Cox Automotive Dealership Staffing Study
How Holistic Staff Training Can Increase Brand Loyalty
Thursday October 12, 2017
Article Highlights
- In the automotive industry, more than half of dealership gross profit margin goes to payroll, which means the impact your employees can have on your customers and on your culture can be significant.
- Given an average cost of $10,000 per new hire and an annual turnover rate as high as 67 percent for sales positions, a dealership with 100 salespeople can lose $670,000 a year.
- In the automotive industry, more than half of dealership gross profit margin goes to payroll, which means the impact your employees can have on your customers and on your culture can be significant.
In the automotive industry, more than half of dealership gross profit margin goes to payroll, which means the impact your employees can have on your customers and on your culture can be significant.
According to the 2017 Cox Automotive Dealership Staffing Research, which was conducted on behalf of Cox Automotive by KS&R with consultation from Hireology, the study includes a random representative sample of 50 dealer owners, principals, and GMs (online discussion) about their current dealership staffing practices and challenges; 343 dealership employees (online quantitative survey) about their experience as a dealership employee; and 834 U.S. general population (online quantitative survey) about their opinions about working at a dealership.
Given an average cost of $10,000 per new hire and an annual turnover rate as high as 67 percent for sales positions, a dealership with 100 salespeople can lose $670,000 a year.