During the height of the pandemic, lockdowns were the primary challenge that automakers had to deal with. However, they were not the only challenge, as global shutdowns caused chip shortages, making it difficult to keep up with production. This resulted in higher car prices and a lack of innovation, as automakers couldn't implement their vision for safer and generally more advanced vehicles.
Chip Production is Beginning to Rebound
Fortunately, chip production is beginning to rebound, making vehicles easier to produce and get out to customers promptly. The ability to meet demand means that prices should stabilize even if they remain higher than they were prior to 2020. It also means you'll have access to vehicles with quality features such as backup cameras, navigation, and emergency braking.
Automakers Benefit from Increased Chip Production
Automakers benefit from increased chip production because they can boost their sales figures and reduce inventory that just sits on their lots. Like a home that is on the market for too long, a vehicle that sits on a lot too long often sells at a price lower than full retail price. Selling at a loss becomes more beneficial than having it take up space that can be used for new inventory.
Additionally, automakers can make themselves more competitive by offering new features that other vehicles might not have. Alternatively, they can put features in their own vehicles to keep pace with the competition. Doing so can help win back customers who may have left or gain market share.
You'll Get What You Want When You Want It
Access to a vehicle is essential for life in most of America. Therefore, it's critical that you can get the vehicle that you want in a timely manner. As production increases, buying what you need locally is easier than scouring the internet to source your preferred make or model.
Visit Us Today!
If you are in the market for a new or used vehicle, don't hesitate to visit one of our locations today. We'll be more than happy to help with financing, schedule a test drive, or take other steps to ensure that you have a pleasant buying experience. Feel free to contact us online if you aren't ready to see us in person.