There have been 89 dealership acquisitions through the first five months of 2014 – up from 71 through the same period in 2013, according to data compiled by The Banks Report. Even though the number was up through May, the pace for the year was relatively flat – although, still brisk. Last year, there were 202…
A couple of days ago, on April 30, Southern Motors Chevrolet filed a lawsuit against General Motors for blocking its purchase of Fuller Chevrolet, located in Rincon, GA. According to dealers and individuals who broker dealership acquisitions one of the more under-reported dynamics of the dealership buy-sell field is the growing willingness on the part…
April 20, 2014 — Six New Jersey dealerships owned by Bob Ciasulli last week filed lawsuits against Toyota Motor Sales USA and American Honda Motor Corp. claiming dealer incentive programs created by manufacturers are illegal according to New Jersey state franchise law. The implications of this case could be far reaching because there is little… Continue Reading
A few years ago – prior to the recession – I walked the floor of the North American International Auto Show in Detroit with AutoNation CEO Mike Jackson (was not chairman at the time). At the time, AutoNation was consolidating all of its stores onto ADP’s dealer management system. Jackson shared a vision with me… Continue Reading
March 26, 2014 — The automotive retail system is on the cusp of revolutionary change. The transformation already is happening and we predict over the next 20 years, forces such as changing franchise laws, new retail models being developed by automakers along with the ever-lurking autonomous vehicle are going to upend the system as we… Continue Reading
YEAR IN REVIEW The pace of automotive dealership buy/sell activity was moderately brisk in 2013, with 180 dealerships accounting for 260 franchises changing owners in the U.S. January started with a bang when Group 1 Automotive announced the acquisition of one of Brazil’s largest retailers, UAB Motors Participacoes S.A., for $47.4 million cash, 1.45 million…
January 27, 2014 — Compliance officer sounds so Big Brother-ish or something that dates back to the Soviet era, but it’s quickly becoming a must-have for car dealers – and perhaps even the advertising agencies that service dealers. Here’s why: the Federal Trade Commission, the Consumer Financial Protection Bureau and the attorneys general from numerous… Continue Reading
December 3, 2013 — Several days ago automotive data analytics firm Dataium announced it had settled with the New Jersey Attorney General’s office over an investigation into how it was tracking the web browsing habits of visitors to automotive dealership websites. New Jersey’s Consmer Affairs Division alleged Dataium engaged in “history sniffing,” in which it…
November 11, 2013 — As part of our Brands in Transition series, we take a look at Volvo this week, a once-storied brand that has never recovered from the downturn of 2009-2010. Zhejiang Geely Holding Group Co. bought the Swedish automaker for $1.8 billion in 2010 from Ford Motor Co. Since then, the brand has…
NADA convinced Congress three years ago to not place dealers under the purview of the Consumer Financial Protection Bureau (CFPB). It turned out be a hollow victory as the CFPB is using banks and financial institutions to gain control over dealer financing practices. Here is what’s been happening: 1. In March, the bureau provided formal…