Huge Breakthrough In Automotive Digital Marketing: VIN View Optimization Drives Faster Turn, Bigger MarginsMar 23, 2016
With 95% of car shoppers researching cars online*, you as a car dealer need an effective digital presence. But what is an “effective digital presence?” It’s more than a website. It’s more than listings on third-party sites. It’s even more than racking up vehicle detail page (VDP) views. An effective digital presence means you are optimizing the distribution of VDP views across all the VINs on your lot. And now, with the breakthrough VIN View Optimization tool from LotLinx, you can finally see the VIN views each car has been getting from every source across the Internet.
Faster Turn = Bigger Margins
VINs that have 30 VDP views or greater spend 44% less time on the lot. So if you can get each VIN to 30 views quickly, you will experience faster inventory turn rates, which in turn, means less floorplan costs. Since your cars sit for less time on the lot, you will pocket bigger profit margins per vehicle.
What we’ve found with the VIN View Optimizer is that the distribution of VIN views is very uneven, with the vast majority going toward just a few cars, while other cars are under-engaged or even orphaned. Here’s the distribution of VDP views that we observed across a pool of several hundred dealers between 9/1/15 and 11/30/15:
Unless you are in business to sell just 25% of the cars on your lot, this isn’t good news.
Until now, it has not been possible to analyze inventory on a VIN-by-VIN basis. Under-engaged and orphaned vehicles took up space on the lot, consuming profit margins, until they were sold at a loss or auctioned off.
LotLinx built the VIN View Optimizer and our Campaign Manager to allow you to direct digital ad spend exactly where you want it to go. The VIN View Optimizer gives you the ability to analyze how your inventory of cars is being viewed by every traffic source you have: Direct, Organic, SEM, AutoTrader, Cars.com, LotLinx, and Other. With the VIN View Optimizer, you can identify the gaps in your promotion strategy on a VIN-by-VIN basis. You can then use this information to create tightly-targeted campaigns with the LotLinx Campaign Manager for your under-engaged and orphaned VINs.
Stop The Waste
By right-sizing your VDP view delivery for every car on the lot, you will simultaneously:
- Eliminate the waste in digital ad spend by not putting marketing dollars toward VINs that are getting 30+ VDP views.
- Target marketing dollars toward under-engaged or orphaned VINs for greater return on investment (ROI).
- Increase turn rates across your entire inventory.
- Increase your profit margins by having your VINS spend less time on the lot.
Use The VIN View Optimizer … With Our Compliments
LotLinx is offering the VIN View Optimizer on a complimentary basis to all dealers, not just LotLinx customers. All you need to do is grant us access to your Google Analytics and notify vAuto that you give us permission to access your activity reports for classified car listings sites. That’s it.
We’ll run your inventory through the VIN View Optimizer, giving you instant visibility into every VIN on your lot. Ready to have your eyes opened and your mind blown? Contact us today.
*“Digital Drives Auto Shopping,” Google, 2013.