Is High Turnover Hurting Your Dealership's Bottom Line?

The average cost of replacing a single car salesperson is over $10,000 when you factor in recruiting fees, onboarding, and lost revenue from missed deals. High turnover doesn’t just impact morale—it drains your budget and slows down your sales floor.

If you're struggling with sales staff retention, you're not alone. The good news? There are clear, proven strategies to keep your team engaged, productive, and motivated to stay.

Here are five essential tips to train and retain your dealership sales team:

1. Invest in Digital Sales Training

Ongoing training isn't an expense—it’s an investment that directly increases productivity and retention.

Why it matters:

• Salespeople who feel supported are more likely to stay long-term
• Better-trained reps close more deals and perform more confidently

We recommend combining hands-on, in-house coaching with flexible digital training modules. Online training allows each team member to learn at their own pace and revisit topics when needed—ideal for onboarding and continuous improvement.

If your sales team isn’t constantly developing their skills, they’ll struggle to compete in today’s market—and that often leads to burnout and turnover.

2. Prioritize Phone Call Training

In automotive retail, the phone is often your first touchpoint with potential buyers. Unfortunately, it’s also one of the most overlooked parts of training.

How to improve:

• Practice daily as a team to refine phone scripts, voicemail strategy, and appointment-setting techniques
• Use call recording software to review real calls and identify opportunities for improvement

This type of training builds confidence, improves appointment show rates, and boosts team morale—all of which lead to better retention.

3. Build a Team-First Dealership Culture

A high-performing dealership isn’t built on internal competition—it’s built on collaboration.

Encourage a "we" over "me" mentality by:

• Creating peer mentorship programs
• Rewarding veteran staff for coaching new hires
• Promoting shared success instead of siloed wins

When salespeople work together, share strategies, and celebrate each other’s wins, you create a culture that people want to be part of.

4. Set Clear, Data-Driven Goals

Sales goals work best when they’re based on real performance metrics and tailored to each salesperson’s abilities.

Use dealership data to:

• Set measurable, realistic monthly and quarterly targets
• Align incentives with dealership-wide objectives
• Track progress and coach around what the numbers reveal

According to Harvard research, salespeople who use a goal-based system perform up to 30% better than those who don’t. Make sure every goal has a number behind it—and a clear path to achievement.

5. Support Career Growth Within the Dealership

Many salespeople see their role as a stepping stone. If they don’t see a future at your store, they’ll find one somewhere else.

Retain top talent by:

• Outlining career progression paths to finance manager or sales manager roles
• Offering training and leadership development for those ready to move up
• Having regular check-ins to understand career goals

Employees who see a future with your dealership are significantly more likely to stay—and to perform like they belong there.

Final Thoughts

Sales staff turnover is one of the most expensive and disruptive issues a dealership can face. By investing in training, improving communication, fostering growth, and creating a supportive culture, you’ll see measurable improvements in performance, retention, and overall team morale.

Want to keep great salespeople longer and sell more cars along the way? Start with these five proven strategies and build from there.