Are you concerned about the security of your car dealership? You're not alone. Car dealership security is a top priority for dealerships across the country. With the increase in vehicle thefts and break-ins as well as car thieves becoming more sophisticated, it has become essential for dealerships to invest in robust security measures to protect their inventory and assets.
In this blog we discuss the challenges faced by car dealerships, why car dealership security is important, how to secure your car lot, and how physical security can provide car yards with a competitive advantage.
The risks and challenges faced by car dealerships
Car dealerships face numerous risks and challenges when it comes to security. Vehicle theft is the most obvious risk and involves criminals stealing cars directly from the dealership car lot. This can occur during business hours with thieves posing as potential buyers, or after hours when the dealership is closed. Thieves may also aim to steal specific, high-value parts from the vehicles. Items like rims, tires, radios, and even airbags can be targeted as well as cash or customer information.
Vandalism is another common challenge faced by car dealerships. This involves intentional damaging or defacing of vehicles on your lot. Vandalism can result in significant repair costs and can also deter potential customers.
Data breaches and malicious activity are often overlooked challenges faced by car yards. With dealerships storing a great deal of sensitive customer data, they can be targets for cyber-attacks aimed at stealing this information.
Why is car dealership security important?
Car dealership security is important for many reasons including,
- Protecting against financial loss
- Protecting customer base
- Reducing risk of reputational damage
- Enhancing your return on investment
Protecting against financial loss
Vehicles are valuable assets, and losing even a single car can have a considerable impact on your profitability. By implementing robust security measures, car dealerships can significantly reduce these risks and protect their business from harm.
Protecting your customer base
Car theft can damage your reputation and undermine customer trust. Potential car buyers may hesitate to visit a dealership with a history of theft, fearing that their desired car may be a target.
Reducing risk of reputational damage
Customers are more likely to purchase from dealerships they perceive as trustworthy and secure. In the event of a security breach, word of mouth can spread quickly and discourage potential customers from visiting the dealership. Investing in security measures can instill trust and confidence in customers, leading to long-term success in the highly competitive automotive industry.
Enhancing return on investment
Vehicle theft not only impacts your immediate financial health but also influences your long-term insurance rates. While insurance may mitigate some losses, the aftermath of deductibles and potential premium hikes still pose financial challenges.
By adopting robust security protocols at your car yard, you have the opportunity to not only enhance protection but potentially reduce insurance costs. This proactive approach enables you to allocate resources more effectively across your business.
How to improve car dealership security
As we explore the crucial role of security within car dealerships, it's important to focus on implementing strategic physical security measures to safeguard against potential theft and vandalism.
- Invest in an advanced perimeter solution
Choosing a robust perimeter security solution is crucial for car dealerships. These systems can integrate surveillance cameras, alarms, intrusion detection systems, and access control solutions. They act as the first line of defense against potential threats by deterring criminals and and promptly identifying any security breaches. By doing so, they safeguard your business assets and ensure continuity.
- Integrate a video management system
A video surveillance system is an essential component of any car dealership security strategy. It acts as a deterrent to potential thieves and provides valuable evidence in the event of a theft.
- Implement access controls
Electronic access control enables you to ensure only those with authorized access can enter sensitive areas or enter the car lot after hours. An access control solution will also enable you to lock or unlock doors using a smartphone, keep track of when people are entering and exiting your lot, and add, edit or remove an unlimited number of users.
An app-based solution like Gallagher SMB is a great choice for businesses like car dealerships. With the ability to manage multiple sites from a single app, managers and owners can confidently oversee the security of their vehicle lots from anywhere, at any time.
Furthermore, security fencing for car dealerships can detect and deter unauthorized access after-hours. As in the case study above, after installing Gallagher perimeter fencing IAA, not only reduced theft but also eliminated the need for security guards on site.
- Enhance lighting and visibility
Well-lit areas serve more than one purpose, not only can it deter potential thieves but also improves overall visibility, making it easier to detect and report suspicious activity.
- Implement a robust cybersecurity strategy
Many car dealerships overlook the importance of cybersecurity. However, a few small steps can vastly improve your protection against cyber threats. This includes regularly updating software and firmware, utilizing strong passwords and multi-factor authentication, and educating employees about cyber threats and best practices. When purchasing new technologies, choose suppliers with a security-first development philosophy.
How Insurance Auto Auctions enhance car dealership security
When IAA was in search of a more sophisticated car yard security system complemented by unparalleled service to protect their dealership, they opted for Gallagher’s perimeter security solution.
By embracing Gallagher's security fencing solutions, IAA has successfully transitioned towards a more cost-effective model, significantly reducing reliance on physical security personnel. This strategic move has also streamlined and improved operations from their Chicago headquarters and elevated their overall security posture.
Maintaining a secure car dealership
Protecting your car dealership from theft requires a multi-layered approach that combines physical security measures including, surveillance systems and access control. By implementing these strategies, you can significantly reduce the risk of theft and create a safer environment for your staff and customers.
Contact Gallagher today to learn about our security system for car dealerships and how they can help you protect your car auction yard.