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What is an Automotive Dealership? | Learn more about Automotive Industry

How Car Dealership Advances through the Economy.

Automotives have been a part of the world’s advancement to its top-of-the-line technology. Wherever you go, automobiles are becoming a necessity for the people. Purchasing automobiles gives people more comfortable access to transportation. 

An automotive dealership pertains to a business that sells a new or a pre-owned vehicle. It is where vehicles from automakers or other sales subsidiaries are sold at a retail level. However, it does not only revolve around marketing automobiles. It may also provide services such as; maintenance services, stocking and selling automobile parts, and others.


During the early years of automobiles, steam-powered, electricity-powered, and gasoline-powered vehicles were ruling the roads. Most of the companies selling automobiles were produced by small shops that make handmade cars. Motor parts from different manufacturers were purchased by producers in the United States to assemble and create a brand new product to sell in the market. 

On the other hand, the history of automobile marketing started in Europe in the 1890s. The Motorwagen of Karl Benz sold 25 vehicles of the first gas-powered vehicle. The product boomed throughout countries across Europe, and soon, Benz became the largest car company in 1899. 

After all the setbacks during World War II, the market in the automotive industry began to flourish once again. The overwhelming growth of sales in the car industry brought forth the increase in prices of gasoline, production cost, and eventually an increase in car prices. Despite all these, the production of cars in the industry continues to rocket. With all the increase in prices in the industry, leasing became an alternative resort to purchase a vehicle for people. Car leasing was one of the factors that influenced the start of the second-hand or used car market.

Modernized Automotive Dealership

As technology started to pave its way as a tool to modernity, the internet has become a useful tool in automotive dealerships. Modernity has improved the production of high-class, affordable, and visually appealing vehicles around the globe. 

The car industry did not only improved vehicles’ high-tech functions but also the marketing of their products. People may now purchase vehicles hassle-free. 

Types of Automotive Dealership:

  • Brand-new Car Dealership. These brand-new dealerships or brand dealerships are usually managed by corporations or manufacturers that sell their brand-new products. Brand-new Car Dealerships are usually selling more expensive cars than the other types of automotive dealerships.

Most Brand-new car dealerships give more benefits than other types of car dealerships. Accredited dealers and manufacturers give reasonable warranties. It is also more expensive than buying a used or a second-hand vehicle.

  • Used Cars Dealership. These are small or average-sized garages that sell second-hand vehicles. These dealers are independently functioning and are not directly connected to brand-new car manufacturers.

Used car dealerships can offer you various choices of second-hand vehicles to purchase. They may also be able to provide you some deals with your purchase. Buying used cars is also much cheaper than purchasing a brand-new one. 

  • Private Sellers. This is another option to purchase automobiles. Buyers may directly buy used vehicles from its owner or seller. Just 

However, purchasing private-owned vehicles may become risky for the buyer’s part because purchasing private cars may not come with any warranty or any assurance for the performance of the vehicle. Buying from private sellers is also prone to fraud or scams, especially if you have minimal knowledge about cars and car deals.

  • Online Dealership. Of course, there are online car dealerships on the internet. There are a lot of automotive dealers online. They provide information about the vehicles that you may choose from on their website or social channels. The online automotive dealership is also as risky as buying from a private seller, for there are lots of scammers ready to take advantage of anyone on the internet. 

In an online dealership make sure to double-check the legitimacy of your chosen seller or store. You may ask for advice from trusted and knowledgeable people to avoid getting scammed. Despite the risks in purchasing online, the online dealership provides good deals, saves time, and gives less hassle than going around looking for shops with good deals.


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