|Slowly, dealer lots are filling up again|
This has been a top priority for all dealers for at least the last 18 months.
Regardless of brand, that’s the biggest barrier to sales.
This has prevented millions of consumers from buying new cars.
It’s the inventory, not the economy.
New car inventories are rising again and accelerating, thanks to undesired aid from high interest rates and low incentives that are now slowing sales rates. car news.
According to Cox Automotive and Automotive News Research & Date Center, new vehicle inventory topped 1.8 million units for the first time since May 2021, an opportunity for dealers who have spent much of the past two years looking for creative ways to keep customers waiting. gave Again, to satisfy at least part of their desire for immediate delivery.
Of course, there is nothing magical about 1.8 million units as a benchmark for new car inventory in the US. Especially when the industry had more than doubled its inventory well before the pandemic. What is noteworthy, however, is the pace at which inventories are rising again. Cox says the industry has added nearly 500,000 vehicles to its inventory since the end of September, putting him in or en route to more than 715,000 more vehicles than he did in a year. Before.
Historically low inventory levels have been uncomfortable, if profitable, for longtime dealers.It also allows dealers and brands to experiment in unprecedented ways to find the right level of vehicle inventory. The big question is whether this discipline will be maintained.
— Larry P. Berket