I've heard the same sort of issues are affecting larger city dealers too that are more family owned. Some are starting to close or being sold to franchises who can take on the risk better.
I'd love to see what all these older dealers have stashed away especially the old manuals and paper work.
We have a huge conglomerate locally named Woodhouse that has been quietly buying up all the smaller privately owned dealerships they can. Can you say price fixing and monopoly?
Ive met Woodhouse himself and worked for a group that owned 60 stores, ours ran off volume, the profits were shown and they were minimal ( $300 per car ). They'd buy a new store and the profits would be WAY high ($1500) but they'd drop after the "culture" set in. Keep in mind, a store that flogs away X amount of cars gets bonus checks from the manufacture, in the 6 figure range - thats how they make money. If you want a deal - you go find the big corporate volume store, and you avoid the mom and pop shop. If I got into the game it wouldnt be cars/trucks, I'd open an RV dealership...40-50% profit on that stuff. Slower pace, rent storage, pick and choose what you carry as the market sloshes around, diesel pushers or tent trailers
