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A CRM tool can increase profitability by more than 60%


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A CRM tool can increase profitability by more than 60%

  1. 1. Autologica launched a survey for dealers worldwide asking how they interact with their customers. We invite you to see the results of this survey, as well as recommendations for improving customer relationships in order to create new sales opportunities. Autologica S.A. / / +54 341 409-3900 / +1 787 966-7243 Frequent problems at vehicle dealerships CRM Published by AUTOLOGICA Dealer Management Systems
  2. 2. Pg. 2 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 Survey results Do you record every prospect in your CRM or DMS (dealer manage- ment system)? Only 30% of dealers record all prospects in their CRM Periodic contact is vital Sales is more an ongoing process than an activity. Through periodic contacts, sales staff can identify buyers, provide pertinent information, give them time to learn, help them overcome their anxiety, and wait for the right moment to close the sale. Continuous contact is a vital part of active selling: customer needs are determined, products are presented, and (hopefully) the sale is closed. AUTOLOGICA Dealer Management Systems NONE SOME ALL DON'T KNOW 20% 43% 30% 7% 19%
  3. 3. Pg. 3 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 Survey results Does your CRM or DMS remind you to regularly contact each prospect? CRM: Manage the relationship with each customer As a dealership grows, one-to-one contact is more difficult and transactions become more impersonal… this gradually distances customers from the dealership brand. CRM software is born from the need to recover that personalized bond with customers. Through constant communications and by recording the information of each interaction, sales staff can follow up closely with each prospect and regain that pro- ximity. Salespeople can provide information, communicate special promotions, send happy birthdays, and much more using a CRM tool. All of this helps deepen the bond between the dealership and each customer and prospect. AUTOLOGICA Dealer Management Systems NO YES DON'T KNOW 43% 43% 14% “Less than half of all dealers have a tool that reminds them of pending contacts with prospects
  4. 4. Pg. 4 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 Survey results Do you contact each customer after a sale? NEVER SOMETIMES FREQUENTLY Most dealers don't contact customers after a sale A sale never ends After a dealer sells a vehicle certain activities are obvious and natural, such as making sure delivery is on time. One vital activity that is often overlooked is making sure the customer is completely satisfied with the purchase they made. Current relationship marketing strategy says that a sale never ends, because the goal is for the customer to be completely satisfied forever. To reach this objective it is necessary to stay in close touch, perform a series of complementary services, etc. to strengthen the relationship between customer and dealership. It is a proven fact that it is easier and less expensive to sell to existing customers than it is to find new customers. Satisfied customers are the best source, through their recommendations, of new potential customers. A satisfied customer returns to the dealership for future purchases, and recommends the dealer to friends, family and colleagues. 5% 23% 25% It's a proven fact that it is easier and less expensive to sell to existing customers than it is to new customers. Through their recommenda- tions, satisfied customers are the best source of new pros- pects. AUTOLOGICA Dealer Management Systems ALWAYS DON'T KNOW 45% 2% NO
  5. 5. Pg. 5 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 Survey results Do you record customer emails in your CRM or DMS? Email: The key to the next sale CRM software is used to collect customer information and preferences in order to better manage the relationship between dealer and customer based on this acquired knowledge. All of this information, including email addresses, is stored in the CRM database and used for multiple marketing and sales activities: • Segmented marketing campaigns that increase loyalty and move prospects towards the sale • Continuous contact product launches, promotions, etc. • Automation of many sales tasks AUTOLOGICA Dealer Management Systems NEVER SOMETIMES FREQUENTLY 2% 20% 36% ALWAYS DON'T KNOW 41% 0% Most dealers record customer emails
  6. 6. Pg. 6 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 Survey results What percentage of your customers returns to the dealership after their first purchase? How can we get customers back into the store? To help the dealer achieve a close relationship with each customer, a CRM tool must be flexible, easy- to-use, and designed specifically for dealers. CRM software helps transform each contact point into a marketing opportunity by taking advantage of the hidden potential inside the dealership database. It is also important that the dealer’s CRM software be 100% integrated with the dealer management system (DMS), in order to fully leverage customer information, increase efficiency, leverage information, and transform data into sales. AUTOLOGICA Dealer Management Systems LESS THAN 30% MORE THAN 70% DON'T KNOW 25% 50% 25% Most dealers have a hard time getting customers back to the dealership
  7. 7. Pg. 7 de 10Autologica S.A. +54 341 409-3900 +1 787 966-7243 Pg. 7 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 A CRM tool can increase profitability by more than 60% Conclusions AUTOLOGICA Dealer Management Systems
  8. 8. Pg. 8 de 9Autologica S.A. +54 341 409-3900 +1 787 966-7243 As its name implies, CRM software is specifically designed to improve the management of the relationship between a company and its custom- ers and prospects. The main goals of a CRM tool are to increase sales as well as customer loyalty. When added to an excellent customer experience with the dealership, a good CRM tool will work behind the scenes to bring several immediate benefits to a dealer: Increase the chance of a sale Persistent (without being bothersome) interaction keeps the dealer’s name top in the mind of customers and prospects. When the time comes for them to purchase a new vehicle or service their existing one, chances are they’ll think of the dealership with whom they’ve established a bond. Loyalty A CRM can automate and simplify continuous contact with your customers, strengthening bonds. A loyal customer will recommend the dealership to friends and colleagues, with zero cost to the dealer. Sales processes A good CRM helps coordinate and automate personal, telephone and email interactions between customers and prospects; reminds sales staff of upcoming contacts they must make; and ensures that salespeople follow the sales processes that the dealer has set up, including the entry of all contact information into the system. Plan for the long term It costs ten times more to acquire a new customer than to retain a current one. A CRM helps the dealer segment customers and pros- pects, set up focused campaigns, and easily maintain periodic communication with customers. Same customers, new business Retaining 5% of customers can increase profit- ability by 60% to 100%. A good CRM helps the dealer decide when it’s the best time to contact each customer to offer them a new vehicle. A quality CRM integrated with your DMS (dealer management system) is a powerful tool that will help the dealership professionalize sales efforts, push sales staff to follow established sales processes, sell more, and increase customer loyalty. A CRM tool can increase profitability by more than 60% AUTOLOGICA Dealer Management Systems Companies that make good use of a CRM increase their chances of clos- ing a sale by 35%. Those that don't use a CRM lose between 15% and 35% of their customers every year. Source: Harvard Business Review A 5% increase in customer retention can increase profitablity by 60% to 100%
  9. 9. See Autologica DMS in action More information on Autologica We invite you to watch a demo of how Autologica is helping automobile, agricultural machinery, truck and motorcycle dealerships from around the world. AUTOLOGICA Dealer Management Systems