By Mr. Retail
For many of us, sourcing head units is getting harder and harder. So that means the revenue stream for them is getting more difficult to keep up by the day. And when you add in the fact that it could be years until the chip shortage is solved, according to some news outlets, what’s a retailer to do?
The answer is to think outside the box.
First and foremost, do you have a list of ideas you have been thinking about implementing for several years now, but haven’t? Now is the time to dust off that list and possibly add to it. Maybe you can partner with a subcontractor to add some or all of the following categories:
Paint protection film
If you add up all the above items and can find reliable subcontractors, or begin offering them in-house, this could amount to over $100k/year in gross revenue. And even at 25 percent margin, it is still worthwhile. It will also bring clients to you that may have never set foot in your store. While they are there, let them experience the other items you offer. This is where the magic happens as you use the four items above to create additional selling opportunities.
Do you see a lot of trucks and SUV’s? Then WeatherTech should be on your short list of new products to offer and the margin is good once you become a Diamond Dealer. Maybe offering truck bed covers and steps can be another good option. High end accessory lights are also a good choice.
Finally, if you are being honest with yourself, are you maximizing the categories you already sell? When someone comes in for CarPlay, what percentage of them get offered a bass upgrade? How about upgraded speakers on a base model car?
How is your driver safety business? Consumers are becoming more aware of blind spot monitoring and collision avoidance by the day. Are you bringing the proper awareness of it to the clients you interact with on a daily basis?
In short, I suggest creating a hit list of the top 10 items you can offer to your clients and be sure that all your customers know about these options when you communicate with them. It is only by being proactive that we can keep the momentum going at our stores.
About Mr Retail
Mr Retail will be offering opinions and information on car audio retailing for CEoutlook. He wishes to remain anonymous. He has owned a retail store in this country for over 20 years now. Mr Retail loves what he does and loves the 12 volt industry and is happy to share his hard won expertise.