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Good morning. Toyota has named its next North America chief, with a leadership handoff and an engineering reshuffle taking effect in January. We’ll look at what dealers should watch, then turn to the gap between vehicle margins and service profits, and why vehicle age still matters to CPO shoppers. Florida’s dealer advisory board also meets this morning. Let’s get into it.
AT THE DESK
Toyota’s next North America chapter starts in January
Toyota announced today that Mark Templin will become chief executive of its North America region on January 1, 2027. Current regional chief Tetsuo Ogawa will move into a senior-fellow role as part of a broader management reorganization. (Toyota announcement)
Templin already sits close to the decisions dealers feel. As Toyota Motor North America’s chief operating officer and president of Toyota Motor Sales, his responsibilities include sales, marketing, product planning, customer service, supply chain and manufacturing for Toyota and Lexus. His earlier Lexus roles included dealer relations and parts-and-service operations. (Toyota executive biography)
The same January reorganization also moves the Carbon Neutral Engineering Development Center’s functions into Toyota’s Powertrain Company, with a focus on hybrid systems. Toyota says the integration will connect exploratory work, advanced development and mass-production development more closely. The company is also appointing new regional leaders in China and Asia as it emphasizes decisions tailored to local markets. (Toyota organizational changes)
For Florida Toyota and Lexus stores, the useful follow-up is how the leadership handoff translates into product communication, vehicle availability and service support. Those are questions for regional conversations, not outcomes established by today’s announcement. As 2027 planning takes shape, keep the confirmed January leadership change separate from any assumptions about additional hybrid allocation or new store requirements.
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BUSINESS OFFICE
More used units did not mean more profit per vehicle
Penske’s October 28 third-quarter release offers a useful operating contrast. Across its retail automotive same-store operations, used-vehicle deliveries rose 3.8% from a year earlier, but used gross profit per vehicle fell 7.7% to $1,936. Same-store service-and-parts gross profit moved the other way, rising 3.3%. These are Penske’s mixed-geography company figures, not a Florida or U.S.-only dealer benchmark. (Penske results and supplemental tables)
The takeaway for a November operating review is to keep volume and unit economics on separate lines. A busier used department can still need a closer look at acquisition cost, reconditioning and discounting; the release does not identify those as the causes of Penske’s decline. Pair the sales discussion with the service department’s contribution rather than letting a delivery-count headline stand in for the whole store.
MARKET CHECK
Certification does not erase an age objection
There is another useful finding beneath the CPO shopper-awareness story we covered Tuesday. Among used-focused shoppers open to CPO, 64% were extremely or very likely to consider a six-year-old certified vehicle. That fell to 36% at eight years and 26% at ten years in Cox Automotive’s 2026 study. These are stated intentions, not observed sales conversion rates. (Cox study, page 20)
For acquisition and reconditioning discussions, that suggests treating age as its own demand question rather than assuming certification makes older units equally attractive. Check the applicable program’s eligibility, actual inspection findings and your store’s selling history before committing to the margin. Cox surveyed 825 shoppers aged 18–64 who planned to buy within six months; the study does not establish a universal certification age limit or quantify repair costs. (Study methodology)
Age changes the consideration set
6 years old: 64%
8 years old: 36%
10 years old: 26%
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CASE WATCH
An employment case turns on the timeline
On November 4, the Sixth Circuit affirmed the disposition of Lorenzo Williams’s claims against Ford and the UAW, including that his race-discrimination and fair-representation claims were filed too late. The four-page, nonprecedential opinion concerns a Michigan employment dispute, not a Florida dealership, and is not a merits finding that every alleged act was lawful. (Court opinion)
For store leaders, the useful lesson is procedural: preserve a clear chronology of employment decisions, grievance communications and agency notices, and route claims promptly to counsel. Different claims can have different filing rules; this case is not a universal deadline chart for your HR team.
DATES THAT MATTER
This morning: Florida’s dealer advisory board
November 5, 9 a.m. EST: FLHSMV’s Automobile Dealers Industry Advisory Board meets virtually. Attendance is optional, and the public notice supplies the meeting-access details; this is not a filing deadline or a new dealer-records requirement. (Official meeting notice)