Top BMW Stores Recognized for Superior New Car Inventory Performance
February 2016’s top performing BMW dealerships in new car inventory management have been recognized by Automotive Ventures.
The number one BMW store in the nation for the month of December was Ferman BMW, located in North Palm Harbor, FL. This store dominated all other BMW stores last month by turning their new car inventory in an impressive average of 41.3 days, and managing to an impressive 27.6 days of supply.
The top performing BMW stores in each of the country’s four regions are as follows:
- Northeast: Wide World BMW (Spring Valley, NY)
- South: Ferman BMW (North Palm Harbor, FL)
- West: BMW of San Francisco (San Francisco, CA)
- Midwest: Newbold BMW (O’Fallon, IL)
BMW national average days to sell in January across all dealerships was 71.4 days, which equates to average annual inventory turn of 5.1 times.
The top 10% of dealers are turning their inventory in 39.7 days (9.2 turns per year), while the bottom performing 10% of dealers are turning their inventory in 117.1 days (3.1 turns per year). The top BMW stores turn new vehicle inventory 2.3 more times per year than average.
Nationally, BMW dealers manager their new car Days Supply to 99.0 days of inventory. The top 10% performing BMW dealers manage to an aggressive 51.5 Days Supply, while the bottom 10% stock an average of 303.8 Days Supply.
The worst performing BMW stores have 65% of their new car inventory aged over 90 days, while the best performers have only 15% of their new car inventory over 90 days.
“Congratulations goes out to the management team at Ferman BMW and to these regional winners, who are being recognized for their outstanding performance and optimizing their new car inventory management practices,” said Steve Greenfield, founder and CEO of Automotive Ventures. “It’s an honor to be able to recognize such outstanding performance.”
“A well run new car department can greatly help alleviate the margin compression dealers are experiencing due to price transparency, increased competition, and stair step incentives,” notes Greenfield. “The sale of a new car has a positive knock-on effect to every other department in a dealership. Dealers that turn their inventory quicker understand that they can multiply the positive effect from moving cars quickly.”
“Ordering and stocking the best vehicles to meet local market demand creates a true win-win-win. The consumer wins by getting the exact car they want, the dealer wins by turning their inventory quicker and generating more revenue and profit across all other departments. And the OEM wins by selling more cars and increasing their market share.”
“The foundation for a healthy new car operation includes ordering the right cars, pricing competitively, preventing suboptimal trades, marketing effectively, and staying on top of the competitive environment. But it all starts with ensuring that a dealer is stocking the right new vehicles to begin with – those that best meet market demand and thus turn faster and deliver higher profits per unit,” says Greenfield.
Automotive Ventures provides BMW stores with local market intelligence to identify which new vehicles to order to deliver quicker turns and greater profit. As a result, dealers can quickly identify opportunities to improve vs. their targeted competitors.
Interested dealerships are encouraged to visit http://www.OrderAutomotive.com for their free Inventory Health Report.
About Automotive Ventures
Automotive Ventures provides competitive intelligence to dealerships with the goal of driving more profit. Founded in 2014, the company helps new car dealerships improve new vehicle inventory operations by delivering the best data driven tools available in the market. The company aims to significantly improve new car ordering and trade processes at dealerships across the country.
Dealers interested in receiving their free new car Inventory Health Report can visit http://www.OrderAutomotive.com.