This past year has been a record setter for dealers, who have achieved average profit levels 82 percent higher than the previous six-year average, regardless of franchise or location. As a byproduct of this profitability, many dealers are expanding their operations, or have plans to.
If you’re embarking on expansion, it’s critical to implement efficient, scalable systems and processes that can handle increased inputs to hit your goals. Sticking to the same old paper processes and inefficient workflow limits productivity, wastes time and stifles growth.
Let’s review a few areas where inefficient processes may be lurking.
These past two years have shown us that providing consumers with digital tools online not only creates a better consumer experience, but just as important, helps to streamline workflows in the variable ops department. Instead of standing around waiting for ups, your salespeople operate more efficiently on an appointment-based system and with a focus on bringing online customers down funnel using digital tools and touchpoints.
Today, there are some digital tools are that are considered fundamental to doing business. Tools like online payment calculators and digital credit applications including e-signatures capabilities are becoming foundational to dealer processes as more and more consumers discover convenient ways to buy online.
Additionally, be sure to always offer digital F&I menus. According to the Roadster Dealer Impact Study (May 2021) 90 percent of customers who purchased entirely online added F&I products, versus 61 percent of customers who purchased in the showroom. This debunks the idea that F&I presentations should be done while the customer is in the box, at the end a long purchasing process.
While considering the above, the most critical part of creating an online shopping experience is to ensure that the transition from online to in-showroom is seamless. When the customer walks into the dealership after using online tools, they should not have to begin the purchasing process all over again. It’s important to provide strong continuity with customer engagements and essentially meeting them along the journey whether it be online or in-person.
As long as inventory shortages persist, dealers can’t rely on a steady stream of new vehicle customers in the service department. This means that focusing on service retention is more critical than ever. Providing customers with new ways to build trust and long-term loyalty through online digital tools and pricing transparency can mean the difference in keeping or losing your customer.
Online service scheduling. If you are still making customers call you and put them on hold, they are likely defecting to another service provider. Use a tool that allows customers to keep track of their vehicle maintenance and history, and to choose which services they want for their vehicle. Making prices available online and using a scheduling system that automatically sends out confirmation details and reminder texts provides the customer with a sense of security knowing their dealer has their best interest in hand.
Mobile write-up process. This process allows service advisors to greet customers in the service lane. The advisor can conduct a thorough walk around inspection of their vehicle, provide recommended maintenance through menu selling and deliver on the spot pricing for recommended repairs. You will also be able to capture the customer’s signatures for approval of any needed maintenance or repairs on the service drive.
Connected technology. Eliminate service technician downtime and improve the overall repair process with a system that allows them to digitally punch in and out, perform digital multipoint inspections, send images of needed repairs to customers, and communicate needed parts and repairs to parts counter people and service advisors.
Online payment options should be at your customers fingertips at any time day or night If your service department closes at 6:00 p.m., don’t make your customers wait another day to pick up their vehicle. Provide remote payment options so your customers can pick up their vehicles at their convenience, not yours.
When implementing new processes and technology, don’t skimp on the training. Train your staff and hold them accountable for using the new technologies. Use reporting tools in your DMS and CRM to track and monitor progress.
The more you can digitize your processes, the faster you will be able to scale and grow your dealership.
Find lasting success with Solera | DealerSocket
Connecting your systems is a win for your teams, customers, and business objectives. With integration capabilities, you can:
• Eliminate double entry
• Reduce data entry errors
• Input a faster, smoother sales process
• Save time correcting inaccuracies
• Improve employee productivity
• Increase customer satisfaction
Save your dealership ample time, ensure accuracy, and reduce manual errors throughout your dealership with Solera | DealerSocket. Visit dealersocket.com or give us a call at 855-928-2151 to get started today!
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Vince DeMare is Manager of Pre-Sales Solutions at Solera | DealerSocket. His experience in the auto retail industry includes 12 years at a dealership and over 15 years with Auto/Mate Dealership Systems, a leading DMS vendor, where he spent time as a Fixed Ops trainer, forms department manager and F&I/Sales support manager.