Time-wasters Good Inventory Managers Avoid

Mar 31, 2013 | | 11643 |

Time-wasters Good Inventory Managers Avoid

By Randy Barone

Think about the day-to-day operations of your Used Car inventory manager. How does she or he spend time throughout the day?

  • Helping the Sales team close deals
  • Appraising trades
  • Visiting auctions online or in-person
  • Pricing used inventory and syndicating pricing updates to your online resources
  • Forecasting sales and helping achieve those goals
  • Following up with customers

These are all important activities that ultimately lead to revenue generation, but if they're not handled efficiently, many can become mindless time-wasters. And time-wasters are something good inventory managers avoid.

Letting technology be your ‘right-hand man’

It's a dated term to be sure, but letting technology be your "right-hand man" can be an excellent strategy in today's competitive marketplace. Consider the activities we mentioned above, and think which ones you can let technology take over:

  • Appraising trades and determining which vehicles stay in your dealership
  • Understanding which auction vehicle is best for your dealership
  • Pricing used inventory and syndicating price updates to your online resources

You might be thinking, "Hang on a second! My Used Car manager is excellent at all of those things!" And you're probably right. Used Car inventory managers tend to be excellent at these, but would they be more effective at helping the Sales team close deals, achieve Sales goals, and follow up with customers?

Absolutely.

Today's technologies offer dealership employees new and exciting opportunities to be more responsive to customer needs. The Used Car inventory manager at your dealership is in an especially unique position to eliminate "time-wasting" activities and focus instead on customers and closing deals.

Dynamic pricing automatically prices vehicles, adjusts prices as needed, and syndicates changes to online resources

The right lot management inventory solution for your dealership will feature what's called a "dynamic pricing" module. That module will integrate with your Dealer Management System (DMS), and understand your entire Used Car inventory. By relying on market and industry data, the dynamic pricing module will then automatically adjust Used Car pricing based on your parameters—profit levels, turn times, and the like—to maximize the value of your inventory. Is the vehicle in high demand for your geographic area? Then your solution will price it appropriately. Has it been sitting on your lot too long? Time to reduce the price, but within your profit requirements.

Gone are the days of managers wasting valuable selling time scrutinizing every aspect and detail of their Used Car inventory, then making their best guess as to how to price the vehicle… or avoiding that task altogether because they're busy with other profit-driving activities.

Smart dealerships are avoiding guesses and hours of wasted time—every day—by taking advantage of automated, "smart" solutions that are based on your dealership's historical and market data.

 

Learn the Latest in Used Vehicle Inventory Management

Authors: 
Randy Barone

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