Car Dealership Guy: Service department is a dealership's highest-margin profit center
Car Dealership Guy · Car Dealership Guy on Electric Vehicles, Automation, and the Future of Car Dealerships. · Mar 19, 2025 · at 16:59
Car Dealership Guy explains the durability of dealership unit economics and profit center breakdowns.
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“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. Service is the highest margin you know, revenue stream in a dealership.”
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