Used sales boom highlights the importance of online presence

Partner feature: As showrooms reopened in early summer we saw a surge in pent-up demand. However, the semiconductor shortage and Covid-19 related production and logistical issues have resulted in lean new-car supply.

That has led more consumers to turn to the used car market in search of their next vehicle, though the fall in new car sales has inevitably curbed any potential influx of retail-ready part-exchange stock. The resulting imbalance between supply and demand has driven used car prices to an all-time high, and also contributed to an interesting change in buyer behaviour.

Online research

Recent research by eBay Motors showed that customers are taking longer to make a purchasing decision than before and are using multiple online search tools to find the right car at the right price. Perhaps the higher used prices are inculcating a greater sense of caution, or perhaps the lack of choice is simply making it harder for consumers to find what they are looking for.

One thing is for sure: dealers must ensure that their stock has a strong online presence to stay at the forefront of buyers’ minds. It will be vital to keep prospects engaged, and the evidence suggests that this will be a longer process than we are used to. The knock-on effect of this may mean sales staff have to simultaneously juggle a larger number of leads – of varying quality – than before.

Longer lead management

The dealers best equipped to handle this new set of circumstances will be those willing to embrace digital tools and increased automation. That will allow them to keep large numbers of prospects engaged with hyper-targeted content – and, crucially, requiring little manual intervention from sales staff.

Tools such as Marketing Delivery’s Car Alerts system can update a customer when a car matching their search criteria comes into stock or when there is a price change. It is likely that the reason people are using multiple car sales websites is to make sure they are getting the ‘right’ car at the best possible price. If you can help the customer find this information without searching for it themselves, they’re already one step closer to your showroom door.

Seal the deal

Effective automation doesn’t mean an end to personal interaction; rather it enhances it. Software like Car Alerts and SocialStock from Marketing Delivery can alleviate the administrative burden of keeping on top of leads and free up sales staff to interact with customers who are ready to commit to a sale.

With September expected to be unlike any other in terms of registrations, residuals and transaction values, digital automation will help motor retail businesses large and small truly harness the opportunity by transforming the productivity of their online and offline sales operations.