforms' stock has soared by 43% year-to-date, boosting Zuckerberg's wealth by $47.3 billion this year, while Tesla shares have plummeted nearly 40%, causing Musk to lose $55.2 billion.The stark contrast in company performance has significantly shifted their financial standings, with Zuckerberg's wealth heavily tied to Meta Platforms and Musk's spread across multiple ventures.Despite their competitive past, including a proposed but never realized cage match, their fortunes are now diverging sharply due to differing business outcomes.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

Thursday is upon us as we talk about another EV-only carmaker announcing layoffs. We also talk about Ford’s new model year for the F150 Lightning, as well as a potential standard-setter for employee AI training. Show Notes with links:It seems Tesla isn’t the only non-Dealership model EV maker laying off staff as Rivian is making its second round of job cuts this year, impacting about 150 support and back-office roles to align with market demands.This decision follows a 10% reduction in salaried staff earlier, targeting product and commercial EV teams, as the company faces high interest rates and production scaling issues.Rivian aims to achieve gross margin positivity by year-end, despite current economic headwinds and reduced consumer demand for EVs.In an emailed statement, Rivian said, ““We continue to work to right-size the business and ensure alignment to our priorities. This was a difficult decision, but a necessary one to support our goal to be gross margin positive by the end of the year.”Earlier this week, Tesla’s Elon Musk said on Twitter that laying off 10% of their staff was an action that needs to be done every five years or so to align the company for the next stage of growthAs the model year cycle ticks another year forward, Ford is opening online orders for the 2024 model of the F150 Lightning, featuring new tech enhancements and reduced pricing.Following a temporary stop-ship for quality checks Ford has shipments of the 2024 F-150 Lightning from its Rouge Electric Vehicle facilityThe starting The electric pickup starts at just over $54k for its Pro model and has also seen price reductions up to $5,500 on select trims, with the new Flash trim now starting at $67,995 featuring the highest range available at 320 milesEnhanced features include convenience features like a charging display that estimates time to finish, a Vapor Heat Pump System for improved efficiency, and expanded access to Tesla’s Supercharger network.IKEA is potentially setting a new benchmark in employee development with a comprehensive AI literacy initiative aimed at equipping its workforce with essential skills to navigate the evolving AI landscape.IKEA has launched AI literacy training targeting 3,000 co-workers and 500 leaders to foster a deep understanding of artificial intelligence within the organization.The training includes courses like AI Fundamentals and specialized programs on Generative AI and Responsible AI and Algorithmic Training for Ethics.IKEA introduces 'Hej Copilot', an AI tool developed with Microsoft, enhancing productivity by assisting employees with various tasks."Our vision is clear. It’s about enhancing the capabilities of co-workers through technology," states Parag Parekh, chief digital officer at IKEA RetailHosts: 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

It’s a notable Wednesday as a looming UAW vote at the Chattanooga VW plant gets under way. We’re also talking about a new set of “trust principles” regarding autonomous vehicles, as well as a brand collab between Carvana and pro gaming. The voting begins this morning to determine whether or not to unionize the VW plant in Chattanooga.  In a dramatic move yesterday, Southern governors issued cautioning statements directed at the 4300 auto workers at the plant, warning that  voting for UAW union representation could threaten their jobs.Southern governors from Tennessee, Alabama, Georgia, Mississippi, South Carolina, Texas have publicly opposed the unionization, linking it to potential job risks and investment losses.This union drive is part of the UAW's broader strategy to organize nonunion auto factories across the South, affecting nearly 150,000 workers.Volkswagen has expressed neutrality, respecting the workers' right to a democratic vote and ensuring privacy in the voting process.Tennessee Governor Bill Lee said, "We are seeing in the fallout of the Detroit Three strike with those automakers rethinking investments and cutting jobs. Putting businesses in our states in that position is the last thing we want to do."In a call back to 2019, it looks like autonomy may be in the sights of industry experts and culture as yesterday the Autonomous Vehicle Industry Association (AVIA) published their “Trust Principles.”Self-driving cars like those from Cruise and Waymo have contributed to a growing public skepticism, following several troubling incidents including accidents and traffic disruptions.AVIA aims to enhance community relations and educate the public about AVs, planning to establish a national council with law enforcement and first responders to improve emergency situation responses.Recent events underscore the urgency of building trust; a Cruise vehicle in San Francisco was involved in a serious incident last October, raising concerns over safety and transparency.The industry's broader challenge includes distancing itself from systems like Tesla’s Full Self-Driving, which are often confused with fully autonomous technologies.Carvana is collaborating with NRG and Rocket League influencer Musty for a unique giveaway, offering gamers a chance to win a Tesla Model 3, blending the excitement of esports with a high-stakes prize.Musty will personally deliver the Tesla to the winner, enhancing the connection between virtual gaming achievements and tangible rewards.The giveaway follows the successful Carvana | NRG Combine event, which highlighted emerging talent in the esports arena and awarded a $10,000 prize and a content creator contract.Carvana's Ryan Keeton and NRG's Brandon Tortora emphasize their commitment to memorable experiences and further engaging the esports 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

Today we’re talking about GM’s HQ move after 50 years. We also talk about Carmax’s major reduction in the customer return window, as well as an unintended acceleration issue with the Cybertruck. Show Notes with links:General Motors is relocating its headquarters from the iconic Renaissance Center to the newly constructed Hudson's Detroit skyscraper, heralding a major shift in Detroit's downtown development and GM’s operational focus.GM is planning its move to a 404,000-square-foot office space in the Hudson's Detroit project by 2025.The future of the Renaissance Center, Detroit's iconic complex since the 1970s, is now under review for potential new uses as GM did not announce plans to sell the property. This relocation reaffirms GM’s commitment to Detroit, aligning with the city's broader downtown revitalization efforts led by billionaire Dan Gilbert."Together with Bedrock, the city and the county, we are reimagining the Renaissance Center for its next chapter," says GM CEO Mary Barra.CarMax is reducing the time customers have to return purchased vehicles. Starting May 12, the window for vehicle returns and refunds will be shortened from 30 days to 10 days.CarMax is modifying its Money Back Guarantee to 10 days, a significant reduction from the previous 30-day window.This change will take effect on May 12, but CarMax will honor the 30-day return period for vehicles purchased on or before May 11.The decision to shorten the return period is a response to "experiential headwinds" affecting customers and associates, as noted during CarMax's fourth-quarter earnings call.CarMax CEO Bill Nash said during the company's fourth-quarter earnings call, "A lot of our customers take advantage of it well before the 30 days. You get past the 10, some people are just working the system."Tesla has temporarily stopped deliveries of the Cybertruck due to an unforeseen accelerator problem, causing significant inconvenience for customers awaiting their vehicles.Tesla notified a client, “We have just been informed of an unexpected delay regarding the preparation of your vehicle. We need to cancel your delivery appointment on Sunday and we will reach out again when we’re able to get you back on the schedule. We apologize for the inconvenience and look forward to hosting your Cybertruck delivery soon!”Tesla is pausing Cybertruck deliveries, informing customers of an unexpected delay linked to vehicle preparation issues.A buyer reported on the Cybertruck Owners Club that the halt is due to a recall for an accelerator issue, although Tesla has not confirmed this.A video surfaced on TikTok highlighting a potential safety hazard with the Cybertruck’s accelerator pedal, involving excess lubricant causing the cover to slide and jam.Tesla plans to resume deliveries on April 20, but the ongoing issues may impact future delivery schedules.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

Tax day is exciting enough, but what’s better than starting the second half of the month on a Monday? Today we’re talking about how the remaining Fisker Dealers are feeling as well as Ford and Tesla’s tennis match.Show Notes with links:Despite Fisker ongoing financial troubles and a significant drop in stock price, the few remaining dealers like Fisker Indianapolis and Fisker Albany are staying positive and continue selling the Ocean crossover.Recent price cuts of nearly 40% on the Ocean model have spurred customer interest and sales, with Fisker Indianapolis reporting successful deliveries to out-of-state customers.Remaining Dealers are hopeful for the future, citing the Ocean's affordability and positive customer feedback on the vehicle's performance and design.Val Ranguelov, dealer principal at Fisker Albany in New York said, "As of now, we're still moving cars. Time will tell what happens. I love the car, it's very solid and very well-built. We just hope for the best."Classic Fisker of Atlanta continues to list Ocean inventory online. However, other early partners like Mills Automotive Group and Ourisman Automotive Group are distancing themselves from Fisker, reflecting varied dealer confidence in the brand's future.The OG empire is striking back as Ford introduces a $1,500 "Tesla Competitive Conquest Bonus Cash" rebate specifically targeting Tesla owners for the purchase of an F-150 Lightning or Mustang Mach-E to boost their EV sales.Any owner of a Tesla vehicle from 2008 or newer is eligible for this incentive, without the need to trade in their current vehicle.Ford is offering substantial discounts across various trims of the F-150 Lightning up to $12,500 as part of a broader strategy to enhance its competitiveness in the EV market.An entry-level Mach E starts around $38k with the added Tesla incentive cash"This incentive is available through July 8 for both the 2024 and 2023 model years, as we aim to attract Tesla loyalists and expand our customer baseMeanwhile, Tesla is deploying a dual effort of both slashing subscription prices and global layoffs in an effort to remain competitive as its Full Self-Driving subscription prices in half in the U.S. and Canada to $99 per month. Simultaneously, Tesla has announced layoffs exceeding 10% of its global workforce, impacting potentially 14,000 employees as it aims to eliminate role duplications and prepare for future growth phases. This includes a reduction in production shifts and a strategic pause in some manufacturing locations.Tesla is facing a rare year-over-year sales drop, particularly in China, where local EV makers are expanding rapidly.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

We're only 31 days away from ASOTU CON on this Saturday, and writers Chris Reeves and Kristi Canada join the show to share some More Than Cars Moments.Walser Polar Mazda got to hear from Will Guidara about the ideas of Unreasonable Hospitality and went back to their store and start implementing everything they learned. Shout out to Dayna Kleve for sharing the story with us!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

We’re rounding the track on Friday as we cover CarMax’s latest bumpy road. We also talk about Ford’s truck wave as well as a massive nine figure trick shot from creators Dude Perfect. Show Notes with links:CarMax is facing significant headwinds amidst high interest rates and fewer cars purchased directly from customers. The company reported a marginal increase in comparable store used-car unit sales of 0.1% for Q4, underperforming against analyst expectations of 0.36% growth.Net income for the quarter fell by 27%, sharply contrasting with analysts’ forecasts of an 8.4% increase, leading to a 13% drop in CarMax shares.High interest rates have deterred buyers, pushing them towards newer and more affordable cars, exacerbated by a supply shortage of newer used cars, which isn't expected to improve until late 2025.CarMax has focused on preserving profitability rather than market share expansion, with CarMax Auto Finance seeing a 19% growth in income due to reduced loan loss provisions.Originally planning to hit the 2M cars per year mark by 2026, the company has now pushed that target out to 2030"Affordability will be the key driver of our future success," noted CarMax executives, as the company revises its vehicle sales targets amidst ongoing economic challenges.Ford has announced it will finally be shipping 144,000 redesigned F-150 and Ranger pickup trucks to North American dealers, following a quality assurance delay.The automaker is also resuming shipments of the F-150 Lightning electric trucks, with price cuts on some variants by up to $5,500.Originally Initiated due to past warranty costs ($4.8 billion in 2023), this cautious approach was intended to avoid electronic issues detected in pre-shipment inspections.These shipments are pivotal for Ford to meet its ambitious 2024 pre-tax profit goal of $10 to $12 billion, reinforcing confidence expressed last monthAnd for the $100 million dollar trick shot, YouTube sensation Dude Perfect is scoring a massive investment to expand their empire into a Texas-sized headquarters and beyond. With plans to transform digital fun into a family-friendly destination, the group is setting up to score big, not just online, but in real-world entertainment, merch, beverages and beyond.The investment will fund a new headquarters in Frisco, Texas, featuring a trick-shot tower, museum, mini-golf, and more, aiming to create a family-friendly entertainment hub.Initiatives include an international tour, a new streaming app, and an ESPN "30 for 30" documentary premiering on April 25.Known for their faith-based mission and philanthropic efforts, Dude Perfect continues to focus on "serving families with the most trusted entertainment on earth."Dude Perfect Member, Cody Cotton said "This partnership will help us transform digital experiences into tangible ones for families," 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

It’s Thursday and we’re going to review the recent Kain Friends and Family event in Lexington, KY. We’re also talking about the continued pricing pressing on car insurance, as well as a revealing look at a teardown of the Tesla CybertruckShow Notes with links:Kyle to give summary of what he observed, learned at Kain Friends and FamilyJust as car buyers breathe a sigh of relief from decreasing vehicle prices, a new hurdle is emerging—skyrocketing insurance rates. Darin Davis's experience epitomizes this shift, as his insurance for a 2024 Cadillac XT4 nearly doubled upon renewal.Car prices drop as pandemic-related supply chain issues resolve, but insurance costs surge due to repair complexities and climate-induced damages.Auto insurance rates have soared by 22.2% over the past year, marking the largest increase since the 1970s, contrasting with the stabilization of vehicle prices.Darin Davis, a 56-year-old from Dallas, felt the sting of rising insurance costs when the rate for his new 2024 Cadillac XT4 nearly doubled at renewal. This unexpected increase dimmed his excitement over the car, making him reconsider his vehicle choice due to the financial strain."It takes the fun out of owning a new car when you’re paying so much money," reflects Davis on the unforeseen hike in his car insurance rate.The Tesla Cybertruck's design continues to both intrigue and baffle, with a new teardown revealing a massive but oddly half-full battery pack. This discovery raises questions about Tesla's engineering choices and the vehicle's efficiency.Sandy Munro's preview of a Tesla Cybertruck teardown unveils a surprisingly empty battery pack, despite its large 123 kWh capacity.The Cybertruck's range has fallen short in tests, with independent evaluations showing only 254 miles, and potentially as low as 200 miles under certain conditions.Speculation arises on whether this design choice aims to reduce weight or reflects Tesla's cost-cutting strategies, with an upcoming bed-mounted range extender expected to add significant range at the expense of cargo space.One lead Cybertruck engineer responded to the findings on X, responding “Looks half full to me.”, yet. 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

Welcome to Wednesday as we talk about GM’s Cruise staging a comeback. We also talk about the tension around the only active lithium mine in the US, as well as the potential return of the cubicle (yeah, those things). GM's Cruise driverless fleet is steering its way back into action with a human touch. After a high-profile suspension, they're hitting the road in Phoenix with human-driven vehicles for data collection, signaling a cautious return to their autonomous ambitions.Aiming to rebuild trust, the initiative marks a tentative step towards resuming fully autonomous operations in collaboration with cities, after a suspension triggered by safety concerns and regulatory actions following a series of incidents, including a significant accident in San Francisco.Amid ongoing Justice Department and SEC investigations into the handling of a past accident, Cruise emphasizes progress in safety protocols and a commitment to earning back public trust.Despite setbacks, Cruise remains optimistic about the future of autonomous driving, touting its potential to enhance safety and reduce accidents.Nevada's lithium demand is drying up its water sources. As the Silver Peak mine expands and new players enter, the race for this vital battery component is challenging the arid state's limited water reserves.Nevada's Clayton Valley, home to the U.S.'s only active lithium mine, faces growing competition for water amid a lithium mining boom.Local residents and environmental advocates are expressing deep concerns about the mining's impact on water resources, with fears that increased lithium mining could deplete already scarce water supplies in Nevada's arid environment, affecting both communities and ecosystemsWater rights disputes are intensifying as Albemarle claims almost all groundwater, crucial for lithium extraction, leaving little for newcomers.Sustainable water use is questioned, with current aquifer volume estimates outdated, raising concerns about environmental impacts.Direct Lithium Extraction (DLE) technology could offer a less water-intensive solution, but water rights remain a contentious issue.Remember those cubicles? They might just be making a comeback as millennials, once critics of this office staple, are discovering their hidden value. A Business Insider article highlights Sydney Baker, a 27-year-old millennial, who shares how her cubicle became a blend of personal sanctuary and social hub.Baker initially viewed cubicles as outdated, only to find them offering a unique blend of privacy and personalization but now appreciates the cubicle's ability to balance sociability with focus, although maintaining concentration can be challenging amidst the office buzz.Decorating her cubicle transformed it into a personalized and inviting workspace, debunking the myth of dreariness.The shift towards a hybrid work model post-pandemic has highlighted the importance of flexibility and work-life balance, making cubicles a surprisingly fitting choice for the modern worker.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

It’s Tuesday and we’ve got special guest Steve Greenfield to give us his hot takes on the Top 150 Dealer list as well as Tesla’s decision to halt its low cost EV. We also talk about the Arizona Attorney General’s ruling against one Dealership for not honoring advertised prices, as well as a look inside yesterday’s special Delta eclipse flight. Show Notes with links:Greenfield’s takes on:Top 150 Dealership listTesla’s alleged decision to halt production of low-cost EVDesert Toyota in Tucson, Arizona, agrees to a $60,000 settlement for not honoring advertised vehicle prices, the Arizona Attorney General's Office reports.The dealership allegedly left out mandatory accessory costs and reconditioning fees from online prices.Items such as exterior protective coating, door edge guards, door cups, and window tint, as well as additional undisclosed reconditioning expensesAttorney General Kris Mayes stressed that advertised prices must include all mandatory add-ons.Desert Toyota did not admit wrongdoing but opted to settle to resolve the matter: the settlement is made up of $40,000 in civil penalties, $10,000 for consumer restitution, and $10,000 in legal fees and costs.Desert Toyota must now include all mandatory fees in advertised prices and preserve price-quoting customer communications for a year.This case highlights broader regulatory efforts against auto retail deceptive practices, including the FTC's proposed rules on pricing transparency.Desert Toyota did not admit wrongdoing but opted to settle to resolve the matter.Yesterday, $6B worth of consumer spending hit the market due to the total solar eclipse and Delta Air Lines jumped in on the action offering a special flight from Dallas to Detroit, aligning with the solar eclipse's path, providing passengers with a once-in-a-lifetime experience from 35,000 feet.Passengers, including excited children and Delta employees, were treated to a pre-flight party at Dallas Fort Worth International Airport, complete with a celestial-themed balloon arch and music, they received “Warby Parker” brandedl eclipse-viewing glasses, and goodie bags with themed apparel and snacks like Moon Pies and Sun Chips awaited passengers aboard the Airbus A321neo.The flight aimed to maximize the time in totality, adjusting its path allowing passengers on both sides to view the eventThe flight ended in Detroit with a celebration, featuring astronaut Scott Kelly, who highlighted the rarity of the experience even for seasoned travelers.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

Welcome to quite an eventful Monday as we not only take a first look at the Automotive News Top 150 Dealer list, but also dig into a he-said-she-said about Tesla’s affordable vehicle, as well as a quick primer on today’s eclipse frenzy. It’s finally released, from the AN article:  “The Automotive News top 150 dealership groups collectively sold 3,764,272 new vehicles in 2023, representing a 24.1 percent share of the industry's total retail sales of 15,614,328. In 2022, the groups on the list sold 23.3 percent of the industry's retail sales, or 3,231,490 of the industry's 13,865,803 vehicles sold.Represented at ASOTU CON so far:1. Lithia 2. Autonation 4. Group 1 16. Ourisman 26. Walser 59. DGDG 84. Sam Pack 87. CMA Is Tesla's $25k car dead? Amidst escalating competition from budget-friendly Chinese EVs, Tesla is reportedly canceling its long-awaited affordable car project, pivoting the focus towards the development of autonomous robotaxis.Tesla abandons plans for a $25,000 vehicle, a key part of Elon Musk's vision for mainstream EV adoption, in favor of focusing on self-driving robotaxis.The decision marks a significant shift from Tesla's initial strategy to use luxury model profits to fund more accessible EVs for the average consumer.Despite Musk's dismissal of Reuters' report as "lying," Tesla shares fell 3.6% at market close, with a brief recovery following Musk's announcement of a Tesla Robotaxi unveil on August 8.Tesla's decision was informed by discussions in a large employee meeting in late February, communications from an unnamed program manager about halting the affordable car project, and a fourth individual optimistic about the strategy pivot. These were backed by messages and company communications seen by Reuters, highlighting internal deliberations and directionsBusiness is booming across a swath of the US thanks to today's total solar eclipseToday's total solar eclipse, visible across North America, is likened to a celestial blackout event, promising an early afternoon spectacle from Texas to Maine, not to be repeated in the US until 2044.The eclipse is anticipated to boost the US economy by $6 billion, with millions treating the event as a major holiday, rivaling the financial impacts of major events like Taylor Swift’s Eras Tour and the Super Bowl, as cities along the path of totality prepare for an influx of visitors and businesses roll out themed promotions.Notably: Indianapolis is preparing for 500,000 visitors—more than 7x the attendance of the Super Bowl it hosted in 2012.Niagara Falls expects to host up to 1 million people for the eclipse. It typically gets 14 million visitors…throughout the entire yearCompanies are rolling out eclipse-themed promotions, such as Delta’s two flights that track the path of totality.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

Welcome to the first Saturday of April! Writers Chris Reeves and Kristi Canada join the show to share their favorite 'More Than Cars' stories from the week.Today we're highlighting the story of Service Director John Frazier (friend of ASOTU) caring uniquely for a poor customer experience.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

It’s the first Friday of the Month and we’re talking about another OEM’s return to stair step incentive programs. We also talk about Ford’s throttling back on some new EV truck models, as well as GenZs propensity for financial responsibility. Ford is the next OEM to get back on the stairmaster as it reactivates stair-step incentives to boost F-150 sales, stirring up a mix of concern and strategic maneuvering among dealers.The program applies to certain 2023 models, including gasoline, hybrid, and Lightning variants, aiming to move inventory as 2024 models face delivery delays.Critics argue stair-steps erode trust and create pricing confusion, with calls for transparency and direct incentives to customers.Dealerships earn $750 per truck if they meet their monthly sales target, $1,000 per truck for reaching 120% of the target, and in February and March, the incentive was $1,500 per truck for surpassing the target by 120%.Nick Anderson, general manager of Chuck Anderson Ford in Excelsior Springs appreciates the help to move vehicles but has deeper concerns about causing more customer confusion:"My main goal is for the customer to 100 percent understand everything," Anderson said. "When manufacturers have these hidden offers that the dealership is aware of but the customer doesn't understand, I think it hurts the relationship between the consumer base and the dealer body. Manufacturers are never really on the hook to explain anything."Ford has postponed the debut of new electric SUVs and trucks in North America, delaying the launch of three-row EVs in Canada to 2027 due to a global dip in EV demand and to await market development and advancements in battery technology.Tennessee's new electric truck production pushed to 2026, aiming for gradual quality-driven output increase.Amidst financial losses in its EV segment, Ford focuses on integrating hybrid options across its gasoline vehicle range."We are committed to scaling a profitable EV business, using capital wisely and bringing to market the right gas, hybrid, and fully electric vehicles at the right time," says CEO Jim Farley.Gen Z is defying the financial stereotypes inherited from their predecessor Gen Y, as nearly 80% reject the notions of 'doom spending' and 'soft saving' as reflective of their financial behaviors, according to a Cleo survey."Doom spending" refers to the act of excessively spending money as a way to cope with economic or financial stress.Inflation has prompted nearly 4 in 5 Gen Zers to adapt their spending, emphasizing their proactive approach to financial management.Notably, 30% of Zoomers (ages 16-27) have started saving even before adulthood, showcasing early financial responsibility.Cleo's survey reveals that 41% of Gen Zers completely disassociate from 'doom spending’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

It’s Thursday and we’re talking about GM’s big power plant open in a Tennessee town. We also talk about the pricing and specs on the upcoming launch of the Silverado EV, as well as give you the need-to-know details on Monday’s full solar eclipse. Show Notes with links:GM kicks off EV battery production at its Ultium plant in Tennessee in a major leap forward in the automaker's electrification strategy.This is start of production at the second of four planned joint venture battery plants in the U.S., enhancing GM's EV manufacturing capabilities.The batteries produced will first supply the electric Cadillac Lyriq at GM's nearby Spring Hill Manufacturing plant, with plans to extend shipments for broader EV production.At full capacity, the Tennessee facility will boast 50 gigawatt-hours, significantly bolstering GM's EV battery supply.GM's collaboration with LG Energy Solution combines operational and technological expertise, aiming to set new industry standards for battery cell production."This moment has been years in the making, and I'm grateful to the thousands of contractors, community partners, and team members who have worked tirelessly to make this moment a reality," said Chris Desautels, Spring Hill plant director.Chevy's Silverado EV RST First Edition is going to hit the market mid-2024, boasting a 440-mile range at a starting price of $96,495. Longer range than initially estimated, up from 400 to 440 miles, with a reduced starting price from $106,895.Features include a 17-inch infotainment screen, Super Cruise technology, and capability for 350 kW fast charging.Power stats impress with 754 hp and acceleration from 0 to 60 mph in just 4.5 seconds, plus towing up to 10,000 pounds."It's a significant leap forward in EV technology, providing remarkable power and range that sets a new standard," Chevy remarked.Monday’s, solar eclipse is set to be historic, attracting millions and potentially causing some historic traffic jams and flight delays. If you are in the path of the ‘so called’ Totality…here's what you need to know:The eclipse path will span across the U.S. from Texas through states including Oklahoma, Arkansas, Missouri, Illinois, Kentucky, Indiana, Ohio, Pennsylvania, New York, and into New England, covering Vermont, New Hampshire, and Maine.An estimated 32 million reside in the path of totality, with millions expected to travel, prompting warnings from the Federal Highway Administrator about travel impacts.AAA advises keeping headlights on, not using eclipse glasses while driving, and avoiding stopping on roads to watch the eclipse.The last total solar eclipse in 2017 saw rural interstate traffic congestion lasting up to 13 hours post-event."Pack your patience," says AAA, urging preparedness for crowded roads and recommending a full tank of gas or electric charge.Viewing conditions vary by location, with the northeast offering the best chance of clear skies for the eclipse.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

Q1 numbers are rolling in and the reports are mixed…go figure. This Wednesday we are also looking at some cultural broad strokes, including the stark gender gap in EV purchase behavior and GenZ returning to college-less skilled trades.General Motors' sales dipped in Q1, contrasting with Toyota and Honda's robust gains, signaling shifting market dynamics. General Motors' sales in the U.S. faced a downturn in Q1, with only the Buick brand showing an upward trend. GM cited lower fleet shipments as a reason for the decline, though retail volumes saw a 6% rise.Toyota and Honda experienced significant sales growth, driven by strong demand for hybrids and an increasing inventory.Toyota's sales leapt 22% in March, with substantial increases across car and light-truck categories.Honda reported a 15% increase in volume at the Honda division, with car sales outpacing light-truck sales.Inventory sits at 1.7M new vehicles, up 39% from 2023, while avg incentives per vehicle increased 67% YoY to $2800, according to JD Power.New car avg prices are down to $44,186, with only 16% of vehicles in March selling over MSRP, down from 31% in March 2023.Despite the growing appeal of electric vehicles (EVs), a noticeable gap exists in their adoption among women, driven by design and safety related concerns including range anxiety and designs for taller people. Kate Harrison, co-founder of MoveEV, is working to highlight the need for the industry to address these disparities and create more inclusive experiences.Range anxiety, safety concerns at remote charging stations, and the high initial cost of EVs deter women, alongside a lack of awareness about EV benefits.Initial designs like the 2017 Tesla Model S seemed tailored for taller individuals, posing comfort issues for women, unlike the more accommodating 2024 Model Y.Men comprise 67% of EV buyers, with only 34% of women considering an EV for their next vehicle, pointing towards a significant gender gap in EV adoption.Harrison emphasizes the cost-saving and environmental benefits of EVs, urging for greater female participation to not miss out on these advantages.The allure of the skilled trades is capturing the interest of Gen Z, marking a pivotal shift from traditional college pathways as competitive salaries and the incorporation of technology are making trades like construction, welding, HVAC, and automotive increasingly attractive.As college enrollments decline, vocational training programs see a 16% increase, with construction trades and HVAC programs gaining popularity.The median pay for new hires in construction trades rose to $48,089 last year, outpacing the $39,520 earnings of professional services roles, showcasing the competitive earning potential in skilled trades.While nearly 80% of young respondents in a survey faced parental pressure to pursue college, the same group sees greater job security in the skilled trades.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

The week is in full swing and Q1 results are starting to hit the news cycle. We take a look at BYD’s possible slide in Q1, Ford’s journey back to the discount aisle, and how big brands have leveraged the April Fools moment over the years.China's BYD reports a significant first-quarter sales dip in 2024, indicating a possible shift in the global EV market leadership back to Tesla, amidst intensifying price wars and changing market dynamics.BYD's first-quarter sales plummeted by 43% QoQ, while Tesla’s sales are expected to only fall by 5%, potentially relinquishing its status as the world's leading EV seller to Tesla.Despite a year-on-year increase, the dramatic quarterly drop hints at Tesla's enduring dominance and the impact of competitive pricing in China.Tesla's consistent performance, coupled with a strategic price war in the Chinese market, underscores the intense rivalry between the two EV giants.Ford’s strategic price reductions on the 2023 Mustang Mach-E have ignited sales and slashed inventory, spotlighting the critical balance between EV affordability and manufacturer profitability.Ford's discounts of up to $8,100 on 2023 Mustang Mach-E models have spurred sales, addressing the challenge of EV affordability. Despite these efforts, each sale still incurs a loss for FordIn February, almost 3K Mach-E’s had sold, up 64% YoYSince the introduction of discounts, the Mach-E's inventory movement has nearly tripled, though its turn rate of 33% still lags behind the industry average of 45%."We are getting a lot of customers who were always interested in an electric product but saw it as unaffordable," said Doug North, owner of North Brothers Ford.From left-handed Whoppers to Velveeta night cream, history has seen its fair share of big brands taking part in the every popular April Fools games."In nationwide surveys, coffee drinkers told researchers the No. 1 complaint they have about their beloved drink is the way it stains," — Caribou Coffee, revealing the spoof behind Caribou Clear coffee (2014).Some fun ones:The Taco Liberty Bell (1996): Taco Bell fooled many by claiming to buy and rename the Liberty Bell, sparking a national stir.Left-handed Whopper (1998): Burger King's prank aimed to cater to left-handers by rotating all condiments 180 degrees for easier handling.Warby Barker (2012): Warby Parker's spoof claimed to launch a line of eyewear for dogs, complete with an Instagram account for adorable, bespectacled canines.Caribou Clear coffee (2014)Saucony changes name to Sock-a-knee (2023)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

Happy April 1st as we roll into a fresh week, fresh month, and fresh quarter all at the same time. Today we’re talking about landing Elon Musk as a special guest. We also ask what we have learned as an industry about inventory levels, as well as looking back on 20 years of Gmail. In a decisive stance against e-commerce giant Amazon and competing OEMs like Hyundai, Toyota President Jack Hollis voiced a resolute "no" to selling cars on the platform at the Automotive Forum New York. Here's why Toyota is charting its own digital path:Hollis emphasizes the risk of bypassing Toyota's established dealership system, calling it “a completely divergent path”, advocating for direct engagement with consumers through traditional channels.Introduced in 2019, these digital retailing tools developed for Toyota and Lexus are continually refined based on dealer feedback, ensuring a tailored, seamless customer experience.Toyota commits to enhancing the digital buying experience within its ecosystem, prioritizing the integration with dealership management systems and safeguarding customer privacy.Quote from Jack Hollis: "For us to take the dealer's input and provide it so they have a tool to make it seamless for you, the customer — that, to me, we're all in on."Inventory has been a hot topic in the industry and questions still loom whether OEMs can learn from more stringent inventory levels or whether flush inventory will return.New-vehicle inventory last month reached 2.8 million vehicles, a 78-day supply, according to Cox Automotive, up about 1 million vehicles from where it had stood a year earlier.Tight inventories during the pandemic led to a significant increase in industry profits, reaching $55 billion in annual dealer profits in 2022.Despite the potential benefits of lean inventory management, factors like dealer competition and manufacturing overcapacity suggest this success may be hard to replicate.J.D. Power analysis reveals a direct correlation between inventory levels and dealer margins, highlighting the profitability of operating with fewer vehicles to sell.Automakers and dealers expressed intentions to maintain lower inventory levels, but the return to pre-pandemic inventory and incentive levels seems inevitable."We've learned [as an industry during the pandemic] that we can operate at lower inventory levels," said Tyson Jominy, vice president of data and analytics at J.D. Power.20 years ago, Gmail burst onto the scene with an unbelievable offer: 1 gigabyte of free storage, revolutionizing email and quickly becoming a cornerstone of our digital lives. Now, with over 1.2 billion users, it's a staple, yet many wonder about its future role amidst evolving online communication tools.Despite its success, Gmail's role in daily communication has shifted, with platforms like Slack and WhatsApp taking precedence.Over the years, Google enhanced Gmail with features like better search, themes, and smart replies, though its essence remains largely unchanged.Gmail has evolved beyond a mere email service to become a crucial part of our online identity, critical for accessing various online serviHosts: 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

Welcome to the fifth Saturday of the month. Today, Jordan Cox, Nathan Southwick, Chris Reeves and Kristi Canada reflect on the busy week around the ASOTU-verse, focusing on the Will Guidara interview and the More Than Cars Episode 3: West Herr Premiere.Watch the episode hereHosts: 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

It’s a magical fifth Friday before a fifth Saturday and we’re ready to roll as we talk about the anticipated strong end to the month. We’re also covering the latest M&A report from the Presidio Group, as well as checking in on our old friend, the Costco Hot dog, Soda Combo. March is on track to be a standout month in auto sales, the strongest in three years, with sales volumes expected to exceed 1.4 million vehicles. This surge is fueled by higher incentives and increased inventories, keeping consumer interest high as the spring selling season kicks off.Sales volumes are estimated to surpass 1.4 million vehicles in March, a 5-6% increase from last yearQuarterly sales are expected to hit 3.76 million, up 5.5% year-over-year"Consumers are still shelling out cash for new vehicles," says Jeff Schuster from GlobalData, highlighting the impact of inventory availability and incentives on mitigating price increases.Mixed results are anticipated across automakers due to inventory challenges faced by Japanese brands last year. Toyota, Honda, and Mazda may see 14-22% gains, whereas Stellantis, GM, and Hyundai could face losses.Average transaction prices fell to $47,244 in March, a 2% decrease from last year, with electric vehicle days' supply dropping significantly from 159 to 114According to a new report by M&A firm, The Presidio Group, Dealership values are experiencing a noticeable adjustment as vehicle supplies rise, and profit margins begin to normalize post-pandemic. The market demands increased operational efficiency to sustain profitability.Strategic Insights on Profitability: With a 20.4% decline in net pretax profit across the board in 2023, dealers are encouraged to focus on operational efficiencies, customer experience, and innovation in dealership management to navigate the changing tides.The latest Presidio Dealer Direction Survey reveals a pragmatic outlook among dealers. While recognizing the challenge of declining profitability, dealers also see opportunities for growth and acquisition, reflecting a resilient and forward-looking industry mindset.Even though dealers are in agreement that profits will continue to drop over the next 12 months, they are still optimistic on the reality that profitability is staying above pre-pandemic norms as the average dealership’s net pretax profit last year was still more than 2.5 times 2018’s level, according to a Presidio analysisIn this world where inflation nudges prices upward across the board, we must ask, “Where is the pricing on Costco hot dogs going?”  Nowhere. Costco leaders say the company is holding its famous hot dog-soda combo at the remarkably stable price of $1.50. As the company continues to defy inflation, the combo would cost $4.50 at this point if adjustedSpeaking about the $1.50 price of the hot dog deal in a recent interview, Richard Galanti, Costco’s long-standing finance chief who retired this month, said it was “probably safe for a while.”Last year the company sold over 130M hot dog combosHosts: 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

It’s a throwback Thursday today as we have JC in the house and we reflect on Volvo’s diesel legacy. We’re also talking about Fisker lowering MSRP on its troubled Ocean SUVs and the way AI is changing the video game.Show Notes with links:After 45 years and over 9 million diesel vehicles produced, Volvo bids farewell to diesel, a powertrain that once constituted half of its global sales between 2012 and 2016.The final diesel model, an XC90 SUV, has rolled off the production line in Torslanda, Sweden, destined for the World of Volvo museum as a relic of the past.With the Torslanda factory's transition to electric motor production, Volvo aims to transform into an electric-only automaker by 2030, leading the charge among legacy car manufacturers.Former CEO Håkan Samuelsson highlighted the strategic shift away from diesel towards electric vehicles as a commitment to "invest in the future – electric," amidst a declining diesel market in Europe.Fisker is making a daring move to slash prices on its 2023 Ocean models in an effort to boost sales and attract more customers to its electric vehicles. Here's what's happening:Fisker reduced the MSRP of its Ocean Extreme trim by 39%, from $61,499 to $37,499, aiming to make it a more attractive option in the competitive EV market.The price cuts extend across the board, with the Ultra and Sport trims seeing reductions of 34% and 36%, respectively, highlighting Fisker's commitment to affordability.This pricing strategy emerges amidst financial challenges, including the collapse of talks with a potential automaker partner and a warning of delisting from the New York Stock Exchange due to the company's low share price, which may trigger debt defaults.Sora, OpenAI's AI video generator, has swiftly become a focal point in AI-driven content creation, showcasing the vast potential of AI in enhancing artistic expression.Professional creatives, including directors and musicians, have been given early access to Sora and produced content that transcends traditional boundaries, highlighting the technology's role in democratizing high-quality video production.Videos show surrealistic scenes, like robots dancing amidst trash, new breeds of animals like a half fox/half bird and a half whale/half octopus, and the odyssey of the Voyager's golden record through space, showcasing Sora's capability to bring the unimaginable to life.Despite Sora's promising applications, concerns about the source of its training data and the ethical implications of AI-generated content linger, casting a shadow over its widespread adoption.Another question is how much generating AI video with Sora will cost, with some estimating around $100 per 1 minute of generated video"When you're not replicating the old but bringing life to new and impossible ideas, that's when Sora becomes most powerful," shared filmmaker Paul Trillo, emphasizing the innovative spirit that Sora embodies.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