By Grant Dunning
According
to NADA, 90% of the people who visit a car dealership without
buying are never contacted again about buying the vehicle.
Unbelievable, but true. And the tragedy is that you’ve
just spent $50 to $100 in advertising to bring just one
person into the dealership. Why don’t dealers follow
up with unsold prospects? While most dealers have good intentions,
turning intentions into action is quite a different story.
Most dealers believe (or hope) that their sales staff will
take care of the follow-up. Unfortunately, the systems and
training are insufficient to assure consistent and timely
follow-up with prospects. 83% of the people who actually
buy cars told their salesperson they were “just looking”.
In the eyes of the salesperson, this person is just a tire
kicker…hence the 90% who are never contacted again
about buying the vehicle. Yet, they do buy. If not from
you, from someone else.
How can you convert more of your shoppers into buyers?
First, your staff needs to realize that the majority of
people who visit your dealership are serious about purchasing
a vehicle. Industry statistics state that 78% of people
who go out and look at a vehicle actually buy one. They
are not tire kickers. They are customers.
Second, if they do not buy from you on their first visit,
they need to be followed up with if you want them back in
your showroom. You have already invested your advertising
dollars to get them to your dealership. Allowing 80-90%
of your prospects to disappear without buying from you is
bad business. Investing in the resources to follow-up with
these unsold prospects is worth every penny. 58% of people
buy the same product they looked at the first time. You
need to make sure that your prospect doesn’t buy that
same product from the competitor down the street.
Third, you need to differentiate yourself from the competition.
You should provide service above and beyond your competition,
unless you want to compete strictly on price. 71% of people
who buy, do so because they like you, trust and respect
you…not because of the lowest price. What system do
you have in place to help develop trust and respect with
your prospects? If 90% of prospects are never contacted
after a visit to a dealership, then following up with them
is a logical step to differentiating yourself.
Establishing a turn key, consistent follow-up system keeps
your name in front of the prospect will help you convert
more shoppers into buyers. Every prospect is a potential
customer and should be thanked for visiting your dealership.
Without a process to uncover the reason that they left without
buying a vehicle, how can you expect to sell them? And,
you should be letting them know that you truly want to earn
their business now and in the future. Actively following
up with your unsold prospects will separate you from the
competition, increase your return on advertising, and ultimately
increase your sales.
