Our own Chase Yoder spoke to the club about the many changes and realities of the auto industry. He’s worked in the family business, Weld County Garage for 13 years now in many capacities.
There is a tremendous consolidation in auto dealerships. Most will continue to carry their long-held family names, such as Larry H. Taylor, Mike Shaw, etc. but they’re owned by Asbury Automotive group out of Texas. Greeley is down to three family-owned dealerships – Ghent, Honda of Greeley, and Weld County Garage.
Electronics are a blessing and a curse – most recently a curse with the widely reported shortage of chips that became scarce at the onset of the pandemic. Things have improved significantly of late but a long way to go. Domestic production of what largely comes from Taiwan now will likely be a five to ten-year process.
Logistical challenges add to the nightmare. It’s isn’t uncommon for vehicles to be delivered to the railyard / storage lot near Commerce City and sit for months at a time awaiting delivery. Insurance and other licenses prohibit dealers from picking the cars and trucks up themselves. Exposure to the elements results in damage.
Chase’s observation is it’s very likely that a vehicle ordered today could take eight months to get with all the delays added up.
Manufacturer policies further complicate the market at large finding balance between a representative inventory of 50-60 vehicles instead of 200 units. Their reduction of sales to car rental companies has spun off more confusion. It’s not unusual for rental companies to turn to dealerships and pay premium prices for used cars. That has rippled through the market resulting in sky-high values never seen before.
Electric vehicles are a very hot and polarizing topic. Manufacturers turning to large EV offerings are challenging their dealers to invest heavily in infrastructure to support and service.
As with phones, laptop computers, etc. optimum conditioning of batteries would see them drained completely before recharging fully. Trickle charging repeatedly causes batteries to lose capacity over time.
Maintenance is different – no more oil changes, fluid flushes, etc. in EVs. The sheer weight of EVs due to batteries means more strain on tires and suspension components. Time will tell.