This site uses cookies to improve your experience. To help us insure we adhere to various privacy regulations, please select your country/region of residence. If you do not select a country, we will assume you are from the United States. Select your Cookie Settings or view our Privacy Policy and Terms of Use.
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Used for the proper function of the website
Used for monitoring website traffic and interactions
Cookie Settings
Cookies and similar technologies are used on this website for proper function of the website, for tracking performance analytics and for marketing purposes. We and some of our third-party providers may use cookie data for various purposes. Please review the cookie settings below and choose your preference.
Strictly Necessary: Used for the proper function of the website
Performance/Analytics: Used for monitoring website traffic and interactions
Small competitors positioned at the lower end of the market started absorbing business from usedcar lots and garages, which focused on budget-conscious customers. A once-balanced market with local family-run jobbers and small corporate-owned stores evolved rapidly. Despite these shifts, the industry was still in a growth phase.
Similarly, a sudden drop in usedcar prices from post-COVID highs resulted in many vehicles not being repaired. For instance, as vehicles become more complex, the cost of repairing crash parts with all the added sensors and technology might lead to higher total loss ratios as these cars depreciate. He is based out of Toronto.
Economic uncertainty is prompting many car buyers to act quickly, which pushes up sales and vehicle prices. According to CARFAX , both car sales and prices are rising beyond typical seasonal patterns. This spring, usedcar price trends show nearly double the increase compared to the same period last year.
The reason most salespeople struggle to push usedcars isnt because they dont want to its because they dont understand how to sell what they dont know. If we dont prioritize inventory knowledge, our teams will naturally default to selling new cars. Heres how you as a leader can help your team crush usedcar sales: 1.
In today’s competitive usedcar market, dealerships can’t afford to rely on guesswork during vehicle appraisals. Inaccurate appraisals can hurt profits before the car even hits the lot. In the usedcar market, predictability is the foundation of profitability. With margins tightening, precision becomes essential.
How Dennis Dillon Auto Group Built a Winning Private-Party Buying Program Most car dealers think the best used vehicles are found at auctions. We talked with their usedcar manager, Bryan Bough, about their private-party buying program. Key Insight: Your salespeople should focus on selling cars, Bryan emphasized.
It’s no secret that dealers are facing a complex set of challenges when sourcing usedcar inventory. While supply constraints have been a major focus, it’s also important to consider how demand dynamics are influencing the usedcar market and complicating dealerships’ ability to source inventory effectively.
Economic uncertainty is prompting many car buyers to act quickly, which pushes up sales and vehicle prices. According to CARFAX , both car sales and prices are rising beyond typical seasonal patterns. This spring, usedcar price trends show nearly double the increase compared to the same period last year.
You’re a car dealer; such environments are made for your mentality, aptitude, creativity and long suffering. Consider these actions to reduce market risks to usedcar profitability. This is one of the most productive and simplest ways to better manage margin expectations on every usedcar you buy. Here we go again.
Discover a smarter usedcar inventory sourcing strategy. The best cars dont hit the lane; theyre in someones driveway. Ever notice how the cars you really want low miles, high demand, fat margins never seem to hit the auction block anymore? Sellers think their cars are worth all the money. That much is clear.
How to Make Smarter Inventory Acquisition Decisions that Will Better Impact Your Bottom Line David Farmer, founder and CEO of Intice, recently stated, You make your profit the day you buy the car. This simple truth of buying cars right, often overlooked, is the key to unlocking higher profits in the car business. But reality?
Its the cry of the frustrated manager: Wheres the car? They come from: Usedcar managers who cant locate keys for vehicles they need to move to the sales lot. The post Practicing the Precise Science of Key and Car Tracking appeared first on AutoSuccessOnline. Where are the keys?
Dealerships in 2024 will continue to face usedcar sourcing challenges. I recently read an article that netted the issue: “Dealers navigating a used-vehicle market that already allows little room for error are eyeing another obstacle: worsening used-car availability.”
Used vehicle acquisition is competitive, expensive and nuanced, even for the best car dealers. While some dealerships are happy sending their usedcar manager to the auction, others who aren’t satisfied with that approach need to get a little scrappy and think outside the box. Where Do You Find Them? More on this later.
Pros: o Complete Control: You pick the cars and the price. Bryan Bough, usedcar manager at one of the largest auto groups in Boise, Idaho, recently said to us: “If you’re not buying cars from the public, you’re making a huge mistake. You aren’t at the mercy of someone or something else. It’s really that simple.
What a car shopper cant find on them wouldnt fill a thimble so why should you consider adding digital vehicle portfolio (DVP) content to this fantastic marketing site? Thats a great question, and every dealer, GM and usedcar manager should ask it. Confidence in Pricing & Value A well-documented car means no surprises.
The adage time to line is always fashionable when reconditioning usedcars so you can retail sooner and profitably. For over a decade, dealers have confirmed that a three-to-five-day time-to-line recon operation gets usedcars frontline ready faster and improves inventory turn.
Yet, many dealerships continue to use spreadsheets or fragmented systems that fail to communicate across departments, leading to inefficiencies, miscommunication and missed opportunities. This lack of visibility delays the car’s journey to the sales lot, increasing holding costs and reducing potential profit.
I mean growing sales margins, making more confident trade appraisals and working the usedcar operation to increase cash flow. More Efficient New and Used Vehicle Sales: Missing a service delivery promise chills retention. Now they meet customers on a level field, both able to discuss any usedcar on your lot intelligently.
He sold anything from refrigerators to usedcars to real estate. The post Jack Furrier Tire was Born from the Drive to Build Something Bigger appeared first on Tire Review Magazine. Building Jack Furrier Tire After serving four years in the U.S.
As part of the inaugural Automotive Intelligence Awards , Cherokee Media Group is honoring a select group of outstanding auto industry analysts for their contribution to the knowledge base of the used-car retail, finance and remarketing industries.
Following their visits to NADA last month, we have a more thankful nation of car dealers. At the same time, without process improvement, the profitability per vehicle (PPV) of the usedcar will continue to evaporate. Every acquisition in this usedcar market must lead to a profit per vehicle outcome.
As part of the inaugural Automotive Intelligence Awards, Cherokee Media Group is honoring a select group of outstanding auto industry analysts for their contribution to the knowledge base of the used-car retail, finance and remarketing industries. Roberts, who is from Detroit, has a deep family background in automotive.
As part of the inaugural Automotive Intelligence Awards, Cherokee Media Group is honoring a select group of outstanding auto industry analysts for their contribution to the knowledge base of the used-car retail, finance and remarketing industries.
He knows cars and The Cars. Also included in the magazine and conference recognition will be the Automotive Intelligence Awards: Emerging Companies program, which will recognize emerging companies and entrepreneurs charging forward to make their mark on the used-car industry.
During the coronavirus pandemic, inventory was historically low, customers frequently paid above MSRP and financed cars at higher interest rates and for longer periods of time. This in turn has resulted in a surplus of new cars sitting on lots. To avoid holding costs, dealerships must sell new car inventory quickly.
As part of the inaugural Automotive Intelligence Awards, Cherokee Media Group is honoring a select group of outstanding auto industry analysts for their contribution to the knowledge base of the used-car retail, finance and remarketing industries.
The general narrow-minded focus we all suffer in conducting our day-to-day job helps us forget and neglect the basics of the car business we need to remember. OK, I do not want to be Chicken Little crying that the sky is falling, but I hope to encourage you to look at the reconditioning practices of your usedcar department.
The average used vehicle listing price dropped to $25,470, down from the revised $25,490 at the beginning of May, representing a 1% decrease compared to the levels observed a year earlier. Affordability remains challenging for consumers, and the used-vehicle supply is more constrained at lower price points.
A 2022 Bureau of Labor Statistics report reminds us that from the 2007 to 2009 recession — and through the onset of the pandemic in 2019 — “car and truck dealerships faced an economic shock and compressed profit margins on new vehicles.” CarEdge Data pointed out that February inventory supply ranged from two weeks to two years.
Today’s current economic climate has forced auto dealers to buckle in for a wild, unpredictable ride with their car shoppers. The presidential tariffs are expected to cause manufacturers to raise vehicle and parts prices, which will inevitably put more affordability pressure on car shoppers and consumers.
cars or roughly two vehicles, according to Money Geek. This means the average household spends over $2,000 per month to own and maintain their cars. Purchase Prices : The Manheim Used Vehicle Value Index highlights that used vehicle prices have skyrocketed due to supply constraints and increased demand.
AI is a tool in a larger toolkit, but its important to know when to use it. If you want to produce unique descriptions for all your usedcars, someone can easily train generative AI to do that at the dealership level, with great effect. Need to format a page and your website vendor takes a month to get anything done?
A lot of dealers are starting to look at generating profit not just from the number of cars they sell, but from a first-principles approach: focusing on buying the right inventory. It sounds obvious on paper — if you buy the car right, everything else tends to fall into place: service, sales, customer experience and, ultimately, retention.
By securing a VSC post-sale, dealers can lock in this relationship, encouraging repeat business for future car purchases. Additionally, a well-maintained car with a solid service record becomes a valuable trade-in option, presenting an opportunity to enhance the dealerships usedcar inventory with well-cared-for vehicles.
Giron says the dealerships usedcar manager can view the videos and pictures on his phone to check the work thats being done to recon cars, allowing him to effortlessly approve a vehicle for use. The videos and pictures that the technicians upload to the Dealerlogix platform even provide transparency for other employees.
But I do because my company’s products and services interface with the GM at a crucial point: usedcar profitability. I know enough GMs, fixed ops directors and usedcar managers in all sizes of dealerships and groups to understand how important vendor and product trust is to them.
Learn how tariff news affects car buying behavior, creates urgency and affects seasonal sales cycles, and why SEO alone wont cut it. But maybe not for USMCA-compliant cars Ah, heck, pause them for 90 days and just pile all the tariffs on China! There is no consumer search happening for no tariff cars or anything similar to that.
He ran the usedcar department for his grandfather’s dealership, Chuck Patterson Toyota. For every single decent car in your market that you don’t buy, you’re not just losing a sale; you’re losing a customer, and you’re potentially creating a competitor. If you don’t think this works, ask our CEO, Nick Patterson.
Dealers today enjoy more predictable usedcar results because they leverage strategic reconditioning software’s robust efficiency metrics called time-to-line or T2L, a process we introduced to the market in 2010. The profitability of usedcars has been, until now, primarily determined by demand and availability.
Are you really 98% to market for that specific car or are you 98% to market within 100 miles for that model? For example, when you bought the car you planned $1,000 for recon. Not only does this take up time, but even after looking at comps, it’s still very difficult to make an accurate appraisal.
With the potential for new vehicle prices to skyrocket, more shoppers may turn to used vehicles as a more affordable option. Ensuring a robust selection of high-quality F&I options that cater to usedcars and trucks can help dealers meet this demand and maintain sales volumes while keeping customer service levels in place.
Car makers spend billions of dollars yearly on vehicle design and new model advertising. Slick and visual new-model-year brochures were a car dealerships best point-of-sale desire-builders for many years. Across all dealers use of these DVPs, 57% of customers who opened them bought a car. billion this year.
This stands in sharp contrast to dealers who often face the challenge of uncertainties in usedcar acquisitions due to a lack of comprehensive data. Stock investors have long benefited from a wealth of information and advanced technological tools, supporting them in making data-driven decisions.
We organize all of the trending information in your field so you don't have to. Join 5,000+ users and stay up to date on the latest articles your peers are reading.
You know about us, now we want to get to know you!
Let's personalize your content
Let's get even more personalized
We recognize your account from another site in our network, please click 'Send Email' below to continue with verifying your account and setting a password.
Let's personalize your content