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Car dealership

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Typical car dealership (in this case a Jeep dealer) selling used cars outside, new cars in the showroom, as well as a vehicle entrance to the parts and service area in the back of the building.
Service and repair entrance
Auto dealer's service and repair facility

A car dealership or vehicle local distribution is a business that sells new or used cars at the retail level, based on a dealership contract with an automaker or its sales subsidiary. It employs automobile salespeople to sell their automotive vehicles. It may also provide maintenance services for cars, and employ automotive technicians to stock and sell spare automobile parts and process warranty claims. In 2013, the U.S. new car dealers market was close to $715 billion and the used car dealers industry almost $89 billion.[1]

Modern car dealerships

Car dealerships were traditionally large lots located out of town or on the edge of town centres and which relied on the skills of sales staff to sell vehicles. However, that model has begun to change and a number of automotive manufacturers have shifted the focus of their franchised retailers on to branding and technology. BMW has moved to create a standard look for its dealerships around the world and to introduce ‘product geniuses’ to liaise with customers. [2][3] Audi has experimented with a hi-tech showroom that allows customers to configure and experience cars on 1:1 scale digital screens.[4][5] Mercedes-Benz has opened city centre brand stores to showcase its vehicles and its craftsmanship. [6] Tesla Motors has opened city centre galleries where prospective customers can view cars that can only be ordered online.[7][8]

Multibrand car dealers

Multibrand and multimaker car dealers sell cars from different and independent carmakers. [9][10] Some are specialized in electric vehicles.[11]

Auto transport

Auto transport is used to move vehicles from the factory to the dealerships. This includes international and domestic shipping. It was largely a commercial activity conducted by manufacturers, dealers, and brokers. Internet use has encouraged this niche service to expand and reach the general consumer marketplace.

See also

Organizations

References

  1. ^ "New Car Dealers Report". Pell Research. Retrieved 2 April 2015.
  2. ^ New BMW stores to be big, open, beige
  3. ^ Geniuses smart move for dealers, BMW says
  4. ^ http://www.ft.com/cms/s/0/d13c6b1e-6e51-11e3-ac2a-00144feabdc0.html#axzz2xu0PgTZi
  5. ^ The Future of Car Retailing - Forbes
  6. ^ [1] Archived 2014-01-08 at the Wayback Machine
  7. ^ Tesla sets up shop in Dallas - minus test-drives and sales
  8. ^ Tesla: we're not car dealerships | Marketplace.org
  9. ^ Das Automobile-A Multibrand Car Showroom
  10. ^ http://ec.europa.eu/competition/publications/cpn/2006_2_33.pdf
  11. ^ First EVEN EV store opens
  • Genat, Robert (2004). The American Car Dealership. Motorbooks International. ISBN 9780760319345.
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