Shift into Gear (our chat for today)

Hello car enthusiast, Ayrton here!

Welcome to this week’s edition of theGearShift, where we navigate the ever-evolving highways of automotive innovation and debate.

Before moving forward, let me know if you like to read our content by replying to this email, this way you will keep receiving it! Now, what I’ve got lined up for you:

• Tough times ahead as dealership profits plummet, signaling potential shifts in the auto retail landscape

• Apple shifting from cars to robots

• Important decisions in life, which car to buy?

• A brief discussion on collector car prices

• A car for each generation and as always, recommendations for a fun time

Now, enjoy the ride!

Auto Buzz (news news)

💰 High stakes, high voltage: The 2024 Chevy Silverado EV RST First Edition is set to electrify the market with a starting price of $96,495. Promising longer range at a more accessible price point, this launch could be a game-changer.

📉 Tough times ahead: The latest report from Presidio and NCM Associates reveals a significant dip in average dealership profits for 2023, setting the stage for a challenging financial climate in the auto retail sector.

⚡ Electrifying the game: BYD is charging into uncharted territory with its first electrified pickup, aiming to shake up the market dominated by giants like Toyota's HiLux, Ford Ranger, and Isuzu Motors' D-Max.

📉 Reputation impact: As Elon Musk's public image takes a hit, Tesla feels the ripple effect with its 'consideration score' plummeting to 31% in February, a stark contrast to its peak at 70% in November 2021.

🤖 Tech pivot: Apple, in a bold move away from electric cars, turns its innovative gaze towards personal AI robots, seeking to reclaim its throne in the innovation arena.

Gear Talk (questions answered)

Which car should I buy?

Deciding on the perfect car depends on several factors: your main use for it, budget considerations, and the features you can't live without. Think about whether you're navigating city streets or embarking on cross-country adventures, how much you're willing to spend upfront and on upkeep, and what technology or performance specs are essential to you.

If I were pressed to choose blindly, I'd lean towards a Japanese car, and here's why: they are know for their reliability (with Honda and Toyota making up 6 of the 10 most reliable cars in the U.S.), they promise low operating costs and excellent value for money. Japanese vehicles strike a balance between fuel efficiency, cost-effective maintenance, and a comprehensive feature set without breaking the bank, making them a rational choice. But, car choice are often led by emotions. Then, do your research and find the right balance between a rational and emotional choice.

In the Driver's Seat (steering your way to a smarter car ownership)

Collector Car Prices: Back to Basics, Forward to Profits

The world of collector cars is getting back to how things were before everything changed in 2019. This change, shown by the Hagerty Market Rating dropping for nine months, isn't bad news. It's actually good because it means things are becoming normal again after the crazy high prices we saw a little while ago.

Even though things are changing, collecting cool old cars is still a great idea, especially the really special ones. The Hagerty Blue Chip Index, which keeps an eye on super cool cars like the Mercedes-Benz 300SL, shows that these cars are still getting more valuable, which is great news if you're thinking about investing in them.

A perfect example is the 1963 Ferrari 250 California Spyder that was sold for $17.85 million at an auction. This shows us that some old cars can really go up in value over time. Generally, these kinds of cars can increase in value by about 5-10% every year, depending on how rare and in what condition they are.

So, even as the market for collector cars is starting to calm down and prices are getting more reasonable, it's still a smart move to think about investing in these cars. Choosing the right old car isn’t just cool; it could also be a smart way to make some money, as their value can go up a lot each year.

Fuel for Thought (curiosities to share)

Decades on Drive: How Each Generation Picks Their Perfect Ride

When it comes to choosing cars, every age group has its own likes and dislikes. Think of it like picking your favorite ice cream flavor; what you prefer can say a lot about you. Just like that, from the older Baby Boomers to the young folks in Gen Z, everyone looks for something different in a car.

🚗 Baby Boomers: The older crowd, Baby Boomers, want cars that are comfortable and don’t break down. They like big, cozy cars or SUVs that feel safe and last a long time. Cars like the Toyota Avalon for smooth drives or the Ford Explorer for more space are just what they're looking for.

🎵 Generation X: The Gen X folks are right in the middle of working hard and remembering the good old days. They need cars that can take the kids to soccer practice but also make them feel cool. They go for SUVs that have room for the family and cars like the Ford Mustang that are fun to drive.

💡 Millennials (Gen Y): Millennials love the latest gadgets and also want to take care of the planet. They're all about cars that are smart, can connect to their phones, and are good for the environment. Cars like the Tesla Model 3 or hybrids like the Toyota Prius are their go-tos.

🌱 Generation Z: The youngest car buyers, Gen Z, care a lot about not spending too much money and helping the environment. They like small cars and electric ones that don’t use gas. Affordable electric cars like the Nissan Leaf or small ones like the Honda Civic are perfect for them.

Each group has its own thing when it comes to cars, showing us that car makers have to think about everyone’s different tastes and what’s important to them. Is your car compatible with your generation? Let us know!

Pit Stop (recommendation for a fun time)

📺 Dive into Car Restoration Magic: Watch "Car Masters: Rust to Riches" as the Gotham Garage team transforms old cars into dazzling beauties for big bucks. Or join "Wheeler Dealers," where Mike Brewer and his team find, fix, and flip classic cars for profit. These shows aren't just about cars; they're about reviving history on four wheels, sparking both inspiration and awe. Perfect for any car lover looking to get their hands dirty or just dream about it!

🚗 "Car: The Definitive Visual History of the Automobile": When I picked up this book, I felt like I was strapping into a time machine, ready to zip through the ages of automotive innovation. From the groundbreaking Ford Model T to the elegance of the Ferrari Enzo and the cutting-edge Tesla Model S, this book laid out a visual feast that truly captured the spirit and evolution of cars. It's like holding a roadmap to the heart and soul of the auto world in your hands—a must-read for anyone who, like me, appreciates the journey of the automobile.

The end for today

Thank you again for the support and for enjoying this week’s theGearShift.

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Ayrton