TrueCar CEO Sounds Off On Strike Effects On Dealers, Reason For Slow EV Sales

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I’ve been covering the auto industry since 1989, first as CNN Detroit Bureau Chief, then as the National Auto Writer for the Associated Press, General Motors beat writer at the Detroit News and video reporter at Automotive News.

The six-week strikes against the Detroit Three automakers by the UAW will create more pressure on dealers and increase tension between them and the auto companies predicted the CEO of online vehicle marketplaceJantoon Reigersman also blamed some of the sluggishness on electric vehicle sales on dealers who aren't yet prepared to sell battery-powered cars and trucks in a wide-ranging interview in conjunction with release, Monday, of the website's third quarter financial results,aimed at...

Reigersman looks at that added sales pressure on dealers as an opportunity in the long-term for his company to help facilitate those deals, adding, “actually net-net it should actually be to our benefit. But I do think that it will provide a greater tension between the OEMs and the dealers themselves.”In that same vein, Reigersman acknowledges the ongoing affordability issue for many consumers who find the price of a new vehicle is out their reach.

As for the slowdown in EV sales, leading General Motors Co. and other automakers, to reassess their product plans, Reigersman says customers may be reluctant to switch due to well-known reasons such as range or charging anxiety or price, but the dealer also plays a role in failure to close deals on electric vehicles by not knowing how to adequately address customer concerns.

He also points out many dealers experience high turnover of their sales staff, leading to inexperienced personnel simply not experienced enough to address customer questions or concerns regarding EVs.

 

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