With consumer confidence at an 18-year high, and retail sales for the holiday season expected to be 4.1% higher than last year, advertising a new car in the driveway with a bow on top might be more effective than ever for moving vehicle inventory at year-end. This, in turn, could lead to higher auto loan and lease volumes for lenders, especially if they partner with dealers to pair great deals with attractive financing.
So what can lenders do to make the most of their advertising dollars over the next two months?
Borrowers today expect personalized interactions, and with the extra ad clutter at the holidays, getting personal is even more critical.
You can start by thanking existing borrowers individually for their business this year with a Season’s Greetings card that includes special rates and financing options. Tap into your data on borrowers’ demographics, account relationships and transactions to create targeted campaigns with compelling offers.
A lending platform that can support multiple products and present a comprehensive borrower profile creates new opportunities for targeted marketing at the holidays and all year long.
Drive Borrowers to Your Portal
With all the holiday noise, you need a cohesive, visually consistent, multi-pronged digital marketing campaign that clearly directs borrowers to your website. Use all avenues, including social media, text ads, and paid search ads to achieve this.
More and more borrowers are seeking financing independent of dealers, so having a scalable and user-friendly platform is crucial. Be sure your site has the information and tools borrowers need to act quickly on financing a new or used car.
Just as important, make sure your borrower portal is optimized for all devices. Potential borrowers should be able to quickly view and access your best offers, whether they are visiting your website on a desktop or a mobile device.
Collaborate with Dealers
You can also get more mileage this holiday season by collaborating with dealers to develop creative promotions. For example, you could offer a 12 Days of Deals event, which could kick off with a 0-dollars down or low-interest rate package. The dealer could then build on this with such offers as free tire rotation with an oil change, bonus cash with used car or new lease deal, picture with Santa with test drive…you get the idea.
Lenders can also cross-sell with specific dealers by offering excellent terms on vehicles they need to move out.
Use a Scalable Auto Loan Origination Platform
Making informed decisions is essential. An auto loan origination platform with configurable options and third-party integrations that can automate such time-intensive processes such as identity management, credit checks, and more can help you handle the holiday influx much more easily.
Invest in the Buying Season
It may cost more to advertise during the holidays, but one-third of shoppers say holiday weekend promotions drove them to buy. Customers who Google: “When should I get a new car?” will find that yearend is the best time to buy. Show them it’s also the best time to get an auto loan or lease, and everyone wins.