The number of U.S. franchise dealerships rose back up to 18,230 in 2021 after two years of declines leading to a low of 18,157 in 2020. The slight uptick is good news but still shy of 2018's 18,294.
Just more dealerships? Data collected by Urban Science also estimated an average 5% rise in throughput per dealership with new cars sales increasing to 826 last year from 807 in 2020.
This data seems to suggest a slow return to normal has begun. Adequate supplies of chips and cars led to an increased number of dealerships there to serve communities and will lead to sustainable success now and in the future.
Telling it like it is - If you are feeling the roller coaster ride between consolidation and growth, don’t worry, you are not alone.