By: Myril Shaw - Dealer Profit Services
Is this the year that changes thinking "out of the box" to the new "in the box"?
We entered 2020 with a robust economy and expecting outstanding results – although outstanding was measured in terms of 10% or 20% increases in sales.
Then, in March/April, COVID hit. For a few days or weeks or months we suddenly saw devastation happen as people died and the economy shut down. We all expected the worst – and for much of the economy, and many of the businesses, the worst did, and in some cases, still is happening. For the recreational vehicle industry, things were suddenly very different.
The world shifted. All of those budgeted vacation dollars went to boats and RVs. Travelling changed to self-controlled fun on the lake or on the road. Suddenly there was a huge run on boats and RVs as people decided to take control of their own "fun environments" by staying out of airports and hotels and enjoying the freeing fun that they could control. Sales were up over 50% or even 70% in many cases.
So here we are…a great two-thirds of a year and looking forward.
Sales are slowing, although, while today that is largely due to inventory issues – there is evidence that the vacation dollar spenders have spent and trends are back to normal for the year. The big question is, now what?
That is a BIG question. While life is "back to normal" in terms of spending by consumers, it is far from back to normal in terms of sales and marketing. At this point, online and social media marketing have begun to become normal. Touchless sales, F&I, and delivery are now a constant rather than a strain – at least hopefully!
What happens to the shows and other big marketing events? Is it time to "think outside of the box"? Will this become the" new box"? Is it time to make changes for this year – or forever – or both?
Fall/winter and into early spring is the traditional time for industry events, both those targeted at dealers and suppliers and at dealers and their customers. Will those happen as usual? In some cases, we already know that the answer is "no". Many event sponsors are reluctant, for a lot of obvious reasons, to cancel their live events – while they are all now focused on ensuring that they can provide quality virtual events.
This leads to two questions that we all need to consider. Can virtual events engender the same level of personal engagement that in-person events can? If events are virtual, can individual dealers and suppliers create their own highly targeted "virtual events" that deliver the same net impact and results as those costly, much larger, and less personal industry events?
There can be no question that major event organizers and sponsors can deliver a much broader, though perhaps less targeted audience than any individual dealer or supplier. That said, can social media and traditional marketing, with some creative effort be able to deliver ultimate results that equal the big shows at far less cost? (Editorial comment - The big shows and the big sponsors are expensive – it is important to stand out – or, in our opinion, not play at all.)
This is the year to find out the answer to that question. We fully support all the big events and shows and organizers. We are not suggesting abandoning any of this – the question is – can individual dealers and suppliers do something on our own that is better than we have been doing? It may take effort – it may take some investment – it may take trial and error – it may take time – it may take getting used to. Driving new business going forward may be much more individually/locally directed than it has ever been – and it maybe forever.
So, in summary, let's start thinking about sales and marketing strategies that include, but don't rely on the major organizers and sponsors…it is time to find the sales and marketing strategies that drive business directly in cooperation with, but not dependent on, the big events and sponsors.
Dealer Profit Services, LLC can help you achieve F&I excellence - no matter where you are in the development and/or maturity of your store or stores F&I success model. As the industry's only Finance Solutions Provider, Dealer Profit Services can and will equip you with what you need to take that next step in your F&I success - regardless of what that next step might be. Whether you want someone to help you take over take over your F&I and with our experienced personnel just help you drive profit to your store, provide help to you some of the time, need some quick advice or just provide F&I Training/Consulting, we are here to help you. If you are not fully equipped with all of your Compliance Manuals and Training, Dealer Profit Services can do that too. Contact us anytime at info@dealerprofit.com or give us a call at (470) 326-0966.
