3 Strategic Ways to Increase Dealership Revenue Online

Have you ever considered that your parts department could be housing hidden opportunities for your dealership? While most dealers are busy chasing car sales, a gold mine could be sitting right under your nose. Those parts shelves could be the key to increasing your dealership’s revenue and driving your absorption rate up.

A dealer’s absorption rate measures how efficiently the dealership covers its cost. Ideally, the profits from fixed operations (parts and service department) should cover the dealership’s overhead expenses, allowing the profit from every car sold to go straight to the dealer’s bottom line. 

The ideal absorption rate for any dealership is at least 85%; however, the average dealership sits at just under 60%. Selling parts online is an often underrated way to increase the absorption rate and, in turn, raise dealership revenue. 

Why You Should Start Selling Parts Online

It’s no longer realistic for dealerships to rely solely on foot traffic to increase sales in the parts department. Today, most people shop online for everything, including auto parts, so having a strong online presence is vital. 

In fact, you probably shop online yourself. Parts buyers are no different. 

Shoppers enjoy the convenience of shopping online. Even if they don’t purchase a part online, they probably started with a Google search. According to Hedges & Co., 74% of all parts and accessories purchases begin with an online search. 

Selling parts online also gives your dealership a broader approach to increasing parts sales across the country.

Selling Parts Nationally with a Dedicated Web Store

The most profitable place for most dealers to sell parts is through a dedicated web store. That’s because this web store allows your parts department to reach customers nationwide. 

A dedicated web store refers to a website separate from the dealership’s website and just dedicated to selling parts and accessories for the parts department.

Currently, only 25% of dealers are selling parts online with a dedicated parts web store, and with the rising demand for online parts, there is a massive opportunity for dealers to capture sales.  

Because this store is typically not attached to your dealership, your parts department can run separate promotions and pricing structures that accelerate parts sales. 

A parts web store is also the best way for a dealership to reach buyers beyond its local market. 

RevolutionParts can create a dedicated web store for your parts department and provide full support throughout the selling journey, making setting up an online parts business easy.


Selling Parts Through Online Marketplaces

If your parts department is not ready to run its own parts web store, online marketplaces like Amazon and eBay are great options to gain access to parts buyers across the country. 

Between the two platforms, there are over 400 million shoppers who generate billions of dollars a year.

In particular, eBay is a great place for your parts department to offload obsolescence. This means that instead of writing off old parts or letting them sit on the shelf, taking up space, your parts department can sell them to DIY-ers online for top dollar. This will allow your parts department to recoup the most money for parts they cannot sell over at their parts counter.

While Amazon and eBay are structured with additional fees and costs, RevolutionParts helps alleviate them. With RevolutionParts, many of these fees are waived, and your parts catalog can be uploaded instantly, making it easier to manage. 

Although both Amazon and eBay are associated with fees and additional costs, with RevolutionParts, many of these fees are waived, and your entire parts catalog can be uploaded simultaneously, making it easier to manage.

Selling Parts Locally Through Your Dealership Website

If your dealership isn’t ready to take on national orders but instead wants to focus on growing local sales, selling parts through your dealership website is the ideal solution to raising revenue. 

And no, this doesn’t mean adding a parts form to your website, which is often ineffective and results in meager conversion rates.

Most people who visit your dealership website are local customers. Adding your parts inventory to your dealership allows local customers to price a part, check availability, and purchase that part on the spot from wherever they are.

Remember when we said that 74% of parts buyers begin with an online search

Simply having your parts inventory on your dealership website can increase sales online and at the parts counter. 

RevolutionParts makes adding parts inventory to your dealership website easy with the RP Website Plugin.

Store Plugin Wholesale

Make Your Dealership Shine by Selling Online

Do you want your dealership to earn more money? Selling parts online is a smart move! It’s like opening your store to the whole country, not just the people nearby. Plus, with RevolutionParts, setting up shop online is super easy.

Selling parts online means more people can find what they need from you, whether they’re across the street or across the country.

This isn’t just about selling more parts. It’s about making your dealership the go-to place for what people need, growing your business, and staying ahead of the game. So, why wait? Start selling parts online and watch your dealership thrive.

Want to learn more? Check out our free guide on how to boost your dealership in just 6 months by selling parts online. Let’s make your dealership a winner!

banner for transform your dealership in 6months

Do you want to increase sales in your parts department, lower obsolescence, and increase revenue?

If the answer is yes, then you need to be selling on eBay. Get started with eBay and see what it takes to successfully sell your parts and accessories on one of the biggest online marketplaces.

The Parts Manager’s Checklist to Mastering eBay

Download the Free Checklist!

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