A dealership can be a very profitable business whether you sell used or brand-new cars. However, sometimes you may not get as much revenue as you were expecting from your dealership business. Here are 5 ways to increase your profit from your dealership company:
Offering prepaid maintenance programs is one of the most famous strategies in the automotive industry to keep customers loyal and satisfied. PPM programs can have a huge impact on improving customer retention and attraction rates.
Maintenance programs can help your dealership business capture a higher percentage of customer pay service visits which will result in a boost of service revenue. Plus, the customers who become loyal to your business are more likely to return to it whenever they need to purchase car parts including brakes, batteries, or tires.
Apart from helping your dealership business to create a long-term secure customer relationship, you will also see a huge improvement in your sales and profit numbers.
The car buying process is a process that implies face-to-face interactions. Potential buyers want to see the vehicle for themselves and to take them for a drive before sealing the deal. And that’s completely understandable. However, one of the biggest mistake car dealers make is relying only on the offline interaction with their potential customers.
Although the best way to sell a vehicle is to meet with the potential buyer and let them test the car, you shouldn’t neglect to reach out to them in the online first.
Today’s consumers are tech-savvy meaning that they expect businesses to reach out to them in the virtual world. In fact, according to 2018 data from Search Engine Land, 82% of potential customers conduct “near me” searches when looking for products or services. As you might be guessing, if your dealership business is nowhere to be found on the Internet, it is very unlikely for them to hear about your business.
In addition to having a strong online presence on Social Media and with a professional website, you also need to invest in digital ads that will display your products and services to the eyes of your targeted audience.
There is nothing more valuable for customers in today’s competitive marketplace than the experience a business provides them with. Customer experience is paramount nowadays and all businesses from all industries need to focus all their attention on a customer-centered mindset.
In today’s digital world, providing the best experience is not only more difficult for brands but also thousand times more important. First of all, by having an online presence with your dealership business, you need to provide your customers with a great experience both the offline but also in the virtual world. For example, if customers leave you reviews or feedback with their needs or questions, you need to make sure that you don’t neglect them.
Secondly, not being able to offer outstanding customer experience, in today’s instant communication era, will make your dealership business suffer the consequences of the word-of-mouth. Unsatisfied customers won’t hesitate at all to share their poor experience with your business in the online world.
Providing great customer service also comes to hiring the best employees that will offer an outstanding customer service. It is crucial to always treat your customers or potential buyers with professionalism and courtesy. And, you know the saying “happy employees make happy customers”. So, hire the best employees and keep them happy about their job.
All these strategies will result in a great business reputation, both in the online and the offline world, satisfied customers, and ultimately, in increased sales.
Personalization is paramount in today’s business landscape. Customers place huge value on the experience a business provides them with. And, there is no better way to satisfy your customers than to address their unique needs and requirements.
There are two strategies that you can use to offer your customers personalization. First of all, personalization in marketing is the new king. It will make sure that your products will be displayed in front of the eyes of the right potential buyer, at the right time, which will increase your chances to sell. For example, if your dealership sells luxury and vintage cars, your targeted audience is most probably investors who collect such expensive cars. Investors who prefer modern investment methods such as forex trading, bitcoin, or the stock market, are usually the car enthusiasts who would purchase your luxury vehicles. So, you may want to add a personal note to your online marketing that will reach and attract this type of potential buyers.
Secondly, you need to offer personalization through the product or service that customers purchase. For example, you can offer a tailored experience by personalizing the prepaid maintenance program you offer to the buyer. Personalization has the power to make the customer feel valued which will make them loyal to your business.
Since today’s customers are more likely to find their dream car with the help of online searches than to make visits in the location of the dealer, you may want to develop a strategy to attract customers who don’t live in the surroundings of your dealership.
One of the most creative and innovative ways to attract people who live in other cities or even other countries is to give them a taste of your cars through virtual reality. Simply put, you will bring your dealership to them. Augmented reality and virtual reality help the potential customer to experience what would be to sit on the driver’s seat of the vehicles you sell. They will be provided with a full 360-degree inside and out experience of the car they are interested in. And, for today’s tech-savvy customers, the experience you offer to them will be priceless.
Using virtual reality to promote your vehicles and to attract potential buyers will offer you a great competitive advantage as it will give you the opportunity to expand your business in a larger area. An expanded business will lead to increased sales and profit.
Growing revenue takes working hard to build customer loyalty and to attract new potential buyers. These 5 tips can help you grow your brand awareness, retain customers, and attract new ones which will ultimately lead to an increase in your sales.