How to stop online car retailers from putting your dealership out of business?

Brantley Kendall

21 Sep 2022 2 years ago

When the pandemic hit, it was inevitable that online car retailers would see a surge in sales as people stayed home and looked for ways to economize. But if your dealership is struggling due to this trend, don’t worry – there are ways to fight back and reclaim your market share. In this blog post, we’ll discuss some of the strategies you can use to stop online car retailers from putting your dealership out of business. Keep reading to learn more!

Understand how online car retailers work

The first step to combating online car retailers is understanding how they work. Unlike brick-and-mortar dealerships, online retailers don’t have the overhead cost to ship associated with operating a physical location. This allows them to sell cars at a lower price point, which is often the biggest draw for customers. In addition, online retailers typically offer a wider selection of vehicles, as they’re not limited by what they can fit on their lot. Finally, many online car dealers offer financing options, which can be appealing to customers who may not qualify for traditional financing.

Now that you understand how online car retailers work, it’s time to start fighting back! Here are some of the strategies you can use to keep your dealership afloat:

Online Presence:

One of the best ways to fight back against online car retailers is to make sure that you have a strong online presence. If potential customers can’t find you online, they’re likely to go with one of the many other options out there. Make sure your website is up-to-date and easy to navigate, and consider investing in search engine optimization (SEO) to make sure you’re appearing as high up in the search results as possible. You should also make sure you’re active on social media, and that your posts are engaging and informative.

Stay in touch with customers:

Another important strategy for fighting back against online car retailers is to stay inf touch with your customers, both current and potential. Send them regular emails with updates on your inventory, new deals, and anything else that might be of interest. If you have their phone numbers, give them a call from time to time just to check in. The more personal touch you can add, the better.

Incentives and promotions:

To really drive home the point that your dealership is the best option, offer incentives and promotions that the online retailers can’t match. This could include things like free oil changes for a year, free detailing, or even just a lower price on the car itself. Whatever you can do to sweeten the deal, do it!

Improve your inventory:

If you want to attract customers, you need to have the inventory to back it up. Make sure you’re regularly stocking the latest models and popular brands, as well as a good selection of used cars. If you don’t have what people are looking for, they’re not going to come to you. Electric cars are becoming increasingly popular, so if you don’t have any in stock, now might be the time to invest.

Offer financing options:

One of the biggest draws of online car retailers is that they offer financing options. If you want to compete, you need to be able to offer something similar. Many customers are reluctant to finance a car through a dealership, but if you can offer competitive rates and flexible terms, you may be able to convince them otherwise.

Provide a unique customer experience:

Last but not least, it’s important to remember that customers want a unique and personalized experience when they’re shopping for a car. They don’t want to feel like just another number, and they certainly don’t want to be treated like they’re not important. If you can provide a customer experience that is truly exceptional, you’ll be one step ahead of the competition.

Identify your dealership’s unique selling points:

Finally, it’s important to remember that your dealership has unique selling points that the online retailers can’t match. Use these to your advantage! Maybe you have a great location that’s easy to get to, or maybe you offer extended test drives so potential buyers can really get a feel for the car. Whatever it is, make sure you’re promoting it as much as possible.

These are just a few of the ways you can stop online car retailers from putting your dealership out of business. If you’re feeling creative, there are likely many other strategies you could come up with as well. The important thing is to take action and stay competitive in this new landscape.

otherwise, you risk being left in the dust.

The Bottom Line

While online car retailers may seem like a threat to your dealership, there are ways to fight back. By having a strong online presence, staying in touch with customers, and offering incentives and promotions, you can make sure your dealership stays afloat. With a little effort, you can come out on top!

Brantley Kendall