Nissan expands U.S. dealer bonuses to drive sales through fiscal year-end

Nissan is moving aggressively to get its business back on track, with a new bonus program for its dealers—seemingly undeterred by the fact that the potential Honda merger is no longer happening.

The details: In the thick of reports that the merger between the two Japanese automakers had been nixed, news broke Wednesday that Nissan plans to reward dealers with cash if they hit their monthly sales target, according to a memo viewed and reported on by Automotive News. The initiative—called the “Q4 Acceleration Bonus Program”—ups the ante on a strategy used last year by the automaker to incentivize dealers. 

• Nissan will pay dealerships up to $1,000 on all new 2025 models and some 2024s if they meet monthly sales targets in February and March—the end of the automaker’s fiscal year. 

• The program functions with three tiers—$250 per vehicle sold by dealers that meet 90% of their sales volume; $500 per vehicle for hitting the sales target; and $1,000 for exceeding the sales target by 10%. 

• Sales benchmarks for the cash incentives vary by store and are based on past performances. 

What they’re saying: “The program is lucrative enough, the sales objectives have been set at a reasonable level, that—assuming that the dealers start early and get into it—is going to be a good thing for their throughput and profitability,” said Vinay Shahani, Sales and Marketing Senior VP for Nissan U.S.

Between the lines: Nissan’s plans—commonly known in the industry as a “stair-step” program—are familiar to the brand, but this time, the stakes are higher. While U.S. sales were up for Nissan in 2024 compared to 2023—heavy consumer incentives are eating into the automaker’s profitability.

Big picture: Despite the apparent benefits of the acceleration program, the National Automotive Dealers Association has criticized this method—arguing it pressures dealers into discounting vehicles. However, Nissan retailer Scott Smith, president of Smith Automotive Group, praised the program to Automotive News.    

Become an automotive insider in just 5 minutes.

Get the weekly email that delivers transparent insights into the car market.

Join 90,000+ others now, it's free:

In today's automotive landscape, car buyers invest more time than ever in researching, considering, and comparing options. But for dealers, the challenge lies in pinpointing the audience ready to make a purchase.

Enter Premier by Edmunds.

Premier offers dealers a groundbreaking way to connect with in-market car shoppers precisely when, where, and how they prefer. With over 20 million monthly visits, Edmunds.com is the go-to destination for buyers seeking market insights, expert advice, and budget tools to make informed decisions.

Through Edmunds Premier, dealers gain access to this highly coveted audience. Simply list your new and used inventory on Edmunds, and watch as qualified, in-market traffic flows directly to your vehicle detail pages on your website.

Don't miss out on this opportunity to elevate your dealership's visibility and sales performance. You can sign up for Premier today at Edmunds.com/CDG.