May 27, 2019 Robert Kaiser NADA, Road show
Digitalisation and Relationships: powering the way forward in the Retail Vehicle Industry
The increasingly important role played by digital technology coupled with business relationship development was widely acknowledged at the Johannesburg Road Show of the National Automobile Dealers’ Association (NADA), presented at the Royal Johannesburg Kensington Golf Club on 22 May.
The third in a series of four NADA Road Shows in Durban, Cape Town and Pretoria during May, with a further series planned for presentation in the latter half of the year, presented an opportunity for members of the Association to receive updates on pertinent matters currently being attended to by NADA on behalf of its membership and to consider and discuss current trends in the retail vehicle sector.
The current series of Road Shows featured panel discussions on general trading conditions in the industry and the use of new strategies to improve business efficiency, drive sales and increase market share.
Despite the fact that business confidence in the retail vehicle sector is at its lowest level in two years, it was noted that there was always opportunity for dealers to grow their businesses through innovative and pro- active marketing not only in new and used vehicle sales, but also in their parts and service departments, which, if managed and marketed correctly, could contribute significantly to trading revenue. Two discussion panels respectively participated in by accomplished entrepreneurs Mark Domisse (who is the National Chairman of NADA) and Brandon Nash on the one hand and John Landy and Brad Kaftel on the other hand were held to lead discussion, facilitated by independent consultant Claudio Camera . The panel members shared their views on non-competitive issues relating to practice and innovation and this resulted in lively participation and debate by attending members.
The increasing importance of digitalisation as a driver in marketing and sales was generally acknowledged, but there was general consensus that digitalisation was not the ultimate solution for business success but merely a tool to increase efficiency and profitability. The most important success factor remained personal engagement and a continued focus on the development of sound relationships with customers and the immediate and broader community where a dealership operated. This created lasting goodwill.
The need for dealerships to strive for ever higher standards of professionalism in their sales executive teams was also highlighted. The fact that many sales executives at leading dealerships held tertiary qualifications and were able to engage with customers as professionals in their field, greatly contributed to a positive customer experience and sound relationships which converted to sales and repeat business.
It was widely acknowledged that digitalisation of processes and marketing approach, coupled with the development of sound business relationships are the essential factors for a successful dealership going forward.
(Visit www.nada.co.zafor more information on the Association, activities and member support services)
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