Posts Tagged ‘used car news


Getting a Good Deal on a Used Car

Many consumers that are in the market for a used car will find that they really are going to have to shop smarter and do even more homework before buying. With factors such as the recession and parts shortages caused by earthquake and tsunami in Japan the used car market is getting squeezed and supplies are, and will continue to be affected. In the past 6 years this is the highest that used car prices have been and it looks like supplies will continue to be limited for another two years.

Kiplinger offers advice on how to get the best deal on a used car. They recommend the following strategies to find the values and negotiate a good deal. First, you must know what is important to you: is it fuel economy or space? Do you want a small car or need a truck? Mark Scott from recommends looking at cars that have recently updated their design. If the latest model has a new look than previous models are likely to be priced lower. Secondly, shop smart and start your search and research online. and are two of the biggest sites and great place to start. And finally before you sign make sure you check out the vehicle’s history report and of course get the vehicle inspected.

To read the full Kiplinger’s article, please click here.


NABD conference & academy

This year, the National Alliance of Buy-Here, Pay-Here Dealers will hold the Buy-Here, Pay-Here Dealer Academy, May 16 & 17 before their annual conference which begins May 18. Both the academy and the conference will be held at the Venetian/Palazzo in Las Vegas. The Academy will focus on the key things needed to run successful in-house financing, both operationally and financially.  The combo of the academy followed by the conference should offer a great deal of important educational information to help dealers further sharpen their skills in the area of in-house financing. Ken Shilson, NABD president and founder said that they have assembled a group of the nations leading operators and experts who will share their knowledge. So whether you are new and looking to move into the Buy-Here, Pay-Here market or a seasoned professional you should come away with some useful and helpful information for your buy-here, pay-here dealership.

The overall focus of this year’s conference will be on the image of the buy-here, pay-here industry with a total of 30 speakers planned.

To read the full article in Used Car News, please click here.


used car sales & prices on the rise

Looks like the cost of used cars, particularly compact used cars is anticipated to continue to rise. According to NADA, since January the trade-in value for compact cars has gone up by 10% compared to only a 4% rise in 2010. Factors that are contributing to this rise are not only gas prices and the want for more fuel efficient vehicles but also the auto production slow down caused by the Japan earthquake and tsuami. It’s expected that the cost of compact and or fuel efficient vehicles will continue to rise until the production problems are solved in Japan. The shortage of new car availability is making consumers look to the used car market for both fuel efficient vehicles and more selection. This can either be a great time to trade-in your vehicle or a time to hold on to it.

To read the full article in the Dayton Daily News, please click here.


used car prices still moving up

Looks like they expect used car prices to continue to go up. Due to the impact that the Japan earthquake is having on auto production, it’s anticipated that used car prices will continue to rise, particularly on small used cars. Over the last couple of weeks there’s been an 11% increase in the wholesale prices of used compact cars, and midsize cars went up by 8.5%. NADA pricing service said that the price increase for small to medium cars will most likely continue to rise since they’re the closest substitutes for the Japanese new cars. As expected, gas prices have also played a role in the trade-in value of smaller cars, so combine that with the effect that the earthquake in Japan has had on auto production and we will most likely continue to see an increase. Toyota and Nissan said that they don’t anticipate being back up to full production in Japan until April 11.

To read the full article in USA Today, please click here.


Industry experts optimistic

The outlook was optimistic at the Conference of Automotive Remarketing that was held in Las Vegas earlier this month. Overall the panelist see the industry in a growth mode and even with the increase in gas prices, the current and  anticipated growth is projected to have a positive impact. Some of the factors feeding the optimism include: the three automakers in Detroit are all showing an increase in profits, more competitiveness in the market, lending has loosened up allowing consumers to get loans and more knowledgeable consumers. Ricky Beggs, managing editor of Black Book sees many positive signs including the fact that dealers today are planning where the market is going instead of reacting, stating that tools like inventory management systems are also helping dealers.

To read the full article on Used Car News, please click here.

Do you see this optimism lasting? How much of an effect will gas prices have?


The 5 Best Ways to Increase your Sales

Below are 5 selling tips that will help increase your sales and in turn increase your profit margin.  These tactics work for online and traditional marketing.  And did I mention they won’t cost you anything to start!

  1. Promote with a yes or no– When you promote only 1 product or service it is more effective. The potential buyer can either say “yes” or “no” to the product or service.  When the immediate answer is yes it generates a very quick sale.  Avoiding promotions that make the potential buyer have many choices is the best way to go.  Most people are not able to make a clear choice when they have many options so they just resort to “No”.  All in all make the prospective buyer have a simple “yes” or “no” choice.
  2. 2. Lead in with your biggest benefit- What is the biggest benefit that your store gives to its customers.  This is your selling point.  Use this benefit to reel in your customers in.  In your marketing items I would always state your company’s biggest benefit.  By putting your biggest benefit first in all of your advertisements and website you will immediately get the customers attention.
  3. Personalize your approach-When you customize a message to a particular person it makes it feel more personal.  By customizing your marketing to a certain person or area it will improve customer’s vision of your company.  One way to personalize your store is to personalize your website.  By creating special web pages for each area with different content tailored to that particular area can make your website appear friendlier.
  4. Give your customers specifics- When you use broad words it is less effective, like fast or easy.  Try to give your customers more specifics by describing why it’s fast and why it’s easy.  It is more motivating to customers to see the facts about the company then just general statements or words.
  5. Zone in on feelings- Customers tend to buy things on impulse, not really on logic. They base their buying off of how they feel.  The more excited you get your customers on your product the better.  You should tailor your marketing to reflect the emotional rewards they will get after they purchase your product.

To read the full article on Business Know How, please click here.

Do you agree with these 5 business selling tactics?  Let me know by leaving a comment.


Auto Dealers are Dealing with Shortages on the Trendiest Car Models

A few years ago automakers started to give dealers much more cars than the dealers felt they were able to sell.  The only way they could sell these vehicles was by offering extreme discounts.  Nowadays dealers are saying that they have a completely different problem:  they are not able to get enough or the trendiest models.

Vice President of Galpin Ford in Los Angeles, Beau Boeckmann, said that they asked for 100 Fusion vehicles, but only received seven.

“I am begging for inventory across the board,” Boeckmann said. According to Bloomberg news reports his dealership is Ford’s top seller. He said that he couldn’t sleep a year ago because they thought they had that year’s supply of cars.  And these days he is worried about the opposite because now he doesn’t feel they have enough vehicles.

There are many different cars that are hot right now for various reasons.  The hot cars are really the ones that the buyers are very eager to get.  The Chevrolet Equinox has been in very short supply for many months probably because it is a crossover and that is a good size for many people and has great features.  This new problem of not enough supply is quite a new phenomenon from the prior years.

Buyers are not able to have the car choices they use to have.  About five years ago the automakers were not shutting down the plants they kept them running even though the demand wasn’t necessarily there for the cars produced.  Detroit’s Big 3 has shut down a bunch of plants and thousands of jobs have been lost to make their production fit with the demand.

Automakers are very aware of the dealer’s requests for the hot vehicles.  They have increased shifts to the plants that have the trendiest model cars.  Although these changes seem to not be enough to fill the depleted inventories the dealers are facing.

To read the full article on USA Today, please click here.