Autofile 6july email by Autofile

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Issue 12-2015 8 July 2015

Strong Fieldays trade but warning sounded

In this issue

ar dealers report leads and inquiries at Fieldays as being good despite the cloud of low milk prices hanging over the dairy industry. Attendance at the southern hemisphere’s biggest agricultural show was up by 5.2 per cent, from 119,892 to 126,063 visitors, compared to last year’s weatheraffected event. Despite the numbers, words of warning have been issued by some rural dealers who say vehicle sales may not remain consistent entering the second half of 2015.

p19 Tribunal says train staff

“We sold more than what we were expecting to,” says Shaune Carruthers, branch manager of Waikato Toyota in Te Awamutu. “We didn’t expect Fieldays to be a feature at all, but we did way better than expected and than last year.” However, not as many farmers bought vehicles at last month’s event at Mystery Creek. The low farm-gate price from Fonterra of $4.40 for the season just past and the forecast of $5.25 for the current year appears to have impacted on confidence

and some purchasing decisions. “It is strange because last year the dairy-farming community could afford to buy, but didn’t,” Carruthers told Autofile. “I think the writing was on the wall in 2014.” That said, the building sector nationally continues to boom and this helped boost vehicle sales at Fieldays. In the March 2015 quarter, construction activity was worth almost $3.9 billion to New Zealand’s economy, which was up by nearly 10 per cent on the corresponding period last year.

p8 Federation’s 50th birthday p14 Warning over online con p15 Marque extending range p16 Issues with ITS tackled

p20 National sales statistics

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[continued on page 4]

Increasing market share on cards

here are opportunities for the Turners Group NZ to grow market share by creating more opportunities to source and sell used vehicles, particularly in the retail sector, according to its holding company. Turners Ltd released its full annual report to the stock exchange on June 24 after previously announcing its financial

results, which showed its full-year net profits after tax jumped by 120 per cent to $18.1 million for the year ending March 31. However, the full 92-page document published late last month reveals what “the leader in the second-hand car, truck and machinery market” is planning for the future. The auction house is looking

to focus on its multi-channel retail strategy. This means it will continue to “develop and refine” sales and marketing channels – particularly online – “to provide an enhanced experience for retail customers”. It wants to develop mobile technology and increasingly move towards a paperless business with new mobile applications for internal use “to drive trading

Clubman reinvented to boost sales

p15

[continued on page 7]

GLOBAL VEHICLE LOGISTICS NZ - JAPAN - AUSTRALIA - UK - EUROPE

editor’s note

Call Steve Owens now on 021 947 752

Remembering etiquette on the road

orking in the media often means receiving uninvited emails on a plethora of subjects. Many such communications are annoying drivel and junk, but occasionally there are unexpected attention grabbers. “Driving us crazy – the tailgater, non-indicator and texter” was in the subject line of one the other day. Apparently, such motorists are most likely to have the rest of us resorting to road rage, according to the accompanying Colmar Brunton survey. I must admit to not being a great fan of surveys, but sometimes they throw up an intriguing snapshot of society and attitudes. Perhaps this email also arrived in my inbox at an opportune moment after I succeeded in writing off my car in a collision with a taxi, which was my own fault. Only two positive things came out of the accident. It’s a prompt for me to acquire a new set of wheels. This has yet to be accomplished, much to my wife’s chagrin. The other was the satisfaction of admitting liability straight away and not putting the taxi driver through months of wrangling for wrecking his means of income. But I digress, so back to the survey and people’s annoying onroad habits. It should come as no surprise that tailgaters were the most likely to raise the ire of other drivers with half of respondents placing them at the top of the overall ladder. Non-indicators and texters weren’t far behind on 42 and 32 per cent respectively, followed by crawlers on 28 per cent and people using their cellphones while driving on 26 per cent. The survey indicated Kiwis find it easier to identify shortcomings in other drivers than in themselves.

Perhaps that’s human nature. But when confronted with annoying traits, half claimed none of them described their own highway antics. Thirty-eight per cent thought Kiwis were worse motorists than their overseas counterparts, with only 21 per cent going in the other direction. Over-40s topped the critics – possibly something to do with grumpy old-man syndrome or, according to Colmar Brunton, due to their extra exposure to drivers in other countries over a longer periods of time or “prompted by their observations of the evolution of New Zealand driving”. And motorists who constantly switched lanes were most likely to think Kiwis were worse than overseas drivers. The experts reckon crawlers were significantly more likely than other drivers to dislike tailgaters, while those who admitted to not indicating or texting were less likely than most to perceive such behavior as annoying. The survey also came up with the three most annoying traits of people behind the wheel or their passengers. Unsurprisingly, the back-seat driver – in my case, my boy-racer wife – topped this category with 80 per cent. Indecisive DJs came a distant second, while too many people in a car talking loudly rounded out the top three. Other types of most-disliked motorists included people who cut you off and red-light runners – a bugbear of mine being cyclists. It’s quite good fun to see where your driving fits into all this. Next time you are on the road, why not “pay it forward” by letting someone out in front of you or – better still – not dispatching a taxi to the wrecker’s yard. Darren Risby, editor

Editor

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news [continued from page 1]

Drop in milk prices being felt Carruthers says: “Other industries were spending a lot more at this year’s Fieldays. This helped to grow our sales figures with a 50-50 split between passenger and commercial vehicle segments.” Stu Tervit, dealer principal at Rosetown Holden in Te Awamutu, believes it’s essential for his business to have a presence at the show. “I have done Fieldays for more than 15 years and we used to take an old scouts tent down there with a couple of chairs,” he says. Times have certainly changed since then with Holden’s 2015 site featuring a virtual driving experience and All Black legend Stephen Donald meeting visitors. Hyundai had a café with free espresso coffee and cake, while staff at Volkswagen put on a sausage sizzle after fitting a

Rugby star Stephen Donald behind the wheel of a Holden Colorado at Fieldays

barbecue to the back of an Amarok. “The whole thing is getting more professional, but we still do much of our business sitting on the deck of a ute,” says Tervit. “You can get to see a lot of your customers in a short amount of time. To go around and canvas them all would be nearly

impossible, but having them come to see you is really good.” Although some people might not have made purchases at the event this time around, they may well do so in 2016. “It’s crucial to be at Fieldays every year,” adds Trevit. “I think Nissan and Mazda made a

mistake by not being there because customers want to see those brands too. “We were very competitive with our pricing and I had clients come back to me saying our site was the busiest.” John Cross, dealer principal of the Ultimate Motor Group in Mount Maunganui, reports big numbers for Ford on the back of its facelifted Ranger. “Our leads this year were greater than 2014 probably due to the fact a number of manufacturers weren’t there,” he told Autofile. Trent Ingham, dealer principal of Ingham Mitsubishi in Hamilton, says there was slightly higher walk-in traffic compared to last year with sales also on a par. He says Fieldays is no longer just for the farming sector with buyers also looking beyond the 

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he Imported Motor Vehicle Industry Association (IMVIA) says it will work with ACC to help iron out problems with its vehicle risk-rating (VRR) system, which started on July 1. The corporation and NZTA aim to ensure about 9,000 owners overcharged for the VRR component of licensing fees will get refunds. ACC says some technical issues with its computer systems relate to used imports with an error affecting most vehicles being identified late last year. Measures were put in place to remedy the situation, but another computer program overrode them. The issue was picked up when people complained about bands their cars were placed in. A problem with the datamatching of variants has also been identified. For instance, some Spacios have been classed as Toyota Corollas and have gone into the wrong band. ACC has been working with the NZTA to resolve the issues and

arrange refunds. Some will be up to $103.50, while most are less than that. “Because it is vital car owners have confidence in VRR, we have contracted a quality-assurance provider to check the rules and processes are working properly,” says an ACC spokesman. Malcolm Yorston, the IMVIA’s technical services and membership manager, says there will always be teething issues with new systems. “We are pleased ACC has identified these problems and is taking steps to ensure affected motorists are refunded any overpayments that are due,” he told Autofile. “We will continue working with ACC to ensure robust processes are in place and these difficulties can be overcome.” People can call the 0800 222 776 hotline or log onto www. acc.co.nz/for-individuals/othermotorists/wpc138205 for a list of affected models. Visit www.autofile. co.nz for more on this story.

news

Volkswagen NZ revealed its limited-edition Amarok Dark Label double-cab at the event

t commercial-vehicle sector. the slump in the dairy industry “There’s more of the general as hitting farmers’ confidence, public spending. It’s not just which is now at lowest level in for farmers anymore and we almost 10 years. saw good inquiry right across It also finds pessimists Mitsubishi’s line-up.” outnumber optimists and 56 per The type of cars people are cent of those surveyed expect now buying at the show has also conditions in the rural economy changed to reflect the wider New to worsen. Zealand market, with SUV sales Tervit says the deterioration pushing ahead. in farming is going to affect his “We saw a different client base business, but not “as much as it at Fieldays compared to previous did in the early days” because years,” says Euan Means, dealer more than 60 or 70 per cent principal of Ingham Hyundai. of vehicles now sold by the “There are dealership a lot of people are outside Te new to the Awamutu where brand from it’s located. a local level, Carruthers which is helpful has already for us. In the noticed a Hyundai tent, downturn and The Ranger being put through its paces we did three his business more cars than last year.” is braced for it. “It’s not getting On the flip side, Waikato’s car worse, it’s just ticking along. dealers are predicting that business “It’s one of the quietest times will slow in the coming months. I have ever seen and I’ve been “Farmers won’t be spending doing this for 20-plus years. But as much over the next 12 months we’re getting through, just not and I think vehicle sales will be flying. generally down on last year,” says “We’ve got a new Hilux Ingham. coming early next year. It’s a A Rabobank survey highlights product that’s going to pull Would-be buyers could see what was really under a Colorado when it was put on stilts

Hyundai NZ set up a café on its Fieldays site

us through as the market gets tougher.” New Zealand’s vehicle distributors put on a good show at this year’s Fieldays, which drew to a close on June 13. Volkswagen revealed its limited-edition Amarok Dark Label double-cab ute featuring a lot of black – such as its 18-inch Durban alloys, sports bar, side steps, bumper, B-pillar foils, door mirrors and handles. The tail-lights and sump

guard have been darkened to complement the Dark Label decal. The Amarok range’s latest addition boasts design-driven looks. For example, its alloy wheels are framed by flared wheel arches. The interior features dark-grey Alcantara upholstery and floor mats with Dark Label lettering to match the exterior. There’s also a touchscreen stereo with satellite navigation, reversing camera and Climatronic air conditioning. [continued on page 6]

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news [continued from page 5]

Marques work to put on show The marque says the ute has class-leading fuel economy and service intervals up to 20,000km, smart-thinking off-road capabilities, a large load capacity and technological advancements, such as its eight-speed 4Motion automatic transmission. Its four-wheel-drive TDI limited edition retails from $69,990. Only 100 units of the Dark Label will be available through the marque’s national dealer network. “We think it will be sought after given the limited volume we will receive,” says Grant Doull, of Volkswagen NZ. An imported five-door Vitara was unveiled three months in advance of Suzuki’s all-new model going on sale in this country. It appeared with blacked-out windows because it’s not identical to the New Zealand-specification version. It featured an accessory kit, and larger wheels and tyres. The Vitara will be available with standard two-wheel-drive (2WD) or an optional Allgrip 4WD system. The marque says it emits low CO₂ emissions for a 4WD vehicle and is one of the most fuelefficient all-wheel-drive models on the market. The Vitara, which is made in Hungary, is the first of six new models Suzuki will launch internationally over the next three years. Would-be buyers were also able to get up close and personal with the new Ranger, Everest and Mustang, while the blue oval’s stand had many interactive elements. “It was tremendous and that’s a credit to the Ford team,” says

The Isuzu D-Max in action on the marque’s off-road course at Fieldays

The Ford Everest got the chop – in half

Cross. “People had the opportunity to drive a Ranger over a course and through 800mm of water to show how deep it can go without cutting out.” Ford’s off-road experience allowed visitors to ride with professional drivers in the Ranger to find out how it copes with a range of challenges. The course started along a steep-sided slope to highlight the benefits of roll-over mitigation. The ute then climbed 45 degrees up and over a boulder mountain to show off hill-launch assist.

“There’s more of the general public spending. It’s not just for farmers anymore.” - Trent Ingham, Ingham Mitsubishi

The Ranger came down using hill-descent control. Other course features included a seesaw and a purpose-built lake to test its water-wading capability. Former All Black Richard Loe went along to Mitsubishi’s stand where he met and greeted potential customers. And Toyota came up with an “ultimate hunting Hilux”. The beefed-up truck featured accessories such as a breaker bull bar, daytime running lights, 20inch rims, gas stove on the deck and an ARB heavy-duty cage. Beyond what the marques had to offer the crowds, the NZTA set up an intelligent transportation system using blip trackers, as well as a website and dedicated hashtag, designed to help people plan and share their Fieldays travels. A network of units harnessing Bluetooth technology were placed at Mystery Creek and central North Island towns, such as Hamilton, Rotorua, Cambridge and Tauranga, to record travel times to and from the venue. The information was regularly updated online at www.drivelive. nz/fieldays, which attracted about 8,000 users. Kaye Clark, the NZTA’s highways manager for the Waikato, says social-media users heading to the event were able to share their experiences and get live travel advice through the system. The hashtag was monitored by the NZTA’s national travelinformation service team, which answered queries and informed people about any incidents or flooding on key routes.

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news [continued from page 1]

Earthquake rebuild driving up demand efficiencies and improve processes”. It’s also aiming to “leverage group synergies” by cross-selling other products and services within Turners Ltd’s portfolio of businesses, as well as boosting trucks and machinery sales. “The Turners Group NZ is a growth business with an exciting strategy in place – source more product for sale and resale, sell more product through a variety of retail and wholesale channels, and write more finance,” states the annual report. “There are about 1.3 million used-vehicle transactions every year in New Zealand, including end-of-life vehicles. It currently holds less than 10 per cent of this highly fragmented market. “There is an enormous opportunity to grow market share by creating more opportunities to source and sell used vehicles, particularly in the retail sector.” It adds the Christchurch rebuild has driven up demand for quality used trucks and machinery, and the high Kiwi dollar over the past year has made it a good time to replace ageing fleets. “An influx of overseas used imports has put pressure on pricing and this has translated into the highest number of used-vehicle transactions in New Zealand since 2007 and the start of the global financial crisis.” The primary focus for the auction house during the 2014/15 financial year was the continued development and implementation

of its multi-channel retail strategy with a number of new initiatives. The annual report highlights record sales results across the business including in used trucks and heavy machinery, and fleets. It developed two new truck and machinery sites in Auckland and Christchurch in the past fiscal year, and rebranded Turners Auctions to reflect its “evolution to a multichannel sales model”. The report adds: “We remain confident in our consistent growth strategy for building an integrated financial-services business.” As for the outlook for Turners Ltd, chairman Grant Baker and Paul Byrne, chief executive officer, say the first priority is to drive growth through focus and investment in its current businesses. “There are also opportunities to leverage integration synergies from a group perspective, including cross-selling products and developing common systems within the finance and insurance businesses,” they say. “In addition, we will continue to investigate accretive merger and acquisition opportunities as part of our long-term strategy.” For the financial year ending March 31, 2016, Turners Ltd is expecting its trading profit – excluding one-off extraordinary gains – to increase from $14m to about $20m without any contributions being received from further mergers and acquisitions.

$10b fleet sell-off General Electric (GE) has agreed to sell its fleet businesses in Australasia, the US and Mexico to Element Financial Corporation. The deal, which excludes GE Capital’s fleet business in Japan, is worth about NZ$10.2 billion. In this country and across the Tasman, Custom Fleet operates under GE Capital’s fleet and

equipment finance division. The Australasian deal is expected to close in the fourth quarter of this year, subject to approval by regulators. GE Capital Fleet Services provides car and truck financing as well as fleet management services. It has more than 1.5 million units leased, serviced and managed globally.

Looking back over the last 25 years it’s been refreshing to experience the support of the trade that I’ve worked with and come to enjoy so much over this time. In the last few years we’ve firmly established Provident Insurance as a credible insurer with a real passion for this industry and, through focussing on our clients have delivered a value proposition that sets us aside of our competitors, training and supporting our clients to achieve greater levels of customer protection and profitability. At last count, I’ve trained well over 700 Business Managers throughout the country. Some amongst the most successful in the business. Some who have moved on to even bigger roles. For the hundreds of you who already know me, I’m more at home out on the yard, or in the seminar room working with you to develop strategies to maximise your profit through the sound principles of F&I. So if we haven’t met up yet, I’m confident that if you want proven training designed to motivate your staff, satisfy your customers and improve your bottom-line, our paths will cross soon. And for those of you who have already chosen to become Provident Authorised dealers, we’re working together in partnership to help drive your business forward.

Introduce the Provident Profit Factor into your business, talk to Steve Owens or visit www.providentinsurance.co.nz

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news

Federation notches up 50 years T

he Financial Services Federation (FSF) has seen in its 50th birthday with a get-together in Wellington attended by about 100 people. Lyn McMorran, its executive director, says it was a fun night and “a good chance to celebrate the fact we have survived”. When the FSF started planning the event, it wanted a centrepiece to anchor the occasion, which is where the idea of producing a video to showcase its half-century came from. “The more we started looking at the 50-year history of the federation, the more we realised it was the history of the New Zealand economy because they are closely intertwined,” says McMorran. Talking about the video, she touches on some of the organisation’s milestones, such as why it was established in 1965 as the New Zealand Finance Houses Association (FHA) by Dr Otto Heyman. The organisation was a reaction to what McMorran describes as “extreme government intervention” in terms of it trying to prevent the industry from lending to consumers. The powers-that-be at the time felt access to consumer finance was fuelling inflation and believed this could be tempered by having companies put some of their assets into government stock. “It was incredible. That started in 1965 and went on through to the mid-1980s. The ratio of the amount of assets that had to be

Actor and comedian Mark Hadlow, MC for the night, with Lyn McMorran, executive director of the Financial Services Federation Steve Owens, of Provident Insurance

Nigel Trewhitt, of Autosure, with Sandra Clamp, of Mercedes-Benz Financial Services

Changing names

The FSF’s 50th anniversary celebration in Wellington on June 4

invested in government stock went as high as 25 per cent, which was just insane.” The flow-on effects of this regulation meant during those times it was incredibly expensive and difficult for consumers to

The precursor to the FSF – the NZ Finance Houses Association – was formed in 1965. Its name changed in 1989 when it merged with the Mortgage Lenders Association. Today, the FSF represents lenders providing vehicle, equipment, asset, property, business and consumer finance.

access credit. However, if there was a silver lining to this situation it was that FHA members had to diversify their products to survive. As such, they started providing finance to the commercial sector through asset, financing and leasing options. “This type of lending developed as a result of companies not being able to lend to consumers, so they looked elsewhere,” explains McMorran. “But it wasn’t a bad thing. In fact, I think it helped New Zealand’s economic growth. These companies contributed to this in terms of being able to provide finance to businesses.” She says doing business was made easier for the financial services sector when a Labour government was elected in 1984, after which it launched freemarket reforms. “That was a great thing because there was just far too much government involvement at the time.” From the association’s point of view, the reforms freed up the industry. Not until their money sitting in government stock earning little interest was released were companies again able to lend it to people. “This helped not only grow finance companies’ books, but also the economy.” McMorran notes a big achievement for the sector was getting rid of those restrictions. A lack of barriers not only created more competition, it  was better for borrowers as

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news t the industry became more transparent and less controlled. “I think the whole process became so much better for everybody really, particularly for consumers.” Another industry milestone was the collapse of about 65 finance companies over the past decade, which wiped out Kiwis’ savings and investments to the tune of around $9 billion. It was probably the biggest upheaval ever in New Zealand’s finance sector. McMorran says most businesses affected by the crash were providing secondtier or lower-end finance to the property sector, so when that market bottomed out it created a domino effect. Although bad for some finance providers, most FSF members were unaffected as it lost only a few members to the collapse itself, and three more when strict compliances and regulations were introduced

Roy Gormley, left, of the Aqua Group, with Stephen Glading, of Protecta Insurance

Paul Goldsmith, Minister for Kate Morrison, of the Commerce and Consumer Affairs Commerce Commission

during the aftermath of the crisis. The fact the federation only lost “two or three shows there were an awful lot of our members lending to consumers responsibly

Brian Johnstone, chairman of the FSF from 1991-94

that didn’t get into that situation”. McMorran adds: “We also lost a few members that decided – given that they were going to have to go through such strict

processes to become licensed as non-bank deposit takers – they might as well go the whole way and become registered as banks.” The FSF searched for replacements. “That was tricky because we had to bring in members that were going to reflect the standards the rest of the membership believed were important.” The federation did find such members and continues to thrive to this day, representing the industry by balancing consumer protection with profitable business practices. “Whenever we are dealing with regulatory changes, we come at it from a responsible lending point of view so there’s a balance because we understand the need to protect consumers as well,” explains McMorran. Over the past 50 years, the FSF has worked hard to not only establish its good reputation among the regulators and policy makers, but to maintain it. [continued on page 10]

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news [continued from page 9]

Setting standards across industry So much so, in fact, that the government took on-board the federation’s voluntary guidelines on responsible lending and wrote them into the amended Credit Contracts and Consumer Finance Act. “They recognised we wrote the guidelines and that’s the way responsible lenders should behave. The new legislation will be enforced for everybody. That obviously levels the playing field, which is a good thing.” Through accomplishments such as this, the FSF has also raised its members’ profiles. “There is a differentiation between the organisations that belong to us and those that don’t in the minds of the regulators,” says McMorran. “You know we are the responsible ones. We are the ones who meet compliance obligations and try to behave ethically. That’s

Craig White, centre, of European Michelle Herlihy, of GE Capital and chair Financial Services of the FSF’s executive committee

Gary Hampson, left, of BMW Financial Services, with Mark Hadlow

not always guaranteed with those who aren’t members of our organisation.” When asked what she feels the FSF’s greatest achievement has been, McMorran replies: “I think it

is setting standards of responsible lending behaviour. “Our members have to go through a process to be able to join us by showing that they meet them. We have strict

criteria about who we let in. “I believe being a sort of standard bearer for responsible behaviour is the biggest achievement and that’s what the FSF has always really been about.”

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well-known dealership on Auckland’s North Shore is moving to new premises and changing its name. Jerry Clayton BMW is relocating from Lake Road, Takapuna, to Wairau Road late next year or in early 2017. Coinciding with the opening of what will be the country’s largest BMW dealership, its name will change to Continental Cars BMW in line with its other group retail businesses. Parent company Sime Darby Motors has purchased a large piece of land to build a “world class” facility. “It will feature the new BMW Future Retail Initiative along with the electric iCars,” adds Steve Hilson, dealer principal. It will be set over four levels with plenty of parking “and allow us to deliver increased convenience and standards of service, plus an innovative and engaging experience, to customers”.

The first sod on the site, which is prominently positioned next to SH1, was turned in May by Hendrik von Kuenheim, BMW’s senior vice-president for the Asia, Pacific and South Africa region. Nina Englert, managing director of BMW NZ, and Patrick McKenna, managing director of Sime Darby Motors New Zealand and Australia, also attended.

BIG BOOST FOR CHILDREN A charity dinner held last month by John Andrew Ford and Mazda has raised about $200,000 for Camp Quality NZ. More than 250 people from the industry supported the function for the not-for-profit organisation, which holds summer camps and provides support programmes for children living with cancer. Among the items auctioned were guitars signed by Eric Clapton and BB King, which fetched more than $30,000 each.

New premises, new name, new beginnings AutoTerminal New Zealand Ltd (ATNZ) is now located at 28 Ryan Place, Manukau, Auckland. It has purchased and renovated the premises to house its new business model and compliance workshop facilities. ATNZ is now purely focused on the direct supply and importation of Japanese vehicles for the dealer network, while offering inhouse compliance via 257 Workshop. Darryl McGifford, general manager, says: “Wholesaling of vehicles is now a thing of the past for our business. It’s all about indent orders for dealers throughout New Zealand. “As part of this new approach and over time, the ATNZ name will disappear and we will operate under the IBC brand. Elements of the sales channel are already operating as IBC NZ to great effect.” What this means for registered traders is they get all the benefits of utilising IBC sales and services in Japan, and have full back-up through the IBC team here in New Zealand. “We expect that by the end of this year to stop using the ATNZ name.” IBC has expert staff in both countries to access the best stock at the best prices every day and look after the used-import process from door to door. “We offer dealers direct access to auctions through our iDirect system,” explains McGifford. “They can bid direct, access our inventory in Japan and purchase via our daily email blasts. “With two in-house purchasing staff operating out of our new facility at Ryan Place, we can supply vehicles to order, provide daily feedback on auctions and offer freshly purchased stock.” IBC also offers escorted buying trips to Japan for dealers to make sure they get to the right auctions and maximise their buying time while overseas.

ATNZ’s / IBC NZ’s new premises at Ryan Place, Manukau

“Our account managers can also email dealers recommendations for upcoming auctions that fit their purchasing profiles – again, to save dealers time. They can have lists emailed from us each morning based on what our agents can source in line with the dealer’s requests. “Service levels match our tough and independent check lists, and we always stand by our mantra – if a car doesn’t come in as described, we back it up.” With the new premises being just off the Te Irirangi off-ramp on the southern motorway, access for dealers is now much easier. “The move has enabled us to create efficiencies in bringing in cars and turning them around even faster,” says McGifford. “For instance, we recently took deliveries from 5.30pm to 3am to remove congestion at the wharf and on site, which allows our workshop team to be ready to go first thing in the morning and we don’t upset the neighbours. “We’ve bought the property to allow us to create what we needed for the new business model while showing our long-term commitment to the import market. “We completed the fit-out in six months before moving in during April, just before one of our largest compliance shipments arrived for 257 Workshop. We complied more than 450 units during May, and this could not have been done without the stand-out workshop team pulling out all of the stops. “There have been long days and weekends to ensure dealers get their cars. However, we kept things going during the relocation and our customers have been very accommodating, which we thank them for.”

Compliance services ATNZ / IBC NZ can take care of the whole used-import process. The company can provide full compliance and repair certification on request at 257 Workshop with VTNZ as its TSDA. Fresh used imports at ATNZ’s / IBC NZ’s certification facility – 257 Workshop

ATNZ’s / IBC NZ’s transport service delivery agent is VTNZ

Get in touch ATNZ / IBC NZ and 257 Workshop are based at 28 Ryan Place, Manukau, Auckland. Phone (09) 257-0050 or visit http:// newzealand.autoterminal.com/ home to find out more. The website will change at a later date as part of the transition process to IBC NZ. The company’s sandblasting facility

new cars

Hatchback boasts double-take

ifferent body styles will be available when the revised Toyota Corolla hatchback goes on sale this month derived from designs unveiled at motor shows in Geneva and New York. One is based on the European Auris, and will form the basis of the GX and GLX grades in this country. The more confident Toyota logo on the front is flanked by chrome strakes, new headlight clusters, a more prominent front bumper and a lower grille extending into side rails running the car’s full width. A sportier design is used on the Levin SX and ZR variants, which has made its debut on the iM hatchback for the marque’s Scion brand in the US. Its features include a body aero kit, honeycomb mesh pattern for its upper grille, hexagonal lower grille and side bezels.

The Corolla Levin ZR

Fuel consumption has improved by 7.6 per cent to 6.1l/100km over the outgoing CVT model and emissions are down by 5.9 per cent to 143g/km. A reversing camera and new audio display screen are added to the GX, while the GLX gains a higher-grade touch screen for these systems. Dual-zone climate-control air

conditioning is an addition to the Levin SX along with remotecontrol central locking, which also covers the immobiliser and alarm system. The range-topping Levin ZR gains LED daytime running lights, headlamps and satellite navigation with SUNA traffic information. All models’ steering wheels

have controls for the main audio switches and cruise control, and the Levins have an information display for fuel economy, cruising range and air temperature. The GLX adds new 16-inch alloys and privacy glass, while sports seats are fitted to the Levin SX. The Corolla is powered by a 1.8-litre motor with dual variable-valve timing producing 103kW and 173Nm. Visit www.autofile.co.nz for a photo gallery.

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pecification improvements to Mitsubishi’s latest ASX range include 18-inch machinefinished alloys with black wheelarch overfenders. All models now also have LED daytime running lights and emergency-stop signal, while their improved handling and stability comes from the 20mm wider track. Automatics benefit from smoother and more responsive shifting, while the new VRX boasts a panoramic safety-glass roof. Mitsubishi plans to steer its ASX to the top of the hotly disputed small SUV class segment by the end of the year.

Daniel Cook, head of sales and marketing strategy, is predicting a sharp boost in demand following the arrival of the latest upgrades to the range. The two-litre petrol-engined XLS is priced at $29,990 for the two-wheel-drive (2WD) with continuously variable transmission (CVT) until July 31, after which it starts at $36,690. The six-speed automatic 4WD XLS 2.2D kicks off at $32,990, plus on-road costs, before going up to $41,990 on the same date. The two-litre 2WD VRX with CVT retails from $40,590, while the six-speed automatic 4WD VRX 2.2D starts at $45,990.

INTRODUCING CASTROL PROFESSIONAL INTRODUCING CASTROL PROFESSIONAL INTRODUCING CASTROL PROFESSIONAL INTRODUCING CASTROL INTRODUCING CASTROL PROFESSIONAL PROFESSIONAL

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REDUCING CO2 EMISSIONS IS A MAJOR ISSUE FOR THE AUTOMOTIVE INDUSTRY. OVER THE REDUCING CO EMISSIONS IS MAJOR THE INDUSTRY. OVER PAST DECADE, HAVE BEEN TOFOR DEVELOPING OUR CASTROL PROFESSIONAL REDUCING CO22WE EMISSIONS IS AACOMMITTED MAJOR ISSUE ISSUE FOR THE AUTOMOTIVE AUTOMOTIVE INDUSTRY. OVER THE THE REDUCING COBETTER EMISSIONS IS ACOMMITTED MAJOR ISSUE FOR THE AND AUTOMOTIVE INDUSTRY. OVER THE PAST DECADE, HAVE BEEN TO DEVELOPING OUR CASTROL PROFESSIONAL 2WE RANGE TO BE FOR YOUR CUSTOMERS’ ENGINE THE ENVIRONMENT. REDUCING CO2WE EMISSIONS IS ACOMMITTED MAJOR ISSUE THE AUTOMOTIVE INDUSTRY. OVER THE PAST DECADE, HAVE BEEN TOFOR DEVELOPING OUR CASTROL PROFESSIONAL PAST DECADE, WE HAVE BEEN COMMITTED TO ENGINE DEVELOPING OURENVIRONMENT. CASTROL PROFESSIONAL RANGE TO BE BETTER FOR YOUR CUSTOMERS’ AND THE PAST DECADE, WE HAVE BEEN COMMITTED TO ENGINE DEVELOPING OUR CASTROL PROFESSIONAL RANGE TO BE BETTER FOR YOUR CUSTOMERS’ AND CO THE ENVIRONMENT. Offsetting: Achieving Reduction: Processes 2 Neutrality RANGE TO Streamlining BE BETTER FOR YOUR CUSTOMERS’ ENGINE AND THE ENVIRONMENT. RANGE TO BE BETTER FOR YOUR CUSTOMERS’ ENGINE AND CO THE ENVIRONMENT. Offsetting: Achieving Reduction: Streamlining Processes 2 Neutrality

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Selected by independent experts to ensure they deliver environmental and socio-economical benefits to local communities. Selected by independent experts to ensure they deliver environmental and socio-economical benefits to local communities. NEW CALEDONIA TURKEY USA WIND FARMS LANDFILL METHANE NEW CALEDONIA TURKEY GAS USA NEW CALEDONIA TURKEY CAPTURE USA WIND FARMS LANDFILL Over 100 small All methaneGAS METHANE NEW TURKEY WINDCALEDONIA FARMS LANDFILL GAS USA two-blade wind produced from METHANE NEW CALEDONIA TURKEY CAPTURE Composted cow WIND FARMS LANDFILL Over 100 small All USA turbines create themethane covered GAS METHANE CAPTURE Over 100 small All methane WIND FARMS LANDFILL GAS waste generates two-blade wind produced from METHANE clean energy & Mamak Landfill CAPTURE Composted cow Over 100create small All methane two-blade wind produced from electricity with turbines the covered local employment, site is collected to Composted cow CAPTURE Over 100create small All waste generates two-blade wind produced from turbines themethane covered residual products clean energy & reducing the two-blade wind turbines create clean energy & local employment, need for fossil& turbines create clean energy local employment, reducing the fuel imports. clean energy local reducing the & need employment, for fossil local employment, reducing the need for fossil fuel imports. reducing the need for fossil fuel imports. need for fossil fuel imports. fuel imports.

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Vehicles wanted dealers Buying now

News in brief Kiwi dealers alerted about scam using emails

Farmer AutovillAge

We like cars. But we love drivers.

Audi, Volkswagen, Skoda........................................................... Blair Woolford 021 0367706 Hyundai.............................................................................................................. Heath Kendall 027 8552681 029 2931232 Nissan and any other brand.................................................... Brett Harris Subaru, Chrysler, Jeep, Dodge, Fiat & Alfa ......... Warren Carter 021 863503

AlwAys buying good nZ new vehicles

AUTOHUB is warning car importers and dealers to avoid getting caught up in an overseas scam that uses the logistic company’s name. Managing director John Davies, pictured, believes the con is operating out of the UK and involves non-existent stock being listed for sale on websites in the US. He says the scammers are using emails with names taken from AUTOHUB’s contact list, but they are spelt “autohvb.co” meaning only one letter is different from the real “autohub.co” addresses the company uses. It has contacted the police over the matter and has put warnings on its websites. Most vehicles in the scam are motorcycles advertised as being in the UK and, to date, victims have been in the US. When the vehicle is “sold”, the purchaser is told a company called “Autohub Ltd” will get in contact for a deposit and then deliver it. It then contacts the buyer with an invoice for payment into a UK account. But no vehicle arrives because it never existed in the first place. Anyone with doubts about sellers using AUTOHUB’s business name, or if they are asked for funds, should email john@autohub.co.nz or phone (09) 411 7425.

Two-wheelers record drop in Japanese production call guy walker 021 992 048

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Court decision accepted

orts of Auckland Ltd (POAL) and Auckland Council have decided against appealing against the high court revoking consents for wharf extensions in a case brought by pressure group Urban Auckland. Chief executive Tony Gibson, pictured, says POAL has yet to decide about reapplying for consent for the smaller wharf it has started building at the end of Bledisloe. “While the decision will cause some problems with consenting and the company’s ability to accommodate more and longer ships, we feel appealing the case 14 www.autofile.co.nz

will not produce a sustainable resolution to the issues,” he says. “We will now look to the council’s future port study to help find workable, long-term solutions to Auckland’s sea freight needs.” Gibson says there is still an immediate need to berth longer ships at general cargo wharves, and POAL will talk to clients and stakeholders about short-term solutions. “Our container operations at Fergusson Terminal aren’t affected by this decision and continue to thrive,” he adds. “Over the coming months, we expect to announce new initiatives to improve that part of our business further.”

The number of motorcycles made in Japan during the 2014 fiscal year was recorded as 576,169 units. Compared with 583,209 units in 2013/14, this was decrease of 7,040 units – or 1.2 per cent. Motorbikes exported between April 2014 and March 2015 came in at 461,632 units. This was an increase of 15,412, or by 3.5 per cent, compared with the 446,220 in the previous fiscal year. This year, the Japan Automobile Manufacturers Association will promote the adoption of simplified requirements for motorcycle licensing and an expanded availability of motorbike parking bays. These are among measures it is working on to promote “greater convenience in motorcycle ownership and use” across Japan.

Issues with brake systems results in call-back Seventy utes in New Zealand have been recalled by Volkswagen because of potential problems with bolts on the front-brake calipers. They may not have been tightened properly. If bolt tension is lost, the caliper cam makes noises, can damage the wheel and “under very unfavourable circumstances” cause it to seize. Tom Ruddenklau, general manager of the marque in this country, says there have been no reported incidents with Amaroks on Kiwi roads.

Finance company allowed to appeal decision on fees The supreme court has granted MTF and Sportzone Motorcycles leave to appeal a court of appeal judgement with the matter likely to be heard late this year or early in 2016. The decision allows continued arguments in the Sportzone case about the costs a lender can reasonably recover through fees charged to borrowers under the Credit Contracts and Consumer Finance Act. “The court has declined to hear one point it says is specific to MTF and its commercial relationship with its shareholder originators,” says Glen Todd, chief executive officer. If the decision is upheld, MTF will have to repay less than $10,000 to 39 Sportzone borrowers. Visit www.autofile.co.nz for more on this story.

new cars

German marque to expand range

udi is aiming to start sales of its Q8 flagship sports utility vehicle in 2019 and launch an electricpowered sporty SUV in the uppermid segment in 2018. The marque also wants to release its entry-level subcompact Q1 crossover next year. The Q8, Q1 and SUV with electric drive are intended to provide “a solid foundation” for its growth path. It plans to expand its line-up from 52 to 60 models by 2020, and

Audi’s Q8 is rumoured to be based on the Crosslane coupe concept from 2012

A rendering of the Audi Q1

Sized for sales factor

ini has reinvented the Clubman as a larger station wagon in a bid to provide it with wider sales appeal. The body design makes the new model, which is larger than the Countryman, more versatile thanks to extra interior and luggage space. Coming in at 4,253mm, the Clubman is 293mm longer than its predecessor. Width and height are also up by 115mm and 16mm to 1,800mm and 1,441mm respectively. Its exterior has a single-frame grille, oval-shaped headlamps with LED graphics and a rounded clamshell-style bonnet. The revamped cabin has a model-unique dashboard, electronic handbrake and new controls, including a BMW-style rotary

The new Clubman

controller between the front seats. The Clubman comes with a choice of two turbo-charged directinjection petrol engines and a single turbo-charged common-rail diesel. They are mated to standard six-speed manual gearboxes or six or eight-speed automatic transmissions with optional steering wheel-mounted paddles. Automatic stop-start and brake energy recuperation are standard, while the eight-speed automatic adds a coasting function. The 1.5-litre three-cylinder petrol powerplant can make the 0-100kph dash in 9.1 seconds. It has a top speed of 205kph, combined average fuel consumption of 5.1l/100km and CO₂ emissions of 118g/km. The Clubman’s pricing has yet to be announced.

is investing about NZ$39 billion until 2019 to achieve this and expand its production network. The Q8 and electric SUV are aimed at bolstering Audi’s appeal in markets, such as the US and China, in a bid to close the gap on BMW at the top of the worldwide sales ladder for prestige brands. It’s also seeking to keep ahead of fast-growing Mercedes-Benz,

the current global number three. The fully electric SUV is expected to have a range of about 500km and aims to challenge Tesla’s Model X crossover. Sources at Audi say it will be based on the next Q5 and may be called the Q6. It will sport the e-tron badge it uses for electric vehicles and plug-ins. The Q8 will share the Q7’s underpinnings and have coupe-like styling similar to BMW’s X6.

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Disruption to technological momentum T

here has been quite a lot of talk about intelligent transportation systems (ITS) recently and, more specifically, autonomous vehicles. They are being described as a “disruptive technology” that will radically change transport networks. What has caught the interest of governments is the potential for squeezing more out of the existing transportation system. Since the human component is the weakest link in it, vehicles that can replace this component are being developed. These efforts, collectively, fit on a “spectrum of autonomy”. On one end the driver is responsible for everything but pushing, on the other we have fully autonomous vehicles that drive themselves. While the benefits of making national fleets safer or more efficient are obvious, I question the wisdom of investing public resources in semi-autonomous solutions. Doing so will likely result in a system that’s obsolete before completed and that has the potential to strangle growth in other sectors. Counter intuitively, full autonomy should actually require the least amount of investment, but I will get to that in a moment. Usually when those in the ITS field talk of fully driverless cars, they are speaking of nodes in a fully connected virtual reality. This reality is one in which vehicles use perfect and upto-date centimetre – or smaller – resolution three-dimensional road maps, including real-time updates of accidents, traffic, lane closures and so on, and utilise

16 www.autofile.co.nz

high-resolution GPS to every other vehicle, and identify positions on other networked nodes, those maps. such as pedestrians or There are also cyclists, in proximity to vehicle-to-vehicle each vehicle. and infrastructure The more “intelligent” communications to a system behaves, the co-ordinate locally and more data – and by globally, and vehicleconsequence, processing Kit Wilkerson based sensors to detect power – it needs. This IMVIA policy adviser and analyst immediate hazards. data and off-loaded While this is normally seen processing is a tether. as the terminal end of the As such, while I would agree “autonomous spectrum”, I would these are “driverless vehicles”, they argue it’s not. aren’t autonomous. To illustrate, Google – in trying Back on point, the issue isn’t the to prepare these vehicles in the US semantics of “autonomous”. The – has been working at developing issues centre on the necessities of these “perfect maps”. To date, it has the system in question. mapped about 3,200km of more It would require massive amounts than 6.4 million kilometres of that of information to be sent to and country’s road system. from each node – vehicle, cyclist, These maps are very large and pedestrian and so on – via a radio must be kept up-to-date because spectrum that’s already crammed. they represent a massive amount Would we choose to give up of data that would be required by our household wireless networks every vehicle in real time. or automatic garage-door openers This does not include other data for transport safety? Unfortunately, that also would need to be acquired, without that data tether and processed and routed back to ubiquitous participation, the relevant nodes – in real time again – system will not work. such as the location and velocity of Once a society starts down

Google’s self-driving cars are now being road-tested in Cailfornia

this path and money is spent, and knowing how difficult it is for governments to admit mistakes, it’s likely to continue until completion. By that time, it will be obsolete. I predict one of two things will happen in the not-too-distant future. Someone will come up with a new way of looking at the problem, or raw processing power will become cheaper and smaller. Either, or both, of these will allow for the next step along the “autonomous spectrum” – driverless vehicles that can pick the information necessary for being out of local road environments. Imagine a system with vehicles that can use the same cues as a human driver. Gone is the data tether, gone are massive radio-spectrum requirements, gone is the necessity for perfect maps, gone is the need for every road to be tagged and gone is the requirement for specialised infrastructure, while any improvements to cues used by the system will benefit human drivers as well. Increases in adherence to traffic standards and reaction times will provide the benefits sought. I want to stress this is not necessarily the position of the IMVIA, nor even necessarily my opinion. This is an observation of current ITS trends and my prediction we will see current technological momentums disrupted. I’m an avid supporter of ITS solutions as a way of optimising our transport system. I am just wary of jumping on the options offered today.

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A white 2011 Lamborghini Aventador has been listed for $485,000. The 6.5-litre, V12 supercar has clocked up 14,000km. “A car of this calibre requires no description,” says the buyer. “Serious offers only. Will consider trades for viable real estate only.” www.autofile.co.nz

disputes

Relationship between respondent and third-party seller described as ‘sham’ Background Daniel Hulton bought a 2012 Holden Cruze on December 19, 2014, for $18,000 from Hayder Al Assadi believing he was acting as an agent for W Maxtech Ltd, the respondent. In February 2015 – and less than 2,000km later – Hulton had problems changing gear. The transmission needed to be replaced or rebuilt at an estimated cost of up to $10,000. Hulton wanted to reject the car because he said it didn’t comply with the CGA. He filed his application on March 23 naming W Maxtech as the supplier. He claimed the respondent was a car dealer. W Maxtech, in an email to the tribunal dated April 8, denied it sold the vehicle and having any liability in the matter. Hulton then requested Al Assadi be joined as a party to the application because he believed he was a registered trader.

The case Hulton saw the vehicle advertised as a private sale on Trade Me on December 11, 2014. The advert described it as being in “great condition”, and “very reliable and well looked after”. “Runs like new, very smooth transmission,” it added. “No mechanical faults, no leaks, no rust. Any inspection welcomed.” Its odometer was stated as being on 29,800km. Hulton agreed to buy the car from Al Assadi on December 19

and a signed, handwritten receipt recorded it sold “as it is”. He gave evidence that he paid Al Assadi $3,000 in cash and $15,000 by cheque. Hulton said Al Assadi requested the cheque be drawn in favour of the respondent, W Maxtech Ltd, before he took possession of the car. After experiencing problems with the transmission, Hulton took the vehicle to Davie Motors Holden on February 20, 2015, which diagnosed it as slipping and found a defect with its solenoid pack. It was unable to replace the pack due to other damage to the transmission and recommended it be replaced or rebuilt. While it didn’t provide Hulton with a written quote or repair estimate, Kaspa Transmissions gave an oral estimate of $5,000. However, Davie Motors did provide him with a copy of an invoice dated September 26, 2014. This stated it replaced the keyless entry on the vehicle and it noted the Cruze had been involved a major accident. In assessing the application, the tribunal had to determine whether the respondent or Al Assadi were registered motor-vehicle traders according to the Motor Vehicle Sales Act (MVSA). If the tribunal couldn’t determine this, it wasn’t in a position to hear the claim. While the respondent, W Maxtech, was first registered as a dealer on June 5, 2013, and traded as NZ Best Car, its registration expired without being renewed

on June 14, 2014. In addition, Hulton couldn’t prove Al Assadi acted as a trader. After the respondent was sent a copy of the buyer’s complaint naming it as the dealer that sold the vehicle, it emailed the tribunal on April 8, 2015, to say it sold the car to Al Assadi. Attached was what seemed to be an undated contract signed by Al Assadi agreeing to buy the vehicle from the respondent for $19,000 – $4,000 in cash and by a $15,000 cheque – to be settled on February 16, 2015. The email added Al Assadi would take full liability for the car from November 26, 2014. The NZTA provided information that showed the vehicle was written off by its insurer and sold by auction for $5,910 to the respondent on July 28, 2014. The buyer tried, but failed, to get Al Assadi to accept responsibility for the transmission repair costs.

The finding The tribunal considered the sales contract between the respondent, W Maxtech Ltd, and Al Assadi was “probably a sham”. It said it seemed “commercially unlikely” the respondent would give a private buyer almost three months’ credit to pay for a car. The requirement for Al Assadi to pay W Maxtech $15,000 by cheque appeared too coincidental with the arrangement Al Assadi made with Hulton to draw a cheque for same

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purchaser The case: The nd-hand Holden

rejected a seco Cruze and claimed the respondent failed to comply with the Consumer Guarantees Act (CGA). But the respondent claimed the vehicle belonged to a third-party supplier, who sold it privately.

n: The buyer The decisioprov e if either the

was unable to respondent or the third party were registered motor-vehicle traders. The tribunal “regretfully” dismissed the application because it had no jurisdiction to hear it. r Vehicle Disputes At: The Motoland . Tribunal, Auck

amount to the respondent. While Hulton thought Al Assadi was in a business relationship with the respondent, he had no proof. However, the tribunal considered the car’s seller was probably Al Assadi and not the respondent. It was Al Assadi who placed the advert on Trade Me. Hulton paid the purchase price to him, obtained a receipt from him and had all post-purchase contact with him – and not the respondent. The tribunal concluded Al Assadi sold the vehicle, not W Maxtech. Regrettably, Hulton failed to give evidence proving Al Assadi was a registered car dealer or should be treated as one. In terms of section 90 of the MVSA, the tribunal ruled it had to jurisdiction to hear the matter.

Order The application was dismissed. Hulton was advised to obtain legal advice as to whether he might claim against Al Assadi for breach of contract in the Disputes Tribunal.

disputes

Tribunal recommends dealer’s staff ‘trained thoroughly about responsibilities’ Background On November 9, 2014, Firoze Cooper bought a 2007 Mazda Atenza from 2 Cheap Cars for $8,200. Cooper wanted to claim $2,042 he spent on repairing its transmission and air-conditioning (AC) system, and a further $710 he was quoted for extra work on the air conditioning. 2 Cheap Cars acknowledged it should have reimbursed the purchaser for the $76 he paid to have the AC system fixed, but submitted that any further work was unnecessary. The company said Cooper went ahead and had the transmission fault remedied, spending $1,891 in the process, without giving it enough time after the sale to remedy the fault so it shouldn’t have to pay that amount.

The case Cooper bought the vehicle from 2 Cheap Cars on November 9, 2014, for $8,200. It had 116,775km on its odometer and was purchased for Cooper’s son to drive from Hamilton to his job in Tokoroa. One month after he bought the car, its AC system stopped operating. His son took it to Coolcar Air-Conditioning Centre in Hamilton, which traced the fault to a relay and replaced it for $76. Coolcar recommended it service the AC system, including fitting a new dryer, and remove and paint the condenser and cabin filter, which would cost $710. He claimed he had asked the

trader’s sales manager, Michael Yang, to fix the air-conditioning fault before his son incurred $76 to replace the relay, but was unable to produce any evidence of this. Garry Moore, general manager, agreed the trader should have reimbursed Cooper the $76 and agreed to pay this amount. He didn’t accept Cooper’s claim the vehicle required a further $710 spent on it. The tribunal agreed this was an unnecessary expense and not the result of any fault with the AC system. On February 13, 2015 – three months after purchase and when the vehicle had travelled 9,064km – its transmission became faulty. Cooper’s son took the car to Hamilton East Auto Repairs (HEAR), which orally quoted $1,500 to $1,600 to replace the transmission. Cooper and his wife visited 2 Cheap Cars that night, and told Yang and salesman Sean Yang about the problem. He said they asked him to email them the quote for repairs. Two days later, he returned with an undated tax invoice from HEAR. This stated: “Hook vehicle up to Bosch analyser, scan vehicle, check transmission fluid (burnt smell), road-test vehicle. “Found vehicle slipping and missing second gear, over-revving. Check service sticker – service due at 126,672 or 4-3-15. Recommend a second-hand transmission option one, or rebuild transmission option two.” Cooper said when he took this invoice to the trader, Yang asked him to email it to 2 Cheap Cars and

Call

detail the cost of repairs. He did this on February 17 and asked the dealer to reimburse him with $1,500 for the work on the transmission. The email also included a request to be reimbursed $76 for the air-conditioning relay and $74 for the HEAR quote – a total of $1,650. Cooper didn’t hear from the dealer and the next day he authorised HEAR to replace the transmission, which cost $1,891. Yang called Cooper on February 19 saying the dealer wouldn’t reimburse him for the cost because “the one-month warranty period had expired”. Moore said Yang wouldn’t have said that because he knew a onemonth warranty period didn’t exist. The tribunal noted this wasn’t the first occasion staff from 2 Cheap Cars had “misled members of the public concerning their rights”. It pointed out that if, as seemed likely, Yang did tell the buyer he only had a one-month warranty, that Yang and the trader – as his employer – probably breached section 13(i) of the Fair Trading Act. The tribunal recommended the dealer undertake comprehensive training of its employees of the trader’s obligations under the act “to avoid the risk of prosecution”.

The finding The tribunal considered multiple factors when deciding if the car complied with the CGA – it was seven years old when it was supplied, its odometer was recorded as 116,775km and its

buyer wanted The case: The t he spent on

to recover wha repairing the transmission and air-conditioning system on a second-hand Mazda Atenza, and the amount he was quoted for further work that was claimed to be needed on the air conditioning and compensation.

n: The tribunal The decisio cle had failures of

ruled the vehi substantial nature as defined in the Consumer Guarantees Act (CGA) and the dealer had to pay its customer compensation. r Vehicle Disputes At: The Motoland . Tribunal, Auck

purchase price was $8,200. After one month, there was a minor fault with the air-conditioning relay, which was cheaply repaired. After three months, the transmission needed replacing at a cost of $1,891. The tribunal decided the vehicle didn’t comply with the CGA’s guarantee of acceptable quality due to its lack of durability because a major fault occurred soon after purchase. It considered the transmission system’s failure was of substantial character because without that working, a vehicle was unable to move as designed. Because the transaction didn’t initially comply with legal requirements, the buyer’s options were to reject the car or obtain compensation from the dealer for its reduced value, which he sought and amounted to $1,891. The tribunal also said the purchaser was entitled to recover all other costs for assessing the airconditioning relay and transmission.

Order The trader had to immediately pay the buyer $2,042.

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Brought to you by

the

d Auckland Hamilton Thames o Whangarei n Tauranga Rotorua Gi sborne Napi e r New Plymouth Wanganui Palmerston North Masterton Welli n gton Nelson Blenheim Greymouth

8,517

Aro

 5.9%

Total Used Imported Cars

12,415

Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Westport Christchurch Timaru Oamaru Dunedin Invercargill Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth JWhangarei Auckland Hamilton Thames u n e 2 0 15

9,021

2014:

Total New Cars

2014:

10,760

 15.4%

Thames

Whangarei New: 175

2014: 168

 4.2%

New: 81

2014: 87

 6.9%

Used: 261

2014: 222

 17.6%

Used: 74

2014: 62

 19.4%

Tauranga

Auckland New: 4,092 2014: 3,474  17.8% Used: 6,004 2014: 5,191

 15.7%

New: 384

2014: 379

 1.3%

Used: 575

2014: 437

 31.6%

Rotorua

Hamilton New: 608 Used: 822

2014: 627 2014: 743

 3.0%

New: 68

2014: 85

 20.0%

 10.6%

Used: 125

2014: 96

 30.2%

Gisborne

New Plymouth New: 158 Used: 212

2014: 136 2014: 185

 16.2%

New: 36

2014: 33

 9.1%

 14.6%

Used: 66

2014: 64

 3.1%

Napier

Wanganui New: 59

2014: 77

 23.4%

New: 236

2014: 199

 18.6%

Used: 67

2014: 80

 16.3%

Used: 241

2014: 196

 23.0%

Masterton

Palmerston North New: 253

2014: 214

 18.2%

New: 60

2014: 48

 25.0%

Used: 291

2014: 305

 4.6%

Used: 67

2014: 41

 63.4%

Wellington

Nelson New: 96

2014: 118

 18.6%

New: 689

2014: 791

 12.9%

Used: 239

2014: 199

 20.1%

Used: 970

2014: 846

 14.7%

Blenheim

Westport New: 4

2014: 7

 42.9%

New: 50

2014: 52

 3.8%

Used: 9

2014: 9

 0%

Used: 62

2014: 48

 29.2%

Christchurch

Greymouth New: 18

2014: 24

 25.0%

New: 1,560 2014: 1,551  0.6%

Used: 42

2014: 40

 5.0%

Used: 1,621 2014: 1,491

 8.7%

Timaru New: 67

2014: 57

 17.5%

Used: 121

2014: 86

 40.7%

Oamaru New: 19

2014: 26

 26.9%

Used: 42

2014: 17

 147.1%

Dunedin New: 213

2014: 246  13.4%

Used: 364

2014: 279

 30.5%

Invercargill New: 95

2014: 118

 19.5%

Used: 140

2014: 123

 13.8%

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Imported Passenger Vehicle Sales by Make - June 2015 Make

Jun'15

Jun'14

+/- %

Jun'15 Mkt Share

2015 YEAR TO DATE

Imported Passenger Vehicle Sales by Model - June 2015 2015 Mkt share

Make

Model

Jun'15

Jun'14

+/- %

Jun'15 Mkt Share

2015 YEAR TO DATE

2015 Mkt share

Toyota

2,746

2,532

8.5

22.1%

15,801

22.4%

Suzuki

Swift

602

541

11.3

4.8%

3,705

5.3%

Nissan

2,132

2,128

0.2

17.2%

11,858

16.8%

Mazda

Axela

595

531

12.1

4.8%

3,329

4.7%

Mazda

2,048

1,718

19.2

16.5%

11,454

16.2%

Nissan

Tiida

559

618

-9.5

4.5%

2,894

4.1%

Honda

1,403

1,119

25.4

11.3%

7,493

10.6%

Honda

Fit

511

344

48.5

4.1%

2,707

3.8%

Suzuki

711

661

7.6

5.7%

4,331

6.1%

Mazda

Demio

489

379

29.0

3.9%

2,822

4.0%

Subaru

677

415

63.1

5.5%

3,855

5.5%

Subaru

Legacy

357

244

46.3

2.9%

2,071

2.9%

Bmw

585

469

24.7

4.7%

3,243

4.6%

Volkswagen

Golf

321

222

44.6

2.6%

1,701

2.4%

Volkswagen

484

358

35.2

3.9%

2,736

3.9%

Mazda

Atenza

317

250

26.8

2.6%

1,739

2.5%

Mitsubishi

482

417

15.6

3.9%

2,718

3.9%

Toyota

Wish

314

269

16.7

2.5%

1,649

2.3%

Audi

286

240

19.2

2.3%

1,471

2.1%

Mazda

Mpv

252

194

29.9

2.0%

1,288

1.8%

Mercedes-Benz

258

161

60.2

2.1%

1,428

2.0%

Mitsubishi

Outlander

241

180

33.9

1.9%

1,395

2.0%

Ford

105

115

-8.7

0.8%

905

1.3%

Toyota

Vitz

220

219

0.5

1.8%

1,456

2.1%

Volvo

22.6

0.6%

446

0.6%

Toyota

Corolla

216

265

-18.5

1.7%

1,223

1.7%

Lexus

52.5

0.5%

260

0.4%

Toyota

Estima

204

134

52.2

1.6%

1,039

1.5%

Mini

27.8

0.4%

301

0.4%

Honda

Odyssey

193

180

7.2

1.6%

1,070

1.5%

Chevrolet

-18.4

0.3%

362

0.5%

Nissan

Note

168

207

-18.8

1.4%

858

1.2%

Holden

33.3

0.3%

207

0.3%

Nissan

Dualis

167

115

45.2

1.3%

899

1.3%

Jaguar

-12.2

0.3%

237

0.3%

Nissan

Bluebird

160

133

20.3

1.3%

874

1.2%

Land Rover

38.5

0.3%

225

0.3%

Mazda

Premacy

147

150

-2.0

1.2%

916

1.3%

Hyundai

-26.3

0.2%

249

0.4%

Honda

Accord

144

125

15.2

1.2%

808

1.1%

Dodge

35.7

0.2%

125

0.2%

Nissan

Murano

140

110

27.3

1.1%

723

1.0%

Daihatsu

6.7

0.1%

Toyota

Mark X

134

113

18.6

1.1%

711

1.0%

Peugeot

40.0

0.1%

114

0.2%

Honda

Stream

128

110

16.4

1.0%

657

0.9%

320i

123

111

10.8

1.0%

707

1.0%

Renault

57.1

0.1%

Bmw

Porsche

42.9

0.1%

Toyota

Ist

123

128

-3.9

1.0%

676

1.0%

Chrysler

50.0

0.1%

Toyota

Auris

122

114

7.0

1.0%

757

1.1%

Kia

60.0

0.1%

0.0%

Subaru

Impreza

121

108.6

1.0%

727

1.0%

Jeep

75.0

0.1%

Subaru

Outback

121

72.9

1.0%

645

0.9%

Alfa Romeo

20.0

0.0%

Toyota

Prius

116

100.0

0.9%

564

0.8%

Cadillac

200.0

0.0%

Toyota

Rav4

114

20.0

0.9%

620

0.9%

Maserati

50.0

0.0%

Honda

Civic

111

50.0

0.9%

556

0.8%

Plymouth

50.0

0.0%

Honda

Cr-v

109

104

4.8

0.9%

568

0.8%

Pontiac

200.0

0.0%

Nissan

March

109

137

-20.4

0.9%

638

0.9%

Skoda

200.0

0.0%

Nissan

Skyline

109

123

-11.4

0.9%

714

1.0%

Teana

109

114

-4.4

0.9%

643

0.9%

Aston Martin Others Total

-33.3

0.0%

Nissan

-12.0

0.2%

245

0.3%

Others

4,449

3,941

12.9

35.8%

26,195

37.1%

12,415

10,760

15.4

100.0%

70,554

100.0%

Total

12,415

10,760

15.4

100.0%

70,544

100.0%

www.heiwa-auto.co.nz 22 www.autofile.co.nz

Reliable.

www.heiwa-auto.co.nz

Sales of used imports strong J

une was another good month for used imported passenger vehicles with 12,415 units sold. This is 15.4 per cent or 1,655 more vehicels sold than this time last year. Year-to-date, this segment is 17 per cent ahead with 70,554 sales compared to 60,356 for the corresponding period in 2014. Toyota once again topped the manufacturer’s table, claiming 22.4 per cent of the overall market. Suzuki’s Swift was the top selling model for June, with 602 sales or 5.3 per cent of the market. Nelson Cottle, of Auto Court in Dunedin, says the effects of the recent drop in the yen have been quite dramatic. “We bring in quite a lot of late-model utes and near-new ex-demonstrator vehicles,” he told Autofile. “With the yen at about 83 [to the Kiwi dollar], we couldn’t replace the stock we had. “For vehicles priced at about $10,000, we tend to absorb it, but decreases in the dollar make it harder for us to buy. “I have been speaking to agents in Japan. They are saying it has been quiet for New Zealand buyers, which is a trend they have seen emerge over the past month.” Cottle says the dealership has sold vehicles to a few people whose cars were written off in the floods which affected Dunedin recently. Overall, he thinks about 200 may have suffered that fate. “Although the floodwaters encroached slightly onto our yard, we didn’t have to close business for a day and no one was out of action for several days afterwards,” he says.

“A lot of houses across the street were vacated due to flood damage and they are currently being repaired.” Cottle says the dealership has had a good year with trade slowing down a bit over the past couple of months, which tends to coincide with colder weather. “Some of our better-selling cars include Nissan Tiidas, Toyota Fielders and smaller cars, such as the Vitz,” he says. “We have all price ranges of trade in stock. If we have a tidy older car, we will put it on the yard and keep

Dunedin, says his yard is in a bit of a lull at present. “We see it every year, the grass goes up and down, but this June was quieter than last June for me,” he says. His dealership sells cars in the $5,000 to $20,000 range. At the moment, he’s averaging vehicles at around the $8,000 to $9,000 mark. “Believe it or not, last month we were selling Ford Falcons and Holden Commodores.” Coory adds June was particularly slow with trade through his yard down on this time

Used Imported Passenger Registrations - 2013-2015 13000 12000 11000 10000 9000 8000

2013 2014

7000

2015

6000 Jan Feb Mar Apr May Jun

virtually everything we trade in. “We’ve actually noticed during the past couple of months that there have been fewer deals in finance, but I don’t know why this has happened. “When we look at where we were last year compared to the same period the year before, sales have pushed up.” Paul Coory, managing director and owner of Valley Motor Court in

Jul Aug Sep

Oct Nov Dec

last year by about 40 per cent. “This time last year I had sold way more than what I have up to now, but on average we are down,” he says. “Our average profits are down from where we would usually be, but as soon as it picks up I will toughen up a wee bit.” Todd Cater, who owns Team Todd Cater in Hastings, says trade has been good for him. “We are going really well,” he

says. “I am really only a one-man band with my son who helps me. “While I have been in the industry for 30 years, we’ve been in business on our own here for 14 months now and this year things are good.” Cater says his numbers are up slightly on last year and, at 52 years of age, he’s now working harder than he ever has. “I am working six days a week, which is good fun, but you need that balance still.” He adds buyers seem to be more positive and confident in their decisions to purchase. “I certainly think customers are more educated than they used to be,” says Cater. “There is certainly a big change in attitude in how they are looking. Obviously the internet has been very responsible for that.” Julian Clements, dealer principal of Ebbett Tauranga, notes sales of used cars have dipped in the recent past. “We haven’t had the focus on that that I would have liked,” he says. “However, we have now employed a used-car sales manager, Sean Clark, who has come across from Rotorua Hyundai.” He started at about the same time as Clements took over as dealer principal, while May was a record month for the business when it came to sales of used cars. “That month was fantastic,” says Clements. “Up until that point, I was unhappy but May changed all that.” The dealership moves more Holden Commodores than other products “because that’s what we have the most of”.

Servicing New Zealand for 20 years contact:

Kei Mikuriya • mikuriya@heiwa-auto.co.jp www.autofile.co.nz

new car sales New Passenger Vehicle Sales by Make - June 2015 Jun'15

Jun'14

+/- %

Jun'15 Mkt Share

2015 YEAR TO DATE

2015 Mkt share

Make

Model

Jun'15

Jun'14

+/- %

Jun'15 Mkt 2015 YEAR Share TO DATE

2015 Mkt share

Toyota

2,171

1,448

49.9

24.1%

7,740

16.7%

Toyota

Rav4

613

371

65.2

6.8%

1,767

3.8%

Holden

870

960

-9.4

9.6%

5,063

10.9%

Toyota

Highlander

489

308

58.8

5.4%

1,034

2.2%

Hyundai

773

940

-17.8

8.6%

4,114

8.9%

Toyota

Corolla

436

333

30.9

4.8%

2,399

5.2%

Mazda

697

543

28.4

7.7%

4,117

8.9%

Hyundai

ix35

272

181

50.3

3.0%

1,270

2.7%

Mitsubishi

691

617

12.0

7.7%

3,044

6.6%

Mitsubishi

Outlander

266

165

61.2

2.9%

1,020

2.2%

Ford

466

714

-34.7

5.2%

2,909

6.3%

Holden

Captiva

233

253

-7.9

2.6%

1,123

2.4%

Suzuki

404

475

-14.9

4.5%

2,211

4.8%

Mazda

Cx-5

207

198

4.5

2.3%

1,233

2.7%

Volkswagen

369

410

-10.0

4.1%

2,101

4.5%

Toyota

Yaris

206

114.6

2.3%

1,147

2.5%

Kia

292

299

-2.3

3.2%

1,557

3.4%

Hyundai

Santa Fe

204

195

4.6

2.3%

1,061

2.3%

Honda

285

165

72.7

3.2%

1,849

4.0%

Suzuki

Swift

198

257

-23.0

2.2%

1,211

2.6%

Nissan

281

307

-8.5

3.1%

2,299

5.0%

Mitsubishi

Asx

196

142

38.0

2.2%

953

2.1%

Subaru

245

153

60.1

2.7%

1,101

2.4%

Mazda

Mazda3

187

222

-15.8

2.1%

1,181

2.5%

Mercedes-Benz

173

183

-5.5

1.9%

1,025

2.2%

Holden

Commodore

180

302

-40.4

2.0%

1,425

3.1%

Audi

163

196

-16.8

1.8%

972

2.1%

Toyota

Prado

174

194

-10.3

1.9%

388

0.8%

Jeep

146

104

40.4

1.6%

670

1.4%

Honda

Jazz

162

362.9

1.8%

1,068

2.3%

SsangYong

145

120

20.8

1.6%

660

1.4%

Toyota

Camry

143

175.0

1.6%

499

1.1%

Bmw

144

174

-17.2

1.6%

980

2.1%

Mazda

Mazda2

126

162.5

1.4%

843

1.8%

Skoda

117

30.0

1.3%

545

1.2%

Holden

Cruze

115

133

-13.5

1.3%

877

1.9%

Dodge

177.4

1.0%

284

0.6%

Subaru

Outback

114

171.4

1.3%

537

1.2%

Land Rover

-16.7

0.8%

477

1.0%

Volkswagen

Golf

111

164

-32.3

1.2%

796

1.7%

Mini

41.5

0.6%

326

0.7%

Kia

Sportage

111

26.1

1.2%

543

1.2%

Fiat

76.7

0.6%

290

0.6%

Ford

Kuga

108

107

0.9

1.2%

677

1.5%

Peugeot

103

-53.4

0.5%

402

0.9%

Holden

Trax

105

31.3

1.2%

472

1.0%

i30

104

174

-40.2

1.2%

574

1.2%

Lexus

0.0

0.5%

319

0.7%

Hyundai

Volvo

52.0

0.4%

204

0.4%

Holden

Barina

101

17.4

1.1%

509

1.1%

Porsche

-16.7

0.3%

261

0.6%

Suzuki

Sx4 S-Cross

100

2.0

1.1%

462

1.0%

212

-53.3

1.1%

455

1.0%

0 9800.0

1.1%

358

0.8%

Citroen

-36.4

0.3%

130

0.3%

Ford

Focus

Isuzu

116.7

0.3%

0.2%

Mazda

Cx-3

Chery

-68.5

0.2%

125

0.3%

Mitsubishi

Lancer

2.1

1.1%

538

1.2%

Alfa Romeo

33.3

0.2%

0.1%

Nissan

X-Trail

-1.1

1.0%

747

1.6%

Jaguar

33.3

0.2%

Mitsubishi

Pajero

104

-10.6

1.0%

157

0.3%

Renault

-57.1

0.2%

108

0.2%

Nissan

Qashqai

11.4

1.0%

774

1.7%

Yamaha

1400.0

0.2%

0.1%

Dodge

Journey

186.7

1.0%

284

0.6%

800.0

0.1%

Ford

Territory

0.9%

518

1.1%

0.1%

Volkswagen

Passat

0.8%

229Biggest increases/Decr 0.5% eases

100.0%

168 46,379

0.4% 100.0%

Others Total

8000 7500

17,250

100.0%

46,379

westport thames napier

wanganui gisborne timaru

100.0%

 100.0%  51.2%  34.1%

 27.7%  26.8%  23.7%

Blenheim nelson rotorua

Used

J J

A

westport Masterton timaru

Used

  

Used Vehicle RegistRatiOns

New versus used

North IslaNd versus south IslaNd

7000

9000

6000

Used 8545

8000

5000

New

7962

7000

6000

3000

2000

South Island

Nov ‘12

SEP ‘13

Oct ‘13

JuL ‘13

AuG ‘13

JuN ‘13

MAy ‘13

FEb ‘13

APr ‘13

MAr ‘13

JAN ‘13

APr ‘13

1000

4000

FEb ‘13

Oct Nov Dec y Jun Jul Aug Sep Jan Feb Mar Apr Ma

North Island

4000

5000

Nov ‘12

5500

PassengeR Vehicle RegistRatiOns

10000

DEC ‘12

6000

Biggest decreases

new

JAN ‘13

2012

37.2%

MAr ‘13

6500

Biggest increases

new

DEC ‘12

2013

By town year-on-year

ConneCt & engage 7000

(OctOber 2013 vs OctOber 2012)

32.7%

c t o b e r 2 0 13

mo am 1,4 th 11

JuL ‘13

5.9

0.2%

Oc hig

AuG ‘13

8,517 0 850

-70.0

JuN ‘13

9,021

50 0 900

0.0%

try

Total

33.3

77 e -41.2 h131 Whangarei tAuckland Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth 74 24 Wanganui Palmerston North Masterton208.3 Wellington Nelson Blenheim Greymouth Whangarei Auckland Hamilton Thames 3,423 Tauranga Rotorua -13.7 Gisborne 2,954 Napier New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth 9,021 8,517 5.9n Westport Christchurch Timaru Oamaru Dunedi Invercargill Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Whangarei AucklandoHamilton Thames Tauranga Rotorua

MAy ‘13

Others

9503 0

Chrysler

autopo86rt.net

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10000

The TRUSTED online wholesale trading site.

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Make

New Passenger Vehicle Sales by Model - June 2015

8500

Used imPORt PassengeR Vehicle RegistRatiOns by city

aucklaNd, wellINgtoN, chrIstchurch

4500

hamIltoN, tauraNga, duNedIN, PalmerstoN North

8000

4320

600

4000

3000 hicles sold

24 www.autofile.co.nz

Auckland

2000

500

7500

Hamilton

400

2500

7000

icles sold

3500

300

Tauranga

new car sales

Record month boosted by Fieldays T

manufacturers go right into dairy prices causing farmers to hold his year’s Fieldays was “New cars are very competitively September, which is ridiculous.” back on their expenditure. a mixed bag for car priced compared to used. When Carruthers told Autofile there Dairy farmers’ spending has dealers. While they report someone is comparing a late-model was a roughly 50-50 buyer split at slowed right down, says Smith, good levels of sales, some are used car to a new vehicle, the Fieldays between those paying with who believes that beyond falling predicting a downturn in rural difference in pricing is decreasing. cash and those taking up finance farm-gate prices and mounting areas as reduced pay-outs for “The margins are certainly – despite the marque not offering debt, there is really nothing at the dairy farmers begin to bite. under pressure, but that’s the zero interest on its lending. moment to entice them to part That said, sales at the farming current market and it’s not Euan Means, dealer principal with their money. event helped to create a record something that will change.” of Ingham Hyundai in Hamilton, “We’re coming into the winter month for registrations of new Devery says the dealership feels the market for new vehicles too, which always tends to hold passenger vehicles in June. is working hard to try to make may not grow much from where it’s back some people.” New car trade was up by 5.9 vehicle servicing as easy as sitting at the moment. Stu Tervit, dealer principal at per cent on the same month last possible for its customers. “People in the Waikato are wary,” Rosetown Holden in Te Awamutu, year, with 9,021 units sold in June “Buying a new car isn’t like he says. “The latest drops in dairy says: “We sold a wide range of bringing the year-to-date total to getting a new watch when you can prices are probably having as much product at Fieldays – the Barina 46,379. This is 4.6 per cent up on see what you’re getting,” he says. “It is the first six months of 2014, when money people don’t like spending. New Passenger Registrations - 2013-2015 44,326 units were sold. “We are trying to match the value Toyota claimed the top three of the service to the value of the 10000 2013 model spots with its Rav4 coming vehicle. If someone has a $10,000 car, 9500 2014 in at number one with 613 units they want to have an appropriate 2015 9000 sold. This is a 65 per cent increase service to its value, rather than a in year-on-year sales of the vehicle. service that costs $1,500.” 8500 The marque’s Highlander and Farmer Auto Village in Tauranga 8000 Corolla sold 489 and 436 units is expanding its physical site from respectively, these three models 16,000 to 20,000 square metres as 7500 making up 17 per cent of overall part of its expansion. 7000 new passenger vehicle sales. “We have purchased some 6500 The Hyundai iX35 and Mitsubishi more land in the corner of our site Outlander rounded out the top five and are expanding out through 6000 with 272 and 266 sales respectively. xxxxxxxxx there,” says Mike Farmer, group 5500 xxxxxxxxxxx Shaune Carruthers, branch managing director. Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec manager of Waikato Toyota in Te “It’s part of our long-term strategy Awamutu, says the Corolla and Hilux for purchasing property. The work always been the way. units, are more static with their 1996, it has ebbed and flowed.” he amount of stock held sales.Zealand’s economy are boosting effect New Spark, Captiva and Commodore, but Christchurchon were histhatdealership’s top-selling has when started. The cranes and diggers “You can oversupply did come down after the global not changing too much. holding dropped to this year’s low of Used car stock levels are tock levels of new cars have by used car dealers during “Trades people are upgrading buying conditions are good, but financial crisis [GFC]. A drop of 50 units may not be 18,653 in January. traditionally based on what’s increased every month highest the was October their vehicles,” says Crawford. corrects normally levels then increased as the marketplace “Stocking vary can stock executive But chief drastic. too Crawford, David the global financial crisis when our mainstay was the Colorado. ” models at last month’s agricultural what are here, and we’re expecting and with Japan in year, this happening except one monthly total of the year. or “Although passenger cars aren’t so again and they respond to the enormously by proportion on yards itself by pulling back from Japan officer of the Motor Industry consumers are buying here. ctober’s total of 29,509 being the There were 10,374 units hot, SUVs are. selling down. The numbers might number of new vehicles sold and with 30 to 40 cars. Association (MIA), says current there have improved Conditions ghest of 2013. a with month last imported it comes to the amount of money Richard Devery, of King Toyota show held at Mystery Creek. completion in early February. market “People in the housing drop for a month or two before the rate at which they are sold. “They can suddenly be selling models aren’t sitting around in recently and the exchange rate There were 7,962 sales last variance of 1,829 on 8,545 sales. are refinancing their mortgages trundling up again. “They basically go up when without having bought for a few stock for too long. has gone up. onth, also this year’s biggest The number of cars in stock items especially big-ticket buy to supply-chain sure magic so no not I’m “There’s but up, coming into the country. ” in Lower and Upper Hutt, reports go “We had really good offers on “It will give us a better layout down sales units 10-15 manage to weeks and being “The industry tends “October and November are mount, while the variance was amounted to 9,323 compared to when they are confident about miracle. When it’s slow, it tends to be makes them more susceptible,” stock levels quite well and does this about the days stock is held for normally difficult for the industry, 400 with 9,362 units imported – 7,494 in September. their jobs.” slow for everybody. If you can get being longer and can’t explain that. keeping told Autofile. Macdonald. out,” hethat says day in, day go to tends stockpile the so John Smith, of Bay Ford & sales of new cars have been slightly theafterCamry and sold well for a for used cars and some of our key he second highest amount other two been There have All that said, some of the good supply with a good exchange “Average sales per day came “Dealers then jump online to “My data suggests this is a up,” says Macdonald. “But trade 1,065 imports in August. major increases during 2013 – with regional centres, such as Hawke’s rate, everyone benefits.” down during the GFC and before buy more from Japan, but that’s cyclical thing and levels were no swings up over Christmas and the The total stock figure at the variances between imports and sales up aren’t North, Mazda in Napier, says Fieldays this year compared to 2014, change, ” he adds. “We also moved a Palmerston brands will be relocated to the and Bay ” that they were much higher. higher in previous years, but they holidays, so it goes down. nd of December was 20,683 and of 3,121 in April and 2,507 in May. showing as much growth as If 80,000 vehicles are sold one “December and January are Macdonald, chairman imports in New Zealand - Oct 2013 car same. stock of used Dealer other centres. to remove someGraeme are sold the year and 100,000and seemed customers while used cars are about the lot of Hiaces and Land Cruisers, same site. ” because good months for sales of the North Island branch of the “But 80 per cent of New Zealand’s following year, the average sales Dealer stock of new cars in New Zealand - Oct 2013 people take time off work, the kids Imported Motor Vehicle Industry population is in Auckland and day should be higher – and may have and peoplewe school are off “I from the market. think will2012continue to have got people from theper Fieldays Association, says the current John Cross, managing director Christchurch. 2012 the MIA is expecting more new Christmas bonuses or holiday pay. it as – itself stockpile should correct “If you add in Dunedin and vehicles to be sold this year than to tend “It’s a time when Kiwis normally does. a notes while these centres cover Wellington, However, he trade see some difficulties selling used period still looking to buy during during July. of the Ultimate Motor Group in 2012. make financial decisions, so dealers “If the monthly stockpile was large proportion of the population There were 54,404 sales in 2009, need to have plenty of stock to 10,000 on a regular basis it means and all have strong economies.” 2010, 64,019 in 2011 62,029 inover started to pick up during the middle cars, but new cars should make “Most of our offers were demand. Mount Maunganui, says: “I don’t match ” there are solid holding numbers, Year to date, 77,438 new cars and 76,871 in 2012, and the MIA is “When the market’s down in he told Autofile. “North of that have been imported and 68,612 about 82,000 passenger stock is hard to get. When Japan,for looking at an be would we and a of June, it wasn’t on par with last up that with strong growth by the end of last monthpredicting with give think the market is going to grow to registered been have vehicle and SUV sales this year. it’s buoyant, you tend to buy what oversupply issue. variance of 8,826 so far this year. “We’re looking at about 30,600 you can because you don’t know “There was good buying in Japan has stock at hand Days with light commercials and we’re on year’s sales figures with the drop in continuing, ” he says. some running into July. Some hugely to hold its own.” 17% what will be available next time. in March, and we saw high arrival been steadily increasing from 78 in New Passe or 113,000 new

Annual high for stockpile

Industry manages levels well

NeW CArS SoLd

Imported

dAyS AVerAge SALeS per StoCk dAy - ytd At hANd

StoCk

VArIANCe

USed ImportS VArIANCe SoLd

StoCk

dAyS AVerAge SALeS per StoCk dAy - ytd At hANd

8,579

Total stock at the end of December 2011 3,191

6,375

(3,184)

5,395

206

5,026

7,499

(2,473)

10,511

242

Feb ‘12

4,920

6,000

(1,080)

4,315

210

Feb ‘12

7,368

5,633

1,735

12,246

223

Mar ‘12

6,504

6,429

4,390

209

Mar ‘12

7,228

6,499

729

12,975

218

Apr ‘12

6,613

5,877

736

5,126

206

Apr ‘12

6,285

5,430

855

13,830

209

May ‘12

7,693

6,793

900

6,026

208

May ‘12

7,742

5,942

1,800

15,630

205

Jun ‘12

6,947

6,184

763

6,789

208

‘12 Jun  95.5% ‘12 Jul  64.9%  52.0% ‘12 Aug

8,870

7,142

1,728

17,358

211

Jul ‘12

5,335

6,641

(1,306)

5,483

209

7,894

6,208

1,686

19,044

209

Aug ‘12

5,540

6,621

(1,081)

4,402

210

8,589

5,959

2,630

21,674

207

105

6,222

(716)

3,686

209

Sep ‘12

6,828

6,637

191

21,865

209

105

Oct ‘12

8,155

7,336

819

22,684

211

107

12,984

128

220

31 Oct

6,769

34,559

220

34,293

222

4,237 Yokohama 6,828

100

21 Oct 80 138

157 22 Oct 60

1 Nov

2013

Mitsubishi

15 Nov

Honda

16 Nov

2012

Volkswagen

Kia

17 Nov

158

Wellington 68,612

Lyttelton 82,380

8,826

7 Nov

13- Nov

16 Nov

17 Nov

4 Dec

23 Nov

11 Dec

29 Nov

11 Dec

BMw

Subaru

Audi

Mercedes-Benz

Peugeot

Jeep

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Dec

226

oct

35,693

nov

(266)

sep

go to www.autofile.co.nz/subscribe for the latest industry news TARGETED ADVERTISING SPACE 154

7,272

Auckland 1,400 7,962

JUL

77,438

2013 predicted sales

1,654

30,322

120

aUG

Oct ‘13

ytd total

30 Oct

130

JUn

20 Oct

apr

Dec ‘13

132

220

may

Nov ‘13

125

214

28,668

Feb

9,362

1805

216

28,159

mar

7,006

Oct ‘13

27,077

509

Jan

11,065

Sep ‘13

25,594

1,082

Dec

Aug ‘13

(471)

1,483

oct

8,423

6,347

nov

Jul ‘13

6,800

5,908 Osaka 7,542 Nagoya

sep

Jun ‘13

8,051

JUL

7,429

Hyundai Mazda

Nissan Morning Miracle Suzuki V5

aUG

7,391

May ‘13

Sepang Express V9

JUn

6,329

Apr ‘13

Ford

LATEST SCHEDULE

apr

Mar ‘13

223

may

7,027

6740

238

26,065

(2,030)

Feb

Feb ‘13

24,837

7,385

180

160 104 Hoegh Xiamen 117 140 115V20 222

Port 1,228 5,799Calls

mar

5,355

Days stock in nZ - new cars

Subscribe - FREE 26,867

Total stock at the end of December 2012 Jan ‘13

dAyS AVerAge SALeS per StoCk dAy - ytd At hANd

StoCk

VArIANCe

Days of stock

NeW CArS SoLd

Imported

Make

Toyota

Holden

850 wds

Payment protection

119

211

12% 14% 13%

GAP

212

26,867

Insurance

25,153

1,714

13,883

Jan

2013

2,469

6,102

76,871

6,484

7,816

January to 131 in October. Last year 90,754 units were imported and there were 76,871 sales for a variance of 13,883.

5,506

12 nger VehicleMay 211 2,507 (1,179) 6,867 5,688 Sales need to bear in Oct ‘12 by Make - “Dealers and June. numbers in April, Novemalso ber 2013 18 213 3,810 1,303 8,486 ‘12 nger Vehic Passe mind it takes four to six weeks to New Nov “The stockpile occurs more at le Sales7,183 by Mode 14 Nov '13 215 (705)l - 3,105 Nov '12 Novem 7,119 Nov '13 6,414 ber ” +/‘12 Dec Japan. 2013 % from stock get 2013 Mkt certain times of the year. Since Mkt Share 2013 total (5,474) 78,311 Share 72,837 Model say 300 Make ytd total Larger operations, of in Nov '13 Nov '12 +/back into the I came1746 Nov Mkt 2013 2013 Mkt 1190industry46.7 % 23.4% Share total 14670 19.3% Share dAyS AVerAge Toyota Corolla 685 USed ImportS 673 StoCk SALeS per StoCk 1.8 35.5 Imported626 SoLd462 VArIANCe 9.2%import8102 cars 8.4% dAy5283 2013 Days stock in nZ - UseD hANd 10.7% - ytd At 6.9% Toyota RAV4 618 596 289 3.7 80 261.3 8.3% 3105 3.9% 2521 6519 at the end of December 2012 8.6% 3.3% 180 Holden Total stock Commodore 572 624 260 -8.3 0.7 171 239 7.7% 176 52.0 (2,929) 7,397 4,468 6695 3.5% 2399 8.8% 3.2% Mazda Jan ‘13Cx-5 160 512 6 243 485 1,501 1,325 6,922 239 8,247 5.6 141 Feb ‘13 6.9% 69.5 5447 3.2% 1989 7.2% 11 243 2.6% Toyota Mar ‘13 2,772 1,271 7,581 Liberty 140 382 8,852 yaris 281 35.9 227 267 -15.0 5.1% 3342 4.4% 5,893 2235244 2.9%24 3,121 3.0% 7,418 10,539 Suzuki Apr ‘13 V1 Swift 120 376 405 -7.2 218 34 250 5.0% 254 8,400 2,507 2.9% 8,460 -14.2 4436 10,967 May ‘13 5.8% 2750 3.6% Ford 351 34 Mondeo 252 272 8,627 227 7,862 29.0 8,089 184 Jun ‘13 4.7% 29100Nov 98 87.8 3661 2.5% 1201 261 1.6%29 4.8% 7,621 (1,006) Hyundai Jul ‘13 9,629 310 8,623 ix35 312 -0.6 80 168 4.2% 81 107.4 (13) 2.3% 2994 3.9% 7,608 1338 263 1.8% 29 8,648 8,635 30 Nov ‘13 Aug Mitsubishi 288 261 Lancer 10.3 29 168 262 3.9% 60 7,494 (114) 7,615 84 3527 7,501 100.0 Sep ‘13 4.6% 2.3% 894 Toyota 202 263 1.2% 35 240 9,323 1,829 8,545 -15.8 1 Dec 2013 10,374 ‘13 Oct Camry 2.7% 168 131 40 2563 28.2 3.4% - 1.7% - 2.3% - 1270 172 Holden ‘13 NovCaptiva 178 -3.4 2.3% 135 1861 319 - -57.7 20 2.4% 19 Dec - 1.8% - 2039 ‘13 2012 2.7% 165 Volkswagen DecGolf 153 7.8 2.2% 134 80,077 30.1 6,218 1645 86,295 103 ytd total 2.2% 0 1.8% 1469 1.9% 163 Toyota 26 Dec 150 Highland 96,145 8.7 er sales predicted 2013 2.2% 118 1748 79 2.3% 49.4 1.6% 1092 1.4% 128 Ford 82 Focus 56.1 1.7% 114 1398 29 Dec 212 -46.2 1.8% 1.5% 1429 108 1.9% Honda 60 80.0 Jazz 1.4% 113 1001 1.3% 1.5% COMMERCIAL STATISTICS76 48.7 922 92 OF THE NEW AND USED 1.2% 65 SPONSORSHIP Ford 41.5 Kuga 1.2% 775 1.0% 18 522.2 FOR YOUR BUSINESS 112 AVAILABLE PAGES IS NOW 1.5% 952 86 1.3% 49 Mazda 75.5 Mazda3 1.2% 724 109 1.0% 151 -27.8 1.5% 1537 64 2.0% 46 le.co.nz Toyota 39.1all enquiries 775 or email on 021 455 Aurionbrian@autofi107 0.9% contact For 478 Brian0.6% 23 365.2 1.4% 447 63 0.6% 56 Holden 12.5 Cruze 0.8% 654 106 0.9% 80 32.5 1.4% 1925 54 2.5% 44 Hyundai 22.7 0.7% Santa Fe 508 103 0.7% www.autofile.co.nz | 27 261 -60.5 1.4% 1847 51 22 2.4% 131.8 Honda 0.7% Civic 443 0.6% 100 115 -13.0 1.3% 44 852 43 1.1% 2.3 Mitsubis hi 0.6% Outland 474 er 0.6% 97 118 -17.8 1.3% 1258 34 21 1.7% 61.9 Hyundai 0.5

TWO SAILINGS PER MONTH JAPAN TO NZ

8,953 90,754

Days of stock

Nov ‘12  41.7% Dec ‘12  20.0% ytd total  12.4%

Sep ‘12

track for 112,000 vehicle sales overall.” Business confidence being high and strong regional economies in Auckland and

Finance

Jan ‘12

MIA stock estimate as at end of December 2011

22% 9% 8500

www.autofile.co.nz 25 8000

16%

7500

New P

Dealer-Auction.co.nz

www.

Utes boost new commercial sales J

une was a bumper month for Ford with its Ranger claiming an 18.2 share of the new commercial market. Holden took out second place in front of Toyota’s Hilux by a mere three units. Overall, figures for new light commercial vehicle sales for June were 4,008, just six units ahead of the same month last year. Year-to-date sales in this segment jumped by 7.7 per cent with 19,273 sales compared to 17,887 for the same period last year. Autofile contacted some dealers to gauge the impact of last month’s Fieldays. “We got a lot of buyers from the Taranaki at Fieldays and sold a few

2013

4250 4000

2014

3750

2015

3500 3250 3000 2750 2500 2250 2000 1750 Jan Feb Mar Apr May Jun

vehicles to people from Auckland too,” says Shaune Carruthers, of Waikato Toyota in Te Awamutu. “Dealers from Thames, Rotorua and Paeroa were also there, so we handed over customers to dealers

Jun'15

Jun'14

+/- %

Jun'15 Mkt Share

Jul Aug Sep

Oct Nov Dec

representing each of those regions. “Members of the older farming community will come out later this year to buy the new Hilux. They are the ones who have been holding back on spending.”

New Commercial Sales by Model - June 2015

New Commercial Sales by Make - June 2015 Make

Stu Tervit, of Rosetown Holden in Te Awamutu, says: “There are a lot of competitors who get into the nitty-gritty selling on what their vehicles have over ours. “But at Fieldays we were able to show customers exactly what our ute has with the Colorado’s body being raised on stilts. It showed the transmission, the motor – practically everything.” Trent Ingham, of Ingham Mitsubishi in Hamilton, says the new Triton is a lot more car-like and, as such, the model is appealing to a broader range of buyers. “However, the market will be down on last year in new and used,” he adds. “Farmers will be prioritising essential spending first.”

New Commercial Sales - 2013-2015

4500

2015 YEAR TO DATE

2015 Mkt share

Make

Model

Jun'15

Jun'14

+/- %

Jun'15 Mkt Share

2015 YEAR TO DATE

2015 Mkt share

15.8%

Ford

810

647

25.2

20.2%

3,540

18.4%

Ford

Ranger

728

574

26.8

18.2%

3,038

Toyota

771

1,107

-30.4

19.2%

3,970

20.6%

Holden

Colorado

484

359

34.8

12.1%

1,811

9.4%

Holden

503

384

31.0

12.5%

1,895

9.8%

Toyota

Hilux

481

847

-43.2

12.0%

2,585

13.4%

Nissan

353

247

42.9

8.8%

1,885

9.8%

Nissan

Navara

353

247

42.9

8.8%

1,885

9.8%

Isuzu

310

272

14.0

7.7%

1,389

7.2%

Toyota

Hiace

236

234

0.9

5.9%

1,210

6.3%

Mitsubishi

234

284

-17.6

5.8%

1,244

6.5%

Mitsubishi

Triton

234

216

8.3

5.8%

1,172

6.1%

Mazda

210

159

32.1

5.2%

719

3.7%

Isuzu

D-Max

213

175

21.7

5.3%

889

4.6%

Volkswagen

136

148

-8.1

3.4%

743

3.9%

Mazda

Bt-50

210

159

32.1

5.2%

719

3.7%

Ssangyong

-16.1

1.8%

383

2.0%

Volkswagen

Amarok

113

-22.1

2.2%

501

2.6%

Mitsubishi Fuso

-21.8

1.5%

301

1.6%

Ford

Transit

10.4

1.8%

480

2.5%

Foton

24.4

1.4%

261

1.4%

Ssangyong

Actyon Sport

-16.1

1.8%

383

2.0%

Hino

-9.7

1.4%

310

1.6%

Isuzu

N Series

4.1

1.3%

207

1.1%

Hyundai

-44.0

1.3%

343

1.8%

Toyota

Land Cruiser

92.3

1.2%

171

0.9%

Ldv

42.4

1.2%

229

1.2%

Foton

Tunland

22.0

1.2%

245

1.3%

Mercedes-Benz

-11.8

1.1%

244

1.3%

Hyundai

iload

-43.7

1.2%

335

1.7%

Great Wall

106

-60.4

1.0%

278

1.4%

Ldv

V80

42.4

1.2%

223

1.2%

Fiat

65.0

0.8%

246

1.3%

Isuzu

F Series

18.2

1.0%

202

1.0%

Scania

154.5

0.7%

113

0.6%

Mercedes-Benz Sprinter

5.4

1.0%

201

1.0%

Ud Trucks

-7.4

0.6%

131

0.7%

Hino

500

-14.3

0.7%

159

0.8%

V240

Man Others Total

4.8

0.5%

109

0.6%

Great Wall

142

122

16.4

3.5%

940

4.9%

Others

4,008

4,002

0.1

100.0%

19,273

100.0%

Total

-69.0

0.7%

211

1.1%

452

496

-8.9

11.3%

2,646

13.7%

4,008

4,002

0.1

100.0%

19,273

100.0%

Now selliNg reNtal vehicles 26 www.autofile.co.nz

Dealer-Auction.co.nz

www.

Quality stock hard to source T

wo dealers in used commercials report good vehicles are hard to come by and they would sell more if able to access them. “The only way we can get a good supply is being over in Japan and picking it,” says Neil Carter, of Warehouse Cars in Mount Maunganui. “The grading systems for these commercial vehicles are different, so you need to know what auctions they are coming from. “I like to know what I’m selling customers. Grading is stringent, but I try to hand-pick vehicles so I know exactly what we’re getting. “I would like to have a yard full of commercials, but that’s impossible because I like to present

2013 2014 2015

Jan Feb Mar Apr May Jun

them in the same way as our cars.” Leon Kingsbeer, of Lifestyle Vehicles in Palmerston North, would sell more used commercials if he could get them. “I feel they are a bit overpriced

Jun'15

Jun'14

+/- %

Jul Aug Sep

Oct Nov Dec

at the moment, so I haven’t been buying a lot of them,” he says. John Cross, of the Ultimate Motor Group in Mount Maunganui, says: “We aren’t getting as many trades as we would like on used Rangers

Used Commercial Sales by Model - June 2015

Used Commercial Sales by Make - June 2015 Make

because they are sought-after. “We sold about 20 units last month and are lucky to have four used Rangers on the yard at one time. “Farmers have been handing them down or selling them to their mates, and it has been like that for years. There is always a shortage of good and lower-kilometre double-cab utes.” Looking at the numbers, there were 690 used commercials sold in June, an increase of 18.2 per cent when compared to this time last year. Toyota again took out top place with 355 sales or 51.4 per cent of the segment, followed by Nissan on 135 units and 19.6 per cent. Mazda rounded out the top three, selling 37 units and claiming 5.4 per cent of June's market share.

Used Commercial Sales - 2013-2015

900 850 800 750 700 650 600 550 500 450 400 350 300

Jun'15 Mkt Share

2015 YEAR TO DATE

2015 Mkt share

Make

Model

Jun'15

Jun'14

+/- %

Jun'15 Mkt Share

2015 YEAR TO DATE

2015 Mkt share

36.9%

Toyota

355

305

16.4

51.4%

2160

50.5%

Toyota

Hiace

266

223

19.3

38.6%

1,581

Nissan

135

118

14.4

19.6%

822

19.2%

Nissan

Caravan

-18.2

7.8%

367

8.6%

Mazda

15.6

5.4%

226

5.3%

Mazda

Bongo

-3.3

4.2%

180

4.2%

Isuzu

11.5

4.2%

179

4.2%

Nissan

Vanette

-12.5

4.1%

177

4.1%

Mitsubishi

38.1

4.2%

170

4.0%

Toyota

Dyna

-4.0

3.5%

171

4.0%

Ford

71.4

3.5%

141

3.3%

Toyota

Toyoace

91.7

3.3%

104

2.4%

Hino

120.0

3.2%

118

2.8%

Toyota

Regius

-29.0

3.2%

189

4.4%

Holden

240.0

2.5%

1.9%

Isuzu

Elf

-15.8

2.3%

101

2.4%

Chevrolet

0.0

1.7%

2.2%

Nissan

Nv200

700.0

2.3%

2.0%

Dodge

300.0

0.6%

0.5%

Nissan

Atlas

27.3

2.0%

1.8%

Mercedes-Benz

300.0

0.6%

0.3%

Mitsubishi

Canter

62.5

1.9%

2.2%

Fiat

0.0

0.4%

1.0%

Nissan

Navara

333.3

1.9%

1.4%

Volvo

200.0

0.4%

0.2%

Holden

Commodore

300.0

1.7%

0.9%

Land Rover

100.0

0.3%

Hino

Dutro

175.0

1.6%

1.5%

Man

200.0

0.3%

0.1%

Toyota

Hilux

42.9

1.4%

1.6%

Mitsubishi Fuso

0.0

0.3%

0.2%

Hino

Ranger

400.0

1.4%

1.0%

Volkswagen

-33.3

0.3%

0.7%

Isuzu

Forward

100.0

1.2%

Daf

-80.0

0.1%

0.2%

Mazda

Titan

300.0

1.2%

0.8%

Factory Built

0.0

0.1%

0.3%

Chevrolet

Pickup

200.0

0.9%

0.3%

Ranger

Gmc

-50.0

0.1%

0.6%

Ford

200.0

0.9%

Others

-76.2

0.7%

104

2.4%

Others

101

5.2

14.6%

745

17.4%

690

584

18.2

100.0%

4,279

100.0%

Total

690

584

18.2

100.0%

4,279

100.0%

Total

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To find out more about this growing market, contact Danny Knight on 0274 443 433 or 09 412 2765 or email danny@autohub.co.nz www.autohub.co

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