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App Users Are More Likely to Buy, and Buy More

May 14, 2014

In the May 12, 2014 FirstUp eNewsletter from AIADA, they note that dealer apps lead to a 73% increase in likelihood of buying a vehicle from a store, with a 7% higher price. autoWALL®’s new autoWALL® app locks the consumer to you with more value offered from your store than any other product out there. To learn more, read below and contact us here.

App Users More Likely to Buy, and Buy More

A customer with a dealership-specific mobile app is 73 percent more likely to buy a vehicle from that dealer than a customer without a mobile app, according to a study by DMEautomotive. “App-users are not only more likely to buy, but they spend more than non app-users,” says Mary Sheridan, DME’s director-research and analytics. WardsAuto reports that the app-users spent 7 percent more on their vehicle purchase than non-app-users, according to the study of 360,000 purchase records from 111 dealerships offering a store-branded app for a year. But it’s not always easy to convince consumers to download dealership-specific apps. Industry experts say shoppers who are cross-shopping dealerships are unlikely to download an app opposed to visiting the store or third-party websites. The likelihood of a customer opting for an app increases after a vehicle purchase, when a customer has established a relationship with the dealership. Still, a post-vehicle-purchase app download helps dealers work on customer retention and service-department marketing through ongoing digital communications. Fifteen percent of the vehicles purchased during the study period were by mobile app users who had no prior service history at that dealership. For more on how an app can help a dealership, click here.

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