Monday, November 14, 2016

Data-Backed Decisions Can Take Your Sales to Stellar Heights

Children pretend to be astronauts
Do you think the engineers planning the Mars missions haphazardly lob rockets into space hoping they make it to Mars? When billions of dollars of infrastructure and hardware are at risk, a ton of data collection and research go into every little decision.

Collecting and using data to make marketing, sales and training decisions can set you apart from your competitors, but ignoring the information available to you can send your dealership toward disaster. Here's how you can use the right data to your advantage.

Improve the Sales Process

Data collection needs to be a priority for your company so you can more efficiently direct your marketing and training efforts. Surveys after a sale can give you information on why customers picked a particular vehicle, why they picked your dealership and how they felt about the sales process. Recording and monitoring calls can also give you insight into how reps are performing.

For long-term improvement of your sales process, you're going to need more than just accurate contact data. Detailed demographics of your customers can reveal what kind of features they're looking for, how they feel about one brand over another and even where your sales process might be faltering.

Know What the Customer Wants

If you knew a customer were shopping for a certain type of car with certain features, wouldn't it benefit you to put a targeted ad in front of their eyes before they visited one of your competitors? Wouldn't you like to know some key pain points that might make them change their preferred make or model? Knowing what a customer is looking for before your competitor does gives you the perfect opportunity to strike while the iron is hot.

Data also gives you insight into which advertising methods are working and which ones aren't. Paying for ineffective advertising doesn't do anybody any good. Tracking lead sources, whether through phone calls, clicks or search terms will allow you to focus your efforts on the more successful sources.

Meeting Customers' Expectations

Dealerships are frequently happy to let sales figures do the talking. After all, if a rep isn't make sales, there must be a problem. Having access to performance data and being able to see where that sales rep is falling short can give you insight into how to improve their training. Don't buy into the myth that training should have a one-size-fits-all approach. Everybody has a different way of learning.

Meeting customers' expectations and providing stellar service can be the difference between them sticking with you or leaving for your competitor. Most Americans have given up on a transaction at some point because of a poor service experience, and the majority of those who have done so likely won't consider you again once they leave. Improved data analysis leads to better training and happier customers.

The next time you want to make decisions on the fly, take a moment to realize how much you can learn from the data. Otherwise, "Houston, we have a problem," because dealership margins are too slim for dealers to be making haphazard and unguided decisions.