New Car Dealers in Texas
The New Car Dealers industry in Texas is set to expand over the five years to 2017. The industry is highly cyclical in nature and therefore is vulnerable to economic shifts such as fluctuations in employment, overall consumer spending and financing rates. As a result, the industry has benefited as economic conditions have gradually improved over the period, particularly for consumers. With increased per capita disposable income and consumer spending, consumers are expected to continue pursuing big-ticket items, including new vehicles. Low interest rates have also spurred demand for new vehicles over the past five years. When interest rates are low, financing a vehicle is more affordable and therefore, more desirable. However, in recent months, interest rates increased. Higher interest rates may hamper demand for new vehicles moving forward; nevertheless, access to credit is forecast to rise, helping offset that trend. Over the five years to 2022, rising disposable income is expected to drive demand for cars and trucks. Additionally, the introduction of new energy-efficient vehicle models will boost sales as consumers move away from gas-guzzling vehicles.
Operators in this industry sell new and used passenger vehicles. Vehicles include passenger cars, light trucks, sport-utility vehicles (SUVs) and passenger vans. New car dealers also sell parts and provide repair services.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.