Industry Analysis & Industry Trends
In the five years to 2014, revenue for the Used Car Dealers industry is expected to trend higher, albeit off a low recessionary base.When disposable income plummeted in the midst of the recession, industry revenue followed suit. In addition, consumers found it difficult to finance a vehicle with tighter credit standards, hampering demand. Nevertheless, disposable income rebounded in the latter part of the five-year period, along with looser credit standards, benefiting industry revenue. In the five years to 2019, rising disposable income levels and consumer confidence are anticipated to increase, increasing demand for big-ticket items such as used cars. However, interest rates are forecast to rise, deterring demand for vehicle purchases, threatening growth... purchase to read more
Industry Report - Industry Locations Chapter
The distribution of used car dealerships broadly follows population trends, though regions with particularly car-friendly cultures and infrastructure tend to be over-represented. This relationship is further complicated by population density patterns, which enable dealerships and salesmen in densely populated areas to serve customers more efficiently than rural dealers. Most dealerships are located in the Southeast (an estimated 32.5%) and the Great Lakes (about 15.0%) regions.
Texas is the state with the most used car dealerships, at 8.7% of the industry total. Texas represents about 8.0% of the US population. While Texas has several thriving population centers, particularly Dallas and Houston, the state is geographically huge... purchase to read more