According to a LinkedIn study, sales teams who received 3 hours of coaching per month had a 17% higher closing rate than teams who received only 2 hours.
Yes and No.
Yes, less demand for your brand means less of your brand might be sold in relationship to other brands in your market area. That's a given. However, the demand for your brand does not have to limit your individual dealership’s performance.
Your dealership can increase market share even when demand for your brand is down in a couple ways:
The automotive market will continue along its 2018 pace in the coming year according to many analysts in the industry. Used vehicle sales show potential for significant growth as average transaction prices continue to rise.
Some analysts remain wary and project a potential “flattening” in the market, but this in itself is good news in a sense.
“If you know the enemy and know yourself, you need not fear the result of a hundred battles."
-Sun Tzu’s Art of War
Other dealerships in your area may not be your enemies and you’re not exactly at war with them. However, we can all agree that they are your competitors meaning there is a competition, and in every competition, there is a winner and a loser.
Today I want to try and give a little food for thought about your pricing and sales strategy by talking about one of my favorite subjects: pricing psychology. A good understanding of pricing psychology is a powerful tool for dealers because it shows that in the end it’s not the price that drives the customers behavior, it’s the perception of the price. In a sense, every pricing manager is also a perception manager.
Two weeks ago we did a blog post on the importance of managing your online reviews such as ones on your Google My Business Listing. After some feedback and seeing that some dealers were having issues with optimizing their My Business Listing, we thought it would be helpful to walk through some ways to optimize your listing, or if you haven't set one up already (very important), how to do so.
Picking up on our discussion of convenience as a pricing strategy let’s examine the results of the convenience audit we provided and address one of the major issues it most likely revealed.
If you did not complete the audit or read part one, you can find those here:
Most likely your audit revealed long wait times to get into the F&I office, as this is a common complaint among customers.
We’ve seen huge changes in the industry in the last 15 or so years that have forever changed how customers shop for cars, and in turn how dealers should be engaging and selling to them.
Now more than ever it is important to have a Marketing Strategy.
DON’T CLICK AWAY JUST YET.