The current franchised new-car dealer model has benefited consumers, manufacturers and local communities for nearly a century. It is supported by both dealers and factories as the best and most efficient way to buy, sell, service and finance cars in the marketplace. NADA’s Get the Facts page sets the record straight about the benefits of the franchise system for consumers and local communities all over America.
“Franchised new-car dealers provide the best, most efficient and most cost-effective way to sell and distribute new cars in America, and we’re proud of our businesses and business model,” said NADA President Peter Welch.
“NADA’s efforts will set the record straight about the benefits of the dealer franchise network for consumers, manufacturers and local communities everywhere,” Welch added. “New-car dealers provide the best and most efficient way to buy and sell cars for both consumers and manufacturers, despite the misinformation and misconceptions that have surfaced over the last several months.”
“Franchised new-car dealers benefit consumers through price competition, accountability on warranty and safety recall issues, and provide enormous economic benefits to local communities across the country,” Welch said. “The dealer franchise network is supported by automakers as the best and most efficient way to buy, sell and service cars in the marketplace.”
The “Get The Facts” initiative highlights four central benefits of franchised auto dealers, which include:
1. Price Competition – New-car dealers compete fiercely for business and drive consumer prices down;
2. Consumer Safety – New-car dealers take the side of consumers in warranty and safety recall situations;
3. Local Economic Benefits – New-car dealers create well-paying local jobs and generate significant tax revenue that have a huge impact on local economies; and
4. Added Value – New-car dealers simplify an otherwise complex car-buying experience.
There are 17,700 new-car dealerships with nearly 32,000 domestic and international franchises that employ more than 1 million people in the U.S.
For more information, visit www.nada.org/GetTheFacts.