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Durango auto sales growing

Dealers see strong summer as economy keeps improving
New Ford trucks are lined up for buyers at Durango Motor Co., where inventory and sales are up, reflecting a trend at other local dealerships.

Durango auto dealers are riding an improving economy to better sales.

The critical summer season proved to be strong for vehicle dealers in Durango and across the nation.

Local sales-tax collections from autos grew 9.8 percent in August compared with a year earlier.

“We’ve had a great summer,” said Darin Jensen, sales manager at Economy Nissan in Durango.

So have the Big Three domestic automakers.

Sales nationally in August grew 22 percent for General Motors Co., 20 percent for Ford Motor Co. and 12 percent for Chrysler Group LLC.

Buoyed by a stronger economy, many auto buyers who have been out of the market for years are coming back to upgrade their cars.

Pat Murphy, co-owner of Morehart Murphy Regional Auto Center in Bodo Industrial Park, said sales continue to improve since the economy fell five years ago.

“We continue to do a little bit better every year,” he said. The dealership sells Subaru, Buick, GMC, Chevrolet, Dodge, Chrysler, Jeep and Ram vehicles.

For the year, auto sales-tax collections in Durango were up 4.8 percent through August.

Auto manufacturers have rolled out expanded lines of new models to entice customers. More buyers are trading down from big diesel pickups to slightly smaller gasoline models, and crossover SUVs are increasingly popular.

“We’re seeing a lot of people going to the smaller SUVs,” Jensen said.

Local buyers are drawn to smaller SUVs with all-wheel drive and fuel-efficient four- or six-cylinder engines, he said.

Gas prices have held steady in Durango. Regular gas averaged $3.64 per gallon Thursday, essentially unchanged in the last month. A year ago, gas was $3.70 per gallon, according to AAA.

Durango Motor Co., formerly New Country Auto Center, has expanded its inventory and seen improved sales, said Megan Aus, marketing director.

“With our increased sales, we’ve been able to increase the choices that we’re offering,” Aus said.

The dealership, which sells Ford, Lincoln, Toyota and Kia, also has added sales staff and beefed up training to handle the additional showroom traffic.

“We’ve had our highest months on record,” Aus said.

Local car dealers said they expect continued improvement in sales and more new models next year.

“We really think this is going to continue trending upwards,” Jensen said.

Murphy said he expects strong competition among automakers, with “a lot of new product hitting the market, but an awful lot of competition for the consumer’s attention on the product.”

Perhaps the most notable trend has been American automakers’ comeback from the brink. Manufacturers are looking for the trend to continue, with plans to increase production.

“There’s an awful lot that the domestic manufacturers have to offer,” Murphy said. “The domestic manufacturers are very much in the game and always have been.”

cslothower@durangoherald.com



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