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DEALERS JOIN IN USED CAR SALES

Publication: Automotive Daily News
Dateline: Grand Rapids, Michigan
Date: 27 August 1925
Subject: Dealership Operations
Topic: Grand Rapids Motor Market

Grand Rapids, Mich., Aug. 26.—Grand Rapids hasn't solved the national used car problem, but seven local dealers are enthusiastic over the success of an original used car plan which has proved workable and which has disposed of the used car problem for them.

These seven dealers have organized what is known as the Grand Rapids Motor Market, incorporated as a non-profit corporation, and all seven dealers hold stock and pay overhead, advertising and other costs in the same proportion that they hold stock.

A two-story brick building has been used to display cars, the number each dealer has on display being determined by his stock holdings. A staff of salesmen is maintained at the Motor Market and each salesman may sell any car in the showroom and the cars are sold competitively, a commission of 5 per cent. being paid on each sale.

The building will hold 120 cars and each dealer must pay for space for maximum allotment, whether he uses it or not. Some dealers handle all their used cars at the market while others handle only part of them.

Each dealer takes in his own used cars and reconditions them in his own workshop. If cars are taken in trade for used cars these, in turn, are appraised by the firm whose automobile the prospective purchaser wishes to buy.




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