Sunday, July 13, 2014

Why LotLinx is Ubercool for Car Buyers (and dealers)


Middle Man


There’s a reason that there are more 3rd-party websites in the automotive industry than just about every other. It’s lucrative. The industry is extremely competitive and companies have learned that being a middle man between buyers and dealers can turn into a nice business model. The only bad part is that it’s not good for either buyers or the dealers in most cases.


Here’s what normally happens. A car shopper visits a website that lists inventory from around their local area. When they find a car that they like, they have the option of filling out a “lead form” to inquire about the vehicle. From the car buyer’s perspective, they are going to contact the dealership that has the vehicle of their interest and they’ll receive information promptly so they can buy the vehicle soon. A good number of people visiting these sites are in the last leg of their search, so they’re ready to go see the next vehicle they’ll be purchasing.


From the dealership’s perspective, they see these sites as a place to expose their inventory. Car buyers will see their cars and then inquire through the 3rd-party site in order to connect them as quickly as possible. They’ve been told, after all, that these people are the ones at the lowest end of the buying funnel and they want to be there for them when they’re ready to purchase.


Now, let’s discuss the reality. Most of these 3rd-party sites are not delivering exactly as promised to either the buyer or the dealer. They are taking these lead submissions and selling them to multiple entities. Sometimes, it’s even the manufacturer who is buying them and then distributing them to more than one dealer. In other cases, it’s not even a dealership at all that is buying the lead but rather a broker or finance company trying to generate a different type of revenue. In just about every case, the lead information is sold to multiple parties. The dealership who has the vehicle itself isn’t always amongst them.


This is where LotLinx is different. They are less of a middleman and more of a bridge. People who want to see a vehicle that they’d like to consider while on a 3rd-party website are taken directly into the dealership’s vehicle details page. There is no confusion. The leads are not sold and neither the car buyer nor the dealership are misled in any way by the interaction. It’s a pure bridge – buyer to seller.


Those who have influence over dealers (including buyers) should recommend to their dealers that they should use LotLinx. Dealers who want to get the traffic from these sites directly rather than buying leads that may or may not be going to them alone should strongly consider LotLinx. In a world where transparency and privacy are threatened, it’s companies like LotLinx that help to cut through the noise.


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