Page 24 - April-May 2025

TRAILERTALK
Surviving Tough Economic Times: Strengthening

Customer Relationships, Inventory Management,

and Forecasting

Optimize Inventory Management
An oversized inventory can drain resources, while too little stock can lose
sales. To strike the right balance, analyze sales trends, seasonal demand
trends, and turnover data to adjust purchasing decisions. Consider using
demand forecasting and utilizing inventory management software.

Embrace Digital Transformation
Digital presence can become a lifeline when foot traffic slows, or
traditional marketing budgets shrink. Economic pressures accelerate
the need for efficient operations and broader reach:
• Utilize data analytics to gain insights into customer behavior,
market trends, and operational performance, informing strategic
In the face of economic downturns, commercial semi-trailer dealers decisions.
often find themselves navigating a challenging landscape of declining • Consider implementing cloud-based systems and automate
demand for new trailers, increased demand for late model used trailers, repetitive tasks to reduce operational expenses and improve
increased demand for leased trailers, increased operational costs, resource utilization.
fluctuating material costs, and tightening credit. However, with the • Upgrade digital marketing to reach more customers.
right strategies in place, dealerships can not only survive tough times • Implement online inventory management and e-commerce
but emerge more resilient and better positioned for growth. features to simplify the sales process.
Recessions and economic slowdowns are inevitable, but they don’t • Use your CRM system to track leads and automate follow-ups.
have to be catastrophic. For semi-trailer dealers, survival hinges on • Leverage AI and machine learning algorithms to analyze data,
agility, efficiency, and a renewed commitment to customer value. By optimize processes, and make informed decisions.
investing in relationships, diversifying income, embracing technology,
and managing resources wisely, your dealership can weather the storm Control Operational Costs
— and be poised to accelerate when the economy rebounds.
Being cost-conscious without compromising service is critical.
Scrutinizing every expense line becomes essential in lean times:
Strengthen Customer Relationships • Renegotiate contracts with suppliers, insurance providers, or
During economic uncertainty, relationships become even more critical. lenders.
In a market that is focused on price, personalized service can set a dealer • Invest in energy efficiency or facility upgrades that reduce utility
apart when budgets are tight and customers are seeking more value.
costs long-term.
• Cross-train staff to increase flexibility and productivity without
Focus on: expanding payroll.
• Proactively communicating with existing customers to understand
evolving needs. Monitor Industry and Economic Indicators
• Offering customized solutions, such as flexible leasing, financing Preparedness enables quicker pivots when market signals change.
plans, or maintenance packages. Staying informed allows for proactive strategy shifts. The NTDA
• Implementing loyalty incentives and referral programs to retain provides market data resources, including the quarterly NTDA Market
and expand your customer base. Outlook, Service Department Labor Hours Guide, and more as a benefit of
• Studies have shown that many fleet managers sometimes membership. Consider:
underestimate or fail to factor in all costs associated with • Tracking fuel prices, freight demand, construction trends, and
ownership, such as maintenance, repairs, and administrative other leading indicators that affect trailer purchases.
expenses. Dealers can help fleets understand their operational • Following government infrastructure spending as this often
costs by providing data analysis, promoting best practices, and signals increased transportation demand.
offering solutions for fleet optimization. This includes sharing data • Freight Transportation Research (FTR) offers dealers a monthly
on fuel efficiency, maintenance costs, driver behavior, and load inventory management survey and report. There is no fee
optimization, as well as suggesting technologies and strategies to to participate in the survey. To participate, contact FTR Chief
reduce costs.
Operating Officer Jami Sargent at jsargent@ftrintel.com.

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