LAS VEGAS -- Volvo aims to help its U.S. dealerships improve profitability in 2018 in part by focusing on used cars and customer service.
With the most updated product portfolio in the brand's history, "it's time to deliver" on profitability gains, Volvo Car USA CEO Anders Gustafsson said Sunday after the make meeting here. "Our retailers need to make more money."
Overall dealership profitability is expected to increase in 2018 vs. last year, Gustafsson said. He declined to share by what percentage. If dealership profits don't improve, "they need to throw me out," he said.
Volvo will increase its marketing spend in 2018 to support the updated product. More resources will go into promoting used-car sales and improving dealership training, he said.
"Used cars and customer service is our medicine," Gustafsson said. "We, Volvo, need to do a better job. We need to support our retailers to get even better on used cars and customer service."
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