It isn’t exactly news that the vast majority of car buyers do their homework online long before they head to a showroom and online marketing is, therefore, one of the best tools in a dealer’s arsenal. Get it right, and you can set out your digital stall in front of willing customers in their run up to a new purchase.
Paid search, or search engine management (SEM) as it’s commonly called, is one of the fundamental tools employed by digital marketers to get retailers’ products and services in front of the right online audience at the right time. Here, we explain what they are and how they can help you.
It’s hardly a secret that the majority of new cars are sold on credit. According to the Finance and Leasing Association, 91% of private new car sales were funded by its members in the 12 months to April 2019, which illustrates what little role cash buyers now play.
Personal contract purchase (PCP) has long been the default form of car finance in the UK. Its cyclical nature – your first PCP is unlikely to be your last – has been a hit with retailers and customers alike, while the up-front carrot of a flexible end to the contract – roll onto a new one, hand the car back, or pay the balloon and keep it – is a comforting set of options.
PCP’s status as the dominant credit package is under threat, though. The UK’s teetering economy and uncertain future are causing many buyers to think twice about committing to any form of finance – you only have to look at last year’s 6.8% fall in new car sales and 2019’s 3.1% year-to-date drop to see that. Those in a position to buy new are therefore more likely to gravitate toward more affordable types of funding and potentially shorter leases.
Paid search has become an increasingly effective way for dealers to connect with online car buyers. As a result, growth in digital ad spend in the UK is continuing to increase, with 40% of that digital ad spend being spent on paid search specifically.* However, if you manage a paid search campaign you know that simply upping your budget isn’t enough. You also need to take the time to measure and analyse your campaign’s performance so you can optimise and refine your marketing accordingly.
The franchise model is the time-honoured way of selling new cars, but moves are afoot within the motor industry to switch to an agency-style arrangement, which could upend the conventional way of selling vehicles. It’s still early days for the concept, but if it catches on, then dealers could be in for a whole new way of running their businesses.
1,144: that’s the magic number for Carbase, the family-run used car supermarket with branches in Bristol, Weston-super-Mare, Lympsham and Brent Knoll. It refers to the number of cars it strives to sell every month – mirroring the record set in March 2019.
Carbase aims to achieve this target by focusing on trust, transparency, and fairness – the values laid out by Managing Director Steve Winter when he established the company in 2003.
The Government has been vague about its future plans for diesel, petrol and electric car taxation and changed direction a number of times. For example, the plug-in car grant is evidence enough that authorities want us to drive cleaner vehicles, but it was downgraded by the Office for Low Emission Vehicles in November 2018, so the allowance is now lower and applies to a smaller number of cars.
Equally, the Government has yet to make any announcements about its plans for company car tax beyond April 2021, leaving companies and business drivers in the dark, while continued bad publicity around diesel has caused speculation as to whether or not it will be subject to further tax. Put simply, we just don’t know, and the ambiguity is also affecting the used car market.
Pricing is often one of the first things that come to mind for dealers when they think about renewing a contract with a lead provider. There’s good reason for this—the price might dictate how much you can invest in other providers—but it shouldn’t be the only thing you consider.
When it comes to renewing your contract, there are a number of questions you can ask yourself to make sure you’re getting the most out of your investment. Here are six to consider the next time your contract is up for renewal:
Congratulations to all the dealers who were recognised in the 3rd annual Top Rated Dealer Awards today!
Based on reviews from car buyers across the country, these annual awards celebrate car dealers and their exceptional service and commitment to customer satisfaction. The winning dealers have the highest ratings from car buyers on the CarGurus platform.
At CarGurus, we believe our dealers have valuable stories and insights worth sharing. Today, we’re featuring Premier Car Supermarket, a large independent dealer group near Derby.
Picture what a perfectly-designed and located car supermarket might look like, and there’s a chance you’ll conjure up something similar to Premier Car Supermarket’s flagship site in Egginton, near Derby.
Opened just over two years ago, it sits in the centre of a heavily trafficked road network (including the busy A38 that runs between Derby and Burton upon Trent), meaning that not only is it easy to access, but it’s also visible to millions of motorists every week. What’s more, because the site was purchased as an empty field with planning permission already granted, the team at Premier Car Supermarket has been able to create a purpose-built showroom rather than adapting an existing structure.