Traditional managers, focus on appointments and sales. We hear it all the time. How many appointments do we have and how many cars do we have out this month so far don’t get me wrong. That’s a very important piece. However, what part of your business is preventing growth from receiving the lead to getting them to the showroom? Where do we struggle? Performance isn’t just about instincts—it’s about insights. Knowing where you are at, what the problem is and who you need to coach. (What, Where and Who) With more data, more communication channels, and more customer expectations than ever before, the most successful automotive dealerships are those that know how to measure what matters.
Dealers tend to lean on Key Performance Indicators (KPIs) as the gold standard for reporting. But they can do so much more. When used internally, KPIs can become tools for coaching. They help hold team members accountable. And they drive growth and profitability. At a recent dealer workshop, Sr. Performance Manager Kevin Schmitt helped VinSolutions’ partners uncover the five critical KPIs that can help dealers drive real results, along with practical tips for putting them to work.
1. Data Capture – A Dealership’s Operational Bedrock
If a dealership’s CRM is full of incomplete or inaccurate records, every downstream process suffers. That’s why data capture is the foundation of dealership performance.
What to track and why:
Clean data enables better communication, more accurate reporting, and stronger customer engagement. For dealerships, this means that every interaction with a customer, whether through email, text, or phone, hinges on the reliability of the collected data. Poor data quality makes it harder to meet customer needs. Ensuring that data capture processes are handled allows dealerships to build trust, streamline follow-ups, and ultimately enhance the overall customer experience.
- Email address capture rate (Goal: 85%)
- Text opt-in rate (Goal: 80%)
- Vehicle of Interest (VOI) accuracy
- Properly logged showroom visits and phone ups
Pro Tip: Monitor these metrics daily. In VinSolutions, for example, the data is captured in CRM performance dashboards. As Kevin Schmitt notes, “Data capture is the driving force that cascades performance across the store.”
2. Appointment Performance Starts with Communication
Appointments don’t just happen—they’re earned through effective messaging. If a dealership’s appointment volume is low, it’s time to look at customer communication and response rate. The right message at the right time can make or break a dealership’s show rate.
What to track:
- Response time (under 15 minutes)
- Appointment set vs. show rate
- Email open and reply rates
Pro Tip: Auditing the team’s templates and tone can is a good place to start. Are they asking for the appointment clearly and confidently? Do they have tools at their disposal such as generative AI to help them personalize their outreach efficiently?
3. ‘Be-Backs’ Are a Leadership Responsibility
Unsold showroom traffic may seem like low-hanging fruit—but it’s worth following up. Many managers assume their sales team is handling the situation. The reality? It’s often overlooked. ‘Be-backs’ are a second chance to close the deal that requires leadership attention.
What to track:
- Follow-up activity on unsold customers
- Be-back appointment conversion
- Manager involvement in follow-up
Pro Tip: Dealers should consider blocking 30-45 minutes a day to personally follow up with unsold traffic.
Questions to ask the customer:
- Were you treated in a kind, professional manner when you were in my store?
- Did I have the vehicle you were looking for?
- Has someone from my dealership reached out to you since you left my showroom?
- Did you receive a price payment and trade evaluation while you were here?
- If I can make the price, payment, or trade-in offer fit within your budget, would you be ready to move forward with purchasing the vehicle?
4. Conversion Rates Are the Ultimate Scorecard
Internet closing rates reflect the health of a dealership’s entire process—from lead capture to communication to in-store experience. Just as a dealer can’t close what doesn’t show, a business can’t improve what isn’t measured.
What to track:
- Lead-to-show
- Show-to-close
- Internet closing %
Pro Tip: Focus on traffic first. Prioritize activities that get customers to the showroom, then coach the team to close.
5. Use KPIs to Lead, Not Just Report
Data without action is just noise. The best managers use KPIs not only to monitor performance but also as a vital tool for coaching their teams and driving consistent improvements. By transforming raw data into actionable insights, managers can identify strengths, address weaknesses, and foster a culture of continuous growth. This approach ensures that KPIs are not just numbers on a report but catalysts for meaningful change and success, creating a motivated and accountable team that focuses on achieving both individual and organizational goals.
What to track:
- One-on-one coaching frequency
- Action plans created from dashboards
- Team performance trends over time
Pro Tip: Use tools and reports available in your CRM to identify coaching opportunities, remove obstacles, and celebrate wins.
Your KPI Compass
KPIs aren’t just for end-of-month reports—they’re your daily guide. Use them to coach, correct, and celebrate. As Kevin Schmitt reminds dealers, “Activity creates activity. What are you saying to get customers to the showroom?”
