Texas Leads in New Dealerships as Franchise Count, Throughput Fall

Urban Science’s 2025 Mid-Year Automotive Franchise Activity Report finds the number of U.S. franchised dealerships increased from 18,374 at the end of 2024 to 18,393 at the halfway point of 2025, led by seven new stores in Texas.
Louisiana, Michigan, North Carolina and New Jersey tied for second with four new franchised dealerships apiece. Those gains were offset by flat or down markets throughout the rest of the nation; analysts say 97% of markets registered “virtually no” change in new-car rooftop count.
The number of franchises held by U.S. dealers fell from 30,124 to 29,813 in the same time frame. Throughput fell by 5% to 48 units per month per store over the past two quarters.
“Though there was a slight decline in franchises during the first half of the year, 2025 has shown signs of stability in other areas, with steady increases in dealership and EV sales counts,” writes Mitch Phillips, global director of data for Urban Science, in a release. “Regardless of the trend direction, these fluctuations underscore the importance of understanding real-time sales data and leveraging it to create an optimal, science-driven and competitive sales and service network aligned with customer needs.”



