Automotive News Canada - August 2020 - v2 - 25

* AUGUST 2020

Lenders as advisers
ers and their financial
partners [that] can incorthe market, said Uykur.
porate advice with an
That means the industry
exceptional and seamless
faces a "big affordability
client experience will
challenge for those buyearn a greater share in
ers as the effects of the
the future," he said.
pandemic-related ecoOnline shopping may
nomic slowdown contincircumvent the role of
ue to manifest over the
F&I managers, Uykur
next couple years."
said. Unlike mortgage
Lenders, he said, will
customers who shop
play a "heightened role
around for the best lend... to provide affordabiliing rate, online car shopty advice and create solupers are "very unliketions for individuals who
ly to compare different
might not have large
lenders when they look
down payments,
for an auto loan."
for example, or
But Scott
who might have
Morrison, presless monthly cash
ident of Nissan
available to spend
Canada Finance,
on their mobility
said the companeeds."
ny continues to
As a result,
see a role for traauto lenders
ditional F&I perSimons:
might soon
sonnel and prodThe industry ucts, even as it
offer new tools
could
designed to
has begun to offer
provide
"enhance advice
customers the
more
capabilities,"
ability to sign
options
which would
contracts digitalto qualify
help to attract
ly, among other
customers
customers and
recent changes.
rather than
reduce the risk
"We believe
giving "a
of defaults, the
that all parties
binary yes/
report said.
can be served in
no."
In the long
a digital environPHOTO
VIA GRANT
term, what the
ment and we are
SIMONS
industry does to
currently workattract those buyers - or
ing closely with our dealwhether it attempts to at
er partners to integrate
all - remains up in the
key F&I products into
air. Lenders might eventhe online sales chantually offer "non-tradinel," Morrison said in a
tional financing options"
statement to Automotive
to entice buyers who
News Canada.
would have chosen "less
Tim Reuss, CEO
expensive options" such
of the Canadian
as transit before the panAutomobile Dealers
demic, the report said.
Association, said the
But in other scenaripandemic has proved
os, lenders could "matethat the industry and
rially shrink their credit
the relationship between
box and increase lending
lenders and dealers are
requirements," which
capable of changing. He
would result in more
cited the industry's willcustomers "unable to
ingness to waive "wetaccess vehicle financink" signature requireing."
ments as showrooms
Grant Simons, head
were shut down and car
of RBC Automotive
buyers shopped from
Finance, said the indushome.
try could provide more
"That was unheard of
options to consumers on
before the crisis," Reuss
approved terms and paysaid. "They realized they
ments, "rather than a
were able to do somebinary yes/no."
thing in a few weeks
"We clearly see the
that before the crisis
shift toward digital
they thought would take
retailing. Those retailyears." - ANC

CONTINUED FROM PA GE 22

A CIAS cancellation could derail
the entire 2021 auto-show season
Summit and media day product unveilings, Campbell
said.
for automakers and show revenue.
In developing a proposal for a live show, he said,
"We will not make a decision just based on profitCIAS is considering mandating cost-saving measures
ability," said CIAS General Manager Jason Campbell.
for all automakers to standardize booth appearance
"It has to be based on what is right for the public and
and reduce competitive spending. This could include
what is right for the industry from a reputational
temporarily banning costly raised-floor and secstandpoint."
ond-ceiling booth structures and elaborate lighting setups. The move is designed to alleROMANO IS SKEPTICAL
viate cost pressures on automakers, thereby encouraging particiBut the writing might
pation.
already be on the wall as Mazda
Convention centres across
has already decided to bow out,
Canada, meanwhile, are lobbyand Hyundai Canada - a vocal
ing governments for direction on
supporter of auto shows - has
developing safety protocols for
put plans to exhibit on hold.
reopening, Campbell said.
"When we're talking five
Timed ticketing to control
months away, six months away,
attendance is on the table, as is
to be putting thousands of peoreducing the show's footprint
ple together in a conference
to half of the Metro Toronto
just doesn't seem feasible,"
Convention Centre, should
said Hyundai Canada CEO Don
enough exhibitors withdraw that
Romano.
the full space is not required.
"We're going to plan for it
"To be putting thousands of people
not to happen and have altertogether in a conference just doesn't
TOO SMALL TO BE VIRTUAL
native ways to communicate
seem feasible," said Hyundai Canada
our numerous products that are CEO Don Romano. F I L E P H O T O
For smaller, regional shows in
going to be coming out over the
Canada, offering an alternative
next six to 12 months."
such as a virtual program is cost-prohibitive with litMazda decided in May to skip the 2021 auto show
tle return on investment, said Jim Gillespie, executive
season, said spokeswoman Sandra Lemaitre.
manager of the Calgary International Auto and Truck
"We honestly couldn't envision how to safely manShow, scheduled for March 10-14.
age these types of large gatherings while still deliverGillespie said his show is in an all-or-nothing sceing a positive experience for consumers," Lemaitre
nario, and a decision will need to be made by early
said. "Coupled with the fact that our research showed
September on whether to proceed based on guidance
consumer confidence in attending
from Alberta Health Services and automaker particilarge gatherings before a vaccine is
pation.
available is low, it just didn't make
"If Toronto and Montreal go ahead with their
sense for us to participate."
shows ... we're hoping that the manufacturers will
David Adams, CEO of the Global
come right across the country," Gillespie said.
Automakers of Canada, said that of
The Montreal auto show, scheduled for Jan. 15-24, is
the association's member brands that
currently in a holding pattern, said Executive Director
attended auto shows in 2020, only
Luis Pereira. Consultation is required with the show's
Mazda Canada formally announced
venue, the Montreal Convention Centre, to prepare
Lemaitre:
its intention to sit out the 2021 circuit.
proposals for distancing measures. Those talks won't
Mazda
The rest would like to proceed, Adams
take place until the centre reopens Sept. 1 after its
canceled
said, provided that organizers can put
summer break.
after
forward satisfactory plans to keep the
"Hopefully by then, the government would have put
weighing
public safe.
safety and
forth some revised guidelines for consumer shows,"
quality of
Canceling or postponing the counPereira said.
experience
try's largest auto show would likely
After rescheduling its 100th anniversary for this fall
for conthrust a stick into the spokes of the
and then being forced to postpone it again until March
sumers.
entire 2021 schedule. Peter Ginsberg,
24-28, 2021, the Vancouver International Auto Show
PHOTO VIA
the producer of the Ottawa-Gatineau
is in limbo, said Blair Qualey, CEO of the New Car
SANDRA
International Auto Show, said that
Dealers Association of British Columbia.
LEMAITRE
shows in smaller markets are at the
"We continue to monitor the situation and work
mercy of what happens in Toronto and Montreal.
with stakeholders and health authorities and hope
"I've reached out to some manufacturers, and
to have more information in the coming months,"
they're just hanging tight for now," Ginsberg said.
Qualey said.
"Nobody's making any commitments at this moment.
Amid the uncertainty across the country, Romano
Toronto and Montreal are going to set the pace for
said Hyundai Canada's plan is to hope for the best but
what the manufacturers are going to do, and then the
plan for the worst.
other shows follow up from there."
"When we see what's happening down in the
Virtual experiences could also replace other in-per[United States] right now with the [infection] numbers,
son aspects of the Toronto show, such as the annual
it reminds us it ain't over till it's over, and it's not
Canadian Automobile Dealers Association (CADA)
over." - ANC
CONTINUED FROM PA GE 1

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Automotive News Canada - August 2020 - v2

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