Are you Looking to Open a Virtually Recession Proof Franchise in the Automotive Industry?
The economy has been extremely trying for a number of years, so recession proof franchise sounds appealing to a number of people. Ultragloss has experienced consistent growth despite the recession. During times of economic recession people begin cutting back and putting more money into repairing goods opposed to simply replacing them.
So why is Ultragloss a recession proof franchise?
Demand for Services
Various reports have been circulating about used car values reaching record highs. Most recently, the National Automotive Dealership Association reports luxury used car values up around 9% due to the limited availability of the luxury models.
Used car values are at an all time high. Slight falls mid-way through 2012, but experts suggest profit margins will remain intact. Repairing used inventory helps dealerships increase their profit margins.
Overall, used car values have seen a slight decline over the past few months according to Manheim Used Vehicle Value Index (published annually). The consulting firm states, “June’s drop in wholesale prices was just faster than May’s (-0.8 percent) and April’s modest decline of only -0.1 percent. So are we now in a free fall? No, it has been an orderly retreat – one that is not yet over, but it should be a retreat that still leaves both buyers and sellers in a comfortable position, retail markets unperturbed, and profit opportunities intact.”
This recession proof franchise system help dealerships increase the profit margins on their valuable used vehicle inventory. A vehicle must be ascetically appealing to the consumer. Dealerships benefit from having a nice-looking inventory. People who drive by can see clean, pristine vehicles and they will be more inclined to go in and look around at the inventory. Just as the dealership manicures its lawn, washes the windows, changes the signs, etc.: their product has to look good too.
How Mobile Franchises Fit in the Mix
Cosmetic imperfections can lower the value of a vehicle. A scratch or scrape on a vehicle may deter someone from purchasing the vehicle, or create a decline in the amount the customer would be willing to pay for it.
It costs a dealership money to have a car sitting on the lot for too long. Dealerships like to bring vehicles on their lot and sell them as soon as possible. Ultragloss (and mobile franchises offering similar services) help them do that by making the inventory look better.
This is why the mobile businesses that service dealership lots are generally considered to be a recession proof franchise option. Request more information about the Ultragloss franchise opportunity.