Customer Relationship Management (CRM)

A Customer Relationship Management (CRM) system is software that helps a dealership track and nurture its interactions with customers and prospects. The CRM stores contact information, purchase history, and communication logs for each customer or lead. For sales, it manages leads from initial inquiry (website, phone, walk-in) through follow-ups, test drives, and eventual sale or lost sale documentation. It prompts sales staff with tasks such as calling new leads within a certain time frame or following up with past customers when their lease is ending. In Canadian dealerships, CRM systems are also used for marketing campaigns – for instance, sending out service reminders (which must comply with Canada’s Anti-Spam Legislation if by email) or targeting owners of certain models with upgrade offers. The CRM often integrates with the dealership’s website (capturing web form leads) and the DMS (to know when a customer bought a car or serviced it). By centralizing customer info and communications, the CRM ensures no opportunity is missed and that customers receive timely, personalized contact. This improves sales conversion rates and helps build long-term loyalty, as the dealership can proactively reach out for things like birthdays, end of warranty, or recalls, making customers feel valued and well-served.