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VOLUME 7 ISSUE 6 JULY 2016

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Trade dismisses
Goff port plan
T
he familiar sight of cars sitting on
Ports of Auckland wharves could
vanish if aspiring mayor Phil Goff
takes office.
The Labour MP, currently tipped as
one of the most likely to succeed
Len Brown as mayor of the
super city, has made it clear he
wants the port gone which
is a step beyond the recommendations released over the
last week from the Port Future
Study.
This is the most valuable
land not only in Auckland
Phil Goff
but the whole of New Zealand, and were using it as a car park,
its dumb, Goff says.
At the moment I think new cars sit
there for about two days, I often look at
the port when Im visiting office build-

ings nearby, and all you can see is this


mass of cars.
Goff says the best way to address
impending capacity constraints on
bulk cargo in the short term on the
Port of Auckland would be to
move imported used cars to
Northport.
According to Goff, the crux
of a report from Ernst Young
acknowledges constraints
on bulk cargo on the Ports of
Auckland in its current location will start to bite in three
to 10 years, and for container
freight anything between 24
and 40 years depending on load growth
projections at that time.
We can deal in the short term with
the bulk cargo, I think firstly by movContinued on page 12

INSIDE
ESC battle to court?
New distributor for Lotus
Toyota boss discusses future
Tasman celebrates 70 years

3
4
8
10

COLONIAL
EXPECTING
RECORD
PROFITS

isted-dealer network Colonial Motor Companys shares


are on a high following the
company stating it is expecting
record profits for the year to the
end of June.
The shares rose 1.6% to $6.30
after the company announced
strong sales of Ford and Mazda
vehicles in the year to the end of
June would push trading profit,
beating the $16.3 million it posted in 2015 and its previous record
of $19.3 million a year earlier.
The new vehicle industry in
which we operate has achieved
all-time record levels and, in the
first six months of this calendar year, new vehicle sales have
grown by 5% over the comparable
period of the previous year, says
chairman Jim Gibbons.
Our volume brands, Ford and
Mazda, have both achieved share
growth in this rising market.

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NEWSTALK

MC debate headed
to court?
T

he NZ Transport
account the representations
The MIA does not agree
Agency has backed
made to it.
with the interpretation of
the Imported Motor
He says the decision vinMC-class vehicles set out in
Vehicle Industry Associations dicates the money spent on
the bulletin, Crawford says.
claims over the definition of
research and a legal opinion
The revised bulletin purports
what is an MC-class vehicle
on the rule the IMVIA sought. to introduce new require throwing the doors wide
If the decision had gone
ments into the description
open for the import of soft
the other way, the IMVIA
that are not mentioned at all
roaders without electronic
would have taken a test case in the description of MCstability control.
to court.
class vehicles in the rule.
There had been a division
Part 11 of the Land
between what the newTransport Act sets out the
vehicle industry and agency
regulatory framework for
thought the class meant,
how the Minister (or govand the IMVIAs new definiernor general) may make
tion.
subordinate legislation or
Essentially the import
rules. There is no mention
David Crawford
David Vinsen
trade felt car-based soft
of technical bulletins. The
roaders were MA class
technical bulletin
and therefore they do While NZTA may issue technical issued by NZTA is
bulletins, it cannot substitute
not yet need the techof no legal effect,
nology.
Crawford claims.
for or provide any gloss or add
The argument over
While NZTA
additional elements to any rule
which the IMVIA sought
may issue technia legal opinion came issued by the Minister.
cal bulletins, it
And that is where the isdown to defining if the vehicannot substitute for or
sue may yet end up, with the
cles had to have specific offprovide any gloss or add adMotor Industry Association
road features and/or meet
ditional elements to any rule
saying it is considering seekmeasurement requirements,
issued by the minister.
ing its own clarification on
such as ground clearance
Crawford says the new
the issue read about that
and approach and departure
reading of the rule does not
HERE.
angles.
meet internationally agreed
The agency has agreed
definitions of MC.
Court action considered
the vehicle must meet both
The MIA is considering
over MC issue
sides of the rule to be connext steps, and is taking legal
The debate over what
sidered MC.
advice on the most appropriconstitutes an MC-class vehi- ate course to challenge the
IMVIA chief executive Dacle may end up in court.
vid Vinsen says the associadecision taken by the NZTA,
Motor Industry Association Crawford says. This includes
tion is pleased.
chief executive David CrawWe are disappointed it
consideration to seek a deford was quick to release a
took so long, but we are
claratory judgment from the
statement sternly disagreeing High Court.
pleased with the process,
with the decision.
and that the NZTA took into

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AUTOTALK JULY 2016 | www.autotalk.co.nz | 3

NEWSTALK

New Lotus distributor


looks to set up dealership
T

he Lotus brand has changed


hands again for the Australasian
market - this time with a Sydney
dealership in control.
The brand had - until recently been controlled by Neville Crichtons
European Automotive Imports, with
the brand sitting alongside Maserati in
the operations Newmarket dealership.
The Maserati component of that
dealer was recently taken over by
the Winger Group,

which is selling EAIs remaining Lotus


stock.
EAI spokesperson Edward Rowe says
Lotus has changed significantly since
the company became involved in its
distribution.
Since we began our association with
Lotus, the overall strategy for Lotus
worldwide has changed significantly
and scale of the business is now different to what the company envisioned
when it took on the distribu-

torship, Rowe says. This change in the


scale of the business clearly affected
our ability to carry out our plans as we
envisaged them at the beginning of our
distributorship.
SSC, as a dealer/distributor is
ideally positioned for Lotus moving
forward with this new global strategy
and we are very happy to see Lotus in
its hands. We wish them and Lotus all
success for the future.
Simply Sports Cars began as a Lotus
service centre and only become a
dealer in 2013.
Simply Sports Cars runs regular Lotus
Only track days, attracting more than
70 cars per day, andas distributors, the
business will encourage itsother dealerships to offer more than just a sales
experience.
Lotus chiefLee Knappett andsales
director Richard Gibbsare looking to
set up a dealership in New Zealand
- although what form that will take
has not yet been confirmed.

New boss for Crichtons Ateco

teco boss Ric Hull has retired


as managing director of Neville
Crichtons Australasian Ateco
Group with his replacement appointed from within.
Roger Zagorski, who currently
runs Atecos finance operation, is the
new appointee.
Hull will continue as a director.
Zagorski joined Ateco in 2010 to
set up and run the Ateco subsidiary
Branded Financial Services, which
is operational in Australia and New
Zealand.
The company proved a major
success for Ateco under Zagorskis
leadership, with a portfolio valued in
excess of $150 million and more than
5000 customers.
This makes him the ideal choice

4 | AUTOTALK JULY 2016 | www.autotalk.co.nz

to succeed Ric Hull, who not only


and Australia. I am especially pleased
brought in major new business opthat he has agreed to continue as a
portunities for Ateco such as Kia
director of the company. His advice
and our Chinese brands
and support will be invaluable
but who has also given
to both Roger and me as we
Ateco a sound organisamove forward.
tional structure, enabling
Zagorski entered the car
it to maximise business
industry in 1996 as part of the
opportunities in the everstart-up team for Mercedeschanging automotive
Benz Finance Australia. In
market, says Crichton.
2004, he moved to New
Ric Hull has played
Zealand to assume the role of
Roger Zagorski
a key role in the success
managing director of Daimof Ateco over the past 16
lerChrysler Financial Services
years, says Crichton. He transformed
and in 2007 he took on the responKia sales from less than 5,000 units a
sibility for all aspects of the German
year to more than 26,000 per annum.
companys New Zealand operation as
He steered Ateco as the first and
the managing director and executive
most successful company to bring
general manager of Mercedes Benz
Chinese vehicles to New Zealand
New Zealand.

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NEWSTALK

Cows or cars?
T
his is the stark challenge facing New
Zealand as it struggles
to meet its greenhouse gas
emissions targets.
While agri-scientists are
working hard to find ways
to reduce the 48% of CO2
emissions produced by farm
animals, electric vehicles
(EVs) offer a quicker fix to
the 18% of gas emissions
from transport.

Mike Underhill

New Zealand currently


imports $9 billion of oil a
year of which 80.7% goes
into transport.
How much better would
it be if we could cut the
cost of oil imports by 80.7%
($7.26 billion per year in
overseas funds) and at the
same time reduce our gas
emissions by up to 18%?
This was the question
asked by EECA chief executive, Mike Underhill, at the
recent electric vehicle symposium in Wellington.
EVs are a great opportunity for New Zealand. Theyre
one of our best opportunities for energy efficiency and
reduced carbon emissions,
Underhill told the symposium.
The road transport sector
is responsible for 16% of our
carbon emissions. 55% of
the energy used in transport is consumed by private

vehicles, while trucks take


20% and light commercial
vehicles 14%.
EVs are better for the
environment, according to
the lifecycle analysis report
in 2015:
Pure EVs have 60%
fewer CO2 emissions
than petrol vehicles
across their lifecycle.
They emit 80% fewer
CO2 emissions when
driven in New Zealand,
thanks to our renewable
electricity.

6 | AUTOTALK JULY 2016 | www.autotalk.co.nz

EVs are a great opportunity for New


Zealand. Theyre one of our best
opportunities for energy efficiency and
reduced carbon emissions, Underhill told
the symposium.

40% less energy is required for an EV than a


petrol or diesel vehicle
across its lifecycle.
Underhill recommends
that fleet owners use the cost
of ownership tools, hosted
on EECAs business website,
to determine whether EVs are

more expensive than petrol


and diesel vehicles.
The tool targets fleet
buyers, but is available to
everyone. Its easy to compare the full costs of new
EVs over their lifetime, with
petrol and diesel vehicles,
he says.

NEWSTALK

Fieldays
sales exceed
expectation

New Kia Motors stand

espite the dairy downturn,


all of the passenger and light
commercial brands at this
years edition of the National Fieldays
reported robust inquiry, and many
say sales off the stands exceeded
expectation.
Some of the distributors feel that
Fieldays has, by default, become
New Zealands national motor
show. More than 130,684 people
attended the 48th running of the
event.
Fieldays is arguably the single
most important standalone marketing as well as sales event in New
Zealand today. In one sense it is a
pseudo motor show with almost
all automotive brands represented
taking the opportunity to show their
latest and greatest, says Holden
New Zealand general manager for
marketing Marnie Jane Samphier.
It is also a significant sales event,
with a huge amount of people attending solely to take advantage of
outstanding Fieldays offers.
Samphier points out that Holdens
sales achieved during the event exceeded expectations. While Im not
prepared to put a number on the final tally, we certainly enjoyed a lot of
activity. As expected, Colorado was
the key model, but we also enjoyed
sales across a variety of other model
lines, she says.
Fieldays was humming and had
all the hallmarks of being one of
our most successful brand and sales
events in the ten years we have
been an exhibitor.
According to Kia Motors dealer
and operations manager Dario
Spadoni, Kia almost doubled its site
at Fieldays to 36m by 36m from the
previous event in 2015, displaying 25

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AUTOTALK JULY 2016 | www.autotalk.co.nz | 7

PEOPLETALK

Technological
change: Faster
than we think?

Alistair Davis

oyota New Zealand


chief executive Alistair
Davis has become
famous in the admittedly small circle of New
Zealand motoring journalists
for his state of the nation
presentations, usually given
every year or two at product
presentations.
His latest was made last
month at the launch of the
new Corolla Hybrid, and fittingly focused on the future
of the automotive industry;
the changes being thrust
upon it by the environment, technology and social
change.
In two parts, one here and
one in EVtalk, also out this
week, a very abridged section of Daviss vision of the
future will be featured.

is the fastest growing business start-up. Its gone from


zero to worth $60 billion in
five years. Thats about the
same worth as Volkswagen.
Most of the car companies have negotiated partnerships or trials. Probably
the two biggest are General
Motors with Lyft and Toyota
with Uber.
All the participants recognise car sharing will solve
a range of the congestion
issues and lower the cost
of mobility for the emerg-

Car sharing
Car sharing is now
endemic. There are a million vehicles in car sharing
schemes in the USA alone.
Globally Uber is doing about
three million rides a day. It
has a million drivers in 360
cities and four places in New
Zealand. Internationally, Uber
8 | AUTOTALK JULY 2016 | www.autotalk.co.nz

ing middle class in Asia. Car


sharing is a way for people
to get access to personal
mobility. Its the modern
equivalent of the Jitney bus.
Eventually I foresee that
we will have Mobility as
a Service (MaaS) in most
developed nations. Instead
of buying a car, you will be
billed monthly for your car,
assuming it is a plug-in, dependant on what time you
drove and where you drove.
I think multiple business
models will be tried. Some

will fail. Some will succeed.


Changing the nature of the
trade
Technology is changing
the nature of the vehicle
itself in terms of whether
a human driver is required
or the vehicle becomes an
autonomous entity.
Technology is also changing the nature of the business in terms of whether
a car is owned or shared.
Today, what we have is a
100-year-old model. Weve

PEOPLETALK

got human drivers and basically all the cars are owned.
Already were starting to see
the impact of the sharing
economy in the car business.
This is the Ubers, the
Lyfts, the Zipcars. This is like
Airbnb. Its changing the
logic of the industry.
The bigger changes
though will come when we
move towards autonomous
cars that are either owned or
potentially shared. Toyota is
going in both directions.
Can you trust a machine?
There will be plenty of
sceptics that will not look
forward to the world of
plug-in, semi-autonomous
cars that are shared in some
way. Some people will say:
I just love my car. Im never
going to want to part with it.
That may be so, but when
I think of my kids, they all
have cars which they dont
obsess about; they obsess
about their iPhones, but
they dont obsess about
their cars at all. That may be
a thing of the past.
There will be some people
who say that computers will
never be reliable enough
to drive cars. Maybe, but
the fact is computers fly
and land planes all over the
world today. Tesla recently
drove a car from New York
to Los Angeles in two days
flat. The driver behind the
wheel only touched the
controls 4% of the time, and
for the rest the car drove
itself.
Other people might say
that the freedom to enjoy
the open road comes with
driving your own car. People might not want to give
that up. Thats a fantasy. An
advertising fantasy. If you
live in a big city, what open
road? Its so congested.
A self-driving car might
be a lot more pleasant to
live with because you can do
stuff as you go through your
commute. As people come

to realise that a car, which


can cost a considerable sum
of money as you well know,
spends 95% of its time idle
whereas an autonomous
shared vehicle can eliminate
accidents, improve traffic
flow, be more convenient
because it doesnt require a
parking place and is a money
saver, we may see the concept take off.

Things change fast


These conversions happen really fast once they
get under way. The move
from the horse and carriage
to the horseless carriage
is a good analogy because
when the first car came out
someone was employed to
walk in front of the car with
a red flag to warn people.
Once people realised how

good the car was, and what


it could do, this guy with
the red flag lost his job and
became redundant.
Let me illustrate how
quick this change happened.
This is a picture of New York
5th Avenue in 1901. Wheres
the car? There is one. One
car. Fast forward just a
dozen years, wheres the
horse?

AUTOTALK JULY 2016 | www.autotalk.co.nz | 9

DEALERTALK

70 years for Taranaki


Toyota dealer

BY ROB MAETZIG FAIRFAX MEDIA


NZ / TARANAKI DAILY NEWS

asman Toyota CEO


James Crighton vividly
remembers the year he
purchased a shareholding in
the company not so much
because that occasion was
momentous, but because it
was also the time he negotiated one of the motor-vehicle deals of his life.
And it involved the boss
of Toyota New Zealand
lending his company car to
Hollywood actor Tom Cruise
for six months.
It was in the early 2000s,
and Crighton who was
managing the used-vehicle
department at the dealership, which at that stage

was known as Gray and Inch


Toyota learned that one of
the companys two directors
was going to sell his shareholding. So he negotiated
the purchase of a 25% stake
in the company, which at
that stage changed its name
to Tasman Toyota.
And while all that was
taking place, Crighton and
company director Kevin Gray
also became aware that a
big-budget movie was to
be filmed in Taranaki. Called
The Last Samurai and starring
Hollywood megastar Tom
Cruise, it was going to require a large fleet of vehicles.
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10 | AUTOTALK JULY 2016 | www.autotalk.co.nz

Photo: Fairfax NZ

shareholder arranged to fly


to Wellington for talks with
Warner Bros.
During the negotiations,
I offered to get a Lexus for
Tom Cruises personal use.
The Warner Bros man said if
I could do that, the vehiclesupply contract would be
ours, Crighton recalls .
So I contacted Toyota
New Zealand, which also
distributes the Lexus product
and they took managing
director Bob Fields Lexus
LX470 company vehicle off
him and loaned it to Tom
Cruise. And we won the
contract for the supply of
250 Toyota vehicles for the
movie. It was a great start
to my financial involvement
with Tasman Toyota, thats
for sure.
The Last Samurai vehicle
supply contract was just one
chapter in a rather colourful
history for the Fitzroy-based
dealership, which began its
business life in 1946.
It all began when fellow
mechanics Keith Gray and
Ivan Inch returned to New
Plymouth following World

War II service with the Royal


New Zealand Air Force, and
went into business together
as motor dealers and garage
and service station proprietors based in premises on
the flat on Devon St East.
In the early 1950s the men
relocated to new premises
on the corner of Devon St
and Mangorei Rd, where they
sold several brands of petrol,
including Taranakis own
fuel called Peak, which was
refined using crude oil from
the Moturoa field at Port
Taranaki.
The business was also
one of the first companies to
exclusively sell the Atlantic
brand of petrol, which is now
Mobil.
Business continued to
grow, and this soon led to
another relocation this
time to a former wood and
coal business site on Sackville St in Fitzroy.
The men demolished the
old buildings on the property
and built new premises, and
at the same time they picked
up the franchises for LiteContinued on page 11

DEALERTALK

the job.
In the early 2000s Allan
Inch decided he wished to
retire from the business and
sell his 50% shareholding.
Half was purchased by
Crighton, the other half
by Hawera-based South
Taranaki Motors, with Kevin
Gray retaining a 50% shareholding. At that time the
company changed its name
to Tasman Autos Ltd, trading
as Tasman Toyota.
In 2010 Kevin Gray retired
and James Crighton was
named dealer principal, and
two years later Gray relinquished his shareholding,
leaving Crighton and South
Taranaki Motors as 50:50
shareholders.
The last few years have
seen a few more changes as
Tasman Toyota has refined
its operation. The South
Taranaki Toyota name has

Continued from page 10

weight Caravans and Skoda


cars.
Ivan Inchs son Allan
remembers those times for a
rather unusual reason.
I used to jump on a plane
after high school, fly to
Auckland with a set of spanners, and drive a new Skoda
home to New Plymouth. I
had to drive at no more than
30 miles per hour (50km/h)
because car engines had to
be run in in those days, he
recalls.
Then it was back to
school the next morning.
Gray and Inch Motors also
gained the franchise for the
French vehicle brand Simca,
and Allan Inch regularly
travelled to Auckland to take
delivery of those vehicles,
too.
These cars used to arrive
in New Zealand with all sorts
of strange interior colour
schemes so we often used
to take the seats out and
replace them with seats of
a more suitable colour from
other Simcas. We used to
do the same with the door
panels too, he recalls.
In the early 1960s business had grown sufficiently
to prompt yet another
relocation, this time around
the corner to Devon St
East, where Keith Gray and
Ivan Inch had been able to
purchase three adjoining
properties and develop the
lot into a single business
headquarters.
And no sooner had that
been completed when the
men were presented with a
remarkable business proposition Japans Toyota offered them the New Zealand
distribution rights for its
vehicles.
But the company couldnt
do it, Allan Inch says. Remember this was the early
1960s, and it was going to
cost around $2 million to
take up the offer. So it was
turned down, and the distri-

Photo: Fairfax NZ

bution rights were taken up


by Cable Price instead.
However it wasnt long
before the Toyota importer
and distributor invited Gray
and Inch to become the
North Taranaki franchise
holder for Toyota the first
such offer in New Zealand
and it was duly accepted.
And that started a business
relationship with the brand
that continues today.
In the mid 1960s Gray and
Inch had progressed to the
stage where it was a major
business employing numerous staff, with Ivan Inch in
charge of sales and Keith
Gray in charge of service.
It was around this time
that the children of both
men began to enter the
workforce.
First it was Allan Inch,
working in the service station
before moving on to vehicle
servicing and sales.
Next came Keith Grays
son Kevin, who joined the
company in 1972, working
primarily in sales.
As the years progressed,
the four men became directors of what had become
publicly known as Gray and
Inch Toyota.
In the early 1980s Ivan
Inch and Keith Gray retired,
and the two sons split responsibilities, with Kevin Gray
becoming dealer principal
and Allan Inch the chairman
of directors.
In 1994 James Crighton

appeared on the scene.


Originally from Taupo, he
and his wife had visited New
Plymouth to visit relatives,
and liked the place so much
they decided to stay.
Crighton visited an employment agency to check
out job prospects, and his
name was put forward as a
potential sales consultant
with Gray and Inch. He got

Continued on page 12

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AUTOTALK JULY 2016 | www.autotalk.co.nz | 11

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DEALERTALK

12 | AUTOTALK JULY 2016 | www.autotalk.co.nz

TRADE DISMISSES
GOFF PORT PLAN
Continued from page 1

ing the used-car component of the bulk cargo, probably to


Northport, Goff says.
A former chief executive of Ports of Auckland told me
that used cars take up a massive amount of space, and then
they have to be shifted to three different places to have
work done on the cars.
He says, If you got those cars loaded in at Northport, it
would take the pressure off the Ports of Auckland.
Youd start with used cars first, and then maybe new ones
later.
Goff says, A year ago I spoke to the chief executive at
Northport, and he assured me that the cars could be landed
and shipped to the consumers in Auckland from Northland
for no more than it costs now.
Northport We can
Northport chief executive Jon Moore corroborated Goffs
remarks. His immediate response to Auto Media Group was,
I believe we can do that.
The company commissioned a high-level investigation
two years ago and found that shipping cars into Northland
first, and then on to Auckland, would be cost neutral.
We looked into shipping cars into Northport because we
were approached by the industry to see if it was feasible, its
always been on our strategic plan, but its got to suit the shippers and importers, he says.
Continued on page 21

70 years for Taranaki


Toyota dealer
Continued from page 11

disappeared and the Hawera business moved under the


Tasman Toyota title. The total staff complement has
grown to 62, the company has a successful used-car
and service operation at Westown, it owns a rental-car
company called Rent a Dent, and recently it opened a
service provider in Stratford.
Sales manager Craig Clark has taken up a minor company shareholding as part of what is known as succession planning.
So its obvious that 70-year-old Tasman Toyota fully
intends being in business for a long time yet. Right now
though, Crighton is looking back and appreciating the
mentoring offered by the original company owners,
Gray and Inch.
The company has always operated with the highest levels of integrity and business ethics, values which
continue today, he says.

ards
Richard Edw

DIARYTALK

AutoTalk's
itor
managing ed
e
th
looks at
by on
month gone
nz
AutoTalk.co.

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DIARY

ght to you by
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Kiwi Kia tech best in


Asia Pacific

June 10

An Auckland Kia technician has


beaten out the best in our part
of the world.
Brian Cockerton, from
Aucklands Giltrap Kia, earned
his place to compete on the
world stage after coming out
top in the National Finals held
at the Kia Motors New Zealand technical training centre
in March.
In late May he travelled to
the Kia Motors headquarters
in Seoul to face 55 other top
technicians from Kias worldwide distributor network.

The $3 million dollar


ute

June 9
June 1

June 7

LINZ boss named


new transport chief

Outlander hack;
Mitsubishi taking
seriously

Land Information NZ chief


Peter Mersi is the new chief
executive of the Ministry of
Transport.
Mersi replaces Martin Matthews, who is leaving after
eight years as secretary of
transport, and 18 years at CEO
level in the public sector.
The Deputy chief executive
of building resources and markets at the Ministry of Business,
Innovation and Employment
will step into the LINZ role on
an interim basis

June 3
Dealerships art
sponsorship
recognised
Lower Hutt dealership Brendan
Foot Supersites sponsorship
of a major art award has been
credited as allowing local artists take their careers to the
next level.
Brendan Foot Supersite
Signature Piece Art Award is
the top award at the NZ Art
Show running at the TSB
Bank Arena over the next four
days.
The award is more than the
money that comes with it, according to the shows executive director Carla Russell.

A British company that specialises in software security has


successfully managed to hack
the Mitsubishi Outlander PHEV.
Pen Test Partners managed to use the Outlanders
on-board WiFi access point
to access the Outlanders system, enabling it to control the
lights, air conditioning and
disable the security system.
Pen Test suggests a way to
further secure the car by turning on a security feature within
the wifi system.

June 8
NZ billionaires
company forced
intoliquidation
Kiwi billionaire Graeme Harts
company UCI, an American car
parts maker, has been forced
to file for bankruptcy after losing key customers to China.
UCI International makes
pumps and filters for vehicle
manufacturers, and until 2015
sold a wide range of aftermarket products through parts
retailers.
It also makes products that
are rebadged for Napa, STP
and Motorcraft.

Holden New Zealand has


scored a Southern Hemisphere
first, putting an Australian-developed concept ute on show
at Fieldays.
The Colorado Xtreme
has been shown in Spain and
Bangkok, and its showcasing
at Mystery Creek is the first
time n this half of the world.
Hinting at how the updated Colorado will look
when it lands in September,
the Xtreme comes with a step
price tag up to $3 million
dollars to develop and build.

Nissan aims for 20%


EV sales

June 13

Nissans EV boss says up to


20% of its sales in Europe will
be electric vehicles within the
next five years.
We believe that by 2020,
when the market conditions
are right, well be selling
up to 20% of our volume as
zero-emissions vehicles, says
Gareth Dunsmore, head of
the Japanese manufacturers
European electric vehicle division.
Dunsmore toldhybridcars.
comthat the pace of EV adoption in Europe supported this
belief, pointing at sales of its
Leaf and eNV200 in Norway,
the top plug-in electric market
in the world.

Volvo NZ to offer
factory pick up

VINZ finalist in
business awards
VINZ has been selected as
one of four finalists in the AUT
Excellence in Business Support
Awards $5m-$10m turnover
category.
VINZ (Vehicle Inspections
New Zealand) performance
was put under the microscope
using the highly-regarded
criteria set by NZ Business
Excellence Foundation.
The business school at AUT
recognised VINZ and the fact
that the automotive testing
and certification company is
NZTA-accredited.

Volvo New Zealand is offering


buyers the chance to collect
their new vehicle early in
Sweden.
Swedish car manufacturer Volvo is now offering
Kiwis the chance to pick up
their newly minted vehicles
straight off the production
line at the companys factory
in Gothenburg. Proud new
owners can then take their
cars for a spin around Sweden
or beyond into Europe
before returning them to the
factory for shipping to New
Zealand.
Volvo has offered its Factory Delivery Experience to US
customers for 60 years, and
this year around 1400 Americans will combine a Scandinavian holiday with their new car
purchase.

June 14
Geneva continues
growth
Car and personal loan specialist Geneva Finance, has announced another strong profit.
Now going by the name
GFNZ Group, the company reported a 61% rise in profit for
the year to the end of March
to $3.5 million. The finance
Continued on page 14

AUTOTALK JULY 2016 | www.autotalk.co.nz | 13

DIARYTALK
ht to you by

g
Proudly brou

Continued from page 13

company, formerly known as


Geneva Finance, grew the size
of its loan book while widening margins in a low interest
rate environment.
According to a statement,
the gain was principally from
GFNZs Geneva Financial Services, which grew its loan book
by 26% to $48.8 million while
at the same time improving its
margins.

June 14
More plug-ins
coming
The New Zealand market will
see at least 44 new plug-in
models hit the roads between
now and the end of 2020.
Motor Industry Association chief executive David
Crawford released the data
today following a survey of
members virtually all the
new vehicle distributors in the
country.
The good news is between
now and the end of 2020 we
expect to see the introduction of at least 44 new EV and
PHEV models into the New
Zealand market, Crawford
says.

June 15
NZME takes on
Trade Me
NZME is using its Driven
motoring brand to launch
self-service online vehicle listings taking on the Trade Me
juggernaut.
The company, previously
APN, has previously attempted to go up against Trade
Me with sites like the now
defunct Sella network.
Selling cars on the Driven
site was previously reserved
for motor dealers, but the new
platform will see private sellers
ads sitting alongside the LMVD

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listings.

marketing efforts.
While Im looking forward
to my new role as head of
marketing at Tower Insurance,
I can still see myself spending
time at the Audi dealerships,
Woolley says. Particularly
when theres a new model to
try out!

June 16

Car parts skirt


asbestos ban: Smith

Christchurch dealer
launches fraud
investigation

Automotive parts are on a very


short list exempt from a new
ban on importing products
containing asbestos, says the
environment minister.
Raw asbestos imports are
already outlawed, and minister Nick Smith says it is still
New Zealands single biggest
workplace killer, responsible
for 170 deaths every year.
Specialist vehicle parts,
including some gaskets, seals
and brake linings, will be permitted, says the ministry.

Cockram Nissan has admitted


that an internal investigation
into potential fraud is under
way.
The Christchurch dealership,
owned by Bruce Miles and
Murray Cleland, is understood to have launched an
investigation six months ago,
reportsstuff.co.nz.
Cockram Nissans general
manager Jacob Wilson confirmed to the newspaper that
the Manchester St car yard is
in the midst of a probe into a
possible fraud.
Forensic accounting
specialists are understood to
be poring through years of records looking for any evidence
of financial wrongdoing.

Southland dealer
retires after 50 years
Tom Kilkellys sold enough cars
now.
After nearly 50 years in the
motor trade, industry stalwart
Kilkelly has announced his
retirement.
With four decades as owner
of Invercargills Regent Car
Court, his departure isnt a
total exit hes still going to
be owner of the business but
hes handed the keys over to
former sales manager Malcolm
Rae, now general manager.

June 17
Audi marketing head
departs
Audi New Zealands head of
marketing Fiona Woolley is
leaving the brand and the
automotive trade.
Woolley is headed for
Tower Insurance to lead its

14 | AUTOTALK JULY 2016 | www.autotalk.co.nz

PM on hand for
theme park car ride
launch
Rainbows End is opening a
new attraction, AA Drivers
Town, and even prime minister
John Key was on hand for the
announcement.
The PM was attending the
event in his capacity as tourism minister as the driving
experience for 5 to 13-yearolds was announced.
It will let kids drive around
a tiny town with traffic lights,
two-way roads, roundabouts,
parking spaces, a car wash, a
petrol station and other landmarks, in tiny electric Suzuki
Swifts.

Toyota NZ celebrates
50 years with social
media campaign
Toyota is celebrating 40 years
of Hilux and 50 years of operation in New Zealand with a
social media campaign called
Give your Lux some Luv.
The campaign invites our
passionate Hilux advocates
to share their stories through
our online and social media
channels, says Toyota New
Zealand digital and communications, marketing manager
Morgan Dilks.

One ultimate fan spent


$20,000 in upgrades to refine
or revamp their faithful Hilux,
on us.

Isuzu Ute wins


consecutive National
Fieldays awards
Isuzu Utes New Zealand has
won the award for the best
interactive experience site
at the National Fieldays at
Mystery Creek for the second
consecutive year.
This achievement humbles us; we certainly werent
expecting an award this year,
given wed won it last year,
says Isuzu Ute New Zealand
generalmanager Murray
Greenhalgh.
As the brands on-road
numbers grow, so does the
expectation of our customers, and we need to deliver to
that, he says.

June 20
GFNZ returns to
Geneva
The finance company formerly
known as Geneva Finance,
GFNZ, is set to return to its old
name.
The company will revert
to Geneva Finance, as well
as consolidating its shares,
in a move managing director David OConnell says will,
reflect the boards confidence in the future of the
company and its commitment
to enhance and improve the
companys relationship with
key stakeholders, for the benefit of all shareholders.
The company intends to
consolidate down to one share
for every seven shares held
now.

Problem parking
dealer buckles under
police pressure
Lawson Hoggard, the Masterton car dealer who admitted
to AutoTalk that he had illegally
parked unregistered cars in
the citys unlimited car parks,
has relented and removed the
vehicles.
Local businesses and
students at UCOL had com-

Continued on page 15

DIARYTALK

Continued from page 14

plained that Auto Imports


and Wholesale were parking
cars along Queen and Dixon
Streets, taking up soughtafter public carparks.
Local newspaper, theWairarapa Times-Age, published
several stories about Hoggards anti-social parking
habits and local students took
to Facebook to complain.

Mitsubishi pays out


compo in Japan
Mitsubishi is paying out owners
of the cars for which it was
caught fiddling fuel economy
figures for in Japan.
It will pay 100,000 yen
($NZ1340) to each owner,
including for the eK minicar
models sold in Japan since
2013, and also under the
Nissan label, and 30,000 yen
compensation each for some
other Mitsubishi models.
The disgraced company
admitted to cheating mileage
tests for decades on a wide
variety of models.

June 21
Wonky WoFs worry
MTA bosses
Owners of unsafe vehicles
paying $260 for fake warrants of fitness have the MTA
concerned for the safety of all
road users.
Northland workshops and
service stations have been
reporting vehicles carrying
warrants issued under the
fictitious Native Waka Motor
Vehicle Act 2005.

June 24
MTF takeover offers
likely too low
It was unlikely any takeover
bids for financier Motor Trade
Finance would be viable, the
firms board has announced.

The board confirmed it had


conducted a market testing process, concluding that
while it received a number
of indicative proposals, it considers that none had sufficient merit to develop further
in order to put to shareholders for their approval.
Both Heartland and Turners have taken steps towards
making bids for largely dealerowned MTF, Turners going as
far as taking a small stake.

Auckland port wins


Best Oceania Seaport
award
Customers and stakeholders have recognised Ports of
Auckland as the Best Seaport in Oceania at the Asian
Freight, Logistics and Supply
Chain (AFLAS) awards.
Ports of Auckland CEO
Tony Gibson says the award
recognises the hard work of
the ports employees.

Surge in UK import
interest but is it
too late?
It appears the UK has voted to
leave the European Union, and
with it, the British pound has
dived.
And that has resulted in
a surge of interest in the
importing of vehicles from
the UK market, with Autohub
Europe manager Joe Barnett
telling AutoTalk the trend in
enquiry has been up in recent
days.
There has been a lot of
action today, he says. We
have seen it over the last two
weeks as the pound was falling
against the dollar.

June 28
$27 million boost in
vehicle import values
Imports of vehicles, parts
and accessories rose 4.6%

All the Auto Industry


HOT NEWS every
day as it happens on

www.autotalk.co.nz
in value year on year from
$580m in May 2015 to $607m
in May 2016, according to new
data published by Statistics
New Zealand.
In the three months
ended May 2016, the value of
imported vehicles, parts and
accessories rose 2.9% from
$1.818bn to $1.871bn.
The total number of imported new and used cars and
station wagons increased from
a monthly number of 19,258
units (6843 new, 12,415 used)
in May 2015 to 20,069 (7502
new, 12,567 used) in May 2016.

Test drive ends in axe


threat
A car test drive ended in what
appears to be threats being
made with an axe.
According to the Otago
Daily Times, police were
called yesterday to a civil
dispute in Green Island which
followed a car test drive.
The car had broken down
during the test drive and an
argument ensued.

June 29
Hellaby sells NZ
Trucks and AB
Equipment for $81m
NZX-listed Hellaby Holdings
has announced a conditional
agreement to sell its equipment group comprised of
NZ Trucks and AB Equipment
to private equity fund Maui
Capital, for $81 million.
The sale is expected to
realise a capital gain on a
book value of around $30 million after costs and working

capital adjustments.
Proceeds from the sale will
be earmarked for investment
into Hellabys core Automotive
and Resource Services groups,
after initially being used to
reduce debt.

Volkswagen bounces
back with customer
satisfaction win
Volkswagen New Zealand
appears to be well up the
comeback trail with customers
by taking out a leading local
customer satisfaction award.
Roy Morgan Research revealed the winners of its fifth
annual Customer Satisfaction
Awards at a gala dinner in
Auckland with the German
brand taking the win in the
vehicle manufacturer segment.
The awards are judged by
13,000 consumers through
surveys throughout the years.
The category had been held
by Suzuki for the last four.

Facelift for Cerato


The Kia Cerato has received a
facelift and shifted to a single engine across the range.
On sale now, both the
sedan and hatch lineup get a
2.0-litre engine, dropping the
previous 1.8-litre option.
The is on top of new frontend styling, including headlights more in line with the
units on the larger Optima, a
more upright Tiger Nose family grill, more sculpted bonnet
and larger fog lights. The rear
lighting has also been redesigned.

June 30
Port move could cost
$5.5 billion
Moving the Port of Auckland
away from the inner city could
cost $5.5 billion according to a
report released on July 1.

Give customers confidence in your cars with VTNZs Entry Certification +


Vehicle Appraisal combo and Pre-Purchase Assessments
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AUTOTALK JULY 2016 | www.autotalk.co.nz | 15

INDUSTRYTALK

Crawfords
Case
brought to you by

CRAWFORDS CASE

By David Crawford, CEO of the


Motor Industry Association of NZ (Inc).
By David Crawford, CEO of the Motor Industry Association of NZ (Inc).
MARAC, a division of Heartland Bank Limited.

Wreck response pleasing


Wrecked vehicles
One matter the MIA has constantly
hounded Government about is the way
vehicles on the Australian Wrecks Register are treated on importation to New
Zealand. All too often vehicles that were
written off appear on the NZ market as
a new vehicle without buyers knowing
their full history. Used vehicles too have
similarly found their way into our markets without buyers realising their full
history. We believe this is wrong, and it
should not happen. The NZTA has been
progressively tightening up procedures
so that these vehicles are more easily
identified.

We believe this is wrong,


and it should not be
happening
It has been pleasing to see that in
recent times both Turners Auctions and
Manheim have put policies in place so
that wrecked vehicles are identified. The
MIA congratulates both companies for
their forward thinking.
Electric vehicles
At the time of writing this column I
had recently returned from a conference organised by Wellington Regional
Council titled Electric is the Future.
Some myths about EVs and PHEVs
were dealt a blow, but sadly some more
were given plenty of air. From an MIA
perspective one matter is gaining increasing focus for urgent attention, and
that is the standardisation of plug types
for the public provision of charging
stations, especially the DC fast-charge
infrastructure. With a range of plug

types available and battery technology


improving, density of batteries will improve and fast charge times need to be
maintained. Therefore, higher-capacity
cables/plug types are required. MIA
members will look at this as a matter of
priority in coming months to develop a
solution that all distributors of EVs can
adopt.
Additionally, our view is since plug
types and cables are also a core safety
issue, the standards for plugs and
cables needs to be the same for both
new and used EVs when imported into
NZ.
Those who want to keep up to date
with sales statistics of new hybrid, plugin hybrid electric vehicles and electric
vehicles can find these on the MIA website at the bottom of the vehicle sales
data page mia.org.nz/Sales-Data/
Vehicle-Sales.
Vehicle dimensions and mass rule
Some time in the next few weeks
the NZTA will release the long-awaited
yellow draft of the vehicle dimensions
and mass rule. Following a review and
public consultation on proposed policy
changes to the rule, government has
been considering public feedback. As
yet, it has not released the results of
that review. We will know the extent of
the proposed changes once the yellow
draft rule is released for consultation.
Vehicle recalls
The NZTA and MBIE have been
working on updating the vehicle recall
process and moving the vehicle recall
website to the MBIEs all of government
product recall portal. Under the revised
recall process, the MIA has agreed to

take on several new roles to facilitate


the process.
The MIA will:
Manage a list of permitted users, in
the same way it currently manages
users for MIAMI to register model
information for new vehicle models.
Receive notification of all recalls as
they are posted.
Check and approve the description of notified recalls to ensure
the language is plain English and
is easily understood. Changes to
the text supplied by distributors will
be made in consultation with the
distributor.
Reminders to distributors to update
the recall periodically. If the distributor ignores the reminder and
fails to update the recall website,
the MIA will be sent an exceptions report, and the MIA office will
discuss updates with the distributor
concerned.
The only remaining matter still unresolved is ban-flagging vehicles at WoF/
CoF time where it has not been possible to identify the owner of a vehicle,
or where the owner declines to have
the recall closed out.
All safety related recalls should be
closed out as otherwise the owner
may be driving a vehicle that could be
unsafe. The MIAs view, supported by the
AA and the MTA, is that once all other
avenues to identify and contact a current vehicle owner have been exhausted, that vehicle should be ban flagged
at WoF/CoF time and the owner should
be required to have the recall closed
out prior to the vehicle receiving a new
WoF/CoF.

Drive away with finance


from MARAC
marac.co.nz

Provided by Heartland Bank Limited

MARAC is a division of Heartland Bank Limited. Lending criteria, fees and charges apply.

16 | AUTOTALK JULY 2016 | www.autotalk.co.nz

heartland.co.nz

INDUSTRYTALK

VINSENS VIEW
The monthly report from

Proudly sponsored by
chief David Vinsen

&

Putting my money
where my mouth is
I
have a number of business philosophies and precepts that I put into
practice whenever possible.
They are pretty basic, simple things
like all else being equal, do business
with people who do business with you.
Apart from being the fair thing to do,
it makes good sense: we do business
with people we know and like, and if
the relationship is reciprocal, then trust
builds over time. We often see this in
our industry, with importers having
long-established relationships with their
Japanese agents, and dealers remaining loyal to service providers over many
years.
Another basic precept is in managing staff. I believe in employing good
people, then treating them as adults
and expecting them to get on with their
jobs. Micromanagement is certainly not
my style. This seems to bring out the
best in people, and makes my life easier
and more pleasant. It becomes a team
exercise, a case of working with people,
rather than being the boss.
Putting my money where my
mouth is is another simple philosophy, also known as practising what I
preach, or walking the talk. All mean
the same thing: doing what you say
youre going to do, and following your
own advice.
I dont subscribe to the old Kiwi do it
yourself philosophy, I believe in engaging professionals when their expertise is
required. I recommend the same practice with property management. And I
practise what I preach: I currently use

See us first for...

0800 GO VINZ

four different property management


services, each all expert in their field.
My wife Mary and I own a property
management business specialising in
central and eastern Auckland residential
properties. Thats our core business,
and our speciality. Naturally, we manage our own residential investment
properties, but I use specialist property
managers for other types of properties such as a commercial manager for
commercial property, a holiday accommodation specialist for management of
my bach, and a professional manager
for our resort accommodation business. Horses for courses!
I believe the same philosophy should
apply to buying vehicles. Last year,
when IMVIA became involved in
the governments electric vehicle
initiative, I put my money where my
mouth is in two ways:
Firstly, I bought an electric vehicle for our property management
companys new business development manager, and
Secondly, it was a used import,
supplied by one of IMVIAs founding members. Nearly 30 years after
being involved in developing the
used vehicle import industry, this
member is now playing a leading
role in developing the used electric
vehicle market.
Im in the process of replacing my
car. After my health challenge last year
and a recent successful commercial
property transaction, Ive decided to

treat myself to a bit of a toy. Ive decided on the specific model Id like by
taking test drives and talking to knowledgeable people.
As you can probably imagine, I have
excellent contacts in the motor industry, for both new and used vehicles,
and I have received some very attractive offers.
But Ive decided to put my money
where my mouth is and buy a used
import directly from the UK, using the
services of one of our members. Wanting to buy a specific vehicle, model,
colour and level of specification is not
always straightforward. It depends entirely on stock availability and involves
searching stock lists, contacting agents
and rejecting the right car painted the
wrong colour, etc.
Consequently, theres been a bit of
a wait.
As it turns out, the delay has worked
in my favour. Since I started this exercise, Brexit has become a reality, and
the pound sterling has experienced its
largest fall ever. My advantage! And
maybe a reward for practising what I
preach. In this case, patience has not
only been a virtue, but a bonus!
As life, and business, becomes faster
and more complex, I believe it is worth
keeping things simple. For me, that
means sticking to some basic philosophies which make my business and
professional life easier. And that always
means putting my money where my
mouth is.

Specialists in
Pre Shipment
Inspecons

JEVIC

Authori
se
NZTA B d
order
Inspecti
on
Agency

AUTOTALK JULY 2016 | www.autotalk.co.nz | 17

MARKETINGTALK

The point of a
privacy policy
I
want to start by stating
that Im not an expert on
the Privacy Act 1993, and
anything discussed in this
article should not be considered formal advice. Its
purpose is merely to reflect
on how the industry handles
privacy, and encourage dealerships to take a look at what
they are doing in this space.
The ethics and responsibilities around the Privacy
Act 1993 are very important
fall foul of them and you
could find yourself being
investigated by the Privacy
Commissioner. As a business
operating in New Zealand
you are responsible for
ensuring you are meeting
your obligations under the
Privacy Act 1993 it is not
enough to rely on the privacy policies of your website
or technology provider. If
you are unsure about your
responsibilities, please seek
independent advice.
At AutoPlay, as part of
some market research, we
recently viewed over 150
websites for both franchise
and non-franchise dealerships. What we noticed is
that alarmingly 4050% of
the sites we viewed did not
have a privacy policy available on the website. Furthermore, a number of the policies that were available were
not very comprehensive.
The point of a privacy
policy is to inform your
customers and help them

Matt Darby works for AutoPlay, which


specialises in a lead management app that
helps dealerships capture and manage
sales opportunities. To find out more about
AutoPlay services contact
sales@autoplay.co.nz.

understand how you collect


and use the personal information that is provided by
them via enquiry forms etc.
There are a number of rules
outlined on privacy.org.nz/
that are worth reading up on,
but in short the key principles
are:
Tell people what you are
doing and why.
Keep information safe
and secure.
Obtain only the personal
information that you
need to do your business.
Only use personal information if youre reasonably sure its accurate
and up-to-date.
Respect a customers
right to view and edit
information.
This boils down to what
are you collecting, why are
you collecting it, how are
you using it, and how can
customers view or change it.
One of the most commonly
missed components of the
privacy policy is addressing how a customer can
contact someone if they
have a question, complaint
or request.
The privacy policy on

18 | AUTOTALK JULY 2016 | www.autotalk.co.nz

your website is designed


to cover the website usage, but many dealerships
forget about what happens
in an offline scenario. With
lead management tools,
CRM systems and prospecting systems within the DMS,
more customer data is being
captured than ever before.
With iPad apps like AutoPlays
own Sales Pipeline, this is
often collected in front of the
customer, but for many other
systems its entered after the
fact.
At AutoPlay we have
always encouraged dealerships to include a privacy
statement within their Test
Drive T&Cs. Most dealerships will include a (brief)
privacy sentence or two on
their test drive form, but if
you have already entered
the customers information
in another system, technically the horse has bolted. In
the AutoPlay Sales Pipeline,
we have recently added the
ability to disclose the privacy
statement right when the
customers information is first
being recorded whether
they have completed a test
drive form or not.
It is important to maintain

a balance here, as the last


thing you want to do is get
bogged down in processes
that put barriers in the way
of building rapport with potential customers or making
a sale. The privacy commissions recommendations
are that individuals should
be able to gain access to
information about personal
data practices without unreasonable effort as to time,
knowledge and expense.
Having the privacy policy
on your website and in hard
copy in your dealership is
the bare minimum, and
allows your sales team to
disclose with confidence that
a privacy policy exists and
can be found easily. With
AutoPlay Sales Pipeline weve
taken that a step further with
functionality that ensures
every salesperson collecting
customer information has
their privacy policy available
within their iPad app.
As I stated at the start
of this article, the point in
writing this is simply to get
dealerships thinking about
their own privacy policy,
what it contains and how
easily they can find it. If you
cant answer any of those
questions and dont know
the person within your organisation who can, then it
may be time to review how
your dealership approaches
privacy.

MARKETINGTALK

Cyber Security:
how to mitigate this
business risk?

udging by the media hours spent


on Brexit since Friday, June 24, it
has been the only news game in
town, even eclipsing the ABs effort to
clinch a resounding series clean sweep
against Wales. There is not much I can
add to the post-Brexit referendum result
other than to pose the question how
could so many economic and political
commentators misjudge voter sentiment outside London? What is even
more disturbing is that there does not
appear to be any well thought-out Plan
B to plot the appropriate next steps
to steer the good ship Great Britain
through these uncharted waters.
This article is all about an appropriate and well thought-out Dealership Plan B. The Plan B in this case is
identifying just what measures a dealer
needs to put in place to best manage
data security and cover what can be its
biggest dealership risk. I acknowledge
it is a somewhat dry subject, with not a
great deal of alignment to digital marketing. However, following on from
last months article on big data, cyber
security is a subject that should be well
and truly up on every dealer principal/
business managers radar screen.
Recently I have worked with two
quite diverse company groups on a
comprehensive risk assessment plan
for their respective businesses. One of
the major operational business risks
both groups identified was that of cyber
security and the possible breach of not
only company financial data but importantly that of customer information.
According to two major data security
groups, Symantec and Experian, three
out of five data attacks target smallto medium-size businesses and 60%

of small companies go out of business


within six months of a data breach. The
Ponemon Institutes US based current
study on cyber security calculated the
all in average cost of a data record was
US$217 per customer record compromised. I leave you to complete the

Peter Aitken
peter@clearedge.co.nz
or 021-940 318

sum for your own dealership here in


New Zealand at an equivalent current
exchange adjusted $300 per record
compromised. Scary stuff!
While your own internal or external audit team will be in a position to
competently advise you on best cyber
security practices, the following tips
may be of use to you in a first initial
exercise. These tips were outlined in
the May Digital Dealer magazine article
penned by Randy Henrick, associate
general counsel and lead compliance
counsel for Dealertrack, a Cox Automotive brand.
Randys tips for protecting a US
dealership cyber security breach are:
Never click on an email unless you
know the sender, and have confirmed they have sent the attachment.
Use complex passwords and dont
reuse passwords. One way attackers get in is to obtain a password
and launch a password reuse attack
with the users name, hitting multiple websites, including your system.
Change passwords frequently.

Users should not go to websites


or download software that is not
approved by the dealership IT
controller within the dealership.
The other big risk is using outdated
software such as Windows XP or
Windows 2003 that are no longer
supported by Microsoft as these
need to be manually updated to
sustain the former level of automatic protection.
Limit the number of staff who
can access customer information,
permission should only be given to
those persons who need it to do
their job.
Disable the ability to download customer information on to external
devices such as PCs, Notebooks/
iPads, Smartphones, USB devices
and external hard drives.
Its best if customer information
can be limited to read only access
and secured in a dedicated and
ideally two-factor authentication
server.
Set up your own security incident
response team within the dealership, and from time to time test
how the team can handle a breach.
Determine whether you require an
outside security forensic expert or
police with any breach?
Determine whether you require a
PR expert be required for any social
media breach or will you need to
appoint an outside call centre to
handle customer calls?
Cyber security breaches can happen
anywhere and at any time, so best be
prepared for the worst-case scenario
and be ready to implement your Dealership Plan B.

AUTOTALK JULY 2016 | www.autotalk.co.nz | 19

TRADE DIRECTORY
The comprehensive guide to every service a dealer could use

AUCTIONS
MANHEIM AUCTIONS
09 918 0500
www.manheim.co.nz
Manheim is New Zealands
largest provider of automotive auction services. Auctions
held weekly.
NICHIBO
09 374 4436
www.nichibojapan.com
We have a wealth of knowledge and experience in auto
auctions throughout Japan
which we know will enable us
to assist you in making your
next purchase.

www.tyres4u.co.nz

Go to dealer locator to nd your local dealer

Buying now

European cars - all makes, all models


Andrew Smith

027 496 3191

andrew@euroland.co.nz

www.euroland.co.nz

MTA is NZs largest


dealer representative
group: Franchise
dealers, used dealers,
and motorcycle dealers.

SBL INTERNATIONAL
VEHICLE BROKERING
03 377 6578
www.sbltd.co.nz
NZ owned and operated SBL
continue to set the motor
industry benchmark for
importing vehicles

FINANCE AND
INSURANCE

FINANCE AND
INSURANCE
UDC FINANCE
0800 500 832
www.udc.co.nz
Your first choice in automotive lending. Fixed Rates. Fast
Approval.

IT MANAGEMENT
SYSTEMS
AUTO-IT LIMITED
0800 776 611
Sales@auto-it.co.nz
Changing your DMS? Let
Auto-IT help you, the leader
in New Generation Dealer
Management Systems.

SYSTIME
09 583 2482
Paul.Wilkinson@tsinz.co.nz

Autoline DMS World


leading Automotive Dealer
Management and Distributor/Manufacturer Systems.

AUTOSURE
Phone: 09 489 9107
www.autosure.co.nz
Autosure NZ has been a leading provider of automotiveowner protection policies for
the NZ retail motor vehicle
industry since 1986.

ORION

OXFORD FINANCE

Parts, Fleet, Rental, CRM.

0800 263 264


info@oxf.co.nz
www.oxfordfinance.co.nz
Oxfords friendly team can
offer you flexible solutions to
finance the purchase of your
new vehicle.

09 583 2482
Paul.Wilkinson@tsinz.co.nz

NZs #1 Dealer Management


System installed in over 450
businesses.Sales Workshop,

SAM
09 583 2482
Paul.Wilkinson@tsinz.co.nz

The ultimate specialist


Workshop Management
System suite.
Range of options to suit.

0800 001 144 | www.mta.org.nz

PROVIDENT INSURANCE
Phone: 0800 676 864
Email: info@
providentinsurance.co.nz
Contact: Steve Owens
Chief Executive Officer
Helping dealers Make Profits
Grow. Specialist F&I training,
support and products to retail
motor vehicle traders.

20 | AUTOTALK JULY 2016 | www.autotalk.co.nz

INFORMATION
SERVICE PROVIDER
MOTORWEB
Phone: 0800 843 847
Email: support@motorweb.
co.nz
NZs leading vehicle history
check provider, delivering

online services to all sectors of


the motor industry.

IT SERVICES
AUTOPLAY.CO.NZ
09 361 1505
salesauto@autoplay.co.nz
Autoplay use the latest
technology to deliver a suite
of smart digital tools to our
customers.
ANNGOW MARKETING
027 207 9032
www.anngowmarketing.co.nz
Independent digital marketing services & advice to the
automotive industry, over 14
years experience, contact
Joel today!

PARTS
REPCO
0800 800 878
www.repco.co.nz
Repco - over 800 highly
trained staff, 82 stores nationwide and home to New
Zealands leading automotive
brands.

PAINT & FABRIC


SUPPLIERES
GARDX
0800 242 739
www.gardx.co.nz
New Zealand Premier Paint
& Fabric Supplier. Providing
profit solutions that achieves
results.

SHIPPING AND
LOGISTICS
AUTOHUB
09 411 7425
info@autohub.co.nz
The easiest way to ship
your cars and other vehicles
globally.

VEHICLE INSPECTION
VINZ
Vehicle Inspection NZ
0800 GO VINZ
(0800 468 469)
info@vinz.co.nz
New Zealands best choice for
WoF / CoF, Inspections, Certifications and much more.
VTNZ
0800 88 88 69
Sales@vtnz.co.nz

NEWSTALK

TRADE DISMISSES GOFF PORT PLAN


Continued from page 12

Theres no point investing in such a


project if its not of benefit to the industry and the customer, Moore says. But
we are always looking at what might be
good for our business.
He claims cars can be shipped
straight from the port to their final
destination with no double handling,
and believes storage, inspections and
cleaning could be handled at onsite facilities in the north.
He says Northport has access
to 180ha of commercial land,
which one of its join-venture
parents is developing for industrial
and business activities around the
port.
Trade quick to dismiss
The head of major vehicle
logistics provider Autohub, John
Davies, was quick to dismiss the
suggestion after having visited
Northport and looked at the option previously.
He says most
of the claimed
benefits do not
exist, noting
cars are already
trucked straight to
compliance, and
John Davies
that the Ministry
of Primary Industries is soon to
implement its plan to move 100%
of vehicle inspections and cleaning offshore.
He says POAL is hugely efficient at moving vehicles.
There is no real congestion
on the port, he explains. Cars on
average only spend about 1.5 days
on port one of the fastest turnarounds in the country.
Davies points out while access
to the state highway may not be
congested, the destination still is.
Sure, the pickup is not
congested, but the trucks still
need to deliver into Auckland on
congested roads.
Davies notes the additional 750
to 800 truckloads of cars will put
huge stress on the state highway
and increase stone damage to
cars. In addition drivers will only be
able to move one return trip a day,

against the multiple trips they take now.

Tauranga has improved performance


and customer service.
We believe we deliver a great
service to our car-industry customers
and we are always looking for ways to
improve our service. There is nothing
preventing Northport from entering
the market immediately, and we encourage it to do so if it believes it can
offer a better service.

POAL welcomes competition


POAL, which has a stake in Northport, was relatively restrained in its response to Goff and Northports claims.
We welcome competition in the
port sector, spokesperson Matt Ball
told AutoTalk. Competition in the container business between Auckland and

Port Calls

Tokyo Car 1614

Carrera 1615

Morning
Miracle 1616

Tokyo Car 1617

Osaka

16 July

2 Aug

15 Aug

2 Sep

Nagoya

17 July

3 Aug

17 Aug

3 Sep

Yokohama

18 July

4 Aug

18 Aug

4 Sep

Auckland

7 Aug

20 Aug

6 Sep

21 Sep

Wellington

11 Aug

25 Aug

10 Sep

25 Sep

Lyttelton

9 Aug

23 Aug

9 Sep

23 Sep

Nelson

11 Aug

3 Sep

11 Sep

25 Sep

PORT TO DOOR SERVICE INCLUDING:


MPI Border inspection

NZ Customs clearance

Odometer certification

Delivery Nationwide

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prior sales in NZ

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AUTOTALK JULY 2016 | www.autotalk.co.nz | 21

F&ITALK

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Increase profit, lower risks


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f you thought you could increase
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service, would you want to know more?
Selling 100% of your products to
100% of your customers 100% of the
time? Sounds ambitious, and to be fair,
it is. However, the question you should
ask yourself is whether your customers
are really being offered every opportunity to protect their investment.
Not every dealership can sustain
or requires a full-time business
manager. But every dealership should
have at least one trained finance and
insurance specialist, whether that is a
salesperson or the business owner. You
have a legal obligation to offer all insurance products to your customers.
Mechanical breakdown insurance
(MBI cover for six months to 48 months),
loan equity insurance (GAP), payment
protection insurance (PPI) and motorvehicle insurance (MVI) are all Autosure
products which will assist dealers to offer their customers security and protecFranchise
Finance
MBI
PPI
GAP
MVI
Used/ Import
Finance
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PPI
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Used/Import

March
39%
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March
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49%
16%
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March
$947.00
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Warwick Bourne
Northern regional
sales manager at
Autosure

tion against unforeseen circumstances


while also improving their customer
experience with the dealership.
Lets look at a scenario we all can
relate to: a customer with cash comes
into your yard and purchases a vehicle.
Two weeks later, on a Sunday afternoon, they call your mobile to say the
transmission has developed a fault and
they are stuck on the side of the road
in the pouring rain. The problem here
is they are on the way back from a road
trip and still hundreds of kilometres
from home. Thats not the conversation
you need on a Sunday afternoon. Here
goes $5000 to fix this you say to yourself, and, Im going to sell a mechanical
warranty on every car, starting Monday.
Had you sold your customer an
Autosure warranty, they would only
have needed to call the Autosure 24/7

breakdown service to get them home.


The repair is then handled by its expert
claims team to ensure the customer
gets back on the road with the minimum of fuss. That customer then becomes an advocate for your dealership,
giving friends and family positive rather
than negative feedback.
Lack of understanding and a fear
of overselling often see dealers stand
back from offering customers the full
suite of insurance products they may
have available to them. Confidence is
everything, and you should be assured
that your customers do need such
cover and do claim on it.
Autosure is used to working with all
sizes of dealerships, ranging from large
F&I departments, with numerous business managers, through to sole traders.
Our staff are here to support you with
tailored training specific to your needs.
If you have any questions about the
products mentioned above, or would
like to hear more about Autosures
products, services and training, contact us today on 0800 267 873. Happy
motoring.

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-Receive twice-weekly news alerts to your email

www.autotalk.co.nz
22 | AUTOTALK JULY 2016 | www.autotalk.co.nz

Mechanical Breakdown Insurance


Payment Protection Insurance
Loan Equity Insurance
Motor Vehicle Insurance

The best protection for your customers

www.autosure.co.nz 0800 267 873

F&ITALK

Time to change
your approach

Mike Farmer and Steve


Owens, with Matt Bulbeck
and Jaques Gray from
Provident Insurance

new zealand
professionals
who understand
the business.
Having known Steve Owens and many of his team
for years really made the difference when finalising
our decision to work with Provident Insurance. I
knew Steves philosophy of operating with trust and
integrity was in line with ours.
The training Provident Insurance provided to our
team (particularly in the service department) has been
second to none. With Providents guidance we have
seen dramatic increases in warranty sales.

rom time to time its a good idea to look at what youre


doing and how youre doing it and to put yourself in
your customers position.
This simple approach can get you off to a better start by
demonstrating empathy with your customers and shifting
your focus from trying too hard to sell them products to a
position of making your products easy for them to understand and accept.
I spend a lot of my time working with dealerships throughout the country and believe the biggest objection to a customers acceptance of finance and insurance products often
lies in the approach, and Im not just talking about the way
the products are pitched
but when, how and why
By Steve Owens
they are presented.
of Provident
Ive observed poor perInsurance
formance when business
managers oversell and
exaggerate, but the worst
of all is the lazy business manager who just goes through the
motions, simply not trying hard enough, not building that
essential rapport with their customers, and then not offering
100% of their products to 100% of their customers 100% of
the time.
On the other hand Ive seen some great examples of
business managers spending that crucial first five minutes
building rapport with their customers, asking open-ended
questions, and relating their own personal experience.
And only after this has been done do they walk their customer through the process of introducing their products and
the benefits of their products, based on the information the
customer has given them, enabling the customer to see their
need for the products.

The Provident team really believe in and love what


they do. Its owned by experienced New Zealand
professionals who really understand our market and
who have invested to ensure a strong company.
Long term relationships and trust were the reasons
that we chose Provident Insurance.
MIKE FARMER, Group Managing Director, Farmer Motor
Group Limited.

Introduce the Provident Profit


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

To change your focus from trying to sell to making it easy


to buy, there are three things you need to do:
Build rapport Spend that crucial first five minutes
building rapport. Remember the old sales triangle (on
left) and how it has changed (to right). Also remember
that people dont care how much you know until they
know how much you care.
Focus on the customer Focus on what is best for that
particular customer based on what they have told you
and what you believe their needs to be. This is where you
may have to ditch the pitch, change your presentation
Continued on page 27

24 | AUTOTALK JULY 2016 | www.autotalk.co.nz

LAUNCHEDTALK

$4k total cost saving


for Corolla Hybrid

oyota New Zealand is claiming the new Hybrid version of its


ubiquitous Corolla will cost owners who drive mostly in the city $3857
over a five-year ownership period.
The company launched the
car to media in Palmerston North
last month, pushing the benefits
of the new model in addition to
some bold statements about the
future of the industry.
General manager of sales and
marketing Steve Prangell impresses the point that hybrid is the
best technology for now, and that
while electric vehicles are the hot
issue of the moment, the internal
combustion engine is far from
dead.
Electricity is not seen as the
ultimate answer everywhere in the
world, it is the hot thing here and
in the likes of Norway due to our
high percentage of renewables,
Prangnell explains.
Round the world the places
where electric cars are booming is
where there are big incentives, he
notes, believing the government
is dreaming with this recent target
of 64,000 electric vehicles on the
road by 2022.
Until we get a breakthrough
in this space and get up to decent
range and energy density, the
market will be limited, he says.
We are on the cusp of solving
some of these issues, but at the
moment a pure EV has a lot of
compromises for New Zealand
use.
He acknowledges though plugins are the best route for the New
Zealand government to go down,
plug-in hybrids particularly. The
company has now landed 40 of
the Prius plug-in used import vehicles it launched at the launch of
the fourth-generation Prius, and
is making a case to head office for
the plug-in Prius Prime.
While the hybrid drivetrain is
new to the Corolla here, in Europe

it is the most popular option for its version of the car, the Auris.
Toyota NZ has slightly more modest
expectations, expecting to sell up to
400 Corolla Hatch Hybrids in the sec-

ond half of this year, with total Corolla


sales expected to exceed 6000.
That will massively boost hybrid sales
in New Zealand - more than tenfold
Continued on page 27

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AUTOTALK JULY 2016 | www.autotalk.co.nz | 25

NEWSTALK

The other dealer-owned


finance company
W

hen you think dealer-owned finance


cooperative in New
Zealand one name springs to
mind - Motor Trade Finance
(MTF).
But MTF is far from small,
and has grown into something quite different from its
original concept. And with
multiple takeover offers in
the last year - albeit rejected
- how long it will remain in
originators hands is unclear.
But there is another that
springs to mind.
We will admit we had not
heard of Christchurch-based
Dealer Finance Limited until

it hit prominence for the


wrong reasons. In April DFL
agreed on a settlement with
the Commerce Commission
to repay interest overcharged
on accelerated payments
which was to assist borrowers in managing their loan
commitments.
For general manager Darren Musson, who was new
to the brand at the time, the
issue was a challenge, especially considering the size of
the office staffed as it was by
a mere three people.
The cooperative has been
around for over four decades
and lends almost entirely on

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used cars, with a caravan


dealer in the mix and other
possibilities being considered.
Dealer Finance started
approximately 43 years
ago, Musson explains.
Each dealers loan book
is full recourse to itself.
While ultimate loan acDarren Musson
ceptance is the decision
of Dealer Finance, we give
a dealer to go elsewhere.
every support to our dealers
Certainly, its a competitive
to write good quality loans
marketplace out there, and
which comply with relevant
if we do decline something
legislation, including the
or give a reason why we feel
responsible lending code.
the dealer shouldnt do the
As a cooperative all profits
deal, then obviously that deal
go back to its members.
is free to be funded through
Shareholder members resomeone else, which would
ceive profit distributions from not necessarily be recoursed.
both individual dealer ledgers
The majority use us as
and overall company profit,
their main option.
distributed every six months.
Musson is looking to grow
Members effectively get
DFL, and while the growth
interest on the money they
of MTF potentially leaves a
leave in the pot, which
vacuum, educating dealers is
fluctuates according to mar- also part of the challenge.
ket movements. Currently,
Youve got to convince
dealers are getting 8% per
some of the younger guys
annum.
coming into the industry of
The buy-in for a dealer?
the benefits of being a coop$20,000. Currently around
erative the attractive returns
21 are involved.
to be earned and having
Musson says despite being recourse liability.
relatively rare these days, the
DFL, like any business,
recourse model works well.
needs to grow. It has flown
They have to be responunder the radar for quite
sible lenders at the end of
some years. It needs to get
the day, he adds. The guys
out in the marketplace and
that have been there long
have a more proactive apenough know what theyre
proach through simple things
doing with any lending.
like advertising and signage;
Many members use DFL as things it hasnt done in the
part of a catalogue of finance past with the dealers.
products, others standalone.
That is part of Mussons
It is designed to provide a
role, to get out in the market
one-stop show for a memwith dealers. MBA-qualified,
ber if he so desires, explains
he has an extensive finance
Musson.
background of 19-years,
Theres no reason for
including time with UDC.

LAUNCHEDTALK

$4k total cost saving for Corolla Hybrid


Continued from page 25

the number of Prius sold in a


normal year.
Sales are beginning with
an aggressive promotion, a
$34,990 price - down from
the normal $38,490 retail
- and 0% finance, with fiveyears free servicing.
Fleets will be a key part of
the sales mix.
It easily stacks up financially, says Prangnell.
We expect it will appeal
to people who want a hybrid
and prefer to drive a more
mainstream looking car as
well as fleet managers who
recognise the dual advantages of lower running costs
and a better carbon footprint
for their businesses.
Fuel consumption is
claimed at 4.1 l/100kms with
CO2 emissions of 96 g/km.
By way of comparison, the
petrol engined Corolla GLX

is rated at 6.1 L/100kms and


143 g/km.
The Hybrid Synergy Drive
system has a combined
output of 100kWs from the
1.8-litre Atkinson Cycle
four-cylinder petrol engine
and the electric motor,
when working in tandem.
Power is transmitted by
an electronic continuously
variable transmission with
power, economy and electric
vehicle modes.
Apart from the powertrain, the other mechanical
changes to the Corolla Hybrid when compared to the
GLX model include; larger
front brakes to assist regenerative braking, Michelin low
rolling resistance tyres to
improve fuel efficiency, and
double wishbone rear suspension with a stabiliser bar
for improved handling and
road hold.
On the exterior, the

TIME TO CHANGE
YOUR APPROACH
Continued from page 24

and just focus on what and why you believe its best
for them.
Build your knowledge Knowledge equals success. The more you know, the more success you will
have. The great thing is that knowledge is available in
abundant supply everywhere around us. Just ask and
Ill show you.
Almost 90% of all objections relating to finance and
insurance start in your own head. Either you will sell your
customer on the benefits of your products or your customer will sell you on their objections to your products.
There is nothing more satisfying than to see a customer
who originally may have indicated a no to your products
say yes.
If you want to change your results, you may need to
change your approach. At Provident we have specific
workshops designed to help build rapport, to focus on the
customer and to overcome common customer objections.
You dont have to try too hard to be better, you just
have to try to be different, and by being different you will
become better.

Corolla Hatch Hybrid can


be distinguished from its
GLX sibling by its bi-LED
headlights and LED daytime
running lights with automatic
leveling and cleaners, which
are also fitted to the flagship Corolla Levin ZR petrol
model.
In the cabin, a hybrid drive
economy meter replaces the
tachometer and a 4.2-inch
colour multi-information display screen has been added.
There is also smart entry and
push-button start, which
again is only fitted to Levin
petrol engined models.
The GLXs air conditioning
system has been upgraded to
an automatic dual zone system in the hybrid. The gear
selector is the same resin
type as used in the Prius.
The rear suspension has
been updated to a doublewishbone setup over the

existing beam design to


account for the additional
weight of the battery in the
rear.
We had the chance to
drive the Hybrid briefly
around the Manawatu, and
on the Manfield circuit.
Every Kiwi is familiar with
the Corolla, and the Hybrid
is little different - aside from
its ability to glide away quietly with no engine started.
It does feel very marginally heavier than a normal
Corolla, but overall feels
more refined - the engine is
less prone to long periods of
high revving when accelerating as is the norm with CVTs,
and the ride feels better
damped.
Inside it is business as
usual, although the front
seats seem a little basic and
thin for what will likely be a
heavily used fleet car.

Dealer Information Notice

Dealer Information Notice

MTA MEMBERSHIP INFORMATION


Interests
of motor vehicle dealers a priority
Na ti ona l Subs cri pti on
$700 Excl GST & Bra nch fee
Yes No

Cost

Brand

Year

Capacity

Strong & nationally recognised

Since 1917

4000 members

MTA is NZs largest dealer representative group: Franchise


dealers, used dealers, motorcycle dealers, and truck dealers

Mediation

Yes

No

HR Advice

Yes

No

MTA stationery

Yes

IT Advice
Yes No
Industry
research

Market analysis - regular,


accurate and detailed

Advocacy - pushing the causes


for your industry
Benefits - save money with
No
key business partners

Business
Range of Need a mentor
Managers
newsletters Yes No
Specialist training
Business Advice
No
Yes No
Yes

FURTHER INFORMATION ABOUT MTA


Events / get
Free phone
togethers
Yes No
CONTACT US

Website
www.mta.org.nz

Tony Everett 04 381 8827


AUTOTALK JULY 2016 | www.autotalk.co.nz | 27

NEWSTALK

The bell rang solidly inside Hyundais tent.

Isuzu Utes winning interactive site.

Jaguar Land Rover puts its best foot forward.

Mitsubishi stand.

RAM trucks imposing presence.

Suitably attired Renault sales people.

Ssangyongs massive site.

New Suzuki Baleno.

Toyotas full Hilux line up.

FIELDAYS SALES EXCEED EXPECTATION


Continued from page 7

vehicles instead of 15.


The award for the best
interactive experience site at
Mystery Creek won by Isuzu
Utes New Zealand for the
second consecutive year.
This achievement humbles us; we certainly werent
expecting an award this
year given wed won it last
year, says Isuzu Ute New
Zealand general manager
Murray Greenhalgh.
As the brands on-road

numbers grow, so does the


expectation of our customers, and we need to deliver
to that.
For us, the National
Fieldays is primarily a branding exercise; the sales are a
bonus.
Its an opportunity for
current customers and prospective customers to see
the full range of Isuzu Ute
models in every available colour to enable them to have
a good comparison against

Fords Off the Grid Everest.

28 | AUTOTALK JULY 2016 | www.autotalk.co.nz

Mahindra displayed
SUV, utes, and tractors.

competitors.
Renault brought some
Gallic flair to its stand with a
miniature marquee version
of the Eiffel Tower and a
French patisserie and cafe
for showgoers to enjoy
while checking out its range
of electric vehicles and the
newly released Trafic Van.
People heading to the
Ssangyong and LDV site had
access to a restaurant, bar
facilities, an onsite executive
portaloo as well as a wood-

Renault stand.

en hot tub for those brave


enough to bring their swimming togs.
Volkswagen offered hot
coffee and soup within its
pavilion as well as the latest
California Ocean luxury 44
camper.
Volkswagen general
manager Tom Ruddenklau
says the brand has moved
on from the diesel cheat
debacle which brought the
distributor closer to its dealer
network and customers.

Colorado Extreme inside Holdens stand.

STATSTALK
USED VEHICLES

Imports down in June

he import market
has gone from barely
keeping up with last
year to slipping slightly behind for the month of June.
Used import passenger
vehicle registrations were
down 3.7% for the month
to 11,991 units, compared
to 12,451 this time a
year ago.
Overall for the
year, registrations
are tracking just
2% up over 2015
at 72,262 units.
Toyota remains the
most popular brand,
up 9.5% for the month to
3007.
Nissan was second on
2252, up 5.6%, while Mazda
registrations were down
15.3% to 1735.
Commercial registrations,
however, continue to be
strong, up 25.2% to 864 units

from 690.
Year-to-date commercial
registrations are up 11% to
4759 units.
Toyota was most popular
in the commercial space
on 400 units, up 12.7% for a

46.3% market share.


Nissan was second on
201 units, up 48.9%, followed
by Mazda in third, up 62.2%.
The Nissan Tiida again
led imports on 566 units,
followed by the Mazda Axela

USED IMPORT COMMERCIAL MODELS


MAKE
TOYOTA
NISSAN
MAZDA
NISSAN
TOYOTA
ISUZU
NISSAN
NISSAN
TOYOTA
NISSAN

JUNE
'16
HIACE
305
CARAVAN 86
BONGO
46
VANETTE 33
DYNA
33
ELF
31
ATLAS
22
NV200
21
REGIUS
21
NAVARA
20

MODEL

MAKE

MODEL

TOYOTA
NISSAN
MAZDA
NISSAN
TOYOTA
TOYOTA
TOYOTA
ISUZU
NISSAN
NISSAN

HIACE
CARAVAN
BONGO
VANETTE
TOWNACE
DYNA
REGIUS
ELF
NV200
ATLAS

JUNE
'15
266
54
29
28
27
24
22
16
16
14

and Suzuki Swift. The Toyota


Hiace topped commercials.

USED IMPORTS
BROUGHT TO
YOU BY:

UK imports predicted to
double
A key proponent of the
import of cars from the
United Kingdom is expecting business to double
in the short term
off the back
of last

weeks Brexit vote.


The British pound dived
on the news, and while
initially foreign exchange

Joe Barnett

services were unable to


guarantee rates to allow
trading, things have settled
down now to 53.5 pence to
the dollar.
Autohub Europe manager
Joe Barnett says it has had
a large increase in enquiry
regarding the market.
Continued on page 30

USED IMPORT COMMERCIAL MAKES


MAKE

JUNE
'16

TOYOTA
NISSAN
MAZDA
ISUZU
FORD
MITSUBISHI
HINO
HOLDEN
CHEVROLET
SSANGYONG
OTHER
TOTAL

400
201
60
48
26
26
20
16
14
9
44
864

%
JUNE
Movement
'15
Change
355
12.7
135
48.9
37
62.2
29
65.5
Up 1
8.3
24
29
Down 1
-10.3
22
-9.1
17
-5.9
12
16.7
1
800.0
29
51.7
690
25.2

Market
Share
46.3
23.3
6.9
5.6
3.0
3.0
2.3
1.9
1.6
1.0
5.1
100.0

AUTOTALK JULY 2016 | www.autotalk.co.nz | 29

STATSTALK
USED VEHICLES

USED IMPORTS

IMPORTS DOWN IN JUNE


Continued from page 29

We are flat out, Barnett


says. It brings a whole different spectrum of vehicles into
being viable, with purchase

prices being down about


12-13%.
Depending on what the
currency does, I think we will
see a 100% increase in the

USED IMPORT PASSENGER MAKES


MAKE
TOYOTA
NISSAN
MAZDA
HONDA
SUZUKI
SUBARU
BMW
MITSUBISHI
VOLKSWAGEN
MERCEDES-BENZ
AUDI
FORD
VOLVO
LEXUS
HYUNDAI
CHEVROLET
LAND ROVER
MINI
JAGUAR
DODGE
OTHER
TOTAL

JUNE
'16
3007
2252
1735
1227
633
579
503
484
459
246
221
120
77
53
43
35
34
34
33
30
186
11991

%
Market
JUNE
Movement
'15
Change Share
2746
9.5
25.1
2132
5.6
18.8
2048
-15.3
14.5
1403
-12.5
10.2
711
-11.0
5.3
677
-14.5
4.8
585
-14.0
4.2
482
Up 1
0.4
4.0
484
Down 1 -5.2
3.8
258
Up 1
-4.7
2.1
286
Down 1 -22.7
1.8
105
14.3
1.0
76
1.3
0.6
61
-13.1
0.4
28
Up 4
53.6
0.4
40
-12.5
0.3
36
Up 2
-5.6
0.3
46
Down 3 -26.1
0.3
36
Down 1 -8.3
0.3
19
Up 1
57.9
0.3
120
55.0
1.6
12451
-3.7
100.0

AROUND THE COUNTRY


DISTRACT
WHA
AUC
HAM
THA
TAU
ROT
GIS
NAP
NEW
WAN
PAL
MAS
WEL
NEL
BLE
GRE
WES
CHR
TIM
OAM
DUN
INV
TOTAL

JUNE'16
266
5731
724
4
508
130
52
263
204
77
347
84
939
232
79
38
8
1583
94
20
365
163
11991

JUNE'15
261
6004
822
74
575
125
66
241
212
67
291
67
970
239
62
42
9
1621
121
42
364
140
12415

% CHANGE
1.92
-4.55
-11.92
-94.59
-11.65
4.00
-21.21
9.13
-3.77
14.93
19.24
25.37
-3.20
-2.93
27.42
-9.52
-11.11
-2.34
-22.31
-52.38
0.27
16.43
-3.42

BROUGHT TO YOU BY:

short term, and from there it


depends on what happens in
the UK, he Barnett.
Barnett says new enquiries are not so much coming
from traders new to the UK
business, but those who
have already been involved.
It is just those dealers

are now more active because


they realise there is an opportunity.
Continued on page 31

USED IMPORT PASSENGER MODELS


MAKE

MODEL

JUNE '16 MAKE

MODEL

JUNE'15

TOYOTA
NISSAN
MAZDA
SUZUKI
HONDA
MAZDA
TOYOTA
VOLKSWAGEN
TOYOTA
SUBARU
MITSUBISHI
MAZDA
NISSAN
TOYOTA
MAZDA
MAZDA
BMW
TOYOTA
NISSAN
NISSAN

COROLLA
TIIDA
AXELA
SWIFT
FIT
DEMIO
WISH
GOLF
VITZ
LEGACY
OUTLANDER
ATENZA
NOTE
MARKX
PREMACY
MPV
3 SERIES
PRIUS
DUALIS
MURANO

577
566
528
521
434
387
313
304
295
285
267
215
205
201
195
194
191
179
161
156

SWIFT
AXELA
TIIDA
FIT
DEMIO
COROLLA
LEGACY
GOLF
ATENZA
WISH
MPV
OUTLANDER
3 Series
VITZ
ESTIMA
ODYSSEY
NOTE
DUALIS
BLUEBIRD
1 Series

602
595
559
511
489
483
357
321
317
314
252
241
223
220
204
193
168
167
160
151

SUZUKI
MAZDA
NISSAN
HONDA
MAZDA
TOYOTA
SUBARU
VOLKSWAGEN
MAZDA
TOYOTA
MAZDA
MITSUBISHI
BMW
TOYOTA
TOYOTA
HONDA
NISSAN
NISSAN
NISSAN
BMW

Interest rates from 11.95%


Nichibo and non Nichibo cars financed
Competitive commissions no retention and no claw back
Low and no deposit to approved purchasers
30 | AUTOTALK JULY 2016 | www.autotalk.co.nz

Tel: (09) 369 5276


www.autofinancedirect.co.nz

STATSTALK
USED VEHICLES

USED IMPORTS

BROUGHT TO YOU BY:

16-Jan
15-Jan
% diff
16-Feb
15-Feb
% diff
16-Mar
15-Mar
% diff
16-Apr
15-Apr
% diff
16-May
15-May
% diff
16-Jun
15-Jun
% diff
YTD 16
YTD 15
%diff

16
15
7
14
12
17
14
12
17
14
15
-7
14
30
-53
14
12
17
86
96
-10

5
3
67
4
2
100
4
5
-20
4
3
33
3
3
0
8
4
100
28
20
40

13
12
8
6
9
-33
6
8
-25
0
5
-100
4
5
-20
4
3
33
33
42
-21

18
17
6
26
24
8
26
22
18
32
24
33
29
30
-3
26
24
8
157
141
11

9
18
-50
14
13
8
14
33
-58
13
13
0
20
19
5
20
22
-9
90
118
-24

11
9
22
14
8
75
14
18
-22
17
7
143
13
21
-38
16
17
-6
85
80
6

25
28
-11
38
22
73
38
35
9
41
38
8
50
27
85
48
29
66
240
179
34

35
43
-19
45
34
32
45
44
2
52
36
44
65
32
103
60
37
62
302
226
34

33
18
83
33
24
38
33
30
10
26
25
4
32
44
-27
26
29
-10
183
170
8

158
130
22
159
132
20
159
147
8
198
140
41
176
138
28
201
135
49
1051
822
28

338
311
9
354
360
-2
354
395
-10
391
378
3
430
361
19
400
355
13
2267
2160
5

7
6
17
10
7
43
10
4
150
6
4
50
8
8
0
7
2
250
48
31
55

27
64
-58
28
34
-18
28
32
-13
32
49
-35
40
24
67
34
21
62
189
224
-16

TOTAL

OTHER

VOLKSWAGEN

TOYOTA

NISSAN

MITSUBISHI

MAZDA

ISUZU

HOLDEN

HINO

FORD

Japanese car registrations


up slightly
Japanese new car registrations were up slightly in
June, by 3.6%.
Total car registrations hit
248,301 units - split between
214,442 locally built vehicles
and 33,859 imported units.
For the year car registrations are up 1.4%.
In June, conventional
passenger cars were actually
up by 15.7%, but this was
offset by a near 8% drop in
Kei-car volumes.
Toyota was, as usual, by
far the most popular brand,
off the back of its hybrid lineup, on 122,100 units.

FIAT

Continued from page 30

DODGE

CHEVROLET

USED IMPORT COMMERCIAL MAKES THIS YEAR

695
644
8
745
681
9
745
785
-5
826
737
12
884
742
19
864
690
25
4759
4279
11

COMPETITIVE FINANCE.
PERSONAL SERVICE.

TOTAL

558
618
-10
630
561
12
593
655
-9
555
605
-8
579
739
-22
579
677
-14
3494
3855
-9

OTHER

17
24
-29
16
18
-11
20
25
-20
18
18
0
23
15
53
13
14
-7
107
114
-6

VW

404 2075
511 2012
-21
3
385 2143
388
1779
-1
20
422 2240
479 2076
-12
8
431 2357
431
1753
0
34
438 2429
427 2106
3
15
484 2252
482 2132
0
6
2564 11353
2718 11858
-6
-4

TOYOTA

208
229
-9
203
200
2
230
250
-8
239
227
5
242
264
-8
246
258
-5
1368
1428
-4

679 2794
775 2648
-12
6
676 2760
684 2414
-1
14
657 2910
772 2804
-15
4
646 2978
653 2468
-1
21
628 3103
736
2721
-15
14
633 3007
711 2746
-11
10
3919 17552
4331 15801
-10
11

421
420
0
473
403
17
489
486
1
468
448
4
511
495
3
459
484
-5
2821
2736
3

345
366
-6
369
326
13
444
403
10
360
379
-5
390
392
-1
392
364
8
2300
2230
3

11675
11791
-1
11736
10572
11
12153
12313
-1
12140
11038
10
12567
12415
1
11991
12415
-3
72262
70544
2

SUZUKI

44 1859
59 1992
-25
-7
41 1862
38 1678
8
11
40 1796
54 1942
-26
-8
43 1847
34 1805
26
2
50 1895
36 1989
39
-5
43
1735
28 2048
54
-15
261 10994
249 11454
5
-4

SUBARU

1324
1160
14
1255
1120
12
1369
1240
10
1218
1179
3
1267
1391
-9
1227
1403
-13
7660
7493
2

PEUGEOT

48
32
50
33
30
10
42
29
45
47
47
0
46
33
39
25
36
-31
241
207
16

NISSAN

HONDA

131
173
-24
144
169
-15
129
167
-23
151
138
9
151
153
-1
120
105
14
826
905
-9

MITSUBISHI

HOLDEN

13
20
-35
8
18
-56
10
12
-17
13
13
0
7
10
-30
17
16
6
68
89
-24

MERCEDES

FORD

61
60
2
58
81
-28
51
58
-12
32
67
-52
44
56
-21
35
40
-13
281
362
-22

MAZDA

DAIHATSU

16-Jan
15-Jan
% diff
16-Feb
15-Feb
% diff
16-Mar
15-Mar
% diff
16-Apr
15-Apr
% diff
16-May
15-May
% diff
16-Jun
15-Jun
% diff
YTD 16
YTD 15
%diff

HYUNDAI

CHEVROLET

224 470
220
472
2
0
211 469
190
475
11
-1
241 470
276
585
-13
-20
240
497
246
527
-2
-6
222
542
253 599
-12
-10
221 503
286
585
-23
-14
1359 2951
1471 3243
-8
-9

AUDI

BMW

USED IMPORT PASSENGER MAKES THIS YEAR

Tel: (09) 369 5276


www.autofinancedirect.co.nz
AUTOTALK JULY 2016 | www.autotalk.co.nz | 31

STATSTALK
NEW VEHICLES

Fieldays boost for


registrations

ew vehicle registrations have again


recorded one of their
highest results in over two
decades off the back of a
busy Fieldays.
The 2016 new vehicle
market continues to perform
beyond expectations, with
sales in June up 5.1% on
June 2015 and delivering a
steady 5.3% growth for the
year-to-date. New registrations of 13,699 vehicles is
the strongest month of June
since 1982 and the second
highest month ever on
record.
Year-to-date there has

NEW PASSENGER MAKES


MAKE
TOYOTA
HOLDEN
MAZDA
HYUNDAI
FORD
MITSUBISHI
KIA
SUZUKI
HONDA
NISSAN
VOLKSWAGEN
MERCEDES-BENZ
SUBARU
AUDI
SSANGYONG
SKODA
BMW
LAND ROVER
JEEP
PEUGEOT
OTHER
TOTAL

JUNE JUNE
'16
'15
1569 2171
843
870
842
697
836
773
596
466
565
691
553
292
495
404
420
285
384
281
338
369
226
173
210
245
166
163
159
145
141
117
123
144
100
70
89
146
85
48
446
471
9186 9021

istrations in 2014 and 4009


in 2015) according to Motor
Industry Association chief
executive David Crawford.
Toyota was the overall
market leader for the month
of June with 19% market
share (2666 units) with Ford
second on 11% (1478 units)
and Holden third with 9%
(1274 units).
Toyota remains the passenger car market leader
for the month of June with
17% share (1569 units), with
Holden second on 9% (843
units) and Mazda third, just
one unit behind Holden, with
9% (842 units).
Toyota regained the
commercial vehicle market
Market
lead from Ford with 24%
Share
share (1097 units) followed
17.1
by Ford at 20% (882 units)
9.2
and Holden third at 10%
9.2
(431 units).
9.1
Those distributors
6.5
that attended the annual
6.2

been 69,057 new vehicles


registered in New Zealand
compared to 65,653 this time
last year, an increase of 3404
vehicles.
There were 9186 passenger vehicle registrations and 4513 commercial
vehicle registrations, which
were once again the highest
month of June on record for
commercial vehicle registrations and only the third time
more than 4000 commercial vehicles were sold in a
month.
The previous two times
were also in June off the
back of Fieldays (4002 reg-

Movement

Up 1
Down 1
Up 1
Down 1
Up 2
Down 1
Up 1
Up 1
Down 3
Up 1
Down 1
Up 1
Up 3
Up 2
Down 4
Up 3

%
Change
-27.7
-3.1
20.8
8.2
27.9
-18.2
89.4
22.5
47.4
36.7
-8.4
30.6
-14.3
1.8
9.7
20.5
-14.6
42.9
-39.0
77.1
-5.3
1.8

6.0
5.4
4.6
4.2
3.7
2.5
2.3
1.8
1.7
1.5
1.3
1.1
1.0
0.9
4.9
100.0

Continued on page 33

MAKE

JUNE JUNE
Movement
'16
'15

TOYOTA
FORD
HOLDEN
ISUZU
MITSUBISHI
NISSAN
MAZDA
VOLKSWAGEN
HYUNDAI
FACTORY BUILT
OTHER
TOTAL

1097
882
431
393
328
303
183
150
98
91
557
4513

Ph 0800 500 832 or visit www.udc.co.nz


32 | AUTOTALK JULY 2016 | www.autotalk.co.nz

Hilux close behind record


Ranger result
Ford New Zealand was
quick to pat itself on the back
for its Ranger sales efforts in
June beating the official
Motor Industry Association
results out by seven minutes.
The ute set a monthly
Ford NZ sales record with the
model, shifting 836 units and
giving it the overall market
and commercial model leads.
They did not have the
market all to themselves
the Toyota Hilux was just 25

NEW COMMERCIAL MAKES

Your first choice in


automotive lending.
UDC Finance Limited lending criteria applies.

fieldays reported healthy


demand for new vehicles,
Crawford explains. Other
factors that are key drivers
of new vehicles are record
levels of net immigration,
a healthy trade sector and
strong business confidence.

771
810
503
310
234
353
210
136
51
12
618
4008

Up 1
Down 1
Up 1
Up 1
Down 2

Up 4
Up 15

%
Change

Market
Share

42.3
8.9
-14.3
26.8
40.2
-14.2
-12.9
10.3
92.2
658.3
-9.9
12.6

24.3
19.5
9.6
8.7
7.3
6.7
4.1
3.3
2.2
2.0
12.3
100.0

STATSTALK
NEW VEHICLES

Continued from page 32

units behind on 811.


Our dealers continue to
see strong demand throughout the country, says Ford
NZ managing director Simon
Rutherford.
With National Fieldays,
June is of course an important month for the industry.
Its also one of the most
competitive so for Ford and
our retail partners its been an
excellent result and great to
see so many Kiwis choosing
Ford.

Or at least choosing Ford


as most popular ute the
brand is still struggling in the
passenger stakes with not
one model in the top fifteen.
Reflecting the increasing popularity of SUVs, the
top three passenger vehicles
for the month of June were
all SUVs. Toyota Highlander
was the top selling passenger
model with 5% market share
(414 units), followed by the
Toyota RAV4 on 4% (396
units) and the
Kia Sportage

NEW AROUND THE COUNTRY


DISTRICT

JUNE'16

JUNE'15

% CHANGE

WHA
AUC
HAM
THA
TAU
ROT
GIS
NAP
NEW
WAN
PAL
MAS
WEL
NEL
BLE
GRE
WES
CHR
TIM
OAM
DUN
INV
TOTAL

184
3903
739
72
388
101
50
229
164
85
249
80
687
108
64
13
1
1562
92
22
266
127
9186

175
4092
608
81
384
68
36
236
158
59
253
60
689
96
50
18
4
1560
67
19
213
95
9021

5.14
-4.62
21.55
-11.11
1.04
48.53
38.89
-2.97
3.80
44.07
-1.58
33.33
-0.29
12.50
28.00
-27.78
-75.00
0.13
37.31
15.79
24.88
33.68
1.83

on 3% (316 units).
The Toyota Hilux was the
second best seller with 18%
market share (811 units) with
the Holden Colorado at 9%
(410 units).
The top four models for
the month of June were all
light commercial vehicles,
reflecting continued strong
demand for 42 and 44
utes. The SUV segment accounted for 36% of vehicle
registrations for the month

of June followed by the pick


up/chassis segment with a
25% share.
Continued on page 34

NEW COMMERCIAL MODELS

MAKE

MODEL

JUNE'16 MAKE

MODEL

JUNE'15

FORD
TOYOTA
HOLDEN
MITSUBISHI
NISSAN
ISUZU
TOYOTA
MAZDA
HYUNDAI
FACTORY BUILT

RANGER
HILUX
COLORADO
TRITON
NAVARA
D-MAX
HIACE
BT-50
ILOAD
LIOYD

836
811
410
328
303
287
276
183
93
90

RANGER
COLORADO
HILUX
NAVARA
HIACE
TRITON
D-MAX
BT-50
AMAROK
TRANSIT

728
484
481
353
236
234
213
210
88
74

FORD
HOLDEN
TOYOTA
NISSAN
TOYOTA
MITSUBISHI
ISUZU
MAZDA
VOLKSWAGEN
FORD

NEW PASSENGER MODELS


MAKE

MODEL

JUNE
'16

MAKE

MODEL

TOYOTA
TOYOTA
KIA
TOYOTA
HYUNDAI
MAZDA
SUZUKI
HOLDEN
HYUNDAI
MAZDA
HOLDEN
MITSUBISHI
MITSUBISHI

HIGHLANDER
RAV4
SPORTAGE
COROLLA
SANTA FE
MAZDA3
SWIFT
CAPTIVA
TUCSON
CX-5
COMMODORE
OUTLANDER
ASX

414
396
316
309
278
278
256
251
236
234
227
195
186

TOYOTA
TOYOTA
TOYOTA
HYUNDAI
MITSUBISHI
HOLDEN
MAZDA
TOYOTA
HYUNDAI
SUZUKI
MITSUBISHI
MAZDA
HOLDEN

HONDA

JAZZ

185

TOYOTA

HOLDEN
FORD
TOYOTA
VOLKSWAGEN
SUZUKI
NISSAN

CRUZE
FOCUS
YARIS
GOLF
VITARA
X-TRAIL

158
151
150
145
144
133

HONDA
TOYOTA
MAZDA
HOLDEN
SUBARU
KIA

RAV4
HIGHLANDER
COROLLA
IX35
OUTLANDER
CAPTIVA
CX-5
YARIS
SANTA FE
SWIFT
ASX
MAZDA3
COMMODORE
LANDCRUISER
PRADO
JAZZ
CAMRY
MAZDA2
CRUZE
OUTBACK
SPORTAGE

Your first choice in


automotive
lending.
Fixed Rates.
Fast

JUNE
'15
613
489
436
272
266
233
207
206
204
198
196
187
180
174
162
143
126
115
114
111

approval.

Ph 0800 500 832 or visit www.udc.co.nz


UDC Finance Limited lending criteria applies.

AUTOTALK JULY 2016 | www.autotalk.co.nz | 33

STATSTALK
NEW VEHICLES

ISUZU

LDV

MAZDA

MERCEDES-BENZ

MITSUBISHI

MITSUBISHI
FUSO

NISSAN

SSANGYONG

55

38

280

53

214

62

106

56

192

27

231

89

469

117

231 2994

504

43

68

43

239

67

176

40

85

31

122

37

254

468

139

278

% diff

17

39

28

-93

-12

17

-21

22

55

25

81

57

-27

-9

2867

-16

-17

13

16-Feb

41

662

47

32

249

67

215

82

115

41

288

25

22

78

644

102

412

3124
2821

TOYOTA

TOTAL

HYUNDAI

699

OTHER

HOLDEN

70
60

VOLKSWAGEN

HINO

16-Jan
15-Jan

FOTON

GREAT WALL

Aussie June car sales record


bodes well for 2016
A record June and a 2.2%
increase over the strong
monthly result in 2015 has
steered Australias new car
industry to its best first-half
result ever.
New car sales for June
were up 31,897 or 33% on
May 2016 (96,672) vehicles.
The June 2016 market of
128,569 new vehicle sales is
an increase of 2719 vehicle
sales or 2.2% on June 2015
(125,850) vehicle sales.

FORD

Continued from page 34

FIAT

NEW COMMERCIAL MAKES

2657

15-Feb

26

463

40

47

40

206

55

202

35

111

35

210

37

266

72

647

113

216

% diff

58

43

18

-96

-20

21

22

134

17

37

-32

-92

-10

91

11

16-Mar

42

752

85

48

284

76

318

41

151

53

462

50

234

96

851

124

244

3919

267 3680

15-Mar

53

629

51

40

61

357

86

246

38

123

44

326

58

280

67

818

136

-21

20

67

-80

-21

-20

-12

29

23

20

42

-14

-16

43

-9

-9

16-Apr

43

580

26

73

240

69

275

71

126

37

168

45

327

59

768

86

157

3150
2916

% diff

15-Apr

36

566

38

49

41

263

49

220

25

84

44

160

51

347

36

620

99

188

% diff

19

-32

-100

78

-9

41

25

184

50

-16

-12

-6

64

24

-13

-16

16-May

42

814

28

51

411

77

281

92

183

47

246

49

194

66

788

104

205

3678
3191

15-May

38

568

33

32

69

327

35

235

44

106

45

192

57

385

62

646

120

197

% diff

11

43

-15

-100

-26

26

120

20

109

73

28

-14

-50

22

-13

15

16-Jun

45

882

38

73

431

98

393

83

183

57

328

36

303

88

1097

150

228

4513

15-Jun

33

810

56

42

56

503

51

310

47

210

45

234

61

353

73

771

136

217 4008

% diff

36

-32

-100

30

-14

92

27

77

-13

27

40

-41

-14

21

42

10

YTD 16

283 4389

279

15

315

1895

440

1696

431

864

291

1684

232

1311

476

4617

683

1477 21378

YTD 15

246 3540

261

278

310

1895

343

1389

229

719

244

1244

301

1885

313 3970

743

1363 19273

-95

28

22

88

20

19

35

-23

-30

%diff

15

24

52

16

-8

13

11

MINI

MITSUBISHI

PEUGEOT

PORSCHE

SKODA

SSANGYONG

SUBARU

SUZUKI

TOYOTA

VOLKSWAGEN

VOLVO

OTHER

TOTAL

376

1774

346

46

183

8899

89

87

116

337

1941

343

36

186

9010

26 1544

-80

-59

475

-87

-34

12

30

119

12

-9

28

-2

-1

64

59

719

164

44

413

484

55

25 102

95

208

362

915

309

53

187

7191

247

47

56

674

155

54

472

371

71

30

75 106

172

289

906

372

46

157

7057

65

36

-19

-13

30

-23

-17

36

-10

21

25

-17

15

19

50

567

378

46

37

127

86

216

618

999

304

58

136

8191

63

46

90 100

239

483

970

420

33

162

8075

41

-14

-10

28

-28

76

-16

46

87

221

382

748

261

38

228

6790

73

6373

964

341

578

96

502

1280

356

746

109

% diff

83

-7

35

57

-19

48

-100

-25

-4

-23

-12

34

16-Feb

21

137

193

17

44

604

645

292

470

100

407

765

252

694

123

-16

16

-32

-19

15-Feb
% diff
16-Mar
15-Mar
% diff
16-Apr
15-Apr
% diff
16-May
15-May
% diff
16-Jun
15-Jun

151

193

16

44

514

600

-9

50

18

13

181

199

23

47

509

608

468

731

107

405 127

60

816

271

165

31

54

461

794

434

669

129

304 108

63

732

217

64

611

434

21 -26

-56

-13

10

-23

-17

33

18

-5

11

25

-22

-7

-13

29

696

589

82

523

68

455

84

53

674

206

38

451

445

576

261

587

86

295

49

53

597

130

37

373

357

55

36

114

155

373

794

288

22

120

-69

-11

-21

54

71

13

58

21

25

55

28 -89 -24

43

-6

-9

73

90

94 400 101

55

671

202

31

474

394

63

34

112

114

234

427

965

301

58

169

7502

64

45

101 108

309

29

145

6843

-3 100

17

10

181

44

138

135

13

85

155

195

36

34

509

-11

-31 -64

-67

-15

37

17

159

113

26

697

677

268

628

778

261

645

77

221

80

48

695

159

49

428

328

-13

-3

22

81

26

15

-3

27

-37

11

20

89

553 100

55

842

226

44

565

384

85

17

174

134

11

35

457

467

-9

-16

55

-50

-26

53

166

123

10

58

596

843

420

836

144

870

285

773

146

292

70

47

697

173

58

691

281

-3

47

-39

89

43

17

21

31

-24

-18

37

16

163

17

86

466

-15 -41

-33

28

84

918

964 102

18

229 3847

YTD 15

50

972

980 125

27

284 2909

%diff

68

-6

-2 -18

-33

YTD 16

-27 -20

-29

-63

% diff

KIA

745

31

JEEP

25

HYUNDAI

14

HONDA

22

149

HOLDEN

201

148

NISSAN

MERCEDES-BENZ

254

74

137

12

MAZDA

113

101

22

15-Jan

LEXUS

79 100

528

16-Jan

LAND ROVER

67

469

GREAT WALL

67

64

FORD

494

191

DODGE

368

722

CHRYSLER

78

52

CHERY

144

198 123

BMW

265 155 855

AUDI

ALFA ROMEO

NEW PASSENGER MAKES

-19

32

174

325

958

34

31

42

141 159

210

495

1569

338

62

165

9186

48

30

117 145

245

404

2171

369

38

175

9021

77

40

-14

23

-28

-8

63

-6

-2 -24

11

21

10

4326 1871 3766

554 2485 631 1137 3866 1147

575 2964 2152

401 263 590 654 1343 2660 6970 1859 315 1068 47759

5063 1849 4114

670 1557 477 319 4117 1025

326 3044 2299

402 261 545 660 1101 2211

-100

-15

-8

-17

60

32 256

-6

12

76

Your first choice in


automotive lending.
Ph 0800 500 832 or visit www.udc.co.nz
UDC Finance Limited lending criteria applies.

34 | AUTOTALK JULY 2016 | www.autotalk.co.nz

-3

-6

-1

22

20

7740 2101 204


-10

-12

54

945 46379
13

STATSTALK
SECONDHAND
Compliance made simple
...since 1999

Secondhand follow
imports down

econdhand car registrations have followed


the lead of their import
counterparts, and dropped
slightly in June.
Registrations of sales of
secondhand cars by dealers

were down 1.3% in June, to


17,544, while dealer purchases
were down 1.5% to 13,507.
Public transactions went
against the trend, up 2.2% to
41,969.
In the bike market, dealer

sales went through the roof,


up 15.1% to 374 units, while
purchases were up 7.9% to
313.
Public sales of bikes were
static, up just 0.5% to 1493.
Truck sales were also

buoyant, dealer transactions up 13.3% to 2438, while


trade-in activity climbed 7.1%
to 2118.
Public-to-public truck
sales rose 4.4% to 6345.

SECONDHAND REGISTRATIONS JUNE 2016


SALE TYPE

WHA AUC

HAM

THA

TAU

ROT

GIS

NAP

NEW

WAN PAL

MAS

WEL

NEL

BLE

GRE

WES

CHR

TIM

OAM DUN

INV

TOTAL

256

13507

Cars 2016
Public to Trader 279

578

98

90

435

234

145

1035 92

1099 222

116

34

1985 143

450

Public to Public 1939 14303 3266 617

4894

1226 87

2167

882

415

1470 993

580

1593

410

3001 973

393

237

60

5046 545

174

1895 1010

41969

Trader to Public 559

21

2411

246

69

707

384

17544

1918

148

5780

1458 229

940

300

176

640

375

189

831

170

1494 314

179

72

Public to Trader 232

4959

1276

76

652

91

101

403

220

128

926

103

1302 287

152

42

16

415

259

13706

Public to Public 1786

14101 3193

519

2125

751

365

1381

911

455

1700 413

2799 906

396

213

105

5382 580

192

1827

984

41084

Trader to Public 584

5887

1494 202

988

265

163

592

463

177

880

146

1593

197

92

21

2259 265

59

738

382

17775

Public to Trader 20.3

-1.3

-3.9

14.5

-11.3 7.7

-10.9

7.9

6.4

13.3

11.8

-10.7 -15.6 -22.6 -23.7

-19.0

3.5

-3.4

-43.8 8.4

-1.2

-1.5

Public to Public 8.6

1.4

2.3

18.9

2.0

17.4

13.7

6.4

9.0

27.5

-6.3

-0.7

7.2

7.4

-0.8

11.3

-42.9 -6.2

-6.0

-9.4

3.7

2.6

2.2

Trader to Public -4.3

-1.8

-2.4

13.4

-4.9

13.2

8.0

8.1

-19.0 6.8

-5.6

16.4

-6.2

-4.3

-9.1

-21.7

0.0

6.7

-7.2

16.9

-4.2

0.5

-1.3

Public to Trader 3

124

26

15

11

27

51

20

313

Public to Public 58

462

103

24

78

21

16

59

60

20

54

11

130

50

17

11

178

21

13

66

35

1493

Trader to Public 10

117

40

27

18

14

17

43

10

30

10

374

Public to Trader 1

132

24

19

32

290

Public to Public 54

460

110

25

96

20

15

59

49

14

67

130

40

19

10

53

33

1486

Trader to Public 7

108

23

24

15

14

45

12

325

Public to Trader 200.0 -6.1

8.3

100.0 66.7

83.3

-66.7 100.0 42.1

Public to Public 7.4

0.4

-6.4

-4.0

6.7

0.0

22.4

Trader to Public 42.9

8.3

73.9

-20.0 12.5

-28.6

100.0 20.0

180.0 -16.7 21.4

125.0 -4.4

150.0 -60.0

Public to Trader 65

651

238

24

99

24

30

91

27

20

127

23

98

64

34

Public to Public 396

1638

563

102

391

136

96

259

219

105

293

89

354

200

81

57

11

Trader to Public 145

679

250

48

184

76

37

112

64

41

146

27

136

85

46

14

Public to Trader 62

573

228

20

110

23

35

66

38

28

125

34

100

63

46

Public to Public 335

1534

508

94

386

181

89

242

152

76

278

133

332

208

88

55

24

Trader to Public 107

607

253

34

136

38

48

83

76

34

112

44

128

63

34

20

Public to Trader 4.8

13.6

4.4

20.0

-10.0 4.3

-14.3

37.9

-28.9 -28.6 1.6

-32.4 -2.0

1.6

-26.1

50.0

Public to Public 18.2

6.8

10.8

8.5

1.3

-24.9

7.9

7.0

44.1

5.4

-33.1 6.6

-3.8

-8.0

3.6

-54.2

Trader to Public 35.5

11.9

-1.2

41.2

35.3

100.0

-22.9 34.9

30.4

-38.6 6.3

34.9

35.3

-30.0

-66.7

Cars 2015

328

Cars % Change

Motorcycles 2016

Motorcycles 2015
26
187

25

30

Motorcycles % change
-100.0

-18.8 5.0

42.9

-14.3 59.4

-19.4 22.2

0.0

-37.5 -100.0
25.0

-10.5

-23.1
10.0

100.0 -4.8

-12.5 -50.0 7.9


-16.0

62.5 24.5

6.1

0.5

0.0

-25.0

-16.7 -50.0 15.1

288

34

65

106

2118

691

95

52

319

198

6345

360

57

18

143

91

2762

228

45

68

77

1977

756

95

49

269

196

6080

363

47

11

107

84

2438

26.3

-24.4

0.0

-4.4

37.7

7.1

-8.6

0.0

6.1

18.6

1.0

4.4

-0.8

21.3

63.6 33.6

8.3

13.3

Trucks 2016

Trucks 2015

Trucks % change
38.2

-15.8 20.6

Control & manage your Trader Network stock


Paperless change of ownership transactions
Create wholesale vehicle transactions

'Take control with Dealer


Dashboard'

Total vehicle securities management


Mobile optimised services
AUTOTALK JULY 2016 | www.autotalk.co.nz | 35

STATSTALK
BIKES

Bike chill thawing?

he winter chill may be


thawing for some bike
brands as registrations
in June 2016 only saw a mild
decrease of nearly 5% on
the previous corresponding
period.
There was an interesting
mix of farm bikes, scooters;
learner approved bikes and
touring cruisers in the top
ten selling bike models.
New registrations tallied

582 against 611 last year with


the market total for 2016 sitting at 4135 units.
Suzuki lead the market in
June 2016 with 118 registrations up from 96 in the previous corresponding periods
for a 20.3% market share,
while Yamaha followed on
63 units up from 39 last
years for a 10.8% market
share.
Harley-Davidson roared

NEW BIKE MODELS


MAKE
SUZUKI
SUZUKI
TNT MOTOR
YAMAHA
YAMAHA
HARLEY DAVIDSON
SUZUKI
SUZUKI
SUZUKI
HARLEY DAVIDSON

MODEL
DR200 S
UZ50
ROMA 2T
MT-03 LA
MT-07 LAG
STREET 16 STREET 500
GN125H
SV650UA ABS LAMS
UK 110NX ADDRESS
DYNA 16 LOW RIDER

JUNE'16
39
26
23
15
13
10
10
9
8
7

SPECIALIST SERVICES
ARE YOU PREPARED FOR THE
NEW HEALTH AND SAFETY
REGIME?
By 2020 the government aims to achieve
a 25% reduction in workplace injuries.
New rules to achieve this goal were
introduced on April 4. Are you ready?
The Imported Motor Vehicle Industry
Association is ready to assist, and has
prepared in conjunction with experts
HRtoolkit packages to assist car yards,
workshops and compliance workshops.
For more information
Contact: Malcolm Yorston
on 0800 046 842 or DDI 09 573 3243
Email: malc@imvia.co.nz

36 | AUTOTALK JULY 2016 | www.autotalk.co.nz

into third place with 51 new


Hogs registered up from 41
last year for an 8.8% market
share.
Triumph took fourth place
on 45 new bike registrations
up from 35 in June 2015 for
a 7.7% market share, while
fifth-placed Honda saw a
massive drop in registrations to 30 new bikes in
June 2016, from 92 units in
the previous corresponding
period.
Suzuki had the top two
selling models in June 2016,
the DR200S farm bike saw
39 registrations, which
was followed by the UZ50
scooter on 26.

The TNT Motor Roma ZT


scooter was third on the bike
carts with 23 registrations.
Yamahas MT-03 learnerapproved motorcycle saw 15
registrations, and its sibling the MT-07 LAG saw 13
registrations, followed in fifth
place by the Harley-Davidson Street 16 Street 500.
Used import bike registrations fell nearly 13% to 128
units from 147 in the previous corresponding period.
Harley-Davidson leads
the market with 40 units,
followed by Honda and Triumph with 15 units each and
Ducati with nine used import
registrations.

NEW BIKE MAKES


MAKE
SUZUKI
YAMAHA
HARLEY DAVIDSON
TRIUMPH
HONDA
KTM
KAWASAKI
TNT MOTOR
DUCATI
APRILIA
BMW
FACTORY BUILT
VESPA
PIAGGIO
FORZA
TGB
VICTORY
KYMCO
MV AGUSTA
HAOJUE
OTHER
TOTAL

JUNE
'16
118
63
51
45
30
26
24
24
20
19
19
18
17
12
8
8
8
6
6
5
42
582

YTD
'16
707
422
317
299
341
193
203
146
115
131
113
122
128
132
67
45
464
49
33
12
96
4135

JUNE
'15
96
39
41
35
92
21
33
14
22
11
19
23
6
11
16

%
Change
19.8
61.5
24.4
28.6
-67.4
23.8
-27.3
71.4
-9.1
72.7
0.0
-21.7
183.3
9.1
-50.0

8
7

0.0
-14.3

117
611

-64.1
-4.7

MARKET
SHARE
20.3
10.8
8.8
7.7
5.2
4.5
4.1
4.1
3.4
3.3
3.3
3.1
2.9
2.1
1.4
1.4
1.4
1.0
1.0
0.9
7.2
100.0

USED BIKE MAKES


MAKE
HARLEY DAVIDSON
HONDA
TRIUMPH
DUCATI
KAWASAKI
MOTO GUZZI
BSA
BUELL
KTM
SUZUKI
OTHER
TOTAL

JUNE
'16
40
15
15
9
7
5
3
3
3
3
15
128

JUNE
'15
48
12
29
12

-16.7
25.0
-48.3
-25.0

1
2
3
3
5
32
147

400.0
50.0
0.0
0.0
-40.0
-53.1
-12.9

% CHANGE MARKET
31.3
11.7
11.7
7.0
5.5
3.9
2.3
2.3
2.3
2.3
11.7
100.0

STATSTALK
TRUCKS

Robust sales month


for market leader
I
suzu Trucks New Zealand says it is on target to
maintain leadership in all
three segments of the market for 2016.
The overall new truck
market was down 7.1% for
the month to 377 units from
406 vehicles Isuzu took the
lead, followed by Hino and
Mitsubishi Fuso.
The used import trade
fared better, up 11.2% to 159,
Toyota leading on 59.
Isuzu Trucks saw 106 new
trucks registered in June
2016, which general manager Colin Muir says: Made
us very happy.
Muir says the team is
working hard to ensure Isuzu
Trucks retains the number
one spot in light, medium,
and heavy-duty trucks.
We are comfortable that

our projected sales outcome


for 2016 will see us take the
top spot again. Our new
heavy-duty Giga product is
going phenomenally well,
and we are only hearing
hugely positive feedback
about the new model, nothing negative, says Muir.
Muir says the recent
National Fieldays at Mystery
Creek showed buyer confidence remains high and
that the economy is in good
health.
We were pleasantly surprised by the fact there was
no slowdown in the level or
the quality of enquiry on the
Isuzu Truck site this year at
the National Fieldays, says
Muir.
Theres a school of
thought that says when the
dairy industry catches a cold,

NEW TRUCK MAKES


JUNE
'16
ISUZU
106
HINO
73
MITSUBISHI FUSO 36
MERCEDES-BENZ 28
UD TRUCKS
19
MAN
14
FIAT
13
FREIGHTLINER
12
IVECO
11
VOLVO
10
OTHER
55
TOTAL
377
MAKE

JUNE'
15
97
56
61
22
25
22
11
11
8
8
85
406

%
Change
9.3
30.4
-41.0
-24.0
-36.4
18.2
9.1
37.5
25.0
-35.3
-7.1

% of
Market
28.1
19.4
9.5
7.4
5.0
3.7
3.4
3.2
2.9
2.7
14.6
100.0

YTD
'16
541
315
232
134
116
97
101
52
86
136
508
2319

YTD
'15
500
310
301
124
131
109
93
63
55
153
511
2350

the New Zealand economy


sneezes, well I havent
seen that, and I believe the
economy can weather the
occasional industry downturn.
Muir says while the dairy
downturn has seen a slowdown in truck sales in some
of the regional markets
while metro area markets remain robust and unaffected.
Some areas of primary
industry such as horticulture
and apiculture are booming
and are driving new truck
sales.
Muir says the increased
production of export honey
in the last three years has
seen increased sales of the
Isuzu N-Series 4x4 model to
that specialist market, outselling its nearest competitor
2 to 1.
The Isuzu NPS450 4x4
truck with a 7.5-tonne GVM

Vehicle Inspection NZ

sits in its little market bubble, which is borne out by


the sales figures, as theres
quite a significant specification difference to its nearest
competitors, says Muir.
Hino Distributors new
general manager Michael
Doeg echoed Muirs sentiments about the National
Fieldays.
In the last few years,
sales have become more
prevalent at Fieldays. Where
once it was a brand event,
there is now an expectation
we will sell trucks off the
stand, says Doeg.
We did move some units
during the event and were
happy with the number of
sales; we felt the enquiry was
excellent and very genuine
even though there were not
a lot of people around. We
have some solid leads for our
team to follow up.

USED TRUCKS MAKES


MAKE
TOYOTA
ISUZU
NISSAN
HINO
MITSUBISHI
FIAT
MERCEDES-BENZ
FORD
OTHER
TOTAL

JUNE
'16
43
41
22
20
13
3
3
2
12
159

JUNE
'15
38
25
14
22
22
2
2
2
16
143

%
Change
13.2
64.0
57.1
-9.1
-40.9
50.0
50.0
0.0
-25.0
11.2

% of
Market
27.0
25.8
13.8
12.6
8.2
1.9
1.9
1.3
7.5
100.0

YTD
'16
201
205
80
102
90
18
10
7
107
821

YTD
'15
232
154
73
118
107
10
6
10
114
824

Vehicle Inspection Specialists


Vehicle Inspection NZ

Warrant of Fitness Certificate of Fitness Certification Road User Charges


Registration & Relicencing Drivers Licences Vehicle Information
Vehicle Appraisal & Change of Ownership Exhaust Emission Testing

TALK TO THE TEAM YOU CAN TRUST: 0800 GO VINZ (0800 468 469) / email: info@vinz.co.nz / www.vinz.co.nz
AUTOTALK JULY 2016 | www.autotalk.co.nz | 37

TRIBUNALTALK

Confusion over CGA


Shotcrete & Rock NZ Limited v G.J. and S.R. Johnstone Limited T/A Grant Johnstone Nissan

n this case Shotcrete &


Rock NZ Limited bought
a 2006 Nissan Pathfinder
for $21,700 from G.J. and
S.R. Johnstone Limited
trading as Grant Johnstone
Nissan in Rotorua.
The purchasers director
signed a two-page printed
form vehicle offer and sale
agreement which in a block
on the right hand side of
the front page in such small
print that according to
the tribunals decision it is
barely legible, is the following clause:
7.1 I agree that I am
acquiring the vehicle for
business purposes in terms
of section 2 and 43 the
Consumers Guarantees Act
1993, then the provisions
of the Act will not apply accordingly.
The director and his wife
gave evidence to the tribunal
that the traders salesman told them when asked
that buying a mechanical
breakdown warranty for the
vehicle would be a waste of
money because the vehicle
was covered by the Consumer Guarantees Act.
At the hearing the
salesperson denied he had
made that statement, but
upon being questioned by
the tribunal he admitted
that he did not point out
that the VOSA purported to
exclude the provisions of
the act from applying to the
transaction.
The purchasers also say
the salesperson promised
that if the vehicle required
any repairs these could be

done in Auckland at the


traders cost, which they
say was important to them
in their decision to buy the
vehicle.
The purchase was completed August 1, 2015 and
the car driven to Auckland.
Its odometer at the time of
purchase read 84,500kms.
The purchaser says that
although he purchased the
vehicle in the name of his
company, he has always
used it as a private vehicle
and not as a work vehicle.
On September 9, after
the vehicle had travelled
4639kms, it overheated on
a trip back from Auckland
Airport to Hobsonville.
The purchaser took the
vehicle to the franchise dealer in Takapuna who found
the fault was caused by a
leaking top radiator hose. It
recommended that the hose
and the vehicles radiator
be replaced. The purchaser
contacted the trader who insisted the vehicle be brought
back to Rotorua for repairs,
which the purchaser reluctantly agreed.
The trader collected the
vehicle in October, replaced
the top radiator hose but not
the radiator and returned it
to the purchaser.
On December 22, the
vehicle overheated and
stopped suddenly after the
purchaser had driven around
4-5kms. He says the engine
started to rattle, its temperature gauge rose to high
and the engine cut out and
would not restart or even
turn over. The purchaser

sent an email to the trader


informing it the vehicle had
broken down and that the
motor had seized.
The purchasers email
states he would get the
vehicle towed to the local franchised dealer for
remedial work and he would
forward the account to the
trader. The trader did not
respond to that email or to
a second email sent to it a
little over two weeks later
saying the franchised dealer
had assessed the vehicle as
having a major fault in the
engine and asking to hear
from the trader regarding
the repair of the vehicle.
The trader replied in
January, asking for the vehicles then current odometer
reading which the purchaser
supplied.
The trader then offered
to pay one half of the cost
of repairing the vehicle with
the repairs to be done at
its premises, an offer which
the purchaser rejected. The
purchaser insisted the trader
replace the vehicles engine
and warrant the repairs for
three years. Offers and counter-offers were exchanged
between the purchaser and

SPONSORED BY
38 | AUTOTALK JULY 2016 | www.autotalk.co.nz

trader which included an


offer made by the purchaser
to accept a $17,000 refund
for the vehicle. The trader
refused that offer. Next, the
trader agreed to pay the full
cost of repairing the vehicles
engine provided it did the
work. The purchaser agreed
to the trader repairing the
vehicle but insisted on a
three-year warranty to cover
the repairs, which the trader
was unwilling to provide.
Negotiations between the
parties were terminated early
March when the purchaser
sent the trader an email
rejecting the vehicle.
The purchaser filed an
application with the tribunal
a copy of which was sent to
the trader with a letter from
the tribunal requiring the
trader to attempt to mediate
the dispute. The trader admitted it made no attempt
to contact the purchaser to
mediate the dispute after
receiving the copy of the
purchasers application.
The tribunal decided the
CGA did apply to the sale
- accepting the evidence
of the purchaser that the
salesperson told them that
Continued on page 42

.co.nz

TRIBUNALTALK

Rotary abuse?
Drake v Autoland Auckland Limited

n September, 2015 the


purchaser paid $10,000
for a 2005 Mazda RX8
from the trader without
test driving it or obtaining
a pre-purchase mechanical inspection. The vehicles
odometer at the time of
sale was 57,999kms. As part
of the purchase price of
$10,000 the trader supplied the purchaser with a
12-month mechanical breakdown insurance policy.
As soon as he started to
use the vehicle the purchaser noticed its engine
misfired. In October, when
the vehicles odometer was
59,529kms (1,530kms after
sale) the vehicles engine
warning light lit up and the
purchaser took the vehicle
to a specialist repairer who
replaced a coil and charged
the purchaser $160.
The trader reimbursed
the purchaser with the $160
he had paid for the coil, but
as a condition of doing so
required the purchaser to
agree to amend the vehicle
offer and sale agreement
he had signed on purchase
to include a new special
condition in the VOSA: Yard
warranty 28 days only from
date of sale.
The purchaser says the
vehicles performance
improved after the coil was
replaced but two months
later the vehicle was hard to
start and underpowered. The
purchaser telephoned the
trader who agreed to make
an arrangement with the
warranty provider to have
the engine repaired and it
arranged with the purchaser
that he would contact the
trader in early 2016.
In February, the purchaser
took the vehicle to the spe-

cialist repairer to have a


compression test carried
out on the vehicle. Their
report noted compression on the engine was
very poor.
On February 17, the
purchaser sent the trader
an email rejecting the
vehicle on the grounds
of a major compression/
starting issue and because,
by that time, the vehicles
clutch had failed. A week
later the trader arranged for
the vehicle to be collected
by the warranty provider and
taken to another repairer.
The purchasers mother
then became involved in
the dispute with the trader.
The purchaser produced a
copy of a quotation from the
repairer claiming the clutch
was badly worn and a broken spark plug had caused
carbonisation in the engine
which was causing the poor
starting and performance.
The repairer reportedly charged the purchasers
mother $1,435.72 for replacing the clutch, spark plugs
and de-carboning the engine
but the Tribunal were only
provided with a draft invoice
for that work. A photograph
of the clutch plate shows
that the clutch had been
worn down to its rivets in
several places and some of
the lining had come away
from the plate.
A stand-off developed
between the purchasers
mother and the trader. The
purchasers mother wanted
the trader to refund the purchase price to the purchaser
but the trader wanted to
repair the engine using the
purchasers mechanical
breakdown warranty.
The trader wrote to the

purchaser that it was ready


to fix the problem, through
the warranty, and was ready
to pay any extra costs, but
required the purchasers approval to start the repair.
The trader produced an
undated copy of a To whom
it may concern letter from
the director of the specialist repairer saying that to the
best of his knowledge the
vehicle had no signs of bad
compression and ran as per
manufacturers specifications when they had worked
on the vehicle, stating it is
very possible the engine has
been mistreated as the pictures of the clutch disk show
total destruction due only to
abuse.
The tribunal did not let
the purchasers naivety go
unnoticed.
The purchaser, unwisely,
bought the vehicle without
first test driving it or getting
a mechanical report from a
rotary engine expert.
It found that while there
was damage to the clutch,
there is no proof the engine
was also damaged by abuse.
There is evidence that
the vehicles clutch has been
worn down to the rivets,
probably by severe misuse,
although the purchaser
denied he was responsible for the clutchs condition. There was no credible
evidence provided by the

trader, however, to show


that the vehicles lack of
compression was a result of
any misuse or abuse of the
engine by the purchaser. I
consider it more likely than
not that the engine lacked
compression because it had
become carbon-bound and
damaged as a result of the
broken spark plug, which
was probably present at the
time of sale.
While the tribunal appeared willing to allow the
rejection of the vehicle, the
purchaser had damaged it
in a minor accident prior to
the tribunal hearing, and it
had not been repaired.
The tribunal ordered the
trader to have the vehicle
collected and the engine
repaired
The trader shall then
return the vehicle to the
purchaser with a written
warranty from the engine
reconditioners covering the
engine, misuse only excluded, for a term of not less
than six months.
However, it ordered
the costs of the clutch,
spark-plugs and engine
de-carboning to be paid
by the purchaser, because
it appears to the tribunal
from the photograph of the
clutch disk that the vehicles
clutch was probably misused by the purchaser.

AUTOTALK JULY 2016 | www.autotalk.co.nz | 39

or
AutoTalks seni
list
na
ur
jo
ie
ss
Au
oks
Max Pichon lo
r
ajo
m
e
th
at
back
past
stories in the
r
month on ou
Austrailian
ite
AutoTalk webs
m.au
autotalk.co

June 2
AHG buys Mazda
dealership for $24m
Automotive Holdings Group
(AHG) has continued its spending spree on dealerships, this
time buying a Mazda dealership in Melbourne for $24.4
million. AHG announced after
market close that it had agreed
to acquire the City Mazda
dealership in South Melbourne.
AHG managing director Bronte Howson said
the acquisition represented
a valuable addition to the
companys presence in the
Victorian capital.

AUSSIE TALK

DIARY

plans and is targeting a stockmarket debut later this year,


according to the Australian
Financial Review.
Autosports is one of the
countrys largest private car
dealership groups with 17 retail
businesses throughout Sydney
and Brisbane.

June 10

Consumers are being warned


about Sydney luxury car and
motorbike dealer Gasoline Motor Co, following a number of
complaints and what the NSW
Department of Fair Trading has
called possible trust account
anomalies.
Fair Trading said in a statement that 17 complaints have
been lodged involving at least
$600,000 in consumer detriment.
Another 47 complaints were
made involving the quality of
repairs of used motorcycles
and scooters, and the quality of new motorcycles and
scooters.

Autosports Group
mulling IPO

June 14

Audi and Mercedes-Benz


dealer Autosports Group is
considering an ASX listing.
The car dealer is already
working with financial adviser
Luminis Partners on listing

Aussies borrowed
$15bn for cars in
2015

Gasoline Motor Cos


licence suspended

Australian dealer news


at www.autotalk.com.au

for car finance specialists with


$15 billion borrowed over the
past year to buy new or used
cars.
The entire automotive industry seems to be accelerating away from the rest of the
economy and car finance
levels keep increasing.
CommSec figures show that
businesses and consumers are
putting the brakes on borrowing more money opting to
pay down debt over taking out
new loans.

June 16

AP Eagers buys Tony


Xenophon tries to
Ireland Group
put brakes on parallel AP Eagers has acquired car
and truck dealer Tony Ireland
imports
Outspoken senator Nick Xenophon has written to the AADA
pledging support for blocking
parallel imports coming into
Australia.
The independents letter
to the Australian Automotive
Dealers Association reads:
The Federal Governments
proposal to allow the parallel importation of vehicles
that are up to 12 months
old with less than 500km on
their odometer has not been
thought through and has
potentially serious consequences for Australias autosector, and extensive dealership network, particularly in
regional communities.
Greater competition within
the sector and more consumer
choice appear to be the justifications for this policy despite
the fact that some 67 makes
and 400 models currently
compete in the Australian
market.

June 9

FOLLOW

Max Pichon

AUSSIETALK

Its been a record 12 months

40 | AUTOTALK JULY 2016 | www.autotalk.co.nz

Group.
The well-known Townsville, Qld, business sells
Holden, HSV, Jaguar and Land
Rover cars as well as Isuzu
Trucks and Hyundai forklifts.
Known as a strong supporter of the local community
since operations began, the
company employs 110 staff.

June 20
Watchdog sets sights
on new car trade
The ACCC has begun a market
study into the new car retailing
industry after an increase in
complaints from the public
on faulty vehicles, particularly stemming from the Fiat
Chrysler and Volkswagen
vehicle issues.
A new car is a significant
purchase for consumers and
more than a million new cars
are sold in Australia each year.
Consumer issues arising in
relation to new car retailing is
a priority area for the ACCC,
says Australian Competition
and Consumer Commission
chairman Rod Sims.
The market study will be informed by a range of enforcement, education and research

projects focussing on four key


areas.

Toyota profits jump


22%
Toyota Australia has posted an
aftertax profit of $236 million
for the financial year ending
March 31.
The result is up 22% compared to the previous financial
year (2014/15: after tax profit
of $194 million).
Toyota had strong vehicle
sales across all major segments, with 209,252 Toyota
and Lexus vehicles sold locally
and 64,605 vehicles exported
during the 2015/16 financial
year.

June 21
Franchise dealers
want ACCC help with
manufacturers
WAs Motor Trade Association
chief, Stephen Moir, along with
new car franchise dealers, have
met with deputy chairman of
the ACCC, Michael Schaper,
to highlight issues between
manufacturers and franchise
dealers.
The focus of the discussion
was to highlight differences
between the groups, particularly around factory warranties.
It gave the MTA WA an opportunity to provide detail to
the ACCC on manufacturers
conduct on dealership agreements and warranty management.

Car loan arrears at


five-year high
Aussies arent paying their car
loans, according to Fitch Ratings latest figures.
Prime auto asset-backed
securities losses and arrears
have deteriorated over the
first quarter, its latest Dinkum
ABS Index.
The annualised net-loss
rate has increased, quarter-onquarter to 0.54% in March.

itor
DIESELtalk ed
rry
Ba
rt
be
Ro
onth
looks at the m
gone by on
.nz
dieseltalk.co
r the
-daily news fo
rt and
heavy transpo
ctors.
equipment se

June 7
Trialling new
technology to catch
overloaded trucks
The New Zealand Transport
Agency is trialling new technology to catch out heavy
commercial vehicles breaching
weight requirements in both
the North and South Islands.
According toThe Marlborough Express, NZTA will
gather data from in-road
Weigh-in-Motion devices to
identify quickly and easily,
where to target compliance
operations and to determine
and locate overweight trucks.
The in-road sensors can
weigh and record vehicles
without stopping them, and
can transmit that information
directly to the Commercial
Vehicle Investigation Unit.

June 8
Sterling effort saves
historic truck from
crusher
Daimler Trucks is donating a
historically-important Sterling
truck to Bill Richardson Transport
World in Invercargill, for its commercial vehicle collection.
The Daimler Truck Group retired the Sterling brand in 2010,
replacing the models on offer
from its sister brand Freightliner.
The donated LT9500 was
built in 2008 as an engineering
development unit for the righthand-drive Sterling program
to meet the ADR80/02 emission standard, and endured
a durability and reliability test
programme on Daimler Trucks
proving grounds in North
America.

DIARY
June 9
Loophole increases
risks to company
vehicles
A loophole in the way that
company vehicles are managed and serviced means that
thousands of New Zealand
company bosses could be in
danger of contravening the
new Health and Safety at Work
Act 2015.
While vehicles are the
single largest cause of workrelated injury in New Zealand
according to the Ministry of
Business, Innovation & Employment the structure of
how company vehicle leases
work, coupled with new Warrant of Fitness (WOF) rules,
may be upping the risk factor.
Driveline leasing and finance company chief executive Lance Manins, says that
under the Health and Safety
at Work Act 2015, company
vehicles are considered places
of work, and one already identified as a national priority by
the Government.

June 10
Eastland Group plans
5-year $123.5m
infrastructure spend
Gisborne-based Eastland
Group announced a record
audited profit of $15.2 million
for the year ended March 31,
2016 and says it is planning to
spend more than $123 million
on infrastructure in the region
during the next five years.
Owned in entirety by the
Eastland Community Trust,
the specialist infrastructure
companys operations include
Eastland Port, Gisborne

Airport and Eastland Network the electricity network


for Gisborne, Wairoa, and
the East Coast as well as
Eastland Generation, which
produces electricity from
hydro, diesel and geothermal
plants.
Every dollar we make is
a dollar that will benefit our
community, says chief executive Matt Todd.

June 13
Daimler expanding
electronic strategy
for new truck
development
Daimler Trucks is pushing forward with an expanded platform strategy for its multiple
brands, and will be integrating
trucks into the cloud from as
early as 2017 thanks to the development of a new electronic
module.
Joint development and
purchasing will occur for
integrated electric/electronic chassis cab modules
wherever there is no impact
on customer perception and
brand differentiation says the
manufacturer.
The newly developed,
standardised connectivity
hardware module is about as
big as a DIN A5 sheet of paper
for installation in all Daimler
Trucks brand vehicles.

June 15
Hyundai reveals
future trucks at
Fieldays
Hyundai New Zealand revealed
its forthcoming new light-medium duty Mighty truck range
at Mystery Creek, ithas also
confirmed it is committing to
bringing its Xcient heavy-duty
truck to New Zealand.

June 16
Penske
Commerical
Vehicles
appointing Kevin

FOLLOW

Robert Barry

DIESELTALK

Dennis to MD
The distributor of Western Star, MAN, and Dennis
Eagle commercial vehicles in
Australia and New Zealand,
Penske Commercial Vehicles,
is appointing Kevin Dennis as
its managing director effective
June 20.
Kevin brings a background
and wealth of experience fit
to continue the development
and implementation of our
strategy, including our customer first philosophy, says
Randall Seymore, president
Penske Transportation Group
International.

June 20
Truck repairer loses
liquidation bid
An attempt by a Whangareibased truck servicing and
repair company to liquidate
a haulage company over an
unpaid bill not only saw its
bid fail, but costs were also
awarded against it.
Northern Advocate
reporter Imran Ali writes that
the Whangarei branch of CablePrice applied to the local
high court under the Companies Act for an order that Taimona Haulage be liquidated
over an unpaid bill of $14,607
for repairs and parts.

RTF programme
popularity exceeds
expectations
More than 1000 people have
attended more than 20 Rollover prevention programme
seminars around New Zealand,
and another 30 of these will be
taking place before the end of
the year.
The passing of these
two milestones underlines
the popularity of the Road
Transport Forums Rollover
Prevention Safer Journeys
Programme, says RTF chief
executive Ken Shirley.

Heavy transport news


at www.dieseltalk.co.nz

AUTOTALK JULY 2016 | www.autotalk.co.nz | 41

NONRECOURSE

Death of the salesman?


I

n Arthur Millers play


Death of a Salesman, the
way to succeed in business is to move forward and
not waste time living in the
past. For the modern day
automotive industry salesperson, this could not be
more true.
Sales tactics in todays
society are no longer purely
about targets. Success
means being a facilitator
and providing a seamless
customer experience.
We can already see this
increasingly customercentric approach working in
Europe where cars are being
successfully sold from what
we would more typically
think of as exclusively retail
outlets.
The Hyundai Rockar site
in Kents Bluewater shopping
centre has already attracted
more than 200,000 people
and in 2015 broke into the
top 10 UK Hyundai dealers.
Instead of a traditional car
salesman, customers deal
with angels who help with
the buying decision in the
same way a retail shop sales

Darryn Crothall is group general


manager of TSI Group, a leading supplier
of software and technology services
across the automotive industry - best
known for its Systime (Autoline), SAM
and Orion brands.

assistant would. Its a model


were all familiar with its
how we already shop for
smart phones.
Add to that the fact that
an increasing number of
Generation Y and other buyers are doing their research
online in advance and walk
into the showroom already
knowing what they want.
Changing tactics?
So, should dealerships be
looking to hire a different
kind of salesperson in the future? Potentially yes. Recruiting from outside the industry
could even be the answer,
although a lack of experience in closing car sales
could mean the requirement
for intensive training by sales
managers.
In any case, dealerships
will certainly need recruit-

Confusion over CGA


Continued from page 38

there was no need for the purchaser to buy a mechanical breakdown policy because the vehicle was covered
by the Consumer Guarantees Act, and noted the VOSA
was poorly laid out and worded, and that trader did not
argue the CGA did not apply to the sale in the tribunal.
It also concluded a reasonable consumer paying
$21,700 for a Nissan Pathfinder of this age and fairly
moderate mileage would regard a vehicle that only
travelled 8574kms before requiring a new engine as
durable - and thusly that it did not meet the standards
of acceptable quality - and that the fault was a failure of
substantial character.
It upheld the rejection, ordering a full refund, plus
the costs incurred with the franchised dealer in Auckland, and the collection of the vehicle by the trader.

42 | AUTOTALK JULY 2016 | www.autotalk.co.nz

ment strategies that reflect


the requirement for salespeople to become more
customer-service oriented
over time. Having said this,
dealerships will always have
unit sales targets and the
need for salespeople to
remain target driven will not
go away.
Understanding consumer
behaviour can help sales
managers define the required processes. Compared
to even 10 years ago, sales
cycles within the dealership have shortened, with
potential customers having
access to more information
than ever before.
So with customers that
are more knowledgeable
and possibly already in a
buying mindset, salespeople
will (and do) need the skills
to quickly read the situation
and understand the different
expectations of one buyer
versus the next. They also
need to have instant access
to relevant customer data
and the ability to successfully
interact through a variety of
on and offline channels.
Technology-driven processes can help with this. A
structured approach tailored
to each dealerships processes can ensure consistency
across sales teams even in
a multi-franchise environment.
The most successful
organisations enter leads
into their customer database
quickly, consistently and
follow them up immediately using the customers

preferred method of contact.


Delays are not necessary
and should not be tolerated.
With the wealth of research
options now available to
consumers, any delay at all
could result in losing that
opportunity to a rival.
Those dealerships that
are not responding within (at
most) 24 hours are already
losing business and this is
only going to get worse.
The future
The sales process will
continue to evolve at an
ever-faster rate and dealerships will need to embrace
technology more and more,
with the goal being to
provide seamless support
systems that manage and
ultimately enhance customer
experience.
Okay, the title of this article is a bit misleading. The
role of the salesperson is
not being replaced or dying
purely due to technology;
it is however evolving and
becoming more complex.
The key thing to remember is that despite what
salespeople would like to
think, success in automotive
sales is at least 90% discipline/science and at best
10% art.
The flexibility offered by
technology-driven processes, including fully-integrated
DMS solutions, will help
salespeople adapt to unique
customer requirements
wherever they are in the
retail process.

Keep up with daily


transport and
equipment news
www.dieseltalk.co.nz

Up to 3.8% better fuel economy.*


And thats just the
beginning of the story.

As you drive, deposits can build up in the fuel system which


can reduce the performance of your engine. BP Ultimate Diesels
specially formulated ACTIVE technology helps to remove these
deposits and to protect your engine from future build-up, helping
it run more efficiently. Tests show you could enjoy a fuel economy
benefit of up to 3.8%*, and thats the kind of story every truck
owner likes to hear.
* Benefit achieved over time. Fuel economy benefits measured in independent tests in a
range of trucks, based on the World Transient Vehicle Cycle comparing dirty and clean
injectors. Actual benefit may not be attainable for all vehicles, and may vary depending
on multiple factors including vehicle age, configuration, on-road duty cycle and payload.

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LOGISTICS
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Jim Shi

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Business Development Manager

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+64 9 411 7425

info@autohub.co

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