Inventories of used cars remain tight, but a decline in customer traffic in recent weeks has prompted some dealers to trim prices.
Auto dealer financing firm in Carmel gets fast start
A veteran of a specialty auto-industry sector called floor-plan financing has launched a lending company that promises independent car dealers funding wherever they buy vehicles.Read More
Car dealers hungry for inventory after factory shutdowns leave lots depleted
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Asbury Automotive furloughs 215 employees at local car dealerships
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CarMax plans second Indy-area superstore, near Greenwood
In order to move forward with the south-side project, the publicly traded used-car behemoth must receive a variance of use for auto retailing on the land.Read More
The used-car lot, ordinarily a haven of haggling and wheeling-and-dealing, is now a hotbed for wallet-busting transactions.
Consumers desperate for new vehicles often paid over the sticker price, pushing the average sales price in June above $40,000 for the first time, according to J.D. Power.
In the past year, used vehicle prices on average have climbed 30%, according to Black Book, which tracks car and truck data. That’s created many crazy situations where high-demand vehicles are selling for more than they did when they were new.
Napleton Automotive Group claims a former general manager in Carmel took confidential information when he left in February for the same role at Bob Rohrman Kia in Lafayette.
The demand is sending used-car costs soaring. The Manheim Index, which measures prices at wholesale auctions, shows that they’re 52% higher than they were a year ago.
Automakers sold more than 3.9 million vehicles during the first three months of the year, with several major companies reporting March sales that were nearly double from the same month a year earlier.
Indiana Attorney General Todd Rokita said the dealer sold cars online in a way that led consumers to believe the seller was a private owner. For its part, the dealer said it was a one-time occurrence.
The price of an average new vehicle jumped 6% between January and December 2020, to a record $40,578, according to data from Edmunds.com. Yet, that increase was nothing next to what happened in the used market.
Kinetic Advantage, which helps finance inventory for independent car dealers, launched last July, but has already grown to 65 employees and is operating in 26 markets.
Prices for used cars and trucks are up 10.3% in the past 12 months. The September increase in used vehicle prices was the largest monthly increase since February 1969.
KAR Global plans to expand upon the online automotive auction services it provides through TradeRev by acquiring BacklotCars’ longer-term online auctions, which allow dealers to bid on cars over the course of several days.
The company says sales are up after an earlier drop-off, and it hasn’t yet seen a spike in delinquencies or defaults among credit-challenged borrowers, who represent its core customers.
The Plainfield business is bucking the trend of local dealerships getting scooped up by large national conglomerates.
Pay reductions helped the auto auction giant partially offset the temporary closing of its physical auctions and other fallout from COVID-19.
Auto auction giant KAR Global’s bet on a phone app that facilitates dealer-to-dealer car sales has cost it a fortune over the past two years—so much so that KAR now is retooling its strategy for the fast-growing division.
Consumers bought an estimated 40.4 million used vehicles last year, likely passing the old record of 40.2 million set in 2018, according to figures from the Edmunds.com auto pricing site.
Cole and sister Monica Peck took over the business in 2008 from their parents, just as the Great Recession was gathering steam. They more than doubled their sales after the “Sisters of Savings” radio ad campaign began.
Asbury Automotive Group, the nation’s seventh-largest auto retailer, now has made four acquisitions in the Indianapolis area totaling more than a quarter-billion dollars since 2017. Butler is being rebranded as part of the purchase.