4 Min ReadJuly 7, 2023

Transparency and Trust: How Dealers Can Improve NPS Scores

Transparency and Trust. How Dealers Can Improve N P S Scores.

What’s an NPS?

A good Net Promoter Score (NPS) means your customers are happy and your dealership has a good reputation. And a good reputation is linked to higher trust in your dealership, increased profits, and greater customer retention.

How to Improve Your Dealership's NPS

One of the best strategies to increase your NPS is employing a modern retail strategy to make it easier and more transparent for customers to buy a car. This approach builds trust by allowing buyers to build their own deals (according to dealer-set parameters). It also allows buyers to meld the online and in-store shopping experience to spend less time at the dealership.

A faster in-store purchase process is a significant factor in achieving a higher NPS. The CDK Global 2023 Friction Point Study found that shopper recommendation and satisfaction dropped 12 points from NPS +54 to NPS +42 when shoppers spent two hours or more at the dealership. By enabling a transparent purchase process on your website and in-store, you can get customers out the door faster and boost satisfaction scores.

The Deal-Building Tool

A robust online deal-building tool is the first step to building trust. Digital retailing enables shoppers to browse inventory, structure monthly payments, and explore finance and lease options, educate themselves on F&I products, start the trade-in valuation process, and even upload documents such as a copy of the driver’s license. Visibility into every step of the process gives buyers a feeling of control that they’re working with the dealer to find the best vehicle to fit their needs and trust the path to purchase.

An automotive digital retail tool helps customers go at their own pace, doing as much or little ahead of time as the customer wants, which makes the in-store process more efficient. Mazda Roseville in Northern California, for example, implemented the CDK Digital Retail platform and doubled its efficiency while selling 20% more cars than prior years.

In-Store Transparency

Customers can spend hours finding the perfect vehicle, asking questions via email, call or text, perhaps visiting the dealership and then hopping back online to fine-tune the details. They trust the dealership to respect that time and effort by picking up the deal in-store exactly where it was saved online. A sales associate who can’t find the deal, or who tries to sell the customer something different, erodes that trust and likely loses the sale.

Instead, equip sales associates with the same tool customers are using online so everyone is viewing the same information. In the store, a customer can sit side by side with a sales associate and use a tablet to pencil the deal together. At Roseville Mazda, the team responds to every email with a virtual deal sheet and completes all of their showroom activity, from penciling to deal finalization, in digital retail platform. No more waiting at the desk for 10+ minutes to pencil a deal while the customer sits alone. Sales agents can do most of it on their own since the dealer pre-sets deal parameters. Sales agents and customers are happier with a collaborative and faster process.

Sales Associates as Consultants

When done right, a modern workflow experience naturally dials-down what customers may see as a high-pressure transactional experience and allows sales associates to become trusted consultants. This is especially important for new generations of first-time car buyers who want and need guidance, but don’t want to be sold. Communicating online, answering every question, and providing valuable information at every step of the process creates trust and lays the foundation for a better in-store experience.

In our Friction Points Study, 91% of car buyers purchased from a traditional dealer. According to the Deloitte 2022 Global Auto Consumer Study, 75% of buyers still want to go to the dealership to complete the sale. That’s where customers smell and feel the car and get the confidence in their vehicle choice. Digital tools aren’t replacing dealers. Rather, they’re making buying and selling a car faster and easier, and that results in a higher NPS. Dealers can close the gap and get more buyers to walk in their doors by implementing these tools.

Get on the Road to Improved NPS With CDK Modern Retail Suite

At CDK, our Modern Retail suite simplifies the consumer-to-dealer buying journey into one integrated, flexible solution to facilitate faster, more seamless data flows and sales. Do you want to give your customers an easy experience that leads to easier sales? Contact us to schedule a demo.

Share This

CDK Global
By CDK Global
Staff

Recent Insights

Are E Vs Ready for the Summer Road trip?

Are EVs Ready for the Summer Road Trip?

The all-American pastime of the summer road trip is alive and well. The Transportation Department reported travel rose to over...
4 Min ReadMay 20CDK Global
Dealers Not Confident in O E M E CDK recently released the Dealers Face the EV Transition white paper, which details the pessimism many dealers feel about the electric future. A clear majority (65%) indeed admit to being pessimistic about EVs, and the paper delves into many of the reasons behind that number including the impact to the dealership’s revenue, consumer interest and more.   We also asked dealers about their confidence level in the EV strategy of their respective OEMs. Whether they hV Strategies.

Dealers Aren't Confident in OEM EV Strategies

CDK recently released the Dealers Face the EV Transition white paper, which details the pessimism many dealers feel about the...
2 Min ReadMay 13David Thomas
Bring Modern Convenience to the Showroom Floor.

Bring Modern Convenience to the Showroom Floor

In our technology-driven world, we’ve taken modern convenience to a whole-new level. Consumers expect to order what they need online...
3 Min ReadMay 9Steven Walker
What Dealers Say About the EV Transition

What Dealers Say About the EV Transition

As the electric vehicle revolution propels forward, dealers across the country are coming to terms with learning, selling and servicing...
1 Min ReadMay 6CDK Global
Three Dealership Accounting Woes and Fixes.

Three Dealership Accounting Woes and Fixes

Nothing can steer your auto dealership off course faster than poor accounting practices. And it’s not just about the importance...
4 Min ReadMay 6CDK Global
Car Price Negotiations Ease in April

Car Price Negotiations Ease in April

Car buyers still found it overwhelmingly easy to buy a new car in April but there was a slight drop...
3 Min ReadMay 2David Thomas
The Power of Video. Earn Customer Trust and Service Business.

The Power of Video: Earn Customer Trust and Service Business

When you spend your days servicing and repairing vehicles, it’s easy to forget that most people know very little about...
3 Min ReadApr 29CDK Global
Everything You Need to Know About the C D K Dealership Experience.

Everything You Need to Know About the CDK Dealership Xperience

Margin compression and changing customer expectations have auto dealers working hard to find new process efficiencies to boost profits and...
9 Min ReadApr 19CDK Global
The Pros and Cons of Involving Sales Staff in F and I.

The Pros and Cons of Involving Sales Staff in F&I

We know how the traditional F&I sales process works and why customers sometimes shut down as a new round of...
4 Min ReadApr 16Saundi Crandall
Leverage A I for a More Efficient Front Office.

Leverage AI for a More Efficient Front Office

Today, dealers echo one refrain in terms of their top strategy: Deliver a terrific customer experience. It’s become one of...
3 Min ReadApr 9Amber Good