Best CRMs for car dealerships 2023
I've always loved two things. Cars and technology. So when I was asked to write a post about best CRM's for autodealers I jumped at it. I've worked at almost a dozden dealers in my time and used almost as many different CRM systems. Some give you headaches, whilst others allow you to focus on the cars and building relationships. I honestly beleive there's very few businesses that rely on a good CRM as much as a dealer, given it's all about relationships and repeat business.
In this article i'll cover some of the ones I've used and what's best for what type of dealer.
A CRM system is not just a tool; it's your co-driver in the race to customer satisfaction and loyalty. It helps you shift gears smoothly from lead acquisition to after-sales service, ensuring you don't stall on the track of customer engagement. Whether you're a small dealership aiming to expand your local footprint or a large dealer network striving to streamline operations, a CRM system is your vehicle to success.
Want a preview? If we were hanging out over coffee and you asked me, "Alex, which is better - DealerSocket or Dealertrack?", my immediate response would be, "Well, that depends on what you're looking for."
You see, both DealerSocket and Dealertrack are fantastic CRM tools, each having its unique strengths. DealerSocket, for example, is great when it comes to personalizing customer experiences. Think of it like your favorite barista who remembers exactly how you like your coffee and always greets you with a warm smile. It keeps track of each customer's interactions, then uses that data to create super-tailored communications. If you're looking for a CRM that's really great at fostering customer relationships, DealerSocket is your go-to.
Now, Dealertrack - it's more like a Swiss Army knife of dealership tools. Not only does it handle CRM tasks, but it's also got you covered for digital retailing, sales, marketing, and even F&I solutions. It's pretty awesome if you want a holistic solution to manage different areas of your dealership seamlessly.
The Need for CRM in Automotive Dealerships
Navigating the competitive landscape of the automotive industry can be as complex as a city's road network. Dealerships, whether small or large, are not only competing with each other but also with the digital marketplace, where customers can browse, compare, and even purchase vehicles without ever stepping foot in a dealership.
For small dealerships, a CRM system can be the compass that guides them through the intricate streets of customer relationship management. It can help them track customer interactions, manage follow-ups, and ensure no lead gets lost in the traffic. It's an essential tool for maintaining the high level of service and personal touch that small businesses pride themselves on.
For larger dealerships, a CRM system is like the highway that helps them manage the fast-paced traffic of a vast customer base. It can streamline operations, automate tasks, and provide valuable insights into customer behavior. With a CRM, large dealerships can maintain a level of personalization and customer service that would otherwise be challenging with such a large volume of customers.
But the need for a CRM system goes beyond the size of the dealership. Automotive dealerships face unique challenges that a CRM system can help address:
- Customer Retention: The automotive industry has a longer sales cycle than many other industries. A CRM can help dealerships stay in touch with customers throughout this cycle, akin to a reliable GPS that keeps the dealership on the customer's radar, increasing the chances of repeat business.
- Inventory Management: Dealerships need to know what cars they have in stock, what's been sold, and what's on the way. A CRM is like the control tower at an airport, keeping track of all the moving parts and ensuring everything is where it needs to be.
In the next section, we'll delve into the key features of a good automotive dealership CRM, helping you understand what to look for when choosing your co-driver in this exciting race to customer satisfaction.
Key Features of a Good Automotive Dealership CRM
Choosing a CRM for your automotive dealership requires careful consideration of the system's features. Here are some key features to look for in a CRM system for your dealership:
- Inventory Management: A good CRM should offer robust inventory management features. It should allow you to track which vehicles you have in stock, which have been sold, and which are on the way. This feature is crucial for providing accurate information to customers and for planning purchases from manufacturers.
- Customer Segmentation: The CRM should allow you to categorize your customers based on various factors such as purchase history, preferences, location, and more. This feature can help you target your marketing efforts more effectively and provide personalized service to your customers.
- Lead Management: Effective lead management features can help you track potential customers and their interactions with your dealership. This includes tracking inquiries, follow-ups, and the effectiveness of different marketing strategies.
- Integration Capabilities: The CRM should be able to integrate with other systems you use, such as your DMS (Dealer Management System), marketing tools, or financial software. This can help streamline your operations and ensure consistency of data across different platforms.
- Reporting and Analytics: A good CRM should provide comprehensive reporting and analytics features. This can help you understand your sales trends, customer behavior, and the effectiveness of your marketing efforts.
In the next section, we'll delve into the top CRM systems for automotive dealers, discussing their features, pros, and cons.
Top CRM Systems for Automotive Dealers
There are several top contenders that stand out in the market. Each of these systems offers a unique set of features and benefits that can help dealerships manage their customer relationships more effectively. Here are some of the top CRM systems for automotive dealers:
- DealerSocket: Known for its comprehensive suite of features, DealerSocket offers robust inventory management, sales management, and customer segmentation capabilities. It also provides advanced analytics and reporting tools to help dealerships track their performance and make data-driven decisions.
VinSolutions offers a CRM solution specifically designed for automotive dealers. It includes features like lead management, customer follow-up, and integration with other dealership systems. It also offers a mobile app, allowing dealers to manage their customer relationships on the go.
ELEAD1ONE: ELEAD1ONE offers a CRM platform that includes features like inventory management, lead tracking, and customer segmentation. It also provides a range of marketing tools to help dealerships reach out to their customers more effectively.
AutoRaptor: AutoRaptor is a CRM system designed specifically for used car dealers. It offers features like lead management, follow-up reminders, and customer history tracking. It also includes tools for managing internet leads and integrating with other dealership systems.
Dealertrack: Dealertrack offers a CRM solution that includes features like inventory management, customer follow-up, and reporting tools. It also provides integration with other Dealertrack solutions, allowing dealerships to manage all aspects of their business from a single platform.
Each of these CRM systems offers a unique set of features and benefits, so it's important to consider your dealership's specific needs and goals when choosing a CRM system. In the next section, we'll discuss how to choose the right CRM for your dealership.
How to Choose the Right CRM for Your Dealership
Choosing the right CRM for your dealership is akin to selecting the perfect car. It's not just about the shiny exterior or the powerful engine, but also about the comfort, the fit, and the journey you plan to take with it. Here are some factors to consider when choosing a CRM for your dealership:
A. Consider Your Dealership's Specific Needs
- Size of Dealership: The size of your dealership can significantly influence the type of CRM you need. Smaller dealerships might require a more straightforward, user-friendly system, while larger dealerships might need a CRM with more advanced features like detailed analytics, multi-location support, and extensive integration capabilities.
- Budget: CRM systems come at various price points, with costs varying based on the number of users, the complexity of features, and the level of customer support. It's essential to consider your budget and compare it against the CRM's features and the value it offers.
- Specific Needs: Every dealership is unique, with its own set of needs and challenges. Maybe you're looking to improve your lead management, or perhaps you need better inventory tracking. Identify your pain points and ensure the CRM you choose addresses these needs.
B. Consider the Future Growth and Scalability of the CRM System
Just as a car needs to perform well on both city streets and highways, a CRM system should be able to handle your current needs and scale with your business as it grows. Here's what to consider:
- Scalability: As your dealership grows, you'll likely need to add more users to the CRM, integrate with additional systems, and require more advanced features. Choose a CRM that can scale with your business and won't require a complete overhaul as your needs evolve.
- Adaptability: The automotive industry is constantly changing, and your CRM should be able to adapt to these changes. Whether it's new sales strategies, changes in customer behavior, or advancements in technology, your CRM should be flexible enough to adapt.
- Support and Training: As your team grows and changes, you'll need ongoing support and training from your CRM provider. Look for a provider that offers comprehensive support and training resources to help your team make the most of the CRM.
Remember, choosing a CRM is a strategic decision that can significantly impact your dealership's success. Take the time to do your research, consider your options, and choose a CRM that's the right fit for your dealership's journey.
Conclusion
Throughout this article, we've navigated the various aspects of CRM systems, highlighting their significance in inventory management, customer segmentation, lead management, system integration, and the provision of insightful analytics. These features, tailored to the unique needs of automotive dealerships, underscore the transformative impact a CRM system can have on your business operations.
Whether you're operating a small dealership with a local focus or managing a large-scale operation with multiple locations, the CRM system you choose should be capable of scaling and evolving with your business. It should be seen not merely as a tool but as a strategic investment that can yield significant returns in the form of improved customer relationships and increased sales.
As we conclude, it's crucial to reiterate that implementing a CRM system or upgrading your current one is not a decision to be taken lightly. It requires careful consideration of your dealership's specific needs, budget, and long-term growth plans. However, the benefits of a well-chosen CRM system are clear: improved operational efficiency, enhanced customer satisfaction, and ultimately, a stronger, more successful dealership.
