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New Car Dealer Decline


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The nationwide new car dealer population fell over 21% between 2000 and 2012, plunging from 22,250 to fewer than 17,540 outlets. This shuttered more than 45,000 dealer bays and slashed dealer light vehicle service (DIFM) share. Much of the dealer decline occurred between 2007 and 2011 when more than 3,500 dealers disappeared. However, the dealer population slide now appears to be over and dealers, with a different prospective on the service market today than just a few years ago, will be a strong competitive force in the U.S. DIFM market moving forward.

***resource: Lang Marketing, Aftermarket Insight ****

 

I think this “thinning of the herd” may have produced a force to keep a watchfull eye on. The new car dealers that are left want a greater piece of the aftermarket pie. That means they are coming after our customers. I know we still are the preferred choice of the American motoring public, but we should not take our market share for granted.

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