KIA outsells Ford in May

[roKWiz]

Originally Posted by Dr Terry

FBT was introduced by the Hawke Govt. in 1986. The sedan market was still booming in the mid 2000s.

Utes sell today because they are a viable alternative to the 4-door large car. They double as a work vehicle & will seat 5 people at other times. They weren't like that 20 years ago, they have grown in size considerably.

FBT helps, but the fact that tradies earn good money these days (& very low interest rates) makes them very affordable.

Dr Terry

FBT was only a small component. Most of those benefits were when ABN's were introduced and the average Joe worker was made to become a self employed worker carrying said ABN. Hawke was long gone when these were introduced in July 2000.
Most trades that earn top money buy a real truck and have a car for the weekends.

[fiestaz]

I really don’t think your average joe buy these for tax incentives. The amount of these dual cabs being bought second hand backs this up.

Everyone I speak to who has a dual cab loves it for towing or off roading or work use or a combo. Never heard someone said “I bought it for the tax incentives”.

[jpd80]

Originally Posted by fiestaz

I really don’t think your average joe buy these for tax incentives. The amount of these dual cabs being bought second hand backs this up.

Everyone I speak to who has a dual cab loves it for towing or off roading or work use or a combo. Never heard someone said “I bought it for the tax incentives”.

It stands to reason that the popularity of new dual cab utes for business ultimately results
in a ready made used vehicle market. Many businesses lease their vehicles for four years and
turn them for new ones, so there’s lots of utes around.

Dual cab utes are only non-FBT if there’s no private use out of business hours and only a small
amount of incidental mileage between home and workplace. Obviously, many people ignore this
and do whatever but there’s been no pushback from the ATO for years, almost like they know that
calling hundreds of thousands of people will result in the ATO swamped by actual business use claims.
It’s like both sides resist change because it means more compliance work that no one wants.

[Sprintey]

Originally Posted by hayseed

A case in Point... My Brother inlaw as part of his Salary package is Entitled to a car..
He asked for a Camry, & got a New Triton Dualcab..!!

Just so they Didn't have to Pay FBT on the car..

I read those choices and shuddered.

[DJM83]

Originally Posted by pottery beige

trolling hard much ey m8

Definitely plenty worth buying, but cause doesn't suit old mate Merc. Means there's none.

[Ben73]

Originally Posted by au2000

My work did the same thing years ago. Stopped buying ve commodores and fg falcons and went to duel cab utes for fleet cars..mind you.. we have no need for twin cab utes. A camry is more than enough but the bosses dont want the fbt attached to sedans.

My work has had a handful of dualcabs over the past 14 years. We've gone the other way and haven't bought a ute since maybe 2012.
Everyone was complaining when only ute keys were hanging on the wall because no one wanted to drive them.

A couple of our 2020 Prados have 210,000kms on the clock.
The circa 2012 Colorado's have about 240,000kms.
I think everyone has made their choice on what they want to drive.

[Franco Cozzo]

I was responsible for purchasing a single cab Thailand Special for our warehouse manager,

They really are agricultural, how slow they steer, NVH at idle with the bonnet vibrating and she's a bit doughy down low with the way its mapped (that could be fixed with a tune though lol)

Rides harsher than my old man's Fiesta ST too - its certainly no Falcon ute thats for sure.

[Bossxr8]

Originally Posted by Franco Cozzo

I was responsible for purchasing a single cab Thailand Special for our warehouse manager,

They really are agricultural, how slow they steer, NVH at idle with the bonnet vibrating and she's a bit doughy down low with the way its mapped (that could be fixed with a tune though lol)

Rides harsher than my old man's Fiesta ST too - its certainly no Falcon ute thats for sure.

The Colorado was always a bucket of crap though. The others are better.

[Ben73]

I went to the Car Expert Experience Centre at Westfield Warringah recently and it was crawling with SUV's. Unsurprisingly not a single Ford in sight. Well apart from the Ranger.
I would have thought that this sort of exposure would be perfect for Ford since all they want to do is sell SUVs.

[bigwil]

Kia outsells Ford, who cares Ford still outsells over 45 other car brands. Go Ford

[Tassie f100]

Originally Posted by bigwil

Kia outsells Ford, who cares Ford still outsells over 45 other car brands. Go Ford

Guess the only difference is that Ford WAS one of the major players in the Australian motor manufacturing.

[Bossxr8]

Originally Posted by Tassie f100

Guess the only difference is that Ford WAS one of the major players in the Australian motor manufacturing.

And now they don’t have to sell in mass numbers to support a factory. So profit is vastly improved. Not chasing volume via huge discounting just to keep the factory going. Completely different business model, and a much more sustainable one after the market became so fractured, and moved away from large sedans.

[jpd80]

Originally Posted by Bossxr8

And now they don’t have to sell in mass numbers to support a factory. So profit is vastly improved. Not chasing volume via huge discounting just to keep the factory going. Completely different business model, and a much more sustainable one after the market became so fractured, and moved away from large sedans.

Today, around 80% of Ford’s sales are in the $50k to $75k price range.
It’s like the reverse of the days when high value FPV sales were in the minority…

[XR Martin]

One thing rarely mentioned is Kia has poor spare parts support.
For example we have new shape Sorrento which has been waiting for a windscreen for 3 weeks and we are not expecting it for at least another month. They are genuine only and none are in the country. This is a company vehicle which is costing us thousands to sit around. But imagine if it was a private vehicle? What would you do if was your only car?

I know someone who had a Carnival that was in a decent crash, which the insurance chose to fix.
There were parts that needed replacing which Kia didn't even list as spares, like a wiring loom and structural pieces. According to Kia they don't supply those parts because they shouldn't be required.
These all had to be special ordered which took months.

Also we had a Carnival that had the loom damaged after a windscreen replacement, again no loom existed according to them and it had to specially made.

[Dr Terry]

Originally Posted by XR Martin

One thing rarely mentioned is Kia has poor spare parts support.
For example we have new shape Sorrento which has been waiting for a windscreen for 3 weeks and we are not expecting it for at least another month. They are genuine only and none are in the country. This is a company vehicle which is costing us thousands to sit around. But imagine if it was a private vehicle? What would you do if was your only car?

I know someone who had a Carnival that was in a decent crash, which the insurance chose to fix.
There were parts that needed replacing which Kia didn't even list as spares, like a wiring loom and structural pieces. According to Kia they don't supply those parts because they shouldn't be required.
These all had to be special ordered which took months.

Also we had a Carnival that had the loom damaged after a windscreen replacement, again no loom existed according to them and it had to specially made.

Genuine spare parts is a big issue with many brands currently, not just Kia, this includes Toyota, Nissan, VW & many others.

Most manufacturers quote 6 to 8 weeks for parts which used to be shelf stock.

Dr Terry

[Big_Daz]

Originally Posted by XR Martin

One thing rarely mentioned is Kia has poor spare parts support.
For example we have new shape Sorrento which has been waiting for a windscreen for 3 weeks and we are not expecting it for at least another month. They are genuine only and none are in the country. This is a company vehicle which is costing us thousands to sit around. But imagine if it was a private vehicle? What would you do if was your only car?

I know someone who had a Carnival that was in a decent crash, which the insurance chose to fix.
There were parts that needed replacing which Kia didn't even list as spares, like a wiring loom and structural pieces. According to Kia they don't supply those parts because they shouldn't be required.
These all had to be special ordered which took months.

Also we had a Carnival that had the loom damaged after a windscreen replacement, again no loom existed according to them and it had to specially made.

Thats not just Kia though, thats pretty much all makes at the moment with parts availability. Another thing we can thank Covid for...

[Yellow_Festiva]

Originally Posted by Dr Terry

Genuine spare parts is a big issue with many brands currently, not just Kia, this includes Toyota, Nissan, VW & many others.

Most manufacturers quote 6 to 8 weeks for parts which used to be shelf stock.

Dr Terry

I hear this often. What a joke.

Manufacturers should have a half dozen of the most sought after parts available locally. Then you are waiting 1 week not 2 months.

When the stock drops to 2 units order another 6.

Or is that just common sense?

[Franco Cozzo]

Originally Posted by Yellow_Festiva

I hear this often. What a joke.

Manufacturers should have a half dozen of the most sought after parts available locally. Then you are waiting 1 week not 2 months.

When the stock drops to 2 units order another 6.

Or is that just common sense?

Depends on who you ask, if you ask their accountants then their opinion is no - you can wait 6 months and we'll make it to your order.

If you ask their sales team then they want everything on the shelf waiting for you to walk in so they can hand it to you straight away

Your expectations are that its within a reasonable time frame or available on the shelf.

A good company meets somewhere between all three perspectives because too much either way costs the company significantly financially, too much in the accountants perspective and then they have no customers.

[Top_Ghia]

Originally Posted by Yellow_Festiva

I hear this often. What a joke.



Manufacturers should have a half dozen of the most sought after parts available locally. Then you are waiting 1 week not 2 months.



When the stock drops to 2 units order another 6.



Or is that just common sense?

Wow. They should put you in charge of their stock. You’re clearly got a handle on the situation.
You do know there is somewhere between 5,000-10,000 parts for every model car. So I don’t think “a half dozen” popular parts quite covers it.

[Yellow_Festiva]

Originally Posted by Top_Ghia

Wow. They should put you in charge of their stock. You’re clearly got a handle on the situation.
You do know there is somewhere between 5,000-10,000 parts for every model car. So I don’t think “a half dozen” popular parts quite covers it.

Re-read what I said.

Half a dozen of the most popular parts.

Lights, bumpers, front and back glass, door skins, radiator support, front guards, grilles, radiators etc.

The stuff that gets most often replaced in minor accidents.

If I was in charge of the situation the first thing I would do is fire the person that thinks waiting 2 months for a part is acceptable.

[Franco Cozzo]

Originally Posted by Yellow_Festiva

Re-read what I said.

Half a dozen of the most popular parts.

Lights, bumpers, front and back glass, door skins, radiator support, front guards, grilles, radiators etc.

The stuff that gets most often replaced in minor accidents.

If I was in charge of the situation the first thing I would do is fire the person that thinks waiting 2 months for a part is acceptable.

It would be like going into Woolies and then they don't have bread or milk and then they turn around and go yeah come back in 2 months and we'll have it then

[Big_Daz]

Originally Posted by Yellow_Festiva

Re-read what I said.

Half a dozen of the most popular parts.

Lights, bumpers, front and back glass, door skins, radiator support, front guards, grilles, radiators etc.

The stuff that gets most often replaced in minor accidents.

If I was in charge of the situation the first thing I would do is fire the person that thinks waiting 2 months for a part is acceptable.

In general, I totally agree but, and I hate to be always blaming it, but Covid has made the shipping game more difficult. There has been less capacity than normal for Containers on vessels coming to AU, and that space is being sold at a premium. Same with Airfreight. Not to mention where the parts are actually made being ravaged with the disease and lockdown.

[jpd80]

Originally Posted by Franco Cozzo

It would be like going into Woolies and then they don't have bread or milk and then they turn around and go yeah come back in 2 months and we'll have it then

A bit of a false analogy there, it’s more like everyone else gets bread and milk except you….

[Top_Ghia]

Originally Posted by Franco Cozzo

It would be like going into Woolies and then they don't have bread or milk and then they turn around and go yeah come back in 2 months and we'll have it then

Except now you’re bread and milk are imported and you live in a bread and milk backwater and there’s 1500 different flavored milks and 900 varieties of bread and you bought hipster almond milk and the hyper cool sour dough and it’s on back order as the almonds got wiped out in a tornado and the bakery got shut down by cancel culture.
As soon as they can grow new almond trees and build a new bakery you’ll be set.
You couldn’t just get Tip Top white bread and cows milk, could you?

[Franco Cozzo]

Originally Posted by Top_Ghia

Except now you’re bread and milk are imported and you live in a bread and milk backwater and there’s 1500 different flavored milks and 900 varieties of bread and you bought hipster almond milk and the hyper cool sour dough and it’s on back order as the almonds got wiped out in a tornado and the bakery got shut down by cancel culture.
As soon as they can grow new almond trees and build a new bakery you’ll be set.
You couldn’t just get Tip Top white bread and cows milk, could you?

This is one of the greatest things I have read on AFF

[prydey]

Originally Posted by Yellow_Festiva

Re-read what I said.

Half a dozen of the most popular parts.

Lights, bumpers, front and back glass, door skins, radiator support, front guards, grilles, radiators etc.

The stuff that gets most often replaced in minor accidents.

If I was in charge of the situation the first thing I would do is fire the person that thinks waiting 2 months for a part is acceptable.

I don't think you understand the scale of what you are suggesting and the costs involved in keeping inventory 'just in case'.

[Dr Smith]

Originally Posted by Top_Ghia

Wow. They should put you in charge of their stock. You’re clearly got a handle on the situation.
You do know there is somewhere between 5,000-10,000 parts for every model car. So I don’t think “a half dozen” popular parts quite covers it.

Yes, but it's only because the importer is the only source of these parts that they can get away with telling customers you have to wait months for parts which are always required as any accident repair data will plainly show in black and white.

As Yellow_Festiva indicated it's not shelf stock of every part, it's shelf stock of parts that are always required and again data will show what those particular items need to be.

[jpd80]

Wait until the insurance companies get wind of the lack of parts, premiums will surely rise……

[XR Martin]

Originally Posted by Dr Terry

Genuine spare parts is a big issue with many brands currently, not just Kia, this includes Toyota, Nissan, VW & many others.

Most manufacturers quote 6 to 8 weeks for parts which used to be shelf stock.

Dr Terry

Only thing is the two Carnival examples were pre-covid...

[Franco Cozzo]

Originally Posted by Yellow_Festiva

Re-read what I said.

Half a dozen of the most popular parts.

Lights, bumpers, front and back glass, door skins, radiator support, front guards, grilles, radiators etc.

The stuff that gets most often replaced in minor accidents.

If I was in charge of the situation the first thing I would do is fire the person that thinks waiting 2 months for a part is acceptable.

In the automotive aftermarket what's known as 'availability' is critical, car on the hoist scenario.

Delivered in full on time (DIFOT) and 'fill rate' which makes up part of DIFOT is a measure of having something on the shelf and getting it to a customer when they ask for it without having back orders.

Really this should be in the 90% range - Kia only has to carry spares for Kia it's not like they're supporting the Australian car parc.

Someone who does this well is Toyota, their cars are supported really well in spare parts in Australia.

Inventory costs are higher which is the bane of all corporate accountants but it keeps customers happy, not giving them a reason to look elsewhere is half of the battle.