Top 3 Reasons Why Car Dealerships Need GPS for Their Inventory (2024)

  • September 29, 2021

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If there is one technology every car dealership must embrace, it has to be GPS tracking for car dealers. These tiny tracking devices are priceless for car dealerships and car financing institutions. As a matter of fact, independent statistics indicate that about 70% of car dealerships in the United States already have their vehicles installed with GPS trackers.

Without a doubt, GPS tracking for car dealerships continues to get more popular, and undoubtedly for the right reasons as it goes beyond just merely locating the whereabouts of vehicles.

Let’s highlight the 3 Reasons Why Car Dealerships Need GPS Trackers for Their Inventory…

Manage Assets on the Car Lot

Although most people look at dealership GPS tracking devices as technological tools for locating vehicles miles away, there is no better way tomanage your inventoryand vehicular assets than by using a GPS car tracker.

A dealer asset management system that leverages GPS devices will conveniently help you identify the position of all the vehicles in your inventory and car lot. Furthermore, integrating tracking systems in your inventory management will equally give you real-time knowledge of the conditions of all the cars in your car lot.

GPS trackers can provide you with fuel levels, detailed diagnostic information, and the battery life of each car in your yard. Thus, with all the diagnostic data and locational and functional information, you know which cars are ready for viewing by prospective buyers and which ones are not.

Increase Security

The automobiles in your directory are your assets—they define your current worth and the future of your business. So, you would not want to lose any of them, and a vehicleGPS trackingdevice can help you protect your assets.

And with the rise of automobile thefts in car lots, you can use a dealership GPS tracking device to prevent theft. Many tracking devices are easily programmable to send alerts if a car moves. Geofencing and similar features will send signals to your mobile phone the moment a vehicle leaves your lot, making it difficult to lose any automobile through your staff, people purporting to be clients, or any strangers.

Track, Repossess, or Recover

The demand for used cars is at an all-time high, which is good news for car dealerships. But sometimes, clients fail to respect their side of the bargain for one reason or another. Thus, car dealers need to devise ways to always keep an eye on the automobiles loaned to clients for purposes of repossession, renegotiation, or recovery.

You can capitalize on a vehicle tracking system to enable you to monitor the whereabouts of your vehicles and recover them swiftly when applicable. You can use GPS devices to locate and efficiently repossess your car.

You can also track down your vehicles with defaulted payment plans and initiate transparent communication, or rework payment arrangements with the customers. This way, you are confident that you will not lose any assets.

Finally, you can also equip your demo or loan vehicles with car GPS trackers. This allows you to stay in the know of their destinations and how their respective drivers handle them. These devices can reliably monitor cars, including their speeds on the road and any form of misuse. In case of anything, you can always hold the drivers of your demo vehicles liable. It is vital to disclose to potential customers that the cars have tracking devices, and recklessness could attract fines.

Improve Your Efficiency and Security withGPS Tracking for Car Dealers

GPS tracking for car dealers allows you to monitor your vehicles in the yard discreetly and track them wherever they go. The devices are pretty tiny, yet powerful. Our Safepoint GPS system will last for months without running low on battery. But more importantly, they fit in tight places that make them impossible to find by your customers or thieves.

GPS Features To Look For in a Tracking System for Your Car Dealership

If you plan on investing in GPS tracking systems for your dealership’s inventory, you need devices with the right features for effective lot management. These

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Top 3 Reasons Why Car Dealerships Need GPS for Their Inventory (2024)

FAQs

Top 3 Reasons Why Car Dealerships Need GPS for Their Inventory? ›

Let's know why every car owner should consider investing in a GPS tracker. Real-Time Tracking: Enhances vehicle security with real-time location updates. Theft Recovery: High recovery rates for stolen cars ensures quick response. Teen Driver Safety: Monitors driving habits and alerts parents if boundaries are crossed.

Why do cars need GPS? ›

Let's know why every car owner should consider investing in a GPS tracker. Real-Time Tracking: Enhances vehicle security with real-time location updates. Theft Recovery: High recovery rates for stolen cars ensures quick response. Teen Driver Safety: Monitors driving habits and alerts parents if boundaries are crossed.

What inventory method do car dealerships use? ›

The benefits of using the LIFO method for auto dealerships include: matching inventory costs to revenue, reduction of income tax liability (deferment), and. minimizing write-downs of vehicles to fair market value because of decline in inventory costs.

Why do car dealers have no inventory? ›

A car inventory shortage refers to a situation in which a car dealership or manufacturer does not have enough vehicles in stock to meet demand. Supply chain disruptions, changes in consumer demand, quality control issues, and production delays can cause car inventory shortages.

Where do most dealerships put GPS trackers? ›

Where do car dealerships put GPS trackers? The placement of GPS trackers can vary depending on the specific model and the discretion of the dealership. However, common places include the OBD port, under the car, or sometimes inside the dashboard.

Why is GPS needed? ›

There are five main uses of GPS:

Navigation — Getting from one location to another. Tracking — Monitoring object or personal movement. Mapping — Creating maps of the world. Timing — Making it possible to take precise time measurements.

What are the uses of GPS in cars? ›

The Benefits of a GPS System for Cars
  • Safety and Security.
  • Greater Efficiency.
  • Greater fuel economy.
  • Lower maintenance costs.
  • Increased productivity.
  • Data.
Feb 26, 2024

Are car dealer inventories improving? ›

The total U.S. supply of available unsold new vehicles opened June at 2.89 million units. Inventory volume has increased by more than 1 million in the past year, which means we are now at 55% more than a year ago.

What do car companies do with unsold inventory? ›

Unsold vehicles stay in the dealer's lot until someone buys them. Unsold new cars may be sold at a discounted price or used as service loan vehicles. It might be a good idea to buy an unsold unit of the previous model year because these vehicles are in good condition and are typically unused.

What inventory method do most companies use? ›

FIFO is the preferred inventory valuation method for most businesses for a variety of reasons. If your products are perishable, have an expiration date, or quickly become obsolete, FIFO is the only method you should use.

What is causing the car inventory shortage? ›

The car chip shortage is the most important underlying cause of the new car inventory shortage. Chips, also known as semiconductors, are used in every vehicle—and they're not as readily available as they once were. One question naturally leads to another: why is there a car chip shortage?

Is there still a car shortage in 2024? ›

We almost forgot what that feels like, but our data show 2024 could shape up to be a buyer's market provided you're looking to buy new. New-car inventory increased by 36% year over year, with inventory levels close to what they were in February 2021 before pandemic shortages really started to hit.

Is there really a car shortage? ›

Most carmakers and dealers now offer ample inventory and provide incentives that lower car prices below MSRP. Still, a few vehicles remain in short supply, and dealerships continue to mark up their prices.

Why do dealerships install GPS trackers? ›

GPS tracking systems enable dealers to monitor these cars in real-time, alerting them to issues that might require adding more vehicles to the pickup and delivery fleet. Car dealership GPS trackers allow you to monitor your vehicles in the lot and track them whenever they leave.

Where would a GPS be hidden on a car? ›

In cases where someone is determined to have their surveillance device go undetected, they may hide a tracker inside a seat cushion, behind a door panel, and in other out-of-the-way locations. These devices can also be hidden in a trunk. If you have a spare tire, remove and inspect it.

Do you need a GPS in your car? ›

Roadside emergencies are pretty common, and it's likely that you'll need help. With a GPS tracking device, you can let emergency services know your exact location. That way, they can get to you in record time and help sort out the emergency. This is especially useful when you're stranded in the middle of nowhere.

Is it worth getting a car GPS? ›

You're a new driver

Getting lost can be stressful and make a new driver flustered — and that's when accidents happen. A navigation system can keep you from worrying about where you're going while building your confidence behind the wheel.

Why do drivers use GPS in their cars? ›

GPS can provide motorists (and their loved ones) with accurate location data in the event of a breakdown. If a driver becomes stranded, this location data might save their life. Impact detection data can notify a driver's emergency contact about a car accident or collision.

What is the purpose of navigation in a car? ›

An automotive navigation system is part of the automobile controls or a third party add-on used to find direction in an automobile. It typically uses a satellite navigation device to get its position data which is then correlated to a position on a road. When directions are needed routing can be calculated.

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