New Car Dealers Meet to Flush Out Industry Issues

by Don Elliott on February 2, 2012

Each year at about this time, members of the National Automobile Dealers Association (NADA) meet to discuss industry issues, new products, and trends in the automobile business. The National Automobile Dealers Association represents over 16,000 members including 90 percent of all new vehicle dealerships in the United States. Their businesses sell and service new and used vehicles, employing nearly 1 million people at 32,500 franchise locations. In 2012, the event will be held February 3-6 at the Las Vegas Convention Center.

High on the list of topics for discussion will be the role social media plays in the sale of new and used cars. More and more consumers are forming opinions about dealerships online. For that matter, many shoppers are actually closing car deals without ever going into the car dealership. Workshops will be held on techniques to keep dealerships well placed by the various websites available to online shoppers. Going hand-in-hand will be the role of online information providers in regard to dealership licensing restrictions. Can a dealer negotiate a deal online and remain in compliance with the consumer protection laws written for geographic and physical sale restrictions?

The Dodd-Frank Act, enacted on July 21, 2011, gives the state’s attorney general new power to oversee credit practices in certain types of retail sales transactions, specifically to high risk credit customers. Compliance with new regulation will be the subject of workshops for car dealership owners and managers as they sort through a long list of potential liability problems for their F&I departments.

The cost of fuel economy (miles per gallon standards) on the price of new cars is also a big issue. Congress is working to implement a 54.5 average mpg by 2025. It is estimated that the new standards will drive up the cost of a new vehicle by $3,100 to $3,600.

In the bigger picture, the economy has severely impacted new car dealers for the past several years. Car dealers are anxious to hear what to expect from car buyers. Will this election year be good or bad for the car business? Is consumer confidence trending up or down? Will car manufacturers build the cars that consumers want to buy? What brands will be the most successful in the eyes of the car shopper?

Movers and shakers on the new car side of the automobile industry have historically saved some big announcements for release at the National Automobile Dealers Association. Journalists and the trade press will be out in full force looking for the latest news. Stay tuned to the National Automobile Dealers Association Las Vegas 2012 event! There might be news that can help you find a great new or used car value.

 

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