Here at Need To Know Motors we are not normally doom merchants, but the latest issue of Cox Automotive’s AutoFocus report has us scurrying for cover. We are fearful for the entire dealership network because, quite simply, things are changing and they’re changing fast.
What we all know as the traditional dealership will soon be a thing of the past, at least for many franchises. As the Cox report says, the distribution and retailing of vehicles will change as much in the coming few years as it did over the last 50.
And we all know why: manufacturers love the control that the agency model gives them. Couple this with the rise of the EV and changing consumer trends, then there will certainly be various tectonic shifts that will affect us all.
Agency retailing is just an extension of the way manufacturers sell direct to fleets, so why wouldn’t they roll it out?
There is a lot to get your teeth into but for anyone serious about working in this industry it’s really worth investing some time in reading the Cox report here Quarterly insight for the auto sector – Q1 2022 – AutoFocus Issue 4: Q1 2022 (h5mag.com).