Power Rankings Intro -

Every sport has weekly Power Rankings so fans know who is currently the best in the league. They are also a great way for people to know who is improving and who isn’t. Beginning in January, DrivingSales will start bringing you Power Rankings in the form of quarterly updates. That way you can see what the most essential tools for your dealership are so you can stay ahead of the competition.

How It’s Calculated - 

Each product category is ranked in real-time. As new ratings come in they are ranked based upon the number of reviews, star ranking, percent recommended, as well as the sample size, to create a statistically accurate result. The rankings use an equation that takes into account the frequency, volume, timeliness, and star rating of every review. For example, if a product has great reviews, but hasn’t had a review in the last couple of weeks it will impact its ranking. This incentivizes vendors to get reviews from their customers. After all, people will willingly leave bad reviews but need to be pushed to leave good ones.

We have a team that verifies each review, so if a vendor is reviewing their own product it will be removed. We personally call every review, after doing research to ensure that they are indeed a real person at a real dealership. 

Without further adieu, here are the Power Rankings for the Sales Categories for Q4 - 2019

2019 Q4 Power Rankings

CRM Sales

CRMs are essential to a successful dealership, and Elead has the highest rated CRM according to Vendor Ratings.  

Momentum CRMmoved up on spot in the quarter. “Support and service is the name of the game.” According to one general manager “The CRM works smoothly and is flexible, if CRMs are similar I will always go with the one rated as the best customer support and quick response to an issue. They got this.”

DMS

Another core category of any dealership is the DMS.  Here are the top five as rated by dealers on DrivingSales.

Autosoft edged up one spot from 4 to 5 this quarter. One Finance Manager said that Autosoft's “Live Help function is fantastic. Having somebody available to answer any problems is priceless.”

New Car Leads

New Car Leads has an interesting mix of products designed to help dealerships sell more vehicles.

Car Buying Service moved from the seventh spot in Q3 all the way up to the five spot in Q4. “Tons of leads” read one review by a Salesperson. They went on to say “ We get a lot of our leads coming in from here. They have always done a good job for us.”

Digital Retailing

Digital Retailing has started to become such an integral part of the customer journey. Using the right tools to increase that experience for your customer will sell more cars.

Dealer eProcess’ SARA Digital Retailing Solution has jumped up nine spots from Q3 to Q4 of 2019. One Marketing Director thinks: This is a must add to your website” and that SARA “creates more credit applications. Customers want to see monthly payments.”

Messaging

Messaging is a great place for you to stay engaged with customers. Whether they are looking for a car or getting service done, messaging is the best place to keep the customer informed.

Conversica moved from the eighth spot in Q3 up to the sixth spot in Q4. One Service Manager said: “The virtual assistant allows our service writers to concentrate on the guest rather than being on the phone. We have closed over 330 ro's from our assistant in the last quarter.”

Tune in next month when we will release the 2019 Q4 Marketing Power Rankings.

Electric vehicles are nothing new.  In fact, the first mass-produced electric car was a Studebaker released in 1902.  In the past few years, electric vehicles have been gaining steam. But are they scalable?

A recent Deloitte study explored consumers’ changing automotive expectations and the evolving mobility ecosystem. Their main finding for their 2019 global automotive consumer study found that consumers in many global markets continue to move away from traditional combustion engines.

Consumer interest in EV’s has grown. In the U.S. 26% of people would prefer an EV as their next car. This interest increased from 18% in 2018.  Although interest in electric vehicles is trending up, it represents the lowest interest across all global automotive markets. For example, China represents that largest market at 65%.

Electric vehicles are starting to scale in Europe and Asia.  One of the reasons they haven’t scaled at the same pace in the US is gas prices.

In addition, the study finds that consumers are starting to slow their interest in autonomous vehicles over safety concerns and have become reluctant to pay more for connectivity. 

With shifting consumer interest into the EV market, it represents an opportunity for dealerships, and they will need to prepare to scale alongside the consumers’ interest. Demand is increasing, and Tesla has experienced a drop in consumer trust, according to AMCI’s Trust Study, due to their OEM pushing volume over customer experience.  Dealers who can scale and meet increased demand will have an advantage.

With all global markets slowly moving away from internal combustion engines and into EV’s it is clear that the U.S. is the slowest to adopt the trend. With the consumer beginning to scale into the EV market time will tell when that will be the majority of new vehicle sales in the U.S. but that time is not coming anytime soon.

Electric vehicles are nothing new.  In fact, the first mass-produced electric car was a Studebaker released in 1902.  In the past few years, electric vehicles have been gaining steam. But are they scalable?

A recent Deloitte study explored consumers’ changing automotive expectations and the evolving mobility ecosystem. Their main finding for their 2019 global automotive consumer study found that consumers in many global markets continue to move away from traditional combustion engines.

Consumer interest in EV’s has grown. In the U.S. 26% of people would prefer an EV as their next car. This interest increased from 18% in 2018.  Although interest in electric vehicles is trending up, it represents the lowest interest across all global automotive markets. For example, China represents that largest market at 65%.

Electric vehicles are starting to scale in Europe and Asia.  One of the reasons they haven’t scaled at the same pace in the US is gas prices.

In addition, the study finds that consumers are starting to slow their interest in autonomous vehicles over safety concerns and have become reluctant to pay more for connectivity. 

With shifting consumer interest into the EV market, it represents an opportunity for dealerships, and they will need to prepare to scale alongside the consumers’ interest. Demand is increasing, and Tesla has experienced a drop in consumer trust, according to AMCI’s Trust Study, due to their OEM pushing volume over customer experience.  Dealers who can scale and meet increased demand will have an advantage.

With all global markets slowly moving away from internal combustion engines and into EV’s it is clear that the U.S. is the slowest to adopt the trend. With the consumer beginning to scale into the EV market time will tell when that will be the majority of new vehicle sales in the U.S. but that time is not coming anytime soon.

According to a new article by Automotive News, young car shoppers are not ditching the dealership. Online shopping trends are continually growing but for large items like vehicles shoppers, even Millennials, want to shop in-store. Studies show that young car buyers (Gen Z and Millennials) visit more dealerships than Baby Boomers traditionally do. With the younger crowd visiting 3.8 dealerships on average compared to the older generation visiting 2.1 on average.

Trust and transparency have taken over. More than 80 percent of buyers say price influences their decision the most. With quality service, low-pressure sales and the overall experience following close behind. With the younger generation visiting more dealers in their car buying journey it is a clear sign to dealers to adjust their pricing transparency as well as their sales tactics to help meet the needs of their largest market, Millennials.

This underscores the value of the brick and mortar facility. Amazon is a perfect example, and you can see the convergence of them with Walmart.  One began as a discount store and the other an online bookseller. Now? They both understand the need for an omnichannel presence and a physical location.

Visiting the dealership is not dead. 83% of young car buyers say they would never buy a car without test driving it. 89 percent said that the test drive would influence their purchase the most, followed closely by online reviews. Learning how to market to the younger audience is definitely a task, but when done effectively, will bring more people into your dealership. What is your store doing to make sure it is attracting the young buyers into your dealership?

It’s time for another weekly blog recap. Today I’ll be recapping blogs about where to spend your marketing budget, Millennial problem solvers and tips on how to be a great salesperson. Check them out below!

Marketing tells customers who you are, and tries to convince them to walk into your store. But where is the most important place to spend your marketing money? David Bowman, Owner of Bowman Auto breaks down his costs for marketing and what works best his dealership. He says Email Campaigns and SEO together pack the strongest punch.

Read his blog to learn the ins and outs of his campaigns here!

Next up the dirty “M” word… Millennials.

Nicolle Lamb SVP of Client Services at Dealer Inspire says Millennials are often talked about in a negative way. So, Instead of focusing on pitfalls (that more often than not have affected every other generation too…) focus on the positive aspects Millennials bring into the workplace... Like being incredible problem solvers!

Read her blog here.

Occasionally the way a car looks might just sell itself. But more often than not salespeople are needed to drive home that sale.

Jennifer Livingston gave four awesome tips on how to become a better salesperson including being VERY aware of your body language… and practice practice practice closing.

Read her blog here

This is a guest blog by  Nicolle Lamb, SVP Client Services at Dealer Inspire.

She is speaking at the DrivingSales Executive Summit on Millennial Problem Solvers : How to Lead the New Generation to Their Success and Yours

Most of what you hear about working with Millennials is not positive. What I observe at conferences is that sessions about Millennials usually focus on their lack of drive, fickle nature, and lack of loyalty. But truly, couldn’t that be said about every generation? There are many examples of these characteristics in each generation through the years.

What we aren’t giving them credit for is their desire to make a difference, problem-solve, and be a trusted member of the team along the way.

The success of Dealer Inspire has relied heavily on Millennials, and our team is hard working, dedicated, and loyal. Our average age is 27 years old, we went from 30 to 480+ employees in less than 4 years, our employee retention rate is 99%, and our client retention rate is 99%. Are you wondering how we made that happen with a generation most people misunderstand?

We are doing some key things that engage Millennials, and it’s important for us to take ownership of how we are managing them. When things aren't working it's on us. It's not on them.

At DrivingSales Executive Summit 2018, I want to help our dealer partners change the way they hire and train their staff. I have been asked many times by my clients, “how do you do it?” “How do you hire these amazing people?” This session will give them all of our secrets to success. And with these few changes, they too can have an amazing loyal, driven team! Let’s work to solve the most important challenge of your dealership: hiring and maintaining driven, loyal employees.

It’s not difficult, but it does require a change of mindset and management style.

My session will review where to start, and where most companies go wrong when it comes to Millennials.

● Start with a culture

● Create a clear path for growth

● Hire the right people | Seekers

● Ask them to share their feedback | Measure anonymous feedback through software

● Give them the questions, not the answers

● Then, trust them, encourage them, and support them

What are our most profound pitfalls?

● Treating them like a rookie

● Telling them they need to earn their stripes

● Bossing them around

● Giving them the answer and never asking them to solve the problem

This is the most important part: you have to be prepared to listen! Many times I hear, “I didn’t have anyone handing me the keys”. Well, that’s not a great way to look at it. Was how you were brought up in the workforce the right way? If you peel that back, can you see that this is the right way to do it? Through encouragement, recognition, coaching/mentoring, and fostering a good work environment, we can build the most dynamic team and carve out success for your business.

These employees are not afraid to tell you exactly what they need to feel good about their role and be loyal to your company. All you have to do is listen. Don’t you often wish your spouse came with a manual that would tell you exactly what they needed? So many times you didn’t know what they were thinking or what they needed, and you’re left saying, “I wish you would have just told me!” Well, this generation will tell you. And if you are listening, you are winning!

Today, I am the Senior VP of Client Services at Dealer Inspire, and as you would expect I manage a dynamic team of Millennials! My current team is made up of 78 team members, of which 90% of them are Millennials. Investing my time into the leadership team and the performance management team has always been my focal point and it is a key driver of the team’s unprecedented success.

I find and hire overachievers — that’s one of the core characteristics I look for — but you cannot hire overachievers and then tie their hands behind their backs. Put the problems in front of them and encourage them to find the answers — you will be amazed at what you find!

The DrivingSales Executive Summit is nearly two months out. To get you ready for the conference, we're giving you a taste of the presentations each week leading up to the event. This week we are introducing you to breakout speakers in our Human Capital category.

First up is Katie Wagner, the Director of Business Development at the Johnson Motors & Ford Group.

Katie Wagner started her Automotive Career as a part-time receptionist as a way to pay for college. Ten years later she has grown into Director of Business Development at a successful automotive group in the Midwest.

With a focus on big data and marketing, Katie oversees the Centralized BDC that she built from the ground up. Working to help her team be the best in the industry, Katie takes pride in her team’s ability to create an experience that makes it worthwhile for customers to travel 2-3 hours (one-way) to do business at her stores.

After attending this session, you will:

• Have real-world suggestions on how to hire, recruit and train BDC Agents.
• Know how to reward performance and creativity.
• Gain insights on building a tailored career map for employees.

With my 10 years experience in the automotive industry I know what it takes to develop train and maintain a successful business development center.

Attend my session and learn how to really develop the business development representatives within your department.

The strategies I will give you, can be taken back to your dealership the next day and you will see immediate results.

So bring a pen and paper and get ready to have some fun!

Wagner will be speaking on Day 3 of the #DSES; October 23, at 9:50 A.M.

While electric and autonomous vehicles remain in development, Germany is pushing the envelope when it comes to futuristic tech: exploring the possibility of flying cars.

The German government signed a letter of intent with Audi and Airbus SE executives to “test air taxis” in and around Audi’s hometown of Ingolstadt.

The Urban Air Mobility project was announced by Audi interim CEO Bram Schot, Federal Minister of Transport Andreas Scheuer, Airbus CTO Grazia Vittadini, Mayor of Ingolstadt Dr. Christian Lösel, and other representatives.

“We welcome the involvement of the city of Ingolstadt and support the development of the region as a test field for air taxis,” said Schot.

The trial is intended to counter clogged city roads and “unlock new growth potential” for Germany’s high-tech industry, the government’s press office said in an emailed statement on Wednesday.

“We would like to use our know-how to improve urban life, and aim to develop new mobility concepts for cities and people’s various needs with the Urban Air Mobility project,” said Schot.

While flying cars may seem far off in the future, they could become a reality sooner than you think. At the Geneva Motor Show in March earlier this year, Audi, subsidiary Italdesign, and plane-maker Airbus SE unveiled their mobility concept: Pop.Up Next, an “an all-electric, fully automated concept for horizontal and vertical mobility.”

Volocopter GmbH, a German startup backed by both Intel Corp. and Daimler, has built a “drone-like electric helicopter” that can ferry passengers across the city sky – and has already completed test flights. Volocopter GmbH hopes to offer the first commercial trips in the next three to five years.

“Flying taxis aren’t a vision any longer, they can take us off into a new dimension of mobility,” said Scheuer. “They’re a huge opportunity for companies and young startups that already develop this technology very concretely and successfully.”

Media outlets from around the automotive industry show their support for the DrivingSales Executive Summit #DSES

8/8/2018 - Salt Lake City, UT. -- DrivingSales is pleased to announce the media sponsors for the 2018 DrivingSales Executive Summit. The sponsors are WardsAuto, AutoConversion and DealershipNews.

The DrivingSales Executive Summit (#DSES) is the premier event for dealership professionals to improve your dealerships and advance your career.  We strive to pull a mashup of progressive topics, leaders and speakers that are changing the dynamic of business. Inside and out.

Our media sponsors support our drive to create the best innovative automotive conference each year. Having attended the event in the past, all three are excited to attend DSES on October 21-23 at the beautiful Bellagio in Las Vegas, Nevada.

“WardsAuto supports industry events which drive education, provide a collaborative environment, and deliver a high-protein dealer audience. DrivingSales Executive Summit does this and more.” Said Larry Schlagheck of WardsAuto. “We’re proud to be associated with DSES again in 2018 and look forward to helping promote this all-important industry event.”

Kelly Kleinman, a frequent contributor to the DrivingSales community, and Director of Digital Content at DealershipNews.com said, “DealershipNews.com is thrilled to be attending and supporting the Driving Sales Executive Summit - THE automotive industry platform for the exchange of ideas and best practices like no other!”

“AutoConversion is looking forward to another fun, meaningful, and insightful time at the Executive Summit,” said Ryan Gerardi. “During the DSES we will be streaming Live Interviews inside the exhibit hall and in the halls outside of the breakout session rooms. If you'd like to block a 15-minute time slot to be featured in an interview then follow this link. Fore more information about what we do please visit our website.”​

About DSES

We attract the leaders in the industry that have the best-practice applications for your store.  Network and share knowledge with your progressive peers in this interactive, immersive event. By attending DSES, you will be armed to thrive in today's automotive landscape.

This year, we'll be discussing the challenges and opportunities around:

• AI (Artificial Intelligence and ML (Machine Learning), both theory and application.  Where is this technology headed, how far away is it, and how can a dealership utilize it to improve the customer experience today?

• Brand differentiation.  In a world of OEM mandated marketing constraints, how can you tell a brand story and dominate your PMA?  How can you stand out and still be compliant?

• Decision-making.  How to decisively chose the strategies and tactics that are the best for your business.  Are you pulled in an myriad of directions? How can you identify what to spend your valuable time and resources on to achieve the best results?

At this insight-packed 3-day summit, you’re going to hear from experts (inside and outside of the auto industry), so you can learn the latest techniques and trends in dealership growth. And there will be plenty of opportunities to network, get your questions answered by industry leaders.

Today the President and CEO of the American International Automobile Dealers Association (AIADA) testified in front of the U.S. Department of Commernce in favor of the international auto retail industry and against potential tariffs.

Cody Lusks testimony was given during the section 232 Automobile and Automotive Parts Imports Investigation. This investigation is happening to decide whether or not tariffs should be placed on foreign auto imports.

His comments focused on the 577,000 jobs provided by America's 9,600 international nameplate auto dealers in their communities, the vehicles they sell to consumers, and how they would be negatively impacted by new vehicle tariffs.

Lusk told the Dept. of Commerce that imported auto parts are not something that need to be worried about. In fact, He said we should be worried if tariffs go into place, “AIADA ... strongly support(s) a pro-growth economic agenda, and believe it can be accomplished with a positive trade message, not the threat of tariffs. Trade keeps our economy open, dynamic, and competitive, and helps ensure that America continues to be the best place in the world to do business."

The reasoning behind his lack of support for tariffs is in the numbers, “As data shows, over half a million Americans stand to be adversely impacted should 25 percent
tariffs be put into place on imported autos and auto parts,” Lusk said. “A recent study by the Peterson Institute for International Economics (PIIE) found that if those tariffs go into effect, there would be a total of 195,000 American jobs lost. Additionally, should countries then retaliate in-kind and place tariffs on the U.S., the job loss would more than triple to an astounding 624,000.”

Lusk also spoke about tariffs and the effect it would have on consumers as a tax, saying taxes would severely negatively impact the auto industry as a whole, “When the cost of new autos rises by even the smallest amount, via regulation, tariffs, or taxes, auto dealers become concerned that those new costs will reduce sales,” he said. “Tariffs that take the form of taxes on consumers would significantly impact new car sales through higher prices, reduced demand, restricted choice, and new obstacles for customers seeking auto loans. Reasonably priced new cars keep American families safe on our roads, allowing them to travel to and from school, work, and community events. When Americans are priced out of safe, affordable transportation, those who least can afford it will be the first to suffer.”