The top three concerns in the powersports business are fairly simple ones. Very straight forward and easily addressed. Yet, when you get into a dealership, provide solutions for all the issues, the one question dealers and managers continue to ask, “Do I have to work for it?”
Concern No. 1
Dealers want to sell more units. Duh! There is software available that when used with the right process will sell more. How is that possible, you ask? Well, if the process is followed, it all but eliminates the “I’m just looking” customer. So, Mr. Dealer, if I could show you how to use this software and you were able to convert customers who said they were just looking, would you be interested? Dealer/Manager: “Do I have to work for it?”
Concern No. 2
Dealers want higher grosses and more F&I revenue. Double duh! Using the right software will close deals at higher grosses more often than not and having fully compliant software and a process in F&I will sell more products resulting in higher PVR. How about that Mr. Dealer/ Manager/ F&I Person? Question: “Do I have to work for it?”
Concern No. 3
The top consumer complaint against dealers in all powersports operations: it takes too long to complete a purchase. Solution: a combination of the right process and procedure coupled with current software can cut the sales process time in half and reduce time in the F&I office dramatically. What do you have to say about that? “But, do I have to work for it?”
I know you’re thinking, who would ask questions like that? I get them in my email box every day from dealers and “experienced” managers. It’s a dumb question, you say. Who wouldn’t do extra work to increase sales, profits, customer satisfaction and higher F&I production? That’s a great question. Here’s an example that happens all the time. See if this sounds familiar. I’ll set the scene.
There are two large DMS companies (more exist but I’m talking about the big two) that have a large portion of dealers out there. Unlike their counterparts in the auto dealer side, they only offer partial integration, if any at all. One such VP told me, “We don’t want to integrate with anyone as we give the dealer everything they need.” Sounds like a government program.
Anyway, dealers contact me daily saying they find the added products in those DMS systems to be clunky and not provide the speed they need. Therefore, their people just don’t use them. So, we built dealer-friendly retail software to speed negotiations, send 100 percent of the info directly to a fully compliant F&I menu that many times can rate and contract all aftersell products and get the customer in and out quickly and more profitably.
When presented with this information, the dealer reaction is virtually the same. “When can I see it in action?”* We set up the demo. Put it through the paces. Clearly demonstrate how it can absolutely increase profits while speeding up the process, and then ask them if there are any questions. One-hundred percent of the time I get: “Do you integrate with ___?”
Our answer is, “yes, but…” We integrate as much as your current company allows.
Managers response: “So, we may have to enter some info twice.”
Let me recap. The software has proven to increase sales, gross profits, F&I sales and PVR by a minimum of 20 percent. So, if you do $1 million in gross, this would add $200,000 to your bottom line and you’re asking about having to type some info twice?
Here’s my offer. Send me the extra $200,000 per year and I’ll re-enter all info for all the dealers signing up. If you’re into math, this doesn’t add up at all. You are tied to a system that in any other industry communicates with other software, but in your business it doesn’t. Rather than type something twice (you could cut and paste), you’re willing to give up hundreds of thousands of pure bottom line profit.
Here’s the question again, “Do I have to work for it?” The answer is: it’s optional. But, then again, so is success.
*If you’d like to see it in action, email me at [email protected].
John Fuhrman is the director of training for OptionSoft Technologies and a regular contributor to MPN. He has trained over 15,000 sales, management and F&I people since 1996 and has authored 10 books on sales, management and leadership. He is available to conduct custom training in your dealerships and provide free software analysis. Contact him at [email protected].