RESOURCEFULNESS TESTED
How dealers are coping
by Service Dealer Editor, Steve Gibbs
 
Steve Gibbs

This is unusual, publishing an Update on a Thursday. Although to be honest, it's probably just about the least unusual thing we've all experienced this week!

 

Anyway, we're with you today because we wanted to at least hang on to a semblance of normality with tomorrow being Good Friday - which should by rights, be one of the busiest trading days for many of our readers. But alas, we know that wont be the case this year.

 

What we do know is that dealers are adapting their way through this situation with a resourcefulness which they have shown repeatedly over the years. Normal business for dealers sees them succeeding in an industry, the fortunes of which are dominated by the unknowable factor of the weather. What we're faced with currently is clearly on a whole other level than just 'is it going to rain this weekend?' - but that well learned business acumen is coming into play now more than ever.

 

This was very much apparent on our video conference call which we held with a selection of dealers from around the UK on Wednesday morning this week. Representing dealerships large and small, multi-branched and single units, we heard from dealers who sell agricultural machinery, commercial grasscare equipment and domestic garden equipment.

 

As we've discussed these past couple of weeks, experiences for dealers seem to be broadly split along the lines of those involved in serving farms and farmers and those handling outdoor power equipment (OPE) - both commercial and domestic.

 

Considering firstly the experiences which were discussed from those in the OPE sector, we heard that dealings with customers since the government's announcement of the lockdown had been mixed. Mostly people are understanding we heard. They get why showrooms aren't open, why they aren't getting their mowers back from the workshops straight away. They understand why they have to wait by the gate and other social distancing measures.

 

'Mostly' however, is the key word here, because it seemed everybody had experienced one (or two!) bad customers. Those who had unreasonable demands. Who phoned repeatedly or who in the worst case scenarios, acted outright aggressively. It was felt these customers were thankfully in the minority, but they do exist and they aren't helping with what is an already incredibly difficult situation.

 

It was suggested that keeping up your messaging and communication channels with customers could help with these conflicts. Making sure websites and socials were updated and changed regularly to reflect what's going on in your business might do its bit to head off some unnecessary calls. We do in fact have some advice along these lines in the Update today from both Emma Craigie and Adam Bernstein.

 

There's no doubt some dealers are incredibly stretched at the moment - those who are indeed even open in some capacity. A lot of this is down to dealers being understanding of the needs of their staff. Post the Prime Minister's announcement on restriction of movement, we heard that some workers felt too anxious to return to work - and of course some are not able to come in on the grounds of health concerns or age. Therefore some smaller dealerships, if they are open at all, are operating on what could be described as a skeleton staff currently.

 

In all cases it's important to keep all staff in the loop with what's happening. We heard that Zoom, Skype, Whatsapp and the like had become increasingly important to businesses, keeping teams joined up with each other. Where people are working from home, or alone somewhere, or not at all, a group chat with some friendly banter, can do wonders for morale. 

 

Technology was also advocated as a means of demonstrating to customers. Making and posting videos to websites was mentioned several times as a way of keeping customers at a distance but still being able to illustrate machinery.

 

For staff who are going out on the road, either delivering kit or visiting for on-site repairs, it was thought to be a sensible idea to issue them with an official, headed letter of authority. Were they to be questioned on what business they had being out and about, they would have something to show.

 

Of course some of these issues discussed also applied to the agricultural dealers on the call. It was felt that the situation was indeed a little more clear cut for these dealers, with most branches open but with distancing measures in place.

 

Also of course, common across all dealerships are the financial concerns which the outbreak is causing. It was stressed again how important it is that dealers should familiarise themselves with the rules surrounding the furloughing of staff. As well as this, there are grants and business rates help which can be applied for. The problem of course being cashflow, with the timings for this assistance not exactly being instant. It was also suggested that dealers might want to review all the standing orders and direct debits they have set up for council tax and other costs.

 

Alongside this, there was a desire to hear from manufacturers what assistance they intend to offer their dealers - to hear what their strategy was for getting through this situation. Dealers want clear instruction on what help will be available. With this being a far from normal season, the network wants a commitment from the companies whose stock they have piled in their showrooms which they cannot sell at the moment, that support is there for them - now and going forward.

 

Due to necessity, focus today for certain machinery types may well be on online retailing, but it mustn't be overlooked that the servicing dealer / manufacturer relationship is a mutually dependant one.

 

Because what was abundantly clear, is that plans are being made for when we get through this. Be it one more month, 2 months, or more, dealers are doing their best to be ready to go when restrictions are lifted.

 

Until then, dealer resourcefulness is being tested, as never before.

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EDITOR'S BLOG
RESOURCEFULNESS TESTED
NEWS
SERVICE DEALER HOLDS DEALER CONFERENCE CALL
FURLOUGH INFORMATION
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