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The Digital Acceleration of Auto Sales

Posted on 9.01.2016

If you have purchased a car in the last 18-24 months you will be familiar with the amount of marketing and technology that is involved on the part of buyers (researching information on the Web) and dealers (providing data to and interaction with buyers in a digital manner) throughout the sales process.

And it is becoming increasingly data driven.

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In an analysis of VDP (Vehicle Description Page) view distribution, automotive digital marketing technology provider LotLinx found cars that receive 30 VDP views in 30 days sell more quickly than those that do not. The study found that 81 percent of cars on dealer lots sold after receiving 30 VDPs views in 30 days or less – as compared to 65 percent of cars that received fewer than 30 VDPs in the same time frame. The report stresses the importance of distributing VDP views across dealers’ inventories in order to drive sales across the board. Nothing really surprising about that, but here is where it gets intersesting. 

The LotLinx report also revealed that 72 percent of all VDP views went to just 25 percent of cars, leaving the large majority of VINs under-supported (revealing an inefficient use of VDP views and a significant waste of ad dollars). The remaining 75 percent of cars on lots received, on average, fewer than the 30 VDP views needed to boost sales. In fact, the bottom 25 percent averaged only one VDP view per VIN, far too few to get a sale LotLinx suggested.

“Dealers clearly know the value of VDP views in driving sales, but they have not had visibility into the distribution of VDP views until now," said Len Short, founder of LotLinx. "Too many cars get no support while others may be getting more than they need to sell. Basically, not all VDP views are equal. I encourage all dealers to take a closer look at their VDP view distribution. That examination will likely reveal the value of VIN-specific marketing campaigns, and the opportunity to reduce wasted ad spend.”

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