How can dealers and their employees get the most from their CRM programs?
By: Gerald Hand, industry trainer and AutoBase team member
|
|
In my years of being an Internet Director and now being in the CRM field proper, I have yet to see the "typical" dealer with regards to CRM use and implementation. Unlike many aspects of the car business where there is tried and true processes in place to ensure success and are virtually universal, CRM processes are not equally embraced.
Why aren't your employees embracing CRM tools?
Part of the problem stems from a clear understanding of what your CRM needs to do for you or what it should be doing for you. Another issue is from a technical standpoint; many sales people are not comfortable with the usage, do not fully understand how the CRM will help them stay in contact with customers or are afraid it will enable them to be managed (read held accountable). Still another aspect is the disparity from one product to another- some do desking well, some do floor traffic well, and then some do Internet Lead Management (ILM) better than anything else.
But the one recurring theme for stores where there is lackluster CRM performance seems to be buy-in from the top. If a dealer management is not terribly interested in the staff's performance with regards to tracking opportunities, the road to the sale, closing ratio and G.P., the staff will neglect these areas. This will lead to artificially high closing percentages as many ups are not entered into the CRM at all. If your most fundamental number is inaccurate, every number derived therein is necessarily inaccurate, to include your closing ratio.
Really, it is the same concept when you consider the new car department's sales, G.P. and CSI, or the pre-owned department's sales, G.P. and wholesale loss. If a dealer is NOT paying attention to these issues, they tend to slide off, a until one day you look up and ask "What happened? Why are we not selling more cars?"
The answer is usually pretty easy. First of all, CRM is NOT a silver bullet. It is a tool, and like any other tool, it has to be maintained and used according to its design. A hammer can double as a screwdriver, but the results won't be what you are looking for.
Second, your people will focus on what you emphasize, and like most things in life, you will get out of your CRM what you put into. Dealers leading in your district for sales and CSI are more than likely not only "dialed in" to their CRM process but are very aware of the stats for their store to include true ups, RTS, T.O. and closing ratios. It is no accident they are leading the boards- it is a focus that gets them there. As my first dealer puts it, "You have to know where you're at".
Great, but how do we emphasize the program and get the employees to buy in?
First, emphasize this is not only for your benefit but theirs as well. The CRM will continue to work their prospects after they have left the store and the sales person is working with someone else. This will lead to additional sales and money for them with little effort after entering the prospect into the CRM. Second, reward the performance you are seeking. Third, you can make it very clear by not working a deal until the customer is in the CRM with at least 2 numbers and an email address.
Another strategy is to have periodic meetings with your subordinates to go over how they are performing relative to your areas focus. One dealer several times a day sends out updates so everyone in his group can see how they are performing relative to sister stores for key areas they are focusing on. Lastly, you can make it a condition of their employment at your store. You paid for the customers to come in, they owe it to you to at least let you who came in, and hopefully what brought them in as well.
Comedian Ron White sums it best: "You can't fix stupid."
By that I mean as a dealer or upper level manager, all you can do is provide the tools, training and expectations for the sales person, but if they are not willing to adopt your principles and work smarter, well, you just can't help them.
Statistics show you have less than a 50% chance of reaching someone with only one number, but that figure climbs to over 60% with two numbers, and climbs to nearly 90% with 3 numbers. An email address is essential for long-term retention and bringing additional value to the customer, and many customers today far prefer email over phone contact.
Remember - even if you DON'T have a clear CRM process right now, if you are at least capturing 2-3 phone numbers and an email address for everyone in your CRM, you are miles ahead of your competition and setting the groundwork for future success predicated on the quality of information in your database.
You can contact Gerald Hand at geraldhand@hotmail.com or call his office at phone 317-428-6188.
|
|
