Industry Watch May 2016 - Used Truck Association

Transcription

Industry Watch May 2016 - Used Truck Association
Volume 18 • Issue 5 • May 2016
1.877.GETS.UTA • www.uta.org
Used Truck Association
Chartered May 16, 1988
Published by the Used Truck Association
325 Country Club Drive, Suite A
Stockbridge, GA 30281
Table of Contents
Board News and Views...................... 2, 6
Quips & Quotes....................................... 2
New Members......................................3-6
Industry Events Calendar....................... 7
Face to Face with Pete Monize.............. 8
Google is Watching You!....................... 9
The Brooks Group
Sales Tip of the Month........................ 9
Moving on Down the Road:
Catching Up with Terry Williams..... 10
Bottom-line Advances in
Vehicle Technologies..........................11
NADA Update....................................12-13
Industry News Briefs........................ 14-15
2015 Convention Photos................. 16-17
From Where We Sit.............................. 18
The UTA…
Members Supporting Members!
Nearly 350 Attend UTA’s Latest Webinar
Training Chair Calls it a “Huge Success”
N
early 350 people attended UTA’s most
recent free webinar, held Thursday,
April 14th, and presented by Daimler Truck
Marketing. The Detroit DT12 Automated
Manual Transmission (AMT), and groundbreaking Detroit Intelligent Powertrain
Management (IPM) System were the topics.
UTA and Daimler felt going into the webinar
that there was tremendous interest in the AMT
and IPM, and the attendance figures proved it.
The technology behind the IPM, for example,
maximizes efficiency by pinpointing a truck’s
location, and assessing the upcoming terrain for
a mile ahead. The IPM then adjusts cruise
control, pre-selects gears and eCoast, and
brakes the engine as warranted.
The webinar gave truck sales professionals the
tools needed to confidently sell trucks equipped
with the transmission. The hour-long webinar covered:
■■
How to demonstrate trucks with this transmission
■■
What a DT12 Automated Manual Transmission can do for your customers
■■
How truck salespeople can best sell the features and benefits of this transmission—to help
them sell more trucks with greater rewards for themselves, and their customers.
“The presentation by Tom Lehman, Daimler Trucks Marketing, was excellent,” said Ken Kosic,
UTA’s Training Committee Chair. “Tom presented a lot of useful material about the use,
durability, and popularity of the transmission.”
SHARE YOUR NEWS
with the UTA Industry Watch.
Send submissions, ideas and
comments to:
UTA Industry Watch Editors
Brad and Deb Schepp
c/o Grace Management
325 Country Club Drive, Suite A
Stockbridge, GA 30281
Phone: 877-GETS-UTA (877-438-7882)
Fax: 770-454-0029
[email protected]
Twitter: @usedtruckassoc
“A broad range of industry members attended, from retail, wholesale buyers, to sales and
general managers from both new and used dealerships,” Ken continued. “The webinar was a
huge success!”
This was the UTA’s first webinar of 2016, and we greatly appreciate Daimler and Tom Lehman
stepping up to present it. The next UTA
webinar is slated for Wednesday, June 8th at
2:00 p.m. (CST). Ken said the topic will be
Safety Systems and their operation, and the
webinar will be presented with Meritor
WACBO.
For more information,
visit http://uta.org/uta-training-webinars/,
or contact Ken Kosic at [email protected]. n
UTA Industry Watch
2016 BOARD
OF DIRECTORS
http://www.uta.org/directory
GOVERNING BOARD:
President............ Mike McColgan
Vice President........ Bryan Haupt
Treasurer.............. John Cosgrove
Secretary.............. Amanda Kent
President Emeritus.......Rick Clark
COMMITTEE CHAIRPERSONS:
Affiliates ...................... Bryan Haupt
Convention.....................Hal Dickson
Co-Chair Craig Kendall
Elections....................Charles Cathey
Finance....................... John Cosgrove
Marketing & Website....... Rick Clark
Co-Chair Amanda Kent
UTA Development.........Mike Roney
Co-Chair Jody Johnson
Scholarship......................Dean Jeske
Training.............................. Ken Kosic
Co-Chair Amy Shahan
Board News and Views
by Mike Roney
Creating More Value for the Membership
T
he first thing I noticed when I joined the UTA was how focused the Association was in
bringing outstanding value to its membership. That was over 10 years ago with a membership
looking to surpass 500. That commitment to adding more value has brought the membership
numbers to over 1,000 members and growing! Such growth is fantastic, and brings with it some
exciting challenges for the UTA.
During this year’s first board meeting
in Savannah, GA, (which will be a great
location for November’s convention),
we realized something important. If the
membership continues growing at the
same pace, the Association must expand
with it. The challenge was how?
Executive Board Members reminded us
not to forget what got us here. Whatever
ideas we have, the litmus test must be
“does it add or create VALUE for the
membership?”
The premise is based in Sales 101. “Stop talking and listen to what the membership wants.” So
we developed the UTA Development Committee.
Now what is the value in that?
The Development Committee’s Purpose
The goal behind this structure is to create a large “Think Tank” for the membership. It would
begin by asking members what they wanted, and to submit those ideas to the Board. This
process will enhance and create more value returning to the membership. It is also a collective
effort to increase membership by promoting that value. It should also expose Young Members to
the UTA’s structure to ensure a seamless flow of future UTA leaders.
There are three subcommittees under the Development Committee’s umbrella. They each have
specific duties apart from the Development Committee’s overall goal.
Young Members Committee
This committee is responsible for creating a forum for all young members to share their ideas,
and learn about the UTA. They achieve this by participating in various Board Committee tasks.
Yes, the cutoff is over 40 years old. If you don’t remember what it was like to get up from the
couch, adjust the TV’s rabbit ears, and change the channel manually with a dial, you are a
Young Members candidate.
Dealer Group Committee
The Dealer Group is responsible for creating Convention workshops based on the members’
needs, and running the Individual UTA Member Award process. All members are encouraged
to be on this group, and be part of the monthly teleconference.
Membership Committee
Good, better, best. Never let
it rest. ‘Til your good is better
and your best is best.
This committee is charged with growing the Membership though social media, advertising, and
networking with current members. All members are encouraged to be part of this committee.
~St. Jerome
Board News and Views continued on page 6
2 May 2016
www.UTA.org
UTA Industry Watch
New
Members
It’s always a treat to welcome new members to the Used Truck Association. Each month we
profile our new (or just returning) members in this newsletter. New members have the
opportunity to complete a bio and send a photo so our current members can learn more about
you. We hope to learn not just how to reach you, but what you enjoy about the work you do,
why you joined the UTA, and what gets your gears going as a person. So please return your
questionnaire so your fellow UTA members can get to know you!
Ron Bowman
and I have the great fortune of working for a
company that understands that key point.”
Pennsylvania Truck Centers, Inc.
310 Mifflin Dr.
Wrightsville, PA 17368
www.patruck.com/index.php
[email protected]
Alvin Bryant, Sales Professional
Interstate Truck Source
29085 Smith Road
Romulus, MI 48174
www.interstatetrucksource.com
(734) 991-3998 (w)
[email protected]
Back in 1977, when disco
was king and a lot of people
weren’t happy about it, Al
started in the trucking
industry. He began in
safety compliance.
Now that he is a UTA
member, Al’s looking
forward to networking with other sales reps,
and following current trends in the industry.
His favorite part of his job is working with
customers to help them solve their equipment
issues. Other things he really likes: helping
customers save money, boost their bottom lines,
and retain drivers with the right equipment.
Asked what he might like to do if he wasn’t in
the truck business, Al said he hadn’t really
thought about it. But, at this point he’d like
to be “a corporate attorney.”
Manny Carril, National Sales Manager
Liberty Motor Club
P.O. Box 225
Dayton, TN 37321
www.libertymotorclub.com
(423) 309-5620 (w)
[email protected]
“Manager for an emergency
road side provider,” was
how Manny started out in
trucking in 2010.
As a new UTA member,
Manny says his company
hopes to increase its
network and open up new
business opportunities,
“while cultivating relationship with clients,
vendors, and customers.”
Manny enjoys his job because his company is
able to help clients “further grow their
relationships with current customers,” he
said. “This industry is all about relationships
www.UTA.org
Manny asked that his profile include his
company’s Facebook page, facebook.com/
libertymotorclub, and his own Twitter handle:
@mccarril.
Charlie Cayce
Westrux
214 Main Street, #506
El Segundo, CA 90245
(310) 322-2121 (w)
[email protected]
Alain Chaidac
2200 E. Steel Road
Colton, CA 92324
(909) 554-5284 (w)
Chris Clarke, Manager, North American
Remarketing
ARI
4001 Leadenhall Road
Mount Laurel, NJ 08054
(856)778-1500 (w)
www.airfleet.com
[email protected]
Another of our industry veterans, Chris has been
in Vehicle Remarketing for over 25 years. His first
job in the business was in Truck and Trailer
Leasing/Sales and Repair.
Almost all new UTA members hope to increase
their knowledge base and expertise, and develop
more industry contacts. Chris is hoping for
those things as well.
His favorite part of his job now is working
with a diverse group of clients, and industry
professionals “in a unique and rapidly
changing industry.”
Shane Davis, President
Why has Shane joined us now? “We would like
to find potential client partners who see
value in our services,” he said.
Shane noted that his company currently
works with transportation companies to
collect on past due balances, remarket
inventory that has been repossessed, collect
deficiency balances, and so on. “Helping our
client partners to recover money and/or
assets on distressed accounts is very
rewarding,” he adds.
Besides the trucking business, Shane said he
also loves hunting. “My six sons and I hunt
deer and process our own meat,” he explained.
Shane’s interests extend far and wide though.
We learned that Shane has always wanted to
pursue acting…or do stand-up comedy!
(Perhaps he’ll entertain us at an upcoming
Convention!)
Finally, Shane explained that his company
“believes everything they do has a greater
purpose behind it,” he said. “We collect money
on behalf of our client partners so that they
can give another small business their chance,
we have had built in volunteer work from the
day we were founded, and we are a company
run with integrity. We are transparent, fair,
and we get excellent results!”
Seth Dilorenzo
Universal Truck Sales
2845 Long Lake Road
Roseville, MN 55113
(651) 639-0017 (w)
[email protected]
Jeff Dossey
Westrux International
2200 E. Steel Road
Colton, CA 92324
(909) 554-5284 (w)
[email protected]
Dedicated Commercial Recovery Inc.
2355 Hwy 36 West, Suite 400
Roseville, MN 55113
www.dedicatedcri.com
(844) 351-3945 (w)
[email protected]
While he only officially
joined the industry in 2015,
Shane’s roots go back
further than that. Five
years ago he worked for a
company that did collections and remarketing
for all equipment finance including trucks
and trailers.
New Members continued on page 4
May 2016 3
UTA Industry Watch
New Members continued from page 3
Dan Duran, Sales Executive
Westrux International
2200 E. Steel Road
Colton, CA 92324
www.westrux.com
(949) 505-2138 (w)
[email protected]
Dan’s only been in our
business for three years,
beginning as a Service
Advisor in 2013.
He’s hoping to meet locals in the same trade.
As a new UTA member, Dan says he’d also like
to learn from others who have been and still
are in the field, and develop friendships and
connections with both people and companies
to further grow in the trucking industry.
Dan says the fact that he can provide and
take care of his family, is what he loves most
about his job. He feels he’s fortunate to have
a schedule where he doesn’t always need to be
at the office to fulfill his duties. That gives
him the chance spend more time with both
his wife and son.
Dan says candidly that if he wasn’t selling
trucks he really didn’t know what other type
of business he’d be in. “I thank this job a lot
for all the things I’ve been able to accomplish
so far,” he told us. “It’s allowed me to look
into a whole other side of how people work
and make a living, which in turn has had me
thinking of opening a transport company
myself. Not so that I can stop selling, but to
further my success.”
Like other UTA members, Dan really enjoys
racing motorsports, particularly cars. “The
adrenaline in racing...and tuning cars,
pushing their limits, is a great passion I
have,” he said.
This PACCAR Manager says she can envision
herself in Property Management, if she wasn’t
in the truck business. She and her husband
have several rental properties, and she’s
enjoyed growing that business over the last
10 years. Another interest of Cori’s is
competitive soccer, which she’s had a passion
for since she was a kid.
Finally, Cori says she’s looking forward to being
more involved in the UTA, meeting and learning
about other members and their businesses,
and also helping them with their Fleet needs.
Mike Hunnicutt
[email protected]
William Kostner, Used Truck Sales
Manager
Central Valley Truck Center
8730 Golden State Avenue
Bakersfield, CA 93308
www.centralvalleytruckcenter.com
(661) 529-8403 (w)
[email protected]
Bill Kostner’s been in the
business for about 20 years
now, getting his start as a
Service Manager in 1997.
He’s looking forward to
“relationship building” as a
new UTA member, and also
helping his company gain
the recognition it deserves “as a dealership
with a solid used truck department.”
Bill likes that he’s no longer managing a large
body of people, as he’s done in the past. Right
now, Bill’s managing one lot person, and six
salespeople who he works with internally.
Other thoughts Dan? “I really value and take
in all the knowledge I get from others in this
field. I appreciate it very much. I hope to
meet you all at one point.”
Bill was a CPA for 10 years when he got out of
college, and he enjoyed working in the
accounting profession­—especially tax prep.
Were he to leave the truck business he can
see himself going back to that field.
Cori Gleason, Sales Manager
As a young man, Bill used to race Motocross, and
to this day he still enjoys riding his motorcycle.
PACCAR Leasing Company
9620 S. 76th Ave
Hickory Hills, IL 60431
www.paclease.com
(708) 833-1508 (w)
(708) 430-9336 (c)
[email protected]
Cori began as a management
trainee in Truck Leasing,
back in 2002. She’s hoping to gain additional
visibility for PACCAR Leasing’s used truck
inventory now that she’s joined us here.
Cori says she likes the day-to-day customer
interaction her job provides. She also likes being
able to meet new and interesting people day
in- day out.
4 May 2016
In wrapping up, Bill said he’d like to meet many
of his fellow UTA members. That would give him
the chance to “share ideas and thoughts, and get
to know them personally and professionally,”
he said.
Sonny Lasam
Truck & Equipment Corp.
3640 S. Main St.
P. O. Box 2520
Harrisonburg, VA 22801
www.truckequip-va.com
(540)-773-7093 (w)
[email protected]
Simone Ledenac
401 Trucksource Inc.
4293 County Rd. #46
Maidstone, ON Canada
(519) 737-6956 (w)
[email protected]
Melissa Middleton, Center Manager
SelecTrucks of Louisville
4341 Sanita Ct.
Louisville, KY 40213
www.selectrucksoflouisville.com
(502) 238-5919 (w)
[email protected]
Melissa first worked as a Lot Inventory
Manager in 2002. In 2005, she became a Truck
Finance Manager before moving to her
current job as Center Manager in 2014.
David Pugsley
McKay’s Truck Center Ltd.
www.mackaystruckcenter.ca
(902) 895-0511 (w)
[email protected]
Eddie Prince, Truck Sales Coordinator
Melton Truck & Trailer Sales
1091 N. 161st E. Ave.
Tulsa, OK 74116
www.meltontrucksales.com
(918) 270-9429 (w)
[email protected]
Eddie Prince is another
newcomer to our industry
for May. He started out in
trucking in 2015, in truck
and trailer sales.
It’s more than likely you’ll
see Eddie at UTA events, as
he’s hoping to network with
other UTA members, and learn more about the
industry.
Eddie’s job enables him to work with a variety
of industry professionals. “I work with
everyone from mechanics to lenders to
owner-ops, start-ups, and dealerships,” he
said. “The variety of people I get to work
with, along with our company culture at
Melton is very enjoyable, he added.
While he’s new to trucking, Eddie’s been in
four different industries in his professional
life. But “trucking is the most enjoyable,” he
said. “I can’t imagine being in another
business at this point.”
Granted it was lunchtime, but when Eddie told
us about his other interests we got really
hungry. “I love to cook in the kitchen as well
as do bbq/smoker cooking,” he said. “I love to
find interesting recipes and make them my own.”
And during football season Eddie’s house is
“the gathering spot,” he said. “Virtually
every weekend is like one big tailgate with
www.UTA.org
UTA Industry Watch
friends and family.” Eddie’s other interests
include participating in food drives and food
bank donation.
Eddie wanted everyone to know he looks
forward to his UTA membership, and can’t
wait to meet and talk with many more
members of the trucking industry.
and meeting these leaders I hope to
understand the industry, learn from their
early missteps, and eventually offer others
my assistance.”
Westrux International
2200 E. Steel Road
Colton, CA 92324
www.westrux.com
(562) 404-7231 (w)
[email protected]
It’s clear Meir is a man happy in his work.
“When you run your own company you have
the freedom to make the decisions you feel
are right without all the red tape that comes
with working for a larger company,” he
shared. “At the same time it forces you to
think two and three times before acting,
because at the end it’s my name on the
bottom line and I will be held responsible.”
Meir added that he of course enjoys buying
trucks, “especially those damaged or non
road-worthy.” Adding: “we have the passion
and we do it every day!”
This month we’re welcoming
a striking mix of industry
vets and newcomers to the UTA. Sandra is one
of the newcomers, just joining our industry in
2015.
It’s no secret that many Trucking people also
love cars, and for Meir it’s classic cars,
especially. “I love the opportunity to just
stroll around car shows, talk to the experts,
and visit the auctions,” he said.
Sandra says she became a UTA member to “get
the opportunity to collaborate with
colleagues and market my company to the
best of my ability.”
Outside of the job, Meir said that community
assistance is a cause very close to his heart.
He’s worked with underprivileged and special
needs children and adults. “It’s a moving but
humbling experience to try and help others,
and watch others succeed whatever their
goals and abilities,” he said.
Sandra Resendez, New and Used Truck
Sales
About her current job, Sandra says she most
enjoys being able to provide excellent customer
service and quality vehicles to her customers.
While Sandra is new to trucking, she’s been in
the workforce for many years. “I was a
Respiratory Therapist for about 20 years,” she
tells us. “The last ten years I specialized in
Neonatal Intensive Care.” Then Sandra
decided to change career paths. Besides being
in commercial truck sales, Sandra is also a
Realtor. “I enjoy sales and helping people
acquire what they need,” she added.
Sandra’s outside interests include traveling,
gardening, and the arts.
Besides his company and foundation, Shawn’s
passions include his relationship with God,
his family, and his church.
Aaron Soupiset, Sales Associate
Eddie Rosales
Sal Rossie
www.UTA.org
Shawn hopes to one day focus more of his
time on the foundation in Haiti of which he’s
the executive director. “We are working to
free children from slavery, along with working
to help improve the livelihood of many other
children who are in terrible situations in that
impoverished country,” he said.
“Service Technician,” Aaron replied, when asked
about that first job in trucking back in 1999.
I. Meir Resnick, President
Asked about his goals for his UTA membership,
Meir had no trouble coming up with an
answer. “Knowledge! Joining a network of
industry experts and professionals allows me
to tap a well spring of knowledge and to learn
from the best,” he said. “By speaking with
Both Shawn and Dedicated’s
President, Shane Davis, are
new members this month.
They also share common
backgrounds. Like Shane,
Shawn worked with a
company handling collections and
remarketing prior to his current position.
Both men have joined the UTA to find
potential client partners who see value in
their company’s services.
Westrux International
2200 E. Steel Road
Colton, CA 92324
(909) 554-5284 (w)
[email protected]
We were inspired by her closing thoughts.
“Let’s knock the ball out of the park with our
customer service and truck sales!”
When he got his start in
trucking in 2013, Meir
worked with a salvage
company purchasing trucks
from fleet managers for
resale.
Dedicated Commercial Recovery Inc.
2355 Hwy 36 West, Suite 400
Roseville, MN 55113
(844) 351-3945 (w)
[email protected]
Wichita Kenworth
5115 N. Broadway
P.O. Box 4226
Wichita, KS 67204
www.wichitakenworth.com
(620) 253-6037 (w)
[email protected]
Luis Rodriguez
Westrux International
2200 E. Steel Road
Colton, CA 92324
(909) 554-5284 (w)
[email protected]
Hazel Lane Auto Sales Inc.
181 South Franklin Ave.
Valley Stream, NY 11581
www.hazellaneautosales.com
(516) 634-6351 (w)
[email protected]
Shawn Smith, CEO
Gabrielli Truck Sales
153-20 S. Conduit Ave
Jamaica, NY 11434
(718) 977-7348 (w)
[email protected]
Adam Samarin
Westrux International
E. Steel Road
Colton, CA 92324
(909) 554-5284 (w)
[email protected]
Aaron has high aspirations and he thinks the
UTA can help there. He’s joined us for “the
knowledge and expertise of our members—to
make me a top-tier salesman,” he said.
He’s got a great shot at meeting that goal
because Aaron thrives on meeting new people
and making customers happy.
Aaron’s also into offshore boat racing. “I love
the water, boats, and speed,” he told us. He’s
also passionate about “anything guns.”
Adding: “I load all of my own ammunition,
hunt, sport shoot, and teach my kids to respect
and love firearms and our second amendment.”
Dave Stohl
TransEdge Truck Center
1407 Bulldog Drive
Allentown, PA 18104
utssales.com
New Members continued on page 6
May 2016 5
UTA Industry Watch
New Members continued from page 5
Dustin Streff
James Thurman
9317 Fairview Drive
West Des Moines, IA 50266
(515) 261-6329 (w)
[email protected]
Steven York
Liberty Motor Club LLC
P.O. Box 225
Dayton, TN 37321
(888) 997-2054 (w)
[email protected]
Russell Swartz, MO Drive-Away Manager
Group One, Inc. MO Drive-Away
1445 East Taney
Kansas City, MO 64116
www.grouponeinc.net
(913) 777-6527 (w)
[email protected]
[email protected]
Dan Zorger
Quality Companies
9702 E 30th Street
Indianapolis, IN 46229
(317) 972-7094 (w)
[email protected]
Fernando Villenueva
Westrux International
2200 E. Steel Road
Colton, CA 92324
(909) 554-5284 (w)
[email protected]
Trucking industry vet Russ Swartz got his
start back in 1975, as a truck driver in the log
business. He tells us he knew even as a child
that one day he’d be in the trucking industry.
Russ says he enjoys serving the trucking
industry and “being connected to the largest
work force in the United States.”
Russ says the only real passions and
commitments he has outside of work are the
connections with his church, of which he’s
been a member for 20 years.
“We are committed to offering the best service
possible at a reasonable price for all of your
drive-away needs,” Russ added. Let’s welcome
Russ to the UTA now as he looks forward to
connecting with vendors/customers who
share his same goals.
Matthew Warren
Jordan Truck Sales
1460 Bankhead Hwy
Carrollton, GA 30116
(770) 836-1700 (w)
[email protected]
Jimmy Wilkerson
135 Old Hwy 49 S
Richland, MS 39218
www.oldriver.com
(601) 664-1410 (w)
(769) 243-7091 (c)
[email protected]
Board News and Views continued from page 2
These subcommittees are also channels for members to learn what tools are available to them.
They also continue enhancing and creating more access to information that advances individual
members’ businesses. You can access all the information available to you at our website, www.uta.org
2016 UTA Development Committee
Mike Roney,
Board Chair
Warner Truck Center/
Used Truck City
[email protected]
Jody Johnson,
Co-Chair
WESTRUX
[email protected]
Todd Coppaken,
Young Member Committee
Chair
Image Truck Partners
[email protected]
Glen Hughes,
Dealer Group Committee
Chair
RWC Group
[email protected]
Shelley Warren,
Membership Committee
Chair
IIAA Auction
[email protected]
The UTA Development Committee and its subcommittees are committed to listening, looking,
and implementing new ideas and tools to enhance and create more value for all UTA members.
We look forward to hearing what we can do for you.
Mike Roney, Board Chair
UTA Development Committee
[email protected]
6 May 2016
www.UTA.org
UTA Industry Watch
Industry Events Calendar
JUNE
SEPTEMBER
5-7 • Transportation Marketing & Sales
Association Logistics Marketing & Sales
Leadership Conference
15-16 • Commercial Vehicle Safety Alliance
The Ritz Carlton • Fort Lauderdale, FL
www.tmsatoday.org/conference
Annual Conference & Exhibition • Little Rock, AR
www.cvsa.org/events/events_list_2015.php
19-21 • UTA Sponsored Training Seminar:
Selling for Success
22 • UTA Sponsored Training Seminar:
Management Seminar
Courtyard Charlotte Airport North • Charlotte, NC
www.uta.org
22-23 • 11th Annual Jerome Nerman Family
Foundation Kansas City Golf Open
19-22 • American Trucking Associations
Technology & Maintenance Council
Fall Meeting & National Technician Skills
Competition
Harrah’s North Kansas City • Kansas City, MO
www.uta.org
Reception: Harrah’s North Kansas City
Course: Shoal Creek Golf Course •
Kansas City, MO
http://uta.org/2016/01/20/uta-2016jerome-nerman-family-foundationgolf-open/
24-26 • Texas Trucking Show
George R. Brown Convention
Center • Houston, TX
www.texastruckingshow.com
JULY
18-20 • UTA Sponsored Training Seminar:
Selling for Success
Courtyard Indianapolis Airport • Indianapolis, IN
www.uta.org
19-21 • Supply Chain Technology
Conference & Expo
Navy Pier • Chicago, IL
www.sctechshow.com
AUGUST
9-13 • American Trucking Association’s National
Truck Driving Championships and National Step
Van Driving Championships
Indianapolis, IN
www.trucking.org/
www.UTA.org
Raleigh, NC
http://www.trucking.org/
28-30 • ACT Research North America
Commercial Vehicle & Transportation Industries
Review & Outlook: 2016-2020
Columbus, IN
www.actresearch.net
OCTOBER
1-4 • American Trucking Associations
Management Conference & Exhibition
Mandalay Bay Resort & Casino • Las Vegas, NV
www.trucking.org
22-23 • California Trucking Show
Ontario Convention Center • Ontario, CA
www.californiatruckingshow.com
24-26 • UTA Sponsored Training Seminar:
Selling for Success
Courtyard Dallas DFW Airport North/Irving • Dallas, TX
www.uta.org
NOVEMBER
9-12 • 17th Annual UTA Convention
Westin Savannah Harbor • Savannah, GA
www.uta.org/2016/01/19/uta-2016-convention-in-savannah/
May 2016 7
UTA Industry Watch
Pete Monize
“L
ife is good!” Pete replied when we
asked him about his life outside of
work. With just that phrase, it’s plain to see
that Pete is a “glass-half-full” kind of a guy.
He joined the UTA in 1998. His career in the
trucking industry began when he took a
position as a truck sales associate with Arrow
Trucks Sales, Inc., in Columbus, OH. Today,
Pete is a Senior Vice President with Volvo
Trucks in Greensboro, NC.
Pete and his team are responsible for managing
all aspects of the truck remarketing assets for
both Volvo and Mack. By that he means
everything. “Our operation touches all aspects
of the truck deal, not only truck sales,” he
explained. Among the long list of responsibilities his group supports, you’ll find a
robust selection. “We are active in residual
value, risk management, dealer used truck
development, used truck training, and inbound
truck inspection processing,” Pete said. But,
in addition to these responsibilities the team also takes on
arranging financing, marketing,
and maintaining both customer
service and industry relations.
Pete, like so many other
successful managers, credits his
team with a good deal of his
success. “I credit my success
with the support I’ve always
received from my coworkers,”
he said. “This always encourages me to be cooperative.”
Pete told us he always looks at
his work in terms of what the
whole team is trying to
achieve. “That gives me great
pride in my work and its
contribution to the group’s
efforts.” It also explains
some of what he most loves
about his job. “I think any
job must be fun and
challenging,” Pete noted. “We
laugh a lot and take great pride in running a
successful business.”
8 May 2016
As any cheerful optimist will tell you, Pete
knows that life and careers are capricious.
When we asked him what he wished he’d
learned earlier in his career his reply was
brief. “Everything can change in the blink of
an eye,” he said. With that in mind, his best
advice to younger people just starting out in
the industry is, “Save for retirement starting
with your first paycheck!” That’s great advice
that many young people just starting out
don’t even consider!
Pete’s proudest moments, once again, are
couched in the success of his coworkers and
colleagues. “I am most proud of watching
my teammates grow both personally and
professionally,” he said. A special highlight
of his career was watching both Marty
Crawford and Mike McColgan receive the
Marvin F. Gordon Lifetime Achievement
Award. Looking forward, Pete sees changing
demographics and technology as potential
disrupters in the market for buying and
selling used trucks. Once again, he looks at
that challenge from the sunny side up. “We
must have a continuous improvement
mindset to successfully navigate the future,”
he said.
Outside of his work life, Pete and his wife
enjoy the company of their two grown sons.
They’ve also built something of a small
menagerie. “We have two rescue dogs, three
rescue cats, two horses, and one turtle,” he
told us. “We live an active life style outside of
the office!” n
www.UTA.org
UTA Industry Watch
GOOGLE IS WATCHING YOU!
by Carmenda Laymon
A
s everyone knows, GOOGLE is the place to be. Everyone uses it
for everything. It’s attached to YouTube and LinkedIn, and if
your business cannot be found it’s because you’re not there or haven’t
claimed your page yet.
Wait? You have to “claim your page” on Google? Of course you do!
More than likely, if you have a business, it’s on Google, but it may be
unclaimed. This means anybody can go onto Google and says it’s theirs
without you ever knowing it. That seems pretty scary right? It should
be. The great thing is it’s easy for you to claim the page yourself.
Step 1. Google your business name.
Step 2. Look to see if it says “Own
this business?” (See picture.)
Step 3. If it does, click on it and go
through the steps to verify it.
Step 4. Add your logo and company
photos (just like Facebook).
Step 5. Make sure all your
information is correct, check your
reviews, and then you can post
daily, weekly, or monthly.
People listen! I have many conversations with clients daily about Google and Google+. They are not going
away. So make sure you’re doing everything you can for your business
to be on there, and at the top!
I personally LOVE Google+. It is the best and fastest way to get your
business listed and heading up the ladder to page one on Google. Oh,
if you have a Gmail account, you may already be on Google+ and not
even know it.
Questions? Google me. I show up all over the place or shoot me an
email at [email protected]. n
After a few years of working in print advertising, Carmenda Laymon
realized the only way to go was to find some niche on the Internet, and it
happened to be Social Media. She is now celebrating her 6th year in
business and has been in the Trucking industry for over 10 years. Her
words of advice: “it’s not going away, it’s getting bigger, take the plunge
and make it happen.”
Sales Managers must have the responsibility to perform,
as well as the authority to act and then be willing to be
held accountable for their own actions and results.
www.UTA.org
May 2016 9
UTA Industry Watch
Movin’ on Down the Road:
Catching Up with Terry Williams
U
TA member Terry Williams recently left Bruckner Truck Sales after “three very good
years,” as their corporate sales lead manager. He’s now working for Dominion Enterprises as
strategic relations manager in their commercial products group.
In his new role Terry develops and implements “top level marketing strategies across the commercial
vehicle landscape supporting customer acquisition and marketing equipment.” He works with
OEMs, major partners, and third parties “to develop plans for a single model, ongoing branding
for a product line, the overall success of the network or just a website,” he said. “The scope of
Dominion Enterprises’ marketing capabilities is vast,” Terry added. “I look forward to working
with clients to explore their needs and how we can work together to surpass their expectations.”
Terry’s new employer is in some ways comparable to his old one. “Both are leaders in their core
businesses, leaders in the markets they serve, employee-centric, and have ‘on-point’ management,”
Terry told us. “At Bruckner’s I was working a great deal with end users reacting as necessary, now I
will create and strategize with marketing and sales teams to best create those opportunities for
end users to interact with dealers. I will now also be working with earth moving and agriculture
equipment OEMs and dealers.”
Terry’s new position has greatly enhanced his life, aside from the new work challenges. For one thing,
he’s back in Kansas City, MO with his two sons. It’s also allowed Terry to work from home for the
first time. “Frankly it has been awesome avoiding drive time traffic,” said the new remote worker. But
working from home often means working alone. To offset that, Terry plans to work in lunch
meetings, so he can socialize. “The coffee pot chatter is pretty dull right now,” he said.
Terry’s new job will bring him in closer contact with the UTA. He’s already volunteered to work
with NADA’s Chris Visser on a valuation committee. He also plans to run for the Board this fall.
Finally, Terry said he’s also looking forward to seeing everyone this June in Kansas City for the
Educational Endowment Golf Tournament. He also has a warning for Marty Crawford: “I am
after the Chicken Leg Award!,” he chuckled. n
Register NOW at www.UTA.org
10 May 2016
www.UTA.org
UTA Industry Watch
Bottom-line Advances in Vehicle Technologies
Anthony Gansle
K
eeping pace with new technologies can be overwhelming. But if
you’re an early adopter the latest technologies may provide a
competitive edge. Conversely, take a chance too early or select the wrong
new “game changer,” and it may prove unreliable or not live up to its
expected ROI. Whether it’s the smartphone in your pocket or the business
system software your company uses, selecting the right technologies—
and using them to their full potential--makes all the difference.
When it comes to commercial vehicle technologies, the stakes can be very
high. From an OEM’s perspective, the testing and validation process for
launching new technologies is comprehensive and exhaustive. Not only
must the technology be reliable and thoroughly proven, it must provide
real value for fleets and drivers. Helping your customers understand the
latest truck technologies – both the value they bring and how to utilize
them–can make you an invaluable resource, helping build customer
loyalty and repeat business.
In this article, I’ll examine new and emerging truck technologies in four
key areas: fuel economy improvements, vehicle diagnostics, safety, and
automated truck systems.
Fuel Economy Improvements
Predictive Cruise Control integrates GPS, terrain maps, cruise control,
and advanced software to improve fuel economy by as much as four percent.
Here’s how it works. A driver is about to enter a mountainous part of his
route and sets the cruise control. As the vehicle approaches a steep incline,
GPS and terrain maps anticipate the grade and the truck automatically
selects the most fuel-efficient gear and optimum RPM to go through it.
After cresting the grade, the truck decelerates and uses its momentum
to coast down the other side, burning less fuel. This is a great example of
several technologies – each useful by itself – integrated to work together
as a new technology.
Chances are you have customers affected by the industrywide driver
shortage. Either they can’t find enough drivers or the drivers they recruit
are raising cost per mile through inexperience or poor driving habits.
One of my favorite areas of technology growth is the industry’s rapid
adoption of automated/automatic transmissions. Where once AMTs were
considered a detriment to resale value, now they are a great selling feature
and add to the resale price. This is technology that can meet or beat many
drivers in fuel economy performance – and that’s a bottom-line benefit
for your customers. It’s also one of the best ways I know to help a new
driver jump into a truck and be successful right away, improving your
customers’ efforts to recruit and retain drivers.
Vehicle Diagnostics
I’m always amazed at some of the stories I hear from drivers and customers
about the guesswork that goes into determining what a particular fault
code means and what actions to take. Shops can waste valuable, billable
time following the wrong theory or strategy. Remote vehicle diagnostic
technology is eliminating that guesswork and improving customer uptime.
A fault light comes on the in-dash display and – automatically and instantly
– the fleet manager, the breakdown supervisor and the dealership shop
are all alerted to what caused the fault and the recommended steps needed
to resolve it. Knowing the issue and its severity also helps customers make
better informed decisions if the vehicle needs to be serviced immediately or
if the driver can continue his delivery. Further, it makes that customerdealer conversation on what to do next so much easier: you know the issue,
you likely know what’s needed to fix it and everything can be discussed
ahead of the service experience to streamline the process. When you sell
your next vehicle, help your customer understand the benefits of vehicle
diagnostic systems. They will be excited about the benefits it offers.
www.UTA.org
Safety
Safety is a priority for every carrier. Truck safety technologies not only save
lives, they make sound financial sense. No customer wants higher insurance
premiums and serious accidents can financially devastate a company.
Three of the safety technologies I often highlight are disc brakes, electronic
stability control, and collision avoidance systems. Disc brake benefits are
obvious. Large trucks take longer to brake and disc brakes reduce that time.
Many recent studies and our own cost of ownership calculations show
that they can also be less expensive to maintain over the life of the truck.
Electronic stability control (ESC) systems help prevent a vehicle from
losing control or rolling over. They monitor vehicle systems and driver
intent and intervene before the driver even realizes a loss-of-control or
rollover situation exists, preventing them from happening. Many OEMs
are standardizing either disc brakes, ESC or both, so check the truck
specs and highlight these key safety features to your customers.
Collision mitigation systems have advanced rapidly. The features of these
systems vary among suppliers and OEMs but typically they help maintain
safe driving distances, recognize upcoming objects, and alert the driver
or even engage the brakes to avoid a collision. Advancements in these
types of systems have introduced forward facing cameras that can alert
the driver to unintended lane changes (perhaps if the driver is drowsy),
improve the ability to detect objects (is it a soda can or a car in the
path of the truck), and alert the driver if they are going too fast for the
current conditions. These types of systems are coming down in cost
and increasing in popularity as the technology evolves, so consider
them when you make your next purchase.
Automated Truck Technologies
Truly autonomous vehicles are still at least a few years away, but many
of the technologies that they will use exist today, and are rapidly improving.
Where lane assist technology today alerts drivers to unintentional lane
changes, next-generation versions will recognize the situation and
gently ease the truck back into the lane.
Platooning is a technology that allows multiple tractor-trailers to follow
each other very closely, yet safely, improving fuel economy for all vehicles
in the platoon. Systems onboard the trailing vehicles can talk to the lead
vehicle and understand when the vehicle will make a speed change, for
example. They then react accordingly to maintain the optimized following
distances and the aerodynamic advantages they provide, reducing drag.
One other technology worth mentioning is auto-docking. If you have
driven a truck, you know it can be tough backing into a dock. Automated
truck technologies will have the ability to take the truck to the correct
dock and automatically guide it to the dock doors.
Not all of the technologies I’ve mentioned have reached the used truck
market. But if they have not yet, they soon will. When selling your
next truck, make it a point to highlight the safety systems the truck is
equipped with and explain the advantages to your customers. These
are technologies that provide proven ROI and
can bolster your customers’ bottom lines. And
that always helps make a sale. n
Anthony Gansle is the Marketing Segment
Manager for Peterbilt Motors.
You can reach him at (940) 591-4016,
or [email protected].
May 2016 11
UTA Industry Watch
NADA Update: Depreciation Moderating in Early Second Quarter
Chris Visser, Senior Analyst and Product Manager, Commercial Trucks • Twitter: @NADAUsedCarGde
Preliminary April data points to more stable Class 8 selling prices in
retail, wholesale, and auction channels. Seasonal improvements
combined with increased demand spurred by lower price levels are the
likely factors behind the moderation.
volume is – that group decreased in price 7.7 percent from February to
March on average. However, a large group of 2011 ProStars had an
outsized influence on that result. Excluding the ProStar, trucks of
model years 2013-2011 were essentially flat month-over-month.
Sleeper Tractors – Auction/Wholesale
See the “Average Sleeper Tractor Pricing by Model Year…” graph for detail.
In the auction channel, our benchmark group of the three highestvolume sleeper tractors of model years 2011-2013 saw a substantial
drop in volume in April. Pricing was mixed.
Compared to March, there were 336 (or 67.2 percent) fewer of these
trucks sold through the nation’s two largest no-reserve auction houses.
Pricing of our benchmark model dropped an average of $1,667 (or 4.5
percent) in this period. Results were mixed, with newer trucks
performing better than older. Specific performance was as follows:
MY2013: $40,907 average; $3,907 (or 9.6 percent) higher than March
MY2012: $30,600 average; $6,944 (or 18.5 percent) lower than March
MY2011: $35,357 average; $1,963 (or 5.3 percent) lower than March
The market corrected a bit in April following a steep February to March
decrease in pricing for 2013 examples of our benchmark truck. As for
the 2012 model year, volume decreased substantially in April, but this
has been the highest-volume model year overall since the oversupply
situation began in mid-2015. Pricing still suffers as a result. Trucks of
model year 2011 look to have stabilized a bit, as that age cohort has
begun the downside of its trade cycle.
See the “Volume of the Three Most Common Sleeper Tractors Sold…”
and “Average Selling Price: Benchmark Sleeper Tractor…” graphs for detail.
VolumeoftheThreeMostCommonSleeperTractorsSoldthroughtheTwoLargest
NationwideNo-ReserveAuctions
2per.Mov. Avg.(2007)
$80,000
2per.Mov. Avg.(2008)
$70,000
2per.Mov. Avg.(2009)
$60,000
2per.Mov. Avg.(2010)
$50,000
2per.Mov. Avg.(2011)
$40,000
2per.Mov. Avg.(2012)
$30,000
2per.Mov. Avg.(2013)
$20,000
$10,000
$0
Source:ATD/NADAOfficialCommercialTruckGuide
Despite the apparent incremental improvement in market conditions,
we still expect depreciation to average roughly 4 percent per month by
year’s end.
Sleeper Tractors – Retail
As in the auction and wholesale channels, depreciation in the retail channel
moderated going into the second quarter. Sleeper tractors three to five
years of age lost an average of 2.5 percent of their value from February
to March, and we estimate another similar loss from March to April.
See the “Average Retail Selling Price: Three to Five Year-Old Sleeper
Tractors” graph for detail.
800
700
AverageRetailSellingPrice:ThreetoFiveYear-OldSleeperTractors
600
AdjustedforMileage
500
$100,000
400
$90,000
300
$80,000
200
$70,000
100
$60,000
Aug-15
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
Apr
Source: ATD/NADAOfficialCommercialTruckGuide
AverageSellingPrice:BenchmarkSleeperTractorSoldthroughtheTwoLargestNationwide
No-ReserveAuctionCompanies
$50,000
$40,000
$30,000
4YO
$20,000
5YO
$10,000
3-5YOAvg.
$0
$70,000
$60,000
$50,000
Jan-14
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-15
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
0
AverageSleeper TractorPricing byModelYear (All Wholesale)
$90,000
Source:ATD/NADAOfficialCommercialTruckGuide
$40,000
$30,000
2011
$20,000
2012
$10,000
$0
2013
Aug-15
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
Apr
Source: ATD/NADAOfficialCommercialTruckGuide
Looking at the larger wholesale market overall (all sleeper tractors
with dealer-to-dealer sales included), pricing for three to five year-old
sleeper tractors firmed up going into the second quarter. That cohort
averaged a 2.2 percent increase from February to March. Looking at
trucks of model year 2013-2011 – where the majority of the auction
12 May 2016
Trucks of the high-volume 2013-2011 model years lost an average of
4.7 percent of their value from February to March, and we also predict
a similar drop from March to April. Retail pricing continues to
decrease, and perhaps as a result, buyers are entering the market in
incrementally greater numbers.
Looking at individual models, there was a move towards the average
in March, with the exceptions of the Freightliner Cascadia and Volvo
730/780. In the case of the Cascadia, the influx of off-lease units
appears to have peaked in December of 2015, and April’s volume was
notably low compared to recent months. As such, it is possible that
this model is seeing a mild improvement based on moderating supply.
As for the Volvo 730/780, this has not been a particularly high-volume
www.UTA.org
UTA Industry Watch
model, and retail pricing continues to reflect that positioning. The
International ProStar’s average suffers for yet another month due to no
2014 models reported sold – so there are no three-year-old models
included in this model’s average.
See the “Average Selling Price of Selected 3-5 Year-Old Sleeper Tractors”
graph for detail.
AverageRetailSellingPrice:ThreetoFiveYear-OldSleeperTractors
AdjustedforMileage
See the “Average Wholesale Selling Price; 4-7 Year-Old Class 3-4 Cabovers”
graph for detail.
Average WholesaleSellingPrice:4-7Year-OldClass3-4Cabovers
Adjusted forMileage
$25,000
$100,000
$20,000
$90,000
$80,000
$15,000
$70,000
$10,000
$60,000
$50,000
$30,000
4YO
$20,000
5YO
$10,000
3-5YOAvg.
$0
Jan-14
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-15
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
Source:ATD/NADA OfficialCommercialTruckGuide
Source:ATD/NADAOfficialCommercialTruckGuide
AverageRetailSellingPriceofSelected3-5Year-OldSleeperTractors
AdjustedforMileage
$100,000
386
$90,000
387/587
$80,000
Cascadia
$70,000
ProStar(ISX+MF)
$60,000
T660
T700
$50,000
VNL630/670
$40,000
VNL730/780
$30,000
Jan-14
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-15
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
$5,000
$40,000
MarketAverage
$20,000
Class 4 conventionals narrowed the year-over-year price deficit in the
first quarter, with our benchmark group of 4-7 year-old trucks coming
in at an average of $19,406. This figure is only $227 (or 1.2 percent) lower
than the first quarter of 2015. Mileage and volume were both moderately
higher in 2016, which points to an improving market.
4-7 year-old Class 6 conventionals were essentially equal in the year-overyear comparison, with the first quarter averaging $23,351. This figure is
only $150 (or 0.6 percent) off 2015’s same-period average. Average mileage
is notably lower in 2016, at an average of 137,590 – 39,810 (or 19.7 percent)
than the first quarter of 2015. However, volume has been higher in 2016.
We consider this market stable, with no clear upward or downward pressure.
See the “Average Wholesale Selling Price: 4-7 Year Old Conventionals by
GVW Class” graph for detail.
$10,000
Jan-14
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-15
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
$0
Average WholesaleSellingPrice:4-7Year-OldConventionalsbyGVWClass
Source:ATD/NADAOfficialCommercialTruckGuide
Adjusted forMileage
Looking at retail sales volume, there was an incremental increase from
February to March, from 4.8 to 4.9 trucks sold per rooftop. The first
quarter of 2016 trailed the first quarter of 2015 by 0.2 trucks. We expect
minor improvements in volume in upcoming months, as better
weather and lower pricing bolster demand.
See “Number of Trucks Retailed per Dealership Rooftop” graph for detail.
NumberofTrucksRetailedperDealershipRooftop
$30,000
$25,000
$20,000
$15,000
$10,000
$0
7
6
2per.Mov.Avg.(Class 4Price)
$5,000
2per.Mov.Avg.(Class 6Price)
Jan-14
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-15
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
Jan-16
Feb
Mar
$0
quarter, which is $893 (or 4.9 percent) higher than the same period of
2015. Lower average mileage is partly responsible for the difference,
but market conditions are incrementally better for this segment.
Source:ATD/NADAOfficialCommercialTruckGuide
5
Most medium duty segments are showing stable to higher pricing with
a higher volume of trucks sold. We consider these factors a net positive.
4
3
Forecast
2
Apr(est.)
Feb
Mar
Dec
16-Jan
Oct
Nov
Sep
Jul
Aug
Jun
Apr
May
Feb
Mar
Dec
Source:ATD/NADAOfficialCommercialTruckGuide
Jan-15
Oct
Nov
Sep
Jul
Aug
Jun
Apr
May
Feb
Jan-14
0
Mar
1
Medium Duty Trucks
Class 3 and 4 cabovers outperformed 2015 in the first quarter, with pricing
moderately higher despite substantially higher volume. Our benchmark
group of 4-7 year-old units brought an average of $17,982 in the first
www.UTA.org
The late spring and early summer months should see incremental
improvements in demand, as lower pricing gets some buyers off the fence.
The domestic economy is still generally sound, with most macro measures
trending incrementally upward. It will be a few months before the uncertainty
of the Presidential election season starts to impact business activity. n
Reprinted with permission from the ATD/
NADA Official Commercial Truck Guide®
www.nada.com/b2b
May 2016 13
UTA Industry Watch
Industry News Briefs
March Extends the Trend—
Medium Duty Orders Up;
Class 8 Orders Down
As winter became spring, the order trend established earlier in the year
continued. ACT Research’s March numbers showed Class 8 orders stood
at16,354, a decline of 10 percent from February’s total, and down 35
percent compared to March 2015. Medium Duty net orders totaled
13,242, a drop of three percent over February’s tally, but up 10 percent
y/y, ACT noted in a release.
“Medium and heavy demand trends continue to follow the sectors of the
economy that drive their respective cycles,” said Kenny Vieth, ACT’s
president. “For medium-duty vehicles, the consumer economy continues
to produce good outcomes as job and income growth support healthy
demand for big-ticket durable goods and housing. For Class 8, there are
too many trucks chasing insufficient freight. Low prices across the
commodity spectrum have rolled back investment, cutting demand for
machinery. In addition, the strength of the U.S. dollar has made U.S.
manufactured goods less competitive in global markets,” Vieth added.
He noted that the March net order volume for Class 8 was lower than
had been seen since late 2012. n
March’s Class 8 Orders Drop
Further: FTR
FTR also noted March came in like a lamb and
remained that way. Preliminary Class 8 orders
fell to their lowest level since September 2012 in
its estimation. March was the third straight month that net orders had
fallen. The tally of 15,800 orders was down 12 percent over February, and
down 37 percent year to year. FTR feels that orders will remain under
20,000 units over the next few months until the market “bottoms out.”
“Orders were slightly below expectations as the market continues its
downward slide,” said Don Ake, FTR’s Vice President of Commercial
Vehicles. “Fleets are being very cautious in the current uncertain economic
environment. Freight has slowed due to the manufacturing recession,
so they have sufficient trucks to meet current demand. Some fleets are
also delaying replacing older units until conditions improve. There are
very few dealer stock orders, since inventories are sufficient and OEM
lead times are short.”
Ake continued: “OEMs continue to reduce production rates in response
to an expected 26 percent drop in build this year. Inventories remain
high and retail sales have moderated, so order rates should remain subdued
in the short-term. Manufacturing is expected to improve soon and this
is expected to increase freight levels and stabilize truck demand.” n
TCI Also Drops
February’s Number Reflects Slower Growth: FTR As you might expect FTR’s Trucking Conditions Index (TCI) for February
was down, due to slower growth. The 8.27 reading reflected the market
research firm’s forecast for “a slowdown in truck loadings from an
average of four percent so far in the recovery, to two percent for 2016.” FTR noted, however, that there were positive indicators for the industry,
which included high capacity utilization and positive rate assumptions.
FTR expects to see the TCI start to steadily rise heading in the 2017 due
to “expected regulatory capacity constraints.” The market research
firm also noted [the] “TCI will continue to be positive into 2018 save
for the risk of recession or the possibility of temporary spikes in fuel
prices reacting to weak U.S. production.”
14 May 2016
Rush Enterprises to Close 13 Centers by July
Rush Enterprises, with more than 100 dealerships and offices in the U.S.,
announced a plan for continued consolidation of its Navistar dealerships.
Rush announced it has implemented the plan to reduce expenses while
still providing “efficient service to its customers in the affected areas of
operation.”
Given the slowdown in new orders it was no surprise perhaps that Rush,
operators of the largest network of commercial dealerships in North
America, announced it was consolidating. Its plan will result in the
closing of 13 Rush Truck Centers by the end of June, 2016.
To date, dealerships in the following locations have been closed:
Brazil, IN
Helper, UT
Kankakee, IL
Decatur, GA
Ottawa
Mount Vernon and Grayslake (IL)
Ontario, OR
Findlay, OH
Statesville, NC
In addition, Rush said its two locations in both Augusta and Tifton, GA
will be consolidated into a single location in each city on June 1, 2016. (Previously Rush consolidated its Peterbilt location in Alice, TX into
its Corpus Christi, location.)
“It’s never easy to make the decision to close a Rush Truck Center,” said
W.M. “Rusty” Rush, Rush Enterprise’s Chairman. “However, as we
acquired dealership groups across the country in recent years, we
acquired a number of small dealerships located in close proximity to
one another. Many of these dealerships have been in existence for a long
time, but with changes in technology and, in certain cases, the local
markets, there is no longer an economic justification for the affected
dealerships to operate in such close proximity to our other dealerships,”
Rush explained. Rush added that he hopes the affected employees would
accept jobs in other Rush locations.
“The 13 Rush Truck Centers we intend to close contributed approximately
$55 million in revenue in 2015,” stated Rush. “We expect that we will be
able to retain approximately 55 percent of the revenue from these locations
through consolidation into other nearby locations. However, we anticipate
that the closures will result in annual expense reductions of approximately $11.0 million. Importantly, we believe these expense reductions
will be achieved without any significant reduction in our ability to
service customers in our areas of responsibility,” Rush concluded. n
“The market has certainly softened in 2016, yet there are still enough
positive indicators to keep the freight markets afloat despite the
weakness,” said Jonathan Starks, FTR’s Chief Operating Officer.
“Freight loads are looking to slow this year, but two percent growth is
still a reasonable environment for truck operations. What it doesn’t do
is create pressure on capacity, which is what would be needed to
improve the rate environment.” Starks added that “a key focus will be
whether the manufacturing sector can stabilize and begin to grow
again. I believe it will, but it may still be a quarter or two before fleets
start to benefit from that activity.”
Starks also noted that the rate environment has worsened, “but unless
the market sinks further we should expect to see contract rates begin
improving in the second half of the year.” n
www.UTA.org
UTA Industry Watch
ATD Names NorCal Kenworth Truck Dealer of
the Year
The American Truck Dealers (ATD) recently named NorCal
Kenworth and Tom Bertolino, dealer principal, its 2016 Truck Dealer
of the Year. It made the award at the 53rd annual ATD Convention &
Expo in Las Vegas.
NorCal Kenworth, based in Sacramento, CA, operates Kenworth
dealerships in Anderson, Morgan Hill, Sacramento, and San Leandro, CA.
“Since Tom Bertolino – and his business partner Harry Mamizuka
– purchased the operation 17 years ago, NorCal Kenworth has
significantly increased its sales and market share by providing excellent
customer support, building exceptional facilities, and employing a
winning team,” said Jason Skoog, Kenworth assistant general manager
and PACCAR vice president. “This special ATD recognition for Tom
and NorCal Kenworth is well-deserved.”
“NorCal Kenworth and its 190 dedicated employees at our four
dealerships strive every day to provide quality Kenworth trucks, parts
and service to our customers. This award is a very special honor for
NorCal Kenworth and our employees,” said Bertolino. n
Caption: NorCal
Kenworth and Tom
Bertolino (right), vice
president and a dealer
principal, received the
2016 Truck Dealer of the
Year award from the
American Truck Dealers
(ATD) at the 53rd annual
ATD Convention & Expo.
Tom Bertolino and his
business partner Harry
Mamizuka (left),
purchased the operation 17
years ago.
European Truck
Platooning
Challenge Underway
If you’re unfamiliar with the term
platooning, you’ll soon know all about it. Platooning
refers to a procession of “driverless” smart trucks closely following one
another. The trucks are each equipped with state-of-the-art driving support
systems. The first major platooning demonstration started in late
March with “trains” of trucks leaving from several European cities.
The first truck determines
the speed and route,
according to the European
Truck Platooning
Challenge website. As a
result there are shorter
gaps between the
following trucks, and
space for other vehicles is
freed. A Wi-Fi connection
among the trucks ensures
synchronized braking
and can prevent sudden jolt/shock effects. This is good news for traffic
flows. It also speeds deliveries. Truck platooning can reduce fuel
consumption by as much as 10 per cent, while also reducing carbon
dioxide emissions. Businesses can realize significant savings as a result.
Because the trucks following the lead truck brake immediately, with zero
reaction time, platooning can improve traffic safety. Finally, platooning
efficiently boosts traffic flows, reducing tail-backs. Meanwhile, the
short distance between vehicles means less space taken up on the road.
The Netherlands, which now holds the European Union Presidency,
initiated the Truck Platooning Challenge. Six brands of automated
trucks—DAF Trucks, Daimler Trucks, Iveco, MAN Truck & Bus, Scania,
and Volvo Group­—have taken part. The platooning trucks have been
operating on public roads from several European cities to the Netherlands.
The website notes the Challenge’s aim is to bring platooning one step
closer to implementation. n
“Salute to Women Behind the Wheel” Honors Female Drivers
The Women In Trucking (WIT) association recently honored women truck drivers
at its annual “Salute to Women Behind the
Wheel” celebration. The event occurred at
the Mid-America Trucking Show in
Louisville, KY. WIT honored about 200
women “for their years of service in the
trucking industry,” WIT said in its release
about the event.
Kari Rihm President/CEO of Rihm
Kenworth led things off. Rihm Kenworth,
based in Saint Paul, MN, is the nation’s only
truck dealership owned 100 percent by a
woman. “You are all pioneers paving the
way for women across the country and
across the world to participate and succeed
in a man’s world,” she said. “You are pioneers in a modern sense, and
www.UTA.org
pioneers in anything always face obstacles
while at the same time blaze trails for
others to follow.”
Ellen Voie, WIT’s President/CEO welcomed
the group, comprised of female professional
drivers, their families, sponsors and
association members. She discussed some
of WIT’s recent accomplishments,
including the Girl Scout Transportation
Patch, ride-alongs with regulators and
elected officials, a minority carrier
exchange, the WIT app, WIT index, truck
stop rating directory, and the group’s work
on truck cab design and ergonomics. WIT’s
other recognition programs include the
Distinguished Woman in Logistics, the
Influential Woman in Trucking, and the recently expanded WIT
Image Team. n
May 2016 15
UTA Industry Watch
16 May 2016
www.UTA.org
UTA Industry Watch
www.UTA.org
May 2016 17
UTA Industry Watch
From Where We Sit
Well, here we sit on one of the first beautiful,
sunny, warm spring days we’ve yet to have.
The daffodils are in bloom. The birds are
chirping. Bunnies fill the yard, and the bees
are happily buzzing around. Those of us who
have emerged from one of the darkest,
grayest, wettest winters we can remember
hardly know how to behave! So, on this
wonderful afternoon, we want to talk about
the election. “Noooooooooooooooooooo!!!!
Please, please, please, we’re begging you!”
Anything but that, anything else at all,
please!” Relax, Dear Readers, we hear you.
We don’t mean that election! We’re on your
side! We’ve also seen enough political
yammering to last a lifetime. You’re safe here
with us. We’re talking about our local election for Burgess and
Commissioners that is held in our little valley every four years on the
first Monday in April.
If you read along with us, you know we adore the old and tiny little town
we live in nestled in the heart of a valley that was settled by German
immigrants more than 300 years ago. With its incredibly fertile farm
land and the beauty of its form, it’s been a favored spot for humans to
live ever since. George Washington surveyed it as a young man, and
decades later the Confederate soldiers and the Union troops marched
through it many times. We live on Main Street, which was once known
as the National Pike, since at the time it traversed the entirety of our
country and provided the only route to the west. Today there are still
plenty of farms, but lots of the folks who live here in town work the
same types of office jobs most of the rest of us know. In many ways,
living here is much like stepping back in time 50, 60, or more years.
seat is safe too. The best thing about this
form of government is that it represents
Democracy as it was originally intended.
Neighbors vote for their leaders, and then
those leaders listen to what the neighbors
think. The Town Hall meetings are
wonderful. For example, concerned that
the State-owned highway that is our Main
Street had become a speedway, we went to
a meeting at Town Hall, and expressed
concern. Can’t you get one of those signs
that says, ‘Speed Limit: Your Speed?’ we
asked. Well, not six weeks later, we found
two such signs, one on either entrance to
our town. Folks still speed, but our leaders
heard our concerns and acted.
So, as you can guess, we never miss a chance to vote for our local
leaders. It’s the closest thing we’ll ever come to experiencing the
Mayberry of Andy Taylor and Barney Fife. Town Hall is just down our
street, and the polls are open both before work and after. Voting is
simple and so much fun! We told our names to the elderly poll workers
and then signed in. Each of us received a paper ballot and a golf pencil.
Stepping into our own individual canvas and balsa wood voting
booths, we marked our ballots, folded them for secrecy, and then
dropped them directly into the ballot box, staunchly protected by a
lady of advanced age. Everyone thanked us, Brad grabbed some
free-for-the-taking yard refuse bags, and we were on our way. Who
wouldn’t want to take a taste of life when things were so simple and
straightforward?
We got the weekly local paper a few days later, and learned two things.
First, one of the commissioners we voted for had lost his seat. He was
the head of the committee that created beautiful walking trails of
natural habitats for our little bit of wildlife. We walk our dog along
one of the trails routinely so we thought he deserved another chance
to serve. Oh well, majority rules, and Tony lost to a new commissioner
by three votes. The second thing we learned was that 100 years ago
that same week, the town came together to select their Burgess and
Commissioners. Their names were as common in this valley as the
grave markers in our old cemeteries, the names of our streets, and the
children who fill up our school rosters! As a matter of fact, our current
Burgess and Commissioners also include a few of those old names.
How wonderful it is to live in the heart of a historic town and exercise
our own little piece of history by casting our own votes! So, we’re not
going to even step into the discussion of who deserves your vote or
what anyone else should be voting for. We’re simply going to continue
to encourage everyone who is eligible to vote!
It’s our responsibility, our privilege, and our
own little mark on the history of our government. At least that’s the way it looks from
where we sit.
Deb and Brad Schepp
[email protected]
Every four years, some of the Commissioner seats are open for new
blood. Campaigning is low key, and most of those seated on the
Commission stay as long as they like. If the Burgess is well-liked, that
18 May 2016
www.UTA.org