The online purchasing process and digital retailing have made purchasing a car more convenient and personalized, but how many dealerships are truly selling vehicles online?
It is exciting to see the continued evolution of digital retailing and its positive impact on the industry. Personalization is crucial to providing exceptional customer experiences in today's automotive industry. However, even more critical is the aspect of customer engagement. When a customer reaches out to a dealership with a question or interest in a vehicle, the dealership's first response must be professional, helpful, and friendly. This initial interaction is an invaluable opportunity to impress the customer with top-notch customer service.
According to a study conducted by Cox Automotive, customer engagement directly impacts car sales and retention. The study found that dealership employees who are highly engaged with customers have 20% higher sales, 10% higher gross profits, and 10% higher customer retention rates than their non-engaged counterparts. Therefore, ensuring outstanding customer engagement is crucial for success in the automotive industry.
To achieve exceptional customer engagement, dealerships must invest in training their staff to be knowledgeable, quick, and friendly when chatting/texting/calling or emailing. Additionally, dealerships can leverage companies that can facilitate these interactions so that dealerships know they will have consistent, timely, and impeccable customer engagement.
We must also recognize that customer engagement does not end with the initial interaction. Regular follow-ups and ongoing communication are key to maintaining a positive relationship with the customer. Not only does this improve customer satisfaction, but it also increases the likelihood of repeat business, referrals, and service visits.
While personalization is essential in the automotive industry, providing outstanding customer engagement is even more important. The first interaction with customers is an opportunity to win them over with exceptional customer service and set the tone for a positive relationship. By investing in training and technology and maintaining ongoing communication, dealerships can improve sales and customer retention rates, leading to long-term success in the competitive automotive market.