After more than 25 years in automotive operations (OEM, Retail, Supplier), I grasp the challenges retail car dealers are experiencing in the current business environment. But I also see tremendous opportunities for alert, visionary dealer groups!!
For decades, pre-owned car sales and services have been critical elements in any dealer strategy. The stark reality is however, the majority of dealer groups have NOT had the laser focused mindset, the internal structure, or processes necessary to deal with this scenario:
- New vehicle supply is loosening up but may remain below normal levels through 2023, meaning lower revenues but higher GP PNVR.
- Demand should remain resilient, providing inflationary pressures ease.
- Higher new car prices may have a detrimental effect on demand for new vehicles due to affordability.
- OEMs are gaining a stronger grip on new car sales and marketing, for protection of their brands.
- With or without an agency-type business model, customer loyalty/retention to the dealer group brand becomes critical, in both sales and service.
So, what are you going to DO about it?
You need to sell more pre-owned cars quicker, with higher margin. Sounds simple? It takes work and focus with the right team. Want relevant examples?
With studio-quality, branded, 100% automated videos and photos, Phyron is THE supplier for your pre-owned and new vehicle advertising. There is nothing like it globally today. The European Union has officially named Phyron AI as a "Tomorrow’s Innovation Leader", the first time ever this prestigious distinction was awarded to a sales and marketing solution.
Phyron's latest video + AI technology gives you studio-quality video ads and stills for every single car in stock, both pre-owned and new, 100% automatically. Implemented within a few hours, with NO additional work required by your team. The only thing you need to do is connect. More than 1,700 dealers in 20+ countries are already doing it, along with marketplaces and key partners.
If you are a dealer in North America, connect with me. I will be pleased to tell you all about it.
Colin Richardson
Principal, Omni-Channel Automotive Solutions
