The Untapped Power of Parts Sales
Car dealerships usually make most of their money from selling vehicles. While selling cars is important, parts and service departments are actually where dealerships can make a lot more money in the long run. In this chapter, we’ll look at how parts sales, especially online, can help dealerships make more money, rely less on car sales, and stay ahead in the market.
Why Parts and Service Matter for Making Money
When it comes to selling cars, dealerships don’t always make a lot of money because of rebates, discounts, and competition. But parts and services can bring in a lot more profit. This is because they have higher profit margins and keep customers coming back for more.
- Higher Profit: Dealerships make much more money on parts and services than on selling cars. For example, while they might only make 5-10% profit on a car, they can make 40-50% or more from parts and services.
- Steady Income: Parts and services provide ongoing sales that don’t depend on car sales or the economy. People who buy parts or get services for their cars often keep coming back for more repairs, parts, and even to buy a new car in the future.
- Keeping Customers Loyal: Offering parts and services helps build strong relationships with customers. When customers return for maintenance and repairs, dealerships can keep them coming back for years, which means more money in the long run.
Why Selling Parts Online is a Great Idea
Even though parts and services are important, many dealerships still rely on people coming to the store or calling to order parts. This can limit how many people see what they have to offer. But with online sales, dealerships can reach many more customers and increase their sales.
- Reach More People: An online parts store lets dealerships sell parts to anyone, anywhere, anytime. This means customers can buy parts whether they live nearby or in another state.
- Lower Costs: Selling parts online costs less than keeping a physical store open. Without the need for rent, utilities, and staff for a physical shop, dealerships can save money and make sales more efficiently.
- Streamlined Operations: E-commerce platforms, like RevolutionParts, help dealerships manage inventory, process orders, and provide customer service easily. This saves time and effort so they can focus on growing their business.
- Valuable Data: Online parts sales give dealerships access to useful information about what customers want. This helps them manage inventory better, market smarter, and make more money.
- Better Prices: With an online parts business, dealerships can offer discounts and competitive prices. Customers can easily compare prices online, which encourages them to shop and buy from the dealership.
How RevolutionParts Helps Dealerships Succeed Online
To make the most of online parts sales, dealerships need a solid platform that helps them list, sell, and deliver parts. Platforms like RevolutionParts provide everything dealerships need to succeed online, making it easy for them to grow their parts business.
- Complete Solution: RevolutionParts offers dealerships a ready-to-use platform for selling parts online. It includes website design, e-commerce tools, parts catalog management, and payment processing, making it easy to start selling online.
- Works with Dealer Management Systems (DMS): RevolutionParts connects with dealership systems to show real-time inventory information online. This keeps everything running smoothly and reduces errors.
- Mobile-Friendly: RevolutionParts is designed to work well on mobile devices, making it easier for customers to shop for parts from their phones or tablets.
- Marketing Tools: RevolutionParts provides marketing tools to help dealerships attract customers. They can run targeted campaigns, offer discounts, and improve their search rankings online.
- Easy Shipping: RevolutionParts helps dealerships handle shipping more efficiently, offering faster delivery times and real-time tracking to keep customers happy.
A Simple Guide to Starting an Online Parts Business
Starting an online parts business may seem tough, but it’s simple when you break it down into steps. By using a platform like RevolutionParts, dealerships can follow these easy steps:
- Check Your Inventory: Look at your current parts to see which ones are in high demand. These parts are the ones that will do well in an online store.
- Choose the Right Platform: Pick a platform like RevolutionParts that offers all the tools needed to sell parts online.
- Set Up Your Online Store: Customize your store’s look to make it easy for customers to use. Add product details, images, and prices so customers can shop easily.
- Optimize for Search Engines: Use keywords in your product descriptions and make sure your website is easy for search engines to find. This will help drive more traffic to your store.
- Create a Shipping Plan: Set up a process for packing and shipping orders. Offer different shipping options, including fast delivery.
- Start Marketing: Promote your online store with social media, emails, and ads to attract customers and boost sales.
- Track Your Progress: Keep an eye on your sales, customer feedback, and website data. Use this information to improve your store and make more sales.
Conclusion
While selling cars is the main business for most dealerships, parts and services are where the real money is. By starting an online parts store, dealerships can reach more people, earn more profit, and keep customers coming back for years. Platforms like RevolutionParts make it easy to get started with online sales, and by following the steps outlined here, dealerships can unlock a new source of revenue that helps them grow and succeed.
