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Unhaggle/CarCostCanada

Dmytri

Noob
May 8, 2017
3
0
1
First Name
Dmytri
Hi everyone! I`m new here.

I`m actually new to the car sales industry as well. It`s just 9 months that I work as a Sales Consultant for Hyundai dealership here in Winnipeg.

I`m also working on some research about Leads Providers in Canada. Like Unhaggle.com and CarCostCanada.com. I searched online, searched this forum as well but can`t find any information regarding the terms of partnering. How do they work with dealerships? How much do dealerships pay for a lead? Or is it just only sort of membership fee?

I know most of the people here are from US, but at least I can ask, right? I would appreciate any information that can help me with this research.

Thank you!
 
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craigh

Super Moderator
May 19, 2011
1,674
1,097
114
Ontario, Canada
First Name
Craig
Hey Dmytri,

I know a few dealers that used to use both lead sources, but I believe they were both dropped last year almost unanimously across the board.
I don't have specifics on the lead prices (I'll try and get that), but I do know that one of the biggest struggles was training sales people on how to handle this type of lead. Consumers using these tools are looking for the rock bottom price and they're often walking in with that price in their hand. Unlike the US where there's a dealer every few blocks, I can't imagine you're competing with a dozen Hyundai dealers in your area?
What I did for a few of our dealers was just signup for both services (as a consumer) and price out one of their units - I let the system show me which dealers were recommended and what pricing they provided. I would recommend doing the same in your market and then contacting the vendors directly for pricing - I do believe they charge per lead, but that I cannot confirm.
 
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Karen Ann

Refresher
Apr 21, 2009
127
24
18
British Columbia
First Name
Karen
We were on Unhaggle, they were tough leads to respond to...sometimes they had no idea they had submitted a quote request. The super tricky part was Unhaggle would give them a price with none of the selected options added, causing serious confusion/anger.

The sales rep we had was amazing to work with!

There was a cost per lead. PM me if you have questions.
 

Carluminati

Getting Refreshed
Feb 17, 2015
83
35
18
Northeast
First Name
Chris
Your best leads will come direct from your own website IMO.

According to my CRM, our lead closing ratio the past 18 months ranges from 1.2% to 25% across various sources, with OEM lease maturity being the best. however overall I've sold the most cars with our own website leads at a 15% close ratio, and made the most profit for the dealership. And looking down stream, for us, the 15% close ratio dealer leads turn into to 25% close ratio lease maturity leads, so it's a good cycle if you can create that too.

The challenge for dealers is to convert right there at the VDP. It's all about the VINS....

You will find third party leads cost from about $10 on the low end, maybe less, to about $300 with Truecar, and maybe more with some Buyers Agents who want s a $500 bird dog - just say NO to them. So you want to compose a strategy to maximize your budget and remember that your website will always give you the best ROI. It's the truth. Expect 3rd party leads to close around 5% at the high range. Dealership leads close closer to the magic 15% mark, which is a good benchmark for most dealers to aspire towards.

If you have $10,000 to spend on leads, spend 50% on SEM, website retargeting, conquesting, and facebook retargeting and the other 50% on a balance of leads from various sources, but pay month to month so you can bail and change strategy when you need too.

Good luck - sounds like a fun opportunity to create something good!
 
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