To say that the automotive new car marketplace is constantly shifting is an understatement. Incentives pop in and out of existence, seemingly randomly and without notice. But nothing is revolutionizing new car sales as much as digitally originated sales.
According to a research paper from Frost and Sullivan, 60-70 percent of new car leads will come from a digital platform by 2020. It can be tempting to disregard the idea of digitization affecting auto sales, but the reality is that no industry is immune from being affected by digitization (even the grocery industry!) – and 2020 is approaching quickly. As of February 2017, Frost and Sullivan estimates that 65% of car purchases start on a smart phone, and over 90% of buyers go online to perform research. By the year 2022, Frost and Sullivan estimates that over 70% of all new car leads will originate online.
The paper also explores why digital leads are better in quality and easier to follow up on versus traditional new car leads. In the digital space, new car leads come from people who are at least in the investigative phase of their car buying experience. This is why new car leads originating from the digital space should be a big priority for your dealership. If you’re not currently on track to ensure that 60-70% of your leads are digitally derived by 2020, consult a third-party auto lead generation provider for new car leads like CarsDirect.
CarsDirect offers a full suite of products designed to help car dealers sell more cars: New Car Leads, Used Car Leads, Special Finance Leads, and innovative Display Advertising and Mobile solutions. We encourage you to explore this website to learn about how our award-winning products can help you move more units.