Agent009
Agent009
"If everything seems under control, you're just not going fast enough."
View My AgentSpace

Print this Page | Digg It | del.icio.us

Excess Dealers Costing Big 3 Billions
For 25 years, John Santilli has been an ambassador for Detroit, selling domestic cars and trucks off Amvets Memorial Highway, just south of Boston.

Business is tougher than it used to be. But the New England dealer doesn't just blame Japanese rivals like Toyota and Honda. These days, he also grouses about his fellow Dodge dealers.

At least 10 competing Dodge stores are within a half-hour drive of his store in Brockton, and last year they fought over nearly 4,000 fewer customers than the year before.

"There's waaaay too many dealers," the Massachusetts car dealer said. "Way too many."

Read Article
Excess Dealers Costing Big 3 Billions



Comments:

Images hosted in your AgentSpace can now be posted in the comments section using the following syntax (case matters):
[img]IMAGE URL[/img]
Example: [img]http://agent004.myautospies.com/users/150/Sample-Gallery/sample1.JPG[/img]
PPowerPPower - 6/18/2007 10:42:13 AM
+1 BoostDrop the Boost Up the Boost
Funny how so many talk about dealerships ripping people off when that is not the case so much of the time. Rebates only happen because the dealerships are already lowering their prices as far as they can go, and they need room to move the price lower later in the year or to compete with other cars. The former is caused by competition within the brand, and the latter is competition outside the brand. In the end, I have never seen a person get hosed on the purchase of a new car. If all of those Boston dealers had fixed prices on the cars, they could compete on the actual customer experience and service. Then they could just worry with all of the outside competition instead of worrying about friendly fire. That will never happen, though.

reply to this comment
EnnNorakEnnNorak - 6/19/2007 10:52:46 AM
+2 BoostDrop the Boost Up the Boost
The whole auto retailing system sucks. Cars should be sold directly to the consumer over the Internet with the consumer specifying a "servicing dealer" who would be paid a small and fully disclosed commission. At the present, dealers are not making enough money and customers are made angry because of rip-off tactics and ignorant car salesmen who have no product knowledge.

reply to this comment
chuck717chuck717 - 6/19/2007 11:59:30 AM
+1 BoostDrop the Boost Up the Boost
Yes as a x car dealer i can tell you the profits are getting less and less and the sales people are taught nothing about how to sell, knowing their product,or the oppositions product. The sales managers want numbers at the end of the month, the sales staff see such a confusing paycheck with little money left for bell to bell days they walk out.
Professional dealerships like MBZ or Porsche to a lesser degree BMW where the dealer and consultants can make money are few and far between. The industry is overloaded with to many dealers, poor profit dealers, and a sales base of very poorly paid and trained staff, which only leads to poor CSI and lost sales.

reply to this comment
To post a comment for this story, you must first Login.

If you do not have an account, you will need to Register (It's Free!).

Most Recent Stories
Last Ditch Deal With Automakers May Get Approval- But Can They Be Trusted?GMAC Files For Banking Status In Effort To Access $700 Billion Bailout PackageVw Touareg V6 TDI priced at $42,800Saab 9-6x patent photosLA AUTO SHOW: The All New RX, The Bread And Butter Crossover/SUV Makes Its Grand Entrance Audi Sees Dual Clutch Transmissions Making Into 90% Of Lineup In Near FutureMitt Romney Makes An Open Call To Let Detroit Go Bankrupt LA AUTO SHOW: Infiniti's G37 Convertible Officially Hits The RoadCongress Takes The Detroit 3 To The Whipping Shed And They STILL Have No Clue Why!Jaguar XF coupe and convertible receive the greenlightLA AUTO SHOW: 2009 Bentley Azure TunveiledLA AUTO SHOW: 2009 BMW 750 Li gets iDrive powered owner’s manualLA AUTO SHOW: 2009 Nissan 370Z pricing announced2010 Nissan GT-R No Longer with Launch ControlLA AUTO SHOW: First Day Recap Highlights From The Show Floor-Some Sweet Stuff!LA 2008: Honda surprises with FC Sport fuel cell sports car conceptLA AUTO SHOW: Toyota's New CNG Powered Hybrid Camry Is A GasLA AUTO SHOW: Mazda 3 Compact Sedan Gets A Re-do And Will Be The Future Underpinnings For The Next Ford Focus. THANK GOD!LA AUTO SHOW: Nissan's Iconic 370z Gets Edgy With This Redo Audi's Q7 and A5 Both Take KBB Top Resale Value Honors How About The Full Scoop On BMW's New 7 Series Hybrid!German Company Offers GM $1.3 Billion To Buy Opel And Turn It GreenFord of Europe to remain profitable in 2009, says CEODetroit Three Beg For Money From Congress After Arriving In Corporate Jets2009 Porsche Cayman and Boxster facelift unveiled in Los AngelesJaguar Leads The Pack In Latest Sales Satisfaction Index 2010 Ford Mustang Live Reveal at Santa Monica Airport (Video)LA AUTO SHOW EXCLUSIVE STUD OR DUD? Did Infiniti One Up BMW's 3 Series Cabrio With The G37 Convertible?LA Auto Show Preview: Lamborghini Gallardo LP 560-4 Spyder2010 Nissan Cube Revealed: Coming to U.S. in spring 20092010 Mercury Milan & Mercury Milan Hybrid Launched in L.A.2010 Ford Fusion Facelift Breaks Cover2010 Toyota Prius US production in danger?Ford Fiesta Sedan makes debut, coming to U.S.2009 Toyota VenzaLA AUTO SHOW: Spies Add More Photos And A Close Up Look At The Next E-Class Coupe Interior And NavLA AUTO SHOW: Spies Get You Inside Show ONE DAY EARLY With EXCLUSIVE PHOTOS!!!LA AUTO SHOW: BMW Releases Mini E Electric VehicleChrysler Blames Financial Meltdown For Woes, But It Needs $22 Billion For Health Care And RetireesHyundai's Genesis Ranks In NADA Top 5 Luxury CarsBMWNA acknowledges N54 engine turbo lag issueChrysler Woes Bankrupt Getrag Dual Clutch Transmission PlantSOUND OFF: Has Detroit Just Become Another Dirty Word?Cutaway Shows The True Nuts And Bolts Of Acura's New NSXUAW Says It Will Rather Tax Payers Foot The Bill Than Accept Cuts To Keep Detroit AfloatRumor Mill: Are The Chinese Carmakers Quietly Planning To Buy GM and Chrysler?2009 Nissan GT-R Series II: New details leakedGM Delays Dealer Payments To Conserve CashNext-gen Audi S5 getting V6 engineLA AUTO SHOW: Pontiac Releases 2009.5 G6 Details