Thinking About Your Own CPO? Here’s Couple of Tips to Insure Success
If your dealership has ever considered building out a white labeled CPO program, now may be the right time to consider it. Think about it...new car inventories are going to be lean for months to come with the chip shortage lingering and causing temporary line shutdowns. That leaves your customers who need a car NOW to be a perfect candidate for a late-model CPO vehicle.
CPO cars usually fall under very similar criteria...under 5 years old, under 40-50k miles and in good shape both mechanically and cosmetically. If your store has been able to get trades that fit that bill or have been able to purchase them from the wholesale market, positioning them as private labeled CPO cars could have immense appeal...especially now.
Here are a few tips to position your in-house branded CPO program for local (or not so local) shoppers -
- Hit Social...Hard - Assuming your dealership has a social media presence, using that channel to help highlight your new CPO program is the ideal way to reach your local market and beyond. Leverage every channel to let shoppers know that even though you may be light on new cars, your store has late-model used cars that are fully inspected and protected. Give every detail on the process and show videos/photos about your due diligence procedure.
- Front & Center - As you either have car shoppers stop by the lot or reach out online, make the new CPO program the first topic of conversation if possible. Make sure sales enthusiastically describes the advantages of buying a CPO unit and train them to focus on the benefits rather than features of the program.
- Get the Ancillaries Right - Ancillary products should be a part of the program but make sure it’s the products that make sense or there will likely be objections. Consider an ancillary bundle that is reasonably priced so that it doesn’t interfere with the opening for VSC or GAP. Focus on appearance ancillaries like interior/exterior, PDR, windshield, and add key replacement for extra value. Preload it as a standard part of your CPO program and most customers should be happy to have it.
One more tip….working with an F&I administrator who has a fully built-out white labeled CPO program makes all of this much easier. TruCPO, powered by TruWarranty, offers your store powertrains out to 150k, vehicle history report, and no admin fees when you add in TruWrap. Click here to find out more about a CPO program that fits your needs, not the other way around.
Certified Pre-Owned is always an attractive way to purchase a car and offers the customer strong protections and in many cases, a better long term ownership experience.
What if you don’t have a CPO program to lean on? Simple….start your own.