Our 2021 Predictions and What Dealerships Need To Do Right Now!
January 15, 2021
With 2021 upon us, knowing what dealerships can expect for the new calendar year is essential for their customer base. At the end of 2020, a few trends were highlighted across the country at dealerships of all makes and models. Purchasing used cars and finding the right used car sources in 2021 is critical for dealerships starting now. Below are 2021 predictions in the auto industry and suggestions for what you can do to set your dealership up for success.
COVID-19 Is Still A Factor
Many customers are looking for used cars simply because they want to remain on a strict budget. With the onset of COVID-19, many car buyers took another look at their budgets for new vehicles and opted for gently used instead of purchasing brand new. Economic uncertainty still lingering across the globe, opting for cheaper and used vehicles will continue to show a positive trend. Most car buyers have had some financial impact due to the pandemic or want to maintain a level of financial freedom if more strains are placed on the economy.
The best way to keep your dealership prosperous in 2021 is to stay efficient and have the right supply to meet customer demand. By knowing their spending habits and preferences, your dealership can stay efficient, maintaining car sales throughout the year.
Acquire More Used Cars For 2021
Unfortunately, filling your lots with high percentages of new cars over the next year could limit your sales numbers over the course of the year. With more customers looking for smaller loan payments and interest rates, the need for used cars is more important than ever. Most dealerships toOKadvantage of big car auctions to purchase used and leased vehicles for their lots in the past. With the demand for quality used cars, the options found at car auctions are no longer sufficient. The need for these used cars comes at the hands of private sellers looking to make a life change or upgrade.
Search For Private Sellers
With so many car buyers looking to purchase used vehicles at a higher rate than in the past, finding quality used cars has become more challenging. For many dealerships, looking to private sellers who have vehicles in different makes and models has been a successful trade, allowing them to seek out specific vehicles that prospective customers are looking for and then purchasing them from private sellers at affordable costs.
Diversifying Your Customer Base
This relationship between the private seller and the dealership has proven to be profitable and maintains a positive trend despite the economy's impacts. Those who have not been impacted or have minimal impact from the pandemic are the smaller leg of the customer base and will gravitate towards new or barely used vehicles on the lot. However, the larger part of your customer base is looking for quality used cars for their families and fitting an affordable budget.
Let VETTX Help You Get The Inventory You Need
Building these relationships with private sellers and finding these high demand vehicles takes time and skill to gather the right inventory. When you choose VETTX, our team successfully seeks out the inventory demand for your dealership, develops the relationships necessary, and acquires the vehicles for your dealership. We take care of all the details and get your dealership the inventory you need to stay ahead in 2021.
If you would like more information, contact us today. One of our representatives is standing by to answer any questions you may have.