Auto Sales Slow in 2000
by June 25, 2001 12:00 am 118 views
The slowing economy apparently affected automobile sales in Northwest Arkansas last year.
Nationally, auto sales increased by 7.1 percent to $802 million from 1999 to 2000, according to the U.S. Census Bureau. But that’s a considerable drop from an 11.6 percent increase to $746 million from 1998 to 1999.
Last year, the Top 5 local dealerships in our list all had double-digit sales increases between 1998 and 1999. From 1999 to 2000, however, Nelms Auto Stores of Fayetteville was the only business in our Top 5 that broke the 10 percent ceiling. Daryl Hickman Chevrolet-Olds Inc. of Siloam Springs had the greatest increase in sales — 41.5 percent more than 1999.
Superior Automotive Group, No. 1 on our revenue-based list, had sales of about $210 million last year. That’s a 5 percent increase over $200 million in 1999.
At No. 2, Lewis Automotive Group saw revenue drop by $3 million (2.3 percent) in 2000 when compared to 1999. Lewis had an increase of 12.9 percent in sales from 1998 to 1999.
Don Stone, who is in charge of fixed operations and administration for Lewis Automotive, blames the economy. He said the company has been seeing more “need buyers” over the past six months instead of people who just want to upgrade to a newer model vehicle.
Nelms Auto Stores of Fayetteville continued its positive sales trend in 2000 with an increase of 12.4 percent (from $89 million to $100 million) from 1999. Nelms had an 11.3 percent increase in sales from 1998 to 1999.
Don Nelms, the owner, consolidated Nelms Auto Stores Inc. at one 34-acre location on Interstate 540 in Fayetteville in April 2000.
Landers Toyota of Springdale looks like somewhat of a wild card in the area’s auto deck.
Landers purchased Bob Clark Toyota of Springdale in December. Randy Nichols, the general manager, said he didn’t know what the dealership’s sales figures were for 2000, but he said they totaled about $23 million for January through May of 2001. If that rate continues, Landers is in position to move up next year from its position at No. 7, which is based on 1999 sales of $36.8.
Landers has seven dealerships, most of which are near Little Rock and Memphis. The company is owned by United Auto Group, which has 198 dealerships, Nichols said.