There is a term in sales that states “a sale occurs when an equal or greater amount of value is demonstrated to the consumer in exchange for the cost of the product”. I believe that this concept also applies to acquiring vehicles from private sellers in the For Sale by Owner (FSBO) space.
Private sellers want to get as much value from their vehicles as possible, which is understandable. Our mission as acquisition professionals serving the FSBO market is to relate the value of doing business with us rather than have them persist in the private seller market.
Time, security and ease of doing business are the three major components we utilize to illustrate the value of doing business with a dealership rather than attempting to sell the vehicle on their own.
1) Time: In today’s fast paced world, we often find ourselves without time to get everything we would like to do completed. Time is a premium that equates to money.
2) Security: Selling a vehicle can be a daunting experience. Meeting strangers at your home or in a parking lot and attempting to exchange cash and titles is not safe.
3) Ease: No one is better equipped to advise a seller on titling, tax and managing positive or negative equity in a vehicle than a dealership. We are the best seller advocates.
When we leverage these three components while delivering a premium guest experience and transparent processes, we create value that exceeds the difference in the amount of money the seller would have received by selling their vehicle privately.
We will have also provided the seller with a memorable experience, giving them the best first impression of our dealership. The process gives us the opportunity to present our dealership in a positive light as a member of the community and a great place to do business in the future. This is what we call “Value Based Acquisition”.
Recent customer experience studies have shown that over 80% of buyers state that money was not the most important factor in purchasing a vehicle. This relates directly to the value based concept that we are discussing and can be transferred to the acquisition process.
Making the process of selling a vehicle transparent, efficient, safe and easy while delivering a premium guest experience will result in more successful acquisitions as well as developing positive relationships with consumers in your market.