
Former Partner, Automotive Senior Practice Expert, MCKINSEY & COMPANY, INC.
Member of the Automotive Council
Glenn Mercer was a Partner and Senior Practice Expert of the automotive practice at McKinsey & Company from 1985-2006. Mr. Mercer has over 20 years of experience in the automotive industry. He has worked in private equity for the last few years and was a Director of several automotive firms and the International Motor Vehicle Program at MIT, Wharton, and Tokyo. At McKinsey, Mr. Mercer worked with the management of many American, European, and Asian car makers, suppliers, and aftermarket firms on topics including distribution strategy, product development processes, technology introductions, dealership relations, supplier management, and purchasing strategy and tactics. He has also worked with dealerships, automotive insurers, used car specialists, truck firms, car rental companies, and automotive finance companies. (This is me - Update Profile)
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Smart Car, but Smart Distribution?
July 21, 2006
The Smart Play: Mimic the Mini | www.autonews.com
Lured by emerging American demand for smaller and more fuel-efficient cars, DaimlerChrysler has finally ended its waffling about bringing its micro-car, the Smart, to the USA, announcing its launch in 2008. With a sales goal of only some 15,000-20,000 annually, the car seems likely to sell out its first run at least (based on high demand for it in Canada, where it is already on sale). But does it make sense, as DCX is planning, to market these cars through traditional car dealerships (assisted by its distribution partner United Auto Group)? If the Smart is actually more a luxury or fashion bauble than a mainstream car, might it make more sense to sell it as such, perhaps through a luxury or fashion retailer?
Outlook for Rental Car Business
July 20, 2006
Hertz (HTZ) Files $1 Billion IPO | www.streetinsider.com
In my view, the outlook for the rental car business in the USA is solid in terms of demand, but less secure in terms of profit. Profitability for this long-battered industry will depend in large part on behavior of the players involved.
The future of demand for hybrid cars
July 19, 2006
Effects of Vehicle Image in Gasoline-Electric Hybrid Vehicles | www.its.ucdavis.edu
Hybrid vehicles are hot today, led by the highly distinctive Toyota Prius. As other car makers race to catch up, market analysts are trying to understand the nature of demand for hybrids: does it represent a fundamental shift in American car-buying habits, or is it just a fad that will pass as swiftly as did enthusiasm for the PT Cruiser and the New Beetle? Researchers at the University of California - Davis have probed deeply into the buying decisions of hybrid owners and find that considerations of image and social status are as important, or more so, for early hybrid buyers than is simple fuel savings. In fact, few hybrid buyers ever calculate the fuel savings the car will bring them, leading one to wonder if the media is being sidetracked by the criticism that hybrids "never pay back" their higher purchase price: if buyers don't care about this, does it matter?
| Study Group Name | No. Members |
|---|---|
| Experts in the Automotive Council | 3422 |
| Fleet Management Experts | 219 |
| Experts in the Leisure & Lodging Council and Automotive Council | 142 |
| Tire Experts: Automotive Industry Consultants | 140 |
| Sub-Prime Auto Lending Experts | 135 |
August 29, 2006 | Dallas
GLGi: Automotive IndustryJuly 25, 2006 | New York
GLGi: Overview Of The U. S. New & Used Automobile Retailing Industry