Prior to starting my career in car sales, I served tables at restaurants for many years while pursuing a college education. The hourly rate was $2.13/hr which 95% of the time was a small check around $20 because, as you likely know, you wait tables for tips, not an hourly rate. Optimizing that pay plan meant taking as many tables as possible and/or generating large ticket totals and hoping the person footing the bill knew what a good tip percentage was.
In automotive sales, the pay plan isn’t much different. No one gets hired at our dealership to wait around and collect the hourly base pay that is required by law. The beauty of getting paid on commission is the opportunity to “create your paycheck”, the idea that the more work you put in the more you will yield in return.
What sets car sales apart from taking orders at restaurant is that the percentage you’re paid isn’t dependent on the customer’s experience and their perception of you, but the dealership itself. There are many stories of typical car buying experiences that take advantage of this by neglecting the customer experience and cutting straight to the transaction. But what if I told you your income is directly related to your customer’s experience? Read more