Reducing Lost Sales… Means Big Bucks

It’s the start of a new month, and usually this is a dynamite month to increase your income and make some big sales. This newsletter always focuses on how to make sales, but there is another side to this business—lost sales. If I can help you close the deals that didn’t make the deal sheet you will increase your earnings big time. Think about this.

How many sales have you lost this month? I guess it depends on how you define a lost sale.

1. One lost sale is one you didn't make because: you didn't get the key decision maker to say yes and they walked.
2. The second lost sale came when you didn’t put them into your follow-up system and in the end they chose your competitor.
3. The third lost sale is the client you sold previously who buys their next vehicle from someone else.

Three types of lost sales that you could reduce, right?

The average cost of a lost sale today is not just the gross profit to the dealer or the commission to the salesperson – it is 12 times that. The average customer will buy at least 12 vehicles in their lifetime. And they influence even more vehicle sales when you consider second and third family vehicles. That’s a lot of sales opportunities lost! And when you throw in the lost service labour and parts dollars it is more again.

So why do we lose sales?

• focusing on vehicles first rather than building a relationship first
• giving poor sales presentation drives
• not asking for the business before you walk them
• negotiating before you get the commitment process is complete
• selling a low price rather than high perceived value
• not following up walk-outs and
• not keeping previously sold customers returning to buy again.

Understand this about your customers.

• They want to buy much more quickly than they tell you.
• They are willing to pay more than they tell you.
• They value payments over price.
• They buy from salespeople who follow-up.
• They value a long-term relationship with their salesperson and will be loyal to them.
• They will send you referrals because they value your relationship.

Keys to Success in the car business.

If you can not sell your client the first time put them in your follow-up system. Follow-up your lost sales and turn them into Be-back customers. When you sell them once, keep them coming back to buy again and again and again. That is what your customers want most – a relationship with someone they can trust. It makes buying easier and more fun, less stress. Be good to yourself and your customer. My Trackstar clients have a slogan, “Turn your walk-outs into be-back customers and turn your customers into clients for life.” www.Trackstar.ca
So to increase your sales, focus on reducing lost customers and you will increase your income big time.

Hope to see you in Halifax. It will be great to get away and increase your sales.
I’m at the Toronto airport waiting for my next flight to Winnipeg for a Boot Camp for New Hires. Then off next week to British Columbia for a Motivating the Motivators conference for GM Sales leaders. Contact me personally by return email or phone to discuss how I can help you increase your sales at your dealership. Dave@Automotivator.com