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Auto Retail CRM Lead Handling

Don’t Just Chase Leads: Ensure Strong Customer Engagement

October 8, 2024 by Bill Jackson

Dealerships don’t survive on leads; they live and die on sales. When looking at traffic trends (digital and showroom), it is essential to take a holistic approach and understand that the journey from online ad to closed deals involves many interconnected parts.

Dealers often call us with concerns about lead volume:

  • “Leads are up, but sales are down!”
  • “Leads are down, but sales are the same.”
  • “Leads are down, and so are sales!”

It’s tempting to immediately blame the usual suspects: paid search, social media, third-party sites. But focusing solely on lead sources misses the bigger picture.

Don’t Just Skim: Look Beyond the Surface

Fluctuations in lead volume can be influenced by a multitude of factors:

  • Market conditions: Economic shifts, seasonality, weather, and local events all play a role.
  • Competition: What are your rivals offering? Are they outspending you?
  • Inventory: Do you have the right cars at the right prices?
  • Merchandising: Are your vehicles presented in the best possible light online and on the lot?
  • CRM utilization: Are you effectively tracking, nurturing, and converting leads within your CRM?

Quality Over Quantity: Maximizing Every Opportunity

Every lead deserves the same high-quality treatment. When lead volume dips, it’s an opportunity to double down on those high-impact activities:

  • Appointment setting: Make appointment setting a daily priority for everyone on the team.
  • Appointment follow-up: Track appointments meticulously. Why did a customer show or not show? What are the next steps?
  • Deal analysis: For missed appointments or lost sales, conduct “save-a-deal” meetings to identify roadblocks and revive opportunities. Was it pricing, financing, trade-in value, or a missed communication?

Daily Touchpoints and Consistent Communication

Maintain consistent communication with your sales team:

  • Daily check-ins: Review appointments, leads, and progress with sales management.
  • Pipeline discussions: Where are deals getting stuck? What support does the team need?
  • Save-a-deal meetings: Analyze lost opportunities and strategize for re-engagement.

Digging Deeper: Identifying the Cause(s)

When lead volume declines, avoid generalizations. Instead, investigate:

  • Lead source: Is the drop coming from a specific third-party site, paid search campaign, or website issue?
  • Lead quality: Are the leads you’re getting qualified? Are they interested in new or used vehicles? Are financing challenges a factor?

By pinpointing the root cause, you can take targeted action, whether it’s adjusting your marketing strategy, optimizing your website, or refining your inventory.

Lead Handling: Key to Consistent Success

Ultimately, consistent lead handling is crucial, regardless of volume. When leads are down, seize the chance to:

  • Increase engagement: Devote more time and attention to each lead.
  • Improve conversion rates: Focus on appointment setting, show rates, and closing percentages.

Go beyond simply generating leads; optimize your entire sales process.