Dealership Inventory Management Tips
When you are trying to manage your dealership inventory, it can get stressful, difficult, and faced paced depending on how many vehicles you have. There are always risks and challenges to be had like most things as well. Here are some Dealership Inventory Management Tips to help keep your inventory in good shape or to get it there. There are lots of things you can do and watch out for to make sure you do not have a surplus of something that does not sell. After all, inventory is only valuable if it is moving.
Challenges to Dealership Inventory Management
Keeping the perfect amount of inventory can be difficult and includes risks as you never know what can happen during the year. It is suggested that you turn over your new vehicle inventory eight times a year which means keeping a 60-days’ supply of new vehicles at your dealership while having 15 to 30 days’ supply on order. The thing that can bring down this goal is sluggish sales, unable to select the right vehicles, and changing market preferences. If you start to have excess inventory, you can start to run into many problems including the cost of lost opportunities, lower margins, and more. However, there are plenty of Dealership Inventory Management Tips that you should be aware of.
Dealership Inventory Management Strategies
There are many things you can do to help manage your inventory. There are a huge selection of software packages out there that help manage inventory for you and some even may have online marketing functions. At PGI, we have Inventory Online Solution that creates engaging display ads for every car on your lot. It integrates with existing sales process of your dealerships as well to make things easy. It is big to know your market as knowing your market helps you realize what you need in your inventory.
There are plenty of things you can do and be aware of to help meet your goals. Be mindful of historical trends and know what times of the year what sells well so you are prepared. Create and monitor benchmarks right after you analyze your dealership’s historical trend. Rotate your promotion vehicles and don’t keep the same vehicles on the roadside or in your showroom. Provide sales incentives and more. All these tips can help keep your inventory management smooth. These tips can help you stay afloat when it comes to managing your inventory. The worst thing you can do for your company is drive it down because of bad inventory. If you follow these simple Dealership Inventory Management Tips, you will have a successful inventory that will make everything easier.
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