eLEND Solutions
Digital Retailing: Where There’s a Will, There’s a Way
Dealers know the value of digital retailing and how effectively it can increase visitor to sales ratio’s and make the showroom process more satisfying and profitable.
Yet the adoption of digital retailing solutions is still fairly low. In fact, we recently surveyed dealers and found that, though dealers understand its value. Most are still reluctant to move financing information online. ½ of surveyed dealers say their process is still manual and paper-based. The question is why?
We also discovered a fair amount of confusion over just what defined the term “digital retailing.” 52% said that it was nothing more than listing inventory across digital channels. On the other end of the scale, 10% thought it to be all-inclusive e-commerce, including arranging the financing, transacting and contracting the sale.
The reality is digital retailing is the cornerstone of a truly integrated virtual showroom that initiates and bridges the consumer’s transaction into your physical showroom. Digital retailing describes the tools that enable consumers to begin parts of the deal online and delivers the three key pieces of information they want most... Click here to read on.
eLEND Solutions
New Report: Auto Dealers Consider Themselves Progressive/Willing to Adopt Digital Retailing..
New Report: Auto Dealers Consider Themselves Progressive/Willing to Adopt Digital Retailing, But Actual Digital Adoption Lags
eLEND Solutions Digital Retailing Survey reveals disconnects between what dealers say and what they do regarding digital retailing. And there is confusion about what digital retailing actually is: majority define it as posting inventory online.
Foothill Ranch, CA –October 25, 2017 – A new auto dealership survey from eLEND Solutions offers a good news/bad news scenario for the future of digital retailing: dealers overwhelmingly say they are progressive and willing to adopt more digital retailing tools (84%), yet the majority define digital retailing as posting inventory and report that over 50% of their process continues to be manual/paper-based.
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How would you define your dealership’s approach to innovation/technology? |
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First Mover/Innovator: The first to try new ideas, technologies or create new ways of doing things. |
39% |
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Fast Follower: Fast to recognize other good ideas and moves quickly to adopt/imitate. |
38% |
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Late Mover: Takes a wait-and-see approach to innovation or new technologies. |
15% |
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Last Mover: Slow to implement innovation, new ideas or change established processes. |
8% |
The snapshot survey, conducted among dealerships nationwide in August 2017, clearly illustrates that dealers are interested in a progressive, customer-focused, digital approach to retailing. For example, dealers overwhelmingly agreed with the statement: “Sell the car the way the customer wants to buy it by letting shoppers start and stop when & where they want. Online or in-store.” but the actual process/tools implementation lags significantly behind this progressive intent.
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What comes closest to your dealership’s definition of ‘digital retailing’? |
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Listing inventory on our own website, third party shopping sites (e.g. Autotrader, Cars.com, etc.) and social media platforms (Facebook, YouTube, etc.). |
52% |
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Letting customers start but not finish the deal online using first pencil tools (e.g. instant credit decisions, real time price negotiation tools, instant trade-in values, VIN specific purchase & lease information, deal summary tools, etc). Excludes F&I product sales, contracting and delivery. |
19% |
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Any dealer initiated, in-store selling platforms or tools (e.g. Mobile CRM, Mobile Trade-in Appraisal tools, F&I Mobile App, etc.) that combine touch screens, or app/web based smartphone/tablet technologies. |
13% |
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Being able to facilitate the entire sales and F&I process online, including arranging the financing, transacting and contracting the sale. |
10% |
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Having a dealership website. |
6% |
The dealerships surveyed cite customer service as their key dealership differentiator and believe a digital retail strategy is key to the shorter transaction times that they aspire to (90% want it to be under two hours but less than half are achieving that).
“One thing that remains consistent over the years, as we survey dealerships, is the disconnect between the progressive, streamlined digital process dealers say they want to offer and their ability to deliver it,’ said Pete MacInnis, CEO of eLEND Solutions.
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What percentage (approx.) of your current dealership sales/retailing process is conducted digitally) |
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0% |
1% |
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25% or less |
30% |
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26% - 50% |
35% |
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51% - 75% |
20% |
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75% to 99% |
13% |
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100% |
2% |
“Customers’ expectations are passing beyond dealerships’ ability to deliver on those expectations,” continued MacInnis. “While this is, in part, attributable to slow adoption of new tools, entrenched legacy processes and the inherent complexity of car financing and purchasing, a key culprit is our industry’s inability to deliver a consistent, end-to-end digital retailing solution -- and one that is not cobbled together from multiple vendors. The dealership ‘will’ is there – they overwhelmingly want a solution that connects the online and offline dots – but the ‘wherefore’ has yet to arrive. The good news is that the solution is definitely on its way.”
Key Highlights from the Digital Retailing Survey:
- Customer service was cited as the top dealership differentiator
- 68% say the top benefit of digital retailing is shorter transaction times
- Dealerships overwhelmingly agree with the idea that their website operates as a ‘digital’ showroom (93%), but most define digital retailing as listing inventory versus actually allowing more of the deal to be initiated online or in-store app/web based smartphone/tablet technologies.
- While 84% plan to adopt more digital retailing tools, the majority (70%) are opting for an incremental approach.
- Reluctance to change and cost are cited as top barriers to adopting more tools – good news is that less than 20% are opposed to adoption.
- Online digital retailing tools connected with the in-store sales process was the top choice for nearly 70% of dealers.
- 60% say that if they could add more tools to make their websites more transactional, they would.
About eLEND Solutions
eLEND Solutions is a privately held automotive technology company specializing in online and in-store credit, finance and ‘deal making’ solutions designed to create a more efficient, faster moving Sales and F&I workflow that helps dealers sell more cars in less time, improve profitability and increase customer satisfaction. For more information, visit www.elendsolutions.com.
Contact:
Media Relations
Melanie Webber, mWEBB Communications, (424) 603-4340, melanie@mwebbcom.com
Crystal Hartwell, mWEBB Communications, (714) 987-1016, crystal@mwebbcom.com
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eLEND Solutions
Make more customers happy: 3 easy ways mobile tech can boost CSI
There are few absolutes when it comes to the business of selling cars — which is a little amazing, right?
Most dealerships work hard to define an optimized path to success, one that starts the moment a car buyer sets an appointment or walks into the showroom. Yet even though there’s this clear and organized process, each and every deal takes on a life of its own, with hidden rabbit holes, unexpected wins, and more.
You may be familiar with the unrealistic credit-challenged customer wanting too much car? The customer who can’t afford a bigger down payment? Or perhaps the upside-down trade?
The fact is, with today’s information and technology-empowered consumer, automotive retail is more unpredictable than ever.
Dealerships today must take the following 3 proven behaviors into account when designing the most profitable route from shopper to buyer.. To read on click here.
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eLEND Solutions
Incremental changes can bring a mini revolution
Have you heard that customers hate the car buying process?
I thought so. Fact is, lately it’s hard to avoid the constant sound of critical voices telling dealers they must make dramatic changes to the way they operate their business. It goes something like this: Change everything you’ve ever known about the car business, then implement a new and largely unproven approach to your business.
So go ahead and forget the decades of experience you have selling cars. No one asked you anyway! It all can be frustrating, and more than a little infuriating.
Trouble is, it’s largely true: we all know the process must change. Customers are unhappy with the time it takes; they’ve shifted their behavior and aren’t willing stick around and live through a tedious sales experience. Just look at a few recent findings from a Cox Automotive study:
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Less than 1% of consumers like the sales process as it is today, and most expect the entire experience to be plagued with hassles.
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In addition, over 66% of consumers say they would buy a vehicle more often if it just wasn’t so difficult.
So how does a dealer apply his experience to a new, technology-driven sales experience, one that reduces time – but more importantly reduces wasted time?
Pete MacInnis is founder and CEO of eLEND Solutions, a company specializing in online and in-store credit, finance and ‘deal making’ solutions designed to create a more efficient, faster moving Sales and F&I workflow that helps dealers sell more cars in less time, improve profitability and increase customer satisfaction. The company’s suite of products includes CreditPlus, ID Drive and MobiLot.
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