Did your gross profit margin double in June?
I was talking with one of my Chevrolet dealer clients the other day.
He’s been in the industry for 40 years.
He said it’s a very interesting time because
His gross profit margin doubled from
$2,000 to $4,200 in June.
People just want to get the car
They’re not caring so much about the prices.
He said it’s the same at the other Ford store across the street,
their gross profit margin is much higher
Even though they are selling less volumes
And have less people.
And everyone is happy because salespeople are making more money
Because there are less leads to split.
He usually has 250 units in the inventory
And last month he sold 90 units.
This month he narrowed it down to 200 and
He’s looking forward to seeing where that takes us.
Are you experiencing this at your dealership?
Why or why not?
I’d LOVE to hear your thoughts on this.