How digital signatures simplify the conclusion of contracts in the car dealership

Digital communication and services are widespread and easy and convenient for both customers and businesses. This also applies to the services of a car dealership. But not all processes are typically digitally recorded. This includes signing a contract. Thanks to an electronic signature, a legally secure digital signature is no longer a problem today.

The manual signature as a brake

Although personal contact with the customer still plays a major role in a car dealership, various services have arrived in the digital world. Concluding written contracts is an important part and a normal activity, which could also be initiated and concluded electronically

Contract processes in the car dealership

There are innumerable processes in the car dealership where a signature is required, but in most cases it must also be legally binding and legally secure:

  • Sales contract
  • Reservation contract
  • Test drive
  • Binding order
  • Cancellation policy
  • Commission contract
  • Privacy policy
  • Declaration of assignment for security
  • SEPA Mandate
  • Acknowledgement of receipt
  • Rental agreement
  • Self-disclosure
  • Used car guarantee contract
  • Full Service Contract
  • Trade-in contract
  • Workshop order / extension order

In practice, however, the situation is different in many cases. At the given time, all that is missing is the customer's signature - and he has to sign it by hand. An effort for both sides: The contract has to be printed out, it may have to be sent by post twice and the contract may also remain in the drawer for a few days. Time is lost and costs arise.

Advantages of the digital signature from the customer's perspective

If the contracts are fully digitised, the problems mentioned above will not arise. The digital signature enables customers to sign the contract easily and conveniently from home via a terminal of their choice - smartphone, tablet, laptop or PC. The customer is independent of location and time and can make his decision in peace.

Improved user experience

For the customer, a digital contract is an enhanced user experience. There is no additional hassle such as going to the post office and the associated formalities. Most customers do not want to have to deal intensively with contracts, so a significant time saving - as is the case with digital contracts - is highly appreciated.

Identification procedure

A digital identification procedure will also facilitate future contract conclusions. The customer in the car dealership only has to identify himself the first time. The identity is securely stored and further contract conclusions are thus simplified. Identification via the bank account or via VideoIdent also offers two very simple and convenient identification methods. Ideally, the car dealership customer can choose the most convenient one for him from several possibilities.

Advantages of digital contracts from the viewpoint of the car dealership

Online contracts also offer a number of advantages for car dealerships. The time savings are also evident here, as the processing of contracts is accelerated. A precisely plannable and secure process can be offered thanks to digital contracts, which also generates added value for the customer. Uncertainties, for example about when a contract will be returned, are reduced. Depending on the contract and service, contracts can be concluded within a few minutes.

Improvement process in the car dealership

A further advantage is that documents already available in electronic form can be processed more easily. The process after the conclusion of the contract is thus also made easier and faster. Tedious data entry or scanning of contracts is no longer necessary. Fast analyses and compilation of operational key figures are also possible directly and more easily.

Significant time savings for employees in the car dealership

The time savings and process optimization naturally also bring cost savings. Not only does the reduced time required save costs, but the costs for paper, postage or archiving are also significantly reduced - and this is only the first, direct effect of a completely digitalized contract process. Subsequently, there are further savings, for example in archiving, personnel costs or the follow-up of contracts.

Time and competitive advantage

Car dealerships can thus gain a valuable time and competitive advantage from digital contracts. There is no need to wait or sign, and the process of concluding a contract is not stopped in the meantime. The time saved can be used for other purposes and ideally converted into more productivity. The savings are enormous, especially when many contracts are signed.

Attractive criterion for end customers

Compared to the competition, a competitive advantage can be achieved with digital contracts. Not only can the offer to conclude digital contracts with customers be an attractive criterion for customers, but more or additional services can be offered through the more productive use of working time. Not to mention the cost advantage in itself.

Car dealership customers today expect more digital service

Digital products and services have long been part of people's everyday lives. This creates a certain amount of expectation on the customer side. Anyone who can take out subscriptions for mobile phone or streaming services with just one click, apply for a loan and use their smartphone for online banking, would also like to see other products accompanied by digital service.

The topic of meta services, in which physical products and services on site are also supplemented by digital services, is playing an increasingly important role. Customers want these digital possibilities, especially if they allow for more convenience and individuality.

Consumer Experience and User Experience

The keyword in this context is consumer experience. Especially in the area of one's own car and other vehicles, there is a high experience factor for the consumer - and the great opportunities offered by digital services. Consumers are looking for shopping experiences with added value: the possibility of a digital signature is a service supplement that should not be underestimated.

To achieve this, the use of the additional digital offer must be correspondingly simple, so that customers quickly feel comfortable with the digital services. In addition to the consumer experience, the user experience must also be right.

Digital contracts contribute to new business models

The advantages of the car dealership have already been pointed out. In addition to a significantly higher efficiency in contract processing and the repetition of contractual processes, the possibility of completely new types of contracts can arise thanks to digital contract design.

Where previously paper-based contract processing would have been far too high in comparison to the benefits it brings, such contracts can now be realized digitally in a simple and cost-saving manner. This makes other business models interesting, for example, brokerage activities or contracts in the area of financing or insurance.


Digitisation in car dealerships is a comprehensive process that extends into all areas. Digital contracts with the possibility of providing legally valid signatures electronically contribute to significant simplifications from the perspective of both customers and car dealerships. It is only logical that the digital version is long overdue even for contracts that were previously drawn up in writing.

In addition, digital services are increasingly appealing to customers in order to make their consumption experience even more convenient and individual. Digital contracts make a contribution to this. Without a changeover, there is a risk that customer satisfaction and competition with competitors will fall behind.

Any more questions? Would you like more information? We look forward to hearing from you.

Feel free to contact us today to discuss your challenges and to learn more about whether Automanager is the right tool for you.
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