CDK's purchase of Auto/Mate may create a major disruption in the dealer management system (DMS) industry. Here is our take. DOWNLOAD
It’s pretty clear that the one-price retail model will continue to grow each year for the foreseeable future. Whether or not it ever becomes the dominant retail pricing model, one-price has special marketing needs and requires some special marketing tactics.
The dealer’s website absolutely must demonstrate value. One-price is not a benefit to the shopper unless that price can quickly be recognized as a value. If the shopper sees comparisons like MSRP on new vehicles or original MSRP and book value on used vehicles, then the customer can be confident the offer price is a good value. At that point, the benefit of not having to negotiate can be the store’s competitive advantage.
Many shoppers don’t want to haggle, but they don’t necessarily want to pay through the nose for the privilege of not haggling. That option has always been there for shoppers at any store. It’s up to the one-price store to demonstrate value, and the place to do that is on the dealer’s website. The dealer’s site is used by more shoppers than ever, from the early stages of online shopping all the way through the store experience.
Ads driving traffic to the website can do so with the promise the one-price store not only prices their vehicles to be a great value but demonstrates it for all to see. Stores pricing their vehicles competitively without demonstrating the fact they have done so will never experience the full benefit of their marketing policy. Value demonstrations on the dealer’s website are a core and essential tactic when executing the one-price strategy.