Orphans and Budget Busters and Spotlight Stealers, Oh My!
The 7 types of VINs every dealer knows.
Optimizing the distribution of VDP views leads to increased sales and larger margins. That’s why we developed the LotLinx VIN View Optimizer. This innovative tool enables dealers to analyze inventory and traffic sources for individual VINs and develop customized campaigns to move them off the lot.
But what types of VINs typically need help to sell? Our research has determined there are seven categories that dealers often find themselves struggling to move.
ORPHANS – These VINs have no VDP views. They may be off-brand, used vehicles, or cars that have recently arrived on the lot. They need customized campaigns that connect them directly with ready buyers.
BARELY-VIEWED VINs – These have received fewer than 30 VDP views, and have been on-lot over 45 days, impacting profit margins. A direct campaign can work wonders to bring in shoppers ready to buy.
MARGIN RISK VINs – These VINs have significant paid VDP views compared to their price point. For example, A 2016 Corvette with over 660 VDP views generated by paid search. You’ve paid out, and haven’t seen the ROI. It’s time to evaluate traffic sources to determine which ones are actually sending qualified buyers.
BUDGET BUSTERS – These VINs steal your entire campaign budget – like the Honda Odyssey you’ve been marketing with a branded-terms campaign. With “Odyssey” as a broad-match keyword and no negative filters, you’re paying for clicks from everywhere – and not attracting the shopper looking for that Odyssey.
SPOTLIGHT STEALERS – These VINs receive views on third-party sites, but aren’t worth the ad spend. A good example is the 2006 Volkswagen Jetta that’s selling for $6000 but receives 560 VDP views on a third-party site. It doesn’t make sense to spend 10% or 15% of your budget to sell a single used car. Better to shift your budget to VIN-specific campaigns.
RIGHT TO WIN VINs – These are the vehicles customers associate your dealership with. So, you get strong search engine optimization (SEO) results and direct traffic to your site. Keeping one of these VINs on your lot for under 45 days isn’t a cause for concern. But, if it exceeds 45 days, it’s time to supplement your marketing with a VIN-specific campaign to boost views.
JUST RIGHT VINs – These VINs are generating approximately 30 VDP views each, and are selling in under 45 days. While it’s important to keep an eye on them, as long as they continue to move, there’s no need to spend additional effort on them.
How many of these categories do you recognize from your own inventory? A VIN View Optimizer report can help your Budget Busters, Spotlight Stealers, and other slow-movers roll off the lot. You’ll be able to see at a glance which cars are exceeding the optimal VIN view threshold and therefore wasting your digital ad budget, and which cars would benefit from targeted marketing. Request your free report today.