The Post Covid Car Industry!

[chillibowl]

some general questions about cars and consumer behaviour. feel free to add your own questions.

-with a big reduction in gas prices, will the consumer trend to buy more EVs continue? will governments/lobby groups use cheap prices to de-fund alternative fuel/energy research? or do you think the opposite will happen?

-with car purchases declining and physical limit on how many cars a dealership/lot can even hold on to, is anyone looking to take advantage of a good deal?

-with the growing reliance on home delivery, do you think you will still need or want a car post virus?

-no doubt there will be production delays and supply shortages, so what will the availability of 2021 or 2022 models be like? will some manus opt to streamline costs and skip a model year?

-is your dealership still open and/or how are you dealing with any maintenance issues? are you ignoring your car's health?

[ScotsBrutesFan]

--- Once the restrictions ease, Oil companies being Oil companies will be looking to maximise profit, so I doubt the prices will remain low for long.

--I had been planning on updating my vehicle this years, saving made during the restrictions is actually improving my options on what I can get when the time comes.

--Where I live, a car is still an essential, and a petrol/Gas or Diesel one at that.

--Given manufacture of of the '21 facelift would be well underway, like many things the 21 version will slip to become the 22

--Dealerships are closed for the most part around here, local garages are still running limited maintenance /repair services. The UK government has placed a 6 month extension on MOTs (the annual safety certificate) due after 30 March 20.

[Akrapovic]

Oil prices will be driven by airlines. When air travel picks up, fuel will go back to the normal price.

[chillibowl]

question is how long that will be?

been debating on whether or not to buy airline/plane manu stocks right now as a medium to long term investment but there is just so much uncertainty about what the next 1.5-2 years will look like i am afraid to pull the trigger.

Originally Posted by ScotsBrutesFan

--I had been planning on updating my vehicle this years, saving made during the restrictions is actually improving my options on what I can get when the time comes.

nice!

i am about 10 months with my new car (gas also btw). i seriously doubt i will be looking to take advantage of any potential deals...but envy those that will be!

so far this month i have spent CAN$30 to fill my tank as we are currently hovering around CAN$0.66/L (~CAN$2.50/US Gal) which is ridiculously cheap for here.

[Aysedasi]

It's frustrating isn't it? Gas lower in price than I can remember for a very long time (even here in the UK where it's taxed to the max) and I haven't driven the car anywhere for over three weeks. I retired at the end of October 2019 and I've only filled it up 6 times since then.

[BertMk2]

Originally Posted by chillibowl

some general questions about cars and consumer behaviour. feel free to add your own questions.

-with a big reduction in gas prices, will the consumer trend to buy more EVs continue? will governments/lobby groups use cheap prices to de-fund alternative fuel/energy research? or do you think the opposite will happen?

Oil production is being cut - to keep prices up. Once "normality" returns fuel prices will go back to where they were before the crisis. EV still not really on my radar - the tech isn't there yet (but that's a whole different topic!)

-with car purchases declining and physical limit on how many cars a dealership/lot can even hold on to, is anyone looking to take advantage of a good deal?

I'm going to need to replace a car soon - I'll be buying used and hopefully (from my point of view) I'll be able to get a good deal as sales will have dropped through the floor.

-with the growing reliance on home delivery, do you think you will still need or want a car post virus?

Yes. Without question. Not having a car might be viable if you live in a big city and never leave it but otherwise it's essential.

-no doubt there will be production delays and supply shortages, so what will the availability of 2021 or 2022 models be like? will some manus opt to streamline costs and skip a model year?

No concern to me - I always buy used.

-is your dealership still open and/or how are you dealing with any maintenance issues? are you ignoring your car's health?

My local garage is shut. One of our cars needs a clutch/flywheel replaced so that one is going nowhere until the garage is open again. The others are all ok at the moment - services not due, brakes replaces a couple of months back so as long as nothing goes wrong with them we'll be ok for a while. I have got a trickle charger to keep the batteries topped up though.

Answers above /\

[chillibowl]

i think most service stations here are still open. mine is at least.

really busy time of year for them as most here will have to have their winter tires swapped out plus servicing for spring/summer running....the joys of having such extreme seasons.

bit curious what the protocol will be though as i cant imagine i will be able to wait around while they do their work and i dont really want to use their drop off and pick up shuttle service.

Originally Posted by Aysedasi

It's frustrating isn't it? Gas lower in price than I can remember for a very long time (even here in the UK where it's taxed to the max) and I haven't driven the car anywhere for over three weeks. I retired at the end of October 2019 and I've only filled it up 6 times since then.

so frustrating.

was planning a road trip with the family for this summer. either Pacific Coast Highway or Canadian Maritimes...obviously have to postpone that now to the future when and where gas prices will be all the way back up there again.

[Adam43]

Gas prices are lower when people don't want to use it and higher when they do. Interesting. I think there is something in that, I call it demand and supply.

[GORDON STREETER]

I filled my car up with diesel 4 weeks ago for about £100.00 I haven't even opened the door in it since

[275 GTB-4]

My prediction? Cup holders will be replaced by Hand Sanitiser stations...

[chillibowl]

Originally Posted by 275 GTB-4

My prediction? Cup holders will be replaced by Hand Sanitiser stations...

[fieldodreams79]

[hoffman66]

Oil price last I looked was negative yet that is not being immediately passed on to car owners, as everyone is looking to maximise the minmal use of private cars at least.

I realise a lot of this is due to when the product was purchased as to what it is now, but we all know oil companies have been fleecing motorists for decades, and rarely pass much of the actual cost on to motorists.

And they will all somehow find a way to sell us electricity or something else, or they will go bankrupt and we cant have that can we?

[Tanker62M]

-with a big reduction in gas prices, will the consumer trend to buy more EVs continue? will governments/lobby groups use cheap prices to de-fund alternative fuel/energy research? or do you think the opposite will happen?

I think it's still going to continue, because gas prices arent' going to stay low for a while, and the revenue of many people has gone down as well. Still, EVs are going to remain a minority of the cars sold as long as there isn't a better option.


-with car purchases declining and physical limit on how many cars a dealership/lot can even hold on to, is anyone looking to take advantage of a good deal?

I hope I'll still be able to get one when I move back to my home country, but I don't count on it.


-with the growing reliance on home delivery, do you think you will still need or want a car post virus?

Home delivery can't bring you to your workplace, can't pick up the kids and can't send you on holidays. There are, unfortunately, restrictions on what public transportation can do (especially outside of big cities).


-no doubt there will be production delays and supply shortages, so what will the availability of 2021 or 2022 models be like? will some manus opt to streamline costs and skip a model year?

It's possible , I don't know which ones yet, but we may well see a gap year as some manufacturers lick their wounds.


-is your dealership still open and/or how are you dealing with any maintenance issues? are you ignoring your car's health?

Nothing ever really closed in provincial Russia.

[Moneyseeker]

Car sales bouncing back, reports that dealers are having a strong re-start since they opened and also looking good for the new 70 plates in September. The increasingly politicised SMMT (aren't many of these so call trade bosies these days) will be heart broken, they only like bad news and are still festering over Brexit....

[Moneyseeker]

Originally Posted by Tanker62M

-with a big reduction in gas prices, will the consumer trend to buy more EVs continue? will governments/lobby groups use cheap prices to de-fund alternative fuel/energy research? or do you think the opposite will happen?

I think it's still going to continue, because gas prices arent' going to stay low for a while, and the revenue of many people has gone down as well. Still, EVs are going to remain a minority of the cars sold as long as there isn't a better option.


-with car purchases declining and physical limit on how many cars a dealership/lot can even hold on to, is anyone looking to take advantage of a good deal?

I hope I'll still be able to get one when I move back to my home country, but I don't count on it.


-with the growing reliance on home delivery, do you think you will still need or want a car post virus?

Home delivery can't bring you to your workplace, can't pick up the kids and can't send you on holidays. There are, unfortunately, restrictions on what public transportation can do (especially outside of big cities).


-no doubt there will be production delays and supply shortages, so what will the availability of 2021 or 2022 models be like? will some manus opt to streamline costs and skip a model year?

It's possible , I don't know which ones yet, but we may well see a gap year as some manufacturers lick their wounds.


-is your dealership still open and/or how are you dealing with any maintenance issues? are you ignoring your car's health?

Nothing ever really closed in provincial Russia.

I bought two 'new' cars recently so can answer on supply - 1st one was a dealer demo car only done 1,300 miles as the dealer had been shut most of the time they had it, but they needed to move it on before the plate change.

2nd I have a new car on order but will be from stock, took me a while to get the car I wanted and they are quoting up to 30 weeks delivery on new orders - so definately availability of some cars will be affected. Good news is that used residuals are up - so we got good trade in prices on the cars we traded in.

[Adam43]

They won’t be heartbroken clearly. That’s unfair. Perhaps you are heartbroken that we’ve had some GP this year?

Residuals are up because there is a shortage of new supply. The factories had to close and these won’t be made, its lost revenue for the entire chain. Some will be made up on per unit because of the lower supply, but not all. Not ideal.

But that story is not that different to many industries. Income was down, but not all outgoings stopped. Some were helped with salaries, but not always rents and ramp down and up costs. All not ideal.

[Tanker62M]

Originally Posted by Moneyseeker

2nd I have a new car on order but will be from stock, took me a while to get the car I wanted and they are quoting up to 30 weeks delivery on new orders - so definately availability of some cars will be affected. Good news is that used residuals are up - so we got good trade in prices on the cars we traded in.

Yeah, I didn't think about that, but cars that have to be ordered will definitely need longer-than-usual delivery times for a while, maybe until next summer, or at least half a year after coronavirus is over.