U.S. dealerships reported record annual revenue of $1.22 trillion. They achieved this by offsetting thin new car margins with highly profitable service work and F&I products.
Key Takeaways
- U.S. consumers prefer dealerships for 78% of vehicle purchases in 2023 surveys
- In 2022, franchised new-car dealerships in the U.S. reported total gross revenue of $1.22 trillion, marking the highest on record
- U.S. new-vehicle sales reached 13.9 million units in 2023, with dealerships retailing 89% of them
- 84% of U.S. dealerships use digital retailing tools in 2024
- U.S. auto dealerships employed 1.2 million people in 2022
Dealership industry data shows steady demand, highlighting opportunities for growth and smarter inventory management.
Related reading
01 · Category
Consumer Insights24 stats
01
U.S. consumers prefer dealerships for 78% of vehicle purchases in 2023 surveys
02
67% of car buyers research online before visiting dealerships in 2024
03
Average age of car buyers at dealerships is 53 years old in 2023
04
41% of buyers prioritize fuel economy when shopping at dealerships in 2023
05
73% of dealership customers use mobile devices for initial vehicle searches in 2024
06
Millennial buyers represent 38% of dealership new car sales in 2023
07
62% of buyers walk away from dealerships due to poor online experience in 2023
08
Women account for 52% of dealership research starts but 44% of purchases in 2024
09
55% of EV intenders prefer dealership test drives before buying in 2023
10
Average dealership customer lifetime value is $58,000over 4 transactions
11
48% of buyers under 40 want fully digital dealership buying in 2024
12
Hispanic buyers grew to 22% of dealership sales volume in 2023
13
69% of dealership visitors negotiate price, averaging 7% off MSRP in 2023
14
Gen Z represents 12% of dealership foot traffic but 18% of online inquiries in 2024
15
76% of loyal dealership customers return for service within 12 months
16
34% of buyers cite high interest rates as top barrier at dealerships in Q1 2024
17
Truck buyers at dealerships are 65% male, averaging $65,000 household income in 2023
18
81% of dealership sales involve financing, with average loan term 68 months in 2023
19
Online reservation usage at dealerships rose to 29% of appointments in 2024
20
57% of buyers prefer trade-ins at dealerships, valuing them 10% below market in 2023
21
Repeat buyers loyalty rate at dealerships is 54% for service after purchase
22
45% of EV shoppers at dealerships cite range anxiety as concern in 2024
23
Average household income for luxury dealership buyers is $152,000in 2023
24
66% of dealership customers review online before visiting in Q1 2024
Interpretation
Consumer Insights Interpretation
While Gen Z might lurk online and your grandfather might still love a good haggle in the showroom, the modern dealership's path to profit is paved by mastering a digital-first, mobile-driven experience that converts a curious 53-year-old into a $58,000 loyalist before she even parks her fuel-efficient crossover.
02 · Category
Financial Metrics30 stats
01
In 2022, franchised new-car dealerships in the U.S. reported total gross revenue of $1.22 trillion, marking the highest on record
02
U.S. auto dealerships achieved a gross profit margin of 8.7% on new vehicle sales in 2023, up from 6.9% in 2022
03
The average net profit per new vehicle retailed by U.S. dealerships reached $1,959in Q4 2023
04
Light truck sales accounted for 79.3% of new vehicle dealership gross profits in 2022, totaling $52.1 billion
05
U.S. dealership service and parts departments generated $100.6 billion in gross revenue in 2022
06
Franchise dealership F&I gross profit averaged $2,487per new vehicle in 2023
07
Total U.S. dealership advertising expenses rose to $5.2 billion in 2022, representing 1.1% of gross revenue
08
Independent dealerships in the U.S. saw used vehicle gross profits of $13,959per unit in Q1 2024
09
New vehicle inventory expenses for U.S. dealerships averaged $1.8 million per store in 2023
10
Dealerships reported $18.4 billion in total gross profit from used vehicles in 2022
11
Average dealership pretax profit margin was 3.4% in 2022 for franchised new-car dealers
12
U.S. dealerships' total capital expenditures reached $8.7 billion in 2022
13
Gross revenue from new vehicles at U.S. dealerships hit $718.9 billion in 2022
14
Used vehicle average selling price at dealerships was $28,710in Q1 2024
15
Dealership service labor gross profit margin stood at 68% in 2023
16
Total U.S. franchised dealership revenue grew 11.7% year-over-year to $1.22 trillion in 2022
17
Average new vehicle gross profit per unit was $1,959for dealerships in 2023
18
Dealerships' total used retail units sold generated $482 billion in revenue in 2022
19
F&I penetration rate for new vehicles at dealerships was 104% in Q1 2024
20
U.S. dealership pretax profits totaled $42 billion in 2022
21
Average dealership employee productivity measured $456,000in gross revenue per employee in 2022
22
New light truck gross profit contributed $44.8 billion to dealership totals in 2022
23
Dealerships' average floorplan interest expense per store was $285,000in 2023
24
Total parts gross revenue at U.S. dealerships was $52.5 billion in 2022
25
Independent dealers' used vehicle gross margin was 10.5% in Q4 2023
26
U.S. new-car dealerships' total assets averaged $32.6 million per store in 2022
27
Service absorption rate at dealerships averaged 93% in 2023
28
Gross profit from new cars reached $61 billion across U.S. dealerships in 2022
29
Average selling speed for used vehicles at dealerships was 41 days in Q1 2024
30
U.S. dealership total liabilities averaged $18.2 million per dealer in 2022
Interpretation
Financial Metrics Interpretation
While franchised dealerships celebrated a record-breaking $1.22 trillion in revenue, a closer look reveals their true survival tactic: they've brilliantly subsidized the razor-thin margins on new car sales by leaning into highly profitable service bays, lucrative F&I products, and an unquenchable public thirst for expensive trucks.
03 · Category
Sales Volume27 stats
01
U.S. new-vehicle sales reached 13.9 million units in 2023, with dealerships retailing 89% of them
02
Franchised dealerships sold 7.7 million new vehicles in 2022
03
Used vehicle retail sales at U.S. dealerships totaled 16.8 million units in 2022
04
New light truck sales by dealerships hit 8.1 million units in 2023
05
Electric vehicle sales through dealerships grew 49% to 1.2 million units in 2023
06
Average dealership sold 284 new vehicles per store in 2022
07
Used retail units per independent dealership averaged 1,012 in 2022
08
Pickup truck sales dominated dealership new sales at 2.9 million units in 2023
09
Franchised dealers wholesaled 6.2 million used vehicles in 2022
10
SUV/CUV sales reached 6.5 million units via U.S. dealerships in 2023
11
Total light vehicle sales through dealerships were 15.5 million in 2023
12
Average monthly new vehicle sales per dealership were 24 units in Q1 2024
13
Certified pre-owned vehicle sales hit 1.7 million units in 2022
14
Hybrid vehicle sales through dealerships increased 52% to 1.1 million in 2023
15
Dealerships retailed 2.3 million used cars under 30 days supply in Q4 2023
16
New car sales market share for Toyota dealerships was 14.5% in 2023
17
Total dealership used vehicle sales volume was 17.5 million units projected for 2023
18
Franchised dealership new vehicle sales days' supply averaged 68 days in Q1 2024
19
Luxury vehicle sales at dealerships totaled 2.8 million units in 2022
20
Average used vehicles sold per franchised dealer was 708 retail units in 2022
21
Tesla direct sales bypassed dealerships for 654,000 units in 2023, impacting traditional volume
22
Dealerships sold 4.1 million new sedans and small cars in 2022
23
Off-road SUV sales grew 12% to 1.2 million units at dealerships in 2023
24
Average new vehicle transaction time at dealerships was 16.6 hours in Q1 2024
25
Independent dealership used sales volume increased 5% to 7.1 million in 2023
26
Dealerships wholesaled 2.5 million auction units in Q4 2023
27
52% of new vehicle sales at dealerships were trucks in 2023
Interpretation
Sales Volume Interpretation
Despite Tesla's end-run around the showroom, Americans' enduring love affair with the dealership lot, from pickups to EVs, continues to drive a massive, if occasionally frustrating, machine that sold over 15 million vehicles last year and shows no sign of running out of gas.
More related reading
04 · Category
Technology and Innovation27 stats
01
84% of U.S. dealerships use digital retailing tools in 2024
02
62% of vehicle sales start online at dealership websites in 2023
03
Dealerships invested $2.1 billion in digital advertising in 2022
04
CRM software penetration in dealerships reached 92% in 2023
05
45% of dealerships offer fully online purchase processes in 2024
06
AI chatbots handle 28% of initial dealership inquiries in 2023
07
Inventory management systems cover 98% of franchised dealerships in 2022
08
Electric vehicle charging stations at 35% of dealerships in 2024
09
Mobile app usage for service appointments at 51% of dealerships in 2023
10
Blockchain for vehicle history adopted by 12% of dealerships in 2023
11
Virtual reality tours implemented in 22% of luxury dealerships in 2024
12
Data analytics ROI for dealership marketing averaged 4.5x in 2023
13
76% of dealerships use omnichannel retailing in 2024
14
Robotic process automation in F&I at 18% of dealerships in 2023
15
360-degree vehicle imaging standard at 89% of dealership sites in 2022
16
Cybersecurity incidents affected 14% of dealerships in 2023
17
AR maintenance tools used by 29% of service departments in 2024
18
Cloud-based DMS adoption at 81% of U.S. dealerships in 2023
19
Predictive analytics for inventory reduced days supply by 15 days average in 2023
20
Voice commerce trials in 8% of dealerships for 2024
21
IoT sensors for service bays in 37% of dealerships in 2023
22
Digital signage ROI at 3.2x for showroom traffic in 2023
23
55% of dealerships integrated APIs for third-party data in 2024
24
Machine learning for pricing dynamic at 26% of used car dealerships in 2023
25
91% of dealerships have websites, with 68% mobile-optimized in 2022
26
Biometric authentication for F&I docs piloted in 5% of dealerships in 2024
27
42% utilization of video walkarounds for remote sales in 2023
Interpretation
Technology and Innovation Interpretation
While car sales are still won by a firm handshake, the modern dealership has cleverly transformed into a digital octopus, meticulously collecting and guiding customers from first online click to final biometric signature.
05 · Category
Workforce Statistics26 stats
01
U.S. auto dealerships employed 1.2 million people in 2022
02
Average dealership workforce size was 328 employees per franchised store in 2022
03
Sales staff turnover rate at dealerships averaged 42% in 2023
04
Dealership technicians numbered 260,000 full-time equivalents in 2022
05
Average dealership salesperson earned $139,000total compensation in 2022
06
65% of dealership job openings were for technicians in 2023
07
Parts department employees averaged 47 per franchised dealership in 2022
08
Female employment in dealerships reached 18% of total workforce in 2023
09
Service advisors averaged $125,000annual pay at dealerships in 2022
10
Dealership total payroll expenses were $82.5 billion in 2022
11
Technician pay rose 12% to average $92,000 per year in 2023
12
72% of dealership managers have 10+ years experience in 2023
13
Independent dealerships employed 290,000 people in 2022
14
Service department staff turnover was 28% at dealerships in 2023
15
Average training hours per dealership employee was 42 in 2022
16
Hispanic workers comprise 24% of dealership workforce in 2023
17
Dealership owners numbered 16,800 principals in 2022
18
Finance managers earned average $225,000at dealerships in 2022
19
55,000 new technician hires needed annually for dealerships through 2027
20
Administrative staff averaged 52 per dealership in 2022
21
Sales department headcount was 104 per average dealership in 2022
22
Employee benefits costs averaged 28% of payroll at dealerships in 2023
23
41% technician shortage impacts 80% of U.S. dealerships in 2024
24
Average dealership service writer compensation $118,000in 2023
25
Total dealership industry jobs grew 2.5% to 1.22 million in 2022
26
67% of dealerships report hiring challenges for skilled labor in 2023
Interpretation
Workforce Statistics Interpretation
Despite paying surprisingly well—especially for technicians who are desperately scarce and salespeople who often flee—the dealership industry thrives on a massive, experienced, yet perpetually revolving door of 1.2 million employees.
Reference
Cite This Report
This report is designed to be cited. We maintain stable URLs and versioned verification dates. Copy the format appropriate for your publication below.
APA
Nathan Caldwell. (2026, February 13). Dealership Industry Statistics. Gitnux. https://gitnux.org/dealership-industry-statistics
MLA
Nathan Caldwell. "Dealership Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/dealership-industry-statistics.
Chicago
Nathan Caldwell. 2026. "Dealership Industry Statistics." Gitnux. https://gitnux.org/dealership-industry-statistics.
Sources & references
15 datasets cited across this report · attribution is report-level