The Digital Advantage: Evolution of Friction-Free Transactions

With margins forecasted to continue tightening on new car sales, it’s critical your dealership has a robust used-car inventory strategy in place. Demand for used cars is still high and the right strategy can put your dealership out in front of the competition. 

This blog post will take you through the importance of used-car inventory, how Kelley Blue Book Instant Cash Offer (ICO) can optimize your acquisition strategy, and how Kelley Blue Book ICO’s Contact Center can help your dealership’s staff streamline processes and more effectively close deals on used cars. 

Used Cars Continue to Drive Up Profits 

Used car sales aren’t slowing down. In fact, the average gross profit of used cars surpassed that of new cars by $378, according to the National Automotive Dealers Association (NADA). If you don’t have the right mix of used-car inventory on your lot at any given moment, you’re missing out on a huge opportunity. 

Sourcing, inspecting, and purchasing a good used car inventory requires time and resources, two things that are often in short supply at a busy dealership. That’s where digital resources like Kelley Blue Book ICO and its Contact Center can provide an invaluable service to dealership staff. 

The Value of Digital Tools 

Kelley Blue Book is the most trusted third-party website amongst consumers when it comes to assessing trade-in value, and 55% of used car deals are made with an Instant Cash Offer. Most consumers looking to trade in their vehicle will start with a valuation from Kelley Blue Book. 

Kelley Blue Book Instant Cash Offer can help your dealership build a solid used-car inventory without dedicating more resources or taking more of your staff’s time. Their services provide a seamless transaction for customers from the time they begin researching online to the time they arrive at your dealership. 

Kelley Blue Book Instant Cash Offer has teamed up with AutoCheck to give you a detailed and valuable history of each car your dealership makes an offer on. AutoCheck is integrated into the ICO interface, so your team can rest assured that every car that receives an offer is one with a sound vehicle history and a high potential for profit.   

Ralph Fast, General Manager of Team Nissan, has seen firsthand how Kelley Blue Book Instant Cash Offer can drive up profits at his dealership, “Trade-in valuations have always been the toughest part of acquiring inventory. Our customers already trust Kelley Blue Book for valuations, so using Instant Cash Offer was a no-brainer.” 

The Power of a Seamless Experience 

Once a customer has received an Instant Cash Offer, the work of getting them into the dealership to inspect the car and close the deal begins. Luckily, that work doesn’t have to fall on your team’s lap. Kelley Blue Book ICO’s Contact Center can handle all of the communication with the customer from the time of their valuation to their dealership appointment. 

The Contact Center’s professionally trained team is available to customers 24/7/365 and your dealership is kept up to date on every deal through text, email and CRM notifications. Continued communication with every customer helps your dealership build trust with them before they step foot in the door. 

As the Contact Center attracts more motivated customers who are ready to trade in, you get higher quality leads that result in a better used-car inventory mix for your local market — all without having to dedicate any additional staff hours. 

Getting Staff Buy-In 

More trade-ins with less work is a win-win for your staff, but they may need some convincing that Kelley Blue Book Instant Cash offer is as good as it seems. As with any tool, knowing how to use it properly is critical in getting the most out of it. To this end, arming your staff with the knowledge they need to take advantage of all of Kelley Blue Book ICO’s capabilities will help them see its many benefits. 

Here are a few ways your team can use Kelley Blue Book ICO to address operational challenges and enhance engagement with potential sellers: 

1.    Utilize Kelley Blue Book Instant Cash Offer for all vehicle evaluations 

This ensures the dealership is presenting competitive and market-relevant valuations on every used-vehicle that comes in — through the door, online or in the service lane. Doing this draws both sellers and buyers into your dealership, creating a bustling marketplace and ultimately driving up your profits. 

2.    Prioritize showroom appointments over purchase acquisitions 

Incentivizing showroom appointments will help your team convert online interest into in-person dealership visits. Recognizing and rewarding the work it takes to bring potential sellers into the dealership can also keep your staff motivated to continue putting forth their best effort. 

3.    Promote the Run List 

Implementing a dealership-specific “run list” can help your team fine-tune their lead management practices to your dealership’s inventory ambitions. This more customized approach can help magnify the efficacy of Kelley Blue Book Instant Cash Offer engagements and facilitate the acquisition of desirable and profitable used-car inventory.   

4.    Master Objection Handling 

Through Kelley Blue Book Instant Cash Offer’s comprehensive training, your dealership staff can feel better prepared to navigate customer objections, particularly those concerning vehicle valuations. They’ll learn how to transform objections into opportunities for constructive engagement and eventual conversion — an invaluable skill that will pay for itself time and time again.  

5.    Utilize Wholesale Auctions 

For vehicles under $5,000, take advantage of wholesale auctions by detailing the car (with an emphasis on the motor) and then running those vehicles in the Independent Dealer lanes. This proven strategy has been very lucrative for many large group dealers and a “bottomless market” means there are profits to be had for all. 

Kelley Blue Book Instant Cash Offer Helps Your Team Deliver Deals 

There’s no doubt used-car sales will continue to be a critical part of a dealership’s success, and tools like Kelley Blue Book Instant Cash offer and its Call Center can help your team acquire the right inventory mix for your local market. By helping your team create a more seamless experience for customers without any additional work required of them, you’re setting your dealership up for better trade-ins, higher profits, happier customers and continued success. 

Learn more about how Kelley Blue Book Instant Cash Offer and Call Center services can help your dealership optimize used-car acquisitions and sales by speaking to our team.