Diversification Leads The Way For Car Dealerships

Diversification Leads The Way For Car Dealerships

In the aftermath of the COVID-19 pandemic, car dealerships are exploring new options to keep people coming in the doors. Those who could pivot and expand their services show that they have the chops to survive.

Focusing On Other Aspects of The Business

A car dealership without an attractive inventory of cars for sale seems somewhat pointless. At least, that is how many used car dealerships felt in the wake of a car shortage. Thanks to the pandemic, a shortage of critical computer chips, and a delay in the global supply line, new cars weren’t being produced anywhere near fast enough to meet demand. That led shoppers to focus on buying used cars, which led to an overall shortage of available vehicles.

If you’re a dealership that specializes in selling used cars, what are you supposed to do? Many dealerships found success focusing on other aspects of their business. For example, when there are fewer cars available to buy, drivers need their current rides to last longer. That’s where a marketing campaign around service, maintenance, and repairs comes into play. Just because the sales team doesn’t have as much to do doesn’t mean the service department shouldn’t have a full schedule.

Another option would be to help make buying cars easier for people. Dealerships like Ride Now Motors in Charlotte, NC, expanded their flexible financing options. The shortage of available vehicles was already a barrier, so this dealership decided to reduce other barriers to help more people have access to reliable transportation. Ride Now’s $500 down financing program became a huge hit that enabled more shoppers to find the used vehicles they needed in a time when buying a car was already difficult.

Expand The Business

After you get as much as you can promoting existing services like parts, maintenance, and financing, the next option is to diversify your offerings. While not every auto dealer is prepared to do this, Ride Now Motors took a chance that turned into a huge success. They opened Ride Now RV.

Another aspect impacted by the stay-at-home orders and social distancing guidelines of the pandemic involves vacationing. Airlines couldn’t fill their planes, even with enormous discounts. Instead of flying, many families took to the RV lifestyle to enjoy some quality time away.

Ride Now RV became a choice way to help people find adventure without taking risks in crowded planes or trains. This dealership offers a wide variety of new and used travel trailers, class-C motorhomes, and more. That’s not too bad for a company that started as a two-rooftop used car dealership.

Adaptability Survives

It’s hard to say what kind of challenges and obstacles will hit the auto industry moving forward. Sadly, there’s no crystal ball or a magic mirror to help predict the market. No one could have expected COVID to hit the way that it did. Dealerships that were able to adapt thrived, while the ones who couldn’t or wouldn’t are struggling to keep their lights on.


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