Driven Data
The 5 Deadly Sins of Inbound Calls
OF ALL THE CALLS WE SCORED IN THE PAST 30 DAYS, 31% OF NEW PHONE LEADS WERE NOT ENTERED INTO THE CRM
When I was in sales, I remember the sound…it might as well have been a cash register. The phone would ring and like a gun draw straight out of a Clint Eastwood movie, the salesman with the quickest hands would get the up. In my opinion, the phone-up was without a doubt the #1 most sought after lead in the dealership but also the most difficult to master. The customer knows exactly what they are looking for and all you have to do is NOT mess it up and you’re going to have a well-qualified appointment. But after you answer is where we find countless opportunities being wasted. First, let's understand both the Manager and Salesman perspectives.
What’s the problem?
First, let's understand both the Manager and Salesman perspectives...
The Management perspective:
Managers know how to close deals once a customer is in the store. They have control of the opportunity and they care about the prospective customer because they are directly in front of them. The issue is that a bad phone up (if not tracked) is a real opportunity that was lost before it began and could be costing your store multiple deals a month to a competitor who knows how to professionally handle an inbound call.
It’s not their fault they don’t care, it’s yours…
The Salesman perspective:
Coming from the mind of a former car salesman, if I blew a phone-up, it doesn’t cost me a dime outside of a few minutes, especially if I’m not being held to any sort of a standard (which I was). Sales people who aren’t held accountable will keep making the following deadly sins because honestly, for them…it doesn’t matter. And the sad truth is, the customer is fully expecting a bad experience. Sales people brag when they sell a car but the truth is in many cases, the customer buys a car despite the salesman not because of them and didn’t create any loyalty for future purchases.
First Deadly Sin: Improper (or no) introduction.
I called several stores in the past few months and I could tell right away who I wanted to work with. The best was a standard greeting. “Thank you for calling X dealership, this is X how may I help you today?” The worst was this... “Hello?” This was at a high end franchise. Every piece of research I’ve seen says that the first 7 seconds is how long we have to make a strong first impression. How’s your team’s first impression?
Second Deadly Sin: Not fact finding.
When we get an up on a specific car, our first instinct is to immediately check inventory and pray to God it’s still in stock. How many times have you heard this conversation…”no, that car just got sold, sorry…yep, no problem… bye.” That’s what happens when we don’t fact find. Do we know what had them interested about that specific car? Yes, you have to give them the information they requested but why not make them want to do business with you and your dealership specifically? Instead of “let me check if that car is available” why not ask “while I’m checking on that, what has you interested in that vehicle?” It’s amazing how the conversation opens up.
Third Deadly Sin: Not completing customer information.
The problem isn’t the lack of information a customer is willing to give us but the lack of times we ask for it. Just like a McDonald's cashier asking if you’d like fries with that, we should be asking for the email, second number, and last name…every time. People like to be contacted in different ways so what good is a work number if they communicate 95% of the time through text?
Fourth Deadly Sin: Not giving a call to action
It’s easy to let the customer control the call. They’ll say things like “I’ll try to make it in this week... I’ll definitely ask for you.” They are basically saying they don’t care about you or your time. I think in most cases, there’s a lack of effort to ask for an appointment. The mindset is, as long as they are in the CRM you’re protected, however if they never come because it’s Monday and they said they would come in “sometime this week” (and bought the other car they were looking at in the meantime), being CRM protected doesn’t do much good.
Fifth Deadly Sin: Not putting a new phone-up in the CRM
There are a few reasons why a salesperson wouldn’t put somebody in the CRM. They are taking a quick up in the middle of another task, or they’re on a lead rotation and they don’t want to “waste” their turn. Of all the criteria we score on, in the last 30 days, only 69% of the time is the customer being added to the CRM. This leaves a huge number of people that we can’t market to or follow up with.
What’s the solution?
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Have a process: It doesn’t have to be elaborate but a process will help get more predictable results
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Understand what’s broken: Consistently monitor and understand what part of the phone-up process needs improvement
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Coach: Targeted Training based on what needs improvement
By tracking and improving these 5 deadly sins, you can maximize each opportunity and turn customers from buying a car despite the experience to buying a car because of the experience. If you’d like to discuss this further, I’d love to hear from you!
Caleb is an Account Manager with Data Analytics company Driven Data. With experience in both the software and dealer world, Caleb is passionate about bringing the 2 together. When he's not talking about dealer analytics, you can find him writing music, playing soccer or spending time with his wife and 2 kids.
10 Comments
Scott Larrabee
Agreed, love the sales call.
I think you made some excellent points. The reality is that most sales people are poorly trained on how to handle customers, let alone a customer over the phone. When you have someone on the phone you have to work with a whole different set of skills. When your skills are greater than your fear, you will be successful.
Management needs to support and implement proper training right from the first day, and sales people need to invest their own time into training to stay sharp. You can turn a month around with a single phone call. It's happened to me many times!
Great post!
Caleb Twito
Driven Data
Hey Scott thanks for commenting! I would agree there is a combination of lack of training, and also most car sales people either see the job as an in-between or they've been somewhere so long, they are content with their income and don't care about improvement.
Amen on turning a month around with a single call, I've also been there many a times as well!
Susan Mayhue
Lujack Luxury
Very accurate information! There are scripts out there to help you along the way until you are confident!
Caleb Twito
Driven Data
Absolutely. The issue with scripts is unless there is accountability, sales people don't use them because they come across as super awkward even though they are typically 10 times better than what a new car salesman could come up with on their own. Thanks for commenting, Susan!
Donna Mylott
CallSource
Great Article Caleb! I have trained Appointment Coordinators as well as Sales Consultants successfully because it is all about accountability. I break each call down in the following categories: 1. Greeting 2. Need Analysis 3. Obtaining Contact Information 4. Setting the Appointment 5. Closing the Call - If you can identify which area the call handler does well and which needs improvement it makes your training targeted and relevant. But the key is you have to actually listen to know which area needs work. Thanks for sharing.
Carlos Sousa
Driven Data
Great point, Donna. Specially as more Artificial Intelligence based call scoring solutions show up in the marketplace, it will be critical for dealers to objectively assess if these cover all the different categories that you just mentioned! Thanks for your comment.
John Vincent
Apex Automotive
Honest Question: What should the overall close rate be on an inbound call?
Our goal for the group is 20% - 100 logged phone ups should be 20 sales. This was attainable until I started a receptionist phone log which led to almost a 2x increase in the number of phone ups being put in the CRM. We can talk training all day but if our end goal is too low (or too high) it will not matter. Thoughts?
Gerald Hand
The Nextup
Good article Caleb. The phone is a powerful tool, and for too long has not been treated correctly for the potential it embodies. What is the difference between the person on the phone and the one walking in the door? Nothing except one is more comfortable stopping in in person and the other more comfortable to hide behind a phone (or time constrained perhaps) but at the end of the day I would hope we would never really handle a showroom up with one and done for options. Why would anyone think the phone customer is any different? It's a CONVERSATION you need to have in person, via email or the phone to establish WHY they're in the market, WHY they are looking at this particular vehicle, etc.
To your point, perhaps with accountability they would start to learn by taking shortcuts they are indeed losing much more than a few minutes with a poorly handled phone pop.
Donna Mylott
CallSource
This is NOT a sales pitch but do you have a good call tracking platform set up? This is crucial because you can not manage what you do not measure? My passion is phone training and the auto industry as a whole is not effective as appointment coordinators. Our best dealers covert 1st calls between 25 to 30 but the average is 8 to 10% which is obvious room for huge profitability growth.
Caleb Twito
Driven Data
Gerald: I think "why" is the most important question you can ask a phone up? I like your idea of having a conversation as opposed to a list of questions (although at the beginning it helps to have a few starting points). Accountability is key. Where I worked, phone ups were at a premium and if you didn't follow the process, you didn't take phone ups.
John: Really nice points - 20% is really strong in my opinion. You're absolutely right that you need to set your goals to be attainable. Gathering more information during the phone up should increase the close rate, right? If you have a salesman constantly getting an email address and one that never asks, over time the one that gets the additional piece of contact information sells a higher % of phone ups if everything is equal.
Thanks for your thoughts!