zzdcar
Home
/
Reviews
/
Buying
/
Online Shopping Is Killing Car Dealer Inventories
Online Shopping Is Killing Car Dealer Inventories-February 2024
2024-02-19 EST 22:09:55

With the various car-buying services offered online, hardly anyone goes to a car dealership just to browse anymore—they do a lot of that on the internet beforehand. That, then, makes car dealerships question why they keep such large inventories on their lots anymore.

Dealerships and dealer groups are reacting to this shift in car shopping in different ways, reports the . Some are moving their inventory to less expensive off-site real estate. Others are selling off underperforming dealerships. From the story:

Nearly 90% of car shoppers use the internet to shop for a vehicle, according to a 2016 study by the third-party shopping site Autotrader.com conducted by the research firm IHS Automotive. Of the customers who use their smartphones at a dealership, the study found 59% are comparing prices for vehicles at other dealerships while 38% are comparing inventory at other dealerships.

Brad Carter, the principal of Greystone Valuation Services, specializing in auto dealerships, compared what’s happening to dealerships with what has been happening to bookstores. Small neighborhood bookstores have been gradually losing out to megastores like Barnes & Noble, which faces tough competition from Amazon.

Meanwhile, also make dealerships wonder why they are paying so much for land that doesn’t necessarily guarantee a return on their investments.

While this may be trouble to dealerships, it’s actually a good thing for the consumers. The internet has helped consumers walk into dealerships more well-informed and savvier than ever before, which leads to more options, and, hopefully, better deals.

Comments
Welcome to zzdcar comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Buying
The Osprey Land Rover Defender Autobiography Is a 600+ HP Beast That Will Run Over Your Nightmares
The Osprey Land Rover Defender Autobiography Is a 600+ HP Beast That Will Run Over Your Nightmares
I realize that “run over your nightmares” may seem overwrought, but I have an excuse: I didn’t write it. Those were the words my nine-year old kid Otto, when he clambered up into this brute and I stomped the throttle. “This car can run over your nightmares!” he yelled,...
Feb 13, 2026
Once Again, Dave Ramsey Is Wrong About Financing A Car
Once Again, Dave Ramsey Is Wrong About Financing A Car
In these uncertain economic times, I can understand turning to “financial experts” for car buying advice, and arguably one of the most famous is Dave Ramsey. Unfortunately, Mr. Ramsey’s insistence on only giving advice in black and white terms can result in information that is both incorrect and unhelpful,...
Feb 13, 2026
Honda Fits Are Not That Expensive
Honda Fits Are Not That Expensive
Are you, by whatever misery inflicted upon you, in need of A Car? Just, four wheels, some space, and a vague sense that if you treat the machine right it will return the favor? Well, exist and are not painfully expensive. It’s not that complicated! Again, I would like...
Feb 13, 2026
At $12,500, Will This Fat-Fendered 2000 Honda S2000 Prove A Winner By A Wide Margin?
At $12,500, Will This Fat-Fendered 2000 Honda S2000 Prove A Winner By A Wide Margin?
Honda’s S2000 has always been a coveted car and the model’s prices reflect that furor. Major mods, however, like those made to today’s s2Ki can drive prices in either direction. Let’s see if this one’s price has you thinking about driving it yourself. BMW is a bit of an...
Feb 13, 2026
Is It A Bad Idea To Buy An Older Model As A Daily Driver And Family Car?
Is It A Bad Idea To Buy An Older Model As A Daily Driver And Family Car?
As Jalopnik’s resident car buying expert and professional car shopper, I get emails. Lots of emails. I’ve decided to pick a few questions and try to help out. This week we are discussing a new dad wanting to buy a vintage car as a daily driver, and making sense...
Feb 13, 2026
We Want To Swap Two Crappy Cars For One Good Car! What Should We Buy?
We Want To Swap Two Crappy Cars For One Good Car! What Should We Buy?
Tim and his wife want to switch from two older cars to one newer, but much nicer car. They need something family-friendly, but not too big. It should be fun to drive, and with decent fuel economy. Even with a respectable budget, this one is a challenge. What car...
Feb 13, 2026
Copyright 2023-2026 - www.zzdcar.com All Rights Reserved