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System Selling
Have you ever visited a car dealership and felt that everything seemed just a little too
"scripted?" Did you get the impression that there was a process that was being followed from the time
a salesperson greeted you until you left? In all likelihood, if you had this impression, you had visited a "systems
selling" dealership.
This seems to be the age of consultants. In virtually every business and industry there are, for a fee, consultants
who will show business owners how to improve their operation and profitability. The automobile business is no different.
In fact, automobile dealer principals may be one of the easiest sales in the world--they seem to jump on any and
all programs that portend to improving their bottom line. As a result, a number of consultants, both individuals
and companies, have made a good living selling their "system sales" approaches to dealers.
"Follow me"
One of the first components of a automotive sales system
is the methods the salesperson will use in an attempt to maintain control at all times. These may take the form
of the salesperson constantly asking you to "follow me" as they lead you from point to point in their
presentation. For the sales system goal (maximum gross profit) to work, you must be under control at all times.
For your personal goal to work (minimum gross profit), you must not allow yourself to fall under the spell that
the salesperson may weave.
How you can spot a "system store?"
You will know that you have found a "system store"
when everything seems to flow in a planned (track) and it is difficult to get the salesperson to go in a different
direction. For example, if it is "time" for the salesperson to give you a presentation of the product
and you want to look out on the lot for a specific model, the salesperson may balk and try to keep you on the showroom
floor.
The flow will generally go something like this:
- Greeting and qualification--the salesperson will welcome you to the dealership and begin the process
of qualifying your intentions, budget, and ability to purchase.
- Product presentation--generally takes place on the showroom floor. The salesperson will give you a "walkaround"
presentation of the model in which you are interested.
- Demonstration drive--the salesperson will always attempt to accompany you. They will continue to sell the
features and benefits of their car.
- Service walk--you
will get an opportunity to see the service department while the salesperson extols its virtues.
- Refreshment--the salesperson will offer you a cup of coffee, usually from a vending machine. Why? Because
the action of buying you a cup of coffee will "obligate" you to them, and a hot cup of coffee is best
placed on the desk in a...
- Closing booth or desk
(do you see the flow here?) It is here that the salesperson will generate a "worksheet" where the prices
can be negotiated. After the worksheet is filled out, the salesperson may leave you "to check to see if the
car is available." What they are really doing is touching base with the manager to fill him or her in on what
has transpired with you thusfar.
- Negotiations--the
dealership will almost always begin negotiations at full list for their car and a minimal amount for your trade.
- Counteroffers--the
goal here is to wear you down with small counteroffers.
- T.O.--The
"turn-over"--if the salesperson is not able to "close" you, a sales manager will arrive to
continue negotiation.
Dealing with System Selling
No matter what stage you are in the car buying process, you must maintain
control of the situation. This is especially true in a system selling dealership. As mentioned earlier, since their
entire focus is to maintain control over you, if you find yourself in such a dealership you must make it clear
from the onset that:
1) You
are the customer and the potential buyer and, as a result,
2) The process will have to proceed in the direction you want and at the speed you desire, or there will be no process.
If a particular dealership cannot live within your parameters, you need to visit other dealerships!
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