Combining Physical and Digital Retailing is Essential for Auto Dealerships Today
Phygital – a combination of physical and digital retail – isn’t just the future; it’s happening now, particularly in the auto world. In 2020, dealerships were faced with an interesting dilemma. They had to quickly bridge the gap when customers didn’t feel comfortable or weren’t able to purchase a vehicle in person during the pandemic. “By mid-2020, it was clear that an integrated phygital platform with digitally-enabled salespersons was a critical success criteria to tap into the car-buying public.” Fortunately, bridging that gap was simple when dealerships embraced digital retail.
The phygital car-buying model allows customers to start their car-buying experience online, browse the dealership’s inventory online and select the car they want without ever having to step foot in a dealership. Credit applications and approvals can also now be done entirely online, expediting the process even more. Before the final purchasing stage, many customers want to test-drive the vehicle, which is where the “physical” aspect of phygital retail comes into play. Maintaining a physical location allows customers to visit your dealership to see the car and take it for a test drive before purchase. Final documents may need to be signed in person, but most of the sale can now be done online – and that’s what consumers want.
Research shows that 80 percent of car shoppers are now open to an online vehicle purchase, a whopping 50 percent increase from pre-COVID numbers. However, 20 percent of potential car-buyers are still not open to buying online, emphasizing the importance of embracing phygital retail. With phygital retail, your dealership can maintain a physical location for test drives, car pickups, and those who don’t want to buy online while also offering digital sales options for the majority of customers who want to do most of the process online.
Moving from traditional retail to a phygital approach doesn’t have to be daunting. With AutoQuoter, it can be easy. AutoQuoter helps your dealership develop a microsite to showcase your inventory, get credit approvals, and track sales, all while still maintaining your physical location. Our showroom kiosks offer a seamless transition from online to in-store shopping with integrated QR code technology that helps shoppers move from mobile phone searches to financing to test drives. Contact us to get started on embracing phygital retail today!