Most new car buyers flip-flop after visiting a dealer

When it comes to retail horror stories, no sales or service experience is more notorious than that of the car dealer.  Today, there's a study out that aims to put a number on just how bad it is. According to J.D. Power and Associates, 80% of new car buyers don’t buy the top car on their list because of a negative dealership experience.

Let's paint this scenario from a different industry's perspective. Say you were a Sony executive and found out that many customers wanted to buy your TVs, Blu-Ray players and products, but that 4 out of 5 of them changed their mind and bought something else after visiting your store. You would not be happy.

The J.D. Power research, called the 2008 Escaped Shopper Study, cites “lack of professionalism” among auto dealers' sales staff as the major factor. Among the other top reasons cited for abandoning a purchase: dissatisfaction with dealers’ service facilities and an inability to find the exact model in the dealer’s inventory. The inventory issue represented only 14% of the total retail gripes.

The Ford of the future

We here at Up To Speed don’t carry grudges (well, OK, maybe we're still a leeetle bit cheesed about that 1978 AMC Concord), so please, don’t accuse us of picking on Ford.

But we couldn’t help noticing a curious juxtaposition of news releases that landed in the UTS inbox almost simultaneously this morning.

One was from Chrysler — yes, that Chrysler — announcing what appear to be legitimate plans to be the first major automaker to deliver an electric vehicle to dealer showrooms. The second was from Ford, touting a conga line of Model Ts through the streets of Detroit this Saturday, “celebrating the centennial anniversary of the ‘car that put the world on wheels.’ ”

Coming on the heels of the Chrysler news, as well as the unveiling last week of GM’s hotly anticipated Volt plug-in electric car, the bulletin from Ford seemed a bit, well, dated.

Not that we have anything against history. The Model T was a revolutionary car, and Ford is right to mark its centennial. But these days, it’s all about the mpg — or, more precisely, mpg claims — and on that front at least, Ford seems to be losing the PR battle.

J.D. Power released a study today that looks at what bloggers are saying about the various automakers and their “green” strategies. To put it bluntly, Ford gets talked about a lot in the blog-o-verse (a good thing) but receives a lower percentage of positive commentary than most of its rivals (a bad thing).

The irony is that Ford actually has some positive developments to tout in the fuel economy sweepstakes. Early next year, hybrid versions of the Fusion and its Mercury-badged twin, the Milan, will appear in showrooms. Ford says the midsized sedans, which will make their in-the-metal debut at the L.A. Auto Show in November, will get better mileage than the Toyota Camry hybrid. If achieved, that will certainly look good in the magazine ads.

Chrysler plugs in big time with three EVs

The rumors were true. Chrysler has swept from far back to a surprising -- even leading -- spot in the multi-furlong steeplechase to become the first major automaker to deliver an electric, or plug-in electric, vehicle to market.

Chrysler Chairman Robert Nardelli introduced three vehicles this morning at the company's headquarters in Auburn Hills, Mich.: an extended-range electric Chrysler EV (based on a Town & Country platform); an extended-range electric Jeep EV (on a Wrangler platform); and a fully electric sports car dubbed the Dodge EV.

"These are extraordinary times for the auto industry," Nardelli said. "Meeting this challenge requires a major, major step forward."

Chrysler, which had been nearly silent on the topic of advanced drivetrain technology -- its first two hybrids are hitting dealer lots this month -- said it would have 100 test vehicles in government and commercial fleets next year. Then, by late 2010, executives said, the company will be selling one of the models unveiled today within the U.S. After 2010, Chrysler said, it will market an electric-drive vehicle in Europe.

Last week, cross-town rival General Motors Corp. unveiled its production prototype for the Chevrolet Volt, also due out in late 2010. That was a nonfunctioning mock-up designed to draw a lot of press coverage.

Two of the three vehicles revealed by Chrysler today, on the other hand, were fully functional.

Court mandates salvaged car database

Sixteen years ago, Congress passed a law requiring the creation of a national database of vehicle title information that would allow consumers to determine whether a vehicle had been in a serious accident. It seemed like a great idea, but it was never implemented.

Thanks to a federal court ruling today, however, that should soon be changing.

A U.S. District Court judge for the Northern District of California handed down a decision that requires the federal government to create a database of stolen cars and state, insurance and junkyard title information. Government-supplied data are to be made public by the end of January, with private industry data coming out by the end of March.

The ruling comes after years of pressure from consumer groups, which pointed out that without access to such information, motorists cannot really know whether a vehicle has been severely damaged or "totaled." That's a serious safety risk, because badly wrecked cars can be unsafe to drive even if they're repaired.

Not the day of the locust yet, says Volvo

Consider the locust. Not the cuddliest of creatures on this good green Earth, but it has an unexpected contribution to make to road safety. Dr. Claire Rind of Newcastle University in generally locust-free Britain has been studying these little critters, specifically the African locust. She's been trying to work out why, when buzzing about in swarms (typical behavior for a locust), they don’t bump into one another.

“Locusts are quick-reacting and have reliable circuits. They do their computations against lots of background chatter, much like driving around town,” says Rind, whose work has caught the attention of automotive safety gurus at Volvo. Says Jonas Ekmark, preventive safety leader at the Swedish car maker, “Our original thoughts centered on pedestrian safety. If we could trace how locusts are able to avoid each other, maybe we could program our cars not to hit pedestrians.”

During the study, Rind learned that visual input is transmitted directly to the insect’s wing nerve cells, seemingly bypassing the brain. She calls this the Locust Principle. Volvo wanted to learn whether locust sensory-input routing methodologies could be built into a vehicle’s pedestrian safety system. Could a locust-inspired algorithm be synthesized and applied to a car?

“As it turns out, the locust’s processing system is much more sophisticated than the hardware/software currently available,” Ekmark says. “We have found a lowly locust has man beat, at least for now. What we learned was very encouraging. We will continue to follow interesting paths in our efforts to reach our safety vision -- to design cars that do not crash.”

This is happening right now. The Volvo XC60 has a feature called City Safety fitted as standard. At low speeds, it can bring the car to a complete halt if the vehicle in front comes to a sudden stop. “Beyond City Safety, the next step will be our first pedestrian avoidance feature,” Ekmark says. Now if Volvo could come up with a paparazzi-avoidance feature, imagine how well those cars would sell here.

-- Colin Ryan

Photos: Volvo

Catching Up to Speed: Monday, Sept. 22, 2008

A quick roundup of other automotive stories ...

Shocking! Mini goes electric 
Website Engadget.com links to CAR magazine's spy photos of the electric version of the Mini Cooper taking a spin around Munich.

How to survive the used-car lot
Members of the car-obsessed pit crew at Jalopnik.com understand that not everyone can afford a shiny new ride. They offer seven steps on how to get a new-to-you purchase without breaking the bank.

Car shows in the area
Working for the weekend? Mark your calendar for these upcoming events:

12th Annual Car Show for the Son
Showcasing antiques, street rods, muscle cars, motorcycles and more.
9 a.m. to 3 p.m., Saturday, 1245 N. Euclid Ave., Ontario. www.socalcarculture.com

9th Annual Crusin' for a Cure
Over 3,400 American-made vehicles participate in the one-day charity custom/classic car show benefiting prostate cancer research at the UCLA Jonsson Comprehensive Cancer Center.
7 a.m. to 5 p.m., Saturday, OC Fair & Events Center, Costa Mesa. www.cruisinforacure.com

Oktoberfest and Classic Car Show
Beer tasting and awards such as Best of Decade and Best Pre-1930. Held at (and benefiting) the 1892 Victorian-style Camarillo Ranch House.
11 a.m. to 4 p.m. Sunday. www.camarilloranch.org

Find more events at AutoBooks' Automotive Calendar of Events.

Photo: Electric Mini Cooper
Credit: CAR magazine

GM Punting on Super Bowl

After losing to the San Francisco 49ers Sunday, the Detroit Lions are 0-3 and look to be a lock to miss the Super Bowl for the XLIIIth time.

General Motors, another dented Motor City icon, won’t be playing in the big game either come February.

The world’s largest automaker said today that it would take a pass on the world’s biggest advertising venue in yet another move aimed at saving money. GM, an "official sponsor" of the NFL and one of the big game’s biggest advertisers, said it would confine its promotional spending to the considerably less expensive -- and less viewed -- pre- and post-game shows.

“We’ve changed our plans and reduced our spending on a couple of big-ticket items,” GM spokeswoman Kelly Cusinato said.

Big ticket indeed. NBC announced in May that it was raising the price of a 30-second "in game" spot to $3 million -- up from the $2.7 million Fox charged this year. Last week, NBC said 85% of the commercial sports for the Feb. 1 game were sold.

GM has called a timeout on Super Bowl ads before, Cusinato said, opting not to participate in 2001 and for a couple of years during the 1990s. Last year, the company ran a spot for its new GMC Yukon hybrid SUV.

But experts noted that it’s a sign of GM’s current struggles that it would abandon such a high-profile opportunity. (Four of the 10 most-watched TV shows of all time are Super Bowls. The highest-rated game was Super Bowl XVI in 1982 between the 49ers and the Cincinnati Bengals.)

"It’s a risky move, but I don’t think they have much choice right now given their financial condition," said Eli Portnoy, chief brand strategist for Orlando, Fla.-based Portnoy Group.

GM has made other cutbacks in its promotional spending, deciding not to advertise during Sunday night’s Emmy awards broadcast or next year’s Academy Awards show. It also canceled the big party it has thrown every January at the Detroit auto show.

Cusinato said the automaker plans to spend its ad dollars mainly when it is launching a new vehicle, which won’t be the case in February. (That apparently doesn't rule out ads for vehicles such as the Chevy Volt, which is supposed to debut, um, in 2010.)

Now, if they could just do something about that Lions defense . . .

-- Martin Zimmerman

Chart data from TNS Media Intelligence

BMW 1 and 3 Series get a Google engine

Having already made Google Maps available in the 5, 6 and 7 Series, BMW is now doing the same thing for its 1 and 3 Series. It works like this, subscribers to the BMW Assist Convenience Plan can access BMW Search to find a business — such as a cinema, hotel, restaurant, bank or gas station — by inputting a keyword (just like home- and office-bound computer users do), then enter that information straight into the navigation system and/or place a hands-free call via one’s Bluetooth-equipped phone.

Information is updated continuously. BMW calls this “the next logical and consequential development of the link between the automobile and the Internet.”

The system works on the AT&T network, but users with phones on other networks can still make and receive calls. BMW Assist is similar to General Motors’ OnStar service, in which people may speak to a real human being. A severe accident activates the Automatic Collision Notification function. There’s also a stolen vehicle recovery service and even a service reminder feature in which the driver can arrange an appointment and all the necessary parts will be waiting. Looks like the future is here now.

—Colin Ryan

Photo: BMW

Catching Up to Speed: car shows and events

Love car shows? Here are some activities to keep your motor running until next weekend's AltCar Expo.

San Bernardino: 19th annual Route 66 Rendezvous Car Show
Downtown San Bernardino has a host of events that started Thursday and will run through Sunday, Sept. 21. A model car contest, live music, car cruises and Parade of Champions are part of the celebration. See www.route-66.org for more information.

Palos Verdes Peninsula: Concours D’Elegance
Using views from the Palos Verdes Peninsula as a backdrop, the event will honor 100 years of General Motors, concentrating on Cadillac and alternative fuel vehicles. Although other activities are scheduled earlier in the weekend, the Concours will be from 10 a.m. to 4 p.m. Sunday, Sept. 21, at the Trump National Golf Club. www.pvconcours.com

Burbank: Burroughs High School/Arrowhead Club Car Show
Benefiting the school's football program, the show will feature stock cars, muscle cars and foreign sports cars, as well as classic cars and motorcycles.
10 a.m. to 3 p.m., Sunday, Sept. 21, Johnny Carson Park, Burbank. www.jbarrowheadclubcarshow.com

(Source: AutoBooks' Automotive Calendar of Events)

—Whitney Friedlander

Will Chrysler be first in the electric car race?

Of the world's six largest automakers, one stands out as being far behind the curve when it comes to alternative vehicles. Guess which?

Chrysler is the last of the big boys to get a hybrid vehicle to market — its Dodge Durango and Chrysler Aspen hybrids still haven't made it to dealerships — and it has made very little noise about developing new technology even as GM, Ford, Toyota, Honda and Nissan have competed to grab ever more headlines with batteries, fuel cells and plug-ins. Chrysler's biggest innovation in years has been to put wireless Internet in its cars.

But suddenly, and seemingly out of nowhere, the smallest of the Big Three may be changing the equation.

Beleaguered Chrysler, which has seen its U.S. sales drop 24% so far this year and given up on leasing in the process, is planning a special, rather mysterious event  Tuesday at its headquarters in Auburn Hills, Mich.

Rumor has it that the company will show off either an electric car, a plug-in hybrid electric car or an extended-range electric car (like the Chevy Volt), or some combination thereof. Chrysler says officially only that it will introduce a new vehicle and let a select group of journalists drive it. Although it isn't confirming the speculation, it's not exactly denying it either. "These are future vehicles," a spokesman told The Times. "You can put two and two together on this one."