The latest economic data from the Fed shows that the Auto Inventory/Sales ratio is at the highest level in the last 3.5 years. That means the supply of built cars is greater than the number of cars sold, and new car inventory levels are rising. Most industry insiders we’ve consulted predict that the trend will continue for, at least, several months. You’re probably seeing the same thing in your data and feeling it in your lots, too.
If you have people on staff who started in mid-2021 or later, they are entering uncharted territory, and even for the seasoned pros among us, it’s been a while since we’ve faced this issue. Here is what to expect:
- Dealerships will run out of space to house new vehicles. They’ll run incentive programs to move the inventory, but it will take time.
- FVL lots, already more full than they’ve been in years, will need to find new places to stash the overflow.
- Inventory and parking management systems that rely on spreadsheets or pen and paper, which was always time-consuming and cumbersome, will be completely overwhelmed.
- As it becomes increasingly difficult to place and then find vehicles, metrics will decrease, and employee morale will dip as they continually feel underwater and behind schedule.
- Add to this any new model launches that are coming and the associated pain of quality holds and repair and you’ll be reaching for the aspirin.
But it doesn’t have to be that way. Within weeks you can have a real-time location intelligence system up and running on your lots. We’re already installed and delivering value in over half of the top 10 biggest OEMs in the US.
With Cognosos, you can:
- Park your car where there is available space, and then move on to the next car. There are no parking numbers, bar-code scans, or human interaction at all. The car location is captured through a completely automated process.
- Find the car with ease. One of our first customers ran a test of our system. They tagged 40 cars with Cognosos and then tracked 40 cars in their usual fashion. The result? It took 4 hours to find cars in their normal process and minutes using Cognosos. That’s why they’ve been our customer for years.
- Eliminate manual yard audits. Let’s face it. Manual yard audits are a headache that zap time and suck morale. Just don’t do it. Use Cognosos instead and get a real-time location for every tagged vehicle.
- Help your drivers. When you stop hunting for vehicles, you have more time to drive. In addition, our Spotlight feature illuminates an LED in the tag, making it easy to find the car, especially in inclement weather.
- Get a handle on your quality float. Cognosos doesn’t just work out in the FVL yard. We can help you locate tagged cars indoors or out. Get ready to run your fastest quality campaigns ever.
Let’s talk about how Cognosos can help you and your team.
