00:33
Relationships are at the heart of everything we do,
00:36
and we pride ourselves on providing you
00:37
with the award-winning satisfaction
00:40
you've come to expect from us.
00:41
Thank you for rating TD Auto Finance number one
00:44
in dealer satisfaction among non-captive,
00:47
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00:49
for the eighth year in a row.
00:51
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00:56
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01:02
visit jdpower.com slash awards.
01:06
Hi everyone, and welcome to the September 5th,
01:09
2025 episode of the Automotive News Canada podcast.
01:13
I'm your host, Greg Lason, the digital
01:15
and mobile editor at Automotive News Canada,
01:18
coming to you from just outside Windsor, Ontario,
01:21
the automotive capital of Canada.
01:24
Today on the show, we'll hear
01:26
from Subaru Canada car line manager, Brad Evans.
01:30
He talks with Automotive News Canada publisher,
01:32
Tim Domopoulos about Subaru's electrification strategy,
01:35
new product, demographics, target consumers
01:39
and what makes Subaru stand out.
01:42
All that and more, but first,
01:44
a look at some of the top Canadian
01:46
automotive stories of the week.
01:49
New vehicle sales are starting to show signs
01:51
of stress from the broader economic slowdown
01:53
and trade disputes.
01:55
Automakers in August sold an estimated 160,000
01:58
new vehicles, that according
02:00
to DeRosier Automotive Consultants,
02:03
that marks a 2.9% decrease over last year.
02:07
It's the first year over year
02:08
monthly sales decline since February.
02:11
DeRosier says the industry is treading water,
02:14
trying to mitigate tariff impacts,
02:16
all while waiting for clarity on a potential trade deal.
02:19
In EV News, the proliferation of electric vehicles
02:22
with their lower maintenance requirements
02:25
has not led to a drop in service bay visits.
02:28
That, according to DeRosier Automotive News,
02:30
Canada recently spoke to.
02:32
But those same dealers say they expect competition
02:35
from independent repair shops
02:37
for the lucrative EV maintenance market,
02:39
especially once factory warranties expire.
02:42
Says Group Ceylon, vice president,
02:45
Alexandra Ceylon, I think the aftermarket
02:48
will invest more and more as the market grows.
02:52
Meanwhile, vice president of Sherbrooke Mitsubishi,
02:55
Maxime Boccage says the brand's only EV model,
02:59
the Outlander Plug-In Hybrid SUV,
03:02
has a maintenance schedule similar to that of an ICE vehicle.
03:05
Says Boccage, that means routine maintenance
03:08
is still very much part of our service operations.
03:11
And finally, we end with product news.
03:14
Honda is reviving the Prelude nameplate.
03:17
It returns to dealerships this fall
03:19
after a 25-year hiatus.
03:21
The Prelude's only available powertrain will be hybrid.
03:25
The 2026 Prelude is also the first to have a lift back.
03:29
Previous generations only offered a trunk.
03:32
You can see several photos of the new Prelude
03:36
And that's a look at some of the top Canadian automotive
03:38
stories of the week.
03:40
Coming up, a conversation between Automotive News
03:42
Canada publisher Tim Domopoulos
03:44
and Subaru Canada carline manager, Brad Evans.
03:49
Flexible, full spectrum and focused on the future
03:52
of this great industry with over one million customers
03:55
served in relationships with over 6,100 dealers nationwide,
04:00
we pride ourselves on our competitive programs,
04:02
digital solutions, and award-winning satisfaction.
04:06
We're committed to making it easy to finance a vehicle
04:09
and grow your business anywhere, anytime.
04:13
Thank you for rating TD Auto Finance number one
04:16
in dealer satisfaction among non-captive, non-prime lenders
04:20
with retail credit, eight years in a row.
04:23
With your continued support, we were also recognized
04:26
as number one in dealer satisfaction among non-captive
04:30
prime lenders with retail credit in the JD Power 2025
04:34
Canada Dealer Financing Satisfaction Study.
04:37
Contact us today at 1-855-TD-AUTO-1
04:42
to find out how we can support you
04:44
every step of the vehicle buying journey.
04:47
For JD Power 2025 award information,
04:50
visit jdpower.com slash awards.
04:53
Welcome back to the Automotive News Canada podcast.
04:55
I'm your host, Greg Lason.
04:57
We'll now hear that conversation
04:59
between Automotive News Canada publisher Tim Domopoulos
05:02
and Subaru Canada carline manager, Brad Evans.
05:08
Brad, the Subaru lineup has become flexible
05:10
just in terms of power trains on offer.
05:13
You know, Subaru took a cautious approach
05:15
when it came to electrification,
05:17
but now there are more electrified choices
05:19
in all electric choices coming.
05:21
Tell me a little bit about how that has evolved
05:24
over the last little while
05:26
and how it's brought us to Salterra.
05:29
Sure. So, Subaru Canada's offered
05:31
a couple of different hybrid models
05:33
in the past 10 years or so.
05:36
Two different variants of the Crosstrek were hybridized.
05:39
One back in kind of the middle of the last decade
05:42
and one for 2022, I believe.
05:46
And now we've introduced the Salterra in 2023 model year.
05:51
And with that, we took our first proper step
05:54
into the full electric world.
05:56
Since the launch of that, there's been a lot of learnings.
05:59
There's been a lot of changes in the industry
06:01
and changes in customer demand and expectations.
06:05
Subaru is a brand that's known for outdoorsyness
06:07
and getting it into nature
06:09
and kind of having that association.
06:10
So it's really important to us to appeal to those customers
06:13
also that are looking for more environmentally friendly models.
06:17
Over the last couple of years,
06:19
starting with Salterra in 2023 model year,
06:22
we've also introduced a new hybrid version of the Forester.
06:25
We'll be launching a hybrid version of the Crosstrek
06:30
And then early next year,
06:31
we'll have our next two full electric models,
06:34
the Uncharted and the Trailseeker,
06:37
which will kind of round out our EV family
06:39
for the time being.
06:40
Those three models will complement one another.
06:43
The Uncharted is kind of the smaller sibling,
06:45
more focused for urban and city living,
06:48
makes it easy to get around town.
06:51
The Salterra is more of an all-rounder.
06:53
It appeals to younger families,
06:57
probably suburban kind of dwellings
07:00
and offers a very long range and a lot of utility as well.
07:05
And then the Trailseeker will appeal
07:07
to those families and singles
07:10
who really want to kind of get out of the city.
07:13
It offers a lot of rugged capability and styling.
07:16
It'll really appeal to those who have
07:18
those really active lifestyles
07:20
and want to drive something that really screams Subaru.
07:23
It has that very wagon silhouette
07:25
that we've kind of been known for a long time.
07:27
So it'll appeal to all of our very loyal customers
07:30
who are expecting that kind of vehicle from us.
07:33
The Salterra has gone through a major refresh.
07:36
You called it a refresh.
07:38
I call it almost an all-new vehicle,
07:40
considering all the changes that went into it.
07:42
What led to making all these fundamental wholesale changes
07:46
to the vehicle in terms of its performance and its styling
07:50
and all the other good things
07:51
that have gone into the newer version?
07:53
What was the impetus to get it done
07:55
and get it done as quickly as you did?
07:57
So when we launched Salterra back in 2022,
08:01
again, it was our first foray into full electric vehicles.
08:05
So there was a lot to learn from that launch
08:09
and from the first few model years of Salterra.
08:12
There was lots of customer feedback
08:13
in areas where we could make improvements
08:16
and address some of that customer feedback.
08:18
So like you said, it was a quick turnaround
08:21
to make such major updates to the vehicle.
08:24
And we think that we've mainly addressed
08:27
almost all of the feedback that we had.
08:29
We've got an extremely competitive vehicle now.
08:32
It's got one of the highest all-wheel drive ranges
08:36
So we think that the learnings from launching back in 2022,
08:41
we've really applied a lot of that to the updated model.
08:44
And like you said, it's very nearly a completely new model.
08:48
So I think customers will find a lot of value
08:50
in the new car and they'll get a lot of enjoyment
08:53
out of it and it will deliver
08:55
exactly what they're expecting out of a Subaru.
08:57
So Brad, where do you think customers
08:59
for the Salterra are gonna come from?
09:01
Do you think it'll be conquest customers?
09:03
Do you think it'll be current owners
09:05
who are gonna trade up from a nice vehicle
09:08
that they have that might be a Subaru?
09:09
Tell me a little bit about where you think
09:11
those customers are gonna come from for Salterra.
09:14
So traditionally for Salterra,
09:16
we've seen a lot of the buyers for that vehicle
09:19
come from our existing pool of customers.
09:22
So a lot of loyal customers who have an adventurous side
09:26
but also want that kind of environmentally friendly
09:30
It's very likely that they have
09:31
multiple Subarus in the driveway,
09:33
some of which they can take on their long camping excursions
09:36
and then they wanted the more kind of
09:40
environmentally friendly option as well.
09:41
So they traded in another Subaru for a Salterra.
09:45
With the new car, we expect much of the same
09:49
but also the new vehicle is extremely competitive
09:52
within the segment and we suspect
09:54
that there'll be a lot more conquest opportunities
09:57
with the 26th of the year.
09:58
We think it'll be a good mix of conquest
10:01
and loyalty for the new car.
10:02
Speaking about loyal customers,
10:04
you mentioned that there'll be a very important part
10:06
of what's gonna make the Salterra a success.
10:08
Your loyal customers are probably looking at the Salterra
10:12
and hoping to find the Subaru DNA
10:15
that they're used to in the vehicles
10:17
they may currently own in this new Salterra
10:20
and in a new electric vehicle.
10:22
So what do you think the Salterra has
10:25
for just in terms of being able to transfer over
10:28
that the expectations of this,
10:29
what makes a Subaru into this new electric offering?
10:34
It's difficult to differentiate EVs much more so
10:38
than conventional ICE vehicles nowadays.
10:40
So some things that kind of set the Salterra apart
10:44
are things like our 210 millimeters of ground clearance
10:47
much higher than most of the competitors in the class.
10:50
Standard roof rails, things like that.
10:53
Our customers are those types of people
10:55
who put a bike rack on top
10:57
or a cargo basket up on top of their vehicle
11:00
and use them for camping and hauling things.
11:04
And so the Salterra is set up
11:05
for all types of activities already.
11:09
It appeals to those people's lifestyles.
11:11
So while EVs tend to kind of blend together
11:14
in terms of the driving experience,
11:16
we can set ourselves apart on utility and capability.
11:19
It has standard all-wheel drive, of course.
11:21
And with that comes X mode,
11:25
which is kind of something that Subaru is really known for.
11:29
Helps the vehicles perform off-road really well.
11:32
And again, it kind of sets us apart
11:34
from a lot of the competitors
11:36
for customers who are looking to kind of go the extra mile
11:38
and get off-road a little bit and enjoy their car.
11:41
Yeah, there's been a major amp up in performance too
11:44
with the current version of Salterra into the new version.
11:47
Tell me a little bit about some of the numbers
11:49
that surround the performance.
11:51
Compared to the outgoing model,
11:54
horsepower is up 57%, up to 338 horsepower from 215 previously.
12:01
So it's a dramatic change in the amount of power
12:04
that the vehicle delivers.
12:06
To go along with that, it has a slightly larger battery
12:08
up just over four kilowatt hours, up to 77 kilowatt hours,
12:12
which is standard across the lineup
12:14
with that size of battery.
12:16
We now are able to travel over 450 kilometers
12:20
on a single charge, which again,
12:22
is extremely competitive in the compact segment.
12:25
In addition to that,
12:26
we also have dramatically improved
12:30
the charging performance of the vehicle.
12:32
Kind of under ideal conditions,
12:34
we can charge the Salterra from 10 to 80%
12:37
in about 30 minutes.
12:38
And while that's fairly normal nowadays for EVs,
12:42
where we really stand out from the competition
12:46
is that that same 30 minutes applies all year round.
12:49
The new Salterra has a battery preconditioning system,
12:52
heats up the battery and prepares it for fast charging
12:55
so that in temperatures down to minus 10,
12:58
it'll perform as if it was 25 degrees out
13:01
and customers will be able to kind of be able
13:05
to depend on consistent
13:06
and predictable charging times all year round.
13:09
There's also been some major changes
13:11
in terms of how customers interact
13:13
with their vehicles through an app
13:15
and also through the infotainment system, which has changed.
13:19
So tell me a little bit about the changes
13:20
in those two areas.
13:22
Sure, so starting with the infotainment,
13:25
the screen size has now been enlarged to 14 inches
13:29
and that's standard across the entire lineup.
13:31
It comes with features like wireless Apple CarPlay
13:35
Also standard are two side-by-side wireless device chargers
13:40
in the center console
13:41
because of the wireless CarPlay and Android Auto,
13:44
customers can set their phones down,
13:46
they don't need to worry about that,
13:47
those systems draining their batteries
13:49
and getting where they need to go.
13:50
In addition, the infotainment screen handles
13:54
things like HVAC duties,
13:56
it's got some clever design features
13:58
where hard buttons are kind of integrated
14:00
into the screen, so it's a nicely designed unit.
14:02
It also controls things like the battery preconditioning
14:05
system, like I mentioned.
14:06
Also, complimenting the new infotainment system,
14:09
we've got Subaru Connect,
14:11
which is an updated version
14:12
of the previous Soltera Connect app
14:14
and that will let owners of the Soltera
14:17
or Uncharted or Trailseeker when they arrive
14:20
be able to control functions of their vehicle,
14:22
like presetting their climate controls
14:25
for when they get in the vehicle,
14:26
managing their charging schedules,
14:28
finding chargers out and around the cities
14:33
and also it will allow customers
14:36
to integrate all of their different charging apps
14:39
for the various charger companies
14:41
that are out there into one wallet
14:43
that will manage all of those subscriptions
14:45
so that customers kind of just go to one single area
14:49
to pay for whatever charging session they are
14:51
at whatever kind of charger they're using.
14:53
I wanted to kind of end off the conversation
14:55
talking about affordability.
14:56
Affordability is a big issue
14:58
when it comes to all vehicles,
15:00
but particularly electric vehicles.
15:02
So with all the improvements we're gonna see in Soltera,
15:04
one would assume there would be a premium attached
15:07
to that though, what's the strategy
15:08
from a potential positioning of from a price standpoint
15:12
moving forward when these vehicles start to get delivered?
15:15
Yeah, you said it's it's the strategy
15:16
is gonna be offering really good value to the shoppers.
15:20
So like we've talked about,
15:21
there's an array of improvements
15:23
and enhancements to the new vehicle.
15:26
So it's almost like an entirely new vehicle.
15:28
There's been so much updated with it.
15:31
With all those improvements,
15:33
we also needed to ensure
15:35
that the value would be there for customers.
15:37
While we can't discuss the pricing quite yet,
15:40
what we can say is that despite all the enhancements,
15:43
the pricing will not increase from the current level.
15:46
So we can expect that customers will be able
15:49
to take advantage of that value
15:52
and still have the vehicle at a really competitive price
15:55
to be positioned to, again,
15:57
try and get some of those conquest customers
15:59
that we talked about as well as appealing
16:01
to our loyal customers.
16:03
I'd like to thank Brad for his time
16:05
and Tim for conducting the interview.
16:07
If you'd like to be a guest,
16:08
have a suggestion or simply wanna comment,
16:10
email at glasen at autonews.com.
16:14
And remember you can listen to all our previous podcasts
16:17
on Spotify, iTunes, Google Play,
16:20
or on our website, automotivenews.ca.
16:23
Just scroll to the podcast hub
16:25
in the middle of the homepage.
16:27
you can follow Automotive News Canada on X
16:30
where we're at Auto News Canada.
16:33
And you can find me there too under at glasen, A-N-C.
16:39
Finally, you can find us on LinkedIn.
16:41
Just search Automotive News Canada.
16:43
That does it for this episode
16:44
of the Automotive News Canada podcast.
16:46
We hope you'll join us next time.
16:48
So long, everybody.
