Powersport dealership, like any other business, requires multiple factors to be of value to you. In a 2019 User Group presentation, Bob Clement asked people why they were in business at a dealership. People provided varying answers. However, they all agreed on one answer, ‘money.’ He said that it is better to have more money.
Moreover, he also went ahead to ask what makes a high-performance dealer. You Can make money with low performance. His answer to the question was quite simple. A dealership can only be high-performance if it makes the most profits.
You want to ensure you have powerful advertising strategies in this digitized error. Successful digital advertising for your power sports dealership is more than ad copy and visuals. It is about being unique and exceptional. You will need to create exceptional start-to-finish experiences for your customers. Making the most of digital advertisements requires you to:
- Create clear connections from your ads to landing pages. This will provide a better customer experience and save ad spending. Moreover, it will increase sales since it will call customers into action.
- It requires you to understand your customers. This is by knowing their demographic locations and their needs. Providing them with what they exactly want will increase sales in your company.
Concerning your service department’s performance, the key is the printing strategy. Here are ways you can ensure you can increase the performance of your department:
- The higher the labor rates, the better. Base your labor rates on what you charge your non-purchasing customers. Increasing your labor rates for non-purchasing customers by about $10 per hour would be best. For example, if you charge your non-purchasing customers $50 per hour, adding an extra $10 can help increase your net profits.
- Implement a standard labor rate. Since the jobs that come to your shop are common, you are familiar with what your clients want. Establishing A flat rate enables your business to get the technicians necessary for the job. It will also increase your profits.
Moreover, the Powersports dealer management system helps track your labor efficiency rates by getting your technicians to clock in and out of each job.
Your dealership needs to have a profitable part department. The best way you can do to increase profitability is by:
- Selling parts to your shop for more. To make more profit from your part department, buy parts for your shop from your part department. This will increase profitability since you sell the part to your customers and charge them for the services offered.
- Cross-sell your parts. This means recommending parts that you think your customers may need. After they have chosen what to buy, you can recommend parts that you think they may need.
- Boost your margins. Many dealers sell their parts at the manufacturer’s suggested retail price. This price is not a command. The manufacturers should provide the price to the retailer, but it’s up to the retailer to sell at the manufacturer’s suggested retail price. To boost profits, you should have parts your customers cannot find anywhere and increase the margin on them.
Being unique in the supersport dealership is everything. You must set yourself apart from competitors through the products and services you sell and your customer services. Sell innovative services and products that only you can provide. Doing so will attract more customers and increase the profit margin.
If you have a website, don’t forget your online customers. Customers who visit your website don’t want to play games. They either want to repair the machine or look for a new one. Make your website easy for them to use that information with ease. If your customers want an upgrade or replacement, put the item in an easy-to-find place.
Moreover, you can put your standard services on a special board where customers easily find them. It will also show your customers your specialty. Also, you can offer customers a place to schedule services online.
To ensure profit in your power sports dealership, you must work on three major principles; uniqueness, customer service, and products. All these will ensure that you attract more customers and retain the existing ones.
Hannah Boothe is a freelance writer native to Northern California who spends her free time developing herself. Hannah enjoys the outdoors, she goes hiking whenever the weather permits and enjoys practicing yoga. She carves out time to journal and read whenever she can. She loves adventure and connecting with those around her.