Advice for Automotive Dealers in 2018: Take a Tip From Retailers

A byline from my internship at UPS

The car industry is undergoing what could be its biggest transformation ever. Lines of code have joined engines and brakes as must-haves in a new car. This year could be the one that sees self-driving cars tested without hiccup. It would be easy to step back and marvel at this rapidly-changing space. But consumers still need to buy cars – ones they’ll be driving – and service existing ones.

What is a car dealer to do? Be transparent, efficient and smart – things the retail industry, which is steps ahead in its radical revolution – have already learned. Here are three tips for car dealers and service shops in 2018:

1. Be transparent: In the age of quick information accessibility, businesses must be clear with pricing, quality standards and services performed. Think of it like shopping for a shirt online: You know how much it will cost upfront. Car dealers must adequately communicate customers’ estimated repair time and cost. Once service is completed, customers should instantly receive a thorough explanation of what work was done on the car and how much each line item cost. An informed customer is happier and likely to return.

2. Be efficient: Today’s customers aren’t willing to wait around the repair shop. For that reason, you must train your workers and invest in technical education. If they are better equipped to identify problems, cars will spend less time under repair, leading to happier clients and more business. Face-to-face customer service will take the backseat as self-service kiosks and the internet become more advanced. Embrace this or risk being left behind.

3. Be smart: Today’s world doesn’t stop with the workday. Neither should you. Ensure that you’re able when customers need it. Expand your business hours, making service accessible for both early birds and night owls.

Behind the scenes, be working on your supply chain, perhaps the biggest task facing the industry. To be transparent, efficient and smart, businesses have to have a supply chain built for the new era. Retailers figured out that customers want their items immediately – and they demand knowing the cost down to the penny – and the automotive industry would be wise to follow.