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Double your warranty sales

Car Dealer Magazine by Car Dealer Magazine
March 26, 2008
0
Home News

rac.jpg

TAKING a structured approach to selling used car warranties can help dealers to typically double sales penetration, according to RAC Warranty.

 

Research by the company shows that where a programme of training in warranty sales is introduced and it is built into a step-by-step used car sales process, results improve dramatically and sales typically double.

 

Ian Simpson, sales and marketing director, said: ‘Too often, warranties fall down the list of priorities for a sales person when a car is being sold but taking a structured approach that gives warranties a definite place in the sales process has a definite impact.

 

‘This is not rocket science but simply a matter of dealers ensuring that their sales staff have an understanding of warranty products, how they benefit customers, their place in the practice of selling a used car and that incentives are provided.’

 

Simpson added that while a doubling of sales in these instances was a typical result, much more dramatic outcomes had also been seen by the company, including a car supermarket that increased warranty penetration by 70 per cent.

 

He explained: ‘We know that when warranties are sold in this structured fashion that sales increase almost without exception by a very worthwhile amount, providing valuable additional revenue for dealers, incentives for their staff and a safety net for customers.

 

‘With the launch of RAC Warranty, we have gone to some length to ensure that we have a support programme in place for dealers that will help them achieve these objectives, and we are seeing more and more of our customers taking advantage.’

 

Dealers who want to find out more about RAC Warranty should call 0208 869 7155.

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