Tax refund season, an annual event as anticipated as the arrival of spring is upon us again. And, so far, the IRS has issued many more tax refunds than last year. This season offers a golden opportunity for car dealers to maximize used car sales, as customers will be eager to spend their rebates on a reliable set of wheels, especially as the average price of a new car s ‘close to $50,000.
However, just as a well-tended garden produces a bountiful harvest, dealers must also strive to ensure that their used car inventory is primed and ready for an influx of customers. Here are five tips to help you improve your dealership’s used car inventory, ensuring a successful tax refund season.
1. Do a thorough inspection of your inventory
First impressions matter; nothing can hurt a customer’s interest faster than a vehicle with glaring cosmetic issues. So, before tax refund season begins, make sure your dealership’s used car inventory undergoes a thorough inspection. This includes repairing any dents, scratches or other cosmetic damage and making sure all mechanical components are working properly.
2. Offer a variety of brands and models
Variety is the spice of life, and that adage is also true in the used car market. To attract a wide range of customers, make sure your dealership’s inventory includes a wide selection of makes and models. Whether it’s a fuel-efficient compact car, a rugged pickup truck, or a family SUV, offering a full assortment of vehicles will help your dealership attract the widest possible customer base.
3. Make attractive descriptions and take high-quality photos
For most dealerships, a significant part of the car buying process is done online. Therefore, it is crucial to ensure that your dealership’s online listings are as compelling and informative as possible. This includes crafting detailed and attractive vehicle descriptions and taking high-quality photos and a video that accurately shows the features and condition of each vehicle.
4. Competitive price
While tax refund season can bring a windfall for many, customers are still looking for a good deal when it comes to buying a used car. So, while doing car buyer surveys, include researching your local market and taking note of average selling prices for similar vehicles. Then price your inventory accordingly, making sure you offer competitive prices and maintain a reasonable profit margin.
5. Offer attractive incentives
To differentiate your dealership from the competition and encourage customers to choose your used car inventory, consider offering a variety of incentives. These can include financing promotions, extended warranties or even service and maintenance packages. By adding value through these incentives, you can build customer loyalty and ultimately increase sales.
plan do repeat
While tax refund season is a great time for dealers to take advantage of the influx of eager car buyers, you have to get the job done, or the buyer in the market will go elsewhere. By following these five expert tips, you can ensure your dealership’s used car inventory is primed and ready to make the most of this annual increase in spending.
