What do new car dealerships do with vehicles that are new but haven’t sold come the new year releases?
Like this year for example, the 2009’s are out of course, and there are TONS of 2008’s still on the new dealership lots. What do they do with these?
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February 8th, 2011 at 10:09 am
Discount them, give them special financing, etc.
February 8th, 2011 at 10:32 am
Sometimes they discount them just to move them and so they don’t have to pay taxes on them. They also wholesale them to auctions where small town dealers or rental companies and businesses buy them.
February 8th, 2011 at 11:31 am
Hi there
Dont know where you live, howver, i pass over the flyover on the M5 at Avonmouth everyday.
Next to the flyover is a massive stock yard which contains thousands upon thousands of brand new cars vans and trucks which have been imported and are waiting to be despatched to the dealers.
Over the past few months, this yard has grown and grown and grown, there are now cars as ar as the eye can see.
I do believe some of them have been there for well over a year and probably longer.
So answer me this, when a customer goes to a dealers and buys a brand new car, is it really a brand new car, or is it one of those that have been sat in the weather for the last year or two?
February 8th, 2011 at 11:42 am
The dealer gets incentives from the factory to sell them. Until it is sold the dealer is stuck with it.
February 8th, 2011 at 12:08 pm
many of them are picked up ands sold to rental car companies , as well as sold to cities, states to use as official vehicles.
February 8th, 2011 at 12:42 pm
They discount ’em.
February 8th, 2011 at 12:58 pm
It’s funny you asked. I myself years ago had just started a new job as a New Car Dealership Service department service adviser. At one of the first “Staff Meetings” which required “All Hands” (All department heads,etc) I asked the General Sales manager the same question. well after he recovered from the initial shock (The reason, I believe I asked was the Lot outside the shop was FULL of new unsold vehicles and It was If I remember correctly September) almost the next model year introduction. I was told this ” We Sell them” I was told this over and over by the manager. It was called the Power of positive thinking, I believe. And Guess what? I think that somehow all the vehicles had been sold by the end of September. Seriously though, they sell them to retail customers at an amazing discount & also swap them between other dealerships on a country wide dealership PC Network.