The Lot Blog

While offering auto financing through your dealership isn’t required to sell inventory, it gives you the advantage of providing a convenient service to your customers during the car buying process. Many dealerships work with third-party lenders and finance companies to arrange auto financing for customers in needing financing to purchase a vehicle.
small-image-Choosing the Right Auto Financing for Your Customers
You know your car dealership inside out — from your inventory to your sales staff. But how well do you know the people visiting your dealership? Are you asking all the right questions to ensure your customers are buying a car that meets their needs? Are you listening to understand your customers' needs rather than to just sell another car off your lot? If you can’t answer that question with a confident “Yes,” you could be missing out on some selling opportunities. Here’s a list of...
small-image-Questions to Ask Customers Looking to Buy a Car
New car sales continued declining through the first half of 2022 as a result of the microchip shortage, according to a recent Autoweek article. In July, another auto industry news source, Automotive News, predicted new car sales would be down more than 19 percent compared with the first half of 2021. The publication also reported that General Motors took first place in new car sales for Q2. A July article from TheTruthAboutCars.com reported a year-to-date approximation of 6.57 million new...
small-image-Auto Industry News: New Car Sales
With car sales more competitive than ever for both new and used vehicles, as well as car shopping trending toward the online space, keeping your dealership top of mind at every stage of the car buyer journey may seem challenging. Fortunately, the right tools and best practices can help your dealership increase its brand awareness, which is basically how familiar consumers are with your brand. The more familiar consumers are with your brand, the better chances you have of converting them...
small-image-Creative Ways to Build Brand Awareness for Your Dealership
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