I’ve been in this industry since before most people knew what subprime automotive marketing was.
When I started, we were hand-addressing mailers, hoping someone would call. There were no databases, no AI phone agents, no automated follow-up systems. Just direct mail, persistence, and the belief that credit-challenged consumers deserved a fair shot at vehicle ownership.
A lot has changed. But the fundamentals haven’t.
The Subprime Buyer Is Misunderstood
After 35 years in this business — including 15 years as a marketing contributor for World of Special Finance, Senior Vice President at ProMax where I built and led their direct marketing division, and leadership roles at Credit Mail Experts and Subprime Marketing Group — the single biggest mistake I see dealers make is underestimating the subprime buyer.
These aren’t risky customers. These are working people with imperfect credit histories who need reliable transportation. They’re motivated. They’re ready to buy. And there are more of them in your market than you probably realize.
Most dealers drive past thousands of subprime buyers every day without ever reaching out to them.
The 70/70/70/70 Rule — And Why Most Dealers Never Hit It
Here’s a framework I’ve used for years to help dealers understand the math of subprime lead management:
If you contact 70% of your leads, appoint 70% of the leads you contact, achieve a 70% show rate on your appointments, and close 70% of the customers who show up — you’ll deliver a vehicle to 24% of your total lead count.
Read that again. Twenty-four percent.
That’s not a fantasy number. That’s what disciplined lead management looks like.
Most dealers never get close to 24% — and here’s the part that frustrates me after 35 years in this business: most dealers have no idea why.
They’re not tracking it.
What percentage of leads were contacted? What percentage were appointed? What was the show rate? What percentage of customers who showed up actually bought? Most dealerships can’t answer those questions — not for subprime leads, and often not for any lead source.
And yet, when results fall short, the marketing company gets the blame.
I’ve seen excellent programs with proven track records get cancelled because a dealer never tracked a single metric. The leads were there. The opportunity was there. But without a system to measure what happened to every lead, there’s no way to know where the breakdown occurred — and no way to fix it.
These KPIs should be tracked at every dealership, for every lead source, every single month. It’s not complicated. It’s just accountability.
The dealers who win in subprime aren’t necessarily spending more. They’re measuring more — and adjusting based on what the numbers tell them.
The Biggest Thing I’ve Learned
The mail piece doesn’t close the deal. The follow-up does.
I’ve seen beautiful, expensive mail campaigns fail because no one had a system to capture the response. A consumer calls, gets voicemail, and moves on to the next dealer. That’s not a marketing problem — that’s a systems problem.
The dealers who win in subprime aren’t necessarily spending more. They’re just more consistent about capturing, contacting, and following up with every lead.
Real Results — Right Now
I’ll give you a real example. A Chevrolet dealer in North Carolina invested $4,100 last month. They’ve already generated over $22,000 in gross profit — and they still have more leads coming in that their team is actively working.
That’s not an outlier. That’s what happens when a dealer commits to working the leads with a disciplined system.
What’s Changed — And What Hasn’t
Today’s tools are dramatically better than what we had 35 years ago. AI phone agents answer calls 24/7. Automated follow-up sequences nurture leads without manual effort. Digital tracking shows you exactly what’s working.
But the core truth is unchanged: subprime buyers are underserved, they’re loyal to the dealers who help them, and they represent a massive, consistent revenue opportunity for any dealer willing to reach them.
One More Thing Worth Knowing
Our EasyDrive Card program is approved for co-op reimbursement with select manufacturers — meaning some dealers can recoup up to 50% of their investment directly from their manufacturer.
If you’re curious about what your subprime market looks like — regardless of your franchise — I’m happy to pull a free market analysis for your area. No pitch, no pressure. Just the numbers.
Feel free to connect or send me a message.
— Denny Long, President | Subprime Marketing Group
