In the automotive industry, the concept of "control" has long been a cornerstone of sales strategies. Sales managers and salespeople alike have focused on controlling customers, deals, and situations to maximize profits. However, the rise of the internet has disrupted this traditional model, pushing car dealerships to adapt to the digital age. This article explores why car dealerships have been slow to adopt eCommerce and how the industry is gradually evolving.
From 1975 to 1997, car dealerships thrived by keeping customers in the dark and maintaining tight control over the sales process. During this period, dealerships enjoyed significant profits, largely due to their ability to control information and manipulate customer perceptions.
The advent of the internet in the late 1990s changed everything. Customers gained access to a wealth of information, from vehicle reviews to pricing data, which eroded the dealerships' control. Despite this shift, many dealerships have been slow to fully embrace eCommerce.
A few forward-thinking dealerships have embraced eCommerce, offering customers the ability to buy cars entirely online. These pioneers are setting the stage for the future of car sales.
Nick Umbs, Internet Manager at Ted Britt Ford, has successfully used platforms like eBay to sell vehicles nationwide. By providing detailed photos and descriptions, they aim to replicate the in-person experience online.
"We want the customer to feel like they are actually at the dealership with the vehicle. We don’t want them to have any unexpected surprises upon delivery." - Nick Umbs
Diffee Ford Lincoln Mercury has developed a comprehensive online sales process, including handling trade-ins remotely. Customers can provide detailed information and photos of their trade-ins to receive accurate valuations.
"We have been able to sell dozens of vehicles to out-of-state customers because of 100% disclosure on both ends." - Dandy O’Connor
Consumers today have access to extensive resources for researching new and used cars. Websites like Kelley Blue Book and Edmunds offer reviews, pricing information, and more, empowering customers to make informed decisions.
One of the biggest challenges in online car sales is the lack of trust between consumers and dealerships. Both parties often suspect each other of dishonesty, which can hinder the sales process.
The automotive industry is slowly but surely moving towards a more digital future. While many dealerships are still hesitant, the benefits of eCommerce are becoming increasingly apparent.
The shift towards online car sales is inevitable. As more dealerships recognize the benefits of eCommerce, the industry will continue to evolve. While the transition may be challenging, the potential rewards for both consumers and dealerships are significant.
The future of car sales is digital, and those who adapt will thrive in this new landscape.
This article has been fact-checked and expanded to provide a comprehensive overview of the topic. For more information on the future of car sales, visit Cox Automotive and Frost & Sullivan.
Car Buying Tips: Purchasing from an Individual vs. a Dealership
When it comes to buying a used car, the decision between purchasing from an individual or a dealership can be daunting. Each option has its own set of advantages and disadvantages, and understanding these can help you make an informed decision. This article delves into the nuances of both choices, providing you with detailed insights and statistics to guide your car-buying journey.
Automotive SEO: Different from the Rest
Most search engine optimization products and offerings work the same. They will take any customer, perform typical SEO tasks that they do for other websites, and at the end of the day, they’re scratching their heads wondering why they can’t seem to breach the top rankings. Automotive SEO is an entirely different beast than any other type of optimization.
Car Buying Tips: Secure Financing Before Going to the Dealership
Summary: In today's digital age, car buyers have unprecedented access to information, from vehicle reviews to detailed histories. However, one crucial step often overlooked is securing financing before visiting the dealership. This proactive approach can save you money and streamline the buying process. Learn why securing financing first is essential and how it can give you the upper hand in negotiations.
