Bob Voltmann Would You Prefer a Franchise, Indie, or Buy Here Pay Here Dealership
Transcript
Sean : Amen. All right, so tough question for you to answer. I know you’re going to be great, though. Is now a better time to own a Buy Here/ Pay Here lot, a regular independent dealership, or a franchise dealership? And why?n
nBob : Yeah, that’s a tough question. So, a good friend of mine once said, I’ve got friends on one side of the issue and friends on the other side of the issue. So I’m going to be with my friends, all three are different. I would much rather be on the I think I represent the independent guy. So I’m going to have to side with the independent guys, but I’m not picking between retail independence and Buy Here Pay Here independence. n
nSean : Well, I like what you said, right? You’ve got that superpower, which is the service and the family and the team culture and the community. I think if you combine those things, it does make sense that it sounds like you believe they can all succeed and thrive right? Even in these times.n
nBob : I do but in tough economic times. So it’s very expensive to be poor. In America, we are in inflation, we’re in a very weird time, we’re in an inflationary period, with very low unemployment. But vehicle prices, new vehicle prices have become astronomically expensive. And with interest rates now going up, really for the first time in 40 years. That’s going to push more and more people out of the new car market. That’s going to hurt the franchisees that have commitments to the OEMs. It’s also going to put a lot more pressure on the used car market, the US vehicle market where those franchise ease the independent retailers and the Buy Here Pay Here subprime folks are all competing for the same vehiclesnn
nBob : Yeah, that’s a tough question. So, a good friend of mine once said, I’ve got friends on one side of the issue and friends on the other side of the issue. So I’m going to be with my friends, all three are different. I would much rather be on the I think I represent the independent guy. So I’m going to have to side with the independent guys, but I’m not picking between retail independence and Buy Here Pay Here independence. n
nSean : Well, I like what you said, right? You’ve got that superpower, which is the service and the family and the team culture and the community. I think if you combine those things, it does make sense that it sounds like you believe they can all succeed and thrive right? Even in these times.n
nBob : I do but in tough economic times. So it’s very expensive to be poor. In America, we are in inflation, we’re in a very weird time, we’re in an inflationary period, with very low unemployment. But vehicle prices, new vehicle prices have become astronomically expensive. And with interest rates now going up, really for the first time in 40 years. That’s going to push more and more people out of the new car market. That’s going to hurt the franchisees that have commitments to the OEMs. It’s also going to put a lot more pressure on the used car market, the US vehicle market where those franchise ease the independent retailers and the Buy Here Pay Here subprime folks are all competing for the same vehiclesnn