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Monday, November 20, 2023

Retail Automotive MELTDOWN has begun

Retail Automotive MELTDOWN has begun

I received a message from a Reader/Listener who is in the Automotive Retail industry.  His information is shocking!

What I received, verbatim:

The sales side (or variable operations) in the Retail Automotive sector is car-shing. Service (fixed ops) isn't fairing much better. I'm very glad I sold my store a few yrs ago.

I consult for several OEMs, and they are beginning to panic. At several, ROS, or Return on Sales (a closely watched metric) is down by 70% (+,-), over the last 45 days. They thought it was a blip at first, when ROS was down 25% and it just kept going. I will not name specific OEMs and risk violating my NDA.

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