The Importance of Car Sales Training for Dealership Success

May 4, 2023

Hari Bhushan

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The Importance of Car Sales Training for Dealership Success

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A Sales Trainer teaches the class on tactics she uses to sell used cars.

In the ever-evolving world of car sales, where consumer preferences and market trends are in a constant state of flux, achieving dealership targets requires more than just a skilled sales team—it requires a team that is adaptable and able to stay ahead of the curve. Routine car sales training is essential for staying up to date with industry trends, maintaining a competitive edge, and driving greater success for the dealership. 

Additionally, with low inventory and a semiconductor shortage during the pandemic, selling cars came fairly easily to sales employees. However, now that supply constraints have eased, and new and used car inventory is more plentiful, training is a top priority to tackle new sales bottlenecks—especially for new employees. 

Effective training in car sales can help you develop new hires into successful salespeople who possess the necessary skills to meet important sales goals. 

Benefits of Automotive Sales Training for Dealership Success

Improved customer satisfaction and loyalty

A comprehensive car sales training program covers crucial topics and skills that help improve customer satisfaction, trust, and loyalty1. Specifically, the training helps sales persons to improve the speed of service and interact with potential buyers effectively via phone calls and online lead inquiries. Seasoned car salespeople always make a pre-call plan, which involves research and preparing for each call in advance. Pre-call planning includes: creating an outline for each call, setting goals for each call and making a list of common objections your customer might bring up4

Increased car sales and revenue

As competition heats up, it is not enough for your sales team to present a unit that meets the buyer's budget and preferences. They should be able to present vehicle features convincingly, negotiate price points effectively, and close more deals professionally. A sales training program equips your team with strategic thinking skills, prompts, and practices needed to make the right decisions during a sale. Experienced salespeople use different tactics to close the deal including “Mirroring” and bringing up the right topics at the right time in the negotiations. We will break down below: 

  • Mirroring - is really speaking in your customers language. Examples of this could be picking up and using key phrases or words that your customer continues to use during the conversation. Effective mirroring cues the other person that you are paying attention to them3.
  • Timing Conversations: Ultimately you have an agenda to close the deal and the customer wants to buy a car, but ultimately you sometimes need to move with the conversation, based on where the customer wants to go. You might not be able to push an extended warranty if a customer is still not sure about which color of car to purchase. 

Better employee morale and retention

Investing in employee training prepares them to take on bigger challenges and broaden their career horizons. When employees see that you are helping them improve their skills and prepare for career growth, they become more motivated to succeed, thus increasing their overall job satisfaction, morale, and retention. In fact, employees who receive training from their employers report feeling more valued (63%) than those who don’t receive training (44%)2

Types of Car Sales Training Programs

Auto sales training programs generally fall under two broad categories: new hires and continuing education. New hire auto sales training equips new employees with skills that boost their confidence and increase their chances of succeeding in their new roles. The training helps new hires handle sales from A to Z. 

Continuing auto sales training is designed for your existing sales team. The training helps close existing knowledge gaps and keeps them updated on new sales and marketing best practices or compliance changes. 

Both training categories are available under three program types:

  • Manufacturer-sponsored training programs: The vehicle manufacturer offers this training, covering onboarding and training on vehicle operations, maintenance, safety, compliance, and more.
  • In-house dealership training programs: These training programs are designed to provide dealership staff with the capabilities to meet customer needs and thrive in their roles. These programs often include activities that reflect daily tasks, such as lot walks to take stock of inventory and role-playing phone calls to practice communication skills. Participating in these training programs helps employees develop the knowledge and skills necessary to succeed in their jobs and provide excellent service to customers.
  • External training programs: These training programs rely on industry consultants, specialists, and external experts to undertake training either on- or off-site. The experts provide your employees with the skills and new insights that help them meet business goals and increase their job satisfaction.

Car sales training could be all you need to gain an edge over your competition and succeed in today's volatile marketplace. Ongoing auto sales training helps hone your team's sales abilities and convert recruits into motivated, productive salespeople who drive revenue and gain loyal customers. 

ACV is committed to your dealership's success

At ACV, we are proud to be the leading online car auction for dealers, serving buyers and sellers nationwide. Our mission is to transform the industry by providing unparalleled trust and transparency. Our industry-leading vehicle condition reports include OBD II readings, engine recordings, undercarriage views, and more, so there are no surprises on the used car inventory you source from us. Register today to become a member and start building your used vehicle inventory.

Sources

  1. Sheinkopf, S. (2021, August 26). 5 Reasons Why Employee Training Is Key to Customer Satisfaction. Training Industry. Retrieved from https://trainingindustry.com/articles/sales/5-reasons-why-employee-training-is-key-to-customer-satisfaction/
  2. Smith, A. (2021, May 3). The Power of Training Programs: How Learning and Development Shapes Employee Morale. Nasdaq. Retrieved from https://www.nasdaq.com/articles/the-power-of-training-programs%3A-how-learning-and-development-shapes-employee-morale-2021
  3. Ganesh, ​​Yaagneshwaran. 9 Negotiation Tactics for Sales and Customer Success | Avoma Blog. www.avoma.com/blog/negotiation-tactics.
  4. "17 Proven Ways to Improve Sales Call Performance." Novocall, 22 April 2021, https://novocall.co/blog/improve-sales-call-performance/.