- Car dealerships feature individual departments to deal with customers from initial interest through automotive repair. Every dealership has a sales department connected to a showroom and outdoor lot with salespeople keeping an eye on prospective buyers. Dealerships selling new vehicles should have financing departments to encourage consumers to buy cars and trucks on the spot. Once customers purchase their vehicles, they can head back to the dealership to use the parts and service departments for routine maintenance. The service department may have a courtesy van station as well as a rental car counter to accommodate drivers who cannot sit around waiting for repairs.
- The primary division in car dealerships is between new and used lots. Most dealerships selling new vehicles have specific sections for used cars and trucks to accommodate consumers on tight budgets. Some dealers prefer to run used car lots because they are not confined to certain makes and models. New car dealerships are divided from one another by the vehicle brands sold on their lots. These dealerships may sell a single brand like Volkswagen dealers or carry an entire family of vehicle brands like Chrysler/Dodge/Jeep lots.
- Car dealers can become community leaders if they develop good reputations and sell quality products. A dealer can use this public esteem to open new car lots, start new ventures and run for political office. Another benefit of running a car dealership is the high profit possible with trendy cars. Dealers selling Hummers in the late 1990s and eco-friendly cars today can realize nice profits while meeting customer demand. A car dealer can also test out the latest vehicles and learn about the cutting edge of the automobile industry through company publications.
- Every car dealer has to worry about buyback criteria for used cars and maintaining a good sales staff when running his business. Car dealerships that buy back used vehicles typically use test drives, inspections and formulas based on Kelley Blue Book values to determine trade-in and purchase prices. The highly competitive nature of the automotive sales industry leads to high turnover, making a core group of salespeople critical for a dealer's business. Car dealers can use monthly incentives, annual bonuses and other incentives to keep salespeople happy during slower periods. A dealership can also recruit new graduates and ask experienced sales professionals to act as mentors, creating multiple personnel tiers to fill in gaps as employees quit or retire.
- Car dealerships can span between five and 20 acres depending on several variables. Every customer is familiar with the main car lot at a dealership, typically placed out in front of the showroom to attract casual motorists. This lot may be supplemented by a used car lot on the side as well as an auxiliary lot in the rear for extra vehicle storage. The interior space can vary greatly from dealership to dealership though a standard dealer will have a waiting area, showroom, reception area, garage and parts department. Additional room for customer parking, courtesy van and rental car storage and loading areas is necessary in dealerships with high volumes of daily traffic.
