One of the most common Social challenges that Sales Managers come to us with is figuring out what their conversion rate for online leads should be. Lot ups and phone calls are one thing, but if someone takes 10 internet leads how many should they convert? If they line up 4 appointments is that great or terrible?
It’s a great question and one that we commend Sales Managers for asking in the first place. It is impossible to make good decisions without good information, and good information comes from measuring everything you can get your hands on. But that is a story for another post!
When it comes to converting online leads, it all depends on where those leads come from. Not all leads of the same quality so it makes sense that it will be more likely to convert some than others. Below you will find a simple breakdown of where the automotive industry currently stands today in regard to online lead conversion:
The Breakdown of Internet Leads and Conversion
- Industry Average: 10 – 12%
- Dealer Website: 12-15%
- OEM/Manufacturer: 8-10%
- 3rd Party Websites: 3-6%
If you are measuring your conversion accurately (i.e. not just what your sales people put in the system) then a target of 10-15% is realistic. This means that if you have 10 leads, you should:
- Book 3-4 appointments
- Close 1-2 deals
Of course, with quality content on your site, you can increase the general level of the leads you generate and target a higher conversion rate. For more information on this or the analytics involved in figuring these numbers out for your dealership visit https://www.convertus.com/convert-package/ or contact us to book a consultation today.