A feeling of optimism was alive and well during the recent National Automobile Dealers Association Convention held in Las Vegas, where Ally Financial surveyed dealers about their hopes for sales in 2012.
Nearly half of dealers surveyed expect their sales to increase 10% to 20% this year, and almost another third are even more bullish, expecting sales to grow greater than 20%.
Nearly 75% of dealers surveyed expect consumer confidence to be the key in sustaining sales momentum, surpassing the availability of incentives or vehicle inventory as driving factors. About 60% said the credit profiles of customers coming into their showrooms are improving.
Further, 53% of the dealers surveyed expect the small-car vehicle segment to experience the most growth in 2012.
“Given improved consumer confidence, full year sales for 2012 could surpass the 14 million unit level in the U.S. and position the industry for even greater growth in 2013,” said Tim Russi, Ally executive vice president, North American Auto Operations. “This could factor into dealer decisions on facilities, hiring, and ordering.”
Here is how dealers expect sales volume to grow this year, as compared with 2011:
