This past week, I made the risky move of upgrading to the newly released Windows 8 operating system; Microsoft’s bold attempt at upgrading their OS which has kept the same fundamental functionality for more than a decade. While slightly hesitant to upgrade before a service pack was available, I ultimately chose to take advantage of Microsoft’s limited time $39.99 upgrade offer. Talk about utilizing the "urgency" close right?

As I’ve played around with the new OS for the past few days, I’ve made some observations that may turn out to be a prediction of a new technological frontier for dealers who are looking to kick things into high gear... or I may just be out to lunch. Whatever your opinion may be, just go with me on this for a minute.

New Windows 8 Features

The most noticeable of all the new features for Windows 8, is the shiny new start screen which really acts as a dashboard to your most visited apps. Though some critics complain that Windows 8 is optimized for tablets, I haven’t had any problems finding my way around with a mouse.

Microsoft has redesigned the UI for many of their apps and have included some new apps, all of which come with a very streamlined and integrated experience. Among my favorites are the new music player app which comes loaded with the ability to stream full length music and a new “smart dj” tool that automatically creates a playlist based on an artist genre of your choosing.
 

How Dealers Could Benefit From Windows 8

Thanks for listening to me ‘nerd out’ for a second. Let me get to how car dealers could actually use Windows 8 to leverage new business and reach larger groups of car shoppers in their own home.

What got me me thinking was the newly added “Store” app which allows users to browse from a variety of both paid and free applications. Simply select the category of app you wish to download and you have the ability to select from hundreds if not thousands of apps to have installed on your PC. If you know your way around the app store or play market, this will be quite easy for you.

Imagine what would happen if you created a Windows 8 app that was compatible on both desktop PCs and Windows tablets? There has been a lot of talk around whether or not Dealers should develop iPhone and Android apps vs. keeping with mobile websites, but think about the doors you could unlock by tapping into an even larger traffic source!

Let’s talk numbers. By 2008 (according to Forrester), there were 1,000,000,000 (Billion) PCs in use with a forecast of 2 billion in use by the end of 2015. It took 27 years to reach the 1 billion mark and will only take 7 years (from 2008) to reach 2 billion. If that’s not simply incredible to you consider that the average number of PCs needing to be sold year after year since 2008 is 142,857,142 in order to reach the forecasted target by 2015.

Now, have you purchased a new PC lately? Don’t they come pre-loaded with a Windows operating system? According to Amazon, every new PC sold between June 2, 2012 and January 31, 2013 will receive a special upgrade offer of only $14.99, thus placing Windows 8 well within the reach of hundreds of millions of people.
 

Just To Get The Juices Flowing

Consider how many of the 142,857,142 PC buyers this year are also in the market to purchase a vehicle or are at least conducting some level of vehicle research. I’ll tell you what - that new Microsoft ‘Store App’ is pretty fun to navigate and somehow sucks you in just like Apple’s famed App store and Android’s Play Market, so imagine what competitive advantage you’d have by placing your dealership and your brand in front of the masses.

I envision a personalized shopping experience filled with user reviews, dealership videos, blogs and news. Since the app is installed on the personal computer, (and I’m just thinking out loud here), imagine if there was a way to have your app send notifications to your potential customer's calendar, email, social networks and more. I think this is just the tip of the iceberg and if done strategically, dealers could tap into a massive market of vehicle shoppers.

To take it one step further, though Windows 7 and 8 tablets don’t contribute much to tablet sales as of current, Windows 8 tablets are forecasted to help tablet sales increase by 4% according to Gartner. Apple still remains king of the mobile arena with roughly 60% market share, however,with an estimated 117,000,000 tablet shipments in 2012 alone, 4% works out to 4,680,000 (4.68 million) Windows 8 Tablet shipments and that is more than enough users to inject your dealership with some serious prospects.

In closing, let me say that there are many, many avenues to help drum up new business. I had the pleasure of attending Lon Safko’s keynote at AutoCon in which he enlightened us on the various social media marketing opportunities from Facebook to Second Life. I swear - by the end of his presentation there were multiple silent explosions in people’s heads, followed by smoke trailing out of their ears.

The point is that there are sooooo many ways to prospect for new business and technology, whether revamped or emerging provides you with more ways to reach out to potential buyers than ever before. Windows 8 is just another example of something you could use to leverage new business for your dealership.

What do you think? Kindly leave your comments below. Happy developing.

This past week, I made the risky move of upgrading to the newly released Windows 8 operating system; Microsoft’s bold attempt at upgrading their OS which has kept the same fundamental functionality for more than a decade. While slightly hesitant to upgrade before a service pack was available, I ultimately chose to take advantage of Microsoft’s limited time $39.99 upgrade offer. Talk about utilizing the "urgency" close right?

As I’ve played around with the new OS for the past few days, I’ve made some observations that may turn out to be a prediction of a new technological frontier for dealers who are looking to kick things into high gear... or I may just be out to lunch. Whatever your opinion may be, just go with me on this for a minute.

New Windows 8 Features

The most noticeable of all the new features for Windows 8, is the shiny new start screen which really acts as a dashboard to your most visited apps. Though some critics complain that Windows 8 is optimized for tablets, I haven’t had any problems finding my way around with a mouse.

Microsoft has redesigned the UI for many of their apps and have included some new apps, all of which come with a very streamlined and integrated experience. Among my favorites are the new music player app which comes loaded with the ability to stream full length music and a new “smart dj” tool that automatically creates a playlist based on an artist genre of your choosing.
 

How Dealers Could Benefit From Windows 8

Thanks for listening to me ‘nerd out’ for a second. Let me get to how car dealers could actually use Windows 8 to leverage new business and reach larger groups of car shoppers in their own home.

What got me me thinking was the newly added “Store” app which allows users to browse from a variety of both paid and free applications. Simply select the category of app you wish to download and you have the ability to select from hundreds if not thousands of apps to have installed on your PC. If you know your way around the app store or play market, this will be quite easy for you.

Imagine what would happen if you created a Windows 8 app that was compatible on both desktop PCs and Windows tablets? There has been a lot of talk around whether or not Dealers should develop iPhone and Android apps vs. keeping with mobile websites, but think about the doors you could unlock by tapping into an even larger traffic source!

Let’s talk numbers. By 2008 (according to Forrester), there were 1,000,000,000 (Billion) PCs in use with a forecast of 2 billion in use by the end of 2015. It took 27 years to reach the 1 billion mark and will only take 7 years (from 2008) to reach 2 billion. If that’s not simply incredible to you consider that the average number of PCs needing to be sold year after year since 2008 is 142,857,142 in order to reach the forecasted target by 2015.

Now, have you purchased a new PC lately? Don’t they come pre-loaded with a Windows operating system? According to Amazon, every new PC sold between June 2, 2012 and January 31, 2013 will receive a special upgrade offer of only $14.99, thus placing Windows 8 well within the reach of hundreds of millions of people.
 

Just To Get The Juices Flowing

Consider how many of the 142,857,142 PC buyers this year are also in the market to purchase a vehicle or are at least conducting some level of vehicle research. I’ll tell you what - that new Microsoft ‘Store App’ is pretty fun to navigate and somehow sucks you in just like Apple’s famed App store and Android’s Play Market, so imagine what competitive advantage you’d have by placing your dealership and your brand in front of the masses.

I envision a personalized shopping experience filled with user reviews, dealership videos, blogs and news. Since the app is installed on the personal computer, (and I’m just thinking out loud here), imagine if there was a way to have your app send notifications to your potential customer's calendar, email, social networks and more. I think this is just the tip of the iceberg and if done strategically, dealers could tap into a massive market of vehicle shoppers.

To take it one step further, though Windows 7 and 8 tablets don’t contribute much to tablet sales as of current, Windows 8 tablets are forecasted to help tablet sales increase by 4% according to Gartner. Apple still remains king of the mobile arena with roughly 60% market share, however,with an estimated 117,000,000 tablet shipments in 2012 alone, 4% works out to 4,680,000 (4.68 million) Windows 8 Tablet shipments and that is more than enough users to inject your dealership with some serious prospects.

In closing, let me say that there are many, many avenues to help drum up new business. I had the pleasure of attending Lon Safko’s keynote at AutoCon in which he enlightened us on the various social media marketing opportunities from Facebook to Second Life. I swear - by the end of his presentation there were multiple silent explosions in people’s heads, followed by smoke trailing out of their ears.

The point is that there are sooooo many ways to prospect for new business and technology, whether revamped or emerging provides you with more ways to reach out to potential buyers than ever before. Windows 8 is just another example of something you could use to leverage new business for your dealership.

What do you think? Kindly leave your comments below. Happy developing.

Contrary to what the title of this article suggests, I am not going to write about how not to close deals. Rather, I will focus on some of the simple steps to the sale that often go overlooked that prevent more deals from being closed. In vehicle sales, the amount of units you push directly affects the amount of money you collect so it’s crucial to keep yourself in check so that you can constantly strive to kick your sales up a notch.

This weekend I spent some time shopping around for a new laptop for work. I knew (within a ballpark) what I would need and had done some research. Does this sound familiar to any vehicle shoppers you have met recently?

After conducting some research, I began to go to the retail outlets that I knew carried the product I thought I was looking for, but found myself moving from store to store because I couldn’t find a professional salesperson that was really willing to take my money. Based on what I experienced, let’s take a look at a couple of sales fundamentals that ultimately lost the deal for these salespeople.

Lack of Listening Skills

In the first store, the “salesperson” (otherwise known as the order taker) didn’t ask any questions to properly find out what product would suit my needs. He was only simply willing to talk about the product that I thought that I wanted/needed. Every time I would try and talk, he was more interested in cutting me off to tell me about the promotional offer that would accompany my purchase.

I think you’d agree that the first fundamental rule of selling is to ask relevant questions and then keep your mouth shut. In other words, you have two ears and one mouth. Use them proportionately.

No Solutions

The second store actually did a great job at fact finding to determine the best product for me, but had no ability to create solutions that would work suitable for me. I realized that oftentimes, the reason that real solutions aren’t provided (especial in the world of retail), is because sales people don’t know what they can or cannot do. I personally believe that there is a solution to every problem - even if at first it doesn’t appear to work for the customer, there can always be consensus made and deals closed.

My business partner and myself went out of our way to ask questions that we figured would solve our own problems, however, the salesmen just didn’t appear to know enough about the “can and can’t do’s” that store #2 ultimately lost the sale.

Conclusion

Store #3 earned my business and closed the deal because they both asked relevant questions and listened to my answers and also provided solutions to the problems that I had pre-sale. They wanted my money and were willing to come up with a way to take it from me.

These may seem like pretty simple sales fundamentals, but believe you me - they are not being utilized as well as you might think, especially for being fundamentals. How well do you listen to your customers? How well do you know the dealership “can and cannot’s” so that you are able to provide the best solutions for your customers?

If not closing deals is on your agenda, stop practising the fundamentals. If you’re interested in kicking things up a notch, try re-introducing the fundamentals back into your current sales process with greater force than ever and you will be well on your way to closing more deals.

Thoughts?

Contrary to what the title of this article suggests, I am not going to write about how not to close deals. Rather, I will focus on some of the simple steps to the sale that often go overlooked that prevent more deals from being closed. In vehicle sales, the amount of units you push directly affects the amount of money you collect so it’s crucial to keep yourself in check so that you can constantly strive to kick your sales up a notch.

This weekend I spent some time shopping around for a new laptop for work. I knew (within a ballpark) what I would need and had done some research. Does this sound familiar to any vehicle shoppers you have met recently?

After conducting some research, I began to go to the retail outlets that I knew carried the product I thought I was looking for, but found myself moving from store to store because I couldn’t find a professional salesperson that was really willing to take my money. Based on what I experienced, let’s take a look at a couple of sales fundamentals that ultimately lost the deal for these salespeople.

Lack of Listening Skills

In the first store, the “salesperson” (otherwise known as the order taker) didn’t ask any questions to properly find out what product would suit my needs. He was only simply willing to talk about the product that I thought that I wanted/needed. Every time I would try and talk, he was more interested in cutting me off to tell me about the promotional offer that would accompany my purchase.

I think you’d agree that the first fundamental rule of selling is to ask relevant questions and then keep your mouth shut. In other words, you have two ears and one mouth. Use them proportionately.

No Solutions

The second store actually did a great job at fact finding to determine the best product for me, but had no ability to create solutions that would work suitable for me. I realized that oftentimes, the reason that real solutions aren’t provided (especial in the world of retail), is because sales people don’t know what they can or cannot do. I personally believe that there is a solution to every problem - even if at first it doesn’t appear to work for the customer, there can always be consensus made and deals closed.

My business partner and myself went out of our way to ask questions that we figured would solve our own problems, however, the salesmen just didn’t appear to know enough about the “can and can’t do’s” that store #2 ultimately lost the sale.

Conclusion

Store #3 earned my business and closed the deal because they both asked relevant questions and listened to my answers and also provided solutions to the problems that I had pre-sale. They wanted my money and were willing to come up with a way to take it from me.

These may seem like pretty simple sales fundamentals, but believe you me - they are not being utilized as well as you might think, especially for being fundamentals. How well do you listen to your customers? How well do you know the dealership “can and cannot’s” so that you are able to provide the best solutions for your customers?

If not closing deals is on your agenda, stop practising the fundamentals. If you’re interested in kicking things up a notch, try re-introducing the fundamentals back into your current sales process with greater force than ever and you will be well on your way to closing more deals.

Thoughts?

I know what you're thinking – who does this guy think he is? How does he know what my “thing” is. Good – I have your attention.

I find it absolutely fascinating just how many dealerships I've walked into over the past couple of months and found, you ready for this? Silence. No customers on the lot, sales people hanging out around reception, flirting, cracking jokes, texting and the list goes on. Everything opposite of what should be happening is happening.

I spent a few minutes with a client at a major franchise dealership just last week talking about this exact topic. He is at his whits end with how things are looking at his dealership but just doesn't know how to turn things around and foster a productive change at his store.

Are you, or someone you know feeling the same way? Let's bring things back to basics for a few minutes and look at a couple of ways to turn things around. Success is hanging in the balance.

Do You Dream?

Sounds cheesy I know. One of my kids favorite movies is Disney's “Tangled”. The story of Rapunzel who has been locked up in a tower her whole life and has a dream to check out the annual lantern festival on her 18^th birthday. Haven't seen it yet? Sorry for the spoiler.

There's one scene in the movie where in Disney fashion, the characters break out into song about Having a dream. The essence of it is that each character had a dream at one point and for whatever reason it was taken from them. Now, back to you and I.

Do you have a dreams? Have they been taken from you due to the economy, dream stealers or a plethora of other excuses? Do you still know what you want for your dealership?

If you'd like to create positive, productive and profitable changes within your business, here are the first two steps.

1. Define (or re-define) your dream

2. Gain a burning desire for its achievement.

Moving on...

Willingness to Learn / Willingness to Take Action

Have you ever read any self-help “be successful” types of articles? They all seem to offer the “fail proof” way to achieve greater success. They always seems to start with putting the pen to paper and writing down goals. Goals are great, don't get me wrong. I just don't agree that they are a sustainable driving force to helping you accomplish the success you are seeking.

Don't believe me? How many people do you know that actually stick to their New Year resolutions? If setting goals gave us enough sustainable power to act, there would be no more New Year Resolutions – the world would be a better place filled with extremely thin, successful, wealthy, patient, traveling, money-saving people.

Let me submit that before putting pen to paper, one must determine the level of their willingness to learn and willingness to take action. Think about this for a second. You've clearly defined your dream and now have a burning desire. If your dream is to have a more successful dealership by selling more vehicles, take a moment to rate your willingness to learn and willingness to take action in order to make that dream happen.

If I asked you to give yourself a “Willingness” score, what would it be?

Take a minute, pull out a piece of paper and give yourself a “willingness to learn” score between 1 and 10 (1 being none, and 10 being high). What did you come up with? Now do the same for your “willingness to take action”. What? Two 10's? Really? That's amazing! Now where would your score go if I told you the only way to make this happen is to abstain from drinking coffee for one full month? Why the sudden decrease?

Here's why goal-setting isn't the first step to success. All of us have goals, most of us haven't really determined whether or not we have the willingness to make them happen. Often the only thing that stands in the way of achieving dreams is our willingness to learn new ways of doing things and our willingness to take necessary action. Are you willing to do whatever it takes to make your dreams a reality or would you prefer to just keep going as you are?

Conclusion:

Stop with the shenanigans! Continuing to do business the same way with no willingness to learn or take action will just give you more of the same depressing results. If you aren't picking up what I'm putting down right now, then selling cars and being profitable just isn't your thing.

Now - Stop blaming the economy and other lame excuses for your lack of success. Achieving your definition of success is in your capable hands. Define your dream, determine your level of willingness, and enjoy the results. You deserve it.

Michael Cirillo is the Executive VP at AutoVelocity™ and works with dealerships to help them achieve greater success through their marketing efforts.

www.autovelocity.ca

Join me on facebook

778-475-5412

I know what you're thinking – who does this guy think he is? How does he know what my “thing” is. Good – I have your attention.

I find it absolutely fascinating just how many dealerships I've walked into over the past couple of months and found, you ready for this? Silence. No customers on the lot, sales people hanging out around reception, flirting, cracking jokes, texting and the list goes on. Everything opposite of what should be happening is happening.

I spent a few minutes with a client at a major franchise dealership just last week talking about this exact topic. He is at his whits end with how things are looking at his dealership but just doesn't know how to turn things around and foster a productive change at his store.

Are you, or someone you know feeling the same way? Let's bring things back to basics for a few minutes and look at a couple of ways to turn things around. Success is hanging in the balance.

Do You Dream?

Sounds cheesy I know. One of my kids favorite movies is Disney's “Tangled”. The story of Rapunzel who has been locked up in a tower her whole life and has a dream to check out the annual lantern festival on her 18^th birthday. Haven't seen it yet? Sorry for the spoiler.

There's one scene in the movie where in Disney fashion, the characters break out into song about Having a dream. The essence of it is that each character had a dream at one point and for whatever reason it was taken from them. Now, back to you and I.

Do you have a dreams? Have they been taken from you due to the economy, dream stealers or a plethora of other excuses? Do you still know what you want for your dealership?

If you'd like to create positive, productive and profitable changes within your business, here are the first two steps.

1. Define (or re-define) your dream

2. Gain a burning desire for its achievement.

Moving on...

Willingness to Learn / Willingness to Take Action

Have you ever read any self-help “be successful” types of articles? They all seem to offer the “fail proof” way to achieve greater success. They always seems to start with putting the pen to paper and writing down goals. Goals are great, don't get me wrong. I just don't agree that they are a sustainable driving force to helping you accomplish the success you are seeking.

Don't believe me? How many people do you know that actually stick to their New Year resolutions? If setting goals gave us enough sustainable power to act, there would be no more New Year Resolutions – the world would be a better place filled with extremely thin, successful, wealthy, patient, traveling, money-saving people.

Let me submit that before putting pen to paper, one must determine the level of their willingness to learn and willingness to take action. Think about this for a second. You've clearly defined your dream and now have a burning desire. If your dream is to have a more successful dealership by selling more vehicles, take a moment to rate your willingness to learn and willingness to take action in order to make that dream happen.

If I asked you to give yourself a “Willingness” score, what would it be?

Take a minute, pull out a piece of paper and give yourself a “willingness to learn” score between 1 and 10 (1 being none, and 10 being high). What did you come up with? Now do the same for your “willingness to take action”. What? Two 10's? Really? That's amazing! Now where would your score go if I told you the only way to make this happen is to abstain from drinking coffee for one full month? Why the sudden decrease?

Here's why goal-setting isn't the first step to success. All of us have goals, most of us haven't really determined whether or not we have the willingness to make them happen. Often the only thing that stands in the way of achieving dreams is our willingness to learn new ways of doing things and our willingness to take necessary action. Are you willing to do whatever it takes to make your dreams a reality or would you prefer to just keep going as you are?

Conclusion:

Stop with the shenanigans! Continuing to do business the same way with no willingness to learn or take action will just give you more of the same depressing results. If you aren't picking up what I'm putting down right now, then selling cars and being profitable just isn't your thing.

Now - Stop blaming the economy and other lame excuses for your lack of success. Achieving your definition of success is in your capable hands. Define your dream, determine your level of willingness, and enjoy the results. You deserve it.

Michael Cirillo is the Executive VP at AutoVelocity™ and works with dealerships to help them achieve greater success through their marketing efforts.

www.autovelocity.ca

Join me on facebook

778-475-5412

For those of you who know a little bit about me, you know that I  worked in the print media and advertising industry for nearly a decade and grew up around the industry my entire life. I want to spend a couple of minutes discussing some concepts that I am more than confident will help your dealership in attracting new and returning customers so that you can start seeing more (and better) results for your dealership immediately. That's right - I just said "IMMEDIATELY".

A little bit of background first:

Over the years, you've probably noticed that the ads you see in the newspaper or in magazines haven't really changed much. They consist of a bunch of pictures of vehicles and the prices associated with those vehicles; Starbursts with low finance rates, or bold letters promoting the BIGGEST SALE EVENT OF THE YEAR! Everything always seems to revolve around price.

There's no doubt that price is an important topic, but maybe not as important as you might think - especially if your aiming to get a fresh influx of new customers walking onto your lot.

To demonstrate, let me encourage you to drive down any auto mile wherever you are, and take a look at the signage that dealers are placing near the roadway with hopes that it will capture new business. What do you see? 

• Employee Pricing Event

• Red Tag Sale

• Really Big Sale

• Year End Clearance

• Inventory Blowout - unbeatable pricing!

Everything revolves around price!

Not even in the market!

Have you ever considered what percentage of people in your area are even in the market to purchase a vehicle? Think about it. What good is busting your chops over showing people how low your finance rates are, or how low your prices are when majority of people aren't even in the market to buy? Don't believe me? Consider this example.

Have you ever found yourself thumbing through a consumer electronics flyer from the weekly paper? If you're like me, you do it all the time. I'm sort of a gadget geek. But what happens when you get to the appliance section of the flyer? You slam the thing shut or throw it away? Why do you think that is? 

Vehicles are much like appliances. When you have appliances that are working, purchasing new ones are the last thing on the totem pole of priorities aren't they? So it is with vehicles. When people have a vehicle that is working, they aren't really in the market. All the best pricing and finance rates in the world won't do a hill of beans for your efforts in attracting new business.

Plenty of Fish in the Sea...Just Not Where You're Looking

Have you ever heard that saying before? It's absolutely true. There are plenty of fish in the sea. The problem is that by focusing primarily on price, you and all of your competitors are fighting over a very small portion of in-market consumers. Have you ever wondered why your print ads aren't getting you the results you want? Have you considered why your website isn't producing the leads that you want it to? 

When you really take a look at it, Dealers that enter the arena prepared to battle over price may not realize that they are fighting over around 2-5% of the entire population. That's really the percentage of people that are in the market to buy a vehicle today. So much effort for so little potential! It's kind of depressing isn't it?

Let's use the odds in your favor. In order to start seeing immediate (measurable and duplicate-able) results for your marketing efforts, you may be required to change the way you think a little, and perhaps; change some of your current process to meet consumer expectation. All in the name of profitability.

What Drives Consumers to Buy?

If only 2-5% of consumers are in the market to purchase a vehicle today, have you considered how you could tap into the other 95-98% of the market that perhaps would be willing to purchase a vehicle but may not necessarily be in the smaller percentage that cares about price?

It's absolutely vital for every dealer that wants to start selling more vehicles, products and services to understand what drives consumer purchase decisions in order to offer something really unique and actually tap into a never ending pool of customers. Let's take a look at a couple of examples of what drive consumers to purchase.

1. Emotional needs / wants: We all have them and because of that,advertising how your products and services can fill an emotional need will actually help you penetrate a larger market and get your business in front of more interested people.

I'm a perfect example of this. A couple of years ago, when my wife and I received news that she was expecting our second son, one of the first things we discussed is how our small sedan would no longer fill our transportation needs (Emotional need #1 - necessity). Could you imagine two car seats, potentially two strollers not to mention half the house that you have to pack up when you have kids, all crammed into the back of a small sedan? We went from not being in the market to being in the market in a matter of days.

The more we thought about what we would need, other issues came up. Safety (emotional need #2), Comfort (emotional need #3), Room (emotional need #3), Vehicle features (emotional need #4) and so on. Price wasn't even on our mind yet because we were too busy formulating our list of needs.

Then came the emotional wants. Status (emotional want #1), luxury (emotional want #2), add-ons (emotional want #3)...you get the picture.

You see, not everyone is in the market to purchase another vehicle. Everyone however, is in the market of fulfilling their emotional needs and wants. While all of your competitors are engaged in the price battle over a small percentage of the market, you could be addressing the demand of a larger market and funneling those consumers into your dealership. You will never run into a short supply by focusing your energy on the things that everyone wants fulfilled – Their emotional needs.

When you have your approach set up correctly, you've strategically provided the right information and uncovered the emotions of your customers, the results will be like magic.

2. Reciprocity: Have you ever heard of the law of reciprocity? This is something that successful marketers have been using for decades and let me tell you, it works extremely well! Most cultures have this law hard-wired into the back of their minds. To simply define it, let me sum it up as I give you something and as a result, you give something in return.

Often I find dealers practicing this law, but in reverse. Customers often have to make a purchase before they can get the value added offer, when really it should be flipped the other way around. Give something of value to the customer first, build the relationship and they will reciprocate by making a purchase from you.

Conclusion:

Whether you want to believe it or not, it doesn't really matter. The definition of insanity is doing the same things over and over again and expecting a different result. If you truly want to increase the profitability of your dealership, stop focusing so much energy on pricing vehicles appropriately and start tapping into a larger pool of potential customers.

For those of you who know a little bit about me, you know that I  worked in the print media and advertising industry for nearly a decade and grew up around the industry my entire life. I want to spend a couple of minutes discussing some concepts that I am more than confident will help your dealership in attracting new and returning customers so that you can start seeing more (and better) results for your dealership immediately. That's right - I just said "IMMEDIATELY".

A little bit of background first:

Over the years, you've probably noticed that the ads you see in the newspaper or in magazines haven't really changed much. They consist of a bunch of pictures of vehicles and the prices associated with those vehicles; Starbursts with low finance rates, or bold letters promoting the BIGGEST SALE EVENT OF THE YEAR! Everything always seems to revolve around price.

There's no doubt that price is an important topic, but maybe not as important as you might think - especially if your aiming to get a fresh influx of new customers walking onto your lot.

To demonstrate, let me encourage you to drive down any auto mile wherever you are, and take a look at the signage that dealers are placing near the roadway with hopes that it will capture new business. What do you see? 

• Employee Pricing Event

• Red Tag Sale

• Really Big Sale

• Year End Clearance

• Inventory Blowout - unbeatable pricing!

Everything revolves around price!

Not even in the market!

Have you ever considered what percentage of people in your area are even in the market to purchase a vehicle? Think about it. What good is busting your chops over showing people how low your finance rates are, or how low your prices are when majority of people aren't even in the market to buy? Don't believe me? Consider this example.

Have you ever found yourself thumbing through a consumer electronics flyer from the weekly paper? If you're like me, you do it all the time. I'm sort of a gadget geek. But what happens when you get to the appliance section of the flyer? You slam the thing shut or throw it away? Why do you think that is? 

Vehicles are much like appliances. When you have appliances that are working, purchasing new ones are the last thing on the totem pole of priorities aren't they? So it is with vehicles. When people have a vehicle that is working, they aren't really in the market. All the best pricing and finance rates in the world won't do a hill of beans for your efforts in attracting new business.

Plenty of Fish in the Sea...Just Not Where You're Looking

Have you ever heard that saying before? It's absolutely true. There are plenty of fish in the sea. The problem is that by focusing primarily on price, you and all of your competitors are fighting over a very small portion of in-market consumers. Have you ever wondered why your print ads aren't getting you the results you want? Have you considered why your website isn't producing the leads that you want it to? 

When you really take a look at it, Dealers that enter the arena prepared to battle over price may not realize that they are fighting over around 2-5% of the entire population. That's really the percentage of people that are in the market to buy a vehicle today. So much effort for so little potential! It's kind of depressing isn't it?

Let's use the odds in your favor. In order to start seeing immediate (measurable and duplicate-able) results for your marketing efforts, you may be required to change the way you think a little, and perhaps; change some of your current process to meet consumer expectation. All in the name of profitability.

What Drives Consumers to Buy?

If only 2-5% of consumers are in the market to purchase a vehicle today, have you considered how you could tap into the other 95-98% of the market that perhaps would be willing to purchase a vehicle but may not necessarily be in the smaller percentage that cares about price?

It's absolutely vital for every dealer that wants to start selling more vehicles, products and services to understand what drives consumer purchase decisions in order to offer something really unique and actually tap into a never ending pool of customers. Let's take a look at a couple of examples of what drive consumers to purchase.

1. Emotional needs / wants: We all have them and because of that,advertising how your products and services can fill an emotional need will actually help you penetrate a larger market and get your business in front of more interested people.

I'm a perfect example of this. A couple of years ago, when my wife and I received news that she was expecting our second son, one of the first things we discussed is how our small sedan would no longer fill our transportation needs (Emotional need #1 - necessity). Could you imagine two car seats, potentially two strollers not to mention half the house that you have to pack up when you have kids, all crammed into the back of a small sedan? We went from not being in the market to being in the market in a matter of days.

The more we thought about what we would need, other issues came up. Safety (emotional need #2), Comfort (emotional need #3), Room (emotional need #3), Vehicle features (emotional need #4) and so on. Price wasn't even on our mind yet because we were too busy formulating our list of needs.

Then came the emotional wants. Status (emotional want #1), luxury (emotional want #2), add-ons (emotional want #3)...you get the picture.

You see, not everyone is in the market to purchase another vehicle. Everyone however, is in the market of fulfilling their emotional needs and wants. While all of your competitors are engaged in the price battle over a small percentage of the market, you could be addressing the demand of a larger market and funneling those consumers into your dealership. You will never run into a short supply by focusing your energy on the things that everyone wants fulfilled – Their emotional needs.

When you have your approach set up correctly, you've strategically provided the right information and uncovered the emotions of your customers, the results will be like magic.

2. Reciprocity: Have you ever heard of the law of reciprocity? This is something that successful marketers have been using for decades and let me tell you, it works extremely well! Most cultures have this law hard-wired into the back of their minds. To simply define it, let me sum it up as I give you something and as a result, you give something in return.

Often I find dealers practicing this law, but in reverse. Customers often have to make a purchase before they can get the value added offer, when really it should be flipped the other way around. Give something of value to the customer first, build the relationship and they will reciprocate by making a purchase from you.

Conclusion:

Whether you want to believe it or not, it doesn't really matter. The definition of insanity is doing the same things over and over again and expecting a different result. If you truly want to increase the profitability of your dealership, stop focusing so much energy on pricing vehicles appropriately and start tapping into a larger pool of potential customers.