Nissan is allowing some Infiniti dealers to merge with Nissan stores to cut costs. This strategic move comes during challenging times for both brands, aiming to boost efficiency and sales.
Infiniti's U.S. dealerships average just 24 new car sales per month, according to Automotive News. This figure underscores the urgent need to reduce operational costs. The luxury brand's market share has significantly dropped from selling 87,934 cars in early 2019 to just 42,567 in the same period of 2024, reducing its luxury market stake from six to 2.8 percent.
With this new strategy, Nissan and Infiniti will maintain separate customer areas but will share back-office and service operations. This setup aims to streamline resources and boost sales at each location.
Brian Brockman, Nissan's Vice President of Communications, confirmed the discussions to consolidate dealerships but did not provide specific details. In Canada, where a similar approach has been successful, the merger has demonstrated its potential for positive outcomes.
Summary: Nissan is merging some Infiniti dealerships with its own to reduce costs and improve sales, maintaining separate showrooms but shared operations. With Infiniti facing a declining market share, this strategic adaptation is crucial.
