Many car makers have turned the vehicle name-making process into an apparent lottery of meaningless alphanumeric titles. On many counts, at least the numeric part means something, but even that is not true across the board. It goes from "LR3" to "550i" and on to more silly concoctions like "SLK55 AMG". These three names apply to magnificent vehicles, but with these titles being used in such a widespread fashion, non-enthusiasts are finding it hard to keep it all straight.
Where am I going with this? Think back to the 80's and 90's, when automobile names sometimes even represented the characteristics of the car on which the badge hung. Integra. Sure, it's not much of a genuine English word, but those small Acura's truly were full of structural and mechanical integrity. The title, as carried by the greatness of the car, held quite a bit of sway in the young-tuner crowd.
Discovery. That's about as close as you can come to accurately naming a Land Rover. You could discover places where nobody knew there were places if you were in a tough, old Disco.
Now, I know, the names weren't always representative. An Acura Legend, however solid and luxurious, will not be participating at the Pebble Beach Concours in 2050. Legendary, er, not quite.
But many times, the naming process truly resulted in a great end result. Now to my point; the new Honda Fit. In some places, as you may know, this vehicle is actually called the Jazz. These are generally places where the Fit is not equipped with a 109 bhp engine which propels the small Honda quite briskly due to the light weight and overall small stature of this tidy hatchback.
See what I'm getting at? "Fit" is a perfect title for a car that has managed to keep the percentage of fat down and also worked out in Honda's laboratory enough to garner a few compliments about being quick and agile.
Sure, the Fit is a lightweight contender, but it brings to the ring a strong chin, some ability to throw the big knockout punch, and tenacity to go in and out of corners. Honda's Fit starts at just under $15K CDN, but at that price is not amazingly well-equipped. That's not to say a Fit DX is bare-bones; but to simply suggest there ain't as many bones when you only spend $15,000. The Fit I was interested in was the LX, which for bare-bones Civic pricing offers a lot of stuff. CD, air-con, power locks, mirrors, and windows will satisfy most people at this price level, and safety features are abundant across the Fit spec chart. Up the price to over $19,000 and you're inching your way deep into Civic territory, but you do get a lot of extras. An extensive body kit, bigger wheels and tires, paddle shifters upon choosing an automatic tranny, six speakers, cruise, and keyless entry all conspire to make the Fit Sport look and feel like a good purchase.
Despite being in the same price realm as low-level Civic's, cargo capacity and flexibility make up for the fact that you didn’t purchase Canada's best seller. With the Fit being a real city car, I decided to take my drive at hours when my city behaves like a big and busy city.
I left Honda's parking lot in the middle of a sunny Friday. Fit's haven't been around for long, and this produced some curious onlookers. I took my typical route up through a hilly section of town, with the specific hill I love on being the only place where the Fit did not seem so fit, at least cardiovascularly). Low-speed corners are abundant and some rough patches all confirmed that the little Honda drives much more like a big car, but only when you want big-car feel. On the other hand, its smallness was the overriding trait when testing the turning circle on a cul-de-sac and shifting through the 5-speed with typical small-car, small-engine feel.
Put another way, the Fit felt like an Accord when I judged ride, but like a Civic when I judged handling. Sitting in the backseat again felt like a big-car, but visibility out through the rear window proved to me that my rear window wasn't too far away, a'tall. I was never intimidated by 18-wheelers on the highway, but reversing into a parking spot was remarkably easy. Bothersome behaviour was not to be found. The clutch was mounted too high for my liking, but still operated in typically smooth Honda fashion. The C-pillar combines with the front seat headrests to block vision slightly. Buttons and switches were all of quality not normally found in cars as inexpensive as this. Fuel economy from the 1.5L inline-4 is expected to be impressive, and as already stated, a 1.5L never felt so zippy.
Small cars are the new big thing in North America, led by the Mini Cooper and the smart fortwo here in Canada. Alphanumerics have fortunately not yet taken over the tiny-car segment.
Monday, April 30, 2007
Friday, April 27, 2007
TOYOTA CAN LOSE AT SOMETHING
Tsutomu Tomita is clearly quite sick of losing. Tomita works for Toyota. And there are not many employees of the new number 1 auto-seller in the world who have a problem with losing. Toyota, as an auto-seller, does not lose.
Toyota, as a Formula 1 race team, loses every race. First race : 2002 Australian Grand Prix. Recent race: 2007 Bahrain Grand Prix. 91 total races, 2 pole positions, 155 team points, but never once a race win. To state the obvious, Toyota, without even a race win, has never won the Constructor's Championship nor have their drivers ever won a Driver's Championship.
Put it this way: send 91 people into a Toyota dealership in, say... Ottawa. How many come out with a car? Paaaaahlenty. Send 91 races in Toyota's direction, how many conquests? Zero.
Something doesn't add up. This massive Japanese manufacturer with three sub-brands, an overriding belief in its dependability, its loyal workforce and the largest cash reserves amongst all carmakers, can't win a race. Not only are those cash reserves the largest, they've used up hundreds of millions of dollars of those cash reserves to finance an F1 program that has never won a race. The $ figure is higher than any other competitor in F1, more than Ferrari; McLaren-Mercedes; or BMW.
So Tsutomu Tomita will leave for a different posting in the Toyota corporate structure, leaving behind his F1 Chief job at Toyota for another part of the company that is, perhaps, more dominant. It is not fun to lose. Especially when you're under pressure, work harder, and spend more.
Toyota does, however, have other laurels on which to rest.
Toyota, as a Formula 1 race team, loses every race. First race : 2002 Australian Grand Prix. Recent race: 2007 Bahrain Grand Prix. 91 total races, 2 pole positions, 155 team points, but never once a race win. To state the obvious, Toyota, without even a race win, has never won the Constructor's Championship nor have their drivers ever won a Driver's Championship.
Put it this way: send 91 people into a Toyota dealership in, say... Ottawa. How many come out with a car? Paaaaahlenty. Send 91 races in Toyota's direction, how many conquests? Zero.
Something doesn't add up. This massive Japanese manufacturer with three sub-brands, an overriding belief in its dependability, its loyal workforce and the largest cash reserves amongst all carmakers, can't win a race. Not only are those cash reserves the largest, they've used up hundreds of millions of dollars of those cash reserves to finance an F1 program that has never won a race. The $ figure is higher than any other competitor in F1, more than Ferrari; McLaren-Mercedes; or BMW.
So Tsutomu Tomita will leave for a different posting in the Toyota corporate structure, leaving behind his F1 Chief job at Toyota for another part of the company that is, perhaps, more dominant. It is not fun to lose. Especially when you're under pressure, work harder, and spend more.
Toyota does, however, have other laurels on which to rest.
Thursday, April 26, 2007
CLASSIFYING THE QUOTES OF THE BIGSHOTS
People talk. People talk everyday. Even important people talk everyday. I took a look at the spoken words of three important individuals; words spoken in just the last couple of days. They show the diversity of each human, but also the disparate 'lives' of three different companies.
Take a guess - who spoke these words? "I didn't welcome this morning's news.... We'll fight for every sale...We still have the majority of the year in front of us..."
What about these words? "Our first quarter results came in somewhat stronger than expected, but there are many uncertainties going forward... We remain focused on improving our quality, productivity, and business performance."
Last ones. "We have a vision to grow our business.... into a company that will be competitive for the long run."
#1 was Rick Wagoner, head of General Motors. Quote #2 was Alan Mullaly, the big-shot at Ford Motor Company, and the third was Tom LaSorda, CEO of the Chrysler Group.
Here's the background. GM just got knocked to number two in worldwide auto sales during the first quarter of the year, behind Toyota. (See story here.) Ford just announced that it lost over $200million dollars in three months. And Chrysler is on the auctioneer's block, and the gavel could come down soon.
You have one man who speaks with competitive passion because he doesn't want to stay number 2. Then you have Mullaly (see story here) who speaks with some honesty but also with some hope. And then LaSorda, upon the announcement of new operations in Marysville, Michigan mentioning with some subtlety that, uh...guys, we need to make this company last.
It's struggling, but we're investing to make this work.
The companies three, one with European cars coming (Saturn Astra), another whose CEO desperately wants to bring its European cars (Mondeo, S-MAX, Focus) and another whose European division - that'd be Mercedes-Benz - is the profitable side of their business. Such irony, such coincidence, such oddly coexistent events and circumstances.
Take a guess - who spoke these words? "I didn't welcome this morning's news.... We'll fight for every sale...We still have the majority of the year in front of us..."
What about these words? "Our first quarter results came in somewhat stronger than expected, but there are many uncertainties going forward... We remain focused on improving our quality, productivity, and business performance."
Last ones. "We have a vision to grow our business.... into a company that will be competitive for the long run."
#1 was Rick Wagoner, head of General Motors. Quote #2 was Alan Mullaly, the big-shot at Ford Motor Company, and the third was Tom LaSorda, CEO of the Chrysler Group.
Here's the background. GM just got knocked to number two in worldwide auto sales during the first quarter of the year, behind Toyota. (See story here.) Ford just announced that it lost over $200million dollars in three months. And Chrysler is on the auctioneer's block, and the gavel could come down soon.
You have one man who speaks with competitive passion because he doesn't want to stay number 2. Then you have Mullaly (see story here) who speaks with some honesty but also with some hope. And then LaSorda, upon the announcement of new operations in Marysville, Michigan mentioning with some subtlety that, uh...guys, we need to make this company last.
It's struggling, but we're investing to make this work.
The companies three, one with European cars coming (Saturn Astra), another whose CEO desperately wants to bring its European cars (Mondeo, S-MAX, Focus) and another whose European division - that'd be Mercedes-Benz - is the profitable side of their business. Such irony, such coincidence, such oddly coexistent events and circumstances.
Wednesday, April 25, 2007
TRULY, VERIFIABLY, GENUINELY GREEN CARS
Studies can be a frightening thing for our preconceptions; turning them into misconceptions or fallacies even. Illusions, distortions, misrepresentations or old wives' tales. Yikes, sounds awful.
Perhaps then, just a misunderstanding. Is the Toyota Prius really so green? Is the Jeep Wrangler really not so verde?
CNW Marketing studied. And the results are very surprising. We hear all the statistics - bare, objective, simple facts - regarding fuel consumption and emissions. CNW studied deeper.
So say they, "CNW Marketing Research Inc. spent two years collecting data on the energy necessary to plan, build, sell, drive, and dispose of a vehicle from initial concept to scrappage. This includes such minutia as plant to dealer fuel costs, employee driving distances, electricity usage per pound of material used in each vehicle and literally hundreds of other variables. To put the data into understandable terms for consumers, it was translated into a 'dollars per lifetime mile' figure. That is, Energy Cost per mile driven."
CNW itself does not proclaim this report to be a technical document, but a resource for consumers. Just to warn you, Green Party supporters; Leonardo DiCaprio believers; and hybrid pushers, you should have a cold facecloth and a glass of water nearby. Now. If you are not prepared to read content disturbing to your inner-Sierra Groupiness, please steer your mouse to the GCBC Libary.
Of vehicles sold in the USA up till 2005, the Scion xB was the greenest car in the world. CNW lists the Ford Escort next, then Jeep's Wrangler, the Chevrolet Tracker, and the Toyota Echo. Ion, Elantra, Neon, Corolla, and Scion xA filled out the top ten.
More telling is the mathematical figures. That xB didn't just top the list, but it beat the Honda Insight by $2.46 per mile. The Ford Escape Hybrid, Honda Civic Hybrid, Prius, and Honda Accord Hybrid $0.24 and $0.36 worse than the Insight.
CNW says, "This doesn't mean that hybrids, for example, are a bad choice. That is not the intention of the research. What it does mean, however, is that a 2005 hybrid uses less gasoline and produced fewer tailpipe emissions, but costs society significantly more in overall energy costs than conventional internal combustion engine vehicles."
It is safe to assume that everyone would agree. There is more than one reason for buying a Prius or a Civic Hybrid, just two examples of the growing number of hybrids available. Hybrid vehicles are often better equipped than their stablemates, offer a save-the-whales image that some people crave, and can save money at the pump.
What the study does suggest, quite firmly, is this: The jubilant hybrid-pushing crowd should think twice about their own cause. Consider this, there is one specific reader of this site who just bought a hybrid Civic, due partially to my advice. If a car is good, I don't mind saying so. Nevertheless, a Prius may well need major replacements at 100,000 miles. A Toyota Landcruiser? Probably 300,000. CNW believes the Range Rover Sport is 25% greener than a Prius.
Hybrids have high research & development costs, are complicated to build (if only because of two modes of power), and much of their hardware and software is extra expensive. The president of CNW spoke thus, "Basing purchase decisions solely on fuel economy does not get to the heart of the energy usage issue." True enough.
Perhaps then, just a misunderstanding. Is the Toyota Prius really so green? Is the Jeep Wrangler really not so verde?
CNW Marketing studied. And the results are very surprising. We hear all the statistics - bare, objective, simple facts - regarding fuel consumption and emissions. CNW studied deeper.
So say they, "CNW Marketing Research Inc. spent two years collecting data on the energy necessary to plan, build, sell, drive, and dispose of a vehicle from initial concept to scrappage. This includes such minutia as plant to dealer fuel costs, employee driving distances, electricity usage per pound of material used in each vehicle and literally hundreds of other variables. To put the data into understandable terms for consumers, it was translated into a 'dollars per lifetime mile' figure. That is, Energy Cost per mile driven."
CNW itself does not proclaim this report to be a technical document, but a resource for consumers. Just to warn you, Green Party supporters; Leonardo DiCaprio believers; and hybrid pushers, you should have a cold facecloth and a glass of water nearby. Now. If you are not prepared to read content disturbing to your inner-Sierra Groupiness, please steer your mouse to the GCBC Libary.
Of vehicles sold in the USA up till 2005, the Scion xB was the greenest car in the world. CNW lists the Ford Escort next, then Jeep's Wrangler, the Chevrolet Tracker, and the Toyota Echo. Ion, Elantra, Neon, Corolla, and Scion xA filled out the top ten.
More telling is the mathematical figures. That xB didn't just top the list, but it beat the Honda Insight by $2.46 per mile. The Ford Escape Hybrid, Honda Civic Hybrid, Prius, and Honda Accord Hybrid $0.24 and $0.36 worse than the Insight.
CNW says, "This doesn't mean that hybrids, for example, are a bad choice. That is not the intention of the research. What it does mean, however, is that a 2005 hybrid uses less gasoline and produced fewer tailpipe emissions, but costs society significantly more in overall energy costs than conventional internal combustion engine vehicles."
It is safe to assume that everyone would agree. There is more than one reason for buying a Prius or a Civic Hybrid, just two examples of the growing number of hybrids available. Hybrid vehicles are often better equipped than their stablemates, offer a save-the-whales image that some people crave, and can save money at the pump.
What the study does suggest, quite firmly, is this: The jubilant hybrid-pushing crowd should think twice about their own cause. Consider this, there is one specific reader of this site who just bought a hybrid Civic, due partially to my advice. If a car is good, I don't mind saying so. Nevertheless, a Prius may well need major replacements at 100,000 miles. A Toyota Landcruiser? Probably 300,000. CNW believes the Range Rover Sport is 25% greener than a Prius.
Hybrids have high research & development costs, are complicated to build (if only because of two modes of power), and much of their hardware and software is extra expensive. The president of CNW spoke thus, "Basing purchase decisions solely on fuel economy does not get to the heart of the energy usage issue." True enough.
Tuesday, April 24, 2007
Honda Civic Driven
It seems that growing up in a country where Honda is a major player is an equivalent way of saying that you have spent some time in a Civic or two or ten. The Honda Civic is now the company’s second least expensive model and peddles its wares successfully on the basis of being a perennial best-seller in Canada, a holder of value in the long-term, and a possessor of a lofty reputation as reliable yet fun transportation.
Due to these factors, young Canadians (and Americans), whether driving or being driven, have only lived in a time when Civics were an obvious choice for their parents, friends, or themselves. In other words, I have been in the passenger or driver seat of more Honda Civics than I can count. Beige, late 80's 4-door with a 5-speed manual that the owner said had lots of get-up-and-go in third gear. Red, late 80's CRX (it’s plenty Civic) that refused to die but kept coming back for more despite the young owner’s torture. Purplish mid-90's Civic coupe that was always being talked about in a way that made me think it would be modified, but was never touched by any speed shop in the way that thousands of other Civics were.
More recent Civics have seen me take up residence in front of the steering wheel more than the older generations. Automatics and manual; hatchback Si or 4-door sedan; well-equipped or slightly less well-equipped.
The list could go on, but, this article is actually about the most recent Civic. You know the one. The windshield is raked back daringly. The trunk looks small but isn’t. The wheels better fill the wheel arches. Headlights are narrow slits and the car as a whole looks distinctly more modern than previous iterations, however handsome they may be with 19 inch wheels, a lower front air dam and side skirts.
If you are car shopping, there’s a good chance you have thought about buying one, bought one, or at least peeked in the Civic parked in the spot next to you at the grocery store when you noticed in your periphery that the interior was strikingly unique. Honda calls the two-tier instrument panel ‘space-aged cool and super functional’. I don’t know what NASA’s Discovery shuttle has for an instrument panel, so I can’t back up the claim of space-aged coolness, but I do know that Honda decided to take a touch of a risk in our somewhat conservative North American automotive market.
You could say the emperor has new clothes, but it goes beyond new clothes. More powerful engines, more features, more control once on the move, and more comfort. Critics decried the move away from a front wishbone suspension on the previous generation and some are apparently scared off by less ordinary styling on this generation. North American consumers, however, gobble up Honda Civics like quarter-chicken-white-meat-with-fries-and-dipping-sauce.
Why? For the little things and the big things. The wheelbase of a current 4-door Civic is within 20mm of an early 90's Accord. Yet the car as a whole is about 20cm shorter from bumper-to-bumper. This means a shape that is tidier overall, more easily maneuvarable, yet spacious inside. The new Civic, always Honda’s small car, is now wider than the Accord was in 1992. Its 4-cylinder engine is around 400cc smaller, yet produces as much, or more, horsepower than that Accord. Compared with 2005 Civics, the latest Honda enters the game with a couple dozen extra horses under the hood while achieving the same highway mileage.
For companies that consistently perform at the head of the class it becomes preternatural to compare their new vehicles with competitors - but even more so with the previous incarnation. Step out of a previous-gen Civic and into the new edition and you will notice the interior and exterior styling differences right off the bat. Typically Honda-like, the controls reside where you want them, everything feels as though it will stay glued, welded, or hinged together, and visibility is decent all around. Soichiro Honda was the company’s detail-oriented founder, and when you grab hold of a steering wheel that has a proper circumference and feels good in the hands you realize the fruit of his labour. Doors thunk nicely, gauges are perfectly legible (and you become transfixed by the digits on the upper tier), the seats hold driver and passenger firmly in place.
I drove a DX sedan and came to a few conclusions. 140 horsepower is more than 117, and the trademark VTEC kick - now i-VTEC - was subtle but welcome in the upper reaches of the tachometer. The shifter was excellent, although the clutch did not have quite enough travel and was a little difficult to master quickly. The driving experience as a whole was not significantly different from the former generation of Civics, but the differences are easily defined. Better high-speed stability, flatter cornering, a more mature-feeling car that is also more fun, and the detectable power increase.
It comes as no surprise to anyone when they read positive comments regarding a new Honda. When the neighbour, cousin, friend, and co-worker all drive a Civic, you had already figured there were reasons.
Due to these factors, young Canadians (and Americans), whether driving or being driven, have only lived in a time when Civics were an obvious choice for their parents, friends, or themselves. In other words, I have been in the passenger or driver seat of more Honda Civics than I can count. Beige, late 80's 4-door with a 5-speed manual that the owner said had lots of get-up-and-go in third gear. Red, late 80's CRX (it’s plenty Civic) that refused to die but kept coming back for more despite the young owner’s torture. Purplish mid-90's Civic coupe that was always being talked about in a way that made me think it would be modified, but was never touched by any speed shop in the way that thousands of other Civics were.
More recent Civics have seen me take up residence in front of the steering wheel more than the older generations. Automatics and manual; hatchback Si or 4-door sedan; well-equipped or slightly less well-equipped.
The list could go on, but, this article is actually about the most recent Civic. You know the one. The windshield is raked back daringly. The trunk looks small but isn’t. The wheels better fill the wheel arches. Headlights are narrow slits and the car as a whole looks distinctly more modern than previous iterations, however handsome they may be with 19 inch wheels, a lower front air dam and side skirts.
If you are car shopping, there’s a good chance you have thought about buying one, bought one, or at least peeked in the Civic parked in the spot next to you at the grocery store when you noticed in your periphery that the interior was strikingly unique. Honda calls the two-tier instrument panel ‘space-aged cool and super functional’. I don’t know what NASA’s Discovery shuttle has for an instrument panel, so I can’t back up the claim of space-aged coolness, but I do know that Honda decided to take a touch of a risk in our somewhat conservative North American automotive market.
You could say the emperor has new clothes, but it goes beyond new clothes. More powerful engines, more features, more control once on the move, and more comfort. Critics decried the move away from a front wishbone suspension on the previous generation and some are apparently scared off by less ordinary styling on this generation. North American consumers, however, gobble up Honda Civics like quarter-chicken-white-meat-with-fries-and-dipping-sauce.
Why? For the little things and the big things. The wheelbase of a current 4-door Civic is within 20mm of an early 90's Accord. Yet the car as a whole is about 20cm shorter from bumper-to-bumper. This means a shape that is tidier overall, more easily maneuvarable, yet spacious inside. The new Civic, always Honda’s small car, is now wider than the Accord was in 1992. Its 4-cylinder engine is around 400cc smaller, yet produces as much, or more, horsepower than that Accord. Compared with 2005 Civics, the latest Honda enters the game with a couple dozen extra horses under the hood while achieving the same highway mileage.
For companies that consistently perform at the head of the class it becomes preternatural to compare their new vehicles with competitors - but even more so with the previous incarnation. Step out of a previous-gen Civic and into the new edition and you will notice the interior and exterior styling differences right off the bat. Typically Honda-like, the controls reside where you want them, everything feels as though it will stay glued, welded, or hinged together, and visibility is decent all around. Soichiro Honda was the company’s detail-oriented founder, and when you grab hold of a steering wheel that has a proper circumference and feels good in the hands you realize the fruit of his labour. Doors thunk nicely, gauges are perfectly legible (and you become transfixed by the digits on the upper tier), the seats hold driver and passenger firmly in place.
I drove a DX sedan and came to a few conclusions. 140 horsepower is more than 117, and the trademark VTEC kick - now i-VTEC - was subtle but welcome in the upper reaches of the tachometer. The shifter was excellent, although the clutch did not have quite enough travel and was a little difficult to master quickly. The driving experience as a whole was not significantly different from the former generation of Civics, but the differences are easily defined. Better high-speed stability, flatter cornering, a more mature-feeling car that is also more fun, and the detectable power increase.
It comes as no surprise to anyone when they read positive comments regarding a new Honda. When the neighbour, cousin, friend, and co-worker all drive a Civic, you had already figured there were reasons.
BIG NEWS - TOYOTA & GM
The first quarter of 2007 will forever mark Toyota's ascension to the top of the podium. Toyota, including Lexus; Scion; Daihatsu; and Hino, sold 90,000 more cars than General Motors in the first three months of this year.
2,350,000 Camrys/Corollas/LS460's/4Runners/Tundras/xB's etc. vs 2,260,000 Impalas/ Silverados/Corvettes/9-3's/Astras/Vibes/Escalades and others. That 90,000 gap is an interesting separation, in light of yesterday's post (seen by clicking here) regarding General Motors 60,000 unit cut to fleet sales. Add that GM cutback to Toyota's small increase in production for fleet sales, and you appear to have the sales difference wrapped up in a nutshell.
But this has never been purely about selling to Enterprise or government TPW departments. Toyota builds cars faster. They have an impressive array of dealers whose salespeople know the cars will sell themselves on quality and dependability. The vehicles are on the dealer lot for a short time, stay with the customer for a few years, and the cars bring the customer back to the showroom. Toyota is in almost every segment of the automotive world except the very sporty stuff and has necessary, but successful, strategic alliances . Subaru will quite likely build 100,000 Camrys in Lafayette, Indiana, for instance.
To understand the gravity of this situation, remember that General Motors, a 99-year old company, has held the top spot for 76 years. GM's 2.26 million vehicles sold is actually up 3%, but Toyota's total is up 9 percent. To understand the impact of this situation, read this story.
2,350,000 Camrys/Corollas/LS460's/4Runners/Tundras/xB's etc. vs 2,260,000 Impalas/ Silverados/Corvettes/9-3's/Astras/Vibes/Escalades and others. That 90,000 gap is an interesting separation, in light of yesterday's post (seen by clicking here) regarding General Motors 60,000 unit cut to fleet sales. Add that GM cutback to Toyota's small increase in production for fleet sales, and you appear to have the sales difference wrapped up in a nutshell.
But this has never been purely about selling to Enterprise or government TPW departments. Toyota builds cars faster. They have an impressive array of dealers whose salespeople know the cars will sell themselves on quality and dependability. The vehicles are on the dealer lot for a short time, stay with the customer for a few years, and the cars bring the customer back to the showroom. Toyota is in almost every segment of the automotive world except the very sporty stuff and has necessary, but successful, strategic alliances . Subaru will quite likely build 100,000 Camrys in Lafayette, Indiana, for instance.
To understand the gravity of this situation, remember that General Motors, a 99-year old company, has held the top spot for 76 years. GM's 2.26 million vehicles sold is actually up 3%, but Toyota's total is up 9 percent. To understand the impact of this situation, read this story.
Monday, April 23, 2007
Subaru Legacy Driven
During the first year of school wherein spelling tests became routine, I learned that each Thursday morning we were going to be asked to spell the ten words the teacher pronounced. As time went on, such piddling tests gave way to exams and an increasingly common use of the hated pop quiz. Stars rarely aligned properly, but when pupils could anticipate a teacher’s week-long build-up to the pop quiz, there was present the taste of victory.
Subaru equips every car they sell in our market, as well as most other markets, with all-wheel drive. AWD means that the horse does not push the carriage or pull the carriage. The horse does both jobs. And few can lay claim to the all-wheel drive expertise that Subaru possesses.
My pop quiz for a February test drive was a snowstorm, albeit the eastern edge of a storm which produced only the necessary centimetres and essential mercury drop to make for some rather slippery conditions. I felt like my grade nine math teacher as I watched the Subaru Legacy wagon appear before me, realizing that the machine was fully prepared for, and ideally suited to, these very conditions.
It is conditions like these - snow-covered side streets, slick main roads, a touch of blowing snow and a -7C thermometer - in which manufacturers of AWD vehicles shoot commercials. It is the prototypical real life scenario in which we can ascertain how a vehicle will react to the ordeals through which we live.
Legacy wagons like the one I drove cost approximately $28K. Save between $1000 and $1500 on any Legacy by choosing the 4-door sedan over the wagon. The Outback is still very much akin to the Legacy, but less and less so with each passing generation. Outback base prices start a few grand north and there is an extra engine option - a six cylinder, in fact.
Although typically well-equipped for a midsize competitor of Accords, Camrys and their ilk, there were a few things that stood out. I’ve driven quite a few Subarus since I first was licensed, and each one feels a notch above the last in terms of perceived quality. We can’t reach inside the engine and determine if the seals are fashioned correctly, but buyers can and do decide if the doors thunk properly; if the window surrounds ward off wind noise; if the stereo and HVAC controls are textured nicely; and if the car feels worth the money. Car consumers in 2007 want to feel the manufacturers money in the tangibles so that they can safely assume that money also went into researching and developing the appropriate mechanicals. If a door handle falls off during a test drive, ask yourself when the exhaust will fail.
Subaru’s latest Legacy has a quality feel that was never missing, but could always stand for improving. Admit though, I must, that sitting in a Legacy does not feel like sitting in some of its Japanese competition. The Legacy feels worth the figure on the window sticker, but some vehicles give the feeling of purchasing a car that was worth more than the MSRP. No failing on its own part, just excellent craftsmanship and material selection on the part of others.
Begin the driving part of the pop quiz by exiting directly off our lot and onto a notoriously un-plowed street, and the Subaru begins to shine. AWD is not magic. Plenty of tall vehicles with 4x4 written on the side have ended up in a snowy ditch because the operators believed AWD was magical. However, the loss of traction the Subaru became aware of as I pressed the right-most pedal immediately resulted in different diverting of the 175 horsepower. Job well done. Proper steering weight is especially pleasing when all senses are on alert in rough conditions. Why would I want to worry about bad reactions from the machine when I have to concern myself with the faulty responses of myself and others around me carrying 3000 or more pounds on their backs?
The Legacy is by no means a purely inanimate object for transporting one’s self, but it does a fine job in relaxed cruiser mode. Solid brakes, decent power ( plenty more available in turbocharged editions) the aforementioned steering, and a completely confident feel. The Subaru did not travel through snowbanks or open fields or drift-tempting vacant parking lots as this was just the eastern edge of a storm which was only nasty in other parts of eastern North America. It was a typical northeastern winter night with enough weather to make drivers alert and respectable vehicles radiate.
The Legacy did just that, with the obligatory set of good tires; navy colouring to hide some of the salt; enough power to have fun; and the sleek appearance which all discerning shoppers require. Proving that it is best to arrive prepared for a surprise test and walk away unscathed.
Subaru equips every car they sell in our market, as well as most other markets, with all-wheel drive. AWD means that the horse does not push the carriage or pull the carriage. The horse does both jobs. And few can lay claim to the all-wheel drive expertise that Subaru possesses.
My pop quiz for a February test drive was a snowstorm, albeit the eastern edge of a storm which produced only the necessary centimetres and essential mercury drop to make for some rather slippery conditions. I felt like my grade nine math teacher as I watched the Subaru Legacy wagon appear before me, realizing that the machine was fully prepared for, and ideally suited to, these very conditions.
It is conditions like these - snow-covered side streets, slick main roads, a touch of blowing snow and a -7C thermometer - in which manufacturers of AWD vehicles shoot commercials. It is the prototypical real life scenario in which we can ascertain how a vehicle will react to the ordeals through which we live.
Legacy wagons like the one I drove cost approximately $28K. Save between $1000 and $1500 on any Legacy by choosing the 4-door sedan over the wagon. The Outback is still very much akin to the Legacy, but less and less so with each passing generation. Outback base prices start a few grand north and there is an extra engine option - a six cylinder, in fact.
Although typically well-equipped for a midsize competitor of Accords, Camrys and their ilk, there were a few things that stood out. I’ve driven quite a few Subarus since I first was licensed, and each one feels a notch above the last in terms of perceived quality. We can’t reach inside the engine and determine if the seals are fashioned correctly, but buyers can and do decide if the doors thunk properly; if the window surrounds ward off wind noise; if the stereo and HVAC controls are textured nicely; and if the car feels worth the money. Car consumers in 2007 want to feel the manufacturers money in the tangibles so that they can safely assume that money also went into researching and developing the appropriate mechanicals. If a door handle falls off during a test drive, ask yourself when the exhaust will fail.
Subaru’s latest Legacy has a quality feel that was never missing, but could always stand for improving. Admit though, I must, that sitting in a Legacy does not feel like sitting in some of its Japanese competition. The Legacy feels worth the figure on the window sticker, but some vehicles give the feeling of purchasing a car that was worth more than the MSRP. No failing on its own part, just excellent craftsmanship and material selection on the part of others.
Begin the driving part of the pop quiz by exiting directly off our lot and onto a notoriously un-plowed street, and the Subaru begins to shine. AWD is not magic. Plenty of tall vehicles with 4x4 written on the side have ended up in a snowy ditch because the operators believed AWD was magical. However, the loss of traction the Subaru became aware of as I pressed the right-most pedal immediately resulted in different diverting of the 175 horsepower. Job well done. Proper steering weight is especially pleasing when all senses are on alert in rough conditions. Why would I want to worry about bad reactions from the machine when I have to concern myself with the faulty responses of myself and others around me carrying 3000 or more pounds on their backs?
The Legacy is by no means a purely inanimate object for transporting one’s self, but it does a fine job in relaxed cruiser mode. Solid brakes, decent power ( plenty more available in turbocharged editions) the aforementioned steering, and a completely confident feel. The Subaru did not travel through snowbanks or open fields or drift-tempting vacant parking lots as this was just the eastern edge of a storm which was only nasty in other parts of eastern North America. It was a typical northeastern winter night with enough weather to make drivers alert and respectable vehicles radiate.
The Legacy did just that, with the obligatory set of good tires; navy colouring to hide some of the salt; enough power to have fun; and the sleek appearance which all discerning shoppers require. Proving that it is best to arrive prepared for a surprise test and walk away unscathed.
OF BUICKS, FIAT, CHINA FINANCING, AND TOYOTA RENTAL CARS
Kia is selling to fleets at an increase of 60% this year. Nissan - 45%. Toyota? 30%. Why is this the case, why is it far more likely that your next trip to Enterprise will result in a drive-away in a Camry, rather than an Impala?
For just that reason - the car could be a Camry or Altima because times have changed, and it isn't nearly as likely in 2007 that your rental will be an Impala or a Taurus (nee Five Hundred nee Taurus).
GM and Ford have dropped production that was previously thrust at rental companies and government by over 120,000 units this year already. It's always "units" when it comes to fleet sales. No emotion, no passion. Units. Ugly units.
Prices of rental cars are up more than 20% in the last two years as a result of GM and Ford de-competing and the rental companies needing to find new ways to get the stuff, the units, they need. The point? Resale values - residuals - are rising for Ford, Chrysler and General Motors products. Constantly providing sustenance for rental companies erodes the brand.
Great short-term profits; meet the UAW and CAW demands by keeping the factory doors open and all shifts running; and it can cause a pain during yearly, rather than quarterly, profit announcements. You're selling the cars for less because you're selling more cars.
Meanwhile, The Good Car Guy sees that your car is all over the Avis lot and safely assumes that those units can't sell on a dealer's lot. Then The Good Car Nation is informed, and it all goes to rubbish.
So as Kia desires 12-15% of their sales to be fleet, Ford still sold 199,000 fleet vehicles in the first three months of '07. 33% of Fords, Lincolns, and Mercury's were to fleets, 16% of total F/L/M sales were to daily rental companies. Times are changing, but things are still somewhat the same.
--------
The people of China do not like buying on credit. And despite their booming automotive market, only 10 percent of car sales in China are bought with money people do not have. The rest of the world? Between 30-40% of sales go to people who think wealth during poverty, rather than the Chinese thinking, "One must think of poverty even when wealthy."
Carmakers desperately want to change that ideology, and thereby increase sales. So Mercedes is heavily advertising the E280 for 280 yuan ($36USD) a day for 3 years, with 30% of the total on the salesman's desk.
-------
Fiat's net income doubled in the first quarter of 2007. One of the world's preeminent small-car producers, Fiat had eaten itself into trouble. A $2 billion gift from General Motors - for NOT buying Fiat - helped their cause. The changing tides have been orchestrated by Sergio Marchionne, which is a very cool name. Fiat shares have risen over 80% in twelve months. Check out the next Fiat 500, the Cinquecento, as we Venicians say.
-------
Buick debuted a concept Riviera in Shanghai. Buick is shouting, and rightfully so, "Long live the Chinese automotive dream!" China loves Buick. I once picked up a Chinese friend in my brother's old car. James had recently immigrated to Canada.
When we got out of the car, he asked, "What kind of car is this?" I replied, "Buick Century." He was in raptures, "I really really like this car, a very nice colour." It was a beige Buick Century.
China loves Buick. And the Riviera concept (right) is nice to look at, as is the Enclave, I must say.
For just that reason - the car could be a Camry or Altima because times have changed, and it isn't nearly as likely in 2007 that your rental will be an Impala or a Taurus (nee Five Hundred nee Taurus).
GM and Ford have dropped production that was previously thrust at rental companies and government by over 120,000 units this year already. It's always "units" when it comes to fleet sales. No emotion, no passion. Units. Ugly units.
Prices of rental cars are up more than 20% in the last two years as a result of GM and Ford de-competing and the rental companies needing to find new ways to get the stuff, the units, they need. The point? Resale values - residuals - are rising for Ford, Chrysler and General Motors products. Constantly providing sustenance for rental companies erodes the brand.
Great short-term profits; meet the UAW and CAW demands by keeping the factory doors open and all shifts running; and it can cause a pain during yearly, rather than quarterly, profit announcements. You're selling the cars for less because you're selling more cars.
Meanwhile, The Good Car Guy sees that your car is all over the Avis lot and safely assumes that those units can't sell on a dealer's lot. Then The Good Car Nation is informed, and it all goes to rubbish.
So as Kia desires 12-15% of their sales to be fleet, Ford still sold 199,000 fleet vehicles in the first three months of '07. 33% of Fords, Lincolns, and Mercury's were to fleets, 16% of total F/L/M sales were to daily rental companies. Times are changing, but things are still somewhat the same.
--------
The people of China do not like buying on credit. And despite their booming automotive market, only 10 percent of car sales in China are bought with money people do not have. The rest of the world? Between 30-40% of sales go to people who think wealth during poverty, rather than the Chinese thinking, "One must think of poverty even when wealthy."
Carmakers desperately want to change that ideology, and thereby increase sales. So Mercedes is heavily advertising the E280 for 280 yuan ($36USD) a day for 3 years, with 30% of the total on the salesman's desk.
-------
Fiat's net income doubled in the first quarter of 2007. One of the world's preeminent small-car producers, Fiat had eaten itself into trouble. A $2 billion gift from General Motors - for NOT buying Fiat - helped their cause. The changing tides have been orchestrated by Sergio Marchionne, which is a very cool name. Fiat shares have risen over 80% in twelve months. Check out the next Fiat 500, the Cinquecento, as we Venicians say.
-------
Buick debuted a concept Riviera in Shanghai. Buick is shouting, and rightfully so, "Long live the Chinese automotive dream!" China loves Buick. I once picked up a Chinese friend in my brother's old car. James had recently immigrated to Canada.
When we got out of the car, he asked, "What kind of car is this?" I replied, "Buick Century." He was in raptures, "I really really like this car, a very nice colour." It was a beige Buick Century.
China loves Buick. And the Riviera concept (right) is nice to look at, as is the Enclave, I must say.
Sunday, April 22, 2007
ONE DAY IN A PARKING LOT
Wednesday, April 18, 2007: I'm in an older Pontiac, running a pick-up, drop-off, pick-up and drop-off again at the Victoria General Hospital. Entrance into the lot requires automatic payment, so long as you've been abiding in the lot for over 10 minutes. 9 minutes? Free. 11 minutes? $1.25.
Problem? The lot is perpetually full. Full to the brim. As stuffed as a turkey on Thanksgiving. Full to the gunnels. Ready to burst.
To drop a body off, you must make your way through a two-lane 'road' toward one of the two main entrances, either the Victoria building or the Dickson. Drop one body off, retrieve that body and another, drive them to another far-off entrance. Allow wheelchair to be found, wait patiently, retrieve body (person, I mean) and take off. Pay $1.25. Awful.
So the debate that runs through my head during the second pick-up/drop-off stint two hours later is this: If I am stuck in this lot for 20 minutes, having not even found a parking spot to stop in yet...what vehicle should I be driving? A 1999 Pontiac Grand Am? Not my favoured choice.
Imposing front end; somewhat prominent seating position; complete surround-view visibility; tidy overall dimensions. Those are absolute requirements. Mercedes S-class? Too big for the tight turns. Range Rover? Getting warm.
Mini Cooper? Not enough intimidation nor is there a high enough view of the up-ahead (Necessary for quick bypasses). Acura RDX? Tidy dimensions, plenty of relaxing luxury and stereo capability to keep us serene. Mazda 5? Perhaps not quite high enough, the view out the rear isn't quite up to snuff because of that lack of height.
This is tough. Pontiac Vibe/Toyota Matrix? Perhaps not enough of the serenity quotient.
We'll run with this choice for now: Volvo XC70. It's not tiny, it's not terribly tall, no S-class levels of lux, but it does or has enough to meet every requirement.
Plus the most comfortable seats in the business.
Problem? The lot is perpetually full. Full to the brim. As stuffed as a turkey on Thanksgiving. Full to the gunnels. Ready to burst.
To drop a body off, you must make your way through a two-lane 'road' toward one of the two main entrances, either the Victoria building or the Dickson. Drop one body off, retrieve that body and another, drive them to another far-off entrance. Allow wheelchair to be found, wait patiently, retrieve body (person, I mean) and take off. Pay $1.25. Awful.
So the debate that runs through my head during the second pick-up/drop-off stint two hours later is this: If I am stuck in this lot for 20 minutes, having not even found a parking spot to stop in yet...what vehicle should I be driving? A 1999 Pontiac Grand Am? Not my favoured choice.
Imposing front end; somewhat prominent seating position; complete surround-view visibility; tidy overall dimensions. Those are absolute requirements. Mercedes S-class? Too big for the tight turns. Range Rover? Getting warm.
Mini Cooper? Not enough intimidation nor is there a high enough view of the up-ahead (Necessary for quick bypasses). Acura RDX? Tidy dimensions, plenty of relaxing luxury and stereo capability to keep us serene. Mazda 5? Perhaps not quite high enough, the view out the rear isn't quite up to snuff because of that lack of height.
This is tough. Pontiac Vibe/Toyota Matrix? Perhaps not enough of the serenity quotient.
We'll run with this choice for now: Volvo XC70. It's not tiny, it's not terribly tall, no S-class levels of lux, but it does or has enough to meet every requirement.
Plus the most comfortable seats in the business.
Thursday, April 19, 2007
DIESEL COMEBACK?
Nissan has announced that 2010 will see diesel Nissans in the North American market. First to debut will likely be the Maxima. There are only a few automakers competing in Europe that don't possess a diesel repertoire.
Nissan is a seller and producer in Europe, so it goes without saying that diesel-powered automobiles is no new thing to the Japanese company. Renault-Nissan CEO Carlos Ghosn sees growing demand for fuel efficiency and low emissions in the US, but you can assume the demand isn't up to snuff yet. 2010 is soon coming, but not that soon. Nissan's deep link with Renault is a help. Renault is French, and the French have always been considered among the diesel elite.
Meanwhile, Nissan is not the first to proclaim significant interest (or plans) in bringing diesel to North America. DaimlerChrysler, both on the American and German side, have been quietly tapping into diesel buyers' awareness in the recent past. The E320 Bluetec (see story here) is a major salvo, but the Jeep Liberty and smart fortwo have been there recently for DaimlerChrysler.
Large pickup trucks from Ford, Chevrolet/GMC and Dodge have often passed you on a highway incline, utilizing their impressive diesel torque-monsters. Stump pullers.
Volkswagen has always pushed diesel-powered automobiles here as well as there (Europe). Attempts have been made at V10 Touaregs and years of TDI Golfs, Jettas, New Beetles, and even Passats. Emissions restrictions have tempered their enthusiasm, but VW/Audi could not let their prior decades of work maintaining a diesel presence just.... come... to.... nothing.... POOF!... as Mercedes and BMW succeed. Audi won the 24 Hours of LeMans with a diesel-powered racer. Gotta get something back for your $ and research.
BMW produces some of the fastest diesels in the world. They want to sell us some, but an increase in availability of ultra-low-sulphur diesel fuel. 68% of BMW's in Europe are diesel-powered. BMW's Fritz Steinparzer doubts if many Americans even know BMW makes diesel engines.
Honda's everyman 4-cylinder diesel may be the best there is (Civic and Accord in Europe) and surely a company so renowned for engine building will share with North America. Surely.
Toyota cleans diesels by simultaneously slashing nitrogen oxides and particulate matter by using low-temperature combustion, and massive exhaust gas recirculation. Yet Toyota said that designing engine control units for NA markets is difficult because of poor fuel.Notes:
Nissan is a seller and producer in Europe, so it goes without saying that diesel-powered automobiles is no new thing to the Japanese company. Renault-Nissan CEO Carlos Ghosn sees growing demand for fuel efficiency and low emissions in the US, but you can assume the demand isn't up to snuff yet. 2010 is soon coming, but not that soon. Nissan's deep link with Renault is a help. Renault is French, and the French have always been considered among the diesel elite.
Meanwhile, Nissan is not the first to proclaim significant interest (or plans) in bringing diesel to North America. DaimlerChrysler, both on the American and German side, have been quietly tapping into diesel buyers' awareness in the recent past. The E320 Bluetec (see story here) is a major salvo, but the Jeep Liberty and smart fortwo have been there recently for DaimlerChrysler.
Large pickup trucks from Ford, Chevrolet/GMC and Dodge have often passed you on a highway incline, utilizing their impressive diesel torque-monsters. Stump pullers.
Volkswagen has always pushed diesel-powered automobiles here as well as there (Europe). Attempts have been made at V10 Touaregs and years of TDI Golfs, Jettas, New Beetles, and even Passats. Emissions restrictions have tempered their enthusiasm, but VW/Audi could not let their prior decades of work maintaining a diesel presence just.... come... to.... nothing.... POOF!... as Mercedes and BMW succeed. Audi won the 24 Hours of LeMans with a diesel-powered racer. Gotta get something back for your $ and research.
BMW produces some of the fastest diesels in the world. They want to sell us some, but an increase in availability of ultra-low-sulphur diesel fuel. 68% of BMW's in Europe are diesel-powered. BMW's Fritz Steinparzer doubts if many Americans even know BMW makes diesel engines.
Honda's everyman 4-cylinder diesel may be the best there is (Civic and Accord in Europe) and surely a company so renowned for engine building will share with North America. Surely.
Toyota cleans diesels by simultaneously slashing nitrogen oxides and particulate matter by using low-temperature combustion, and massive exhaust gas recirculation. Yet Toyota said that designing engine control units for NA markets is difficult because of poor fuel.
Notes:
1979 Oldsmobile Toronado Brougham Coupé Diesel weighed 3904 pounds, held 86 litres of fuel. It was powered by a 5.7L V8 (125 bhp and 224 lb ft of torque). Not a good car, and The Good Car Guy hopes that it will not colour your vision when diesels are available at your local showrooms.
Wednesday, April 18, 2007
CHINA & INDIA - ASIAN MARKETS RISING
India has a population of over 1.1 billion people. China possesses about one-fifth of the world's population, at about 1.3 billion people. Therein lies over one-third of the world's brainpower; over one-third of the world's appetite; and over a third of the planet's emotional heartstrings.
"So let's sell them some cars", said General Motors. Sell they have, and sell they will. General Motors has been very successful in China. Since its 1994 arrival in India, GM has invested over $750 million into building and selling cars. GM head-honcho Rick Wagoner believes that, of all the growth in the automotive industry in the next 10 years, Asia will account for 70%. India and China have flourishing economies despite their other troubles (poverty and high urban migration, for two) and General Motors desire to put a stake in India, like they did in China, is a good desire to have.
GM wants to meet a lot of their India-based manufacturing needs by tapping into India's parts-suppliers. In addition to that, GM would gladly enhance their global operations using the same methodology. Wagoner means, "Cheap labour is good for us." Except he's American, so he'd say, "Cheap labor is good for us."
GM does not stand alone. A fair approximation would say that since the end of 2005, Nissan, Fiat, Honda, and GM have a combined $1.5 billion invested in the Indian market. India produces about 1.4 million cars a year now, but by 2008 (next year), that number could double. There are multitudes of sales forecasts available to read, but it is doubtful that the market will fail to meet even the lower predictors. If Tata produces a $2,500 car (4-door, 33 horsepower), the growth could be exponential.
Delphi, Visteon, and Magna are ramping up India-based parts manufacturing operations. The oft-maligned Indian carmakers are now having their small-car expertise studied by foreign makers. To see how good the cars are? Not so much. To see how they can build so cheaply? Yes. Then balance the cheapness with the prior knowledge of high quality. India has a highly qualified workforce. Find engineer(s), pay $25/hour, have new car chassis design. Consider it done.
Even with GM's recent announcement, India will only rank third on GM's list of Asian hubs. China and South Korea (GM Daewoo) each do at least 700,000 vehicles annually for the General.
"So let's sell them some cars", said General Motors. Sell they have, and sell they will. General Motors has been very successful in China. Since its 1994 arrival in India, GM has invested over $750 million into building and selling cars. GM head-honcho Rick Wagoner believes that, of all the growth in the automotive industry in the next 10 years, Asia will account for 70%. India and China have flourishing economies despite their other troubles (poverty and high urban migration, for two) and General Motors desire to put a stake in India, like they did in China, is a good desire to have.
GM wants to meet a lot of their India-based manufacturing needs by tapping into India's parts-suppliers. In addition to that, GM would gladly enhance their global operations using the same methodology. Wagoner means, "Cheap labour is good for us." Except he's American, so he'd say, "Cheap labor is good for us."
GM does not stand alone. A fair approximation would say that since the end of 2005, Nissan, Fiat, Honda, and GM have a combined $1.5 billion invested in the Indian market. India produces about 1.4 million cars a year now, but by 2008 (next year), that number could double. There are multitudes of sales forecasts available to read, but it is doubtful that the market will fail to meet even the lower predictors. If Tata produces a $2,500 car (4-door, 33 horsepower), the growth could be exponential.
Delphi, Visteon, and Magna are ramping up India-based parts manufacturing operations. The oft-maligned Indian carmakers are now having their small-car expertise studied by foreign makers. To see how good the cars are? Not so much. To see how they can build so cheaply? Yes. Then balance the cheapness with the prior knowledge of high quality. India has a highly qualified workforce. Find engineer(s), pay $25/hour, have new car chassis design. Consider it done.
Even with GM's recent announcement, India will only rank third on GM's list of Asian hubs. China and South Korea (GM Daewoo) each do at least 700,000 vehicles annually for the General.
Tuesday, April 17, 2007
JUST THE FACTS
Hybrid vehicles are hitting the mainstream. Bear with me - they really are. We don’t take notice every time a Toyota Prius drives by. You probably don’t even realize when Honda’s Accord Hybrid or a Toyota Camry Hybrid cruise past. Perhaps you perceive that the Civic you saw was different (funny wheels) or the Honda Insight that whistled by looked like the embodiment of fuel economy. The Lexus and Ford hybrids never caught your eye. It’s normal now.
What does that say for the new generation of diesel-powered automobiles? The Mercedes-Benz E320 Bluetec is so quiet we wouldn’t know it was anything other than a regular 6-cylinder Benz. People may wonder when they see “Bluetec” on the rear decklid. Then it’s out of sight and out of mind. As these lean, green, environmental machines become somewhat ordinary, the questions surrounding them become more inquisitive; the opinions more judicious; the decisions more fiscally prudent.
Thus, for the purposes of full disclosure, here are the facts in a real life situation. Just the facts, nothing more or less. I did not drive four vehicles for a total of 80,000km as these facts would have you believe.
The aforementioned Mercedes-Benz E320 Bluetec is an incredible torque-monster. 400 lb-ft of twist, in fact, with over 200 horsepower. Energuide says this car will use 9 litres of diesel for every 100km in the city; 5.9 on the highway. Ideal conditions, consistent driving manner and all that jazz. Those are the test-tube numbers, but how does it apply to real life? Say an owner travels 13,000km a year in the city. The Bluetec would use 1,170L. With 7,000km on the highway, the Bluetec would sip only 413L of diesel. At a diesel price of $1.08 on the east coast of Canada, the owner would spend $1709 in a typical year’s driving. For the sake of the facts, at Post-Hurricane Katrina diesel prices, the total would rise around $31. To gain entry into a Benz of this nature, your base price is $67,800 in Canadian dollars.
But there’s a ‘cheaper’ E-class Mercedes available to us. It is known as the E280 4Matic and offers 228bhp, but 179 lb-ft less torque than the diesel. At Energuide’s ratings of 13/city and 9.1 highway, the recommended use of premium fuel, and using the same formula, the E280 would cost $2829 at $1.21/L. The post-Katrina fuel prices would drive that total up to $3374.
All of a sudden the gas-powered vehicle costs $1120 more to fuel for a typical year’s worth of driving. Adjust the mileage to suit your own lifestyle and remember that diesels do a very good job of getting close to the Energuide ratings. In late August of 2005, the fuel cost difference between these two oh-so-similar Benz’s would have been $1634. The E280's trick is a base price $2300 lower than the diesel E-class.
When it comes to the oft-hyped Toyota Camry Hybrid, the cost differential between it and other Camry trim lines is hard to decipher. You can have four-cylinders or six, well-equipped or a Lexus-by-another-name. With the Camry Hybrid’s base price of $32,000 and its 187 horses, the 5.7L/100km in both the city and on the highway sounds great. Especially when compared against, say, a Camry SE ‘B package’ 4-cylinder which costs only $105 less and has less horsepower (but also less weight). Not as nice when compared with a basic Camry at $25,900. 2.4L Camry engines are rated around 9.8L/100km in the city and 6.5 on the highway. Utilizing the same formula as above and today’s fuel prices, the Hybrid will cost $1311, with only $458 of that on the highway. The typical 4-cylinder Camry would cost $1465 in the city alone (all driving, drivers, and conditions identical) and another $523 on the highway. That’s a total of $1988, and you can see why the Hybrid looks attractive when compared with a Camry of the same price.
With $677 saved on fuel in a year’s worth of driving, the Hybrid driver would make up the cost against the first gas-only Camry we mentioned in short order, and go on to save $3280 over the course of five years. Buy an inexpensive new Camry, and over five years the Hybrid would never make up the cost difference. It would take you nine years to break even when saving $677 per year on fuel but spending $6100 more on the car.
Slant the advantage to the Hybrid if more driving is done in the city, because that is where Hybrids are a)more likely to achieve their hyped-up ratings and b) their improved efficiency shines even brighter versus typical gas Camry’s. Slant the argument toward a non-electric-accompanied Camry by driving more on the highway because the efficiency differential is much smaller; only 0.8L/100km more than the Hybrid, in fact.
All arguments for the Bluetec and Hybrid accelerate when fuel prices rise. The Camry Hybrid could stretch its savings to almost $800 in the first comparison at post-Katrina prices.
Disclaimer, disclaimer, disclaimer. All of this assumes Energuide’s ratings, currently supplied MSRP’s, and no government rebates. Regardless, do the math on the car price before you plan to save dollars at the pump.
What does that say for the new generation of diesel-powered automobiles? The Mercedes-Benz E320 Bluetec is so quiet we wouldn’t know it was anything other than a regular 6-cylinder Benz. People may wonder when they see “Bluetec” on the rear decklid. Then it’s out of sight and out of mind. As these lean, green, environmental machines become somewhat ordinary, the questions surrounding them become more inquisitive; the opinions more judicious; the decisions more fiscally prudent.
Thus, for the purposes of full disclosure, here are the facts in a real life situation. Just the facts, nothing more or less. I did not drive four vehicles for a total of 80,000km as these facts would have you believe.
The aforementioned Mercedes-Benz E320 Bluetec is an incredible torque-monster. 400 lb-ft of twist, in fact, with over 200 horsepower. Energuide says this car will use 9 litres of diesel for every 100km in the city; 5.9 on the highway. Ideal conditions, consistent driving manner and all that jazz. Those are the test-tube numbers, but how does it apply to real life? Say an owner travels 13,000km a year in the city. The Bluetec would use 1,170L. With 7,000km on the highway, the Bluetec would sip only 413L of diesel. At a diesel price of $1.08 on the east coast of Canada, the owner would spend $1709 in a typical year’s driving. For the sake of the facts, at Post-Hurricane Katrina diesel prices, the total would rise around $31. To gain entry into a Benz of this nature, your base price is $67,800 in Canadian dollars.
But there’s a ‘cheaper’ E-class Mercedes available to us. It is known as the E280 4Matic and offers 228bhp, but 179 lb-ft less torque than the diesel. At Energuide’s ratings of 13/city and 9.1 highway, the recommended use of premium fuel, and using the same formula, the E280 would cost $2829 at $1.21/L. The post-Katrina fuel prices would drive that total up to $3374.
All of a sudden the gas-powered vehicle costs $1120 more to fuel for a typical year’s worth of driving. Adjust the mileage to suit your own lifestyle and remember that diesels do a very good job of getting close to the Energuide ratings. In late August of 2005, the fuel cost difference between these two oh-so-similar Benz’s would have been $1634. The E280's trick is a base price $2300 lower than the diesel E-class.
When it comes to the oft-hyped Toyota Camry Hybrid, the cost differential between it and other Camry trim lines is hard to decipher. You can have four-cylinders or six, well-equipped or a Lexus-by-another-name. With the Camry Hybrid’s base price of $32,000 and its 187 horses, the 5.7L/100km in both the city and on the highway sounds great. Especially when compared against, say, a Camry SE ‘B package’ 4-cylinder which costs only $105 less and has less horsepower (but also less weight). Not as nice when compared with a basic Camry at $25,900. 2.4L Camry engines are rated around 9.8L/100km in the city and 6.5 on the highway. Utilizing the same formula as above and today’s fuel prices, the Hybrid will cost $1311, with only $458 of that on the highway. The typical 4-cylinder Camry would cost $1465 in the city alone (all driving, drivers, and conditions identical) and another $523 on the highway. That’s a total of $1988, and you can see why the Hybrid looks attractive when compared with a Camry of the same price.
With $677 saved on fuel in a year’s worth of driving, the Hybrid driver would make up the cost against the first gas-only Camry we mentioned in short order, and go on to save $3280 over the course of five years. Buy an inexpensive new Camry, and over five years the Hybrid would never make up the cost difference. It would take you nine years to break even when saving $677 per year on fuel but spending $6100 more on the car.
Slant the advantage to the Hybrid if more driving is done in the city, because that is where Hybrids are a)more likely to achieve their hyped-up ratings and b) their improved efficiency shines even brighter versus typical gas Camry’s. Slant the argument toward a non-electric-accompanied Camry by driving more on the highway because the efficiency differential is much smaller; only 0.8L/100km more than the Hybrid, in fact.
All arguments for the Bluetec and Hybrid accelerate when fuel prices rise. The Camry Hybrid could stretch its savings to almost $800 in the first comparison at post-Katrina prices.
Disclaimer, disclaimer, disclaimer. All of this assumes Energuide’s ratings, currently supplied MSRP’s, and no government rebates. Regardless, do the math on the car price before you plan to save dollars at the pump.
Friday, April 13, 2007
Ford F-150 Driven
Take one V8-engined SuperCrew pickup truck, add a driver and a passenger and one week’s worth of stuff to make sure vacationing is fun, but then drive it like you have to keep it till your 80 years old. That sentence started out great, and didn’t end so well. The reason for this may be obvious to some, less so to the people who don’t realize that a Ford F150 SuperCrew 4X4 equipped with a 5.4L V8 engine holds over 100 litres of fuel. Put another way, I will be depending on the conservation of the conversation-starting contents of a tank which holds at least 80 litres more than the first car I drove as an auto journo, the smart fortwo. To gather context let me explain that at the time of driving the smart diesel prices were well below a dollar per litre. Since then I have written at some length about ways to improve your own fuel economy while realizing that things are not all that bad at gas stations in my region compared to some other parts of the world.
But there I was faced with the large frontal area of a 4 door pickup truck, the absolute embodiment of the dreams my childhood friends in Texas had for themselves for the day when they reached my present age. I was about to spend one whole week with a vehicle in three provinces where I would pay an average of $1.20/L. This is not what my childhood Texan friends dreamed about. Gas was 99 cents per gallon in San Antonio just eleven years ago when sales of trucks and SUV’s began to shoot for the sky.
My goal was clear. I was faced with a mission at which I must succeed. The options were limited: feather-foot the throttle and stay out of the savings account and away from the Mastercard, or lead-foot it and bump straight into the credit limit. Well, that might be an exaggeration. One truck for one week couldn’t really suck the black gold at that rate could it? Or could it? The drama ensued.
Actually, there was no drama. For the most part I stuck with shoes that enabled me to feel the right pedal dexterously so that I could avoid abusing what was an obviously jumpy throttle. It is a mighty difficult thing for an automotive enthusiast to firmly abide by all speed limit signs. Add to that using cruise control with incredible frequency so as not to tempt myself into using 365 lb-ft of torque to fly by unassuming tourists gawking at the splendour of the Confederation Bridge up ahead. Nevertheless, my mission could not be aborted, and I remained behind vehicles that seemed to be slow moving. In fact, many times the big Ford felt much slower than it was, perhaps due to a lack of wind and engine roar. A typical P.E.I highway speed of 80km/h almost always felt painfully slow, seeming to my passengers that I was the gawking tourist dawdling along at 50km/h.
While accomplishing my duties of finding attainable and decent fuel economy from a full-size truck, we were glad to find ourselves in a well-built interior with abundant space for humans and stuff normally associated with humans such as gum, CDs, empty pop bottles, sleeping bags, rollerblades, and gas receipts. Compartments were alive and well wherever I looked and the knees of rear-seat passengers were never found in the small of my back. I could delve into equipment lists and available options, but most trucks in this category have an innumerable array of configurations to start with, and it is after that foundation is chosen that a customer will then add options and choose accessories. It is safe to say that a Ford F150 is sufficiently powerful without being over the top, while offering great comfort and affording the owner a versatile lifestyle.
The goal, however, was not to discover how great a truck the F150 was (over 900,000 people in the United States think it is great enough to buy each year) but to see if fuel economy numbers for a truck like this are anywhere near attainable and if so, what must a body drive like.
People who want to buy a truck like this can achieve numbers like I did by doing a few things. Driving the speed limit is obvious. Gradual acceleration is very important especially if you drive in the city. Coasting toward red lights that you can see when you are within coasting distance is a really good idea, otherwise you use energy that only gets absorbed by braking, instead of providing forward motion. According to Energuide.ca the truck I drove is presumed to achieve between 12 and 17 litres per 100km, highway and city, respectively. This is the same as 23 and 17 miles per gallon. About half of our driving was on divided highways, a third was slower two-lane highways in a small part of New Brunswick and a chunk of P.E.I., and the rest was through Summerside and Charlottetown. We did quite well for ourselves, using 13.75 litres per 100km, equivalent to 20.5 mpg. Essentially splitting the difference between the given ratings for this vehicle meant I accomplished my self-imposed mission. Congrats.
But there I was faced with the large frontal area of a 4 door pickup truck, the absolute embodiment of the dreams my childhood friends in Texas had for themselves for the day when they reached my present age. I was about to spend one whole week with a vehicle in three provinces where I would pay an average of $1.20/L. This is not what my childhood Texan friends dreamed about. Gas was 99 cents per gallon in San Antonio just eleven years ago when sales of trucks and SUV’s began to shoot for the sky.
My goal was clear. I was faced with a mission at which I must succeed. The options were limited: feather-foot the throttle and stay out of the savings account and away from the Mastercard, or lead-foot it and bump straight into the credit limit. Well, that might be an exaggeration. One truck for one week couldn’t really suck the black gold at that rate could it? Or could it? The drama ensued.
Actually, there was no drama. For the most part I stuck with shoes that enabled me to feel the right pedal dexterously so that I could avoid abusing what was an obviously jumpy throttle. It is a mighty difficult thing for an automotive enthusiast to firmly abide by all speed limit signs. Add to that using cruise control with incredible frequency so as not to tempt myself into using 365 lb-ft of torque to fly by unassuming tourists gawking at the splendour of the Confederation Bridge up ahead. Nevertheless, my mission could not be aborted, and I remained behind vehicles that seemed to be slow moving. In fact, many times the big Ford felt much slower than it was, perhaps due to a lack of wind and engine roar. A typical P.E.I highway speed of 80km/h almost always felt painfully slow, seeming to my passengers that I was the gawking tourist dawdling along at 50km/h.
While accomplishing my duties of finding attainable and decent fuel economy from a full-size truck, we were glad to find ourselves in a well-built interior with abundant space for humans and stuff normally associated with humans such as gum, CDs, empty pop bottles, sleeping bags, rollerblades, and gas receipts. Compartments were alive and well wherever I looked and the knees of rear-seat passengers were never found in the small of my back. I could delve into equipment lists and available options, but most trucks in this category have an innumerable array of configurations to start with, and it is after that foundation is chosen that a customer will then add options and choose accessories. It is safe to say that a Ford F150 is sufficiently powerful without being over the top, while offering great comfort and affording the owner a versatile lifestyle.
The goal, however, was not to discover how great a truck the F150 was (over 900,000 people in the United States think it is great enough to buy each year) but to see if fuel economy numbers for a truck like this are anywhere near attainable and if so, what must a body drive like.
People who want to buy a truck like this can achieve numbers like I did by doing a few things. Driving the speed limit is obvious. Gradual acceleration is very important especially if you drive in the city. Coasting toward red lights that you can see when you are within coasting distance is a really good idea, otherwise you use energy that only gets absorbed by braking, instead of providing forward motion. According to Energuide.ca the truck I drove is presumed to achieve between 12 and 17 litres per 100km, highway and city, respectively. This is the same as 23 and 17 miles per gallon. About half of our driving was on divided highways, a third was slower two-lane highways in a small part of New Brunswick and a chunk of P.E.I., and the rest was through Summerside and Charlottetown. We did quite well for ourselves, using 13.75 litres per 100km, equivalent to 20.5 mpg. Essentially splitting the difference between the given ratings for this vehicle meant I accomplished my self-imposed mission. Congrats.
800 KILOMETRES - 4 PROOFS OF ENVIRONMENTAL FRIENDLINESS
Stereotypes never last long when you actually spend time in the place or with the people. Not all automotive writers thrive on top speed tests and not all Prince Edward Island fields are meant for potatoes.
Both of these generalizations were put to the test in late March, and both failed. I drove nigh unto 800km in a 2006 Nissan Sentra. The Sentra, according to Energuide, would use 8.4L/100km in the city and 6.3 on the highway.
Our driving involved lots of both. We used 7.3 litres every time we drove 100km, which splits the fuel economy ratings right down the middle. Clearly, achieving the ideal circumstance fuel economy ratings of Energuide or the EPA requires the avoidance of high-speed driving. That high-speed driving which is done in fast, expensive cars of which we are accused. In addition to this, we likely emitted 144 kilograms of carbon dioxide. Achieving the ‘unachievable’ Energuide ratings gave us our number one proof of environmental friendliness.
Day two of the trip took five of us from Summerside to the far western end of PEI. The first points of interest were on Routes 12 and 163 near Tyne Valley. It seemed to my exaggerating memory that there were countless houses using solar power. House after house; home to subsequent home, solar panels of differing sizes and quantity. PEI may not be populous, and it may seem rural, but it is the most densely populated province. Driving down a country road, clueless as to our location, I was surprised to see solar-panelled houses - many of them - when the expectation is for pesticide and run-off problems in the rivers.
www.lennoxisland.com/liae offers plenty of information about ecotourism near Malpeque Bay. So says the site: “Lennox Island Aboriginal Ecotourism (LIAE), established in 1999, exists to develop and support tourism on Lennox Island First Nation in a manner that is responsible to the local environment and culture. LIAE manages several facilities that attract visitors from around the world to learn about Mi'kmaq culture in its natural setting.”
Great facilities are present and accounted for, but it is the ability to showcase what PEI has to offer that makes the Lennox Island First Nation’s effort special. With only a few hundred people and 1328 acres, the island has the untouched space necessary to provide truly ecological means of tourism. The infrastructure’s impact is low, the activities are affordable, and the area is conserved properly. Route 163 and all the little backroads around it offer great lowland views of the north shore of Prince Edward Island.
The final destination to showcase eco-friendliness came at North Cape. The Wind Energy Institute of Canada is headquartered here, north of 47º. This large peninsula offers 300 degrees of exposure to the Gulf of St. Lawrence, says www.awts.pe.ca, as well as class 1 winds and very cold temperatures. Ice flows take up a large chunk of the shore at the northern tip of PEI in late March, and the ice was plenty thick enough in most places for a trek way out to sea.
Small though the province may be, it was a drive and a half from the central part of the Island to the northwest. However, the sight of many, massive, white towers rising before your eyes is something to behold. Their eery whir is eery enough to ask the tour bus drivers to turn off the diesels. PEI expects all its electricity will be wind-generated by 2015. Our 144kg of emissions didn’t feel so good, but watching as power generates gave me a good enough feeling of neutrality.
Both of these generalizations were put to the test in late March, and both failed. I drove nigh unto 800km in a 2006 Nissan Sentra. The Sentra, according to Energuide, would use 8.4L/100km in the city and 6.3 on the highway.
Our driving involved lots of both. We used 7.3 litres every time we drove 100km, which splits the fuel economy ratings right down the middle. Clearly, achieving the ideal circumstance fuel economy ratings of Energuide or the EPA requires the avoidance of high-speed driving. That high-speed driving which is done in fast, expensive cars of which we are accused. In addition to this, we likely emitted 144 kilograms of carbon dioxide. Achieving the ‘unachievable’ Energuide ratings gave us our number one proof of environmental friendliness.
Day two of the trip took five of us from Summerside to the far western end of PEI. The first points of interest were on Routes 12 and 163 near Tyne Valley. It seemed to my exaggerating memory that there were countless houses using solar power. House after house; home to subsequent home, solar panels of differing sizes and quantity. PEI may not be populous, and it may seem rural, but it is the most densely populated province. Driving down a country road, clueless as to our location, I was surprised to see solar-panelled houses - many of them - when the expectation is for pesticide and run-off problems in the rivers.
www.lennoxisland.com/liae offers plenty of information about ecotourism near Malpeque Bay. So says the site: “Lennox Island Aboriginal Ecotourism (LIAE), established in 1999, exists to develop and support tourism on Lennox Island First Nation in a manner that is responsible to the local environment and culture. LIAE manages several facilities that attract visitors from around the world to learn about Mi'kmaq culture in its natural setting.”
Great facilities are present and accounted for, but it is the ability to showcase what PEI has to offer that makes the Lennox Island First Nation’s effort special. With only a few hundred people and 1328 acres, the island has the untouched space necessary to provide truly ecological means of tourism. The infrastructure’s impact is low, the activities are affordable, and the area is conserved properly. Route 163 and all the little backroads around it offer great lowland views of the north shore of Prince Edward Island.
The final destination to showcase eco-friendliness came at North Cape. The Wind Energy Institute of Canada is headquartered here, north of 47º. This large peninsula offers 300 degrees of exposure to the Gulf of St. Lawrence, says www.awts.pe.ca, as well as class 1 winds and very cold temperatures. Ice flows take up a large chunk of the shore at the northern tip of PEI in late March, and the ice was plenty thick enough in most places for a trek way out to sea.
Small though the province may be, it was a drive and a half from the central part of the Island to the northwest. However, the sight of many, massive, white towers rising before your eyes is something to behold. Their eery whir is eery enough to ask the tour bus drivers to turn off the diesels. PEI expects all its electricity will be wind-generated by 2015. Our 144kg of emissions didn’t feel so good, but watching as power generates gave me a good enough feeling of neutrality.
Thursday, April 12, 2007
BITS AND PIECES
Here's a sampling of what's making news in the automotive universe....
www.gmcareerfair.com tells lots about General Motors' upcoming hiring spree. 400 technical jobs - spread out across IT, fuel cell tech, OnStar, and product and powertrain development - will be filled as a result of a massive career fair in Detroit in May. The SAE (Society of Automotive Engineers) meets soon, as well, and it's fine timing for GM to make a big announcement. The General has been going crazy over the last few years, hiring up thousands of people in these categories. Let's hope it shows in their product for years to come....
Lee Iacocca had produced some memorable moments in his life long before 2007, with the invention of whole segments and thought provoking statements, too. He has new taken a rip at the route the American auto industry has traveled. He has campaigned for Bush in the past, but his feelings have turned negative toward the Prez. He hates the DaimlerChrysler mess-up, he was never impressed with the two (Eaton and Schrempp) who made it happen. And he's sick of the continued obsession with heavy, new vehicles, even as the domestics talk as if things are getting smaller. Amongst other things.....
American Toyota's boss, Jim Press, will be the first non-Japanese to sit on Toyota's board. The board will grow, as a whole, to make room for Press and four others, but isn't it an interesting sign in light of Toyota's 'concern' of their post-America-takeover image? Click HERE to read more.......
Regardless of how serious a recall is, the number is where all the headlines lead. 500,000. That's too high a number for Mulally, Fields, and the rest of Ford's head honchos to feel comfortable. The vehicle involved is the Escape (Mazda Tribute too) but not the Hybrid models. Model years 2001-2004, corrosion of the antilock brake connectors.....
Speaking of Alan Mulally, CEO of Ford; previously the chief turnaround man for Boeing; maker of much money... Well, he made a joke about Prez Bush and his (that'd be Mullaly) efforts to make sure that Bush didn't turn the hydrogen Edge on display at the White House into the Hindenburg. Apparently, the blogosphere (what do bloggers know after all?) went up in arms. Apparently, the White House didn't care. So why am I, by making mention of it, drawing more attention to what I'm deflecting attention from? Mulally apologized, saying he didn't do a good job of being Jimmy Kimmel....
Mitsubishi's new Outlander is garnering some attention, for the right reasons. Perhaps it won't climb to the top of the class, a class which includes RAv4, CR-V, and Santa Fe, but it is better in every way than its predecessor. And for me, that's a good sign. The Outlander looks good, has more power, more space, and makes far more of an impression. Plus, I hear the Lancer Evo will be coming to Canada. Finally. So Mitsu deserves some attention.
www.gmcareerfair.com tells lots about General Motors' upcoming hiring spree. 400 technical jobs - spread out across IT, fuel cell tech, OnStar, and product and powertrain development - will be filled as a result of a massive career fair in Detroit in May. The SAE (Society of Automotive Engineers) meets soon, as well, and it's fine timing for GM to make a big announcement. The General has been going crazy over the last few years, hiring up thousands of people in these categories. Let's hope it shows in their product for years to come....
Lee Iacocca had produced some memorable moments in his life long before 2007, with the invention of whole segments and thought provoking statements, too. He has new taken a rip at the route the American auto industry has traveled. He has campaigned for Bush in the past, but his feelings have turned negative toward the Prez. He hates the DaimlerChrysler mess-up, he was never impressed with the two (Eaton and Schrempp) who made it happen. And he's sick of the continued obsession with heavy, new vehicles, even as the domestics talk as if things are getting smaller. Amongst other things.....
American Toyota's boss, Jim Press, will be the first non-Japanese to sit on Toyota's board. The board will grow, as a whole, to make room for Press and four others, but isn't it an interesting sign in light of Toyota's 'concern' of their post-America-takeover image? Click HERE to read more.......
Regardless of how serious a recall is, the number is where all the headlines lead. 500,000. That's too high a number for Mulally, Fields, and the rest of Ford's head honchos to feel comfortable. The vehicle involved is the Escape (Mazda Tribute too) but not the Hybrid models. Model years 2001-2004, corrosion of the antilock brake connectors.....
Speaking of Alan Mulally, CEO of Ford; previously the chief turnaround man for Boeing; maker of much money... Well, he made a joke about Prez Bush and his (that'd be Mullaly) efforts to make sure that Bush didn't turn the hydrogen Edge on display at the White House into the Hindenburg. Apparently, the blogosphere (what do bloggers know after all?) went up in arms. Apparently, the White House didn't care. So why am I, by making mention of it, drawing more attention to what I'm deflecting attention from? Mulally apologized, saying he didn't do a good job of being Jimmy Kimmel....
Mitsubishi's new Outlander is garnering some attention, for the right reasons. Perhaps it won't climb to the top of the class, a class which includes RAv4, CR-V, and Santa Fe, but it is better in every way than its predecessor. And for me, that's a good sign. The Outlander looks good, has more power, more space, and makes far more of an impression. Plus, I hear the Lancer Evo will be coming to Canada. Finally. So Mitsu deserves some attention.
Wednesday, April 11, 2007
MONEY MAKES US ARGUE
Isn't it interesting that powerful, dynamic, substantial things like war, marriage, and even sports can be debased and hit with the Money Argument stick? Examples: Iraq war funding; Paul McCartney and Heather Mills; and the recent National Hockey League lockout.
So it surprises not a one of us when a CEO of a major American corporation draws attention to himself and his company by making $28,000,000 for four months of work. Go ahead, read it again.
We're not talking base salary here; this is everything included. Hiring bonus, base salary, $11million to offset the forfeited stock options at his old company, relocation expenses, and the gifts of new stock options for the new company and restricted stock grants.
Noper, we're not just talking about base salary. I'll give you that. But we're not talking Tiger Woods, Michael Jordan, Wayne Gretzky, David Beckham either. Those guys have been or are the reason why the CEO, COO, Presidents of the Board and all those kinds of guys make money. Sports is a really different thing. Take the hockey players out of the rink, and people don't show up, thereby making the owner/CEO poor.
Take Alan Mulally out of the Ford boardroom and I doubt the company's recent profits would change.
I realize you can't measure a CEO's performance by the sales of his company's products over his first four months, but.... I mean, really. C'mon. $28,000,000? He is a 61-year old who turned Boeing (compensation $7.4mil/8 months) around magnificently, and you then decide to sign him with a bonus of $7.5million?
You may want to scroll down and click to inform yourself, pointing out that if you want the top talent you've gotta pay for it. Amen. We all want more qualified MP's, Congressmen, judges and mayors but if we're not willing to tempt them away from lucrative positions with appropriate salaries and benefits, why would they serve us? Ford clearly feels the same way.
Meanwhile, full-time workers and supervisors received one year's worth of bonuses which totaled between $300-$800 per worker. 'Oh, you're sweet, thanks so much.'
Meanwhile Ford is closing plants and cutting 30,000 hourly positions (aka people) from its payroll. Meanwhile, in 2006 Ford lost $12,700,000,000
So it surprises not a one of us when a CEO of a major American corporation draws attention to himself and his company by making $28,000,000 for four months of work. Go ahead, read it again.
We're not talking base salary here; this is everything included. Hiring bonus, base salary, $11million to offset the forfeited stock options at his old company, relocation expenses, and the gifts of new stock options for the new company and restricted stock grants.
Noper, we're not just talking about base salary. I'll give you that. But we're not talking Tiger Woods, Michael Jordan, Wayne Gretzky, David Beckham either. Those guys have been or are the reason why the CEO, COO, Presidents of the Board and all those kinds of guys make money. Sports is a really different thing. Take the hockey players out of the rink, and people don't show up, thereby making the owner/CEO poor.
Take Alan Mulally out of the Ford boardroom and I doubt the company's recent profits would change.
I realize you can't measure a CEO's performance by the sales of his company's products over his first four months, but.... I mean, really. C'mon. $28,000,000? He is a 61-year old who turned Boeing (compensation $7.4mil/8 months) around magnificently, and you then decide to sign him with a bonus of $7.5million?
You may want to scroll down and click to inform yourself, pointing out that if you want the top talent you've gotta pay for it. Amen. We all want more qualified MP's, Congressmen, judges and mayors but if we're not willing to tempt them away from lucrative positions with appropriate salaries and benefits, why would they serve us? Ford clearly feels the same way.
Meanwhile, full-time workers and supervisors received one year's worth of bonuses which totaled between $300-$800 per worker. 'Oh, you're sweet, thanks so much.'
Meanwhile Ford is closing plants and cutting 30,000 hourly positions (aka people) from its payroll. Meanwhile, in 2006 Ford lost $12,700,000,000
MULTIFARIOUS COGITATIONS
Toyota Prius sales have been up over the last couple of months, but Toyota isn't interested in seeing them fall again. So there's a little money on the hood of each Prius. In fact, the incentives are actually discounts on option packages, and they could be anywhere from $600-$2000 in the States. Toyota is making more Prius hybrids and is seeing more competition, so this action becomes necessary to maintain sales.........
Along with pictures of botoxed and nose-jobbed S40/V50s, Volvo had some great news. Here's the background: The first S40 we saw on this side of the pond was a rehash of the Mitsbushi Carisma, but ironically it had none. It was a wagon or sedan. The average buyer's age was high and sales were accordingly low. The S40/V50 we see now shares some architecture with the Mazda3 and Euro-Ford Focus. It is a cool car with a great interior and a pleasant drive in all respects. Now 45% of S40 buyers are under 35 years of age; that's up 22%. The average age as a whole is down 10 years to 40. So good job, Volvo.........
Car magazines and other car websites will often tell you about a car that is only available on another continent. So will The Good Car Guy. The other websites make reference to its price equivalency, but GoodCarBadCar will not. And here's why. Taking the price of just about any car available in, say, England, and doing a straight conversion with the currency exchange has no bearing on what the actual price would be here IF it were to ever come across the ocean. How do I know this? Well, here's a couple examples from our own continent first.
So this becomes a real annoyance to me when one of my favourite automotive news sources says that the Renault Megane, now available with a really hot diesel, would cost $38,525 USD, were it to be available here in that form.
No, it wouldn't. If any diesel Megane were to cost nearly $40,000, it would match the US price of a BMW 335i sedan. That same BMW in the UK would cost at least £31,000. Just out of curiosity, convert that. You get a price of over $61,000 USD.
OK, have we learned anything? The currency tells us the price in the USA would be $23,000 more than it's true $38,000 cost. Renault UK lists that very same Megane at around £19,000, or £12,000 less than the BMW. The BMW comes to the States and costs only $7,000 above its pounds sterling price, so what makes us think the Renault would double its British price? The currency exchange; that's all. Just the currency exchange.....
Nobody in their right mind would ever say business was just money changing hands. So don't try telling me that business is just money changing countries.
Along with pictures of botoxed and nose-jobbed S40/V50s, Volvo had some great news. Here's the background: The first S40 we saw on this side of the pond was a rehash of the Mitsbushi Carisma, but ironically it had none. It was a wagon or sedan. The average buyer's age was high and sales were accordingly low. The S40/V50 we see now shares some architecture with the Mazda3 and Euro-Ford Focus. It is a cool car with a great interior and a pleasant drive in all respects. Now 45% of S40 buyers are under 35 years of age; that's up 22%. The average age as a whole is down 10 years to 40. So good job, Volvo.........
Car magazines and other car websites will often tell you about a car that is only available on another continent. So will The Good Car Guy. The other websites make reference to its price equivalency, but GoodCarBadCar will not. And here's why. Taking the price of just about any car available in, say, England, and doing a straight conversion with the currency exchange has no bearing on what the actual price would be here IF it were to ever come across the ocean. How do I know this? Well, here's a couple examples from our own continent first.
- Honda Accord (United States) base price $18,625
- Honda Accord (Canada) base price $24,800
- Chevrolet Impala (United States) base price $21,700
- Chevrolet Impala (Canada) base price $25,230
So this becomes a real annoyance to me when one of my favourite automotive news sources says that the Renault Megane, now available with a really hot diesel, would cost $38,525 USD, were it to be available here in that form.
No, it wouldn't. If any diesel Megane were to cost nearly $40,000, it would match the US price of a BMW 335i sedan. That same BMW in the UK would cost at least £31,000. Just out of curiosity, convert that. You get a price of over $61,000 USD.
OK, have we learned anything? The currency tells us the price in the USA would be $23,000 more than it's true $38,000 cost. Renault UK lists that very same Megane at around £19,000, or £12,000 less than the BMW. The BMW comes to the States and costs only $7,000 above its pounds sterling price, so what makes us think the Renault would double its British price? The currency exchange; that's all. Just the currency exchange.....
Nobody in their right mind would ever say business was just money changing hands. So don't try telling me that business is just money changing countries.
Tuesday, April 10, 2007
SATURN AD CAMPAIGN
When is public confession taken to far? Here's my answer. Saturn has a lot of new advertisements - TV, print media, internet. The vast majority of these ads showcase Saturn as something that wasn't cool, but is becoming cool.
"Like Always. Like Never Before."
That's the main tag line. And it works, to an extent. But why must they nauseate me as I watch Aura's and Sky's cross my screen followed by diverse groups of people all saying, "That's a Saturn?"
I feel bad that Saturn believes they must bring this self-inflicted negative attention to their dull and boring past. Capable cars lacking in personality are now being replaced by good-looking vehicles with some performance.
It's a fine line that a company must walk. I was emailed numerous videos, from Ford, relative to the how and why of their Bold Moves campaign. I'm not sure Ford's automotive lineup is as competitive as it once was (whereas Saturn's is more competitive than it ever was), however, while Mark Fields; Alan Mulally; Bill Ford; J Mays and others confessed to doing poorly in the recent past, they did not try to sell their products on being 'better than before'. In fact, they weren't really trying to sell their products at all. They were showing media, shareholders, and Wall Street movers and shakers that they understood the problem and wanted to revitalize their image.
Saturn, on the other hand, is seemingly attemtping to sell their cars on a 25/75 principle. 25% of the reasoning behind buying a Saturn should be their lovy-doviness and differentiation. "Like Always." The other three-quarters of your rationale should be the fact that Saturn is nothing like they were. "Like Never Before."
So two airbags pop open, and you are to think, "Like Always." And the commercial tells you to think so. Then a roadster - the Sky - drives by, and you are to think, "Like Never Before." Likewise with the Aura, and likely with the Astra and new Vue. Translated, "We never made cool cars before."
So therein lies the second question. How long does it take for a company to "recapture the world's imagination?" as Saturn asks in one ad. How long does it take to become cool? Well, you captured North America's logical, rational, objective left brain more than a decade ago. But I'm not sure you captured North America's subjective, artistic right brain. Ever. And certainly not the imagination of the rest of the world, where you never sold cars.
So if you never captured our imagination, how can you re-capture? And why do you, oh Saturn, want to tell us that you even need to recapture it, thereby indicating that you lost hold on it? Can you, oh Saturn, by admitting to your faults; by showing us that other people (actors in commercials) are surprised to see how good your cars look; and by telling us your cars are different now, really expect to become cool? No, cool happens over time. Ask BMW. And when you, oh Saturn, tell us that you were not cool in the very recent past, we will safely assume that you still aren't.
Let your products sell themselves. If they are good enough for me to buy, let me make the decision on how good-looking they are. Rather than have actors tell me how much better looking they are than previous Saturns. Unless you want to totally change your image, don't give me conflicted messages about being same old Saturn and then new-guard GM. Just let the cars do the talking.
Because they're not bad. Not bad at all.
"Like Always. Like Never Before."
That's the main tag line. And it works, to an extent. But why must they nauseate me as I watch Aura's and Sky's cross my screen followed by diverse groups of people all saying, "That's a Saturn?"
I feel bad that Saturn believes they must bring this self-inflicted negative attention to their dull and boring past. Capable cars lacking in personality are now being replaced by good-looking vehicles with some performance.
It's a fine line that a company must walk. I was emailed numerous videos, from Ford, relative to the how and why of their Bold Moves campaign. I'm not sure Ford's automotive lineup is as competitive as it once was (whereas Saturn's is more competitive than it ever was), however, while Mark Fields; Alan Mulally; Bill Ford; J Mays and others confessed to doing poorly in the recent past, they did not try to sell their products on being 'better than before'. In fact, they weren't really trying to sell their products at all. They were showing media, shareholders, and Wall Street movers and shakers that they understood the problem and wanted to revitalize their image.
Saturn, on the other hand, is seemingly attemtping to sell their cars on a 25/75 principle. 25% of the reasoning behind buying a Saturn should be their lovy-doviness and differentiation. "Like Always." The other three-quarters of your rationale should be the fact that Saturn is nothing like they were. "Like Never Before."
So two airbags pop open, and you are to think, "Like Always." And the commercial tells you to think so. Then a roadster - the Sky - drives by, and you are to think, "Like Never Before." Likewise with the Aura, and likely with the Astra and new Vue. Translated, "We never made cool cars before."
So therein lies the second question. How long does it take for a company to "recapture the world's imagination?" as Saturn asks in one ad. How long does it take to become cool? Well, you captured North America's logical, rational, objective left brain more than a decade ago. But I'm not sure you captured North America's subjective, artistic right brain. Ever. And certainly not the imagination of the rest of the world, where you never sold cars.
So if you never captured our imagination, how can you re-capture? And why do you, oh Saturn, want to tell us that you even need to recapture it, thereby indicating that you lost hold on it? Can you, oh Saturn, by admitting to your faults; by showing us that other people (actors in commercials) are surprised to see how good your cars look; and by telling us your cars are different now, really expect to become cool? No, cool happens over time. Ask BMW. And when you, oh Saturn, tell us that you were not cool in the very recent past, we will safely assume that you still aren't.
Let your products sell themselves. If they are good enough for me to buy, let me make the decision on how good-looking they are. Rather than have actors tell me how much better looking they are than previous Saturns. Unless you want to totally change your image, don't give me conflicted messages about being same old Saturn and then new-guard GM. Just let the cars do the talking.
Because they're not bad. Not bad at all.
WWW.HORNTONES.COM
There are many things that make Mexico different from the east coast of Canada. One such thing is car horns. Young men often add an accessory or replace their stock car horn with an appreciative whistle sound directed to young females. This phenomenon may occur in my neck of the woods, but I've not heard it directly.
The Dukes of Hazzard had a really good horn. Many small Japanese cars of the 80's and 90's had the wimpiest horns known to man. And what group of schoolkids don't request a tug from any 18-wheeler passing by?
It will all fade to the wayside as the century-old evolution of the car horn gives way to the revolution of car horns. Horntones is making news as the first major proprietor of horns by way of MP3. Sure, it sounds silly, but with the advent of ringtones, iPods, and horrible drivers (nothing new) the time is certainly ripe.
Horntones will allow you to create your own...uh, horn tones. And, being digital, you won't be stuck with something if you don't like it. In fact, you'll have lots of options all the time. For a price. Starting from $249 and rising to $499 USD. It would be illegal in many areas to replace your stock horn with this technology, but it makes for a nice add-on.
In most cases, depending on who you are, it would just be plain wrong to create your own when there are so many applicable tones already available.
You're being tailgated by a girl in an American-plated car? "American woman...stay away from me-eee."
Your spouse told you to get out of her hair when she got very upset that you spent $50,000 on a new truck ? "If you change your mind, I'm the first in line, Honey, I'm still free, take a chance on me"
The Edmonton Oilers just lost in game 7 of the Stanley Cup Finals, but Pisani performed admirably? "There was something in the air tonight, The stars were bright, Fernando, They were shining there for you and me, For liberty, Fernando, Though we never thought that we could lose, There's no regret, If I had to so the same again, I would my friend, Fernando"
OK, so that one was a little long for a horntone. Spot a car crash or road rage? "Is it getting betterOr do you feel the same, Will it make it easier on you, Now you got someone to blame,You say...One love..."
Maybe that one is a little slow.
Despite my lack of imagination, it is a novel idea. We shall see how it all pans out.
The Dukes of Hazzard had a really good horn. Many small Japanese cars of the 80's and 90's had the wimpiest horns known to man. And what group of schoolkids don't request a tug from any 18-wheeler passing by?
It will all fade to the wayside as the century-old evolution of the car horn gives way to the revolution of car horns. Horntones is making news as the first major proprietor of horns by way of MP3. Sure, it sounds silly, but with the advent of ringtones, iPods, and horrible drivers (nothing new) the time is certainly ripe.
Horntones will allow you to create your own...uh, horn tones. And, being digital, you won't be stuck with something if you don't like it. In fact, you'll have lots of options all the time. For a price. Starting from $249 and rising to $499 USD. It would be illegal in many areas to replace your stock horn with this technology, but it makes for a nice add-on.
In most cases, depending on who you are, it would just be plain wrong to create your own when there are so many applicable tones already available.
You're being tailgated by a girl in an American-plated car? "American woman...stay away from me-eee."
Your spouse told you to get out of her hair when she got very upset that you spent $50,000 on a new truck ? "If you change your mind, I'm the first in line, Honey, I'm still free, take a chance on me"
The Edmonton Oilers just lost in game 7 of the Stanley Cup Finals, but Pisani performed admirably? "There was something in the air tonight, The stars were bright, Fernando, They were shining there for you and me, For liberty, Fernando, Though we never thought that we could lose, There's no regret, If I had to so the same again, I would my friend, Fernando"
OK, so that one was a little long for a horntone. Spot a car crash or road rage? "Is it getting betterOr do you feel the same, Will it make it easier on you, Now you got someone to blame,You say...One love..."
Maybe that one is a little slow.
Despite my lack of imagination, it is a novel idea. We shall see how it all pans out.
Monday, April 9, 2007
CUPHOLDERS OR FUEL EFFICIENCY? TAKE YOUR PICK
Surveys say that seven years ago (2000 for those of you who didn't pass Math class), fuel economy ranked as the 29th most important attribute when buying a car in the United States. If you recall Y2K, gas was cheap.
Surveys say that in 2007 (that would be the here and now) fuel economy ranks as the 22nd most important attribute for American car buyers. Huh? Gas is $3.25 a gallon below the 49th. What do car buyers consider to be more important? Stereos and other convenience features amongst other things.
CNN reports that taxes on gasoline in Europe and Japan add $4 and $3.25 to each gallon, but only 40 cents in the USofA. Not much wonder people consider fuel economy to be of little importance in the States, and a BIG priority in Europe/Japan. Not much wonder people in Europe drive 36MPG vehicles, Japanese drive 31MPG vehicles, and Americans drive 21MPG vehicles - on average. Not much wonder AutoNation's Mike Jackson says, "Customers will trade five miles per gallon to get fancy cupholders."
NOT MUCH WONDER asking GM, Ford, Chrysler, and other importers to increase efficiency has little effect on gallons guzzled and greenhouse gases gushed. NOT MUCH WONDER Americans, in general, have little desire to conserve gasoline. Gas is cheap in the United States, so the 21MPG car Bush would have you drive nets you $100 versus the 20MPG car over 10,000miles. Nobody cares.
Encouraging conservation only works when people feel burdened to conserve. Do I want higher gas prices when I vacation in the States? No. But being The Good Car Guy, I am utterly and totally willing to recognize some fuel efficient vehicles as good cars. And I am awfully willing to recognize that higher fuel prices encourage me to do the following:
Surveys say that in 2007 (that would be the here and now) fuel economy ranks as the 22nd most important attribute for American car buyers. Huh? Gas is $3.25 a gallon below the 49th. What do car buyers consider to be more important? Stereos and other convenience features amongst other things.
CNN reports that taxes on gasoline in Europe and Japan add $4 and $3.25 to each gallon, but only 40 cents in the USofA. Not much wonder people consider fuel economy to be of little importance in the States, and a BIG priority in Europe/Japan. Not much wonder people in Europe drive 36MPG vehicles, Japanese drive 31MPG vehicles, and Americans drive 21MPG vehicles - on average. Not much wonder AutoNation's Mike Jackson says, "Customers will trade five miles per gallon to get fancy cupholders."
NOT MUCH WONDER asking GM, Ford, Chrysler, and other importers to increase efficiency has little effect on gallons guzzled and greenhouse gases gushed. NOT MUCH WONDER Americans, in general, have little desire to conserve gasoline. Gas is cheap in the United States, so the 21MPG car Bush would have you drive nets you $100 versus the 20MPG car over 10,000miles. Nobody cares.
Encouraging conservation only works when people feel burdened to conserve. Do I want higher gas prices when I vacation in the States? No. But being The Good Car Guy, I am utterly and totally willing to recognize some fuel efficient vehicles as good cars. And I am awfully willing to recognize that higher fuel prices encourage me to do the following:
- Maintain the tire pressure that the vehicle manufacturer recommended. Muy importante
- Avoid excess weight in the trunk (such as winter tires and hockey gear)
- Use cruise control whenever possible on the highway to avoid unfocused acceleration
- See stoplights turn red up ahead? Start coasting now or otherwise use energy that will only be absorbed when braking
- Accelerate gradually (unless you see the punk in his '92 Civic with 18-inch wheels and a 4" exhaust tip
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