Call it a private sale, a sales event, a special, or a myriad of other names. Its been around for years in the auto retail business.
The "private sales" generate incremental business, attract opportunistic buyers, and yes also provide a competitive advantage.
In Canada this year one manufacturer and its dealers have deployed the "private sale" strategy to a new level with success. If you don't know which manufacturer...if you are in the auto business you should.
Yes...the timing of the sales is "strategic" to capture a monthly advantage. In addition to holding these sales across extended geographical regions.
At a time of increased awareness of social media, technology, informed buyer, demanding prospect, punctuated by a general void in showroom selling experience, buyers visiting less than 2 dealers to finalise a decision. Dealers should be doing this, that, adopting this technology, using that platform, be visible on several social fronts.
The ability to deal with the reality of the auto retail business, yes "horse trading" with trade ins remains an intrinsic and enduring part of the business. The neophites in the showroom are challenged by this unique aspect of the auto business.
We could keep on going here, there is an intrinsic vacuum in most showrooms on how to close a deal. Accompanied by a lack of management leadership that is attuned to closing deals.
Here comes the private sale.
- Attracts existing customers.
- Tempts opportunistic buyers.
- Facilitates closing deals (especially with trade ins).
- Steals business from the competition.
The lingering question: "How long can it last?"
In the meantime: "Its working, its moving iron".