Todd Smith's Posts - DealerELITE.net2024-03-29T13:03:41ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmithhttps://storage.ning.com/topology/rest/1.0/file/get/1150317405?profile=RESIZE_48X48&width=48&height=48&crop=1%3A1https://www.dealerelite.net/profiles/blog/feed?user=1kxcdqc1hwtl5&xn_auth=noAutomotive Lead Process Mapping (Part 2)tag:www.dealerelite.net,2020-06-26:5283893:BlogPost:12231942020-06-26T18:38:13.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/6353735499?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/6353735499?profile=RESIZE_710x" width="380"></img></a> As the automotive lead process is not a new thing. It has become obvious there is a collision between the dealership’s automated systems and human engagement. If you missed our previous post click here</p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Today, we will focus on the first two steps in the lead development process. The autoresponder…</span></p>
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/6353735499?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/6353735499?profile=RESIZE_710x" width="380" class="align-right"/></a>As the automotive lead process is not a new thing. It has become obvious there is a collision between the dealership’s automated systems and human engagement. If you missed our previous post click here</p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Today, we will focus on the first two steps in the lead development process. The autoresponder and squeeze page coupled be powerful attractors for dealerships yet virtually every dealership we tested are squandering these two steps on their initial automotive lead engagement. I started here because this is a great spot to set a first impression and the entire tone of the relationship with the shopper, and it is a spot that is poorly executed in almost every dealership tested. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">First Impressions Matter</span></p>
<p><span style="font-weight: 400;">Let’s start with the autoresponders, which practically every dealership we tested is using one to acknowledge they received the lead request. Every one of these that we received was a wasted opportunity. This is the dealership’s first impression, yet it was a lost opportunity to establish a trust or build any type of engagement besides confirming the lead’s receipt. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Let’s fix it and make the first automotive lead contact compelling.</span></p>
<p></p>
<p><span style="font-weight: 400;">It would be far more effective for the dealership to develop an autoresponder that included these four elements which we will discuss more in-depth below</span></p>
<ul>
<li><span style="font-weight: 400;">Personalization</span></li>
<li><span style="font-weight: 400;">Testimonials</span></li>
<li><span style="font-weight: 400;">How the sales process works</span></li>
<li><span style="font-weight: 400;">“Why Buy” from your specific dealership</span></li>
</ul>
<p></p>
<p><span style="font-weight: 400;">So let’s get a little more specific with this autoresponder email and what it should accomplish. I will assume you already know what personalization of an email is so I will skip that one and focus on the larger core elements.</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">First, we have to establish trust right up front in that initial email. You can begin to accomplish this with a couple of written testimonials with pictures or video ones with links to additional ones. Telling your story through your previous customer’s words and voice is powerful.</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">The second is to paint a visual image of how doing business with your dealership works. Think Explainer Video. Shoppers don’t know, so we need to show and tell them exactly how buying a vehicle from your dealership will looks and how it will make them feel. The context of the video could either be your transparent sales process or explaining your dealerships Digital Retailing process post-COVID-19. This could even be done with an Infographic showing the process. We did see emails coming from salespeople with this type of messaging. Unfortunately, it was much farther down the sales funnel and it wasn’t detailed so it made little impact or added much value. Timing coupled with the right information is everything</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Don’t lose your shopper at hello </span></p>
<p><span style="font-weight: 400;">Third, now that you have established trust through testimonials, and then you highlighted your transparent processes at the dealership its time to show the “Why Buy From Your Dealership.” These four critical elements combined, and upfront placed into your shopper’s mind will put your dealership into the best selling position with the shopper. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">So a quick recap of the auto response:</span></p>
<ul>
<li><span style="font-weight: 400;">Personalize it</span></li>
<li><span style="font-weight: 400;">Have testimonials front and center with customer pictures or even links to customer videos if you have them.</span></li>
<li><span style="font-weight: 400;"> Highlight your sales process in an infographic or Explainer Video</span></li>
<li><span style="font-weight: 400;">Tell your “Why Buy” from your dealership story.</span></li>
<li><strong> </strong></li>
</ul>
<p><strong>Important Note:</strong></p>
<p><em><span style="font-weight: 400;">With every contact through every channel make sure it has one of the two types of CTA “Call to Actions” There is what is called a direct CTA which would be “Buy Now” like on a Digitial Retailing page. The second is what is called a transitional CTA which would be “watch this video.” Every interaction with a shopper should have a clear CTA to drive outcomes.</span></em></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">This is about capturing your shopper’s attention and holding it to establish trust, and no better place exists that your autoresponse. Just because they submitted a lead doesn’t make them yours yet. You still need to get them to engage in that first text, email, or call and ultimately purchase a vehicle. It all begins here as a critical first step with the autoresponse.</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Now onto the second opportunity, we saw squandered in virtually every dealership communication process. It’s called a squeeze page, and it is the page after a shopper hits the submit button on the lead form. Most dealership either just has a pop up thank you or returned us to the homepage. HUGE MISTAKE!</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Learn to maximize your shoppers time on site</span></p>
<p><span style="font-weight: 400;">Let’s create a Squeeze Page and convert more automotive leads into truly active buyers. If you don’t know what a squeeze page is, click here. Otherwise, let’s dive in and talk about moving the shopper further down the funnel faster. The shopper just hit the submit button showing intent in a vehicle on your website. Instead of taking them back to your homepage or just saying “Thank You,” with a page or pop-up, we will use this page to build a deeper connection. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">This page can do a couple of things, but the primary one is to drive a greater propensity to purchase from your dealership. Here are just a couple of ideas that you could potentially include on the page.</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Know the Value of your Trade: You can use third-party credibility here using KBB or Blackbook for the value. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Get an instant appraisal value of the car you are currently driving. </span></p>
<p><span style="font-weight: 400;">Know your credit score: You can use 700Credit or NCC for third party credibility using a soft pull for the shopper. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">Get pre-approved to lock in the best financing rate today. </span></p>
<p><span style="font-weight: 400;">Take a simple 3 question quiz: You can ask questions like what is your timeframe to purchase? Are you planning to purchase or lease? Have you ever owned a Chevrolet?</span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">This page is an incredible opportunity to drive a more in-depth relationship with the shopper while keeping them engage before you even make initial live contact with them. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">If you look outside automotive, these techniques I have described are everywhere online and used by successful marketers to maximize every interaction point with their shoppers. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">In the next post, we will focus on the first personalized engagement with the shopper by phone, email, or text and how to make sure you continue the momentum and drive more sales opportunities into your dealership starting this month. </span></p>
<p><strong> </strong></p>
<p><span style="font-weight: 400;">One more thing.</span></p>
<p><span style="font-weight: 400;">The inconsistency of the automotive lead communication process between shoppers and the dealership can be solved by developing a Content Style Guide for all communication coming from the dealership, whether it is coming out of the CRM or directly from one of your sales team members. Read about designing one for your dealerships here. </span></p>When Automation And Your Sales Team Collide (Part 1)tag:www.dealerelite.net,2020-06-26:5283893:BlogPost:12233002020-06-26T18:30:00.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span style="font-weight: 400;"><a href="https://storage.ning.com/topology/rest/1.0/file/get/6353649282?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/6353649282?profile=RESIZE_710x" width="380"></img></a> I love to create experiments. I am a big nerd at heart.</span></p>
<p></p>
<p><span style="font-weight: 400;">Right now, we are conducting an experiment about sales lead follow up and effectiveness that I wanted to share it with you. We tested 100 dealerships and recorded exactly how they responded to an internet lead request.…</span></p>
<p><span style="font-weight: 400;"><a href="https://storage.ning.com/topology/rest/1.0/file/get/6353649282?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/6353649282?profile=RESIZE_710x" width="380" class="align-right"/></a>I love to create experiments. I am a big nerd at heart.</span></p>
<p></p>
<p><span style="font-weight: 400;">Right now, we are conducting an experiment about sales lead follow up and effectiveness that I wanted to share it with you. We tested 100 dealerships and recorded exactly how they responded to an internet lead request. We documented all of the correspondence in a very elaborate excel spreadsheet with detailed attributes of every interaction. Yes, I totally geeked out!</span></p>
<p></p>
<p><span style="font-weight: 400;">Experiment Methodology</span></p>
<p></p>
<p><span style="font-weight: 400;">We selected all brands from across the country. We also decided to conduct this experiment on lower lead volume days not to disrupt the dealership’s peak selling times in hopes of reaching the highest level of engagement with each dealership. I will be posting the insights on our blog. We will not point out or post any specific dealer flaws; this is an aggregation and observation report. I hope this information will shed light on how to improve your dealership processes down to the words you use and when in the process you use them.</span></p>
<p></p>
<p><span style="font-weight: 400;">Our report is an in-depth look into the content and context of responses, and the chosen channels on how information is delivered back to The Shopper.</span></p>
<p></p>
<p><span style="font-weight: 400;">Lead automation needs an update</span></p>
<p></p>
<p><span style="font-weight: 400;">My first observation is the collision of automated messaging and human responses. Unfortunately, this creates enormous confusion because, in every case, the automated emails are sharing one messaging track, and the one coming directly from human beings are on an entirely different track. We see this as an opportunity to get started on the right foot yet is not being done in virtually any of the dealerships we tested.</span></p>
<p></p>
<p><span style="font-weight: 400;">Where should I focus my attention as a shopper?</span></p>
<p></p>
<p><span style="font-weight: 400;">Our next post will focus on how to solve this initial friction point in the sales lead process. We will cover exactly how to improve the autoresponse to become compelling and engaging. We will also cover the first human response and how to make it meaningful to the shopper. Please subscribe to our blog or check out our Linkedin page where we will also be posting our new updates covering every aspect of the follow-up process.</span></p>
<p></p>
<p><span style="font-weight: 400;">Another item we will be discussing is the almost always overlooked and never utilized SQUEEZE page that could really help keep shopper’s attention and drive them deeper into your sales funnel. Unfortunately again almost no dealerships are leveraging this incredible opportunity. We will share some ideas about that as well in our next post.</span></p>Ten Rules to Determine How Committed You Are To Automotive Salestag:www.dealerelite.net,2019-04-30:5283893:BlogPost:5757062019-04-30T14:28:49.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/2227169071?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/2227169071?profile=RESIZE_710x" width="380"></img></a> This is a real question you have to ask yourself if you want to survive the automotive industry. Are you willing to do what it takes to be successful each and every day to not just work a job, but to build a career? There are many people who started in the automotive industry as a crutch until they found a “better” job. Only a small percentage, however, end…</p>
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/2227169071?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/2227169071?profile=RESIZE_710x" width="380" class="align-right"/></a>This is a real question you have to ask yourself if you want to survive the automotive industry. Are you willing to do what it takes to be successful each and every day to not just work a job, but to build a career? There are many people who started in the automotive industry as a crutch until they found a “better” job. Only a small percentage, however, end up succeeding. National Automobile Dealers Association (NADA) studies show that there is as much as a 70 percent turnover rate in sales. That being said, if you apply yourself, a career in car sales can be more lucrative than any other profession – even doctors and lawyers – if you make an effort. Yes, the hours are long and you will be asking yourself whether this occupation is the right one for you. If you stick to your guns and learn, you will see that you are able to make more money in this industry than you ever could with that degree – and not have the student loan debt that comes with it.</p>
<p></p>
<p>Here are ten lessons from my life in the automotive industry that I want to share. I hope these lessons motivate and inspire you to be the best you can be each and every day and you end up with a successful career:</p>
<p></p>
<p><strong><u>Rule #1</u></strong></p>
<p>Tough bosses will be hard on you, but never let them break you. I have had some tough a#$hole bosses in my automotive retailing life, but I made a conscious decision to learn something from each of them. Even if it was exactly how not to treat someone. Recognize that you need the same focus on your long game. Sometimes managers aren’t leaders. At the start of your career, it is highly probable that someone simply tells you to “Go get an up!” but offers no training outside of, perhaps, manufacturer-mandated product certifications. Is this fair? No! But not all dealerships are like this and, just as you would select a company outside the auto industry to hang your hat on, the retail automotive industry is no different. Many dealerships simply want warm bodies since they don’t really expect anyone to last long. If you want to be successful and make a great living selling cars, it is important to know not only what your support system is but also what training will be provided by the dealership.</p>
<p></p>
<p><strong><u>Rule #2</u></strong></p>
<p>Stop listening to people and be proud of what you do every single day. Selling cars doesn’t seem like a great career choice on the outside, but when you look inside the box you will learn an incredibly diverse set of skills. Through time you can develop amazing people insights that just can’t be learned anyplace else. Some of the overall best salespeople I have ever met all started by selling cars. Don’t buy into the stereotype of “car salesperson.” The fact is that most dealerships and salespeople are ethical and honest. Yes, dealerships need to make a profit just like any other business but most aren’t trying to gouge their customers. In fact, customers are worth more after the sale than they are at the sale. Treat them right and they will keep coming back. There are many examples of customers who love their salesperson, had a great experience and have become brand advocates. I can attest that I have had amazing customers. One that I always fondly remember is Mrs McCook who single handedly was responsible for helping me sell cars to 17 other people through her trust and evangelist effort. Don’t let the perception that many people have jade you into believing that selling cars is a dishonorable profession.</p>
<p></p>
<p><strong><u>Rule #3</u></strong></p>
<p>Never stop learning. The second you stop listening and learning, you start dying. If that’s the path you choose, Home Depot is hiring for a cashier. The foundation of success in any industry is evolution. You have to commit to the profession and seek to better yourself. You cannot rely on others giving you those training opportunities. If they do, that’s awesome. But to truly be a success, constantly striving to better yourself is key. You need to take the attitude of Cortez the famous explorer and “Burn your boats” giving you only one path to success.</p>
<p></p>
<p><strong><u>Rule #4</u></strong></p>
<p>If you don’t learn from your mistakes, you WILL get fired. And nobody will blink an eye. Being great at sales requires fast adaptation to your environment. Just because it worked the last time doesn’t mean it will work that way in the future. Creating an adaptive framework for how you interact with people will enable you to read people better, communicate more effectively and create a better experience for the shopper while, at the same time, being favored in the eyes of your managers.</p>
<p></p>
<p><strong><u>Rule #5</u></strong></p>
<p>Selling is about listening first. If you are doing all of the talking with a shopper, how are you listening and how on earth are you selling? To get this down right, you have to find out what they need! Why do they want third row seats? Why is gas mileage important to them? Is safety a concern for them? What is their current payment? Did they feel that they got a good deal when they bought it? Seriously, ask questions and let them talk the entire time. If you follow this rule, the customer will sell themselves on the vehicle and all you will have to do is talk to them about how it will fit into their budget.</p>
<p></p>
<p><strong><u>Rule #6</u></strong></p>
<p>If you are waiting for opportunities to come your way (Standing on the point), you are missing 90 percent of the business you could be developing by working your existing customer network, the service drive and inbound dealership leads. Successful salespeople create their own opportunities. They don’t stand in front of the dealership with everyone else waiting for one to come to them.</p>
<p></p>
<p><strong><u>Rule #7</u></strong></p>
<p>Sales is about extending your network of connections through trust and friendships. It isn’t about trying to sell everyone a car all the time. In fact, oftentimes, sales are earned through being helpful by answering questions that consumers have. There are billions of people on social media asking questions all of the time. You don’t have to be in “selling mode” to sell cars. Help people and the sales and referrals will come to you.</p>
<p></p>
<p><strong><u>Rule #8</u></strong></p>
<p>If you want to be great at sales, you need to set up the entire interaction with every single customer like a play before they even arrive. This means everything is orchestrated from the second they walk into the door until long after they take delivery. This doesn’t mean you forgot they are coming and are now scrambling to make them feel special. Being prepared delivers trust and credibility instantly as well as providing a roadmap to a successful vehicle sale. Even if plans need to change, you are prepared. Sales is about control. Learn how to control the customer and you will win.</p>
<p></p>
<p><strong><u>Rule #9</u></strong></p>
<p>If you are afraid to call and find yourself emailing shoppers instead, STOP! You will not achieve your sales goals. I am not saying you can’t be successful but what I am saying is that if you want to sell a lot of cars you will need to master the phone. Most car shoppers are receiving emails from not only multiple dealerships but also third-parties. Yes, it can get frustrating calling customers who never pick up the phone or call you back. This is the car industry, however. And, not only that, it’s a sales industry. I’m pretty sure that you get frequent calls from other industries trying to sell you stuff like timeshares and whatever. Car shoppers are no different. Make sure that you find a way to set yourself apart from your competition, deliver a different customer experience and, most of all, be able to show the shopper your personality and they will choose you over the million e-mail templates and scripted voicemails they are certain to receive. One last thing here. Stop calling shopper and asking if they are still interested. This is a terrible opening for any conversation. Get creative.</p>
<p></p>
<p><strong><u>Rule #10</u></strong></p>
<p>Appointment setting and confirmation calls are your life blood. You want to create a sense of obligation with customers. Some will undoubtedly tell you that they are coming in just to get you off the phone. By setting appointments with them, you can start the process of solidifying that they will come in. That being said, confirming those set appointments (whether that is by you or a manager), is just as important. Customers want to feel special. They are about to spend thousands of dollars on a vehicle. We know that they want a new vehicle because, if they were not in the market, you wouldn’t know that they exist. Don’t just leave it as “Ask for me when you come in,” because they won’t. Radio ads say that a person needs to hear the information at least three times before the information sinks in. If you can build rapport with the customer, get them to commit to an appointment and follow up to confirm, they are exponentially more likely to show up. Send them driving directions, send them your picture, send them what other people have said about doing business with you. Build Trust.</p>
<p></p>
<p>In conclusion if you have found yourself in the automotive industry, take a minute and be thankful. You are in an industry that has no ceiling for success. Your drive and ambition will determine everything. Today is not only about honing your craft but also recognizing the opportunity in front of you and continuously improving every aspect of your personal success by continuing to learn and better yourself. I promise that if you do these things, you will find yourself so far ahead of many of your co-workers that you will not only reap the financial benefits but also discover that you’ve made a decision to enter an industry that offers you unlimited potential.</p>7 Seismic Shifts Coming to Automotive CRMtag:www.dealerelite.net,2019-04-05:5283893:BlogPost:5459092019-04-05T13:00:00.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="https://storage.ning.com/topology/rest/1.0/file/get/1768557934?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/1768557934?profile=RESIZE_710x" width="380"></img></a> We live in a world where new technology swirls around us at a relentless and often dizzying pace, yet as we look closer inside the automotive industry and one particular area - the CRM - the winds are very calm, and the marketplace solutions aren’t keeping pace with innovation outside of the industry. In a nutshell we are operating in an innovation rut…</span></p>
<p><span><a href="https://storage.ning.com/topology/rest/1.0/file/get/1768557934?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/1768557934?profile=RESIZE_710x" width="380" class="align-right"/></a>We live in a world where new technology swirls around us at a relentless and often dizzying pace, yet as we look closer inside the automotive industry and one particular area - the CRM - the winds are very calm, and the marketplace solutions aren’t keeping pace with innovation outside of the industry. In a nutshell we are operating in an innovation rut for automotive CRM. We believe that we are about to enter a renaissance that will completely reimagine what is possible with an automotive dealership CRM solution, and we have analyzed seven areas to pay especially close attention over the next twelve months.</span></p>
<p><span> </span></p>
<p><strong><span>Lead Enhancement Data</span></strong></p>
<p><span>Dealership CRMs have been receiving lead data in a standardized ADF/XML format since the late 1990s when the standard was first created. Then, about 10 years ago, an alternative format that enabled more data to be transferred to the CRM was created, the STAR format, but the CRM industry pushed back, and it never really took off.</span></p>
<p><span> </span></p>
<p><span>Today the sea of data is exponential, and it can be used to help salespeople engage shoppers with more meaningful communication. Knowing how long the shopper has been in-market, the website shopping history, the specific cars that they are looking at, homeownership status, marriage status, credit, current vehicle in their driveway, hobbies and more. All of this data and more can be compiled to create a comprehensive shopper mosaic that a salesperson can use to create instant rapport and trust, which are both pillars of sales success.</span></p>
<p><span> </span></p>
<p><span>At <a href="https://www.360converge.com/" target="_blank" rel="noopener">360Converge,</a> we believe we will see more of this data appending to lead information over the next twelve months as dealerships realize the power of data and the financial impact it will yield. Some of this data is already in our industry; it just hasn’t found its place at the critical junction points where it will make the greatest impact. We also don’t believe that existing CRMs will remain the automotive industry’s primary CRMs - as they stand - in the market unless they bring this data picture to life for the dealership.</span></p>
<p><span> </span></p>
<p><span> </span></p>
<p><strong><span>Automated Calendaring</span></strong></p>
<p><span>This one area of CRMs has been left virtually untouched since the inception of the digital calendar. Back and forth communication with shoppers to nail down a time to view and drive a vehicle is an absolute waste of precious time for both the shopper and the salesperson, whether through email, text, chat, phone or even smoke signals. Yes, I am exaggerating, but you get the idea. This waste of time is enhanced by the fact that salespeople sometimes forget to ask for the initial appointment, almost never confirm appointments and, finally, totally forget about rescheduling them because they are on to the next opportunity.</span></p>
<p><span> </span></p>
<p><span>Today our world is just entering into automation. This will usher in an entirely new experience for car shoppers and deliver a next-level time management experience for the salesperson. This technology has already been implemented in many other industries. Even my dentist is using automated appointment technology via text for a simple teeth cleaning. It also works in email, and I have personally saved so much time enabling both prospects and customers to select times that work for them to meet within my hours of work. </span></p>
<p><span> </span></p>
<p><span>We believe empowering the consumer to decide when they want to come into the dealership creates a level of control that today’s shoppers demand. This will deliver more appointments with a higher show rate that can all be automated through email, text messaging and more. By doing this, it will take a fundamental weak link in a salesperson’s process and turn it into a consistent shopper-centric approach that delivers value to the customer and instills trust at the start of the relationship.</span></p>
<p><span> </span></p>
<p><strong><span>Omni channel communication</span></strong></p>
<p><span>Unfortunately, most automotive CRMs haven’t embraced open architecture and, with limited APIs and restrictive access, they have become inhibitors of innovation. Dealerships are now forced to run multiple platforms simultaneously. This causes user fatigue, or worse, lack of utilization. It also costs dealerships time, money and, in many cases, delivers a poor experience to the shopper or customer.</span></p>
<p><span> </span></p>
<p><span>Today, dealerships have a base CRM then have to add additional services like call tracking, texting, equity mining, sales & service email marketing and more, creating poorly integrated solutions. After that, they need to add an entire additional layer of platforms like chat, social, website, attribution and the list goes on from there. Technology has only continued to have gone downhill making it almost impossible for a dealership to decide on which vendor to select in fear of the CRMs lacking integrations thus increasing portals to log in to. </span></p>
<p><span> </span></p>
<p><span>We believe the only way for the advanced automotive CRMs to catch up to the generic CRMs that dominate the automotive industry is by adopting a complete open platform architecture and transparency. The automotive industry has been secretive by nature for over 100 years, and it is apparent that even the automotive dealership vendors have aligned with this strategy. It only takes one trip to Silicon Valley, however, to see how different things are done and how philosophies are completely the opposite of the automotive norm. Yet if we look at where true innovation is happening, it is painfully obvious it happens through collaboration. Over the next year, we will see a new generation of platform design emerge, similar to Slack or Salesforce, that will enable a cohesive experience for the dealership user no matter what product they wish to plug into their platform.</span></p>
<p><span> </span></p>
<p><span> </span></p>
<p><strong><span>Mobility First</span></strong></p>
<p><span>It is impossible to predict the future or the speed at which new technology will be adopted. When you look at the current top automotive CRM providers, all of their products were built at a time when desktops ruled the dealership environment. Naturally, their technology UI and UX were, respectfully, aligned to serve the marketplace, which makes absolute sense. Mobility was an afterthought with which a consumer would check a box, then the CRM would move some of the same information and functionality down to a mobile device in order to stay in the game.</span></p>
<p><span> </span></p>
<p><span>Today, we live and breathe mobile. Look around at every intersection, dinner table, airport, office meeting or Starbucks, and you will see our entire behavior is mobility-driven for good reason. It enables us to be on the go, yet still be engaged, and feel we are a part of the connected Internet culture. Mobility offers us new levels of productivity enhancements that we have never before experienced all while giving us our kick of dopamine with every click. We are addicted, and we love it. This hasn’t yet played out nicely for automotive dealerships. Many salespeople are using their personal mobile devices to communicate with shoppers and customers, and none of this information is finding its way back into the dealership’s CRM. This creates a gap between the technology of yesterday and how a dealership’s sales team does business today.</span></p>
<p><span> </span></p>
<p><span>We believe this mobility-first revolution is here to stay. Dealership CRM technology needs to embrace mobility to unlock its potential. Creating technology solutions that align with existing habits is a powerful way to pave the road to usability. Current CRM providers will need to completely recreate their data and communication infrastructure in order to leverage the mobile-first mentality, but doing so will pay enormous dividends. By turning a salesperson’s mobile phone into a selling assistant through more comprehensive data, including inventory, communication, training and more, the salesperson and customer will be more highly engaged and productive for the dealership. </span></p>
<p><span> </span></p>
<p><strong><span>Inventory Enhancement</span></strong></p>
<p><span>The bedrock of a dealership’s sales success are the vehicles, their products, on the lot. With the increase in the number of models and the sheer amount of technological improvements which have been made in vehicles over the last twenty years, not to mention all the supportive characteristics like safety, it is important to recognize that we have entered an era of product information overload.</span></p>
<p><span> </span></p>
<p><span>Today’s environment is one in which shoppers tend to know more about a particular vehicle than the salesperson selling it. The Internet has created this research tool that is empowering shoppers like never before in the course of an automotive purchase. This shift in knowledge away from the salesperson and towards the customer hurts the dealership’s brand and the confidence its shoppers have when a salesperson can’t explain or describe the vehicle in detail in order to help the shopper either qualify or disqualify a particular vehicle from a potential purchase.</span></p>
<p><span> </span></p>
<p><span>We believe this can be fixed with data that would give the dealership’s salesperson an advantage during the discussion by providing key elements of any vehicle based on extensive data from its VIN within a click on the salesperson’s phone. Through helping the salesperson keep the shopper engaged and informed, while simultaneously building trust during the conversation, a dealership will see increased sales. This data is already in existence, but it hasn’t made its way down into a CRM system as of yet. This new mashup of technology and innovation will have an amazing effect since a growing number of salespeople are new to the business and knowing everything about a dealership’s inventory is impossible.</span></p>
<p><span> </span></p>
<p><span> </span></p>
<p><strong><span>Friction Reduction</span></strong></p>
<p><span>When you log into an automotive CRM today and see TEN thousand uncompleted tasks, you have to wonder what is broken? Is it the salespeople at the dealership? Is it the processes themselves? Is it the technology? Is it the management? At the birth of automotive CRM, it was imperative to create processes that the sales team would follow. Those processes were usually developed by dealerships taking other dealer’s processes and applying them to their own CRM. By adopting processes, the expectation was that the dealership would have complete control and consistency; a shopper or customer would never fall through the cracks or see salespeople miss a step in the sales process.</span></p>
<p><span> </span></p>
<p><span>Today, all of our hopes and dreams about CRMs have turned into a boiling point of frustration for dealerships across America. It seems that none of what I wrote above has become a reality. In fact, it has created an entire set of new issues that dealerships have to grapple with on a daily basis. Salespeople skating deals by entering in slight variations of the shopper’s name in the CRM or senior sales people insisting that the CRM slows them down and avoiding it like the plague has ended up creating a whole new department called the Business Development Center (BDC). In the BDC, we remove appointment setting away from our existing salespeople. This creates an additional cost center a dealership has in order to fix this problem and, hopefully, will deliver some resemblance of the consistent processes that a CRM promised dealerships in the first place. Does any of this sound familiar to you? Doesn’t it sound a little crazy to actually read about the problems adopting a CRM was supposed to fix in the first place? Do you believe it has accomplished that task? </span></p>
<p><span> </span></p>
<p><span>We believe that these linear and predetermined TASKS are creating huge friction in the automotive sales process. They are also creating complete misalignment with the dealership’s shoppers and customer. What will happen over the next twelve to twenty-four months is pretty simple: dealerships will see big data make its way down to a granular level, which will finally enable the CRM to create actions points (instead of simply creating tasks) by monitoring a shopper’s on and offline behavior then aligning it with an action for the salesperson to execute. For example, John Doe sent a lead into ABC Chevrolet over a month ago but went dark before first contact was even made. Over the last three days, John Doe has visited multiple automotive websites, including ABC Chevrolet, searching for a “Chevrolet Tahoe”, “Preowned”, and “Low miles”. With an advanced CRM, this search would trigger an action for the salesperson to reach out via a phone call. At the same time, an email is simultaneously delivered to John Doe’s inbox with an offer on multiple vehicles that meet John’s shopping criteria. By leveraging machine learning in near real-time, dealerships will reduce friction points along the salesperson’s journey to complete a sale and, at the same time, deliver the right information to the shopper at the right time, so he or she can take the next step. When salespeople follow up repeatedly with shoppers who have fallen out of the market, it creates a negative feedback loop that can motivate customers to stop wanting to pick of the phone. Big data, machine learning and analytics are going to completely change that.</span></p>
<p><span> </span></p>
<p><span> </span></p>
<p><strong><span>Personalization at scale</span></strong></p>
<p><span>Do you remember all the rage in the mid-90s about one-to-one marketing and the future of personalization? It then hit the direct marketing community by storm, quickly followed by finding its way to automotive CRMs in the early to mid 2000s. The problem is that these templates that included personalized data points became an everyday thing and, as humans, we have learned to identify and quickly dismiss them. The human race is highly adaptable, and it is hard to fool any individual for any length of time when the novelty of these basic tools have worn off as people stopped paying attention to them. In addition, dealerships are constantly bombarding shoppers with flashy offers, discounts and savings, and those messages aren’t getting through like they were.</span></p>
<p><span> </span></p>
<p><span>With automation being all the rage today, bots are driving us deeper into creating a vanilla robotic experience for the shopper. This will have benefits, but it will also come at a cost. You have to ask yourself a couple of important questions: How will dealerships be able to stand out in 2020? How will they reach into the soul of every shopper and customer and touch them in a meaningful and impactful way that not only moves them into conversation but, more importantly, into an experience that builds trust?</span></p>
<p><span> </span></p>
<p><span>We believe personalization at scale is not only possible, but that it is also inevitable. Personalization requires taking the lifeless logo of the dealership’s brand and augmenting it with the dealership’s smiling employees’ faces. Human connection is a powerful currency that delivers every single time. The average dealership has sixty-six employees, and by curating employee’s stories, it enables shoppers and customers to personally connect and communicate with the dealership. Whether the questions are about repairing or replacing a part, keeping their car clean, removing road tar or learning about the latest features in the upcoming model, these answers will all be driven by the next generation of CRM platforms.</span></p>
<p><span> </span></p>
<p><span>In conclusion, you probably understand that automotive CRM is about to enter a period of renaissance. The areas above are just the beginning of a cascade of changes in how salespeople will interact with shoppers and customers, and the tools that they will leverage to do so. While existing CRMs may still bring a level of ROI for the dealership, data, bots and personalization will start to change shopper and customer expectations and redefine how the automotive sales process will work. Stop focusing on things from the past or cobbling together technology that creates more work than reward. Ask yourself two hard questions. Is your current technology reducing friction for both the customers and the dealership’s staff? Are you creating experiences that create rapport and build trust that will last a lifetime with every single shopper and customer your dealership touches each and every day? </span></p>
<p><span> </span></p>
<p><span>That is the only path that will lead to future success.</span></p>Why Getting Fired from a Company I Founded Changed my Life?tag:www.dealerelite.net,2019-03-05:5283893:BlogPost:5282692019-03-05T15:13:33.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/1267058714?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/1267058714?profile=RESIZE_710x" width="380"></img></a> Sometimes you just need to get punched in the face to wake up. For too many days in a row, I went to work doing the same thing over and over like Bill Murray in the movie <em>Groundhog Day</em>.</p>
<p> </p>
<p>There are two routes to achievement in your life. The first is conformity in which you follow the crowd down a conventional path and maintain the…</p>
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/1267058714?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/1267058714?profile=RESIZE_710x" width="380" class="align-right"/></a>Sometimes you just need to get punched in the face to wake up. For too many days in a row, I went to work doing the same thing over and over like Bill Murray in the movie <em>Groundhog Day</em>.</p>
<p> </p>
<p>There are two routes to achievement in your life. The first is conformity in which you follow the crowd down a conventional path and maintain the status quo. The other is originality, which is the road less traveled in which you champion new ideas that go against grain but make thing better.</p>
<p> </p>
<p>Over the past few years I have been living comfortably with conformity and not challenging myself to risk. Because I have built a few companies that have been successful I didn’t feel the need to dare to think differently. My management style and philosophies have created cultures where employees are engaged and invested in the company’s success. By not allowing my true nature and beliefs to come into actions I realized I was not being the leader or entrepreneur I wanted to be instead I was costing myself personal growth and mental freedom. .</p>
<p> </p>
<p>Here are a few takeaways I hope inspire you to make a change in your life to move past the person you are now and to take a chance to become the person you are truly destined to be.</p>
<p> </p>
<p><strong>Be uncomfortable at least once per day</strong>. That could mean doing something that you don’t have confidence in or something that you just seem to always put off one more day. Lean in and just do that one f$%king thing and you will be a better person. I promise.</p>
<p> </p>
<p><strong>Don’t let other people control your path.</strong> People will line up around the block to tell you why you can’t do something, and all the reasons why you or your idea will fail. Just smile and do the work needed to prove that you can do anything you set your mind to accomplish. I didn’t say prove them wrong. One of the great things I have learned is what other people think doesn’t matter when it comes to personal growth.</p>
<p> </p>
<p><strong>Use negativity as jet fuel.</strong> When someone makes a choice to attack you or your business, you have two choices. First, you can play their game, which does nothing more than distract you, or you can just take all of their negativity and refocus it to your advantage. This is how Akido masters use the energy of their opponent’s movement for their own sheer dominance during a confrontation. Do the latter.</p>
<p> </p>
<p><strong>Mountains aren’t climbed in minutes.</strong> Doing anything great will take an enormous amount of your time and energy. Just when you think you are at the summit, you will realize that there is another mountain behind the one you just climbed challenging you. I believe that the real love is in the journey, not the destination.</p>
<p> </p>
<p><strong>Turn failure into your friend.</strong> To truly be successful you have to have failure on your path. For some ventures, it will take a ton of failures before you find the breakthrough that changes everything for you or your business. One thing that has always resonated with me is the concept of learning to callous your mind. Train your mind to turn failures into learning experiences.</p>
<p> </p>
<p><strong>Lay one brick at a time.</strong> I meet plenty of people that tell me that they have so much to do and don’t know where to start or can’t find the time. Being overwhelmed is real, and it can paralyze you. I want you to go to the nearest giant brick building in your town and look at it really hard and think about this. That building was built one brick at a time. Someone laid one brick next to another brick over a long period of time until, guess what? They had a giant f$%king building in front of them. This is how businesses get built and fortunes get made.</p>
<p> </p>
<p>Now, I greet every day as a true gift as well as an opportunity to pursue my dreams and aspirations to build technology that empowers others to become better at their jobs. No matter what has befallen you up until this moment, only you can decide what your future will be.</p>
<p> </p>
<p>Are you willing to move ahead no matter what you face? Are you willing to leave your comfort zone to purse what truly inspires you?</p>
<p> </p>
<p>Everything you want in life is waiting for you. What will you do about it?</p>Four Reasons Why BDCs Fail and How to Improve Them NOWtag:www.dealerelite.net,2019-02-26:5283893:BlogPost:5278142019-02-26T15:38:21.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/1207932811?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/1207932811?profile=RESIZE_710x" width="380"></img></a> Dealerships are always struggling with the decision on whether they need a BDC or not. Some try and succeed, but others try and fail. Why does this happen? How is one dealership’s BDC succeeding when other BDCs are failing and returning to status quo after a significant investment? The following are four reasons BDCs fail and solutions for making your BDC a…</p>
<p><a href="https://storage.ning.com/topology/rest/1.0/file/get/1207932811?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/1207932811?profile=RESIZE_710x" width="380" class="align-right"/></a>Dealerships are always struggling with the decision on whether they need a BDC or not. Some try and succeed, but others try and fail. Why does this happen? How is one dealership’s BDC succeeding when other BDCs are failing and returning to status quo after a significant investment? The following are four reasons BDCs fail and solutions for making your BDC a success.</p>
<p></p>
<p>1. Is your team struggling with accurately entering data into your CRM? Do you always feel like a “Data Entry Cop”?</p>
<p> </p>
<p>This is a super common problem when salespeople’s goals aren’t aligning with the those of the dealership. This struggle point isn’t uncommon in the dealership. The dealership wants data in order to track and measure ROI on marketing expenses, and the salespeople just want to just sell cars. This problem can be fixed through a couple of ways. The first way is that dealerships can use a pay-plan driven strategy to get the salespeople to do what the dealership wants by connecting their pay plans to showed appointments. By doing this, you are aligning behavior to money which can be a powerful motivator. Unfortunately, this strategy is just a band aid. Dealerships are treating the symptoms but aren’t addressing the root cause of the illness. Let’s ask a different question. Why aren’t salespeople entering information correctly into CRMs? If you step back and evaluate, the answer is clear. The salespeople don’t see the true benefit. The average salesperson doesn’t look at the people they sell with a personal LTV (Life Time Value). Instead, they are just a short-term sale and immediate income source. This philosophy is at the core of what separates the best salespeople in the nation from the masses. If the average salesperson looked at selling cars like an insurance agent looks at selling insurance, data entry issues would be a thing of the past. </p>
<p> </p>
<p>2. Does your dealership set a lot of appointments but lacks a proportionality high level of showroom visits?<br/> <br/> This is an issue that is rooted in a few potential areas. The first could be pay plan structure; the second could be in the quality of the appointment conversation and, finally, the third could be in the lack of management involvement in this part of the shopper’s journey. Any or all of these could be affecting the outcome. Let’s break these down in a little more depth in order to extract some insight and potential action steps. The first is pay plan and how much financial weight is put on the appointment compared to how much the rep receives for the actual sale, if any. Appointment setting really sets the pace for the transaction, so it is critical that dealerships get their pay plan formula in order to drive results. Paying BDC reps to just set appointments uncovers the age old saying: people work their pay plans. Design a pay plan that gives the BDC rep skin in the complete game and holds them accountable for too many missed appointments. <br/> <br/> Second is the quality of the appointment-setting conversation. Selling a customer on an appointment is not only selling an opportunity to drive the vehicle but also to learn about all the features in a personalized experience for the shopper. I really like something Mitch Gallant, GM of Capital Ford Lincoln, is doing. His method personalizes the test drive experience for the shopper by enabling them to select their drink of choice for when they arrive for the test drive. This creates commitment between the shopper and the appointment setter for a minimum investment. Mitch is leveraging psychology at its best.<br/> <br/> Finally, another opportunity is always the management appointment confirmation call. This allows a couple critical things to take place. First, it establishes a relationship between a manager and the shopper which begins a relationship that will come in handy during negotiations. Second, it provides the manager with the opportunity to ask a few questions in order to really understand the shopper’s needs and make sure that the appointment is aligned correctly for a sale. Managers need to get involved early and stay involved. By doing so, they can remove friction points along the shopper’s experience and be more effective in increasing the chance that the shopper shows up for their appointment.</p>
<p> </p>
<p>3. Do you find yourself constantly saying the same things to your team to help keep them on pace each month?</p>
<p></p>
<p>Welcome to management, folks. This is a core fundamental part of management: the constant reinforcement of behavior. At no point in time is your sales team going to wake up and just get it. They will need constant direction and leadership to continue to drive the direction of your BDC. I label this job security. Instead of it being a struggle in your management responsibilities, turn it into the best aspect. Train your staff on one aspect of the department duties. Let’s say it is “Overcoming Objections” during an initial phone call. Lay out a simple 10-minute training plan that outlines the “Top 3” shopper objections that your sales team are hearing from shoppers. Deliver the training then reverse the script on your team. Elect one of the team members to create the same training outline that you just delivered but with three other objections and then have them deliver it to the whole team in a week. Keep doing this until everyone has them down then move on to the next topic. You will find that you get tons of new insights from your team and the conversations become much more open. The team will get to learn from different voices which will be reinforced over time. This is how you make an amazing team that works together and that delivers results.</p>
<p> </p>
<p>4. Are you spending hours and hours per month compiling reports trying to make sense of departmental data? <br/> <br/> This is what I like to call “TPS Report” HELL! This is the one area that seems to be getting more and more complicated as we consume increasing data points within the dealership. Even though we have the potential to track everything within the dealership, you have to ask yourself what are your true “Vital Signs.” Basically, what are the top five most critical data points you want to measure and analyze in order to run your BDC correctly? I would have this mastered first before ever layering on more complexity. After speaking with so many stores, I find many dealerships living in data hell. Take a deep breath. Step back and truly grasp the most important things for you and your BDC.</p>
<p> </p>
<p>By truly evaluating and adopting these four practices, dealerships will be well on their way to seeing a successful BDC that increases revenue rather than one that fails to provide the revenue it was expected to.</p>Facebook Marketplace: A Dealership Primer - Part 3: Vehicle Merchandisingtag:www.dealerelite.net,2018-11-29:5283893:BlogPost:5241062018-11-29T15:32:31.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="https://storage.ning.com/topology/rest/1.0/file/get/165528746?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/165528746?profile=original&width=380" width="380"></img></a> Leveraging Facebook Marketplace to help you sell more cars isn’t difficult if your dealership does it the right way. In <u><a href="https://www.activengage.com/facebook-marketplace-dealership-primer-1/">part 1</a></u> of this series, I talked about the importance of choosing the right partner to maximize success. In …</span></p>
<p><span><a href="https://storage.ning.com/topology/rest/1.0/file/get/165528746?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/165528746?profile=original&width=380" width="380" class="align-right"/></a>Leveraging Facebook Marketplace to help you sell more cars isn’t difficult if your dealership does it the right way. In <u><a href="https://www.activengage.com/facebook-marketplace-dealership-primer-1/">part 1</a></u> of this series, I talked about the importance of choosing the right partner to maximize success. In <u><a href="https://www.activengage.com/facebook-marketplace-primer-2/">part 2</a></u>, I discussed why effective communication is vital to optimizing that success. But, unless your dealership sells rare cars, your listings will be among hundreds available to consumers. That’s why, to sell more cars on this platform, it will be crucial to understand the abilities, limitations and best practices of Facebook Marketplace to both optimize your listings and make them stand out.</span></p>
<p><span> </span></p>
<p><span>One of the most important things that help any vehicle stand out — no matter which platform — is detail. Consumers aren’t going to browse through hundreds of Honda Civics to find one that appeals to them. The edge dealerships have over private sellers is that there is more trust from consumers knowing that dealerships will have performed inspections and repairs before putting a car up for sale. Some dealerships will even offer warranties on purchases. Peace of mind is important to consumers, and while private parties may be willing to sell a vehicle for less, consumers are willing to pay more for a car that’s more mechanically sound.</span></p>
<h2><span><span style="font-size: 12pt;">Consumers Trust What They Can See</span></span></h2>
<p><span>When car buyers are searching for used vehicles, they can sometimes get overwhelmed by the sheer number of cars available in their area even if they’re searching for a specific make and model. Although Facebook Marketplace’s default search setting is within a 40-mile radius of the consumer, that search can result in hundreds of vehicles that include dealership, independent, and private party listings.</span></p>
<p><span> </span></p>
<p><span>In order to compete with all of the other franchise and independents in their area, dealerships need to ensure their vehicle listings are as attractive to consumers as possible. Dealers should be just as vigilant in merchandising their inventory on Facebook Marketplace as they are on their website and their third-party partner sites. By doing so, they will be leaps and bounds ahead of any private party listing that merely exists because private party sellers aren’t as knowledgeable in merchandising and the dealerships offer more confidence in quality.</span></p>
<h2><span style="font-size: 12pt;">Best Practices for Facebook Marketplace Merchandising</span></h2>
<p><span>When talking about best practices on any third-party site (including Marketplace), we need to include the capabilities of the site as well. The following are the merchandising abilities Facebook Marketplace currently offers:</span></p>
<p></p>
<ol>
<li><strong><span>A Single Listing Partner</span></strong> <span>- Facebook recommends</span>1 <span>that dealers leverage a single approved partner for Marketplace to optimize listings. By choosing multiple partners, Facebook advises that dealerships could get subpar results and inaccurately attribute sales.<br/> <br/></span></li>
<li><strong><span>Don’t Limit Inventory</span></strong> <span>- Some dealers choose to only list unusual, rare or inexpensive vehicles which limits the exposure of the dealer’s inventory. Facebook’s advice? List all used cars to gain as much exposure for the dealership as possible.<br/> <br/></span></li>
<li><strong><span>Vehicle Descriptions</span></strong> <span>- Many dealers either don’t include vehicle descriptions or only include information from the Monroney sticker. Shoppers don’t want to read through every option the car has, but rather the history and unique features included.<br/></span></li>
<li><strong><span> Pricing</span></strong> <span>- Facebook suggests that dealers list vehicles with actual prices rather than down payment, payment of APR specials. That information can be listed in the description but is not appropriate for the price in that area of the listing.</span></li>
</ol>
<p></p>
<p><span style="font-size: 12pt;"><strong>What Can a Dealer Do to Merchandise Vehicles Effectively on Facebook Marketplace?</strong></span></p>
<p><span> </span></p>
<ol>
<li><strong><span>Images</span></strong> <span>- The automotive industry has quickly evolved from a single photo to today’s standard of 30-40 images. Facebook recommends 15-20 photos (2 photos minimum) with a resolution of 960x720 or better. My advice is to use those photos to highlight the exterior of the vehicle (from all angles) as well as all of the unique features the car has. Got navigation? Snap a picture of the navigation screen. The same goes for any feature. Consumers don’t want to have to read through a hundred features to find out if a car has whatever feature they’re looking for. And, as tempting as it may be, Facebook says that dealerships should NOT include any overlays or dealership branding in their photos. Let the vehicle speak for itself; consumers are more likely to look at it and consider it.<br/> <br/></span></li>
<li><strong>Communication</strong> - Just as I advised in Part 2 of this series, the key to maximizing sales and motivating consumers to engage with your dealership is prompt and relevant communications via <u><a href="https://www.activengage.com/facebook-marketplace/">Facebook Messenger using an approved chat provider</a></u>. Unless you have a full-time BDC that is trained and available at all times to interact with consumers who have questions, sales can be lost and captured by a competing dealership.</li>
</ol>
<p><span> </span></p>
<p><span>I hope this blog series has helped you understand the opportunity Facebook Marketplace offers dealers regarding increasing sales and inventory turn. While starting a new listing service can be daunting, it doesn’t have to be. The right partner can help you accomplish all of the things I’ve mentioned and assist your dealership by providing leads that are low-funnel and ready to buy.</span></p>
<p><span> </span></p>
<p><span> </span></p>
<ol>
<li>The Power of Marketplace: How to Achieve Success on Facebook Marketplace - Facebook</li>
</ol>Facebook Marketplace: A Dealership Primer – Part 2: Effective Communication is Keytag:www.dealerelite.net,2018-11-13:5283893:BlogPost:5234052018-11-13T16:47:26.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="https://storage.ning.com/topology/rest/1.0/file/get/134935447?profile=original" rel="noopener" target="_blank"><img class="align-right" src="https://storage.ning.com/topology/rest/1.0/file/get/134935447?profile=original&width=380" width="380"></img></a> <strong>In the <u><a href="https://www.activengage.com/facebook-marketplace-dealership-primer-1/">first part</a></u> of this series, I shared why Facebook Marketplace can help dealers sell more cars, the ways in which they can get started, and the questions they should be asking their vendors when getting this set…</strong></span></p>
<p><span><a href="https://storage.ning.com/topology/rest/1.0/file/get/134935447?profile=original" target="_blank" rel="noopener"><img src="https://storage.ning.com/topology/rest/1.0/file/get/134935447?profile=original&width=380" width="380" class="align-right"/></a><strong>In the <u><a href="https://www.activengage.com/facebook-marketplace-dealership-primer-1/">first part</a></u> of this series, I shared why Facebook Marketplace can help dealers sell more cars, the ways in which they can get started, and the questions they should be asking their vendors when getting this set up.</strong></span></p>
<p><span> </span></p>
<p><span>Now that your dealership’s inventory is live on Facebook Marketplace, there’s no doubt that consumers will find vehicles they're interested in and reach out to your dealership with questions. As I mentioned in part 1 of the series, how you handle these interactions will directly impact the success you have. Dealers are used to automating responses and processes to follow up with the leads coming into their CRM. Yet, while dealers spend a bunch of money to turn those interactions into to sales, the industry is still seeing close ratios as low as 12%!</span></p>
<p><span> </span></p>
<p><strong><span>Winning Over a Customer is About More than Simply Communicating</span></strong></p>
<p><span>The same goes for phone “ups.” Salespeople are rarely trained on how to talk to customers on the phone and can, at times, turn customers off by simply not providing the information requested. Those customers who took the time to call the dealership end up frustrated that their needs weren’t satisfied.</span></p>
<p><span> </span></p>
<p><span>Text-based communication is no different except in one area: the customer has complete control. If the people you empower to interact with customers via live text-based communication <u><a href="https://www.activengage.com/6-dos-donts-mobile-chat-conversations/">don’t know how to communicate</a></u> properly, you’ll simply see customers cancel the chat and disappear into the ether.</span></p>
<p><span> </span></p>
<p><span>Customers intuitively know when the e-mails they are receiving are automated. The same thing goes for scripted text-based conversations or the new thing, chatbots. When customers reach out to your dealership via any form of test-based communication, they are <u><a href="https://www.activengage.com/4-reasons-shoppers-love-using-live-chat/">expecting to communicate</a></u> with a real person and will quickly learn whether the “person” on the other end of the chat is a live person or not.</span></p>
<p><span> </span></p>
<p><strong><span>Responding Quickly and Properly Will Increase Sales</span></strong></p>
<p><span>If you’re going to utilize Marketplace to increase sales, customers can only interact with the dealership via Facebook Messenger. The dealership, of course, can choose to utilize an approved chat service to have conversations on Marketplace. Regardless of which means of text-based communication a dealer chooses, prompt communication is vital. Imagine a customer calling into your dealership and nobody answering the phone. When a customer reaches out to your dealership via Messenger or chat and nobody responds, you end up with the same… exact… result.</span></p>
<p><span> </span></p>
<p><span>Customers don’t want to be met by a voicemail, robot or, even worse, silence. The mere fact that they are reaching out to you should indicate that they are low-funnel shoppers ready to buy. And those are exactly the people that you want to talk to. Facebook Marketplace is no different than a customer calling in on a VDP from a third-party website or your own website. Dealerships who choose to list their inventory on Facebook Marketplace need to be aware that potential customers will be reaching out to them and the best part? The only reason that they are reaching out is that they are interested in a vehicle that you have in stock. Marketplace customers aren’t people reaching out inquiring about dealership hours, service appointments or other issues. Those individuals will go directly to your website. These are car shoppers that are interested in buying a vehicle. And you have to admit that those are the most attractive conversations that your dealership could have with a customer. On top of that, these are customers interacting with you LIVE, not email addresses or phone numbers that don’t work so it’s especially important that whomever you charge at your dealership to handle live chats is trained to maximize opportunities.</span></p>
<p><span> </span></p>
<p><span>Potential customers want information. Period. If your salespeople or BDC is not equipped to give them the information that they want, they will simply discontinue the chat and seek the information elsewhere. Consumers on Facebook Marketplace want to be able to communicate with your dealership, but they still expect a prompt response that satisfies their needs and answers their questions. Failure to do so can easily jeopardize the chances that your dealership <u><a href="https://www.activengage.com/use-live-chat-build-rapport-shoppers/">builds rapport</a></u> with the customer and, ultimately, the sale.</span></p>Facebook Marketplace: A Dealership Primer – Part 1tag:www.dealerelite.net,2018-10-30:5283893:BlogPost:5227882018-10-30T14:01:36.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545193510?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545193510?profile=RESIZE_480x480" width="380"></img></a> Facebook Marketplace, while new on the scene, has quickly turned into a valuable sales channel for dealerships. Many dealers are finding great success in engagement as well as sales with consumers. Not just another third-party listing site, Facebook Marketplace has capabilities many other platforms don’t have. Chief among them is the ability for interested car buyers to…</span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545193510?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545193510?profile=RESIZE_480x480" width="380" class="align-right"/></a>Facebook Marketplace, while new on the scene, has quickly turned into a valuable sales channel for dealerships. Many dealers are finding great success in engagement as well as sales with consumers. Not just another third-party listing site, Facebook Marketplace has capabilities many other platforms don’t have. Chief among them is the ability for interested car buyers to communicate with dealerships in real time through Facebook Messenger.</span></p>
<p><span> </span></p>
<p><span>Manually listing cars on Marketplace can be an arduous and time-consuming process, which is why many dealerships pick and choose the vehicles that they think would be most attractive to car shoppers on Facebook. The problem with that is dealers are missing sales as we’ve seen car shoppers interested in a wide variety of vehicle makes, models and price ranges.</span></p>
<p><span> </span></p>
<p><span>Dealers do have an alternate option, however, and it's not one that many are unfamiliar with… having their vehicles listed automatically just as they are already doing with their inventory. Dealers need to understand, however, that automated listing can only be accomplished via Facebook approved vendors and, even then, some vendors have limited capabilities regarding what they can actually automate. For example, some vendors can automatically send inventory but not rich content like images.</span></p>
<p><span> </span></p>
<p><span>There are more than a few <u><a href="https://www.facebook.com/business/help/562933087372962">Marketplace inventory partners</a></u> available, but dealers should be asking these partners which services and features they are able to automate and service. Also, just being able to upload inventory isn’t satisfactory. Today’s consumers want the ability to communicate with dealers about specific inventory listings – and they want to be able to do that without the need to leave Facebook. This can only be accomplished via Facebook Messenger or via live chat. Yes, consumers can use Facebook Messenger without the need for live chat, but the problem is that someone at the dealership needs to be monitoring Facebook Messenger for incoming inquiries and the only people that could do that need to be admins of the Facebook page.</span></p>
<p><span> </span></p>
<p><span>Another critical thing for dealers to be aware of is that only certified pre-owned inventory can be listed, not new vehicles. The listings will only appear on Facebook Marketplace, not on the dealership’s Facebook page. Dealers should understand that Facebook Marketplace isn’t a sales channel like eBay in that actual sales can be made but rather a channel in which car buyers can engage with dealers and start conversations that lead to a sale. Of course, today’s car shoppers won’t wait very long for responses before they move on to the next vehicle they’re interested in whether that’s a similar vehicle or a different make or model so paying attention to messages and interactions is a key component to success on Facebook Marketplace.</span></p>
<p><span> </span></p>
<p><span>A great feature of Facebook Marketplace is that car buyers are only shown available vehicles within a 40-mile radius of a car shopper’s location. This allows a dealership to know that inquiries are coming from local shoppers and not individuals in other states for the most part. Of course, consumers can change this filter, but the majority of consumers shopping on Facebook Marketplace will be in a dealership’s area aside from some unique inventory items or rare vehicles.</span></p>
<p><span> </span></p>
<p><span>Facebook’s advice is that dealers should avoid working with multiple Marketplace partners, so dealers should not be relying on multiple vendors to put together the puzzle pieces (i.e., one vendor for the actual listing while a separate vendor for images or chat services).</span></p>
<p><span> </span></p>
<p><span>Keep these things in mind when beginning to explore how to use Facebook Marketplace to your dealership’s advantage as a new sales channel. Facebook Marketplace offers unique capabilities and can be a very successful sales channel if properly implemented and monitored.</span></p>
<p><span> </span></p>
<p><span>Keep an eye out for part two of this series in which we’ll discuss how to engage customers to maximize results and increase conversions.</span></p>
<p><span> </span></p>Using Customer Service as a Marketing Tooltag:www.dealerelite.net,2018-10-12:5283893:BlogPost:5220722018-10-12T14:10:35.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545195933?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545195933?profile=RESIZE_480x480" width="380"></img></a> It hasn’t been that long ago that customers were only able to handle customer service issues in person or by phone. Now, of course, there are many options for customers including social media, chat or through reviews. What would you do if a customer were standing in front of you paying you a compliment? Hopefully, you would thank them for the compliment and their business. If…</p>
<p><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545195933?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545195933?profile=RESIZE_480x480" width="380" class="align-right"/></a>It hasn’t been that long ago that customers were only able to handle customer service issues in person or by phone. Now, of course, there are many options for customers including social media, chat or through reviews. What would you do if a customer were standing in front of you paying you a compliment? Hopefully, you would thank them for the compliment and their business. If that conversation were negative (i.e., a complaint), most companies would attempt to make it right for the customer or, at the very least, apologize. In many cases, however, these customers who are reaching out to a business via social media or online reviews go unanswered.</p>
<p></p>
<p>An excellent article on AdWeek shared that businesses shouldn’t ignore customers but rather think of these communications as part of their marketing efforts. Every interaction with a customer, whether face-to-face, via social media or through an online review, present an opportunity to interact with a customer. And not only communicate with that specific customer but show other customers or even potential customers that you are paying attention.</p>
<p></p>
<p>What normally happens in dealerships?</p>
<p></p>
<p>Dealerships are highly sensitive to reviews. Whether those reviews are via a manufacturer’s CSI survey, social media or online, the wrong review can directly impact the dealership’s revenue. We know from Google that part of a car buyer’s decision-making process involves choosing whom to buy their vehicle from. The customers are super low-funnel, meaning that they are at the point where they’ve done their research, selected a car, and are now ready to buy. Bad reviews can easily cause a customer to stop considering your dealership and move on to the next one thus directly causing that dealership to lose a sale.</p>
<p></p>
<p>So, what should a dealership do to avoid this?</p>
<p></p>
<p>Many dealerships will pay attention when a negative review is left. They may or may not act upon it and respond in an attempt to solve the customer’s issues. The other end of the spectrum, of course, is that the manager reading that negative review already knows the customer’s complaint and simply ignores it.</p>
<p></p>
<p>Regardless of whether the dealership can resolve the issue or not, by merely responding they’re showing the customer that they’re listening. And not only are they showing that customer, but they are also showing other potential customers trying to decide which dealership to buy from that the dealership cares.</p>
<p></p>
<p>What about positive reviews?</p>
<p></p>
<p>Often, positive reviews from customers don’t get responses. Sure, dealerships see them, managers may share customer compliments with employees, and everyone is happy and high-fiving each other. While all of those things are great, there is one part of the process that is missing… the customer.</p>
<p></p>
<p>Dealerships should think of positive reviews or customer interactions via social media just as if the customer were standing in front of them complimenting them. By not acknowledging the customer who took their time to say good things about the dealership, the customer may feel ignored. However, if a dealership takes the time to respond to these compliments, even if only to thank the customer, the customer feels appreciated. This is how brand advocates are created.</p>
<p></p>
<p>The best thing a dealership can do is to ensure they’re responding to all customer interactions – whether those are via social media or an online review. By doing so, they’re showing both customers and the rest of the world that they’re listening. Those interactions can easily either create a sale or lose one. It’s not just excellent customer service but also the one thing that dealerships spend a ton of money on… marketing. And that’s how you not only retain customers but also how to influence new ones.</p>Peer-to-Peer: Designing a Mentorship Program for Successtag:www.dealerelite.net,2018-09-27:5283893:BlogPost:5214822018-09-27T13:52:26.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545192139?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545192139?profile=RESIZE_480x480" width="380"></img></a> There are a plethora of training programs and trainers in the automotive industry many of which have different styles, advice, and opinions. Often, those opinions vary widely. While training is indeed something I advocate in dealerships both as an ongoing initiative and for new-to-the-industry employees (no matter which department), no business can function as a…</span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545192139?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545192139?profile=RESIZE_480x480" width="380" class="align-right"/></a>There are a plethora of training programs and trainers in the automotive industry many of which have different styles, advice, and opinions. Often, those opinions vary widely. While training is indeed something I advocate in dealerships both as an ongoing initiative and for new-to-the-industry employees (no matter which department), no business can function as a singular unit when everyone has been influenced — and are operating — by many philosophies.</span></p>
<p><span> </span></p>
<p><span>Let’s be real. Our industry has a turnover problem — especially in sales. Hiring a green-pea, showing them how to do a foursquare and then instructing them to go “get an up,” may sound very old school. But it is still the status quo in many dealerships. For those dealerships that do have training integrated into their cultures, great job. But not all training is equal. I’m not necessarily advocating one training system over another… they all have their own pros and cons. What I’m saying is that leadership within the dealership needs to decide what culture, customer experience and values that they want first… then choose a training curriculum that is complimentary.</span></p>
<p><span> </span></p>
<p><span>Even though it’s great that your dealership has decided to provide training materials in which veterans and green peas can learn from, everyone needs to be on the same page. How is a sales manager desking a deal supposed to know what close a salesperson is using in the box and how to showcase the next set of figures if they don’t know what the salesperson is telling the customer? It’s like a football team in which each position studied a different playbook. Neither the coach, quarterback or positional players will know what their teammates are supposed to do!</span></p>
<p><span> </span></p>
<p><span>Mentorship programs have been, and are used, by many of the most successful companies in the world. To great success. Why? Because, as leaders, we all know that there are people in any organization that exemplify the quality standards, culture and customer experience that we want our customers to travel through. The shallow answer is a business should train and pair their new employees with the existing ones that make all of the profit. But that isn’t always the right one. Why? Because those judgments are typically made based on immediate gross profit. Sure, that 20+ car per month salesperson may slay it and have excellent gross in their deals. But what is the long-term effect? Are they sacrificing long-term relationships for short-term gross profit at the expense of a reduced lifetime customer value? While it might be great that your salesperson is closing deals with high front ends, many of those customers could be worth much more over their lifetime if they were treated differently.</span></p>
<p><span> </span></p>
<p><span>Designing a mentorship program isn’t time-consuming, but it does take thought. The biggest question that you should ask yourself when choosing potential mentors, in each of your dealership’s departments, is who best represents the culture and values of your dealership that you want to instill in your new hires. You’d be surprised at the answer you may come up with.</span></p>
<p><span> </span></p>
<p><span>Once you know what you want your company to be, how you want your dealership to be perceived by your customers and have created processes that reinforce those ideals, the employees that will be the best mentors typically glow like a hot sun. These are the employees that you want to strengthen, guide and mentor your new employees (whether those be veteran or green peas) so that your dealership is operating in unison, as a team, and under the same philosophies.</span></p>
<p><span> </span></p>
<p><span>Establish a mentoring program in which these previously identified employees can help mold your green peas into models of themselves thus reinforcing the foundation that you’ve created. When you do, you'll find that it’s easier to not only operate as a team but also in a way that exponentially advances your business branding and goals while solidifying your customer experience into one that’s consistent and repeatable.</span></p>
<p><span> </span></p>
<p><span>And that’s how you win in retail.</span></p>Can You Sell Cars On Facebook Marketplace?tag:www.dealerelite.net,2018-09-20:5283893:BlogPost:5212732018-09-20T14:00:00.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545193149?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545193149?profile=RESIZE_480x480" width="380"></img></a> Since Facebook has exploded, businesses have all rushed to capture their audience’s attention and leverage the platform’s marketing potential. In the beginning, gaining business exposure on Facebook’s platform was relatively inexpensive. As Facebook continued to modify its algorithm to appease its users and better monetize the platform when it went public, Facebook page…</span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545193149?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545193149?profile=RESIZE_480x480" class="align-right" width="380"/></a>Since Facebook has exploded, businesses have all rushed to capture their audience’s attention and leverage the platform’s marketing potential. In the beginning, gaining business exposure on Facebook’s platform was relatively inexpensive. As Facebook continued to modify its algorithm to appease its users and better monetize the platform when it went public, Facebook page organic reach plummeted to where it seems to currently offer organic reach to about 1-2 percent of any given page’s fans. Pay to play has been in effect for some time with the only ways for pages to extend reach being via Facebook ads or engaging content. That, however, hasn’t stopped some dealers from continuing to post vehicles for sale on their Facebook walls even at the risk of alienating their audience.</span></p>
<p><span> </span></p>
<p><span>The question of the day is: Do people actually shop for cars on Facebook’s platform?</span></p>
<p><span> </span></p>
<p><span>In the past, it’s fair to say that consumers who were using Facebook in their car shopping journey were probably researching dealerships. Some dealers had their inventories tied into their Facebook pages through a tab, but it was infinitely more convenient for a consumer to browse inventory through a dealership’s website or a third-party listing service than it was to visit prospective dealership’s Facebook pages one at a time.</span></p>
<p><span> </span></p>
<p><span>That all changed with the roll-out of Facebook Marketplace.</span></p>
<p><span> </span></p>
<p><span>In the beginning, Facebook Marketplace was designed to be more of a virtual garage sale / classified feature available for users to buy and sell items locally. As it has evolved, however, it has become a much more robust marketplace. This, of course, has attracted Facebook users who are increasingly using the feature in their shopping. In the automotive world, industry vendors have begun automatically sending dealer’s inventory to Facebook Marketplace, and Facebook itself has struck deals with major third-party listing sites like Cars.com to have a dealer’s inventory published making it very convenient for car dealers to have updated inventories available for exposure to Facebook’s massive user base.</span></p>
<p><span> </span></p>
<p><span>But are consumers actually using Facebook Marketplace to shop for cars?</span></p>
<p><span> </span></p>
<p><span>As a technology provider that facilitates conversations between consumers and dealerships in managed chat and also offers that feature within the Facebook platform, we can tell you that consumers are, in fact, engaging with dealerships about individual vehicles.</span></p>
<p><span> </span></p>
<p><span>In Q2 of 2018 alone, 250 dealerships that use ActivEngage managed chat for Facebook via Messenger received 11,030 engagements from consumers originating from a VDP on Facebook Marketplace.</span></p>
<p><span> </span></p>
<p> <a href="http://storage.ning.com/topology/rest/1.0/file/get/2545193320?profile=original" target="_self"><img src="http://storage.ning.com/topology/rest/1.0/file/get/2545193320?profile=original" class="align-center" width="256"/></a></p>
<p><span> </span></p>
<p><span>The table above illustrates that consumers are engaging with not only a wide spectrum of vehicle makes but also with a large span in vehicle age. These 11,030 consumer-initiated engagements encompassed a whopping 506 different model vehicles as well. This tells us that consumers of all types, budgets, needs, and interests are perusing Facebook Marketplace within their car buying journey.</span></p>
<p><span> </span></p>
<p><span>Just as with any other consumer touch point, dealers need to be ready to engage with consumers, answer questions and start to build that relationship. Consumers only have so much time and patience, so failing to respond or engage the customer will only see that customer move on to the next vehicle or dealership — costing sales. On the opposite end of the engagement spectrum, dealers who are quick to respond, and are transparent and helpful have a higher chance of earning that customer’s business.</span></p>
<p><span> </span></p>
<p><span>Consider that these figures only represent the data from consumers who chose to initiate contact with the dealership via chat. It’s safe to say that there are many more consumers browsing vehicles on Facebook Marketplace that did not engage but rather went into the dealership to see a vehicle of interest.</span></p>
<p><span> </span></p>
<p><span>Facebook Marketplace is a valuable asset that dealers should be utilizing to gain exposure for their inventory. With inventory listings being automated through data providers that almost every dealership already uses in combination with Facebook’s third-party listing partnerships, Facebook’s Marketplace has morphed into a legitimate shopping destination for consumers in the market for a vehicle.</span></p>Parts Sales: Money Doesn’t Grow on Treestag:www.dealerelite.net,2018-09-13:5283893:BlogPost:5207702018-09-13T13:57:36.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span>At one point in time or another, we’ve all heard someone in our lives tell inform us that money doesn’t grow on trees. And they would be right. Technically.</span></p>
<p><span> </span></p>
<p><span>The facts are, however, that the phrase started because sometimes there is money (revenue) that is simply waiting to be taken by businesses. There are a lot of revenue sources in dealerships and while those sources haven’t changed much in a century, the way in which dealerships can harvest…</span></p>
<p><span>At one point in time or another, we’ve all heard someone in our lives tell inform us that money doesn’t grow on trees. And they would be right. Technically.</span></p>
<p><span> </span></p>
<p><span>The facts are, however, that the phrase started because sometimes there is money (revenue) that is simply waiting to be taken by businesses. There are a lot of revenue sources in dealerships and while those sources haven’t changed much in a century, the way in which dealerships can harvest or maximize the profits in each of those has.</span></p>
<p><span> </span></p>
<p><span>Technology is being introduced daily that can assist dealers in creating more positive and easier buying experiences in sales. Technologies are showing up making dealerships not only more efficient for customers but allow for a higher volume with existing infrastructures.</span></p>
<p><span> </span></p>
<p><span>That’s not what I’m talking about.</span></p>
<p><span> </span></p>
<p><span>What I’m talking about is taking advantage of a technology that we’ve had access to for decades. The Internet.</span></p>
<p><span> </span></p>
<p><span>e-Commerce, if nothing else, has taken our world by storm. It recently made Jeff Bezos the <u><a href="http://time.com/money/5388686/jeff-bezos-worlds-richest-man-net-worth-doubled/">richest man in the world</a></u>, nearly doubling the net worth of the second richest man, Bill Gates. Amazon now has more consumers in the United States that pay money to be a member of their Prime program than don’t… and that train probably isn’t stopping soon.</span></p>
<p><span> </span></p>
<p><span>e-Commerce isn’t anything new to us as a society. We’re all getting quite used to – and fond of – being able to order anything we want and having it delivered to us within a couple days, the same day or, in some areas, even within an hour. Anything from books to refrigerators can be had by a consumer without them leaving their living rooms. But don’t think that the automotive industry isn’t vulnerable.</span></p>
<p><span> </span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545189715?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545189715?profile=RESIZE_480x480" width="380" class="align-right"/></a>Amazon <u><a href="https://money.cnn.com/2018/05/09/news/companies/amazon-sears-tires/index.html">recently announced</a></u> to consumers that they could be tires for their vehicles through Amazon which would be delivered to the consumer and installed for free by Sears. We know that Amazon has been selling auto parts online for quite a long time. This, however, is next-level. And shows that dealer fixed operations revenues are being attacked not only on the parts end – but also the service end. (Someone has to install those tires, right?)</span></p>
<p><span> </span></p>
<p><span>As a dealer, parts sales represent an incredible opportunity to increase revenue in an already-existing profit center. One that, in many cases, goes incredibly neglected. There are plenty of dealerships that have taken advantage of this and made a killing. Many others, however, either have not realized the potential or think that the mechanics to accomplish this would be taxing.</span></p>
<p><span> </span></p>
<p><span>There’s a reason why Amazon chose to get in the automotive parts industry… and it’s not because there isn’t money to be made. According to a 2017 report from <u><a href="https://hedgescompany.com/blog/2017/02/auto-parts-industry-trends-online-parts-sales-8-9-billion-2017/">Hedges & Company</a></u>, not only is the online retail parts industry up to $9 billion per year but it’s also growing at a double-digit year-over-year increase, while retail sales are only growing at less than 3% year-over-year.</span></p>
<p><span> </span></p>
<p><span>With new car profits shrinking, future sales volume in doubt due to ride-sharing and autonomous vehicles, analysts predicting newer generations to have less interest in car ownership and electric cars threatening to put a bite in service revenue due to less maintenance required, dealers should be exploring all revenue opportunities that they have the infrastructure and ability to leverage in order to ensure that future financial profitability has a secure foundation.</span></p>
<p><span> </span></p>
<p><span>Money may not literally grow on trees, but perhaps we’ve all been looking for the wrong type of tree.</span></p>Don’t Let Technology Make Your Customers Run for the Hills!tag:www.dealerelite.net,2018-09-06:5283893:BlogPost:5207302018-09-06T14:04:27.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545189274?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545189274?profile=RESIZE_480x480" width="380"></img></a> Communication is vital to business, that’s a given. In retail, businesses must be responsive, provide a great customer experience and stand by their products or services. But what happens when businesses fail at that? They get complaints.</span></p>
<p><span> </span></p>
<p><span>A customer ordered some copper from a business that promised it to be of the highest…</span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545189274?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545189274?profile=RESIZE_480x480" width="380" class="align-right"/></a>Communication is vital to business, that’s a given. In retail, businesses must be responsive, provide a great customer experience and stand by their products or services. But what happens when businesses fail at that? They get complaints.</span></p>
<p><span> </span></p>
<p><span>A customer ordered some copper from a business that promised it to be of the highest quality. When the customer’s representatives received the merchandise, they discovered that the copper was not the quality that was ordered. What did the business say? “Take it or leave it!” Of course, the customer that ordered it was furious and sent a message to the businessman promising to not do business with them on their word of the quality of the merchandise and, further, asked for a refund.</span></p>
<p><span> </span></p>
<p><span>Sound familiar? Every retail business in existence has encountered this situation at one point in time. An unhappy customer complains via a message. And, for certain, tells their network.</span></p>
<p><span> </span></p>
<p><span>Why is this story different?</span></p>
<p><span> </span></p>
<p><span>Because it happened <u><a href="https://en.wikipedia.org/wiki/Complaint_tablet_to_Ea-nasir">3,800 years ago</a></u>. On a stone tablet that was almost 5 inches wide and 3cm thick. Then delivered, in person, after a voyage from Mesopotamia across the Persian Gulf. It is thought to be the world’s first complaint (albeit in writing). Some customer was so upset that he not only sent his messengers to collect the merchandise, which they returned empty-handed, but then carved into stone a complaint and sent the messengers back to deliver that message. A voyage that was about 1,220 miles. Sounds like a pretty unhappy customer. And while Yelp didn’t exist at that time, the complaint has endured quite a while. Don’t forget, however, that the customer had to deliver a message that distance to buy the copper in the first place.</span></p>
<p><span> </span></p>
<p><span>Fast forward to today.</span></p>
<p><span> </span></p>
<p><span>Customers can now communicate with businesses immediately. Regardless of whether that communication is to complain, buy something or get questions answered. Technology has rapidly given consumers faster ways in which to communicate and consumers have gotten more used to this speed and convenience. First, telegrams, then phones, then email and now chat and text messages.</span></p>
<p><span> </span></p>
<p><span>The tech community, however, is trying to take it to the “next level.” One that is automated and doesn’t have human involvement. Efficiency and speed are that technology’s selling points. But are consumers biting? No.</span></p>
<p><span> </span></p>
<p><span>But why?</span></p>
<p><span> </span></p>
<p><span>While efficiency in communication is a key factor in customer experience, transactional success and increased revenue, humans still want to deal with humans. No consumer wants to converse with a phone tree or an AI system. Have you ever gotten frustrated trying to get an answer from Amazon’s Alexa, Google’s Home or Apple’s Siri which either don’t understand, misunderstand or give you irrelevant answers?</span></p>
<p><span> </span></p>
<p><span>Now, we have chatbots. AI-driven customer service. But how do customers feel about them?</span></p>
<p><span> </span></p>
<p><span>According to <u><a href="https://www.forbes.com/sites/christopherelliott/2018/08/27/chatbots-are-killing-customer-service-heres-why/#41778a0413c5">this article</a></u> in Forbes, people aren’t thrilled, and chatbots are killing customer service. At the end of August 2018, the Global Consumer Customer Service Report specifically asked consumers how they felt about chatbots. What did they discover? Humans still prefer to deal with humans. In fact, while chatbots may be sufficient for a quick automated answer, complex and detailed customer inquiries were preferred (and recommended) to be handled by humans.</span></p>
<p><span> </span></p>
<p><span>Human beings orchestrating customer service needs can react and respond to complex situations better than any chatbot. And believe me when I say that consumers know when they are talking to a “bot” just as quickly as they know that the email your dealership just sent was automated and not actually sent by a person.</span></p>
<p><span> </span></p>
<p><span>For consumers, a live support agent is preferable to chatbots every time. Chatbots aren’t capable of adapting outside of their programming. Just think about the conversations that car shoppers have with your salespeople. I bet you beat your head against the wall just listening to the recorded conversations between salespeople and phone calls with customers on your call tracking service.</span></p>
<p><span> </span></p>
<p><span>It’s much more difficult to communicate via the written word (e-mails, chat, text, etc.) than it is when speaking in person. Structure and vocal tone dominate those conversations and can change the meaning when communicating whereas that option isn’t available in written form.</span></p>
<p><span> </span></p>
<p><span>When a human chat agent is involved, however, “…half of the respondents ranked chat as their top channel for quick customer service. Yet, they still prefer a human because bots are less helpful, and their answers are less detailed.” The article goes on to say that the survey does believe that chatbots are killing customer service and that while companies are adopting chatbots in order to save money and human resources “in the short term… [they] will eventually send customers running for the hills.” And lose revenue rather than saving money.</span></p>
<p><span> </span></p>
<p><span>Whether you are considering using chatbots in your dealership through a technology company, managing chat in-house, using a fully managed service or some hybrid of all of the above, just keep in mind that consumers prefer interacting with humans. It’s not the speed at which the customer can get answers that matter… but the quality of those answers that will provide them with the customer experience that will keep have them (or keep) them coming to your dealership.</span></p>Stop Chasing Squirrels: The More You Know, the More You Selltag:www.dealerelite.net,2018-08-30:5283893:BlogPost:5204632018-08-30T14:02:16.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545189366?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545189366?profile=RESIZE_480x480" width="380"></img></a> Henry Ford was once asked why he visited his executives rather than having them come to his office when problems arose or he needed questions answered. “I go to save them time,” said Ford. “I’ve found that I can leave the other fellow’s office a lot quicker than I can get him to leave mine.” Ford knew the necessity of gaining information.</span>[1] <span>He also knew…</span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545189366?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545189366?profile=RESIZE_480x480" width="380" class="align-right"/></a>Henry Ford was once asked why he visited his executives rather than having them come to his office when problems arose or he needed questions answered. “I go to save them time,” said Ford. “I’ve found that I can leave the other fellow’s office a lot quicker than I can get him to leave mine.” Ford knew the necessity of gaining information.</span>[1] <span>He also knew that being more efficient in gathering that information would save both his time and also make the executive more efficient in their work.</span></p>
<p><span> </span></p>
<p><span>Internet leads have been around for almost 2 decades now. As their volume progressed, dealers started paying closer attention. To this day, however, most leads – whether third-party- or organic – contain very little information and are often inaccurate. Customers may be willing to provide their email address to gather information, but they may give a false phone number. This causes dealers who are on top of their game to waste a lot of time chasing a squirrel.</span></p>
<p><span> </span></p>
<p><span>Great dealerships will convert Internet leads into customers showing at their dealerships and a sale somewhere in the 10-15% range. The reason for that is that most dealerships respond to leads based on the simple information they have, which is typically only the vehicle they’re interested in, what the dealership’s “best price” is, perhaps what their trade-in is worth and, finally, what a payment would look like.</span></p>
<p><span> </span></p>
<p><span>Different dealerships have vastly different strategies when responding to leads. Some dealers will send the “When can you come in?” message. Some will respond with a “best price” that includes every rebate and incentive known to man. And some will start an in-depth inquisition of the customer which can easily cease the engagement.</span></p>
<p><span> </span></p>
<p><span>Just like that customer that walks onto a dealership’s lot, the more you know about the customer, the easier it is not only to sell them but also build trust. By providing a more informed answer to the consumer’s questions, the dealership is able to begin a relationship that doesn’t start on an adversarial basis. Consumers are already leery of car dealerships. As a survey by Gallup indicates, <u><a href="https://www.theatlantic.com/business/archive/2012/12/the-least-trusted-jobs-in-america-congress-members-and-car-salespeople/265843/">consumer trust</a></u> in car salespeople ranks at the bottom of the list - right below members of Congress.</span></p>
<p><span> </span></p>
<p><span>Dealerships also know that the more information they have about a customer, the more accurate they can be in providing information to the customer. , this isn’t always possible which causes friction from the beginning of the relationship when a dealership quotes one price yet is unable to honor it simply because of credit (or other) factors involving that specific consumer that they weren’t aware of.</span></p>
<p><span> </span></p>
<p><span>Today’s technology has the ability to offer more robust information to a dealer so that they are able to respond to customers based on factual information and personalized to that specific customer.</span></p>
<p><span> </span></p>
<p><span>Imagine engaging a customer after a chat conversation and being able to – in real-time, right after the chat conversation – being able to provide them with the information that they seek already having an idea of not only who they are but also what their credit score is. Wouldn’t that allow you to give the consumer better information? Wouldn’t it allow you to provide a better experience rather than having a customer come in with unrealistic expectations only to be disappointed and irritated when you can’t deliver? What typically happens then? Chances are high that they leave your dealership angry, go to the next dealership and restart the process. Only this time, the second dealership reinforces what you already told them, so they end up buying at the second dealership – and not yours.</span></p>
<p><span> </span></p>
<p><span>Car dealerships are slaves to information. The more they have, the easier the sale is. The less they have, the more inefficient and the higher the probability that the customer gets upset, the transaction takes longer, and the customer inevitably leaves without buying a car.</span></p>
<p><span> </span></p>
<p><span>Stop chasing squirrels and start gathering information in a more efficient manner by going to the customer’s office (to collect information) in order to provide accurate answers to the customer’s questions that engage you and without making them come to the dealership (your office) to do so. By making it a priority to find the right technology partner that can provide you with this information, you will not only engage more consumers but also sell more cars and be able to do so faster thus freeing up your sales staff to engage with even more customers.</span></p>
<p><span> </span></p>
<p><span>And in the end, that’s what matters.</span></p>
<p><span> </span></p>
<p><span> </span></p>
<p><span> </span></p>
<p>[1] <span>Fadiman, C. & Bernard, A. <em>Bartlett’s Book of Anecdotes</em>, Page 210, Revised Edition 1985</span></p>Be Authentic. Be Driven. And Don’t Let the Waves Take You Down.tag:www.dealerelite.net,2018-08-23:5283893:BlogPost:5199672018-08-23T13:54:51.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545230611?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545230611?profile=RESIZE_480x480" width="380"></img></a> Let me start by saying that I love to surf. Back in my younger days, I was able to qualify and had the opportunity to compete on the pro tour. At one point, I surfed Mavericks in Northern California which has waves in the 30 to 40-foot range. To illustrate, the waves are so big and heavy that you can’t just paddle out. I take this boat out and paddle to ride my first…</span></p>
<p><span><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545230611?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545230611?profile=RESIZE_480x480" width="380" class="align-right"/></a>Let me start by saying that I love to surf. Back in my younger days, I was able to qualify and had the opportunity to compete on the pro tour. At one point, I surfed Mavericks in Northern California which has waves in the 30 to 40-foot range. To illustrate, the waves are so big and heavy that you can’t just paddle out. I take this boat out and paddle to ride my first wave. After a few waves… I got hit by a monster wave. This wave dragged me 30-40 feet down. If you’ve never been hit by a wave and dragged down that far, you’re disoriented and scrambling for air, your lungs start burning and you’re very likely (like I was) tumbling in the water for 4 minutes or so. When I surfaced, everything was black and white from oxygen deprivation, my eardrums were blown, and my eye vessels popped. Then the next wave hit, and I found myself flying 30-40 feet in the air with my spine feeling as if it was cracked. I went back to the boat and, to be honest, I was scared and shaking. After about 20 minutes, and my friend’s encouragement, I went back out… and that was a defining moment in my life.</span></p>
<p><span> </span></p>
<p><span>Why am I telling you this story?</span></p>
<p><span> </span></p>
<p><span>In life, it seems as if everyone is trying to be something for somebody else. Whether that be your spouse, friends, or family. What you see in the mirror… how you view yourself… is what matters most. If you don’t understand who you are, then nothing else matters. Take the time to look in the mirror and get rid of that “if/only” thinking.</span></p>
<p><span> </span></p>
<p><span>When you truly understand yourself and are open, you have much more control over your life and it fundamentally changes who you are. The best story of your life will always be your own. Of course, that will include your family and friends but learning to live your own story is the most powerful thing you can do.</span></p>
<p><span> </span></p>
<p><span>I love to journal so that I can see on paper how I’m feeling that day and record my activities, feelings, and experiences. I also encourage my son to do the same. Do you know what you’re doing on a daily basis… what actions you’re taking?</span></p>
<p><span> </span></p>
<p><span>If you work at a dealership, chances are that you work long hours. How does that affect who you are or who you want to be? Not only to yourself but also to how you control the relationships that you have with your friends, families and the other significant people in your lives?</span></p>
<p><span> </span></p>
<p><span>I, personally, like the grind. Putting in the work, however, is part of that grind… what I call “the suck.” But you have to do the grind to get where you want to go. The grind is really your journey to success no matter how you define success. If you stop putting in the work, however, you will end your journey and, chances are, miss the grind.</span></p>
<p><span> </span></p>
<p><span>In our business, the highs and lows are extreme. Especially in sales. Every month, every salesperson goes from hero to zero. It doesn’t matter how many cars they sold the month before.</span></p>
<p><span> </span></p>
<p><span>Goals are important. They are waypoints in a longer journey. No matter what industry you’re in, what career path you took or where you are on that journey, every individual should appreciate that journey and their experiences more than any one thing.</span></p>
<p><span> </span></p>
<p><span>If you want it, no matter what it is, you will have to sacrifice. Those sacrifices could be small or they could be monstrous. It only depends on you and how much you want to reach the end of that journey.</span></p>
<p><span> </span></p>
<p><span>Pay the price for whatever goals you have set in your mind and you’ll see in the end that every moment… every experience… every sacrifice… is not only what made you WHO you are but got you to where you wanted to be.</span></p>
<p><span> </span></p>
<p><span>And that, my friends, is how you succeed… even if it involves monstrous waves.</span></p>Are You Lonely in Your Communication with Customers?tag:www.dealerelite.net,2018-08-16:5283893:BlogPost:5197952018-08-16T13:57:47.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545194351?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545194351?profile=RESIZE_480x480" width="380"></img></a> Somewhere in the North Pacific Ocean, <u><a href="https://www.washingtonpost.com/sf/style/2017/01/26/the-loneliest-whale-in-the-world/?noredirect=on&utm_term=.743094108f6a">there lives a whale</a></u> that cannot communicate with other whales. You see, whales communicate via sub-sonic vocal sounds. Most whales communicate in the 15-25 hertz (Hz) range. Whales, for the…</p>
<p><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545194351?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545194351?profile=RESIZE_480x480" width="380" class="align-right"/></a>Somewhere in the North Pacific Ocean, <u><a href="https://www.washingtonpost.com/sf/style/2017/01/26/the-loneliest-whale-in-the-world/?noredirect=on&utm_term=.743094108f6a">there lives a whale</a></u> that cannot communicate with other whales. You see, whales communicate via sub-sonic vocal sounds. Most whales communicate in the 15-25 hertz (Hz) range. Whales, for the most part, can communicate inter-species… except for one. This whale communicates in the vocal range of 52 hertz, making it impossible for other whales to hear them which isolates them in the oceans. Are there more than one of these whales? There must be for them to still exist, but they have never been seen, only heard via advanced audio equipment developed by NASA. Of course, they need to reproduce, but imagine living in an area that encompasses 80% of the Earth and not being able to talk to any other of the many whales in existence. People have been fascinated by this. They’ve written songs and books about them, made references to them on TV shows and even used their likeness to sell cell phones in Ireland. Why are people so fascinated by this creature that’s never been seen but only heard – and even then, only with advanced technology?</p>
<p> </p>
<p>As a species, humans cannot exist without communication. There have been many experiments and real-life examples of people going crazy in isolation. But is it simply the lack of being able to communicate that so disrupts our brains?</p>
<p> </p>
<p>I would say no. Unlike this whale species, even prisoners in isolation have brief communication with people—even if it’s only a guard delivering their food, letting them out to shower or for that hour of recreation time the prisoners are allowed. Even that tiny bit of communication isn’t enough to avoid insanity for some of them. If it’s not the lack of communication, which humans need, then what is it?</p>
<p> </p>
<p>It’s the quality of the communication.</p>
<p> </p>
<p>How does this story tie into automotive? Most consumers are online today researching vehicles before even attempting to reach out to a dealership. When they do reach out, despite dealers’ attempts (or lack thereof) to respond and engage the customer, they’re often met with very little information other than “When can you come in?” In fact, the industry average – for a good dealership – on connecting with a customer hovers around 20% or less. Dealers pay, on average, upwards of $25 or more just to get the information from a conversion or third-party lead. If a dealer pays for 100 leads per month, that equates to $2,500 (on the low-end). Yet, they’re only engaging with 20% which means that for $2,500, they’re paying $2,500 to engage with $500 (20) worth of leads.</p>
<p> </p>
<p>Good quality communication, which involves an actual engagement with the customer and the opportunity for the dealership to provide the customer with the information they are seeking and begin to build a relationship with them, establishes trust and migrates the customer further down the funnel towards selecting the dealership as the one that they wish to buy from more than simply extracting information and joining the gang of dealerships responding via auto-responders and calling a customer three times per day ever will. Quality, however, costs more than quantity. Yet, while dealers will spend more money to get more extracted information (leads), they won’t pay more for quality. Quality costs more money. That’s the difference between going to Payless to buy sneakers or spending more to buy Nikes.</p>
<p> </p>
<p>Remember, however, that, to your customers, every conversation revolves around them. They don’t care whether your dealership is getting 100 or 1,000 leads. They just want information and quality interaction in the manner that they choose. Having quality conversations with customers engages them more which then translates into a higher conversion rate, a better customer experience and, ultimately, increased return-on-investment for the dealership.</p>
<p> </p>
<p>In this age of non-verbal communication, the difference between communication and quality communication is exactly like the difference between a chat or text reply of “K” and one that is in-depth and engaging in which there is an actual conversation occurring and not simply a vague response.</p>
<p> </p>
<p>Examine how you’re communicating with customers and whether the channels and techniques you’re using to do so are designed for quality communications or you are simply trying to achieve a larger quantity of information and shooting for higher conversions by playing the numbers. E-mail templates sent via a CRM auto-responder are no longer effective. For dealerships to increase engagement and sales, they need to be having quality conversations with customers on the channels they pay attention and respond to.</p>
<p> </p>
<p>Find a solution that can provide you the engagement your customers deserve while also being the one that provides the most ROI. If customers can’t hear you, you’ll soon discover that nobody is listening, and you may become exactly what you don’t want to…</p>
<p> </p>
<p>The loneliest whale in the world.</p>What Does Chat Have to Do with 867-5309?tag:www.dealerelite.net,2018-08-10:5283893:BlogPost:5196592018-08-10T15:40:02.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545202162?profile=original" target="_self"><img class="align-right" src="http://storage.ning.com/topology/rest/1.0/file/get/2545202162?profile=RESIZE_480x480" width="380"></img></a> Jenny.</p>
<p> </p>
<p>Tommy Tutone said it in 1981 and many of you reading this know that number. It’s Jenny’s number. And we remember it. Why? Sure, it was a catchy song and has become a staple in early pop music, but it does hold a hidden gem that every car dealer would be thrilled to possess.</p>
<p> </p>
<p>For dealerships, customer information is only the beginning of…</p>
<p><a href="http://storage.ning.com/topology/rest/1.0/file/get/2545202162?profile=original" target="_self"><img width="380" src="http://storage.ning.com/topology/rest/1.0/file/get/2545202162?profile=RESIZE_480x480" width="380" class="align-right"/></a>Jenny.</p>
<p> </p>
<p>Tommy Tutone said it in 1981 and many of you reading this know that number. It’s Jenny’s number. And we remember it. Why? Sure, it was a catchy song and has become a staple in early pop music, but it does hold a hidden gem that every car dealer would be thrilled to possess.</p>
<p> </p>
<p>For dealerships, customer information is only the beginning of the tools they need to turn a shopper into a buyer. Dealerships have been paying tens of thousands of dollars to get information about customers who are in-market for a vehicle via many different advertising sources including e-mail leads, conversion forms, and widgets as well as via chat. Historically, the problem has been that the information received is either incomplete or inaccurate, which means the dealer paid $20+ for useless information. Even if a salesperson can use that lead to contact the customer, the conversations usually begin not about the potential vehicle, but about the price, down payment, and other financial issues involved in this major transaction.</p>
<p> </p>
<p>Even that customer who just pulls up on the lot is hit by the same questions from the salespeople because that’s what they’re trained to do. Bad credit? Bring them in immediately, and have them fill out a credit application. Great credit? Show them whatever they want. But what if customers aren’t forthcoming with their information? Or the information they give isn’t accurate?</p>
<p> </p>
<p>The sales process, by necessity, has to start all over again. And auto shoppers don’t like it. (P.S. Neither do sales managers.)</p>
<p> </p>
<p>In today’s modern society, consumers are used to efficient and frictionless communication that leads to them getting what they want. And, while consumers do tons of research, visit upwards of 24 touch points on their buying journey and come to the dealership armed with information, statistics say that 80% of them don’t purchase the vehicle they came in to buy. Also, even though they did all of this pre-visit research on the vehicle they came in for, they did none on the one they actually become interested in. They are, however, hesitant to call into a dealership for the simple reason that they are afraid of being harassed. They will, however, chat with a dealer. Why? It’s more convenient and they can remain anonymous if they choose. Yet, if the customer has a good experience in chat and their questions are answered, they are much more likely to choose to do business with that dealership.</p>
<p> </p>
<p>What if the conversation could start differently? What if there was a touch point that would allow the dealership to have more information at the beginning of the conversation with which to better serve shoppers, give them more accurate information and provide a smoother customer experience that leads to a sale that much easier?</p>
<p> </p>
<p>I know of no dealers who would say that they would prefer less information about a customer in the beginning. It makes the process not only more arduous for managers at the dealership, but also for the customer. And while in 1981, it may have been as simple to contact Jenny as having a dime and her phone number, it’s not that simple anymore. On top of that, when we’re talking about what, for most individuals, is the second most expensive investment that they’ve made in their life, definitely, more information is needed up front from the customer to provide accurate answers.</p>
<p> </p>
<p>Luckily for dealers, the technology exists today that allows conversations to happen between customers and dealerships in which the dealership can access information which allows them to have a more knowledgeable and 2-sided conversation with customers. And that creates less friction, builds more trust and leads to increased closing percentages.</p>
<p> </p>
<p>There are certain steps in the “stereotypical” buying process that indicate purchasing behavior. One of those is the customer allowing the dealership to pull their credit. No customer wants to visit 27 dealerships and have them all pull his or her credit. Not only is that time-consuming but it’s actually detrimental to their goal – to buy a car.</p>
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<p>Imagine being able to start a conversation with a customer who allows you to do a soft pull of their credit in order to give them accurate answers. Would that help you sell more? Would it impact the customer experience? Would it help the dealership navigate around the negative stereotypes in the industry? Yes, to all of the above.</p>
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<p>Consumers want instant information. That’s the exact reason why technologies have evolved to allow consumers to interact with businesses without having to pick up the phone. The problem is that, oftentimes, those digital interactions are one-sided, and the business is left with nothing but air from their interaction.</p>
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<p>Digital communications like chat and text are the preferred method of communication nowadays. Chat allows dealers to give shoppers accurate answers quickly and leave the conversation with vital customer information, which is imperative to business growth both in the immediate and long-term future.</p>
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<p>Information can only be accurate, relevant and trustworthy if it is two-sided. It enhances the conversation, builds trust and opens the door to pre-purchase commitment behavior.</p>
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<p>And that’s much more likely to make a sale than a dime and a phone number.</p>How Avoid SMS/Texting Lawsuits: 4 Quick Tips to Keep Your Dealership Safetag:www.dealerelite.net,2012-05-07:5283893:BlogPost:2953982012-05-07T15:03:03.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><strong>Late last year, a 2.5 million dollar lawsuit was won against Lithia Motors Inc. for sending unwanted text messages to customers without giving them the option to opt out of the text messages. According to <a href="http://www.autonews.com/apps/pbcs.dll/article?AID=/20120423/RETAIL07/304239962/1422">AutoNews.com</a>, Lithia was hit with a class-action lawsuit for broadcasting to 57,800 consumer cell phones text messages that failed to adequately allow the recipients to opt out of…</strong></p>
<p><strong>Late last year, a 2.5 million dollar lawsuit was won against Lithia Motors Inc. for sending unwanted text messages to customers without giving them the option to opt out of the text messages. According to <a href="http://www.autonews.com/apps/pbcs.dll/article?AID=/20120423/RETAIL07/304239962/1422">AutoNews.com</a>, Lithia was hit with a class-action lawsuit for broadcasting to 57,800 consumer cell phones text messages that failed to adequately allow the recipients to opt out of future texts. A second Lithia broadcast text went to 48,000 of the previous recipients, 6,190 of whom said that they tried to opt out but were unable to.</strong></p>
<p>The Lithia texting case sent an impulsive wave through dealerships' digital marketing departments late last year and was still a hot topic at the <a href="http://dealerevents.com/videos/1/11">Digital Dealer 12 Conference in Orlando</a>. To avoid lawsuits like these, automotive dealers need to understand the FCC Laws regarding this form of communication and do a little research when choosing mobile to mobile marketing strategies. Be sure to test out any services before signing a contract and ask to speak with current customer references.</p>
<p>Here is what I found on the<a href="http://www.fcc.gov/guides/spam-unwanted-text-messages-and-email"> FCC Website</a> regarding mobile email and text messages:<img class="alignright" src="http://www.inquisitr.com/wp-content/2011/05/federal-trade-commission-ftc-logo_jpg.png" alt="" width="279" height="279"/></p>
<p>Under the CAN-SPAM Act, the FCC prohibits sending unwanted text messages to a consumer’s wireless phone number if they are sent using an autodialer, or if the number has been placed on the national Do-Not-Call list.</p>
<p>Even if a consumer has placed their number on the national Do-Not-Call list, the TCPA (Telephone Consumer Protection Act) does not protect consumers from receiving commercial messages sent to that number if they have:</p>
<ul>
<li>given prior consent to the sender, or;</li>
<li>established a business relationship with the sender</li>
</ul>
<p><strong><br/>Under the FCC’s rules, commercial email messages may only be sent to a wireless device via the Internet if the consumer has “expressed prior authorization.” Email senders may request consumers to provide this authorization orally or in writing (email or letter).</strong></p>
<p>The Federal Trade Commission also has four requirements that must be followed:</p>
<ul>
<li>Identification – Unsolicited commercial email sent to non-wireless accounts must be clearly identified as a solicitation or advertisement for products or services.</li>
<li>Offering a Way to Reject Future Messages – Commercial email senders must provide easily-accessible, legitimate ways for recipients to reject future messages from a specific sender.</li>
<li>Return Address – All commercial email, and email considered transactional and relationship messages (about existing transactions), must contain legitimate return email addresses, as well as the sender’s postal address.</li>
<li>Subject Lines – Commercial email senders must use subject lines that are accurate. Using misleading or bogus subject lines to trick readers into opening messages is prohibited.</li>
</ul>
<p><strong><br/>Dealer Takeaway<br/>Before implementing any texting programs, be sure to have done your research. There are many new guidelines regarding <a title="Dealers Beware: 5 Ways to Suck at Inbound Marketing" href="http://blog.activengage.com/2011/11/dealers-beware-5-ways-to-suck-at-inbound-marketing/">SPAM</a>, email marketing and text messaging so do some reading before moving forward. For those of you in the process of implementing a text strategy, make sure your guidelines include the following:</strong></p>
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<p dir="ltr">1. Have consent to send text messages to specific customers</p>
<p dir="ltr">2. Have an “opt out” option included in the text messages sent</p>
<p dir="ltr">3. Identify your dealership in the message by providing a valid return address and noting the postal address of your dealership.</p>
<p dir="ltr">4. Ensure all subject lines must accurately describe the content within the message.</p>Consumers Perceive Fewer Differences Between Top Car Brands: How Can your Brand Stand Out?tag:www.dealerelite.net,2012-05-02:5283893:BlogPost:2944982012-05-02T18:00:00.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p><strong id="internal-source-marker_0.6198781963903457">The perceived difference between the top car brands and their challengers is shrinking, according to the <a href="http://www.consumerreports.org/content/cro/en/cars/best-car-brands-consumer-perception-consumer-reports.html?EXTKEY=I91CONL&CMP=OTC-ConsumeristRSS">2</a><a href="http://www.consumerreports.org/content/cro/en/cars/best-car-brands-consumer-perception-consumer-reports.html?EXTKEY=I91CONL&CMP=OTC-ConsumeristRSS">012…</a></strong></p>
<p><strong id="internal-source-marker_0.6198781963903457">The perceived difference between the top car brands and their challengers is shrinking, according to the <a href="http://www.consumerreports.org/content/cro/en/cars/best-car-brands-consumer-perception-consumer-reports.html?EXTKEY=I91CONL&CMP=OTC-ConsumeristRSS">2</a><a href="http://www.consumerreports.org/content/cro/en/cars/best-car-brands-consumer-perception-consumer-reports.html?EXTKEY=I91CONL&CMP=OTC-ConsumeristRSS">012 Car-Brand Perception Survey</a> conducted by the Consumer Reports National Research Center. The survey scores reflect how consumers perceive each brand in seven categories: safety, quality, value, performance, environmentally friendly/green, design/style, and technology/innovation.</strong></p>
<p>So how can you make your dealership and brand stand out among your competitors? Simple! Add live chat to your dealership’s website!</p>
<p> <img class="alignright" alt="" src="http://www.examiner.com/images/blog/EXID6882/images/car_logosMONY.jpg" width="540" height="405"/></p>
<p>The highest quality foot traffic coming into your showroom or onto your lot is brought in by leads generated from your <a title="Live Chat Experience Increases Dealership Customer Loyalty" href="http://blog.activengage.com/2012/04/live-chat-experience-increases-dealership-customer-loyalty/">dealership websites.</a> Automotive live chat on your dealership website increases the amount of these leads and helps you develop a relationship between customers and your brand.</p>
<p>The average length of an automotive live chat conversation is 8 minutes. Behind every chat is a well-developed conversation which builds both the brand perception and a brand relationship with the consumer. When<a title="Live Chat Experience Increases Dealership Customer Loyalty" href="http://blog.activengage.com/2012/04/live-chat-experience-increases-dealership-customer-loyalty/"> consumers feel a connection with a brand,</a> they are most likely to take action either in the form of brand advocacy (marketing) or loyalty (sales).</p>
<p>Visitors might be leaving your website without filling out a form or sending an email because they aren’t finding the information for which they are searching. <a title="Stop Losing Sales! Discover the Power of Live Chat [Ebook]" href="http://blog.activengage.com/2012/03/stop-losing-sales-discover-the-power-of-live-chat-ebook/">Live chat allows</a> shoppers to ask questions and get answers quickly while opening them up to being engaged by your sales process. Consumers that have a positive experience with a dealership using live chat are then even more likely to take action.</p>
<p>Think of automotive live chat as an extension of your 1-1 sales process. Chat creates opportunities for personal interaction between interested shoppers and your dealership. The leads generated from chat are no different than those generated a phone-up or a walk-up, if not of higher quality.</p>
<p> Find out what the most trusted brand in automotive live chat can do for your dealership.</p>
<p> </p>Beijing Motor Show: Our Favorite New Carstag:www.dealerelite.net,2012-05-01:5283893:BlogPost:2943292012-05-01T19:00:10.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<p>The biggest auto show of 2012 isn’t in Detroit or Frankfurt, but in the crowded exhibition center of the <a href="http://www.china-autoshow.com/2010bjx/en/">Beijing Motor Show</a>. It is here the swelling Chinese car market continues to prove its importance to the auto world. Manufacturers unveiled over 100 new car models amid a throng of people so large that the Chinese government was forced to hold a …</p>
<p>The biggest auto show of 2012 isn’t in Detroit or Frankfurt, but in the crowded exhibition center of the <a href="http://www.china-autoshow.com/2010bjx/en/">Beijing Motor Show</a>. It is here the swelling Chinese car market continues to prove its importance to the auto world. Manufacturers unveiled over 100 new car models amid a throng of people so large that the Chinese government was forced to hold a <a href="http://www.autoblog.com/2012/04/24/beijing-motor-show-is-further-proof-of-chinas-automotive-import/">public lottery</a> to restrict access. By the end of the decade, experts <a href="http://www.irishtimes.com/newspaper/motors/2012/0425/1224315141370.html">predict</a> that China will shatter industry records by purchasing 30 million cars a year, making it the dominant force in auto consumption. In this blog, we’ll take a look at some of the exciting new developments that came out of the Middle Kingdom last week, and showcase some of our favorite new automobiles slated for a global release.</p>
<p dir="ltr"><strong>1) Honda Concept S</strong></p>
<p><img class="alignleft" src="http://2.bp.blogspot.com/-Rcj_fzW2kJg/T5dS-pfe2_I/AAAAAAAHdcU/k_yhbtxqSEw/s800/Honda-Concept-S-1%255B2%255D.jpg" alt="" width="497" height="273"/></p>
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<p>Minivans aren’t just for soccer moms anymore. This aggressive, angular design is powered by hybrid technology and features a roomy interior. Honda <a href="http://carscoop.blogspot.com/2012/04/honda-concept-s-to-form-base-for-new.html">says</a> that the Concept S “realizes both the ‘fun of driving’ and excellent environmental performance at the same time,” so we expect the model will feature an outstanding MPG ratio. Look for this sporty new value mover in early 2013.</p>
<p><strong>2) Jeep Wrangler Dragon</strong><br/><img class="alignleft" src="http://media.il.edmunds-media.com/jeep/wrangler-dragon/ns/jeep_wrangler-dragon_f34_ns_424121_717.jpg" alt="" width="531" height="388"/></p>
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<p>2012 marks the Year of the Dragon on the Chinese calendar, and this Wrangler gold-and-black concept comes decked out for the occasion. With special 18-inch wheels, black leather interior and an elegant dragon motif, the Wrangler dragon marks the first Jeep designed specifically for a Chinese audience. Jeep executive Micheal Manley <a href="http://www.insideline.com/jeep/wrangler/jeep-wrangler-dragon-roars-2012-beijing-auto-show.html">suggests</a> that this special edition “showcases the opportunity for special editions that might be available for China in the near future."</p>
<p><strong>3) Jaguar XJ Ultimate</strong><br/><img src="https://lh3.googleusercontent.com/TxvigveJrmsGMEAuN2o0idt_84ZSw9ggnu-GGrCBdGGAVDpzOz8ssFwvXD2M6w2zaF16AMfdi90vrRLkVGAwKShaty_fvO-jIl7qVWgQZMhUvFW_3-8" alt="" width="487" height="394"/></p>
<p>Jaguar is taking luxury to a whole new level with their newly-introduced XJ ultimate model. Boasting twin petrol and diesel engines and a state-of-the-art suspension technology, the XJ Ultimate isn’t only turning heads for its performance. It comes equipped with a range of decadent details, from the champagne cooler in the center console to the iPad/keyboard combo in the backseat. When you get bored of eating caviar on your yacht, this is the perfect ride for you.</p>
<p><strong>4) Lamborghini Urus</strong><br/><img src="https://lh4.googleusercontent.com/hipBhgd2gtmPb9MIx3hgskLNLhzqBp_ryUY9Bk4PsknvW8jyicOIrcJj3YM95OWcUpg7_KHS2n-ubQ8MyAss-XFi0e4t19TFlAO8PfAPPQmZiFn6ciY" alt="" width="474" height="267"/></p>
<p>Though we haven’t seen the words “Lamborghini” and “SUV” in the same sentence before, Lambo stole the spotlight this year with its concept utility vehicle. With a name borrowed from the Latin for “bull,” the 600-horsepower Urus packs some serious firepower under the hood. While the Urus is only a concept model, we’d put serious money on a mass-produced model within the next 3 years.</p>
<p><strong>5) Chrysler 300C Ruyi</strong><br/><img src="http://www.rushlane.com/wp-content/uploads/2012/04/Chrysler-reenters-Chinese-auto-markets-with-300-Ruyi-design-concept-Photos-10.jpg"/></p>
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<p>Chrysler has been conspicuously absent from the Chinese auto market since the Chrysler Group <a href="http://www.usatoday.com/money/autos/2009-04-27-daimler-chryselr-deal_N.htm">split from Daimler</a> in 2009, but this sleek sedan marks a return to the East. Inspired by the traditional Chinese symbol for prosperity and good fortune, the Ruyi is decorated with black chrome, suede seats, and an eight-speed transmission.</p>
<p>_<br/>If you like these cars as much as we do, you know there’s a lot to be excited for in the next few years. <a href="http://blog.activengage.com/subscribe-to-email-updates/">Subscribe to our blog</a> for daily auto industry updates, and check out our Pinterest board for more coverage of the Beijing Motor Show!</p>
<p><a href="http://pinterest.com/activengage/"><img src="http://passets-cdn.pinterest.com/images/about/buttons/follow-me-on-pinterest-button.png" alt="Follow Me on Pinterest" width="169" height="28"/></a></p>Conversion Rate Optimization for Your Dealership Websitetag:www.dealerelite.net,2010-05-21:5283893:BlogPost:78362010-05-21T15:15:55.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<img src="http://www.activengageblog.com/wp-content/uploads/2010/05/iStock_000005925809Small-300x199.jpg" style="float:right;"></img> Dealership website traffic is very important and there are many articles and blog posts about driving more people to your site whether it is SEO, SEM, Social Media or any other online marketing techniques, but today I want to talk about something else that is just as important. In fact I think it is more important. Focusing on your dealership <a href="http://www.activengage.com" target="_blank">conversion</a> and how to optimize it is the real half of the equation that you need to…
<img style="float:right;" src="http://www.activengageblog.com/wp-content/uploads/2010/05/iStock_000005925809Small-300x199.jpg"/>Dealership website traffic is very important and there are many articles and blog posts about driving more people to your site whether it is SEO, SEM, Social Media or any other online marketing techniques, but today I want to talk about something else that is just as important. In fact I think it is more important. Focusing on your dealership <a href="http://www.activengage.com" target="_blank">conversion</a> and how to optimize it is the real half of the equation that you need to turn your site into a lead generation machine.<br/>
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Online conversions are measured through a shopper taking one of the following actions.<br/>
<ul>
<li><a href="http://www.activengage.com" target="_blank"><span style="text-decoration: none;">Dealership Live Chats</span></a></li>
<li><span style="text-decoration: underline;">Web Forms</span></li>
<li><span style="text-decoration: underline;">Phone Calls</span></li>
</ul>
You need to understand why most of your website visitors are leaving without taking any action. To accomplish this goal you will need to do some analysis. Here are three tools that I suggest that might help you to better understand how people are using or in a lot of cases, not using your website.<br/>
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<strong><span style="color: #0000ff;">Survey Monkey</span></strong>- Set up a quick survey that will ask shoppers 3-4 questions as they are exiting your site. You really never know until you ask. This is a great tool to accomplish that goal and to give you insight into your shopper's behavior.<br/>
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<strong><span style="color: #0000ff;">Click Tale-</span></strong> This program is awesome, it creates a video of shoppers using your site. You can watch their mouse movements just like you were standing over their shoulder. It is a great way to develop real life user data. They also have a cool feature that provides heat maps of user sessions.<br/>
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<span style="color: #0000ff;"><strong>Google Website Optimizer-</strong></span> Here is a great free tool to help you test different elements on your site using split a/b testing. For example, change the headline, website copy, picture, offer or anything and test it to improve it. To be successful you must continue to improve your site to push people deeper into the sales funnel.<br/>
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Conversion rate optimization is the most important factor that will drive success for your Internet dealership in today’s increasing competitive marketplace. Today I challenge you to take the time and work on techniques and strategies to convert more traffic instead of just driving more traffic.<br/>
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Step one is about measurement and learning what is working and what isn’t working on your website. These three tools will put you on the path of success. Next time we are going to cover another area of conversion rate optimization for your dealership website.<br/>
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Happy Chatting<br/>
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<a href="http://www.activengage.com/Management.shtml" target="_blank">Todd Smith</a>Automotive Internet Marketing And The Rule Of Threetag:www.dealerelite.net,2010-05-04:5283893:BlogPost:51142010-05-04T20:12:47.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<img alt="ActivEngage Internet Sales Leads" class="align right size-medium wp-image-646" height="239" src="http://www.activengageblog.com/wp-content/uploads/2010/05/iStock_000003696632XSmall-300x299.jpg" title="ActivEngage Internet Sales Leads" width="240"></img> Using the rule of three for your marketing is a powerful way to <a href="http://www.activengageblog.com/index.php/test-drives-sales/" target="_blank">increase sales</a>. With a little research you will see that this rule of marketing has surrounded you for your entire life. Think back to your childhood and storytelling and you will see the rule of three in action. Remember the stories when you were a child: the three little pigs, Goldilocks and the three bears, three blind mice, the…
<img class="align right size-medium wp-image-646" title="ActivEngage Internet Sales Leads" src="http://www.activengageblog.com/wp-content/uploads/2010/05/iStock_000003696632XSmall-300x299.jpg" alt="ActivEngage Internet Sales Leads" width="240" height="239"/>Using the rule of three for your marketing is a powerful way to <a href="http://www.activengageblog.com/index.php/test-drives-sales/" target="_blank">increase sales</a>. With a little research you will see that this rule of marketing has surrounded you for your entire life. Think back to your childhood and storytelling and you will see the rule of three in action. Remember the stories when you were a child: the three little pigs, Goldilocks and the three bears, three blind mice, the three musketeers. And, then there is my favorite, the Three Stooges. This rule of three has been implanted into our subconscious since a very early age. In fact, the dominate form of filmmaking involves the use of a three part act.<br />
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Why is the power of three so “powerful” you might ask? Simple, it allows us to compare just enough stuff that it satisfies without overwhelming our brains. In most instances two is not enough and four is way too much. Three is the magical number.<br />
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Three also allows a flow to happen in our speech patterns. “Life, Liberty and the pursuit of happiness,” “Friends, Romans, Countryman,” “Blood, Sweat, and Tears,” and one of my favorites “Location, Location, Location.” You will notice all these sayings and many others just like them have a rhythmic flow when we say them out loud making them easy to remember. The question is how can you use this language pattern in your dealership sales process?<br />
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First, prioritize the three most important points you want to communicate about the vehicle the shopper is interested in. Even better is to have the shopper tell you what those three points are and use them in your communication whether on the phone, in an email or by a <a href="http://www.activengage.com" target="_blank">dealership chat</a> conversation. Second, relate each point to something familiar to your shopper and capture their interest and attention. This is using benefits instead of features in how you communicate with the shopper. Third, be consistent and repeat the three points to reinforce your message.<br />
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Remember this rule of three works with everyone and has been wired into how we receive and process information. Start putting it to work in your communication and watch how many more leads turn into dealership Internet sales.<br />
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Happy Chatting,<br />
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<a href="http://www.ActivEngage.com/Management.shtml" target="_blank">Todd Smith</a>Dealer Chat Persuasion: Capture More Internet Salestag:www.dealerelite.net,2010-04-27:5283893:BlogPost:38892010-04-27T19:42:24.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<img alt="activengage dealer chat bubble" class="align right size-medium wp-image-603" height="196" src="http://www.activengageblog.com/wp-content/uploads/2010/03/305px-Chat_bubble_1.svg-300x245.png" title="activengage dealer chat bubble" width="240"></img> In today’s tough automotive environment every website shopper is an opportunity to turn a browser into a buyer. Your website alone won’t do it. You need a way to put yourself between your website and your shoppers. It is <a href="You%20need%20a%20way%20to%20put%20yourself%20between%20your%20website%20and%20your%20shoppers." target="_blank">sales 101</a> to put a product professional in place to explain your vehicles and the services you offer. You do it in your showroom now so you…
<img class="align right size-medium wp-image-603" title="activengage dealer chat bubble" src="http://www.activengageblog.com/wp-content/uploads/2010/03/305px-Chat_bubble_1.svg-300x245.png" alt="activengage dealer chat bubble" width="240" height="196"/>In today’s tough automotive environment every website shopper is an opportunity to turn a browser into a buyer. Your website alone won’t do it. You need a way to put yourself between your website and your shoppers. It is <a href="You%20need%20a%20way%20to%20put%20yourself%20between%20your%20website%20and%20your%20shoppers." target="_blank">sales 101</a> to put a product professional in place to explain your vehicles and the services you offer. You do it in your showroom now so you need to do it on your virtual dealership too.<br />
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So how can you persuade your dealership shoppers to engage in chat? When they do engage what do you do next? This blog will lay out the basic fundamentals to get started turning your anonymous website visitors into leads and more importantly sales opportunities. People on your website need answers and direction just like the people that visit your dealership showroom.<br />
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First step of a great chat conversation is your opening message. How are you addressing your shoppers? One size fits all or a more personalized message meant just for them based on their click path on your website and their geographical location. Pre-chat intelligence allows for personalization so start using it to your selling advantage today.<br />
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The second step to increasing dealership chats is to leverage a proactive invitation, which will actively invite every one of your shoppers to engage in a chat conversation. Statistics prove that automotive shoppers are four times more likely to click on a proactive invitation than the standard passive button.<br />
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And finally to really turn your website into a lead generation machine utilizing chat for your dealership here is the most powerful thing you can do. Be available. As simple as it sounds, to effectively use dealer chat you need to make a time commitment. Having someone available every minute that your dealership is open will drive a measureable increase of chat conversations for your dealership.<br />
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Happy Chatting,<br />
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<a href="http://www.activengage.com/Management.shtml" target="_blank">Todd Smith</a>Boost Dealership Internet Sales This Month With These 7 Tipstag:www.dealerelite.net,2010-04-13:5283893:BlogPost:24682010-04-13T14:57:25.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<img alt="dealership internet sales activengage" class="align right size-medium wp-image-597" height="199" src="http://www.activengageblog.com/wp-content/uploads/2010/03/iStock_000005564419Small-300x199.jpg" title="dealership internet sales activengage" width="300"></img> This week I was thinking about what I would do if times were tough and I was still on the retail side of the business? What changes would I make in my Internet sales department? So, I decided to put together a list of seven easy to do things at your dealership that will absolutely have an impact on your Internet sales and <a href="http://www.activengageblog.com/index.php/leave-it-all-on-the-playing-field/" target="_blank">productivity</a>. This list is compiled to get you thinking…
<img class="align right size-medium wp-image-597" title="dealership internet sales activengage" src="http://www.activengageblog.com/wp-content/uploads/2010/03/iStock_000005564419Small-300x199.jpg" alt="dealership internet sales activengage" width="300" height="199"/>This week I was thinking about what I would do if times were tough and I was still on the retail side of the business? What changes would I make in my Internet sales department? So, I decided to put together a list of seven easy to do things at your dealership that will absolutely have an impact on your Internet sales and <a href="http://www.activengageblog.com/index.php/leave-it-all-on-the-playing-field/" target="_blank">productivity</a>. This list is compiled to get you thinking about things you can do right now without adding to your budget.<br />
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<li><strong><span style="color: #888888;">Redesign your autoresponder for shoppers</span></strong>- I have always found that autoresponders are a terrific place to make a great first impression and set the tone of how the Internet sales process will unfold at your dealership. Most autoresponders I see only state that the lead has been received and someone will get back to them ASAP. But, this is such a great place to do so much more. While I know that Internet shoppers may not read all the emails you send them, this one will not only set the tone but could establish if the shopper will even open up any of your additional emails. Take the time and rewrite your autoresponder or better yet make it a video and send the Internet shopper a link. Include specials' highlight events going on at the store, post the latest rebates and incentive. Video it hot right now so leverage it and get personal.</li>
<li><strong><span style="color: #888888;">Create an email offers to previous prospects</span></strong>- a monthly personalized offer to your shoppers is a great way to stay connected. Continued follow up even with your nonresponsive shoppers can yield results. Stores that I work with that consistently send email marketing offers always result in at least a couple opportunities that bubble to the surface and at least one sale. This sometimes is completely overlooked at dealerships but always produces results. Put a combination of new and used in the offer to give your email maximum penetration for your Internet sales.</li>
<li><strong><span style="color: #888888;">Make two extra calls per prospect</span></strong>- A major point of poor Internet sales results in falling short on follow up process. Just when you think you have made enough attempts to contact a shopper add two more attempts to the schedule. Another key piece of this is also calling at different times. Try first thing in the morning or later in the evening. Mix it up and try to find the sweet spot to make contact. Just two extra attempts will absolutely connect you with more shoppers this month. Calling more will get you a couple <a href="http://www.activengageblog.com/index.php/two-step-process-will-turn-more-calls-into-appointments/" target="_blank">more appointments</a> and in this economy that is exactly what you need.</li>
<li><strong><span style="color: #888888;">Send one additional email per prospect</span></strong>- I refer to this email as the last man standing offer, to try to break through the clutter and get your shoppers attention. This email must be text only without any graphics. The goal is to make it through any potential spam filter roadblocks. Ever wonder why almost all spam you receive is text based? Simple, it gets through to people's inbox. Create your most powerful email offer and deliver it in text only form. Make sure you have a powerful call to action at the beginning, middle and end of the email. Just sending an offer is not enough. Explain to your prospects what to do next.</li>
<li><strong><span style="color: #888888;">Update your website specials weekly</span></strong>- I visit so many dealership website and their special page is blank or hasn’t been updated in forever. We all forget but statistically I can say that the specials page on your website is one of the most looked at pages on almost every single dealership website I have visited. Take the time keep it updated and watch your Internet sales grow. Here is a good example just <a href="http://www.checkeredflag.com/global-incentives/index.htm" target="_blank">click here</a>.</li>
<li><span style="color: #888888;"><strong>Ask for an appointment at least three times for each call</strong></span>- asking for the appointment is critical. Just listen to some of the phone ups at your dealership and you will see huge opportunities. Salespeople just don’t ask for the appointment enough during the call. I found that setting a minimum of three attempts ensures we have made every attempt to move a phone-up from interest into an actual desire to come into the dealership and purchase a vehicle. Here is another article to increase <a href="http://www.activengageblog.com/index.php/test-drives-sales/" target="_blank">test drives</a> for your dealership.</li>
<li><strong><span style="color: #888888;">Email all new car leads a pre-owned vehicle offer after 30 days</span></strong>- Cobalt, Yahoo & Polk did a <a href="http://www.cobalt.com/showcase/industry-research.html" target="_blank">industry study</a> a while back that documented that shoppers will switch from a new vehicle to a pre-owned after the first 30 days. It might be due to the realization that they can’t afford a new vehicle and now they need another option. The key to this is to make sure your marketing doesn’t pigeon hole shoppers into what they originally sent their lead form in on. After 30 days expand the options for shoppers.</li>
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These are just a few easy to do things that can have a sales impact in your Internet department immediately. I always found that by just looking around you can find many unique ways to increase your business without it costing you a dollar. Here is one more <a href="http://www.activengageblog.com/index.php/8-steps-to-convert-dealership-website-chats-to-leads/" target="_blank">bonus idea</a> to increase website sales.<br />
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Happy Chatting,<br />
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<a href="http://www.activengage.com/Management.shtml" target="_blank">Todd Smith</a>Dealership chat solutions. What to consider and what to ask.tag:www.dealerelite.net,2010-04-06:5283893:BlogPost:22302010-04-06T13:53:15.000ZTodd Smithhttps://www.dealerelite.net/profile/ToddSmith
<img alt="dealer chat solution ActivEngage" class="align right size-medium wp-image-530" height="154" src="http://www.activengageblog.com/wp-content/uploads/2010/03/iStock_000003652840Small1-300x193.jpg" style="margin-top: 2px; margin-bottom: 2px; margin-left: 1px; margin-right: 1px;" title="dealer chat solution ActivEngage" width="240"></img> <a href="http://www.activengage.com" target="_blank">Dealer chat</a> is moving from the early adopter stage into the mainstream as more and more dealerships look for ways to increase internet sales and reduce costs to acquire new dealership customers. The dealership's website has the highest potential for increased results and should be the focus of your dealership if you are looking to boost your online internet sales. Here are five areas of concern and some good questions you might…
<img class="align right size-medium wp-image-530" style="margin-top: 2px; margin-bottom: 2px; margin-left: 1px; margin-right: 1px;" title="dealer chat solution ActivEngage" src="http://www.activengageblog.com/wp-content/uploads/2010/03/iStock_000003652840Small1-300x193.jpg" alt="dealer chat solution ActivEngage" width="240" height="154"/><a href="http://www.activengage.com" target="_blank">Dealer chat</a> is moving from the early adopter stage into the mainstream as more and more dealerships look for ways to increase internet sales and reduce costs to acquire new dealership customers. The dealership's website has the highest potential for increased results and should be the focus of your dealership if you are looking to boost your online internet sales. Here are five areas of concern and some good questions you might want to ask your dealer chat vendor before you buy any <a href="http://www.activengage.com" target="_blank">dealership chat solution</a>.<br />
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<strong><span style="color: #ff6600;">Functionality</span></strong>- What are the capabilities of the dealer chat system and what will you actually use on a daily/weekly basis? What new features are planned over the next 6 months to a year for the chat vendor? Does the company own the technology or are they licensing a third party solution? Obviously this will greatly impede any ability to customize the chat software for your dealership's needs. It will also affect what new features get released. It is important to remember that making sure whatever dealer chat software you purchase will easily communicate with your existing dealership technology.<br />
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<span style="color: #ff6600;"><strong>Scale-ability</strong></span>- How will it work for multiple dealership websites? Will you need a log-in for each dealership URL or does the software offer one enterprise log-in that will allow you to review and interact with all your dealerships from one place? Can you place chat across all areas a consumer might want to engage your dealership (i.e. <a href="http://www.facebook.com" target="_blank">facebook</a>, eBay, Craigslist, email, newsletters, microsites, landing pages, blogs, etc.)?<br />
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<strong><span style="color: #ff6600;">Userability</span></strong>- Is it easy to use? Does it help you to run your dealership Internet department or is it just another tool? Can you be up and running quickly using the dealer tool? What level of training and support comes after you purchase the automotive chat solution? Training and support are critical for the success of your deployment and continued used. I often see many technologies and services sitting idle at dealerships. Make sure you have access to continuous training and improvement from your solution provider.<br />
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<strong><span style="color: #ff6600;">Integration</span></strong>- What type of proactive invitations can you choose from and what level of customization is possible for your dealership? Can you generate and deliver a custom message on the fly or does it just happen automatically? Does the proactive chat engine have business intelligence built into it so the message consumers see is relevant to the dealership web page they are on and what they are looking at? How does the information go from the dealer's chat conversation into the CRM/ILM? How much information is transferred over?<br />
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<strong><span style="color: #ff6600;">Reporting</span></strong>- What type of reporting is offered and how useful is the information to help you make better dealer business decisions? Nobody in the automotive industry has time to look at useless information. Today’s dealerships demand information that will help them to make better decisions about marketing, SEO, SEM and how effectively their social media plan is being executed for the dealership. Web analytics and individual user click path information is only as good as it can be analyzed and interpreted.<br />
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In too many dealerships cost is the main driving force for how we select our dealer chat solution only to regret it later, or worse, we have to change out the solution because it didn’t meet the needs of the dealership as expected. Remember the old carpenter's saying, “<em><span style="color: #99cc00;"><strong>Measure twice, cut once</strong></span></em>.” Change in dealerships is usually painful and slows down sales productivity so take the time and select the right <a href="http://www.activengage.com" target="_blank">chat solution</a> for the long term. Technology might be changing all the time but with the right dealership chat vendor you will always be one step ahead of the dealer competition.<br />
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Happy Chatting,<br />
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<a href="http://www.activengage.com/Management.shtml" target="_blank">Todd Smith</a>