Industry Analysis & Industry Trends
Over the five years to 2014, improving economic conditions has contributed to revenue growth for New Car Dealers in Canada industry. Bolstered by rising consumer confidence and disposable income after the recession, consumers who held off on new car purchases are expected to contribute to industry revenue over the period. Over the five years to 2019, the industry expected to benefit from a slew of new vehicle models, with fuel-efficient vehicles particularly becoming a driver of demand as fuel prices rise and consumers look to purchase vehicles with a higher miles per gallon rate... purchase to read more
Industry Report - Industry Key Buyers Chapter
The New Car Dealers industry has a low level of market share concentration. The industry is highly fragmented, with one dealer (i.e. AutoCanada) generating more than 5.0% of industry revenue. In 2014, the top four industry players will generate less than 20.0% of revenue. According to Industry Canada, 12.2% of industry dealers are nonemployers; the remaining 87.8% have one or more employees.
Consolidation has increased over the past five years, as larger automotive groups buy out smaller independent dealers. Additionally, a greater number of new car dealers are retiring. According to a March 2012 PwC Automotive Dealer Trendsetter Survey, 30.0% of Canada's stand-alone, or single-point, dealers will likely be bought out over the next year or be semi-retired... purchase to read more