Louise Wallis, head of business development, NFDA, presented 10 tips to delegates at the AM Used Car Market Conference to maximise the value of used car sales.

1. Ensure you have the right stock profile for your customers

Understand what your buyers want – type, specification, age, price – and display the stock in optimum condition, with each having a full description.

2. Ensure stocking policies are robust

All stock should be turned at least every 60 days, 45 is better. Move on a vehicle earlier and take a financial hit rather than wait longer to see if it sells.

   ♦  See more images from the AM Used Car Market Conference 2014

3. Know the provenance of the cars you sell

Checks on a vehicle’s history, title, MoT status and mechanical condition are essential. Ownership documentation, recall data and details of outstanding finance must be to hand.

4. Market stock digitally

A digital presence is essential and you need to monitor the effectiveness of your marketing, ensuring websites show latest stock, using images and video and comprehensive descriptions.

5. Qualify your customers

Get to know your customer, qualifying them with information on the type of car they want, their budget, finance choice and period they plan to keep the vehicle.

   ♦  Read more from the AM Used Car Market Conference 2014

 

6. Offer finance

FCA changes to consumer credit law are as much an “opportunity as a curse” since finance will have to be sold in a “much more process-driven way that could drive greater finance sales”.

7. Offer add-ons

Products such as extended warranties, tyre, alloy wheel, GAP insurance and MoT insurance.

8. Offer service plans

Service plans provide the additional opportunity for upsell of service and repair items.

9. Follow up post-sale

Exploit opportunities to sell extras and promote service and repair as well as build a relationship and gather testimonials.

10. Invest in the right staff

Recognise the value of your staff through training and incentives.