At first glance, the topic of relationship-building may seem basic at best. However, the reality is that most individuals in our industry who have achieved success have done so on the strength of the connections they’ve made throughout their careers. Although those in our industry commonly understand the importance of relationships, in the fast-paced automotive space, building relationships is crucial yet often overlooked. Genuine interpersonal connections have become a lost art, but mastering this skill can set you apart as the professional confidant rather than just another vendor.
The Importance of Relationships
How often have you visited a prospective dealership, only to be told the dealer is satisfied with its current provider because of an existing relationship? The initial feeling is similar to a gut punch that sucks the wind right out of you. We can all agree that the sensation is rather unpleasant, which is exactly why we want to ensure our dealers give that very response when the competition walks through the door.
When it really comes down to it, our goal is never to be viewed as a “vendor,” “product rep,” or even “consultant.” The distinction we strive for is to become their trusted adviser. Always putting the dealer’s interests first is a motto to live by and will raise your status in the eyes of the client organically. Below, I outline a road map to relationship-building that can be broken down into three sections: implementing common daily habits, understanding the human element, and avoiding routine mistakes.
Common Habits of Effective Relationship-Builders
When we set high goals for ourselves, they can often become overwhelming. If your goal was to make the NBA, simply focusing on that goal won’t help you get there. However, if you focus on completing the daily habits of professional NBA players, that dream suddenly becomes more achievable.
This is why most successful entrepreneurs don’t focus on the goal; they focus on completing the daily habits of those who have achieved similar things. It is easier to focus on smaller, more attainable tasks daily than to chase lofty long-term expectations. Here are some daily habits you as an agent can focus on with the goal of being the trusted adviser:
Always answer your phone: So simple, yet often missed. Being accessible builds trust and reliability.
Follow through: Do what you say you’re going to do, and always follow up. Take credit when you fulfill your promises.
Check in AND Check out: When visiting a dealer, check in with your game plan first, and then check out with the results.
Train on all dealer products: Understand and train dealership personnel on all products the dealer offers, not just the ones you sell. Include this in your follow-up.
Prioritize compliance: Always protect the store by taking compliance seriously, even if the dealer doesn’t. Quarterly compliance audits should be mandatory.
The Human Element
Creating meaningful partnerships goes beyond business transactions. It involves active listening and a genuine care factor. If it feels like a task to remember important events in your clients’ lives, or their family members’ names, that is an indicator that your priorities may not be the client but what the client can do for you.
You can change this by becoming an intuitive listener and taking the time to really understand what is going on with their businesses, and more importantly in their personal lives. Take the time to acknowledge everyone at the dealership, knowing that the client values their team.
When you make a mistake, own it. The last thing a dealer wants to hear are excuses. By avoiding making mistakes, you will strengthen your relationship. It will go a long way to commonly ask your dealer-partners for an honest review of your performance so you can know what you can do better from their perspective. Feedback is always a good thing and will allow you to adjust as needed.
Routine Mistakes to Avoid
Have you ever had that a friend who, no matter how many times you warned them they were facing danger, still had to find out for themselves? You can tell them repeatedly that the stove is hot, but until they feel that burn, it won't fully register. The goal here is to gain an understanding without having to be burned. Here are some common traps we can fall into as agents:
Think about the big picture: Hiring a rogue finance manager who can produce big numbers in the short term but may leave chaos in their wake is a quick solution that benefits you, not the dealer.
Compliance with fees: Administrative fees should pass the straight-face test. If time has rendered your programs obsolete, make sure you are the one to point it out, not the competition.
Avoid gossip: Maintain professionalism and solid alignment with administrators. A dealer will question how much of its business you are discussing if you are always airing the dirty laundry of others.
Proactive solutions: Offer creative solutions to problems that may not provide a benefit to your business but can help get your client to the next level.
Indicators of Success
Now that we have broken down these aspects of relationship-building, how do you really know when you have cultivated the relationship to the level of trusted adviser? Here are a few questions you can ask yourself to see where you stand:
How comfortable do you feel asking for referrals? If it feels forced and not earned, you have some work to do.
Are you involved in dealer personnel decisions? This goes beyond F&I. If they value your take on someone, they are taking on board, you are on the right path.
Do they turn to you to draft pay plans? If they trust your judgment on where they spend compensation, your status is solid.
Are you sought out for non-F&I related issues? Sure, we specialize in F&I, but there are many more problems to solve within a dealership.
What’s In It for Me?
Of course, at the end of the day, we are salespeople at our core. However, that doesn’t mean that we can't talk about what is in it for us. Building a stronger character within yourself by doing the right things should be something we all strive for, but that doesn’t mean we can't talk about the residual benefits. Here are some professional advantages you may realize from your new behavior:
Longevity: Referred customers have a lifetime value 16% higher than nonreferred customers.
Reduced cold-calling: While it may not be the most popular part of what we do, it is inherently part of the job. Fortunately, 92% of buyers trust referrals from their inner circle, which means you can focus more on the soft leads.
Health benefits: Less stress and better physical and mental health
Increased production: Top-down support in the dealership boosts overall production.
Maximizing Marketing on a Budget
In the digital age, relationship-building can extend beyond face-to-face interactions. It is no secret how vital a first impression can be, which is why social media is so crucial if you want to take your agency to the next level. Do you remember several years ago when you would see someone in a local commercial and it was like you saw a celebrity when you encountered them in real life? You can produce that same effect by enhancing your online presence, which provides the added benefit of being able to introduce yourself before the first meeting ever takes place.
In addition to building your profile online, you can also expand your reach by using inexpensive and effective tools, such as email or texts to communicate to decision-makers. These are just a few of the strategies that can enhance your visibility and foster connections with both clients and prospects.
Building relationships and maximizing marketing efforts are essential for long-term success in the any profession, but they are exponentially more critical in the automotive space. By focusing on genuine connections and utilizing cost-effective marketing strategies, you can establish yourself as a trusted adviser and drive sustained growth. The ability to adapt and evolve with the businesses changes while maintaining the core values of trust and reliability will not only set you apart but also create a solid foundation for your career. In the end, it’s about being there, being genuine, and making a real impact—one relationship at a time.
Jason Gannon is managing partner of F&I Guys, a Vanguard Dealer Services company.
