Greater Cincinnati franchised new motor vehicle retailers accounted for nearly 160,000 new and used cars sold in the region in 2017, contributing $4.58 billion in retail sales and $234 million in sales tax generated into the local economy, according to a new study conducted by the Greater Cincinnati Automobile Dealers Association (GCADA).
The industry’s economic impact statement was released today in advance of the Cincinnati Auto Expo, which opens Wednesday, February 7 and continues through February 11 at the Duke Energy Convention Center, and is presented by GCADA. The figures are calculated from recent surveys of GCADA.
The study shows that new vehicle sales accounted for $2.35 billion on the sale of 77,459 vehicles, while used vehicle sales totaled $1.39 billion on the sale of 80,520 vehicles. In addition to collecting sales tax, dealerships also paid $10.2 million in Commercial Activity (CAT) tax, $29.7 million in payroll taxes and $4.7 million in real estate taxes.
“The auto industry in Greater Cincinnati continues to be a major factor in the growth of our area’s economy,” said Charlie Howard, executive vice president of the Greater Cincinnati Automobile Dealers Association. “The economic impact study for our industry shows the support the dealerships give to the local communities and employees who contribute so much to the industry’s success.”
Greater Cincinnati dealerships employ nearly 5,700 workers, with an annual payroll of more than $230 million. In addition, area auto dealers spend $57.8 million in advertising.
The average profile of a new vehicle dealership and their economic impact in the Cincinnati region (including Hamilton, Butler, Warren and Clermont counties) is as follows:
- Generated $55 million in total retail sales ($28.6 of that new vehicle sales)
- Employed 69 Ohioans
- Paid $3.7 million in employee wages
- Collected and paid $2.9 million in state and local sales tax
- Paid $362,563 in payroll tax
- Paid $57,748 in real estate taxes
- Paid $124,140 in Commercial Activity Tax
- Spent $704,838 on advertising
The 2018 Cincinnati Auto Expo presented by the Enquirer and Cincinnati.com is slated for February 7-11 at the Duke Energy Convention Center, downtown Cincinnati. The Cincinnati Auto Expo is the area’s premier automotive industry event featuring the latest models of cars, trucks, SUVs, hybrids and crossover vehicles. Dealers from around the area will display their 2018 editions and will be available to answer any questions about the new vehicles.