Part 4/12:
The insider notes that auction activity mirrors dealership struggles. For example, at a large auction he's revisited, weekly vehicle movements have plummeted from about 4,500 cars in 2019 to roughly 2,500 today—an astonishing 50% decline.
This reduction in auction volume directly impacts car availability for small used car dealers and reflects wider industry contraction. It also leads to a backlog of inventory, as dealers find it increasingly difficult to offload vehicles.