<use this float to cut their margins to the bone and still make money. >
I know exactly what you mean,
The best/most successful dealer that I was acquainted with was an absolute animal on moving iron. For some reason, 3 months sticks in my head as the "float" that he had on interest payments and so forth so if that car was not out the door in less than 3 months someone was going to hear about it.
This gentleman became very wealthy.
My problem with the megaships is a question of personal service. Over a period longer than 20 years I could do pretty much whatever I liked, was taken care of well, and in return I purchased over 40 cars, usually 2 a year. Most of the time I had 4 cars, even now I have 3.
One, I don't think the Mega-Dealer will be able to give me the kind of personal touch I had. Second, GM has decided (around here, anyway) to create these Mega stores on well traveled highways so it's inconvenient for service.
I'm sure they will do very well with the concept, however. |
