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Understanding Dealer Management Systems: The Backbone of Auto Dealerships

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4 min read

February 12, 2020

A Dealership Management System (DMS) is an essential software used in the Automotive, RV, and Powersports industries for comprehensive business management, including inventory, sales, CRM, and legal documentation. Modern DMS solutions are often cloud-based, offering mobile access and integrating various business functions into one platform.

Evolution of DMS

Historically, auto dealers relied on multiple systems for different operational aspects, such as deal submissions, customer relationship management, website maintenance, and online marketing. Today, some dealers still navigate through a patchwork of DMS solutions. However, advanced DMS platforms now enable dealers to manage their entire business from a unified interface, improving organization, efficiency, and sales output.

Modern DMS Integration and Workflow

Modern DMS platforms, like DealerClick, streamline operations by integrating all dealership activities into a single system. Real-time data integration from various touchpoints like websites and CRM tools ensures efficient lead and sales process management within one system, enhancing operational efficiency and data accuracy.

Key Features of DMS

  • Inventory and Customer Management: Vital for tracking dealership inventory and customer interactions.
  • Deal Structuring: Fundamental for optimizing sales deals and profitability.
  • Contract Printing: Essential for legal compliance and transaction finalization.
  • Integrated Marketing Tools: Facilitate online presence and marketing efforts directly from the DMS.
  • Mobile Accessibility: Ensures business management flexibility and on-the-go access.

Specialized Functions

While not covered in detail here, some DMS platforms offer specialized modules for specific financing models like Buy Here Pay Here, Rent to Own, and Leasing.

Deal Management

The core of DMS functionality, deal management, allows for efficient structuring of sales to maximize profitability.

Vehicle Management

This feature aids in inventory oversight, including auction research and real-time inventory updates, often supported by mobile applications.

CRM Integration

Automated communication tools within the CRM functions help maintain customer engagement through planned marketing campaigns and follow-ups.

Conclusion

A Dealership Management System is a critical tool for managing and growing auto dealership operations, offering comprehensive capabilities to streamline business processes. DealerClick exemplifies a full-featured DMS, providing a robust platform for dealership management.

Author's Name
By Joshua Aaron. Written in Los Angeles.