The famous crystal ball. You would think people in upper management would have more expertise and insight into the times and travails of their respective industries. Still its often a case of given me the perks without the responsibility. Still what are the forecasts for the 2012 upcoming year for 2012. The answer is a “soft but positive ” reply. What is positive you may well ask .

In Canada if 2011 is any model sales will be similar with “minimal sales growth” in Canadian “light vehicle” sales figures which should hold in the ranges of 1.6 million unit annually.

Its a case of lukewarm – sure its cold in a January Winnipeg winter – yet if you are safe inside its not all that bad. Winter could be a lot worse – so be grateful.

yet if sales run above the 1.6 million figure – then the numbers will be considered positive or a bad year if they are much below the 1.5 million dollar threshold level.

In the end it can be said that figures don’t lie yet liars scheme and “figger”. Get out there and work is the catchphrase .
Otherwise its akin to rearranging deck chairs on the Titanic while serving drinks.

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Nepon Auto Auto Industry Blog

Auto sales figures in Canada are up nicely – industry and Canadian government figures show for the period of 2011. These figures add up positively – even in spite of what those in auto dealership sales floors and automobile retail industry sales management will tell you.

Part of it is pent up demand as people and companies waited for better times during the recession and held off major purchases. In other cases its a simple result of dollars and cents calculations with the overall benefits of low interest rates – both from financial institutions – banks and credit unions directly, or in-house financing arranged by auto dealers themselves

The figures say that automakers in Canada sold 1.59 vehicles during the calendar year of 2011, which is marginally up from a figure of 1.56 million units. While the increase is not great the point is that its up , and not down. Its a positive trend overall. On top of that the end of the year showed good increases – sales figures did vary month per month in an uneven fashion December alone was up 2.6 %.

What was the breakdown in model type however. The Big three automakers in North America have become not so much car makers but truck manufacturers. Indeed truck sales rose 4.7 percent while correspondingly car sales fell by 1.6 % . A lot of the increases were in import cars while domestics – of the big three stayed essentially the same – as 2010 figures.

Its big trucks that seem to be driving sales figures and growth in the auto industries no matter what.

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Auto marketing sure can be interesting and does not stay the same.
For example whom would of thought that in Canada – years after the introduction by the South Korean auto maker – Hyundai – of a poor car called the “Pony” , which for the most part was a Korean made old model Mitshubishi “Dodge Colt” that years and years later that Korean cars for the most part would outsell even market leader General Motors in terms of Canadian sales volume.

Yet when it comes to luxury vehicles the marketing is often done in terms of “Tiers”.

Currently in the 2011/ 2012 model years according to Canadian auto industry trade figures are the current top level branded or “Tier One ” brands of note assigned

- BMW, Mercedes-Benz, Lexux , Accura, Audi

Tier 2 can be said to involve and include:
imports – Volvo, Infiniti and domestics – Lincoln & Cadillac

Porsche is the standard in the “sports marketpla

lastly there are what is referred to as “niche markets” which could well be bundled in with levels 2 and 1 depending on volume and perhaps pricing .

Included in this grouping would be – Jaguar , British product “Land Rover” as well as a new and upcoming variant – South Korean automaker Hyundai with its upscale automobile market introductions.

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The question is often asked – especially by “green types” who feel that all of us should be taking public transit or at the worst driving “smart cars” – what is the use and contribution of the automobile industry to north American and indeed the global economy . Its all short term wasteful use of limited resources and fossil fuels. All the while they jet around the world on conferences and Mr. Soros and President Obama do likewise. So much for one rule for all to follow.

Yet if one uses as an example the economy of British Columbia Canada – then BC’s new car dealers can be said to account alone for fully 1.8 billions of the provinces GDP – that is Gross Domestic Product – according to a 2011 recent count.

Put in perspective this is more income generated and developed than more flashy ( and politically acceptable Hollywood of the North – 1.7 billion dollar figure of the budding film and television industries whose emphasis and subsidies are great both by the Canadian federal and provincial governments).

On top of that this figure does not take into account neither used vehicles, auto financing and the auto repair and service trades. Additionally the same report notes that new car dealers alone employ close to 15 k of staff, and that each of these new auto & truck dealerships employ close to 40 full time employees each – who spend in their communities. Due to the spin-off effects of these funds and incomes the full economic effects of the automotive industries – in this case only new vehicles should not be understated both in the province of British Columbia, across Canada and indeed across North America , including Canada, the USA & Mexico.

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On the outside the newer Toyota Corollas have been upgraded and restyled to appear even more dynamic and upscale. Toyotas may be regarded as a Tokyo Japan head office car company – yet these vehicles are produced in southern Ontario Canada.

To the end of updated styling the car is still a good looker – even if it is considered an economy car. In the last remake Toyota design stylists and engineers actually moved to Turin Italy in order to provide a full and proper answer to “What would stand out ( in term of automobile styling), even on the very streets of Turin?

That previous Corolla was actually 60 mm ( 2.4 inches), wider – 10 mm ( .4 inches) longer and yet a full 15mm ( .6 inches) lower than its predecessor. These newer proportions over the previous Corollas gave the car a much better road presence, stability and cabin room to boot.

Still , with a car that was destined to became a ubiquitous as indeed the newer Corollas have earned their reputation and keep as its all to be expected.

Older Corolla examples used 40 initial welds, whereas the newer ones has more tan 130 welds. This helped build incredible body rigidity and quality control from the get-go.

Curved floor body panels help to reduce vibration, and along with under the hood washer nozzles and double floor seals , both contributed to a very aerodynamic design and quiet on-road performance. Its 1.8 liter four-cylinder engine produced 132 horsepower at 6,000 rpm and 128 lb foot torque at 4500 rpm. The power is linear and fully useable , for highway merging while the torque has been additionally tuned in order to aid-in-town puttering.

Lastly for safety’s sake, active headrests , dual front airbags, and dual curtain airbags ensured that no doubt these Corollas got near perfect scores in emergency crash test ratings.

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Pity the poor salesperson at your local auto dealership. Its difficult if not virtually impossible for them to sell a vehicle.

You would think that people need reliable transportation – whether to get to work to earn their livelihood or for errands for friends and family to Polo Park Shopping Center , St Vital Mall or whatever. Yet its tough slugging.

Why or why not. Overall our economy in North America – Canada and the US, Mexico has been mismanaged with the help of political corruption and self serving policies.

Jobs, jobs , jobs yells Pelosi. All the while living high off the hog both at public expense plus her own ( often misstated to be of less value and importance) jobs jobs jobs.

Yet where will these “jobs” come from. The high paying jobs, that essentially with the economic multiplier effect, are gone. Even if a kid gets a job at a big box store like Staples or Home Depot – how on earth will the power of their limited paycheck go down the line.
Good luck. You , the US and Canada and the rest of the world will certainly need it , no doubt.

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It takes a special type of person to be a car salesman.
Relatively big ticket items , that everyone needs but does not want to spend for. Yet as one auto dealership principle said – “You want to hire a guy who likes to spend… he really believes … and he believes other people should and will too. ” If you think about it how could it otherwise.

Yet once in their new vehicle – its like a Apple Macintosh computer few people complain – and most indeed wonder why they did not spring for the tab before. Its an odd mix.

On the other hand the tables turn very easily. Put a salesman / person in a buying situation . Since he is grinding most people down a road of logic – a set of steps – he will easily fall into that trap. It “just seems normal and natural”, his brain works.

Yet on the other hand if go into most auto dealerships over time you will notice a core group of salespeople . The others just seem to “come and go”. Yet what is amazing – make the rounds to other car or truck dealerships and no doubt you will not a string of familiar faces. These so to speak are “proven salespeople ” . They can sell. At any point in time a salesmanager needs numbers ot keep the boys ( and owners) upstairs happy and content enough to leave the sales manager alone ( well at least for a while they surmise).

Its one giant circle. It goes round and round. And yet the auto industry is the basis of most North American local , state , provincial and indeed national business economies. Its as simple as that.

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Retail auto buyers are afraid to make any major decisions. Can you blame them ? Listen to all the doom and gloom on the media.

True its all real . Major sources of income – manufacturing and the auto industry have been sent “offshore”. It was said by well laid auto economist Raymond Stroker that for example in Windsor ( Ontario Canada) and on the US side Detroit Michigan that no matte what “it all goes back to the car industry”. You may directly work for GM,Chrysler or Ford as an auto worker , middle manager or another role. Yet others are touched and affected directly with the multiplier effect of economics.

The dentist or hygienist who works on patient’s teeth , or the dry cleaner / waitress / bar maid all follow suit down the hill. Its if not on the first go around the car / truck salesperson may sell the downstream beneficiaries of said wages – the waitress , dentist or hygienist. Its one big circle that goes round and round.

That is until it stops with loss of cash flow – from jobs being sent overseas , hard times or a combination of both along with great or the greatest uncertainty.

No ones really knows. Inflation , recession ,depression , loss of job , high interest rates etc etc etc. Can you blame the average consumer. Hardly. Yet its one giant loss of momentum and investment both in the retail , manufacturing and the whole north american – canadian , US and Mexican economies are the way to Grand Cache Alberta with its one Subway Restaurant and a mall that closes at either 5 or 6 pm depending on day and economic climate.

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Mercedes Benz 300 SL
300SL models, built from 1954 to 1963 (data for 1954 model)
Built by: Daimler-Benz AG. Wes Germany.
Engine: Six cylinders, in line, in seven-bearing cast-iron block, installed in car a angle of 45 degrees. Bore and stroke 85mm by 88mm, 2,996cc (3.35in × 3.46in. 182.8cu.in.) Detachable light-alloy cylinder formed in top of piston and top of cylinder block. Two overhead valves per cylinder, staggered (with inlet valves in one line and exchaust valves in other line) and operated by rockers from single overhead camshaft. Dry-sump lubrication. Bosch direct fuel injection. Maximum power 215bhp (net) at 5,800rpm. Maximum torque 228lb.ft at 5,000rpm.

Transmission: Single-dry plate clutch and four-speed, all synchromesh manual gearbox, both in unit with engine. Direct-acting central gearchange. Open propeller shaft to chassis-mounted hypoid bevel final drive.

Chassis: Separate multi-tubular spaceframe, with many small-diameter steeltubes linking points of stress. Lightweight aluminum two-seater body shell-coupé with gull-wing doors or open ‘roadster’ with conventional doors. Independent rear suspension by coil springs, wishbones and anti-roll bar. Independent rear suspension by coil springs and swing axles. Telescopic dampers. Steering wheel hinged for access to driving seat and steering by recirculating-ball unit. Four wheel, hydraulically operated drum brakes, vacuum-servo assistance. 15in pressed-steel road wheels. 6.70 × 15in tyres.

Dimensions:Wheelbase 7ft 10.5in (240cm), track (front) 4ft 9in (145cm. Overall length 15ft (457cm). Unladen weight 3,000lb (1,364kg).

History:
Mercedez-Benz began to introduce a new series of passenger cars in 1950 and 1951, among which was a big and impressive six-cylinder 3-litre car, but they made a sensation when re-entering motor sport in 1952 with the futuristic 300SL sports-racing car. The fact that this car won its very first Le Mans race was startling enough, but that Mercedes were proposing to put it into some sort of quantity production was even more astonishing. Apart from the obvious facts that it was at the same time very fast and very attractive, it was also exceedingly complex, mechanically, and was not really designed for quantity production. The heart of the car’s performance lay in its engine, which had direct fuel injection on production cars (although the Le Mans winner had used an engine with conventional carburetors), but the main interest was in the structure. Mercedes had gone all the way towards a theoretically perfect multi-tube ‘spaceframe’ structure, where all tubes were slim and absolutely straight and none had to withstand bending or torsional stresses of any nature. Taken to extremes, this would deny access to the car altogether, so there were inevitable compromises in the region of the passenger compartment. To ease this problem as much as possible, the frame was very deep along the sills and the doors were arranged to hinge along their top edge and open upwards in ‘gull-wing’ fashion. The car’s only failing, more noticeable at very high speeds than at touring speeds, was that Mercedes were then wedded to swing-axle independent rear suspension. This allowed large (driven) rear wheel camber changes and produced serious and possibly dangerous oversteer at times. To handle a 300SL at really high speeds required good ‘racing-driver’ reflexes. Far more of the 300SLs were ordered than Mercedes had bargained for and in 1957 then introduced the open-topped 300SL Roadster, which was a little easier to make and handled better by virtue of its low-pivot swing-axle rear suspension. The model continued to be made at Stuttgart until the early 1960s and a total of 3,250 of both types were eventually sold.
There was no doubt that a suitably-geared 300SL, particularly in the streamlined coupé condition, had a very high maximum speed. The original publicity claims were that the car could accelerate from 15mph to no less than 165mph in top gear (which said a lot for the flexibility of the fuel-injected engine but the higher figure was not attainable by a normally equipped road car. In British tune the cars could certainly beat 130mph, which made them supreme; however, with very high gearing it was possible for something like 150mph to be passed. The 300Sl was forecast to start a new trend in sports car design, but even Mercedes themselves did not really want to have to build a space-frame chassis in quantity and they were not copied by any other serious production-car concern. The multi-tube layout was very expensive and very difficult to build properly, as Mercedes soon found out. Neither did the gull-wing doors find favour elsewhere and when the Roadster 300SL was announced it was seen to have a modified frame with conventionally hinged doors.
The 300SL’s descendants, truly, were the W196 Grand Prix car, which had many family resemblances, and the 300SLR sports-racing-car (which in unique closed-coupé guise looked astonishingly similar to the 300SL). A car does not have to be a commercial success to be an all-time ‘classic. In looks, in performance and in the sheer exuberance of its complex engineering, the 300SL stood quite apart from any really fast supercar of the 1950s. Not even Ferrari, with exotic V12 engines in more mundane chassis, could match their ambiance. The 300SL’s engine, in less highly tuned form, was a mainstay of the Mercedes production car range until the end of the 1960s, when it was at last replaced by a new 3 ½-litre/ 4 ½-litre V8 unit. The direct-injection system in the 300SL was unique for many years.

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A question – what do big box stores like Best Buy or Canadian Future Shop sell ?

The answer is usually said to be “electronics”. Perhaps in the past. Now customers know what “things cost”
. This was even before the advent of the internet with all the ease of information at a customer’s mouse click. Big box stores it seems are profit centers for selling extended warranties. The money is not made in the sales of actual product . There is little profit margin or margins. Its not only that “buyers are liars” but that they know price points . If the product – be it car , truck or iPod is not priced close to cost then you have a walkout – and an angry one to besmirch your hard earned reputation.

What to do? First of all staff can sell accessories. Its an old adage that the first commitment is the hardest for sales staff to obtain. Once however that threshold has been crossed so to speak , and the wallet is out of the pocket , credit card on hand , or better yet even a finance / company credit card app is in hand the ball is rolling. Both accessories and extended warranties , service contracts etc etc are harder for the customer to compare at hand so its a more profitable situation. Secondly in the case of a car or truck by now buyer initial resistance has been overcome and its off to the races so to speak. By now the customer or their family has been convinced that they must have that particular product or piece of reliable transportation to meet their daily transport requirements. Its as simple as that.

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