Car supermarket
Encyclopedia
A car supermarket, also called a multi-make car dealer or auto superstore, is a large motor car retail
Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...

 outlet
Outlet
Outlet may mean:* An electrical outlet* An outlet store or outlet mall* The pelvic outlet* A type of instance variable used for graphical user interface programming in the OpenStep / Cocoa environment* Outlet, Ontario, a community in Canada...

. It may sell a mixture of used and new cars from various brands, especially new-to-three year old mass-market and ex-fleet vehicles. Most use a "no-haggle
Haggle
Haggle may refer to*Haggle , a party game*Haggle an autonomic networking architecture*Bargaining, English word meaning to haggle or to bargain...

" pricing model.

Car supermarkets typically have several hundreds cars in stock, and the largest ones have up to 4,000 cars in one location. This compares to less than 100 cars in stock for an average dealer forecourt, and allows consumers to find a wider choice while reducing the need for aggressive sales techniques.

The vehicles are typically priced lower than in smaller car dealerships, based on volume sales and economies of scale
Economies of scale
Economies of scale, in microeconomics, refers to the cost advantages that an enterprise obtains due to expansion. There are factors that cause a producer’s average cost per unit to fall as the scale of output is increased. "Economies of scale" is a long run concept and refers to reductions in unit...

. Examples of car supermarkets are Carmax
CarMax
CarMax is the United States' largest used-car retailer and a Fortune 500 company. The first CarMax used car auto superstore was opened in September 1993. In the fiscal year ending February 28, 2009, more than 350,000 cars were sold; as of August 2010 the company has 103 locations.- Concept :The...

 and AutoNation
AutoNation
AutoNation, the largest auto retailer in the USA, was founded in 1996 by entrepreneur H. Wayne Huizenga, also founder of Blockbuster and Waste Management. The company is headquartered in Fort Lauderdale, Florida. The current Chairman and CEO is Mike Jackson, former CEO of Mercedes Benz North America...

 in the US, Motorpoint, Cargiant
Cargiant
Cargiant is the world's largest car supermarket according to the Guinness Book of Records and is number one in the Motor Trader Top 75 Independent Dealer list. The history of Cargiant goes back to 1977 and was originally founded as The Trade Centre. The company has one location in London, UK and...

 and Carcraft
Carcraft
Carcraft is an independent group of used car hypermarkets established in 1951 in Rochdale, Greater Manchester, England. Carcraft was founded by Frank Jacob McKee and was bought out by Noel and Darren McKee, his sons, in a £50 million deal backed by the Royal Bank of Scotland's Development Capital arm...

 in the UK.

See also

  • Aftermarket
    Aftermarket (automotive)
    The automotive aftermarket is the secondary market of the automotive industry, concerned with the manufacturing, remanufacturing, distribution, retailing, and installation of all vehicle parts, chemicals, tools, equipment and accessories for light and heavy vehicles, after the sale of the...

  • Used car
  • Car dealership
    Car dealership
    A car dealership or vehicle local distribution is a business that sells new or used cars at the retail level, based on a dealership contract with an automaker or its sales subsidiary. It employs automobile salespeople to do the selling...

  • Retail concentration
    Retail concentration
    Retail concentration refers to the market-share generally belonging to the top 4 or 5 mass distribution firms present in a regional market, as a percentage on the total....

The source of this article is wikipedia, the free encyclopedia.  The text of this article is licensed under the GFDL.
 
x
OK