Blog

Have shrinking profit margins put a damper on your Q4 goals? No need to throw in the towel or resolve to just get by until next year. There’s a manageable change you can implement today to finish 2024 strong!

The pendulum of dealer sales climates has swung sharply in the other direction for the first time post-COVID. 

The current inventory levels, unprecedented in years, have necessitated a shift in strategy. Salespeople, who previously thrived on high-profit orders, now need to accept smaller deals to maintain the dealership's momentum. 

In extreme cases, salespeople may even receive less than $100 for selling a vehicle. That’s one to two hours of work, sometimes more, to make $100 or less.

The reality is harsh, yet we all must work within it, knowing the pendulum is bound to stay in motion. 

Here’s a three-step process to help you double your earnings on a smaller deal in five to ten minutes. It's time to rethink our approach to selling, using a tool that’s been readily available and unaffected by industry changes.

Accessories.

Selling auto accessories is more than just tacking on extras to a car deal—it's about enhancing the driving experience and building customer relationships. To successfully navigate this niche, understanding and applying best practices can significantly boost your accessory sales and customer satisfaction. Here’s a comprehensive guide to help you refine your approach and achieve better results. 

Quality salespeople will tell you they'll take "no" over "let me think on it" any day. 

When Miguel Vasquez moved from downtown Dallas to the suburbs, he quickly realized he’d closed the books on his walking and public transportation days. 

After weighing his options, he decided it was time to start his car-buying journey. 

Miguel was in the market for a used car and determined to adhere to his budget. Like many people, Miguel was buying a car out of necessity and needed to do some online research to determine what kind of car would fit his needs. 

“Online window shopping helped me compare multiple vehicles at the same time. I wanted to see if anything caught my eye, plus easily view features, specs, and prices. I did some perusing at the dealership, too,” Vasquez says. 

Your service writers are in the ideal position to boost your accessory profit. 

When customers come in for service or routine maintenance, there are things they’ve been thinking about that they didn’t buy when they purchased the car. Though customers are less likely to make a major upgrade on the spot, like upgrading audio or installing retractable side steps, they’re highly likely to add lower-cost everyday accessories.

A service writer’s selling stance is one of convenience. Boiling down your offering to a handful of accessories that appeal to the masses will simplify the process and produce a higher sales volume. 

Think of accessories like mud flaps, body side molding, cross bars, and all-weather mats that are affordable and helpful for most vehicles, plus remote starts for older models. 

These are low-pressure accessories that service writers can easily incorporate into their upsell to create happy, loyal customers and generate additional revenue in fixed ops. 

Here are three reasons why your service writer is the man (or woman) for the job. 

1. A pre-established relationship with the customer

The most difficult (and expensive) segment to sell to is a brand-new customer, whereas the easiest sell is the customer who already agreed to do business with you. A pre-established relationship translates into a soft sale that’s far removed from the initial battle of wits that is often the car sale. Still, most dealers continue to focus nearly all selling efforts on the front of the house. Often, your service writers have built relationships with their “regular” customers, and as a result, trust has developed between the two. This lowers a buyer’s natural resistance to being presented with items for sale.

2. They’re already in a position to upsell 

Service writers are in a natural upselling position. When a customer brings their vehicle to the service lane, technicians will check its functions and systems and present any problems or potential problems to the customer. It’s expected. At the same time, service writers can suggest accessories that will protect the vehicle or enhance the driver’s experience without it coming off as a sales pitch. Providing good training and an easy way to present the accessories to their customers is a good start.

3. The program benefits them, so it’s easy to get on board 

Most service writers are paid on gross, so there isn’t much reluctance to roll out an accessory-selling program. By implementing this program, you're not only increasing their earning potential but also making their job more fulfilling. This, in turn, increases retention rates and creates loyal customers. By offering this program, you're showing them that their role is crucial in the sales process, and they should be able to buy into the program enthusiastically. 

When your customers can create the vehicle that they have dreamt of, your retention rate will increase. They will know that they can count on you to provide the right product and the right price, installed correctly. Customizing is fun, and fun is a good experience for your customers to have when they visit your dealership.

Insignia Group Can Help

For more than twenty years, Insignia Group has been the leading provider of digital accessory-selling systems in dealerships nationwide. Our sleek interface allows dealerships to create profitable accessory programs at the point of sale, in the service lane, and online! Dealers using the Insignia Group accessories selling system can easily present accessories anywhere in a user-friendly way. Our cutting-edge visualization connects your customer to their purchase and makes for a seamless order process. 

Schedule a demo to see how our system can help you sell more accessories in the service lane!