169
Car dealers say they can’t sell EVs, tell Biden to slow their rollout
(arstechnica.com)
you are viewing a single comment's thread
view the rest of the comments
view the rest of the comments
this post was submitted on 29 Nov 2023
169 points (92.9% liked)
Technology
58437 readers
4646 users here now
This is a most excellent place for technology news and articles.
Our Rules
- Follow the lemmy.world rules.
- Only tech related content.
- Be excellent to each another!
- Mod approved content bots can post up to 10 articles per day.
- Threads asking for personal tech support may be deleted.
- Politics threads may be removed.
- No memes allowed as posts, OK to post as comments.
- Only approved bots from the list below, to ask if your bot can be added please contact us.
- Check for duplicates before posting, duplicates may be removed
Approved Bots
founded 1 year ago
MODERATORS
It is not in a dealers best interest to sell vehicles that require less costly services for the life of the car which is a big ongoing revenue for many dealerships.
This is the exact reason everyone across the globe exclusively use horses for transportation. Replacing them with these horseless carriages would destroy the shoeing business, where would we put all of the feed?.... What is Biden thinking?!
Exactly, I don't want a car, I just want a faster horse!
Sales people do not have that long a perspective. The article does talk about 100-200% turnover every year, which is again horrible practices coming back to bite them, but the sales person is only interested in immediate commission and bonus
Purged by creator
In Australia, Deloitte’s shared this breakdown.
“On average, barely 5 per cent of a dealer's profit comes from new car sales. The majority (about 50 per cent) comes from parts and service, while the remainder comes from finance and insurance (30 per cent) and the balance is from used cars (15 per cent).”
In the US it appears to be very similar.
“So where does the majority of a dealership's profit come from? It's not from car sales, at least not directly. It's from the service and parts department, which accounts for the other 49.6% of the dealership's gross profits, according to NADA.”
https://www.edmunds.com/car-buying/where-does-the-car-dealer-make-money.html