I’ve Been in the Car Business All My Life
I started selling cars right out of college in June of 1978. It’s easy for me remember because that was the month my wife and I got married. I started out selling cars. I was general manager of the dealership within 14 months and became part owner shortly thereafter and full owner in 1986. Why did I rise through the ranks so quickly? Not because I was related to the dealer. Management was bailing out of the store left and right because they weren’t making any money selling new cars because new cars weren’t selling. Just as it is now!
August New Car Sales Lowest in 28 Years
According to Bloomberg August new car sales were the lowest in 28 years. The country was nearing the end of the Jimmy Carter administration and suffered through four years of 20% plus prime rates, gas rationing and a terrible economy. While we don’t have outrageous interest rates or gas rationing we certainly have a terrible economy, in fact it is much worse that I remember the late seventies and early eighties were ever.
Used Cars Are Selling Better Than Ever
The thing that both of these economic downturns have in common is that used cars are selling better than ever. Witness the extremely high used car prices that we had then and have again now. The fact of the matter is that consumers are afraid to buy new cars because of the economy and concern over their job security and their own financial condition. I have always said in this business that new car buyers buy out of desire and emotion and used car buyers buy out of need and common sense. Why buy new and suffer that immediate depreciation when you can buy a nice used car for thousands less. Why pay the difference if you can’t see the difference.
EverStar® CPOV Program
It is for this reason that you really need to be in the used car business and we are the BEST way for you to get in the used car business. With our EverStar® certified pre-owned program every car that qualifies comes with a lifetime engine guarantee and lifetime safety features, we replace the wiper blades and brake pads for the life of the vehicle. This program increases a dealer’s service business as the customer needs to bring the vehicle back to the dealership every three months or 3000 miles, whichever comes first. The EverStar® car gives us a unique position in the market place because no one else can offer that!
If you are a new car dealer let’s face the facts there are very few brands where new vehicles sales and gross can cover the total expenses for the dealership in this economy. At AutoStar we are happy to dual with new car dealerships as long as the dealer meets our financial and facility compliance requirements. To find out if you qualify email me at ken@autostarsuperstore.com or call me at 877-265-5123. Do you have what it takes to be an AutoStar Superstore? It doesn’t cost anything to find out. Call now.
Ken Zangara
Chief Operations Officer
AutoStar National Dealer Network Inc.
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