How Good is Your CRM Solution? Your Customer Retention Rates Can Tell You
Good or Bad CRM?
When it comes to managing customer relationships, information is your biggest (not-so) secret weapon. The technology available today gives you access to an unlimited database where you can store infinite amounts of information. There is a lot of technology out there that your Powersports dealership can use to its advantage, but few resources will have as much value as your CRM platform. When you have the best tool for customer relationship management, you’ll have the best chances at success with customer retention rate.
If your CRM is lacking, you’ll know. Typically, you’ll know because customers will slowly fade into the background and often never return for a second purchase, for one reason or another. You'll know because people are unsubscribing from your marketing campaigns because they’re intrusive or just not engaging. You’ll know because you don’t have the dynamic, seamless transaction from start to finish that today’s customers demand.
BREAD & BUTTER
Customer retention is the bread and butter of success for Powersports dealerships. However, it can also prove to be one of the most elusive elements for some. Fortunately, there are a lot more resources to help today than ever before. One of the biggest assets is your CRM platform.
How to Check Customer Retention Rate
If your CRM tool has integrated analytics, you’ll be able to pull up customer reports of all kinds. If you’ve chosen a custom dashboard, you can even create your own custom reports to help you improve your marketing efforts. Regardless, there will be a report that tells you all about how many transactions customers have had, how often they frequent your dealership, and even whether they have service work done or refer their friends and family to your business.
HOW MANY ARE RETURNING?
Use this report information to find out how many customers are returning to your dealership for a second unit purchase. Accessories and add-ons are great. Service appointments are definitely a bonus. However, you still have to move new units. If you can do it through retention, you’ll spend less than you would on generating new leads, which means you can profit more. Once you know where you stand, you can find out why you’re missing the mark.
If your customer retention rate isn’t where you want, check your CRM platform. A lot of times, it’s lacking in areas that affect your ability to give customers the efficient, streamlined transaction experience that they desire. With a few changes, you can fix that and be back on track for success.