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Push Vs Pull Business Model For Auto Dealerships

Push vs Pull Business Model for Auto Dealerships

Knowing What Works Best for Your Market and How You Execute Will Enable a High-Performance Business Result

Henry Ford: ‘If I’d asked customers what they wanted, they would have told me, “A faster horse!”’

Cars are designed years in advance of actual production and so understanding design trends and consumer tastes involves a bit of forecasting and, like the weather, it’s not always 100% accurate.

Manufacturers deal with the responsibility of producing the right cars, colors, styles, and options. Dealerships have to know how to market, sell and service.

By Definition:

The primary difference between push and pull marketing lies in how consumers are approached. In push marketing, the idea is to promote products by pushing them onto people. … On the other hand, in pull marketing, the idea is to establish a loyal following and draw consumers to the products.

Are you Communicating with Your Customers?

How will you know what your customers want if you don’t ask them? Surveys are very effective to help with your customer service endeavors but they are also an excellent way to understand what people like and don’t like about their cars. A survey sent out to your buyers after one year of ownership with the right questions will give you valuable feedback on what features and options they wish they had ordered and which ones they don’t like.  In addition, the communication helps build a loyal customer base.

The same with all the departments in a dealership. Responding diligently and expeditiously to customer feedback is a quality exhibited by high-performance businesses that achieve extraordinary sustained profitability

The founders of Alcoholics Anonymous learned after many failures that trying to push their 12-step program on people with a drinking problems was not a viable model. They found that attraction was the key to winning over people to a sobriety was to let them interact with successful sober people in hopes they would realize “Hey, I want to be like that person,” and then get serious about sobriety. That’s Pull Marketing.

Dealership Car Business Models
Push Marketing

If you remember the scene in National Lampoon’s Vacation movie, Clark Griswold wanted the Antarctic Blue Sports Wagon, but was hard-sold the Metallic Green Wagon Queen Family Truckster. A classic Push Marketing maneuver.

Kirk Kleckner. An advisor to dealerships, Kirk has earned a sterling reputation for his ability to recognize business value enhancing opportunities  and provide solutions. You can reach Kirk at 612-294-8730.