With tax season upon us and consumers starting to receive their tax refunds, dealerships should be prepared to harness this time of year as an opportunity to turn those tax refunds into down payments on new vehicles. As more and more people receive a tax refund every year, it is predicted that approximately two thirds of Americans will receive a tax refund in 2018. While many consumers plan to save this extra cash, an average of about ten percent of adults plan to spend their return on a major purchase like furniture or a new car.
An article on DealersUnited.com explains, “Some dealerships see an increase in up to 50% of annual business during tax season and sell more cars during this time of year than any other. While those numbers are bound to differ from dealer to dealer, we do know that tax refunds have more than doubled in the last decade. And this makes for a huge opportunity for industries that benefit from large initial investments.”
Dealers should be prepared to heighten their marketing (both digital and print) campaigns to appeal to consumers who have that extra cash in their pocket. If you are appealing to an audience that relied on their tax refund to come up with a down payment, than be sure to gear your advertising to highlight your financing and subprime financing offers. Your marketing efforts should assure consumers that:
- Your dealership has many financing options available
- Credit problems and low credit scores are not a problem
Subprime audiences are a major target during tax season. This population of consumers should not be overlooked when marketing your tax season sales and initiatives. According to Experian, “The percentage of auto loans to buyers with the poorest credit ratings is growing faster than the rest of the auto finance market. Almost 21% of open loans are held by individuals with subprime and deep subprime credit ratings.” Make sure you include your subprime messaging throughout all of your advertising and marketing campaigns.
This tax season, be sure to boost your dealer marketing campaigns with messaging around financing options that target both typical and subprime car shoppers who may have some extra cash on hand.
If your dealership offers subprime lending options to consumers, partnering with a company like CyberLead Inc. can help to increase sales. CyberLead Inc. is an established and experienced business that generates potential customers for hundreds of auto dealerships throughout the country. They utilize a strong network of search engine-optimized domains that provide valuable subprime leads. If you are interested in obtaining more leads for your dealership, contact CyberLead, Inc. at 866-347-0607.
