Resources

Across the country, most dealers have seen their used vehicle gross profits decline this year to essentially land where they were in 2019, before the pandemic. Back then, the front-end gross profit average for public dealer groups was about $1,430. Today, the front-end gross profit average for public dealer groups through the third quarter runs […]

An age-old and elusive question in the used car business is, “what’s the right money for a car?” I would submit that, in most dealerships and used vehicle departments, no one has a good answer. When I ask the question of a dealer or used vehicle manager, the answer I get most often is, “it […]

My heartfelt and sincere thanks for the outpouring of love and support following yesterday’s announcement that I’ll be leaving Cox Automotive at the end of 2025. My wife, Nancy, captured the feeling I felt through the day: “It’s like you get to hear all the wonderful things people say and think about you, even though […]

It’s encouraging to see some OEMs reduce MSRPs on incoming 2025 models to help address one of our industry’s top challenges—with an average transaction price for a new vehicle north of $47,000, it’s difficult for a large swath of would-be buyers to afford a new vehicle. But analysts and observers don’t think the MSRP reductions […]

On our way home from dinner the other night in Austin, TX, my son, Samson, and I did a double take as we stopped at a red light along Cesar Chavez Street. A car pulled up alongside us that made us both wonder: Are flying cars next? The odd vehicle sighting, which I’ll explain more […]

As I talk to dealers week after week about their aged and distressed inventory, it doesn’t take long to uncover a distinct pattern: Someone is pretending the vehicle deserves a shot to make gross despite all signs suggesting otherwise. I see the pattern in the inventories of ProfitTime GPS dealers, where the system recommends a […]

If you haven’t read former dealer Todd Caputo’s post on how the confluence of Hurricane Helene, the longshoreman strike (which, thankfully has been tentatively resolved), the escalating conflict in the Middle East and the upcoming presidential election may affect the car business, I’d encourage you to do so. Caputo offers a thoughtful, prescriptive take on […]

Since the dawn of the used car business, it’s been true that dealers make their money when they buy a car. This enduring truth was the first bit of advice my Dad passed onto me when I took over the used vehicle department at our Cadillac store outside Chicago. “It’s the money, honey,” he told […]