Glass’s guide recently reported that the used car market is starting to reach the long-predicted tipping point into oversupply-with values coming under pressure as a result. They expect this trend to continue throughout the rest of this year and into 2019 fueled by the large number of one to three year old returns from the ongoing boom in new car PCP’s.
Those dealers who are truly able to understand the dynamics of this new market place and the impact it will have on their business and who have the ability to be able to adapt their stock management and sales approach, we believe will not only survive but thrive in this new environment.
Some Useful Guidelines
• Ensure you have adequate funding in place to manage your optimum stock requirement.
• Create a stock matrix that reflects demand by model, price, age, and specification etc.
• Ensure you have in place a stock policy that has an emphasis on stock ageing with a clearly structured liquidation policy.
• Maintain the highest display and merchandising standards.
• Monitor daily all of your marketing and media activity to evaluate its effectiveness.
• Ensure you effectively manage your sales process to maximise conversion rates and vehicle margins.
• Be sure your team fully understand and are able to calculate and monitor KPI’s, and measure yourself against the many recognised industry benchmarks.
• Review your auction and trade disposal policy ( could your own RMS improve trade sales and margins)
Get the Edge UK are a leading IMI accredited automotive training provider with a proven track record in helping our clients achieve exceptional results. Our new and innovative used car training programme will ensure your business is ready for the challenge ahead. We will help you to shine!
To find out more and to book your place on our IMI Quality Assured Programme in Used Vehicle Management – firstname.lastname@example.org