October update from Nathan Coe, Auto Trader CEO
I hope that you, your family and colleagues are well.
As the news about COVID-19 continues to dominate our lives, it is becoming clear that we are entering the winter months with continued restrictions on our everyday lives and that these are likely to be in place for some time to come. We remain hopeful that automotive retailers won’t be forced to close their doors again, and that healthy levels of sales can carry on.
It is, therefore, essential that we do everything we can in the coming weeks and months to continue to respond to the high levels of demand we’re seeing from consumers. This appears to be driven in part by the challenges faced with the use of public transport and the desire for personal space, but also by some consumer groups finding themselves with more disposable income. The research we conducted following the most recent Government announcements in early October revealed that 29% of consumers1 looking to buy on Auto Trader believe owning a car is now more important than it was pre-coronavirus.
Audience on site remains strong
Our latest metrics show continued year-on-year growth in the volume of unique daily visitors – up 21%, remaining consistent at around 1.4 million2. Audience activity on our platforms showed advert views up 15.5%3 on last year and lead volumes remaining high, up over 27% year-on-year4. This trend is a little slower than in previous months but remains strong by historical standards. This strong year-on-year growth is also being seen in our van, bike and leisure channels.
Keep buyers informed and reassured as COVID-19 measures continue to evolve
The COVID-19 safety measures displayed on adverts ensure you can provide reassurance to buyers about the measures in place whilst visiting a dealership and more importantly alternative options that allow click and collect or delivery minimising non-essential journeys. Today over 347,000 items of stock include this additional information, from 8,500 retailers. It’s therefore more important than ever that you update this information.
Guaranteed Part Exchange (GPX)
We’re continuing to prioritise the launch and development of products and services that will support retailers in these ever-challenging times and are set to introduce a Guaranteed Part Exchange (GPX) tool soon. GPX is designed to provide retailers with an efficient, profitable and risk-free route to source stock whilst offering consumers a guaranteed part-exchange price for their current vehicle. The price will be powered by Auto Trader’s award-winning valuations, and the transaction underwritten by Manheim. As well as helping retailers resupply their forecourts with part exchanges, GPX will be invaluable in creating sales opportunities and attracting highly qualified buyers who are ready to purchase. If you’re interested in being an early adopter of this new product, complete this short form and we’ll be in touch to tell you more about it.
Online support through RPM
Last week we launched our Retailer Performance Masterclasses which provide online modules for ensuring you’re getting everything you can from your Auto Trader package alongside the latest advice on navigating the challenges our retailers are facing every day. This has already been accessed by over 1,000 retailers and the feedback has been excellent:
“I must congratulate the team at Auto Trader for creating a simple, easy to use and watch, convenient system to help develop, explain, coach and educate my sales staff and sales managers on the benefits, the process and the how to do it, when it comes to improving used car sales, stock turn, adverts, and profit.” Robin Luscombe - Luscombe Motors
We continue to do everything we can to ensure you end this year in the best place possible. Having all of your stock online, ensuring it’s visible to the largest audience is more important than ever. We can’t be sure what the next few months will bring, but we can do everything possible to support you to finish the year strong.
As always, if you have thoughts or feedback to share, please do not hesitate to get in touch directly or contact the team.
Best wishes
Nathan Coe
Data Sources
1 Auto Trader on-site consumer survey, Oct-20 n=338
2 Auto Trader internal analysis of Google Analytics data, unique visitors on Auto Trader daily, 5th October – 11th October 2020 vs 5th October – 11th October 2019 (inclusive).
3 Auto Trader internal tracking, ad views on Auto Trader total, 5th October – 11th October 2020 vs 5th October – 11th October 2019 (inclusive).
4 Auto Trader internal tracking, increase in email, text and chat leads sent to retailers in LE & M postcode areas, 5th October – 11th October 2020 vs 5th October – 11th October 2019 (inclusive).