This topic contains 14 replies, has 8 voices, and was last updated by martino 1 month, 3 weeks ago.
How long will this lockdown keep car dealerships closed is a question baffling those in the automotive industry and the general public.
The problem is no one really knows, but here we’ve looked at the picture from around the world to give it our best guess.
Right now the important thing is to stay home, save lives and protect the NHS – but the longer the lockdown continues, the more people will be asking ‘when will we get back to normal’?
We’ve spoken to a number of dealership groups in the past few days, and other industry experts, to give us our best guest at how long this shut down will last.
How long will car dealerships be closed for due to Covid-19?
Currently, as we write on March 28, it looks like dealerships could be closed for THREE MONTHS.
As efforts to contain the coronavirus and relieve pressure on the NHS has bought retail to a standstill, it would be highly unlikely for car dealers to be back up and running before mid-June.
Most dealerships closed on March 23 – with only some workshops and garages remaining open – and three months from that date would be around June 15.
How long until it returns to normality? Who knows, but looking at other countries I think it could easily be six-10 weeks but I really hope for everyone it isn’t as long as this. Overheads are significant even with all of the government subsidies available so it will really start to hurt businesses if it stretches any further out than that.’
Why do we think lockdown of car dealerships could last three months?
Well, the current government support packages announced for furloughed workers and the self employed lasts the same period and it would be sensible to assume this is linked to how long the government expects most of the economy to be in hibernation.
In most stock market announcements, dealer groups didn’t mention when they thought they’d open again but from the conversations Car Dealer Magazine has had with the bosses of many, they are estimating a three-month closure at least.