The used car industry is rapidly changing. And unfortunately, you are either in the driver’s seat or the rearview mirror. When it comes to your lot, your goal for the year should be to break away from the pack. Not preparing properly will set you up for a mediocre 2023.
You see, for the automotive market, experiencing peak performance comes down to a few key factors. And if you want to accelerate into the new year and beyond, then you need to move away from your gut and begin to embrace data.
Already doing that? Fantastic!
Then it’s time to make a game plan to maximize what you are doing and discover creative ways to amplify your efforts. You can schedule a consultation today to find inventive avenues to improve consumer acquisition, enhance inventory management, and maximize your ability to sell more vehicles while retaining the high grosses your dealership has come to love. If you are still making decisions based on your gut and treating your lot like a carnival guessing game, then you are going to want to read on to discover the three key methods for how data makes a difference in the used car industry.
First, it’s important to understand the basic importance of data. For the automotive industry, data makes a difference in how you acquire, merchandise, and sell. There are valuable opportunities for you to make sure you are properly evaluating vehicles for appraisal. Through proper data, you’ll get insights that illuminate even the darkest corners of a vehicle as you come up with its true value. On top of that, data provides details on how to price competitively after the acquisition, how to manage your lot to reduce aged inventory, and how to hold more gross on every transaction.
Seems simple, but how do you get the right data?
Cultivating data starts with having the right feeds in place. Simply having processes and solutions that collect data isn’t enough. Instead of leaving your data out to dry, you need to weaponize it in as many ways as possible for your success. Specifically for the used car industry, data that is fed into your inventory management system needs to manifest somewhere. These data population points will help you understand every aspect of your inventory. With a next-generation tool, you have access to reports that help you to stop racing to the bottom, maximize your buying and selling efforts, and rightsize your lot for continued success in the face of any market volatility.
Finally, when you have access to the reports capable of helping you utilize your data, you need to know what to do with it. That’s where teamwork comes into play. Modern dealerships are operating with more technology than ever before. And as stores integrate these advanced solutions into their operations, it’s important to reduce obstacles that create friction in the customer experience. A proper inventory management system needs to operate in harmony with your other solutions while also being accessible to your team.
When you have an ecosystem of technologies that work together, you can put your data to proper usage to make informed decisions. Breaking away from the pack this year means being a dealership capable of being competitive in price, experience, and opportunity.
At the end of the day, your lot has plentiful opportunities to learn from the systems that you integrate into operations. Data is your partner, and a quality vendor should be a consultant to assist you on your journey. As you develop your roadmap and discover points where data will help you excel, ensure that you are getting clean data that can be leveraged to tell a complete story. The days of relying on your gut are over. Consumers expect more from your store and demand a heightened shopping experience. It’s time you gave it to them.
Decisions driven by data will help you succeed. But where do you start? Begin by integrating solutions that deliver the cleanest data possible. These feeds will bring you reports that can show you new and productive ways to manage operations. After that, you’ll have the ability to make informed choices about vehicle acquisition, trade-in and appraisal, pricing, selling, and customer service. Don’t know where to begin? Let MAX Digital show you the importance of data while bringing you the cleanest feeds possible. It’s time to take your dealership into the next generation. Schedule your consultation today.