Hertz launches global car sharing business

Launched late last month, Connect by Hertz now offers car sharing in London, Paris and New York City. In New York, for example, members of the service can choose from among three plans, depending on how often they drive. All three give consumers 180 free miles per day and free gas; costs range from USD 50 per year with a rate of USD 10 per hour, to USD 125 per month with an hourly rate of USD 8.50. Insurance, roadside assistance, maintenance and cleaning are all among the benefits included. Similar plans are available in London—priced at GBP 50 per year with hourly rates starting at GBP 3.95, including congestion charges and 30 free miles per day—and Paris, where the annual fee is EUR 120, with hourly rates beginning at EUR 4. Three low-emissions cars featuring iPod connectivity are available in each location—including the Mini Cooper—and are kept in designated parking bays. Members can reserve them by internet or phone, and entry is via a smart chip-enabled Connect Card. More cities will be added to Connect by Hertz in 2009—as well as select university locations, the New Jersey-based company says—and members will benefit from reciprocal membership at any location beginning early next year.
Given that each car-sharing vehicle in New York eliminates up to 14 traditional passenger cars from the road, according to Hertz—with similar statistics in other locations—the environmental benefits of car sharing are clear. Now, with the economy a shambles and the U.S. auto industry in ruins, it's a better bet than ever that more and more consumers will be eager to throw off the shackles of car ownership and become transumers instead. One to emulate in cities around the globe!

Airport offers free electricity for plug-in cars

As if tax breaks, freedom from the pump and an emissions-free conscience weren't enough to make a person want to drive an electric car, the Seattle-Tacoma International Airport is now doing its part to make the road even smoother for the plug-in vehicles by offering free charging in select parking spots in the airport garage.
Through a pilot program launched at the beginning of this month, the Sea-Tac Airport now offers six parking spaces in a prime location of the garage with plug-ins for electric vehicles. The green-striped spots, located on the garage's fifth floor, are available on a first-come, first-served basis. Standard parking rates apply, but the electricity itself is free.
In this age of perks and free love, it really is better to give than to receive—particularly when the green aura of those on the receiving end reflects back onto you.

Daihatsu Cuore "A lot less thirsty"

The Cuore is Daihatsu's most fuel-efficient model. To catch driver's attention and dramatise the cars incomparably low gas consumption, they installed miniature reproductions of fuel pumps at selected petrol stations near Diahatsu dealerships. The attached flyers delivered the message that owners can get by with a much smaller fill-up if they drive the Cuore. And they also directed the drivers to the bearby dealership to take a test drive.

Agency: DraftFCB Zurich, Switzerland.

For Auto Industry, 2009 Holds Even Tighter Ad Budgets

DETROIT (AdAge.com) -- The hangover that walloped the U.S. auto industry in 2008 is still hanging on this New Year, which will be marked by even tighter ad budgets with the biggest expenditures reserved for crucial model launches.

And it's not just General Motors, Chrysler and Ford that will be pinching pennies. "All manufacturers, foreign and domestic, are announcing production cuts and losses and in this kind of environment all the manufacturers are cutting costs," Mark LaNeve, VP-vehicle sales, service and marketing at GM North America, told Advertising Age.

To ride out a year where auto sales are expected to dip below 12 million units in 2009 and normally deep-pocketed dealers are struggling, experts predict that more spending will go toward online marketing that reaches consumers when they are ready to buy and researching their purchase. Fewer automaker dollars are predicted to go to magazines and newspapers, while TV will be used less often and with an eye toward greater targeting.

Promising better return on investment, GM will slash $600 million from U.S. advertising and promotions in the next four years to just $2.6 billion from $3.2 billion in 2008. It has not publicized its plans to accomplish this, though the automaker has cut out a number of high-profile events such as the Super Bowl.

Toyota to make similar moves

A similar approach is expected to be taken by Toyota Motor Sales USA. In recent years it has significantly dialed up the number of consumer events for its Toyota, Scion and Lexus brands, but it is now trying to pull back from a lot of those alliances, especially inside sports arenas, an executive at a competitor said. "You're going to see a lot more of that [cutting back]."

Toyota, whose Japanese parent is poised to post the first global-operating loss in the company's history, did not return calls for comment by press time.

Kia Motors America "is constantly evolving" its ad plans because of the market uncertainty, Michael Sprague, VP-marketing, told Advertising Age. "Everyone is in the same boat," he said. Still, he said Kia expects to spend about the same in 2009 as it did last year because it has several major launches. Independent David and Goliath, Los Angeles, handles the carmaker's account.

Tim Ellis, VP-marketing at Volkswagen of America's VW brand, believes all automakers have done "a very sober analysis about 2009" and have already wrapped up their ad plans. He predicted the car companies will cancel a lot of "conventional auto promotions." Carmakers "are trimming the fat wherever they can while trying to retain core media properties and launch budgets," he said. The VW brand's ad and media plans for the first half are finalized and Mr. Ellis said he doesn't expect any pullbacks.

Back to reality

The industry over-invested in TV last year, especially for seasonal sales events, but the economic turmoil is bringing the industry back to reality with more focus on strategic marketing and media planning to improve targeting, said Mr. Ellis. The VW brand "will use TV more sparingly" in 2009, including for the launch of the Passat CC in mid-January, though he declined to give specifics about the TV cuts.

VW will dramatically beef up online efforts this year with ads, videos and content, as well as efforts on social-networking sites, to reach in-market shoppers and those considering a purchase in the next six to nine months. The marketer plans to do more brand-building online because "that's where all the conversations are," said Mr. Ellis. He said most of VW's competitors also appear to be moving online more to reach in-market shoppers. Crispin, Porter & Bogusky, Miami, is VW brand's agency of record and also handles digital.

GM predicts that in 2009 the auto industry will sell 11.7 million new vehicles in the U.S. Auto information website Edmunds.com projects that the industry will tally some 13.1 million new vehicles in the U.S. for calendar 2008 (compared to almost 16.2 million in '07), and expects unit sales to drop almost 5% in 2009.

Published January 5th,2009
Source: Advertising Age http://adage.com/article?article_id=133520

Car key device blocks cell phone use while driving

A new automobile ignition key can prevent teenagers from talking on cell phones or sending text messages while driving.

The invention, by researchers at the University of Utah, is called Key2SafeDriving and is aimed at cutting down on road deaths. It relies on Bluetooth technology to wirelessly connect keys to phones.
"The key to safe driving is to avoid distraction," says Xuesong Zhou, an assistant professor of civil and environmental engineering who co-invented the system with Wally Curry, a University of Utah graduate now practicing medicine in Hays, Kan. "We want to provide a simple, cost-effective solution to improve driving safety."
Motor vehicle accidents are the fifth leading cause of all deaths in the country. Among teens, however, motor vehicle accidents are the leading cause of death.
The university has obtained provisional patents and licensed the invention to a private company that hopes to see it on the market within six months at a cost of less than $50 per key plus a yet-undetermined monthly service fee, according to a statement released today.
Zhou says that "at any given time, about 6 percent of travelers on the road are talking on a cell phone while driving. Also at any given time, 10 percent of teenagers who are driving are talking or texting."
The setup could help parents secure lower insurance rates.
"Using our system you can prove that teen drivers are not talking while driving, which can significantly reduce the risk of getting into a car accident," Zhou said.
The system includes a device that encloses a car key — one for each teen driver or family member. The device connects wirelessly with each key user's cell phone via either Bluetooth or RFID (radio-frequency identification) technologies.
To turn on the engine, the driver must either slide the key out or push a button to release it. Then the device sends a signal to the driver's cell phone, placing it in "driving mode" and displaying a "stop" sign on the phone's display screen.
Incoming calls and texts are automatically answered with a message saying, "I am driving now. I will call you later when I arrive at the destination safely."

Published December 15th, 2008

Fox News http://www.foxnews.com/story/0,2933,466584,00.html

The Reva Electric Car Company (RECC) announces lithium-ion electric car for Europe: Reva L-ion

The Reva Electric Car Company (RECC) has announced the launch of the Reva L-ion – a new electric vehicle powered by lithium-ion batteries. Based on the earlier Reva-i platform, the Reva L-ion had been in development for the last two years. The car can travel 120km on one full charge and has a top speed of 80km/h. And the best part is, with RECC’s fast charge station, the Reva L-ion batteries can be 90% charged in just one hour.

‘With the Reva-i and Reva L-ion, we are now able to offer a choice of performance options to suit commuter needs and preferences. The introduction of fast charge stations really opens up the market to reach new customers and increase the availability of EVs. Local authorities and businesses can now create the charging and parking infrastructure necessary to make zero-emission personal transport an everyday reality,’ says Chetan Maini, RECC's deputy chairman and chief technology officer.

Starting in February this year, the Reva L-ion will be available in Norway, UK, France, Cyprus, Greece, Spain, Belgium and Ireland. Customers will have the option of outright purchase or battery leasing, with prices to be announced at the end of this month.

Published January 6th 2009

Source: India Automotive

http://www.indiaautomotive.net/2009/01/reva-l-ion-recc-announces-lithium-ion.html

European Auto Giants To Beef-Up US Efforts

Some of Europe's largest auto manufacturers, including Volkswagenand BMW, are hoping to exploit the vulnerability of the American 'Big Three', Ford, General Motors and Chrysler, by increasing their investment levels and activity in the US in 2009. German giant Volkswagen will launch a range of exclusive models in the country – including a new family sedan – as well as opening a US factory for the first time since 1978.It will spend $1 billion (€731m; £688m) on the new assembly plant, which will be based in Chattanooga, Tennessee and produce around 250,000 vehicles a year by 2012, as it seeks to triple sales in the country to one million by 2018.Audi, a luxury marque owned by VW, is also set to increase its US adspend by 15% on its current $80 million outlay, as well as upgrading dealerships across the country. Fellow German luxury auto maker BMW is aiming to expand its distribution network in America, and will launch a new One Series small car in 2009.The company will also try and boost sales of its Minibrand by increasing the number of dealerships, with target cities said to include Chicago.European auto brands currently enjoy a market share of just 7.2% in the US, compared with 40% for Asian rivals such as Toyota, and over 50% among the domestic "Big Three".

Data sourced from Wall Street Journal Online; additional content by WARC staff, 06 January 2009