The battle against COVID-19 also requires cost reduction and operating efficiencies The unfortunate reality is that, regardless of how hard dealers work or how innovative they are in driving sales and service, many are also turning to more drastic measures to reduce cost and optimize operations in their efforts to win the fight against the coronavirus. Almost all survey respondents (89 percent) felt added flexibility from lenders on repaying floorplan loans or renegotiating floorplan terms would be somewhat to very helpful in mitigating their anticipated declines in sales and service revenue. More than three-fourths (76 percent) are likely to consider reductions in marketing. Many are also likely cutting employment. In fact, many survey respondents noted that they have already had to make employment adjustments as a result of declines in business. "We have laid off 30 employees since March 20," said one respondent. "We remain open; however business is very quiet. We do a lot of cleaning of all customer-facing areas several times a day and seven nights a week, but have furloughed many employees hoping they can return." " We had to lay off half of our staff, approximately 90-100 people. - Survey respondent So far, I have had to lay off 75 percent of my employees. - Survey respondent We are evaluating customer traffic, ad spending and staff needs daily. - Survey respondent 89% Respondents who felt added flexibility from lenders on repaying floorplan loans or renegotiating floorplan terms would be helpful to mitigating declines in sales and service revenue 76% Respondents who are likely to consider reductions in marketing spend 61% Respondents who are likely cutting employment Source: Automotive News Data Center