2013: Auto Sales January to June Top 7.8 Million

ID-100120997Sales numbers are in for the first half of 2013, and car dealerships are ready to celebrate.

From January through June 2013, auto sales were at pre-recession levels with over 7.8 million sold in the United States, and industry insiders are predicting that the last half of 2013 will only get better. According to the Poughkeepsie Journal, loosening credit restrictions and lower interest rates will likely boost sales numbers even higher as the year goes on.

What are all these car shoppers buying? Well, the answer isn’t simple. Truck sales have skyrocketed this year, but subcompacts have done very well amongst the younger crowd. Certain minivans and family-style SUVs like the Honda Odyssey and Toyota RAV4 also sold well with 26 percent and 36 percent sales jumps respectively. Dealerships will need to maintain a varied inventory, and if they are targeting subprime credit clientele, they will need to give special attention to their used inventory.

Are you looking to move more inventory, increase profits for service and parts, and bring in more foot traffic to your dealership? Special Finance Group’s Complete Special Finance Solution can give you all that and more. Go to http:///www.specialfinancegroup.com to learn more, and connect with Special Finance Group online through Facebook, Twitter, and LinkedIn!

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Subprime Lending: Don’t Call It a Comeback

ID-10091456Yesterday, Automotive News published one of the most obvious statements I have seen in quite some time. “Deep subprime lending is finally in recovery mode.”

With all due respect, has Automotive News been living under a rock?

As special finance departments across the country can see first-hand, subprime auto lending has been back for a long time. Way back in March, TransUnion and Experian reported that one in three auto loans were for consumers with subprime credit, and even with all these subprime auto loans, delinquencies 60 days or more had gone down. The industry dipped its toe in subprime credit last year. The “recovery mode” is long gone, and subprime lending is back.

As subprime lending conditions have improved, though, some dealerships haven’t had the proper tools or training to fully take advantage of this opportunity. This is the perfect time to bring in new customers who otherwise might not have walked through the door and also move inventory, particularly used inventory. There are common problems such as ineffective sales tactics and lack of knowledge regarding consumer protection laws.

This is where Special Finance Group comes in. We provide a Complete Special Finance Solution that will give your dealership exactly what it needs to be successful, from a fully-staffed business development center to lead tracking and an in-house marketing team. To learn more about the Complete Special Finance Solution, click here.

Want to learn more about Special Finance Group? Go to http://www.specialfinancegroup.com, and connect with us on Facebook, Twitter, and LinkedIn.

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New Colorado Law Protects, Clarifies Dealership Rights

Last Wednesday, Senate Bill 265, which clarifies and re-enforces current auto dealership protections, was signed into law in Colorado.

According to F&I Magazine, the new law will update dealership protections passed in 2009, 2010, and 2011. These protections included limiting manufacturer-mandated renovations as well as giving dealerships the right of first refusal in the case of a manufacturer filing bankruptcy, closing a location, and then opening a new franchise in the area.

The biggest problem that dealerships ran into when reinforcing the new protections was manufacturers claiming that the laws didn’t apply to franchise agreements signed before the law was passed. Dealerships that ran into this problem often didn’t want to cause more trouble with the manufacturer, so they didn’t speak up. Fortunately, a few spoke up including Don Hicks, CEO of Shortline Auto Group, and they prompted the bill’s introduction.

One of the bill’s sponsors Colo. Sen. David Balmer praised Governor Hicklenlooper for signing it into law, stating, “Now Colorado will lead the country in protecting the free-enterprise rights of auto dealers and their car-buying customers.”

Want to learn more about how Special Finance Group can work for your dealership? Go to http://www.specialfinancegroup.com today to learn more about the Complete Special Finance Solution, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn!

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May Auto Sales Make Up for April Slump

In retrospect, April was a bit of a disappointing month overall for auto sales, especially compared to the rest of 2013 and late 2012. As the numbers come in from May, however, it is clear that this is going to mark a strong start to the summer.

Among the month’s winners were General Motors, who reported the best monthly sales since September 2008, as well as Nissan with its best May sales ever. According to early reports, Chrysler, Ford, and Toyota also had increased sales in May, but as of publication, those numbers are not finalized yet.

Going into the summer months, pickup sales are expected to continue rising. People are buying them for both business and pleasure, from home construction to camping and off-road recreation. The F-Series, Ram, and Chevy Silverado have all sold very well so far and are expected to see a healthy spike when May’s sales numbers are finalized.

With May over, summer is officially here. Are you ready to move more inventory and boost foot traffic in your dealership? Special Finance Group is ready to assist you with their Complete Special Finance Solution. To learn more about what Special Finance Group can do for you, go to http://www.specialfinancegroup.com, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn.

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New York Tops Big Cities for Used Car Sales

There was good news for New York City’s used car dealerships this week as the city topped nearly every used car sales category in units sold last year.

According to CNW Research, New York City’s independent dealerships sold 1,251,894 units in 2012, beating out Los Angeles and San Francisco, and also beat out all other cities for private party sales and total used car sales overall. New York was beaten out by Los Angeles for used car sales by franchised dealerships, but in that category, they still sold an impressive 744,795 units.

The top 5 cities in each category are listed below.

Units Sold by Independent Dealerships

1.       New York – 1,251,894 units

2.       Los Angeles – 848,787 units

3.       San Francisco-Oakland-San Jose, Calif. – 479,666 units

4.       Chicago – 434,225 units

5.       Philadelphia – 391,653 units

Units Sold by Franchised Dealerships

1.       Los Angeles – 1,025,646 units

2.       New York – 744,795 units

3.       San Francisco-Oakland-San Jose, Calif. – 614,377 units

4.       Chicago – 540,306 units

5.       Philadelphia – 480,341 units

Units Sold by Private Party

1.       New York – 609,736 units

2.       Los Angeles – 567,596 units

3.       Chicago – 489,556 units

4.       Seattle-Tacoma, Wash. – 359,677 units

5.       Dallas-Fort Worth, Texas – 355,116 units

Total Used Sales by City

1.       New York – 2,606,426 units

2.       Los Angeles – 2,442,030 units

3.       Chicago – 1,464,088 units

4.       San Francisco-Oakland-San Jose, Calif. – 1,437,173 units

5.       Dallas-Fort Worth, Texas – 1,074,076 units

If you are looking to move more inventory and boost foot traffic in your dealership, Special Finance Group is ready to assist you with their Complete Special Finance Solution. To learn more about what Special Finance Group can do for you, go to http://www.specialfinancegroup.com, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn.

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Privacy Policy and Consumer Laws: Is Your Dealership At Risk?

The privacy of personal information is a great concern for American consumers in today’s computer age. In a rush to seem up to date on the latest technological safeguards, however, many car dealerships are making false promises and violating consumer laws.

Nearly every car dealership’s privacy policy agreement includes a line about “physical and electronic safeguards” put in place to protect customer information. These privacy policies might look good and put a customer’s mind at ease, but most of these dealerships have no idea what they have in place to safeguard customer information, if they even put anything in place at all.

Consumer protection groups and government organizations are starting to crack down on dealership privacy policies. If dealerships claim that they have safeguards but don’t actually have a system in place, they can be charged for deceptive trade practices and forced to pay settlements. Besides the cost of the settlements, dealerships will also lose business. Car shoppers will be less trusting, especially when it comes to sharing their personal information.

What can your dealership do to avoid these problems? We recommend sitting down and reviewing your dealership’s privacy policy. Is it an accurate reflection of what is currently in place? If someone asked you to specifically outline your system’s safeguards, could you and your staff answer the question? If the answer is no, then the first priority is deciding on reasonable safeguards and implementing them as well as updating the privacy policy if necessary.

Special Finance Group wants to give your dealership’s special finance department the tools it needs to succeed and exceed your expectations. To learn more about Special Finance Group’s Complete Special Finance Solution, go to http://www.specialfinancegroup.com, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn!

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Auto Sales: April’s Big Winners

Now that April is done and the sales numbers are finalized, the auto industry is seeing that April might not have been as strong as March, but some automakers finished up April feeling very happy indeed.

Among the best performers in April were Nissan with 80,003 units, Ram with 32,124 units, and Ford with 204,969 units sold. Compared to 2012, they had volume increases of 24.62 percent, 49.38 percent, and 17.77 percent respectively.

Nissan NA was the highest performing automaker overall, however, with a 23.16 percent increase over April 2012. They also saw an 18.23 percent daily sales rate increase. Chrysler Group had Ram’s strong sales in their favor, but it was brought down by Chrysler’s disappointing numbers, only bringing in 27,836 compared to 31,879 in April 2012.

Going into May, dealerships will be enjoying some of the best weather they will have all year. Americans will be thinking about getting out of town, going to the beach, or hitting the road for summer vacation, and if they don’t have a road-ready car, they will need to get one soon. Plus, consumers are still figuring out how to spend their tax refund. With the right marketing push, dealerships could make a lot of money in May.

If you are looking to move more inventory and boost foot traffic in your dealership, Special Finance Group is ready to assist you with their Complete Special Finance Solution. To learn more about what Special Finance Group can do for you, go to http://www.specialfinancegroup.com, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn.

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Special Finance Education: Funding a Deal

Properly funding deals is the most important part of a successful special finance department, and yet in a rush, it is often the most neglected part of the process. In a hurry to get the deal submitted, someone might miss a stip, something minor like a utility bill or their last pay stub. Missing these stips or any part of the deal, however, can lead to problems down the road.

On Special Finance Insider, they give an example of a problem that happens too often. The customer comes in on Tuesday, and the deal is shipped overnight, arriving on Thursday morning. The bank or finance company reviews it, and something is wrong with the stips. Tuesday’s work is out the window, and you might not know it until early next week unless the finance company gets to it right away.

Not every deal will have every single stip included when it is submitted. Sometimes a pay stub or a utility bill will get sent a day later, and many of those deals will go through with no problem. Still, no one ever succeeded in life or business by shooting for mediocrity. Always strive for better and try to submit better deals with every stip included. You will see a difference in turn-around time from the finance companies and spend more time closing new deals rather than trying to fix deals you already did.

If you are looking to move more inventory and boost foot traffic in your dealership, Special Finance Group is ready to assist you with their Complete Special Finance Solution. To learn more about what Special Finance Group can do for you, go to http://www.specialfinancegroup.com, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn.

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Better Special Finance Accepts No Excuses

“A bird in the hand is worth two in the bush.” “There’s no such thing as a free lunch.” “If you can’t stand the heat, get out of the kitchen.” Great advice can stand the test of time, and when it comes to special finance, one of the most lasting and helpful pieces of advice anyone can give is, “Don’t accept excuses.”

Today, I was re-reading some of the excellent articles over at Special Finance Insider’s website, and I came across Brett Boatright’s tough-love article “Who’s Selling Who?” He walks through the typical excuses that salespeople, sales managers, finance managers, and used car buyers doll out when they fail to deliver on funding deals. The leads are the problem, the banks are the problem, the inventory is the problem…and so on and so forth.

The truth is that these are excuses, and there are steps that every special finance department can take to improve from the sales people to the finance managers. Most of the problems stem from not following through with leads, failing to be diligent with paperwork, and not knowing banks and finance companies’ programs inside and out. Every employee should take a moment periodically to take inventory of their day, how their time is spent, and how they can improve on their work. If they aren’t up to date on bank and finance programs, they need to schedule the time to learn it. Taking these simple steps can already put your special finance department back on the right track.

Special Finance Group wants to give your special finance department the tools it needs to succeed and exceed your expectations. To learn more about Special Finance Group’s Complete Special Finance Solution, go to http://www.specialfinancegroup.com, and connect with Special Finance Group on Facebook, Twitter, and LinkedIn!

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Automakers Break Records with March 2013 Sales

After 2012′s record-breaking sales, it seemed like the auto industry would eventually hit its peak and plateau. Now that March is over, though, it hasn’t happened yet. For nearly every automaker, March 2013 sales were significantly higher than one year ago.

Cadillac saw the highest increase in volume of sales with a 49 percent increase compared to March 2012, but Ram and Dodge also did extremely well with 24 percent and 15 percent increases respectively. Ford was the top seller overall with 229,335 units, though it was on the lower end of sales increases with a 6.86 percent increase.

Going into April, dealerships across the country need to dive in and realize that they could see some of their best numbers in years this spring. Now that auto loans are more accessible than ever, even to consumers with poor credit, dealerships simply need to focus on getting car shoppers in the door. Americans are ready to buy, and with the right promotion and customer outreach, they are almost guaranteed to do well.

Are you looking to move more inventory, increase profits for service and parts, and bring in more foot traffic to your dealership? Special Finance Group’s Complete Special Finance Solution can give you all that and more. Go to http:///www.specialfinancegroup.com to learn more, and connect with Special Finance Group online through Facebook, Twitter, and LinkedIn!

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