We were really flying high at the
Car Gallery this summer with good sales numbers, lots of repeat business, and some strong internet sales; and then everything slowed down. When virtually no one was buying new cars, the "Cash for Clunkers" program gave the new car dealers a much needed boost, but it seems to be having a negative effect on used cars sales. Once the program started, we saw our sales drop. The incentive is great but it's not looking good for used car sales. The government is taking all of these "gas guzzlers" off the road (mostly vans, SUVs, and pickups) and crushing them, so there are less used cars available, which in turn will drive up prices. And, I know, you can argue that this is better for the environment, but a lot of these vehicles are perfectly reliable, especially if they continue to pass emissions testings. Why not tax the gas guzzler instead of destorying it!
You see, while this program is providing great savings for new car buyers, a lot of people still need to go the used car route because it's much more affordable. If you take all those trucks, vans, and SUVs off the road, that decreases the supply, which drives up prices. So now a minimum wage earner looking for an affordable pickup truck is going to have pay more. I hope there are more positive impacts on the used car market, but it's a shame that because the new car business needed a bailout, that we should suffer more to help them out. It's already been slow as it is for the past couple of years, way before the economic downturn, and this only further hinders our sales. But, we'll keep our heads up at the Car Gallery! We have a good reputation and continue to provide quality used cars at the lowest prices. Because of our honest approach and low prices on quality cars, a good number of sales come from repeat and referral buyers. Thank you longtime Car Gallery customers and new members to the family for keeping us alive during these trying times!
And remember, while they are giving you $4500 for your clunker, you are still paying way too much for a new car. Trade and save buying used! We probably won't give you gov't value for your trade, but the price of our car is still way less. Check out our special prices on www.cargallerygroup.com and stop by this weekend with your trade-in, and we'll take care of you!
-Neil
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