Trilogy Takes on Lead Generation in Used Vehicle Market

Tril­o­gy LLC has entered the used vehi­cle seg­ment at a very inter­est­ing time. The US mar­ket is see­ing more than 40 mil­lion used vehi­cle trans­ac­tions hap­pen­ing per year. A few years ago, a deal­er­ship might have had one used car man­ag­er han­dling most of the sales trans­ac­tions; late­ly that’s evolved into a team that includes inter­net sales and needs more resources and sup­port. They might be expect­ed to call a long list of leads pro­vid­ed by a third-par­ty sup­pli­er, but it’s like­ly to not pro­duce the num­ber of sales they’d hoped for.

“They’re gen­er­at­ing more leads with less val­ue,” said Michael Richards, Pres­i­dent of Tril­o­gy Auto­mo­tive. “It destroys a dealer’s abil­i­ty to retain tal­ent.” Deal­ers need to watch out for what Richards calls “arti­fi­cial­ly man­u­fac­tured leads.”

On Octo­ber 2, the com­pa­ny intro­duced its tech­nol­o­gy to the used vehi­cle mar­ket. Tril­o­gy has been pro­vid­ing high qual­i­ty third-par­ty leads to new car deal­ers for more than two decades, and has been hear­ing a lot from its more than 1,500 deal­er clients for assis­tance in improv­ing used vehi­cle leads. Tril­o­gy SmartLeads tech­nol­o­gy qual­i­fies used vehi­cle leads with the same patent­ed scor­ing engine used for new vehi­cle leads with what the com­pa­ny describes as addi­tion­al inputs and data analy­sis unique to the used vehi­cle mar­ket.

While Tril­o­gy has been serv­ing automak­ers and fran­chised deal­ers for years, inde­pen­dent deal­ers will soon be added to the clien­tele. With sub­prime loans and Buy Here Pay Here grow­ing in used vehi­cle sales, deal­er employ­ees need more sup­port for con­vert­ing leads into long-term loy­al cus­tomers. There might more fac­tors to look at with finan­cial­ly chal­lenged used vehi­cle cus­tomers, but the process needs to be thor­ough for all prospects.

Tril­o­gy clients are see­ing an 8.3% close rate from their leads ver­sus 2% to 4% from oth­er third-par­ty sources, Richards said. Deal­ers have to track avail­abil­i­ty and pric­ing for used vehi­cles a bit dif­fer­ent­ly than with new vehi­cle inven­to­ry, but get­ting the most val­ue from their leads mat­ters as much in used as in new. “You need to eval­u­ate whether the lead has gen­uine pur­chase intent,” he said, and Tril­o­gy assists deal­ers in mea­sur­ing and eval­u­at­ing their leads.

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