“There is no historical precedent to rely on when it comes to predicting the fallout for the automotive industry. Nothing, not even the wars, not even the Great Depression matches what’s going on. “
Dennis DesRosiers- Globe and Mail
Sobering words from a leader in automotive market research, who has compiled data on car sales and trends dating back to 1961. But does this mean we are doomed as an industry? Time to wave the white flag? Well, that depends largely on your mindset. Let’s take a moment to review the facts and then look at practical actions we all can take to Covid proof our businesses!
Vehicle sales took a 48% hit in the second part of March. Opinions as to what the future holds range from a hopeful 15% loss to an aggressive 60%. The Canadian Black Book stated that vehicle values are estimated to fall by at least 17% which will make trading in current vehicles less financially sound, further driving down sales. Added to that, consumer buying is at an understandable low. Some are struggling to make ends meet, others are holding back until the economy has recovered. Priorities have definitely changed. Nobody has a crystal ball but needless to say the automotive industry’s rebound will be bumpy.
Businesses that are adaptable and ready to adjust with the times have a substantially better chance of surviving.
Covid Proof PDR Business
Is it possible? No business is completely immune to events out of their control. But you can mitigate the effects. Here are 5 easy steps that anyone can take to sustain their business during tough times.
Step 1- Make sure you are taking advantage of all the federal and provincial programs that have been made available. For more information click here.
Step 2- Keep in touch with existing clients and dealers. Send a quick text or jump on a call. Maintain those relationships.
Step 3- If you are open, MARKET your ass off! Many are offering touchless/contactless service. Know what your market needs and fill the gap.
Step 4- Cut back on expenses where you can be it professionally or personally. Sorry Tim’s and Starbucks 🙁
Step 5- Survey your current business structure. Is there a service that can easily be added that customers would be interested in? Maybe it’s time to hone your GPR skills and take on bigger damage.
Adjusting the way we do business to reflect the current environment will only aid in our ability to not only survive but thrive.
Good health and good business to all!