The quote capture rate is the portion of quotes that turn into orders during a given time period. For example if 100 quotes are given to prospective customers during a month and 20 quotes become repair orders then the capture rate is 20 percent. Offering quotes is a common practice in auto repair – more so in tires than mechanical. A large portion of the decision on purchasing is based on price but there are other factors that will motivate a person to buy. Finding ways to increase quote capture rates will bring in more business and increase sales volume. Being selective on when a quote should be provided and offering multiple choices can lead to a better capture rate. Setting an expiration date and offering additional incentives can motivate a person to act. And following up can lead to winning business as well as providing insight into reasons for lost business. Following are keys to improving quote capture rates:
- Avoid No Win Situations – If the service the person is seeking is not an area in which you can be competitive or profitable it’s best to pass on it. Time is better off spent on other more productive things.
- Offer Choices – People love to shop but hate to be sold to. If it’s possible to offer multiple options for the customer to have a repair done – it can help with the sale. The ‘Good-Better-Best’ sales method can be an effective way to win more business.
- Set an Expiration Date – If an offer is only good for a finite period of time the customer will have an incentive to act. Setting a deadline to act can motivate a person.
- Offer an Incentive to Act – Providing the customer with an additional incentive if they purchase within a specified time frame can motivate a person to take action.
- Follow Up – Allow a reasonable period of time for the person to make a decision then contact them and attempt to win the business. It may make the difference between earning the work or not. If the person decided to purchase the service elsewhere the follow up will provide an opportunity to ask the reason the business went to a competitor. This information can provide tips on how to improve and win more business.