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BDC Trackers: Benefits and Challenges for Auto Dealerships

Automotive Industry
BCP Editorial

BCP Editorial

20 Dec, 2023
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As today’s automotive industry rapidly evolves, staying at the forefront of performance metrics is essential. In this fast-paced landscape, a business development center (BDC) with an integrated BDC tracker can offer dealerships the boost they need. BDC trackers empower dealerships to strategically enhance their performance, providing a competitive edge in an industry where personalization and efficiency make all the difference.

As with most technologies, BDC trackers have benefits and limitations. While the transformative potential is significant, dealerships should consider whether the integration of a tracker aligns with their needs and objectives prior to making the investment.

What is a BDC?

In the world of auto sales, BDC stands for “business development center.” Designed to enhance business for a dealership, a BDC can best be described as the back office of a dealership’s sales and service departments.

Auto BDCs take a proactive approach to nurturing leads at all stages of the sales funnel, steadily progressing them toward the final sale. Staffed by sales-oriented, knowledgeable BDC agents who are skilled at engaging people and building relationships, they can either be in-house or outsourced. What’s more, an auto BDC is responsive in real-time, around-the-clock, ensuring that a customer never gets left hanging.

The Importance of Auto BDCs

Auto business development centers take on much of the business legwork, freeing up the sales team to focus on the showroom and personalizing the customer service experience to ensure satisfaction and retention.

Auto BDCs can be leveraged to spearhead:

  • 24/7 prospecting and lead management
  • Personalized, consistent customer communication
  • Appointment scheduling, service reminders, and no-show follow-ups
  • Internal dealership communication
  • Customer satisfaction surveys, loyalty, and referral programs

Ultimately, BDCs for auto sales enable dealerships to not only manage but optimize customer experience, keeping their customers engaged throughout the lifecycle, from initial interest to the final sale and beyond.

The end result is a satisfied customer who is loyal to the dealership, returning for regular service and future purchases, and referring friends and family. A happy customer helps expand the dealership’s customer base and improves its brand reputation, so it’s a win-win scenario.

What Is a BDC Tracker?

While a BDC team brings the human touch to customer engagement, a BDC tracker maximizes the BDC’s potential with technical support designed to streamline and improve its performance.

A central BDC tracker organizes and analyzes a dealership’s data all in one place. Tracking lead management, customer interactions, and follow-up processes helps keep the BDC team informed, drives efficiency, and improves overall dealership performance.

The Benefits of BDC Trackers

If a dealership doesn’t have a clear understanding of the metrics related to their BDC operations, chances are they aren’t getting the most out of them. A BDC tracker delivers data that eliminates the need for guesswork when making strategic decisions. It empowers a dealership to assess, refine, and optimize performance, resulting in increased conversions, improved customer satisfaction, heightened efficiency, and a stronger brand.

Understanding what resources need to be shifted and what improvements need to be made is critical for success. Here are some ways a BDC tracker can help:

Track Performance and Motivate Staff

BDC performance tracking analyzes KPIs such as call answering rates, response times, appointment conversion rates, close rates, and satisfaction scores. BDC tracker experts can pinpoint what types of sales are most likely to convert, and where extra attention or resources should be channeled to optimize dealer performance.

Monitoring how individual staff performance affects these numbers can help identify areas where service needs improvement. One great approach to tracking performance is to incentivize improvement by setting goals that, when met by each team member, bring reward and recognition.

BDC trackers help staff know where they stand in their professional growth and help managers know when to offer praise for meeting their goals or constructive criticism if they fall short. It’s a transparent approach that holds staff accountable while ensuring they feel valued. And when staff feel valued, they become even more motivated to succeed, contributing to the collective success of the dealership.

Engage in Proactive Problem-Solving

BDC trackers centralize data, so auto dealerships can analyze key performance metrics that identify areas for improvement, before they escalate and become unmanageable. From appointment scheduling to service inquiries, interactions, and follow-up, a BDC tracker can be a proactive tool to help dealerships make informed decisions and data-driven adjustments aimed at better service and customer satisfaction.

By addressing issues early on, a dealership can prevent customer dissatisfaction and maintain its desired level of service. For example, a tracker can analyze metrics that indicate a decline in response times. Rather than wait for a drop in customer satisfaction, the dealership can proactively implement BDC training or allocate additional resources to handle peak inquiry times.

Grow Your Numbers

A BDC tracker enhances customer engagement and lead management, fostering dealership growth through data-driven insights. It ensures efficient lead management and automates follow-ups for consistent engagement with leads and increased chances of conversion. In addition, a tracker facilitates customer retention with personalized communication, loyalty programs, and targeted campaigns.

Beyond customer satisfaction and sales, it offers insight into emerging auto industry trends, providing dealerships a competitive edge when exploring new markets.

The Challenges of BDC Trackers

While BDC trackers offer numerous advantages, it’s important to be aware of the potential challenges they present. Here’s what to consider when you’re looking into this technology for your dealership.

Technology Integration

Any new system may present challenges and disruptions until a team fully acclimates, and the initial setup of a BDC tracker is no different. It’s inherently intricate, requiring new users to navigate a learning curve and pay attention to detail throughout the implementation phase. This makes allocating ample time and resources key to ensuring a smooth setup and a seamless integration.

In addition, some BDC trackers lack the customization to adapt to unique workflows, and may fail to meet certain needs and objectives. Finding the right fit is therefore essential, as is ensuring that the BDC tracker fully integrates with a dealership’s specific operational support system (OSS) and CRM.

Cost Considerations

The financial implications of integrating a BDC tracker go beyond the initial purchase to include implementation and ongoing maintenance costs. For larger dealerships with a high volume of leads and customer interactions, a BDC tracker can help streamline processes and improve efficiency.

Smaller dealerships may have to consider whether such an investment, while potentially transformative, aligns with their scale of operations and is a justifiable expense. Ultimately, a dealership will need to evaluate their budget and weigh the costs of acquiring and maintaining a BDC tracker against the potential long-term benefits.

Staff Resistance

The implementation of a tracker may trigger resistance in staff who are familiar and comfortable with existing processes. Successful integration of a BDC tracker depends on the willingness of staff to embrace change and undergo training. Ensuring a smooth transition requires training and resources, as well as effective change management strategies and support mechanisms to help navigate staff resistance successfully.

Overcoming the Challenges of BDC Trackers

In today’s competitive landscape, the integration of a BDC tracker can help dealerships gain an edge. Not only will you be able to monitor your dealership’s progress, you’ll be able to focus on growth, customer retention, and operational efficiency like never before. Leveraging an outsourced BDC, like Better Car People, can help you overcome some of the challenges.

Better Car People uses proprietary technology to help you manage and optimize BDC operations. Our platform integrates with more than 40 CRMs and offers millions of unique templates. Every sales and service lead and response is tracked and recorded. And Daily Email Reports plus an intuitive dashboard give you a complete view of your dealership’s activities.

Want to see how our integrated BDC tracker can help optimize your BDC auto sales? Book a meeting with Better Car People today for a free consultation. We’ll help you find solutions to support your dealership’s long-term business objectives, so you can move forward with confidence.