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You are here: [F] Forums / Automotive News & Views / Dude, where did all the dealerships go?



Dude, where did all the dealerships go?

654 messages,  Last post on Nov 23, 2009 at 7:56 PM

You are in the Automotive News & Views Forum. Your Hosts are steve_ & claires

What is this discussion about? Car Buying, Automotive News, Legislation


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#59 of 654
Re: kind of ironic [explorerx4] by fintail
Dec 01, 2008 (4:10 pm)
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Replying to: explorerx4 (Dec 01, 2008 2:47 pm)

I wonder if they were leftover '27s
#60 of 654
This isn't the first time by boaz47
Dec 01, 2008 (5:40 pm)
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We managed to live through Nissan trying to fold and selling off its Financial arm to Renault. Kia went belly up and Hyundai was forced to buy them so they wouldn't be a monopoly in Korea. Saab was bought lock stock and barrel as was Volvo. Most of the household names england are now owned by the Germans or the US. Isn't the Queens vehicle of choice owned by Ford? We can survive this as well. We simply don't need as many dealers as we have.
#61 of 654
a local one bites the dust by steve_ HOST
Dec 04, 2008 (8:55 pm)
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Bill Buckner's auto dealership closes
 
Yeah, that Bill Buckner. He had a Chrysler shop up the road.
 
The same TV station (KTBA) is running this story too:
 
"Dan Wiebold Jr. has been selling cars for over 20 years and says dealers across the country are taking an unprecedented hit.
 
"They're closing up at roughly two a day which is 60 a month nationwide," said Wiebold. "
    
Local auto dealers hope Congress will save their industry
#62 of 654
Re: a local one bites the dust [steve_] by gagrice
Dec 04, 2008 (9:13 pm)
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Replying to: steve_ (Dec 04, 2008 8:55 pm)

My question again. How will the bailout to the BIG 3 help the dealerships AT ALL? If people ain't buying, they will go broke. I heard the expected number for 2008 is 1000 dealerships. The Toyota dealer I bought my Sequoia from is under new owners.
#63 of 654
Re: a local one bites the dust [gagrice] by steve_ HOST
Dec 04, 2008 (10:52 pm)
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Replying to: gagrice (Dec 04, 2008 9:13 pm)

Well, if the automakers get stabilized and credit eases, people will start buying cars again, and they can't buy them direct or from Wal-Mart. Some dealers will either survive or new ones will fill the voids.
#64 of 654
Re: a local one bites the dust [steve_] by gagrice
Dec 05, 2008 (6:39 am)
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Replying to: steve_ (Dec 04, 2008 10:52 pm)

I don't think we will see the EZ credit from the past 15 years again. At least I hope not. That is what got US where we are today. 7% to 8% home and auto loans should be the standard for good paying borrowers. Don't expect a buying spree in new cars for several years.
#65 of 654
Re: a local one bites the dust [gagrice] by nortsr1
Dec 05, 2008 (6:42 am)
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Replying to: gagrice (Dec 04, 2008 9:13 pm)

Well, if the dealerships "close" of their own fruition, it would probably mean that GM, Ford or Chrysler would have a lot less dealerships to "buy out"???? I have to assume when a dealership closes because of lack of sales or whatever, they would not be a "costly buyout" to one of the Big 3????
#66 of 654
Re: a local one bites the dust [nortsr1] by gagrice
Dec 05, 2008 (7:53 am)
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Replying to: nortsr1 (Dec 05, 2008 6:42 am)

That may be true. It is also one less point of sale for GM or Ford or whoever. I understand getting rid of rebadges and poor selling brands. I do not understand cutting the number of dealers. If your town does not have a Chevy dealer but has a Toyota, who will get the business most of the time?
#67 of 654
Re: a local one bites the dust [nortsr1] by nippononly
Dec 05, 2008 (7:55 am)
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Replying to: nortsr1 (Dec 05, 2008 6:42 am)

Yes, that's the other side of the whole equation, right? Sure dealerships are the front lines and you have to feel bad that they are suffering through no fault of their own, but since many if not most of the ones going out of business are domestic-branded dealerships, and since the domestics need such a drastic reduction in their dealer networks in the next few years (assuming the automakers make it at all), isn't it in some ways a small favor to the industry overall?
 
However, that doesn't change the fact that dealerships going out of business are another big contributor to unemployment, and to big outlays of benefit payments from the states.
 
Edit...gagrice: If your town does not have a Chevy dealer but has a Toyota, who will get the business most of the time?
 
I don't think there ARE any cases of that though. It's quite dramatically the other way around: a Chevy dealer (and a Ford dealer) in every small town, where you have to drive another 20-50 miles to find the nearest Toyota dealer.
#68 of 654
Story on NPR by larsb
Dec 05, 2008 (8:36 am)
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Heard a story on NPR this week that GM still has over 6000 dealerships, and that about 4800 would be ideal for the brand.
 
Only a bad economy can force a dealer to close - GM cannot.
 
It's in GMs best interest for about 1200 more dealerships to fold.

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