Average Lexus dealer sells 1110 vehicles per year
12-15-20, 04:51 PM
#16
Lexus Fanatic
Totally correct, but sales volume drives service volume.
12-16-20, 08:41 AM
#17
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As a 34 year-old, the name alone (Buick) makes me not want one. They could take the same vehicles and call them something else (not Saturn, Geo, or Oldsmobile please) and I think that they would be more appealing. ...That being said, I'm really interested in the new Cadillac sedans. Something that I would have NEVER said 5 years ago.
12-16-20, 08:53 AM
#18
Lexus Fanatic
Plenty of 34-year-olds , however, disagree with you on the Buick nameplate.......they were, and are, buying Encores.
Personally, I liked Buicks as a teen-ager, and still do today, a half-century later, though I admit I did not drive them for several decades while the quality-level was down.
That being said, I'm really interested in the new Cadillac sedans. Something that I would have NEVER said 5 years ago.
Cadillac did the right thing in not dumping them, although some of those sedans simply ride too firmly for the Cadillac nameplate....they need to be softened up a little.
12-16-20, 07:01 PM
#19
Pole Position
As a 34 year-old, the name alone (Buick) makes me not want one. They could take the same vehicles and call them something else (not Saturn, Geo, or Oldsmobile please) and I think that they would be more appealing. ...That being said, I'm really interested in the new Cadillac sedans. Something that I would have NEVER said 5 years ago.
How about Opel? Until a couple of years ago, the majority of American-market Buicks were Opel-derived to start with.
Plenty of 34-year-olds , however, disagree with you on the Buick nameplate.......they were, and are, buying Encores. Personally, I liked Buicks as a teen-ager, and still do today, a half-century later, though I admit I did not drive them for several decades while the quality-level was down.
Be my guest. Cadillac did the right thing in not dumping them, although some of those sedans simply ride too firmly for the Cadillac nameplate....they need to be softened up a little.
Plenty of 34-year-olds , however, disagree with you on the Buick nameplate.......they were, and are, buying Encores.
Personally, I liked Buicks as a teen-ager, and still do today, a half-century later, though I admit I did not drive them for several decades while the quality-level was down.Be my guest.
Cadillac did the right thing in not dumping them, although some of those sedans simply ride too firmly for the Cadillac nameplate....they need to be softened up a little.
12-17-20, 03:40 PM
#21
Just a reminder that new car sales are very low margin and make up a minuscule portion of any dealership's overall profit.
Dealerships make far more profit off service (including parts). Obviously, if Lexus has fewer dealers than other marques/makers then that will also tremendously help per-dealer profitability, but this also has to be balanced with customer convenience (e.g., customers might pick an independent mechanic, or even a different marque/maker altogether, if there are no convenient dealers for service).
I noticed the article only mentioned new car sales. Used cars have much higher margins than new cars, which also explains why Lexus dealers are always bugging me about trade-ins.
Dealerships make far more profit off service (including parts). Obviously, if Lexus has fewer dealers than other marques/makers then that will also tremendously help per-dealer profitability, but this also has to be balanced with customer convenience (e.g., customers might pick an independent mechanic, or even a different marque/maker altogether, if there are no convenient dealers for service).
I noticed the article only mentioned new car sales. Used cars have much higher margins than new cars, which also explains why Lexus dealers are always bugging me about trade-ins.
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