Dealership Salespeople: On the Verge of Extinction?
The other night a warning light came on in one of our long-term cars. It was late on a Friday night, I was out of town, and I wasn't sure where to turn. Being an Internet junkie, I immediately went online to search for the nearest dealership, and in no time was able to set up an appointment online for the next morning. Sure, I could have just called them the next day, but there was something comforting about being able to secure a spot right then and there.
But before I made my appointment, I had entered my personal information on the dealership site and inadvertently clicked on "get a quote" instead of the "find appointment" button. When I realized what I'd done, I was petrified. "Oh no," I thought, "here it comes. I'm going to be harassed."
The next morning, there was an email waiting in my inbox from a sales person at the dealership asking what colors I was interested in. I received a second email welcoming me to the dealership. But surprisingly, the emails were simple, non-intrusive, and no pressure. There was even some text at the bottom that read, "We want to help you find the perfect car. But if you'd rather go it alone, we understand." An unsubscribe button was easily visible beneath that. And even though I'd entered my cell phone number, nobody called to pester me.
Although I'd stumbled into this experience accidentally, it opened my eyes to how the Internet continues to change the shopping and buying experiences. It appears that some dealerships are starting to understand that high-pressure tactics don't work -- a stark contrast from some of the horror stories relayed in our Confessions series. Of course, sales people still need to make a living, but there's a difference between being proactive and being obnoxious.
After this experience, it made me wonder how dealerships get any walk-in business at all these days. But I'd be curious to hear what our readers think: Is there still a need for sales people on the dealership floor? Or does the Internet and other avenues or research render traditional car sales tactics useless?
- Posted by
- Laura Burstein August 20, 2008, 12:01 PM
- Permalink
- Categories:
- Dealing with Car Dealers
- Technorati Tags:
- dealerships, New cars
Most people, even with the internet still need help buying a vehicle. As long as the manufacturers require salespeople to have proper product training, there will still be knowledgeable people at dealers who can assist those buyers who still need buying advice.
Unlike car enthusiasts, most car buyers visit a dealership infrequently, especially with finance terms longer than 72 months becoming the norm. Many buyers simply are not up on the latest models, even with resources like Edmunds.
Having said that, I am sure the number of internet buyers will continue to grow over the years, likely to the point where the internet department will eventually become larger than the traditional sales departments.
I'd say 80% of the people out there still only know how to do things the old school way. It'll be another decade before a significant majority gets on board with this internet shopping thing. Personally, I'll be glad to see it...I've always felt that salespeople are at their best when they act as guides through the searching and purchasing process instead of just looking for their commission. I wish they were paid hourly or on salary instead of making commission.
Though I have no direct experience, I have heard of many people emailing sales managers of competing dealerships, negotiating deals by playing one dealer off the next, and then finally visiting the dealership to complete the deal.
I am hoping to purchase my next vehicle in just this way.
Dealerships will have salespeople until the dealership can make more money without salespeople. Of course, part of making money is servicing the customers, an inconvenient requirement of sales!
I agree with Lee that the internet sales teams will outgrow the traditional sales teams eventually. Traditional sales people will be there as long as dealers have unsold inventory sitting on lots, which is the foundation of the entire new car sales distribution system.
Scion, Saturn, CarMax, and various other no-haggle franchises seem to do ok without a high-pressure sales force, but the salespeople are still on commission in most cases (not sure about Scion though).
guess what?
that guy that e-mailed you back all those friendy and helpful notes IS A SALESMAN!
the way a salesperson communicates may changes, the tactics used are ever evolving, but without sales people the world's economy would screech to a halt.
there is not a person in this world who's job is not affected in part or in whole by a salesperson.
"salesperson" is not a dirty word, quit acting like it is.