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Jared Hamilton
From: Jared Hamilton
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Dennis Galbraith

Dennis Galbraith Chief Marketing Officer

Exclusive Blog Posts

FYI

FYI

Is your Digital Strategy working and do you really understand the entire process? Before jumping into any agreements with marketing companies whom promi…

The Purchasing Power of Hispanics

The Purchasing Power of Hispanics

The current Hispanic population rests at about 17 percent of the total U.S. population, but it’s projected to reach 31 percent by 2060. As the population…

7 Steps to Make Texting Effective in Your Service Department

7 Steps to Make Texting Effective in Your Service Department

The best text success comes when you have buy-in from EVERYONE participating. So if you're ready to start texting with consumers in the service drive, use …

Business Development Center to Sales Process

Business Development Center to Sales Process

We've had a business development center (BDC) at our Hyundai store for quite some time. We receive about four hundred internet leads and maybe 120…

A Slight Increase In Customer Retention Will Yield Huge Returns

A Slight Increase In Customer Retention Will Yield Huge Returns

According to the Harvard Business school increasing retention by 5% can increase profits by 25% to 90%. So the question is…Why is customer retention…

The Apples and Oranges of Dealer Marketing

The wealth of data being provided to dealers from their vendors is truly incredible. Twenty years ago, dealers thought it was amazing when I could show them cost-per-thousand numbers for their radio, TV, print, and outdoor advertising. Today the amount of marketing data available to a typical dealer has increased more than one-hundred fold.

This spawned a number of additional products available to dealers, from full business intelligence tools like our own DrivingSales Data to an array of dashboard products designed to organize the data. That's the good news. The bad news is some of these products are mixing apples and oranges. The purpose is to have valid, reliable information for decision making. Mixing incompatible data can lead to precisely inaccurate results that drive dealers in the wrong direction.

DrivingSales recently conducted a research project to uncover the true meaning and compatibility of vendor metrics. We found a wide range of cases where metrics with the same name do not mean the same thing from vendor to vendor. None of these vendors are necessarily wrong, but it is wrong to group their metrics together in a dashboard simply because they have the same label attached to them.

The complete report is available for dealers and vendors alike in the latest edition of Dealer Innovation Guide, http://drivingsalesinnovationguide.com. Over time, vendors will come together around standards and third parties, like Google Analytics, will provide apples to apples comparisons. Those provide everything from simple dashboards to complete business intelligence suites will understand which metrics can be aggregated and which cannot. Until then, more and more research like this will be need so dealers can know what to trust. 

Brian Pasch
Dennis, I couldn't agree with you more that our industry needs to create a lexicon of terms and definitions. For example, think of the word "leads". If website form submissions are "leads" then we could mix up job applications, finance applications, and sales leads. That of course makes no sense. Inventory VDP and SRP views have a wide range of meanings, and third party classified sites seem to feel that they are defined differently by site. So, as the industry moves toward data warehouses and business intelligence tools, a lexicon needs to be created. Sign me up if you plan to organize a committee on this project.
Jon Scott
Glad you brought this up Dennis - it is something we have been struggling with in our Internet 20 Group as we discussed. Analytics are taken from one URL but we have a portal and 4 micro sites along with two OEM mandated sites. Marketing is mainly on the portal but the data is just from our Honda store. Some in our group have RVs too which can mess with the gross averages. F&I revenues is another bone of contention as to what is or is not included. Some things just can't be split out when there is more than one roof top. Cost of Websites was another issue, some of us were dividing the cost between 5 URLs others were putting in the whole cost so the range was from $280 to $2800 for Website costs. Apples to Apples is tough, but we have to try to get it as close as possible. Love what you are doing Dennis - Love the Driving Sales Think Tank! We all benefit immensely!
Dennis Galbraith
Thank you Brian and Jon. Brian, we do need to work together on these things, and it's always a pleasure to do so with you. Jon, you are pioneering something wonderful in the Internet 20 groups. I've enjoyed watching the progress of the groups and the growing profitability of the members. One of the wonderful aspects of the 20 group is that you do talk and you do uncover these things. There will always need to be a balance between time spent improving the inputs and time spent increasing profitability with the good findings coming from the outputs. Over time, the shift has been from the former to the latter. Members seem to be getting more from the groups each time they meet. Thank you for your pioneering leadership in this area.
Tom Gorham
Dennis, thank you. Analytics and data have become overwhelming and confusing for many dealers. On the one hand it is exciting to see information that was never before available. But on the other hand, it is increasingly difficult to organize, interpret and make use of the vast amount of information. It would help tremendously if there were benchmarks and agreed upon terms for what we're seeing across the spectrum.
Joe Webb
Collecting the data is imperative to understanding the store's opportunities and shortcomings. It's hard to move forward without garnering the right data. You're right that there needs to be universal understanding of the data terms so everyone can measure the same logic. The most difficult part for dealers, however, is taking the data and actually enacting corporate structure/policies to improve their performances. That is the biggest gap in understanding. Data to directives.

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