Chief Strategy Officer
LotLinx
Workshop
The Race to the Bottom. How Calendar Markdowns Are Destroying Dealer Profitability
A good thing gone bad: Dealers are hitting the “reduce price” button too often for modern market conditions, and it’s now cutting deeply into their margins. Historically, dealers have relied on price-to-market, calendar, or event-based markdown schedules to revive underperforming inventory, but modern research is proving that “Price Elasticity of Demand” is no longer a profitable model for selling cars. Efficient inventory marketing strategies are the key to a more profitable path. This session will provide attendees with insightful data, including the most up-to-date statistics regarding the reality of price reductions on active dealership lots, as well as the results of proactive identification and promotion methods on a variety of slow-moving inventory. Attendees will leave with a deep understanding of why the future, and margin, is in the “Demand Elasticity of Price.”