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4 Reasons Car Dealer Software is Necessary for Large Dealerships and Associations

Posted on November 28, 2016 by Car Research

4 Reasons Car Dealer Software is Necessary for Large Dealerships and Associations

As your automotive dealership starts growing, and you begin opening or acquiring new locations, the complexity of your business will increase exponentially. With more employees, a larger customer base, increased inventory, greater sales expectations and higher potential losses, organization and efficiency become the keys to managing your business effectively and avoiding costly mistakes, even small ones, which can accumulate quickly to create large losses.

With a comprehensive and effective car dealer software solution, you will have all the tools necessary to manage your business effectively, automating tedious businesses processes, streamlining operations, minimizing paperwork, managing data, improving marketing methods and increasing customer satisfaction.

Here are a few reasons that car dealer software is critical to the success of large dealerships and chains in today’s automotive sales industry:

1) It Can Prepare You for Success in the Face of Greater Competition

As your dealership transitions its focus from mostly local sales to regional or even statewide sales, you will be challenged by new competitors both in your region or state and from the internet. To remain successful and attract the wider audience that is required to continue growing, you will need to develop new marketing strategies that reach a wider segment of the population, both geographically and demographically.

With the marketing tools in a comprehensive car dealer software solution, you will be able to develop new marketing plans that utilize proven methods to engage your customers across multiple channels. This includes conventional methods such as direct mail, telephone and local television, radio and print advertisements, as well as internet-centric methods like email, website, social media and mobile marketing techniques.

By combining multiple marketing methods you can appeal to customers of all ages and track them across multiple channels to gain a more complete picture of their preferences, adjusting your marketing plans as needed to turn their interest into sales.

2) It Manages Complex Data Easily

As your sales, inventory and quantity of customers increases, your dealership must be able to process and store all the relevant transaction and financial data in an organized fashion, so that it can easily be retrieved when necessary, studied for sales trends and analysis, and mined for important marketing data.

With car dealer software, you will have an integrated data management solution that makes it easy to enter and retrieve customer contact data and financial information as needed, analyze and mine relevant transaction data, and retrieve detailed sales and service histories for each customer as required. From the initial customer contact, the software will start building a complete profile of each customer beginning with relevant contact data, such as name, home phone number, mobile phone number, home address, email address and social media account information. As the sales transaction proceeds, financial and insurance data will be added, and after the sale, a record of each sales and service visit will be appended to the record.

This information can be used to remind customers of upcoming appointments and service requirements, to offer them premium parts or services that may interest them, and to help formulate successful marketing plans based on your customers’ interests and preferences.

3) It Can Serve a Larger Customer Base

With the increased number of customers, it becomes harder to maintain a personal relationship with all your customers, keeping them engaged and interested in your products and services.

With a comprehensive car dealer software solution, you will have the tools necessary to maintain a positive customer relationship, increasing both their overall satisfaction and your sales and profits. The software includes tools like loyalty programs, discounts and coupons that can be customized to your marketing initiatives and used to maintain interest in your products and services.

By adding call center and business development tools to your software package, you can maintain professional, personalized communications with each of your customers, using a dedicated staff to handle all inbound and outbound communications. This includes replying to customer inquiries, scheduling appointments, distributing sales leads, reminding customers of service visits, offering incentives or discounts and providing follow-through on every sales and service visit to gauge customer satisfaction and to provide an opportunity to secure additional sales. By remaining in constant contact with each of your customers, you can build customer loyalty and ensure they will be more likely to return to your dealership when they have a sales or service need.

4) It Can Provide Complex Inventory Management

As your dealership grows and more locations are added, managing your inventory becomes an increasingly difficult task. Determining which vehicles sell the best at which locations, which models are the most popular or the most profitable, and how to avoid unnecessary discounts on unpopular models that sit too long are the keys to maximizing your sales and income potentials.

With the inventory management tool in a car dealer software package, you can easily track inventory levels across multiple locations, analyze sales data and trends, integrate your inventory with your website and provide customers with detailed specifications on each model that you have in stock.

It also simplifies the process of ordering vehicles and adding or removing each model from your inventory, and it can be used to create electronic brochures that help with your email and internet marketing campaigns. With granular control over your entire inventory, you can maximize your profits and avoid unnecessary losses.

These are just a few of the reasons that car dealer software is a necessity for larger dealerships and organizations. With a wide array of included modules and optional features, a comprehensive car dealer software solution can adapt to meet all the requirements of your business now, and in the future. It can provide assistance with nearly every facet of your business, making it run smoother and more efficiently, leading to higher overall sales and profits with a minimum investment of time and money.

Sources:

 

https://www.sba.gov/managing-business/growing-your-business