High employee turnover is a common challenge for car dealerships, often costing as much as 400% of an employee’s annual salary to recruit and train a replacement. By adopting strategic hiring practices, dealerships can reduce these expenses, improve team cohesion, and drive profitability.
In today’s fast-changing automotive sales landscape, a dealership’s success depends on hiring talented, high-performing, and adaptable individuals. This article explores best practices for attracting and securing top candidates to strengthen your team and position your business for long-term success.
Audit your team to strategically identify and fill gaps
Building a diverse team in a car dealership is essential, especially considering Women drive 70-80% of all consumer purchasing decisions. Despite this, the automotive industry often struggles with diversity, particularly in attracting women and other underrepresented groups to sales and leadership roles. To address this, start by assessing your current workforce demographics and identifying gaps in representation. Evaluate your hiring process for potential biases and expand recruitment efforts to include platforms and networks that prioritize diversity. Partner with organizations that support women and minorities in the workforce and highlight your dealership’s commitment to inclusion in job postings to attract a broader pool of candidates.
Consumer purchases by women
When building a diverse team, look for candidates who not only meet technical qualifications but also bring unique perspectives and interpersonal strengths that align with customer needs. Prioritize hiring women for roles in sales and customer service, as their insights can help connect with the key decision-makers in vehicle purchases. Additionally, focus on fostering an inclusive culture through mentorship, leadership development programs, and equitable career advancement opportunities. A team that reflects the diversity of your customer base is better equipped to build trust, improve customer experiences, and drive dealership success.
How to Quickly Filter Out Non-Qualified Resumes
In 2025, companies are inundated with a high volume of job applications, many from candidates lacking the necessary qualifications. A survey by Robert Half revealed that 42% of resumes received by HR managers are from unqualified applicants.
This surge in unqualified submissions strains recruitment resources, making it challenging for employers to identify suitable candidates efficiently. To address this issue, many organizations are investing in advanced applicant tracking systems and refining job descriptions to attract more qualified talent. Sorting through unqualified applications can be burdensome and detract from your dealership’s efficiency. Here’s how to sort through resumes effectively and efficiently:
1. Automate Screening with ATS Filters: Utilize Applicant Tracking Systems (ATS) to set filters for minimum qualifications, such as certifications, years of experience, or specific skills.
2. Include Screening Questions in Online Application Systems: Ask critical questions upfront, which may include:
- “Do you have experience selling financial services products?”
- “Are currently eligible to work in Canada?”
- “Have you worked in a car dealership in the past?”
3. Scan for Red Flags: Look for generic resumes, vague descriptions of achievements, or frequent job-hopping without clear progression.
Techniques for interviewing Financial Services Managers for your dealership
Interviews are critical to selecting the right candidate. Incorporate a mix of behavioural, technical, and expertise questions to get a comprehensive view of the candidate’s capabilities:
Behavioural questions assess the candidate’s past performance, skills, and abilities in relevant situations. Examples include:
- “Can you describe a time when you dealt with a difficult customer?”
- “How do you establish trust with new customers?”
Technical questions measure the candidate’s proficiency and competence in the essential tasks and tools required for the role. Examples include:
- “What financial products have you successfully sold and how?” – potentially even role play a few scenarios.
- “How do you assess the creditworthiness and risk profile of a customer?”
Expertise questions assess industry knowledge, depth of experience, and strategic thinking. Examples include:
- “How do you stay current with changes in lending regulations?”
- “From your point of view, how do you see the financial services department interact with other departments at the dealership?”
Secure the right talent for your dealership’s success with our FREE interview template.
Post Interview: Closing the Deal on Top Talent
Once interviews are complete, ensure you secure the best candidate with these steps:
- Score objectively: Use a standardized scoring system included in our questionnaire, to evaluate responses and qualifications.
- Be competitive: Research salaries by industry and city to provide an attractive package, including bonuses and growth opportunities.
- Move quickly: Speed signals interest. Deliver offers promptly and provide reasonable response time.
- Learn from declines: If a candidate declines, ask for feedback to refine your process.
Take the first step towards building a high-performing team.
Download our free Financial Services Manager Interview Questionnaire today to simplify your hiring process and secure the right talent with ease.
At LGM, our dedicated team of Dealer Development Managers (DDM) are committed to helping dealers develop their FSMs so they can deliver exceptional service and value to customers. Whether it’s through training, coaching, or consulting, we help equip your FSMs with the skills, knowledge, and tools they need to succeed in their role. Reach out to your regional DDM or contact Sales@LGM.ca to get started on building and developing your team.