How Phil Weaver Automotive made a success of distance selling
As we once again find ourselves in a third lockdown, we spoke with independent retailer Phil Weaver, Owner, Phil Weaver Automotive to hear his experiences of distance selling so far.
Making buyers go digital
Phil kicked things off by talking about the importance of showcasing the very best of your business. In particular he highlights the need to fully embrace your digital channels, whether that be through the tools available through market places, your adverts images, social media and through your onsite videos.
When it comes to video, Phil states that he uses it to provide a full overview of what his business does when it comes to distance selling, right down to the level of prep work that goes into each vehicle, and as an opportunity to pre-empt any questions buyers may have about the process.
The key, he says, is being visible to your buyers across all channels which will allow you to better engage with them and convert them to a click & collect or home delivery sale, which for many is a new way of buying a car. Ultimately, you need to build trust with the buyer at every available opportunity to bring them into this new way of buying.
Its these simple steps he says that have enabled him to keep buyers comfortable and confident in buying their next vehicle online from him.
Getting set for distance selling
Phil doesn’t see distance selling as something that will come and go with the pandemic. He thinks that as buyers become more accustomed to the process, it will start to become the norm and that now is the time for all retailers to embrace change and get on board with digital sales.
He believes that retailers need to now get into the mindset of using their digital presence to be the equivalent of a physical showroom and to treat each digital enquiry as if they were coming to see the car on the forecourt.
Through the distance sales process, Phil ensures that they provide the buyer with all the relevant documents, such as sales documents and the all-important terms and conditions which they have drafted and explains the buyer’s rights under distance selling regulations, including the 14-day cancellation period. This is required by law, so retailers have to supply theses terms and conditions but being upfront and taking the buyer through their rights certainly helps to generate trust with the buyer and help them become comfortable with the process.
Once the purchase is confirmed, and payment made by BACs, Phil ensures everything is arranged for either a home delivery (which he executes himself 9/10 times) or for collection. For collections he has a dedicated collection bay to avoid the buyer entering the office and places all the documents, spare key etc. in a bag on the passenger seat. This process is done for each buyer with the process fully explained prior, making it easy, simple and safe for buyer and seller.
Are returns even real?
One of the biggest concern’s retailers have is over returns but Phil reveals that, in the five years he has been operating distance selling (with home deliveries) he has not had a single return. He attributes this to being transparent with buyer and making sure your prep is to as high a standard as it can be.
Whilst he hasn't had any returns, Phil does have a process in place to easily deal with any returns should they arise. He does keep the V5 document for the 14-day period, after explicitly telling the buyer that they will receive it in the post in 2 – 3 weeks. This means that, in the event of a return there will not be a short-term owner on the log book. This is of course precautionary and, as evidenced by Phil, its is very uncommon to have a return within the 14-day period.
A plan for part-exchanges
Part-exchanges were an initial stumbling block when it comes to distance selling but once again Phil turns to trust to make the process simple for buyer and seller.
When a buyer requests a part-exchange he requests a full and honest appraisal from the buyer and takes them through what details they need to supply. He states to the buyer that if the vehicle is misdescribed he will need to charge for the extra prep. This has yet to cause and issue for him.
Once and appraisal is received he utilises tools, such as Retail Check, to price retail back and supply the buyer with an offer. Throughout the process he states that the key, once again, is just to be transparent with the buyer through the whole process.
On the topic of test drives
Phil does find that a majority of buyers still want the test drive experience in their initial enquiry, however this has not proved a major issue thanks to their dedication to being as transparent as possible with the buyer and explain the processes behind distance selling and why a test drive is not possible. Phil drives each car to ensure they can deliver a clear description to the buyer when an enquiry is made and to further reassure them always makes it clear the buyer has the 14-day return period should they not be satisfied with their purchase.
The results
Phil was eager to embrace distance selling and has seen success with the distance selling. He states that it was slow to begin with but as buyers became more aware of the process things grew rapidly with 50% of his sales now attributed to click & collect and finance penetration at 33%.
Currently, his business is tracking ahead of 2018, on par with 2019 and slightly behind on 2020 but Phil believes they will be back on track as they have a high volume of enquiries already coming through and are in a strong position when it comes to their ability to offer distance sales.
Closing things off, Phil says “we have the opportunity to keep the wheels of industry turning” with distance selling right now and if you do it safely, securely and within the regulations then you can keep your business open over lockdown.