EV-Hybrid Battle, Tesla’s Two Big Releases, Busy Black Friday Results

Paul J Daly: 0:25

All right everyone's full of Turkey the lights are green and red behind us cows because it's Christmas me because the Eagles won yesterday it's fair. We're going to talk about the Eevee hybrid battle Tesla's two big releases and a busy busy Black Friday results. Busy Black Friday results I was gonna get my articles right. Okay busy Black Friday results I don't know why I added the article a in there

‍Kyle Mountsier: 0:49

not the article like the thing. Article structure Yeah. Yeah. As my fifth grade How was your How was your Thanksgiving? How was the deal? How was it all

Paul J Daly: 1:02

it was really good. We had so many people at our house on Thanksgiving Day. And it just went I was surprised at how smoothly it went. We have like 30 people over and dinner just happened and here's the Thanksgiving turkey trick. So first of all, we cook our turkey in Turkey roaster. Okay, it's like a 40 or $50 Like, austere brand appliance and it only comes out once a year. The turkey goes in and I added a little element to it this year. Sarah does the turkey All right? That's a digital thermometer that you just pop in the turkey leg. You run the wire outside the roaster literally that Turkey was done in two and a half hours to perfection when I got this 165 litre you put it in the roaster put the lid on put the timer on two and a half hours later you picked it up and you let it rest in new carpet so that's technology old technology amazing.

Kyle Mountsier: 1:54

We got up you know like we did great well on the on the turkey story to match that is you always hope and they never put it on the packaging whether or not the turkey has little red thing that pops Hopper a little pop ours we got lucky this year ours had one so that always that's always a win. Like you know you're gonna get a good Turkey and it was good. My sister and brother in law were sick they weren't able to make it we're in town and we just had a nice weekend. The fam and I you know this weekend we threw up all the Christmas stuff so we're ready to go I got the lights behind me don't worry I won't hit this every day. I don't think this this is this holiday season. But I'm I'm feeling in the mood. I even have a little a little Christmas tree in the office with a flat brim treetop

Paul J Daly: 2:48

flat rim tree topper, oh my gosh. That would be amazing. But look, I know a lot of people are getting back in the you know, like getting back started today. Everybody. Most people were probably closed yesterday definitely closed on Thursday. A variety of people worked Friday, Saturday, right? But whatever it is, everybody's like, this feels like a real Monday. Yeah, everybody's coming out. So we're gonna ramp it up slowly. We do have a few things going on. Coming up. This one, it's no no rush, no rush two weeks from now. December 13. We're gonna do another one of our asoto edge webinars. These things have been so much fun with our friends at upstart. The title is transforming car buying the power of connected auto retailing. So look, there's always something to learn. Our friends at upstart are great at it. So December 13. It'll be a nice mid month webinar that you can sign up for you can sign up by going to I believe a soda.com. Just scroll up a little bit and you'll see a sign up right there. We hope you can join us because these things have been fast. It's under 30 minutes. 2030 minutes. So much fun. And we got some other plans in the works too. Maybe for later in the month. extravaganza. We'll talk about that. But we have some news to talk about. I mean, let's go. What I did find out is that the whole automotive world basically screeches to a halt, shut down for four days. So we're gonna give you some broader stories and some directly appropriate stories today. So speaking of broader stories

Kyle Mountsier: 4:14

into it, just really the segment energy that we got. So we know it's

Paul J Daly: 4:18

a great Wall Street Journal article hit over the weekend. And basically it summarizes Tesla and Toyota kind of in this philosophical and practical head to head battle. As Elon Musk's push for an all Evie world is being pushed back on pretty significantly by Toyota has renewed focus on the rapid and increasingly affordable deployment of hybrid technology. So basically, Musk has been saying he wants to beat Toyota as the best selling Evie so he an even not just Evie he aims to surpass Toyota as the top selling automaker with an all electric all electric lineup, obviously with his electrical by the year 2030. We're getting there pretty closely, I don't know. But notably the model Y surpassed the Camry this year, it's just been the best selling sedan forever. Right? And they were within 7000 units of also beating the ramp for

Kyle Mountsier: 5:09

the one. That's the one that gets me because the camera why? Yeah, right. That's a sedan, right, it's a sedan and sedans in general have been going out of style, like everyone's moving across over utility vehicles. That's just kind of what the buying matrix is in the US. So to be that close to the rav4, from another sedan ish looking thing on a model Y, model Y is right in between. Yeah, it's right in between. That that's the surprising one to see them catching up there. The difficulty here is, and this is what you know, and we'll talk about this in a second. But what other vehicles are is Tesla gonna come out with to, to compete with the 19 model lines that that Toyota currently has to every segment of the market?

Paul J Daly: 5:56

And Twitter, I mean, it's always baffled me a little bit is that the model lines seem to have a lot of overlap. Yep. in size, however, like they just have built amazing brand around so many, like the Forerunner like for runner, Highlander, this new land cruiser, it's going to come out. But basically, despite their growth, Toyota has been leaning into the hybrid technology, getting closer and closer, like two years ago, there was like a $10,000 difference. If you wanted a hybrid powertrain, you're paying 10 grand more for a Highlander, that is no longer the case. And the camera pricing that's about to come out with the hybrid only, right? They're only producing with a hybrid. They're trying to address that. And so basically, Occhio Toyota, we know has been a champion of hybrid saying that the hybrid is the perfect balance that allows you to step into an electric future without all the inconveniences and stresses of an Eevee. So Tesla has been cutting their prices like crazy right, and their profit fell 44%. In the third quarter, David Chris, Toyota's North American brand had said the buzz of electrification in the industry has someone made somewhat mainstreamed hybrids, it's really had an awakening.

Kyle Mountsier: 7:02

This is this is in my opinion, the q4 story of the year is well second half of the q3 q4 story of what is happening with electrification. And I still don't think that all of the the OEMs, including Tesla have seen the full ramification of what it looks like to go all in on EVs and not have a back up plan, especially when it comes in to manufacturing. And how do all of the OEMs including the new entrants fill the gap in education to bring in the next wave of adopters. That's the that's the trigger if, if all of them can figure out that education gap and get the next wave over the hump, then then EVs are fine. But right now we are in that great chasm of Kennett kind of like crossed the divide. Well, speaking

Paul J Daly: 7:52

of Ken across the divide, segway, we're gonna continue on this thread of the Eevee conversation, and Tesla has two releases of sorts that are dropping this week. The first one is the recent release of full self driving, v 12. And also third on the 30th, a much awaited release of the production cyber truck. So on the full self driving, Tesla has begun re releasing FSD 12 to employ testers. So the first step was to release it to engineers. The second step is employees, the next step will be consumers. And the big difference in this release is it is no longer relying on engineer programming. It's making decisions based on its neural network. So that is like where the car is now like processing things for itself. And this is a big step. And obviously a big step to getting full self driving capability because you can't really plan or program for everything. Originally, Musk said we'd have full self driving capability by the end of this year, he's got approximately 34 days to do it. I don't think that's happening.

Kyle Mountsier: 8:56

But so I'm just excited for all the videos that are going to come out because there's gonna be a lot more attention on this over the next week. And so I'm watching Instagram and Tiktok to figure out exactly what's going on once a lot of these employees getting a hold of this thing. Yeah. And to see, you know, is it working? How does it feel? What are the situations that it overcomes or doesn't overcome, because I'm sure people are going to be putting videos of this up. But look, after Cruz has totally had to change what it's doing over the last couple weeks being adjusted of the changes in in in legislation in some of these cities. And then you know, to see exactly what Tesla comes up with, and then coming off the coming off the heels of a big a big ruling that said they weren't in on the hook for an accident. And what happens if there are accidents coming? Here are the near future. This is a big move. There's a lot of question marks around it, but I'm just ready for the TIC tock videos.

Paul J Daly: 9:54

They're coming. They're on their way the other release this week, obviously. Thursday the 30 So we've been talking about the cybertruck delivery event, get this the cybertruck was first announced November 21. Of 2019. Wow, almost four years to the date four years to the date, they're going to deliver the first production. I mean, Elon Musk has been very vocal about saying, We dug her own grave with the cybertruck. We took a real big swing, we bit off more than we could chew, whatever, however you want to pace it. So they've already said volume production to the unit, or the vehicle won't start until late next year, late 2024. And we'll see you know, Elon tends to not be accurate about his predictions to have full self driving amps and average delivery. But full pricing is also yet to be released. So we still don't really know how much is trucks going to cost back four years ago. They're saying starting at 39 Nine, that's not happening. No, not

Kyle Mountsier: 10:46

a chance. Not a chance. That thing's not selling for under 50 grand period and the story, ya know, and

Paul J Daly: 10:52

they're not going to make those versions until late 2025.

Kyle Mountsier: 10:55

I'm excited that they've started to drop some of these in their showrooms. I saw a couple of those Oh, heck yeah, the weekend and so we're starting to see like a real live thing. They look cool.

Paul J Daly: 11:08

Really cool. I'm really curious what it feels like to sit in one because from the outside it is hard because of the angles it is hard to see like get an idea for like how it feels especially in the back seat. Right because the back seat looks really cramped but I have a feeling it's gonna feel bigger it there it's just really deceptive the way those big angles it just never seen a vehicle

Kyle Mountsier: 11:28

excited for the TIC tock videos

Paul J Daly: 11:30

you know again I'm excited for the funny part is called doesn't even have tick tock so

Kyle Mountsier: 11:33

I don't have tick tock tick tock are using Tiktok to shop online. Hey, Black Friday 2023 has completely defied analysts expectations with a record $9.8 billion in online sales, showcasing American consumers adoption of digital shopping for those great Black Friday deals. Online sales has were up seven and a half percent from last year with mobile shopping accounting for 54% of those sales. So the actual purchasing interestingly enough, it was 79% of the actual shopping behavior, but only 54% of the actual sales. Also Buy now pay later saw a significant increase over 47% indicating a shift in consumer payment preferences not just payment preferences, but now affordability and pay ability ability to pay. The interesting one, this was a cool stat that I that I thought was really neat is store branded credit cards are actually losing popularity with registrations down 37% from 2015 as shoppers opt for more flexible and less brand loyal payment methods. So not get us at the old register there the old card. Yeah, not not not getting that card. But so they're looking now at Cyber Monday and expecting to set another record with a projected sales of 12 billion which would be a 5.4% increase from last year. Fueled by what what analysts are saying is over 30% discounts from regular pricing on electronics alone.

Paul J Daly: 13:13

I think that that is a big part of this holiday I every year you get discounts the emails start firing up mid last week. And you know now that Black Friday deal isn't just gonna be around for Black Friday, like the gigs up like Oh, Black Friday, extended Cyber Monday, Cyber Monday extended right? And then we're gonna get a week or two in the next year or next week. And it's still gonna be 30% off but that is the number right like I'm not getting excited about anything unless it's 30% off. It's just not absolutely yeah

Kyle Mountsier: 13:41

because 20% off that's always happening 25% Off you get that but 30% off that's when you get the big enough this was crazy. I got I have a gene company that I bought jeans from before sent me five emails on Saturday, each one extending and extending the sale all the way to what ended up being midnight I spent

Paul J Daly: 14:04

most of my weekend just like everybody else just like hitting Delete on my email box. Delete, delete. Delete, oh crap that I needed that one out of 100 Look, I think that it's obvious Americans are ready to spend however their ability to spend is nificantly declining. I saw a report showing that 45% of US households are would be unable to come up with a $2,000 emergency expense. Oh I just think about that. 45% of US households that's why the Buy Now pay later situation is up we've seen consumer debt is through the roof. I kind of have a feeling this holiday season like the holiday hangover from this year is going to be way worse than it's been for like the last five years because January February is going to hit so we'll see but without a doubt man these retailers are on the on the ball. They have their data dialed in. They have their you know they have their CDP's dialed in. Wink wink let's get going automotive and they Know how to send us emails about the products we might have glanced at at some point in our lives. Oh well that being said, Look, we hope you have an awesome week. Cyber Monday Giving Tuesday is tomorrow something we get excited about around here without without a doubt. It's good opportunity. Love people born you love cars, get out there, sell some cars love some people.

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