Welcome to 2021 Version 2.0: 2022. More constraints, more shortage, more jockeying for position on Wall Street. Cut to the chase: it’s going to be quite a while before anything of ‘volume’ takes place in the industry aside from wagers. No crystal ball exists, however most of the OEM talking points and releases over the last year plus have proven dead wrong. And for fun, while that has been going on, our client guidance since October 2020 (vehicle acquisition marketing since October 2020, vehicle and part shortages and associated marketing since April 2021 as two examples) has been dead on.
So, what to do with record profits per customer, and ultimately, lower overhead? Make the Hard Changes! You’ve been considering flipping DMS or CRM providers, however you’ll wait until things actually get busier again? No McFly!!! It’s time to get real and how and when (OK, and why) to make those changes.
DMS is one of the most difficult changes to go through, so why not make that vendor swap in 2022? And remember, investigate ALL vendors because it’s such an important choice. There are offerings that are dealer-centric (rather than vendor-centric) that have years of experience and there are those that are new to the space without a proven track record. Do research, do research, do research. Not 20 Group chats, real research and investigate who the big operators in the entire industry use. You might be surprised and find partners you’ve never heard of! Yes, it’s a pain in the ass to change DMS providers, especially if you have a 10+ store group. It’s a bigger pain in the ass to have integrations that don’t work and reporting that isn’t what you want or technology and equipment that came out before the first car phone did.
Got the CRM switch itch? Make it happen! Again, do REAL research and realize the change and onboarding to comfort zone takes months, maybe upwards of a year. And there has NEVER been a better time to make the change! Concerned about “paying a lot” for software? Remember what you’ve been telling your customers for years: “You get what you pay for”, so stop screaming about saving $1,000 or $3,000 a month when you make that on one car’s back end profit alone today and get real about what MOVES your organization.
One thing that’s common across the majority of store and groups we speak with every week: those who have made the changes over the past year (or are doing them now) are happy with the moves, less those who made changes on recommendations and buzz…not reality.
It’s the best time in the history of the automotive industry to make meaningful change. Yes, it’s hard. Yes, it’s time consuming. Yes, it requires the best of your human capital. Yes, it’s time to stop talking about it and start doing it.
Best Practices: Professional Insight, Powerful Results