Benefits of Having an MSP for your Dealership

Benefits of Having an MSP for your Dealership

From improving the relationships between auto dealers to upgrading technology for better customer service to making day-to-day operations run smoothly, auto dealer IT support
has had a huge impact on the automotive industry. At this point, it’s clear that technology use increases every year and your dealership needs to be managing and updating their technology to keep up with the competition.

Automotive dealers and shops rely on their IT systems for almost everything. We’ve noticed that smaller, independent proprietorships owned-operated by a single person or family can usually manage their limited operations by themselves. Most dealerships are fairly small affairs, with 94.2% of dealership owners owning 1-5 different dealerships.

Auto Dealers with Robust, Flexible IT Infrastructures Operate More Smoothly

For better or for worse, dealership operations like sales and marketing, finance, service, parts, delivery, inventory, accounting, and fixed ops can usually float about inside an owner’s head. Whether they are processing payments, communicating with clients or repairing vehicles, an IT system has become a crucial part of their company’s day-to-day operations. 

Where off-the-shelf software packages can effectively manage, synchronize, and automate internal operations for the benefit of the customer, they’re fairly limited in their scope.

Auto Dealership CRMs Require Full IT Integration and Support

Most people think that an auto dealership would be nothing with its auto mechanics, but we know it’s really the auto dealership’s customer relationship management software that keeps the wheels turning. A CRM solution stands between various salespeople on the sales floor, the unconfident customers walking through the door, and sales managers looking at their teams’ monthly KPIs. 

Auto Dealers CRMs Need Ongoing  IT Support

Any quality CRM will usually help customer-facing employees in a variety of ways. First and foremost, CRMs need to be simple and easy for the end-user. They can achieve this by providing flexibility and convenience in customization, accessibility, and utility. Once any user is habituated to using the CRM, then the full functions and features are opened up. These functionalities include automating sales and marketing workflows, contact or account synchronization, or managing the lead opportunities themselves.

Although closing deals is how an auto dealership can keep the lights on, dealerships serve other functions:

  • Provide ongoing car maintenance packages or ad hoc auto repair service
  • Supply OEM auto parts to other repair shops or DIY consumers
  • Source and offer in-house financing packages
  • Calculate and allocate sales commissions to their sales teams
  • Order OEM auto parts for both the Parts and the Repair departments
  • Track total incoming revenue and outgoing expenditures for accounting purposes

Even the best CRMs like Salesforce, NetSuite, Zendesk, or Pipedrive couldn’t manage all of the non-sales functions required by auto dealers. 

Auto Dealers Suffer from Misaligned Tech Infrastructure

That’s how both independent and franchise dealerships alike find themselves cobbling together a hodgepodge of tech solutions with a low barrier-to-entry to get every department up and running. Momentum is what dealerships are focused on, without considering the longer-term implications of disjointed software solutions.

Accounting & ERP Solutions Should be Integrated into Dealership Sales Operations

For bookkeeping functions, small businesses usually leverage turn-key accounting solutions with ready-made integrations with other banking services and their larger financial tech stack. From managing accounting ERP, spend and expense management, accounts payable and receivable, and payroll, these  systems can all function seamlessly with cloud-based SaaSes like QuickBooks, FreshBooks, Sage, or Xero offer a intuitive interfaces and templated workflows. 

For maintaining supply levels of their OEM auto parts, ERPs provide the appropriate solution to the question of how to manage all these moving parts. Behemoths like Oracle, SAP, Sage, Microsoft all have their closed-loop proprietary ERP softwares that ease inventory management. 

For more sophisticated auto dealerships within the industry, dealership management systems consolidate this scattershot of solutions into a single-point of inventory management, customer relationship manager, finance & insurance, and fixed ops. While some of the major auto brands incentivize local dealerships to use their white-labeled tech bundles, these only apply for new car dealerships. In Connecticut, around 80% of car dealerships are focused on used cars. This means that most of the car dealerships in Connecticut aren’t using bespoke dealership management software solutions.

Improved Operational Efficacy for Auto Dealerships

IT work having to be done in the back office can take valuable time away from your business needs. The benefits of a MSP allows companies to have peace of mind knowing that their technology is completely taken care of. Not only will your technology be taken care of for you, but you will also see a reduction in overall expenses.

Benefits of Auto Dealers Using IT Support

Having a managed service provider (MSP) on your side only makes it that much easier to ensure that your technology is up-to-date and not only running properly but efficiently. Here are 5 reasons why you should hire an MSP for your automotive dealership.

1. Reduced Costs

Having an outsourced MSP on your team ensures auto dealer IT support for your technology. This background support will give you the peace of mind that any IT risks are taken care of while also reducing your overall expenses. Your managed service provider can help you understand where spend is being wasted and what technology is either outdated or simply unnecessary for your daily operations.

2. Less Vendor Management Frustration

Here at CorCystems, we understand that your dealership management system can be difficult to deal with, especially when an issue arises. Rather than wasting time to find the right vendor, we can efficiently and effectively reduce your workload. This allows you to focus more on your bottom line – selling and serving vehicles.

3. 24/7 Maintenance

Even after you leave for the day, you never have to worry about a power outage at your dealership. When a problem occurs, your managed service provider is available around-the-clock and can monitor your system 24/7.

4. Protecting & Managing Your Email

Connecting to your vendors and clients is your lifeline in the automotive industry, and it’s important that you’re able to access your email 24/7. Not only can we help maintain your network, but we can ensure that your cloud-hosted email system is secure and protected. CorCystems can also help with setting up company emails and helping you delete emails. 

5. Fast Response Times

Working with an MSP is also beneficial because of the quick response times. Most of your technology can be monitored and managed remotely, which means that any issues that occur can be solved almost immediately. If a remote technician is unable to solve the issue, an on-site technician can always come to your location for further assistance.

Find an MSP You Can Trust

If you’re considering hiring a managed service provider for your dealership, reach out to CorCystems to find out how we can offer you unparalleled IT solutions and management. Call our office today at (203) 431-1341