- Number of U.S. dealerships and franchises remain stable
- Industry average dealership throughput rose 1 unit from 2018 level
- Texas, Florida, Minnesota, Georgia, Louisiana and Ohio top the list of states that added the most dealerships
DETROIT, February 11, 2019
Urban Science’s 2018 Automotive Franchise Activity Report (FAR), indicating continued stability in the number of U.S. automotive dealerships.
Urban Science released statistics and insights today from its 2018 Automotive Franchise Activity Report (FAR), indicating continued stability in the number of automotive dealerships in the United States.
As of January 1, 2019, there were 18,294 dealerships (rooftops), a 0.4 percent increase from the January 1, 2018, total of 18,213. The number of franchises, or brands a dealership sells, also experienced a period of stability, slightly increasing from 32,029 on January 1, 2018 to 32,238 as of January 1, 2019.
“Since 2010, the dealership network has set a new normal pattern of stability,” said Mitchell Phillips, Urban Science’s Global Director of Data. “The data shows that 96 percent of local markets had virtually no net change (+/- 1 dealership). That said, the most significant (net) dealership increases occurred in Texas, 24 dealerships; Florida, 21 dealerships; Minnesota, seven dealerships; Georgia, Louisiana and Ohio, six dealerships each. An interesting observation is that New York and California were missing from the most active states because, typically, they are on that list.”
“Sales throughput for dealers is defined as the number of sales divided by the dealer count,” said Phillips. “With a stable dealer count, the throughput statistic is controlled by the sales volume which slightly increased in 2018. Sales throughput was stable, rising by one unit to 948. However, sales in 2019 is projected to decline. With a lower 2019 sales forecast, throughput is estimated to fall around 24 units to 924.”
About the Automotive Franchise Activity Report
Urban Science maintains a list of current new vehicle dealership and franchise information for all car and light truck brands in the United States. Compiled on a monthly basis, the census is the most reliable source of dealership statistics. The data comes from a variety of sources, including feeds from automotive manufacturers as well as phone and field verification. Urban Science has been collecting this information since 1990 and compiles an annual analysis for the previous year in its Automotive Franchise Activity Report.
About Urban Science
Founded in 1977, Urban Science is a global retail consulting firm that takes a scientific approach to help companies identify where they should allocate resources in order to increase their market share and profitability in the most effective and efficient manner. With headquarters in Detroit, Urban Science serves its global clientele from offices in the United States, Spain, UK, Germany, Italy, France, Australia, China, Mexico, Russia, Japan, India and Brazil. For more information on Urban Science, visit www.urbanscience.com.