Notifications & Messages

Jared Hamilton
From: Jared Hamilton
Hey - It’s time to join the thousands of other dealer professionals on DrivingSales. Create an account so you can get full access to the articles, discussions and people that are shaping the future of the automotive industry.
×
Brett Sutherlin

Brett Sutherlin Owner & Founder

Exclusive Blog Posts

Managing Facebook Leads with 1 easy step

Managing Facebook Leads with 1 easy step

Luckily for us we have this Facebook Market Place Listing partner Hammer cultivating FBMP leads during/after hours into appointments for us. They have real…

How Local Influencers Can Boost Your Business

How Local Influencers Can Boost Your Business

‘Live On Location’ radio shows are still a staple in Saturday morning car sales. It’s been an effective way of capturing an audience&…

Fast vs First to Market

Fast vs First to Market

In a business where speed wins, first steps can lose.   Reasoning being—the distinct possibility—like is the case in any race&mdas…

Powerful Sales Questions to Ask and Sell More Cars

Powerful Sales Questions to Ask and Sell More Cars

  Using powerful questions in sales is one of the best ways to build rapport while gathering important information about your customer. …

Ways in Which Automotive Dealer Management System Helps Boost Profits and Minimize Expenses

Ways in Which Automotive Dealer Management System Helps Boost Profits and Minimize Expenses

Although most of the industries of today are transforming digitally, some skeptics do exist when it comes to investing in an automotive dealership manageme…

Your Website is Only Built for 30% of Your Buyers

I probably don’t need to tell you that lead forms are prevalent in today’s automotive digital retail space. Visit the website of almost any dealership in the country, and odds are you’ll be asked to complete and submit some variation of a lead form. Hell, your own dealership’s site more than likely has one. Yet lately, we’re hearing over and over again from dealership website providers and lead-gen companies that form submissions are dead: online shoppers just aren’t filling out lead forms anymore.

And to be honest, that claim is correct … sort of.  Last year, in partnership with PCG, we conducted a study of more than 400 dealerships nationwide, and sure enough, we found that online form submissions consistently converted at less than 1%. So, yes – it’s entirely likely that most website providers and lead-gen solutions are seeing almost no conversion from lead form submissions, which could reasonably lead to the conclusion that online shoppers aren’t filling out lead forms. But here’s the thing: it’s not the lead forms that are the problem. It’s that the websites in question aren’t properly optimized for conversion.

We know this because after we conducted the study with PCG, we came back and took stock of our own clients’ lead form conversion rates. The result: an average conversion rate of 5%. As it turns out, low lead form conversion rates are merely one symptom of two serious underlying conditions: poor website optimization and a flawed user experience.

Let’s take a look at why our dealerships have seen such a high rate of success as compared to others throughout the industry.
 

1. Mobile Optimization.  If you look at any of the major providers’ dealership websites, it becomes fairly obvious that most haven’t yet come to the conclusion that how they’re handling mobile is sabotaging their success. 60% of online car shoppers today are conducting their search using a mobile device. However, our study found that the average mobile bounce rate is a whopping 70%. To paint a better picture of what this actually means for a dealership, let’s do some quick math.

Say there are 10,000 people who come to your website while shopping for a car online. Approximately 6,000 of them are on a mobile device. 4,200 of those mobile users will view only one page on your site before leaving. In other words, you’re spending a huge chunk of your marketing budget to drive users to your site, only for most of them to leave almost immediately. A poor user experience for mobile shoppers is resulting in a colossal waste of your time and money. So, as you can see, proper mobile site optimization is no longer a luxury in the automotive marketplace – it’s an absolute necessity.  
 

2.  Site Speed.

Thanks to the constant advancement of technology, we as a society have become impatient; near-instant access to information has made us gluttons for instant gratification. Think back to the last time you clicked on an article or video in your Facebook feed. If it took more than a few moments to load, you probably clicked out of it without ever seeing the content you were looking for. Car shoppers are no different, especially when they’re on their mobile devices. In fact, if your mobile site takes more than three seconds to load, the chance of a customer abandoning it increases by 150% (yes, you read that right – 150%!). 

And if that’s not enough to convince you that site speed is important, this might be: In January, Google announced that site speed will soon become a factor in its search engine rankings algorithm. This “Speed Update” will go into effect in July of this year, and, according to Google, will impact sites that “deliver the slowest experience to users.” If a page’s loading speed scores lower than 90 out of 100, an automatic notification is sent to the Google team (you can check your page speed using Google’s PageSpeed Insights tool).

Thus, it’s critical to audit your website now and make sure your pages take three seconds or less to load: Come July, site speed will affect not only your organic bounce rate, but will also impact SEO performance.
 

3. Google Reviews.

At this point, most of us in the auto industry can practically recite from memory the statistics showing just how important online reviews are to today’s consumer. And now, as with site speed, Google reviews also play a role in SEO. The search engine behemoth last year announced it would be tying Google reviews in to overall organic search rankings.

But soliciting and actually obtaining customer reviews, whether for variable ops or fixed ops, is an ongoing challenge for most stores. Dealership service departments are notoriously overloaded, making it less likely that your service advisors will remember or take the time to ask every customer for a review. Likewise, between closing paperwork and sold vehicle delivery, asking for reviews can easily get lost in the process for your salespeople. But even in a perfect work, where every service advisor and every salesperson asks every customer for a review, customers often either forget or don’t want to have to figure out where and how to leave the review and then take the steps to do so.

Nevertheless, you need those reviews! The secret to getting them lies in making it easy and convenient for your customers. And you can do this through your website, by automating the process. Employing effective timing and carefully-worded calls-to-action will allow you to acquire a wealth of (positive!) customer reviews, thereby growing your dealership’s local reputation while simultaneously improving SEO performance.

To sum things up, the problem is not that today’s consumers aren’t filling out lead forms. Instead, low lead-form conversion rates stem from two larger, underlying problems: poor site optimization and a flawed user experience. The solution to these underlying issues involves three key components: mobile optimization and user experience, site speed, and Google reviews. Each of these factors alone can have a dramatic impact on the effectiveness of your digital marketing and retail efforts. But we have found that combining all three creates a massively successful trifecta that can put your dealership lightyears ahead of the competition.

Kelly Kleinman

Last year I did a mystery shopper survey of 434 used car dealerships and found that only 19% responded one way or another to a lead form.  Most of those were auto-generated, cheesy email responses with the logo of the web platform and not the dealer's logo.  In half of them, we had no idea who the dealer was we had contacted.  

Brett Sutherlin

Wow - horrible numbers. Similar to a study we did. 400 dealers studied and an average conversion rate of under 1% (.75% to be exact). Dealers need to use automation to respond to customer instantly and give them what they are looking for in real time. This would help solve so many problems for the dealers.

Kelly Kleinman

Brett, any intel on conversion rates via leads from Cars.com, autotrader.com, cargurus.com etc. sites?  Let's set up a podcast interview.

Brett Sutherlin

Sounds good to me. I don't have precise intel however with the change in how Autotrader and Cars.com sell to dealers it must be dismal. As you know, a few years ago third party lead providers started selling dealers the fact that "It is no longer about leads or calls" they actually tried to get dealers to believe that the customers just show up unannounced at the dealership. Happy to do a podcast. Let me know when.

Brett Sutherlin

4f484d8c330ad9ff200d780e8e8f934f.png

 Unlock all of the community & features  Join Now