Jolting EV Repairs, Masters Degree In Auto, Mc’D’s New Idea

Paul J Daly: 0:28

It has been a weekend we're in the full first week of December. 1 full week, I guess. Yeah. First of all, we we got MP repairs and master's degrees and a new McDonald's coming at you this morning. Just so we needed

‍Kyle Mountsier: 0:42

we needed another reason to use the restroom. That was wrong, wrong way to start. I apologize for that. I have that visceral reaction. As soon

Paul J Daly: 0:57

as I said the word has to help it couldn't help it. Hey, do you eat at McDonald's? How often does your family like when was the last time your family goes to make that went to McDonald's? Because I know you do like some junk food like you go to Little Caesars. But do you go to McDonald's?

Kyle Mountsier: 1:15

No. I don't think I've ever purchased my entire family. Wow. Yeah. We I the only thing we do. Right is my wife and I we my wife and I get McFlurry Coffee. Coffee. Oh,

Paul J Daly: 1:32

right. Because McDonald's does have right as far as really good coffees. You embarrassing Donald's over Starbucks with you?

Kyle Mountsier: 1:40

All day. Well, like twice on Sundays. Yeah, absolutely. No, we're like Chick fil A out Chick fil A and Chipotle. Yeah, it's our we just

Paul J Daly: 1:48

thought I'd need to get a few things squared away before the week starts. Now we have the cover up next week. We have a really fun webinar coming up. We have these asoto edge webinars if you haven't been a part of one, you should try one by going to a soda.com. Scrolling down a little bit register Quick Shot 2030 minute webinars where we're trying to bring a little life and lively nature into a webinar. You know how it goes. Usually you're

Kyle Mountsier: 2:12

I was talking to someone on Friday, and they were like, Ah, I don't like webinars. That's exactly our point. I was like, why he and literally this person goes. They're just too long. I can't commit to an hour. I was like, yeah, that's

Paul J Daly: 2:26

your solution there. And yeah, I mean, that's that's the thing, right? It's background noise before you know it Not these. Check it out. We're gonna be with our friends at upstart talking about connected car buying and all the little nuggets that you know, you can deploy on a regular basis. You'll learn something, you'll laugh a little you have some fun. Try one out if you haven't, if you had, you already know how fun they are. So you can be there also. That's December 13. Next week, you can register now for free. What December what? 20th? Wednesday? Yeah, you're an extravaganza coming in hot. If you've been around for the last few years, this will be our third annual a soda urine extravaganza. We have some

Kyle Mountsier: 3:03

we can call third annual That's not weird. I feel

Paul J Daly: 3:06

I already feel old enough. I met I met someone over the weekend. We were like the end of church. And this young couple comes up and they got two kids, not just one, two kids. Right? And she was like, I don't know if you remember me and they're in their 20s Right? She goes Oh, I was friends with your friend. Remember? I was like a 10 year old kid that used to come over their house all the time. I was like, gotta be kidding me, ma'am. On man real. I know. I know. So third annual makes us feel a little old. We're gonna have more information coming out about the year and extravaganza soon, but it really is a time to look back in the year look forward to have a ton of fun guests on guests that you'll recognize and we're going to do a few new things this year new format, you know us like James. Speaking of changing things out. changing things out that's what happens when you repair a car. EVs are proving very costly to repair after accidents surprising many owners with high bills and extended repair times recent Wall Street Journal article actually just yesterday said that repairs for EVs are generally more expensive. We already knew that. But parts availability, complexity, fewer specialized repair shops, all those things on average, an Eevee will cost $6,500 to repair versus 4215 I have no idea how the numbers are that low. I even think if you get like an ice vehicle and getting a fender bender these days, you're at nine grand. Yeah, this has to be like some aggregated five year costs or something. It has to but average insurance payment payments for an Eevee owners 357 a month. Yep, do the math. That's

Kyle Mountsier: 4:42

why it's brand new came out with our Tesla just came out with their own insurance for that very reason. Because like all of these legacy insurance providers don't know how to handle this thing.

Paul J Daly: 4:50

No and you start building it like yeah, we could have like a lower lease payment and all these incentives on EVs. But how many people are factoring in a $4,000 a year cost of ownership? Let me

Kyle Mountsier: 5:02

caveat here, just reminder, a lot less on regular maintenance. So this is like the off situations, but the the change in insurance, just something that most people aren't talking about because you might get a lower lease payment because of the tax incentives. Or you might have a lower cost of ownership. But if you're paying $100 More in insurance a month, you're starting to get that balance. And

Paul J Daly: 5:24

yeah, I wonder if that conversation is coming up at the desk, right, or the f&i table after the insurance information comes in? Probably not because most people aren't asking how much is this going to increase my insurance premium? Right, like, dealer handles, the insurance gets flipped over? And then you're gonna get an e mail, a piece of mail or an email from your insurance carrier in like, two weeks, which, like, here's your adjustments to your policy. Too late. Yeah.

Kyle Mountsier: 5:47

I mean, yeah, I mean, most customers are doing that on their own. And I think the key thing here is, is that you have a customer that is most likely buying a third vehicle in the garage. Most likely not interested in anything to do with the word affordability at this point.

Paul J Daly: 6:07

That's right. But that's going to change really quickly change after a $300 a month payments,

Unknown: 6:12

like, oh, that's

Paul J Daly: 6:13

I think we're about to see you heard it here first, folks. So according to one rivian, r1 t owner, Scott McPherson, when his neighbor backed into his pickup truck last summer, he had a $22,000 repair bill and a two and a half month way. I mean, this is just a neighbor backing into your car, right? There was no high speed involved. There's no airbag deployment involved. Right? Well,

Kyle Mountsier: 6:37

what's interesting about that, because the lithium ion battery and the time that it takes and then the parts to repair, but like most of your most vehicles, if they had a $22,000 repair cost would immediately get totaled. The difference is this. I wanted to 1000 I high value, so they don't want to go through the cost of replacement. No, go and repair that thing. Mm hmm. In other words, you

Paul J Daly: 7:02

know, here's a quote from the article from Mark Fredman, Chief Strategy Officer of CCC intelligent solutions collision organization says people are used to hearing that EVs have fewer parts than a combustion vehicle. I agree with that, right? Let's have fewer moving parts. That's why there's less maintenance. However, that's not the case in collision repair, meaning we want there's lots of sensors, there's wiring, there's all these other parts that aren't involved in like, like think of how many parts are in a combustion engine versus like

Kyle Mountsier: 7:29

a battery motor right there might not be involved with moving the car forward and backwards, but there's a ton of extra tech and wiring integration

Paul J Daly: 7:35

safety. Yeah. So just hey, I know we're gonna be hearing more and more about this conversation. Evie, the Evie? You

Kyle Mountsier: 7:42

know, anecdotally, I have a buddy that works for Geico. He's like, no one likes going on these eview repair.

Paul J Daly: 7:49

Inside Scoop from Geico. Right? Because you're going on he's like, oh, man, here we go. Here we go. Yeah, everybody's got to change. Speaking to changing segway lameness? This is so great. Our friends at Northwood University are launching the first ever specialized Master's of Science degree in organizational leadership with a specific in depth exploration of our favorite industry, automotive. So focusing on automotive challenges, leadership skills, auto, the programming features automotive case studies, readings, interactive, experiential learning scenarios. This is this quote from the auto remarketing article. The program designed for participants with diverse auto industry experiences offers a path for graduates of northwards automotive marketing management and aftermarket management program, creating a unified and comprehensive educational journey. So 24 months online, and you can have a master's in automotive,

Kyle Mountsier: 8:51

I love that. I absolutely love this. And I love that it's organizational leadership. This is especially key when you think about the consolidation of auto, because there are many more people that are going to need to understand being a car person still operating an auto retailing store, but also doing the organizational leadership things that are required when you start to have a lot more scale within an organization. So this, this, I think, is a key movement as we push toward consolidation. Isn't that

Paul J Daly: 9:24

isn't that like, think about all of the small groups that you know, that have become medium sized groups or mid sized groups that are approaching large group status? The key differentiator is the leadership. Like without a doubt, it's not like better inventory management. It's somebody who understands organizational leadership through Yeah, yep. Hey, well, look, it's and growth

Kyle Mountsier: 9:44

growth due to additive growth, just through acquisition. Right. Yeah. And then yeah, management skills to bring those people along the people that I've talked to that have that, like I was just talking to a dealer last Thursday, that they Just bought five stores. And the requirement of the leadership when acquiring five stores and bringing those people into the organization is deep like he was. He was saying it's one of the hardest things that I've ever done. Because beyond proud of these people have come into the culture that that, you know, that's

Paul J Daly: 10:21

the toughest part. You see groups with great cultures. And whatever the size of the acquisition is, dilutes you at the culture you've been working on for so long, it diluted by whatever percentage that is of people in stores coming in. So yeah, it's beyond practical. So no one better to handle this. And our friends at Northwood, they're just they're just great people, they've been paying attention. They really care about the lives of their students are so invested. So it'll be fun to see how this one plays out for sure. We'll catch up with them at NADA. I'm sure you know, maybe we can get a couple couple initial entrants into that. Speaking of a new entrant segue concept entrance.

Kyle Mountsier: 10:59

McDonald's is further unveiling cars mix a secret of new restaurants spin off starring intrigue and speculation in the fast food industry from one influential tick talker. So the new McDonald's little spin off is based on a little known McDonald's land character from the late 80s cosmics aims to blend McDonald's core Central's an essence with a distinct personality. The first presume location is going to be in Bolingbrook, Illinois, you know, that was a city where retros style building and multiple drive thru lanes can now be seen hinting at a focus on quick service. Social media buzz suggests a shift toward my cafe style offerings over traditional fast food, potentially challenging the old Starbucks. So basically,

Paul J Daly: 11:48

they made this restaurant with Kyle Mountsier in mind, because they're not because Well, I think this location is literally like right next to an existing McDonald's. Why wouldn't you? So it's like, you know, it's not just going to be burgers, fries and a new way to deliver the same old thing. Like I was thinking I was talking my wife about this story actually over the weekend because it came up. I think

Kyle Mountsier: 12:11

they might be onto something. I think they might be onto something because what Starbucks did is, is like normalize getting coffee through a drive thru fast. Yeah, and if there's one thing that McDonald's knows how to do is deliver food quickly through a drive thru. And then when you talk about the fact that I think they've actually got a better coffee product in the end, depending on if they can scale like you know the double cappuccino, know what frappe

Paul J Daly: 12:40

Yeah, hi section,

Kyle Mountsier: 12:43

then then there'll be good to go. A tick tock or name snack a later and others are eagerly participating in the new concept, keeping regular tabs on the construction of the location. So even though McDonald's isn't talking about it, you know, tick tock SketchUp talks talking

Paul J Daly: 12:57

about it. Well, look, whatever you're talking about today, we hope it's oriented toward people. We know that paying attention to people, makes our businesses more profitable, successful and most importantly, it makes them more meaningful.