July dealer inquiries decline

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【Summary】Enquiries for new and used vehicles declined 0.9% in July compared to last year, leading to a 15% drop in overall sales. Test drives also fell by 1.9%. Dealers are urged to maximize the value of every enquiry and plan for an extended sales process. Digital solutions can help improve efficiency and customer service. Quick response time is crucial, as up to 78% of sales go to the dealer who responds first.

FutureCar Staff Aug 14, 2023 7:25 AM PT

The latest data from iTrackLEADS reveals that enquiries for new and used vehicles experienced a slight decline of 0.9% in July compared to the same period last year.

However, despite this decrease, dealers saw an increase of 4.6% in the number of enquiries they responded to. Unfortunately, overall sales still fell by a significant 15%. Additionally, test drives also experienced a decline of 1.9% during the month.

Adrian Favill, the director of iTrackLEADS, commented on the situation, stating that while consumer interest remains high with only a small decrease in the total number of enquiries, there are growing concerns about the economy impacting the industry. The 15% drop in sales is the largest decline observed this year. Favill emphasized the importance of dealers maximizing the value of each enquiry and preparing for a longer sales process that will require better management.

Favill also highlighted the potential benefits of digital solutions for dealers. He suggested that these solutions can help improve efficiency in responding to enquiries, providing better access to data and enhancing customer service.

According to Favill, sales teams can become more effective when data is shared and analyzed. By monitoring key metrics such as the time it takes to complete a sale and conversion rates, dealers can optimize every opportunity. The data from iTrackLEADS indicates that responding to a lead quickly is crucial, as up to 78% of sales go to the dealer who responds first to an enquiry.