A slowdown in US new car sales has been expected for quite some time, and it may finally have arrived. In September of 2019, Toyota and Honda both posted double-digit sales declines. Nissan suffered a slightly less daunting stumble with a 7 percent sales decline, and Subaru’s record-breaking sales run ended with a 9.4 percent sales drop that same month. Meanwhile, despite low prices and the volume of premium used cars coming onto lots, the used car market remains flat. In this environment, dealerships will have to innovate to attract customers, keep cars moving, and protect revenue.
At first glance, it can seem counterintuitive to spend money on implementing car dealership improvement ideas when profit margins are being squeezed. However, 2020 is likely to be a buyer’s market, and deploying marketing strategies and services that improve the buyer experience will be essential for retaining customers and attracting new ones. By making smart investments now, car dealerships can set themselves up for success in a changing economic landscape.
Car Dealership Improvement Ideas for 2020
In the 21st century, embracing and making the best use of technology has been a recipe for success for virtually all businesses—and car dealerships are no exception. The largest and most profitable dealership groups are the ones that consistently leverage the full potential of the internet to market their vehicles. At a time when 86 percent of car shoppers begin their buying online, the best car dealership improvements ideas must focus on creating an online experience that bridges the gap between online browsing and the showroom.
1. Use High-Quality Stock Photos to Improve Listings
Year over year, Cox Automotive’s Car Buyer Journey reports have shown that the majority of car buyers start searching for cars on third-party websites that aggregate listings—and the number is growing; in 2018, 41 percent of new car buyers and 61 percent of used buyers started with a third-party site while in 2019, a full 80 percent of car shoppers used a third-party site. This means that most car buyers’ first impression of a dealership is going to be formed by these listings, and dealers would do well to prioritize the quality of their content.
Premium stock photos can improve the listings that appear on third-party websites for both new and used vehicles. These images allow dealers to create visually cohesive, aesthetically pleasing listings with high-quality, well-lit, and detailed photos that most dealerships don’t have the facilities or photographic know-how to match. Not only does this present vehicles in the best light possible, it also allows dealers to list inventory as quickly as possible without having to schedule their own photoshoot. The consistency and quality of car stock photos can also facilitate side-by-side comparisons of different vehicles, creating unique and informative user experiences that make a dealership stand out from the crowd.
2. Use Interactive Elements to Increase Immersion
One way that dealers can fix themselves in the minds of a car shopper is by offering interactive experiences. After all, while still images can be powerful, digitally interacting with a vehicle on a laptop, phone, or tablet is a whole other level of engagement with both an individual vehicle and with your dealership as a whole. Elements like 360° exterior spins and interior panoramas encourage car shoppers to stay on your website, imagine the possibilities of each vehicle, and come in to the showroom for an even better view. Indeed, adding interactive elements to dealer websites is a proven way to improve lead generation.
3. Support Extended Reality Online and In the Showroom
Technology has introduced us to new ways of thinking, seeing, and experiencing that seemed impossible only a few short years ago. One of the most remarkable technologies to have moved into the mainstream is extended reality (XR), and it could fundamentally change the business of selling cars.
There are primarily two types of XR. The first is Augmented Reality (AR) in which digital models are projected onto a real-world backdrop through the use of a device like a phone or a tablet. This allows car shoppers to interact with a virtual model of a car in their everyday environment; with AR, they can display the vehicle true to scale in their garage or driveway, allowing them to visualize the vehicle as part of their life and compare it side by side with their current car. In the dealership, it can be used to show customers models that are available but aren’t yet on the lot. Regardless of location, AR applications provide new ways to translate casual browsing into deep interest for customers.
Virtual reality (VR) offers many of the same advantages as AR but in an even more immersive environment. With virtual reality, car shoppers don a headset that simulates a complete virtual environment in three dimensions. 3D models and stereoscopic images allow the user to truly feel like they’re standing next to, walking around, or sitting inside of a particular vehicle.
XR technology is one of the most exciting developments in automotive marketing because it gives car shoppers the ability to have near-real world experiences virtually anywhere. But XR can also enhance the showroom experience itself. VR sales presentations directed by a salesperson can give car shoppers a captivating look at vehicles in a whole new way, even those vehicles aren’t on the lot. This innovative technology provides dealers with a cutting-edge marketing channel that will surely become increasingly common as XR becomes more accessible.
Improving Sales Through Dealership Technology
What ties the ideas above together is images; car dealerships need and can benefit from high-quality image assets now more than ever before. However, dealerships aren’t photography studios, nor should they be; a dealership trying to create these images themselves is not only inefficient and cost-prohibitive, it is unnecessary.
By partnering with a stock image firm that specializes in automotive photography, dealerships can quickly access the photos, videos, and XR assets needed to create compelling marketing materials and offer unique experiences. The right firm will also offer white label and customization services that allow dealers to incorporate branding elements in a way that best speaks to their customers. Not only do dealerships gain the advantage of more powerful visual messaging, they do so while continuing to enjoy a consistent and high level of brand recognition across digital marketing channels and in the showroom.
DRIVING INNOVATION IN AUTOMOTIVE IMAGERY
The EVOX Images database features the most innovative packages of interior and exterior stills, 360º vehicle imagery, and VR experiences. At more than a million images strong, our team consistently raises the bar on industry standards, and offers an unmatched delivery schedule.
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