Let's Talk About Offering Price
From the Simplicity Sales Process Guide:
Don’t Be Afraid To Offer Price
Here are some reasons why:
Many successful internet departments have found that by offering price, they immediately increase their prospect’s comfort level. Remember, most internet shoppers fear being the next victim of the old-school-car-sales tactics. It doesn’t matter how much you reassure these people, you have to earn their trust! Delivering the selling price helps eliminate their fears.
However, if you put your prospect on the ceiling (sticker shock) when you offer the price, you will be able to determine their seriousness much quicker and eliminate wasting valuable time.
How Can Your Dealership Create A Plan And Structure For Delivering Price?
Here’s the road map to help simplify the process:
Establish menu pricing for all models and trims
Agree on a pricing structure or range for all vehicles
You’ll see these benefits:
Quicker price quotes
Standard info now available for all sales people
Cut-down on extensive calculations
Boosts prospect’s satisfaction level
Dealership Management Should Empower The Internet Department
Instills confidence in your potential customers when it appears that you have pricing authority.
Cuts down on time required by sales managers for internet deals.
Management Must Buy-In At The Appropriate Levels To Be Successful
Forces frequent and better communication between the internet department and sales managers.
Empowers internet department with authority to deliver the sales price.
Encourages management support.
How Do You Deliver Price?
THE BEST WAY TO OFFER PRICE IS RIGHT DOWN TO THE PENNY!
Don’t quote dollars over cost or invoice, or percent over cost or invoice. Mr. Internet shopper will likely perceive this as an old school selling tactic.
Why Deliver The Price On The Phone? Won’t People Use It To Shop Me?
Some of your internet prospects may use your price to shop around, but the only way to stop them is by not providing a price quote. Unfortunately, you’ll end up losing more sales by not offering price than by offering one.
People use the internet because they want information NOW. They are trying hard to avoid the same old, run-around at the car dealership. They want simplicity. If you want to sell more cars through your internet efforts, you'll need to learn how to sell the value of a process that does not include negotiation, hassle, pressure, intimidation, manipulation and stress. Ask yourself this question, isn’t it easier to find out early in the process that your potential customer will not or cannot buy, than it is to find out later?
Do you have questions or comments? We want to hear from you. If I can be of assistance please feel free to contact me anytime through the information found at wwwdealeradvisor.com
With Encouragement & Hope!
Shaun Raines
Dealer Advisor
Ahhh price. Price without trust is just a number. Price without engagement is no way to sell. Price without an experience is a commodity. Is your dealership a commodity? How do you want it to be? How can you differentiate yourself?
To give a price online or not to give a price online??? A false paradigm. To give a price without engagement in a conversation? To provide a medium for inquiry (website with form submission / 3rd party lead) without engagement? Without the opportunity to SHOW not tell and SHOW not demand/ask for trust (i.e. talk to me on the phone or come in to the showroom is demand/ask)?
That never, ever worked in any course of human interaction. What makes anyone think it will work on the Internet? Hi... here's a picture of the car. Tell me that you are interested (lead) so I can call you, get you on the phone and using my persuasive phone skills (which I have to be very good at to get away with this...) get you in to the dealership where I can use my old school (badger?) tricks and sell you a car.
The medium is not at fault.
The old way of doing it is not at fault.
The expectation for what is possible is at fault.
The lack of listening to what consumers actually want (and don't tell me how what dealers want is more important... dealers don't really want control, they want profitable sale volume, not control... (my experience)... most just don't know any other way).
Soooo.... notice how I haven't said "dealers get a shopping cart / ecommerce / transactional website for your website." Even though it answers the "how to" for all of the above. Even though it shatters all of the false paradigms of "you have to get them in to sell them." "Sales is about control." Even though it reconciles what consumers want (a better experience) with what you want (profitable sales volume).
Shaun Raines (blog author) thinks I'm nuts at times. He's told me so many times. I love him for that.
Jeff Kerschener at Dealer Refresh told me that I was ahead of my time. I wondered who dealers would like to buy their technology from? Someone at or behind their time?
EVERY other industry in the world has adopted a shopping cart based ecommerce / transactional website approach.
The reasons above just scratch the surface of the confluence of friction reduction that it solves.
How about legal + brand compliance? The same, PERFECT, legal experience delivered to every consumer every time? Doesn't get busy on Saturdays and rush the process. Doesn't discriminate (what gender or skin color do you have on the Internet?).
But enough pontificating... Shaun has become a very good friend in the past few months. While his delivery can be shocking and uncomfortable... isn't that what you want from a thought leader.
Keep writing Shaun. Hopefully the discomfort of having our eye turn inwards leads to some important self discovery.
Good selling.
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