Industry Analysis & Industry Trends
In the five years to 2015, revenue for the Used Car Dealers industry is expected to trend higher, albeit off a low recessionary base. Because the industry relies strongly on consumers to drive revenue growth, fluctuations in disposable income dictate the direction of the industry. In the coming years, rising disposable income levels are anticipated to increase the likelihood an individual purchases a big-ticket item, such as a used automobile... purchase to read more
Industry Report - Industry Key Buyers Chapter
The Used Car Dealers industry is highly fragmented, with nonemploying dealerships representing over 70.0% of establishments. In 2015, the top four operators are expected to account for less than 20.0% of industry revenue, with the largest used car dealer, CarMax, generating about 11.8% of revenue. Industry concentration has increased over the five years to 2015. Most of this growth has occurred at CarMax's dealerships, which have been gaining market share over smaller dealerships due to the company's unique approach to used car sales, emphasizing convenience and quality. Traditional used car dealerships differ significantly from this approach, preferring to maximize profit on each individual sale.
The industry is firmly in the mature phase of its life cycle... purchase to read more