Can't keep good sales people without paying them. Factory people don't get it.

It is difficult to keep sales reps fired up when the factory mark up is only a $400 dollars or less on a new car. There are a lot of new cars with  little mark up. I have had sales reps tell me they walk around this kind of car or try to switch customers to other cars because of no money in it for them . Yet the factory people brag about the billions they                  The dealers usually have a minimum pay or a volume bonus to make up for this.  I think someone has to get to the big boys and tell them it all starts with good sales reps. What do you think?

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Comment by Fran Taylor on August 30, 2011 at 7:43am
Thanks Marsh and BC. Chrysler tried to spiff the sales reps a while back. They had the right idea. The owner changed the pay plan so he could get the money. If we can keep sales reps for a year and a half they will never leave auto sales. Of course they have to understand the repeats and referrals will come more each year by follow up. The best trained sales people will not stay at any store if they don't have an opportunity to make money. It must be a secret because the best dealers I work with have excellent pay plans and do training every day.          The packs on cars has risen from a few hundred to over $1000 in some stores. I think an average commission should be at least $300 per car sold or it is tough for a sales rep to be excited to work every customer and follow up. Thanks.
Comment by Marsh Buice on August 29, 2011 at 9:03pm
Fran, I've always said, "they" should come sell cars and realize how tough it is. You cannot lead if you've never been there.
Comment by Fran Taylor on August 29, 2011 at 5:19pm
Way to go Larry. Sure sounds like someone is on the ball at your store. At least you have a chance to make some money and it sounds like you get your share. Thanks and best of luck.
Comment by Larry McMullen on August 29, 2011 at 3:44pm
We use Market adjustment labels of 1500 dollars on our new cars.  It at least gives you a shot at 600.00 comission plus !  You can also hold back/ devalue the trade as a salesperson to make more money.  When was the last time you ever relied on the factory for anything ?
Comment by Fran Taylor on August 29, 2011 at 3:00pm
Yes Jim they do. I think it all starts at the top. We I see a tv add selling value it makes sense to me. People will pay for any thing that has value. What doesn't make sense is selling value and then giving it away. We all loose here except the factory.
Comment by Jim Kristoff on August 29, 2011 at 2:10pm

The factory reps just want market share at ANY cost! Even if that means the Salespeople starve.

 

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