• kburgoyne

    More to the rational analysis point… do electronic billboards actually bring in car customers these days? Don’t the “glutton for punishment” buyers figure out the car they want using the Internet then use the Internet to figure out where the car dealers are? As for the “I hate dealing with car salespeople” people, don’t we all just use the buying service at our credit union, etc, or even didn’t I see Costco was in that game now?

    If there’s one thing I avoid like the plague it’s having to deal with car sales person who, once you think you have a deal, turns you over to the sales manager who whines about how you’re stealing bread out of the mouths of his children.

    Actually… backing off for a sec… the truth is car dealers don’t make much money on car sales anyway. I was at a company that consulted for the owners of a couple car dealerships. As part of their business requirements I became legitimately acquainted with the fact that they actually don’t make a lot of profit off car sales.

    Where they make more of their money is on service. The main thing about getting the sale is that it greatly increases the odds the person is going to come back to them for service. Even in-warranty service is fine because the manufacturer still pays them.

    So I guess another question would be whether the billboards attract people for service.

    And as a side note… everyone please take note of the increasing displays of “bad credit – no problem” advertising at car dealerships just like during the lead-up to the 2008 crash. The dealerships themselves are not making those loans. It means they have some Wall Street related financial wheelers and dealers who are once again looking to make money off high risk loans.

  • frustrated

    Santa Ana to Pay $1 Million for Car Dealers’ New Digital Billboard

  • Gunny98

    Isn’t the sales tax collected returned to the city in which the car is registered and not the city where the car was purchased?

  • DonWood

    So Santa Ana voters now know who these politicians really work for, and it isn’t us! Since when do cities have to subsidize private car dealerships? Santa Ana must be one of the most corrupt local governments in California, the voters need to clean these crooks out when they come up for reelection

    • kburgoyne

      “Santa Ana must be one of the most corrupt…” — Oh please. I’m not saying they’re angels, but it’s not the first time a city has provided corporate welfare. If Anaheim had only paid for a billboard instead of giving away all the tourist dollars the citizens of Anaheim would be WAY ahead.

  • David Zenger

    What’s the big deal? Redevelopment used to waste money like this all the time and hardly anybody squawked about subsidies. Good to see crony capitalism is alive and well.

    I wonder how the City was supposed to tell sign-based revenue growth from any other retail sales factors. Oh well, who cares?