The summer of 2023 has seen a notable upswing in the U.S. automotive industry, with new vehicle inventory levels increasing from the same point a year ago. The rise in inventory can be credited to a slow return to some form of normalcy in production after a few years of challenges. As the automotive landscape continues to go through changes, it is crucial for dealership groups to take steps to leverage their stockpiled inventory effectively.
The Surge in Inventory:
Recent statistics from Auto News paint a vivid picture of the current situation. New vehicle inventories in the U.S. have risen by an ample amount, reaching a 53-day supply or 1.95 million units, a 75 percent increase compared to last year. This growing stockpile of unsold vehicles shows an upward trend from where it stood even the month before. This surge has been seen most notably in electric vehicles (EVs) and with full-size cars with around 100 days of inventory stockpiled.
Opportunity with Wealth Management:
Amidst the shifting landscape, dealership groups are dealing with both challenges and opportunities. It is essential for them to consider how to make the most of their inventory. This is where wealth management comes into play.
Principal Warranty Corp. meets the unique financial needs of dealership groups in the automotive industry. Our wealth management capability is designed to help you navigate the ever-changing landscape. We understand that your wealth management portfolio should align with your financial objectives, and we have the expertise to make it happen.
- Alignment with Your Goals: Our team of experts works closely with you to make sure that your wealth management strategies are in harmony with your business objectives. We know that every dealership is unique, and our tailored solutions reflect this.
- Real-Time Support: In a fast-paced industry such as this one, real-time support is vital. Principal Warranty Corp. is committed to providing speedy service with 15-second hold times and an average of 6-minute handling times. This way, we are here when you need us, helping you stay ahead of lot volumes and seize opportunities in this dynamic market.
The surge in new vehicle inventory in the U.S. represents a turning point for dealership groups. It’s a moment to strategize and capitalize on the opportunities presented by this inventory growth. With Principal Warranty Corp.’s wealth management expertise and commitment to real-time support, you can navigate this ever-changing landscape with confidence.
Principal Warranty Corp. is a customer-centric company that takes pride in our automotive and recreational vehicle F&I products and wealth building programs for dealers, agents, and contract holders all over the nation. Our full line of F&I products for auto, RV, and powersports includes exclusive and comprehensive mechanical service contracts, lifetime and limited warranty programs, GAP, ancillary plans, reinsurance programs, dealer development and compliance training. Principal Warranty Corp. has its head office north of Seattle in Burlington, WA.
To learn more, visit us at www.principalwarrantycorp.com.