Everything Car Dealership Guy said on any show that made the record, most notable first. Each card names its show and opens the statement there.
Online car buyers are largely subprime consumers using it as last resort
“First of all, I learned that online car buyers
By a large percentage are subprime car buyers, right?
Subprime consumers.
They can't otherwise get approved anywhere else, and this is sort of their last resort.”
Car Dealership Guy: Tesla is the only automaker to succeed at DTC retail
“And frankly, Tesla is the only one that has really done a great job at it, or sure, maybe Rivian as well.
But there's been other plenty of examples on the legacy side that they simply have not been able to do it successfully with launching like a DTC or someth…”
Automakers will increase consumer incentives as the vehicle market sits 30% oversupplied
“I would say they're roughly like 30% oversupplied. So it's not, you know, these numbers are not low. We're sort of in this phase right now where it's the incentives are only going to keep getting better because the reality is the inventory is out there and it …”
Car Dealership Guy: Average car buyers prioritize price over powertrain
“I don't care. Like the average American doesn't care if it's an EV or a gas or it runs on fricking water. Right. They need to be able to afford something.”
Many car dealers currently break even or take losses on new cars
“Many dealers are already breaking even on new cars.
You are depending on the brand.
Some are taking losses.
and so new cars has never been like a real profit center, right? It's a commoditized product.”
Automakers underestimate retail difficulty, ensuring the traditional dealership model will survive
“I don't think the dealership model is going away other than the fact that lobbying is super strong and all that, like, let's put that aside for a second, even though it's a super important one.
I simply think that manufacturers sometimes underestimate what it …”
Toyota dealerships have half the optimal vehicle supply while competitors are oversupplied
“Like if you go to a Toyota dealership, they are still at like 30 plus day supply, which is roughly half the level of supply they should have for, you know, current demand. And so Toyota and Lexus are sort of the anomaly here. I'd say the majority of the brands…”
EV demand is growing linearly, falling behind automaker supply expectations
“Right now, demand has been growing very consistently and linearly. Like it hasn't gone exponential. Like the demand is still growing. If you look at simply, you know, how many EVs are being sold, but relative to the supply that was produced and what was out th…”
Nissan dealers are currently losing money due to severe vehicle oversupply
“Now it's sort of Nissan because they oversupplied their vehicles. Dealers are not making any money on them. There's way too many dealers for the market share that the brand has.”
Dealership service departments and auto auctions pair industry-lowest NPS with highest margins
“If you look at the car business, the lowest NPS in our business you know, net promoter score is actually service, right? So the service department. And it's used car auctions, surprisingly. Now auctions are dealer to dealer, right? And those are also extremely…”
CDG: Creator audience alone cannot sustain an auction marketplace long-term
“Having an audience is great because you're able to, you know, send over demand and community and all that to your product, but that's not sustainable at a certain point. You have to kind of You know, the business has to stand on its own feet and, you know, tha…”
Car Dealership Guy's previous venture-backed auto startup reached $100M in annual sales
“I mean, you know, we raised lots of capital throughout the time and grew the business to close to like a hundred million dollars in annual sales.”
Car Dealership Guy raised $60M for previous startup before bootstrapping media brand
“So I went from like a traditional family business. To a venture backed tech business, right? Raised like sixty million dollars and all that hoopla. And now we're like a bootstrapped media brand.”
Car Dealership Guy: Service department is a dealership's highest-margin profit center
“The service department is the highest margin profit center in a dealership, because, you know, for those that don't know how dealerships work, right, you have many different profit centers, you have parts, you have new car sales, used car sales, service.
Servi…”
Richtech Robotics has live robots delivering parts inside auto service centers
“They're part of a bigger company called rich tech which I had them on my podcast and they're literally chasing parts in the service center, right from the parts counter to the technician. And this is live.”
Traditional physical auto auctions build business moats by integrating floor plan lending
“The biggest physical auction or traditional auctions, what they've done is, you know, they've integrated other businesses. Now I'm not telling you here that they've kind of given up on margin on the sales front, but you know, they become lenders, right? So the…”