Auto sales down 90%
Tuned
Joined: Oct 2016
Posts: 371
Likes: 15
Halted
Here in Michigan, we are under a mandatory 3 week shutdown of all non essential business.
I won't list everything categorized as non essential, however auto sales is one of them. Dealerships are allowed to keep the service departments open, but that is it. Showrooms New and Used are closed.
I won't list everything categorized as non essential, however auto sales is one of them. Dealerships are allowed to keep the service departments open, but that is it. Showrooms New and Used are closed.
Logistics Pro
Joined: Dec 2003
Posts: 3,777
Likes: 863
From: Foothills of NC
Thanks, YB, for this comment; I was hoping somebody truly in the know would respond! I was the editor of Used Car Dealer, NIADA's monthly member magazine, for a short time in the 20-teens and folks in that business were still talking about the devastating effects of CFC. Some people here just have no idea how important those used lots are to the economy.
TXCOMT
TXCOMT
Thank you for your comment. It's hard to believe a short term program put in place 11 years ago would still have such an effect upon the used car business. It changed the whole model of the used segment, and not in a good way for consumers. The very same year and model vehicles I could sell then for $3500.00 - $4500.00 with 100k or less miles, are still selling for the same price, or more, with well over 200k miles on them.
Wholesale prices went much higher than the retail price in a matter of a month or two, but the selection went from nice, new car trade ins, to left over junk with high miles and lots of problems.
I'm picky about what I buy, and won't sell a vehicle I don't trust and wouldn't drive myself. I transitioned to used campers and new scooters, with used cars when and if I could find something I would have on my lot. After a few more years I just gave it up, as I saw the independent dealer used car market would never be the same. I won't pay three times what a vehicle is worth, and won't do buy here-pay here. I don't have the patience to hunt down people for their weekly payments.
Hotshot
Joined: Oct 2015
Posts: 19,695
Likes: 12,821
From: Wyoming
I was at the local Nissan dealership yesterday. It was deserted. The sales guys were playing basketball. There were people test driving vehicles from other dealerships (there are 5 or 6 dealerships in the same location).
Down 90%? Could be.
Down 90%? Could be.
Logistics Pro
Joined: Mar 2019
Posts: 4,064
Likes: 13
Don't know about auto sales as a whole, but my local Ford dealer shut their sales department down when the stay at home order was issued. So that's 100% in their case. Service and parts is running on shorter day, earlier close time.
Hotshot
Joined: Oct 2015
Posts: 19,695
Likes: 12,821
From: Wyoming
My last car was purchased without ever meeting someone face to face until the car was delivered in my driveway. The dealers like to keep things face to face to improve their margin. There is a local Audi dealer with a radio ad that says buying from them is "All about the relationship." I laugh every time I hear it. I don't need a "relationship" with my grocer when I buy a can of Pork and Beans.
Dealers can continue to sell cars by email and phone. Test drives are a challenge though. While I did drive a Superduty before I bought mine, the one I drove wasn't the one I bought.
Dealers can continue to sell cars by email and phone. Test drives are a challenge though. While I did drive a Superduty before I bought mine, the one I drove wasn't the one I bought.
Thread
Thread Starter
Forum
Replies
Last Post
