CAR-Research XRM Study Finds Top Reasons Car Shoppers Leave Auto Dealerships without Buying

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CAR-Research XRM, a single-source CRM solution uniquely branded as: “XRM, Extreme CRM”, today released findings from its study of the top reasons car buyers really leave the auto dealership without buying.

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it’s not about Be-backs any more--it’s about being FIRST! And our own data from over four years shows that the ones that DO leave for other dealerships left because of financing, inventory, and price. Don't let them leave for these reasons

CAR-Research XRM, a single-source CRM solution uniquely branded as; “XRM, Extreme CRM”, today released findings from its study of the top reasons car buyers really leave the auto dealership without buying. The study used a sampling pulled from January 2012 through December 2012 of 167,503 Interviews with customers from over 150 auto dealerships across the US, conducted by CAR Research XRM’s Certified Research Call Center. The findings show that the top reason customers leave without buying is that they are still shopping and have not been sold at THAT dealership. Of respondents, only 19% went on to purchase elsewhere, meaning that 81% of them were presumably still in market at the time of the interview.

In response to the question “Why did you leave the Dealership?” the generic answer “Still Shopping” ranked at 25% as the highest single reason. However, a full 48% of customers surveyed gave further details that they left because of a specific reason that they were still shopping; including Price, Financial, Inventory, and Style.

The survey found the top reasons car shoppers left without buying to be as follows:

1 Still Shopping 25%
2 Price 15%
3 Financial    13%
4 Inventory 10%
5 Style 10%
6 Payments 5%
7 Other 5%
8 Sales Staff Issues 4%
9 Trade 4%
10 Decision Maker Absent 3%
11 Time Constraints 2%
12 Negative Equity 1%

These results are taken from a sampling of 167,503 Interviews from over 150 auto dealers pulled from January 2012 through December 2012. Research has a margin of error of + or - 3%.

Other key findings from the survey include:

  • Items that ranked from 2-5 (Price, Financial and Inventory) accounted for 38 percent of the reasons cited by customers for leaving a dealership without purchasing a vehicle.
  • The majority of these customers did receive key Road to Sale process steps while at the dealership, Including Product Presentation (79%), Demo Drive (62%), Service Introduction and Walk (38%), and Manager TO Interview (52%).

“According to JD Powers, today's shoppers only visit 1.4 dealerships before purchase, DOWN from 4.5 in 2005. Showroom visitors come to the first dealership they visit more ready to buy than at any other time in modern car sales history: In other words, it’s not about Be-backs any more--it’s about being FIRST! And our own data from over four years shows that the ones that DO leave for other dealerships left because of financing, inventory, and price. Don't let them leave for these reasons--it’s time to sharpen our processes and our sales skills!”said Patrick Kelly, CAR-Research President and COO.

CAR-Research XRM is the only CRM in the auto industry that also provides the unique follow up of its Unsold Research Call Center. Full study results and demonstrations of CAR-Research XRM will be available at booth # 313 at the upcoming NADA Convention & Exposition in Orlando, Florida on February 9-11, 2013.

About CAR-Research XRM:
For 18 years and counting, built by car people FOR car people, CAR-Research XRM is the most complete, seamlessly integrated CRM and Marketing Solution in the Industry: Inventory Management, Internet Lead Mgr, Showroom Control, Missed Opportunity Research Call Center, Desking with Push to DMS, BDC Software, Marketing Solution with Email-Texting-Live Calls, Complete Service BDC, DMS and Telephony Integration and more.
For more information visit: http://www.CARXRM.com or call 800-376-5918.

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Kurt Kubicki

Sara Callahan
Carter West PR
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