Share of digital ad spending increases

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In this article, Jeremy Alicandri, managing director, was quoted regarding MK&A’s recent franchise dealer advertising study which was released at the NADA 2019 Convention & Expo. The article can be read at the link below:

 

https://www.autonews.com/nada-show/share-digital-ad-spending-increases

*Photo credit: AutoNews.

Renault-Nissan’s Loveless Marriage Will Survive This Rough Patch

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In this Bloomberg article, Maryann Keller, principal, was interviewed regarding the alliance between Nissan and Renault. Maryann provides historical insights on some of the alliance’s challenges.

 

The article can be read at the link below:
https://www.bloomberg.com/opinion/articles/2019-01-25/ghosn-in-jail-renault-nissan-s-loveless-marriage-will-survive

MK&A Franchise Dealer Advertising Study

MK&A has released the results of its six-month study on franchise dealer advertising. The research is based on 125-plus interviews with franchise dealers, automakers, and advertising executives, and represents over 400 dealerships. The study’s results will identify current and future advertising trends in auto retail, including digital retailing, third-party marketplace sites and traditional advertising mediums.

Purpose:
This study was undertaken to better understand digital advertising trends as well as the current and future role of digital and traditional advertising in the franchise dealership.

Methodology:
To conduct our study, we surveyed nearly 400 dealerships via e-mail, telephone, online, and/or in-person. Our study participants included franchise dealers, independent dealers, automaker executives, and advertising executives throughout the U.S. Over 80% of our survey respondents were auto dealers, including all franchises, rural and urban areas, and both private and publicly traded companies.

Tesla Might Solve Its Cash Woes with Franchise Dealers

In his second post as a Forbes contributor, Jeremy Alicandri, managing director, explains that some of Tesla’s cash woes can be solved if the automaker embraced the franchise dealer model. Jeremy states specific areas where cash can be saved, including inventory management and capital costs.

Jeremy’s post can be read at the link below:
https://www.forbes.com/sites/jeremyalicandri/2019/01/22/tesla-might-solve-its-cash-woes-with-franchise-dealers/

 

*Photo credit: Getty images.

AI adoption quicker than digital retail shift

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In this article, Jeremy Alicandri, managing director, was quoted regarding the shift to digital retailing by franchise retailers. He states “digital retailing, for it to work, requires a culture shift that not all dealers are ready for.”

The article can be read at the link below:

https://www.autonews.com/dealers/ai-adoption-quicker-digital-retail-shift

*Photo credit: AutoNews.

Mary Barra’s Biggest Surprise Yet: Making GM’s Profit Slowdown-Proof

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In this article, Maryann Keller, principal, was quoted on GM’s cost cutting measures; she states “very few companies have made the radical change to its business the way GM did, this was not a typical round of cuts. There could be repercussions in the long run, but for now it’s working.”

 

The article can be read at the link below:
https://www.bloomberg.com/news/articles/2019-01-11/barra-s-biggest-surprise-yet-making-gm-s-profit-slowdown-proof

Photo Credit: AP.

Activist Investors Can’t Overcome Automotive Industry Headwinds

In this post, Maryann Keller, principal of MK&A, explains why certain activist investors are failing to understand the dynamics of the auto industry. Maryann explains that the industry is high cyclical, capital intensive, and highly dependent on macroeconomic factors, and that the initiatives of certain activist investors to improve shareholder value are misguided.

Maryann’s post can be read at the link below:
https://www.linkedin.com/pulse/activist-investors-cant-overcome-automotive-industry-headwinds/?published=t

*Photo credit: Bloomberg.