ARE YOU EXPLOITING THE FULL POTENTIAL OF CERTIFIED PRE-OWNED SALES?

Transcription

1

2 ARE YOU EXPLOITING THE FULL POTENTIAL OF CERTIFIED PRE-OWNED SALES? An Effective CPO Program Benefits OEMs, s and Customers A robust Certified Pre-Owned (CPO) sales strategy effectively stabilizes residual values. This has a positive impact on new car sales, improves profit and creates new revenue streams. STREAMLINING REMARKETING PROCESSESES. Efficiency is key to a successful remarketing strategy not only providing checks and balances along every step of the remarketing process, but also establishing the necessary framework to ensure that return vehicles are sold for the maximum price with the lowest possible operational costs. There are three key factors for OEMs to keep in mind when developing a remarketing strategy: 1. It should limit the amount of leased vehicles sent directly to auction which lowers vehicle prices and drives down the residual value of vehicles. This results in limited financial services support for new vehicle sales. 2. Vehicles should be serviced with original OEM parts and by factory-trained technicians. This will improve the long-term value and overall condition of an OEM s vehicles in the pre-owned market. 3. It should utilize a dedicated, experienced partner to assist in the development, implementation and monitoring of the remarketing strategy. This will ensure the success of the strategy. RAISING REVENUES WITH CPO SALES. CPO vehicles make up a growing percentage of today s total vehicle sales. In fact, CPO sales increased by seven percent worldwide during the first half of Effective remarketing is a win-win situation for OEMs, and customers alike. While customers value the peace of mind that comes from knowing CPO vehicles have the manufacturer s seal of approval, also can benefit from an increased bottom line from higher sales and service revenues. OEMs profit from improved residual values, and increased long-term customer loyalty as a result of enrollments and service requirements. Additionally, stabilizing residual values has a direct effect on new car sales since it allows to lower leasing rates, making them more attractive and competitive. Furthermore, revenues from pre-owned vehicle sales are multiplied in every department of the hip sales, service, parts and finance. Extended and service plans are more likely to be considered by the customer with a CPO vehicle purchase. However, unlike new vehicles, pre-owned units depreciate on a daily basis. This, combined with the cost of keeping vehicles on the lot or in the showroom too long, can result in a loss of thousands of dollars per month. Therefore, require comprehensive pre-owned solutions that reduce turn time on vehicles, improve service throughput and increase the number of pre-owned leads. They also require training on how to best package, present and sell a CPO and pre-owned vehicle, thereby maximizing the flow of inventory and boosting the bottom line. A STRONG REMARKETING PARTNER SERVES OEM AND DEALER NEEDS. MSXI is the leading global provider of Retail Network Solutions (RNS) to OEMs and hips. The company partners with automakers to enhance the retail customer experience by streamlining business processes to increase performance and positively affect customer acquisition and retention, technical support and training, and management. This includes reinforcing your existing CPO capability and strengthening existing business processes. Our solutions include: Scheduled Maturity Analytics and Planning Residual Value Management Consulting Pre-Owned Sales Manager Training ship CPO/Pre-Owned Coaching Solutions CPO Sales and Merchandising Training CPO ship Compliance Solutions For more information about how MSXI can help you boost CPO and Pre-owned vehicle sales, maximize inventory flow and increase gross profits, please visit

3 I N T R O D U C T I O N GUIDE TO CERTIFIED PRE-OWNED VEHICLE PROGRAMS ontents Certified pre-owned vehicle checklist...4 Acura, Audi, Bentley, BMW, Cadillac...5 Chrysler Group, Ford Motor, General Motors, Honda, Hyundai...6 Infiniti, Jaguar, Kia, Land Rover, Lexus...7 Lincoln, Maserati, Mazda, Mercedes-Benz, Mini...8 Mitsubishi, Nissan, Porsche, Rolls-Royce, Smart...9 Subaru, Toyota, Volkswagen, Volvo...10 Glossary of terms...10 Certified pre-owned vehicle sales, 2012 by month...11 Arlena Sawyers [email protected] Sales of certified used vehicles jumped 15 percent this year through July from a robust year-earlier period, with many brands registering double-digit increases. Through the first seven months of this year, the industry s certified used-vehicle sales totaled 1,229,324 units, according to data compiled by the Automotive News Data Center and Autodata Corp. That comes after a strong 2012, when the industry sold a record 1,834,766 certified vehicles, a 5 percent gain over Before 2011, the record of 1,694,929 was set in Assisting the certified sales surge is the increase in the number of off-lease vehicles re-entering the market this year, say industry experts and manufacturers. Data from NADA Used Car Guide show the number offlease vehicles returning to the market annually bottomed out in 2012 and now is rebounding. The guide predicts that 1.6 million off-lease units will return to the market this year, up from 1.4 million in That number is expected to rise to 1.9 million in Larry Dixon, an analyst at the guide company, said growth in off-lease supply was expected to fuel certified pre-owned sales. While we do not have a specific forecast for CPO sales, data suggests that sales growth will be in the double digits this year, said Dixon, citing sales so far this year. Costconscious consumers increasingly realize that CPO units provide the peace of mind associated with purchasing a new vehicle but without the higher price tag. Among the companies experiencing strong growth is Hyundai Motor America. Its sales of certified used vehicles through July increased 13 percent to 44,157. Hyundai s strong growth Dave Zuchowski, Hyundai s U.S. sales boss, says a growing inventory of off-lease vehicles over the past three years has helped the brand boost certified used-vehicle sales exponentially. Its sales in 2012 surged 43 percent to 70,049, and Zuchowski says Hyundai s certified sales could rise to as many as 80,000 this year. He says the company expects about 48,000 off-lease units to return to the market this year, about 80,000 in 2014 and the number will continue to grow in The vehicles are relatively low miles, you know who the [previous] owner is, they are clean and they are in good shape, and the miles are all managed at the end of the lease term because leases are based on 12,000 or 15,000 miles max. One of the dealer s biggest problems is finding good sources for used vehicles. The lease return is the absolute best source. Cadillac is among the companies that upgraded their certified used-vehicle s over the past year. In May, Cadillac reinstated a bumper-to-bumper on its certified used vehicles, a move the luxury brand said made it more competitive with rivals s. The covers six years or 70,000 miles, starting from the time the vehicle was bought new. It is two years and 20,000 miles longer than Cadillac s new-vehicle and replaces a 6-year/100,000-mile limited on certified used vehicles. Expanded The new covers items such as paint, wheels, interior and exterior trim, headlights and mirrors, which were not covered by the previous. The results are measurable. In the first seven months, Cadillac s certified used-vehicle sales improved 11 percent to 11,015. In 2012, the brand s certified sales dropped 28 percent to 16,609. Before April 2009, certified used Cadillacs were covered by a bumper-to-bumper similar to the new. But the coverage was reduced because of General Motors 2009 bankruptcy restructuring. Though certified sales are soaring, not all are partaking. Tim Walters, owner of Walters Elkland Chevrolet in Elkland, Pa., said, I m in the opposite camp only because I m having a hard time sourcing them; not that I have anything against the. Before the recession, Walters did a lot of leasing and depended on vehicles returned by his customers to help replenish his certified used-vehicle inventory. But in 2009 when industrywide leasing all but dried up, he lost most of his lease customers. The off-lease GM vehicles offered at auctions cost more than he wants to pay. So he buys a lot of used non-gm vehicles to keep his used-vehicle operation going. Walters added: Obviously, I can t certify those. c Sponsored by 3

4 CERTIFIED PRE- OWNED VEHICLE CHECKLIST air conditioning airbags alarm antenna ashtrays audio system carpet convertible top cupholders dash pads dashboard illumination defogger defroster entertainment package body panels brackets bumpers/fenders deck doors door locks exterior lights grille aftermarket components color consistency even, high-luster paint air refiner filter auxiliary battery electric motor assisted power steering electronically controlled transmission equalizing charge hybrid battery Interior fabric/leather fuel and trunk release glove box/compartments head restraints headliner heat horn lighter lighting system mats mirror controls moonroof navigation systems no debris Exterior hinges hood major damage from rust or natural disaster outside mirrors paint molding Exterior appearance and condition free of dents glass is clear and free of repairs no cracked or broken lenses Hybrid components hybrid electronic control unit hybrid engine hybrid immobilizer system inverter coolant level module air intake duct motor power cable odors panel power outlets power windows radio seat belts seat adjusters steering system sun visor sunroof trim vanity mirror vent window tinting remotes roof rack tailgate trim wheels wheel covers windows and windshield wipers no residue no swirl marks no water spots no water leaks multi-information display power unit software updates alternator battery belts cables engine engine fluids bars brakes bushings calipers chassis clutch cylinders differential carpet clean and free of debris fiberboard tire cover jack engine performance indicator lights gauges vehicle VIN plates match engine compartment, doorjambs and dash owner s manual new-car manual certified booklet Underhood fans filters hoses ignition system leaks mounts Underbody drums exhaust system frame hoses joints lines pads rotors Trunk/luggage compartment no odors spare tire storage areas tool kit Road test noise and vibration squeaks and rattles cruise control Vehicle history vehicle history report scheduled maintenance service bulletins radio security code navigation code truck bed power steering pumps radiator starter tanks wires shafts shoes steering suspension tires and wheels transaxle transfer case transmission trim trunk latches trunk light weatherstripping transmission and clutch operation steering and suspension ABS/brakes recalls Additional items, where applicable truck bedliner truck tailgate USB port Inspection points may not apply to all manufacturers or vehicles 4

5 Program name/top executive/web address No. of in / Total newcar fees per vehicle criteria Independent third-party inspection Acura Acura Certified Pre-Owned Vehicles 261/ $445 sign 150-point inspection Yes Powertrain 72 months/70,000 miles from original in-service date Yes No/$0 Yes/$0 3-day Brian Butts 275 voluntary 6 model years or newer 12 months/12,000 miles of limited following expiration exchange manager, automobile remarketing participation Less than 80,000 miles of new-car only agreement 12 months of emergency roadside assistance, trip interruption benefits, concierge service, free 3-month SiriusXM Radio trial Vehicle history report provided Is there a deductible?/ cost Is the transferable?/ fee return/ exchange Audi Audi Certified Pre-Owned 275/ $1,350- Audi franchised 300+ point inspection Yes Remainder of new-vehicle limited Yes Yes/$85 Yes/$150 None Matt Carpenter 275 $1,950 dealer in 5 model years or newer 24 months/50,000 miles comprehensive after new-car general manager, vehicle sales good standing Less than 60,000 miles expires (transferable between private parties) cars.audiusa.com Vehicle must have been Total vehicle miles not to exceed 100,000 miles in service for at least Roadside assistance 4 months or 4,000 miles Bentley Bentley Pre-Owned 41/ N.A. Bentley trained Pass demanding No Valid for a minimum of 12 months with option to extend Yes No/$0 Yes/$50 Varies Derrick Fraesdorf 41 and certified technical inspection by coverage further by franchise development manager staff Bentley certified technicians Roadside recovery and home assistance to garaging dealer bentleymotors.com/models/preowned See certified dealer for a and storage; travel and accommodation costs (where applicable); complete list car hire and repatriation BMW Certified Pre-Owned by BMW 338/ $1,260- s sign Comprehensive inspection Yes 24 months/50,000 miles comprehensive after new-car Yes Yes/$50 Yes/$0 Stephen Saward 338 $2,960 a participation 5 model years or newer expires option department head, pre-owned sales agreement Less than 60,000 miles Balance of 4/50 BMW Ultimate Service Maintenance Program and corporate fleet and corporate fleet Balance of BMW paid 4-year BMW Assist Safety Planalance of 4/50 BM bmwusa.com/cpo Roadside assistance 6 years/unlimited miles Cadillac Cadillac Certified Pre-Owned Vehicles 706/ $1,195 must be 172-point inspection No 6-year/70,000-mile bumper-to-bumper limited Yes No/$0 Yes/$0 None Chase Hawkins 950 enrolled, active 60 months from original from original in-service date vp U.S. sales and service in, in-service date 3 months of OnStar and SiriusXM Radio at no additional cost cadillac.com and meet Less than 60,000 miles Roadside assistance, courtesy transportation, and trip minimum interruption protection compliance standards Note: Total new-car as of Sept fees may include per-vehicle certification fees, advertising fees and fees. Sponsored by N.A. = Not available Source: Automotive News Data Center and company sources 5

6 Program name/top executive/web address No. of in / Total newcar fees per vehicle criteria Independent third-party inspection Chrysler Group* Chrysler Certified Pre-Owned Vehicles 1,404/ $325 must 125-point inspection No Powertrain 7 years/100,000 miles, depending on model year, Yes Yes/$150 Yes/$150 None Eric Swanson 2,588 complete 5 model years or newer from original in-service date head of certified pre-owned vehicle sales hip Less than 75,000 miles Upgraded available, including industry-exclusive certifiedpreowned.chrysler.com installation lifetime upgrade *Includes Chrysler, Dodge, Fiat, Jeep and Ram Fiat Added Care + Warranty (see Fiat dealer for more details) Vehicle history report provided Is there a deductible?/ cost Is the transferable?/ fee return/ exchange Ford Motor* Ford Certified Pre-Owned 2,739/ $425, Meet training 172-point inspection Yes Powertrain 7-year/100,000-mile limited from Yes Yes/$100 Yes/$0 None Todd Fites 3,277 $695 for requirements, 5 model years or newer original in-service date and 12-month/12,000-mile comprehensive national CPO sales manager Super signed Less than 80,000 miles limited from end of new-car or CPO purchased ford.com/certified-used Duty agreement, date, whichever comes first *Ford division have the option to participate trucks $500-$1,500 7-year/100,000-mile roadside assistance from original in-service date and sell Mercury certified pre-owned vehicles & vans annual fee per dealer Free Carfax report and covered by Carfax Buyback Guarantee planning volume General Motors Certified Pre-Owned Vehicles from 3,120/ N.A. s 172-point inspection Yes Powertrain 5 year/100,000-mile limited from original Yes No/$0 Yes/$0 3 days/ Chevrolet, Buick and GMC* 4,220 sign a and reconditioning process in-service date and 6 years/100,000 miles on 2013 model year and newer 150 miles Ed Peper participation 6 model years or newer Bumper-to-bumper 12-month/12,000-mile new-vehicle customer U.S. vp fleet and commercial sales agreement Less than 75,000 miles extension after new-car expires satisfaction gmcertified.com CPO industry exclusive 2-year/30,000-mile standard maintenance plan guarantee *Includes Hummer, Pontiac and Saturn Roadside assistance and 24/7 courtesy transportation Honda Honda Certified Used Cars 1,030/ $375 s 150-point inspection Yes Powertrain 84 months/100,000 miles from original in-service date Yes No/$0 Yes/$0 None Brian Butts 1,038 sign a 6 model years or newer Non powertrain 12 months/12,000 miles after new-car manager, automobile remarketing participation Less than 80,000 miles expires hondacars.com/certified agreement Free 3-month trial of SiriusXM Radio Hyundai Hyundai Certified Pre-Owned 705/ $399- must 150-point inspection No Remainder of 5-year/60,000-mile new-vehicle limited Yes Yes/$50 Yes/$0 None Jose Froehlich 823 $499 enroll in data 5 model years or newer from original in-service date and zero miles senior manager, certified pre-owned extraction and Less than 60,000 miles CPO powertrain 10 years/100,000 miles from original in-service date and zero miles hyundaicertified.com abide by Must pass Carfax 10 years/unlimited miles roadside assistance, trip interruption protection, rental guidelines vehicle history report car up to 10 days for covered repairs, free 3-months trial of SiriusXM Radio Note: Total new-car as of Sept fees may include per-vehicle certification fees, advertising fees and fees. N.A. = Not available Source: Automotive News Data Center and company sources 6

7 Program name/top executive/web address No. of in / Total newcar fees per vehicle criteria Independent third-party inspection Infiniti Infiniti Certified Pre-Owned 197/ $899 s sign 160-point inspection Yes CPO extends basic limited 6 years/100,000 miles coverage Yes Yes/$50 Yes/$0 None Martin Gleason 197 agreement 4 model years or newer from original in-service date (inclusive of powertrain coverage) senior manager, CPO and pre-owned to comply with Less than 60,000 miles Optional extended WRAP service contract 7 years/100,000 miles infinitiusa.com/pre-owned/overview all CPO Clean title history from the original in-service date, plus reunite service guidelines 3-year Carfax Buyback Guarantee Roadside assistance, trip interruption, towing assistance, service car loan/rental Vehicle history report provided Is there a deductible?/ cost Is the transferable?/ fee return/ exchange Jaguar Jaguar Select Certified Pre-Owned 165/ Varies Available 150-point inspection No 6 years/100,000 miles from original in-service date Yes No/$0 Yes/$0 None David Wolfe 165 by to all 5 model years or newer 24 months/50,000 miles comprehensive after new-car national remarketing manager model Jaguar Less than 60,000 miles expires jaguarusa.com/certified-preowned/benefits 24-hour roadside assistance and trip interruption benefits Rental car reimbursement Kia Kia Certified Pre-Owned Program 605/ $0 to Enrollment 150-point inspection No Powertrain 10-year/100,000-mile limited from Yes Yes/$50 Yes/$0 See Tom Loveless 768 certify, and adherence Up to 5 model years old original in-service date and zero odometer miles dealer executive vp sales $450 to certification Less than 60,000 miles Original 10-year/100,000-mile is nontransferable for kia-cpo.com once policy and Roadside assistance, rental car allowance, travel breakdown coverage details vehicle is procedures (hotel and meals if more than 100 miles from home), 24/7 call center retailed for customer assistance, and 90-day SiriusXM Radio trial Land Rover Land Rover Select Certified Pre-Owned 166/ Varies Available 150-point inspection No 6 years/100,000 miles from original in-service date Yes No/$0 Yes/$0 None David Wolfe 166 by to all 5 model years or newer 24 months/50,000 miles comprehensive after new-car expires national remarketing manager model Land Rover Less than 60,000 miles Rental car reimbursement landroverusa.com/cpo 24-hour roadside assistance, trip interruption benefits, rental car reimbursement Lexus Lexus Certified Pre-Owned 233/ $995 signs 161-point inspection Yes 100,000 miles from original in-service date or 36 months from Yes No/$0 No/$0 None Todd Ferguson 233 a CPO 6 model years or newer CPO date of sale, whichever occurs first national manager, Lexus market rep. enrollment 24-hour roadside assistance, trip interruption coverage, loaner & CPO manager form a vehicle (first basic service and loaner vehicle is free) lexus.com/cpo Note: Total new-car as of Sept fees may include per-vehicle certification fees, advertising fees and fees. Sponsored by N.A. = Not available Source: Automotive News Data Center and company sources 7

8 Program name/top executive/web address No. of in / Total newcar fees per vehicle criteria Independent third-party inspection Lincoln* Lincoln Certified Pre-Owned 861/ $995 Compliance test 200-point inspection Yes 6-year/100,000-mile comprehensive limited Yes Yes/$100 Yes/$0 None Todd Fites 927 required; Current model year plus from original in-service date Ford Lincoln national cpo sales manager $500-$1,500 5 previous model years Optional extended 7 years/100,000 miles or 7 years/75,000 miles available lincoln.com/certified-used annual fee Less than 60,000 miles Complimentary roadside assistance 24 hours/7 days per week, destination *Lincoln have the option to participate based on dealer expense assistance, travel expense and car rental reimbursement and sell Mercury certified pre-owned vehicles planning volume Carfax Buyback Guarantee Vehicle history report provided Is there a deductible?/ cost Is the transferable?/ fee return/ exchange Maserati Certified Pre-Owned by Maserati 71/ $1,995- s sign 150-point inspection No 24-month/50,000-mile comprehensive Named Exclusion Yes No/N.A. Yes/N.A. Alex Salamone 71 $2,395 a participation 4 model years or newer coverage after new-car 48-months/50,000 miles expires option director, business development with $250 agreement Less than 48,000 miles for a total of up to 6 years/100,000 miles of coverage maseratipreowned.com inspection Maintained in accordance Roadside assistance credit with Maserati factory guidelines Mazda Mazda Certified Pre-Owned Vehicle Program 614/ $0 s sign 150-point inspection Yes Powertrain 7-year/100,000-mile limited from original Yes No/$0 Yes/$0 None Roger Basa 637 to enroll a participation 5 model years or newer in-service date; 12-month/12,000-mile additional limited manager, remarketing and CPO $349 agreement Less than 60,000 miles from CPO date of sale mazdausa.com/cpo per vehicle 3 -year buy back protection offer with AutoCheck and 24-hour certification fee roadside assistance Mercedes-Benz Mercedes-Benz Certified Pre-Owned Program 358/ $495- s must Rigorous inspection Yes 5 years/100,000 miles from original in-service date Yes No/$0 Yes/$0 7 days/ Michael Slagter 358 $1,480 meet training 6 model years or newer 12-month/120,000-mile or 24-month/135,000-mile extended 500 miles senior vp sales operations MBCPO and performance Less than 75,000 miles limited vehicle coverage available exchange mbusa.com/mercedes/cpo base criteria as outlined 24-hour roadside assistance in the MBCPO Mini Mini Next Certified Pre-Owned 117/ N.A. s sign a Mini Next vehicle No Additional 2-year/50,000-mile protection plan from the Yes Yes/$50 Yes/$0 None Jim McDowell 117 participation inspection checklist expiration of the original 4-year/50,000-mile vp, Mini USA agreement 5 model years or newer Mini new-car limited (comprehensive up to miniusa.com/next Less than 60,000 miles 6 years/100,000 miles) Reconditioned with only 2 years/unlimited mile roadside assistance from expiration of genuine Mini parts original Mini new car limited Note: Total new-car as of Sept fees may include per-vehicle certification fees, advertising fees and fees. N.A. = Not available Source: Automotive News Data Center and company sources 8

9 Program name/top executive/web address No. of in / Total newcar fees per vehicle criteria Independent third-party inspection Vehicle history report provided Is there a deductible?/ cost Is the transferable?/ fee Mitsubishi Mitsubishi Certified Pre-Owned Program 353/ $199- One-time 123-point inspection No 10 years/100,000 miles from original in-service date Yes No/$0 No/$0 None Joe Delello 377 $699 enrollment 5 model years or newer director, franchise & fleet fee of $595 Less than 60,000 miles return/ exchange Nissan Nissan Certified Pre-Owned 1,026/ $385 s sign 160-point inspection Yes 7 years/100,000 miles from original in-service date Yes Yes/$50 Yes/$0 None Martin Gleason 1,067 agreement to 5 model years or newer Powertrain 24 months/40,000 miles after new-car expires senior manager, CPO and pre-owned comply with all Less than 60,000 miles Optional Security+Plus Pre-Owned Preferred Extended Protection Plan nissanusa.com/cpo CPO Clean title history 3-year Carfax Buyback Guarantee guidelines Roadside assistance, trip interruption, towing, car rental Porsche Porsche Approved Certified Pre-Owned 189/ $1,890- Compliance 111+ point inspection Yes Similar to new-car Yes No/$0 Yes/$0 None Vehicle Program 189 $2,390 with CPO 8 model years or newer 2-year/50,000-mile limited not to exceed 100,000 miles Kevin Harvey policy and Less than 100,000 miles 24-hour roadside assistance manager, pre-owned business procedures porsche.com/usa/approvedused/ Rolls-Royce Rolls-Royce Provenance 36/ N.A. N.A. Uncompromising Yes Minimum 2-year Yes Yes/$0 Yes/$0 None Jolyon Nash 36 predelivery inspection Complimentary standard servicing using genuine Rolls-Royce director, sales & marketing In service 6 months parts rolls-roycemotorcars.com or 6,000 miles 24-hour worldwide roadside assistance Less than 8 years from original start-of-service date Smart Smart Certified Pre-Owned 91/ N.A. must Comprehensive inspection Yes Depending on the model year, 1-year/100,000-mile or Yes No/$0 Yes/$0 7 days/ Michael Slagter 91 meet training 6 model years or newer 2-year/100,000-mile extended limited available 500 miles senior vp sales operations and performance Less than 75,000 miles 1-year/120,000-mile or 1-year/135,000-mile extended vehicle smartusa.com/certified-pre-owned criteria limited exchange 24-hour roadside assistance covered for the life of Smart CPO limited Note: Total new-car as of Sept fees may include per-vehicle certification fees, advertising fees and fees. Sponsored by N.A. = Not available Source: Automotive News Data Center and company sources 9

10 Program name/top executive/web address No. of in / Total newcar fees per vehicle criteria Independent third-party inspection Vehicle history report provided Is there a deductible?/ cost Is the transferable?/ fee Subaru Subaru Certified Pre-Owned Vehicle 360/ $495 + s sign 152-point inspection Yes Powertrain 7 years/100,000 miles from original in-service date Yes No/$0 Yes/$35 None Bill Cyphers 622 surcharges a participation 5 model years or newer Roadside assistance senior vp sales agreement Less than 80,000 miles subaru.com/cpo return/ exchange Toyota Toyota Certified Used Vehicles* 1,180/ $450 Must be a 160-point inspection Yes Powertrain 84 months/100,000 miles from original in-service date Yes Yes/$50 Yes/$0 Dave Depew 1,234 franchised 7 model years or newer 12-month/12,000-mile comprehensive coverage option corporate manager, certified used vehicles Toyota dealer Less than 85,000 miles 1-year roadside assistance with unlimited miles toyotacertified.com and sign a Must pass a Carfax history *Go to toyotacertifiedhybrids.com for details participation Hybrid vehicles have 14 on Toyota s hybrid CPO agreement additional inspection points Volkswagen WorldAuto Certified Pre-Owned 599/ $470- Volkswagen 112-point inspection Yes 24 months/24,000 miles comprehensive added to the remaining Yes Yes/$50 Yes/$0 None Scott Weitzman 600 $770 6 model years or newer factory or from date of CPO sale if no remains general manager, used-vehicle operations in good Less than 75,000 miles 3 months free trial SiriusXM Radio on all factory-equipped CPO units vwused.com standing 2-year roadside assistance Volvo Volvo Certified Pre-Owned 312/ $1,300 Volvo 130+ point inspection No 7 years/100,000 miles from original in-service date Yes No/$0 Yes/$0 None Steve Golow 312 in good 5 model years or newer 3 years/50,000 miles comprehensive after new-car expires CPO & remarketing manager standing Less than 80,000 miles 3 months free trial of SiriusXM Radio volvocars.com/us/cpo Volvo OnCall Roadside Assistance Note: Total new-car as of Sept fees may include per-vehicle certification fees, advertising fees and fees. Automotive News Data Center makes every effort to be accurate. In the event of a misprint, the guide will not be reprinted but will be corrected in the next scheduled printing. Certified pre-owned vehicle A previously owned vehicle sold with the original manufacturer s certification that the vehicle is in optimal condition. The manufacturers select vehicles based on age, mileage and a multiple-point inspection process. Age, mileage and inspection criteria vary by manufacturer. Point inspection A comprehensive vehicle inspection to ensure that the vehicle is in excellent working order. The point inspection is a list of the parts of the vehicle that are examined. Each manufacturer has its own inspection list, but most are similar. All inspections are performed under strict manufacturer guidelines. Most certified pre-owned s transfer and extend the existing new-car terms or add terms and mileage. Warranty coverage varies by manufacturer. GLOSSARY OF CERTIFIED PRE-OWNED VEHICLE TERMS Warranty deductible The amount the owner is responsible for when repair work is performed under CPO. Many manufacturers do not require a deductible. Transferable If the owner of a certified pre-owned vehicle sells the vehicle and it is within the period, the new owner may be eligible for a transfer of the. Some manufacturers require the new owner to pay a transfer fee. To be considered for certification, a vehicle must be a recent model year, have limited mileage and pass a multiple-point inspection. Each manufacturer has its own set of requirements. 10

11 CERTIFIED PRE- OWNED VEHICLE SALES 12 MONTHS Percent January February March April May June July August September October November December Total Total change BMW division 5,351 6,278 7,081 5,983 6,560 6,296 5,654 6,542 6,893 6,059 5,577 6,766 75,040 84,327 11% Mini ,392 2, BMW GROUP 5,495 6,502 7,342 6,236 6,840 6,588 5,948 6,889 7,234 6,385 5,854 7,119 78,432 86,476 9 Chrysler Division 1,768 2,263 2,353 1,665 1,821 1,823 1,646 1,854 1,574 1,777 1,981 1,931 22,456 29, Dodge 3,914 4,894 5,319 4,270 4,630 5,029 4,188 4,680 3,924 4,191 4,385 4,254 53,678 44, Fiat Jeep 2,929 3,258 3,574 2,668 3,110 3,337 2,935 3,397 2,593 2,762 3,106 3,124 36,793 40,457 9 CHRYSLER GROUP 8,615 10,416 11,250 8,611 9,571 10,207 8,778 9,944 8,097 8,753 9,495 9, , ,854 2 Ford/Mercury 8,833 11,111 13,373 11,755 13,126 13,949 13,253 13,645 14,193 12,922 12,669 14, , , Lincoln 1,417 1,620 1,844 1,786 1,673 1,679 1,598 1,638 1,679 1,496 1,401 1,598 19,429 15, FORD MOTOR CO. 10,250 12,731 15,217 13,541 14,799 15,628 14,851 15,283 15,872 14,418 14,070 15, , , Buick 1,602 1,746 2,121 1,742 1,892 1,847 1,732 1,879 1,788 1,671 1,704 1,720 21,444 20,542 4 Chevrolet 15,155 17,740 19,994 15,503 16,741 16,884 15,579 16,591 15,632 16,160 15,913 16, , ,592 4 GMC 3,052 3,171 3,679 3,083 3,663 3,973 3,546 3,603 3,245 3,092 3,167 3,360 40,634 40,234 1 Pontiac 993 1,148 1, ,724 23, Saturn ,406 10, GM Certified 21,296 24,393 27,833 21,733 23,775 24,095 22,039 23,305 21,602 21,767 21,535 21, , ,957 4 Cadillac 1,553 1,476 1,700 1,329 1,359 1,304 1,185 1,284 1,264 1,278 1,280 1,597 16,609 23, Hummer GENERAL MOTORS 22,867 25,879 29,550 23,071 25,138 25,403 23,231 24,599 22,872 23,046 22,815 23, , ,672 6 Acura 2,926 3,334 4,095 3,494 3,955 3,983 4,020 3,793 3,593 3,516 3,503 3,662 43,874 48,149 9 Honda Division 17,047 19,572 23,562 18,860 21,296 22,673 21,186 21,289 19,077 18,173 17,829 18, , ,211 4 AMERICAN HONDA 19,973 22,906 27,657 22,354 25,251 26,656 25,206 25,082 22,670 21,689 21,332 22, , ,360 2 Hyundai division 4,620 5,186 6,634 4,693 5,730 6,302 5,906 6,362 6,522 6,069 5,786 6,239 70,049 48, Kia 1,140 1,330 1,735 1,260 1,528 1,650 1,749 1,824 1,804 2,026 2,001 2,029 20,076 9, HYUNDAI-KIA 5,760 6,516 8,369 5,953 7,258 7,952 7,655 8,186 8,326 8,095 7,787 8,268 90,125 58, Jaguar ,301 3, Land Rover ,588 3, JAGUAR LAND ROVER ,889 7, MASERATI MAZDA 1,600 1,872 2,174 1,796 2,048 2,012 2,345 2,615 2,631 2,570 2,798 2,779 27,240 18, Mercedes-Benz 6,945 5,985 6,994 6,368 6,534 6,593 6,519 6,921 6,727 6,732 7,113 6,949 80,380 74,571 8 Smart MERCEDES-BENZ 6,945 5,985 6,994 6,368 6,539 6,599 6,530 6,937 6,736 6,752 7,125 6,959 80,469 74,571 8 MITSUBISHI* Infiniti 935 1,007 1,375 1,165 1,076 1, ,782 13, Nissan Division 7,082 7,911 10,025 8,916 8,750 9,822 8,703 9,511 9,838 8,583 8,194 8, ,070 91, NISSAN N.A. 8,017 8,918 11,400 10,081 9,826 10,893 9,552 10,319 10,649 9,492 9,024 9, , , SAAB CARS N.A. 885 SUBARU 1,671 1,760 2,183 1,918 2,054 2,190 1,999 2,270 2,002 2,400 2,599 2,497 25,543 23,856 7 Lexus 5,288 5,910 6,611 5,256 5,907 5,962 5,285 5,489 5,747 5,332 5,179 6,548 68,514 70,215 2 Toyota Division 23,722 27,565 31,008 25,063 27,827 28,775 27,304 28,768 28,073 26,496 27,879 28, , ,805 0 TOYOTA MOTOR SALES 29,010 33,475 37,619 30,319 33,734 34,737 32,589 34,257 33,820 31,828 33,058 34, , ,020 1 Audi 2,570 2,865 3,351 2,863 3,346 3,344 3,136 3,366 2,799 2,663 2,845 3,321 36,469 37,259 2 Bentley* Porsche ,514 8, Volkswagen division 5,953 6,992 8,334 7,466 7,611 7,158 6,656 7,557 7,357 6,864 6,797 7,443 86,188 72, VOLKSWAGEN OF AMERICA 9,367 10,582 12,579 11,148 11,858 11,367 10,598 11,824 11,058 10,267 10,394 11, , , VOLVO CARS N.A , ,100 1, , ,782 12,898 9 TOTAL CERTIFIED 131, , , , , , , , , , , ,364 1,834,766 1,742,890 5% Fiat S.p.A. became the majority shareholder of Chrysler Group on July 21, *Estimate Volkswagen AG purchased the remaining 50.1% stake in Porsche AG and became its parent company Aug. 1, Source: Automotive News Data Center, Autodata Corp. and company sources Sponsored by 11

12 MAKE SURE, EVERY CUSTOMER IS KING. MSXI Connected Retail Strategy THE MSXI CONNECTED RETAIL STRATEGY IS DESIGNED TO TAKE RETAIL TO THE NEXT LEVEL AND MAKE CUSTOMERS FEEL LIKE A KING. To face the new customer requirements, MSXI helps you precisely analyze and proactively anticipate customer desires at every touch point. Our Connected Retail Strategy implements a customer delight mindset throughout your organization, resulting in significant benefits: Consistent customer delight across your whole value chain Increased CSI and customer relationships Result-orientated brand-experience Long-term business growth potential Contact us today to find more about Connected Retail Strategy and global delivery capacities. CONTACT: [email protected] FUELED BY CHALLENGE. POWERING SUCCESS. SM