Know Your Chassis wise Profitability, Even Before Closing The Sales Deal.
As per studies around 30 lakh passenger cars are sold in India every year. Yet a car dealer earns less than six percent commission from the OEM on every sale. Thanks to competition and a well researched customer, sales executives at dealerships find it hard to sell cars at good margins.
Post Covid , the customers are also bargaining hard during all negotiations. Hence before closing sales it is very important to know whether the deal is making profit or not. Currently many dealerships do this analysis at the end of the month on completion of delivery.
INFOMAN eDMS recommends Pro-Active corrective measures during sales process –
|Define Model / variant wise minimum expected profit – preventing any sales executive to close sales on lower prices without authorization from a higher authority.|
Double level digital authorization for exceptional cases – INFOMAN eDMS requires two levels of digital authorization to process orders if the profit amount (post Dealer discount) is less than pre-defined expected Profit in the system. This ensures double checking of approved amount by two different people.
|Exact Profit / Loss Information at finger tips before closing sales deal – Accountable person handling the sales negotiations will have access to the real picture at the time of booking the vehicle. This information helps the higher authorities in decision making before giving their approval for a special discounted price. Even for regular cases the Sales executives will have clear information , whether the negotiated price with customer is profitable or not.|
Avoid Why- When Loss analysis after Delivery – Auto dealerships conduct sales analysis to find out if they made overall profit in all deliveries during the month. But these are not fruitful since the delivery is already done by this time and no corrective action can be taken. INFOMAN eDMS gives a timely alert even before the booking is done so that timely corrective action can be taken to avoid losses during car sales.
|Contact our experts for a FREE demo of INFOMAN eDMS to learn some of the best Industry Practices followed by Sales teams at auto-dealerships.|
|Mr Sanjay Koul|
Manager Business Development