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SEPTEMBER 2021 .COM.AU RARE MELBOURNE DEALERSHIP OPPORTUNITY BECKONS. P.03 EMPOWERING BUYERS TO SECURE A FAIR DEAL P.04 PROVIDING A NEW VOLVO RETAIL EXPERIENCE IN CANBERRA P.06 PRESTON MOTOR GROUP IS DIVESTING THIS FREEHOLD CHADSTONE SITE. THE AUSTRALIAN VEHICLE DEALER’S NEWS SOURCE

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1 SEPTEMBER 2021Australia

SEPTEMBER 2021 .COM.AU

RARE MELBOURNE DEALERSHIP OPPORTUNITY BECKONS. P.03

EMPOWERING BUYERS TO SECURE A FAIR DEAL

P.04PROVIDING A NEW VOLVO

RETAIL EXPERIENCE IN CANBERRA

P.06PRESTON MOTOR GROUP IS DIVESTING THIS FREEHOLD CHADSTONE SITE.

THE AUSTRALIAN VEHICLE DEALER’S NEWS SOURCE

2 SEPTEMBER 2021Australia

ROBERT BARRYEDITOR AUTOTALK

CAR EXPOS BECOMING A NO-SHOWHello there,

Is the international motor show dying a slow, painful death?

I used to frequent the Australian International Motor Shows in both Sydney and Melbourne when we still had local manufacturing but, sadly, they’re now well and truly extinct.

The Melbourne Motorclassica event is now the sole opportunity for automotive brands to have some sort of marketing event for their new cars, alongside the vintage and classic cars on display.

At the time of writing, the automotive world is celebrating World EV day (September 9) and the IAA Mobility 2021 trade fair in Munich (September 7 to 12) is in high gear.

You’ll note two things. First, the IAA show (Internationale Automobil-Ausstellung, which translates to International Automobile Exposition in english), has moved from its previous venue Messe Frankfurt to Munich, and second, the word mobility has become part of the branding.

That’s because cars are no longer the event’s sole focus. It’s now about electrification as well as alternative transport options and last mile mobility according to the German Automotive Industry Association (VDA) which owns the IAA brand.

IAA Mobility 2021 certainly provided a showcase for German brands like Audi, BMW, Mercedes-Benz and Volkswagen who all presented concept electric vehicles, some that looked more production ready than others.

But unlike the previous IAA Frankfurt events, there were far fewer international automotive brands present, no doubt a sign that digitisation has played a big part in how car manufacturers speak to markets.

And that the cost of exhibiting vehicles to markets at large global trade fairs is no longer justifiable or good for the environment.

Renault and sister brand Dacia were in Munich, Ford’s Mustang Mach-E was the sole attendee from the USA. Hyundai was also present as well as Polestar but not Volvo.

A plethora of Chinese EV brands vied for media attention too.

There was another interesting difference between the Munich and Frankfurt shows.

Though at Messe Frankfurt everything was under one roof in the centre of the city, the Munich event was split among the exhibition centre on the city fringe and multiple pop-up locations in the CBD.

Automotive suppliers Magna and Bosch were present, as were a tranche of global bicycle manufacturers, and tellingly, as well as the bike halls, another devoted entirely to “heritage” vehicles.

German broadcaster Deutsche Welle (dw.com) summed up the future of the large automotive trade fair as becoming tenuous.

It pointed out that more people preferred to go to the Consumer Electronics Show (CES) in Las Vegas in January than the North American International Auto Show (NAIAS) in Detroit.

Mind you, wintry Detroit in January isn’t a pleasant place to be, in spite of the event being held indoors at the Cobo Centre.

The NAIAS organisers moved the show to June 2021 to hold outdoor events in the warmer summer weather but then cancelled it because of the COVID-19 pandemic.

The Paris motor show in 2020 was canned by COVID-19 as was the 2021 Geneva show. Both plan to return in 2022.

That the Detroit show will make a comeback in June 2022 is anyone’s guess. Will Munich survive in 2022? The VDA hopes so.

Enjoy your reading this month.

EDITORIALTALK

Best regards

Robert BarryEDITOR AUTOTALK

3SEPTEMBER 2021 Australia

Preston Motor Group is seeking expressions of interest for its freehold Melbourne property

which it has held since 2012 and is currently leased on 15-year terms to Chadstone Hyundai, Ford, and Hungry Jack's.

Preston Motor Group chief executive Robert Gatterer says favourable market conditions present an opportune time to divest of the property.

“Chadstone is a lovely property however we are not in the property investment business, we are in the automotive business,” Gatterer says. “When we decided to divest of our interest in the dealership, the property became non-core and as more and more approaches were made to our company from investors wanting to buy the asset, we thought it best to run a process to select an estate agent to represent our divestment plan.”

The sale of the Chadstone Ford, Hyundai and Hungry Jack’s freehold investment will be handled by Gross Waddell ICR and Burgess Rawson in conjunction. The expressions of Interest campaign will close on October 15.

Advise Transact's Mark Wizel is advising the property owners.

The appetite for car dealership assets is expected to generate a high level of interest across Australia and internationally according to co-agents Burgess Rawson and Gross Waddell ICR.

The 6953 sqm freehold site located 13 kilometres from Melbourne’s CBD in Chadstone, is the largest commercial 1 zoned site in the precinct say the co-agents.

The new 15-year leases to Chadstone Ford, Hyundai and Hungry Jack’s are expected to drive most of the attention as investors want tenants that can continue to trade strongly through the pandemic.

The co-agents say they believe that in the COVID marketplace, investors are looking for big name tenants in secure asset classes; prominent locations; and strong future development potential. Burgess Rawson Partner Billy Holderhead says that the Chadstone site ticks all the boxes as more savvy investors have turned to the automotive sector over the past 18 months.

“The core fundamentals of the automotive retail sector remain steadfast. Long term leases, large

landholdings with high profile exposure, secure income and favourable planning controls ensuring significant future development,”Holderhead says. “The Chadstone Ford and Hyundai site is a great example.”

Gross Waddell ICR Director Danny Clark says a number of key drivers have seen the car sales industry skyrocket since COVID reached Australian shores.

“Record profits and a high volume of car sales have combined with supply issues to create the perfect storm for the sector,” Clark says. “The high demand for cars has directly translated to increased appeal for automotive investments.” The automotive retail sector is booming with consecutive months of growth with half yearly results revealing cumulative January to June 2021 sales up by 28.3% over the first half of 2020 to 567,468 sales.

Australians are also paying more to secure a car with used car prices up 40% compared to February 2020; and new car prices increasing by 7.4% over the past 12 months.

Fordham Group partner David Buckley says several factors are contributing to this trend.

“During the past 18 months or so, dealership profits have doubled or in some cases tripled,” Buckley says.

In fact, profit results from two of Australia’s leading, ASX-listed dealerships have increased four-fold and even 17-fold say the co-agents.

In the last financial year, Peter Warren

Automotive sold 30,000 vehicles achieving a net profit of $37.5 million. This is 400% up on last year. In addition, Eagers Automotive also reported huge results, with net profit increasing to $202 million from $11.8 million a year ago.

Buckley says it is a supply versus demand scenario. COVID-related logistic issues and a severe lack of semiconductors has brought about supply shortages from all manufacturers in Australia. “Demand for cars has rocketed because of a severe 60% drop in public transport use as commuters seek to avoid exposure; a growing move to domestic road travel for holidays; and a significant influx of expats returning home,” Buckley says.

Peter Warren Automotive chief executive Mark Weaverly says there is still pent-up demand and people are deferring spending for a while and will be back with a vengeance later in 2021.

Buckley says many dealership businesses have transacted during the COVID period with larger players looking for opportunities to consolidate their operations.

“Large groups and listed corporations are actively advertising and pursuing dealership businesses and some businesses that were worth $5 million two years ago are worth $10 million today,” he says. “These favourable trading conditions for dealership businesses are not abating.”

PRESTON MOTOR GROUP DIVESTING CHADSTONE DEALERSHIP SITES

NEWSTALK

4 SEPTEMBER 2021Australia

NEWSTALK

Research undertaken by YouGov and commissioned by Autotrader, reveals that 50% of Aussie

drivers don’t consider themselves knowledgeable about cars.

The research shows, too, that being prepared builds confidence.

To support the owners of more than 20 million registered motor vehicles in Australia, Autotrader’s online marketplace gives buyers access to tools, information and insights to help build confidence and get a fair deal when buying a vehicle.

Three in four (77%) Aussie drivers aged 22 to 54 say that quality/reliability of a secondhand vehicle is important in constituting a fair deal for both the customer and dealer.

And there’s an opportunity to now focus on “win win” situations.

To help with this, Autotrader has introduced its vehicle history check and pricing advisor to its platform.

Using it, customers can check quickly the history of the vehicle to understand its servicing, work completed on the vehicle or if it has been in any accidents or collisions.

The pricing advisor tool provides a third-party assessment of the vehicle's value based on a variety of independent factors.

“Our mission at Autotrader is to help Aussies get a fair deal when purchasing a second-hand vehicle and make the overall experience a win-win for both the buyer and the seller,” says Autotrader’s head of motors Richard Dicello.

“Australia has long been divided between those who are ‘car people’ and those who aren’t.

“For those who aren’t, a key time they wish they knew more about cars is when they’re buying or selling one to make sure they’re getting a fair deal.

“As such, we’ve enhanced our offering to level the playing field between

those who are car people and those who aren’t to make sure that everyone looking to buy or sell a vehicle on our platform is armed with the tools, knowledge and information to boost their confidence and ensure they walk away feeling satisfied they’ve achieved a great deal.”

The survey shows 81% of Aussie drivers who are “very” (29%) or “somewhat” (52%) confident when looking to buy a secondhand car agree they got a “great” or “fair” deal the last time they made a purchase, compared to the 17% who are “not very” (14%) or “not at all” (3%) confident.

Autotrader has enlisted the support of Dr Tim Sharp, a behavioural psychologist and founder of The Happiness Institute, to help educate and empower Australians to feel confident in their buying decisions.

“There are plenty of ways you can achieve the best outcome when making a considered purchase,” says Sharp.

“A vehicle is the second – if not the – most expensive asset most Australians will own.”

Sharp says there are three helpful tips to build confidence and get a fair deal when making a considered purchase:

1. Do your research. Build information and knowledge on what you’re looking to buy and what the value and history of that product is. Enlist support of people around you who are experts in the category to come armed with information when it comes time to buy.

2. Practice negotiation. Ask yourself: “what is the price I want to pay, and what am I willing to pay?” Be prepared to find value in more than just the final price.

3. Imagine a successful outcome. When it comes to what a successful transaction looks like, imagine what you want to achieve and the steps you need to take to get there.

DON’T LET NEGOTIATION GET IN THE WAY

When it comes time to seal the deal, negotiation can be a big roadblock between walking away happy or with buyer’s remorse.

The research shows that 64% of Australian drivers aged 22 to 54 feel very uncomfortable in haggling and negotiating about price.

But 79% say they would be more confident in buying a secondhand vehicle if they were given insights and tips on what to look for and check when buying.

“When completing a major purchase, the factors that affect pricing can play a major part in our psychological wellbeing,” Sharp says.

“We typically experience a range of emotions in the lead-up to and during the purchase, from anxiety to excitement.

“However, when we focus on the positive emotions and let that guide our decisions, we typically walk away with a fairer deal and a better experience as a result.

“The best way to do this is be prepared and do your research,” Sharp adds.

“By building your knowledge and information, you’ll be in a better place to achieve a successful outcome.”

EMPOWERING BUYERS TO SECURE A FAIR DEAL

RICHARD DICELLO AUTOTRADER GROUP DEALER SALES DIRECTOR

5SEPTEMBER 2021 Australia

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Inchcape Australia has promoted former Peugeot Citroen public relations manager Chloe Fraser to

group public relations and corporate communications manager. Fraser will be responsible for internal and external communications for all Inchcape Australia operations and remain involved in public relations for Subaru Australia and Peugeot Citroen Australia. She has extensive experience in the automotive industry, both as a former automotive journalist and within Inchcape. Throughout her Inchcape career, Fraser has worked in the Trivett retail business with responsibility for their digital offerings, at Subaru Australia as the assistant public relations manager, and most recently as the public relations manager for Peugeot Citroen Australia. Under the new structure the public relations managers of Subaru and Peugeot Citroen Australia will report to Fraser as part of a newly formed public relations and communications team.Inchcape Australia operates the AutoNexus logistics operation as well as distributing Subaru and Peugeot Citroen vehicles, and its Inchcape retail outlets. "The new communications team enables Inchcape to further enhance its public relations and communications activities across the entire Australian business," says Inchcape Australia

managing director Colin Christie. "Encompassing logistics, distribution and retail, Inchcape Australia's operations place the company in a unique position in the local market,” says Fraser."All three brands have a strong history coupled with a current range, and future pipeline of vehicles, that present compelling offerings to Australian consumers. "However, Inchcape Australia's operations expand beyond distribution and I look forward to sharing the successes and innovations from our retail and AutoNexus operations as well," she adds. Following the announcement of David Rowley's upcoming retirement and Fraser's new appointment, recruitment for the roles of Subaru Australia and Peugeot Citroen Australia PR managers has begun.

INCHCAPE APPOINTS FRASER AS GROUP COMMUNICATIONS MANAGER

CHLOE FRASER

6 SEPTEMBER 2021Australia

Volvo Cars Canberra officially opened its new facility in Phillip, ACT, on July 1, following a multi-

million dollar building renovation that took more than nine months to complete.

Located next door to the Phillip Mitsubishi dealership, the new Volvo showroom meets the Swedish brand’s current corporate identity requirements for what it calls the Volvo Retail Experience (VRE).

The facade of the striking rectangular building is a glazed curtain wall which is part of the VRE design that has been replicated across most other Australian

Volvo Car dealerships and in global markets.

The design is based upon the Scandinavian concept of contrasts, “cool on the outside, warm on the inside”.

It juxtaposes the coolness of the glazed exterior with an interior featuring the warmth of wooden floors and ceilings, comfortable furnishings and sleek fixtures, Customers can also view the service department in operation.

Inside the premises the VRE design dictates a layout which includes an open plan reception area and “Living Room” for guests to relax in.

A range of new Volvo cars is displayed in “The Street” section and buyers can choose their preferred colour and trim options in the showroom space designated “The Studio”.

Dealer principal Chris Mullins says the official opening completes a journey which began three years ago when the Janrule Automotive Group acquired the Volvo Car franchise for Canberra.

“The old dealership location wasn’t suitable for the brand, so we moved the business into an area that was more of an automotive destination which has a better street presence and also provides our customers with a better Volvo customer experience,” Mullins says.

“We’ve still got a few minor finishing touches to add once we get out of the current lockdown, such as signage, as currently we’ve had members of staff positioned in the driveway to direct guests to the appropriate parking area,” he says.

Furthermore, the new Canberra dealership also provides the new Volvo

DEALERTALK

SALES LIVINGROOM AND RECEPTION SERVICE LIFESTYLE DISPLAY

PROVIDING A BETTER VOLVO RETAIL EXPERIENCE IN CANBERRA

to page 7...

7SEPTEMBER 2021 Australia

DEALERTALK

Personal Service (VPS) where customers who bring their Volvos in for a routine service are greeted and checked in by the technician who will work on the vehicle.

“If the car has a particular condition, then the customer can explain it directly to the technician,” says Mullins. “It’s not coming second hand via the service advisor, and if needs be they can go for a drive together to experience or diagnose whatever the condition is.”

As the brand has begun its electrification programme with the arrival of plug-in hybrid electric vehicles (PHEV) and the XC40 Recharge battery electric vehicle (BEV), Volvo Cars Canberra has installed eight charging points on site.

There are a couple of high-voltage Type 2-CCS chargers suitable for the XC40 Recharge and regular Type 2 outlets for PHEVs.

Mullins says the dealership currently uses a power management system to control the amount of electricity available for charging vehicles.

In time he hopes for local power grid upgrades, and that the company will be able to install solar panels on the building as a back-up to the national grid.

Mullins says that in Canberra the Volvo is popular with senior public servants and business owners who may run a fleet of three to four vehicles. He says the brand retains a loyal database of repeat customers.

In the Australian Capital Territory, PHEV, BEV and hybrid vehicles are exempt from stamp duty. In addition, BEVs receive two years’ complementary registration, while PHEVS receive a 40% discount on the first two years of registration.

Mullins says this state support has incentivised both current Volvo owners and new customers to move into the new range of electrified vehicles.

Volvo Australia is retailing the new XC40 Recharge through an online agency model, where customers choose their new car online, and then it’s delivered

by an authorised dealership like Volvo Cars Canberra.

Mullins says for now that process is a hybrid set-up and Volvo Car dealers are still required to hold demonstrator vehicles for customers to try.

He says when Janrule Automotive Group bought the Volvo Cars Canberra business it was selling eight to 10 cars a month and now the dealership sells more than 20 a month and is aiming for 30.

“Prior to the current lockdown, sales were tracking well as Volvo is a growing luxury brand in Australia and overseas,” he says.

“But like many other brands we’ve been constrained by supply from the factory, and we’re delivering every new car we can source.”

...from page 6

VPS WORKBAY #1 STUDIO

8 SEPTEMBER 2021Australia

Eagers Automotive chief executive Keith Thornton has told investors that the easyauto123 national

fixed price used car brand continues to grow with significant year-on-year improvement since the completion of the AHG merger.

The listed new and used car retail group has reported a statutory profit after tax for the first half of the 2021 financial year (1H21) of $202.3 million including discontinued operations.

It’s a significant increase from $11.8 million in 1H20.

Revenue for 1H21 was $4699 million up from $4115 million in 1H20.

“A key driver of our strong financial performance has been the deliberate action we’ve undertaken to simplify our business and reduce our cost base,” Thornton says.

“We continue to experience strong demand for new vehicles, with an increasing order book due to supply constraints.

“Our geographic diversity and scale enable us to capitalise on recovery in the new vehicle market across all regions, and mitigate the impacts of localised COVID-19 government restrictions.

“While the company remains positive about the outlook for the second half of 2021, we’ll continue to monitor the evolving COVID-19 situation, the associated effects of lockdowns in key markets, and the ongoing supply situation,” he says.

Eagers Automotive says in a shareholders’ report to the Australian Securities Exchange (ASX) that it made substantial progress in the first half of the 2021 financial year with its ongoing Next100 Strategy.

It says it expanded the fixed price, pre-owned easyauto123 business on a more efficient cost base, including a new site in Sydney and multiple new locations in Auckland, New Zealand.

Eagers Automotive says it will continue to roll out easyauto123 stores with a new location opening in Townsville in the second half of 2021.

In 2022, it plans to open a flagship easyauto123 store at the Auto West Mall in Indooroopilly in Queensland.

It will also open the first easyauto123

stores on the Gold Coast and in Tasmania, and a second store location in Sydney and Melbourne.

Eagers says it developed integrated technology solutions leading to an acceleration in online sales capability and providing a platform for future productivity gains.

To fulfil its intention to simplify the business, it completed the sale of the Daimler Trucks business in April and divested itself of 360 Finance and two non-core dealerships.

Eagers says the post-AHG merger property portfolio rebalancing is ongoing, with the recent exit of some leased locations and the acquisition of some strategic dealership sites, which it leased previously.

MARKET DEMAND REMAINS STRONG Strong economic conditions and changes in consumer behaviour, primarily in response to the impacts of COVID- 19, generated strong demand for new vehicles in 1H21.

There was a 28.3% increase in the new car market compared to the first six months of 2020 according to Eagers Automotive.

Those market dynamics are buoyed further by demand continuing to outstrip supply, with the company’s order bank increasing month-on-month over the last six months.

The new car market continues to be driven by strong consumer demand, with favourable economic conditions and changes in social trends and consumer behaviour contributing to a strong recovery from the prior period.

That period was impacted heavily by the onset of the COVID-19 pandemic, Eagers says.

Federal Chamber of Automotive Industry statistics show the new car market was up 28.3% compared to the first six months of 2020.

The larger markets of Queensland, New South Wales and Victoria recorded sales increases of 33.9%, 29.1% and 22.3% respectively.

Other markets also recorded increases, with South Australia up 29.1%, Western Australia up 39.4%, and Tasmania up 36.0%, Eagers reports.

It says the increase in new vehicle sales over the previous corresponding period

was experienced across most buyer types, with private sales (+38.7%), business sales (+14.4%), and rental sales (+82.8%) all up, with only Government sales down (-9.3%).

The luxury vehicle segment share contracted from 12.4% to 11.0% during the period, but still recorded good growth, up 14.3% on the previous corresponding period.

Though sales of plug-in hybrid and electric vehicles grew 139.6% it was from a very low base with traditionally-fuelled vehicles still accounting for 99% of all recorded new vehicle sales.

Nationally, the heavy commercial segment recorded a 26.4% increase with significant increases in light duty (+38.8%) and heavy/medium duty (+14.0%).

Eagers says it has started the second half of 2021 strongly, benefitting from its geographic diversity with unusually strong demand continuing in regions across both Australia and New Zealand which are operating with limited or no government restrictions.

Eagers says it has a very strong presence in the new car markets of Western Australia and the Northern Territory and a strong presence in Queensland, South Australia and Tasmania but says there are still growth opportunities in the new vehicle retail markets in NSW, Victoria and New Zealand.

NEWSTALK

EASYAUTO123 DRIVES EAGERS’ PROFITABLE FIRST HALF

KEITH THORNTONEAGERS AUTOMOTIVE CHIEF EXECUTIVE

9SEPTEMBER 2021 Australia

NEWSTALK

Calling itself the Australian used car market disruptor, CARS24 launched its online marketplace on

September 1.

It has established physical operations in Victoria, Queensland and New South Wales and has plans to operate in eastern and southern states by the end of 2021.

CARS24 says its unique selling point is that it owns every car it sells, unlike existing online marketplaces that facilitate buying through a dealer or between private sellers.

It says this ensures quality control from sourcing through to delivery and warranty.

CARS24 says it offers Australians an online used car buying experience – from the comfort of their own home, with purchase in under five minutes with the vehicle delivered direct to their door.

It uses a 300-point inspection to ensure car quality. That involves technicians checking and testing every aspect of the car – and refurbishing, reconditioning and removing major imperfections before it’s delivered to the customer.

CARS24 offers seven-day returns with 100% money-back guarantee. Every car also comes with a six-month unlimited

warranty and free at-home delivery.

The former UberEats ANZ head of consumer strategy and operations Olga Rudenko is leading the CARS24 launch in Australia as its chief executive.

She says the start-up business has hired more than 130 staff and begins operations with more than 1000 vehicles in stock.

The average age of a CARS24 used vehicle is five years, with an odometer of 70,000km and price of $25,000.

“When it comes to buying a car, there’s still so much involved. You can certainly find cars online,” Rudenko says.

“But then you have to inspect them and hope that you won’t be duped, either on price from dealerships or on their condition through private sellers, which can make the entire process very stressful.

“Being able to order a car in under five minutes with all the financing taken care of and ability to return within seven days at no cost is an absolute no-brainer.

“We’re here to bring this new way of buying used cars to Australia,” she adds.

DISRUPTING AUSTRALIA’S USED CAR MARKET?

LEFT TO RIGHT: JUSTIN ACOSTA, QUALITY CONTROL MANAGER, YUSUF ABDULAHI GENERAL MANAGER MELBOURNE, ERIN WILLIAMSON CCO, OLGA RUDENKO CEO,

MATTHEW LONG HEAD OF REFURBISHMENT VIC - CARS24 AUSTRALIA

A CARS24 DELIVERY UNDERWAY

10 SEPTEMBER 2021Australia

The Australian Automotive Dealers Association says dealers are busy at the coalface implementing

new procedures around finance and insurance rules as well as changes in franchise regulation, and dealing with state lockdowns.

Dealers are also struggling with the supply of new and used vehicles, says AADA chief executive James Voortman.

“Dealers are delivering good numbers, but most of that reflects orders placed in preceding months,” he says.

“Who would have thought we’d be in a market where demand outweighs supply to this extent. It’ll be interesting to see how long it lasts,” he says.

“The lockdown in Sydney is starting to bite. Dealers can do click and collect and to date have probably benefitted from the order banks they’ve delivered as a result of the shortage. But now it’s becoming tough.

“Workers who have been stood down are receiving payments from the Federal Government, but dealers have been excluded from accessing business support payments because the eligibility criteria looks at turnover and not profits – this will always count against dealers.

“Meanwhile, dealers have no rent relief, and they have bills piling up, so it’s becoming quite tough for many of them,” Voortman says.

UNFAIR CONTRACT PROPOSAL WELCOMED

The AADA is applauding proposed legislation to expand unfair contract term (UCT) protections.

Following consultation, the Government has released an exposure draft bill which, among other changes, increases the eligibility threshold for the protections from businesses employing less than 20

employees to those employing less than 100 employees.

“This is another step forward for Australia’s new car dealers and if this proposal becomes law, many dealer groups in rural and regional areas as well as stand-alone franchises will benefit from these protections,” Voortman says.

“Allowing more dealers to benefit from UCT protections will hopefully see changes to dealer agreements which currently often contain terms which are heavily skewed in favour of their car manufacturer franchisors,” he says.

“We hope that these changes together with recent changes made to Australia’s automotive franchising regime and the protections that already exist for dealers in New South Wales will see fairer dealer agreements start to become the norm.

“The AADA will continue to pursue the extension of these protections to all franchised new car dealers due to disparity in size between dealers and the large car manufacturers to which they are franchised.

“Australian car dealers desperately want strong and respectful relationships with their manufacturers characterised by agreements which are fair and reasonable.

“We would like to thank the assistant treasurer Michael Sukkar for driving these reforms. It is also important to thank ACCC chair Rod Sims, who has consistently advocated for these protections to be extended,” Voortman says.

CONVENTION RESCHEDULED TO MARCH 2022

Due to ongoing COVID-19 restrictions, the AADA has decided to reschedule the “2021 Future Focused” convention and expo to March 8-9, 2022 at the Brisbane Convention and Exhibition Centre.

It says the COVID-19 pandemic has

played havoc with every aspect of life and made it impossible to make plans reliably.

The AADA hopes that by March 2022 restrictions will have eased enough to allow freedom of movement in Australia.

“Whilst the planning for the AADA convention and expo provides for virtual attendance, our commitment is to deliver a fully engaged on-site event.

“Feedback from the dealer membership and allied partners indicates clearly that this is their wish also,” Voortman says.

“Our industry faces many challenges on key policy and business fronts.

“We believe that the true strength and appeal of the AADA convention and expo is that it brings dealers and allied partners together, in the flesh to listen, discuss and debate solutions and strategies which will drive our industry forward.

“It’s our belief that the rescheduled dates provide us the necessary time to minimise future risk and ensure that our industry can get together at a great event in March 2022,” he says.

“We look forward to seeing you there.”

DEALERTALK

JAMES VOORTMANAADA CHIEF EXECUTIVE

SYDNEY LOCKDOWN STARTING TO BITE DEALERS

11SEPTEMBER 2021 Australia

NEWSTALK

PARTS SHORTAGES DELAY LANDCRUISER 300 DELIVERIES

Toyota Australia says LandCruiser deliveries to customers will be delayed.

It says that LandCruiser production in Japan has been halted for part of August and most of September because of COVID-19 restrictions in Southeast Asia that have led to parts shortages.“However, a limited number of vehicles

will be in dealerships as demonstrator models nationally from early October,” Toyota Australia says.

That will give customers the chance to experience the new LandCruiser first-hand, including through test drives, as permitted.

“Toyota Australia is continuing to work closely with our global production team to provide the latest information for

dealers and to support our customers.

“Our dealers are contacting customers who have placed orders for the new LandCruiser 300 to update them on developments regarding their vehicle.

“Due to this evolving situation, Toyota will continue to provide updates as global production is confirmed.”

Communication and payments platform for local businesses, Podium, has launched a COVID-19

relief package to help keep Australian small businesses operating during ongoing lockdowns.

It’s offering free access to solutions including Text-to-Pay, Campaigns, Videochat, and Teamchat as part of the relief package.

The package is available to all single-location Podium customers both new and existing until November 30, 2021.

“Our community of Australian small businesses are a vital part of the Australian economy and these recent lockdowns have significantly impacted their operations and their ability to continue servicing their customers,” says Podium country manager Dave Scheine.

“COVID has altered consumer expectations. However, it has also created new opportunities to win customers online.

“Our services enable businesses to create or advance online strategies that have proved business-critical in the face of unpredictable lockdowns.

“We hope this package provides relief and assistance to those impacted for them to stay in touch with their customers without having the additional burden of mounting costs, for the next few months,” Scheine says.

“The COVID-19 lockdowns have forced the closure of our showrooms and

only allowed our workshops to keep operating for critical repairs,” says Jax Tyres & Auto marketing executive Thibault Roumagoux.

“Podium helped us to stay connected with our customers stuck at home.

“Videochat gave us this opportunity to keep delivering our peace of mind driving promise, with an industry-first complimentary Video Jax Vehicle Inspection.

“By offering additional avenues of communication, we’re able to continue engaging with our customers which has proved especially valuable for those who urgently require assistance during this tough time."

The COVID-19 relief package solutions include:

• Text-to-Pay: With Podium Payments, businesses can send payment requests by message rather than asking them to come in or taking credit card information over the phone.

• Campaigns. Enable businesses to send targeted SMS promotions to up to 100 customers per month with promotional messages that drive repeat business.

• Videochat. Speaking face-to-face with customers and answering questions instantly allows small business owners to continue doing what they’d normally do in person.

• Teamchat. Teamchat is designed to keep teams connected in the same platform where they communicate

with customers daily so that everyone has the context they need for their next conversation.

Through its SMS-based platform, Podium helps local businesses receive more reviews, collect payments, send SMS campaigns, and centralise their communications, all on the channels their customers prefer.

Podium’s centralised platform aggregates communications from channels like Google, Facebook, and Instagram.

Since March 2020, when the first lockdown began, Australian businesses have sent nearly six million messages and received nearly 200,000 reviews through Podium.

Facilitating millions of customer interactions, like driving customer-generated online reviews and providing improved customer messaging tools, Podium serves more than 90,000 businesses in Australia, the United States, and Canada.

DAVE SCHEINECOUNTRY MANAGERPODIUM AUSTRALIA

PODIUM UNVEILS SMALL BUSINESS RELIEF PACKAGE

12 SEPTEMBER 2021Australia

NEWSTALK

According to official VFACTS figures Subaru Australia enjoyed a 4% market share in August

with more than 3232 new vehicles sold across the dealership network.

In addition, August represented a significant milestone for the Subaru brand, achieving its 150,000th Outback sale. Launched in Australia in 1996, the Subaru Outback has won multiple accolades and pioneered the crossover segment, offering the ideal vehicle for Australians pursuing active lifestyles says the brand.

Earlier this year, Subaru launched the sixth generation Outback in the Australian market, offering customers a choice of three variants.

During August, Subaru Australia says the brand continued to outperform

the market with sales figures increasing 57.5% for the month, compared to a market increase of 33.1%.

Subaru’s year-on-year sales are up 29.3%, against the market of 27.2%.

Sales success for Subaru throughout August was led by the Forester with 1104 sales up 55.1% for the month, compared to its segment increase of 0.1%.

It says sales of the XV totalled 951, up 76.4% for the month, compared to its segment increase of 33.0%.

The new Outback achieved 611 sales, up 100.3% for the month and 96.4% YTD.

The Impreza achieved a 111.7% increase for the month, compared to its segment increase of 34.5%, contributing 453 sales to Subaru’s

overall tally says the distributor.

“August represents another successful month for the brand and our dealer network as more Subaru’s continue to find their home with new and returning customers,” Subaru Australia general manager Blair Read says.

“We couldn’t be prouder to celebrate the 150,000th Outback sale during August, a vehicle that has resonated deeply with Australians for generations.

“It is fitting we celebrate this remarkable milestone in the year we launch the sixth generation, all-new Subaru Outback that not only epitomises all the qualities that have made it famous, but elevates its appeal with enhanced technology, refinement and crossover ability.”

SUBARU CELEBRATES 150,000TH OUTBACK SALE IN AUGUST

NEWSTALK

FIRST RHD C8 CORVETTE CONVERTIBLE HITS THE ROAD

The first factory-built right-hand-drive C8 Corvette to registered in Australasia will soon be on the

road in Melbourne, Victoria.

The new C8 3LT Convertible is part of the GMSV head office fleet in Melbourne and will be used for right-hand-drive engineering validation for Australia and New Zealand.

“This is a significant milestone for GMSV and while we would have loved to have celebrated with more fanfare, we have had to adjust our plans in light of Covid-19 and lockdown restrictions,” GMSV director Joanne Stogiannis says.

“It is an exciting time for Corvette fans in Australia and New Zealand, as later this month our right-hand-drive C8 Corvettes are due to go into regular

production at the Bowling Green Plant in Kentucky.”

For the team at GMSV, launching a car such as the Corvette during a global pandemic has presented its own unique set of challenges.

“We always wanted the arrival of C8 to be a special experience - but the situation in which we find ourselves means we have to adapt,” Stogiannis says.

“We’re just as excited as all Corvette enthusiasts and owners-to-be to see one on the road and want to assure our fans that we have activities planned for when restrictions allow to showcase this vehicle.

“We can’t wait to see more of these

factory-built right-hand drive models on our roads in coming months and look forward to engaging with owners and clubs around Australia and New Zealand,” she says.

13SEPTEMBER 2021 Australia

During the 2020 financial year Nissan Australia announced changes to its Dealer Excellence

program saying the exclusive Nissan Elite Master dealer award would be the ultimate prize for dealerships.

The Nissan Elite Master Dealer award is a national recognition of the “best of the best” for metropolitan, provincial and rural dealerships. The criteria for Elite Master Dealer status requires the winning dealerships to excel in more than 20 key performance indicators along with network dominance in customer experience ratings in both sales and service operations.

Ringwood Nissan has been announced and awarded as the Metropolitan Award winner in a pool that included 63 other top metro dealers across Australia.

As part of the Yarra Valley Motor Group, Ringwood Nissan’s sister dealership, Yarra Valley Nissan, p[laced sixth in the awards, highlighting that the two dealerships are very customer focused.“On behalf of the entire team, I’m proud for Ringwood Nissan to be recognised as the number one metro dealer in Australia for FY 20/21,” says Ringwood Nissan dealer principal and group chief executive Danny Heffernan.“With the criteria being based on overall dealership performance including sales, service, parts and customer satisfaction, this achievement is the result of a sustained, collective effort, not by individuals, but by a team of great people with a shared commitment and passion to achieve. “It’s amazing what a team can achieve when they share a common goal to provide our customers with outstanding

customer experience,” Heffernan says.

Nissan Australia sales director Ian Moreillon: “I’ve known Danny and his team for many years and this award is a testament to the hard work and dedication that Ringwood Nissan have applied in the past nine years since opening their new dealership.

“This hard work and dedication in delivering exceptional customer experience sees them being afforded an inaugural Nissan Elite Master Dealer and the number one metropolitan dealership in Australia.

“I would also like to congratulate dealer principals John Nash from North Jacklin Nissan in Mackay and Chris Eschler of Great Lakes Nissan in Tuncurry on winning the Provincial and Rural Elite Master Dealer Awards for FY20.

“Like Ringwood Nissan, both of these dealerships excelled in delivering an exceptional customer experience journey for all those that stepped foot inside their premises,” Moreillon says.

RINGWOOD NISSAN WINS INAUGURAL METRO ELITE MASTER DEALER AWARD

WERRIBEE NISSAN CELEBRATES 25TH YEAR OF OPERATION

Western Automotive Group – Werribee Nissan is celebrating its 25th anniversary with a

month-long promotion of give-away prizes with every vehicle sold.

The chief operations officer Kelly Van Blommestein and managing director Conrad Taylor are acknowledging their

staff and suppliers for the support which they’ve received from them during the past 25 years.

“Without our trusted partnership in Nissan, reliable vendors, and an incredible team of passionate and dedicated employees, we would never be able to maintain our mission of

providing customers with the best customer experience,” they say.

“It’s been a great achievement for everyone who has been involved with the dealership over the past 25 years.”

NEWSTALK

IAN MOREILLON AND DANNY HEFFERNAN

14 SEPTEMBER 2021Australia

Strong used vehicle residuals in the Australian, New Zealand and British markets have boosted profits for

listed vehicle leasing and management company SG Fleet Group.

SG Fleet says high customer demand for new vehicles in Australia, New Zealand and the United Kingdom coupled with supply chain restraint has created a strong forward order bank to be carried into the new financial year.

Demand has also created exceptional residual values boosting end of lease income.

SG Fleet also completed buying LeasePlan’s business in Australia and New Zealand as of September 1.

For financial year 2021 (FY21). SG Fleet reported a net profit after tax (NPAT) of $43.7 million.

Underlying NPAT, which excludes $8.9 million in costs related to the LeasePlan acquisition, was $51.6 million, up 41.8% on FY20.

Total net revenue for the full financial year was $198.2 million, up 15.0% on the previous year.

SG Fleet chief executive Robbie Blau says the businesses in Australia, Britain and New Zealand continued to perform strongly in the second half of the financial year, while activity levels in the Australian novated segments improved significantly.

“The value of used vehicles remained at exceptional levels in all three countries, boosting our end of lease income,” Blau says.

“As a consequence of the delivery challenges we faced, the order pipeline at year-end almost doubled on the previous year, which means a significant number of orders will spill into the current financial year.

“Supply disruption is unlikely to see much improvement during this half, with global manufacturing levels taking some time to recover, and we expect secondhand vehicle values to normalise gradually.”

The Australian corporate segment continued to perform strongly in the first half, with the new business opportunity pipeline growing steadily

throughout the period.

SG Fleet again registered several uncontested contract renewals and tender wins.

Increasing interest in the company’s growing range of products and services focused particularly on fleet efficiency and safety.

Use of the Bookingintelligence asset management solution reached record levels, registering 1.2 million transactions for the full financial year.

The company is seeing increased demand among larger customers for the eStart electric vehicle (EV) fleet transition solution as emission reduction strategies are high on government and corporate agendas.

SG says customers also continued to opt for more flexible arrangements like subscription services.

The novated segment produced a strong overall improvement during the second half.

The business maximised the benefits of improving consumer sentiment by revitalising its marketing approach.

A better digital experience for customers also allowed for a more targeted approach, ensuring strong retention of existing accounts.

The United Kingdom experienced an improvement in fortunes in the second half as it continued to open up, seeing economic activity and vehicle

registrations rebound.

Light commercial vehicle demand was particularly strong, and the UK business catered for it with its niche offering.

Tax breaks on lower-emission vehicles boosted business, and consumer interest in hybrids and EVs triggered demand in the eStart solution.

The New Zealand economy continued to recover from the effects of COVID-19 during the half, with general sentiment improving, and businesses becoming increasingly confident to invest and hire.

Tender activity was steady, with competitive behaviour largely rational.

As in previous periods, several accounts were converted from managed-only to funded as cashflow management remained front of mind. Additional wins in the energy sector were also registered.

”One particular aspect of the tender requests and business opportunities we saw in New Zealand was the larger proportion of demand for our EV and mobility solutions,” Blau says.

“We’re delighted to see that trend accelerate as it plays into our expertise in that market.

“More opportunities are on the horizon for us there as we strengthen our market position.”

USED VEHICLE VALUES BOOST SG FLEET PROFIT

NEWSTALK

15SEPTEMBER 2021 Australia

Sam Zadgan is joining carsales’ media leadership team as its general manager of commercial

partnerships and media.

He’ll manage strategic commercial partnership opportunities and innovation across carsales’ portfolio. Zagdan is also tasked with building on existing supporting solutions to key industry challenges, and enhancing carsales’ media and service offering.

“He’ll be a key contributor in the transformation of our media business,”says carsales media commercial director Vanya Mariani.“Sam will lead our partnership conversation to ensure our core customers can leverage more than our audience size and attention.”Zadgan has more than 20-years of experience in the field. He worked at Publicis Media Australia as general

manager, and held commercial roles at Dentsu Aegis Network, BBC Studios and Verizon Media.

He says carsales is a data and audience-rich business with a history of innovations in technology.

“Even with the strength of the company, its products and teams have demonstrated to date, it retains almost untapped potential as a digital disrupter,” Zadgan says.

“I look forward to building our partnerships and reinforcing and expanding the long-term relationships across the media ecosystem.“My previous interactions as well as the reputation of carsales as a great business with great people, was a strong attraction for me.

“I’ve experienced an entrepreneurial and natural, down-to-earth

atmosphere, throughout the business which is energising to be a part of.

“I’m thrilled to be working with the media leadership team to innovate commercial opportunities and tackle the next phase of the carsales media business.”

ZADGAN APPOINTED CARSALES’ COMMERCIAL GENERAL MANAGER

Honda says it will reconsolidate all of its national Australian operations back into one

location in the northern wedge of Melbourne by the end of 2022.

The move will see the two main divisions of Honda in Australia – Cars (Honda Australia) and Motorcycles and Power Equipment (Honda Australia MPE) – share a single head office for the first time since MPE moved to a separate facility in 1991.

The current automotive business headquarters has been located on Sharps Road in Tullamarine for more than 40 years.

Honda’s Motorcycle and Power Equipment business is currently located on Sydney Road in Campbellfield.

Honda says it’s Australia’s favourite motorcycle brand and enduring market leader, and has a strong presence in lawn and garden business, portable power generation and marine outboard motors.

The Honda Manufacturing Australia (HMA) lawnmower factory in Somerton and the Honda Australia Rider Training (HART) facilities in Somerton and

Kilsyth will continue to operate from their existing locations.

Further development of the Somerton site is under consideration as part of the plan to strengthen Honda’s local operations, the company says.

Honda Australia director Stephen Collins says the COVID-19 pandemic has changed where and how people work.

“It’s now time that we invest in new facilities to continue serving our customers in the decades ahead,”

Collins says.

“Prioritising this next step now will enable us to better cater for our employees and their needs with improved facilities and the latest workplace solutions.”

Plans for the new head office are being developed, but it’s set to remain in the northern wedge of Melbourne says Honda Australia.

HONDA RECONSOLIDATING AUSTRALIAN OPERATIONS

NEWSTALK

SAM ZAGDAN

16 SEPTEMBER 2021Australia

New car sales in New Zealand fell off a cliff in August when one community case of the COVID-19

Delta variant saw the Government shut the entire country down at 11.59pm Tuesday, August 17.

The snap alert level 4 lockdown saw registrations of new vehicles fall more than 36% in August to 6746 units compared to 10,610 vehicles in the same month of 2020.

Under New Zealand’s alert level 4 all car dealerships must remain shut, and they can only service and repair vehicles of essential workers by prior appointment.

The August sales are 45% lower than the three previous months of May, June and July 2021, reports the Motor Industry Association of New Zealand (MIA), the body that represents the new vehicle franchise industry.

The Ford Ranger was the best-selling model overall, followed by the Toyota Corolla and the Toyota RAV4.

Year-to-date there have been 106,498 vehicles sold compared to 76,572 to end of August 2020, an overall increase of 39.1% (29,926 units).

There were 350 battery electric vehicles (BEVs), 81 plug-in hybrids (PHEVs) and 804 hybrid vehicles registered in

August.

WHAT ARE KIWI CONSUMERS BUYING?

The top spot for August 2021 went to the SUV Compact vehicle segment with 22% share, followed by the Pick-up/Chassis 4x4 segment with 16% market share, and then SUV Medium also with 16% share.

Year-to-date, compact and medium SUVs are the strongest segments in the NZ market.

Year-to-date, 56% of the market is small to medium sized vehicles.

Toyota remains the overall market leader with 23% market share (1578 units), followed by Ford with 12% (817 units) and Mitsubishi third with 10% market share (673 units).

There were 328 light and 22 heavy fully electric vehicles registered in August. The top selling models were the Tesla Model 3 (191 units) followed by the MG ZS (56) and the Hyundai Kona (31).

There were 81 PHEVs registered in August. The top selling models were the Mitsubishi Eclipse Cross (28 units) followed by the Mitsubishi Outlander (23) and the MG HS (12).

Even though the second half of August was effectively shut down, hybrids

continued their strong growth with 804 vehicles registrations for the month.

The top selling models were the Toyota RAV4 (219 units) followed by the Toyota Corolla (150) and Toyota Camry (94).

Toyota and Lexus together accounted for 85% of the hybrid market in August (689 units).

Toyota regained the market lead for passenger and SUV registrations with 25% market share (1124 units) followed by Mitsubishi with 11% (513) and then Suzuki with 9% market share (412).

The top selling passenger and SUV models were the Toyota Corolla (447 units) followed by the Toyota RAV4 (302) and the Mitsubishi ASX (245).

NZ LIGHT COMMERCIAL SALES

Ford retained the market lead with 34% market share (729 units) followed by Toyota with 21% (454) and Mitsubishi third with 7% market share (160).

The Ford Ranger retained the top spot in August as the best-selling commercial model with 31% share (671 units) followed by the Toyota Hilux with 14% share (298) and the Toyota Hiace with 6% (136 units).

AUGUST NEW CAR SALES PLUMMET IN NEW ZEALAND

FORD RANGER RX4

NEWSTALK

17SEPTEMBER 2021 Australia

Many automotive industry workshops don’t have the luxury of an in-house workplace

health and safety (WHS) expert or someone who can manage statutory Return to Work (RTW) responsibilities.That’s why Motor Trades Care was set up to meet the specific needs of the sector.Motor Trades Care (MTC) was an Australian first, bringing together business owners, employees and the Motor Traders’ Association (MTA) of New South Wales in a new collaborative approach to workplace health and safety.MTC general manager operations, Trevor Ballantyne, says very few automotive industry workshops can manage both WHS and RTW obligations. “For many workshops, dealing with all of these types of workplace issues is just a big headache and an interruption to their business that they just don’t need, but is very important to, and a priority for, any employer,” Ballantyne says.“This is where Motor Trades Care can help automotive businesses, whether small, medium or large. We provide a full range of cost-effective programs to protect and care for the employees, by working to reduce workplace injuries, get injured staff back to work quickly, promote more sustainable worker insurance costs and most importantly improve staff morale.”MTC has multiple solutions tailored to automotive industry businesses.They include: Protect & Care, Ongoing Care, Care & Recover, as well as a Care Central online resource hub, all of which are accessible to MTA NSW members.More recently, MTC added a Safety Culture Diagnostic program and a Training and Education Centre to its arsenal of solutions. Protect & Care is a phased safety and wellbeing initiative from MTC that reviews a business and then develops and implements a customised program to achieve the best WHS outcomes.The Ongoing Care solution, provided by MTC’s WHS professionals, is an easily accessible and affordable suite of services to improve the ongoing workplace health and safety.The Care & Recover program is an end-to-end injury management solution provided by MTC to take the stress out of managing employers’ statutory Return to Work (RTW) responsibilities.Ballantyne says MTC’s Care and Recover Program has been designed specifically to co-ordinate an employer’s RTW

responsibilities without the need to recruit or retain staff to oversee the obligations and processes involved.MTC’s Care Central online resource hub is available to the entire industry sector. A free account provides access to MTC’s proprietary WHS and RTW strategies, policies, procedures, programs, checklists and reporting templates in one place.LEADING SAFELY PROGRAMMTC has launched a safety leadership training program developed in collaboration with Sentis, a national leader in safety culture transformation.The training program is tailored specifically to the needs of leaders within the motor trades industry. Sentis research indicates that leaders are critical in driving positive safety cultures, yet only 24% of them display strong safety leadership capabilities.“Our aim is to deliver a program that will not only be impactful, but that will also keep operational interruptions to a minimum. Partnering with Sentis on the Leading Safely Program allows us to achieve both these goals,” Ballantyne says. Sentis’ chief executive Anthony Gibbs says his company is “excited to have MTC as an official Sentis partner as we continue to engage like-minded businesses and their leaders to join us in creating healthy and empowered workplace cultures, and on our mission to change the lives of individuals and organisations for the better...”According to MTC, many leaders are promoted to positions of leadership without the opportunity to develop the safety leadership skills and capabilities needed to build a positive culture or, even more challenging, turn around a negative safety culture.MTC’s Leading Safely Program is designed for leaders from frontline level to senior executives and focuses on developing capabilities within a leadership team that will support an organisation to improve safety culture. This is an important step to ensure all leaders have a common set of effective leadership skills and are aligned to drive cultural improvement with a consistent leadership approach, says MTCIt says the success of developing and maintaining a strong safety culture relies on “authentic and transformational leadership” that drives cultural change through role-modelling expected attitudes and behaviours and to coach and influence teams towards a goal of “safety citizenship”.That’s a goal that would see all

employees go above and beyond to improve continuously the safety culture because they want to, not because they must.Based on a blended learning approach, Leading Safely features a mix of three self-paced online learning modules: a safety leadership assessment, two facilitated group application sessions via webinar, and optional leadership coaching pathways.MTC says the learning journey is “built on best practice instructional design and has been carefully crafted to support the transfer of learning concepts back into the workplace, so organisations can be confident it will support a positive shift in attitudes and deliver results”.The learning framework and interactive online platform supports training transfer by “creating motivation, minimising cognitive overload, supporting active learning with staggered learning phases and focusing on practical application”.Leading Safely will build a consistent approach to safety leadership within an organisation and provide a common language and set of tools that leaders can use to build a positive safety culture, says MTC.“Leaders will understand the goal of safety citizenship and how their behaviours and expectations can support their team to achieve the vision.”MTA NSW chief executive Stavros Yallouridis says the association constantly seeks ways to grow its value proposition for members. “We know that work health and safety and return to work can be a challenging prospect for many businesses and we see value in providing programs and services that can help our members and the broader industry overcome them. “We’re proud of our partnership with MTC. It’s doing great things for the industry and has our full support when it comes to designing and delivering solutions that add value to our members, from an employee safety and wellbeing perspective as well as business efficiencies,” Yallouridis adds.

ACHIEVING BETTER SAFETY IN THE AUTOMOTIVE INDUSTRY

STAVROS YALLOURIDIS

AFTERMARKET

18 SEPTEMBER 2021Australia

Before he joined the company more than 40 years ago, former chief operating officer Andrew

Schram was a Burson Auto Parts customer.

Working at a Melbourne service station, Schram bought parts from one of the vans that company co-founder Garry Johnson and his small team drove around Victoria in the 1970s.

Schram’s friend Terry Penney was also a Burson Auto Parts van driver, and they had worked together previously as mechanics in a Melbourne service station.

When the first Burson Auto Parts store opened in Braybrook, Penny was appointed branch manager and Schram became assistant manager, subsequently taking over as branch manager.

After four years at the Braybrook store, Schram joined the head office team as purchasing manager, a constantly evolving role that he occupied for the next 36 years.

“We grew by acquiring existing auto parts stores,” Schramm says. “This proved to be an excellent strategy. As we removed competitors, we could be up and running straight away with staff and customers, and the process of building the Burson Auto Parts culture within those businesses could start.

“In the early days, we only grew at a rate of three to four stores per year, as we also had limited financial resources to fund any kind of rapid expansion.

“This was also because we were also investing heavily in stock. Our product ranges continued to grow, and this was where I was integrally involved.

“We embarked on sound store growth decisions which proved to be very successful for the company.”

When he started in the industry the three major brands were Ford, Holden, and Chrysler. Then Toyota, Datsun and Mazda came along followed by the European and Korean brands. American cars came

and went and came back again.

“The Australian car park has evolved so much over the last 40 years to the point that we now have more makes and models than any other car park in the world,” Schramm says.

“Burson had to constantly add new products in line with the growth and diversity of the Australian car park.

“As more automotive workshops were established, we then introduced tools and equipment...to meet our trade customer demand. Our product and store growth was really all about evolution rather than revolution.”

Schram recalls the first interstate store being opened in Albury in northern New South Wales and gradually moving into NSW, then on to the Gold Coast and further into Queensland, and then into South Australia.

By the time 35 years had passed, he had overseen the parts, tools, workshop equipment, lubricants and chemical product ranges to stock 91 company-owned Burson Auto Parts stores along the eastern seaboard from three purpose-built warehouses.

The sale of Burson Auto Parts in 2011 brought with it a combination of emotions because Schram and company founder Garry Johnson had been there from the start.

“I was particularly sad for Garry, who was parting with the business he started from scratch.

“It was his baby that he was passionate about every single day for three-and-a-half decades,” Schram says.

“This was only the third job that I had ever had. I also wasn’t at retirement age either, so it’s true to say that there was some apprehension as to what the future would hold.

“The second emotion I experienced was excitement as the sale had placed the company in a position to take the next step, and it was definitely the right time to do so.”

Schram was the chief operating officer and general manager of merchandise and procurement in his final five

years with Burson.

“Things happened much faster during my last five years than at any time in the company’s history.

“We achieved some major milestones, including becoming a publicly-listed company on the ASX. We also recruited some outstanding people...

“Burson has been a massive part of my life. My wife Sharron probably best sums it up. She says there are three Bs in my life and they are Burson Auto Parts, BMW and the Bombers.”

Schram’s contribution to the industry has also included serving as Australian Automotive Aftermarket Association (AAAA) president and being a member of the national council for more than a decade, culminating with his induction to the AAAA Hall of Fame in 2017.

During his tenure with the AAAA, Schram played an integral role in establishing Right to Repair legislation that recently passed through the Federal parliament.

CELEBRATING 40 YEARS WITH BURSON AUTO PARTS

ANDREW SCHRAM

AFTERMARKET

19SEPTEMBER 2021 Australia

ASX-listed company RPM Automotive Group says its revenue grew 30% in the 2021

financial year (FY21) to more than $45.1 million and gross profit rose more than 33% to $14.1 million.

The year-on-year growth was driven largely by increased demand for commercial and wholesale passenger tyres.RPM says its FY21 earnings before interest, taxation, depreciation and amortisation (EBITDA) were up 32% to $4.5 million (FY20: $3.4 million) and it posted a statutory net profit after tax of $2.9 million (FY20: loss of -$1.5 million).

RPM Automotive Group chief executive Clive Finkelstein says the strongest results yet in the company’s history, were driven by its people, resilient business model, and sustainable growth strategy.

“Increased demand for commercial and industrial tyres, coupled with significant investment in our wholesale passenger tyres, were the key revenue growth drivers.”They contributed $22.6 million to the group’s overall record annual revenue of over $45 million,” Finkelstein says.

“Volatile market conditions were a catalyst for change as we looked to optimise processes and integration within the group.

“We increased our cost management initiatives including improving systems and consolidation of back-end processes across many divisions.

“While COVID-19 provides some tailwinds to our divisions that support the heavy transport industry – which generally drives most of the essential-services economy – where there seems to be no slowing down for the foreseeable future, we’ve seen other divisions under-performing as the lockdowns limit customer interface especially in metro areas. “We remain on track or ahead of schedule to reach all mid-term targets including the continued roll-out of our expansion strategy.

“This year, we welcomed an additional five complementary businesses to the RPM fold and have another four businesses joining the group by the end of Q1 FY22.

“A number of these acquisitions are yet to have any material revenue impact as trading commenced post reporting period,” Finkelstein says.

All four RPM divisions performed well over FY21 says the company.

The Wheels and Tyres division experienced significant growth in FY21 with revenue up 74% to $22.7 million, accounting for about 46% of total group revenue.

It was driven by increased commercial tyres orders for transport, agriculture, and mining.

Though passenger tyre retail sales were slightly down because fewer cars were on the road, passenger tyre wholesale revenue increased significantly. RPM’s growing national footprint has contributed significantly to the division’s strong results, with two businesses and a couple of new warehouses incorporated into the division during the year.

The Repairs and Roadside division performed well in spite of retail disruptions brought on by COVID-19 that were a catalyst for increasing operational efficiencies.

By investing in improved systems and focusing on the synergies created by integration and consolidation, the division improved its profitability by 18.14%.

In February, an additional business Traralgon Tyre Services was added to the fold, contributing to the year-on-year revenue growth.

The Performance and Accessories division traded consistently throughout the year, especially in the back end with COVID-19 tailwinds as discretionary spending increased towards pre- pandemic levels.

RPM improved efficiencies and with the increase in demand for these products,

made better margins.

RPM gained market share from competitors largely because of the sales team’s expert knowledge and expertise in meeting customer needs, and RPM’s ability to cross-sell into this division. After a tough FY20 due to pandemic-related disruptions, the Motorsport division bounced back with an exceptional year on all fronts, reporting a 31% increase in revenue and a massive 292% increase in profitability, making this division the top performer this fiscal year. This was largely due to the motorsport calendar returning almost to normal resulting in a massive correction year-on-year.

RPM says the record results achieved during FY21, along with the execution of the company’s expansion strategy and increased cost management efficiencies, have it well placed to deliver strong growth and another record result in FY22.It undertook a capital raise, securing $5.1 million via a share placement. Funds are being used to drive the rollout of the company’s expansion strategy.

The company says it is on track to meet all mid-term targets including its expansion targets, with recent acquisitions post reporting period set to launch RPM into two new territories – New South Wales Metro and Far North Queensland, generate additional revenue and allow more effective cross-selling of products and cross-pollination of customers.

RPM GENERATES STRONGEST FINANCIAL RESULT YET

NEWSTALK

PM TEAM WITH CHIEF EXECUTIVE CLIVE FINKELSTEIN (FAR RIGHT)

20 SEPTEMBER 2021Australia

2022 OUTLANDER DUE SOON

Mitsubishi has confirmed pricing and specifications for the all-new Outlander SUV which goes

on sale this November.

Mitsubishi is selling the Outlander, which it calls the best equipped vehicle it has sold in Australia, in five model grades, ES, LS, Aspire, Exceed, and Exceed tourer.

The range opens with the front-wheel drive five-seat 2.5-litre ES priced from $34,490 and is topped by the all-wheel drive Exceed Tourer priced from $49,990.

The Outlander is built on a newly developed platform and has a new powertrain, new styling and a “refined and serene interior with high-end finishes”, Mitsubishi says.

It gets additional standard connectivity and driver assistance features and a re-engineered, upgraded version of the brand’s Super All-wheel Control (S-AWC)1 all-wheel drive system.

Mitsubishi says it used “I-Fu-Do-Do” design which means “authentic and majestic” in Japanese, to style the new Outlander.

It says that design philosophy is reflected by the vehicle’s bold proportions and the chiselled lines of the Dynamic Shield grille. Depending on the model 18-inch or 20-inch wheels are standard.

Third-row seating is standard in all models above the LS. All 2022 Outlanders are compatible with Apple CarPlay (wireless is now standard) and Android Auto (wired). Wireless smartphone charging is standard on LS models and above.

A nine-inch infotainment centre

touchscreen is standard on all models. The ES and LS also have a seven-inch colour multi-information display in the instrument cluster.

A 12.3-inch full colour digital instrument cluster, a first for Mitsubishi, is standard on Aspire and above.

A 10-speaker BOSE premium audio system is standard on Exceed models.

Additionally, a 10.8-inch full-colour windscreen projection head-up display (HUD) is standard on Aspire models and above.

The 2022 Outlander is based on a platform developed by the Renault-Nissan-Mitsubishi Alliance.

Mitsubishi says it offers a stable foundation for a more confident and comfortable “driving experience".

With hot stamped ultra-high tensile steel used in key areas, torsional rigidity is increased by 33% over the previous model.

Other strength optimisation and mass reduction strategies include extensive use of aluminium components.

Powering the all-new Outlander is a newly developed 2.5-litre, four-cylinder petrol engine mated to a continuously variable transmission (CVT) with paddle shift Sport mode to access eight pre-set gear ratios.

A new drive by wire transmission shifter combined with new CVT control logic, delivers a more direct shift operation.

Mitsubishi says it gives a more “natural” automatic transmission-like feeling under acceleration, while retaining the smooth cruising and efficiency benefits of a CVT.

Mitsubishi’s Super All-Wheel Control (S-AWC) all-wheel drive system

provides drivers with six drive modes that adjust the electronically controlled 4WD system to best suit the road surface/conditions.

The re-engineered S-AWC system includes Active Yaw Control, now with rear-wheel brake control for independent control of all four wheels.

4WD control has evolved, with a new hydraulically-activated direct coupling device for faster all-wheel response.

New to Mitsubishi’s safety suite, are lane departure prevention (LDP), driver attention alert (DAA) and traffic sign recognition (TSR) to help maintain appropriate speed and following distance.

Also new to the Outlander are rear automatic emergency braking, hill descent control (HDC), trailer stability assist (TSA), and adaptive driving beam (ADB).

Depending on trim level, the Outlander also offers forward collision mitigation (FCM) with cyclist detection and junction assist, blindspot assist (BSA), blindspot warning (BSW), lane change assist (LCA), lane departure warning (LDW), adaptive cruise control (ACC), rear cross traffic alert (RCTA), automatic high beam (AHB), and a camera system with moving object detection.

The 2022 Outlander is covered by Mitsubishi’s Diamond Advantage warranty, comprising up to 10 years/200,000km manufacturer’s warranty plus 10 years’ capped-price servicing. Diamond Advantage also includes an up to four-year/unlimited mileage roadside assistance program.

SHOWROOM

21SEPTEMBER 2021 Australia

RAM Trucks is launching two all-new 2500 Heavy Duty (HD) pick-ups in Australia.

The RAM 2500 HD starts at $157,950, plus on road costs, for the Laramie Crew Cab, rising to $162,900 (plus ORCs) for the Laramie Crew Cab with RamBox.

RAM Trucks Australia says the new 2500 HD underwent the same design, homologation, and manufacture processes as the recently-launched 1500 DT.

They included 50,000 pre-build development hours; 80,000km of rolling road testing; 50,000km of real-world road driving, and a 20,000km full vehicle durability test.

Both trucks use a Cummins 6.7-litre inline six-cylinder turbodiesel developing 276kW of power and 1152Nm of torque. Braked towing capacity is up to eight tonnes, depending on application and driver licensing.

RAM Trucks says the 68RFE six-speed automatic gearbox has been upgraded significantly. A new reverse accumulator improves shift feel when moving into park from reverse, and drive-to-park shifts are improved by refined hydraulic control.

HDs are also equipped with a BorgWarner electronic transfer case, giving 2WD, 2WD High, Neutral and 4WD Low.

New front and rear axles are engineered to improve durability, handle industry-leading payload and towing capabilities, minimise NVH, and optimise weight says the manufacturer.

RAM Trucks Australia says the new 2500 has a bold and unique appearance that results in a more integrated look that aligns with the truck’s mechanical capabilities.

Interlocked with the new, lighter aluminium bonnet, a much larger and more aggressive front grille “leads with confidence and strength.”

Larger openings in the new front bumper provide greater airflow to the largest turbo intercooler RAM has used on its heavy-duty pick-ups.

More than 20 sensors are integrated seamlessly to make them less visible, and a front air dam helps achieve the most aerodynamic heavy duty truck RAM has yet offered.

On the side of the trucks, interlocking side-steps incorporate deep tread patterns and a RAM logo.

The new 2500 has lockable cargo bed storage, and the optional RamBox includes weatherproof, lockable, illuminated, and drainable storage bins.

Inside, a new instrument panel has a strong, structurally interlocking appearance, pushing the central controls up and toward the driver, and improving reachability of system controls.

The Uconnect 4C NAV and 12-inch fully configurable touchscreen can display one application, like the navigation map, across the whole 12-inch screen, or can be divided to operate different applications at once.

It also features a seven-inch, full-colour, 3D animation-capable information display, with reconfigurable function that lets

drivers personalise information inside the instrument cluster. There’s also a digital rear-view mirror.

The 2500 comes with an Alpine 10-Speaker audio system including sub-woofer. An active noise cancellation system and acoustic glass reduce ambient cabin sounds by nearly 10dB.

The new HVAC system features 30% more airflow at lower noise levels, and larger front defroster vents deliver better performance.

All-new in-duct electric heating elements help speed cabin warm-up on cold days, and larger system controls work better for occupants wearing gloves.

The HDs have an array of active and passive assist systems, including adaptive cruise control, forward collision warning with active braking, trailer sway control, lane departure warning, and blindspot monitoring with rear cross path and trailer detection.

The 2500 uses a variety of high-strength steels to maximise impact performance and reduce overall weight, including the A-, B- and C-pillars, front structure and door beams. Increased-resistance spot-welds reduce the heat exposure to surrounding metal to maintain strength and long-term durability.

All RAM Trucks Australia vehicles are coded uniquely for the Australian market and the local build process. More than 400 locally-sourced parts are used in its conversion from left- to right-hand drive.

RAM LAUNCHES ALL-NEW 2500 HD DUO

SHOWROOM

22 SEPTEMBER 2021Australia

NEW KIA SPORTAGE LANDING IN OCTOBER

The all-new Kia Sportage will make its Australian debut in October according to the local distributor.

Four levels of trim will be available to Australian buyers as well as the option of two petrol or one diesel engine.

Across the various S, SX, SX+ and GT-Line trims, a 2.0-litre MPI (115kW / 192Nm), 1.6-litre TGDI (132kW / 265Nm) and 2.0-litre diesel (137kW / 416Nm) will be available.

Kia’s 1.6-litre turbocharged petrol engine has been paired with a seven-speed dual-clutch transmission and provides much improved low-down torque. The transmission sends power to both the front and rear wheels for improved performance and handling. This powertrain is exclusively available on the GT-Line and SX+ variants.

Kia Australia chief operating officer Damien Meredith says the all-new Sportage is another step towards the brand’s new design philosophy.

“The Sportage has always had a knack of reinventing itself more than any other Kia model and the new fifth-generation, with its unique boomerang-shaped LEDs, razor rear lamps and swooping curved display is no different,” Meredith says.

“The all-new Sportage promises to be a substantial evolution over the outgoing Sportage and is a true reflection of where not only the nameplate, but the Kia brand is heading,” he says.

Kia says the Sportage is designed to cater to the unique nuances of Australian roads and the style of driving Australians’ best exhibit. It was recently subjected to Kia Australia’s Local Ride and Handling program,

Kia Australians Ride and Handling Engineer, Graeme Gambold, who has localised the ride of over 50 Kia models across a 10-year period, says he is always looking to dynamically improve each new ride he tunes.

“While it’s been a challenge due to COVID complications and taken a little longer than usual, NQ5 is sporty, youthful, fun to drive, yet comfortable and capable of soaking up even the harshest of road conditions,” Gambold says.

“While it’s a high bar, I’m confident it will be an even better ride than its predecessor,” he says.

Kia Corporation says the Sportage debuts numerous innovative features and is focused as a driver-centric design.

It says the sweeping design of the dashboard creates a feeling of great width and depth while the ergonomic layout combines to form a driver-orientated design. Combined with a curved 12.3” digital cluster and 12.3” infotainment touch screen available in the GT-Line variant, the displays take centre stage. The digital cluster is paired with a blind spot view monitor for added safety when changing lanes.

Debuting in the all-new Sportage GT-Line is a 3D surround view monitor which optimises images from four cameras (front, side mirrors and rear) to provide a 360-degree view in various modes. The newly applied 3D feature allows the user to easily zoom and drag the camera view to suit their needs, says Kia.

Kia also says the exterior design of the Sportage breaks new ground with its Tiger Nose grille and boomerang-shaped LED DRLs (daytime running lamps), which in turn create solid boundary lines for the striking LED headlamps.

It says the Sportage maintains its strong road presence at the rear with a fastback design that flows into the razor rear lamps.

The new vehicle has grown in virtually every dimension versus the outgoing Sportage and due to the larger exterior, there is enhanced passenger room for the second-row and greater luggage capacity. This has been achieved while retaining a full-size spare wheel says Kia.

The Sportage’s interior space is underpinned by an elongated

wheelbase of 2755mm, a length of 4660mm, width of 1865mm and height of 1660mm. The Sportage’s 1050mm legroom for second-row passengers and 1000mm headroom is an improvement from the outgoing model – 80mm and 7mm increase respectively.

The Sportage has also been advanced in terms of safety, featuring both passive and active high-tech systems.

Kia’s in-house developed Advanced Driver Assistance System (ADAS) technology helps the Sportage driver to avoid potential hazards. As part of its ADAS package, the Sportage features Kia’s Forward Collision-Avoidance Assist (FCA), which helps avoid collisions with other vehicles, pedestrians and cyclists.

The Intelligent Speed Limit Assist (ISLA) system available on the all-new Sportage is a driver assistance technology that detects speed signs through the front view camera. Information is then displayed on the instrument cluster. The optimised speed can then be used to set the Speed Limiter or Smart Cruise Control by confirming the speed limit.

A digital display with a 4.2” multi-function LCD, available on S, SX and SX+ trims, is an all-new feature to replace analogue gauges.

The Sportage will be available in eight colours with five being new to the range.

Pricing and detailed specifications will be available closer to its October arrival.

SHOWROOM

23SEPTEMBER 2021 Australia

TOP 10 BRANDS

1. TOYOTA 19,959

2. MAZDA 7645

3. KIA 5065

4. FORD 5058

5. HYUNDAI 5016

AUGUST NEW CAR SALES UP 33% IN AUSTRALIA

New vehicles sales in Australia are up 33% on the same month last year, demonstrating the

resilience of the market in spite of the impacts of lock downs and microprocessor shortages says the Federal Chamber of Automotive Industries (FCAI).

Toyota was market leader in August with 24.6% of overall sales. This was followed by Mazda (9.4%), and then Kia, Ford and Hyundai who all recorded around 6.2% of market share.

The Toyota Hilux was the highest selling model with 4770 sold with the Ford Ranger and Toyota Corolla achieving second and third place.

Consumers purchased a total of 81,199 new vehicles during the month of August, despite COVID-19 restricting access to vehicle showrooms in many states and territories.

Queensland, Western Australia and the Northern Territory all recorded growth greater than 30% compared to August 2020. Victorian sales have rebounded resulting in an increase of more than 150%, while the ACT and NSW recorded declines.

FCAI chief executive Tony Weber says that uncertainty around lockdowns meant manufacturers were having to remain agile in the ways they engage with customers.

“The bounce of 33% on last year’s figure demonstrates the resolve of car manufacturers to engage with customers and drive-up new vehicle ownership.

“With access to showrooms limited, vehicle makers are working to engage customers in their homes and other places of isolation,” he says.

Strong sales of electric SUVs amidst a global shortage of microprocessor parts are a result of manufacturers working with their suppliers to match vehicles with market demand.

“We know that the car industry is suffering the global impacts of COVID-19 on supply chains. An increase of 635% on the sale of electric powered SUVs shows just how diligently manufacturers are working with suppliers to deliver vehicles to market,” Weber says.

KEY POINTS: The August 2021 market of 81,199 new vehicle sales is an increase of 20,213 vehicle sales or 33.1% on August 2020 (60,986) vehicle sales. August 2021 had 26 selling days compared to August 2020 with 25.8 which resulted in an increase of 759.2 vehicle sales per day.

The passenger vehicle market is up by 2581 vehicle sales (17.5%) over the same month last year; the sports utility market is up by 8603 vehicle sales

(26.6%); the light commercial market is up by 8002 vehicle sales (71.2%); and the heavy commercial vehicle market is up by 1027 vehicle sales (39.3%) versus

August 2020.

Toyota was market leader in August, followed by Mazda and Hyundai. Toyota led Mazda with a margin of 12,314 vehicle sales and 15.2 market share points.

TOYOTA HILUX

TOP 10 AUGUST

24 SEPTEMBER 2021Australia

TOP 10 BRANDS

6. MITSUBISHI 4802

7. VOLKSWAGEN 3793

8. SUBARU 3232

9. MG 3011

10. NISSAN 2162

1. Ford Ranger

3609

3. Isuzu Ute D-Max

1187

6. Volkswagen Amarok

986

2. Toyota Hilux

3324

5. Mazda BT-50

1037

4. Toyota Landcruiser

1107

7. Nissan Navara

662

8. Mitsubishi Triton 624

9. LDV T60

623

1. MG ZS

1700

3. Mitsubishi ASX

976

6. Kia Seltos

548

2. Mazda CX-30

1141

5.Hyundai Kona

601

4. Subaru XV

951

7. GWM Haval Jolion

464

8. Volkswagen T-Roc

453

9. Mitsubishi Eclipse Cross

360

4X4 UTES SUV SMALL <$40K

10. GWM Ute

57310. Honda HR-V

337

TOP 10 AUGUST

25SEPTEMBER 2021 Australia

A massive 635% increase in electric SUV sales between August this year and the same month of

2020 reflects the demand in Australia, especially now that various states are providing EV incentives.

Electric SUV sales rose from 40 in August 2020 to 294 during the past month (635%) and went from 446 to 1975 (342.8%) in year-to-date (YTD) comparisons.

Plug-in hybrids (PHEVs) also fared well in the same category, rising 260.8% (74 to 267) and 135.1% (763 to 1794) in monthly and YTD comparisons respectively.

However, electrics and PHEVs dropped slightly in the passenger vehicle sales category, according to the latest VFACTS sale figures released by the Federal Chamber of Automotive Industries (FCAI).

They declined by 33.9% (115 to 76) and 10.3% (29 to 26) respectively, although YTD sales remained up at 80.8% (605 to 1094) for electric passenger sales and 16.3% (227 to 264) for PHEVs.

Light commercial electric vehicle sales remained zero for the month just gone and in August 2020, but rose 153.8% from 13 to 33 in YTD comparisons.

All of that was during a time of uncertainty with various COVID related lockdowns and vehicle showroom access limited, prompting many to go online.

“Strong sales of electric SUVs amidst a global shortage of microprocessor parts are a result of manufacturers working with their suppliers to match vehicles with market demand,” says FCAI chief executive Tony Weber.

“We know that the car industry is suffering the global impacts of COVID-19 on supply chains.

"An increase of 635% on the sale of electric-powered SUVs shows just how diligently manufacturers are working with suppliers to deliver vehicles to market.”

EV uptake is being encouraged by the various policies Australian state and territorial governments are introducing, in spite of a noticeable lack of federal inducement.

It’ll be interesting to see how prime minister Scott Morrison defends Australia’s federal position at the United Nations Climate Change Conference of the Parties (COP26) in Glasgow from October 31 to November 12.

Meanwhile, regional governments

like New South Wales, Victoria, the ACT, Queensland, Tasmania, the Northern Territory and South Australia are offering a range of incentives to encourage EV uptake and charging infrastructure.

However, Victoria copped criticism by introducing an “EV tax” road user charge (RUC) for EVs in July while NSW and SA have held off introducing a similar tax until 2027 or when EVs comprise about 30% of the regions’ fleets.

Reports of about 19,000 Atlis electric XT utes (pick-up trucks) coming from the US, along with many new EV models and hydrogen development for long range transport are expected to

encourage many more Australians to make the switch.

Hyundai, for instance, has announced a massive investment in hydrogen, especially for transport.

More Teslas are due, including the new Model Y from the Shanghai factory, while the Tesla Cybertruck has been delayed until 2022.

The likes of Rivian with its electric ute, the Subaru Solterra EV, more Audi and BMW EVs and others are due within the next year or two.

Electric vans, low to zero emission trucks and other forms or e-mobility are coming.

ELECTRIC, PHEV AND HYBRID SALES AUGUST 2021

Month YTD Variance +/- Vol. & %

Total Market 2021 2020 2021 2020 MTH YTD MTH YTD

ELECTRICPassenger Private 76 115 1,094 605 -39 489 -33.9% 80.8%SUV Private 294 40 1,975 446 254 1,529 635.0% 342.8%Light Commercial Non-Private 0 0 33 13 0 20 - 153.8%

Sub Total 294 40 2,008 459 254 1,549 635.0% 337.5%HYBRID

Passenger Private 3,016 1,627 19,010 15,770 1,389 3,240 85.4% 20.5%SUV Private 3,472 4,805 29,288 20,559 -1,333 8,729 -27.7% 42.5%Sub Total 6,488 6,432 48,298 36,329 56 11,969 0.9% 32.9%

PHEVPassenger Private 26 29 264 227 -3 37 -10.3% 16.3%SUV Private 267 74 1,794 763 193 1,031 260.8% 135.1%Sub Total 293 103 2,058 990 190 1,068 184.5% 107.9%

TOTAL 7,075 6,575 52,364 36,788 500 15,576 7.6% 42.3%

EVS ON AUSTRALIANS’ SHOPPING LIST

TOP 10 AUGUST