By Josh Vajda
With prices of late model used vehicles at a near all-time high one of the greatest challenges for used car managers is acquiring enough inventory to meet the current demand.
Used car managers are traveling further distances, attending more auctions and paying more than they ever have before, with little control of what comes available at auctions and what the market demands they pay for good inventory.
What they do have control over, however, are the processes within the dealership that determine how leads for used cars are handled.
Implementing the following best practices in the Internet Sales department may help alleviate some of the pain felt due to current lack of inventory:
- Encourage Flexibility. When the price of a used car reaches 60% of a new car, often times the consumer will opt for a new car instead. So when an Internet leads comes in for a used vehicle and you don’t have the inventory to match it, highlight new vehicles in the same style and price
- Actively Solicit Trade-ins. Tag every email correspondence to customers with an offer to buy their trade-in vehicle—whether they buy from you or not—to drive traffic into your showroom and help boost your inventory.
- Don’t Give Up. Instead of closing out leads that you couldn’t help, due to lack of inventory, start a “want list” of vehicles requested and provide it to the used car manager weekly.
- Hold Firm on Prices. Used vehicles are turning quickly and hard to replace right now, which reduces the amount of potential substitute vehicles in the market and makes the ones you have even more valuable.
Josh Vajda, Director of Inside Sales, AutoUSA, can be reached at [email protected]. Read the full article here.