The 2009 Cash for Clunkers program was found to have a better impact on new car sales, the automotive job market and the environment than was previously thought, and did not have nearly the impact on future sales that the industry experts had originally predicted. According to a year long study conducted by Maritz Automotive Research Group determined the outcome from Cash for Clunkers, or the CARS programs was actually very positive in many areas, and largely responsible for the positive upward trend that the auto industry is still enjoying. The study included 36,000 CARS buyers in the study… Auto Industry News John Druien 2010-03-10 08:02:03 http://www.upshiftdigital.com/articles/article/45

Good news is coming for over 600 of the 2000 General Motors dealers that had received notice that they would be losing their franchise licenses when those licenses came up for renewal this October. Although GM would not commit to the exact number, several media sources are saying numbers between 601 and 661 dealers. As mentioned several months ago here, the letters contain some GM core business criteria and that following those actions will allow the dealers to immediately resume to business as usual. It was discussed in earlier articles that some of these criteria would help some GM… Auto Industry News John Druien 2010-03-08 07:44:41 http://www.upshiftdigital.com/articles/article/44

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 General Motors announced yesterday that the impending sale of the Hummer line to China's Sichuan Tengzhong Heavy Industrial Machines Co. will not happen. Allegedly, involvement from the Chinese government had an effect on the sale not proceeding. GM had been working to divest the line for approximately a year, and had considered several different options. The latest attempt falling through will result in the end of the Hummer brand. Exact date for the disappearance still to come.  

Odd news from the spring Consumer Report brand ranking issue with Toyota remaining the #3. In light of the numerous recalls and Toyota of North America's Jim Lentz appearing before the House investigation committee to attempt to explain that the acceleration problem expressed in multiple models had more to do with floor mats and gas pedals. Perhaps it is true that media overshare has created more hype than necessary for Toyota.

Although Toyota did retain their overall ranking, Consumer Report's did end up dropping a couple of their models following the recall and ultimately the suspension… Auto Industry News John Druien 2010-02-24 07:49:10 http://www.upshiftdigital.com/articles/article/41

Forbes.com lists the safest small cars of 2010, but some of them are receiving a couple of "acceptable" ratings, not good. What exactly does "acceptable" mean? Surprisingly, the Smart fortwo has made the list, in the category of the rear test rating. Seeing those vehicles on the street, makes me wonder just want was used to check that out? Other Smart or Hummer? http://tinyurl.com/safetyonforbes

Twitter, Facebook and other entry points into Social Networking are a point of concern for all dealers, including Toyota Dealers.  Everyone knows that they should be using the sites, especially the big two, and everyone realizes (ok most everyone) that marketing on Social Networking sites is a completely different strategy than traditional auto dealer marketing. And that is where is stops. Hours and hours of conversations with dealers from California to New Jersey shows that everyone agrees they need to have a page, but no one has a great idea on how to use those pages. They want to… Auto Industry News John Druien 2010-02-04 09:58:46 http://www.upshiftdigital.com/articles/article/38

Toyota is making some unprecedented moves in one of the most dangerous safety recalls affecting a large portion of their owners. Waking up to a news story several days ago surrounding the last words of a family’s 911 call as their Toyota vehicle began accelerating uncontrollably and ultimately smashing into an SUV and killing all four passengers onboard is a chilling revelation to exactly how bad the Toyota situation is. The original story was that in some vehicles the floor mats were catching the gas pedal and causing the drivers to lose control of the vehicles acceleration. That story seemed…

Let’s face it folks, we’re leaving a rough year for many in media companies and the automotive industry alike. 2009 saw many dealerships go out of business, auto companies downsize, and media companies lay off the wrong people. Therefore all that sadness and economic strife caused a lot of people to develop a fine whine. “Whoa is me” was the line of the year, I can’t sell any cars, my email leads are no good, what’s this social media stuff or how can I sell more with newspaper ads like it is 1984. If that was you, or everyone around…

Several days ago the statistics were released regarding 2009 dealership closings through the first 11 months of the year. The numbers, although staggering, should really not be surprising. And to people who deal with these stores on a daily basis, they are not surprising at all. Time and again, when dealing with stores that are still in operation in spite of themselves, it has crossed my mind that being in the dealer acquisition business, or to find use for empty buildings and paint for lease signs, might actually have some type of future.

So what are the numbers of stores…

The numbers are in from the Post Cash for Clunkers month that many were calling the “Hangover” month—which expected to show that automotive sales would plummet after all that free money. Those who read my blog religiously (and thank you for that) will remember that I did not think that C4C had completely depleted the pent up demand that was existing since the market started it’s downward slide last September. I felt, and feel, that the availability of eligible, and really all, new vehicles ran out before everyone that needed to buy a new car had actually done so.

The…

Article BodyIn late breaking news from Wednesday afternoon, The Penske Group (PAG) has halted their decision to take over the Saturn brand from GM. Penske stated that their decision was made as a result of being able to find companies to create product, outside of the contracted vehicles that GM had agreed to make. Penske had negotiated a contract with another, undisclosed, manufacturer to independent supply vehicles and parts. The Board of Directors of that other group voted against the agreement. Without an agreement, Penske did not feel it made sense to move on, there was too much risk of…

An interesting study by cars.com showing the results of the Cash for Clunkers program by buyers was published in Auto Remarketing Today. The program payouts are winding up now, with the government approving and/or paying out for 589,040 sales to the tune of $2.482 Billion. (and yes, the government is catching up as $2.157 Billion has actually been paid out) Interestingly enough, the program was very successful in sales to folks under 34 years old, that were not in the market for a car, but felt that the offer was simply too good to pass up. Of the under 34…

As GM works to build confidence back into their core brands, Chevrolet, Buick, GM and Cadillac, they have just announced their new 60 - day guarantee. If you don’t love your new GM vehicle, you can return it. So what are the details behind this event. So far, they seem pretty easy to understand. Any purchase, outside of medium duty trucks, can be returned from day 31-60, as long as the vehicle has less than 4000 miles. The program covers all 2009 and 2010 models, as long as delivery happens before November, 30th. The refund will include all vehicle cost,…

The deadline for the Cash for Clunkers program has been posted as 8pm EDT on Monday, August 24th. Over $1.9 Billion has been claimed for 457,000 deals. Some claim that this has not been a success, and that it simply robbed future purchases from the coming months. Although I was very skeptical about the program in the early days, spending countless hours in dealerships, and watching full showrooms on recently dull afternoons, I have changed my opinion. Of course there is the possibility that it has stolen a few future sales, but the pent up demand was so intense that…

Lots of information swirling around about the longevity of the Cash for Clunkers or Cars program (www.cars.gov). And it is causing confusion within the public sector and within the dealerships. Visiting several dealerships with week, it was exciting to actually see floor traffic again, and Internet departments are reporting higher than normal lead counts. But the questions are abounding, from everyone. Standing at the business desk for a while yesterday, I heard customer after customer and salesperson after salesperson come up and ask questions about eligibility, ordering vs. delivery, mpg guidelines etc. The key to the program is…

Interesting article on Forbes.com yesterday that discussing that $65 Billion will be pulled away from traditional advertising in 2009. The measuring stick used in the story, that $66 Billion is an annual TV aggregate spend, shows just how staggering the affect of interactive advertising has become.

Now where is the auto industry in all of this? Unfortunately, the former leaders of advertising strategy have been largely stuck behind a firewall of agency inability. For example, many auto dealerships are still hiding behind creative agencies that feel traditional buys (print, broadcast, out of house) are the only media to buy. Why?…

Dallas, TX ? UpShift Digital™, LLC announced today that they will be launching ResponseLogix in the Denver market. ResponseLogix, headquartered in Sunnyvale, CA provides advanced technology solutions for managing automotive dealer Internet leads. UpShift Digital will be tasked with successfully marketing, selling and servicing the full suite of ResponseLogix?s products and services to auto dealerships in Denver.

In addition, UpShift Digital has added a new member to their team to lead the dealer acquisition and retention efforts in Denver.  Danyelle Kohler joins UpShift Digital and is taking on the role of Regional Director - Automotive Product Sales.  Prior to joining…

UpShift Digital, the cutting edge interactive automotive consultancy based in Dallas, TX, has launched their new website on June 28, 2009. The new site is Technorati friendly (md2rvy875a) and can be accessed from a number of social networking sites. Be sure to check back often for updates.

With Chrysler killing it?s diesel engine plans for the Dodge Ram 1500, can we now start to expect smaller, cheaper Dodge Pick up trucks? The diesel engine was actually a ?coming soon? feature, but had been highly anticipated, and may have help Chrysler take a larger bite out of the truck market, as gas prices are starting to creep back up again. Sources say that the motion was uncovered with the Bankruptcy hearings, and that the contract to build the engines, with Cummins, has been voided. At least temporarily. So just what WILL the new Chrysler look like? Enquiring minds…

So the “Cash for Clunkers” bill passed today, making dealers and shoppers alike all aflutter with anticipation. But wait until you read the fine print. Yes, it is true that the bill can provide you up to $4500, in voucher form, towards the purchase of a new car (has to be new) and a dealership that has registered to be a “Cash for Clunkers” dealership. That already sounds a little bit shady to me. But that’s not the fine print. The used car that you are trading in has to be worth less that $4500 and newer than 1984 in…

I don?t know if I am slightly biased because I spent years working in a Chevy store, or because the last 4 vehicles I have owned are GM?s, but I really like the new GM TV spot.

http://www.youtube.com/watch?v=a-oEudd6AYM

My question to you is… would you buy a new GM vehicle, right now? I know that I would, without question. I don?t have any fear that GM will continue bigger, and stronger. Chrysler, not so confident.

Helping dealers move into the world of social media will in most cases be a long and hard road. One area where we can begin is to help them understand what is spam and what is truly an opportunity to recognize feedback. Step number 1 to helping our dealers is to stop hiding from or deleting neutral or negative information, but learn from it and market better tomorrow than they did yesterday.

A true challenge we run into as media companies is having the sales team that is educated enough, or passionate enough to truly become a marketing partner to…

Is the automotive industry really ready for social media? I would argue in many cases the automotive dealer base still has some growth to do on the website marketing side of the business, and even more so in the Search Engine Optimization side. When I talk to a dealer about how they staff around updating and maintaining their virtual dealership, most respond with very concerning information. For the dealer that hires multiple people to drive cars around their physical lot, keep the inventory clean and even know to park the CUV by the west showroom door because they ran some…

AUBURN HILLS, Mich. — Chrysler announced Thursday in a motion filed with the U.S. Bankruptcy Court that it plans to shut down 789 dealerships as part of its reorganization process.

Chrysler has notified affected dealers, and it was widely rumored Thursday that General Motors would make a similar move on Friday.

Chrysler?s reduction would represent roughly 25 percent of its dealer network and 14 percent of the automaker?s sales volume. Reportedly, the majority of these stores are in large metropolitan areas, where several Chrysler dealerships often compete head-to-head in the same city.

If the motion is approved by the…

Since GM stores are allowed to stay open 18 months, and actually not forced to close even if requested, unless GM files bankruptcy, the names of stores closing has been very limited. (GM did not terminate the franchise agreements like Chrysler did, but will not renew them?most expire in October, 2010) In the DFW area, the news has only revealed that Moritz in Arlington will be staying open.

The Tampa Bay Business Journal reported that 6 AutoNation GM stores were on the cut list, but did not reveal which stores.

Asbury Automotive has reported that they will be losing a…

WASHINGTON, D.C. — With the threat of store closings looming, dealers across the country are taking action. 

On Wednesday, more than 100 dealers met with House and Senate members to encourage them to ask President Obama?s auto task force to slow down plans to reduce General Motors? and Chrysler?s dealer networks.

John McEleney, chairman of the National Automobile Dealers Association, which organized the dealer fly-in, called the proposed rapid cuts a ?bad idea? that would put thousands of residents out of work and hinder the country?s efforts to climb out of a recession.

?This would have adverse affects on…

If the news industry was as adept with its technology and finance as it is with its corporate whining and pleading, we would all be a lot better off. Not content with the Associated Press (AP) and Rupert Murdoch picking fights with Google over links to stories, the Newspaper Association of America trotted up to Capitol Hill to claim ownership of facts and to demand payment for them.

James Moroney, publisher of the Dallas Morning News, claimed a ?quasi property right? over facts that were being used for ?commercial gain,? not by readers but by ?someone else.? Search engines and…

CARY, N.C. — A new national organization to support dealers in the buying and selling of late-model pre-owned vehicles in the fast changing automotive landscape has been formed, it was announced here today by Ron Smith, president of Cherokee Automotive Group.

The new entity, known as the Pre-Owned Automobile Dealers Alliance (POADA), is projected to provide a wide range of sales-oriented programs to dealers selling a high percentage of late-model pre-owned vehicles. 

Smith said dealers affiliated with POADA will retail primarily cars and light trucks that fall within an age range of current-model plus four years. POADA-affiliated dealers will…

DETROIT — General Motors Corp. is expected this week to accelerate talks with the United Auto Workers union and move toward closing about 2,600 dealerships.

The giant auto maker also is likely this month to approach banks holding secured debt, hoping to work out terms to ease the company?s debt burden.

Reaching agreement on these fronts is critical if GM is to restructure outside of bankruptcy court.

The company has new leverage as it re-engages in talks, thanks to the bankruptcy filing last week by Chrysler LLC. But differences between the two auto makers mean that leverage…

CHICAGO — Though news from Chrysler and General Motors dominated auto media coverage last week, almost three-fifths of U.S. consumers claimed that the challenges facing the domestic auto industry and the economy won?t impact whether they buy from American automakers, according to a recent Cars.com study.

More specifically, 59 percent said their vehicle choice wouldn?t be influenced by struggles among domestic brands and in the U.S. economy. Also, only 20 percent indicated that the threat of bankruptcy would keep them from considering buying American.

?I think it?s clear that most Americans believe that the American car manufacturers…

DETROIT — Chrysler Financial is no longer offering auto loans for car buyers beginning Friday, according to dealers who were briefed by the company.

The move is likely to make it more difficult for many Chrysler dealers to sell vehicles for at least the next several days until they can move to a new lender, the dealers said.

Chrysler Financial said Thursday it will effectively shut down its operations and its lending activities will picked up by GMAC LLC, the giant finance arm affiliated with General MotorsCorp. The move was triggered by the bankruptcy filing by auto maker Chrysler…

AUBURN HILLS, Mich. — Chrysler announced Thursday afternoon that it has reached an agreement in principle to partner with Fiat, but the embattled automaker was unable to avoid bankruptcy as it couldn?t reach a deal with its lenders.

Chrysler chairman and chief executive officer Robert Nardelli also said he will step down following ?the emergence of the new company from Chapter 11? and the completion of the Fiat deal.

When the process is complete, the Voluntary Employee Beneficiary Association will own 55 percent of the new company, while U.S. and Canadian governments will own proportionate shares of a 10-percent…

The Treasury Department has sweetened its offer to holders of Chrysler?s secured debt in a last-minute attempt to keep the iconic American automaker out of bankruptcy court, according to people briefed on the matter.

To win over several hedge funds, who have been holding out for better terms, the Treasury increased its cash offer by $250 million, to $2.25 billion, these people said. If all of the secured holders agree to the new deal, which would give them the cash in exchange for retiring about $6.9 billion of debt, Chrysler may be able to stay out…

For the first time, there?s evidence that local media companies who are ?doing it right? in the online space are actually showing revenue growth exceeding that of the pureplay Web companies in the same markets. These are companies who view the Web as an opportunity for business development, and demonstrate it by dedicating resources and personnel to the task of growing online revenue, instead of placing the responsibility on existing employees.

This remarkable finding comes from new Borrell Associates data and should bolster the hopes of local media companies to seize the moment.

In crunching the preliminary numbers,…

Article BodyPreparing for a Chrysler or GM bankruptcy is an ugly thought that nobody wants to discuss. However, if you are prepared for such an incident you could save your store hundreds of thousands of dollars.

If your manufacturer does file BK, your dealership will be hit in two main ways. First, consumer confidence will fall, making the bankrupt franchise?s products harder to sell and sending ripples through the retail and wholesale markets. Second, your dealership?s cash flow will be significantly altered in the form of holdback, incentive, warranty and other payments that are owed your store.

Here are some…

DETROIT — Chrysler LLC has reached an agreement with the United Auto Workers union to cut the company?s labor costs, a key victory for the auto maker in its battle to avoid filing for bankruptcy protection.

Chrysler still has to hammer out a debt-reduction deal with banks and other secured lenders, and has until May 1 to do so. The U.S. Treasury, which has kept Chrysler afloat with more than $4 billion in bailout loans, has given the company until the end of the month to restructure its labor costs, reduce its debt and finalize a planned alliance with…

DETROIT (AP) — General Motors will announce a restructuring plan at 9 a.m. EDT today. The storied Pontiac brand is dead and more car factories and jobs are about to disappear ? the latest casualties of a plan that GM is counting on to help it stave off bankruptcy protection. The plan is being announced as GM makes an offer to its bondholders to swap debt for company stock. GM owes $28 billion to large and small bondholders, and under Securities and Exchange Commission rules, it must disclose its operational plans when it makes an exchange offer.

Two people…

The Treasury Department is directing Chrysler to prepare a Chapter 11 bankruptcy filing that could come as soon as next week, The New York Times reported Thursday.

The Treasury has an agreement in principle with the United Auto Workers union, whose members? pensions and retiree health care benefits would be protected as a condition of the bankruptcy filing, The Times reported, citing people with ?direct knowledge of the action.?

In addition, Fiat of Italy would complete its alliance with Chrysler while the company is under bankruptcy protection.

Sen. Debbie Stabenow of Michigan told Bloomberg News that it was her understanding…

RDA survey shows Ford outperformed Honda in initial quality and improved upon its previous customer satisfaction scores.

Ford?s quality performance efforts are paying off; the latest customer satisfaction survey reports that in initial quality ?a vehicle?s performance during the first three months of use? Ford?s 5 percent increase over its last scores has allowed it to surpass Honda and statistically tie at the top with Toyota.

Specifically, the study shows Ford?s domestic brands with a combined average of 1,228 TGW per 1,000 vehicles during the first three months of ownership, besting the 1,422 TGW level for Honda and statistically…

The 2009 BMW 335d

Diesel and high performance don?t normally sit in the same sentence, but take a look at these figures: 155 mph, 0 to 62 mph in 6.0 seconds and 428 lb.-ft. of torque. Compare those numbers with these: 155 mph, 0 to 62 mph in 5.6 seconds and 295 lb.-ft. of torque. Okay, so which one is the real performance car? The first set of figures apply to the 335d, the second to its gasoline alternative, the 335I. Away from the test track the turbodiesel?s midrange torque and flexibility would absolutely out-do…

Rolls Royce Phantom Coupe

Cadillac CTS-V

Dodge Circuit EV

SLR Class McLaren

The New Nissan 370Z

Hyundai EQUUS

Chevrolet Cruze

Fisker

Bentley Continental GT

Honda Civic Hybrid

BMW 7 Series

The UpShift Digital Articles space is primarily dedicated to interactive marketing within the automotive industry. The purpose of our blogs are to monitor the key happenings, reveals and updates within the automotive sector, such as new models, new information regarding everything from hybrids to the latest exotic vehicle on the market.

We will also spend a good portion of the space discussing interactive marketing, from both a media perspective and from that of an auto dealership. Best dealership practices, from merchandising techniques, photos suites and pricing models, to how to properly recognize and manage online shoppers when they begin to…