How to Develop a Culture That Sets Your Car Dealership Apart

 There is no one answer to the question of how to develop a healthy culture in the workplace; nonetheless, there are obvious and indisputable benefits to a great dealership culture that is built on delivering a wonderful customer experience. This is especially true for sell used car dealership..

A dealership that has a robust and healthy culture is in a better position to defend its existing market share against competition, grow even in an environment where sales are stagnant thanks to efficient service-not-sold and other conquest operations, and increase the amount of money it makes from its fixed operations.

In this piece, we will discuss how to invest in developing a great auto dealership culture as well as the reasons why it is important to do so, including the following:

What a culture that is driven by the customer experience looks like

Why the culture of your dealership is important to its bottom line

How to establish a culture that encourages your most talented employees to remain with the company

Developing a Culture That Is Concentrated on the Customer Experience

The single most critical step you can take to build a culture that is oriented on the customer experience (CX) is to lead by example in a way that is both visible and consistent. When it comes to dealership culture, it can't be a case of "Do as I say, but not as I do." We've written in the past on the process of defining, leading, and maintaining that kind of culture, but it can't be a case of "Do as I say, but not as I do." When an employee of a dealership does not believe that their superiors treat them with the same care and respect that they show customers, it is extremely challenging for that person to make the effort to serve customers with care and respect.

Another essential component of the culture at a CX-driven sell vehicle to dealership is delegating as much authority as possible to employees, so that they can assist clients in the most effective manner possible without having to interrupt their work to seek authorization. This type of empowerment helps build trust and contributes to the creation of an environment in which people desire to work because they are given the opportunity to produce work of a high quality. Anyone who has ever been subjected to micromanagement is aware of how rapidly this destroys a culture.

When you give individuals responsibility and authority, it's important to make sure they have the training they need to make the decisions that come with that duty. It is a fantastic way to show you value your employees and have confidence in them, and it pays off in the long run if you invest in their professional development by providing them with technical training that is particular to their jobs as well as broader automotive leadership training.

The Value of Maintaining a Positive Culture at Your Dealership

The culture of car dealerships is important when the market for automobiles is stagnant. It should come as no surprise that research has revealed that the sales personnel is the primary factor influencing customer satisfaction with their experience at the dealership. An excellent customer experience encourages consumer loyalty and helps create service-not-sold conquest opportunities, particularly when combined with predictive data analytics and personalised sales strategies. Consumers are more likely to remain loyal to a brand that provides them with a positive experience overall.

The departments of a dealership that are most dependent on repeat business from customers, such as the service department, the finance and insurance department, the used car sales department, and similar departments, are becoming increasingly important to the bottom line as a result of the stagnation in new car sales.

One other advantage that comes down to the bottom line when you have a fantastic culture at your auto dealership? When compared to the cost of keeping an employee who has departed, hiring a new employee is a significantly more expensive option. According to research conducted by the Work Institute, it may cost businesses up to one third of an employee's annual compensation to hire their successor in terms of both direct costs and indirect costs such as lost productivity and other interruptions.

Keep hold of your most valuable workers.

To have excellent people is a must for having a great culture; nevertheless, the challenge with great people is that it can be difficult to hold on to them. Why do you think employees are leaving your dealership to find work elsewhere? According to research conducted by Gallup, workers in the United States of America now have five primary motivations for seeking new employment:

The capacity to engage in those activities which they excel at

A better balance between work and life and overall improvement in one's health

Improved predictability and safety of employment

An gain in revenue that is noticeably higher.

The possibility of finding employment with a firm that is well-known for its excellent brand or reputation

Despite the fact that a dealer has only limited influence over some of these aspects, others provide ample opportunity for inventiveness and participation. To give one example, what does your dealership do to encourage the personal well-being of the people who work there?

Listening to your staff is, perhaps above all else, the single most important thing you can do to foster a constructive environment at your business. "Delivering talent-led change" was one of the global workforce trends that the HR firm Mercer recognised for 2019 as occurring worldwide. To put it another way, making sure that initiatives for change aren't only handed down from corner offices is an important step.

According to the findings of a study conducted by hyundai dealership , just half of employees believe that their employers take their suggestions for enhancing business outcomes into consideration. What are three proposals that are made frequently yet are disregarded? To encourage teamwork and cooperation, additional advantages should be provided for strong performers, clear performance ratings should be provided, and individual aims should not be the only focus.

Is there enough of an effort made at your dealership to recognise and promote those employees who perform the best, particularly in areas other than sales? Do all of your employees receive regular and specific feedback regarding how well they are performing and the areas in which they could improve? Wherever possible, especially across traditional divisions such as sales and service, or new and used sales, it is helpful to provide teams a collective purpose toward which they are working rather than a collection of individual goals. This makes it easier for teams to cooperate with one another.

Check out our no-cost e-book, "7 Tips to Become a Better Dealership Leader," if you're interested in obtaining extra training in automotive dealership leadership.

Are you interested in learning more about how the training or solutions offered by Mastermind could contribute to your efforts to develop a dealership culture that is oriented on the satisfaction of its customers? Get in touch with us right away to schedule a free presentation.