If your business operates in the automotive sector, there is no question that opportunities to earn big exist. However, if you want to make the most of this lucrative industry, a conscious effort to increase revenue will be required.
While revenue isn’t the only key ingredient in the recipe for business success, it will go a long way to helping your venture hit top gear. Let’s take a look at eight great improvements that can put you on the road to success.
Simplify payment processes
If you want to sell more products and services as a business, seeing things from the consumer’s perspective will be vital. Buying vehicles and car parts is a significant expense for most people. So, introducing a dedicated buy now pay later automotive could be the smartest addition you ever make. It allows clients to split payments. This then increases accessibility and affordability to promote more sales.
Consumers also want a smooth and trustworthy transaction. Payment gateways that store payment details and use two-factor authentication will serve you well. If you need to run credit checks on customers, offering soft searches can make a difference.
Introduce more revenue streams
The automotive industry is fairly wide and diverse. So, you needn’t limit yourself to one revenue stream. These transport business ideas can provide inspiration for future expansions. Meanwhile, it’s fairly easy for repair garages to make extra money through selling car parts or offering valet and cleaning services. As long as you do your research, it should be easy to boost your takings.
In today’s climate, it is also possible to boost your revenue through additional channels. Content creation, whether it’s an automotive podcast or a course for mechanics, can be particularly fruitful. Or there may be opportunities to sell advertising space on vehicles.
Invest in salespeople
People buy into people, especially when it comes to bigger purchases. Therefore, the impact of your sales team on consumers can be huge. Whether it’s getting a deal over the line or upselling, such as promoting add-ons, salespeople are a huge asset to the firm. After all, it’s likely that you will personally be responsible for only a very small percentage of client interactions. So, you need to have 100% confidence in your staff.
Firstly, automotive sales courses and body language courses can work wonders for your team. However, you may also want to introduce commission-based bonuses as a way to keep them motivated. An engaged and incentivized team will naturally yield more sales.
Build brand awareness
It is impossible to generate revenue if prospective clients are not aware of the business. Therefore, building brand visibility should be an ongoing priority. Given that the vast majority of your audience will come from the local region, local SEO strategies should be the first item on the agenda. Following this, you should also consider other local campaigns ranging from radio ads to target social media ads.
The use of local publications, flyers, and door-to-door leaflets can all aid the cause. The key is to create multiple touchpoints, though. Once the name of your company sticks in their minds, they will come to you whenever they need relevant products or services.
Focus on loyalty
As a business owner, growing your audience is vital. However, the Pareto Principle states that 80% of revenue could come from just 20% of your customer base. With this in mind, automotive firms should look to encourage repeat purchases from existing customers. Marketing is more efficient and cost-effective in this way. You can also use data relating to past purchases to guide your marketing or sales efforts.
Opportunities are plentiful for automotive businesses. For example, when selling a car or car parts, you could gain future loyalty through annual servicing. Offering a discount when people pre-book the extras or commit themselves to memberships with your firm works well.
Interact with customers
Trust plays a key role in all business sectors. Still, its impact is particularly noteworthy in the automotive industry. Facilitating two-way interactions with prospective customers is a great way to build it. So, your sales funnel should be defined with the objective of booking consultations, test drives, and similar actions. This will give you a chance to deliver tailored support and find the product or service best matches to their needs.
As well as creating this positive environment for interactions, you must create feedback loops. If you give them a voice, consumers will provide valuable insights into the good and bad of the company. This info can guide future interactions, with them or new leads.
Focus on value and perspective
People are prepared to spend money on their vehicles, from the purchase to the repairs. Still, they crave value for money. Including free accessories, services, or discounts are all great options. However, the sales technique depends equally on where you promote products and how this can impact a buyer’s mindset. When you get it right, the volume of sales can soar. Similarly, you’ll boost returns in the most efficient way.
The value of trade show marketing in an industry like this one is clear. Appearing next to home goods or fashion items means you’ll stand out, but makes the car a big purchase. But appearing next to yachts makes the vehicle an impulse buy. So, quick sales are more likely.
Consider franchising
All of the above steps can help your business maximize its earnings in the local area. For the best results, though, you should expand to other markets and locations. Opening up new showrooms or stores can be tough for an entrepreneur. However, turning the company into a franchise could be an ideal solution. You will need to split the returns with the franchisee. Still, even if you take a small percentage, it boosts your overall revenue.
Better still, a winning blueprint can be repeated again and again in new locations. It could be possible to send revenue through the roof with minimal effort on your behalf. It also allows you to create a bigger and better brand image, thus boosting flagship store sales.
