On the latest edition of Straight to the Point, host Frank J. Lopes discusses why it’s time for automotive professionals to reclaim front-end gross.
For years, automotive professionals have been working hard and putting in their time, only to get paid, less than what they deserve. He says back in the day, selling vehicles was a profession, not just a job.
Sometime in the late eighties, factories started overproducing vehicles and pressured car dealers to stock more inventory. This crushed margins and eventually crushed front-end growth. Lopes says until recently, most car dealers were selling vehicles at a loss. Sometimes that loss was well into the thousands of dollars.
Now, almost thirty years later, front-end grosses are no longer a myth. The dramatic increase in demand, paired with the lowest supply we have seen in years, has brought back the justified front-end gross. Which is great, according to Lopes.
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Lopes then poses the question, how many of you automotive professionals are earning your money, as opposed to, how many of you are simply now, getting paid more? He also asks, how many of you have gotten better at sales? Who knows what you may have to handle in 2022. Be careful of the curveballs ahead.
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