I have great news. You don’t have to be a genius to change the game, and you don’t have to be a World Series winning champion either. But you do have to be willing to disrupt and question the current rules, players, and equipment used in the game. You also have to be capable of placing YOUR right players in your lineup. If you possess the mentality that there is always a better, more efficient method of accomplishing a goal, or executing a play, then you have it in your DNA to be a game changer. Most of the time, it’s simply about combining the highest-ranked players with a little common sense.

The following absolutes are not only a set of guidelines to winning a baseball game, but they also dictate the attributes of a game-winning team across all leagues of automotive marketing.

1.    Have the Proper Equipment. It’s impossible to get a home run without a bat, and it’s pretty difficult to catch a fly ball without a glove that properly fits. It doesn’t mean the talent isn’t there, it just means it’s not being correctly applied. If dealers are the players of the automotive business, then vendors are their equipment. Vendors facilitate home runs and grand slam opportunities in the same fashion that bats, helmets, cleats, and protective gear assist players in capitalizing on their true strengths. It is the equipment, or rather the vendors, that provide the freedom for players to do what they do best – play the game. Or in our case, sell cars.

In addition, just as one baseball glove does not fit all who play baseball, one all-inclusive marketing strategy does not fit all dealership business models. Now more than ever, our playing field is being infiltrated with vendors aggregating solutions into a single, “all-powerful” marketing suite that consolidates all needs into one – everything from search, to social, to email marketing and in-store conversion tools. In theory, this may sound like a good idea. However, I advise you to be cautious of anyone who claims to be a “Jack of All Trades,” as they cannot possibly be as competent in the results they deliver when compared to a company that specializes, and dominates, in one specific area.

IBM’s recent whitepaper recognizes the advantages that accompany integrating the unique mix of solutions that support your individual needs as opposed to a “one size fits all” marketing suite. “In 2016, look for new ways to leverage your technology mix to give you greater agility to innovate and more strongly engage your customers.”

2.    Put Your Players in the Right Positions. Know the distinct strengths of every player on your team. Just as you wouldn’t put a first baseman in to pitch to a batter, you should very carefully consider putting a vendor that began in one segment and now offers “everything” in a position to manage your full marketing needs. Automotive is not a one size fits all business. The same dealers, dealer groups, and manufacturers that have changed the game are the ones that have taken the time to sit down and evaluate new, revolutionary technologies. Why? Because their impacts can be revolutionary on your most critical KPIs.

When considering which vendors to add to your roster, remember to choose ones that complement each other. For instance, if your goal is to increase your website conversion, you first need to secure a method of getting enough traffic to your site. Likewise, when drafting a winning team, the coach is tasked with the finding the right blend of strengths and talents, and placing each player in the right position. When you think about it, that’s really the only way to win at anything – finding that ideal combination of tools that cover all your bases with the player that’s made for the job.

3.    Don’t Throw the Same Pitch Every Time. In order to win the game, there has to be an element of surprise. That’s your curveball. In marketing, there is traditional, predictable thinking, and then there is the kind of thinking that completely obliterates everything it means to be average. Game changers refuse to succumb to all that is ordinary. When you’re working within our current digital playing field, it’s important to acknowledge the dense fog of information attempting to cloud your vision at all times. But never take your eye off the ball, as this is the fundamental secret weapon needed to break through the clutter.

Thinking outside the conventional marketing platform is the clutch, or the fastball, that will ultimately defend your dealership from falling into the dreaded “average” category - which also fails to identify why people should buy from you. Average is not compelling nor is it magnetic. Average online experiences don’t drive buyers to your showroom – and more importantly, all-in-one marketing suites fail to offer memorable experiences for your customers. Who wants to be average in an industry synonymous with competition?

4.    Know the Score. How can you possibly win at anything when you don’t know the score? In order to overtake the competition, you have to know where you stand in comparison. Don’t get me wrong, you don’t have to be a statistician or analytics expert, nor do you have to know every player’s batting average, but you do need to know what you’re up against and above all, what sets you apart.

To win the game, you have to be ready and willing to change the game. True leaders combine unbelievable technology with a common sense approach. Sometimes all it takes is asking the right questions, which then evolve into ideas, and ultimately solutions that change and improve our operations. Top-of-the-line equipment will never fail to safeguard a competitive edge, but what really sets game changers apart is that they know how to appropriately allocate their assets. They choose to work with vendors that make it possible to transform a single idea into a better-suited reality.  

April offers a month of renewed optimism for car dealers everywhere as spring comes into fruition and pockets become heavier with a little cash back from Uncle Sam. Tax refund season has arrived, and with it, infinite profit opportunities for both vehicle sales and your fixed operations. I fondly remember April 15th back in my car-selling days as the “real” beginning of the month. 

With that in mind, the following have the potential to be the three most lucrative areas to focus your strategy on during this season of budding opportunity:

1. Increase Show Rates. Okay, this is obvious - but here’s how. We all know the probability of closing a deal skyrockets when a customer is physically in front of you in your showroom. The challenge is getting them there. This is where lead scoring comes into play. If you had the ability to instantly score leads based on their level of buying intent wouldn’t that make the time you spend chasing leads drastically more efficient? Wouldn’t you then know which leads to focus your attention on first and foremost? I recommend implementing technology that has the ability to score all your site, mobile, and third party leads simultaneously and in real-time, so that you know where to focus your efforts.

One way to increase your odds of getting buyers in the showroom is to offer an incentive just for coming in for a test drive, or for a vehicle inspection if their car is a potentially desirable trade-in. The higher the lead score, the more you should offer in exchange to facilitate heavier foot traffic, both on your showroom floor and in your service drive.  

DealerRefresh just published an article advising dealers to have their sales staff “put the phone down!” Customers who call your store are not looking to be sold. In fact, they are already sold on which vehicle they want down to the year, make, model, and even and trim level. Therefore, all calls should be managed by your BDC, or your appointment setters as the one and only goal should be setting the appointment to get them in the door.

2. Reclaim Your Fixed Ops Revenue. The service and parts department of a dealership is easily the revenue engine with the most powerful horsepower. The potential for profit opportunities is greater than ever before in a market infested with disloyal service goers. According to DME Automotive, service center loyalty is remarkably low. “Fewer than 1 in 4 drivers are loyal to their service center type, leaving 88.2B up for grabs.” Yes, you read that right. Eighty-eight BILLION. That is how much money is at stake in the market for service and parts. So, who’s going to claim it?

Cars.com agrees and points out, “We in the industry know that dealerships provide fair, competitive prices on quality service, but service shoppers don’t because we aren’t telling them, and it’s squeezing dealership profitability.” National repair chains take business from dealerships either because their digital marketing is more effective, or they offer a smoother digital experience – or both. A better experience includes superior visibility and more transparent pricing models. “All things that are within a dealership’s power to control, improve upon and use to influence service customers,” says Cars.com.           

3. Deploy a Millennial Marketing Strategy. As you’ve probably heard, the Millennial market of vehicle buyers is rapidly accelerating – and it covers a wider age group than you may realize, spanning the ages of 18-34 years old. The differentiating factor in this generation is that the dealership experience is rated much more heavily than the actual price of a car. According to a recent DrivingSales study, “While finding the right vehicle at the right price is important to everyone, our study shows that most younger consumers want a positive customer experience at the dealership and are willing to pay a little more to ensure they get it.”

Edmunds.com also offers insight as to what the mobile experience in particular looks like for Millennials, reporting that 60% of Millennial visitors come through their mobile site. These shoppers are most active during evenings and weekends when they are out and about, implying they’re using their phones while on the dealer lot.

Tips for Appealing to Millennials:

·      Mobile Focused Ads

·      Fluidity of Setting Appointments

·      Up Front Pricing

Time and convenience are perhaps the greatest hurdles to overcome when competing for millennial attention, with price following closely in third place. People don’t have time to sit and wait. Often, they are willing to pay slightly more for a faster, easier experience. Wouldn’t you? Quite frankly, time is money.

There is no time to waste. Spring has sprung, and there are billions of dollars to be claimed!  

The 2016 NADA conference in Las Vegas proved connections are the single most important factor of this business, and any business for that matter. To lead, you must be able to connect with a team, and from there an audience, and beyond that, the world. The focus should always be on that first fundamental building block – the team behind the vision.

Former NFL quarterback, Peyton Manning took the stage at this year’s convention and proved his understanding of business is quite on par with his athletic reputation. What he uncovered was the undeniable parallels between not only business-to-business connection, but also human-to-human connection, and how that translates into profitable success across any industry.

The leading players in automotive did not get to where they are today alone. They got there with a dream, an unbreakable team, partnerships, and connecting the right people with the right technologies. Real success is when a single great idea aligns with the individuals capable of making it a reality.

The following are four essential elements of success as they relate to both football and the car business – revealing the automotive industry may have more in common with professional sports than we ever thought possible.

1. Leadership: Whether you’re selling cars or competing for the Lombardi Trophy, risks, challenges, and losses are inevitable. It’s those companies and individuals that resurface when they fumble that show true strength. Leaders have a certain attitude that welcomes a challenge with open arms. Competition is embraced and sought after. Leaders are prepared for opposition and they manage problems with extraordinary effort. They are rarely, if ever, 100% satisfied and are in constant desire of taking an idea and making it bigger, faster, better, simpler, and more efficient. According to Manning, “Strong leaders must have the audacity to believe there is something more out there to reach for.”

The single dominating force that lives within all leaders is their ability to influence others. Leaders inspire individuals with their opinions. In any business, and really in life in general, fear is inescapable and it can paralyze a dream. However, leaders view fear as simply another challenge to overcome. Like potholes in the road, there will be obstacles that slow you down, or that may require a new tire, but they do not stop you. Manning says, “When the leader puts aside his or her fears and believes sometimes in the unimaginable, it stokes belief in others. Thinking like a team, but ultimately being able to deliver as one, raises everyone’s performance.”

Leaders in every business excel in their trades by unearthing and experimenting with new ways to compete, change, and ultimately win the game. Leaders have to be all in or all out. They must lead by example and a five-time NFL MVP winning quarterback reminds us that doing so “is not the main tool to influence others, it’s the only tool.”

2. Teamwork: Just as a car cannot run without fuel, a leader cannot run without a team. Rather than allowing fear to get in the way, Manning recommends replacing apprehension with goals, and to “let your dreams lead you and work to cultivate that attitude in the people who work with you and for you.” To lead a team, you must be a present, active member of the team. You are not above your team and in reality you are always aware that you would not be where you are today without your team.

Honest communication with yourself and with those you work with is critical. When people work cohesively together and trust one another, magical things happen - and that applies both on the field and the showroom. “It’s about experience, taking all departments and all levels of a dealership and making communication easy for the consumers and the people that work in the dealership,” says Manning.

Like clockwork, great teamwork in business will lead to great experiences for consumers. A great experience does not end with your website, and it also doesn’t end in the showroom. It must resonate throughout your digital and traditional campaigns, your service departments, your finance departments, and your customer relationship management during the days, months, and years after a sale.

No company, no team, and no individual can advance without setting goals and implementing a unified approach to get there. Everyone needs to be on the same page for growth to occur. Team goals must be directly in line with your personal goals. There should be one vision; one path, one road and everyone involved needs to steer straight and keep their foot on the gas until that road ends, or until the goal is seized. Manning reminds us to “never underestimate the power of the team that made it possible for you to compile those results and stand apart from the best competitors in your business.”

3. Adaptability: No one has ever gotten ahead in this industry by doing things the same way forever. Like fear, change is inevitable and should be welcomed and embraced. The first rule of adaptability is a possessing a keen awareness of your strengths and weaknesses so that when change knocks on your door, you’re armed and ready. Manning notes, “Being keenly aware of yourself, your team, and your competitive landscape is vital for any strong leader. When you’re taking inventory, first focus on identifying the real strengths of your team. Where are your weaknesses? Now flip that to your competition and ask the same questions.” In addition, to be adaptable requires the ability to turn inward and focus on what you as an individual can bring to the team.

Manning reminisces on his career during the 2015 season. He was faced with a new team, new coaches, new systems, and with that new obstacles. He had no choice but to adapt his leadership techniques yet again. “When the environment changes drastically around you, no one, including the leader, can take anything for granted. There is a ferocious need to communicate more clearly, concisely, and probably more often and hopefully without a middleman in the process.”

NADA chairman, Bill Fox was quoted in DealerMarketing.com recapping this year’s convention and recognizing how incredibly adaptable the auto industry has been for the last 99 years. He said, “If NADA is to be the voice of the dealer for the next 99 years, then we must recognize change, confront change and adapt to change. And that’s exactly what we’re doing.”

4. Endurance: The auto industry is cyclical and in constant transition. Each month is accompanied by both opportunity and unpredictability. Last year was one of the greatest and most profitable years we’ve ever seen. Today, we face a decline in growth rates in comparison to the last five years. The competition we now face is unprecedented. But let’s not forget that throughout history, dealers and manufacturers have survived wars, recessions, and bankruptcies. Endurance is something that runs deep in the veins of all who know and love the car business.

Manning emphasizes the importance of a system for a quarterback. He says, “In your business, that equates to the corporate culture and standard practices. When you’re in a system for a long time, you master that system.” Undoubtedly, endurance defines the automotive industry in the same way that it dictates the best teams and players in the NFL. This industry will remain vibrant as we always have because of this inner, indestructible tenacity.

Peyton Manning’s NADA address did more than just captivate an audience of 28,000 dealers, 700 vendors and countless automotive enthusiasts. He connected two drastically opposing billion-dollar industries in a way no one has ever recognized before – which is what being a game changer is all about. Progressive transformation doesn’t happen from running the same play over and over again. It happens when a new play is created that changes, and ultimately wins the game.

The theme of this year’s NADA Convention is defined by one very powerful word: “connect." I couldn’t imagine a more perfect term to define this industry. Everything is connected. From the individual parts, materials, and entities that unite to build a vehicle, to the methods dealers use to connect with their customers. The ultimate goal for manufacturers, dealerships, and marketers is to simply find a way to connect with potential buyers.

The avenues of connection are endless and constantly expanding. Real-time data analysis has connected probability with human intent, allowing us to better connect the dots that will ultimately drive more showroom traffic in 2016, which will also lead to more opportunities for human connection. Digital advertising doesn’t sell cars - people do. Experiences sell cars, and that applies to the online experience you offer all the way to the human-to-human interaction in the showroom. We need to leverage tools that will validate digital to showroom connectivity. It is equally important for our sales staff to be able to connect with customers in person when they arrive at the dealership. People buy cars from people they trust, that they share values with, and that know the ins and outs of their inventory.

Last year, NADA Chairman, William Fox mentioned in his keynote address, “Dealers are the face of their manufacturers in every town throughout America.” Which brings me to the point of how important it is for dealerships to have their digital strategies aligned with their OEMs and third-party partners. All messaging should relate to one another across all channels and be consistent at every level. It’s more important than ever for us to bridge the gap in the relationship between manufacturers and dealers. We’re all traveling along the same railroad. All initiatives should follow a single track as we ride the rails towards a single goal: driving buyers into dealerships.

NADA is so incredible because it provides endless opportunities to connect with and learn from other automotive leaders. This industry thrives on both competition and change, and this event is the cultivation of innovation, growth, and collaboration for all. 

The residents of Missouri and Illinois had a rough start to 2016 after the detrimental flooding of the Mississippi River and other waterways spanning the two states. In some areas, more than two feet of rain graced the Midwest with its presence, resulting in over 25 deaths and thousands forced from their homes in freezing temperatures.

The vicious results of natural disasters can have snowballing impacts (no pun intended). Mother nature doesn’t simply affect individuals, families, and their communities but on a larger scale, both businesses and entire industries feel the consequences. Urban Science data revealed the flooding in Missouri had a direct impact on their auto sales when compared to all other states. In January, sales in Missouri were down about 10%, compared to a 4% increase throughout the rest of the country.

More recently, the East Coast was hit with monumental and even record-breaking snowfall accumulation due to late January’s winter storm, Jonas. The storm’s heartless medley of snow, ice, high winds, and coastal flooding proved the unyielding domino effect of weather-related damage that expands far beyond vehicle sales. Over 80 million Americans were affected, including at least 31 deaths and of course, property damage.

According to Automotive News, the “Jonas Effect” forced Toyota to temporarily close 200 of its dealerships. Herb Gordon Volvo, in Silver Spring, Maryland experienced a roof collapse due to the overly dense snow. Fortunately, there were no human injuries; however valuable inventory was lost (seven Volvos to be exact). General Manager, Ed Sarecky reported the damage would take about 45 days to be restored. The silver lining – they plan on rebuilding the area with a more enclosed, highly stabilized rooftop to prevent losses like this in the future.

This is not the first time the auto industry has suffered from natural disasters, nor will it be the last. Back in 2005, on a much larger scale, Hurricane Katrina became infamous as one of the five deadliest storms in the history of the U.S. But there is a light at the end of the tunnel. As an industry, we did learn a few things that can benefit dealerships in the case of yet another unwarranted disaster.

The following are the top three findings dealers should be aware of in order to prepare for, or minimize the damages associated with natural disasters such as these (excluding the obvious of securing a good insurance policy).

1. Sales will skyrocket after 30-90 days following a natural disaster. What dealers don’t necessarily expect is that directly following this lagging bounce-back period is when vehicle sales reach record highs. A trend we’ve seen with unprepared dealerships is they often lack the necessary inventory to meet the soaring demand. In addition, we have to consider not just the quantity of inventory to prepare for the spike in sales, but also the right variety of vehicles to keep in stock depending on the geographic location and nature of the storm.

Urban Science conducted an extensive data study one year after Katrina hit. According to Wards Auto, the study revealed, “While Hurricane Katrina sparked a human exodus and crippled many car dealerships in the metropolitan region, automakers scrambled afterwards to get the right vehicles to market because of an ensuing surge in demand.”

Mitch Phillips, Global Director of Data at Urban Science, toured the city of New Orleans and its dealerships to witness the aftermath six months after Katrina. Phillips noted, “Car sales dropped, but pickup truck sales nearly doubled. As people came back to the city, they were fixing their homes and hauling away debris. They needed pickup trucks.”

2. The odds of real-time data will always work in your favor. And by real-time, I mean real-time. I don’t mean data from 30 days ago. I mean real sales and transactional data from this very instant that can be used to your advantage. Big data alone won’t cut it. The data you use to optimize your strategy during a storm-induced sales coma should be fast, intelligent, and purposeful – meaning you can use it to craft your sales strategy right away. Accept nothing less than real-time data, as this is the only truly efficient source towards improving your sales and marketing efforts.

3. You’re going to get fewer leads, so make the most out of the ones you have. This means optimizing your website, lead forms, and overall marketing efforts for conversion. I’d recommend beginning with mobile and working your way down. Make all calls to action, including directions and your phone number prominent and easy to find. Make forms short and to the point. If you’re going to ask for someone’s information, they are more likely to provide it if you offer them something in return. Consider a gift card incentive just for coming in for a test drive. You always have a better chance of converting a customer once they are physically in front of you.

While looking back on his visit to New Orleans, Phillips adds, “It’s not just hurricanes. Any natural disaster, such as an earthquake, can cripple a dealership. There need to be provisions for natural disasters in areas susceptible to them.”

Personally, I like to consider myself an optimist. Over time, the snow will melt, water levels will recede, and the material damage will be restored. Roads will be cleared and safe once again, and the revival of new hope will begin to set in. I believe that with every misfortune or tragedy comes a valuable lesson. What we can learn from the unstoppable, unpredictable force of Mother Nature is how to prepare for the aftermath should it happen again.

It’s time for a reality check. I’d like to begin with pointing out the fact that more often than we realize, the correct solution to a problem is both obvious and simple. We live in a common sense world, but I think people forget that sometimes. From a young age, we’re programed to be “critical thinkers” and to look at a situation from all vantage points. Our encoded mental paradigms tell us we should analyze, overanalyze, and overcomplicate every possible variable that may contribute to a desired outcome. On the contrary, according to Ockham’s Razor, a scientific theory dating back to the 14th century, “the simplest solution is usually the correct one.” Spending my entire career in the auto industry, with much of it in a dealership, we skip most of this (thankfully) but there should be a happy medium. It’s where common sense meets analyzed data. 

Paid search, or pay-per-click, while it may appear to be an affordable form of advertising, there is a significant breakdown in the attribution no matter how transparent and detailed the reporting. Plain and simple, paid search is complicated. As one of the first automotive marketers to use paid search over 10 years ago, I have “complicated” scars. Yes, you can see the amount of clicks your campaign received. You can see the impressions. You can see the engagements. But can you see, validate, and know that a paid click led directly to a showroom visit without any other factors involved? Absolutely not. People looking for information doesn’t in any way translate to a sale. So, how do you measure the true ROI?

Think about how much you spend driving people to your website each month. Thousands upon thousands of dollars are devoted to driving potential customers to your site in hopes of converting a click to a sale. As of today, the vast majority of customers cannot and will not purchase a car on your website. Therefore, dealers depend on leads to attempt to convert web traffic into showroom traffic.

The stats speak for themselves. There is no arguing that well under 5% of website visitors will complete the standard dealership lead form. Specifically, WardsAuto, DealerRefresh, and other industry leaders report 3-7% of automotive shoppers actually submit leads. CDK’s Digital Business Intelligence study shows only 1% of auto shoppers submit email leads from dealer websites.

It’s time we stop chasing imaginary attribution lines. If something isn’t working 95%-99% of the time, we need to do something about it. We need to direct our attention towards something we can quantify without a shadow of a doubt that led to a sale. We need to change the game – or more specifically, change the average lead form.

Let me provide you with a real life example. Just a few weeks ago, in February, 2016 (with only five days left in the month), a leading OEM came to my team asking what we could do to help push them to a stronger close. Typically, OEMs will rush to spend more money on search or display to increase traffic and then hope and pray that web traffic will convert to leads and showroom visits before the month ends. Unfortunately, that’s tough to do in five days. Its tough to do in 10 days, but manufacturers and dealers chase this same avenue month after month. But this particular OEM knew they had sufficient site traffic. What they needed was to see it convert in the showroom. AutoHook’s incentives generated more than 1,800 showroom visits in just five days and these customers were directly attributed to nearly 800 sales in the same time period - something I would challenge any digital effort to perform and validate.

In the Bounce Exchange’s latest Guide to PPC they acknowledge the tremendous waste potential of paid search. “Whether you’re a do-it-yourself small business or an agency managing hundreds of thousands of PPC dollars, you are leaving money on the table right now. Guaranteed.” Even worse, you could unknowingly be creating more opportunities for your competitors or just tossing money straight to Google. Their advice? “Move your budget into something that works.” More importantly, make sure that you have better and bigger nets to catch the fish. 

Let’s be clear. I am not saying don’t do paid search. It can be a great tool for driving traffic to your website, however it’s not ideal for converting actual sales or showroom visits. The reality is, paid search is not simple, and you can’t draw a straight line from your search campaign to a vehicle sold. A smart PPC provider, and more importantly a smart marketer, knows the difference between “researcher” and “buyer” search terms and online actions. Which do your campaigns target? What about your inventory? Are your search efforts boosting aging units or wasting ad dollars on high demand vehicles that will sell on their own?

Buyer search terms are specific and measurable. Buyers know what they want down to the year, make, model, and color. Most will not contact you before coming in for a test drive, UNLESS your website provides an experience that gives them something in return for submitting their personal information. Yes, I’m referring to offering incentives just for coming in for a test drive. It’s so simple. Give something to get something. If you are willing to pay for a click, why wouldn’t you be willing to pay for a showroom visit? Heck, they probably would have clicked anyway.

At the end of the day, you can empty your pockets in attempt to drive the world to your website. But the real question is, does your website convert once they arrive?

How Dealers Can Eliminate Deficiencies with More Accurate Attribution Tracking

Through endless digital and traditional channels, consumer influence is happening both consciously and subconsciously as they navigate along a digital roadmap equipped with double-digit research touch points that follow no predictable path or straight line. This new age buying behavior makes attributing a sale to one source almost impossible. While new and developing channels provide marketers with an abundant assortment of avenues to reach potential customers, the challenge of measuring the return on your investment is becoming increasingly complex.

“Big data” is a widespread term used relentlessly in digital marketing across all verticals. But the question remains, how can we properly leverage big data to attribute a single sale to a single action? And is it possible to attribute one sale to one source within the surplus of information available today?

Let’s first properly define attribution. According to Forbes, “Attribution is the science of using advanced analytics to allocate proportional credit to each marketing touch point across all online and offline channels, leading to a desired customer action.” MarketShare defines it as “giving credit where credit is due.” To simplify even further, attribution is who or what takes credit for a sale.

For auto dealers, attribution is synonymous with the conduit that led the customer from screen, to search, to showroom. Attributing a sale or a lead translates to knowing exactly where it came from, how it came to you, and why. The problem with digital marketing is that this process can be very challenging as there is no conventional path to follow when it comes to tracking online (and offline) actions today. Attribution defines which elements of your marketing compounds will result in a reaction, or which will ultimately prove to be effective.

There is a reason Amazon is the #1 online retailer. The master of digital merchandising has the most straightforward attribution chain in the business - consisting of three steps: a search, a click, and a buy.

On the contrary, there is no such thing as the “search-click-buy” method in the automotive industry. The question of the moment is could there be, and how do we turn that possibility into a measurable science? The reality is, well below 5% of the total buyers in the market behave in a direct, attributable fashion. Therefore, dealers and manufacturers must focus on the 95% of buyers that have to physically visit the showroom to purchase a vehicle and really drill down to determine their personal, unique path to purchase. But dealers are not dentists, and drills are not a part of the standard dealership sales toolbox.

According to a Dataium study, “One-third of autos purchased today are a direct outcome of internet-generated leads.” Lead conversion must be measured at the dealership level. More importantly, measuring attribution, or the accountability of a sale is of growing importance as more and more media and social networks adapt to a paid advertising model.

Tips to Overcome Attribution Hurdles:

1.     Don’t be afraid to get a little personal. Customize your messaging based on a user’s previous actions and their digital footprint. The smartphone is regarded as the most intimate device ever. Therefore our marketing must follow suit and get personal. Custom-built, targeted messages elicit fiercer impacts. Consumers not only want personalized messages, but they now expect them, and respond better when marketing tactics convey a dynamically tailored message.

2.     Implement a streamlined form-fill process on all devices in conjunction with industry-leading responsive design. Evolving technologies have arrived that allow geo-targeting on mobile devices that currently provide dealers with a first ever, “showrooming” solution that is, you guessed it…100% measurable!

3.     The consumer experience plays a significant role in the attribution process. When considering the experience, focus on the variables that include specific IP addresses, number of page views before an initial offer or incentive is provided, and closing the loop with re-engagement and retargeting practices.

4.     Attribution can be more accurately measured when conversion is streamlined via e-mail or text message delivery. When the consumer data is captured during an incentive redemption during a showroom visit, we can then know without a shadow of a doubt which channel led the buyer to your lot. When you offer something valuable in return for a consumer’s personal information, the probability of them completing the form drastically escalates.

It’s crucial we all take a moment to step back and put aside all the math and the logic. At the end of the day, there is a simple method to the madness. Waiting until a customer physically shows up in your showroom to collect their information enables you to collect more information (and more accurate information) than you ever could from a typical dealer lead form. This is simple quid pro quo; you have to give something to get something. We have to think differently in order to capture the information we need to make smarter budgeting decisions.

To learn more tips towards solving the attribution confusion please check out our attribution whitepaper, “Automotive Attribution: Fundamentals and Future.” 

Our industry is synonymous with innovation, better yet – I believe the automotive industry defines both innovation and opportunity. Yet, everything is relative. Coming from a company that serviced the retail, hospitality and travel industries (in addition to automotive), I know firsthand that their mobile marketing is about two to three years ahead of our industry. I also know that dealerships have never been afraid of a little competition.

As the largest subcategory of retail, we need to find a way to get back in the driver’s seat of the mobile disruption. We cannot let other verticals trump our user experiences and outperform our mobile campaigns.

If you are sick and tired of hearing about mobile…get over it right now. According to a recent article from Google, mobile search volumes have officially surpassed desktop searches. Mobile is snowballing at an unprecedented rate, so much so that mobile usage statistics are increasing in almost real-time.

If I could give one theme to mobile marketing it would be immediacy. Google simplifies this in three steps: be there, be useful, and be quick. If you can accomplish these things, you will win the customers you target. There are some scary (and I mean scary) stats out there to help this set in:

·      87% of Millennials have their smartphone at their side (more or less attached to their body) day and night

·      We check our phones 150 times a day

·      We spend 177 minutes on our phones per day

·      Each mobile session averages only 1 minute and 10 seconds, but dozens and dozens of times per day

- Google’s Micro-Moments: Your Guide to Winning the Shift to Mobile

If you think that you’re ahead of the game because you have a totally responsive website, think again. This is only the first step. The second is delivering an ideal experience to your mobile audience, and a responsive site alone does not ensure a seamless, swipe-oriented, visually compelling, easy and fast interaction.

“The main issue with user experience is that on the desktop you can have some complexity, but on a mobile device the interface and experience must be about simplicity,” says Alan Krutsch, Director of Marketing and eCommerce at Apple Autos. “The mobile user must be able to find things quickly and perform functions easily.”

Even older generations report feeling “naked” if they don’t have their phone with them. Dealers should feel equally naked if their mobile strategy is lagging in comparison to other retailers. “Target and Walmart are examples of stores that do really well driving people to their locations with specific offers,” said Ray Green, VP of Enterprise Solutions at Verve Mobile. “Using a mobile ad platform, they are able to target different customers at different times, with different messages, based on those customers’ individual behaviors and locations.”

There are some key trends on the horizon to focus on over the next year to stay relevant across the screens, and in the hands of in-market shoppers. Start implementing mobile strategies that involve beacons, mobile wallets, and big-data generated customer profiles. 

Let’s think back to 2002, when dealers started posting inventory on their websites. Many were outraged and swore to never, ever post their cars, let alone their prices online. Today, that has changed. I am confident that the evolution of mobile will override the eruption of the Internet and more importantly, resisting this trend will be detrimental to your business. Also remember you are not alone. We as an industry can, and will, come together to help each other, as we cannot let retail and travel out-innovate the pioneers of innovation!

I want to start here. This may be my Jerry McGuire moment. Maybe I should end here…but this has been eating at me for a while. 

I’ve been in this industry for over 25 years. I started out selling cars at a Chrysler Dealership in Dayton, Ohio. Somehow, I have navigated my career through all facets of the dealership including an executive marketing position for a large dealer group. I have also had the opportunity to work on the vendor side with a start up CRM company in the early days of CRM. My latest startup venture, AutoHook (the artist formally known as HookLogic) was acquired by Urban Science this past year. Along the way, I have had the fortune of building great products, growing businesses, and speaking at events all around the globe. I don’t tell you all of this to stroke my ego, only to frame my position. 

As a dealer, especially as a CMO, it felt like I was asked to speak at EVERY event. Because we were first in with a number of digital marketing initiatives, I had a lot to share, both success and failures. I would often feel like I was on tour. Don’t get me wrong. I enjoyed sharing my experiences with other progressive dealers. I love my industry and want more people to have success. Dealers who can speak can be in demand at conferences but I have noticed a trend lately. There are less and less dealers speaking, with those spots filled with more vendors. Why is this? Have all of the progressive dealers gone away? Are they afraid to speak? 

On the flip side, I have noticed that the majority of the speaking spots are somehow tied to a sponsorship package. I remember a day when you submitted a topic and content that was relevant to the participants, wasn’t a sales pitch, and you were picked to speak, regardless of your checkbook. Yet, lately, when it comes to many of the conferences our industry has hosted, there is a strong emphasis surrounding the “pay-to-play” mentality. Vendors and auto companies can only present if they pay thousands of dollars to do so. Is this really the best way to educate our dealer audience with the information that is most beneficial to them and their business?

All too often the companies who spend the most money on conferences, that secure the biggest and best booth space or a prime speaking position are not in line with the companies that have the most useful story to tell. I don’t say this because I am envious of these companies or I don’t have the budget to compete. I say it because it’s the truth. It’s gotten so bad, that at one of the largest conferences this past fall, many of the speaking halls were near-empty because the content and speakers were practically the same as previous years…and yes, you guessed right - they were from the same main sponsors.

Even if the content or a speaker is chosen for a spot, it might not get the prime speaking position. At another conference this fall, there was a panel discussion that had “heavyweights.” The session was highly rated by the conference attendees and every seat was taken with people standing in the back of the room. However, they were relegated to a “breakout” because the larger sponsors occupied the larger, main auditorium sessions - and you guessed it, those sessions were not as full. 

It seems that more often than not, my experience, my name, and my brand are simply not enough to secure a speaking position at a conference. It’s sad to say, but as an industry, we need to be better than that. We need to share our wealth of knowledge in order to help others and to inspire our audience rather than just share from those that spend the most to host these events.

I am not alone in my thoughts on this topic. Many vendors have expressed the same sentiment, and attendance at a lot of conferences is dwindling. Are we losing sight of the entire purpose of these networking and educational events? Are the messages being delivered merely the ones backed by the biggest budget, or the best content? Are we providing these audiences with the knowledge they need to truly take their business to the next level?

Personally, I’ve questioned the offers to present at conferences if they are directly tied to a speaking spot. I want to be picked because I have a compelling message and the conference is confident that I won’t sound like an infomercial. Arguably, I am a better presenter than I was 10 years ago. I am WAY more mature and have more successes and a ton more failures to share with the attendees. When I am asked to present, I go above and beyond because my first priority is to make the content worthwhile for the audience, as they are paying good money to be there and learn. Let’s be clear, this is not me taking the opportunity to bash the large conferences as they do have a lot to offer dealerships. However, I strongly encourage you to take a step back and be discerning about who you choose to listen to and which sessions you choose to attend.

So, what do I endorse? I see a higher quality of knowledge being shared at smaller, local events that keep the vendor space equal. I see better content being shared in dealer 20 groups that allow presenters to share valuable insights without having to sponsor the event to do so. Dealers share their “best idea” with their non-competing peers. I also see content being shared on the industry blogs, in free (not paid) webinars, and in whitepapers (again free). And I am going to put our money where my mouth is. We are going to be very selective of where we present and make all of our content open to our industry.

Our first example of this will be a mobile marketing strategy whitepaper that is filled with great information from industry experts. It is not an AutoHook sales and marketing document. It will help those dealers who are searching for a mobile marketing strategy. Instead of forming panels at conferences, we will set up webinar panels and open it up to more people; especially those who can’t convince their ownership to attend the conferences.