Consultant Urges Keeping Tabs on Dealership Overhead Centralizing procurement at a dealership typically saves about 25% on those costs, compared with decentralized decisions on hiring suppliers and negotiating prices and contracts, according to StrategicSource.
Dealership profitability is good on average this year despite the pandemic, but this is no time for dealerships to let up on cutting costs, says Doug Austin, president of consulting firm StrategicSource.
“Sales are strong in dealerships right now. But will that continue? And if it doesn’t continue, we’re going to need a plan,” Austin says in a Dec. 8 webinar hosted by the American International Automobile Dealers Assn.