DMS KPI Dashboard: Sales, Inventory Aging, Gross, Recon
    DMS Fundamentals

    DMS KPI Dashboard: Sales, Inventory Aging, Gross, Recon

    Essential dealership KPIs to track in your DMS dashboard: sales metrics, inventory performance, profitability, and operational efficiency indicators.

    Sarah Lin
    Jul 25, 2024
    7 min read

    A DMS KPI dashboard displays real-time metrics that determine dealership profitability: inventory turnover (how fast vehicles sell), inventory aging (days in stock), gross profit per unit (front-end + back-end), lead response time (speed to contact), and recon cycle time (days from acquisition to retail-ready).

    Tracking the right KPIs daily helps dealers identify problems early (aged inventory, slow leads, low gross), optimize operations, and improve profitability. Most modern cloud DMS platforms provide real-time dashboards accessible from any device.

    Top 10 Dealership KPIs to Track

    1. Inventory Turnover Rate

    Formula: Annual Unit Sales ÷ Average Inventory

    Benchmark: 8-12x/year (30-45 days per vehicle)

    Why it matters: Higher turnover = less carrying cost (floor plan interest), lower depreciation, fresher inventory

    2. Inventory Aging (Days in Stock)

    Formula: Days since vehicle added to inventory

    Benchmark: Less than 45 days optimal, 60+ days requires price reduction

    Why it matters: Aged units depreciate 15-20% after 60 days, tie up floor plan credit

    3. Front-End Gross Profit

    Formula: (Sale Price - Cost - Recon - Pack)

    Benchmark: $1,500-$2,000 per unit (independent dealers)

    Why it matters: Direct vehicle profit, shared between dealership and salesperson

    4. Back-End Gross (F&I Income)

    Formula: Total F&I product income (warranties, GAP, VSC)

    Benchmark: $1,200-$1,800 per unit (independent dealers)

    Why it matters: Often exceeds front-end gross, high-margin revenue stream

    5. Total Gross Per Unit (PVR)

    Formula: Front-End Gross + Back-End Gross

    Benchmark: $2,500-$4,000 per unit

    Why it matters: Key profitability metric, tracks dealership efficiency

    6. Lead Response Time

    Formula: Time from lead arrival to first contact

    Benchmark: Less than 5 minutes optimal, less than 15 min acceptable

    Why it matters: Responding within 5 min increases conversion 400% vs 1 hour delay

    7. Sales Pipeline Conversion Rate

    Formula: (Deals Closed ÷ Qualified Leads) × 100

    Benchmark: 15-25% for qualified leads

    Why it matters: Measures sales team effectiveness, identifies training needs

    8. Recon Cycle Time

    Formula: Days from acquisition to retail-ready (photos, pricing, posted)

    Benchmark: 3-5 days for used cars

    Why it matters: Faster recon = faster sales, reduced floor plan costs

    9. Recon Cost Per Unit

    Formula: Total recon costs (parts, labor, detailing) per vehicle

    Benchmark: $300-$800 per vehicle (varies by condition)

    Why it matters: Directly impacts front-end gross, excessive costs reduce profitability

    10. Website-to-Lead Conversion Rate

    Formula: (Website Leads ÷ Website Visitors) × 100

    Benchmark: 2-5% for automotive websites

    Why it matters: Measures website effectiveness, identifies UX improvements

    Industry Benchmarks by Dealership Size

    KPISmall (5-20 units)Medium (20-100 units)Large (100+ units)
    Inventory Turnover10-15x/year8-12x/year6-10x/year
    Days in Stock (Avg)24-36 days30-45 days36-60 days
    Front-End Gross$1,000-$1,500$1,500-$2,000$1,200-$1,800
    Back-End Gross (F&I)$800-$1,200$1,200-$1,800$1,500-$2,000
    Lead Response TimeLess than 10 minLess than 5 minLess than 5 min (BDC)
    Recon Cycle Time2-4 days3-5 days4-7 days

    How to Use Your DMS Dashboard Effectively

    Daily Morning Review (5 minutes)

    • Check aged inventory (60+ days) - plan price reductions or wholesale
    • Review lead response time from previous day - coach slow responders
    • Identify vehicles in recon more than 5 days - expedite completion

    Weekly Sales Meeting Review (15 minutes)

    • Gross profit trends (week-over-week) - celebrate wins, address concerns
    • Sales pipeline conversion rates by salesperson - identify training needs
    • Top/bottom performing vehicles - double down on winners, discount losers

    Monthly Business Review (30 minutes)

    • Inventory turnover rate - compare to prior month and industry benchmarks
    • Total gross per unit (PVR) - analyze front-end vs back-end mix
    • Overall profitability - identify expense optimization opportunities

    Frequently Asked Questions

    What are the most important KPIs for dealerships?

    Top 5 dealership KPIs: (1) Inventory turnover rate (target: 8-12x/year for used cars), (2) Days in stock/inventory aging (target: <45 days), (3) Gross profit per unit - front-end + back-end (target: $2,500+), (4) Lead response time (target: <5 minutes), (5) Sales pipeline conversion rate (target: 15-25% for qualified leads).

    How often should I check my DMS dashboard?

    Daily: Inventory aging (identify aged units), lead response time (ensure fast follow-up). Weekly: Sales pipeline, gross profit trends, recon cycle time. Monthly: Inventory turnover rate, overall profitability, staff performance metrics. Most modern DMS platforms offer real-time dashboards accessible via mobile app.

    What is a good inventory turnover rate for used car dealers?

    Industry benchmark: 8-12 times per year for independent used car dealers (turning inventory every 30-45 days). Higher turnover (12-15x) is excellent but requires strong acquisition pipeline. Lower turnover (<6x) indicates pricing issues, poor vehicle selection, or weak marketing. Calculate: Annual Unit Sales ÷ Average Inventory.

    How do I calculate front-end vs back-end gross?

    Front-end gross = (Sale Price - Vehicle Cost - Recon - Pack). Back-end gross = Total F&I product income (warranties, GAP, service contracts, etc.). Total gross per unit = Front-end + Back-end. Industry average: Front-end $1,500-$2,000, Back-end $1,200-$1,800 for independent dealers.

    See DealerOneView's Real-Time KPI Dashboard: Track all critical metrics in one place. Mobile-accessible, real-time updates. Book a demo to see how it works.

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