Metrics and Strategies for High-Performing Dealership Teams
Every dealership has a team that’s eager to maximize Internet lead conversions, but they too often lack clear guidance on BDC lead handling practices and performance benchmarks.
Here are the industry standard metrics for Internet response time, close rates, and appointment set and show rates, as well as some tips on elevating your team’s performance.
The Top Lead Handling Questions for Dealerships
What’s the best Internet response time for car dealerships? (30 minutes or less)
The highest performing dealerships combine speed and quality in their BDC lead handling strategy.
They don’t limit themselves to only worrying about meeting their OEM’s 30-minute response time benchmark. They instead focus on understanding their customer and providing the best information possible.
No dealer can afford to ignore their response times. Making a customer wait more than 30 minutes creates too high a risk of your competition stealing their attention.
What’s a good BDC close rate for Internet Leads? (10% to 15%)
While we commonly hear that dealerships should be closing at 10% to 15%, in reality, you should be more focused on your particular store’s needs. If your team is closing Internet leads at 3.7% this year you shouldn’t try to match some advertised industry standards. Worry instead about improving from where you are now. Make your goal to be at 4.7% within 6 months and 5.5% within a year.
Don’t shoot for the performance of dealers who brag about their 17% close rates. Those numbers may be real, they may be doctored, or they may be made up entirely to ensure you feel worse about your team’s performance.
Look more closely instead at your team’s approach to handling your Internet leads.
The highest Internet close rates are earned by dealerships who have built a team with strong understanding of their leads, well-defined and enforced lead handling processes, and a focus on customer service that creates smooth transitions to your amazing showroom experience.
How can my dealership close more 3rd party leads? (Personalize your responses based on the source and type)
The first step toward growth with 3rd party leads is recognizing there are two types:
- Leads from outside sites like Kelly Bluebook, CarGurus, TrueCar, or essentially any website other than yours or your manufacturer’s. These typically have a VIN and Stock Number attached but that’s not guaranteed.
- OEM sourced 3rd party leads which typically land in your CRM with contact information and a generic vehicle of interest like “2025 Truckamax 4x2 Regular Cab”
If the lead is on a specific VIN, evaluate your team’s outreach. Are you fully merchandising that unit and delivering on the promises made by that third party website?
If the lead comes from your manufacturer and only mentions a vehicle line, make sure your team is offering a variety of information and vehicle options. Stay open minded.
These leads are submitted at all stages of the customer journey, so it’s critical to follow up for more than a day or two as they might buy 60 days later.
How well is your process keeping you in front of these opportunities while they continue to research?
Should a dealership use a clock stopper? (No, although after-hour autoresponders are necessary.)
A clock stopper (or auto response email) is an outdated practice which dealerships often use to satisfy the OEM response time mandates we mentioned earlier. They’re typically generic, acknowledge the customer’s request, and promise to follow up when the store opens.
The challenge is that you may only have one opportunity to engage your customer by email, and if the clock stopper is too generic you may have wasted that chance. Remember the first low value email you send may very well be the last one your customer reads.
(Many lead sources send their own confirmation emails, and your clock stopper can easily be the second or third email the customer receives)
Clock stoppers and auto response emails can be a best practice for handling leads that come in after hours.
The highest performing Internet sales teams recognize there is little value in using clock stoppers during business hours.
Real growth in Internet sales metrics comes from what your team does after a clock stopper goes out. How much attention are you paying to that work?
What are good dealership appointment metrics for Internet leads? (Set: 10% - 40%, Show: 40% - 80%, Close: 30-50%)
Your team’s appointment set rate for Internet leads should never drop below 10% and high performing dealerships have appointment set rates as high as 40%. Don’t over-emphasize appointment set rate though, as that can lead to the creation of soft appointments in the pursuit of inflated numbers.
Your Internet appointment show rate should be well over 40%. The best show rates come when customers get the information they need to trust your team, the appointment is set at a specific time, and a manager reaches out to confirm the plan.
Customers who show for their Internet appointments should deliver 30-50% of the time. Maximizing this metric requires cooperation between your Internet and Showroom teams, consistency in the information communicated, and a dedication to delivering the best customer experience in your market.
Tracking these dealership and BDC appointment metrics will identify problems where sales process coaching will help ensure your team’s rapid improvement.
What are the top 10 ways dealership BDC and Internet teams improve lead handling?
- Build your team, and distribute leads strategically
- Improve speed and quality
- Enforce proper CRM usage
- Understand your lead sources
- Discuss challenges and collaborate to overcome them
- Leverage expert BDC And Internet Sales training
- Follow up for longer than you think is necessary
- Use video
- Create a seamless transition from Internet to Showroom
- Utilize AI tools effectively
Partner with Maritz to boost your dealership’s Internet lead close rates
Our coaches at Internet Sales Coach are here to help your dealership win.
Maritz Internet Sales Coach is a sales process training for high-performing Internet and BDC teams. We consistently guide our dealerships toward:
- Hitting monthly sales goals
- Improving Internet close rates
- Upskilling staff with relevant and timely training
- Boosting employee retention and satisfaction
- Delivering the best customer experience in their market
Visit Maritz.com/train to meet with one of our coaches and start selling more of your Internet leads.