This year’s event raised almost $2 million dollars– $1,905,060 to be exact, which benefits eighteen area charities.  Individuals can choose a specific charity to sponsor or elect to have the proceeds equally benefit all of the participating charities.  Kevin Mize, owner of O’Hare Honda and O’Hare Hyundai, Board member of the CATA (Chicago Automobile Trade Association), and Chairman of this year’s show, stated, “All of the benefitting charities are involved locally, so the money that’s raised in Chicago stays in Chicago.”  The black-tie benefit has been in existence over 20 years, and since it’s inception has raised over $30 million dollars.

The First Look for Charity is also a way for the Chicagoland new car dealers to showcase their positive impact on the community, and this year was no different.  One of the highlights of the evening was the drawing for the (2) grand prize vehicles– a 2011 Honda CR-Z, compliments of American Honda Motor Company, and a 2011 Hyundai Sonata Turbo, compliments of the Chicagoland and Northwest Indiana Hyundai Dealers.

Benefitting charities included:  Autism Speaks, Boys & Girls Clubs of Chicago, Catholic Charities of the Archdiocese of Chicago, Catholic Charities- Diocese of Joliet, Children’s Memorial Hospital, The Cradle Foundation, Cystic Fibrosis Foundation, Evans Scholars Foundation, Franciscan Community Benefit Services, Ray Graham Association for People with Disabilities, March of Dimes Foundation, Misericordia Heart of Mercy, Respiratory Health Association of Metropolitan Chicago, Special Olympics Illinois, Spina Bifida Association of Illinois, St. Coletta’s of Illinois Foundation, St. James Hospital & Health Centers, Jesse White Tumbling Team.

Now don’t get me wrong, I happen to be an avid sports’ enthusiast and like most of those around me, fully support my home teams.  However, when does the situation permit your work superior(s) to dictate which sports team you can or cannot support?  There comes a point where figures of authority step too far, and in this case, that line was crossed…. by a lot.  Where does it end?

Priorities…

In a time where people are still struggling to find jobs or hold on to those that they have, someone gets fired based on the team they support?  Last time I checked, we live in America, the land of free choice.  One would assume that the manager would be focused on something a bit more relevant to the success of the store– say how many cars were being sold, or the service provided to the customers, rather than focus on the attire of the individual.  Unless of course, it violates a specific policy, which in this case, the manager admitted it did not.

Aren’t we backtracking here?  In a society so concerned with discrimination [of all sorts], the scenario becomes hypocritical if one can justify terminating an employee because of what sports team they support.  It’s a throwback to the “old” days of the stereotypical car dealerships and the image that manufacturers and dealerships themselves, have been trying to change for many years now.  It evidently still exists in some places.

A “Happy” Ending?

Last I heard, after the media got word of the situation, the dealership attempted to “re-hire” the individual, but he refused after receiving and accepting an offer from another store.  Kudos to him.

Correct me if I’m wrong, but this game has gone too far…

For you ladies that like to talk on the phone while driving- be it gossiping with your girlfriends, checking in with the kids, or taking care of business, this technology could be a life-saver, and in many cases now, prevent a costly ticket.  And gentlemen (and ladies) that like to conduct business calls on the road, well this too benefits you.  But in all seriousness, it’s truly a game-changing innovation for the auto industry that is altogether becoming a necessity.  And I’m not talking simply convenience here, but more importantly, safety.

Did you know that according to the National Highway Traffic Safety Administration,  drivers that are talking on the phone are 4 times more likely to get into an accident?  And the delayed reaction time caused by cell phone usage is as great as having a blood-alcohol level of .08! You all know what I’m talking about here– you see that person that slows down, cuts you off, or somehow aggravates you on the road (often causing road rage or unneeded stress), and when you pull up next to them, lo and behold, 95% of the time, they’re on their phone and not paying attention to the road.  Irritating, no?  (My blood pressure would probably drop a few notches if this was eliminated.)

So what does SYNC include?  Well, first off, as you may have guessed, hands free use of your mobile phone.  The system, built on a Microsoft platform, syncs with a Blue-tooth enabled phone and allows the user to make and receive phone calls while driving, by simply using basic voice commands.  The “entertainment” aspect of SYNC includes the USB feature, which allows the driver to plug in their flash drive, iPod, or other compatible music device into the vehicle’s USB port, and pick and choose their music simply with voice prompts.  Added in 2009, 911 Assist, a key safety feature when turned on, will automatically place a call to 911 in the event of airbag deployment or if the fuel cut-off switch is triggered, therefore ensuring that emergency vehicles are dispatched in the event of an accident where the driver is unconscious, or unable to place the call themselves. Vehicle Health Reports give the vehicle owner the ability to run a diagnostic report of the vehicle after creating an account on syncmyride.com, with the intent of promoting more regular vehicle maintenance.  And recently added for convenience and entertainment, is option called “SYNC Services”, which include things like turn-by-turn directions, sports updates, news, live traffic, stock quotes, even movie listings, …. (and the list goes on.)

The main competition at this point is General Motor’s OnStar system.  Albeit different than SYNC, both systems are based on the same concept of allowing drivers to talk hands-free while operating their vehicle, and in essence promoting safer driving.  Although OnStar was introduced to the market long before Ford’s SYNC system, the recent turmoil of the industry, coupled with GM’s bankruptcy allowed Ford to jump ahead of the game and lead the way in providing more advanced technology.

Some of the major differences?  GM charges a $199 annual subscription fee for their built-in mobile device. (In essence the vehicle itself acts as a phone that OnStar operates through, whereas SYNC connects with the driver’s own mobile device.)  Ford’s price points are significantly less, costing the consumer a one-time fee of about $395 to have the SYNC system installed in the vehicle, and for the basic communication and entertainment features, including 911 Assist, no additional charges.  For those that would like the additional SYNC Services features, like live sports updates, turn-by-turn directions, live traffic, weather, movie listings, and so forth, the service is free for 3 years, and then to continue the subscription after that period, a $60 annual fee is required.

In any case, automotive retailers are finding that BOTH systems are being seriously considered during vehicle purchases.  If we can prevent unnecessary accidents, and in some cases fatalities, due to distracted driving, then we all benefit.

Limited to only (2) public appearances in the U.S., The Porsche Exchange was the lucky contender for the second viewing of the vehicle.  The former was the unveiling at the L.A. Auto Show back in the fall.  Nijim proceeded to tell me that the next stop would be the Porsche Sport Driving School in Birmingham, AL, and then went on to share some of the details of the vehicle.

The Ultimate Driving Machine…

A Porsche enthusiast himself, Nijim was eager to relay that only 138 customer cars would be built for the U.S., out of a total of 500 GT2 RS vehicles to be built worldwide.  In the showroom was #31 out of 500, (which we noted from the numbered commemorative plaque on the glovebox.)  The MSRP base price comes in at a mere $245, 000.  Well, being the fastest and most powerful street-legal car Porsche has ever built and unmatched in its class, I thought it a relatively conservative number– relatively speaking, of course.  That being said, the top track speed was recorded at 205 miles per hour, boasting 620 horsepower at 6,500 rpm and 516 pound-feet of torque at 2,250 rpm, or a mind-boggling output of 172HP per liter.  Equipped with a 3.6L twin-turbocharged engine and 6-speed manual transmission, reaching 0-60 mph in 3.4 seconds, this Porsche is not for the meek or inexperienced driver. The quarter mile flashes by in a tick over 11 seconds at an incredible 129 MPH!  The color palette includes GT Silver Metallic (which is what I got to see at the dealership), black, white or red, and weighs in at 3,075 lbs as a result of a primarily carbon fiber construction and even an available lithium-ion battery.  One thing I found rather entertaining was the “emblem” that adorned the hood, which was indeed a decal rather than the traditional metallic ornament, to eliminate even the smallest ounces.

The national delivery date is set for February, and customers were given (2) options:  they could either pick-up the GT2 RS at their Porsche dealership, OR, at no additional cost, they have the opportunity to attend the Porsche Sport Driving School (Birmingham, AL for the Midwest), where high-performance, professional drivers will teach them the techniques and skill to handle their ultimate driving machine.

A bit about The Porsche Exchange

To give you a bit of background on the store, The Porsche Exchange has been family-owned for over 30 years, at their current location for over 7 years.  And for those of you movie buffs out there, this was the dealership that appeared in the movie “Risky Business!”  They are ranked the number ONE store in the Midwest, and fluctuate between number 12-15 in the entire country out of 200 franchises.  This past year (2010) they sold close to 400 new cars– not too shabby for an unstable economy, and out of the 138 new 911 GT2 RS vehicles, they are getting two of them.

One thing I noticed immediately, was the immaculate showroom, and Nijim went on to explain that The Porsche Exchange is one of the first stores to align with the corporate identity design.  Furthermore, because of their status and deep involvement with corporate, they are one of the first dealerships to pilot the “Porsche Experience”, which he explained as being the ultimate program in Porsche identity, which they also helped to create.  I’m not talking product knowledge here, that’s an obvious requirement for an employee.  The program is simply about the customer experience, and how Porsche wants to be the first and only automaker with a globally certified customer-facing workforce..  Beginning in March with the pilot, The Porsche Exchange will be investing over $4,500 per employee to participate in the program.

Expect the Exceptional

Delving further into the customer service experience displayed at The Porsche Exchange, I had the opportunity to speak with co-owner & VP, Bruce Semersky, who shed light on a particular situation that he encountered.  Ladies (and gentlemen), how did The Porsche Exchange build their top-notch reputation?  Well after speaking with Semersky, it was evident that even from the onset of ownership, they were a forward-thinking group.  He told me a story about his experience with an employee that insulted one of his female customers back in the 70’s.  Luckily for the customer, Bruce happened to be in the vicinity and intervened, AND proceeded to fire his employee for not displaying all due respect to the customer because she was female.  Impressive, to say the least!   Ladies… this is a store I’d buy my Porsche from, hands down.

No wonder they’re the number ONE volume Porsche store in the Midwest– they stand behind their motto “Expect the Exceptional.”  Actions speak louder than words, that’s for sure.

A small car to compete in the B-car segment, the Fiat 500, is currently being introduced to the U.S. at the Los Angeles Auto Show.  Although some dealers are expected to receive a few of the vehicles in December, none will be delivered to customers until January.  This will be a 2012 model of the vehicle, and the major launch is planned for March.

There are plans to add additional dealers to the already designated list, which will blanket the 119 markets, identified as areas with high growth potential for small cars over the next several years.

Fiat will join the Chrysler dealerships, but vehicles will be in an allocated area known as the “Fiat Studio,” accompanied by accessories, and more importantly, trained experts on the product.  The North American version of the vehicle will be manufactured in Chrysler’s Toluca, Mexico plant, with the initial model being a 2-door hatchback.  Plans for a convertible and an electric model are in the works, but don’t expect to surface until later in 2011.

AutoNation, Inc., (largest publicly traded auto group), will take the lead on dealerships sporting the new Fiat.  They’ve reported to have received seven letters of intent.  Meanwhile they announced that they feel well-positioned with this vehicle, particularly with the fluctuating gas prices.  Being able to offer a smaller, more fuel-efficient vehicle will be to their benefit.

As far as expected numbers for the first year?  Chrysler has hopes to sell 50,000 Fiats in 2011, and then to increase this number to approximately 78,000 by 2013.  The current model has been referred to as an “icon” in Italy…. but then again, so has the Ford Fiesta for that matter.  And actually on a greater scale, it’s the number one selling small vehicle (B-car) in Europe.  That being said, although this is a smart move for Chrysler, these dealers have their work cut out for them.

Like the Fiesta, the Fiat has been modified to adapt to U.S. safety and emissions standards.  Last sold in the U.S. in 1984….(Fiesta was last sold in 1980).  A bit of a follow-the-leader trend here?  Well, I’m just pointing out the facts that I’ve noticed– the actual numbers will do the telling…

And how about Alfa Romeo?  Well it could be another opportunity down the road for these dealers, but we won’t know until next year.  I can say one thing, Marchionne is definitely keeping them busy…

Re-purchased parts

In one particular situation [in Michigan] where a man’s in-dash navigation system was stolen, he ended up getting it back and re-installed, AFTER his insurance company paid the repair bill from the dealership.  You’re probably wondering what is she talking about???  Well, let me explain. What happened was the unit was stolen, after which the individual reported the incident to his insurance company.  The insurance company told him to go to his dealership and get the replacement.  Meanwhile, the thief got $200-$300 from the fence, who then sold it to an auto parts store for around $1,000.  The dealer then purchased the unit for $1,300 from the store and charged their customer, (in this case, the insurance company,) $1,875 + labor costs.

Total cost of the repair:  $4,700, including the $1,875 for the actual navigation unit.  When the man got his vehicle back and his CD ejected out of the stereo, he verified via the serial number that the unit was in fact, the original.

And the cycle of thievery…

Although it is ironic that this guy got the exact same unit back, the scenario as a whole is typical of what’s been happening.  The sequence is as follows:  Parts are stolen and the thieves make money; then the fences sell them online or to auto parts stores and also make money; dealerships purchase parts from the auto parts stores at a mark-up, and then the insurance is footed with a rather high bill to cover the cost of the unit and labor.  At the end of the day, the insurance pays out an exorbitant amount of unnecessary claims, which causes our rates to go up.  Between claims and repair costs, it’s estimated that somewhere over $3M has been paid out due to these thefts.

So as you can see, it’s all about simple economics here– the more parts stolen, the higher the demand for replacements…  and the vicious cycle continues.

You’ve got to admit, it is a pretty clever system that they’ve concocted.  That being said, the FBI has also gotten involved since many of the parts are being transported over state lines.  Between FL and MI, over 1,500 stolen units have already been recovered.

Now I don’t know about you, but I sure as hec don’t need to spend any more money on car insurance!  I feel enough ‘theft’ from my pocket that contributes to insurance companies…

The Republican [dealer] victory has doubled the number of dealers represented in the House of Representatives, not only signifying a record number of representation, but all of them from the GOP.  The candidates include Mike Kelly of Pennsylvania, James Renacci of Ohio, and Scott Rigel of Virginia, all of which by won by margins of at least 10 percentage points.

Well folks, I may have my own thoughts and opinions about this situation, but at the end of the day, let’s hope that they remember their roles and put the interests of their constituents before their own.

But now on to a more positive note, October signifies the “road to recovery” for the auto industry.  All major auto manufacturers showed a solid increase in sales, with the exception of Toyota, and have furthermore exceeded the auto analysts’ predictions.  New vehicle models are drawing in consumers, meanwhile confidence in the domestics has risen.

Despite the situation of turmoil and the struggle to reach this point, it looks as if there is light at the end of the tunnel.  The numbers are discernible and a more positive future is imminent.  I think that auto manufacturers can finally say, “yes we can”…

2010 marks the 50th Anniversary of the “His & Hers” list for the annual NM Christmas Book, and boasts items no less extravagant than previous years.  The tradition began in 1960 by Stanley Marcus, son of one of the original Neiman Marcus founders, who challenged his team to create a unique and newsworthy catalogue for their customers.

This year’s vehicle joins the ranks of BMW and Jaguar from past catalogues but hits closer to home.  The 2010 list presents the iconic, all-American muscle car– General Motor’s Chevrolet Camaro.  Although regular production will begin in 2011, the uber-trendy and able, had the opportunity to purchase the limited edition rag-top Camaro, well in advance.  Designed exclusively for Neiman Marcus, production is limited to a quantity of 100 vehicles.

The 2SS model boasts a 6.2L V8 engine, with the option of a 426hp, 6-speed manual transmission, or a 420hp, 6-speed automatic transmission.  LED Halo-Ring headlamps and an exclusive tri-coat exterior paint in “Deep Bordeaux” with ghosted stripes provide ultimate distinction.  The bordeaux convertible top is highlighted with a silver painted windshield, and the interior is no less luxurious, featuring amber leather with brilliant red accents on the center console, steering wheel and shift knob.  And let’s not forget the XM Satellite radio that projects through the Boston Acoustics premium sound system.

And the price tag?  A mere $75,000.  Reservations began promptly at noon on October 19, 2010 and ended shortly thereafter– 3 minutes to be exact.  Only (1) vehicle was permitted per [qualified] customer.  Sorry ladies, this was one gift you had to jump on if you were interested.

A bit of an extravagant gift for the masses, perhaps.  But then again, it wouldn’t be on the exclusive NM list if it wasn’t. I know it would make my Christmas rather “merry”…

From Traditional Media to Social Media

On the manufacturer/seller end, the Internet has helped to raise awareness of products and services through online advertising, shifted from the once popular auto magazines and newspapers. Moving even further, by using Web 2.0 tools, those that are on the cutting edge have grasped the concept and utilized these mechanisms to garner excitement, and build up the anticipation of new-to-the-market products well before they’re even available for purchase…or even live viewing. Case in point- Ford Motor Company’s FiestaMovement.com. Ford cleverly put together a grassroots social media campaign to create buzz around the introduction of their newest vehicle before it was brought to market—the Fiesta. And the result? (Drum roll, please)…. Over 9,000 reservations placed for vehicles that weren’t even in the dealerships yet! The numbers speak loudly. Need I say more?

For you consumers out there, the Internet is a powerful tool, available to everyone- so use it. You’ll find that you’re not restricted to simply finding product and pricing information, but also buying tips and even the appropriate lingo to use. Leverage your information wisely and you’ll get the best deal out there. All you need to know before you walk into a dealership is available online. Now, there’s nothing like kicking the tires and enthusiastically shaking your sales consultant’s hand, but that process will be that much more enjoyable if you do your research first.

A Few Things to Keep in Mind…

When shopping for a vehicle (or any high-ticket item for that matter) it’s important to consider first your budget, then your needs, and finally, what you want. Spending all of your savings on a hot-rod is great and all if you intend on living in your car, but most of us, like to spend our time elsewhere in addition to driving.

Product and price information are important, but there a couple of additional things to consider as well. Know the market value of your trade-in (if applicable.) How can you negotiate if you don’t know that information when you walk in the door? You’re an easy target- it’s like leading the blind down someone else’s intended path.

Also- you should be aware of your credit scores (at least on a general level). Most of us don’t have a big wad of cash to drop for a high-ticket item like an automobile, which in turn means that you’ll require some sort of financing. If you don’t already know, find out your credit standing to see what type of financing you’ll be eligible for… or if you can get financed for that matter. And then remember, you still want to be able to put the most money down possible. This will lower your payments and in the long run, save you money. Just like any other loan out there, you have interest to pay. Therefore, the quicker you can pay it off, the less interest will accrue. (Just a matter of basic economics here, guys.)

The Next Chapter

Times are tough (though slowly getting better), as we’ve seen many dealerships shut their doors over the last couple years. So who will survive? From the seller’s end, those who take this reality seriously and grasp the forward-thinking mentality will use the Internet to their advantage to differentiate themselves from their competitors. As a consumer, you want to get the most for your money, the sales person wants to make the most money out of the deal (like any other business); know your stuff and you can [hopefully] come to an agreement, somewhere in the middle. At very least, you’ll be better equipped to do so.

Thanks to Masuyuki Naruse, a Japanese inventor, we may have a solution to the tailgating dilemma altogether. Rather than the traditional, separate throttle and brake pedals, he’s developed a single pedal that incorporates both functions, which would utilize the right foot. To operate the throttle, the driver would rotate the pedal clockwise. The brake system would operate in the traditional manner of simply depressing the pedal.

Now while I think this will decrease accidental misapplication of the throttle, I don’t foresee it eliminating the issue of tailgating. Likewise, the thought of keeping my foot turned sideways for an extended period of time doesn’t sound too appealing. In fact, I would venture to say it would be a challenging position to maintain.

Battle of the Sexes

Suffice it to say, and in line with the long-standing controversial debate as to which sex is a better driver, many [men] think that female drivers are notorious for tailgating. Yours truly not exempt from this accusation at times, although I have my own personal reasons… (i.e. my ultimate pet-peeve of the left-lane slow drivers that impede the rest of us that abide by the general rule of it being the “fast lane.”) Now I’m probably throwing myself under the bus by admitting that one, but from my own personal experience while driving, I don’t notice a greater amount of women tailgating me than men. In fact, it’s quite the reverse. More often than not, it’s a male riding my bumper.

Contrary to these accusations, I would like to point out that a recent study by the Social Issues Research Centre indicated that men are more likely to ignore traffic laws. Interestingly enough this finding was linked to a biological cause, which shows that thrill-seeking activities, like dangerous driving, are associated with high testosterone levels. Whether or not this addresses tailgating is up for debate, but it does lead to the conclusion that, well, men don’t like to follow the rules and are at fault for more fatal automobile accidents.

So ladies (and gentlemen), what’s the verdict? Are men or women guiltier of tailgating? And will this single-pedal application serve as a solution?