Hello again my friends I'm back to talk about yet another survey I participated in. This time around AutoTrader was the one signing my checking for giving my feedback. I received the invite via email just like the others and was actually able to conduct the survey at my own leisure using an attached link. After they profiled me and my dealership they began asking questions mostly pertaining to bundles of there products. What made this interesting was the products were from separate companies they've bought out over the last year or so.

What AutoTrader has that no one else can compete with?

I mean lets be honest they are sure trying to make this a monopoly having there hand in a lot of the major players out there. Vauto, KBB, Real Deal, and VinSolutions are just some of those players and that's just the short list. With that type of reach it only makes things easier since they start to bundle products together, after all a lot of us are paying for several of these services already. If we could receive a discount for what we are already doing that would sure be nice, right? Nothing like freeing up some advertising dollars which they probably hope to talk us into spending on anyway. At this point AutoTrader has hit just about every part of both sides of the sale process.

So what?

This type of takeover means a lot of things to us dealers and the consumer to. The setup and integration to a lot of the these very different products should be nearly seamless being they are familiar with each other and that worth something in itself. We've already learned the value in going with all-in-one website companies but going with a all-in-one marketing company? The benefits are large when you start talking about discount multiple marketing efforts in combination with dealer website services. Benefits from setup to customer experience come to mind, a consistent platform and data-set for the customer is going to make the online shopping process quicker and easier. I feel like we should be doing the same thing on our end as well. Customers want to get in and out quickly, we should be helping them do that as well by giving them more opportunity to handle more prior to the store or online. Keep mobile in mind as well, I mentioned this in my last post, "New Cars.com Products" where I took another survey with Cars.com, they were bringing a lot of mobile features to the customer. The goal being, help them shop faster and more efficiently.

The Survey

The survey consisted of nearly all bundle questions until the end. Repeatedly matching different products from all different area's of services. Almost all of them were connected to the main AutoTrader service, makes sense being everyone is already using it. Discounts ranged from 0% to 30% so I think the 2nd question here is what different products could quickly become one? With this mess of different services and software it would prove wise to slim the list and consolidate a few. Controlling the survey myself I was able to grab some screen shots to check out. I love the one where they ask, "Would you rather purchase products individually at full retail price or receive a discount for purchasing bundles of products?",  are you seriously asking me that?

Miles and points and cash OH MY!

Anyway they go on after the bundles to talk about the possibility of working a awards program into the mix. They explained things to be almost identical to credit card awards where we get miles, points, or cash back. I thought that would be nice but I'm not sure where I would put my vote but I did go with 5 extremely interested. Any kind of bump in benefits I can get for conducting this online circus I'm in. Great idea though and a way that nearly no one can compete with on the same level. Makes things interesting when start to include benefits like this. It would be most appealing to the guy influencing these type of decisions the most. Your first reaction would be to think of the owner/president of the company but in reality its generally the guy just under him that weeds through all the crap before taking something serious to the final decision guy. These type of benefits would probably buy their way into that meeting and salesman know there is always two sales to every deal, one sale to the customer(which is the influence guy) and then another to your own manager(final decision guy). Pretty smart move on there part thinking of spending awards, I like it.

Thats all the feedback I got today, I would love to hear more on if you guys like hearing about these surveys. I'm either way into my job or find some pretty valuable and influencing info on what's just around the corner for dealers. Ok so maybe its both, either way I would like everyones take on these type of posts and if its something I should keep doing?

Signing off,

--

Russ Chandler

260-433-3168

russ58@hotmail.com

Blog- Tricks-for-Trade

Hello again my friends I'm back to talk about yet another survey I participated in. This time around AutoTrader was the one signing my checking for giving my feedback. I received the invite via email just like the others and was actually able to conduct the survey at my own leisure using an attached link. After they profiled me and my dealership they began asking questions mostly pertaining to bundles of there products. What made this interesting was the products were from separate companies they've bought out over the last year or so.

What AutoTrader has that no one else can compete with?

I mean lets be honest they are sure trying to make this a monopoly having there hand in a lot of the major players out there. Vauto, KBB, Real Deal, and VinSolutions are just some of those players and that's just the short list. With that type of reach it only makes things easier since they start to bundle products together, after all a lot of us are paying for several of these services already. If we could receive a discount for what we are already doing that would sure be nice, right? Nothing like freeing up some advertising dollars which they probably hope to talk us into spending on anyway. At this point AutoTrader has hit just about every part of both sides of the sale process.

So what?

This type of takeover means a lot of things to us dealers and the consumer to. The setup and integration to a lot of the these very different products should be nearly seamless being they are familiar with each other and that worth something in itself. We've already learned the value in going with all-in-one website companies but going with a all-in-one marketing company? The benefits are large when you start talking about discount multiple marketing efforts in combination with dealer website services. Benefits from setup to customer experience come to mind, a consistent platform and data-set for the customer is going to make the online shopping process quicker and easier. I feel like we should be doing the same thing on our end as well. Customers want to get in and out quickly, we should be helping them do that as well by giving them more opportunity to handle more prior to the store or online. Keep mobile in mind as well, I mentioned this in my last post, "New Cars.com Products" where I took another survey with Cars.com, they were bringing a lot of mobile features to the customer. The goal being, help them shop faster and more efficiently.

The Survey

The survey consisted of nearly all bundle questions until the end. Repeatedly matching different products from all different area's of services. Almost all of them were connected to the main AutoTrader service, makes sense being everyone is already using it. Discounts ranged from 0% to 30% so I think the 2nd question here is what different products could quickly become one? With this mess of different services and software it would prove wise to slim the list and consolidate a few. Controlling the survey myself I was able to grab some screen shots to check out. I love the one where they ask, "Would you rather purchase products individually at full retail price or receive a discount for purchasing bundles of products?",  are you seriously asking me that?

Miles and points and cash OH MY!

Anyway they go on after the bundles to talk about the possibility of working a awards program into the mix. They explained things to be almost identical to credit card awards where we get miles, points, or cash back. I thought that would be nice but I'm not sure where I would put my vote but I did go with 5 extremely interested. Any kind of bump in benefits I can get for conducting this online circus I'm in. Great idea though and a way that nearly no one can compete with on the same level. Makes things interesting when start to include benefits like this. It would be most appealing to the guy influencing these type of decisions the most. Your first reaction would be to think of the owner/president of the company but in reality its generally the guy just under him that weeds through all the crap before taking something serious to the final decision guy. These type of benefits would probably buy their way into that meeting and salesman know there is always two sales to every deal, one sale to the customer(which is the influence guy) and then another to your own manager(final decision guy). Pretty smart move on there part thinking of spending awards, I like it.

Thats all the feedback I got today, I would love to hear more on if you guys like hearing about these surveys. I'm either way into my job or find some pretty valuable and influencing info on what's just around the corner for dealers. Ok so maybe its both, either way I would like everyones take on these type of posts and if its something I should keep doing?

Signing off,

--

Russ Chandler

260-433-3168

russ58@hotmail.com

Blog- Tricks-for-Trade

I recently attended a QualMeeting study that was sponsored by Cars.com where myself and 5 other Cars.com customers gave feedback on some new concepts that Cars.com. There was 5 products/concepts they presented to us after a series of questions they asked us, the most popular one being a "Push to Text" concept. Much like chat works online you would click a button that would present initiate a chat conversation while using there mobile site or app. The questions were concerning whether or not we would use the feature and to what extent would it benefit the dealership. It seemed like they were still deciding if this feature would capture customer information or if they would leave it optional like chat.

The other features were all mobile oriented ranging from push coupons to mobile app users to Dealership listing pages on the mobile site designed almost identical to the mobile Google Place pages. Which I think is a wise decision considering the familiarity being the advantage. This same page is where they would place the "Push to Text" button. The mobile dealer page would also consist of contact information, reviews, and possibly photo's of the dealership. It was a suggestion of mine to make the dealer pages as customizable as possible. Any way of being able to write our own message in or usable space would be a big factor on how much of a difference it would make. There were several other actions being considered for the mobile site or app were things like social tools, price comparison tools, dealer apps, and geo-fencing dealer messages. I'll share what I know about each but do keep in mind nothing was finalized and the release date was not stated, my guess from how they were talking was sometime this year. 

Push-to-Text

Placed both on our dealer and vehicle listing pages a button to initiate a text conversation with a dealership. The feature one run almost exactly like their chat feature with having to be logged in on a computer and being able to accept the conversation there or accepting the text on a mobile phone. Like I said before they were still deciding whether to capture customer information when using the feature or leave the option to the customer. It seemed pretty straight forward to me and my obvious vote would be to capture customer information. They definitely were far enough along that I could tell the product was a definite, just not sure on the release date.

Social Tools

Adding social features through out the mobile site and app are going to come more into play as expected. They mentioned providing everything from a "Like" button for the dealership Facebook page to a "Share" button so that customers can share vehicle or dealer information easily. Another popular feature was a "Check-In" feature on the dealer page that I think would be tremendous. I realize it would most likely not be a highly used feature but the benefits are large would be worth having available.

Geo-Fencing Dealer Coupons

This was a very interesting path, utilizing geo fencing technology to push messages to customers via mobile app. It worked by allowing a dealership to have coupons be pushed to customers as they enter a specified radius of the dealership. The radius can be adjusted from 5 to 50 miles and can push a message either entering the area or both entering and exiting. This was controversial to the other participates in the QualMeeting, they were mostly worried on it becoming a messaging mess that would get the app deleted. I agree it is going to take a reasonable layout to prevent it becoming a nag. Never the less it would be a fantastic time to get a message in front of the customer as they drive around from dealer to dealer. I proposed the dealership be as involved as possible with the message and frequency of that message. This is particularly value able to those dealers that offer service as well as sales. It would be great to remind a customer they need a oil change while they are close to the dealer accompanied with a coupon. I thought this was very exciting to see Cars.com utilize new technology.

Dealer Apps

Flipping to the dealer side of the table they presented an app that is for the dealer. From what I could tell their main selling point to the app was a VIN scanner that could be utilized for both pricing and appraising. The product looked good but as most VIN scanners would only be as it worked. The main problem with this concept is they would only pull data from Cars.com and Manheim and not be able to compare the entire market. Still for a smaller dealership or for those dealers who have not yet joined us in reality, I'm sure it would come in handy. Other features on this app were what anyone would expect, access to analytics, inventory management,  and custom trigger messages to better stay on top of photo's or pricing. Loved this product for those features alone, I manage 5 locations Cars.com accounts and having it easier to access would be great. Those that leave managing the accounts up to a sales manager would appreciate making the accounts easier to manage for the managers as well.

Wrap Up

I'm still beating my head against the wall for not grabbing any screen shots but I wasn't expecting to see anything and when they did show us an actual image of a product it was short lived. At the same time keeping up with their interrogating conference call for an hour an half so that I can receive a $150 Visa card for participating was task in itself. I would love to answer some questions if anyone has any on any of their products, it would be way to much to try and cover anything but the main points in this post. Cars.com is a great channel of marketing but I do think they lacked some products, especially for the independent dealers. I'm glad, as I'm sure you all are, to see them really pushing the envelope to keep up with their Compton. I was given this opportunity from someone I've never spoke with before that came through my email. My rep had no knowledge of this offer to me but if anyone would like an extra $150 and some insight on what my be available to the market in the future, it wouldn't hurt to ask.

 I think it is wise as a dealership to keep what the major 3rd parties like Autotrader or Cars.com will be doing so that you can use it to your dealers advantage. Making sure you have plenty of Cars.com reviews or pursuing text marketing now would be wise if it is going to be familiar to the customer a year from now. I also can help but notice how all the features were surrounding their mobile site and app. That's proof in itself, that the major advertisers  are betting their chips on the mobile market. If your not making a difference through a mobile site, mobile PPC, apps, or text messaging then you should be.

Thank you and please make a post,

--

Russ Chandler

260-433-3168

russ58@hotmail.com

I recently attended a QualMeeting study that was sponsored by Cars.com where myself and 5 other Cars.com customers gave feedback on some new concepts that Cars.com. There was 5 products/concepts they presented to us after a series of questions they asked us, the most popular one being a "Push to Text" concept. Much like chat works online you would click a button that would present initiate a chat conversation while using there mobile site or app. The questions were concerning whether or not we would use the feature and to what extent would it benefit the dealership. It seemed like they were still deciding if this feature would capture customer information or if they would leave it optional like chat.

The other features were all mobile oriented ranging from push coupons to mobile app users to Dealership listing pages on the mobile site designed almost identical to the mobile Google Place pages. Which I think is a wise decision considering the familiarity being the advantage. This same page is where they would place the "Push to Text" button. The mobile dealer page would also consist of contact information, reviews, and possibly photo's of the dealership. It was a suggestion of mine to make the dealer pages as customizable as possible. Any way of being able to write our own message in or usable space would be a big factor on how much of a difference it would make. There were several other actions being considered for the mobile site or app were things like social tools, price comparison tools, dealer apps, and geo-fencing dealer messages. I'll share what I know about each but do keep in mind nothing was finalized and the release date was not stated, my guess from how they were talking was sometime this year. 

Push-to-Text

Placed both on our dealer and vehicle listing pages a button to initiate a text conversation with a dealership. The feature one run almost exactly like their chat feature with having to be logged in on a computer and being able to accept the conversation there or accepting the text on a mobile phone. Like I said before they were still deciding whether to capture customer information when using the feature or leave the option to the customer. It seemed pretty straight forward to me and my obvious vote would be to capture customer information. They definitely were far enough along that I could tell the product was a definite, just not sure on the release date.

Social Tools

Adding social features through out the mobile site and app are going to come more into play as expected. They mentioned providing everything from a "Like" button for the dealership Facebook page to a "Share" button so that customers can share vehicle or dealer information easily. Another popular feature was a "Check-In" feature on the dealer page that I think would be tremendous. I realize it would most likely not be a highly used feature but the benefits are large would be worth having available.

Geo-Fencing Dealer Coupons

This was a very interesting path, utilizing geo fencing technology to push messages to customers via mobile app. It worked by allowing a dealership to have coupons be pushed to customers as they enter a specified radius of the dealership. The radius can be adjusted from 5 to 50 miles and can push a message either entering the area or both entering and exiting. This was controversial to the other participates in the QualMeeting, they were mostly worried on it becoming a messaging mess that would get the app deleted. I agree it is going to take a reasonable layout to prevent it becoming a nag. Never the less it would be a fantastic time to get a message in front of the customer as they drive around from dealer to dealer. I proposed the dealership be as involved as possible with the message and frequency of that message. This is particularly value able to those dealers that offer service as well as sales. It would be great to remind a customer they need a oil change while they are close to the dealer accompanied with a coupon. I thought this was very exciting to see Cars.com utilize new technology.

Dealer Apps

Flipping to the dealer side of the table they presented an app that is for the dealer. From what I could tell their main selling point to the app was a VIN scanner that could be utilized for both pricing and appraising. The product looked good but as most VIN scanners would only be as it worked. The main problem with this concept is they would only pull data from Cars.com and Manheim and not be able to compare the entire market. Still for a smaller dealership or for those dealers who have not yet joined us in reality, I'm sure it would come in handy. Other features on this app were what anyone would expect, access to analytics, inventory management,  and custom trigger messages to better stay on top of photo's or pricing. Loved this product for those features alone, I manage 5 locations Cars.com accounts and having it easier to access would be great. Those that leave managing the accounts up to a sales manager would appreciate making the accounts easier to manage for the managers as well.

Wrap Up

I'm still beating my head against the wall for not grabbing any screen shots but I wasn't expecting to see anything and when they did show us an actual image of a product it was short lived. At the same time keeping up with their interrogating conference call for an hour an half so that I can receive a $150 Visa card for participating was task in itself. I would love to answer some questions if anyone has any on any of their products, it would be way to much to try and cover anything but the main points in this post. Cars.com is a great channel of marketing but I do think they lacked some products, especially for the independent dealers. I'm glad, as I'm sure you all are, to see them really pushing the envelope to keep up with their Compton. I was given this opportunity from someone I've never spoke with before that came through my email. My rep had no knowledge of this offer to me but if anyone would like an extra $150 and some insight on what my be available to the market in the future, it wouldn't hurt to ask.

 I think it is wise as a dealership to keep what the major 3rd parties like Autotrader or Cars.com will be doing so that you can use it to your dealers advantage. Making sure you have plenty of Cars.com reviews or pursuing text marketing now would be wise if it is going to be familiar to the customer a year from now. I also can help but notice how all the features were surrounding their mobile site and app. That's proof in itself, that the major advertisers  are betting their chips on the mobile market. If your not making a difference through a mobile site, mobile PPC, apps, or text messaging then you should be.

Thank you and please make a post,

--

Russ Chandler

260-433-3168

russ58@hotmail.com

We all have a list of forms and features on our site that generate us leads. Its probably safe to assume we all can think of which lead generating feature on our site generates the most leads. Well what about the forms that aren't producing to what we would like. For instance say you like to purchase cars from the public even if they don't purchase from you or maybe you have recently signed up with a few new lenders and would really like to push for more credit apps. Here are a few very basic but under utilized ways that we can squeeze our website for more leads and in some cases make a dramatic difference.


1. Banners

Creating banners to make lead forms easier to find and much more interesting is free and easy. You can place these banners in all kinds of places on your website but make sure they are well put together and include a call-to-action. It is extremely important to get in the customers mind here and think of what common need your visitors have. Most buyers are concerned about financing for a list of reasons and using a banner that says "Get Pre-Approved-Click Here" that is strategically placed throughout your site is an easy way to generate a noticeable amount of credit apps. I know that is a kind of a no brainer at this point but you can also apply this to other lead forms. Take a "vehicle Finder" form that allows customers to request a vehicle that is not currently inventory, typically a low producing lead generator. Create a banner that has a great call to action like "Talk to our car buyers" or "Go with us to the auction-Click Here" that will grab them immediately when entering the site without necessarily finding a car they want yet.

2. Video

Once they bite and have clicked on your banner you are going to have them directed to a page with some type of form on it to create a lead. This page should be loaded related content AND a video. The video shouldn't be a commercial, just a simple message from the owner or manager. This video should provide them with security in they will be contacted promptly and that there information is secure. Video's can easily be created with a basic video camera or webcam, don't forget the call-to-action. Video is fantastic for your site for a list of reasons and has a dramatic effect on your site traffic. It's crucial that the video ends in a fashion that is specifically instructing the customer(Call-to-Action). This video in most cases should start automatically when visiting the page, to keep the customer moving along.

Summary-

This is a very simple but overlooked way to dress up all your lead generating features on your site. Keep the video's on your YouTube channel if you have one and don't be afraid to create several to see what is working the best. Same goes for the banners, creating several different banners for the same lead form or just several to different linked to high converting pages. Use the banners in all kinds of places; email, Facebook, Twitter, Blog, and even places where you claim your business online like Google Place pages. Always make sure the banner can be clicked and is linked to the correct page. As always test and track everything so you are able to utilize your highest converting banner. Dealer Centric is a perfect example of this strategy at its best. They offer a credit app service that includes a personalized credit app, video, and pre-made banners. It most cases they will double your credit apps simply by utilizing well placed and created banners with a video alongside the credit app.

We all have a list of forms and features on our site that generate us leads. Its probably safe to assume we all can think of which lead generating feature on our site generates the most leads. Well what about the forms that aren't producing to what we would like. For instance say you like to purchase cars from the public even if they don't purchase from you or maybe you have recently signed up with a few new lenders and would really like to push for more credit apps. Here are a few very basic but under utilized ways that we can squeeze our website for more leads and in some cases make a dramatic difference.


1. Banners

Creating banners to make lead forms easier to find and much more interesting is free and easy. You can place these banners in all kinds of places on your website but make sure they are well put together and include a call-to-action. It is extremely important to get in the customers mind here and think of what common need your visitors have. Most buyers are concerned about financing for a list of reasons and using a banner that says "Get Pre-Approved-Click Here" that is strategically placed throughout your site is an easy way to generate a noticeable amount of credit apps. I know that is a kind of a no brainer at this point but you can also apply this to other lead forms. Take a "vehicle Finder" form that allows customers to request a vehicle that is not currently inventory, typically a low producing lead generator. Create a banner that has a great call to action like "Talk to our car buyers" or "Go with us to the auction-Click Here" that will grab them immediately when entering the site without necessarily finding a car they want yet.

2. Video

Once they bite and have clicked on your banner you are going to have them directed to a page with some type of form on it to create a lead. This page should be loaded related content AND a video. The video shouldn't be a commercial, just a simple message from the owner or manager. This video should provide them with security in they will be contacted promptly and that there information is secure. Video's can easily be created with a basic video camera or webcam, don't forget the call-to-action. Video is fantastic for your site for a list of reasons and has a dramatic effect on your site traffic. It's crucial that the video ends in a fashion that is specifically instructing the customer(Call-to-Action). This video in most cases should start automatically when visiting the page, to keep the customer moving along.

Summary-

This is a very simple but overlooked way to dress up all your lead generating features on your site. Keep the video's on your YouTube channel if you have one and don't be afraid to create several to see what is working the best. Same goes for the banners, creating several different banners for the same lead form or just several to different linked to high converting pages. Use the banners in all kinds of places; email, Facebook, Twitter, Blog, and even places where you claim your business online like Google Place pages. Always make sure the banner can be clicked and is linked to the correct page. As always test and track everything so you are able to utilize your highest converting banner. Dealer Centric is a perfect example of this strategy at its best. They offer a credit app service that includes a personalized credit app, video, and pre-made banners. It most cases they will double your credit apps simply by utilizing well placed and created banners with a video alongside the credit app.

If you haven't heard of Car Gurus yet, hop over to www.cargurus.com and check them out. What you will find is not just another small time classifieds car site. They take the approach of empowering the consumer like never before using what looks like a pricing tool or software for managing prices. Search results are determined by how far below the market average the vehicle is and  Information like days old or pricing history are listed under each vehicle. There is even a handy graph to compare vehicles that aren't only local but nationwide as well. Last month their site traffic reached an all time high of 1.8 million unique visits and are coming fast on rivals like Cars.com(4.8M) and AutoTrader(8.3M). With board member experience ranging from Ebaymotors to TripAdvisor I would be willing to bet this is just a precursor to what we will see from the CarGurus.

Why this should matter to you?

It's very likely this is just the first site of many that will be offering detailed pricing reports on vehicles that are for sale online. What type of leverage does that give the customer? No more will you be able to say "its not  an old age to the customer" or "they don't know we've had it that long". Customers will not only know how long you've had the vehicle but what price adjustments you have made. Its not out of the question that many vehicle value or research sites like Edmunds or KBB will begin to use this approach in the future. So what can you do to prepare you dealership and sales staff?

Here are a few steps that you can take to not only immediately compete at a much higher level on and offline  but also prepare for the future

1. Get a Real Pricing Tool

I know many of you are already are well scripted on the strategy but there is still an enormous amount of dealerships pricing and buying off there infinite wisdom and gut feelings. If you are one of them then stop, find a company that offers a pricing tool with a good reputation(right here on DrivingSales). If you are already using some type of tool make sure it is sufficient enough to give you accurate data and reporting to allow you to price your inventory correctly. There is a lot of junk out there claiming to give pricing advise that is actually junk. I know we all like to save a buck but pony up and pay for a quality tool that fits your dealership.

2. Actually Use It

Many dealerships have made the step to purchasing such services or software but have far from reached its potential. It takes more then just pricing it when it comes in on day 1. There is a strategy behind pricing your vehicles to sell at the most profitable rate that will get the most out of your vehicle in the shortest amount of time. Monitoring your inventory and changing the price accordingly due to the market, consumer activity, and availability in your own inventory will make a huge difference in this strategy. Make sure you understand every dynamic of data available to you and develop a strategy that works best for your dealership.

3. Think Before You Buy

Now that you have your strategy in place and pricing accordingly make sure you keeping your strategy in mind when your at the auction. Make sure your buyers know your pricing strategy and are trained on all the software and again are held accountable to ensure everyone is consistently following your protocol. If you aren't buying with room to price your vehicles correctly then your strategy is not going to reach its potential. This is a very common mistake dealers make, they are doing everything right in the dealership but not at the auction. Most vendors will even offer a stocking tool in addition to those dealers that are ready to take it on.

4. Don't Forget About Your Sales Staff

Give your sales staff ongoing training and hold them accountable. Train them to educate the buyer on how and why your dealership prices their vehicles. Give them confidence in your price and value on the vehicle they are looking at. Embrace the information they have found online in reference to your inventory. Think Kelly Blue Book, back in the day when customers started walking in talking about book values and being under retail most dealers avoided it. Eventually dealers caught on and realized that if they embraced KBB and their book values you could have an easy sale. Customers are already bringing all kinds of information to the negotiating table that wasn't present before. The flood gates have just begun to open and we need to embrace the change and adapt. Making sure your strategy is included on the front lines brings everything full circle and to the customer. 

Car Gurus is a pretty obvious warning sign that more and more information is becoming readily available to the customer. I have every reason to believe they will stay and grow. The site is very well put together and has a fantastic link structure for search engines. They really are only missing branding to the mass's and the sky is the limit. Many dealers don't even realize their inventory is listed or where its listed on the site until a customers comes walking in the door with an overly educated offer.  Don't be one of these dealerships, make sure your vehicles are correctly represented and your ready to handle a customer from their site.

--

Russ Chandler

260-433-3168

russ58@hotmail.com

If you haven't heard of Car Gurus yet, hop over to www.cargurus.com and check them out. What you will find is not just another small time classifieds car site. They take the approach of empowering the consumer like never before using what looks like a pricing tool or software for managing prices. Search results are determined by how far below the market average the vehicle is and  Information like days old or pricing history are listed under each vehicle. There is even a handy graph to compare vehicles that aren't only local but nationwide as well. Last month their site traffic reached an all time high of 1.8 million unique visits and are coming fast on rivals like Cars.com(4.8M) and AutoTrader(8.3M). With board member experience ranging from Ebaymotors to TripAdvisor I would be willing to bet this is just a precursor to what we will see from the CarGurus.

Why this should matter to you?

It's very likely this is just the first site of many that will be offering detailed pricing reports on vehicles that are for sale online. What type of leverage does that give the customer? No more will you be able to say "its not  an old age to the customer" or "they don't know we've had it that long". Customers will not only know how long you've had the vehicle but what price adjustments you have made. Its not out of the question that many vehicle value or research sites like Edmunds or KBB will begin to use this approach in the future. So what can you do to prepare you dealership and sales staff?

Here are a few steps that you can take to not only immediately compete at a much higher level on and offline  but also prepare for the future

1. Get a Real Pricing Tool

I know many of you are already are well scripted on the strategy but there is still an enormous amount of dealerships pricing and buying off there infinite wisdom and gut feelings. If you are one of them then stop, find a company that offers a pricing tool with a good reputation(right here on DrivingSales). If you are already using some type of tool make sure it is sufficient enough to give you accurate data and reporting to allow you to price your inventory correctly. There is a lot of junk out there claiming to give pricing advise that is actually junk. I know we all like to save a buck but pony up and pay for a quality tool that fits your dealership.

2. Actually Use It

Many dealerships have made the step to purchasing such services or software but have far from reached its potential. It takes more then just pricing it when it comes in on day 1. There is a strategy behind pricing your vehicles to sell at the most profitable rate that will get the most out of your vehicle in the shortest amount of time. Monitoring your inventory and changing the price accordingly due to the market, consumer activity, and availability in your own inventory will make a huge difference in this strategy. Make sure you understand every dynamic of data available to you and develop a strategy that works best for your dealership.

3. Think Before You Buy

Now that you have your strategy in place and pricing accordingly make sure you keeping your strategy in mind when your at the auction. Make sure your buyers know your pricing strategy and are trained on all the software and again are held accountable to ensure everyone is consistently following your protocol. If you aren't buying with room to price your vehicles correctly then your strategy is not going to reach its potential. This is a very common mistake dealers make, they are doing everything right in the dealership but not at the auction. Most vendors will even offer a stocking tool in addition to those dealers that are ready to take it on.

4. Don't Forget About Your Sales Staff

Give your sales staff ongoing training and hold them accountable. Train them to educate the buyer on how and why your dealership prices their vehicles. Give them confidence in your price and value on the vehicle they are looking at. Embrace the information they have found online in reference to your inventory. Think Kelly Blue Book, back in the day when customers started walking in talking about book values and being under retail most dealers avoided it. Eventually dealers caught on and realized that if they embraced KBB and their book values you could have an easy sale. Customers are already bringing all kinds of information to the negotiating table that wasn't present before. The flood gates have just begun to open and we need to embrace the change and adapt. Making sure your strategy is included on the front lines brings everything full circle and to the customer. 

Car Gurus is a pretty obvious warning sign that more and more information is becoming readily available to the customer. I have every reason to believe they will stay and grow. The site is very well put together and has a fantastic link structure for search engines. They really are only missing branding to the mass's and the sky is the limit. Many dealers don't even realize their inventory is listed or where its listed on the site until a customers comes walking in the door with an overly educated offer.  Don't be one of these dealerships, make sure your vehicles are correctly represented and your ready to handle a customer from their site.

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Russ Chandler

260-433-3168

russ58@hotmail.com