Numbers don’t lie: Used vehicle accessory sales generate more profit and more revenue than the new car industry.
Used car buyers are known to spend more money on accessories at point-of-sale than new car buyers. Older cars have a more attractive price tag but may not have all the updated accessories the car buyer desires. This is likely why car dealers have a greater opportunity to add profit to this type of car sale.
Tips To Maximize Accessory Profits On Used Car Sales
1_ Make Accessories Part of the Car Sale Process
Looking at add-ons with your used vehicle buyer should be integral to the sales process. Don’t risk losing the customer to the cheaper aftermarket option once they leave the dealership.
According to a recent study, “Inside the Accessory Buyer’s Mind,” most new car and truck buyers who install accessories within their first two years of ownership say that brand names are important. More than half say it is important that accessories are made by their own vehicle’s brand.
As an OEM accessory supplier, you have the advantage because you make contact with the customer first. All you have to do is understand their needs and introduce them to their options before they turn to the aftermarket.
2_ Put Popular Accessories Front and Center
If you’re only displaying accessories in the parts and service area, this could be a missed opportunity. There’s certainly no harm in using other areas of the dealership to display the most popular Accessories.
As reported by RevolutionParts, these have been the top accessory categories in 2020:
- Floor Mat
- Wheel - Rim
- Roof Rack
- Trailer Hitch
- Roof Luggage Carrier Cross Rail
3_ Appeal to the Buyer’s Emotions
During these uncertain times, people want to have control and feel safe in their vehicles.
In fact, Reynolds & Reynolds reports that the top accessories sold in 2018 were protection products. Teach your customers that these types of add-ons will give them more peace of mind on the road.
Popular External Protection Accessories: rust protection, paint protection, coatings
Popular Internal Protection Accessories: ADAS, remote starters, navigation systems, sensors
4_ Know Your Customer
RevolutionParts reports that 69% of vehicles sold last year were pick-up trucks and SUVs. These vehicle types also happen to be the most accessorized. As SUV and pickup purchases continue to rise, dealers should be targeting these buyers to upsell accessories. Being familiar with these sort of trends can help your dealership make better decisions when it comes to marketing and placement, so it’s important to keep a close eye on buyer behavior.
5_ Incentivize All Dealership Employees to Upsell Accessories
The Service department knows the vehicles better than anyone in the dealership, so they are a valuable resource when it comes to selling accessories. Dealerships should use this expertise to bridge the gap between the variable and fixed ops departments.
Simply showing customers the service department and introducing them to the Service Manager can build trust and the opportunity for an upsell. Not only could this aid you in selling accessories at the point of car sale, but it also sets the stage for your customer to return when their car needs service.