Reports shared by the Society of Motor Manufacturers and Traders (SMMT) reveal that there were only 4,321 new car sales registrations in April 2020, compared to over 160,000 units in April 2019, according to CNBC. The registration figures from April 2020 are the lowest since 1946 and reflect the challenging situation the UK auto industry is facing amidst the coronavirus pandemic. A slump in demand and closure of showrooms due to strict stay-at-home orders resulted in thousands of cars sitting in Tilbury docks.
Fortunately, the reopening of showrooms after the government eased lockdown measures has led to an increase in auto sales across the country. In July, new automobile registration rose by 11%, with an estimated 175,000 sales. While the rise in car sales is good news for the auto industry, SMMT executive chief, Mike Hawes said, “the growth should be treated with caution.” He adds, “ understanding the true levels of consumer confidence might take some time.” So, what does that mean for the automobile industry post-pandemic? Here are several tips on how auto dealers can attract customers and boost sales.
Adhere to Social Distancing Rules
Car buyers are concerned about their health and safety now more than ever. As an auto dealer, you should adhere to the set social distancing guidelines and measures to enhance safety at the dealership. Ensure you stay updated with the latest advice based on where you live because governmental information varies from region to region. But also, think of the needs of customers located outside your area.
To ensure your sales representatives and customers are safe at all times, create a sufficient amount of space in the waiting bay and parking lots. You can achieve excellent results by reducing seating capacity, limiting the number of cars allowed to park in your premise, and introducing appointment bookings. Also, use markings to indicate the required social distance and emphasize hygiene by providing hand sanitizers, encouraging the use of face masks, and regularly disinfecting high touch areas. In doing so, customers will have confidence that your auto shop is safe and, in return, make a purchase.
Be Accessible Online
With social distancing orders still in place, many dealers are working with limited staff. For this reason, invest in reliable external communication channels that allow customers to reach you with ease. While providing customer support via phone calls is key to successful recovery, you may want to incorporate live chats.
If you don’t have a business website already, now is the time to create one. Having an online presence will not only enhance communication with potential buyers but also build long term relationships. Keep in mind consumers spend most of their time reading reviews and shopping guides about the latest models on various auto sites before making a purchase decision. By offering credible information about your retail car models, pricing, and deals on your website, this will likely grab the attention of potential buyers.
Embrace Solo Test Drives
Test drives provide opportunities to secure sales, which is why they are an essential part of the car buying process. However, in recent months, accompanied test driving has been put off to promote social distancing. As a result, dealerships have resorted to providing solo test drives to establish trust with potential buyers. Unaccompanied test drives give customers a chance to assess the looks, feel, and performance of vehicles to make informed decisions on their vehicle purchase.
With the strict movement restrictions slowly easing down, there is hope for auto dealers to stay afloat. Nonetheless, dealerships must implement new marketing strategies and follow health protocols to attract potential customers.