Succession planning isn’t something anyone wants to talk about. It’s hard to face mortality and have uncomfortable conversations with family, but it’s important to have them in order to carry on the business and the family legacy. A dealership is likely a principal’s biggest asset, and there should be a plan in place for how
Is your Succession Plan in Place? Read Post »
As more and more brands allow for online sales, the agency model may be coming for dealers’ heads. Two years ago if you had told us that the future of car dealerships was in trouble, we wouldn’t have believed you. While online vehicle purchases were on the rise, the vast majority of people were still
Is Agency Selling the Future for “Dealerships”? Read Post »
Throughout the life of any business, having a proper valuation is important for several reasons, but many dealerships, especially legacy family businesses that have been in business “forever,” have not gotten a valuation done in years. There are many companies out there that can do business valuations, but dealerships are different, notably due the fact
The Importance of Accurate Dealership Valuations Read Post »
As vehicles become more technologically advanced and the push for electric vehicles grows, it was only a matter of time before we started seeing tech companies enter the auto industry. We’ve seen partnerships for years for things like software, infotainment systems, cybersecurity, and battery technology. But now, tech companies are releasing cars of their
Tech Companies are Changing the Auto Industry Read Post »
Just when production levels started leveling out from Covid-19 shutdowns, automakers are facing a new problem: a semiconductor chip shortage. Once, again, factories are closed or on delayed production schedules, waiting for these components. It’s strange to think that something so small could cause such a huge issue – an estimated $60 billion issue!
How is the Chip Shortage Affecting the Auto Industry? Read Post »
Auto subscription services aren’t exactly something new. The first known service was started in Honolulu in 2010, but we’ve come a long way since Rima Braden Autosource’s “Flexlease” program. Many major OEMs now offer subscription services. It’s no surprise that luxury brands like Porsche, Cadillac and Volvo were among early adopters in 2017, but
Are Automotive Subscription Services Here to Stay? Read Post »
So here we are…2021. We finally made it out of 2020! Does that mean the auto biz will get better? Well for the auto industry, business has been on an upswing for months. Let’s face it. This country is driven by the auto industry. Our successes (and failures) foretell what the economy as a whole
The “Covid Bounce” Continues Read Post »
It’s a question we’ve been asking. With high unemployment rates and exponentially higher repayment issues, banks are still giving out auto loans. At the end of September, approximately 3.8 million auto accounts were enrolled in some form of financial accommodation program, meaning the owners couldn’t make their payments. It’s understandable with mass lay-offs and
Why are banks still financing car loans? Read Post »
The Perfect Storm is here again: internet sales, consolidation, and the agency sales model. All this has been accelerated by the COVID crisis and the (forced) push for EV production in the US. In 2008, the economy basically came to a halt. Chrysler and GM went bankrupt, so OEMs took the opportunity to simply
It’s the “Perfect Storm” for Consolidation Read Post »
Agency selling is something that’s been coming down the pipeline for a while. Consumers want a more consistent experience with more online purchasing options while still maintaining that personal touch they get from a dealership. Ten years ago, consumers visited dealerships seven times before making a purchase decision. Now it’s barely 1.5 times. In
What does Agency Selling Mean for Car Dealers? Read Post »
