As the auto industry continues to grapple with supply shortages, automakers are finding ways to get production lines moving while pumping the brakes on rising prices.

We’ll look at the changes happening at dealerships and discuss which measures look temporary and which ones signal long-term or permanent adjustments to the auto buying experience.

When the Chips Were Down, Automakers Made Tough Choices

It’s no secret that the shortage of semiconductor chips and other parts brought vehicle production to a near-standstill during the COVID-19 pandemic. Even after assembly lines started coming back to life, getting cars in production has been a long process. Ongoing supply chain issues from parts availability to transportation problems further complicated matters.

With a limited number of essential parts and a slate of new electric vehicles set to debut, automobile manufacturers had to make choices. Some automakers discontinued models and consolidated the number of trim levels offered in others.

Manufacturers are limiting non-essential features, particularly those that rely on computer chips. Drivers will have a hard time finding a new SUV with creature comforts like heated and ventilated seats and other options. And automakers such as General Motors are offering fewer engine options in popular models like the 2022 Chevrolet Equinox.

While some auto brands are cutting the number of available choices, others, including Mitsubishi, have expanded the number of trims they’re offering. This allows them to lower the base cost on top-selling SUV models like the Outlander. And shoppers have more package options to get the feature set they want.

Deal? Or No Deal

Whether they’re shopping for new or used SUVs, buyers who manage to find the vehicle they want are paying a lot more to drive it home compared to pre-pandemic prices.

Never mind “sticker shock”: buyers are locked in bidding wars to get the car they want in many cases. Instead of haggling down the price, SUVs are selling for at least the MSRP and often well above it.

As long as inventories remain low, don’t expect to see many hot deals anytime soon.

May We Take Your Order?

Manufacturers have relied on pre-ordering as a way to sell new electric vehicles before they make their way down the assembly line. And now, many brands are extending pre-ordering to their existing lineups.

Although it doesn’t solve the problem for shoppers who need a new set of wheels immediately, it seems there are plenty of car buyers who like the idea of ordering the SUV they want the way they want it. And they’re okay with waiting a few months to drive it home.

Manufacturers and dealerships are embracing pre-ordering because it helps keep the cost of production and inventory management down. And shoppers like the feeling of getting more of the features they want for their money.

Meet the New Normal

It’s been a tumultuous couple of years for everyone involved in the automobile industry. Still, there’s a light at the end of the tunnel.

As parts become more readily available, there’s a good chance we’ll soon see the menu of vehicle options expand to meet consumer demands. We’ll also see more cars in dealer lots, which should satisfy demand and ease prices. Whether inventories increase and prices drop to pre-pandemic levels remains uncertain, especially as more manufacturers (and consumers) move toward a build-to-order model.