Many dealerships are struggling to meet their sales goals, so they invest in bigger marketing efforts and lower the prices of their vehicles. While these can be good strategies to sell more cars, it won’t solve the issue if you aren’t selling the cars that your customers want to buy.
If you aren’t stocking the right vehicles at your dealership, you may not be making as many sales as you’d like. Even if your dealership has a strong marketing campaign, competitive pricing, and outstanding customer service, customers won’t make a purchase if you don’t have the exact vehicle that they are looking for. A car is an expensive purchase and considered to be a major life decision by many, which means that people are usually set on a specific vehicle they want to purchase and aren’t willing to make a lot of negotiations. When you stock vehicles at your dealership that your customers aren’t willing to buy, not only do you make fewer sales but you also have to find ways to sell the unwanted cars.
According to a survey by Consumer Reports, a majority of respondents said they wouldn’t drive more than 55 miles to get the best deal on a new car. 14% of respondents, however, stated that they wouldn’t drive more than 20 miles to purchase a car. Most car shoppers want to buy a car from a dealership that is located close to where they live. This means that the majority of your shoppers are local customers. Because each city has a unique set of demographics and people living there, simply keeping up with the overall car shopping trends might not be enough.
Google Analytics is a free tool that analyzes your web traffic. While Google Analytics offers many different tools and features, this white paper will focus on the “Audience” tab and the "Behavior" tab.
Under the “Audience” tab, there is a feature called Demographics & Interests Once you enable it, it will allow you to see detailed information on the people who visit your dealership's website. Google will show you the age and gender of your site visitors, as well as categories such as affinity categories, in-market segments, and other categories. Knowing the average age and gender of your typical customer will serve as important knowledge as you move forward with stocking vehicles for your dealership. You can research what types of cars are trending among people of those set demographics.
Next, there is the "Behavior" tab. Here, you can view the number of pageviews, average time spent on each page, and bounce rates. Analyzing this data for each Vehicle Detail Page (VDP) will show you which vehicles your customers are interested in that are on your lot. A higher number of page views will usually indicate that the vehicle is more popular on your lot, and a longer time spent on that page will indicate that people are more likely to purchase it. A higher bounce rate may indicate that customers are not interested in the car.
Aside from Google Analytics, you can use reports, research, and data to find more information on the people who live close to your dealership. Most of these reports are not free, but they offer valuable information for your dealership. Consider investing in this research for the long-term benefits of your business.
We also suggest that you get a healthy balance of business listings from different types of websites, including review sites, social media, city specific directories, mobile apps, and more.
It is important to stock the right vehicles according to your local demographics. Rather than lowering the prices of your vehicles, having the right ones on your lot will have a bigger impact on your sales. Google Analytics is a useful and effective tool to collect data for your dealership, but knowing how to use the software requires training as well as expertise to get the most accurate results. AutoJini.com is a Premier Google Partner, which distinguishes us as experts in the field.
AutoJini is leading web-based software suite of solutions used by auto dealerships across North America. AutoJini provides services including but not limited to: Search Engine Optimization (SEO), Pay Per Click (PPC) campaign management, Social Media Marketing (SEM), the development and implementation of dealership websites, mobile websites, micro sites, Facebook applications, inventory management solutions, data export to 3rd parties, and news & blog software.