Conversion rates are expected to rise as dealerships face strict limits on the number of sales appointments they can handle in a day when showrooms start to reopen from June 1 following the easing of the Coronavirus lockdown.
Lead management company Dealerweb predicts that conversion rates from enquiry to sale could double from around 30% to 60% if dealers ensure they are managing leads effectively.
Martin Hill (pictured), CEO of Dealerweb, said: “Dealers will. It will be essential for sales teams to qualify every appointment to really make sure that each time slot generates a positive outcome. They will also need to follow up when appointments have been made with reminders to push down no shows. It is a new sales funnel that dealers will have to adapt to, and we have put in place the technology tools to help them manage the process.”
The company says dealers may need to move to double shifts to extend the working day and create additional capacity to maximise the number of appointments, as managing the quality of the appointments will be vital to fulfilling sales targets.
Dealerweb’s Showroom platform offers an automated process to send a text message or email to remind customers about appointments and then track the turn-up rate and outcome for each lead.
Hill added: “Customers rarely visit dealers unless they have a genuine interest but now, this is, even more, the case, as everyone has been worried about the risks of infection. So, more than ever, customers will not take the risk of visiting dealers unless they have a real interest and are ready to buy, hence the doubling of conversion rate.
“It will be sometime before dealers can accept walk-ins and it fundamentally changes metrics for sales teams. From the initial enquiry, the frequency of communication should be increased to build rapport and, at the same time, qualify the lead. Visits to the dealership must be for qualified customers to view the vehicle or enjoy a test drive leading to purchase on the day.”