<div style="float: left;">
		<img align="" alt="" class="imgCont" height="163" src="http://bsmedia.business-standard.com/_media/bs/img/article/2013-07/08/full/1373296096-8494.jpg" style="border: 1px solid #DDD; margin-right: 10px; padding: 1px; float: left; z-index: 0;" title="" width="218" />
		<div>
			These are trying times for the automotive dealers as more and more new car buyers shun purchases increasing the financial pressures them.</div>
		<div>
			&nbsp;</div>
		<div>
			A study conducted by J D Power Dealer Satisfaction showed that one in every five dealers is expected to make a loss, up from just 9% in the last financial year.&nbsp;</div>
		<div>
			&nbsp;</div>
		<div>
			Only about 44% of the dealers are expecting to make a profit, down from 62% in the previous year, stated the study.</div>
		<div>
			&nbsp;</div>
		<div>
			New car sales in the first quarter of this year dipped by 10.4% to 434,551 units as against 485,026 units sold in the same quarter of last year. The passenger vehicle segment saw a decline of 7.2% during the same quarter, according to data supplied by the Society of Indian Automobile Manufacturers.</div>
		<div>
			&nbsp;</div>
		<div>
			Commission earned on new cars sold and service costs continued to form a major part of the dealer earning collectively forming 57% of the total revenue. Revenue from spare parts sold, accessories, used cars, insurance and car loans were the other streams.</div>
	</div>

These are trying times for the automotive dealers as more and more new car buyers shun purchases increasing the financial pressure them.

Every fifth dealer to make a loss this year

More and more car buyers shun purchases increasing financial pressure on them

More From This Section

Jet-Etihad deal cleared by FIPB with conditions after Etihad wings clipped

Holcim's restructuring of Indian operations not a threat, says Kumar Birla

Bernie may drop India from F1 calendar, Jaypee 'sorting' things out

Apex Court seeks response from Centre, RIL on gas pricing

Explore News