Modern car dealerships staffing - daveyK_UK
I am currently sat in a modern car dealerships waiting a service and I can’t get my head around the amount of staff.

So far I’ve worked out there are 5 sales staff, 1 senior sales staff, 2 people working the servicing and repairs department, 1 finance manager, 1 receptionist, 4 other people who I’m not sure what they do, 1 chap who seems to be the full time valet and cleaner, plus all the technicians, mechanics, etc in the back.

And yet there are no customers, only me in the waiting are.
No one is using the phones to find sales, they seem to be waiting for mug punters to walk through the door.

Respectfully, why do dealers need such large staff?
I understand it’s March plate change but I don’t see any 23 plates and my chat with one of the sales staff confirmed all the 23 plates have been picked up.

Mind you, on current new car margins, they can afford to hire and entire army of staff.
Modern car dealerships staffing - corax
4 other people who I’m not sure what they do,

They do the listening to the radio.

Modern car dealerships staffing - gordonbennet

That's what your £100 +vat or more an hour workshop labour rate is covering, those glass palaces don't come cheap.

If anything like too many places of work these days, each productive person as it were will have one or maybe several persons managing them, this became too obvious during the recent lockdown farce, the people who actually worked on site all working normally, multiple layers of pen pushers nowhere to be seen (working from home :-), everything carried on fine without the PPs there, if anything production was more efficient without the daily 'meetings' routine and various interferences.

Now the run on US banks has started, maybe things are about to be realigned, this year could be an interesting one.

Modern car dealerships staffing - Chris M

"That's what your £100 +vat or more an hour workshop labour rate is covering, those glass palaces don't come cheap."

Have a gander at these prices:

www.honda.co.uk/cars/owners/repairs.html

Make sure you're sitting down when you get to the Civic 1.0L Timing Belt :)

Modern car dealerships staffing - Halmerend
£1,700 for a 1.0 litre Civic timing belt. I wonder what percentage will have that done in line with the manufacturer’s recommendations. My son’s is 4.5 years old.
Modern car dealerships staffing - Engineer Andy

That's what your £100 +vat or more an hour workshop labour rate is covering, those glass palaces don't come cheap.

If anything like too many places of work these days, each productive person as it were will have one or maybe several persons managing them, this became too obvious during the recent lockdown farce, the people who actually worked on site all working normally, multiple layers of pen pushers nowhere to be seen (working from home :-), everything carried on fine without the PPs there, if anything production was more efficient without the daily 'meetings' routine and various interferences.

Now the run on US banks has started, maybe things are about to be realigned, this year could be an interesting one.

It's partly the reason why the likes of Aldi can sell you a good deal of its products for about 50-75% of similar quality ones from the 'big four' supermarkets: staff are specificially taught / told to multi-task / find some productive work to do, rather than sit on their hands chatting or, in some lines of work, clock off and go home / the pub etc when they 'work docket' for the day is done.

In most lines of business, eventually a newcomer will 'burst the bubble' by doing things a lot differently / better and either take most of the competition's clients or enough that a good proportion of the rest take notice (especially at falling revenues/profits) and copy them, albeit grudgingly.

A shame that blueprint rarely gets applied elsewhere, whether in business or the public sector.

Modern car dealerships staffing - FP

I can't remember when I last used a main dealer for work on a car of mine - decades ago, probably. I bought my current machine from a main dealer and returned once to ask a question about it - and that was it.

For servicing etc. I've used a local independent outfit for years and I trust them totally to do the work properly, give me good advice and charge me fairly. They are two guys, father and son, and all the paperwork, booking etc. is handled by the son.

Modern car dealerships staffing - Andrew-T

I bought my current machine from a main dealer and returned once to ask a question about it - and that was it.

Wasn't your phone working ? :-)

Modern car dealerships staffing - FP

"Wasn't your phone working ?"

There was a little more to it than you know. Sometimes face-to-face is better.

Modern car dealerships staffing - mcb100
Inevitably it’s aftersales who are the busiest in a dealership, and service advisors (front desk) in particular.
Having worked with them, even when they haven’t got a customer in front of them they’ll be pricing jobs, chasing warranty, taking incoming calls, chasing parts departments, reviewing technicians’ customer videos, ringing customers to advise on any additional work and ‘come and collect’ calls and a myriad of other activities oblivious to customers.

Second up is usually the workshop controller (foreman of old), who’ll be allocating work, keeping work flowing through the workshop and a team of technicians happy(ish). As well as constantly being on the phone from sales asking why a used car hasn’t yet been prepped for sale.

Sales, yes there may appear to be slack in the system, but it only takes one walk-in on the pitch, one appointment and one handover and they’re potentially tied up for the next couple of hours.
Very little point in cold calling in the morning as people are at work. Beloved of sales staff universally is ‘prospecting’ - ringing customers whose finance has reached a point at which a new car becomes financially viable. Better doing that later in the day/evening.
Also bear in mind that a sales exec’s basic salary can be very low, they earn on cars, finance and insurance products. They are, to all intents and purposes, self-employed. And they only get paid on handover, not orders. So take an order today, get paid for it in nine months.

Edited by mcb100 on 14/03/2023 at 10:45

Modern car dealerships staffing - Steveieb

The dealer staff spend and inordinate amount of time denying warranty claims on cars that have failed out of warranty.

This process can take up to three months as I have learnt with two recent catastrophic failures that I have heard about .

That is unless you are lucky enough to own a Lexus or Toyota where by and large the dealers give you the benefit of the doubt . And IMHO this next clip will help you decide to put this maker at the top of your list when it comes time to buy your next car.
watch John Cadogan , a bit long winded but makes good sense.

https://www.youtube.com/watch?v=u1UfDOLk8ic&t=1918s&ab_channel=AutoExpertJohnCadogan

Modern car dealerships staffing - mcb100
It’s ultimately the manufacturer, not the dealer, that authorises warranty claims.
The dealer will get audited periodically by the manufacturer on warranty work carried out, and if it’s not within the terms of the warranty then the dealer won’t get paid for parts & labour by the manufacturer.
Modern car dealerships staffing - RT
It’s ultimately the manufacturer, not the dealer, that authorises warranty claims. The dealer will get audited periodically by the manufacturer on warranty work carried out, and if it’s not within the terms of the warranty then the dealer won’t get paid for parts & labour by the manufacturer.

Yes - BUT - the effort that the dealer puts in to "progress" a warranty claim with the manufacturer makes a big difference as to whether the manufacturer accepts it - even more critical if the car is just out of warranty and a goodwill gesture is being requested.,

Modern car dealerships staffing - mcb100
Which, in turn, adds to the workload of the service advisor/service manager/warranty admin person (someone else customers don’t see behind the scenes).
Sometimes you have to choose your battles.
Modern car dealerships staffing - Metropolis.
The disappointment for me comes when I know more about the car they are selling then the salesman/woman does. They might as well be working in a clothes shop for all the car knowledge they seem to possess. Puts me off. No offence intended to people working in clothes shops. I would just rather buy from a fellow car nerd.
Modern car dealerships staffing - mcb100
They don’t need to be walking encyclopaedias about the intricacies and workings of cars. They need to be able to establish a customer’s needs and wants (qualifying the customer) and then match benefits (not features) to the customer.
I’m always happy to see a newcomer to a sales team come from a customer facing role outwith of the motor industry, and have an interest in people rather than an interest in cars.
They can be trained on features and benefits, but it’s more difficult to teach soft skills.
Modern car dealerships staffing - sammy1
They don’t need to be walking encyclopaedias about the intricacies and workings of cars. They need to be able to establish a customer’s needs and wants (qualifying the customer) and then match benefits (not features) to the customer. I’m always happy to see a newcomer to a sales team come from a customer facing role outwith of the motor industry, and have an interest in people rather than an interest in cars. They can be trained on features and benefits, but it’s more difficult to teach soft skills.

They need to establish the customers needs, Yes this would explain why the ever increasing car buying public who know little about cars are still being sold diesels despite their annual mileage being 3k a year. I am sorry but I believe that the car salesman is only thinking of himself and is going to sell you anything to earn a higher commission. This is true I might add of just about anything you buy that has a hidden profit margin.

Modern car dealerships staffing - RT
The disappointment for me comes when I know more about the car they are selling then the salesman/woman does. They might as well be working in a clothes shop for all the car knowledge they seem to possess. Puts me off. No offence intended to people working in clothes shops. I would just rather buy from a fellow car nerd.

The disappointment for me comes when I know more about the car I've bought than the service manager, the service receptionist and service technician all put together. Decades ago I gave up expecting car sales staff to understand the product they were selling and treat them all as "order-takers" - disrespectful maybe but practical.

Modern car dealerships staffing - daveyK_UK
Well I had a service and 2 new good brand tyres fitted for £360 all in.
The same tyres in ATS Euromaster and kwikfit , I was quoted £225 and £238 - so effectively it was a £135 service which these days is good for a dealership (they actually quoted a special offer £160 on the phone but factoring in the price of the tyres I wanted, I got to £135).



Modern car dealerships staffing - Andrew-T
The disappointment for me comes when I know more about the car they are selling then the salesman/woman does. I would just rather buy from a fellow car nerd.

I suspect they find that not many punters ask any difficult questions - probably more about what it is going to cost them. If an awkward customer like your good self comes along they can always hand you on to the boss ....

Modern car dealerships staffing - RT
The disappointment for me comes when I know more about the car they are selling then the salesman/woman does. I would just rather buy from a fellow car nerd.

I suspect they find that not many punters ask any difficult questions - probably more about what it is going to cost them. If an awkward customer like your good self comes along they can always hand you on to the boss ....

That's another thing that intensely annoys me - when you get to the point of negotiating the price, the sales person has no authority and has to keep running to their boss to get a better offer - if they really haven't got the authority, they're just wasting my time, better to get me an appointment with their boss - if they have got authority they're just taking the mickey.

Modern car dealerships staffing - Steveieb

Is there any evidence that the sales manager can listen in to the conversation of the sales discussion so they are better placed to close the deal once the salesman arrives in their office ?

Modern car dealerships staffing - mcb100
Given the state of most dealerships’ IT provision (next time you’re in a showroom, see if they still have 4:3 ratio monitors, that’s a dead giveaway), wireless listening devices would just blow their minds.
Probably also illegal.
Modern car dealerships staffing - Engineer Andy

Is there any evidence that the sales manager can listen in to the conversation of the sales discussion so they are better placed to close the deal once the salesman arrives in their office ?

A really, knowledgable, good (and honest) salesperson would be the one that admits that the product they're selling doesn't match your needs and recommends you visit the dealership (not in their franchise) down the road to by car X. Now THAT would impress me.

Too often I've been given either the wrong information because they're 'winging it' or they deliberately lie in order to get a sale or put me off buying another product. I always give them a chance to be honest first.

As much as I like cars, I could never be a car salesman, or any salesperson for that matter, except for a product / firm that is really good in all respects and sells enough so they wouldn't be worried about losing the odd sale here or there if the product(s) weren't quite matching a client's needs and an alternative (including keeping their existing and repairing it) was more appropriate.

Modern car dealerships staffing - mcb100
‘ That's another thing that intensely annoys me - when you get to the point of negotiating the price, the sales person has no authority and has to keep running to their boss to get a better offer - if they really haven't got the authority, they're just wasting my time, better to get me an appointment with their boss - if they have got authority they're just taking the mickey.’

It’s an old school technique to present the sales exec as being on your side, helping you to get a better deal from their manager. Good cop/bad cop.
Some sales managers earn the nickname ‘pilot light’ because they never go out of their office.

Edited by mcb100 on 14/03/2023 at 16:12

Modern car dealerships staffing - movilogo

We are tiny bunch of people who are interested in technical things about cars. Majority of public buys a car like white goods.

Salespeople nowadays don't sell cars, they sell finance deals. Hence, they don't care learning about cars.

Modern car dealerships staffing - Adampr

Salespeople are paid largely on commission so it's not a huge overhead to have them sitting around polishing their pointy shoes.

As I understand it, they can close a deal. The reason they go to see the sales manager is to get advice on how to get more out of you.

At my local (Seat) dealer, the sales manager doesn't have an office and all conversations are had right in front of you (more often with you). I keep going back there because they don't waste my time with the whole tedious charade.

Modern car dealerships staffing - Andrew-T

As I understand it, they can close a deal. The reason they go to see the sales manager is to get advice on how to get more out of you.

If that were true they shouldn't need to do it more than half a dozen times as there can't be that many varieties of advice - unless they are poor learners of course. I bet it is so they have an excuse to defeat the concessions the punter has asked for - boss says no .....

Modern car dealerships staffing - Metropolis.

Although I'd rather be dealing with a car nerd, in reality I'm not expecting the salesperson to tell me how many thou the spark plug gaps should be. I'm talking basic things, like a saleswoman insisting that the car I was driving was a diesel (it was a petrol), or separately at a completely different brand, another confidently asserting that "these models don't come with 7 seats you'd have to go for a different (much more expensive) model", at the end of the test drive I then removed the rear boot mat revealing the 6th and 7th seats.

I know some brands send their sales staff on training days to get to know the vehicles they're offering. Cars are quite a large outlay for most people, salespeople should do better. If they are clueless as to what the fuel of the car is, it's probably out of the question for them to be in a position to advise a person doing short journeys to put an order in for petrol.

Pro-actively help a customer make the right choices, even if it means a slightly smaller profit in the short term, and they're more likely to develop loyalty and come back to you. Treating them like a short term cash machine will only work once, then they're gone.

Modern car dealerships staffing - Falkirk Bairn

I have not bought a car for 10 years, not been in a franchised garage for 5 years other than for odds and ends.

Just over a year ago a son's was due a service. He had a voucher for the 1st service as a part of the car deal. A Glass Palace - the site was well above road level and, although I had passed it before, I never realised the extent of the site - you enter from the road at the front and exit on to another road at the back!

Arrived at garage, chap at carpark pointed direction to take the car. Greeted by a young woman on getting to the door who walked us to reception. We were told by receptionist to sit at a table and a member of the service staff would come and see my son,

2 mins passed and a woman came over, but she just asked for tea/coffee & some pastries etc.

After 5 mins the service woman came - they had all the details as he had bought the car there but she went through all details and then said it would be £400+ (effectively an oil / filter change &. a look around the car)

When booking the service he had spent some 2 hours over 2 days explaining the "car deal" and the free service!. Which they eventually agreed to honour.

Fortunately he had the Sales Promotion Brochure - the staff said they had no knowledge of the Free Service offer as the all sales staff, finance manager & general manager were all new - over 12 months period

She went off to check and 5 mins later came back and agreed the cost would be £0 - unless there were charges for extr bits - wipers, washer fluid ...... The son had to produce his Credit Card for clearance - £1 would appear on his CC but drop off if there was subsequently no charges.

The "free hire car" for the day involved another woman, checking all the details was required again which necessary I admit. I think it was 30/40 miles free petrol but charges for mileage above that.

The car was serviced and there was no charges levied. In total he spoke to some 7/8 people that day.

The showroom /service reception had staff milling about in the morning & late afternoon - all that was missing were customers - we saw roughly 3 or 4 near the service reception but did not see any walking around looking at cars or sitting of the opposite side of a sales desk - it wasn't a Monday but a Friday!!

Modern car dealerships staffing - Steveieb

A work colleague of mine bought his MB direct from the factory.

When it came for a service in Germany he arrived at the service reception where he was introduced to the technician appointed to do the work.

When it came to collect the car the arrangement was in reverse and the technician was called to reception to answer any questions the customer had to raise.

Seems a very sensible approach !

Modern car dealerships staffing - Metropolis.
I cant help worrying when free services are involved, whether they actually service it or just stamp the book..
Modern car dealerships staffing - Engineer Andy
I cant help worrying when free services are involved, whether they actually service it or just stamp the book..

In the same category as 'free health checks' - amzing how many faults (requiring nice expensive parts or replacement fluids) they will pick up - especially tyres, brake parts and an A/C top-up. Strange how everyone else misses them...and how often it happens not long after a full service!

Modern car dealerships staffing - Metropolis.
Similarly, amazing how when the warranty is at their expense, they all do that Sir!
Modern car dealerships staffing - Steveieb

The worst case of “They all do that sir” must be the MB 4wheel drive “ Crabbing “ issue !

Modern car dealerships staffing - Glenn 42

I bought my Skoda from a family dealer with a smallish showroom by modern standards. At the front end, the dealer employs two sales executives, a sales manager, a receptionist and a service manager. Also there is a driver who takes you into town when your car is being serviced. All are total professionals, treat you with respect and are honest.

Contrast this with the plate glass franchises where as soon as you walk in, you're browbeaten by an army of sales staff and where after sales care is often rubbish.