Consumers have many choices when it comes to where they buy their vehicles. Because shoppers have done their online research and are calling your dealership, the likelihood they have a preference for a vehicle in your inventory is high. If they call for service, they likely want an appointment. If initial contacts over the phone aren’t professional, friendly and courteous, consumers will simply continue looking. Because this is a major transaction, they may be willing to drive one or two hours away. All this points to having team members that are well-trained and have an ethic of business development. Dealers may ask, “What if I spend a ton of money on training my people and they leave?” The answer is simple, “What will it cost you if you don’t train them, and they stay?”
1. A WELL TRAINED EMPLOYEE IS MORE PRODUCTIVE
Education and training equips employees with product knowledge and confidence in how to deal with customers. When employees have confidence and see positive results in the business’ and their personal success, they work harder and respect the job more.
2. TRAINING RESULTS IN LESS TURNOVER
A Cox Automotive Dealership Staffing Study found that the average turnover rate at a dealership is 40 percent for dealership employees and 67 percent for salespeople. Each new hire costs a dealership $10,000 on average. Training employees well significantly reduces those numbers. Because these well-trained employees are happier in their positions, and work more effectively, they are far less likely to leave, according to Proactive Dealer Solutions BDC Recruiting analytics. Finally, when it comes time to replace or add a manager, who is better than a well-trained employee who is already working at the dealership and understands the importance of building a culture of business development and improving the customer experience?
3. CONSISTENCY OF POLICIES & PROCEDURES
A strong training and development program ensures that employees in all departments have a consistent experience and knowledge of product and dealership procedures and policies. Training should also clearly define what is expected of the employee and define both rewards for exemplary work and consequences for poor performance.
4. INNOVATION & NEW STRATEGIES & PRODUCTS
Training should never be held on a one-way street. The flow of information and ideas should not only be delivered to those in training, but leaders should listen closely to the concerns, suggestions, and ideas from trainees that can lead to innovation. Training should be done in a way that encourages creativity and rewards it.
5. TRAINING PAYS FOR ITSELF
A business development associate who does average work, will generate revenue for your dealership that you can measure. The difference between an average associate and a well-trained individual is remarkable. So-called average reps generate 63 appointments, resulting in 23 in-store visits, and 7.7 units sold. Given an average $2,000 gross, that one rep, generates $16,900 in profit. With Proactive Dealer Solutions CallerCX tools and training, top performers do far better. They set 154 appointments, have 78 in-store visits, resulting in 28 units sold. That one rep, generates $56,000 in gross profit, that’s 330 percent increase. Training pays for itself, and then some!