The Lot Blog

While 2020 and 2021 witnessed a sharp decline in car sales resulting from the pandemic, the auto industry appears to be on a steady rise, with new car sales expected to rise to 15.47 million vehicles from an estimated 15.07 million in 2021. According to Kelley Blue Book, trucks and SUVs picked up market shares with a year-over-year increase in average transaction prices at 1.5%, and the top-selling SUVs of 2021 included Toyota RAV4, Honda CR-V, Nissan Rogue, and Toyota Highlander.
small-image-Dealer Insights: Car Sales Trends & Best Practices
Recent auto industry reports show that while used car prices have made steady declines in early 2022, overall prices have remained at an average of $31,450. In a June market analysis from car shopping app CoPilot, it was reported that the decline of used car prices is likely to accelerate in the coming months. According to a recent Cox Automotive report, certified pre-owned car sales were down 22 percent in May compared with a year ago. Despite the recent decline in prices,...
small-image-Auto Industry News: State of New and Used Cars
It takes a lot to run a successful dealership — from keeping your website up to date, to managing your inventory, to staying in contact with customers. Trying to do it all can be a handful, which is why having a customer relationship management (CRM) system is crucial for your business. Here are some key benefits of using an automotive CRM in your dealership...
small-image-Benefits of Having an Automotive CRM System at Your Dealership
Did you know that men and women have different car shopping habits? While women generally have an idea of what they’re looking for in a new vehicle, the car buying process typically takes longer for women than men, averaging around 75 days, according to a recent study. Additionally, the study found that women tend to be more utility-minded rather than luxury-focused when it comes to selecting a vehicle. In other words, they prefer vehicles known for their durability, reliability, and safety.
small-image-Different Trends of Male and Female Car Buyers
As rewarding as owning an independent dealership can be, there are many factors that go into ensuring your car dealership’s success, such as increasing your bottom line, improving customer satisfaction, and staying on par with your competitors. While offering car financing through your independent dealership is a good way to increase cash flow and profits, working with the right finance company is crucial. Many independent dealers work with finance companies that are more focused on their...
small-image-How the Credit Acceptance Portfolio Program Can Help Your Independent Dealership
There’s a common misconception amongst franchise dealerships that subprime financing is limited to older, high-mileage vehicles. While most franchise dealers offer traditional car financing with lower interest rates to customers with prime credit scores (660+), offering non-prime and subprime car financing can help your dealership approve more customers, sell more cars, and generate more cash flow and profit for your business. Through the Credit Acceptance Portfolio Program, your franchise...
small-image-How the Credit Acceptance Portfolio Program Can Help Your Franchise Dealership
Unlike most new and used car dealerships, your buy here pay here (BHPH) dealership has a unique business model centered on providing in-house auto financing to credit-challenged car buyers. The Portfolio Program can help BHPH car dealerships improve cash flow and profitability for their business. We handle the collections so you can focus on what you do best – selling cars. Rather than put up your own capital to finance a customer’s vehicle and manage the collections, your BHPH...
small-image-How the Credit Acceptance Portfolio Program Can Help Your BHPH Dealership
While selling cars is key to running a successful car dealership, having the right financing options in place is equally as important. Most car buyers don’t have cash on hand to purchase a vehicle outright, so offering auto financing through your dealership creates a more seamless car buying experience for customers. The more financing options your car dealership offers, the more selling opportunities you have. When trying to find the right lender or financing partner for your car...
small-image-How to Secure Financing Options for Your Car Dealership
Since selling cars is the bread and butter of your car dealership, your top priority is closing as many deals as possible. Doing this requires a combination of having the right car sales strategy and working with the right auto lender or finance company that can fund your car deals quickly. As you’re aware, a big component of closing the deal is how well your sales staff connects with your customers. The car salespeople who are generally most successful are those who are intentional about...
small-image-How to Close Car Deals Faster
If you’re a dealer that offers auto financing through your car dealership, getting your deals funded quickly is high on your priority list, if not at the top. With most auto lenders and other finance companies, there are various factors that can delay the process of receiving funding in a timely manner. This includes:...
small-image-How to get faster funding for your car dealership
Whether you’re an independent, buy here pay here, or franchise car dealership, it’s important that you have solid relationships with lenders and other finance companies you work with. It’s a given that every potential car buyer who walks into your dealership doesn’t have cash on hand to drop for 100% of the purchase price on a new or used vehicle. Because of this, many customers will rely on your car dealership for auto financing. In fact, in today’s rapidly progressing digital era, more...
small-image-Why having a good relationship with finance companies is important for your dealership
Whether you’re an independent, franchise, or buy here pay here car dealer, there are many prospective car buyers visiting your dealership with intentions of purchasing a reliable vehicle. Since credit-challenged car buyers are often denied credit approval by traditional finance companies, it’s important that your customers know there is an option to receive subprime auto financing, which is intended to meet the needs of your consumers with bad credit or no credit. While working with most...
small-image-Working with Subprime vs. Traditional Finance Companies
Your primary goal as a car dealer is to sell quality vehicles and generate revenue for your business. However, not offering subprime financing through your car dealership could potentially hinder you from meeting your sales goals. If you’re an independent car dealer, you may not have all the resources and funding necessary to purchase quality inventory for your dealership. If you’re a buy here pay here car dealer, scrambling to collect monthly car payments from your customers may be...
small-image-Benefits of Working with a Subprime Finance Company
“How can I make my car dealership more profitable?” This is the question many — if not all — dealers ponder when strategizing ways to reel in more money for their car business. While there are various methods and strategies your dealership can implement to become more profitable, one of the fundamental keys to doing this is increasing your cash flow. Cash flow is an important factor when measuring your dealership’s financial performance. While positive cash flow indicates a company has...
small-image-3 Ways to Improve Your Car Dealership’s Cash Flow
The auto sales market has evolved into a hybrid of in-person car buying and online car sales. According to Deloitte’s 2021 Global Automotive Consumer Study, 71 percent of American car shoppers want to buy their car in person, while a recent Harris poll found that 64 percent of consumers aren’t comfortable buying entirely online. However, both studies also found that there are many parts of the car buying process that consumers prefer to do online, such as completing all their research and...
small-image-Online Car Sales Trends
It’s been an interesting couple of years for the global economy due to the COVID-19 pandemic. With the ongoing microchip shortage, the automotive industry has been hit especially hard. While the effects of the pandemic continue to shake the automotive industry, analysts are predicting some positive news for the year ahead, according to Automotive News: New-vehicle inventories will improve slightly as automakers continue in their efforts to secure microchip supplies. North American...
small-image-2022 Automotive Industry Forecast: The Upside
Getting customers approved for car financing is an important step in the car buying process. Many car dealerships that offer traditional auto financing only approve car buyers who have what most auto lenders and car finance companies consider a positive credit history. On the contrary, car dealerships that offer subprime auto financing can approve car buyers with bad credit or no credit history, opening the door for them to approve more customers. Car dealerships that are enrolled in...
small-image-How Your Car Dealership Can Approve More Customers for Car Financing
We live in a new generation of car buying. With the Internet right at the fingertips of consumers, new and used car shoppers no longer need to fully rely on car salespeople for information on a vehicle they’re interested in purchasing. Because of this, car dealerships must now take a different approach to establishing credibility with potential car buyers. Two words: Active listening. According to John Doerr, president of global sales and training organization RAIN Group, car sales reps...
small-image-Listening to Understand Your Customers vs. Listening to Sell
Since the COVID-19 outbreak in 2020, the auto industry has been pushing to stay afloat amidst the global chip shortage, which has caused a drastic decline in new car inventory.
small-image-2021 Auto Industry Report
Offering subprime financing through your car dealership can position you to reach more customers who are unable to get approved for traditional auto financing because of bad credit or no credit. Enrolling in the Credit Acceptance auto finance program gives your dealership the ability to not only approve more customers for financing, but also increase your market share. Here are the benefits of offering subprime financing through the Credit Acceptance program: Gives you the ability to...
small-image-Benefits of Offering Credit Approval to Subprime Car Buyers