The question of do they base their sales goals on volume or gross profit is one that every dealership should decide early on, and more importantly, must stick with their decision and perfect the process.
Though dealer management can surely pick up some good strategy from my blog, I would never claim to be in a position to tell dealerships how to set this strategy for themselves, but setting the strategy as a salesperson is far more simple. Salespeople must train themselves to be gross seekers.
If your dealership chooses to be a volume-first dealership, it is management's responsibility to hire the appropriate amount of salespeople to reach their goals.
Why Think Gross First?
Gross is how you as a salesperson get paid. While the dealership benefits from manufacturer HTB and holdback and "packs" that they put on vehicles, those extra avenues of income never factor positively on your paycheck.
The skills you learn to become a gross holder will give you the knowledge for advancement. Any schmuck off the street can get 15 "mini deals" every month, but it takes a true professional to score deal after deal with real gross profit. Being skilled in customer relations, inventory knowledge, product demonstration, and closing techniques is the best way to demonstrate your readiness to take on a management position within your dealership.
If you improve your skill, improving your frequency will follow. It is a difficult thing to train to sell a high volume of cars for high gross so if you are going to choose one, choose the one that calls for the most growth in skills. Once you have mastered the skills required to maintain a gross average around $1000 per unit for 10-12 units a month, you can then focus on the prospecting skills needed to put you in front of more buyers and start making more money on MORE CARS.
In Part I of Volume Vs. Gross we've taken a look at the "why" of a salesperson choosing hone the skillset that will lead to higher gross sales and more money in their pocket.
In the coming days I will be releasing two more crucial parts to the high-gross equation. Part II will discuss the mindset needed by an automotive sales professional to synergistically make the most of the customer experience and the opportunity to pile on to their paycheck. Part III will break down some of the top tips that myself and others in the industry use to make it happen day after day and month after month.
Though dealer management can surely pick up some good strategy from my blog, I would never claim to be in a position to tell dealerships how to set this strategy for themselves, but setting the strategy as a salesperson is far more simple. Salespeople must train themselves to be gross seekers.
If your dealership chooses to be a volume-first dealership, it is management's responsibility to hire the appropriate amount of salespeople to reach their goals.
Why Think Gross First?
Gross is how you as a salesperson get paid. While the dealership benefits from manufacturer HTB and holdback and "packs" that they put on vehicles, those extra avenues of income never factor positively on your paycheck.
The skills you learn to become a gross holder will give you the knowledge for advancement. Any schmuck off the street can get 15 "mini deals" every month, but it takes a true professional to score deal after deal with real gross profit. Being skilled in customer relations, inventory knowledge, product demonstration, and closing techniques is the best way to demonstrate your readiness to take on a management position within your dealership.
If you improve your skill, improving your frequency will follow. It is a difficult thing to train to sell a high volume of cars for high gross so if you are going to choose one, choose the one that calls for the most growth in skills. Once you have mastered the skills required to maintain a gross average around $1000 per unit for 10-12 units a month, you can then focus on the prospecting skills needed to put you in front of more buyers and start making more money on MORE CARS.
In Part I of Volume Vs. Gross we've taken a look at the "why" of a salesperson choosing hone the skillset that will lead to higher gross sales and more money in their pocket.
In the coming days I will be releasing two more crucial parts to the high-gross equation. Part II will discuss the mindset needed by an automotive sales professional to synergistically make the most of the customer experience and the opportunity to pile on to their paycheck. Part III will break down some of the top tips that myself and others in the industry use to make it happen day after day and month after month.