automanagerSiriusXM today announced that it is now working with AutoManager, which has 4,600 auto dealers using its dealer management products, to easily enroll independent and franchise dealers to participate in the SiriusXM Pre-Owned Vehicle Program.  Essentially the company is outsourcing this project to a company that, in theory, has the contacts and capability to produce better than the current system deployed by SiriusXM.

Auto dealerships utilizing AutoManager’s DeskManager and WebManager products can enroll in the SiriusXM Pre-Owned Vehicle Program so they can demonstrate SiriusXM during test drives. Customers purchasing any pre-owned vehicle with a factory-installed satellite radio receive a three-month SiriusXM subscription.

The ability to demonstrate satellite radio could help bolster sales and bring the conversion rate up after a free trial.  The key here still rests with the car sales-people to see satellite radio as a selling point.  This has been an ongoing challenge for SiriusXM for years.  AutoManager can likely streamline the sign-up process, but educating the “boots-on-the-ground” salesmen is still what matters most.

The integration of the SiriusXM Pre-Owned Vehicle Program within AutoManager’s dealer management products, including its mobile application, allows participating dealers to easily identify and activate vehicles equipped with SiriusXM.   What it does not do is offer incentive to use satellite radio as a selling point.

In most cases, satellite radio is not among the top requirements of a used car buyer.  If you have satellite radio and love it, you will find this program to be great.  If you need to be “sold” on the concept of satellite radio, then AutoManger may well fall short of your expectations.

Streamlining the demonstration and sign-up process is a great step in the right direction, but from an investment standpoint I do not see this as being a huge catalyst.  File under “good news”, “net positive”, or “moving in the right directions”.  Do not file under “instant subs”, “revenue generator”, or “catalyst”.  Overall, this is likely a decent thing to do, but not something that will move the needle of the equity.   AutoManager is promoting the deal on their website.