Toyota Calls Their Shot, What Is On Dealers’ Minds, Best And Worst Airlines


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It’s Friday and we’re flying through the week as we prep to fly to Dallas for the NADA Show next week. Today we cover Toyota’s production predictions for 2022, a recent Dealer survey, as well as the WSJ list of Best and Worst Airlines in 2022

  • When a company invents the manufacturing standard the world's manufacturers live by, you should always expect a fierce comeback. TPS, aka, Toyota Production System, aka Lean Manufacturing, aka six sigma, was first introduced by Toyota in the early 20th century. Now despite the challenges of the last few years, the company is poised to have is largest annual output…ever
    • What is ‘just in time’ production?
    • Toyota produced 9.05 vehicles in 2019, 8.58 in 2020, 8.33 in 2022, now 9.6 to 10.66M in 2023
    • Strong demand, low days supply, currently 18.
      • 29-day supply at Honda, 24 at Mazda and 60 at Ford
    • The company has been the most transparent over the pandemic, as well as conservative. In Nov, they predicted 800k units and delivered 833k

  • Our friends at CARS recently released a survey that reveals the top three pain points dealers are anticipating in 2023
    • The survey of 121 dealers conducted between Jan 6-11th shows the top concerns to be:
      • Turn more used vehicle more profitably: 94% of dealers said acquiring used inventory and maximizing used-vehicle margins as the top concern
      • Invest in better marketing data more efficiently: 81% of dealers said investing in high-quality audience-targeting data to better leverage media and marketing was the second most significant challenge to address this year
      • Differentiate from competitors: 80% of dealers noted differentiating their dealership from competitors as a top concern
    • “Retailers face new challenges this year as new-car inventory returns, used-car supply shrinks and prices normalize. Dealers’ competitive advantages will come from efficient operations, marketing and customer experience,” CARS chief executive officer Alex Vetter said in a news release
  • The WSJ has released its annual list of “Best and Worst Airlines” and I think we all can agree it’s been a bumpy ride in 2022
    • Delta hangs on to its #1 spot followed by Alaska, Southwest, United, Allegiant, American, Spirit, Frontier, with JetBlue taking last
    • Most improved goes to both United who jumped 4 spots from 7 to 4 and American who moved from 9th (last) to 6th
    • Basically, even the stats of #1 Delta dropped when it comes to delays and other metrics
    • Southwest would have had a worse showing on the list if it weren’t for its general lack of complaining customers, however, it is noted that baggage handling complaints from the last meltdown were not able to be figured into this report due to timing
    • Last place JetBlue said being based in NYC exposes them to more broad scale vulnerability to delays than an

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