A car business can be very unpredictable. One day you’re struggling to get a break from the workload, and another day you can hardly make a single sale to reach your monthly target.
Although being in a rut isn’t pleasant, it gives you a chance to evaluate your strategy.
If you’re looking to develop consistency with your profit margin, these productive tips are for you.
1. Increase availability
Car buyers have limited hours to visit the car store. Therefore, it is advisable that you are open for extended hours for seven days a week. This may be hard for small businesses, as they may not afford to hire a huge number of employees.
However, you can get CRM tools for your employees to help them stay in touch with buyers even when they’re away from work.
2. Analyzing your pricing
Real estate agents compare their prices with other firms in the market regularly, and as a car dealer, you should do the same.
A buyer’s journey begins online, and if your prices are very high compared to what they have seen, you’re likely to scare them off.
There are times that you’ll need to lower your price to fit the market price, and other times you’ll find out you can add your rate and still compete favorably.
3. Be keen when stocking inventory
If you correct your pricing system and you still see your inventory is still available after 60 days, it’s time to rethink what you are stocking.
Analyze what customers are buying and what they’re interested in. Know the price range of your customers and what they’re willing to buy. You may be stocking too pricey cars for your potential clients.
Not everything trendy will improve your car sales. Listen to your customers and stock what they want.
4. Offer incentive to your buyers
The most common incentive is oil changes, but it has been going for so long now, dealers feel like it’s part of the package. Offering unique incentives can help boost your sales by differentiating you from other dealers.
- Here are some ideas of incentives.
- Paint protection, a tire and wheel or other services
- A certificate, promising repair of wipers, tires, and breaks when they wear off
- Reconditioning services. Even if you choose three servicing sessions, they’ll still be cheaper than a lifetime oil change. The offer is also very attractive to busy parents and business people.
5. Use the right tools
The more your sales team can get done in a day, the more cars you can sell. Provide your salespeople with the right CRM tools so that they can be effective and fast.
Consider auto digital marketing as an important tool to take your car sales graph soaring.
The tools allow excellent communication with customers and avoid any delays. They can also help in tracking the buyers’ patterns.
With this information, you can learn how to fasten the process and close more sales.
6. Invest in Your Sales Team
The way your salespeople communicate with your customers determines how many car sales you close.
Teach them how to talk to clients to encourage them to come back.
- Encourage your sales team to do the following.
- Send ten texts, ten emails and make ten cold calls every day
- Share helpful content with potential clients on your site, such as “how to’s” or ultimate guides, instead of always posting ads
- Take a few minutes every day to learn the features of the CRM system to ensure they use them effectively when communicating with customers.
- Roleplay car sale ideas and report any improvements that can be made. It’s better when a mistake is seen within the company instead of with a client. You want to protect the reputation of your company.
It’s crucial that you monitor the activities of your sales team. This allows you to plan their daily activities well in bringing results to the company.
It also improves customer satisfaction by ensuring all appointments are met in good time.
8. Listen and then talk
The 80/20 rule can be applicable in improving car sales. Encourage your sales team to give their pitches in a way that allows customers to give a reason why they need a car, why their previous car isn’t working anymore for them, and what features they want to have in their new vehicle.
This will ensure that you only present to the customers with options of what they’re looking for, increasing their chances of making a purchase.
So, make 80% of your pitch about the needs of the client and 20% about the company.
9. Build trust and credibility using customer reviews
Buying a car is a well-thought decision that could take anywhere between weeks and months. Therefore, customers spend a lot of time deciding on the model and consulting others.
According to a study  carried out, 68% of the car sales are influenced by customer reviews. Car buyers believe what other people have to say about your company than what your marketing team has to say.
Reviews are social proof. Create a good experience for your car buyers so that they’re willing to leave you a positive review.
10. Utilize search engines
Don’t underestimate the power of a search engine. When well done, it can help you improve your car sales.
Research on common questions that car buyers are asking to drive them to your website where you can easily convert them to real buyers.
For example, first-time car buyers may have little to no knowledge of what the car features mean.
Many car buyers are also likely to have a certain budget with no idea what car is within their budget.
Try and provide these answers to your potential clients.
Do You Want to Improve Your Car Sales?
Running an automotive business comes with its pros and cons. For example, every sale counts, and a few bad days in a month can adversely affect your business performance.
If you’re looking to gain stability in your sales, use the above tips, and you’ll see a slight change in your profits.
Also, remember to invest in your sales team because you are only as good as your team.