Mining for gross profit
Opportunities generated by RevenueRadar get special attention from Huang’s team. Over the last quarter of the store’s banner year, the deals the tool delivered bested all other sales sources by at least $609 in average front-end gross. Back-end grosses were also healthy, with each RevenueRadar deal topping all other channels in total gross profit by 35% to 62%.
“If you provide the proper training and you turn your salespeople into believers of RevenueRadar, all you have to do as a manager is know your programs,” Huang says. “So, I love starting every month with Honda. That’s when I get my new programs, and I see my new incentives, my new rate, and my dealer cash.”
Huang theorizes that the reason RevenueRadar leads result in high-gross deals is timing; his sales team can capture customers before they become internet shoppers. That allows them to focus on gross vs. units, providing confidence in the power of data mining. “They believe because they can see in their numbers that RevenueRadar works," Huang says.