California Autos Examiner

Friday, September 21, 2007

Lithia Dealership Group to Go No-Haggle

Lithia Motors owns 108 stores in 46 markets located in 15 states in the Western and Midwestern United States. Lithia has 30 brands under its umbrella and had total revenues of $3.17 billion in 2006. So basically, what I am saying here is that Litha is a "big dog" in the industry.

Now comes news that over the next three years the Lithia Motors is going no-haggle. The problem that I have seen with no haggle is that unless everyone goes the same way, all a buyer has to do is get the no haggle price and then have a competitor beat it. That can get pretty frustrating for dealership personnel.

Don't get me wrong, I'd love to see the automotive business become more about service than absolute lowest price and dodgy sales tactics. However, I am skeptical that things can change. But if anyone can carry this off it will be a big dog like Lithia.

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