3 Big Groups Back Over 30 Day Supply, Smoke Reviews Q1, A Big Lot Of Guerilla Marketing

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Welcome to another great week in Retail Auto, folks. Today we’re getting started by talking about  a hard fought milestone for at least three of the big publics. We’re also reviewing a conversation with COX Chief Economist, Jonathan Smoke, as well as giving props to some of the best guerilla marketing we’ve seen in a while. 

• For the first time in over two years, at least three of the major public vehicle retailers reported a 30 plus day supply in new car inventory. 
  • Asbury hit 30 days, up from 10 a year earlier, 26 in Q4
  • Sonic hit 31 days, up from 15 a year earlier, and 24 in Q4
  • Lithia hit 52 days, up from 27 a year earlier and, 47 in Q4
  • There is still a lot of disparity between manufacturers
    • Thomas King, president of J.D. Power data and analytics, said in a statement Thursday "As we look to May, the asymmetrical market positions of each manufacturer could become more apparent. Brands with higher inventory levels may participate in the tradition of Memorial Day promotions and discounts to generate sales, while other brands that are still struggling with production will have to decide whether or not to compete on price."

• Our friend Jonathan Smoke, Chief Economist at COX, broke down Q1 trends regarding the movement in new and used car sales as the markets begin to moderate and some new car buyers who were forced into the used market are beginning to move back. 
  • Smoke said “The retail vehicle market is showing clear changes in momentum in March,” as new vehicle sales were up 9% YoY and used declined 6%
  • Smoke specifically noted that there are more, lower cost new car options on the market that weren’t there a year ago. 
  • Regarding the used market, Smoke says, “The traditional used-car market buyers are left, and they are the most challenged in terms of credit conditions and affordability.”
  • He also noted that used supply is still down and wholesale prices will continue to be high

• In one of the best guerilla marketing tactics we’ve seen in a while, both Big Lots and The Container Store, will be accepting all of those 20% off coupons floating around from the now bankrupt Bed Bath and Beyond. 
  • Late last week Big Lots said they would apply any of those coupons to purchases over $50 through May 7th.
    •  “Our mission is to help people live big and save lots, which means we’re always thinking of ways to step up and deliver even more value to consumers,” Bruce Thorn, president & CEO of Big Lots, said in a statement.
  • The Container Store is getting even more aggressive accepting the coupons through May 31st
  • Although both stores aren’t an exact match to Bed Bath and Beyond’s product mix, there is more than enough overlap to woo some new customers through their doors

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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