Effective Used Car Marketing Strategies to Boost Your Sales

SEO
PPC
Content marketing
August 16, 2023
12 min

The global automotive eCommerce market is set to expand by 17.5% annually over the next ten years.

The used car market is a dynamic and rapidly growing automotive industry segment that offers many opportunities. Let’s look at the major used car trends you need to be aware of to create and implement effective used car marketing strategies. 

Market Size and Growth

The used car market constitutes a significant portion of the automotive landscape. The used car market has consistently grown over time. In 2024, the worldwide size of the used car market reached approximately USD 1.8 trillion. Projections indicate a steady expansion, with an anticipated compound annual growth rate (CAGR) of 6.1% from 2022 to 2030. The US used vehicles market is one of the list of the strongest ones. Such a market growth tendency is attributed to improved vehicle durability, escalating prices of new cars, and a wider selection of used vehicles available to consumers.

Used Car Market Structure. Source: DMR

Pricing Dynamics

Affordability is a driving force behind the popularity of the used car market. Used cars are generally more budget-friendly than brand-new vehicles, making them an appealing option for a diverse range of consumers. However, pricing within this market can be complex, influenced by variables such as:

  • Vehicle's age;
  • Mileage;
  • Condition;
  • Brand reputation;
  • Market demand. 

Certified Pre-Owned (CPO) Programs

Certified Pre-Owned programs, offered by manufacturers and dealerships, have gained traction in recent years. These programs provide buyers with a sense of assurance by offering rigorously inspected used cars backed by extended warranties. This blend of affordability and reliability has propelled the popularity of CPO programs and injected greater confidence into the used car market.

Technological Transformation

The digital age has revolutionized how consumers approach the used car market. Online platforms, accompanied by advanced technology, have expanded consumers' access to information, allowing them to research, compare, and even purchase used cars from the comfort of their homes. This shift has broadened the market's reach and transformed the traditional buying experience. 

Understand Your Target Audience for Effective Used Car Marketing 

Successful used car marketing strategies deal with understanding of your target audience. Identifying the preferences, needs, and behaviors of potential buyers can greatly influence your strategies and help you tailor your approach for maximum impact.

Demographics and Psychographics

Gaining insights into the demographics and psychographics of your potential customers is crucial. Demographics include factors like age, gender, income, and location. For example, according to the automotive statistics below the demographics of US buyers of new cars and used vehicles are different. Consider these insights creating your used car marketing strategy.

car dealerships stats

Pain Points and Needs

Identify the pain points and needs of your potential customers. Are they concerned about used vehicle reliability, fuel efficiency, affordability of a car, or maintenance costs? An effective used car dealer marketing strategy is providing vehicle crediting for customers with poor credit.  Addressing different pain points through your marketing messages can establish trust and resonate with their concerns.

Approximately 4 in 10 car dealers now allow customers to handle every stage of the car purchase online.

Online Behavior

The digital age has transformed the way consumers research and shop for used cars. Understand where your target audience spends time online, whether it's on social media platforms, automotive forums, or review websites. Tailor your online presence and marketing efforts to reach them where they are most active.

While only a small percentage (under 3%) of consumers have bought a car online, nearly 1 in 3 are open to an entirely digital purchasing process for their next vehicle.

vehicle buyers behavior

online automotive traffic distrubution

Local Market Insights

Local factors can heavily influence buying decisions. Consider the demographics and economic conditions of your specific location. For instance, urban buyers might prioritize compact vehicles for city commuting, while suburban buyers might look for larger models for family needs. 

Customer Feedback and Testimonials

Existing customers' feedback and testimonials can provide valuable insights into what your target audience appreciates about your offerings. Highlighting positive experiences and showcasing how your used cars have met the needs of similar buyers is a beneficial used car marketing strategy.

By the way, Promodo has prepared a comprehensive list of automotive forums. Find the “Download” button in the down-left corner. 

Create a Responsive Website

The creation of a captivating user-friendly website for your used car dealership is a “must”. Automotive UX/UI is not only about a design choice, it deals with delivering a superior user experience that seamlessly adapts to the diverse array of devices and screen sizes that modern consumers employ. 

“At Promodo, our main product is smart design, which means that before creating layouts, we immerse ourselves in business to achieve the best possible outcome”. Yevhen Ivliev, Head of UX/UI at Promodo

Throughout their buying journey, car consumers typically explore an average of 4.2 websites. By offering an aesthetically engaging and refined automotive website design, your used cars website increases its likelihood of grabbing users' attention and earning the position of their preferred choice from the array of available options. Furthermore, a user-friendly design simplifies the purchasing process, distinguishing you from rivals and contributing to a seamless customer journey.

Find all automotive design tips and trends in our recent article

Optimize for SEO

Automotive SEO optimization holds paramount importance for used car dealers, acting as the compass that directs potential buyers to the website. Nowadays, consumers turn to search engines as their primary research tool, which makes SEO one of the most powerful used car marketing strategies for your dealership. 

When a prospective buyer enters key phrases like "used cars for sale" or "best pre-owned vehicles" into a search engine, your used car dealership's website stands a chance to be prominently displayed. SEO strategy aligns your digital presence with these queries, ensuring that your offerings resonate with what users are seeking. This alignment isn't solely about clicks; it's about capturing the attention of individuals genuinely interested in what you have to offer.

Find more powerful used car sales marketing ideas in our case study

automotive seo ppc

Content Is King

In the dynamic world of used car dealership marketing, where digital interactions shape consumer behavior and brand perceptions, content is on the list of key success factors. Automotive content serves as the vehicle through which dealerships can engage, educate, and resonate with their target audience. 

Quality content marketing serves as a conduit for building trust and establishing credibility in the used car market. By sharing informative articles, detailed vehicle specifications, and insights into the industry, dealerships position themselves as knowledgeable authorities. 

Buying a used car can be a daunting process, fraught with uncertainties. Effective content addresses these concerns head-on, offering guidance, tips, and advice that help potential buyers make informed decisions. 

Take a look at the examples of different content themes that Promodo’s SEO experts chose for the US used car dealer

The Power of Pay-Per-Click Advertising in Used Car Marketing

As one of the most powerful used car marketing strategies, PPC advertising allows used car dealerships to precisely target their ideal audience. By selecting keywords, demographics, locations, and even interests, dealerships can ensure that their ads are presented to individuals actively seeking used cars or displaying relevant online behaviors. This targeted approach minimizes wasted ad spend and ensures that every dollar invested reaches the most qualified potential buyers.

Examples of search ads of Promodo’s Client 1010tires 

Another benefit of this used car digital marketing tool is the instant visibility of automotive PPC advertising. As soon as a campaign is launched, ads appear at the top of search engine results pages or on relevant websites. This immediacy is especially valuable in the fast-paced world of used car sales, where timing can greatly influence a buyer's decision-making process.

One of the most appealing aspects of automotive PPC advertising is its cost control mechanism. With PPC, dealerships only pay when a user clicks on their ad. This pay-as-you-go model ensures that the used car marketing expenditure is directed toward actual engagement, making each investment count. Used car marketing spending on PPC can be adjusted in real time, enabling flexibility and responsiveness to market dynamics.

Collect and Showcase Positive Reviews

Leveraging positive reviews through collection and showcasing becomes one of the strongest used car marketing ideas that not only enhances a dealership's credibility but also resonates powerfully with potential buyers. By collecting and showcasing customers’ reviews, dealerships can solidify their position as trustworthy partners in the journey of purchasing pre-owned vehicles. By the way, you may gather these reviews not only on your website but also on trustworthy automotive forums, which would provide you with additional brand awareness.

Partner with Lenders

Partnering with lenders represents a strategic move of marketing for used cars that not only benefits dealerships but also creates a win-win scenario for customers seeking financing solutions. By establishing robust partnerships with lenders, used car dealerships can enhance their offerings, cater to a wider range of buyers, and foster long-term customer relationships.

“Providing digital marketing services for car dealers in the US and Canadian markets, Promodo experts know for sure that partnering with lenders is an effective used car marketing strategy. Financing solutions serve as significant competitive advantages for used car dealers. Customers with poor credit are looking for opportunities to purchase a car. Consider this used car marketing tip when launching your strategy”. Ihor Stromets, Middle PPC Specialist at Promodo

Send Personalized Offers and Updates

Personalization is a potent used car marketing strategy that can transform the way used car dealerships engage with their audience. By sending personalized offers and updates, dealerships can create a tailored experience that resonates deeply with individual buyers, fostering loyalty, driving conversions, and enhancing the overall customer journey.

Generic messages can easily be ignored in today's fast-paced digital environment. Personalized offers and updates stand out by offering content that is directly relevant to the recipient. This relevancy captures attention and increases the likelihood of engagement.

The most effective digital channel for your personalized offers is email marketing for car dealerships, find its details in the recent article. 

Use Analytics to Refine Your Strategies

Analytics emerges as a guiding light for used car dealerships seeking to optimize their marketing efforts. By leveraging automotive analytics in marketing for used cars, dealerships can gain valuable insights into customer behavior, campaign performance, and market trends. This data-driven approach empowers dealerships to refine their strategies, make informed choices, and achieve better outcomes in the competitive landscape of used car marketing.

Published:
August 16, 2023
Updated:
November 18, 2024
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