Have your eye set on buying a used luxury car in an attempt to save money? Competition is going to be tough for an ever-dwindling supply of used cars.
The used car market is getting tight in Connecticut and beyond for a factor of reasons but mostly because of the paucity of new car sales and leasing two years ago. One segment being largely affected by that decline is luxury sedans.
“We never stopped leasing but people weren’t out buying,” said John “Jack” Ferry, who handles media relations for Mercedes-Benz Financial Services USA.
Bryan Wilson, vehicle remarketing manager for Mercedes-Benz Financial Services USA in New England, said auction sales in Framingham, where he is based, used to run about 350 vehicles a month but that number has dwindled recently to 120 units a month. That means local Mercedes dealers are going to have fewer used vehicles to sell on their lots.
Mercedes-Benz Financial used to sell about 100,000 off-lease vehicles a year. It expects that number to drop 30 to 35 percent in 2011 and remain flat in 2012 before rebounding to about 100,000 vehicles again in 2013.
Two of three Mercedes vehicles that leave dealer lots are leased (with ownership retained by Mercedes Financial). When the vehicles come off lease, they are sold. The local dealership gets first shot at selling them, which eats up 46 percent of off-lease vehicles. About 36 percent go to auction and the rest go to the original lessee who either buys or extends the vehicle lease.
Dealers take vehicles off lease and convert them to certified pre-owned vehicles after a multi-point inspection and additional manufacturer warranty protection. They can also buy vehicles at auction and convert them to certified pre-owned vehicles. The majority of certified pre-owned Mercedes, though, usually originate from the dealership where they were first leased.
“Our last resort is live auction,” said Wilson, explaining that 90 percent of the vehicles sold at auction have some reconditioning. One in five vehicles that come off lease have had substandard repairs. “You would be surprised how many bad body shops are out there,” Wilson said.
Each car that comes off lease is rated from 5 to 1 with 5 being best (and 0 actually being vehicles classified as salvage that are used for parts). “We still them even if they are rough to repair,” said Wilson. “We can set a dollar amount.”
Consumers can’t directly buy Mercedes vehicles coming off lease at auction. They have to be purchased through Mercedes dealers or used car dealerships at closed auctions. About 20 percent of the closed auction sales go to Mercedes dealers with the rest going to used car dealers without Mercedes franchises.
Tile service adds hardwood
Sir Grout, a tile and grout care and restoration service, is now aiming its focus at dingy looking hardwood floors and has launched Wood Armor, a sandless wood floor renewal process. This application is designed to restore and refresh hardwood floors showing visible signs of wear.
“Home and business owners looking for a cost effective way to beautify their hard wood floors can now call on us,” said Rod Carnes, owner of Sir Grout of Hartford. “Our new sandless Wood Armor process doesn’t create the dust or odors associated with most conventional wood refinishing, and it literally dries within an hour, allowing us to complete most jobs within a day.”
For information, call (860) 781-6480 or log on to www.sirgrout.com.
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Auto glass service opens
The Glass Doctor of Middletown, a franchise owned by Andy Doscher, has opened for business. It offers mobile residential, automotive, and commercial glass services to Hartford and Middlesex counties. The showroom and shop are open 9 a.m. — 5 p.m. Monday through Friday, Saturdays by appointment and a 24-hour emergency service is available.
“I am excited to own a business in such a great community,” Doscher said. “The customer’s needs are important to us, and we intend to exceed expectations.”
Upon purchasing the franchise, Doscher attended a 10-day training course on the latest glass repair technology, customer service techniques and marketing methods held at the Glass Doctor University Training Center in Waco, Texas. The Glass Doctor of Middletown shop is located at 217 Pickering St. in Portland. For more information, call 860-788-2609 or visit www.glassrepairMiddletownCT.com.
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Westfarms gets True Religion
Westfarms announced the opening of the state’s first True Religion Brand Jeans store. It will be located on the mall’s upper level in the Nordstrom wing.
The fast-growing brand, founded in 2002, offers high quality, distinctive 1970s-inspired styling and fit in jeans. True Religion is known not only for its denim, but also for its knit and woven sportswear such as T-shirts, western shirts and loungewear that all have that vintage feel.
