inventory

Dealerships challenged by short supply and low inventory

IRONTON, Ohio (WSAZ) – Times are changing in the automotive industry where the pandemic has led to some distinct challenges.

“I think the times of having 125 to 150 cars are going to be a thing of the past,” said Joe Rozell of Glockner in Ironton.

As General Sales Manager, Rozell says he would normally have more than 100 new cars on the lot. Currently, there are 11. He says the main problem with new cars is a global micro-processing chip shortage.

“Think about the technology that’s in that little phone that you’re using. There’s a lot more in that car that’s taking you and your family to the beach,” Rozell said.

The shortage has caused production of vehicles to slow down. So when Rozell sells one, it takes a little longer to get another one back on the lot. When it comes to used cars, Rozell says they are

Read More

Low car inventory, microchip crunch, flood-damaged lemons explained

COLUMBUS (WCMH) — Car shoppers are frustrated by new models held up in cargo ship delays off the California coast while second-hand scammers in the used-car market create nightmares for bargain hunters.

But the market is set to right itself soon, says Rick Ricart, president of Ricart Automotive who gave tips to NBC4 on what to look for in a used or new car — and avoid scammers.

Low inventory and delays for new cars

“Luckily, I think we’re finally on the uphill climb back to supplies normalizing at some point in the future.” Vehicles are stuck off the coast, says Ricart. “We are having a very difficult time getting some of our imported vehicles to the lot. We know that there were a lot of vehicles that were built in Korea, Japan, and the like that are on container ships,

Read More

Auto sales nosedive in Q3 as inventory dries, supply shortages worsen

U.S. car sales have dipped to levels not seen since the Great Recession as ongoing supply shortages hamper automotive production worldwide, strangling inventories while dealers attempt to salvage whatever revenue they can by increasing margins on the few vehicles they’re able to stock. 

Even a careful perusal of Q3 and September sales figures (Automotive News subscription required) reveals virtually no good news; even Toyota’s slight improvement is tenuous at best. While many raw materials and basic components have been in short supply since the pandemic crippled worldwide logistics, the primary culprit in the ongoing automotive production slowdown is computer chips. While some have been quick to point fingers at electric vehicles and other high-tech offerings, the shortage hasn’t really discriminated.

As of the end of September, the industry is still up more than 13% compared to a year ago, but there’s a catch: Sales through Q3 of 2020

Read More

Inventory Shortages Drive Car Shoppers to Neighboring States: Cars.com Reports 10% of Recent Buyers Traveled Across State Lines to Purchase a Car | News

– June 10, 2021

Car Supply Shortage Squeezes Sellers and Shoppers as Cars.com Finds Nearly 1 in 3 Recent Buyers Drove 100 Miles or More for the Car They Want1 

CHICAGO, June 10, 2021 — According to recent research from leading digital automotive marketplace and solutions provider Cars.comTM (NYSE: CARS), nearly 10% of recent car buyers drove out of state to purchase their desired vehicle, with more than half (52%) of those traveling 25 miles, nearly 20% traveling 50 miles and 13% of buyers traveling more than 250 miles to a dealership due to ongoing new- and used-car inventory shortages.

“With the current auto inventory challenges, recent car buyers are going to great lengths to find the car they want,” said Kelsey Mays, Cars.com assistant managing editor, news. “I don’t anticipate this trend slowing down, either. Of consumers currently in the market and shopping for a car,

Read More