I recently sent out a one-question survey asking if “price sells used cars.” The response was amazing and the results have been tabulated. Over 90% of the surveys said yes. Those that said no or checked “other” said things like:
Price generates interest, but you still have to sell the car.
You still have to show value.
Only if the unit is standing tall.
A main component, but not the only factor.
Perceived value matters.
Price doesn’t necessarily sell the car but causes it to get viewed.
The talent of the salesperson matters once they get to the store.
A better question would have been, “Does price drive traffic to your store?”
However you want to slice and dice it, price either sells vehicles or it drives traffic to the store.
Since this is an undeniable truth, why would you have any units over 60 days old? Isn’t it also a fact that the longer you keep a unit, the less gross you make on it?
My conclusion is there’s a price that someone would have paid for the unit much earlier in the life-cycle if you had just priced it right. By going away faster, you make more money.
This isn’t rocket science. It’s part of the fundamental laws of nature. Study nature. That’s all I’m gonna say, Tommy Gibbs