In 2022, tax filing season begins January 24 with a filing deadline for most of April 18.
According to the IRS, the majority of refunds are in taxpayers’ hands by the end of March.
About three-quarters of taxpayers typically see a refund from Uncle Sam, with an average refund of $2,800.
According to a 2021 National Retail Federation survey, while many Americans put their tax refund in savings, pay down debt, or put it towards everyday spending, about ten percent say they’ll make a major purchase with their refund this year. In a typical year, that translates into millions of auto purchases in early spring, and despite the pandemic, those numbers are expected to remain steady.
Smart dealerships are making their plans now to maximize the value of this spend while adjusting for new pandemic-related consumer behaviors.
Here are a few considerations to turn the 2022 tax season into sales season.
Speak to a New Buying Audience
Google’s analysis of recent McKinsey & Co research showed that during the pandemic, first-time new car buyers began to skew very young, with big purchase gains in the 18-34-year-old demographic.
Unsurprisingly, these digital natives turn to social platforms to do their research. They’re starting their purchase journey by viewing videos on YouTube about model specs, and by checking out comparison videos.
The takeaway? Get your digital front page ready for these digital-forward consumers by making sure your Google Business Profile is up to date.
Say Hello to New Customers with a Conquest Email Campaign
These first-time buyers are also beginning their shopping journeys without any preconceived notions about brands or dealerships, making this a golden opportunity to reach new buyers and build your brand.
Plan a conquest email campaign to introduce yourself to them.
Break Down the Math
The research also indicates that these first-time buyers are wary of financing. Break it down for them in simple terms, calling out monthly payments vs. total cost. And consider marketing promotions that help buyers put their tax refund to work in an attractive financing package.
To summarize, capitalize on tax season by considering the younger buyer in your marketing plans, leverage Google for visibility, build your brand in your email marketing and highlight special promotions in your spring advertising.
Want help planning to build leads and maximize your marketing this tax season?
Contact Autosweet today for a free strategy session on how your dealership can use Google, Facebook, and/or email marketing to boost your sales during tax season!
