Which Sales Metrics Are Key For Increasing Your Sales?

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sales training

How scientific are you getting in your sales initiatives? It is imperative for car dealerships today to dive deep into analytics and sales metrics to improve their outreach and sales. There are so many sales metrics out there, how do you know which ones you should have your eye on? Let’s look at a handful.

The Cost of Acquisition

As with any process that involves an investment, you want to know what your return is on that investment. In the case of car dealerships, we’re talking about the cost of acquiring a loyal customer.

Look at each of your marketing channels and how each performed in your outreach efforts. This will help you determine how much you should invest in each channel going forward. Each cohort will respond differently depending on the channels you use, so be sure to account for that.

Measure the Buy Cycle

The average buy cycle is a measure of the time you spend in grooming a sale from start to finish. Your sales team all have different styles, and some might take longer to close a sale than others, but you can look at specific aspects of that sale to see if your salesperson needs some assistance in how they’re nurturing their leads. It’s a great sales metric that can be used to form a training regimen that will improve your sales.

Targeting the Valuable Consumers

All businesses, regardless of industry, look to gain more loyalty from consumers, because there is value in loyalty. This, however, is not one of the easy sales metrics to measure. You need to bring your finance team in to assist, but it’s worth the effort.

When you look into the numbers, you’ll find out which segment of consumers you should be targeting, the channels that impact them the most and what strategy will work best to make them loyal, lifetime customers.

Inventory

Are you selling your fresh cars fast enough? One of your goals is likely to focus on turning that inventory fast to create maximum profits. Unfortunately, many dealers have used inventories that are a month old or older.

When you look into this sales metric, you’ll find that perhaps you’ve got the wrong car at the wrong price. Maybe you’re targeting the wrong market for these vehicles. It could be as simple as an inability to get the car retail-ready in a short window of time.

If you’re in need of improving your sales metrics game, look for tools that will assist you, such as new and improved software.

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