LotLinx Weekly News Vol. 243: Wrapping the inventory shortage up in a bow?

FROM AUTOMOTIVE NEWS: Incentives not likely to break 5% until 2024

For years, incentive spending would make up between 8% and 10% of a new vehicle’s sticker price. Now, incentive spending has dipped to only 2.3%. Consumer incentives are hardly expected to rise as long as inventory supplies remain low.

Read More

FROM CNBC: Ford CEO says 65% of U.S. dealers agree to sell EVs under company’s investment programs

Nearly 2,000 of the OEM’s dealers have agreed to invest in and sell the company’s electric vehicles, with 80% committing to a $1.2 million investment. Dealers who did not opt in will have another opportunity in five years.

Read More

FROM AUTO REMARKETING: While many plan to buy new, some positive pre-owned signs for car dealers

According to an end-of-year survey, around 21% of purchase-ready shoppers are planning to buy a used vehicle before the new year. And if the price is right, around 36% of new vehicle shoppers could be swayed to purchase a used vehicle instead.

Read More

FROM BUSINESS INSIDER: The chip shortage could be just about done pummeling the auto industry, experts say — so cars may get a whole lot cheaper in 2023

Forecasters predict this year’s manufacturing output will be 1.5 million units below expectations, an improvement from last year’s 3.23 million unit loss. This increase in production could signal an improvement in the supply chain and an increase in inventory offerings.

Read More

Enjoyed this roundup? Subscribe to LotLinx News for weekly automotive industry-updates direct to your inbox.

Want more top headlines? Catch up on past editions of LotLinx News.

Take your dealership to the next level.

It’s your dealership. Control it with Lotlinx.

Request Demo