DETROIT, Jan. 15, 2018 – Cox Automotive released the findings of its Future of Digital Retail Study, with results showing that the current dealership model needs to change with consumer preferences, but that the dealership remains central to car buying. While most consumers prefer completing at least one step of the car buying process online, … Continued
Midsize cars remain popular in at least one place: the used-car auction. But even there, demand has begun to fade for the segment that dominated the industry for decades. Midsize cars were the only used-vehicle category in which wholesale prices fell in the second half of 2017 — down 0.7 percent. Unlike other segments, whose … Continued
DETROIT – Vehicle sales this year aren’t forecasted to match or exceed 2017’s, but expect to see consumers buying amenity-laden cars and trucks with higher sticker prices. So says Jonathan Smoke, chief economist for Cox Automotive, owner of automotive marketplace digital brands such as Autotrader, Kelley Blue Book and Dealer.com. “This will be the year … Continued
ATLANTA, Jan. 9, 2018 – Used vehicle value pricing continues to soften following last year’s active hurricane season. The Manheim Used Vehicle Value Index – a measure of wholesale prices adjusted for mix, mileage and season – came to a reading of 132.0 in December, which was a 5.6 percent increase from a year ago but the … Continued
U.S. used-vehicle sales will rise in 2018 on swelling off-lease returns, while new-vehicle volume will decline modestly, forecasters say. Because dealerships typically generate bigger margins selling used vehicles than new ones, U.S. franchised dealers will be better positioned for the change than the manufacturers and suppliers of new vehicles. The most challenging environment in 2018 … Continued
Joe Gumm sits down with Cox Automotive Chief Economist Jonathan Smoke to discuss the fourth-quarter 2017 Cox Automotive Dealer Sentiment Index. This is a new product from Cox Automotive, who issues the survey to a sample of franchises and independent auto dealers around the country, who express how they feel about the current retail auto … Continued
Big changes can be scary for an organization. And transitions like the movement into cloud-based computing can generate apprehension and uncertainty. Patty Smith, vice president and chief information security officer at Cox Automotive, understands those feelings. But she works to ensure that her coworkers are as effective and agile as the technology that she threads … Continued
Here are three troubling statistics about service departments at franchised dealerships: 1. These dealerships typically retain only about half of the customers who buy a new or used vehicle from them or visit their service department with no prior experience with the dealership. 2. The dealerships handle only 30 percent of service work performed each … Continued
Paul Whitworth rebuts a suggestion that car dealers are limited in choosing ways they can stand out in the auto-retailing marketplace. The short-list argument is a dealership may distinguish itself by focusing on, say, big inventory, low prices, top service or deep community roots. But the bill of fare to pick from isn’t much longer … Continued
Dealers are still feeling relatively optimistic about their used-car operations. And for independents, in particular, they’re starting to see some relief from supply shortages — albeit in the form of pricier units. As part of the fourth quarter Cox Automotive Dealer Sentiment Index, franchised and independent dealers were asked for their thoughts on the current used-car … Continued