Welcome to Saturation Nation
‘Da Man’ has a message for the manufacturers flooding the market with inventory and the dealers who have to sell it off.

After several years of strong sales, and despite strong economic indicators, dealers will have to fight for every sale until the market desaturates. Photo by Tom Hilton

After several years of strong sales, and despite strong economic indicators, dealers will have to fight for every sale until the market desaturates. Photo by Tom Hilton
It’s a new month and a new attitude in the car business, where sales have noticeably slowed down in recent weeks despite a rising economic tide. I keep trying to tell the industry that the two are not necessarily entwined. The issue here is good, old-fashioned saturation.
You can’t keep on pumping 60 million new and used cars annually into a market that only has about 200 million qualified buyers. About every five years, it catches up with us, and all your customers seem to be driving a new (or newer) car. There are a limited number of new customers coming into the market. It isn’t crashing, not by any means. It’s just adjusting.
Your response is critical. The cure for saturation is to get your processes and training in order. If you’re going to close a customer today, you have to take that business away from whichever competitor has it.
Most of all, managers have to act like managers — and leaders. It’s time to tighten up and do what we know best. It’s a buyer’s market, and customer service is all important. Your processes, along with your management, must be superior.
Jim Ziegler is the president of Ziegler SuperSystems Inc. and one of the nation's most recognizable trainers and forecasters. Email him at jim.ziegler@bobit.com.
More Blog Posts
Who Killed Cadillac?
Ziegler believes the decline of General Motors’ luxury division could have been prevented and might not be inescapable. But bringing Cadillac back from the dead would require a complete overhaul — and not just for the cars.
Read More →Never Argue With Stupid People
Ziegler sees no point in debating Wall Street analysts and investors who continue to pour money into Carvana despite the company’s unsustainable business model and the federal crimes committed by two of its biggest players.
Read More →Robbery in Progress. Somebody Call the Police!
Ziegler sounds the alarm over factory co-op programs that overpromise and underdeliver, limit dealer choice and vendor competition, and create the risk of a massive theft of valuable — and supposedly private — customer data.
Read More →How Can Geeks Be This Bad at Math?
Ziegler takes aim at subscription programs and wonders how corruption in Nissan’s management ranks — from unreported income to multimillion-dollar cash incentives — could stay hidden in plain sight for so long.
Read More →Stupid Is as Stupid Does
The Alpha Dawg charts the brief rise and long fall of Johan de Nysschen, the recently departed president of Cadillac and author of the business plan that effectively crowned Lincoln as the new king of American luxury.
Read More →They Finally Killed Somebody
Ziegler believes Uber’s directors should face criminal charges for their role in an Arizona woman’s violent death.
Read More →20 Things a GM Must Do Every Week
Ziegler returns to list the 20 essential tasks you must master to become an executive GM and reap the financial rewards, including that elusive $500,000 salary.
Read More →All Things Must Pass
Ziegler mourns the loss of Gregg Allman as Ford and Hyundai shake up their leadership teams and Carvana struggles to stay afloat.
Read More →Join the Battle of Jericho
Ziegler has harsh words for the so-called geniuses behind escalating factory incentives, political support for autonomous vehicles, AutoNation's 'millennial-friendly' pay plan, and the Carvana IPO.
Read More →Don't Run, We Are Your Friends!
Ziegler remains defiant as alien invaders from distant planets abduct car buyers from the new-car market, aim their ray guns at dealer profitability, and strip your operation of its natural resources.
Read More →









