As we move into the final stretch of the year, automotive dealerships face both exciting opportunities and looming challenges. With proper planning and execution, the fourth quarter can be a springboard for dealerships looking to close the year on a high note while setting a strong foundation for the next. Recent insights shared in our webinar, “Setting Yourself up for a Big Q4,” shed light on several key strategies that can drive success in the coming months.
Optimizing Vehicle Merchandising for Maximum Impact
One of the most critical steps in dealership success is making sure every vehicle on the lot is properly showcased. Many dealerships struggle with under-merchandising, missing out on potential leads despite heavy investments in traffic-driving initiatives. Effective vehicle merchandising involves not just listing cars but presenting them in a way that captures buyer interest immediately. This means featuring a full set of high-quality photos—ideally 25 or more per vehicle—along with detailed descriptions and accurate pricing. These small touches can make a significant difference in driving conversions and engagement.
Beyond visual appeal, consider the questions that potential buyers are likely to ask. Answer these preemptively in vehicle descriptions, addressing key features and specs, to build buyer confidence and ease the decision-making process. Effective merchandising isn’t just about filling a webpage—it’s about creating an online experience that mirrors the professionalism of your showroom.
Making Affordability a Core Focus
Affordability continues to dominate buyer concerns, especially in a market where interest rates and inflation remain top of mind. Dealerships should address this head-on by prominently displaying financing and leasing options that feature monthly payment details. When potential buyers can quickly see which vehicles align with their budgets, they’re more likely to engage and convert.
Instead of burying these details deep within a page, consider creating dedicated sections on your website that highlight these offers in a clear and user-friendly manner. By making it easier for buyers to understand what’s affordable to them, dealerships can help reduce friction in the sales process and increase lead generation.
Targeting the Right Shoppers With VIN-Specific Advertising
With inventory fluctuating and consumer demand shifting, targeting specific vehicles becomes increasingly valuable. VIN-specific advertising is an effective way to bring potential buyers directly to the cars they’re interested in, especially for those farther down the purchase funnel. This method allows dealerships to market their inventory to serious, low-funnel shoppers, driving them directly to the relevant vehicle display pages.
By getting their eyes on the right vehicles at the right time, dealerships can increase their chances of converting high-intent traffic into sales. VIN-specific advertising narrows down the focus, ensuring that marketing dollars are spent efficiently while targeting the most relevant buyers.
Building Consistency Between Creative and Merchandising
A common yet avoidable pitfall for dealerships is inconsistency between their creative advertising and the reality of their online or in-person inventory. When ads promise something that doesn’t align with the experience on the website or showroom floor, customers lose trust quickly. Ensuring that your creative strategies—whether it’s a social media campaign, TV ad, or banner—perfectly match the offers and promotions reflected in your inventory is crucial for maintaining buyer confidence.
Stream Companies emphasizes the importance of seamless communication across all customer touchpoints, from ads to on-site experiences. This not only helps maintain consumer trust but also keeps them engaged through every stage of their journey.
Staying the Course With a Data-Driven Approach
In the high-pressure world of automotive sales, it can be tempting to shift marketing strategies the moment sales numbers start to lag. However, it is wise to know the importance of sticking to a plan. It’s common for dealerships to pivot too early, losing valuable momentum in the process.
Discipline and patience are required when executing long-term marketing strategies, especially as the results may not always be immediate. Rather than panicking and deviating from the established plan, dealerships should remain focused on regular, data-driven optimizations. Over time, this steady approach ensures that marketing efforts have the opportunity to yield results.
Media Mix Optimization: More Than Just Paid Ads
A well-balanced media strategy is the key to success, and that involves looking beyond the usual paid search or social media campaigns. Dealerships must consider a broader funnel, incorporating top-of-the-funnel tactics such as traditional and connected TV, radio, and display ads, in addition to performance-based initiatives.
By diversifying their media mix, dealerships can cast a wider net, capturing potential customers in the awareness phase before funneling them down to the purchase stage. Awareness-building strategies help to create long-term recognition and engagement, setting up stronger bottom-of-the-funnel performance over time.
Focusing on Fixed Operations: An Overlooked Goldmine
While new car sales often take center stage, fixed operations—service and parts—play a significant role in long-term customer loyalty and revenue. During the webinar, the importance of integrating fixed ops strategies into marketing efforts was made clear.
For example, many customers are inclined to view independent service shops as more affordable than dealership services. Conducting a competitive price audit and showcasing your pricing transparency can help overcome this misconception. Seasonal promotions, as well as focused marketing on services like oil changes, brakes, and batteries, can draw customers back to the dealership for their maintenance needs, boosting loyalty and post-sale engagement.
Preparing for the Post-Holiday Lull
While Q4 is critical, it’s essential to begin planning for the typically slower first quarter of the following year. Dealerships can maintain momentum by focusing on creative service promotions or launching targeted email campaigns. Planning ahead for post-holiday strategies—such as a “12 Days of Savings” service promotion—ensures continued engagement when consumer activity naturally dips.
Looking Ahead
As we approach the end of the year, dealerships can optimize their approach by refining key strategies around merchandising, advertising, and media investment. Staying the course, emphasizing consistency, and expanding the focus to include fixed operations will provide the competitive edge needed for a successful Q4 and beyond.
For tailored solutions and expert guidance, contact Stream Companies to help elevate your dealership’s performance as we head into 2025.