It was nearly impossible to have a conversation about the future of any industry in the UK in 2019 without mentioning Brexit. Despite that big, unknown headwind, UK car dealers are optimistic about 2020.
Built around a survey of more than 700 independent and franchised used car dealers and our annual Dealer Council meeting, the second-annual CarGurus One Voice Report examines the topics set to be key to car retailer performance in 2020. A few key insights include:
- The political and economic uncertainty of Brexit is top of retailers’ minds: 64% of used car dealers said Brexit had a negative impact on used car demand. The reason? They believe it’s hurting car shoppers’ confidence. “No [consumer] will make a decision [on a purchase].”
- Stock continues to be a challenge: 80.2% of dealers reported that it’s harder for them to have the right vehicles at the right time. That’s roughly the same as last year’s findings at 80.8%. In an effort to locate more quality used cars, a third of dealers said they are putting trade-ins in the forecourt.
- Lead attribution remains a manual process: Believe it or not, more than a quarter of used car dealers are still using paper-based systems to manage leads. For the other three-quarters of dealers, a dedicated CRM tool is the most popular digital lead management option. Even with a digital process in place, many dealers report that their sales staff often fail to get the full attribution picture during the sale process—consumers simply don’t remember every website they visited in their journey to the lot.
To read more, download the second-annual CarGurus One Voice Report.