When it comes to pricing, successful dealers all know one thing for sure: set-it-and-forget-it isn’t the path to profits. But how do you know when it’s time to change a used vehicle price? This article from vAuto details three crucial indicators that can lead to pricing decisions that move cars and boost profits.
The more views a car gets, the better the chance it’ll sell on time. Additionally, the number of views each car is getting is a prime indicator of pricing accuracy. Which means monitoring your VDP views is vital. The LotLinx VIN View Optimizer™ measures exactly how many views each VIN on your lot is receiving, and where those views are coming from. So you can clearly see which cars may need a price change. You can try the VVO™ for free, right now.
When you know what the same vehicle is selling for at other dealers, you can make more informed decisions for your own inventory. Analyzing groups of cars by their time on the lot enables you to fine-tune pricing. Many dealers review pricing almost daily, enabling them to bring precision to their pricing, and minimize time on lot. Your VIN View Optimizer™ report will detail the days on lot for every car in your inventory, and help you make more informed pricing choices.
Making informed acquisition decisions is key, too. The Market Days Supply metric tells you how many identical vehicles are available in a specific market. So you can set an informed initial price. Once the vehicle is on lot, you can use this metric to adjust pricing as needed. The VIN View Optimizer™ can highlight cars with a high Market Days Supply metric, so you can create custom campaigns that get them moving.