Autofile 7 October Online Version

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Issue 18-2014 7 October 2014

Drive Electric sets agenda for future

In this issue

he organisation charged with encouraging the uptake of electric vehicles (EVs) and their associated services and technologies in New Zealand is changing its name and the way it operates.

The Association for the Promotion of Electrical Vehicles (APEV) will now be known as Drive Electric with four board members at the helm following its annual general meeting last month.

The restructuring means Rob McEwen is moving away from executive director duties to fully

p19 Paying reasonable costs

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focus on EVolocity, the country’s biggest electric motorsport event, while remaining as a director of the new organisation.

Mark Gilbert, chairman of Drive Electric, says: “We have proposed a lot of changes brought about by APEV needing to look at what it’s been doing and, most importantly, what it will need to do in the future.

“You can come up with the best ideas in the world, but without funding and a good structure in place they can be hard to achieve.

“Former executive director Rob McEwen has been extremely

busy with our EVolocity project in Christchurch and we need directors to focus on governance and strategy – and then resource for execution.

“We have come up with a transformative new strategic plan, which includes the name change to Drive Electric.”

Gilbert told Autofile the organisation has discussed the changes with key players, members and industry stakeholders.

“APEV was formed more than three years ago and has done a lot of excellent work,” he says.

p3 Own goals during election p10 Future of driverless cars p14 Safety ratings concerns p16 Latest industry movers

p20 In-depth sales statistics

Specialised training to increase your sales Find out more on page 7

[continued on page 4]

Hurdle to Aussie used imports Engineered

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he Australian government has indicated it will steer clear of opening its borders to higher volumes of second-hand vehicles.

The country’s Productivity Commission has recommended easing restrictions in the wake of car manufacturing there ending in 2017.

But Jamie Briggs, the Assistant

Minister for Infrastructure and Regional Development, says this may not be acted on.

A discussion paper has been published on a review of the Motor Vehicle Standards Act (MVSA), which legislates what can be imported in compliance with the Australian Design Rules (ADRs).

But Briggs says implementing a new policy on used imports may

be a no-go because evidence from New Zealand indicates the age of the fleet may be pushed out.

While the federal government has no direct responsibility for road rules, licensing arrangements or driver standards, it can determine which vehicles enter the country.

The review of the MVSA aims to identify options to reduce the

to excite

[continued on page 8]

GLOBAL VEHICLE LOGISTICS

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editor’s note

Call Steve Owens now on 021 947 752

Election with so many own goals

J

ohn Key avoided too much gloating after National’s success at the general election. He must have been delighted, but managed to remain circumspect.

This was in contrast to David Cunliffe’s concession speech, which was almost embarrassing to watch.

It was an about-turn in presentation, with Cunliffe coming across more statesmanlike than a tired-looking Key during TV debates before scoring an own goal on capital gains tax.

Still, it’s hard to see many people changing voting patterns with those on-screen ding-dongs being so close to polling day when most people have already made up their minds.

The smell of dirty politics, however, is likely to linger and more may come out from the Kim Dotcominstigated “moment of truth”.

This produced serious matters, but didn’t create a hot potato. It was more like a bowl of insipid mash. If anything, the mass spying claims seemed to work in National’s favour by pushing issues off the agenda.

Comments on talkback radio, on the other hand, reinforced some listeners as potential members of Mike King’s Nutters’ Club.

“We don’t want Germans coming into our country and telling us what to do,” bleated one.

Never mind Dotcom came here under National’s investorplus category for which a multimillion cheque is needed and his permanent residency required ministerial sign-off.

As someone who spent about six months applying to come here under the skilled migrant scheme – with fees totalling about $10,000 – it does irk somewhat that someone with $10 million spare can waltz in.

So what about election policies? Serious stuff went off the

Dotcom-induced agenda, which meant the automotive industry hardly got a look-in.

The Greens’ announced plans to replace the government’s BMW fleet with Teslas, while they unveiled subsidies for electric vehicle (EV) buyers.

“To help spur the uptake of electric cars, we will offer a $1,000 cash-back payment to the first 10,000 New Zealand-new EVs sold,” the Greens’ press release stated.

This was little more than a publicity stunt because $1,000 is unlikely to change anyone’s purchasing decisions.

In California, the uptake of such rebates has been quite good at the equivalent of $6,300 here.

In the UK, buyers can apply for up to 25 per cent to a maximum of $10,300 for an electric car and 20 per cent, or $16,500 for an electric van.

Then there was ACT saying it was time for the emissions trading scheme to be canned and this would be a “high priority during negotiations with National post-election”.

Time will tell if levies car importers have to pay because greenhouse gases are present in airconditioning units are scrapped, but ACT’s election collapse surely leaves it in no position to demand anything.

The Electoral Commission estimates voter turnout at 77 per cent of those enrolled with enrolment figures coming in at 91.7 per cent, down from 93.4 per cent.

Perhaps this needs cross-party consideration in the Beehive, but that’s as likely as Dotcom being crowned king of the dominion.

And, finally, some positive news.

This is the 100th issue of Autofile published by 4 Media Ltd since its purchase back in April 2010, so here’s to hundreds more.

Darren Risby, editor

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Putting spark into market “For this to continue, we need to structure ourselves towards our customers and stakeholders to generate financial and human resources to achieve goals.

“Some members we spoke to thought the APEV name was a bit confusing, and we needed to take a more collaborative and co-ordinated approach with stakeholders.

“This includes getting back to basics, exploring commercial opportunities, delivering on public education, and making EVs more normal and every day for consumers.”

Drive Electric intends to focus on three separate work streams, which will likely require their own resources.

The Plug-in and Electric Vehicle New Zealand working groups may have their own

managers, partners and advisory groups, and EVolocity a manager and sponsors.

The board will oversee strategy and funding, and support people charged with each field, which is now being worked through.

“Drive Electric has to take a fresh approach, which we are

members voted unanimously to go in this direction, and we have confidence in the approach we’re taking and stakeholder endorsement it has received.

“We’re looking to get everything tidied up between now and Christmas to hit the ground running in the new year.”

“There will also be new players entering the market. Other manufacturers will not want to be left out, so basically the plug-in hybrid EV concept will grow.”

Drive Electric recognises the importance of collaboration with the likes of the Motor Industry Association (MIA) and

“Drive Electric will work closer with the vehicle industry and power companies to get improved traction in the EV space.” – Mark Gilbert dealing with at director level,” says Gilbert.

“We feel the name change will give us clarity and direction with stakeholders.

“At our annual meeting,

CHANGES IN THE MARKET

“A lot is happening with EVs at the moment,” says Gilbert. “For example, Nissan is now a lot more price competitive with the Leaf as is Holden with its Volt.

Imported Motor Vehicle Industry Association (IMVIA) on certain issues, such as regulatory reform, when needed.

“We need to have alignment on some key messages instead 

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hristchurch is hosting New Zealand’s biggest electric motorsport event later this year.

EVolocity is an initiative

by Drive Electric, formerly the Association for the Promotion of Electric Vehicles, which also encourages Kiwis to innovate, invent and get involved in future transport.

“The sector is growing worldwide with technology and innovation taking EVs to new places,” says director Rob McEwen.

“I’m sure those who visit EVolocity will see electric vehicles in a new light and some may go away with a new passion.”

The event includes a race between the world’s fastest electric drag motorbike, which makes the 0-100kph dash in one second, and the fastest one in the South Island.

There will be a showcase of three world record-holding EVs from the US and New Zealand’s first Tesla S – the highest-

performance EV commercially available – while a race will take place between a Ferrari and the Tesla Roadster.

American Kevin Clemens, who has set 11 world land-speed records with electric motorbikes built in his workshop in Minnesota, will be appearing with Eva Håkansson.

The Swede holds the titles of fastest woman on a motorcycle, quickest electric motorbike in the world at 434kph and fastest sidecar motorcycle.

There will be a face-off between 16 Canterbury high-school teams, which have developed their own custom-built EVs. And inventors and innovators will be able to go head to head for potential investor backing in a dragon’s den.

EVolocity takes place on November 30 at Ruapuna Speedway, Christchurch. Log onto www.evolocity.co.nz for details and more stories on the event can be found at www.autofile.co.nz.

news

Mitsubishi’s Outlander plug-in hybrid has joined Holden’s Volt and Nissan’s

Leaf as some of the electric models available in New Zealand t of having different ones that the pricing of new EVs and cost of confuse people and – by and used cars. stations address range anxiety. It large – we do already.

“New Zealand benefits from about understanding that this is isn’t an issue with plug-in hybrids, “It’s still early days for EVs, but used imports. For instance, you can mainstream, while EVolocity is for just pure EVs – even though most consultation and collaboration bring across a two to three-year-old project learning – not backyard people don’t drive 150km a day. with key partners and Nissan Leaf for about $25,000. conversions.

“In some ways, we are lagging stakeholders will be critical.”

“That isn’t bad considering a new “EVolocity is building on a bit behind other countries, but Gilbert feels there may be one was priced at about $70,000 a the fact there’s a huge industry many other cities don’t have as many one EV sitting in the corner of a few years ago and cost has been a around new technology and EVs, homes with garages as New Zealand. showroom, and the problem is handbrake for potential EV buyers. and New Zealand should be in it.

“Along with car parks at work, we that its technology isn’t always “The handling of end-of-life “Europe, Asia and the US have two major sources for charging batteries is a concern and that’s being explained and understood as a don’t have the monopoly on EV batteries.” viable alternative. talked about with manufacturers. innovation and creativity, and “It also takes a lot more selling Nissan has set the standard of there’s a multi-billion-dollar COST OF GOING ELECTRIC to consumers who may not have where it intends to go with them. industry waiting out there.

Gilbert believes the market is at a studied EVs’ true benefits. Drive “We support innovation “As part of the EVolocity event in “tipping point” when it comes to Electric will work closer with around financing EVs and believe Christchurch, Canterbury University [continued on page 6] the vehicle industry and power and secondary school students are companies to get improved coming up with great ideas.” traction in the EV space.

INFRASTRUCTURE ISSUES “We also need to work Issues such as charging-station with the Energy Efficiency and infrastructure are ongoing, but Conservation Authority [EECA] and aren’t as bad as some people make have government involvement to them out to be, Gilbert insists. deliver an EV road map.

Many New Zealanders “It’s easy to roll have a garage at numbers off the home or use a car tongue, such park at work, as 20 per Drive Electric, formerly APEV, is a so they have cent of the non-profit incorporated society with its - or anything in between the ability to fleet being four-strong board being chaired by Mark charge cars. electric by Gilbert, ex-managing director of BMW NZ. “We do 2020. It’s Other directors include Rob McEwen, AUTOTERMINAL AUTOTERMINAL need more never that former CEO of the NZ Clean Energy Centre.

SERVICES IN SERVICES charging Hideaki Fukutake is CEO of efu Investment simple, NEW ZEALAND IN JAPAN Ltd and a director of SIM-Drive Corporation. stations. but some THROUGH Duncan Stewart is the founder of < Purchasing > There are targets are 257 WORKSHOPS The Greenhouse and a trustee of < Auction services > thousands of necessary.”

Pure Advantage. < Full compliance > < Inspection services > power poles across New Zealand Repair certification > < < Full shipping services > the country only being already has some < Mechanical servicing > (as required) used for eight hours a day and one advantages, such as achieving < Panel and paint > idea could be to use some with builtabout 80 per cent renewable < Grooming > in billing meters for EVs. energy, which is up there with “Charging stations should be Scandinavian countries. where people go – not just malls and Gilbert says one of the keys for car parks but also suburban main Drive Electric and the EV industry streets, such as Howick village, and is to get past the “green, treesimilar places. However, we shouldn’t hugger brigade thinking” that 257 WORKSHOP rush out and install them anywhere. sometimes prevails. www.autoterminal.com “There’s no doubt charging “Our Plug-in working group is

Who’s on board

FROM JAPAN TO ‘YARD READY’ IN NEW ZEALAND

www.autofile.co.nz | 5

news [continued from page 5]

Steering into an electric future the car industry should be up for such a discussion.”

Gilbert recognises used car prices here reflect incentives offered by the Japanese government for its domestic market, and there are opportunities for innovative pricing solutions to make EVs more affordable.

Also, there will be no road-user charges on EVs until at least 2020 and there’s no excise on petrol to worry about.

Gilbert recalls a recent Institute of Directors meeting when a prominent Auckland businesswoman told him she thought EVs were the way to go.

“She said she could use one to do all of her driving around town because she never does more than 150km a day and plugging it in overnight to charge the battery would save so much money.”

GOVERNMENT INVOLVEMENT Drive Electric believes leadership opportunities with local body and central government can be progressed – especially fleet uptake.

Simon Bridges, Minister of Energy before the general election, has been open to discussions around EVs. The association convened a forum of stakeholders in Wellington in May at which Bridges presented the government’s stance.

The bottom line is the Beehive understands the benefits of having EVs in New Zealand and supports them, but there will be no incentives.

However, if there are barriers to uptake the private sector cannot

Lithium-ion batteries and easy-to-access charging are electric-vehicle fundamentals

Public charging sites There are now more than 30 charging points for electric vehicles across New Zealand.

There are two in Whangarei, one at Raumanga just south of the city and another in Wellsford.

In the greater Auckland area, there are one in each of Albany, Greenhithe, Parnell, Newton, Westmere, Ellerslie, East Tamaki, Wiri, Drury and Pukekohe.

There are two charging points in four suburbs – Glenfield, Newmarket,

address, the government may be willing to help remove them.

Gilbert also says the Ministry for Business, Innovation and Employment has a supply contract for government departments coming up in the first half of 2015 and has yet to identify EVs in tender contracts.

“This is an opportunity for EV and original equipment manufacturers to submit ideas on fleet purchases.”

OTHER FUEL SOURCES In the past, the focus has been on

Mount Wellington and Manukau.

Hamilton and Wellington both have two, while Mount Maunganui, Taupo, Hastings and Palmerston North each have one.

In the South Island, there are two EV charging stations in Christchurch and Alexandra, one in Ashburton and another in Timaru.

New Zealand’s first rapid charger was opened in Whangarei in May. Installed by Northpower, it can recharge a Nissan Leaf from 0-80 per cent battery capacity in 20-30 minutes.

cars using petrol and trucks being run on diesel.

In more recent times, for example, Gilbert says more than 50 per cent of BMWs sold in New Zealand were diesels and that might have climbed to 70 per cent.

“Up to now it has mainly been about fossil fuels, but there will be a transformational shift and alternatives may include fuel-cell vehicles,” he says.

“Peugeot is talking about airpowered hybrids and there was once a Kiwi who said cars could

run on water. That discussion is even coming up again. As the use of petrol and diesel decreases, alternatives will come.”

With New Zealand having a small economy, Gilbert warns against duplication or triplication of fuelling systems and associated infrastructure.

“Eighty per cent of our energy is renewable. We have the capability to get that extra 20 per cent, so it makes sense to adopt EVs in New Zealand. We have the competence and it makes great economic sense.

“There are intangible costs linked to the new health and safety environment, such as training and how emergency services respond to incidents involving alternative fuel vehicles, so we shouldn’t underestimate the cost of this education process.

“This cost to industry ultimately gets passed on in product pricing.”

BACKING FROM THE BEEHIVE Simon Bridges says EVs present an opportunity to reduce emissions, increase the use of

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news t renewable energy and improve transport fuel efficiency.

“EVs can be added to the fleet without any new carbondioxide emissions. Replacing a comparable petrol car with an EV would reduce emissions by more than two tonnes a year.”

A transition to EVs may also cut New Zealand’s $9 billion oil bill and improve security of supply.

“Having EVs means you’re better placed to cope in a natural disaster or other crisis with two sources of energy for transport rather than one,” says Bridges.

“New Zealand has some advantages when we consider EVs. We have high levels of electricity generated from renewable resources.

“Around 75 per cent is generated from renewable sources and we have consented renewables sites for future demand. We have a target for 90 per cent renewable electricity generation by 2025.”

The minister says the energy

benefits of EVs here are greater than in other countries and New Zealand needs no major infrastructure investment.

“Figures from Quotable Value NZ show 85 per cent of homes have off-street parking, which is useful for recharging.

“We also have a low average commute with each driver clocking up about 28km a day – distances batteries in EVs can handle easily.

“The exemption from road-user charges for EVs runs until 2020.

This recognises the importance of encouraging the use of alternative fuel technologies.”

There have been challenges, such as EV prices being up to three times more expensive than internal combustion vehicles.

“Changes in the market suggest prices are starting to come down to a level where EVs can be viable, especially for fleet buyers,” says Bridges.

“We are also starting to see second-hand EVs arriving from

“Eighty-five per cent of homes have off-street parking, which is useful for recharging.”

– Simon Bridges

Japan for private buyers. This is important because most cars bought in New Zealand are second-hand imports.

“This government will not subsidise EV purchases. However, I’m keen to learn if there are other barriers to uptake the private sector cannot address on its own.”

Bridges says the government may have a role in providing information, and is heartened to see two industries – automotive and electricity – coming together on the issue.

“For the vehicle industry, greater uptake by fleets may make EVs more viable with most new cars in this country bought by fleets.”

The government has set up a smart grid forum for dialogue between senior representatives in the electricity system.

Its aim is to advance the development of smart electricity networks through information sharing, supported by analysis and by focused work streams.

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news [continued from page 1]

Fear of drop in car standards burden on business and consumers while improving safety outcomes.

“I recently released an options discussion paper to encourage input on options for modernising this legislation,” says Biggs.

“The Productivity Commission’s proposal to reduce restrictions on second-hand imports is one of many ideas canvassed in the paper.

“While the government understands this move would potentially reduce the cost of vehicles for consumers, evidence from New Zealand indicates it would likely increase the age of the fleet and diminish safety.

“Clearly one of the most important factors in better safety outcomes on our roads is the age of the fleet.

“In this respect and given the risk of a decline in safety outcomes, we are not inclined to open the Australian

Trans Future 6

market to second-hand imports.”

The MVSA was last reviewed 14 years ago. Since then, there have been “significant changes” in vehicle technology and manufacturing.

“We need a regulatory system in touch with modern practice

that encourages innovation and improves productivity.”

Biggs says given the shift to an international regulatory framework, the government is interested in considering options in relation to personal imports of new cars.

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government has no preconceived ideas,” Vinsen told Autofile.

“On the other hand, Briggs has come out with comments to the National Road Transport Forum, which may have been personal views.

“As far as the IMVIA is concerned, it’s business as usual

“We’ve been told all options are on the table and the government has no preconceived ideas.” – David Vinsen

osaka 22 Sep, Nagoya 23 Sep, kawasaki 27 Sep, Auckland 16 Oct, lyttelton 18 Oct, wellington 20 Oct, Nelson 21 Oct

Trans Future 7

The thinking behind this is to ensure consumers have access to the lowest cost, safest and youngest fleet possible.

“Pending the outcomes of the review, I’ve initiated a process to accelerate the harmonisation of the ADRs with regulations

developed by the UN World Forum for Harmonisation of Vehicle Regulations,” he says.

“This will mean that when UN regulations are updated, the ADRs are automatically updated.

“This will provide consumers with access to the safest new vehicles from the global market at the lowest possible cost. It will also mean removing obsolete standards.

“The government will continue to make a vigorous contribution to improving vehicle standards.”

In the near future, this includes implementing the global technical regulation on pole-side impact, and considering mandating antilock brake systems on motorcycles and electronic stability control on heavy vehicles.

Visit www.autofile.co.nz for more on Biggs’ speech to the National Road Transport Forum on September 22.

IT’S ‘BUSINESS AS USUAL’ David Vinsen, chief executive of the Imported Motor Vehicle Industry (IMVIA) and its equivalent organisation across the Tasman, recently attended meetings in Australia on the review of the MVSA. He met with government officials as part of the consultation process about border restrictions and other issues.

“We have been told all options are on the table and the

and we are going through the consultation in good faith.

“We fully expect the Australian government to deal with submissions in good faith as well.”

OPEN MIND ON ISSUES The Australian Automobile Association (AAA) says it’s not against more used imports crossing the border if they comply with ADRs. Executive director Andrew McKellar says the AAA has an open mind on the issue and believes there may be some consumer benefits from cheaper used cars.

But he warns: “We would not support any change that would reduce safety standards.”

The government will also have to address the issue of states adding “another level of complexity” to rules, such as Victoria’s decision to apply mandatory electronic stability control ahead of the federal deadline.

In February, the AAA called for the immediate end to vehicle tariffs in a bid to improve affordability.

“With local manufacturing coming to an end, it’s only fair tariffs on imported vehicles must also stop.”

About 90 per cent of new vehicles sold in Australia during 2013 were imported.

McKellar says: “If tariffs were designed to help protect the local industry, there’s no justification to maintain them.”

news

Hitting the road S

ome of New Zealand’s most expensive cars are going around the country on a transporter so enthusiasts can get up close and personal with them.

A McLaren 650S Spider, Bentley Continental GT V8 S and Flying Spur V8, Aston Martin Vanquish, V12 Vantage S and DB9, and two Lamborghini Huracáns have left Auckland on the Giltrap Group’s roadshow.

The first stop was Christchurch’s George Hotel on October 3 before heading onto Highlands Motorsport Park, Cromwell, for the 10th and Gazley European in Wellington a week later.

“The roadshow is more than about selling vehicles,” says Lee Small, general manager of Giltrap Prestige.

“It’s awesome to see smiles on children’s faces when we rev the engines. They instinctively know the cars are cool.

“The crowd favourite will be the Vanquish and the Bentleys are likely to be sellers because people see them as realistic supercars.

“We hope we may get three or four deals from the roadshow. It’s not normally an instant decision to buy these vehicles and people might even pop back to close a deal a year or so later.”

Despite the marques’ price points, Small says they are still well-represented across the country per head of population and he estimates about 30 per cent of sales will be outside of Auckland.

“Most of our business is in the upper North Island, but there are still a lot of a lot of people wanting to know about the brands in other parts of the country.”

The Giltrap Group regularly sends its supercar technicians south to service its customers’ vehicles.

Dorchester in control

D

“We have become

A more profitable, professional, and efficient unit” “We moved to Provident after meeting with Steve Owens. His industry knowledge and ability to help both us and our clients was impressive. He is a man at the top of his industry, but always available to help with any information and advice.

Stars of the Giltrap Group’s roadshow

orchester Pacific now controls 50.24 per cent of Turners Group NZ, which means the auction house will pay shareholders a special dividend of 15 cents per share as an incentive to accept the offer.

The bid gives shareholders $3 a share in cash, two-year notes with nine per cent interest that convert to Dorchester shares, ordinary shares in the finance company or a combination.

“It’s a positive sign of support to have achieved a controlling interest at a relatively early stage,” says Paul Byrnes, Dorchester’s chief executive.

“The other satisfying aspect is the significant take-up in shares and bonds as part consideration.”

Nick Wheeler, Kelly Ware and Steve Owens reviewing results.

Of acceptances received so far, the mix has been 40 per cent bonds or shares and 20 per cent in cash.

Dorchester already held 19.85 per cent of Turners when it entered into a lock-up agreement with chairman Michael Dossor, who owns 20.8 per cent through Bartel Holdings, for a combined stake of 40.65 per cent.

Turners’ board has already endorsed Dorchester’s $82 million bid saying the offer is within the valuation range of between $2.97 and $3.27 put forward in an independent report.

It states the 9.1 per cent premium to Turners’ pre-offer trading price is lower than the average incentive offered in successful takeovers of listed firms in Australasia.

Steve has helped our company in evolving our Finance and Warranty department into a top performer. He flew to Christchurch, interviewed all the candidates, and managed the training of our new business/ finance manager.

Wheeler Motors has become a more profitable, professional, efficient unit. And our clients are reaping the benefits.

To anyone who doesn’t know Steve, I would personally vouch that 15 minutes of your time would be well spent sitting down with him, explaining your business model, then let him show you how to get better.”

– NICK WHEELER, Dealer Principal, Wheeler Motors

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

www.autofile.co.nz | 9

news

Driving cars into the future T

he roll-out of autonomous vehicles was a major talking point at the 21st World Congress on Intelligent Transport Systems (ITS), with General Motors (GM) lifting the lid on its plans.

Mary Barra, chief executive officer, chose the event to announce the company will implement elements of driverless technology in certain 2017 models, which will be enabled with vehicleto-vehicle (V2V) communications.

Super Cruise, the working name for GM’s automated motoring systems, will include hands-off lane following, and braking and speed control in certain conditions.

V2V communications may also reduce crashes and improve congestion by sending and receiving basic safety information, such as the speed and direction of travel between cars approaching each other.

Mary Barra, chief executive officer of General Motors, at the ITS World Congress

“A tide of innovation has invigorated the automotive industry and we are taking giant leaps forward to remain a leader of new technology,” Barra told the conference.

“We aren’t doing this for the sake of the technology itself – we’re doing it because it’s what customers around the world want. Through

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enable the automotive world to develop intelligent cars.

“Partnerships are important to develop vehicles with increasing levels of knowledge about conditions, from the road itself to points of interest and the weather,” he said.

“The car will then use that information to provide drivers with assistance, convenience and safety.

“We will need brainpower from various sources that provide safetyrelated systems, sensor technologies, connectivity solutions, analytics and other expertise to deliver affordable technology and innovation, we will experiences.” make driving safer.”

Ford has started real-world testing V2V technology can supplement of technologies with partners. In the safety features, such as forwardUS, it has teamed up with the Crash collision warning, already available Avoidance Metrics Partnership. on many cars.

“This is an opportunity to However, some words of caution collaborate on pre-competitive in regards to ITS were voiced by research projects not only Ford’s executive chairman. addressing safety and driver Systems that allow cars to talk assistance, but also security and to each other and drive themselves privacy concerns,” said Buczkowski. may scare some motorists, warned “We all have a story to tell Bill Ford, and the industry should about a personal experience that allow consumers to opt out. frustrated us.

“A lot of this is cool technology, “These stories are often about but it freaks some people out,” getting from A to B. They remind he said. “Some people hear us they aren’t simply points on a ‘autonomous driving’ and say, ‘I map, but include multiple forms of never want to get into that vehicle’. transport and activities – such as “Others say, ‘I don’t want my car parking, walking, buying tickets or talking to other cars – that’s terrible’. finding a colleague.

We have to do this thoughtfully.”

“The goal is to create an efficient, seamless and safe plan PARTNERSHIPS ARE ESSENTIAL with a minimum of effort.

Car makers are racing to “Intelligent highways develop features, can prevent close calls such as brakes when cars swerve being applied into our lane Visit www.autofile.co.nz for automatically or rear-end more news from the 21st ITS World when collisions Congress in Detroit. impending when drivers The site features Mitsubishi Heavy Industries’ collisions two cars exhibits on toll and in-vehicle systems. are ahead slam The conference also saw New Zealand’s detected, on the brakes Ministry of Transport inducted into the while Google to avoid an ITS Hall of Fame for its action plan is developing obstacles. on rolling out technologies the technology “Enabled in this country. for a completely with wireless driverless vehicle. communication between Jim Buczkowski, of Ford Motor vehicles and infrastructure, realCompany, said V2V and vehicle-totime data can enhance mobility on infrastructure (V2I) systems would  a massive scale.”

More online

news t AIMING FOR ZERO COLLISIONS Honda wants to achieve a crashfree society through driving systems that protect occupants and others on the road.

Its automated vehicle driving systems on show included steering and braking, and motorway entry, exit and lane change.

For example, its vehicle-topedestrian/bicycle system links with a pedestrian or cyclist’s smartphone with an application that warns the car driver about them and other potential issues.

Honda’s lane-level hazard information, plus automated lane change, combines V2V and cloud communications.

It uses information from cars ahead to build images of upcoming traffic and hazards, which the vehicle can use to automatically change lanes.

The invisible future world of vehicle-to-vehicle communications

There was also a 79GHZ radar for infrastructure with a millimetrewave radar sensor, which could be used with side-of-vehicle and infrastructure sensing.

The company also had logistics probes that use dedicated shortrange communication (DSRC), GPS and its audio companion service with a personalised blend of entertainment and information.

MAKING MOTORISTS MOBILE COMMUNICATION IMPORTANT Toyota showcased initiatives aimed at Some of Denso’s systems combine developing a “smart mobility society” sensing and human-machine that links people, cars and places. interface (HMI) technologies.

The marque’s co-operative ITS The global use V2V and vehicleautomotive supplier’s to-infrastructure (V2I) advanced drivingcommunications, support system offers automated driving motorists information technologies and without distraction. advanced support It staged systems. demonstrations with Toyota’s nextone showing how two generation functions vehicles can “talk” to include vehicle and each other using DSRC pedestrian detection, and fourth-generation and turn-collision communications. prevention.

Another showcased A simulator at automated driving the conference in using the same device Detroit enabled users that enables V2V to experience V2I applications, while there – Bill Ford communication, while a third illustrated how were prototypes of two tractor trailers on-board devices and can travel in tandem 11 metres wireless antenna along with a visible apart equipped with a platooning image-based vehicle sensor. system.

“A lot of this is cool technology, but it freaks some people out.”

IN-CAR SAFETY SYSTEMS Panasonic has been the largest supplier of infotainment systems for motor vehicles since 2011.

Its exhibit included a surroundview camera with sensing features and intelligent mirrors showing unobstructed views.

INDUSTRY ‘ON THE CUSP’ The 21st World Congress on ITS was attended by thousands of experts from more than 65 countries.

The event included 32 interactive demonstrations and a racetrack where students built

and competed in connected and electric-vehicle contests. There was also a village for emerging transportation start-ups.

Other highlights included a chief technology officer summit with global business, government and academic representatives discussing connectivity, managing risk and the tipping point that will put ITS in the public’s hands.

Another event provided a look at how emergency responders work traffic accidents, and how

transportation technology can help by making things run smoother, faster and safer.

Participants staged a mock incident involving an overturned tanker with a co-ordinated land and air response.

Scott Belcher, president of the Intelligent Transportation Society of America, said: “We are on the cusp of a transformation in the way we get around – from connected vehicles that reduce the possibility of a crash to vehicles that drive themselves.”

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www.autofile.co.nz | 11

industry profile

Challenges with compliance I

t has been a busy few months for Nick Owens and his team.

Moving a compliance shop with its hoists and high-tech equipment, as well as keeping track of up to 250 cars, is no easy task.

The relocation of Auto Inspection Services – one of the South Island’s highest volume entry-certification sites for used vehicles – was partly brought on by building repair issues following Christchurch’s earthquakes and also the need for extra space.

“We’ve been in Cass Street, Sydenham, for four months and had been looking to move to bigger premises since our last lease renewal,” explains Owens.

“Our new premises are an old New Zealand Railways Board shed. It’s solid and was built in the 1940s. The only damage during the earthquake was some concrete coming off a few pillars.

“The old workshop in Hazeldean Road had a work area of around 600-650sq m and we had a lot of off-site storage. We were constantly shuffling about because it’s hectic complying 100 cars a week in a small workshop.

“Our new site has about 2,500sq m in total and less office space, but office space doesn’t make you money. We’re pretty much set for the future where we now are.”

The business has also been going great guns for the past eight months thanks to the number of used imports coming in.

“We’ve been doing up to 20 units a day and can get through more than 400 in a month. Everyone has now got over the backlog.

“You have to make money whenever possible in the compliance industry.

“There can be three good months, three terrible ones and six neither here or there. You have to make the most of surges through the year.”

STARTING IN THE INDUSTRY Colin Nichols, Nick’s father-in-law, started a compliance shop in 12 | www.autofile.co.nz

dealers will take them up with their agents in Japan.

“But Joe Bloggs can sometimes think more along of the lines of, ‘I’m sure I can trust them’. This can be followed by problems and, ‘oh dear, my purchase isn’t covered by the Consumer Guarantees Act as I bought it in Japan over the net’ if it goes wrong.

“We try to sort out problems, but I always advise people they are better off using dealers. They don’t always listen, though.”

TAKING GOVERNANCE ROLE

“We try to sort out problems, but I always advise people they’re better off using dealers.” – Nick Owens Christchurch back in the days of when they had to be licensed by the Independent Motor Vehicle Dealers Association.

“I helped him out between jobs in the late 1990s, which got me interested.

“Dick Gray, Graeme McVicar and Peter Johnston set up a business in 1989. Back then, there was a huge backlog of cars in the city needing compliance, so they set it up to get rid of that.

“In 2004, we set up Metro Compliance Ltd to take over the operation and I was running that.

“In 2007, everything went quiet in compliance. There were some closures, which is when Metro merged with Auto Inspection Services run by Dick and Evelyn Weallans.”

Owens is now a shareholder along with Nichols, Gray and

McVicar. “It was with Dick and Evelyn’s retiring last year that I got to wear all the hats.

“It’s a four-man band and they trust me enough to leave me to it.

They were all involved in getting deals done to move us into new premises.

“Obviously there are discussions about the business and industry, but they’re generally happy when they get their annual cheques.

“There’s always a lot to think about running a compliance business – UK and specialist imports, privates, being one-onone with dealers, and working with shipping and customs agents.

“Some dealers, especially new ones, don’t know what to do in this space and people who bring in their own vehicles also need compliance.

“If there are problems with cars,

Owens has been a long-time supporter of the Imported Motor Vehicle Industry Association (IMVIA) and its predecessors.

He became deputy chairman of the South Island branch about two years ago and he’s enjoying the role, especially on the technical side.

“I’m a bit of a nosey parker in that I love to know what’s happening,” he admits. “It’s been an eye-opener and beneficial to my development.

“I feel I’m bringing something to the table with my compliance experience and serving on the IMVIA has meant a step up.

“It deals with people from all walks of life, from ministers and their officials to people promoting electric vehicles [EVs], and organisations wanting us to provide introductions to our supporters and officials.

“We also deal with many issues that aren’t directly related to our industry, such as roading and transport.

“But there’s a lot to learn from other sectors and it’s about building up experience. These issues sometimes end up being connected to one of direct interest so we get ahead of the game.”

Owens has had a lot of contact with Malcolm Yorston, the IMVIA’s technical services and membership officer.

“He does an incredible job and it’s great having Kit Wilkerson on board as policy analyst and adviser,  which has strengthened and

industry profile

Vehicles inside Auto Inspection Services’ compliance shop in Christchurch

t deepened the association’s base.

“Kit’s working on legal, regulatory and statistical matters.

With the workload he is assisting with, it’s a testament to everyone achieving so much with such a small team for so long.

“Malc and Kit’s knowledge is amazing, while Bev Purchase, our admin manager, keeps the office in line and clients happy.

“The association today, stronger in capacity and financially, is due to a team effort led by David Vinsen and fellow executive members, and the support of sponsors and members through some tough times.”

ISSUES ON THE AGENDA One issue many people in the industry are talking about is mandatory electronic stability control (ESC) on all light passenger and commercial imports.

Owens welcomes the rule change and thinks it will have an impact on supply, but not to the levels seen

Behind the wheel Nick Owens’ first car was an AE85 Levin, one of the last rear-wheeldrive Corolla models made by Toyota. “The AE86 is now highly collectable, but mine was the budget version.”

His work car is a Corolla wagon, his wife drives a Mazda CX-7, and he’s got at 1964 convertible Herald, pictured, and a 1970 Sunbeam in the garage.

“My dream car is early 1970s Ferrari 365 Daytona Spyder in black,” he says before joking, “I must be influenced by the television programme Miami Vice”.

before due to legislative restrictions.

“What the IMVIA has negotiated with the government is likely to cause minimal disruption,” he says.

“From a safety perspective, ESC is significant and it will have a positive benefit.

“This cannot necessarily be said of some of the emissions rules, which might have had good intentions but whose outcomes might have been dubious in value.”

Then there’s the possibility of Australia’s borders being opened to higher levels of used imports – a market Owens sees as different to New Zealand.

“You can buy a new Corolla there for less than $20,000 or a new Mitsubishi Mirage for $11,000, so I cannot see much of a market for the likes of 2007 Corollas at $11,000 or $12,000.

“There could be more demand in higher-end late models from the UK, which we see a bit of here, and perhaps some larger sedans and vans out of Japan, such as Toyota’s Alphard.

“There seems to be a bit of a market in Australia for imported vans at the moment. They can go in as campervans due to the way import restrictions are structured.”

The review of the Motor Vehicle Standards Act isn’t just about opening the market – it will also update the Australian Design Rules (ADRs).

“New Zealand used to have standalone standards and the fact the Australian government is looking at accepting equivalent overseas standards is great.

“I believe at the moment side mirrors have to be curved on one side and flat on the other to comply with ADRs, so most vehicles need to have mirror glass replaced on one side.

“Then there are high-intensity headlights. They have to be

removed if they have no lens washer and replaced with standard bulbs – Japanese standards require no washers whereas ADRs do.

“And replacement ADRcompliant rear mudflaps had to be fitted to all new motorbikes until recently as overseas standards for their design weren’t accepted.”

Owens highlights other areas where there’s a lack of common global ground, such as ANCAP testing being different to regimes in Europe and Japan meaning safety-star rating elements can vary between them.

“We also have to look at intelligent transportation systems

with the US, Japan and Europe using different bandwidths that may not be compatible with each other, which begs the question of what we will do in New Zealand.”

Owens is looking forward to the IMVIA’s 25th anniversary celebrations in Auckland on October 17 and meeting up with some industry stalwarts.

“It will be good to see them recognised for their work. Without them the used imports industry wouldn’t be in the position it is today.

“That’s something I think the Australians recognise as well – you have to start off correctly and get things right first time.”

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Online pricing structure for car traders on three levels Trade Me Motors is introducing new packages – basic, torque and turbo – on November 1 as part of a pricing structure the company says will see many registered car traders paying less.

The changes follow the company meeting dealers around the country to find out what they would like to see offered.

All motor vehicle dealers will be moved onto a new package with listingsonly clients transferred onto the basic package. Feature and super feature premium products will still be available with a 10 per cent price rise.

“We have improvements on the horizon to make it easier to buy and sell vehicles,” the company says. “These include improved reporting, ways to differentiate dealerships and better search functionality.”

Over the past year, all dealers have been on Trade Me’s application programming interface, which increases updates to the motors section from every four hours to every 15 minutes.

It has also invested in MotorWeb to provide traders’ customers “with confidence to purchase a car and have total piece of mind”, while MotorWeb integration changes are in the pipeline.

Support and account teams for car traders have been enhanced, while premium products are now available through DealerBase.

Safety ratings have been included to improve data, better search functionality makes finding stock easier and an upgraded dealer resource centre is likely to be released next month.

The changes were first reported by www.autofile.co.nz, which has more information on what each package consists of. Dealers can contact their account managers or customer support on 0800 428 862 for more information.

Engines meet standards three years before deadline Hyundai has unveiled engines offering more performance, greater economy and advanced transmissions at the Paris Motor Show.

Some of its other new technology will be introduced in the all-new i20 small car, pictured, which is due to go on sale in Europe early in 2015.

Its three-cylinder one-litre and 1.4-litre engines are turbocharged gasoline direct injected (T-GDI), and aim to meet demand for small capacity, turbocharged engines.

The one-litre T-GDI can produce up to 120hp and 172Nm of torque. It comes with an electronically controlled waste-gate to optimise flow and improve low-end torque and throttle response.

The unit improves economy and emissions to fulfil Euro 6c standards three years before they are introduced in 2017. Visit www.autofile.co.nz for more highlights from the motor show.

Concerns voiced over safety ratings on commercials Only 55 per cent of light commercial vehicles tested by ANCAP in the first half of 2014 received the top safety rating of five stars compared to 90 per cent of new passenger vehicles.

The issue was illustrated last month with the Jeep Patriot achieving five stars. It offers a high level of protection for occupants, while the rating applies to four-by-two variants with four-by-fours being unrated.

Great Wall’s V200 four-by-four single-cab ute, however, scored three stars, while its previously tested V240 has two stars.

“Light commercials are being afforded concessions when it comes to safety,” says ANCAP chairman Lauchlan McIntosh. “But there’s no reason why they should be built to lesser standards than cars.”

14 | www.autofile.co.nz

new cars

Coupe engineered to excite

N

ew Zealanders will have a choice of two Lexus RC coupe models when the latest addition arrives just in time for Christmas.

The rear-wheel-drive RC350 will feature a direct and port-injected 3.5-litre V6 engine capable of developing 233kW of power and 378Nm of torque.

It will boast an eight-speed automatic transmission with sequential manual mode and paddle shift, while the RC350 will be available in F Sport and Limited grades.

Alongside the RC350 sits the RC F with a new naturally aspirated five-litre V8. It develops more than 330kW of power and 500Nm of torque.

The V6 in the RC350 makes the 0-100kph dash in 4.5 seconds, while the V8-powered RC F has a

limited top speed of 270kph.

The RC350 F Sport features Lexus’ dynamic handling system, which integrates electric power, variable gear-ratio and dynamic rear steering, while adaptive variable suspension (AVS) is standard on all RC350 grades.

The RC F features chassis and suspension modifications, aerodynamic measures and a 19inch wheel and tyre package.

The AVS controls body roll and damping force. Drivers can modify it for stability and ride by selecting the SPORT S+ setting in the RC’s drive-mode system.

All RC variants have an eight-

Line-up gets jazzed up

T

he new Jazz range includes a 1.3-litre S, and 1.5-litre RS, RS Sport and RS Mugen, with sporty exterior and new engines.

The line-up comes in 10 colours with Honda’s “magic seats”, touchscreen, navigation, Bluetooth, reversing camera and alloy wheels.

The third-generation Jazz features a redesigned powertrain with the marque’s “earth dreams” technology.

The all-new Jazz S features a 1.5-litre Atkinson cycle petrol engine with class-leading fuel economy and output.

The 1.5-litre automatic produces emissions of 123g/km with 5.4l/100km consumption figures.

It has maximum power of 97kW at 6,600rpm and torque of 155Nm torque at 4,600rpm, while the engine can be matched with a sixspeed manual gearbox.

By comparison, the 1.3-litre model only comes as an automatic.

It produces 73kW at 6,000rpm and 119Nm torque at 5,000rpm. Its fuel efficiency is 5.1l/100km with CO₂ emissions of 117g/km.

Prices, excluding on-road costs, start at $23,700 for the automatic Jazz S and go up to $30,900 for the RS Mugen with continuously variable transmission.

Honda’s 1.5-litre Jazz Mugen

The Lexus RC F-Sport

speed sport direct-shift automatic transmission with sequential manual mode and paddle shift.

Standard features on all grades include a pre-crash safety system that detects possible collisions with obstacles ahead by using radar milliwave technology.

The system also incorporates pre-collision brake and brake-assist software to help the driver bring the

car to a stop as quickly as possible.

Every RC features vehicle dynamic integrated management to co-ordinate powertrain control, electronic braking, and steering and vehicle stability control.

Lane-departure and hill-start assist, automatic high beam, blindspot monitoring and Lexus’ new rear cross-traffic alert system come as standard.

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Industry movers NZ labour market report ANDY BOOTH, one of the country’s leading racing drivers and the first person to win two NZV8 Championships back to back, has joined Auckland Maserati.

“Andy’s appointment indicates the level of expertise we are aiming for across Auckland Maserati,” says James Berry, general manager.

“As sales executive, he can explain from experience and expertise on what makes a Maserati special. He can also draw on time behind the wheel at tracks as demanding as the Nürburgring.

“Andy also brings more than a decade of experience of providing the highest level of customer service in the New Zealand retail environment.”

Booth’s motorsport career stretches back to 1996 when he started single-seater racing in Australia, Europe and the US. In 2001, he moved into sedan racing and later entered his own team in the NZV8 and V8SuperTourer series being the 2004 and 2005 NZV8 champion.

Booth, pictured, has also twice contested the Nürburgring 24-hour race.

JAQUES GRAY has been promoted to national sales manager with Provident Insurance after being the company’s Auckland regional sales executive.

Gray, pictured, was general manager at Senate Finance for 14 years, general manager for New Zealand at BBX International, and used to be a finance and insurance business manager at Turners.

Chief executive Steve Owens says: “Jaques’ appointment represents significant growth achieved by Provident and adds additional support to our national dealer network.”

LAWRENCE PROFFIT has been appointed to the new position of national sales manager – motor vehicle at UDC Finance. He has been with UDC since 2003 and most recently headed up the equipment dealer channel. Steve Te Waiti continues as the national distribution manager.

CHRISTY CRITCHLEY has been appointed group fleet executive at Automotive Holdings Group.

She was previously fleet sales manager at John Andrew Mazda and Ford in Grey Lynn, Auckland.

GEOFF CHUNG has joined Archibald and Shorter as brand manager for Jaguar.

Chung previously had sales and training roles in the UK, and held sales positions at Team McMillan BMW, John Andrew Mazda and Ford, and Coutts Mercedes-Benz.

BRUCE CLARKE has changed roles at Ateco Automotive New Zealand and is now the distributor for Foton’s utility vehicles. He was formerly technical support manager, while Chris Bird has taken on that role.

JOHN KEENAN has stepped down as general manager of Sime Darby Motor Group’s commercial division.

He started working for the Malaysian-owned company in October 2008 and before joining the group he was general manager of Kia Motors NZ.

TO FEATURE IN INDUSTRY MOVERS EMAIL EDITOR@AUTOFILE.CO.NZ 16 | www.autofile.co.nz

Vacancies for technicians advertising vacancies were down and tradespeople increased by 0.9 by 0.3 per cent and up by 7.6 per per cent in August compared to July, cent respectively. but overall skilled jobs advertised Construction and engineering online fell by 0.4 per cent. had a 10.7 per cent annual jump Trade workers and technicians and a 2.3 per cent month-onalso saw a 19 per cent increase in month decrease. positions when comparing August When it came to the top 10 2013 to the same month this year, fastest-growing professions, while all skilled vacancies went up electrical engineering vacancies by six per cent. shot up by 34 per cent in August The Ministry for Business, compared to the same month of Innovation and Employment last year to come eighth.

(MBIE) reports online vacancies Industrial, mechanical and decreased in two industry groups production engineers came 10th – construction and engineering, with a 27 per cent increase over and sales, retail, marketing and the same timeframe. advertising industries, by 2.3 Skilled job vacancies increased and 0.3 per cent in most regions. respectively.

The biggest jump Despite a was in Otago and decrease in skilled Southland, up by 2.4 vacancies, the allper cent. Gisborne jobs index showed a and Hawke’s Bay 0.9 per cent increase rose by 1.4 per cent. in August compared In Canterbury, to a 0.6 per cent skilled vacancies increase in July. grew by 9.7 per Skilled vacancies cent over the year rose by six per cent compared to 6.8 when comparing per cent nationally. the same month This was driven of 2013 to August 2014, while all by increases in construction and vacancies increased by 12.9 per engineering – up by 25.3 per cent. cent over that timeframe.

Monthly changes for skilled In seasonally adjusted terms, vacancies there were flat to modest online vacancies fell with skilled over the past two years. vacancies down by 3.5 per cent.

David Paterson, of the MBIE, All job advertising decreased by says despite the levelling-out in 7.9 per cent after a 2.8 per cent the demand for skilled workers dip in July. in Canterbury there is still Annually, vacancies increased significant construction work for skilled and all jobs – up by 5.1 required for the rebuild. and 2.8 per cent respectively.

In August, skilled vacancies increased in four industry groups with information technology About 94 per cent of business leaders topping the ladder after say their managers are prepared to make increasing by 1.8 per cent month significant decisions on strategic direction. on month and posting an But only one-third rely primarily on data and annual 3.5 per cent rise. analytics when making big changes.

Accounting, human The five most important decisions in the next 12 resources, legal and months are growing or shrinking the business, administration recorded a 0.9 collaborating with competitors, entering a per cent monthly and 4.2 per new sector and corporate financing. cent annual rise.

Visit www.autofile.co.nz for more on this story.

Sales, retail, marketing and

In Canterbury, skilled vacancies grew by 9.7 per cent over the year compared to 6.8 per cent nationally.

More online

How do your cars stack up?

Price Compare is a new tool added to Trade Me’s Dealerbase product, enabling car dealers to obtain current and historical pricing on specific vehicles all at the click of a button.

Populated by pricing data that has been recorded by Trade Me Motors for a number of years, it helps dealers to further justify pricing decisions before either listing or purchasing a car.

Hyperlinks to matching vehicles that are currently for sale on Trade Me Motors are provided as well as an insight into the number of days similar vehicles have remained on site.

“Gone are the hours wasted trawling though Trade Me Motors trying find a similar car to the one dealers are about to list; all the pricing information, current and historical, is provided in

Most popular car makes searched*

september

statistics

1 Toyota 2 Nissan 3 Ford 4 Mazda 5 BMW

Most popular car models searched*

1 Hilux 2 Corolla 3 Falcon 4 Commodore 5 Golf

one easy to read screen making it even easier to make an informed pricing decision.”

The Price Compare service is currently in beta test, and is being offered to dealers at a reduced price during this period.

We expect to add more features on a regular basis as we continue to develop Price Compare.

Dealers interested in the price compare service should contact their Trade Me Account Manager for further details – 0800 42 88 62 or motors@trademe.co.nz

Most popular body styles searched*

1 RV/SUV 2 Sedan 3 Ute 4 Station wagon 5 Hatchback

Most popular makes of motorbike searched*

1 Honda 2 Harley-Davidson 3 Suzuki 4 Yamaha 5 Kawasaki

A Humvee M1026 has been listed on Trade Me for $150,000. The 1986 model started life in the US military and was used in the Gulf War in 1991.

There’s still a working turret that holds a M2 Browning – gun not included. It also comes with a custom-built trailer.

*in September on Trade Me Motors

www.autofile.co.nz | 17

disputes

Tribunal finds for dealer after it offered to have two vehicle doors painted Background Andrew Boyed bought a 2004 Suzuki Swift from Stuttard Holdings, trading as Discount City Cars, on February 26, 2014.

He rejected it and wanted a refund after claiming the dealer failed to remedy its faults in a reasonable time.

The case Boyed, who test drove the car before buying it, said the salesman promised it would be supplied looking as good as the dealer’s other stock after being groomed and prepared.

They signed a “promise sheet”, which covered the band expander, a dent on the lefthand side of the left-front door, edges of the right-side door, a touch-up of the bumpers and remote key battery.

The vehicle was supplied on February 28 and Boyed acknowledged on the promise sheet that he had inspected the work, accepted it was of acceptable quality and all pledges made at the time of purchase had been honoured.

Boyed said the trader had supplied and fitted a band expander, removed dents in the door and guard, dealt with the bumpers and fixed the remote key.

He was concerned about two small patches of glue on the lefthand side of the dash that hadn’t been removed and he required the trader to rectify that fault.

Boyed said the right-front and rear doors had been polished down to the clear coat and there were some white blemishes about the size of 50 cent coins visible, which could probably

only be remedied by painting those doors.

He also complained about a small scratch in the rear hatch, but during an inspection of the car he was unable to point it out and said he might have covered or eliminated it with polish.

The finding The factors to be considered in deciding if the vehicle was of acceptable quality included it being a 10-year-old Japanese import that had travelled 64,190km when it was sold for $11,500.

The adjudicator and assessor inspected the vehicle on the day of the hearing.

The conditions were overcast but even allowing for less-thanideal natural light, the tribunal considered the vehicle was generally in a tidy condition consistent with its mileage and age.

There was some paint missing on the kick panel by the driver’s footwell as might have been expected of a car driven for that distance, which would have been caused by footwear brushing the paintwork while entering and leaving the driver’s seat.

The tribunal didn’t consider the small glue marks on the dash to be a fault and had difficulty seeing the two small patches when it inspected the vehicle.

The marks were minute and the trader arranged to colour them over so they blended in.

The glue marks were, the tribunal found, a consequence of the vehicle being 10 years old and probably caused by a previous owner affixing a toy or GPS screen to the dash.

The glue marks did not, in the

tribunal’s view, detract from the car’s appearance in any material way.

It tended to think the blemishes in the clear coat on the right-front and rear doors were minor faults that didn’t detract from the vehicle’s appearance and – given the price paid – would probably not be considered as acceptable by a reasonable consumer.

The tribunal, therefore, ruled the car didn’t comply with the CGA’s guarantee of acceptable quality because of those small clear-coat blemishes.

When consumers have rights of redress against suppliers as stated in section 18 of the CGA in respect of the failure of any goods to comply with a guarantee, they may exercise remedies.

Consumers can require suppliers to remedy failures within a reasonable time in accordance with section 19 of the act.

When a supplier refuses or neglects to fix a failure, or doesn’t succeed in doing so within a reasonable time, the consumer can have the failure repaired elsewhere and obtain from the supplier all reasonable costs incurred in having the problem fixed, or reject the goods in accordance with section 22 of the CGA. When the failure cannot be remedied or is of a substantial character, the consumer may reject the goods in accordance with section 22 or obtain from the supplier damages in compensation for any reduction in value below the price paid or payable by the consumer for the goods.

In addition to the remedies set out in sub-sections two and

The buyer applied to The case:and receive a refund reject his car after claiming the dealer failed to remedy faults in a reasonable time, but the trader denied liability under the Consumer Guarantees Act (CGA). tribunal The decisiodn:theThebuye r had

wasn’t convince given the trader a reasonable time to remedy blemishes in the clear coat on the vehicle’s doors and it should be allowed to do so. r Vehicle Disputes At: The Motoland .

Tribunal, Auck

three, the buyer may obtain from the supplier damages for any loss or damage resulting from the failure – other than loss or damage through a reduction in value of the goods – that was reasonably foreseeable as liable to result from the failure.

The purchaser’s evidence was that the vehicle had been returned to the trader although the tribunal was unsure when this occurred.

The dealer had the doors cut and polished. It had come back, according to the buyer, looking “beautiful” but the wax had since washed off and the marks had returned.

The tribunal noted that in an email dated May 19 the trader offered to have both the doors painted and considered it should be given a further opportunity to do so.

It wasn’t convinced the buyer had given the dealer a reasonable time to remedy the fault with the blemishes in the clear coat on the right-hand doors and it should be allowed to do so.

Orders The application was dismissed. The buyer was to return the vehicle to the trader, which had to provide a loan car while it had the right-front and rear doors painted in a tradesmanlike manner at its cost.

GET THE LATEST IN AUTOMOTIVE NEWS 18 | www.autofile.co.nz

disputes

Trader ordered to pay reasonable costs after declining to carry out repairs Background On January 13, 2014, Shane Hawthorn bought a 2004 Holden Commodore from Tasman Bay Motors when it had an odometer reading of 218,409km.

He alleged the trader agreed to fix problems with the car before he purchased it, but this wasn’t done.

Hawthorn sought reimbursement for these, but the dealer claimed it wasn’t responsible.

The case Before buying the car, Hawthorn discussed minor issues he noticed while inspecting it. The driver’s seat trim was detaching, the glove box didn’t close and the fog lights weren’t working.

In addition, the trader agreed to fix a grinding or creaking sound Hawthorn heard on his test drive.

After collecting the car, he took it to Midas Nelson for a check. It found the brakes were shuddering, and recommended replacing the front disc rotors, pads and fluid.

It noted excessive noise and play in the front sway-bar links and said they should be replaced. Its estimate was $838.

Hawthorn accepted some of the items were consumables, but wanted reimbursement for the disc-rotor assembly, sway-bar kit and labour – $568 in total.

Midas’ owner confirmed the diagnosis in the estimate and the components priced were aftermarket. He acknowledged prices could vary widely.

Hawthorn also had Audidoctor quote $503 while Muritai Motordrome’s was $567.

After having the check carried out, Hawthorn returned to the trader with the results.

The car was taken to Waimea Service Centre, which issued the warrant of fitness (WOF) before sale.

Michael Heath, the trader’s director, said the mechanic who inspected the car told him there were no issues to cause it to fail a WOF. On that basis, the dealer declined to carry out repairs and gave Hawthorn an opportunity to unwind the deal but he kept the car – in part because he had entered finance arrangements.

After he started proceedings, the dealer offered to repair the sway-bar bushes and brakes.

Hawthorn told a salesperson he was happy for this to occur, but he wanted to know it would be done properly. The salesperson had to end the conversation to attend a meeting and nothing was agreed.

As well as the bushes and brakes, other minor repairs hadn’t been carried out.

Heath said the trader’s position was that if it was determined the car didn’t meet WOF standards, it would fix it.

When the car came back from Waimea, Hawthorn was advised the trader was unprepared to carry out service-related work and it didn’t appear the brake rotors or sway-bar bushes needed fixing.

Heath’s mechanic looked at the car before it was sold. His opinion was there were no problems that needed fixing.

He didn’t make the mechanic available to give evidence or provide a report from him.

Heath said he offered Hawthorn the opportunity to return the car and take back his trade-in, but he chose to accept the Holden as it was.

He submitted it was of

merchantable quality because it was fit for purpose relative to its age, mileage and price.

Heath also told the tribunal that after Hawthorn had filed his claim, the dealer offered to carry out repairs but the buyer refused.

The cost of repair was disputed with alternative quotes for some parts.

Heath provided a Repco quote for the rotors and swaybar links, which gave retail and wholesale prices.

The retail price for the brake rotors was comparable to Midas’ quote, but the wholesale price was around half the cost.

The links ranged in retail price from $45- $208 plus GST compared to Midas’ $168 including GST. The wholesale prices for the same items ranged from $20-$93 plus GST. Heath said labour would be no more than two hours and provided an estimate for parts needed to fix the glove-box hinge – about $14.

The finding The tribunal took into consideration that the car was 10 years old and had travelled 218,409km when sold.

Having heard the evidence and relying on its assessor, it found the vehicle required repairs to the brakes and sway-bar bushes as claimed by the buyer.

It was satisfied a reasonable purchaser aware of these problems wouldn’t consider it to be of acceptable quality so it failed that CGA guarantee.

The tribunal said the fact a car passes a WOF doesn’t automatically mean it is of acceptable quality.

It also noted whether the car ought to have passed was debatable because a cracked,

buyer alleged The case: The ed to fix some

the trader agre problems with his car then failed to do so, but the dealer claimed it wasn’t responsible for them.

n: While the The decisio pted the trader could

tribunal acce probably have had the faults remedied at less cost than in quotes provided by the buyer, it was satisfied the estimates were within a range of reasonable costs of repairs required.

At: The Motoon.r Vehicle Disputes Tribunal, Nels

damaged or perished sway-bar link or a link with excessive play didn’t meet inspection requirements.

In this case, the tribunal considered a reasonable buyer of this car for $11,990 wouldn’t expect to have to pay about $500 in repairs straight after purchase.

Although not pursued by the buyer, it noted problems with the glove box, trim and fog lights also failed the guarantee of acceptable quality.

Hawthorn asked the trader to fix the faults, but the dealer refused so he became entitled to have repairs carried out elsewhere and recover the cost.

The subsequent offer to carry out repairs after the application had been made to the tribunal didn’t affect the buyer’s right to this remedy and Hawthorn was entitled to recover reasonable costs.

While the tribunal accepted the trader could have had the faults remedied at less cost, it was satisfied estimates provided were within the range of reasonable costs.

The tribunal wasn’t in a position to make orders in regard to other repairs because there was insufficient evidence as to cost.

Order The trader had to pay the purchaser $505 – the lowest of three quotes the buyer provided.

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O

N

L

I

N

E

www.autofile.co.nz | 19

he

co

Nelson Blenheim Greymouth Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napie r New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Westport Christchurch Tim aru Oamaru Dunedin In vercargil l Whangarei Auckland Hamilton Thames Tauranga Rotorua Gisborne Napie r New Plymouth Wanganui Palmerston North Masterton Wellington Nelson Blenheim Greymouth Whangarei S e Hamilton Thames Tauranga Rotorua Auckland 4

8382

 15.3%

p te m

Whangarei NEW: 155 2013: 165  6.1% Used: 227 2013: 138  64.5%

2013: 7615 Thames

1 b er 2 0

NEW: 50 USED:

77

NEW: 537

715

NEW: 117 Used:

NEW: 8 Used:

NEW: 15 Used:

38

6

226

259

2013: 49

NEW: 308 USED:

440

2013: 265 2013: 308

Rotorua NEW: 60

Hamilton 2013: 465  15.5% 2013: 460  55.4%

USED:

NEW: 31 USED:

33

Napier

NEW: 190 USED:

162

NEW: 55

49

USED:

NEW: 720 USED:

888

2013: 127

2013: 60 2013: 25

2013: 634 2013: 638

Blenheim NEW: 61

Westport 2013: 4  100.0% 2013: 3  100.0%

USED:

42

2013: 45 2013: 37

Christchurch NEW: 1656

Greymouth 2013: 11  36.4% 2013: 15  153.3%

USED:

Timaru

NEW: 80 USED:

Oamaru NEW: 24 USED:

Dunedin

NEW: 118

126

32

2013: 26

2013: 197

USED:

2013: 222

318

2013: 89 2013: 89

1529

2013: 62

111

2013: 18

NEW: 272

Invercargill USED:

2013: 41

2013: 162

Wellington

Nelson 2013: 90  30.0% 2013: 122  85.2%

2013: 1204 2013: 1051

 37.5%  45.5%

 29.0%  68.2%

2013: 66

 33.3%  23.1%

 38.1%  43.2%

 32.6%  41.6%

Payment Protection Insurance Motor Vehicle Insurance s

“The best protection for your customers” www.autosure.co.nz 0800 267 873

 24.0%  19.5%

 17.3%  27.6%

 8.3%  96.0%

 35.6%  13.5%

Loan Equity Insurance

 54.9%  135.1%

 13.6%  39.2%

Mechanical Breakdown Insurance

20 | www.autofile.co.nz

2013: 57

2013: 25

Masterton

Palmerston North 2013: 185  24.3% 2013: 183  41.5%

 16.2%  42.9%

2013: 133

134

Gisborne

Wanganui NEW: 65 2013: 51  27.5% Used: 95 2013: 38  150.0%

Used:

 0%  57.1%

2013: 50

New Plymouth NEW: 123 2013: 133  7.5% Used: 177 2013: 134  32.1%

NEW: 230

 46.3%

Tauranga

2013: 3224

5458

Used:

11,142

Auckland  8.8% 2013: 3786  44.2%

NEW: 3507 Used:

Total Used Imported Cars

try

Total New Cars 2013: 7272

d

un

Aroun

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www.armacup.com www.autofile.co.nz | 21

www.heiwa-auto.co.nz

Imported Passenger Vehicle Sales by Make - September 2014 Sept '14

Sept '13

+/- %

Sept '14 Mkt Share

2014 Total

2014 Mkt share

Toyota

2605

1810

43.9

23.4%

22476

Nissan

2183

1334

63.6

19.6%

Mazda

1791

1385

29.3

Honda

1097

808

Suzuki

660

Bmw

Imported Passenger Vehicle Sales by Model - September 2014 Sept '14

Sept '13

+/- %

Sept '14 Mkt Share

2014 Total

2014 Mkt share

Tiida

577

326

77.0

5.2%

5182

5.5%

Suzuki

Swift

542

375

44.5

4.9%

4766

5.0%

16.2%

Mazda

Axela

507

347

46.1

4.6%

4391

4.6%

10018

10.6%

Mazda

Demio

378

407

-7.1

3.4%

3898

4.1%

5.9%

5740

6.1%

Honda

Fit

300

246

22.0

2.7%

3171

3.3%

118.5

4.5%

3859

4.1%

Mazda

Atenza

289

241

19.9

2.6%

2157

2.3%

284

59.2

4.1%

3837

4.0%

Toyota

Wish

281

212

32.5

2.5%

2495

2.6%

436

258

69.0

3.9%

3377

3.6%

Volkswagen

Golf

273

160

70.6

2.5%

2047

2.2%

Mitsubishi

404

331

22.1

3.6%

3521

3.7%

Toyota

Vitz

263

208

26.4

2.4%

2209

2.3%

Audi

228

163

39.9

2.0%

1894

2.0%

Subaru

Legacy

252

160

57.5

2.3%

2183

2.3%

Mercedes-Benz

197

113

74.3

1.8%

1580

1.7%

Toyota

Corolla

230

221

4.1

2.1%

2433

2.6%

Ford

126

109

15.6

1.1%

1075

1.1%

Mazda

Mpv

216

180

20.0

1.9%

1795

1.9%

Volvo

83

44

88.6

0.7%

550

0.6%

Nissan

Note

186

109

70.6

1.7%

1637

1.7%

Hyundai

44

14

214.3

0.4%

318

0.3%

Mazda

Premacy

181

89

103.4

1.6%

1268

1.3%

Lexus

39

18

116.7

0.4%

370

0.4%

Mitsubishi

Outlander

181

131

38.2

1.6%

1400

1.5%

Chevrolet

37

62

-40.3

0.3%

455

0.5%

Nissan

Dualis

170

35

385.7

1.5%

893

0.9%

Land Rover

37

40

-7.5

0.3%

268

0.3%

Toyota

Estima

160

113

41.6

1.4%

1296

1.4%

Mini

32

17

88.2

0.3%

330

0.3%

Honda

Odyssey

158

135

17.0

1.4%

1565

1.7%

Holden

31

20

55.0

0.3%

224

0.2%

Nissan

Skyline

148

38

289.5

1.3%

959

1.0%

Jaguar

30

34

-11.8

0.3%

330

0.3%

Toyota

Ist

143

135

5.9

1.3%

1330

1.4%

Dodge

17

9

88.9

0.2%

120

0.1%

Toyota

Auris

140

65

115.4

1.3%

1119

1.2%

Peugeot

15

9

66.7

0.1%

119

0.1%

Honda

Crv

138

49

181.6

1.2%

851

0.9%

Chrysler

12

5

140.0

0.1%

48

0.1%

Nissan

Teana

131

81

61.7

1.2%

1046

1.1%

Daihatsu

11

17

-35.3

0.1%

144

0.2%

Honda

Accord

127

104

22.1

1.1%

1149

1.2%

Pontiac

9

2

350.0

0.1%

25

0.0%

Nissan

Murano

122

60

103.3

1.1%

979

1.0%

Porsche

8

14

-42.9

0.1%

107

0.1%

Toyota

Avensis

117

79

48.1

1.1%

866

0.9%

Jeep

7

3

133.3

0.1%

56

0.1%

Nissan

Bluebird

115

134

-14.2

1.0%

1155

1.2%

Alfa Romeo

6

4

50.0

0.1%

39

0.0%

Bmw

320i

111

38

192.1

1.0%

955

1.0%

Cadillac

6

3

100.0

0.1%

24

0.0%

Honda

Stream

110

80

37.5

1.0%

916

1.0%

Citroen

4

2

100.0

0.0%

27

0.0%

Nissan

Elgrand

107

25

328.0

1.0%

594

0.6%

Bentley

3

2

50.0

0.0%

19

0.0%

Toyota

Rav4

105

46

128.3

0.9%

807

0.9%

Fiat

3

1

200.0

0.0%

30

0.0%

Nissan

March

103

138

-25.4

0.9%

1292

1.4%

Kia

3

3

0.0

0.0%

27

0.0%

Toyota

Blade

102

57

78.9

0.9%

917

1.0%

Lotus

3

0

300.0

0.0%

7

0.0%

Toyota

Mark x

101

39

159.0

0.9%

821

0.9%

Plymouth

3

5

-40.0

0.0%

16

0.0%

Nissan

Presage

99

93

6.5

0.9%

868

0.9%

24

36

-33.3

0.2%

391

0.4%

Others

3979

2659

49.6

35.7%

33430

35.2%

11142

7615

46.3

100.0%

94840

100.0%

Total

11142

7615

46.3

100.0%

94840

100.0%

Make

Make

Model

23.7%

Nissan

18012

19.0%

16.1%

15407

35.8

9.8%

429

53.8

496

227

Subaru

452

Volkswagen

Others Total

sTricTly dealer only 22 | www.autofile.co.nz

www.heiwa-auto.co.nz

Solid sales across the country T

he registration of used imported passenger cars jumped by 46.3 per cent in September compared to the same month of last year.

There were 11,142 units sold across the country last month while 7,615 were retailed in September 2013.

Darryl McGifford, general manager of AutoTerminal New Zealand, says: “The market in Christchurch, where we have a representation, has been seeing the effects of the rebuild, and almost everyone there seems to want utes and vans.

“People have also been replacing their cars after receiving insurance pay-outs and, judging by the state of the roads there, you probably need a decent four-wheel-drive.

“Our sales have been solid in the South Island and Wellington has also been going well.

“It’s like everywhere else in that if the rain comes, or wallets stay in back pockets for other reasons, dealers can sell 10-20 vehicles one week and none the next.

“It’s interesting the see the amount of dealers entering the fray to sell cars.

“A certain amount of people will always buy privately off Trade Me, but the best protection they can get is from dealing with registered motor vehicle traders.”

Although business models are changing, McGifford doesn’t think a time will come when car yards no longer exist.

“But people are getting smarter,” he adds. “One and two-men operations are realising they don’t need bricks and mortar when they can use a warehouse armed with a list of cars and appointments instead.

“I can see different ways of selling cars coming about, but

most people in the business will adapt and survive.”

Craig Retief, owner of Le Mans Cars in Tauranga, directly imports for buyers and offers about 10 vehicles for sale on his yard.

“Most of time it’s nearly the same process,” he says. “Customers contact me through Trade Me and the vehicle on offer doesn’t exactly suit them, but they see it’s good value.

“I’m then able to email them links to Japanese auction sites so they can preview them.

“Customers can also come to

fluctuate as wildly as before,” says Retief. “Everyone’s more competitive and most dealers’ prices are pretty similar.”

He has heard of some horror stories from members of the public opting to buy direct from Japanese websites instead of going through trusted dealers.

“A lot of these sites don’t give you auction sheets and the vehicles can be in a different condition with rust underneath.

“Shippers and compliance tend to charge private customers extra,

Used Imported Passenger Registrations - 2012-2014 12500 11500 10500 9500 8500 7500 2012 2013 2014

6500 5500 Jan Feb Mar Apr May Jun

the yard and see the quality of the cars and know their used import will to be up to the same standard.”

Retief says vehicles in Japan tend to match up to their grading most of the time.

“The odd time they have a few scratches. It’s generally an issue with the shippers and how many hands touch the vehicle after the auction and I’m the person who ensures that it’s right before it gets to the customer.”

The yen remaining relatively stable has helped make business more predictable.

“The prices of vehicles don’t

Jul Aug Sep

Oct Nov Dec

so you might pay $500 more than buying from dealer – and dealers do everything for them.”

He says buyers can be misled on stock prices on some websites and may end up with something that will only comply in thirdworld countries.

“Some of these suppliers don’t deal with New Zealand often, and may not understand the quality needed here and the rules in place,” says Retief.

“We must have the strictest import regulations in the world for bringing in second-hand vehicles.”

Stephen Moore, who owns

and True Wholesale

Moore’s Cars in Whangarei, says: “I have had a Mini for sale online, which was quite cheap.

“There were 38 people watching it, but no one has brought it [when Autofile called]. I also have a Peugeot 308 advertised online and it’s cheap, but there are only watchers.

“Maybe people were waiting until after the election, or they could be watching auctions even if not interested in the vehicles.”

Moore believes buyers tend to have a “like-minded consciousness” and purchase at a similar time.

Carl Johnson, of Carl Johnson Auto Sales in Whangarei, says: “The biggest change has been the internet and cars from Japan.

“Before used imports, I used to buy stock from all over the country and there was always a shortage. I could buy something in Dunedin and get more money for it up here because it was unusual.

“Today, there are more than 100 small cars and 10 differences in each of those vehicles, so the choice makes the market difficult.”

Last month, Toyota’s sales went up by 43.9 per cent to 2,605 units for a market share of 23.4 per cent.

Nissan came next on 2,183 with Mazda third on 1,791.

More statistics online Check out www.autofile.co.nz for more industry statistics, including September being the biggest month since May with 11,203 used passenger cars crossing the border.

Year to date, 100,383 have been imported along with 4,420 used commercial vehicles coming in.

Imports of new cars totalled 9,622 last month for 74,789 so far in 2014, while the year-todate total for new commercials is 22,513.

Greg Bardsley

Ph: 0279 363 595 email: greg@heiwa-auto.co.jp

www.heiwa-auto.co.nz www.autofile.co.nz | 23

new car sales

1582

1544

1044

603

2014 Total

2.5

18.9%

10266

73.1

12.5%

7505

2014 Mkt share

Sept '14

Sept '13

+/- %

Sept '14 Mkt Share

2014 Total

2014 Mkt share

Corolla

629

566

11.1

7.5%

3838

5.7%

Yaris

373

243

53.5

4.5%

1528

2.3%

Make

Model

15.4%

Toyota

11.2%

Toyota

Mazda

671

592

13.3

8.0%

4913

7.3%

Holden

Commodore

277

140

97.9

3.3%

2259

3.4%

Hyundai

636

693

-8.2

7.6%

5903

8.8%

Mazda

Mazda3

270

238

13.4

3.2%

1792

2.7%

Mitsubishi

515

520

-1.0

6.1%

4002

6.0%

Honda

Jazz

256

74

245.9

3.1%

1290

1.9%

Nissan

496

204

143.1

5.9%

3640

5.4%

Toyota

Rav4

251

339

-26.0

3.0%

1699

2.5%

Ford

479

645

-25.7

5.7%

5244

7.8%

Nissan

Qashqai

213

61

249.2

2.5%

1107

1.7%

Honda

388

221

75.6

4.6%

2699

4.0%

Holden

Captiva

202

156

29.5

2.4%

1762

2.6%

Volkswagen

327

319

2.5

3.9%

3101

4.6%

Hyundai

ix35

186

220

-15.5

2.2%

1436

2.1%

Suzuki

302

334

-9.6

3.6%

3686

5.5%

Mazda

Cx-5

178

212

-16.0

2.1%

1804

2.7%

Kia

256

234

9.4

3.1%

2252

3.4%

Suzuki

Swift

171

227

-24.7

2.0%

1979

3.0%

Audi

184

166

10.8

2.2%

1602

2.4%

Hyundai

Santa Fe

155

122

27.0

1.8%

1426

2.1%

Bmw

181

148

22.3

2.2%

1602

2.4%

Mitsubishi

Outlander

154

156

-1.3

1.8%

1172

1.8%

Mercedes-Benz

180

138

30.4

2.1%

1438

2.2%

Toyota

Highlander

153

95

61.1

1.8%

1325

2.0%

Subaru

175

221

-20.8

2.1%

1347

2.0%

Holden

Barina

141

90

56.7

1.7%

690

1.0%

Jeep

123

91

35.2

1.5%

977

1.5%

Mitsubishi

Lancer

130

196

-33.7

1.6%

1256

1.9%

Ssangyong

108

73

47.9

1.3%

751

1.1%

Hyundai

i30

129

102

26.5

1.5%

1115

1.7%

Peugeot

107

90

18.9

1.3%

836

1.3%

Holden

Cruze

128

122

4.9

1.5%

1236

1.8%

Dodge

71

31

129.0

0.8%

411

0.6%

Nissan

X-Trail

121

50

142.0

1.4%

1091

1.6%

Fiat

68

12

466.7

0.8%

354

0.5%

Mazda

Mazda2

114

50

128.0

1.4%

551

0.8%

Skoda

68

60

13.3

0.8%

650

1.0%

Mitsubishi

Asx

112

33

239.4

1.3%

725

1.1%

Land Rover

57

39

46.2

0.7%

678

1.0%

Volkswagen

Golf

110

138

-20.3

1.3%

1363

2.0%

Lexus

54

48

12.5

0.6%

407

0.6%

Ford

Kuga

105

116

-9.5

1.3%

1053

1.6%

Mini

52

45

15.6

0.6%

411

0.6%

Holden

Trax

102

24

325.0

1.2%

559

0.8%

Renault

41

10

310.0

0.5%

188

0.3%

Holden

Malibu

100

16

525.0

1.2%

305

0.5%

Great Wall

37

9

311.1

0.4%

135

0.2%

Mazda

Mazda6

94

72

30.6

1.1%

574

0.9%

Volvo

34

22

54.5

0.4%

345

0.5%

Toyota

Camry

91

131

-30.5

1.1%

609

0.9%

Chery

28

43

-34.9

0.3%

247

0.4%

Kia

Sportage

79

53

49.1

0.9%

717

1.1%

Citroen

25

37

-32.4

0.3%

316

0.5%

Ssangyong

Korando

79

55

43.6

0.9%

482

0.7%

Jaguar

13

13

0.0

0.2%

100

0.1%

Ford

Territory

77

107

-28.0

0.9%

822

1.2%

Alfa Romeo

12

29

-58.6

0.1%

201

0.3%

Mitsubishi

Mirage

75

121

-38.0

0.9%

475

0.7%

Porsche

12

15

-20.0

0.1%

212

0.3%

Volkswagen

Tiguan

72

90

-20.0

0.9%

602

0.9%

Can-Am

10

1

900.0

0.1%

51

0.1%

Dodge

Journey

71

31

129.0

0.8%

409

0.6%

Isuzu

9

0

900.0

0.1%

69

0.1%

Ford

Fiesta

71

65

9.2

0.8%

744

1.1%

Maserati

9

1

800.0

0.1%

59

0.1%

Ford

Focus

70

148

-52.7

0.8%

1256

1.9%

Mg

8

0

800.0

0.1%

42

0.1%

Peugeot

308

70

41

70.7

0.8%

341

0.5%

0.8%

498

0.7%

0.8%

561

0.8%

0.1%

Volkswagen

Polo

11

-45.5

0.1%

61

0.1%

Ford

Falcon

Chrysler

6

9500

0

300.0

0.0%

19

0.0%

Holden

Barina Spark

1

0.0

0.0%

25

0.0%

Kia

Rio

-66.7

0.0%

74

0.1%

Others

8000 100.0% 15.3

66862

100.0%

Others Total

3

9

8382

7272

9000 8500

Tauranga Rotorua Gisborne Napier New Plymouth Biggest increases/Decreases Wanganui Palmerston North Masterton Wellington By town year-on-year 64Nelson Blenheim Greymouth 33 Whangarei 93.9 0.8% 313 (OctOber 0.5% Auckland 2013 vs OctOber 2012) Hamilton Thames Tauranga Rotorua Gisborne Napier New Plymouth Wanganui Palmerston North Biggest increases 64 32 100.0 0.8% 351 0.5% new Masterton Wellington Nelson Blenheim Greymouth Used westport  100.0% Blenheim  Westport Christchurch Timaru Oamaru Dunedin thames  51.2% nelson  Invercargill Whangarei Auckland Hamilton Thames 30.0% 23747 napier  34.1% rotorua  2512 2400 35.5% Tauranga Rotorua Gisborne Napier New4.7 Plymouth Biggest decreases Wanganui Palmerston North Masterton new Used Wellington Nelson Blenheim Greymouth15.3 Whangarei 100.0% 66862 wanganui 8382 100.0%  27.7% westport  AucklandoHami7272 lton Thames Tauranga Rotorua gisborne  26.8% Masterton 

Total

c t o b e r 2 0 13

7500 7000

2013

6500

2012

timaru

 23.7%

PassengeR Vehicle RegistRatiOns

New versus used

7000

7962

6000

5000

Nov ‘12

Oct ‘13

JuL ‘13

SEP ‘13

JuN ‘13

AuG ‘13

MAy ‘13

1000

FEb ‘13

2000

APr ‘13

5000

4000

MAr ‘13

3000

JAN ‘13

6000

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

North Island

4000

FEb ‘13

8545

New

DEC ‘12

Used

8000

7000

JAN ‘13

9000

Nov ‘12



North IslaNd versus south IslaNd

10000

DEC ‘12

5500

timaru

Used Vehicle RegistRatiOns

CONNECT & ENGAGE 6000

m am 1, th 1

try

3 1

O hi

un

Aston Martin Bentley

o

d

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South Island

APr ‘13

43

0

MAr ‘13

0.1%

7

autopor t.net 39 71.8 67 h e Thames 66 Whangarei tAuckland 68 Hamiltonc-2.9

Aroun

700.0 00 100

Mahindra

The TRUSTED online wholesale trading site.

I

JuL ‘13

Toyota Holden

Sept '14 Mkt Share

+/- %

SEP ‘13

Sept '13

JuN ‘13

Sept '14

AuG ‘13

Make

New Passenger Vehicle Sales by Model - September 2014

MAy ‘13

New Passenger Vehicle Sales by Make - September 2014

Used imPORt PassengeR Vehicle RegistRatiOns by city

aucklaNd, wellINgtoN, chrIstchurch

24 | www.autofile.co.nz

4500

600

3500 3000

hamIltoN, tauraNga, duNedIN, PalmerstoN North

4320

4000 Auckland

500

Hamilton

new car sales

Best September since 1986 N

“Buyers are coming into the market more informed than they have ever been because of the internet,” he says.

“But it’s a concern trying to get the right people for the parts and service side of the business because the service adviser position has become more sales orientated rather than just taking orders.

“Service advisers are now having to learn how to try to upsell customers.”

When it comes to staffing, Simon Lucas, of Simon Lucas North Shore in Auckland, believes it’s

New Passenger Registrations - 2012-2014 9000 8500 8000 7500 7000 6500 6000

2012 2013

5500

2014

5000 Jan Feb Mar Apr May Jun

xxxxxxxxx

Annual high for stockpile

stock for too long.

“The industry tends to manage stock levels quite well and does this day in, day out,” he told Autofile.

“My data suggests this is a cyclical thing and levels were no higher in previous years, but they

NeW CArS SoLd

Imported

dAyS AVerAge SALeS per StoCk dAy - ytd At hANd

StoCk

VArIANCe

12,984

MIA stock estimate as at end of December 2011 Jan ‘12

5,026

7,499

(2,473)

10,511

242

43

Feb ‘12

7,368

5,633

1,735

12,246

223

55

Mar ‘12

7,228

6,499

729

12,975

218

59

Apr ‘12

6,285

5,430

855

13,830

209

66

76

May ‘12

7,742

5,942

1,800

15,630

205

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

8,870

7,142

1,728

17,358

211

7,894

6,208

1,686

19,044

209

91

8,589

5,959

2,630

21,674

207

105

Sep ‘12

6,828

191

21,865

209

105

Oct ‘12

8,155

7,336

819

22,684

211

107

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

8,953

6,484

2,469

25,153

212

119

6,102

1,714

26,867

211

128

76,871

13,883

Imported

Feb ‘13

7,027

Mar ‘13

6,329

Apr ‘13

7,391

May ‘13

7,429

Jun ‘13

8,051

Jul ‘13

8,423

StoCk

VArIANCe

26,867

2013 predicted sales

Port 1,228 5,799Calls

24,837

6,800

(471)

25,594

160 104 Hoegh Xiamen 117 223 140 115V20 222

1,483

27,077

216

1,082

28,159

214

132

509

28,668

220

30,322

220

130 21 Oct 80 138

34,559

220

34,293

222

5,908 Osaka 6,347

7,542 Nagoya

26,065

238

125

120

20 Oct

100

6,769

1,654

7,272

(266)

35,693

226

158

40

-

-

-

-

-

20

-

-

-

68,612

8,826

4,237 Yokohama 6,828

January to 131 in October.

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

normally does.

“If the monthly stockpile was 10,000 on a regular basis it means there are solid holding numbers,” he told Autofile. “North of that and we would be looking at an

Make

Toyota

Holden

Ford

LATEST SCHEDULE

(2,030)

Sepang Express V9

Hyundai Mazda

Nissan Morning Miracle Suzuki V5

30 Oct

31 Oct

2013

Mitsubishi

15 Nov

Honda

16 Nov

2012

Volkswagen

29 Nov

11 Dec

ISING ED ADVERT TARGET PORT TO DOOR SERVICE

SPACE

Ssangyong

Dodge GENEROUS REWAR DS



MPI Border inspection

Lexus

Land Rover Ship your motor vehicles on

Dec

oct

nov

sep

JUL

aUG

JUn

Mercedes-Benz

Peugeot

apr

Audi

may

11 Dec

Feb

23 Nov

BMw

Subaru

Jan

16 Nov

0

4 Dec

mar

13- Nov

Kia

17 Nov

17 Nov

Dec

7 Nov

oct

Lyttelton 82,380

1 Nov

154

nov

Wellington -

157 22 Oct 60

sep

77,438

Auckland 1,400 7,962

JUL

-

aUG

9,362

JUn

7,006

apr

11,065

INCLUDING : WE BE LOOKING AT YOUR BUSINESS? SHOULDN’T PROGRAMMESkoda

495

Imported

USed ImportS VArIANCe SoLd

StoCk

dAyS AVerAge SALeS per StoCk dAy - ytd At hANd

8,579

Total stock at the end of December 2011 Jan ‘12

3,191

6,375

(3,184)

5,395

206

26

Feb ‘12

4,920

6,000

(1,080)

4,315

210

21

Mar ‘12

6,504

6,429

75

4,390

209

21

go to www.autofile.co.nz/subscribe for the latest industry news Jeep

h

says Macdonald.

“Dealers then jump online to buy more from Japan, but that’s

25 206 5,126 736 match demand.

5,877 6,613 Apr ‘12 29 208 6,026 900 6,793 “When the market’s down in 7,693 May ‘12 33 208 6,789 763 6,184 Japan, stock is hard to get. When 6,947 Jun ‘12 26 209 5,483 (1,306) 6,641 5,335 it’s buoyant, you tend to buy what Jul ‘12 oversupply issue.

21 210 4,402 (1,081) 6,621 5,540 you can because you don’t know Aug ‘12 “There was good buying in Japan 18 209 3,686 (716) 6,222 time. next 5,506 available be will ‘12 what Sep arrival high saw we and in March, 12 211 2,507 (1,179) 6,867 in bear 5,688 to need also ‘12 Oct “Dealers numbers in April, May and June.

18 213 3,810 1,303 7,183 to 8,486 Nov ‘12 mind it takes four to six weeks “The stockpile occurs more at 14 Nov '13 215 3,105 (705) Nov '12 7,119 Nov 6,414 ” Mkt +/- % Dec ‘12 stock from Japan. get'13 2013 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 5.1% -15.0 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 263 1.8% 29 3.9% 7,608 8,648 1338 8,635 30 Nov ‘13 Mitsubishi Aug Lancer 288 261 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 20 2.4% 19 Dec - 1.8% - 2039 - -57.7 ‘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 NOW IS PAGES 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%

Subscribe - FREE may

Oct ‘13

ytd total

180

7,385

Feb

Dec ‘13

Christchurch.

“If you add in Dunedin and Wellington, these centres cover a large proportion of the population and all have strong economies.”

Year to date, 77,438 new cars have been imported and 68,612 have been registered to give a variance of 8,826 so far this year.

Days with stock at hand has been steadily increasing from 78 in

Days stock in nZ - new cars

Jan

1805

Nov ‘13

dAyS AVerAge SALeS per StoCk dAy - ytd At hANd

mar

Oct ‘13

other centres.

“But 80 per cent of New Zealand’s population is in Auckland and

with 30 to 40 cars.

“They can suddenly be selling without having bought for a few weeks and being 10-15 units down makes them more susceptible,”

Payment protection

NeW CArS SoLd

5,355

Sep ‘13

7,494 in September.

There have been two other major increases during 2013 – with variances between imports and sales of 3,121 in April and 2,507 in May. Graeme Macdonald, chairman of the North Island branch of the Imported Motor Vehicle Industry Association, says the current stockpile should correct itself – as it

has gone up.

“October and November are normally difficult for the industry, so the stockpile tends to go up,” says Macdonald. “But trade swings up over Christmas and the holidays, so it goes down.

“December and January are good months for sales because people take time off work, the kids are off school and people may have Christmas bonuses or holiday pay.

“It’s a time when Kiwis tend to make financial decisions, so dealers need to have plenty of stock to

always been the way.

“You can oversupply when buying conditions are good, but the marketplace normally corrects itself by pulling back from Japan or selling down. The numbers might drop for a month or two before trundling up again.

“There’s no magic supply-chain miracle. When it’s slow, it tends to be slow for everybody. If you can get good supply with a good exchange rate, everyone benefits.”

Days of stock

90,754

Jan ‘13

Aug ‘13

hot, SUVs are.

“People in the housing market are refinancing their mortgages to buy big-ticket items especially when they are confident about keeping their jobs.”

All that said, some of the regional centres, such as Hawke’s Bay and Palmerston North, aren’t showing as much growth as

units, are more static with their holding not changing too much.

A drop of 50 units may not be too drastic. But stock can vary enormously by proportion on yards

TWO SAILINGS PER MONTH JAPAN TO NZ

7,816

Total stock at the end of December 2012

6740

82

Days of stock

2013

6,637

during 2012.

There were 54,404 sales in 2009, 62,029 in 2010, 64,019 in 2011 and 76,871 in 2012, and the MIA is predicting about 82,000 passenger vehicle and SUV sales this year.

“We’re looking at about 30,600 light commercials and we’re on track for 112,000 or 113,000 new vehicle sales overall.”

Business confidence being high and strong regional economies in Auckland and

T

1996, it has ebbed and flowed.”

Used car stock levels are traditionally based on what’s happening in Japan and what consumers are buying here.

Conditions there have improved recently and the exchange rate

he amount of stock held by used car dealers during October was the highest monthly total of the year.

There were 10,374 units imported last month with a variance of 1,829 on 8,545 sales.

The number of cars in stock amounted to 9,323 compared to

Christchurch are boosting sales.

“Trades people are upgrading their vehicles,” says Crawford.

“Although passenger cars aren’t so

Finance

ighest of 2013.

There were 7,962 sales last month, also this year’s biggest mount, while the variance was ,400 with 9,362 units imported – he second highest amount after 11,065 imports in August.

The total stock figure at the end of December was 20,683 and

Oct Nov Dec

GAP

S

did come down after the global financial crisis [GFC].

“Stocking levels then increased again and they respond to the number of new vehicles sold and the rate at which they are sold.

“They basically go up when sales go up, but I’m not so sure about the days stock is held for being longer and can’t explain that.

“Average sales per day came down during the GFC and before that they were much higher.”

If 80,000 vehicles are sold one year and 100,000 are sold the following year, the average sales per day should be higher – and the MIA is expecting more new vehicles to be sold this year than

that dropped to this year’s low of 18,653 in January.

David Crawford, chief executive officer of the Motor Industry Association (MIA), says current models aren’t sitting around in

Jul Aug Sep

getting tougher for many university to between 10 and 20 per month.” graduates to find employment and Kelly says buildings around the the industry needs to work harder business are still coming down to recruit them. because of Christchurch’s rebuild, “A sales career in the motor which is causing dust and air industry opens an enormous pollution. amount of opportunity,” he says.

“We are in the health precinct “Just think of the exposure you so there’s a compulsory buy on the can get in a sales role. It’s a great way premises, which could be anywhere 2013 Dealer stock of used car imports in New Zealand - Oct to understand a whole lot of business between two and 10 years’ time.

2012 fundamentals, such as information “This limits what we can do as management and finance. to expansion. The brand has grown “For someone who has their eyes and we haven’t been able to grow, so open, it presents a great opportunity.” we’ve purchased land on Moorhouse New Passenger Vehicl 2013 Stephen Kelly, generale Sales by Make - NovemberAvenue in Passe case to go.

New ngerwe Vehiclhave e Sales by Model - Novem ber 2013 manager of Volkswagen with Miles “Depending on where the wind

Industry manages levels well

tock levels of new cars have increased every month except one this year, with October’s total of 29,509 being the

Continental in Christchurch, has been working for the Miles Group for nearly 10 years.

“We are probably selling twice what we were three years ago in new passenger vehicles,” he says.

“The Golf and Tiguan are still driving that market, the Polo will come back with a vengeance when the new model is launched and for every Amarok we are selling five passenger vehicles.

“When the Golf 7 was launched, we were selling one or two a month and when it was announced as world car of the year, sales instantly shot up

surance

ew passenger vehicle sales last month were largely unaffected by the general election with 8,382 units sold.

Registrations were up by 1,110 – or 15.3 per cent – compared to the same month last year.

It was the biggest September for car sales since 1986 and brought the year-to-date total to 66,865 and up by 6,218 units, or 10.3 per cent, over the same timeframe.

SUVs made up last month’s strongest-selling segment with 28 per cent of all registrations. They were followed by pick-ups and chassis cabs on 19 per cent, and small passenger cars with 16 per cent.

“We’re extremely happy with the overall result of the general election,” says Nathan Abernethy, dealer principal at Regional Ford in Gore.

“It has really allowed us to come back to work and carry on with things, which is basically the way we were running the business previously.

“I think the government is doing good things for Southland and New Zealand as a whole.

“We’ve come through the global recession and the Christchurch earthquakes, and the outlook for the next three years is bright.”

Kevin Small, chief executive xxxxxxxxxxx officer of TRC Toyota in Feilding, says: “The election result was what was to be expected.”

On the government’s performance, he adds: “You would always like more, but expectations have got to be realistic and I don’t think it has - Oct 2013 cars in New Dealer stock of new hurt ourZealand industry in any way.”

2012 As for sales, Small says the dealership would like to be up by about five per cent, and he believes the national figures are being driven by growth in Auckland and Christchurch.

is blowing, cars can get pretty dirty.

We have to clean them with a highpressure hose before hand-washing them to avoid scratches. Concrete does terrible things to vehicles.

“People from out of town leave their cars with us to be serviced and can then wander down to the container mall.”

Kelly told Autofile the flow onfoot traffic into the CBD is at least a dozen people per day when the business is servicing between 30 and 40 vehicles.

“We want to stay in the city and believe we bring money into the local economy,” he adds.

Michael Gapes, chief executive officer of Manukau Toyota in South Auckland, reports the new vehicle market has been quite strong, but it has been the opposite for sales of used stock.

“What helps us is the growth in most businesses out here and local residential housing, which is growing in areas such as Botany and Flat Bush,” he says. “There is also the potential to build a lot more homes out here.

“The after-sales business has softened and customers’ expectations are going up all of the time. There’s a lot of choice on who they choose as their service providers.”

Toyota remained the leader of the new car market in September with a 19 per cent share and 1,582 sales.

Holden was second on 12 per cent and 1,044, with Mazda third on eight per cent and 671 units.

The Corolla was once again the top-selling passenger model with eight per cent market share and 629 units.

It was followed by the marque’s Yaris on four per cent and 373 registrations. Holden’s 17% Commodore sold 277 units for a three per cent market share.

850 wds

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nger registrations - 2

new commercial sales

Record month for registrations T

he registration of 3,458 new commercial vehicles last month meant it was the biggest-ever September for the segment.

So far this year, sales stand at 4,907 units – or 21.5 per cent ahead of the same time in 2013.

John Hutchinson, dealer principal of Team Hutchinson Ford in Christchurch, is seeing a trend emerging of people customising their vehicles.

“It’s nothing for us to sell a new Ranger for $55,000 and there’s nothing to stop someone spending $10,000 extra on accessories, such as bigger canopies and wheels,” he says.

“It’s the whole personalisation thing because we didn’t do much with the old model Ranger.

“Now we regularly just build them on spec, and add bits and

pieces. We had one recently that went on the yard on a Sunday and was sold by the Monday.

“We ship vehicles all around the country because consumers can do so much from home now to narrow down their choices to make the purchasing process easier.”

“The ute and van market has

Sept '14

Sept '13

2012 2013 2014

Jan Feb Mar Apr May Jun

+/- %

Hilux came second with 526 sales and was followed by Holden’s Colorado on 280.

Year to date, the Ranger has sold 4,445 units compared to the Hilux’s 4,266.

Toyota topped September’s commercial vehicle sales leader with a 21 per cent share and 739 units.

It was followed by Ford on 19 per cent and 672 registrations.

Holden came third with nine per cent and 305 units.

Meanwhile, farmers may reduce spending on repairs and maintenance amid a drop in Fonterra’s forecasted milk payout, according to surveys carried out

by DairyNZ. Some vehicle dealers in rural centres believe the drop in payout may have knock-on effects. Visit www.autofile.co.nz for more on this story.

New Commercial Sales - 2012-2014

4250 4000 3750 3500 3250 3000 2750 2500 2250 2000 1750 1500 1250 1000

New Commercial Sales by Make - September 2014 Make

been very strong,” says Michael Gapes, of Manukau Toyota.

“The Hilux will hopefully be number one at the end of this year. We are very comfortable with it and it’s fantastic for anyone who wants to own a ute.”

Ford’s Ranger retained its position as the monthly topselling ute on 595 units. Toyota’s

Sept '14 Mkt Share

2014 Full Year

Jul Aug Sep

Oct Nov Dec

New Commercial Sales by Model - September 2014 2014 Mkt share

Make

Model

Sept '14

Sept '13

+/- %

Sept '14 Mkt Share

2014 Full Year

2014 Mkt share

Toyota

739

676

9.3

21.4%

6440

23.3%

Ford

Ranger

595

425

40.0

17.2%

4445

16.1%

Ford

672

484

38.8

19.4%

5000

18.1%

Toyota

Hilux

526

406

29.6

15.2%

4266

15.4%

Holden

305

309

-1.3

8.8%

2391

8.6%

Holden

Colorado

280

283

-1.1

8.1%

2193

7.9%

Mitsubishi

244

151

61.6

7.1%

1844

6.7%

Toyota

Hiace

186

248

-25.0

5.4%

1994

7.2%

Isuzu

242

169

43.2

7.0%

1661

6.0%

Mitsubishi

Triton

158

96

64.6

4.6%

1231

4.4%

Nissan

144

223

-35.4

4.2%

1970

7.1%

Nissan

Navara

144

223

-35.4

4.2%

1970

7.1%

Volkswagen

131

133

-1.5

3.8%

1011

3.7%

Isuzu

D-Max

117

91

28.6

3.4%

952

3.4%

Mazda

112

100

12.0

3.2%

1168

4.2%

Mazda

Bt-50

112

100

12.0

3.2%

1167

4.2%

Mercedes-Benz

107

64

67.2

3.1%

500

1.8%

Mercedes-Benz Sprinter

91

44

106.8

2.6%

383

1.4%

87

52

67.3

2.5%

565

2.0%

Volkswagen

88

66

33.3

2.5%

613

2.2%

Hino

Amarok

Hyundai

86

76

13.2

2.5%

600

2.2%

Mitsubishi

L300

86

55

56.4

2.5%

612

2.2%

Mitsubishi Fuso

76

52

46.2

2.2%

504

1.8%

Hyundai

iload

84

74

13.5

2.4%

585

2.1%

Ssangyong

72

32

125.0

2.1%

671

2.4%

Ford

Transit

74

55

34.5

2.1%

513

1.9%

Great Wall

51

72

-29.2

1.5%

640

2.3%

Ssangyong

Actyon Sport

72

32

125.0

2.1%

671

2.4%

Fiat

48

31

54.8

1.4%

244

0.9%

Isuzu

N Series

60

41

46.3

1.7%

296

1.1%

Foton

44

25

76.0

1.3%

322

1.2%

Isuzu

F Series

52

24

116.7

1.5%

300

1.1%

Ldv

44

0

4400.0

1.3%

310

1.1%

Hino

500

46

31

48.4

1.3%

273

1.0%

Mahindra

28

0

2800.0

0.8%

135

0.5%

Fiat

Ducato

44

31

41.9

1.3%

218

0.8%

Scania

26

0

2600.0

0.8%

149

0.5%

Ldv

V80

44

Man

24

4

500.0

0.7%

242

0.9%

Foton

Tunland

41

Others

176

146

21.4

5.1%

1325

4.8%

Total

3458

2799

23.5

100.0%

27693

100.0%

0 4400.0 25

64.0

310

1.1%

284

1.0%

Others

558

449

24.3

16.1%

4417

15.9%

Total

3458

2799

23.5

100.0%

27693

100.0%

TARGETED ADVERTISING SPACE SHOulDN’T WE bE lOOkING AT yOuR buSINESS? 26 | www.autofile.co.nz

1.3% 1.2%

used commercial sales

Resale values are ‘phenomenal’ S

eptember was a great month for used commercial vehicle registrations, with the total coming in at 792 units compared to 500 in the same month of last year.

That was an increase of 58.4 per cent to bring to the year-to-date total to 5,802 units.

Toyota again topped the marque and model ladders. The brand sold 392 units compared to Nissan’s 162.

Nathan Abernethy, of Regional Ford in Gore, says: “The newer brands aren’t affecting our used commercial sales and we find cheaper marques are rarely cheaper overall.

“The resale values on commercials are phenomenal and Ford’s Ranger is one of New Zealand’s biggest selling vehicles.

“It is seeing particularly strong resale value, but this is also the

case across all mainstream brands.”

On why the resale values are so high, Abernethy says traditionally there have been less second-hand commercial vehicles on the market compared to used passenger cars.

Kevin Small, of TRC Toyota in Feilding, says: “There are pockets of stock that are harder to get at the right price points, and commercial

Sept '14

Sept '13

2012 2013 2014

Jan Feb Mar Apr May Jun

+/- %

up and down over the past two or three years, but if they have another good year next year it will have flow-on effects for our industry.

“Trades do play a small part, and they are more consistent in their purchasing because you don’t get the high and lows.

“The building industry here isn’t strong, but it’s not in decline and all of the tradies have plenty of work.”

John Hutchinson, of Team Hutchinson Ford in Christchurch, says: “We are struggling with used commercials.

“There is very strong demand and everybody wants them, however the new ones are so affordable now – we are selling one Ranger per day.

“Buyers are trading additional vehicles but they don’t tend to be utes. We like anything we get because they sell so quickly.”

Used Commercial Sales - 2012-2014

850 800 750 700 650 600 550 500 450 400 350 300 250 200

Used Commercial Sales by Make - September 2014 Make

and medium-sized vehicles are a bit limited at the moment.”

On Fonterra predicting a reduced pay-out, he feels this will have a small effect because most farmers have their budgets set in place.

“Dairy isn’t huge for Feilding because we are more sheep and beef,” Small explains.

“Sheep and beef have been a bit

Sept '14 Mkt Share

Jul Aug Sep

Oct Nov Dec

Used Commercial Sales by Model - September 2014

2014 Full Year

2014 Mkt share

Make

Model

Sept '14

Sept '13

+/- %

Sept '14 Mkt Share

2014 Full Year

2014 Mkt share

37.0%

Toyota

392

224

75.0

49.5%

2871

49.5%

Toyota

Hiace

299

172

73.8

37.8%

2144

Nissan

162

117

38.5

20.5%

1199

20.7%

Nissan

Caravan

73

52

40.4

9.2%

571

9.8%

Mazda

48

30

60.0

6.1%

284

4.9%

Mazda

Bongo

40

23

73.9

5.1%

225

3.9%

Isuzu

36

18

100.0

4.5%

300

5.2%

Nissan

Vanette

38

38

0.0

4.8%

346

6.0%

Ford

28

21

33.3

3.5%

227

3.9%

Toyota

Regius

34

17

100.0

4.3%

262

4.5%

Mitsubishi

25

15

66.7

3.2%

179

3.1%

Isuzu

Elf

25

9

177.8

3.2%

160

2.8%

Chevrolet

22

13

69.2

2.8%

135

2.3%

Toyota

Dyna

19

18

5.6

2.4%

184

3.2%

Hino

20

11

81.8

2.5%

115

2.0%

Toyota

Toyoace

17

5

240.0

2.1%

114

2.0%

Dodge

10

5

100.0

1.3%

33

0.6%

Nissan

Atlas

16

17

-5.9

2.0%

108

1.9%

Holden

10

8

25.0

1.3%

88

1.5%

Nissan

Navara

13

8

62.5

1.6%

76

1.3%

7

4

75.0

0.9%

34

0.6%

Mitsubishi

Canter

12

6

100.0

1.5%

65

1.1%

Volkswagen Fiat

3

2

50.0

0.4%

47

0.8%

Ford

Ranger

11

1 1000.0

1.4%

63

1.1%

Gmc

3

3

0.0

0.4%

27

0.5%

Ford

Transit

11

5

1.4%

62

1.1%

120.0

Renault

3

0

300.0

0.4%

14

0.2%

Hino

Dutro

11

4

175.0

1.4%

52

0.9%

Daihatsu

2

0

200.0

0.3%

4

0.1%

Dodge

Ram

8

3

166.7

1.0%

25

0.4%

Great Wall

2

0

200.0

0.3%

2

0.0%

Nissan

Patrol

8

0

800.0

1.0%

36

0.6%

Honda

2

0

200.0

0.3%

5

0.1%

Mazda

Titan

7

5

40.0

0.9%

39

0.7%

Hyundai

2

0

200.0

0.3%

4

0.1%

Nissan

Nv200

7

0

700.0

0.9%

28

0.5%

Kenworth

2

0

200.0

0.3%

6

0.1%

Toyota

Hilux

7

7

0.0

0.9%

87

1.5%

Silverado

Subaru

2

0

200.0

0.3%

2

0.0%

Chevrolet

6

7

-14.3

0.8%

52

0.9%

Others

11

29

-62.1

1.4%

226

3.9%

Others

130

103

26.2

16.4%

1103

19.0%

Total

792

500

58.4

100.0%

5802

100.0%

Total

792

500

58.4

100.0%

5802

100.0%

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