TYLER, Texas (KETK) – New and used-vehicle demand has skyrocketed in the past few months here in East Texas, but local dealerships claim they’re still playing catch-up from the immense damage seen in March and April.
According to Monte Hall, General Manager at Hall Buick GMC, dealerships right now are experiencing pent-up demand.
“March was going to be a record month, but that came to a halt. April was way down by 30 to 40% in a lot of places. May saw a bit of a rebound, but I think it’s really pent-up demand,” said Hall.
Flash forward to today, the biggest issue is inventory. Although the demand is strong, the supply is limited. They are seeing a spike in sales, but lacking in one of the most frequently sold cars here in East Texas, full-size pickup trucks.
“It seems like a spike because of where we were and where we are now, but we’ve obviously increased sales compared to April. May got going a little bit more. June got going a little bit more and August was a decent month…We’re going to continue to play catch-up in Texas on the inventory side in Texas especially for full-size pickups.”Monte Hall, General Manger, Hall Buick GMC
For the consumer, given the high demand and new and used vehicles, Hall said this reality is “…a bit of a double-edged sword.”
“You’re not gonna see, 10, 12, 13 thousand dollars off full-sized pickups, but the other side of this, if you’ve got a trade-in, used vehicles are at an all-time high value right now. ”
Relatively speaking, for those trading in vehicles will get more for their trade. Because the used-vehicle supply has shortened dramatically, the value has now grown immensely. On the consumer side, their trade-in is worth more than it was months ago.
“You know the deals are still there. General Motors did not cut back on rebates as they could’ve. They didn’t do any sort of price gouging. Incentives are still pretty strong. Mid-size SUV supply is pretty much back, and of course, Mid-size SUV trade-in value is also elevated. So there are still a lot of deals out there for consumers right now.”Monte Hall, General Manger, Hall Buick GMC
Buick and GMC are taking extreme measures to compensate for the loss seen earlier this year. They’re currently addressing transportation to getting vehicles to dealerships which have been an on-going issue.
Hall said for full-size pickups, inventory won’t get back to normal until the holidays. For mid-size SUV’s, inventory has somewhat been restored.
Hall Buick GMC is hosting their annual Labor Day sale Monday. Due to COVID-19 restrictions, Hall said their event will look different this year. Social distancing will be enforced. The event will last from 10 a.m. to 5 p.m.