The Lot Blog

There are many scenarios that may prevent car buyers from getting credit approval from traditional finance companies and auto lenders, two of which include multiple autos on bureau and/or one or more repossessions on the customer’s credit history. With the economy in such an uncertain state, car dealerships may want to add subprime auto financing options to be able to help car buyers with bad credit purchase a car. Here’s how your car dealership can approve car buyers with multiple open...
small-image-How Car Dealerships Can Approve Car Buyers with Multiple Open Autos or Repossessions
Behind every successful car dealership is a solid team of individuals working together for the greater good. To build and nurture a quality team, your dealership should foster an environment where your staff feels empowered, valued and safe. If you’re looking for ways to boost the morale of your car dealership staff, here are a few ideas: Help everyone understand their purpose. Reinforcing the purpose of your staff’s individual roles and responsibilities and how they contribute to your...
small-image-How to Create a Positive Team Atmosphere in Your Car Dealership
Income status is one factor that is considered when approving a potential car buyer for auto financing. Since income plays a key role in a car buyer’s ability to get approved for financing, those with unemployment or fixed income often get denied credit approval to buy a car. Having auto financing options available for every customer can help your car dealership offer more credit approvals and ultimately increase car sales! The Credit Acceptance auto finance program enables enrolled car...
small-image-How Dealerships Can Approve Car Buyers with Unemployment or Fixed Income
As you know, there are many different types of people who come into your car dealership looking to buy a reliable car. Some have a good credit history while others have difficulty getting credit approval from auto lenders and finance companies due to bad credit. People who have a bankruptcy or foreclosure on their credit history are potential car buyers who are likely to have bad credit and therefore have a difficult time getting approved for financing. And as a car dealer, you likely want...
small-image-How Dealerships Can Approve Car Buyers with Bankruptcy or Foreclosure
While meeting sales cycles and quotas may be the keys to running a successful car dealership, having a well-trained staff is a critical component to accomplishing those key metrics. Taking the steps to ensure your dealership staff is trained during these unprecedented times may impact the success of your car business. Here are some topics you may want to cover when training your dealership staff: Require compliance training for new hires and current employees to ensure your entire...
small-image-Ways to Train Your Car Dealership Staff Effectively
The way people respond to advertisements has changed significantly over the years. Gone are the days when consumers were easily wowed and won over by flashy signs and aggressive sales pitches. Nowadays, having quality content that informs, engages and resonates with potential customers is how businesses generate new sales leads. So how can lead generation benefit your car dealership? A few ways: Target potential customers According to Medium, lead generation allows you to target...
small-image-Why Lead Generation Is Important for Your Car Dealership
Back in the day, a car dealer’s reputation was built through word of mouth and street presence. However, in today’s modern, digital era, more factors play a role in building and maintaining a solid reputation, including online and community presence. Here are five ways car dealers can strengthen their reputation: Collect customer reviews. According to a recent Bright Local survey, the average consumer spends 13 minutes and 45 seconds reading reviews before making a decision. Among...
small-image-How Your Dealership Can Strengthen Its Reputation
If you are an independent, franchise or Buy Here Pay Here car dealer, you most likely work with different lenders and finance companies to help car buyers with a range of credit scores get approved for financing. When working with a variety of customers, helping them find the best auto financing option for them can be a daunting task. To ensure your customers make the best auto financing choice when buying a car, here are a few steps you can take. Talk about credit history. To help...
small-image-How to Help Car Buyers with Auto Financing
Although the coronavirus pandemic has disrupted the automotive industry, J.D. Power states that overall car sales should regain its footing over the remainder of the year, thanks in substantial part to automaker incentives. While many dealerships across the nation are reopening as business closure orders expire, the COVID-19 crisis has prompted many automakers and car dealers to go back to the drawing board and devise new business strategies that appeal to consumer demand for more online...
small-image-Strategies for Car Dealers to Navigate COVID-19
With the economy significantly impacted by COVID-19, online and mobile shopping has dramatically increased, with the result that dealerships are becoming more innovative with regard to their online and mobile car shopping experience. A recent study from PYMNT found that consumers are 30.6 percent more likely to make online purchases in 2020 than they were in 2019 and that consumer usage of mobile devices for shopping has also increased from 49.6 percent to 72.1 percent in the last year. ...
small-image-Why Your Dealership Website Should Be Mobile-Friendly
Understanding how much your customers want to spend is important when helping them purchase a car that meets their budget. If you’re a car dealer that offers subprime auto financing to car buyers with bad credit or no credit, listening to your customers’ needs and showing them cars that are within their budget can help establish trust. Here are 3 ways to help you determine a subprime customer’s budget when purchasing a car: Be straightforward. The best way to identify a person’s budget...
small-image-How Dealers Can Help Customers Buy a Car Within Their Budget
Whether you’re a franchise, independent or buy here pay here car dealership, you’re in the business to sell cars and make a profit. But in order to do this, it’s important to have the right systems and strategies in place for your sales team to achieve and maintain consistent, positive results. Here are 3 tips that may help improve car sales in your dealership 1. Manage Your Web Presence & Reputation To be visible in today’s digital climate, it’s important for your dealership to have...
small-image-3 Effective Ways to Improve Your Car Sales
The COVID-19 pandemic has impacted numerous companies around the world, causing them to reevaluate their business models to stay afloat in this unstable economy while striving to keep their employees and customers safe. With shelter-in-place and business closure orders in effect across the country, consumer behaviors have shifted towards online shopping, changing the way businesses market and sell their products and services. As a result of the social distancing and business closure orders...
small-image-3 Ways Dealers Can Help Auto Shoppers During COVID-19
Oftentimes, credit-challenged car buyers have a hard time getting approved for financing because of their poor credit history. Given the fact that many car dealers offer vehicle financing that primarily caters to prime and super prime car buyers, there are many consumers that are turned away due to having bad credit or no credit. According to the Consumer Financial Protection Bureau, 19 percent of Americans have poor credit, meaning approximately one in five consumers are potentially in...
small-image-How Car Dealers Can Approve Customers with Bad Credit or No Credit
When it comes to auto financing and/or purchasing a vehicle, many first-time car buyers—a majority of whom include Generation Z and younger millennials—don’t know what to expect. With these two generations being a growing part of the car-buying market, it’s important to understand how to appeal to younger consumers. Although first-time car buyers are doing most of their research online—17.6 hours, to be exact—a large majority of them still want the dealership involved in the buying...
small-image-How to Help First-Time Car Buyers Purchase a Vehicle
When it comes to running a used-car business, independent car dealers usually have two things in mind: 1) having sufficient capital and access to quality inventory, and 2) selling more cars to grow their business. Having a strong web presence, mobile technology, quality customer service and a good finance program can help independent dealers succeed in their market.   Strong Web Presence According to Deloitte, car buyers spend an average of 10 hours doing research online before...
small-image-How Independent Dealers Can Grow Their Car Business
With the rise of online shopping and the influence of web and social media on the car-buying process, it’s easy to think that younger, tech-savvy generations are more inclined to shop for and even purchase their vehicles online. While that assumption isn’t far-fetched, a recent study from Urban Science suggests otherwise.   Visiting the Car Dealership After surveying 2,000 car shoppers and 200 dealers in February of last year, Urban Science found that Generation Z (people born...
small-image-Car Buying Trends for Gen Z
While offering subprime auto financing may not seem necessary for your franchise car dealership, it can mean more for your car sales than you may give it credit for—pun fully intended. If your dealership currently does not offer subprime financing, you’re turning away potential car buyers who may not have the credit scores necessary to qualify for traditional vehicle financing. In other words, you’re losing car sales. There is a substantial number of U.S. adults who have low credit scores....
small-image-What Franchise Dealers Should Know about Subprime Financing
Between April 24 and May 1, 2019, Cars.com surveyed more than a thousand current and expecting mothers about their top needs and concerns when shopping for the perfect family car. “More than 60 percent of women are the sole decision-maker when it comes to purchasing their next car,” said Jenni Newman, editor-in-chief of Cars.com. This includes mothers who are shopping for their next family car. According to the survey, car dealers can improve the car-buying experience for moms and their...
small-image-Car Buying Trends for Families
If you’re a Buy Here Pay Here car dealer, chances are you already offer your own, in-house vehicle financing to car buyers with bad credit or no credit. If this is the case, you may not see the benefit in working with subprime lenders or finance companies. However, there are a number of advantages to offering subprime vehicle financing through your BHPH dealership. Understanding Subprime Auto Financing Similar to financing through a BHPH dealership, subprime auto financing is offered to...
small-image-What BHPH Dealers Should Know About Subprime Financing