The car buying and selling business is a paper-heavy process. From test drive documentation to deal files, job cards, trade forms, and invoices not to mention marketing materials, the average car dealership can plow through a mountain of paper every year. In fact, if the processes surrounding this paper mountain were digitized in just one dealership, owners could expect to save over $275,000 in just a handful of years. 

That’s because digitizing business processes will reduce the amount of ink, toner, paper, document storage, and secure document disposal needed to sustain efficient day-to-day operations. But in addition to these hard costs, creating a paperless car dealership has a number of other advantages, from optimized productivity to reduced staff — and customer — frustration.

The Benefits of Creating the Paperless Car Dealership

Improvement in cash flow access, increased regulatory compliance, and optimal efficiency as good reasons to think about creating a paperless environment for your auto dealership. But there is also a lot of additional intrinsic value in moving to a more digital environment, such as:

Reduction in Contract Transit Time for a Bottom-Line Boost

There is a lot of paperwork to move in the process of completing a single contract. There are floor plan rates to consider, overnight shipping costs of documents, and document preparation costs and processing. More important, however, is the time it takes to complete that contract. Using a document management solution (DMS) to remove the need for costly and time-intensive paper handling can cut contract transit times by as much as five days, meaning more contracts can be completed in the same amount of time, putting more money in dealers’ pockets.

Ability to Meet Customer Demand More Effectively

Today’s car-buying customers are looking for a more contactless experience. In fact the recent Cox Automotive Car Buyer Journey Study (CBJ) shows that car buyers are experiencing record levels of customer satisfaction through the digital purchasing process, even though there are currently few incentives and prices are skyrocketing. In fact, 81% of current car buyers want to complete at least part of their purchase digitally. The study puts this trend down to the trend in digital buying procedures that can save customers — and dealers — a lot of time during the car buying process. Dealers that can offer their customers a less stressful, more streamlined process can jump ahead of the competition, even in a hypercompetitive marketplace.

Higher Close Rates and Better Leads for More Revenue

Using document management technology can do more than just keep your dealership organized. Automating processes to increase customer satisfaction also paves a pathway to increased dealership profitability. For example, current data shows that digital retailing can make lead submissions five times more likely, with these leads resulting in a better than 46% close rate. In all, these numbers can net your dealership up to 24% more gross profit for each deal compared to deals that rely on paper-based workflows. 

Blue Technologies Has the Document Management Solutions You Need

The world of automotive sales has always been competitive, but with changing technology, supply chain issues, and tighter profit margins, the current market is an aggressive one. Going paperless is a great way to help your dealership push ahead of the competition and win the trust and loyalty of your customers.

At Blue Technologies, we don’t just offer document management. We offer document management solutions that are custom-tailored to the specific needs of your dealership. Our team of DMS experts can assess your current infrastructure and design a DMS that perfectly meets your needs and challenges — and one that can be easily scaled as your dealership grows and changes. A DMS not only supports a more organized, efficient team, but also helps you optimize business processes and workflows to increase the level of customer satisfaction to help maximize return business and revenues.

Create a paperless car dealership today. Contact a Blue Technologies consultant and explore how our document management solutions can help your dealership create a more productive — and profitable — organization.