Effective techniques on how to increase the profit margins of a local car dealership

Friday , 5, February 2016 Leave a comment

A small car dealer operates on a community level, therefore, the relationship that the dealership has with the local community significantly determines the profitability level. To increase the profitability of a dealership, the car dealer has to maintain close knit ties with the community. A car dealer can achieve this by making the community part of the business through providing permanent employment opportunities for the locals and offering part time odd jobs to high school kids. Additionally, organizing communal events such as barbecues will give the community a unique opportunity to learn more about services offered by the car dealership. It will also give car salesmen a chance to convince potential customers to purchase their products. Furthermore, such communal events help to build and maintain consumer loyalty. Another effective way of raising profit margins is to emphasize of customer care. Excellent customer care incentives will increase good referrals and this translates to higher sales and a more profits.