Owning a car dealership and not using KPIs for the car dealership business would be crazy. Key performance indicators measure performance and allow you to make good decisions based on these indicators. You can use the KPIs in a number of ways. KPIs can be used on all car salespeople’s figures. You can analyze them to a point where you can see who is selling well but it is not only about that. You can see who is buying, what kind of people are buying, when they are buying, what they are buying, and what the market trends are. KPIs automatically do the analysis for you. Obviously you feed the figures in to a program, and any data you have, and the KPI platform or package does the rest. It is like market research but on a much higher level.
Where do you get KPIs?
The question is more like how do you get car dealership KPIs. The best thing is to do a management course that focuses on your line of business, so in this case, do a management course that focuses on car dealerships. Even if you have been in the car dealership business for twenty years, you can still benefit hugely from one of these courses. The courses are like mini MBAs. They are short and sharp and only focus on the things that a car dealership needs to be looking out for, things that will grow the business. You can use KPIs on the car dealership as a whole and you can use them on individual sales people and sales managers. KPIs encourage people or staff to do better. You can even send your staff to do a business course that specializes in KPIs, it will encourage them no end. And that is what you want to do, you want to encourage your staff.
Incentivize your staff
We always think that incentives are a good thing and the more you incentivize your staff, the better you all do. Find ways to offer incentives to your staff that are beneficial to them but that do not cost you money. Incentives can be gym memberships, dinner vouchers, a bonus here or there (think tax benefits) or anything that would work for your staff. When you learn about business you learn not just how to run a business and how to be profitable, but how to ensure your staff are empowered and challenged in a way that they too want to do better. Send them on courses that will furnish them with more skills. It will always benefit the both of you.
Stale car dealerships
A car dealership that just ticks over is called a stale dealership. You do not just want to plod along, you want to make money and really turn a profit. To turn a profit, you all have to want to do it. You, the owner, the manager, the staff, everyone. Work as a team and use KPIs for the car dealership business that will inspire you all.
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