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Where Do I Start?

Ask the Expert with Joe Webb on the Manager Turnover

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Hello Joe,
What is an average % of fresh opportunities that get T.O.’d to the Sales Manager to discuss objections that can’t be overcome by our rebuttals? (ie. overall condition of the vehicle, smoker, rebate break down, etc.)

Katie W.
Business Development Manager
__________________________________

While I know I answered your question in earnest before the holiday weekend, I’ll attempt to provide a more complete answer to your question.

Regarding “objections”, I don’t believe any study has ever been performed that pinpoints Manager T.O. percentages based around specific customer scenarios such as that. No one has measured to the granularity in which you mention, mostly because it would require an entirely new subsection of notes within CRMs to track that. However, I can say that data exists to support the importance of the Manager turnover (or manager introduction, as others call it)..

The Next Up has released very similar data regarding both Manager TO’s and the impact a TO has on the closing ratio. (I was fortunate enough to speak alongside Mark Stringfellow from The Next Up at the most recent Digital Dealer Conference.)
Manager TO

 

1) Manager turnovers only happen 53% of the time.

 

 

Manager Turnover

 

2) Fresh Guests/Walk-ins that receive a manager TO buy 52% of the time. (That number is cut in half – 22% – if a test drive doesn’t occur).

3) Guests that are showing for scheduled appointments and receive a Manager turnover close at 66% of the time.

In the end, Katie, great Sales Managers aren’t great because they can sell cars on the floor. They’re great because they can have conversations with customers and then quickly calculate the different pathways that discussion will lead to a mutual understanding. It’s about seeing all angles, rather than pushing all numbers. However, this doesn’t happen without an introduction to the customer. And, let’s face it. Some customers need to see a manager. It is only then they justify the purchase or deal in their own mind.

In my opinion, a manager should never be meeting an in-store customer for the first time when they go in for the close. They should be greeting them when they walk in. Wishing them an enjoyable test drive on the way out. Validating the vehicle on the customer’s return to the showroom. And then reconfirming all elements of the process when they sit down with them. There should not be “negotiation” time, but rather “validation” time. For that reason, I say the “objections” in which you mention are moot. Regardless of the customer’s questions/concerns/objections, a manager should have been a part of that prospect’s in-store experience all along anyway.

My advice: Shoot for a much higher percentage of Manager Introduction/Manager Turnover than 53%. As the data proves, it is valuable to get authority figures involved early and often.

Joe Webb • July 6, 2015 • Ask the Expert

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