IN an uncertain market, when it comes to increasing revenue, car dealers are being forced to look beyond traditional income streams to boost profit margins.
With pressure to turn around a quick and sizeable profit, those keen to stay one step ahead of the competition are offering more products and add-ons. Whether at the time of purchase or during the ownership cycle, add-ons can be useful profit generators.
But it’s not just the likes of paint protection and extended warranties that offer extra sales potential to dealers. Stolen vehicle recovery (SVR) expert TRACKER is urging car retailers to look at alternative revenue streams to help boost profit margins, putting the spotlight on tracking devices as the next big sales opportunity. Increasing consumer demand for vehicle tracking systems offers dealers an opportunity to tap into this market and offer award-winning SVR technology from TRACKER to reassure their customers about the security of their purchase.
Owners of vehicles installed with TRACKER SVR technology have peace of mind that should their vehicle be stolen, the likelihood of recovery within 24 hours is high. As the market-leading provider of SVR systems for 20 years, TRACKER has sold more than one million tracking units in the UK alone and counts every police force across the country
as a partner. Ninety-five per cent of vehicles fitted with a TRACKER are returned to the rightful owner and 86 per cent of these are returned within 24 hours.
The latest figures from TRACKER reveal that more than £12.5 million worth of vehicles were recovered in 2012 by the police as a result of TRACKER technology. This clearly demonstrates the added-value that offering tracking devices can bring to customers.
David Wilson, TRACKER’s sales and service director, said: ‘Where other avenues of optimising profit may have been exhausted, stolen vehicle tracking systems represent a rich vein of opportunity that has been untapped – until
now. We are leading the charge in encouraging car dealers to realise the potential in offering SVR units to customers.
‘We have made it easier for dealers to sell TRACKER units, and we want to send out one key message for them – there is money to be made. We are keen to talk to dealers across the board that aren’t aware of this profit opportunity, as we can offer something that is unique – not only the traditional margin, but also a percentage of the subscription that dealers collect for us. It is now just as profitable for a dealer to sell a TRACKER as it is for them to sell paint protection or GAP products.’
Pete Walker, group after sales manager at The Westover Group, which sells TRACKER units, says: ‘As one of the largest privately-owned motoring groups in the south of England, we feel a successful dealership is one who caters for all the customers’ needs. By offering all the necessary add-ons like tracking units, we are able to ensure the customer stays with us through the selling process, allowing us to provide a thorough yet convenient service. Our sales executives deal directly with the customer and ensure that the units are fitted to the highest dealer standards.
‘The profit generated by the sale of TRACKER units has been a welcome addition to our standard revenue stream. The relationship between the two businesses goes back a number of years now and with a dedicated account manager, everything is very easy to facilitate which is always beneficial to customers. The brand name speaks for itself and the majority of customers think of TRACKER as the name for SVR.
In fact, in April this year we fitted our 250th unit. For us selling TRACKER units is a no-brainer and an excellent way to sustain growth particularly in such an uncertain retail market.’
Wilson continues: ‘It’s not just the profit potential that makes TRACKER attractive, car owners truly want this product. Car thieves have never been so prolific or sophisticated, using various methods to counteract even the most resilient security systems. If a dealer can offer a way to protect their assets, it will only strengthen the relationship and keep customers coming back.’
