Optimism in the Auto Industry

ESA & Company | Real Auto Answers WebinarSOUNDBYTES FROM THE AUTOMOTIVE INDUSTRY
REAL AUTO ANSWERS WEBINAR | ESA & COMPANY
The following article is one of a series highlighting the insights from ESA’s Real Auto Answers webinar. The webinar’s panel included Steve Finlay of Ward’s Dealer Business, Adam Armbruster of ESA, and four principals from successful auto dealerships.

Over the past 18+ months, we’ve seen the auto industry move from a mode of panic and survival, to talking about recovery and profitability. Though the industry is not out of the woods yet — with unemployment still hovering at high levels and an extremely volatile housing market — there is reason for optimism.

As Steve Finlay of Ward’s Dealer Business shared in ESA’s Real Auto Answers webinar, domestic auto dealers all posted positive numbers for April. Also, the industry’s continued focus on streamlining has made the prospect of profitability very realistic, and much closer at hand than originally forecast.

ESA & Company | Real Auto Answers WebinarREASONS FOR OPTIMISM IN THE AUTO INDUSTRY
Listen to Steve Finlay, Ward’s Dealer Business
ESA’s Real Auto Answers | May 14, 2010 | MP3 File (2.5mb)

Regardless of where the current projections are set — Finlay pegs those projections for 2010 in the 11.5-12.5 million unit range, a far cry from the 16-17 million units sold a few years ago — the industry’s profitability will be bolstered by leaner operations and special attention by automakers to align capacity with market demand.

ESA & Company | Real Auto Answers WebinarA NEW APPROACH IN THE AUTO INDUSTRY
Listen to Steve Finlay, Ward’s Dealer Business
ESA’s Real Auto Answers | May 14, 2010 | MP3 File (1.8mb)

However, the industry can’t hit full stride toward recovery until several lingering questions are answered, especially at the dealership level. Auto dealers who recognize the need to connect with car shoppers better today than they have in the past will profit the most. As Adam Armbruster explains, the auto dealer who uncovers these areas of opportunity and extreme efficiencies in their advertising will run fastest toward higher growth and profitability.

ESA & Company | Real Auto Answers WebinarAUTOMOTIVE BY THE NUMBERS
Listen to Adam Armbruster, ESA & Company
ESA’s Real Auto Answers | May 14, 2010 | MP3 File (1.7mb)

As the industry continues toward a gradual recovery and higher efficiencies, local dealers have a window of opportunity today to separate from the pack by doing a few things right. In our next article, we’ll discuss a few of these items, and hear from a couple of auto dealers who are already reaping the benefits.

Dave Eckstein, ESA & Company | Real. Local. Results: 2012Dave Eckstein is a Partner in the firm ESA & Company. He specializes in highly profitable market share growth for local businesses and gets a kick out of demonstrating a declining cost of customer acquisition. He plays baseball, but isn't that Dave Eckstein.

Social Share Toolbar

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>