Every franchise dealership is selling the same vehicles as their competitors. This results in competition based on pricing, with a couple hundred dollars often being the deciding factor in where a customer will purchase their vehicle.
We all know that most customers look for price concessions, and most dealerships are willing to accommodate them by lowering their price and cutting gross. Price almost always becomes an issue in the absence of additional intrinsic value the dealership may have to offer. Today’s progressive dealers win the sales competition because they are able to stop talking about the price of the vehicle and start talking about the value of choosing their dealership over the competitor just around the corner. Just think about when you book an airline ticket, both Delta and United have the same fares to your destination but Delta has more legroom, free drinks, early boarding and entertainment. Which airline will you choose?
The same hold true for dealerships. While most dealers offer perks for their customers in the form of redesigned waiting areas, snacks, free wi-fi, and most recently vehicle pick-up and delivery they fail to promote these benefits under a single value package to the customer. Individually (and you mostly likely have more to add to the list) they may not seem like they could be a deal closer but packaged properly they can influence and shift the balance of competition so that you can close more deals, grab a higher gross and retain more customers. Show enough additional value to make price differences irrelevant and create a positive buying experience that will bring customers back for future purchases.
The easiest way to present value added benefits to your customers is through a minimal, yet effective, rewards or loyalty package. Combine the “perks” you are already currently offering with some very simple addons like preferred service appointments, 10% off LOF’s, Free wiper blade replacements, and maybe a loaner vehicle or Uber ride and watch how your customers will react on the sales floor. While OEM sponsored loyalty programs are fine for your big corporate brand, they do little to help close deals on your local level as they only serve to level the playing field with your like brand competition.
Your already offering many of these “perks” why not maximize their value and sell more units while doing so. LoyaltyTrac can help you through every step of the way in setting up your customer perks program.