The subprime market in automotive is booming. In addition to moving more inventory, subprime financing offers higher returns (albeit with higher risk). But at the same time, prime credit customers are more likely to prefer a higher-end dealership over a dealer focused on serving the low-income market. It’s the subprime paradox.
So how do you market to subprime customers without appearing to market to subprime customers?
Geofencing beats the paradox
With dynamic content triggered by geofences, you aren’t forced to choose between markets and messages.
Your website will tell people in local low-income neighborhoods “We Say Yes”, while prime customers everywhere else are welcomed with a message of inventory selection and service.
Everyone hears the message that says you’re the best dealership for their exact needs, so you instantly create a competitive differentiator and earn credibility inside a valuable sector without damaging your primary market brand image.
Ask yourself this:
If you were sending out a mailer to every low-income household in your DMA, what would you say?
Is there a good call to action? Are you making your point while remaining positive? Will the visitor recognize herself in your materials?
Now, say the same thing on your homepage, just for that target audience.
- We say yes!
- Friendly understanding staff
- Great selection of reasonably priced cars
- Fast, easy financing
- Free rewards for coming in