I am looking to improve our dealerships overall Internet operation. What is the first step?

We have a small Toyota dealership in East Tennessee and we have never done a great job with the Internet. I am in the process of totally overhauling it. I need a Internet manager and team. Should I hire the people first and get there input on the process or put the process in place then hire the people?

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I would suggest Impementing a Process and then Hiring to cater to your wants. There a many great processes out their and each one works. It's up to you though and not your employee's. You can hire to match your process instead of creating a process to match your employee's skills. At least that's what I've had luck with.
The BDC or internet department can be such a blessing to your dealership. Be sure to insist on edification between the departments or you will have a disaster. We jumped into it about 6 years ago without a process and we learned the hard way. Talk to dealerships that have a process and STEAL their ideas, you don't need to re-invent the wheel. Internet/BDC's have been around for along time.
May the LORD bless you to the max in this endeavor!
Patrick,
First of all congratulations on realizing where your opportunity is at, and deciding to handle it. I would recommend putting a process in place immediately. The one constant in our business is "change". Once you have a team in place, if you decide there is a better way to do it, you can always make changes as needed.
I will also recommend you set up a dedicated studio for you photo's. They need to be uniform, high quality, and have dealership branding in them. Don't skimp here, at least 25 good quality photo's per vehicle minimum.
Good luck, and I wish you success with your Internet department.
As Brad said, set up the process first, then hire and train people accordingly. Work on a 90-day plan, draft templates for each scenario, and then go longer term. You'll need two plans: (1) if the customer responds and (2) if the customer doesn't respond. Keep in mind the average customer won't reply until they receive the 9th email from a dealership, and over 30% of customers buy after 90 days, so you'll need a long term plan.

A well-written template won't sound like a template. Don't leave it to your internet consultants to put together a response on the fly - between a lousy command of the English language and poor grammar (not to even mention selling skills), you won't be selling much if you don't think about templates ahead of time.

Good luck! Email if I can help-
The internet department... this is one of my favorites! I have developed and implemented a PROCESS for a few dealers, and it always comes down to a couple of things: having a process, sticking to that process, and holding the person (or persons) accountable for "their department". The person(s) you appoint to head up this department have to have the drive and motivation to stay on top of their leads, and it is a must to create a NO EXCUSES policy with their follow up/process.
The main key to the follow up is to do it in "real time". When the customer inputs that lead, they are in the market in one way, shape, or form. They want to be contacted (whether it be by email, phone call, or text)... they want someone to show interest in selling them a vehicle/getting them the information they have requested.
If you would like more info, or advice feel free to contact me at welte85@gmail.com -Dan
Process first, people second..I can help you with the people, Once you have your processes in place. It's VITAL that you find the RIGHT people. The right people can make your department and WRONG people can destroy you!!!!!!!!!

watch this video...

http://www.youtube.com/watch?v=yIm95Qu28Ik
Take care....and stay in touch...
Hey Patrick! Good for you for making the decision to embrace what should represent over half of your sales! The good news is that improving this part of your business can be relatively quick and painless. I would be more than happy to talk to you about this and get you pointed in the right direction. Drop me an email with your contact information at mpaulson@dealersevolve.com and I'll help you get started.

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