Thursday, October 22, 2015

The Difference Between Franchise and Independent Dealerships

Not all car dealerships are the same. Some are given their vehicle inventory straight from the manufacturer, while others are strictly used. Some of them even offer cars from certain manufacturers only, while some are able to offer from a variety, such as a Chrysler, Dodge, and Jeep dealership. The important things to remember between franchised vehicle sales and independent vehicle sales are sometimes not so easy to see. That's why we've broken it all down and shown a few of the key differences. Just because we are franchised doesn't mean we aren't the best vehicle dealership in the Jefferson city area!

The Franchise Dealership

A franchised business, such as Spieler's Inc, have a contract with manufacturers that allows them to sell their vehicles. There are over 370 "new car" dealerships in Missouri alone, and each one averages $40 million dollars in vehicle sales every year. That's a huge sum of money! In order to keep that kind of sales, franchise dealerships have an inventory that can last anywhere from 60-90 days from the manufacturer. 

Independent Dealerships

Used car lots, or car lots that gain their vehicles from auctions, private sellers, or trade-ins usually don't have to a lot of the training or customer service etiquette that a franchisee must contend with. This is due to their affiliation with the manufacturers. This doesn't mean that independent dealers are giving less than quality service; rather, that they are excused from the minimum requirements by the manufacturer to maintain the franchise status.  


Training at an independent dealership is based solely upon that particular dealership: however little or however much that turns out to be. A franchised dealership is required to train it's employees based on the manufacturers specifications. This could be remote training (online) or classroom technician training and sales training. Since new cars tend to come with manufacturers warranties, managers and staff are required to be knowledgeable and competent on how to explain the warranty to customers. Basically, as long as an independent dealership isn't breaking the law, they train employees however they like.

All About the Customer

Customer service is a tremendous deal to the manufacturers -they want to sell cars as much as the dealer! To assist with this, some manufacturers require franchisees to keep a waiting area to the customers. These areas can have fresh coffee, snacks, and drinks. Additionally, customers could also be given loaner vehicles, or transport to and from the dealership and it's many lots. Independent dealerships value customer service as well, but the extra costs that are associated with some of the aforementioned perks can keep a lot of dealerships away.

The preference between a franchise or an independent dealer is really a matter of opinion. Do you want a new car? If yes, then head to a franchise dealership and trade in your old car for a brand new model. If you want to go through an independent seller, you can be sure you're money is going directly to the dealership, but the financing options won't be as robust; finances tend to follow bigger businesses. The best car dealership in Mid-Missouri is franchised, and we love to show our customers our professional support! Come see us for some outstanding financing options on new or used vehicles in the Jefferson City area and we'll make sure you are given the best vehicle and best service we have to offer.

Proudly serving the Columbia,
Jefferson City, and California, MO areas

1109 W. Buchanan St.
California, MO 65018
(888) 455-2107

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