Exactly my next question.
Maybe they need each dealer to sell more volume to have less mark-up so this will in effect help the makers be more competitive because the dealers can have less mark-up(lower sale price) with higher volume.
Example: Audi is STILL making profits and they only have one dealer in WNY.
Toyota only has a fraction of the dealers GM has but sells just as many cars.
:gotme:
If the market is flooded, and people aren’t buying as many cars, that means that with so much inventory, they are needing to constantly drop prices to compete with the other Chrysler dealers and sell them. Then, if they CAN’T sell all the models on the lot, Chrysler has to take them back and they never can make any money on them. Either that, or the dealership goes out of business.
Since there is only one Audi dealer in WNY, no customers can haggle by saying another dealer is cheaper. You either pay that price, don’t buy an Audi, or go out to a different region(which a lot of people just wouldn’t do).
It comes down to how many Chryslers you can sell in a given city/area. If they cut the supply, demand will be higher.
Here’s the three from WNY (from wgrz.com)
* Barry Dodge, Inc.
4579 S. Main St.
Brockport
* Marra Bros Motor Co.1211 E State St.
Olean
* Signature Nissan
254 Fluvanna Avenue
JamestownThey announced about a week ago (at least to the dealer network) that they were going to cut 25-30% of them.
yea, but the dealers didnt find out they were on the list until this morning… they got a UPS next day enveolope with a you loose letter inside
This is true but with the internet, people are willing to drive 50+ miles to get a better deal. Which would cause dealers who need to make more per deal to go out of business.
They might see savings in areas like transportation of inventory to less locations and less field sales staff.
I am surprised(pleasantly) that there are only 3.
Nissan?
What does it mean when they say,“Residencey rules apply” on commercials? Is it because we have Canada viewers or what?
:lol:
I didn’t think that made sense :banghead:
none in the Buffalo area, but a few in Rochester/Ithica area
Yeah, wondered about that too, but it’s this:
http://www.shultsauto.com/
Big auto group that sells pretty much everything. Guess they just have them listed as Nissan in some database at Chrysler somewhere.
I think it is more county fees and tax differences that would change the payment price quoted, but that is a guess.
Humm I wonder if they are giving out good deals… I mean I wouldn’t mind a new truck and/or SRT-8 lol. Maybe i’ll stop by one after work today.
Did I say they knew who was getting cut, or just that there were going to be cuts?
Oh, and it’s lose not loose.
That would be awsome lol:mpd:
^There was a dealer in Florida doing that last year with Dodge trucks.
Nooooooo… really?
GM’s closing 1100 dealerships by the end of the year from what I heard.
Maybe more than that, but the date is end of 2010
At the end of 2008, GM had 6,246 U.S. dealerships. GM said it would target 1,000 to 1,200 “underperforming” dealerships initially. Besides the 1,000 underperformers that GM will cut, another 500 dealerships will be cut loose when GM sells the Hummer, Saab and Saturn brands. GM also has 35 standalone Pontiac dealerships that will go away when it phases out Pontiac by year-end 2010.
GM expects to lose about 500 more dealerships through natural attrition this year.
And the ones from Rochester…
MARKETPLACE CHRY-PLYM INC - 66785 (C)
3755 WEST HENRIETTA RD
ROCHESTER, NY 14623-3787
PATRICK PONTIAC INC
DBA PATRICK JEEP - 23548 (J)
4700 W HENRIETTA RD
HENRIETTA, NY 14467-9357
WEBSTER CHRYSLER JEEP INC - 68251 (CJ)
2111 EMPIRE BOULEVARD
WEBSTER, NY 14580
And to think - the one from Webster had a suit going on about how they were discriminating against a minority owner last year… bet that one will go over well.