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The Fastest Moving Vehicle Segments? It Might Surprise You

The Fastest Moving Vehicle Segments? It Might Surprise You

Segment Dynamics Require a Multi-Faceted Approach From Dealers

SUVs and trucks are often the focus of dealer attention, priority, and support, and rightly so. Those segments are popular with consumers and therefore sell the most. But while those vehicles headline ZeroSum’s vehicle movement data, an analysis of turn rate and days-to-move metrics point to some surprising leaders that can also spur actions and help a dealer’s bottom line.

Year-to-date, the top four segments in terms of vehicle movement are dominated by SUVs and trucks, accounting for almost 60% of sales in the market.

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But, sales velocity metrics such as turn rate and days-to-move point to a different picture, and one that also warrants attention, priority, and support. In particular, Mid-Size and Small Sedans are among the segments that are moving vehicles quickly and efficiently. Small Trucks and Minivans, while at lower levels of sales, are also among the top performing segments from this perspective.

It is noted that the combined vehicle movement of Small and Mid-Size Sedans exceed that of Small SUVs and almost match Full-Size SUVs (and lead Full-Size Trucks by almost 200,000 units). And while SUV segments generally match the overall vehicle market in terms of turn rate (39%) and days-to-move (67), the sedan segments are significantly outperforming on both metrics (Small Sedans: 48% and 60 days-to-move); Mid-Size Sedans: 49% and 54 days-to-move). Full-Size Trucks lag the market (32% and 88 days).

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These findings point to a multi-pronged strategy for dealers to address these various segment dynamics:

  • Use Sedans to Spark Interest: Although SUVs and trucks remain among the most commonly purchased new vehicles, the efficiency of many sedan models indicate that lower upfront cost and overall value are still a high priority for many new car buyers. This is particularly true in today’s market of elevated vehicle costs, high interest rates, and a smaller set of economical vehicles available to shoppers. Prioritizing these vehicles as affordable and accessible choices in advertising and featuring inventory on dealer websites can spark interest and act as an enticement to bring shoppers into your store.
  • Emphasize SUV Value: At the same time, SUVs, which are generally plentiful and profitable, should also be highlighted by focusing on functionality, performance, styling, and value for the money. Ensuring that your pricing remains competitive compared to other consumer choices in these segments is also key.
  • Bundle Truck Purchases with Incentives and Offers: To increase sales efficiency, dealers can offer attractive financing options, extended warranties, or service packages for truck buyers. Additionally, discounts on accessories like bed liners, tow hitches, or off-road tires can increase the appeal of these vehicles. Offer trade-in bonuses or loyalty incentives for existing truck owners considering a new model. This can help move truck inventory by making upgrades more affordable and attractive.
  • Targeted Digital Marketing Campaigns: Dealers can use data-driven platforms like ZeroSum’s MarketAI to precisely target buyers with a high interest in trucks. MarketAI’s insights allow dealerships to optimize ad spend and showcase specific models to likely buyers. Its machine learning can also enhance campaign effectiveness by ensuring each vehicle listing reaches the right audience.

By leveraging targeted solutions like ZeroSum’s MarketAI, dealerships can align inventory with consumer demands. These tools empower dealers to showcase their trucks to the right buyers, optimizing ad spend and enhancing campaign effectiveness. Even with some truck segments moving slower, the right marketing approach can ensure inventory reaches interested consumers at the right time.

Contact ZeroSum today to discover how these solutions can support your dealership marketing strategy.

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