Knowledge is Power​

Today’s consumers are more educated than ever, and that plays an enormous role in how they interact with your dealership and what they expect when they set foot onto your showroom floor. It’s important your dealers are prepared to interact with a generation that has access to endless information online and prefers utilizing it by researching their options before coming to visit you.

Working with Knowledgeable Consumers to Provide the Customer Experience They Want

In 2015, the consumers really are who’s setting the pace for dealerships, and businesses in general. First, it’s important that your dealership understands how consumers are educating themselves:

• 91% of consumers are using a personal computer or laptop, and 80% of consumers use their mobile devices to search the internet.
• 42% of consumers use their mobile device to do automotive research.
• 97% of consumers use the internet for vehicle research.
• 95% of the millennial generation uses the internet to shop for cars.
• 70% of millennials end up purchasing the same make/model they had in mind—from research done beforehand—when they first visited the dealership.
• 70% of a buyer’s journey is complete before they even reach out to you.
• 63% of shoppers use their mobile devices for research while shopping on an auto lot.

Next, your dealership’s way of handling the educated consumer is key in how a consumer will react to you and if a consumer will become your customer. AutoTrader.com’s Vice President of Research and Market Intelligence, Isabelle Helms, says, “Since the majority of millennials are decided on which vehicle they want to purchase by the time they get to the dealership, the opportunity for dealers and OEMs to influence their purchase decisions is online—where millennials spend the majority of their shopping time.” Therefore, focusing on reaching out to your consumers while they’re in the research stage and before they head into your dealership is just as important as how you address educated consumers once they’re on the showroom floor.

Work Smarter Not Harder

Several tactics that appeal to the modern, educated consumer can benefit your dealership and ensure you’re able to influence them and provide them with helpful information before they hit your showroom floor:

Use intelligent advertising. Because the majority of your consumers are already online providing data, your dealership has the ability to send personalized messages and target specific personas better than ever. Learn the ins and outs of intelligent advertising, and be ready to implement it within your dealership.

Provide a constant stream of useful content. Today’s consumers want knowledge available at their fingertips and value reliability. By providing content that’s useful to your specific audience and consistently posting according to a schedule your audience can rely on, your dealership will gain attention, trust, and customers.

Avoid advertising throughout the majority of your content. When consumers sense a sales pitch in your content, it will generally cause them to stop reading and stop clicking altogether. Make sure the information you’re providing via your content on social media and online platforms is focused primarily around providing information and not advertising to consumers. Instead, it’s always a better idea to end a blog post or informational content with a call to action that can solve the problem you’re addressing in your content.

Your employees’ interactions with consumers once they arrive at your dealership are just as important in solidifying new customers and representing your brand in a positive light. Positive interactions and attentiveness will keep customers returning and referring:

Be authentic. The final statistic listed in the bulleted list above is worth repeating: 63% of shoppers use their mobile devices for research while shopping on an auto lot. This is because modern consumers would much rather participate in unenjoyable tasks such as doing taxes, giving up sex for a month, or going to the DMV than bargain with a dealer. Consumers often have the misconception that all dealers are dishonest, and it’s important to be open, authentic, and honest from the first interaction with a potential customer to end that stigma, gain trust, and turn someone who’s “just looking” into a buying customer.

Be haggle-free. Nine out of 10 consumers would be more likely to purchase a vehicle if there was a set price they felt good about, rather than having to haggle. This tactic goes hand-in-hand with a dealership being authentic from the start. Once consumers set foot onto your lot, they want to experience authenticity, whether that be via dealers or prices.

Offer explanation. We know modern and educated consumers want knowledge. Offer them insights, talk with them, and provide all the options. It’s important not to leave out certain pieces of information or use leading tactics because often modern consumers have done enough research to know what’s going on or to know what questions to ask. It’s much easier for a customer to feel at ease and trust a dealer when they’re providing the answers without the customer having to ask or feeling like bits of information are being left out.

Don’t be pushy. Customers often value a dealer that’s made themselves known and available but don’t want to be pressured into a decision. Being too pushy can often cause a potential customer to come up with a reason to leave instead of car shopping on your lot. In other words, after your initial approach, give a car shopper space but remain within an available distance and offer helpful, honest advice when it’s needed. It’s also important to realize that even if your customer doesn’t choose the option you favor or believe is best, as long as you’ve provided all the information and pointed out the specifics you believe are important, don’t push it.

To make sure that your dealership is providing the best experience to the modern, educated consumer and gaining more customers, it’s important to know what works best with consumers both before they head into your dealership and after they’ve arrived. As long as you know the majority of car shoppers are now doing all of their research beforehand, it can also ensure your dealership knows how and why to reach out to consumers online during the research stage and also give you the assurance that you have the best approach toward consumers once they’ve arrived at your dealership.

The image used in this post was provided by freedigitalphotos.net.

Why Used is Better than New 

According to Santander Consumer USA, used cars are expected to outsell new cars nearly 2 to 1 this year, making it more important than ever for dealerships and sales professionals to understand what’s driving this trend and how to work with shoppers as they try to find the best vehicles for their particular needs. Used-car shoppers have unique needs that drive them to your dealership, and in order to win their trust and convince them to buy from you, you’ll need to show them you’re able to offer what they’re looking for in a way that makes them feel positive about their purchasing choices.

The Used-Car Decision

It’s not surprising consumers often wander toward the shiny new cars on your lot first, but the price tag and payments that go along with new vehicles can be daunting—and more than many shoppers can handle. This fact alone has many shoppers turning to quality used vehicles, and if your dealership handles a large selection of used cars, you’ll want to know how to best connect with your customers. Used-car sellers have to combat a predetermined reputation that has been built over years. Shoppers often square off against these professionals and assume they are about to be swindled, tricked, or taken advantage of simply because of the nature of the business, and it’s up to your dealership to tear down these walls. Everything matters—from the very first moment of customer contact to the final signing of paperwork to follow-up and vehicle maintenance. When your reputation is on the line, customer perception of your dealership and the service that’s provided is essential.

Earning Trust Is Key

There are several things your dealership professionals can do from the beginning to earn customer trust and ensure used-car shoppers feel comfortable. Consider some of the following to get you started:

Focus on great communication. Take the time to talk—and truly listen—to shoppers in order to understand their needs. Are they shopping out of necessity? Do they want to upgrade for space, mileage improvements, or safety reasons? Often, shoppers feel like they are not heard, and instead feel like salespeople are simply trying to push product on them. By actively listening and working to meet their needs, you’ll have a better chance at a sale, and you’ll be earning trust in the process.

Focus on your relationship. It’s important to let your customers know you’re there for them. While it’s tempting to jump immediately into selling-mode, take a few minutes to get to know your customers and what they’re all about. When you’re able to find some common ground, you’ll be able to create a rapport with them that places you in a role of trusted advisor, rather than salesperson.

Focus on the value you offer, rather than what you sell. As professionals who are in the business of selling, this can be a difficult task, however, by doing this, you’ll end up with more sales in the long run. By sharing the ways your dealership can help shoppers, it will be easier for them to see themselves aligning with you for a purchase. Be sure to show the beyond-the-sale benefits of buying from you, like quick oil changes, maintenance reminders, certified technicians, and anything else that makes you stand out from the crowd.

Focus on a great experience. Many used-car buyers have gone through a car-buying experience before, and it’s likely they have unpleasant stories to share. This is your chance to change their perception of the industry as a whole by providing the best overall buying experience possible. Think about the things you often hear, especially when it comes to used-car purchases, and consider ways you can change the customer perception:

• If shoppers are stressed about budget or credit scores, be open and honest with them before you go to the finance manager. Remember, a long wait could signal to them they aren’t qualified to buy, so be sure to check back with them frequently and let them know what’s going on.
• Reiterate value in used cars. Most customers are proud to be able to make a value purchase, however, they will be embarrassed if they are made to feel cheap. By choosing words that reinforce their value-conscious decisions, you’ll be more likely to gain their favor throughout the transaction.
• Get to the bottom line as quickly as possible. Everyone wants to get the best deal, and we know you have to make a profit, too. In today’s hurry-up-and-get-things-done world, most shoppers want to settle on a price and move on to the next step as soon as they can. Customers will appreciate it when you are able to land on a number and help them move forward with the process quickly.

Focus on building your credibility. Ditch the bad rep that seems to accompany used car sales for good by doing things like providing great information for your customers, a reliable website with links to outside resources, and updated content that educates rather than pushes consumers to buy. When you lessen the pressure and offer avenues that allow shoppers to explore their options and learn about what’s offered, you’ll be seen as a facilitator and someone they want to turn to when it’s time to purchase. It’s tough to gain trust and credibility in a market that’s both crowded and slightly suspicious of car dealerships, so it’s important to gain your footing early in the customer/salesperson relationship and then maintain it every step of the way. Remember, your customers walk into your dealership with something specific in mind, and if you listen to their needs, work to assuage their fears and insecurities about the buying process, and offer them what they’re looking for, they’ll likely realize you’re on the same team and see you as an ally throughout their purchasing journey.

The image used in this post was provided by freedigitalphotos.net.

Bridging the Cross-Device Gap

For consumers, the car shopping journey has morphed into an online, cross-device journey. Now that you’re able to appeal to consumers who are taking the cross-device journey to purchase their vehicles, it’s important to continue that momentum by bridging the gap and pulling more consumers into your dealership. As discussed in Part I, it’s important to make your dealership’s online presence available to consumers by:

• Being accessible on all devices, mobile or otherwise.
• Reaching consumers before they reach you.
• Knowing who’s still car shopping.
• Keeping content flowing consistently.
• Interacting.
• Being available online.

So, What's the Next Step? 

After you've made yourself available and now that your dealership has gained the attention of those on their online, cross-device car-shopping journeys, how do you bring them onto your auto lot? Four sure-fire ways to ensure cross-device car shoppers will end up on your lot on the last leg of their car-buying journeys are:

1. Take advantage of customer personas. Once you’ve made your dealership accessible, efficient, and noticeable online, it’s important you begin the process of targeting your specific customer persona via the part of the car-buying journey he or she is currently in. If you’re able to target and market to your potential customer correctly, you should easily be able to get him or her into your dealership and close the deal.
2. Respond and research. If your potential customer has taken a bite and responded or noticed your dealership, it’s vital you’re responding as quickly as possible with clear, correct, and influential results and information. This includes doing some research and finding/responding to concerns and reviews of other customers, as to not negatively influence or scare away potential customers.
3. Greet your customers in a way that gives them a reason to trust you. Often, consumers would rather do mundane tasks like go to the dentist or give up sex than interact with a dealership salesperson. They’d rather research on their phones than ask a salesperson a question. For these reasons, it’s very important to crush the dealership stereotype and make your presence useful, honest, and inviting. Ask yourself what customers are looking for elsewhere and offer it to them at your location.
4. Embrace the changes so many other dealerships resist. In the modern car-shopping world, people are going to participate in showrooming—they’re going to whip out their devices and do research—so instead of fighting them, join them. Have sales professionals with tablets ready to compare and sync with car shoppers, offer honest feedback and advice, and give customers a reason to notice you and see why your offer is better than everyone else’s.

Although times may be a'changin', there are still clear, simple steps your business can take to stay ahead of the game and ensure yours is the dealership shoppers walk into to end their cross-device car-shopping journeys.

The second image used in this post was provided by freedigitalphotos.net.

Smartphones and Tablets and Laptops, Oh My!

A Virtual Experience

A car shopping journey isn’t simple anymore, and consumers are using more devices and types of technology than ever to make their purchases. That means dealerships are striving to create the best cross-channel experiences for their consumers.

For consumers on car-buying journeys, devices and channels only continue to increase. This makes it more and more difficult to understand what exactly causes a customer to decide to buy from your dealership. While marketing and targeting significantly helps gain and keep customers, even more solutions exist to guide a consumer’s car-shopping journey to your dealership’s path to purchase.

Remember, a buyer’s shopping journey is done primarily online:

• 91% of consumers use a personal computer or laptop for research.
• 80% use their smartphone to shop or research.
• 47% use a tablet to do their shopping research.
• 70% of the buyer’s journey is complete before they even contact you.

If your dealership wants to strengthen its appeal to car shoppers, it’s important to take a buyer’s entire journey with them, and the best way to do that in today’s online research and shopping world is to reach out to shoppers—before they’ve reached out to you—through efficient, fast, multiple-device-friendly online outlets.

It’s a Winding Trail Toward Making a Purchase

A buyer’s shopping journey has several steps, or lifecycles, and it’s important your dealership is able to identify which part of the journey a buyer is in and use the correct approach. This way your dealership has the ability to approach a buyer before he or she even realizes your dealership has the solution to that’s being searched for.

Here are a few simple ways to appeal to the majority of consumers who are wrapped up in the cross-device shopping journey:

Be mobile-friendly. First and foremost, it’s key to make your website mobile-friendly and viewable on any and every device and browser. It’s also vital that your site loads quickly, or it will lose consumers even faster:

• 67% of consumers move between devices when they’re shopping online.
• 2 out of 3 smartphone users say mobile-friendly sites make them more likely to buy a business’s products or services.
• Sites with a response time of 1-5 seconds cause users to feel unsure and become distracted.

Reach out to consumers before they reach out to you. Make sure your general brand and your brand advocates are working for you. When branding is working well, consumers who are in market can easily run across your dealership and your website online during their research stage.

Know who’s really still car shopping. If you have the technology that provides you with the down-low on who’s looking for a vehicle, even if they haven’t reached out to you or are marked as an inactive lead in your CRM, it can help your dealership gain back the customers who would’ve fallen by the wayside otherwise.

Keep content flowing on a consistent schedule. Consumers like consistency. 61% of consumers are more likely to buy from a company that delivers customized, real-time content. It makes them feel like they can count on you and trust your brand. It’s also key to make sure your content is helpful to consumers and that you’re not advertising throughout your content, aside from a call-to-action at the end. This will ensure your consumers continue reading your content and come back for more on a regular basis.

Interact. Today’s consumers love to interact. Make sure you’re responding online, whether that be via email, Facebook comments, reviews, or otherwise.

Be available online. Make sure your dealership knows where the majority of its consumers lurk. It’s generally beneficial to create accounts on Facebook, Twitter, and LinkedIn along with a blog to accompany your website. All of the social media sites listed are mobile-friendly, as well, which is great for your brand. Other social media platforms that are helpful to utilize include Pinterest, Instagram, Snapchat, Periscope, Flickr, and Tumblr.

To appeal to modern consumers, who are always switching between devices and do the majority of their shopping and research online, it’s important to make your dealership’s brand and website available to them via several outlets. Bridging the gap between your consumer and your dealership as quickly, efficiently, and readily as possible is the best way to ensure more customers choose your dealership.

The second image used in this post was provided by freedigitalphotos.net.

News for the Week of November 9

Buyable Pins for Android

While iPhone and iPad users have been enjoying buyable pins, the feature is now being offered to Android users. Pinterest lovers can now shop directly from the app and choose from over 60 million buyable pins. The blue ‘Buy it’ button indicates an item can be easily purchased in-app with only a few taps, and users can shop in confidence knowing Pinterest reviews and approves every seller, so they know they’re buying from trustworthy sources. In addition, Pinterest is introducing the new Pinterest Shop, which offers hand-picked collections that include everything from department store offerings to unique, one-of-a-kind products—all located in a centralized location users can access by tapping the ‘Shop’ icon. Dealerships can explore the advantages of broadening their online platforms and reaching a unique set of online consumers by taking advantage of the benefits offered by using Pinterest. Consider posting pins of your service offers and in-house product offerings to entice online customers to visit and shop at your dealership.

Pinterest Search for Similar Items

Continuing to add features users will love, Pinterest welcomed its newest enhancement, visual search. Now, shoppers can select a specific item pinned on a board and visually search for similar items throughout the site. Adding to its capabilities for users focused on shopping, this opens up a whole new level of possibilities and ideas. Shoppers can simply click the search button and zoom in on items of interest. Additionally, key words can be used to narrow down a specific shopping search. Dealerships should continue to pay attention to added Pinterest features and consider interacting more with users by offering things like oil changes and service offers via the shopping feature. Consumers are continuously looking for new and faster ways to shop and check things off their lists, so get in on the early stages of new technology to be seen as a leader by offering new and easier ways to access dealership offers.

Twitter and Vine Welcome Heart Icons

Gone are the days of stars; users are welcoming hearts in a big way and using them as the common language to signify online likes. Twitter and Vine are the latest to update their like icons and use the heart to indicate user likes. In an effort to make the sites “easier and more rewarding to use,” this change is seen as an expressive, universal symbol that will resonate across all cultures and languages. Dealerships should continue to make their Twitter presence known by providing quality content that educates consumers and links them back to dealership blogs or home pages for even more in-depth information. Consumers will place value on content that is engaging, unique, and full of useful and timely information.

Periscope on Apple TV

The popular live-streaming app is now coming to Apple TV, allowing Periscope users to stream broadcasts directly to consumer homes. Offering a genuine experience of what’s going on with friends, family, and acquaintances in an in-the-moment format, Periscope users can open the app to see a collection of live broadcasts from around the world, send hearts to the broadcaster, and read comments from other users. Once a broadcast ends, Periscope automatically takes users to the next broadcast. Dealerships that are already working to keep customers updated with videos and lot walk-throughs can take advantage of this app as it expands its reach even more. Get creative with your broadcasts and get your message to consumers via their Apple TVs to gain traction with a new and growing audience.

Instagram Curated Content Streams

Similar to Snapchat Live Stories, Instagram has hopped on the bandwagon and introduced its version of curated content streams. Offering curated content for events, like Halloween and other holidays, for example, allows users to select a specific feed, which will offer up videos that stand alone on their phone screens—without the standard border, text description, and Like count that would typically accompany an Instagram post. This will make it easier for users to find some of the most popular Instagram content and view it in a curated stream. Dealerships using Instagram can look forward to a more organized format, allowing users to more easily access content—including video. So keep posting and updating, as Instagram continues to enjoy impressive numbers when it comes to engagement and follower interaction.

Tip of the Week—Variety Is the Spice of Life

Even if you’re a content-creating machine, it’s important to keep in mind your consumers are rapidly taking in many different forms of content every time they access online media—so by changing things up and offering a variety of content options, you’ll be more likely to draw in more people and garner a higher level of interest. Think about the social media platforms available to your dealership today. If you’ve mastered two or three of them, consider adding an additional outlet in order to reach even more people. If you’re great at writing content for your blog, take some additional time to add visuals to up the appeal and reach more online users. Check out some of the following quick tips to help you as you spice things up on your social platforms:

• Offer valuable insights. Continue to offer valuable written insights through your website, blog, and other online platforms and educate consumers on current industry topics in order to position your dealership as a thought leader.
• Create infographics. Infographics are a fun and interesting way to spice up your posts and give readers a memorable visual guide to your topic. While you may not be able to include every in-depth detail in an infographic, hit the highlights and entice consumers to want more and seek out in-depth content via blog and website posts.
• Compile an ebook. Use your resources to offer consumers a compilation of valuable information in a longer ebook format. By creating a downloadable format, you are able to use this as a lead source, gaining valuable information about potential customers as you share information.
• Include customer testimonials. An excellent way to build your credibility, testimonials are a way to give potential customers insight into how previous customers have interacted with your brand.
• Create short video clips. Online consumers are drawn to video, and video advertising will hit somewhere near $7.8 billion this year. Furthermore, in a recent study, while only 14% of consumers remembered the last display ad they’d seen, a whopping 80% were able to recall online video ads that took place within the previous week. This makes video extremely important for your dealership when it comes to connecting with consumers and creating relationships.
• Add photos. Not only are 65% of humans visual learners, but according to eMarketer, 87% of shared Facebook posts contain photos. This is another reason to ensure your dealership is on the bandwagon when it comes to providing visual input for consumers. By offering up inviting visual content, you’ll be satisfying shoppers’ needs to see and more fully understand your products and updates.
• Start a contest. Gamification ranks high with consumers and is generally a successful marketing tactic if you’re looking for enhanced engagement, interaction, and even feedback. When consumers see the payoff that results from gamification, they are more likely to offer up their time, spread the word about your contest, and therefore, boost your dealership’s brand-building efforts.

Today’s consumers are bombarded with online marketing from the second they log on to their devices, so it’s essential you continually offer up content that’s original and helpful in order to catch their attention. By changing things up and offering a variety of formats, you’ll keep consumers on their toes and keep them interested in what you have to say. Be sure to take the time to sit down and devise a content plan that includes a wide range of topics and formats—and you’ll end up with consumers who continuously return to you for trusted updates and industry news.

The image used in this post was provided by freedigitalphotos.net.

Stay Connected to Your Consumers

Are you mobile?

The mobile industry is not just booming; it’s taking over completely.

• 90% of smartphone users are online via their smartphone.
• 88% use social media on their smartphones.
• 80% of consumers use a smartphone to search the internet.
• Nearly 1/3 of consumers use a smartphone to conduct automotive research specifically.
• 63% of shoppers use their mobile devices for research while shopping on an auto lot.

Consumers are also using their smartphones to stay connected in various other, new ways—such as tweeting a pizza emoji to have their favorite pizza delivered to them, using Passbook to replace physical loyalty/credit cards and boarding passes, and controlling various electronics and services simply with an app and touch of their finger. Smartphones are becoming the key to doing just about anything. In short, you want to make sure you’re not missing out on the opportunity to bridge the gap between your consumers via the device that is almost constantly in their hands.

How Are Consumers Connecting With My Dealership?

Consumers are using various platforms and channels to connect with businesses. The options available to them seem never-ending, and because of this, it’s important to know where your audience is connecting. Nine out of ten consumers "almost always" have their mobile devices on them, which makes accessing information, apps, and social media outlets–to connect with you–constant and effortless. Some of the most popular social media outlets your consumers are utilizing day-in and day-out are as follows:

Facebook. Consumers say Facebook is the top tool for customer service. 82% favor Facebook as a social media channel for customer service. (ZDNet)

Twitter. This platform is particularly popular among those who are under 50 and the college-educated. Since 2013, Twitter has had significant increase among its number of users and their diversity. (PewResearchCenter)

LinkedIn. The greatest majority of small business owners agree LinkedIn is the best way to grow your business. It’s also the top channel to distribute content. 91% of B2B marketers use LinkedIn to share content. (LinkedIn)

YouTube. 72% of millennials, 58% of Gen X, and 43% of Baby Boomers use YouTube. Over 1 billion people use YouTube in general. (DMR)

Instagram. This platform contains over 300 million monthly active users—many of which use Instagram daily. 51% of Instagram’s audience is male and 49% female. It’s one of the few that currently has predominantly male users. (LinkedIn)

Pinterest. 75% of Pinterest usage takes place on a mobile device, and 93% of Pinterest users shopped online in the past six months. This platform is one of the hottest with shoppers and now even has the ability for its users to take advantage of an in-app purchase button (or buyable pins). (sproutsocial)

Snapchat. This app is purely mobile. It offers short-form video content from major outlets like CNN and ESPN. According to a recent estimate, a random user’s single clip received 25 million views, which is an engagement number any media or marketing department would do just about anything to have. According to FORTUNE, Snapchat is the app to interact on and watch now. (FORTUNE)

How Can I Engage Smartphone Users?

Connect. Throughout this article, words such as “links,” “connect,” and “bridge” appear often for a reason. It’s most important you provide the social media platforms and online foundations for your consumers to connect with you. Beyond your presence online, a key component of connection requires both parties interact. Provide content, respond to reviews and comments, and make sure your dealership’s employees are available online.

Rewards. Loyalty and rewards programs have been around since the early 80s. Currently, with mobile users having the option to control and keep their cards, rewards, programs, etc. with their smartphones, these programs are changing in a big way. This is good news for you; it gives you the chance to be creative and reach consumers in a way that will peak their interest. For example, you can send coupons and deals via text, offer rewards for following, checking-in, or sharing something about your dealership via social media, or shoot out a Snapchat with an expiring deal.

Mobile-friendliness. Perhaps one of the simplest yet most important things to remember can be easily overlooked. Make sure your website and features are mobile-friendly, or users will quickly leave and move to the next competitor.

Enable. Use consumers’ smartphones for good by offering solutions that help them minimize their time, cost, and effort. Your dealership could offer in-store maps, history logs for vehicles customers have viewed, price comparison features, search options for products and vehicles available, or an updating log of all vehicles currently sitting on your lot. The possibilities are endless as long as you’re finding new ways to make shopping fun and easy for your consumers.

Location. Remember to take advantage of local opportunities. Consumers connect to places and are generally even more interested when a business nearby gets involved in their community or offers local perks and partnerships.

Smartphones truly are becoming the strongest, quickest, and most efficient bridge between dealerships and consumers. More people than ever are using smartphones, and mobile is quickly becoming the main source of connection and online usage. Don't forget to make sure your dealership is present and mobile-friendly online and find creative ways to use apps, text, and smartphone features to connect with your audience.

The image used in this post was provided by freedigitalphotos.net.

What Is Showrooming?

Showrooming, according to businessdictionary.com, is purchasing an item online, or elsewhere, after looking at and inspecting the item in-store.

In other words, consumers will come into your dealership to look at and test out features, services, tires, upgrades, or vehicles available but then research online and purchase it elsewhere because they’ve found a better deal.

It’s shown that 63% of car shoppers engage in showrooming while physically shopping on your auto lot. And of those shoppers who use their mobile devices while on your lot, 72% are more likely to visit other dealerships, and 62% visit other dealerships within the day.

Here’s what’s persuading car shoppers to visit other dealerships:

• Better prices—57%
• Vehicle available at other dealership(s)—42%
• Ad for nearby dealership—33%
• Better reviews about other dealership or vehicle—24%
• Saw a nearby dealership on a map—22%
• Compared vehicle specs—14%

How Your Dealership Can Dominate Showrooming

Reverse Showrooming. This, also referred to as “webrooming,” is when consumers do their research online and then come into a specific store or dealership to make their purchase due to their research. Many dealerships are now turning the tables and grabbing people via webrooming by appealing to them online and offering the best branding, deals, advocates, and persona marketing to pull in shoppers.

Have Your Salespeople Armed and Ready. Don’t run from showrooming; embrace it. The General Manager of Magic Toyota-Scion in Edmonds, Washington, makes sure each salesperson has an iPad mini in hopes a shopper will bust out a mobile device. This way, each salesperson can sync up with the shoppers to view and compare the competition and modify their sales pitch to focus on how their vehicle, value, deal, and overall offer is better.

Offer a Distraction. An idea that comes from Internet and Marketing Director for Sellers Auto Group is to provide a screen (or screens) to shoppers that informs them about your products and keeps them occupied and off their own devices during downtime in the sales process.

Believe it or not, Snapchat. Several ideas are available to step up your showrooming game when it comes to Snapchat. Its perishable nature is key in helping:

1. Your dealership can use Snapchat to send in-store only coupons with a surprise offer. The snap could be for 10%, 20%, or 100% off an item or service—the amount unknown to the user—and the disappearing nature of the Snapchat requires the user wait to open the snap at your dealership.
2. Start a scavenger hunt on Snapchat by sending snaps of an item or upgrade available hidden at landmarks in the area or noticeable spots around your dealership’s lot.
3. Take advantage of Bluetooth to know when a consumer is within distance of your dealership and send over a snap offer valid for one day only.
4. Lastly, simply snap new arrivals within your dealership or have your customers snap their friends to receive a discount or coupon.

Showrooming may be seen as an unfair advantage to car shoppers on your auto lot, but in reality, advantages are available for your dealership to step up its game and take advantage of showrooming. Instead of fighting it, know it’s not going to go away, embrace it, and use it to your dealership’s advantage.

The image used in this post was provided by freedigitalphotos.net.

Personalizing Customer Experience with Intelligent Advertising

Get to Know Your Customer

Consumers put an endless amount of information online about themselves, often daily. However, several marketing strategies don’t use that information to their advantage. If online users are taking the time to educate brands about their behavior, likes, dislikes, wants, habits, etc., it only makes sense that your dealership could filter personable, targeted online messages to fit its consumers and gain more satisfied customers. Recently, Microsoft revealed that 39% of consumers are open to sharing their data with brands in exchange for better experiences. This is great news for your dealership, because it means your marketing strategy doesn’t necessarily have to work harder, just smarter. Consumers want and expect you to take advantage of the data they provide in order to nix the vague, every-man messages and instead, replace them with messages that cater to the consumer and the personal information they’ve made available, whether publicly or specifically to your brand.

Personalization Is Essential

In a 2014 study by Econsultancy and RedEye, it was shown that 95% of global company marketers reported an increase in search engine marketing conversion rates after they began personalization. 32% of those marketers reported the increase as a “major lift.” It is, of course, important to focus on persona basics, but there are also helpful ways to go above and beyond to personalize your consumers’ experience that are simple, out-of-the-box, and beneficial for your dealership, your marketing, and your online presence. Though they may be easy for your dealership to implement, these personalization strategies can have a major impact on your marketing and sales:

Time of day. Pay attention to what time of day your ads and posts get the most interaction, or take advantage of a marketing calendar that tracks your traffic. Posting when your consumers are most active and available online is key to grabbing their attention and personalizing your messages to cater to them, and it takes next to no effort on your part to schedule posts at a specific time. It’s an ideal win-win scenario.

Mobile. It’s important that your marketing and advertising is mobile-friendly because mobile media usage is now significantly higher in 2015, and the majority of consumers use a smartphone to search the internet. Personalize your consumers’ experience and make it effortless for them to view your content and even purchase from their mobile devices.

• Mobile media usage has increased by 51% in 2015.
• 80% of people use a smartphone to search the internet.
• 42% of consumers use their mobile device to do automotive research, specifically.
• 27% of consumers start on your dealership’s website or an automotive branded website to do their research.
• Both men and women spend over 29 hours a month on a mobile app or mobile web.

Be specific. If your consumer has provided specific feedback, reviews, or information to your dealership, use it. Follow up on a review, good or bad, and if it’s a frustrated customer, ask what you can do to help or improve. If a consumer provides you with specific wants or needs in a vehicle, don’t advertise sales or vehicles to them that don’t fit their criteria. Consumers are frustrated with messages that aren’t personalized, so make it a priority to focus on the information available in your consumer messages.

Accessibility. In a 2013 survey done by Google Mobile Planet, data shows that several consumers don’t purchase via smartphone simply because it’s too complicated. However, data shows significantly more consumers use their mobile devices to search. So, there’s obviously a disconnect, and complicated purchases via mobile phone is it. This is where buy buttons come in handy for your dealership—available on Facebook, Twitter, Pinterest, and Google—to make purchasing what consumers are researching, literally, one click away.

Security. One of the main reasons consumers didn’t purchase an item on a mobile site is simply because they didn’t feel it was secure. Realize that’s a personal complaint from the majority of consumers and put your consumers’ minds at ease in this scenario. It’s so simple yet so paramount to gaining more sales via your site, mobile or otherwise. Use encryption technology, so your consumers can see “https” or a closed padlock displayed in the address bar. It’s also helpful to make your contact information—phone number and address—available up front for people to see or possibly contact to verify your website’s legitimacy. Finally, consider having a privacy statement or security policies listed on your website to further solidify your website’s security for consumers. 

It’s important that your dealership continues to listen to what consumers are saying and that you’re able to personalize your approach to cater to the information consumers provide. Paying attention to the time consumers like to interact, their devices of choice, feedback, ease of access, and promise of privacy are strong yet simple foundational ways to personalize the consumer experience with your dealership online.

The image used in this post was provided by freedigitalphotos.net.

Generation Z : Digital Natives 

Understanding Why the Youngest Car-Buying Generation is so Important

You’ve heard quite a bit about millennials, Gen Xers, and earlier generations. Now it’s time for Generation Z to get some time in the spotlight. Gen Z is generally made up of individuals born between the years of 1995-2012, and for automotive dealerships, that means this generation is just barely starting to scrape the surface of buying. However, they are a group to watch for several reasons, not the least of which is the fact that they’re known as “true digital natives” and adept researchers.

Although they’re the youngest to join the car-buying population, Generation Z is important for many of the emerging issues they bring to light in the marketplace. Topping out at approximately age 22, these consumers are the up-and-coming buyers, and they already have some serious economic say-so:

• Generation Z is the fastest growing consumer group in the world.
• They already have $44 billion in spending power, and this amount continues to grow and Gen Z grows up. From babysitting jobs to big-kid jobs, what they earn continues to increase.
• By 2020, Generation Z will make up 40% of the population in the world’s largest markets, including the U.S., Europe, and China.
• Gen Z car-buyers are more frugal than previous generations, paying close attention to things like fuel economy, overall price, and how they can get the most value for their money. With many younger buyers opting for smaller, more economical vehicles, a recent survey confirms their economic responsibility.

The A to Z on Generation Z

When it comes to getting to know consumers, smart dealerships are already looking toward the youngest generation of car-buyers. You can make great strides toward earning the trust and loyalty of Gen Z when you take the time to really get to know what makes them tick:

1. Gen Z shoppers are impressive researchers and self-educators. Using their mobile devices, they do a hefty amount of product research before purchasing. Your dealership can win with this audience by providing quality educational content rather than overtly selling to them.
2. More careful in the ways they spend their money, Generation Z has watched their parents struggle through recession and concerns about investments and saving money. With this knowledge, dealerships can work to ensure Gen Z shoppers of the value and longevity of their purchases, as well as the benefits of service packages and maintenance benefits.
3. Generation Z is the most multicultural and diverse of any generation to date. For your dealership, this means expanding and stretching even more in the areas of multicultural marketing and ensuring your messaging reaches a broad audience.
4. Known for being realists, this generation wants to see marketing that speaks more toward the reality of life, rather than The American Dream. Dealerships with messages that engage the independent spirit and entrepreneurialism of Gen Z shoppers will do well when sharing their brand.
5. Gen Z is more comfortable than anyone in the online and virtual world. Keep in mind that for these consumers, the internet and online shopping has always existed, however they don’t use the internet in the same way as previous generations. If you want to reach Gen Z, your dealership should provide quick messages with plenty of visuals; and instead of telling all about yourself, be ready to start a conversation and interact with consumers.
6. These shoppers almost always require convenience when making purchases. Everything from product features to shipping to ordering ease is expected, and they will seek these out in the marketplace. Dealerships looking for success with this generation, should focus on ways to offer up convenience, both in the buying process and in service and maintenance areas.
7. Even more mobile-savvy than previous generations, Generation Z can be seen using multiple devices to shop, research, and share information. Keep this in mind as your dealership markets to these shoppers. They have grown up with these devices and expect convenience, so be sure to provide solutions that are mobile-friendly, easily accessible, and fast.

Generation Z has a lot to offer and quite a bit of buying power behind them. Simply by getting to know them and learning what they like and expect in the marketplace, your dealership will be positioning itself to win with the newest generation of automobile shoppers.

The image used in this post was provided by freedigitalphotos.net.

News for the Week of November 2

Google Play Music Introduces Podcasts

Google recently introduced a podcast portal which allows podcasters to upload their shows to Google Play Music. According to Google, contextual recommendations will be offered to users, guiding them toward podcasts based upon their interests and what they’re currently doing. Although the exact date podcasts will be available has not been released, Google is working to add several podcasters to its lineup to meet the needs of a wide range of listeners. Over a dozen podcasts and networks such as HBO, Nerdist, and StartTalk Radio are already committed to participating in the service. Dealerships looking to expand their networks and provide up-to-the-minute news and industry information should keep this new functionality in mind. Loop customers in and boost your credibility by providing links to other credible and fun sources as they become available.

Twitter Brand Hub

Twitter Brand Hub hits the social media scene, offering a new analytics tool for advertisers who want to quickly understand their audiences, conversion shares, and conversations relating to their brands. A real-time tool, Brand Hub provides a way for businesses to gauge Twitter interaction and take actionable steps to increase consumer engagement. Key components of Brand Hub include TrueVoice, a metric that helps advertisers track conversion; audience view, which displays insights about those actively engaging via Twitter; and conversation details, which help brands understand how they are being discussed on Twitter. Large- and medium-sized businesses in English-speaking countries are already taking advantage of Twitter Brand Hub. For dealerships with a healthy online presence, Twitter is a great place to be, and it’s smart to focus on your analytics to better understand consumer interaction with your brand. In addition to providing quality content, be sure to measure exactly how people are engaging with you so that you are able to tweak your messaging to suit their needs.

Snapchat Introduces Video Filters

Video filters are the latest and greatest from Snapchat. Known as Speed Modifiers, these filters allow users to add slow motion, fast-forward, or rewind effects to videos and apply them to their snaps. Simply by swiping sideways after shooting a video, filters can be added, allowing for a more creative user experience. This new feature is available for iOS and Android. Additionally, Snapchat added 3D touch capability for iPhone 6S and 6S+, allowing users to quickly send a snap or add a friend. Dealerships that create video content for consumers can now think about creative and fun ways to present event recaps, promo announcements, and anything else that comes to mind. Remember, video and images catch consumer attention, so be sure to use new technology to your advantage to reach a variety of shoppers.

Facebook Notification Tab Update

With an expanded, personalized notifications tab, Facebook continues to enhance its user capabilities. After receiving feedback that users wanted more important information added to the tab, Facebook went to work. Along with notifications, users are now able to see friends’ milestones like birthdays and life events; sports scores and TV reminders, based on Pages that have been liked; and upcoming events that have been joined. Users are also able to add optional information by enabling Location History. Option information that can be added includes things like what’s happening in and around the city, weather updates, current movies, and nearby restaurants. This newest update from Facebook will not change users’ current notification settings, which can still be adjusted at any time by visiting Settings. Dealerships can utilize this newest Facebook capability and get to know their closest customers and followers even more. By interacting and showing an interest in what’s going on around town, sharing upcoming events, and cheering for your favorite sports teams alongside your customers, you’ll build a rapport that lasts.

Twitter Increases Follower Limits

Previously, follower limits on Twitter capped at 2,000 users. That number has now been raised to 5,000. Twitter has a policy of monitoring all accounts for aggressive following to ensure reasonable usage, rather than indiscriminate following simply to garner attention. Since Twitter is only on the lookout for those following and unfollowing hundreds of accounts in a single day or using automated methods to follow users, most normal users will be fine with the cap of 5,000 accounts. Remember, dealerships working to reach consumers across multiple platforms should consider posting meaningful content on Twitter that directs shoppers back to their blogs or websites for more information. Twitter is a great social network site and can help your dealership gain traction in an increasingly mobile and social world.

Social Media Tip of the Week—Ring in the Holidays With Content That Sells

For most of us, the holidays seem to arrive faster every year. And it’s no different for dealerships; the holidays will be here before we know it! There are several ways your dealership can get a jump on this time of year and let potential customers know you’re a veritable winter wonderland of deals, dependability, and industry expertise. Check out our secret holiday recipe for success to deliver cheer to all your customers this season:

Start early. 42% of Americans start holiday shopping in November. With a large purchase like a vehicle, you’ll want to start early and remain constant throughout the holidays in order to reach consumers who may be in-market. Remember, the holidays are a constant barrage of ads and information, and you need to stand apart and stay steady in your approach.

Less is more. The holidays are filled with emails, catalogs, flyers…and then more emails. Choose your content wisely, and send out only the best. Give your consumers a break by selectively sending emails instead of overwhelming them this season. You’ll still stand out from the crowd, and they’ll appreciate you for not jamming their email in-boxes.

Think strategically. Look ahead on the calendar and decide which days you want shoppers to view your email. For example, this year Black Friday is on November 27. If that’s a day you’ll be running great specials, be sure to get in on the Black Friday frenzy in plenty of time. In 2014, auto dealerships saw their fair chunk of Black Friday sales, with some analysts attributing the decline in mall shopping to the great automotive shopping opportunities that were available. Automotive sales in November 2014 hit a seasonally adjusted annual rate (SAAR) of 17.1 million light vehicles.

Mobile is merry. It’s true any time of the year, but especially during the holidays, people are on the go, so it’s important to be sure your content and messaging is mobile-friendly. You don’t want to find your dealership on the delete list simply because your message isn’t readable. Adobe expects this to be the first year mobile will drive the majority of online shopping visits, hitting 51% on Thanksgiving Day, when it will account for nearly 1/3 of sales. That’s a 12% increase over last year—which means mobile is going to continue to be an integral part of your business.

Suggestion sells. You will certainly sell some cars over the holidays, but what about the customers who aren’t in the market to buy a vehicle? A gift card for an oil change would be the perfect gift for a teen driver! By suggesting ways your customers can give service department gifts, you’ll not only get more business, you could also gain potential future customers.

Ring in the new year. Focus on finishing the holidays strong throughout your dealership—and then remember to follow up with ALL your new and existing customers after the holiday glitter has settled. The key to building and maintaining your customer base is creating lasting relationships, so don’t forget to check in with those who shopped with you during the holidays.

When you jump in early and stay focused on your consumers throughout the season, you’ll be sure to have a very merry holiday. Focus on delivering quality content that inspires shoppers to learn about your products and services, and give them great reasons to seek out your dealership for professional customer care and even some great gifting ideas!

The image used in this post was provided by freedigitalphotos.net.