Profit, Good and Stable Staff, Dependable Processes and As Few Fires as Possible.
Sounds like a pretty universal wish list.
The ‘Dependable Processes’ element is actually the key to the other parts of the wish list because it will positively affect the other parts.
Each department has got to fall back on dependable processes to make the other stuff come true.
In the F&I arena, are we always using a menu? making sure we are in compliance with all privacy, adverse action, risk based pricing, red flag and OFAC standards? Are we staying away from exposure that will create legal ‘fires’ and cost us our Profit?
In service, are we taking advantage of our highest volume customer interaction in such a way as to grow our reputation and RO’s?
Most dealers that I have worked with over the years seem to concentrate mostly on the sales side of the equation. Why, because this is usually where the ‘Good and Stable Staff’ issue comes up the most. The squeaky hinge gets the oil, as they say. Let’s put this squeaky hinge to the side for a moment and concentrate on making the other parts of the dealership as solid as possible. The hinge will squeak less as a result.
Each day, the opportunities that a dealership is afforded (sales, service, F&I and parts) are the result of our active and inactive marketing efforts. Each of those opportunities can create additional opportunities. I will call this ‘Internal Marketing’.
Every single sales summit and convention I have attended over the years has speakers who hammer home the undeniable truth that the most efficient source of opportunities come from the existing customer base. So, it is prudent to suggest that, each customer interaction now becomes our strongest marketing initiative (and our most efficient). How do we ensure that we maximize this initiative? Dependable Processes!
If you have any doubts about this, just look at the seasoned salesperson with the strong ‘book of business’ that can be depended on to produce strong and dependable sales numbers each month without taking an ‘up’. I know some dealerships that have a staff of these people and I know many more dealerships that don’t have even one of these types. Which dealerships do you think have the stronger sustained profit?
Over the course of the next few months, I will be gathering additional information to drive home the concept of ‘Internal Marketing’, but let me leave you with this: Your dealership as a whole has the potential to be like that seasoned salesperson with the ‘book of business’ and your processes are the tools to get you there.