According to Cox Automotive’s COVID-19 Consumer and Dealer Impact Study, there are fewer new-car shoppers currently in the market for a vehicle. Since the total available market is smaller than usual, dealers need to strategize smarter than ever for their share. To make matters more challenging, dealers are also facing rising prices and low inventory levels. However, they can still stand out from their competition and attract customers by delivering an experience that not only meets individual needs but also anticipates them. AI technology can help give dealers this extra edge. Here to discuss how AI can help dealer recovery efforts further, is Chase Abbott, Vice President of Sales at VinSolutions and Dealer.com (Cox Automotive).
AI technology can process huge volumes of readily available customer data online to make accurate predictions instantly. AI allows dealers to pinpoint whether customers are ready to buy a new vehicle and even what make and model they are looking for. Having this information in seconds can help dealers better meet customer needs and drive more sales.
The statistics speak for themselves. According to VinSolutions Automotive Intelligence Dashboard, consumers classified as ‘ready to buy’ are nearly 10.8 times more likely to make a purchase within 30 days, than consumers without data indicators. The brand, consumers ultimately select, is also correctly predicted for 84% of sales and the model is predicted correctly 46% of the time.
Some other AI technology tools and insights dealers can take advantage of right now are the number of customers who repeatedly return to the dealership website and sentiment analysis. Sentiment analysis tracks how consumers respond to targeted messaging. These data points are crucial for dealers to speed up their sales recovery. To hear more insight from Chase, be sure to watch our entire interview above.
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