After all the sturm and drang concerning Millennials not buying cars, it turns out they just waited longer to buy them. That is the finding of a study by Benchmark Co. Indeed, they are getting licensed at the highest rate in 40 years, the study found.
Millennials refers to those born between the early 80’s and the mid-90’s. While they may be buying cars now, younger consumers – so-called Gen X and Gen Y – may continue to use alternative forms of mobility in greater numbers even as they age.
Anticipation of changes in mobility is one thing that led the Schnitzer family to sell their phenomenally-successful luxury dealership group, Park Place Dealerships to the Asbury Automotive Group. That is one thing I learned in my talk with The Presidio Group’s Brodie Cobb and George Karolis. The Presidio Group handled that transaction. Read more about it in this week’s issue.
Stuart McCallum returns to ABSR this week from his new (ish) job at Henderson Hutcherson & McCullough, PLLC in Tennessee. He asks what is behind the substantial multiples still earned by luxury dealerships. He may find some answers in my story on the Park Place deal.
And of course we have Transaction News.