AutoNation, a chain of used car dealerships, outperformed automakers in terms of August sales, possibly signalling the Americans are turning to used cars rather than new ones in a tough economy.
According to Reuters, AutoNation’s sales fell 17 percent as compared to August of 2009. Yet because the “Cash for Clunkers” program inflated all dealerships’ sales nationwide during that month, the 17 percent drop is considered a marked improvement over the automakers’ average of a 27 percent decrease.
The company said that without the clunkers boost factored in, its sales actually rose 19 percent – a number that beat many of the automakers.
The dealership also announced that it will submit several proposals to Chrysler in order to obtain Fiat dealerships. The American automaker, now under Fiat control, is facilitating the return of the Fiat brand to the U.S market.
The news source reports that shares of the dealership chain were up 4 percent upon the announcement.
Chain dealerships tend to leave little room for negotiation, as their prices are mandated nationwide. For the best deals on used cars, shoppers may want to consider local dealerships or possibly an auto auction.