Car Dealers meet at NADA -- rebates, factory incentives, low-interest to continue through 2003

By Vince Bodiford
Automotive Editor

SAN FRANCISCO, CALIF. -- Ever wonder where car dealers get access to big promotions, used car warranties, and even the license plate frames with the dealership name on them? It's all at the annual dealers convention of the National Automobile Dealers Association (NADA).

With car dealers from across the US descending upon San Francisco for this years show, the hot buzz of the 2003 NADA show -- among the rush of manufacturer-dealer make meetings and the noise of hot new products -- was swelling dealer inventories, aggressive customer incentives, and the constant clamor for more dealer cash from the factories.

"It's one of the more dynamic NADA meetings since the 1970's," said former GMAC SmartLease director George Reganis, visiting from Detroit. Reganis, whose son Tim is a multi-line GM, Chrysler, Honda and Mazda dealer in the midwest, said dealers want more from factories today than ever before. "But the good news is that the focus is once again on product," Reganis said.

And that product is more diverse and exciting than it has been in decades. Though not entirely practical to drive or own -- nor with profits or even lots of units to sell -- that product includes the amazing visions of the big car companies that were rolled out earlier this year in Detroit. (TWD Detroit Coverage link).

Although the NADA focus is entirely on dealers and the issues facing them, it is the needs, wants, and downright demands of the consumer that drive the automotive bus. "I don't care what anybody here says about anything -- I'm here looking for what my customers are willing to buy from me..." an unidentified dealer from Los Angeles said. And apart from the large exhibits of nearly all the carmakers, NADA itself is a sea of opportunities for dealers offered by vendors supplying everything from customer incentives to insurance to custom wheels.

At the end, consumers stand to gain big dividends as there appears to be no end in sight, this year, for aggressive rebates, incentives, low interest financing and expanded dealership promotions to keep the brisk pace of new car sales for 2003 at present levels.

LIFE'S A TRIP -- Enjoy the Drive. Copyright © 2003 The Weekend Drive.