If dealership inventory management is your biggest problem, you don’t have many problems. Every retailer in America has to deal with this issue—whether it is selling cars, blue jeans, or pie. Your inventory is the key to your success, and that’s a retail issue not unique to the automotive industry.
General Motor’s Standard for Excellence (SFE) program will require GM dealerships that do not have a business development center (BDC) to open one in 2016. GM is requiring this mostly because a BDC makes good sense for any dealership—yours included. The purpose of a BDC is to generate business. The
A smooth-running dealership has a 100% absorption rate through its service drive. No dealership I know of runs that smoothly, however. Most fall into the range of 60% to 80%. The obvious question then becomes: How can a general manager increase traffic through the service drive? The answers are as