Who ya gonna call?
- Sales Tips for the Automotive Industry » Work habits / personal development
- Sales Tips for the Automotive Industry » Prospecting
Everybody knows that to be successful in sales you have to cultivate relationships with your clients! It's much harder to close a sale with a new walk-in client than it is to work with a repeat or referral client. Closing ratios for repeat and referral appointments are always greater than double that of walk-ins. So it goes without saying if we want to work with the highest probability to close, easiest to deal with people we better keep in touch with our sold customer base. Is that enough?
We're going to suggest that that is the bare minimum. Consider this math:
If you meet 2 prospects per day, that is about 50 per month or 600 a year. If you are a superstar and close at 20% that means 120 sales per year and a personal database of 360 clients after 3 years. Add in the family, repeat, and referral clients and you have a pretty good owner base for future sales. That's just contacting the people we sold. What about the other 80%? These people are rarely followed-up:
40% or 240 bought somewhere else. Don't let losing the deal to a competitor stop you from following up. They might be out of the market for a few years but they have family and friends they can refer immediately. Keep in touch better than the salesperson that got the deal – you'll get the referrals.
20% or 120 cooled off – have not bought anywhere. They may have dropped out of the market due to unrealistic trade expectations or other reasons. However the reason that they wanted to switch vehicles is probably still there. Keep in touch and when they drop back into the market you will be the one that gets the appointment.
10% or 60 finance turn-downs. Many are not even shown courtesy. When will they buy? The moment they can get financed. If you are the only one to keep in touch, you will be the one they come to see.
10% or 60 had a personality conflict with you. Don't worry about following up the people you didn't get along with. Do worry if this number is over 10%!!
If you follow-up your sold clients and everyone except the personality conflict category you will have 540 new people per year or 1620 after 3 years.
With a follow-up database like that, you insulate yourself from the ups and downs of floor traffic. The more repeat and referral clients you have the higher your closing ratio goes. More sales, nicer people, and less brain damage.
Sound like a lot of work? It does require discipline but even with a database of 1620 it is still less than 6 calls per day. What else were you planning on doing today?
"There are no shortcuts to any place worth going." - Beverly Sills
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