Unrealistic Sales Goals Press Release

New Survey Finds Nearly 90% of Consumers Believe Car Dealers Should Be Held More Accountable For Aggressive Practices

Total Dealer Compliance showcases consumer fatigue towards auto dealership sales and reputation

New York, NY — January XX, 2017 — Total Dealer Compliance (TDC), a car dealership compliance-auditing firm, today announced key findings from its latest auto dealership and consumer survey which found almost 90% of consumers believe that car dealers should be held more accountable for their combative sales techniques. The survey also revealed that nearly 85% consumers said they believe US car dealerships are given unrealistic sales goals and in turn conduct aggressive sales tactics.

The survey confirms the idea that consumers have become the victims of aggressive sales tactics and explores the lasting effects of car manufacturer’s improbable sales goals have on consumers, shareholders, and car dealerships. The unrealistic sales expectations set by car manufacturers can force car dealers to engage in deceptive trade practices and aggressive sales tactics.  

“The industry is ripe with deceptive sales strategies that consumers and dealers alike must recognize and be more aware of. The expectations set by car manufactures OEM’s (original equipment manufacturer) are the primary variable in the vicious sales sequence,” said Max Zanan, President of TDC. “Requiring car dealers to report sales monthly leaves room for high failure rates, pressures to sell, high fines, and non-compliant accusations that will cost the dealership thousands of dollars.”

 

Highlights from the consumer survey include:

  • • Nearly 80% of consumers believe aggressive car sales are avoidable
  • • Over half of consumers surveyed believe unrealistic sales goals set by OEM’s cause car dealerships to conduct aggressive sales tactics
  • • Nearly 90% of consumers feel car dealers should be held accountable for their aggressive sales tactics
  • • More than 80% of consumers believe car dealers are put under too much pressure by OEM’s to increase sales numbers
  • • Half of the consumers surveyed believe eliminating monthly reporting cycles will reduce pressure from car makers and decrease aggressive sales tactics by dealers

“The automotive industry has a reputation of aggressive and deceptive sales practices,” said Zanan. “In reaction to the constant coverage of ‘dirty dealerships’, and consumers’ desire for transparency car dealers should execute regular audits, provide online courses to employees and conduct their business ethically. TDC’s survey further highlights the need for a strong compliance training program – as compliance results in transparency, a transparent dealership by definition will not engage in aggressive sales tactics.”

About Total Dealer Compliance

Total Dealer Compliance is an auditing firm that provides a comprehensive solution to ensure car dealers are fully compliant with Federal regulations within Sales, BDC, F&I, Fixed Ops, HR and IT departments. For more information, please visit www.totaldealercompliance.com or call 1-888-243-5204.

The survey was conducted online in January 2017 among 200 U.S. adults age 18+.