I saw a dealership in my area that sells (non-luxury) new cars, but also is focusing on used luxury makes. The main purpose is to take a share of the market from dealers that closed in the past couple of years that focused on these used cars. The margin potential is there, but this is usually not the dealership one would expect to see lots of these luxury cars at. It makes someone wonder how desperate some of these dealers are. I am asking for the thoughts of those that sell new cars. It's one thing to take these on a trade-in, but do you want these cars on a regular basis?

There are a few ways you can take this conversation.

Do you want these luxury used cars at your dealership on a regular basis?

Are these cars for your traditional target customer?

Are dealerships losing too much from their original target?

Did someone foresee a increase in used car values also applying to luxury cars? Is it happening?