I have learned so much by visiting dealerships around the nation and learned how more and more dealers are using chat to engage web site visitors and sell more cars. From the dealerships that do it themselves to dealerships that outsource the whole operation, there are several things that you must do to have success with chat. I have come to realize chat is like the phone in that it can add a higher level of sales, service and support for your dealership, or it can ring and ring and ring and produce poor results. Let’s take some time and go over just how to leverage chat to actively engage your web site visitors and, more importantly, turn them into sales for the dealership. (I have taken this information from a recent Digital Dealer article.) 

1. Online and on time – As I speak with people that don’t seem to be getting the most out of using chat, the first thing that I usually uncover is the limited amount of time they spend in front of the computer trying to engage shoppers. To make this work you will need to operate at least 60 hours per week. In our experience, 9:00 am to 9:00 pm Monday through Friday is the optimum time since the vast majority of your dealership’s Internet traffic will occur during this time frame.

The second part in the “online and on time” piece is that people online are incredibly impatient, similar to a small child. The Internet is a place where 15 seconds feels like an eternity. To be successful chatting with online shoppers you need to reach them with a personalized response in five seconds or less. This is the benchmark we continuously strive to hit, and for you to get the most out of using chat you will need to do the same. Yes, five seconds is your window; any longer and the potential for that individual to abandon the chat goes up exponentially. Let’s recap; you have to make sure you are covering enough hours during the week to actively engage shoppers while also making sure you do it at lightning quick speed. The best part about using chat is the ability to see people shopping your dealership’s web site and insert yourself in their shopping process.

2. Direction equals success – I have the great privilege to review hundreds, if not thousands of chats. I can assure you that you need to direct your shoppers using a chat script no different than how you manage and direct customers through a systematic process for a phone up. When a customer gets on a chat and starts asking questions and you just start answering them, who is in control? Not you and that’s not the position you want to be in, so you must gain control back by offering information while asking questions to gather the customer’s information. Control on chat is one of the most critical parts of making it work at your dealership, while ensuring your shopper has a great first experience. Chat only works when your staff can direct your shoppers through a series of questions and web pages, moving the customer through an online sales process all the while satisfying the shopper by giving them snippets of useful information to make their purchase experience better.

 

Id love to hear about your experiences with chat, both in and out of our industry.

 

Todd Smith

www.ActivEngage.com  

 

I have attended and presented at every Digital Dealer Conference since its inception.  Every iteration has a slightly different focus and buzz, so it’s valuable to attend them all.  (And okay, who doesn’t love a good reason to go to Vegas?)  Last week’s conference had a good turn-out of over 400 dealers, which is especially strong considering current industry conditions.  And there were dealers at different levels: I spoke with Internet managers and I also spoke with a lot of GMs. 

I think the overall, most important conversations at the conference centered around how dealers are more actively trying to leverage their websites.  I definitely walked away with ideas to use in our business.  In particular, there was a lot of great discussion about the power of social media and live chat.  I look at this conference as it’s two times a year and technology moves so fast that it’s good to take a temperature reading and take the time to get a 360 degree view of what’s available, because it’s constantly changing and evolving.   When we spend all of our time at the dealership, it can be easy to become isolated and operate in a “closed circuit.”  The conference offers a great chance to step back, get out of the dealership and see the forest through the trees.  I didn’t get to see all of the presentations, but I do have some thoughts about some of the great sessions I did see.    

I co-presented with David Kain the newbie session that launches the conference.  David is truly an industry expert and I don’t think there are many individuals out there who have more insight into running a successful dealership.  Obviously this session was primarily attended by new-comers, but we also found that some more seasoned managers attended as well.  When talking to them after the session, a few of them mentioned the importance of getting the fundamental messages repeated.  Some information is so vital that you really can’t hear it too often.     

 Allan Cooper’s session was awesome.  He is a real pro who understands what is required for success.  He discussed his vast experience and the evolution of the dealership with the Internet.  In particular, he outlined the value of data mining and how to connect a lot of pieces of the marketing and sales puzzle.  It’s really easy to lose focus of Integrated Marketing and Communication (IMC) and his session really stressed its power for the dealership. 

I also found Tim Jennings’ One-Man Internet Department session valuable.  With current conditions, a lot of managers find themselves in this position and he offered a lot of great, hands-on ideas for branding yourself and getting your name out there.  He has a really good “boot-strap” focus.

Dale Pollack IS the used car guru.  Because of his experience and the software he’s developed, he really has his finger on the pulse of the used car market.  And anyone dealing with the pre-owned side of operations should read his book Velocity.  Everybody was raving about his session at the conference. 

Dennis Galbraith also led a great session and discussed how dealers are beginning to embrace live chat as more consumers are embracing this service.  Smart dealers are now using chat on the dealership website to turn casual shoppers into active buyers.  He also discussed the importance of having dedicated, well trained staff to man the chats. 

Dave Anderson led a key note speech that was also very valuable.  He is a really great presenter and this session was packed with good advice to avoid mistakes and create a faster, leaner organization, more important than ever in the current conditions. 

These are just some of my observations.  What did you think about the conference?  What were your main take aways?

 

Your next leads are at the dealership website right now. You can bet that someone wants to talk to you at your website as you’re reading this. How do you plan to engage them in a conversation? Do you have the ability to serve them at your website? If not, then you're missing sales opportunities every day. It's literally like leaving money sitting on the table. Your manager would fire you for not engaging an up on your lot, yet hundreds, even thousands of people are visiting your website and leaving without a trace.

As we have discussed, mere IM software might help you increase lead generation, but what I am talking about is the power of knowing your up before they want to interact with you. IM might allow you to chat on your website-- but with no frame of reference about what the person might want, what they have already looked at, how many times they have visited the site, etc. This is the customer intelligence that helps turn anonymous website visitors into valuable leads for the dealership. Knowing and understanding your shoppers and greeting them with what they need when they have questions is what increases lead generation. How great would it be if you knew exactly what vehicles the shopper was interested in and which web pages they had viewed on your site? Chat business intelligence let’s offer this level of service on the website that simply wasn’t possible even a couple of years ago. You can actually watch them as they browse your site and then send them custom-crafted messages based on what they are viewing. This will increase your website lead generation, your first-party leads. Imagine having this pop up instead of a standard picture:

These leads are the most important because they have the highest closing ratio of all lead sources, period. So one of the best things you can do for the dealership is produce more of these leads from your own website. And this applies to all profit centers, not just vehicle sales. To consumers, the dealership website IS the dealership. Most chat offerings do not have the technical and service sophistication to provide the customer intelligence that takes dealers beyond IM and into an interactive, dynamic website experience for site visitors. Another huge this is having the ability to transfer more than a name into your crm how about vehicle of interest, trade info, etc. The more we can automate the easier it is to follow up with a shopper with a more personalized message Having access to this shopper intelligence gives valuable insight about what the consumer is thinking and looking for as they shop on the dealership website. It’s also a huge competitive advantage.

What are you currently doing to generate more first-party leads from your dealership website? Let’s expand on the importance of first-party lead generation and how shopping intelligence can get you there.

 Todd Smith
 Activengage.com

More and more dealers are beginning to understand the value of including live chat on their dealership website. Consumers’ instant gratification demands have helped changed how dealerships interact with their shoppers online, and smart dealers know that it is one of the most cost-effective ways to increase qualified first-party leads. The question then becomes: how do you select the right live chat service for your dealership? Although the basic underlying technology behind live chat is similar, the individual chat software products vary greatly. For example, here are 5 specific things your automotive chat should be able to do to make you more competitive and successful with your online chat. 1. Ability to view visitors on your website in real-time and watch as they shop around your website. Chat intelligence offers you the same power of watching an up on your lot look at three Nissan Maximas, before coming into your dealership. 2. The referring URL and Keywords shoppers used to find your website. This gives you valuable insight about what the shopper is thinking and looking for as they start to shop on your dealership website. 3. First time visitor or returning visitor, with current and previous click paths available for review to identify exactly which vehicles the site visitor is interested in. This is like having a print out of every webpage a consumer visited to prepared your sales pitch, before they visit the dealership. Understanding your shoppers’ needs and desires allows you to craft a very powerful sales presentation. That is what Chat intelligence can offer you. 4. GEO‐IP targeting to identity if the shopper is local, or even a competitor checking out your website. Location gives you insight into your online approach, especially if you are a dealership that will give more aggressive pricing to a shopper outside your local market. Chat intelligence, not IM software, gives you that information and more. 5. “Shop with me technology.” This is a term you will be reading more and more about in the coming months as chat technology has improved. Sending a link to a shopper on chat is one thing, but redirecting their browser is much more powerful. “Shop with me” lets you lead shoppers around your website, explain things as you go, and lets you give you a powerful online presentation, with you in complete control. Ask any vendor if you will have access to this information because it is incredibly valuable to help understand consumers and their needs. Also ask if you can monitor your sales reps during a chat. Do they have ”Whisper” technology that allows managers to coach representatives while they are chatting with the visitor, in the same chat screen? This lets you continuously improve chat agents’ skills and increase the service you provide your site visitors. Very advanced chat intelligence will also let you include the keywords originally used in the online search that brought the visitor to your site. So imagine instead of a pop up inviting them to chat, imagine a pop up that said, “I see you recently did a search on Google for ‘Cheap Cars in Newark.’ Can I assist you with your search?” This gives you a truly personalized experience with each shopper, giving them the right message at just the right time. Chat business intelligence is what can help you significantly increase lead generation; merely adding a “click to chat” button will not increase your website leads. Make sure you ask these questions before you sign any agreement and ask to see it in action. I am not from Missouri but I do believe in the show me state . Your dealership needs more than technology to increase leads and sales for all dealership profit centers; you need a comprehensive service that lets you understand consumer behavior and engage at just the right moment. Thoughts? Experience with chat business intelligence? Please share!

1. Chat software is not all the same, so it really does matter what technology service you use. Some chat software systems are much better at allowing your salespeople to engage in chat, and also providing information about their online behavior. Knowing your shoppers’ click path, keywords, previous website visits, location and previous chats all help to craft a better, more engaging conversation with shoppers, which helps generates more qualified leads. This is the difference between business intelligence and mere IM software.

2. Chat will not be an effective tool if you use it occasionally or just when you have time. For chat to work at your dealership you need chat reps available from 9am-9pm, Monday through Friday, during your website’s peak traffic times. If a shopper clicks to chat and you are not there, it can do more damage than good. Consistent coverage helps to make chat an effective sales tool. If you can’t cover the hours, hire someone who can.

3. Simply placing a chat icon on your website and waiting for customers to click will not lead to significant lead increases. This is not at all effective. You need to apply the same marketing strategies you apply offline to get your online shoppers engaged and motivated to chat with you. Make the first move and invite your website visitors to chat with you. Proactive invitations where you can customize the message being delivered to your shoppers have a significantly higher engagement rate than just placing a standard drop down image on the corner of the screen.

4. If you think that it is too costly for your dealership, the real question should be: “How many missed lead opportunities did I lose last month because chat wasn’t available?” Take your unique visitor traffic and multiple it by 3%. That is about how many additional leads you did not capture, but could have with chat. Chat is not the perfect answer but it is a great way to engage a significant segment of your website visitors and convert them into sales opportunities.

5. Chat is not just another marketing gimmick. Thinking that it is is the equivalent of thinking the phones at your dealership are a marketing gimmick. Opening up channels for your website shoppers to communicate with you on their terms is a critical first step in achieving success in the automotive Internet selling business. Building rapport online can help formulate and set up a well qualified website shopper.

1. Chat will not turn a poor website design into an award winning website. What it will do is offer confused shoppers a way to engage and have their questions answered right on the spot. 2. Chat will not be the solution for every website shopper. Chat will provide a significant portion of your shoppers an alternative, anonymous, quick way to engage with your dealership and have their questions answered immediately. 3. Chat can’t promise to deliver sales. Properly deployed chat can promise to deliver more qualified and engaged prospects to sell to. Chat is a powerful lead generation tool for your website and we see 50%-150% increases in leads from most dealership sites. 4. Chat will not replace the phone or email. Chat is a great complement for your dealerships website because it provides yet another contact point for your website shoppers to engage and have their questions answered in real-time. Instant satisfaction plays a big role in landing the sale. With chat you can provide this for your shoppers. 5. Chat scripts will not make you a better chatter. Following a robot-like conversation with a shopper or just trying to get information without actually helping guide the shopper is a great way to lose credibility and leads.

So back to the coverage issue that I am so fond of today. The manufacturers and third party portals like Edmunds and KBB are paying all the money for the top of the funnel search terms, which can lead to very uncompetitive prices for dealerships that are trying to compete. The real question is: if someone types in “Toyota” on a Google search, is that person the best prospect for your dealership? I think I would much rather have someone who types in “Toyota Camry lease specials,” versus losing the majority of my budget on top of the funnel keywords. Go back to your Google account and see which keywords all your money is being spent on to drive traffic to your website. I will almost guarantee that the majority of your budget is gobbled up by the Google machine for generic branding terms like “Toyota” that will drive top of the funnel traffic to your site. But you will have a much harder time converting this traffic since the people doing online searches with these generic terms are in the information gathering stage of shopping—not the actual purchase stage. To me, I want buyers or people who have the highest probability of buying, and the sooner the better. I just wanted to share some information with everyone. Your comments are always greatly appreciated.

This Means You are Probably Losing Thousand of Search Impressions Per Month. I have gone through many websites over the past few months that handle SEM for dealerships and have done more Google searches than I even want to admit. Mostly for my own edification but also to try to better understand other companies’ strategies. Just as I am sure that you occasionally type in your keywords to see which competitors show up and to also see at what types of ads they might be running. Today I want to give you one word that will change your entire Google strategy or at least put you into the top of marketers on Google. The word is “Coverage” or the percentage of time people see your ads based on your targeted keywords. This term is what separates people who are extremely successful using Google as a marketing tool from those who just waste a lot of money. Just to give you a little inside information almost all advertisers on Google have keyword coverage of less than 20% and in fact dealerships that I have tested usually are only 1-2%. This means one thing: you are overpaying for high demand keywords that will give you poor coverage and probably be poor converters to sales. So what does that mean? Let’s take the term “Toyota” and you did a search for this term. This is most definitely a term a Toyota dealership is using and probably only coming up one or two times out of every 100 times that term is typed into Google by his local shoppers. I know that term in December was searched 13,600,000 times nationally so it is highly competitive. The competition for this broad term is entirely cost prohibitive for a dealership to use successfully and receive good coverage. Even if you regionalized the campaign for your local marketplace your coverage will be so small you won’t make much of a branding impact for your dealership or generate leads. I know you need the term but at what cost? And is someone searching for the term “Toyota” really what a dealership should be trying driving to their website? More on that next time.

I’m excited to be a part of the community that Jared has created here at DrivingSales. Social media is exploding and connecting all of us together in an entirely new way. I know a lot of you already from working in the industry for over 20 years now, and I look forward to meeting you if we don’t know each other yet. I want to contribute as much as possible to help everyone sell more, service more and fine tune their operation, especially during the difficult period we are facing now. Coming from the dealership side of things, I have knowledge and insight to share and really want to help you solve your problems and challenges. I like to hear unusual/different/new problems because I love to find solutions. I was the kid who went every day to the local 7-eleven till I was able to beat the Pac Man machine. I was also the same kid who had to solve the Rubik’s cube the fastest in my school. (I know these things date me pretty well but I love a challenge.) Send me any current challenges you’re facing and I promise to help solve them. Ask me about anything related to the dealership. I have worked in every department, from detailing vehicles to sales to management to ownership, so I truly bring a wide area of knowledge to operating a store. So let’s get started: what objections are you hearing from your Internet customers in today’s market? Send them to me and we can share the knowledge with the DrivingSales community and help everyone. I will focus the blog content on Internet tools to sell more vehicles. This will be everything from social media platforms, to plug in applications, anything that will help you drive more sales into your dealership. Shopper’s demands and expectations continue to rise and it is our responsibility to find way to meet and greet them online to provide a dynamic customer experience. Does your dealership offer this to shoppers? Together we will find tools, strategies and tactics that you can implement in real time at your dealership. I see lots of great ideas on DrivingSales and I want to focus on finding solutions to problems and challenges. Post comments here, call me at 321-662-7800 or send email to todd@activengage.com. Also be sure to follow me on twitter at http://www.twitter.com/toddlearsmith. Ask me anything and I’ll answer it, promise!