The old way of buying cars is dead, long live the new way of buying cars! This may sound like a revolutionary statement, but it’s true. The days of haggling with a car salesman are coming to an end. Why? Because customers are changing their buying habits.
More and more people are choosing to buy cars online, and this trend is only going to continue in the years ahead. Not only that, but the push for electric vehicles is only going to increase, meaning that there will be even more demand for cars in the future.
So, what does this all mean for dealerships? Well, it means that they need to change the way they do business. In order to stay ahead of the curve, dealerships need a new formula for success: here’s what that is.
The Vast Majority of Models Will Go Electric
The first thing to note is that most models will go electric in the years ahead. This means that dealerships need to stock up on electric vehicles and be prepared to sell them to customers. Not only that, but they need to be able to service these vehicles as well.
This shift will not happen overnight, but it is already happening. In 2018, electric vehicles made up just over two percent of all car sales. However, by 2025, that number is expected to jump to 20 percent. This means that dealerships need to be prepared for the influx of electric vehicles.
The good news is that there are plenty of options on the market. Couple this with purchasing used EVs from your customers and you have a recipe for success.
We’d also be remiss not to mention we here at Leasly have one of the best EV VSCs on the market!
The Internet Will Be Key
Buying a car will be like ordering a bag of chips from a vending machine by 2025. Why? Because the internet will dominate this industry just as it has retail. In fact, the web already plays a significant role in the car-buying process.
A recent study found that nearly 60 percent of people start their car-shopping journey online. In fact, it’s estimated that by 2025, around 80 percent of all car sales will be made online. This means that dealerships need to have a strong online presence.
Not only should they have a website where customers can browse their inventory, but they should also make sure that their website is easy to use and navigate.
At Leasly, we supplement dealerships’ online needs by providing social media and online advertising, as well as a digital marketplace on your behalf.
By investing in your online presence you will reach a wider audience and sell more cars. It’s also important to note that selling cars online is not just about listings; it’s about building relationships with potential customers.
You Will Own Nothing and Be Happy
Renting and leasing are the future of car buying.
By 2025, it’s estimated that the car leasing market will grow by 20 percent. This is because more and more people are realizing that they don’t need to own a car to have the freedom and flexibility to drive one.
This is also why car subscription services have popped up in recent years.
The idea of ownership is dying amongst the younger populations. A recent study found that only 42 percent of millennials say that owning a car is a priority for them. This number drops even lower when you look at Generation Z, with just over 30 percent saying that they see car ownership as a priority.
What does this mean for dealerships? It means that they need to change the way they think about selling cars. Instead of focusing on selling a car, they need to focus on leasing or renting it.
This is where Leasly comes in. We provide a subscription-based car rental service that gives people the flexibility to drive the car they want without having to worry about ownership.
We also customize the perfect lease for any customer: Both short- and longer-term.
The bottom line is that dealerships need to be prepared for a future in which people don’t want to own cars. They need to focus on leasing and renting, as well as providing subscription-based services.
The future of car buying is electric, online, and subscription-based. If you’re a dealership, you need to be prepared for this future by investing in electric vehicles, building a strong online presence, and offering leasing and rental options to your customers.
At Leasly, we can help you navigate this future and sell more cars. Contact us today to learn more about how we can help you.
Take care 🙂