TYSONS, Va. – There were nearly 19 million used-car sales by the franchised dealership body last year and the average store pulled in $71,265 of annual net profit from the used-car department.
That’s according to the latest NADA DATA report, a portion of which was shared with the media.
The report from the National Automobile Dealers Association indicates that franchised dealers sold 18.76 million used cars in 2015, retailing 10.86 million and wholesaling 7.9 million.
The average selling price on their used cars was $19,397, NADA said.
There were 16,545 franchised dealerships in 2015. Their total revenue — including new-car sales, used sales, parts and service sales — came in at $862 billion, up 6.9 percent year-over-year-year. This was a record sum, according to NADA.
Used sales in 2016
According to figures from NADA cited in the latest Kontos Kommentary report, retail used-car sales from franchised dealers dipped 12.5 percent year-over-year in March (with their independent counterparts up 0.6 percent).
However, Tom Kontos — the author of the report and chief economist at ADESA — said the declines could perhaps have been driven by where Easter fell on the calendar this year (March 27).
He also points out in the report that independents and franchised dealers both showed major month-over-month gains in used-car sales during March.
Franchised dealers increased their retail used sales by 11.9 percent year-over-year in February (independents were up 15.5 percent), Kontos said in an earlier report, again citing NADA.
Interestingly enough, though, franchised and independent dealers were down sharply month-over-month in both January and February, he said.
As for January, franchised dealers increased used sales 9.9 percent year-over-year, with independents jumping 10.5 percent. Compared to December, both were off more than 30 percent.
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