Page 73 - Car Sales Training Manual

􏰂+9*7 9-* !*89 􏰀7.;* ? Session C.7
TOPIC: Use of ‘Retained Value’ discussion during the financial close to
support your profit retention objectives.
AIM: To ensure you practise and feel comfortable raising the subject of retained value and its impact on the long-term quality of your customer’s motoring investment. Also, to be able to discuss with confidence the negative impact that new car discounting has on eventual retained value.
KEY POINTS: • Many customers appear focused solely on pursuing a discount at the time of purchase. However, of greater importance should be their car’s retention of value over the full period of ownership (eventual trade/resale valuation).
• Few customers understand the negative impact discounting of new cars has on a model’s eventual retained value. Explain to customers that giving large discounts actually damages the overall financial quality of their ownership experience, usually by a far greater sum of money than the original discount.
• During the closing financial discussion, it is normal for customers to repeat earlier requests for a discount. A clear and concise explanation of your product’s retained valued history and the reason for this success should be introduced at this point.
• Your pre-prepared printed material on retained value (motor magazine excerpts, industry statements, etc.) should be used to support your discussion.
• Other points can be raised to support your value argument at this stage:
(a) Examples where significant upgrades to the specifications (value package) have occurred with little or no corresponding retail price increase.
eg. “The value package you are looking for is already built into our car’s
specification and pricing by the factory.”
(b) Examples of hard-to-obtain pre-owned vehicles you may have in stock where the retained price remains very high.
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