2015 Economic Impact of Franchised New Car Dealers

industry conclusions

Executive Summary

2014

2012

%

Total sales dollars

$33.0 Billion

$27.1 Billion

21.8%

Jobs generated (direct and indirect *)

65,100

57,620

13.0%

Employee earnings (direct and indirect *)

$3.6 Billion

$2.9 Billion

24.1%

Taxes (state, payroll and real estate)

$2.1 Billion

$1.83 Billion

14.8%

Charitable contributions

$19.3 Million

$17.2 Million

12.2%

New vehicle retail sales

550,000

429,000

28.2%

Advertising expenses

$444 Million

$388 Million

14.4%

Committed estimated capital improvement

$480 Million

$468 Million

2.6%

to dealership facilities

(2013 and 2014 combined)

(2011 and 2012 combined)

*Figures cited in this report refer to direct and indirect economic impacts. Direct economic benefits include employment and compensation that occur at automobile dealerships. Indirect benefits include employment and compensation that occur elsewhere in the economy, but are attributable to dealership operations. For example, dealership employees spend a portion of their salaries on goods and services in the area, which results in additional “indirect” benefits that occur in other economic sectors. Indirect economic benefits were estimated utilizing the RIMS II (Regional Industrial Multiplier System, version 2, developed by the U.S. Department of Commerce, Bureau of Economic Analysis).

28% Growth in area new vehicle sales over two years

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