2016 will be the first year ‘hangover’ from the pent up demand that drove 2014 and 2015. As a result, it is doubtful that auto sales will surpass 2014 or 2015 in volume. There are no factors in place such as a robust economy to boost sales, because the economy is anything but robust.
My prediction is that used vehicles will match or slightly exceed 2015 levels, but new car sales will lag.
If you are a dealer who is also a ‘knucklehead’, you’ll only look at your volume to assess your success. If you are not a ‘knucklehead’, you will pay close attention to your overall monthly market share based on actual registrations in your area. You can’t get blood from a stone, but you may be able to accumulate more stones than the other dealers in your area.
I’ve only spoken about this a hundred times, but it remains true: There are only so many cars that are going to be sold in any particular month based on the demand of the market. When the market tanks, your job is to tank less! Market share is the only accurate measurement from which to make that assessment.
Call me if you need help (205) 967-9405. I can put a market share study together for you – time permitting.
