Will the Holden brand survive?

[oldel]

GM is next.
I've been reading the past few pages about Chinese companies and whether they will ever be good. I think China themselves have already decided they're good enough because GM and Ford are already taking a bath there (E: in the past 2 years GM sales down over 20%; ford sales dropping by 50%), with the Chinese buying more local cars and not GMs or Fords. Soon that's going to be global, people not looking to USA car companies anymore in Asia and the trend will spread.

All GM's market outside of North America is South America and China, they are losing so many sales recently so GM is almost done because they exited every other market.
https://wolfstreet.com/2020/02/18/ge...-its-too-late/

Also ford is being dumb investing in rideshare, car share and scooters losing billions
https://wolfstreet.com/2020/02/06/fo...-its-too-late/

[Mechan1k]

Originally Posted by Sprintey

12K Astra, wow, could that be true? This is what a firesale looks like.

Interview with GM Management before the fall:

https://www.caradvice.com.au/382691/...-says-gm-exec/

It's a shocking interview as for my ear, a firm dictating what their customers will have to like. Surely a no-no in business. As for his comments on V8s, I think he's wrong here too: V8s will continue to sell (eg, RAM, Ranger Raptor) until everything gets swept away by electric. What has happened is that passenger cars of every engine type have been destroyed - it wasn't whether or not they had a V8. Sadly, Holden got destroyed sooner. The only refuge has been dual cabs, SUVs (well done, Mitsubishi, who turned to these first and then priced for volume).

Firesale indeed with these discounts

https://www.caradvice.com.au/827940/holden-discounts-2/

[buggerlugs]

https://www.abc.net.au/news/2020-02-...opped/11977482

[MethodX]

Originally Posted by buggerlugs

https://www.abc.net.au/news/2020-02-...opped/11977482

Didnt the tarriff cuts begin in the 80's?
Of course they couldnt survive without protection and handouts.

[Kingsley]

Originally Posted by cheap

Massive fire sale!

News suggests $17,000 off some models.

Pity the buggers who bought something last week/month - they’ve taken an extraordinarily hit.

I'd imagine it would feel insulting. The timing for them was bad.
I was reading the Trax will be nearly half price at 13k!! Not bad if the warranty will be honoured as they mention.
Re-sale on late model Holdens will be interesting. Even the flow on effect to the used car market in general. After July might be a good time for some people to upgrade even to second hand stuff.

[jpd80]

They’re decent enough vehicles, just no interest from buyers unless heavily discounted,
I feel for dealerships

[GO FURTHER]

Just heard on the radio this morning that Holden’s car-sharing service, Maven Gig, will need to return 1000 Holden cars as they are closing it down.

Looks like there will be some fire sale bargains to be had there.

When you think about it, those 1000 cars were registered (not sold to consumers), but added to Holden’s new car sales figures in a big way.

[Sprintey]

Every country uses forms of protection and handouts. Tariffs, import restrictions, currency manipulation, free factory land, no need for OH&S or enviro, bullied FTAs, diversion of "green" funding or carbon credits, QE style monetary support...etc

Thailand FTA - slaps duty on motors bigger than 2.7L 2 weeks after signing with Oz...

Germans take the cake, devaluing the Deutschemark 30% via Euro adoption - all they had to sacrifice was the industry and youth's future of Southern Europe, a small price to pay...

We can be proud as Australians that we are the country that doesn't use these underhand protections. /s

[Bossxr8]

Originally Posted by ebv8

Great Wall/Havel

great wall will have the colarado and the havel are on par with the quality of the holden SUV's anyway

They bought the plant, not the IP required to get the Colorado with it. They will build their own ****eboxes there.

Originally Posted by naddis01

Great Wall won't have the Colorado. They are about to release their own new ute - the Cannon. Supposedly benchmarked against the Hilux/Ranger.

Ewww. At least they make them look as crap as they drive.

Originally Posted by Sprintey

Every country uses forms of protection and handouts. Tariffs, import restrictions, currency manipulation, free factory land, no need for OH&S or enviro, bullied FTAs, diversion of "green" funding or carbon credits, QE style monetary support...etc

Thailand FTA - slaps duty on motors bigger than 2.7L 2 weeks after signing with Oz...

Germans take the cake, devaluing the Deutschemark 30% via Euro adoption - all they had to sacrifice was the industry and youth's future of Southern Europe, a small price to pay...

We can be proud as Australians that we are the country that doesn't use these underhand protections. /s

More like our pollies bend over in FTA's ,and are too weak to fight for fair deals.

[Bossxr8]

As for the fire sale of Holden stock, it's just the final slap in the face for their loyal buyers from the past few years, who are now seeing their resale values being burnt down to nothing.

Imagine being a loyal Holden man/woman who bought a Commodore last year, and watching it be worth a quarter of what they paid for it within 2 years. Ouch.

[Sprintey]

The Wolf Street article on Ford was excellent.

https://wolfstreet.com/2020/02/06/fo...-its-too-late/

The adventures seem quite quixotic.

The auto sales falls seem concerning.




Edit: the best ever Don Quixote story:

https://www.youtube.com/watch?v=hbOnonmvE9M

[hayseed]

LOL..
https://www.betootaadvocate.com/unca...zLxHdkqagLjXkU

[MercuryT]

The Ranger way cooler.

Both useless for most but tough guys buy them (apparently)

[csv8]

A Holden car dealership in South Australia had been on the brink of opening a state-of-the-art showroom when General Motors announced it was axing the brand.

City Holden in Adelaide's CBD was among those left high and dry after GM revealed it was 'retiring' the iconic Australian brand by 2021 due to plunging domestic sales and a decision to get out of the right-hand-drive vehicle market.

The family-run business is one of the best performing dealerships in the country and consistently turned over about $100 million a year across four locations.

City Holden in Adelaide (pictured) was blindsided by the decision to axe the Holden brand +2
City Holden in Adelaide (pictured) was blindsided by the decision to axe the Holden brand

City Holden was expecting to open the new $6.5 million 'dealership of the future' on Railway Terrace at Mile End in May this year, they told The Advertiser.

Dealer principal Julian Newton described the new centre as a move towards a boutique showroom experience with a focus on technology.

Mr Newton said: 'There'll be screens and interactivity, iPads, screens. Essentially having a representative range on the floor but being able to showcase the whole lot through technology.

'I'm really excited by what we're doing down there. It's such a great move into the future and it's the next stage of City Holden and the Newton family,' he said.

RELATED ARTICLES

[GasoLane]

Originally Posted by csv8

A Holden car dealership in South Australia had been on the brink of opening a state-of-the-art showroom when General Motors announced it was axing the brand.

City Holden in Adelaide's CBD was among those left high and dry after GM revealed it was 'retiring' the iconic Australian brand by 2021 due to plunging domestic sales and a decision to get out of the right-hand-drive vehicle market.

The family-run business is one of the best performing dealerships in the country and consistently turned over about $100 million a year across four locations.

City Holden in Adelaide (pictured) was blindsided by the decision to axe the Holden brand +2
City Holden in Adelaide (pictured) was blindsided by the decision to axe the Holden brand

City Holden was expecting to open the new $6.5 million 'dealership of the future' on Railway Terrace at Mile End in May this year, they told The Advertiser.

Dealer principal Julian Newton described the new centre as a move towards a boutique showroom experience with a focus on technology.

Mr Newton said: 'There'll be screens and interactivity, iPads, screens. Essentially having a representative range on the floor but being able to showcase the whole lot through technology.

'I'm really excited by what we're doing down there. It's such a great move into the future and it's the next stage of City Holden and the Newton family,' he said.

RELATED ARTICLES

Do try to keep up

https://www.fordforums.com.au/showpo...postcount=1234

[GO FURTHER]

Originally Posted by Bossxr8

As for the fire sale of Holden stock, it's just the final slap in the face for their loyal buyers from the past few years, who are now seeing their resale values being burnt down to nothing.

Imagine being a loyal Holden man/woman who bought a Commodore last year, and watching it be worth a quarter of what they paid for it within 2 years. Ouch.

Not only that, but imagine trying to sell some GM "Specialty vehicles" in Oz down the track, after they have slapped the Holden faithful on both cheeks.

What's that saying again... "One bitten... Twice shy"

[blueoval]

Originally Posted by hayseed

LOL..
https://www.betootaadvocate.com/unca...zLxHdkqagLjXkU

[lra]

Originally Posted by Bossxr8

Imagine being a loyal Holden man/woman who bought a Commodore last year, and watching it be worth a quarter of what they paid for it within 2 years. Ouch.

I don't think a loyal Holden man/woman would have been foolish enough to buy a ZB. The writing on the wall after 2017 was in large, bold, red paint. If you didn't see it, well..... not much more to say about that.

[Bossxr8]

Originally Posted by csv8

A Holden car dealership in South Australia had been on the brink of opening a state-of-the-art showroom when General Motors announced it was axing the brand.

City Holden in Adelaide's CBD was among those left high and dry after GM revealed it was 'retiring' the iconic Australian brand by 2021 due to plunging domestic sales and a decision to get out of the right-hand-drive vehicle market.

The family-run business is one of the best performing dealerships in the country and consistently turned over about $100 million a year across four locations.

City Holden in Adelaide (pictured) was blindsided by the decision to axe the Holden brand +2
City Holden in Adelaide (pictured) was blindsided by the decision to axe the Holden brand

City Holden was expecting to open the new $6.5 million 'dealership of the future' on Railway Terrace at Mile End in May this year, they told The Advertiser.

Dealer principal Julian Newton described the new centre as a move towards a boutique showroom experience with a focus on technology.

Mr Newton said: 'There'll be screens and interactivity, iPads, screens. Essentially having a representative range on the floor but being able to showcase the whole lot through technology.

'I'm really excited by what we're doing down there. It's such a great move into the future and it's the next stage of City Holden and the Newton family,' he said.

RELATED ARTICLES

A blind man could have seen Holden's demise coming. From space.

Surely the massive drop in sales month over month for the past few years would have been a good enough sign that spending millions on a new Holden showroom probably wasn't such a great idea.

But i'd assume it will be used to sell vehicles from other manufacturers, and may not be a complete write off.

[Romulus]

Originally Posted by b0son

The nightmare just get worse and worse for these guys...

https://www.msn.com/en-au/money/news...ug/ar-BB106O4i



What the hell were these guys thinking?

The expression boo effen hoo comes to mind. If this business didn’t see the writing on the wall they shouldn’t be in business.

[GTLEGEND]

Maybe its a conspiracy so now they get their money back + extra for pain and suffering from GM, pay for the reno with money left in the bank and ready for another manufacturer and debt free!!

[blue sleeper]

Originally Posted by Sprintey

Every country uses forms of protection and handouts. Tariffs, import restrictions, currency manipulation, free factory land, no need for OH&S or enviro, bullied FTAs, diversion of "green" funding or carbon credits, QE style monetary support...etc

Thailand FTA - slaps duty on motors bigger than 2.7L 2 weeks after signing with Oz...

Germans take the cake, devaluing the Deutschemark 30% via Euro adoption - all they had to sacrifice was the industry and youth's future of Southern Europe, a small price to pay...

We can be proud as Australians that we are the country that doesn't use these underhand protections. /s

Originally Posted by blue sleeper

The Button Plan ended up being the nuclear button plan to the entire car industry here.....

I'm just going to leave this here.......

[jpd80]

Originally Posted by GTLEGEND

Maybe its a conspiracy so now they get their money back + extra for pain and suffering from GM, pay for the reno with money left in the bank and ready for another manufacturer and debt free!!

You can imagine that this decision was made a couple of years ago on the back of
assurances by Holden that "We're here to stay". So rather than being crazy/ stupid,
I suspect it was calculated and backed by an enforceable undertaking not to quit.

[Dr Smith]

Originally Posted by jpd80

You can imagine that this decision was made a couple of years ago on the back of
assurances by Holden that "We're here to stay". So rather than being crazy/ stupid,
I suspect it was calculated and backed by an enforceable undertaking not to quit.

Yep. No business would get this type of capital funding necessary without an iron-clad contract from Holden. I'd be staggered if there isn't a franchise contract with a defined minimum period which gave this dealership some "security" to re-develop the site. And I remember reading somewher that Holden is going to payout these contracts some of which were due to expire in 2021.
In an un-related industry I know of several farmers that were only able to borrow a couple of mill for expansion after the processor they exclusively supplied gave them 5 year contracts.

[Yellow_Festiva]

Originally Posted by Romulus

The expression boo effen hoo comes to mind. If this business didn’t see the writing on the wall they shouldn’t be in business.

One of the pictures shows an empty building site? If they haven't started how can they be up and running in May?

Just down tools and cut (write off?) your losses.

Having said that nothing stopping them from re-branding? From what I have read they are a very successful dealership group.

[prydey]

Originally Posted by Yellow_Festiva

One of the pictures shows an empty building site? If they haven't started how can they be up and running in May?

Just down tools and cut (write off?) your losses.

Having said that nothing stopping them from re-branding? From what I have read they are a very successful dealership group.

If you're referring to city Holden, the building works are well and truly started. It's around the corner from where I work. Whether they finish it or not is another story. I'd say it will be worth a bit just in land value. Another brand may take it over.

[Yellow_Festiva]

Originally Posted by prydey

If you're referring to city Holden, the building works are well and truly started. It's around the corner from where I work. Whether they finish it or not is another story. I'd say it will be worth a bit just in land value. Another brand may take it over.

Ahh ok, yes if that was the dealership that sunk $6.5 million into a new showroom then that's the one one I was referring to.

The articles show a blank patch of dirt with not even foundations poured - probably dated Google street view images?

[jpd80]

According to the website, the new premises opens on 2nd March.

[stock1991]

Originally Posted by Sprintey

The UK declared its auto industry worth protecting in 2010, and will keep it as it expands into defence and space. Those countries enjoying free access of globalisation are getting hit with tariffs - and tweets revealing how naughty they have been. The wind has shifted and a smart approach would be to bet the other way with electric coming on fast, providing a foot in the door at the entry level.

I wonder if things will go full circle and we start importing British cars, there is that opportunity for them at least

[davenl5l]

City holden sold a multi million dollar property in the city to fund the new build as well as their yard out north