AUTOS: New Cars for Sale

The 44,000 U.S. auto dealers last week were hotter than Model-T radiators. They have been selling only a fraction of the number of new cars OPA’s quotas allow—and total cars available in 1942 are only 9% of last year’s sales. The National Automobile Dealers Association made a cross-country check of 9,000 local rationing boards, was shocked to find new-car sales even worse than most dealers figured. In the first 20-25 days of rationing, not a single new car was sold in Sioux Falls, S.D., Lewiston, Idaho, Council Bluffs, Iowa, many other towns. Big-city sales were little better. In New York City they were 9% of March quotas, Buffalo 3%, Omaha 2%, San Diego and Spokane 16%. The average dealer now sells only one or two cars for every 100 he sold a year ago.

For this ruinous situation most dealers blame tough local rationing boards, claim that they keep releases far below the law’s legal limit. Thus when a busy New York doctor tried to swap his many-miled Studebaker for a 1942 model he was turned down flat. Reason: his old car was registered in his wife’s name.

To make matters worse, OPA was late supplying boards with rules & regulations, application forms, other red-tape paraphernalia. (Some boards are still without.) Then, too, mighty Government blasts about tire shortages and gas rationing have scared some buyers off, while still others, although perhaps eligible, keep clear of showrooms because they do not know the rules.

To give the angry dealers relief, OPA’s automan Cyrus McCormick has already promised that they will be allowed to sell at least 340,000 cars this year. Last week OPA eased the rules covering registration of new cars. Meanwhile Nash announced that it would lend its dealers $10 cash per car per month until March 1943.

But this week many a dealer figured that old-fashioned salesmanship is the best answer to his dilemma. A Manhattan go-getter prettied his showroom with bunting and spring flowers, slapped a huge sign in his window: “Immediate Deliveries—BRAND NEW 1942 Hudsons.” Cadillac and Chrysler dealers did likewise. And, like a lawyer with a client, many a dealer will help a customer fight it out with the ration board.