Posts Tagged ‘used car sales

23
Sep
11

Fourth Quarter Looks Promising

Good news, Kelley Blue Book predicts that the industry will see a strong fourth quarter. According to Kelley Blue Book analysts 62% of new and used car shoppers will be ready to buy in this last quarter of 2011. This coupled with incentive battles that they predict, should make for a good finish to the year. These prediction are based on a few key factors: fourth quarter is typically when dealers roll out big sales events, production will be back at 100% capacity since the March earthquake & tsunami and carmakers will have cash incentives on lease offerings to try to make up for the first part of 2011.

Since the March 11 earthquake many car manufacturers have been below normal sales levels for this time of year. In this fourth quarter many of the Japanese brands will finally be at full production and Kelley Blue Book anticipates that these manufacturers will attempt to recapture lost market share therefor offering stronger incentives to move cars.

To read entire article in F & I Magazine, please click here.

10
Aug
11

What’s Affecting Used Car Supply & Values. . .

According to Kelley Blue Book the increase in used car prices will not only continue to rise but inventories will get even tighter. Kelley Blue Book sees auctions as a vital predictor of what’s to come in the used car market. They are where supply and demand meet for used vehicle market and what they’re seeing in auctions is less used vehicles to choose from and higher wholesale prices.  The reason for that is due to the 2008 slow down in new car sales which is now resulting in shortage of used car inventory. If companies and dealers are able to look at auctions as indicators of what is to come, they can plan on how to prepare and also how to take advantage of the current used vehicle market and their inventories. The effects of the 2008 new car sales slowdown which caused wholesale used car prices to go up is expected to continue to drive these prices higher since inventory will get even tighter.

To read the full article in Auto Remarketing, please click here.

08
Jun
11

What Consumers Love and Hate about Car Dealers

So what do customers love and hate about Car Dealers? CarGurus recently did a study of 1,000 dealership reviews posted by car shoppers over a 6 month span to find out just that. The results aren’t surprising and show that some basic things in customer service can really make a big difference to the consumer.

Top 5 Consumer Complaints:

  1. No Response: Dealers didn’t call or e-mail back
  2. Bait and Switch: car advertised is no longer available when car shopper gets to dealership, just sold
  3. Communications Disconnect: unable to get prompt accurate answers via email and inconsistent information between online staff and showroom staff
  4. Unsatisfactory Customer Service: Rude, arrogant or uninformed service from dealers and aggressive and arrogant attitudes from some dealers
  5. Time Wasted: Chasing answers from dealers, wasted time driving to the dealership just to find out the car is no longer available and having to wait at the dealership even when they have an appointment

Top 5 reasons consumers love dealers

  1. Friendly, Professional Service: Dealers that were sensitive to the consumers unique needs
  2. Fast Response: Quick response to online inquiries
  3. Accurate Answers: Consumers loved dealers that were willing to provide detailed answers via e-mail or phone rather than pushing for them to come in to the dealership for answers
  4. Clean Dealerships, Clean Car Interiors: Consumers love clean!
  5. Good Prices: Consumers love when they feel they got a competitive, fair price

To read full article on the CarGurus study in F&I Magazine, please click here.

How would your dealership stack up?

12
May
11

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 AutoTrader.com 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. AutoTrader.com and Cars.com 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.