The effect of the coronavirus pandemic on the number of dealerships in the United States remains to be seen. That’s according to Urban Science’s mid-year review of its Franchise Activity Report, which tracks the number of dealerships in the country.
Total dealership count has dipped only slightly this year to 18,161 at July 1, 2020, the latest study shows, compared to 18,195 dealerships at the end of 2019, and 18,251 on July 1, 2019. Total franchises slid to 32,031 as of July 1, 2020, compared to 32,185 at the end of 2019, and 32,296 at July 1, 2019.
“Right now the brick-and-mortar stores are pretty much stable,” said Mitch Phillips, Urban Science’s global data director. However, the number of dealerships tends to be a lagging indicator after a significant drop in new-vehicle sales, he added.