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Auto dealerships have the potential of being an excellent source for sales tax revenue for communities. For example, a community with a local-option sales tax of 1% adds a new dealership that sells 1,000 new and 2,000 used vehicles a year (assuming each vehicle is sold at the national average price). This dealership would generate $580,000 in sales tax revenue annually. In fact, in many communities, residents go outside their community to purchase their autos, creating leakage.
But how do you know if your residents are shopping somewhere else? For your information, research can be conducted to measure actual registrations against demand, by make, so that you can determine automobile makes and volume that your residents are going outside your community to buy. Future demand can then be projected, providing motivation for auto dealers to consider your community...
Buxton's offers this research service, which is called AutoID. It identifies successful auto makes for communities using three key components:
1.Vehicle sales forecasts for 36 makes over the next five years
2.Household segmentation analysis measuring demographics, purchasing behaviors and community preferences
3.Co-tenant analysis that matches a potential auto dealer with retailers and auto co-tenants that boost vehicle sales
The goal of AutoID is to provide an attractive and lucrative addition to communities by identifying auto dealers that will seamlessly integrate with existing or potential retailers and other auto makes.
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When Thinking Retail, Also Think Automobile Retail 
