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OEM not helping with floorplan?

May 29, 2020
What’s a dealer to do when the OEM is not offering any relief on floorplan expenses, one participant asked during a recent NADA webinar that considered best ideas from 20 Groups. Based on his sales rate, the questioner said he had a 12-month inventory supply.
 
"There is tremendous strength in numbers in the dealer body," said Tom Carney, a 20 Group management consultant who led the presentation. "The best way I see to leverage that is, you get together your fellow dealers that are within your OEM and you basically trade.
 
"If they’re not trading, you need to contact your regional vice president. They are influenced by some of the key dealers, especially if you have worked together with some of your 20 Group dealers, and put together a letter saying, ‘We need to talk about some floorplan assistance, or some sort of bonus or something that is going to help us as dealers to get through this, almost like a Paycheck Protection Program for dealers.' "
 
The OEMs will listen to such an appeal, Carney said, because they only make money when vehicles are sold.
 

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