Margin compression is more than a buzzword. It's a reality. Profits in new cars are effectively gone for good. And they have been for some time. Profits with used cars are compressing, as well.
But beyond the phrase margin compression, what can dealers do about it? You can’t make up for the difference simply by selling more cars. Dealers must optimize their process, and fine tune their strategy.
In this video, I talk with three progressive dealers who are tackling margin compression through where and how they source used vehicles, their disposition strategy, and by focusing on faster turn.
The video stems from a more in depth conversation, the complete version which you can find on my blog and podcast.
Let's talk about it...
What are some ways you are combatting margin compression at your dealership?