Inspiring Consumer Confidence

Cox reported a 2.7% dip in wholesale used vehicle value from April to May, leading prices to their lowest point at -11% year over year.

It is the second consecutive month of decline. This decline is expected to continue as new inventory levels improve and high-interest rates price customers out of the market.

Despite the drop, retail used vehicle prices increased by 0.8%.

The whole thing has customers feeling bummed out.

So how does a dealer sell to wary customers? With consumer confidence down pretty far from its 2019 and 2021 height, the onus falls to dealers to display the qualities customers need before they can spend their hard-earned money.

An article on Auto Success had good suggestions for giving customer interactions the best chance of producing a fruitful relationship.

1. 💪Control What You Can: Make processes consistent, refined, and aligned with the shopper's preferences.
2. 🤝Establish Trust: Consumers have some trust issues. Foster transparency to build trust.
3. 😎Differentiate Your Brand: Stand out from your competition.
4. 🕵️‍♀️Provide Detailed Information: Share as much data as possible about the vehicles you sell.
5. 🏄‍♂️Adopt a Low-Pressure Approach: Most car shoppers respond best to salespeople who act as facilitators.
6. 💻Leverage Data in Sales Process: Use window sticker data and service records to inform customers and justify prices.
7. 🪡Integrate Systems: Ensure all data is in your management software for quick and easy access.

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