One-third of dealers say that time is the biggest issue they face when it comes to getting imagery and listing a vehicle online.
Research from Manheim shows that inconsistent image quality and the time taken to prepare the vehicle for photographing are a problem for 78% and 71% of respondents respectively.
Manheim found that, on average, it takes 60% of used car dealers three to four days to list a vehicle online with images from point of purchase.
This equates to a potential loss of over £20, on every single vehicle, on an already tight margin.
Philip Nothard, customer insight and strategy director, told Manheim’s content team: “Auto trader in the USA found that car buyers spend 59% of their time researching online, and we know that consumers are far more likely to view a vehicle listing if it has images.”
“By advertising the vehicle as soon as possible, dealers will generate interest in their vehicles faster and reduce days to sale, therefore maximising profit opportunity.”
“We recommend that dealers look for ways to bring efficiency to the process of photographing a vehicle once purchased online or at auction, in order to reach its greatest profit potential.”
Cox Automotive’s recent Insight Report claimed that fully online sales transactions are coming on mass, with 60% of dealers reportedly saying that they will have such services up and running in the next two years.
Although just one in five dealers currently offer online transactions, the apparent thirst for the ability brings into questions the future role of the traditional dealership.
The report proffers the question, “Does this move to online provide OEM’s with an opportunity to go it alone and deal directly with the customer?”
It answers, with no. Cox says that the “smart money” is currently behind building on the current partnership model, with dealerships here to stay because of a strong customer desire to test drive and get the car serviced and repaired.