Nearly half of car dealers expect the amount of paperwork handled by car dealerships to increase over the next three years.
With 44% expecting an increase, 12% anticipated a dramatic rise in the paperwork. Already, 57% of car dealers say that over half of their work is paper-based, and one-in-five (20%) say that 75% or more is according to research from information management firm EDM Group.
In terms of why the amount of paper the industry deals with is set to rise, nearly nine-tenths (89%) of car dealers say it is because of increased regulation, while 79% believe it is because of changes to company rules and corporate governance.
Matt Collinge, associate director – automotive at EDM Group, said: “The impact of more paperwork not only increases the chances of car dealers being exposed to fraud, it can also have a huge impact on customer service levels. Some 59% of respondents to our survey say they expect service levels to fall because of this – some 15% believe that the increased focus on paper will have a ‘very negative’ impact on service levels.”