After years of pandemic-inflicted troubles for the automotive industry, the new car market finally seems to be stabilizing, with dealer inventories rising and some semblance of stability on the horizon. However, dealers may have to navigate some choppy waters ahead as yet another knock-on effect from those pandemic years comes knocking.
The number of lease turn-ins—crucial for new vehicle sales, certified pre-owned programs, and customer retention—will plummet. If automakers and their financial partners cannot figure out how to handle this, the effects are expected to be felt for at least the next two years.
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