As expected and rightfully so, Toyota is hitting the social media trail to calm recent negative publicity surrounding the recent Toyota recalls. Jim Lentz, President and Chief Operating Officer of Toyota Motor Sales, USA, will be answering questions from the Digg.com community. There are over 800 questions proposed so far and still over a day to put in questions for the Monday airing. Digg, a social news site where users submit content from across the web for other users to "Digg" or "Bury" has thus far been relatively quiet regarding the Japanese automaker. The site, which boasts over 40 million registered users and an ability to send tens and even hundreds of thousands of unique visitors to stories that are made "popular" on the Digg homepage, has had past Digg dialogues with Arnold Schwarzenegger, Tony Hawk, and other celebrities. It is both an opportunity and a risk for the manufacturer. Digg and other social media sites have been a challenge for Toyota since the recall and subsequent events surrounding it. This could be an opportunity to put positive press out there through a medium that is often tough to crack - out over nearly 30,000 daily content submissions, only around 120 are selected to make the front page. On the other hand, if the wrong questions are voted up, this could turn into a mudslinging session that does nothing to help their current situation. Regardless of what happens, I'm pleased to see Toyota making the effort. They have to do something. * * * Read more about TK Carsites on DrivingSales.com.

KPA and TK Carsites announced a strategic partnership today that combines the environmental, health, safety, and HR compliance and risk management services of KPA with the "front end" marketing and website development capabilities of TK Carsites. Lafayette CO / Orange, CA (PRWEB) January 4, 2010 -- KPA and TK Carsites announced a strategic partnership today that combines the environmental, health, safety, and HR compliance and risk management services of KPA with the "front end" marketing and website development capabilities of TK Carsites. The partnership gives dealers solid options through trusted vendors within their field. KPA is the compliance leader with over 3000 dealers using their services to manage risk and cost, while TK Carsites has established itself as an award-winning automotive marketing platform through which dealers can grow their business. As part of the partnership, KPA will provide TK with growth capital and inclusion of TK’s web services in the suite of services it markets to its dealer clients. In the first move since the partnership was completed, TK Carsites purchased Hasai, LLC, a social media marketing firm with clients in the automotive and other industries. The purchase continues TK’s investment into state-of-the-art social media and marketing services for their clients. "We're in a situation that we've never been in before thanks to the partnership with KPA," said Richard Valenta, Chief Executive Officer at TK Carsites. "Integrating their strengths into ours will help both companies tap into opportunities previously inaccessible. With their financial strength, 3,000 dealers, and dealer association endorsements, we believe we will be able to quickly scale our services and provide great value to a broader set of clients, including large dealer groups." For KPA, the partnership means being able to engage with current and future automotive clients with a more complete offering. Combining compliance services and human resource software with marketing products and services will help dealers to consolidate services to a few trusted providers. “As a trusted partner of more than 3,000 clients for environment, safety, and HR services,” said Vane Clayton, CEO of KPA, “we understand the need for dealerships to find a trusted partner for their internet marketing.”“After extensive due diligence we found that TK Carsites is the right partner for dealerships to increase internet-related leads and sales by becoming a leader in search engine optimization (“SEO”) and social media in their respective markets. TK’s ability to improve a dealer’s ranking in the major search engines and provide related auto and dealer information through social media for prospective buyers is un-matched in the industry,” Vane Clayton continued. At the Orlando NADA Convention in February, automotive dealers will learn firsthand how the partnership will benefit them. KPA and TK Carsites will be hosting training seminars on social media, SEO, lead-generation, wage and hour law, Department of Labor regulatory changes, and how to stay ahead of upcoming OSHA, EPA, and DOT regulations. "For me, the most exciting aspect of the partnership is in exchanging best practice ideas," said JD Rucker, Chief Marketing Officer for TK Carsites. "With our combined strength in the automotive dealer market, we will be able to provide even more value and return on investment to our clients through our strategic partnership." About KPA KPA, founded in 1986, provides its clients compliance with state and federal law; risk reduction of accidents, fines, civil actions, and litigation while saving costs. Over 3000 clients trust KPA to provide the right combination of training, software, and expert advice. Endorsed by 24 national and state trade associations, KPA is the only provider of EHS and HR compliance services and software designed for the specific requirements of dealerships, manufacturers, and automotive services companies. KPA is owned by an investor group led by Wiegers Capital Partners. For more information please visit www.kpaonline.com About TK Carsites TK Carsites, founded in 2002, is an automotive website design firm that specializes in website design, search engine optimization, social media strategy, and lead generation. They are a 5 time winner of best website/design provider in Auto Dealer Monthly "Dealers' Choice Awards" as well as being one of only two companies to be recognized with two "Automotive Search Marketing Architecture (ASMA) Awards" in 2009. For more information please visit http://www.tkcarsites.com

When I first heard the concepts behind having an Automotive Marketing Boot Camp, I had to shake my head. "Why didn't I think of that?" We've always had the luxury of having JD Rucker and his expertise at our disposal. Recently, we've had the pleasure of getting more expert advice from both Paul Rushing and Brian Pasch. While we've been trying to determine the best way to "bottle, package, and sell" this magic, the three of them came up with it themselves. Automotive Marketing Boot Camp. It just makes sense. As dealers learn more about how to handle their own marketing and take their own futures into their hands through social media, SEO, microsites, and other forms of marketing, we've remained cautious supporting this for our dealers simply because doing it wrong can often cause irreversible damage. We are confident that those who take advantage of the Boot Camp will not only be ahead of their market, but will also be prepared for the changes that are coming down the road. Many dealers are starting to realize that they can get more "bang for their buck" by reducing their traditional advertising spends and redirecting that money to a broader and more intense Internet marketing strategy. With JD, Brian, and Paul leading the way, we at TK Carsites are not only proud to endorse their efforts, we are also embracing the idea in the form of sponsorship. Ladies and Gentlemen, this is a monumental idea. There is nobody in the in or out of the industry more qualified to help dealers maximize their marketing potential better than Rushing, Pasch, and Rucker. I know all three and have been amazed at their combination of grasp and explanation. They each have the gift of knowledge, but more importantly they can use this knowledge to demonstrate clearly how to put these concepts into practical applications. We look forward to being there before NADA 2010. * * * Read more from Jim Bradford on the Driving Sales Blog.

As the week winds down and let's talk about the Presentation. In most cases the customer still has to come in to actually sign the papers and complete the transaction, so there will still be a real presentation done at that time. But to really set you apart from the other guys, why not do a killer virtual presentation? Have one of co-workers follow-you around the car with a small video camera. Remember to keep it to short segments so do a spot at the front and talk about the engine and performance. Then move the passenger side and talk about the safety and styling features and benefits. However you normally do your walk around just break it into small segments. Stay ENTHUSIASTIC, they're not in front of you so you want your confidence to burst out of the video. Keep in mind that the object here is twofold. First, to tell then about the car. Second, to MAKE YOU STAND OUT from the other dealerships. There was a friend of mine in Nashville that started doing live Saturday morning commercials. They were ok, but did not generate the response that he really wanted. So one Saturday he started acting like that guy on the car king show and Saturday traffic went crazy. I think the trick is to be just hokey enough to catch and HOLD their attention, while not being so loony that they won't come in. But,the great news is we're talking about short clips to one customer so go ahead and experiment. This is still a people business and you can use technology to sell yourself, the store and the car. Just a thought... * * * Read more advice from Joe Turner on this blog.

This month I have been talking about how the ten step sales process or road to the sales has transformed. I was going through some boxes and found an article that I wrote in the Spring of 2004 for a workshop I did in Raleigh-Durham, NC. The article was about what I believed to be the ten steps to selling an Internet customer. So as you read this article keep in mind that it was written in 2004. I will review and see how we can update even more to take advantage of known trends and technological advances since then: Everyone that's been in the car business for any length of time has been introduced to the ten steps or road to the sale. It's fundamental for success. Where the traditional road to the sale was written for and counts on face to face interaction, the Internet process relies on your process and communications skills. Where your image and personality helped to make a good first impression on the lot, the speed and message of your responses set the stage for the Internet process. Throughout the process on the Internet your ability to communicate via phone and email will directly impact your ability to make the sale. Simply put, the lot customer is already there and presumably to buy a car. With an Internet customer you have essentially the same process, however, you have the added steps of getting the customer the requested information and getting them in the store where the two processes merge. So let's take take a look at what i believe are the steps involved in the Internet sales process.

1. Receive and Respond
2. Sell - Self / Process / Dealership
3. Determine Want / Need
4. Select a Match
5. Send / Present a Quote
6. Follow-Up
7. Sell / Set the Appointment

Receive & Respond

As stated earlier the speed and content of your initial response sets the stage and "is" the first impression the customer gets of you and your dealership. Let's start with speed of response. Knowing that most Internet customers will submit several requests when shopping for a car, you want to make sure that your response stands out. While auto responders are perfect for a quick initial reply there are a couple ground rules that you need to follow. First, keep it brief and to the point. Second, let them know it's an auto responder. Just let them know that you received their request and that you will be contacting them very soon. Even though an auto responder was sent the clock is ticking since Internet customers have become accustomed to immediate information. The content of your real initial response is very important. For example, if you use a template for your initial response that ask for more information and send it to a customer that submitted a very specific request you lose all credibility.

Sell - Self / Process / Dealership

Without face to face interaction you will need to establish rapport and build trust with your timeliness, phone skills and your dealerships process. Imagine that you're a customer and have submitted requests to four different dealerships. Of the four only three even respond and two send emails asking when you can stop by the store. However, one send you a copy of the invoice and and shows you two others car they have that are similar and could save you some money. Experience tells me that a majority of the time the guy that offered more information will win. Your emails should not only provide more information but tell how your store's process will save the customer time as well as money.

Determine Want / Need

You begin to work on this step with your first response. Each subsequent email should continue to do this until you have established exactly what they are looking for. This step is fairly basic and simply asking the right questions to get to know them and what they are looking for.

Select a Match

This is where your morning lot walk pays off. Knowing your inventory and keeping an accurate inventory list on hand or readily available will help tremendously.

Send / Present Price Quote

There are many different thoughts on sending a price quote. Many say absolutely not until they're on the lot, others will only do it on the phone. If you're reading this then your dealership hired me to help show you how to sell more cars online. Therefore i am going to focus on what has worked for me. In eight years of selling to Internet customers I have tried just about everything. In doing so I have determined that Internet customers are not looking exclusively for the best price. I believe the majority are looking for a convenient and hassle free process. They are trying to avoid the old school showroom method. It was when I started sending out informative price quotes that my sales really took off. Pick out a car that you have in-stock and that you feel is close match and send them and email with the installed options and your Internet price. The customer is more like to respond if you have provided them with the options and pricing. You can also include a car higher and lower to give them options. If it's not what they want they will let you know.

Follow-Up

This is where most dealerships fail. A consistent follow-up plan will do more for your sales than just about anything else. Remember that Internet customers start looking earlier in the sales process than traditional customers so a follow-up plan is absolutely fundamental to your success.

Sell / Set the Appointment

I know that there cases where you sold a car to someone out of state and did the paperwork by mail and had the car shipped. Those are the exceptions and not the rule. Most of the time you still have to get the customer in store and we've all heard the expression "that you never get what you don't ask for." In each of your emails and calls always ask for the appointment. Then send reminders a day or so before the appointment. At the time there was a distinct difference between what we called an "Internet" customer and a traditional lot customer. Today that line has blurred so much that it hardly exist anymore. Today nearly everyone has done some research online. So for all intents and purposes everyone is just a customer. Today it's even more important to have a process and with Social Media's increasing influence it's actually easier. Just a thought... * * * Read more about Improving Car Sales on this blog.

While attending BlogWorldExpo 2009 in Las Vegas last week, Jared Hamilton was able to discuss social media with Ford representative Adam Barrow. While Ford is considered way ahead of most of their competition when it comes to understanding and implementing a proper automotive social media strategy, there are still deficiencies in the way that Ford engages with their dealers to help them achieve the same success. Barrow described the philosophy at Ford by saying, "As we continue move towards this mindset of empowering users online, saying 'Give us your thoughts, give us your capabilities and share it' with us really standing back and staying hands off, being open to let the conversation just flow." "I think you guys are doing an incredible job," Hamilton replied. "I think you guys have really got the right things going, but what I think you guys need to do at this stage now is that you're nailing over here (on the OEM side), you guys need translate over into the dealers' side and start giving the dealers more freedom. Start pushing the dealers to share." Hamilton continued, "If you start pushing that to the dealers' side you guys will explode your efforts. You'll double it overnight." Watch the whole video here. * * * Read more about Automotive Social Media on this blog.

I talk to dealers every day, even (sadly) when I'm on vacation. The general consensus is that the market is down and it's time to cut costs.  Thankfully, cutting costs doesn't necessarily mean cutting corners.

Despite how bad it is out there in the automotive industry, the online marketing aspect of the industry is getting a well-deserved spotlight shone on it. Dealers are being forced to take their tremendous television, radio, and newspaper budgets and cut them while still getting the same (or better) bang for the buck.

Economy is where Internet marketing shines.  As we develop new technologies to streamline our efforts, automotive vendors are able to offer more exposure for less money then they ever have before. Between websites, microsites, landing pages, search engine optimization, pay per click marketing, and automotive social media, it is easy for a dealer to have a complete presence attacking the market exactly where their customers are waiting for them: online.

In other words, it's time to get aggressive. We have 2 dealers in particular who have slashed their traditional marketing budgets (one went all the way to $0 offline) and sunk everything into Internet marketing. The results have been profoundly better than even we expected.

Three years ago, dealers were spending just under 10% of their marketing budgets online. Last year, it was 20%. This year and into next year, we expect more dealers to "see the light" and invest 30%, 40, 50%, or more of their marketing budgets in the one area where EVERYONE does their automotive research. So few people even get the newspaper anymore. Tivo and general "tuning out" have made television advertising a dinosaur. Radio stations are changed from the steering wheel when commercials come on (unless they're listening to XM radio, in which case they aren't getting your message anyway).  Direct mail - prices are rising, results are dropping.

The Internet. I can't say any more than what you already know. When I was running multiple Internet departments, I knew back then that the Internet was the way of the future. Now that I'm working on this side of the table, I can see it all happening right before my eyes.

The automotive industry is far from dead. People are going to buy cars. They have to. Being where the people are looking (and being there aggressively) is the key to surviving and flourishing for years to come.

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Read more about automotive internet marketing on this blog.

Twitter is the now-generation of networking online. It will have more daily users than larger networks such as Facebook, MySpace, and LinkedIn within months (possibly weeks). As businesses learn how to capitalize on this growing phenomenon that is receiving mainstream press by the minute, what manifestations of marketing will be acceptable and which will not?

According to this article on Adage, Land Rover last week became the first national brand to execute a national Twitter campaign in a bid to promote its newest models' debuts at the New York Auto Show.  They hired a company called Twittad to use their network of 4500 Twitter users to broadcast their branding and start conversations about their new models.

The bashing is coming, but let's start with a couple of positive things about the two firms in question:

Land Rover is smart enough to recognize the tremendous opportunity that Twitter holds for businesses attempting to build and strengthen their brand. While direct selling is both tabboo and futile, branding and buzz are both effective and relatively safe if done properly.  Land Rover has made an attempt, and for that they should be commended.

Twittad - why not? If Twitter is going to allow people to make money off their platform, a company with the drive and vision to do something with it should not be condemned absolutely. I certainly do not agree with the idea of paying people to tweet fake conversations are tweet insincere interest in a particular company, but still, someone is going to do it. Companies like Magpie and Twittad are simply taking advantage of the system.

Now the bashing...

What Land Rover Should Have Done

They had the vision to see Twitter as a way of getting their brand out there. Then, they proceeded to go with the cheapest possible route to achieve their goal. If I controlled their marketing and I wanted to get on Twitter, there are many ways to do it that are much more transparent.

• Live Tweeting the Car Show: Take a couple of laptops to the car show. Get a sign that says "Tweet What You Think About This Car".  Have a Twitter "DJ" conversing with people live and on Twitter. Get pictures taken and tweeted. Videos. Loads of branding potential.
• The Twestdrive Challenge: At the dealerships and through a website, have a "Twestdrive Challenge". Ask people to test drive this model or that model and tweet their thoughts when they're done. Create a hashtag associated with the challenge and let draw one person after a couple of weeks from those who used the hashtag... they win a new Land Rover (even if the Tweet was negative, btw)!
• Land Rover Nationwide (Insert Charity) Drive: Take a new Land Rover and pay someone with a large Twitter following to attend Tweetups (twitter meetups) nationwide promoting the ideas of the charity with transportation and expenses sponsored by Land Rover. It could easily have a strong effect across other social media sites such as YouTube and StumbleUpon.

That's off the top of my head, and even though I do social media strategy for a living, I assume that anyone could have thought of a more creative campaign than "let's pay people to Tweet our brand."

What Twittad Should Be Doing

Right now, Twitter is pretty much open to just about anything. They are being very forgiving to just about everything other than straight out spam.  While what Twittad is doing is acceptable now, it won't be forever. Paid tweets are eventually going to be sniffed out and outlawed once Twitter puts their own revenue model in place. The time is coming.

Rather than paying people to Tweet, wouldn't it be better to create conversations, grow in followers, make friends, network, and build up a stable of accounts that were "tastemakers" in the Twittersphere"?  In other words, be good at using Twitter and the sponsoring will follow.

Once the accounts are strong, be transparent. "I am being sponsored by Land Rover."

Tweets such as this: "1 of my sponsors, Land Rover, is putting out (new model) in May - Holy Crap it's awesome (and not just because they sponsor me) Here's a pic:"

Some people will still object to "being sponsored" but at least most will accept it and appreciate the honesty. Guess what - they'll still look at the picture either way.

Who's to Blame

Should we be mad at Land Rover or Twittad for insincere Tweets? Probably, but just a little. Should we be upset with Twitter for allowing this to happen? Probably not - they've got a master plan and they haven't been wrong very often in the past, so I trust their direction.

Should we be mad at those being paid to do what we willing and thankfully do every day for free? I'm personally not, but I'll leave the answer to that question up to you.

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Read more about automotive social media on this blog.

There are a lot of numbers (and names for these numbers) being thrown at car dealers that they "should" monitor to understand the effectiveness of their websites.  Conversion rates, indexed pages, bounce rates, stickiness, click thrus - all are being tossed around and used to highlight the prowess of websites and lead providers.

Are they important?  Usually, yes.  Are they the bottom-line indicator of the health and effectiveness of a website?  Absolutely not.

In the end, the only questions that really matter are:

"Am I getting more leads?"

"Am I turning more leads into sales?"

Your dealership could have the greatest conversion rate in the world with 0% bounce and 15,000 indexed pages, but if it isn't converting MORE leads that turn into MORE sales, it's all just smoke and mirrors.  Here is a breakdown of the subtle techniques used to promote websites and ways to get to the real meat:

Conversions vs Conversion Rates

Depending on who you are talking to, conversions and conversion rates can have different meanings.  For the sake of this article, let's say that "Conversions" occur when a website visitor becomes a valid lead, whether through form submission, email, or phone call.  In that case, "Conversion Rate" would be the percentage of Conversions compared to the number of "Unique Visitors" to a website.

The biggest "smoke and mirrors" technique in this regard has to do with the concept that Conversion Rate is the most important aspect of a website.  That's just not true.  It is a good indicator, but a properly marketed and optimized websites may actually see a decrease in conversion rate over time.  Why?  As a properly optimized website matures and starts to draw traffic from an expanding market area, the increased traffic from far away will reduce the conversion RATE.  It will, however, increase the Conversions themselves.  While local leads will not go down, distant leads and traffic will go up, resulting in more sales.  That's what's important.

Indexed Pages

This is a tricky one because so many website providers are latching onto the concept that higher indexed pages equals more leads.  Nothing could be further from the truth.  There are advantages and disadvantages regarding SEO with having a lot of indexed pages.  In the end, it doesn't matter how many pages are indexed.  Again, the only thing that matters is leads.

There are many low-indexed-page websites that convert a tremendous amount of leads and tons of high-indexed-page websites that convert very, very little.  High-indexing versus low-indexing is a question of SEO strategy as well as opportunities for conversion, but that doesn't mean that high-indexed-page websites generate more leads.  They are two different things altogether.

Stickiness

It's the new buzz word in the car business.  "Our websites are sticky!"

Again, there are definitely advantages to having visitors spend more time on a website, but it doesn't matter how long they stay on a site when it comes down to it.  A lead that comes from someone who spends 1 minute on a site is no different from a lead that comes from someone who spends 10 minutes on a site.  A lead is a lead.

Just about every vendor is touting video as one way to make a site sticky.  There are definite benefits for having the right videos on a website, but if it doesn't help to convert a visitor into a lead, it's worthless.

More, more, and more

This article could go on forever.  It won't simply because the point is made.  Car dealer websites are designed to generate leads.  Period.  Leads are geared towards driving sales. Period.  While there are dozens of factors that need to be considered when deciding on a website provider, do not lose site of the two most important words:

Leads.

Sales.

Period.

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Read more by Jim Bradford on Driving Sales.

I was reading an article recently about some of the differences in the ways the two campaigns operated during this past election and some things really jumped out at me.

From their first meeting in early 2007, the Obama team faced an uphill challenge. They had almost no money and were facing a primary opponent who had a lot of money and a well-established organization. But, they decided to make the Internet the core of their strategy. As a result, they were able to get more local volunteers on the ground in key states than their opponent, which was especially important in smaller states and caucus states.

Next, in the general election, they decided to actively compete in 18 states that no one thought they could win. Instead of focusing on the same blue states that democrats had always focused on, they would use the Internet to raise money and spread their message in those 18 states. No one took their strategy seriously, including the McCain camp.

Maybe we in the car business can learn a few lessons from this election strategy. First, the Internet has fully arrived as a mainstream advertising medium. More people access the Internet daily than read newspapers, and depending on which study you use, maybe even more than those who watch TV.

Second, Internet dollars go much further than traditional media dollars. How can we apply these lessons to our business? For years, there have been too many dealerships in the same market area competing for the same customers. That, coupled with a changing customer base that has increasingly turned to the Internet for research before buying a car, has produced an evolution that has changed the way you need to reach your prospects. 

In the past, throwing tens of thousands of dollars at newspaper, TV and radio ads seemed to work. But with newspaper subscription rates at an all-time low, over 200 channels of TV, satellite radio and MP3 players diminishing AM and FM, it’s never been harder to reach potential buyers using traditional media.

Today though, study after study tells us that car buyers go online for nearly everything—to buy, to service, even to order parts and accessories. And here’s the thing, you can reach them when they are actually looking for a new car, a service department, parts, or even accessories. Imagine you’re there immediately when someone just typed a search for used cars, right there at the right time, when they are actually looking to buy.

So, why do so many dealers continue to throw money at the dinosaurs when, for a fraction of the cost, they could reach people when and where it’s most critical? Work smarter, not harder. Never have truer words applied to an economic situation. Not only is it smarter to advertise online, it’s cheaper and completely trackable, and studies show that online buyers generally equal more gross too.

I was talking the other day with a general manager at a Toyota store and he asked me what I thought would happen if he spent his entire ad budget ($40,000) online. I thought about it and I asked another friend of mine who’s very knowledgeable about search engine marketing what he would do.

After much thought (since rarely anyone spends that much), we decided that my GM friend could absolutely dominate not only his entire market, but well beyond his PMA. With a great Web site completely optimized for all departments, microsites for niche buyers, and a pay-per-click campaign to complete the coverage, he could literally steal business from his immediate competitors and those outside his city too. In fact, we found that he would be hard-pressed to spend all of the money. He could still dominate his market for less than half of that budget. If I were a GM in a store today, I would absolutely move the bulk, if not all, of the advertising budget online. After all, that’s where the buyers are today.

So, like the Obama campaign, you can adapt a marketing strategy that reaches more people at a time when it’s most relevant. With the New Year coming and with the current economic climate, now is the perfect time to step back and evaluate what’s working and what’s not. If you’re ready to do something different and start getting different results, then consider an online-centered marketing approach. The great news is that many will read this article and do nothing. For those who read this and see the potential, a whole new level is waiting.

Originally Published in AutoDealerMonthly.

Read more by Joe Turner on this Driving Sales Blog