Maximise your EV sales and aftersales potential
EV sales and aftersales requires a different approach but not the step change that some are advocating
27 July 2021
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Meeting the expectations of customers for EVs through both sales and aftersales requires changes both in thinking and in processes. At the same time, retailers need to consider the longer-term implications of growing numbers of EVs that will reduce servicing revenue, looking how they can plug the gap in that revenue stream.
These were some of the thoughts of Darrell Grimshaw, managing director of Cloud Global Consulting, speaking at the NFDA Strategic EV Forum. In particular, he questioned the wisdom of having dedicated EV geniuses and handover specialists, arguing that all customer-facing members of staff need to be EV experts in the eyes of customers.
“When it comes to sales, we can typically divide customers into two groups; 50% of them will have researched EVs in depth and will know a lot, and the other 50% will like the idea of an EV but will know very little about them,” Darrell said. “We need to be able to meet the needs of both.
“We have to have enough knowledge that we won’t look foolish in front of the customers who are the most informed, and we must have answers readily available for the customers who will come in with questions.”
The knowledge required could come from training in the classroom, but Darrell is an advocate of coaching from colleagues, with knowledge being shared. But in the first instance he recommends a survey among staff to assess their EV knowledge. You can then look to reinforce key points and fill in any knowledge gaps.
He is very clear, too, that the knowledge should be spread across all personnel. “Everyone needs to feel they’re included in the training. For example, if the parts department gets a customer query about a part for their EV, are they confident enough to field those questions?”
Looking at roles within the dealership, Darrell cautions on having members of staff whose sole responsibility is to be the EV genius or handover specialist. “If we have an EV genius but nobody is there asking them questions, then are we getting value out of that person? They need another role as well.
“Similarly, there is clearly additional knowledge needed in handover, to take the customer through everything that is different about owning and driving an EV,” he continued. “But that doesn’t mean the whole team shouldn’t have that knowledge.”
Customer expectations
Addressing customer expectations, Darrell urged retailers to think about the differences in sales and aftersales in relation to EVs, but also cautioned that those expectations might not be as great as we might think. In that case, setting the bar too high could end up just adding cost.
Some things are essential, and if we don’t do them, then we’re opening ourselves up to complaints or to customers feeling let down. “On test drives, for example, we need to be demonstrating the charging process,” said Darrell.
And he added: “If you sell an EV with a home charger installation as part of the package, then before you send the customer home with their new car, make sure the charger has been installed and has been signed off as working.”
He also pointed out that where dealerships have charge points fitted close to the entrance for the use of customers, these should not be being utilised by staff. “The last thing we want is a customer coming in with their EV, and having to traipse across the car park in all weathers because that’s where the nearest available charge point was.”
Another point he addressed was whether customers’ EV batteries should be charged up when they brought their vehicle in for servicing. “We wouldn’t fill an ICE vehicle up with fuel just because the warning light was on, but an ICE customer can fill up with fuel in a couple of minutes at the nearest filling station,” he said. “An EV customer, though, might have driven some distance to get to us, and might face some difficulty in finding a filling station with charge points.
“If we do decide that charging up the battery is the right thing to do, then we need to ask ourselves about the appropriate level. Is it a full charge, 80%, 50%? There’s not a single right answer, but what we do will define customer expectations, and it will add cost. A few pounds to charge the battery might not sound a lot now, but once we have EVs coming through in volume, that all adds up. It needs thought.”
Aftersales revenue gap
Noting that a greater volume of EVs will eventually lead to reduced aftersales income, Darrell pointed out the need to get more now from the ICE vehicle parc, winning work from the independents and retaining those customers for longer.
If objections are based on price, then can franchised retailers offer the same services at the same price – just a filter change, for example – while pointing out the benefits of coming to a franchised dealer? “And if a customer asks us why we change the brake fluid, it’s not enough just to respond that that is what the OEM specifies. We need to be giving proper reasons.”
Again, he argues, these things come down to customer-facing personnel having the confidence to discuss details with customers in a way that will overcome their objections.
YOUR ACTION PLAN
- Make sure your learning curve is always ahead of the customers’
- Make your sales staff specialists rather than having EV specialists
- Factor EVs’ differences into the sales journey
- Have a recharging strategy for aftersales
- Aftersales retention takes on a new importance