Turning Data Into Action: Essential DMS Reports for Dealers

At Integrated Dealer Systems (IDS), we spend a lot of time talking to dealers about the features that really move the needle in their dealership management software. Overwhelmingly, one answer comes up: data and reporting. Data is your compass, after all.

If your dealership is running on an integrated dealership management system (DMS), you’re already sitting on a gold mine of data to help you pinpoint inefficiencies and revenue opportunities in every area of your business. But here’s the catch: many dealership teams still aren’t tapping fully into the reporting capabilities of their DMS, and they’re missing opportunities as a result.

In today’s competitive market, where every lead matters and customers are cautious with big purchases, it’s important to turn your data into action. Ideally, everyone on your team should be equipped with reports to track performance, incentivize their work and spot opportunities for improvement. But in a competitive market, where customers are hesitant to take the plunge on buying a new unit, homing in on your sales and service data is critical.

Below are some examples of reports you should be pulling on a weekly and even daily basis to stay on top of sales and service at your dealership. All of these reports are available in IDS Leadership Insights, IDS’ integrated dealership analytics tool. But even if you’re using a different analytics platform, these are the metrics you should be keeping an eye on.

Sales & Inventory Summary

In a market where every lead counts, it’s more important than ever to keep an eye on your sales metrics, from total unit sales right down to individual locations and sales by individual salespeople.

From a bird’s-eye view, it’s important to track:

• Unit sales (current and historical)
• Gross profit (by location and salesperson)
• Sales margin as a percentage of net price
• Sales margin by brand and unit type
• Percentage of goal achieved (sales and F&I)

Inventory Review

One of the most common challenges our team continues to hear about is managing aging inventory. With high interest rates and inconsistent sales, many dealers are still feeling the pressure.

It’s more important than ever to know what you have in stock. Some key metrics you should be tracking are:

• Total inventory count and costs (by manufacturer, brand and model)
• Inventory turns per year
• Monthly supply
• Units sold available and units on order
• Count and cost of aged units (over 270 days in stock)
• Identify and review oldest units on the lot

It’s also important to home in on your parts inventory specifically, as those opportunities are easy to overlook.

• Aged parts on hand and cost
• Obsolete parts cost
• Total parts cost by lot and age
• Total cost by parts group

F&I Review

To get the maximum value on every deal, optimizing per-unit gross profits is increasingly important. Top dealers are financing 70% or more of unit sales. Many dealers even have someone in house focusing on F&I sales, to maximize on every opportunity.

Some key F&I metrics to track are:

• Total F&I profit (by location and manager)
• Average F&I profit per vehicle retailed (PVR)
• F&I profit as a percentage of net price
• Percentage of goal achieved
• Finance penetration
• Product penetrations
• Number of contracts per F&I manager

Services & Parts Summary

RV sales are highly competitive, and we can’t control fluctuations in the market. Service, on the other hand, is rarely price-shopped. With the customer’s vehicle already in our possession, we have a captive audience and greater control over the opportunity. Make sure your service department is operating at maximum efficiency, and don’t miss out on opportunities to sell add-on parts.

There are several key metrics you should be tracking to keep a finger on the pulse of your fixed ops departments as a whole, by location, by team member and by job bill type:

• Labor sales
• Billed hours per work order
• Total sales per work order
• Parts invoice margin
• Repair event cycle time (RECT) days
• Service efficiency (billed hours compared to actual hours)
• Percentage of goals reached (service and parts)

Open & Completed Work Order Review

Don’t miss out on the opportunity to dive deeper into your completed work orders. Analyze sales and profit by labor, parts, sublet and extras to pinpoint areas where performance may be lagging and where there’s room to upsell more effectively.

Apply the same approach to open work orders. The goal isn’t to micromanage your team, but to spot potential issues early so they can be resolved quickly and minimize any impact on the customer.

Technician Review

Track your service team’s performance on a whole and individual level:

• Job count
• Billed hours
• Available hours
• Actual hours
• Premise hours
• Efficiency — billed/actual
• Proficiency — billed/available
• Productivity — actual/available

It’s handy to be able to pull these metrics up during reviews with your technicians, so you can have a transparent conversation about what’s working and where you might need to see improvement.

Compare to Regional & National Averages

It’s essential to benchmark your dealership’s performance not only against your own historical data but also against your strategic goals. However, in today’s competitive market, what can truly set you apart is understanding how your dealership stacks up against others in your region and across the nation.

To support this, a new report within Leadership Insights allows dealers to compare their performance to regional and national averages across several critical metrics, including:

• Average deliveries per lot
• Gross sales margin
• Average net price of units sold
• Average financed deal structure
• F&I performance
• Finance product penetrations
• Finance penetration

For even deeper insights, consider breaking the data down by sales categories, such as new versus used units, consignment sales and motorized versus towable RVs.

Reviewing key performance reports should be part of every dealership manager’s daily routine. Data is more than just numbers; it’s your dealership’s compass and most valuable asset. Your data is like gold — mine it often.