Russian physiologist Ivan Pavlov famously tantalized his dogs by ringing a bell to alert them that food was about to be served. The dogs, soon wise enough to associate the sound of a tinkling bell with a big juicy steak, began to salivate each time the bell tolled.

This associated behavior is known as “classical conditioning,” and the parallel between the doghouse and the dealership cannot be clearer. Obviously, the incoming lead is the “ringing bell” in your dealership, and the dealers are the hungry dogs pouncing on the lead.

Right? Wrong.

Instead, what I hear all too often in my visits around the nation’s dealerships are lackluster lead responses like “Ahh, that can wait a little bit.” or “Somebody else can take the phone call.” Over the past four or five months, I’ve noticed this non-responsive attitude toward leads becoming more common than ever.

What happened to the urgency? Shouldn’t every Internet sales person know by now that the first fifteen minutes are the most critical when it comes to new automotive leads? Why are all the Internet sales processes taught in OEM seminars and Dealer Group guidelines going out the window?

To understand this seemingly irrational behavior, we must return to Pavlov’s dogs.

In the same experiment, Pavlov began ringing the bell WITHOUT providing food, to see if the dogs would still respond with salivating and pouncing. Result: Without the food (stimuli), the bell elicited less and less “drooling” and, after a while, the behavior became extinct.

The moral of the story? For a variety of reasons, Internet Sales Managers have stopped associating leads with sales. As a result, sales urgency is out and “lead lethargy” is in. In order to understand why, we must identify the reasons and establish best practices around digital automotive lead management.

Why Automotive Leads “Overflow” is Turning Alpha Dogs into Lapdogs

Why have so many dealers stopped associating leads with sales? Believe it or not, one key reason is the sheer abundance of leads. Digital automotive marketing has done its job almost too well, and as a result, there is an unprecedented flow of leads and lead sources. Like Pavlov’s ringing bell,today’s Internet Managers are inundated with nonstop chimes, buzzers, pages and calls, all alerting them that leads are pouring in.

With “too many” leads for one Internet Salesperson to handle; the reward for selling a car will be still there, but the closing ratio will drop. This drop will probably defeat company’s policies (closing ration >10% and so on). If a dealership has an average of 200 leads coming in per month, even if an Internet Salesperson sells 18 cars a month, they will still not be able to make a dent. Realizing this, the salesperson begins “cherry picking,” handling the lower hanging fruit (e.g the rare used car in inventory with tons of inquiries), and neglecting the fresh 3rd party leads, most likely the leads w/ the highest cost per sale ratio.

How to Yank the Leash on Automotive Lead Management Apathy

1.Staff up. Many managers hear this story and think the answer is to decrease leads. Instead of canceling leads, I suggest converting one or more salesperson into your Internet team and supplying them with the lead “overflow.” By sharing the wealth, you get to keep all your leads and still make sure each one gets the attention it deserves.

2.Limit leads per person. Even a dog faced with 2,000 juicy steaks can’t eat them all. Sharpen sales concentration by limiting the number of start-to-finish leads to 80-90 per person/month.  If they are an absolute pro, 120 start-to-finish leads may be doable, but don’t risk it unless you are sure this person is well-versed in your internal process.

3.Correlate effort and reward. To keep that urgency going, you have to make sure the stimulus is there. Let your team know “This next incoming lead will be the only one for today.” Limiting leads will stretch the necessity to handle each lead with thoroughness, according to your automotive  lead management process. Needless to say, it was also increase staff motivation. All of a sudden the dog who was sitting with his tail between his legs will be streaking after the tennis ball.
 

These lead management practices work, I can assure you. I have turned around 3 franchises in the last 6 months to #1 CPO in state, #2 CPO in the country, and #1 New Car dealer objective, and so on. By integrating these practices, I have helped dealership realize the most Internet department sales ever, not by minimizing lead count, but by allocating the right resources in my eCommerce departments.

In conclusion, while I do not expect Internet Sales people to start drooling and pawing when an Internet Sales phone page comes across, these lead management practices should urge them to get out of their chair and “take care about business” right away.

And? Did this post ring a bell?

VJ - The Social Media Buzzer

PHOENIX  -  ATLANTA

Russian physiologist Ivan Pavlov famously tantalized his dogs by ringing a bell to alert them that food was about to be served. The dogs, soon wise enough to associate the sound of a tinkling bell with a big juicy steak, began to salivate each time the bell tolled.

This associated behavior is known as “classical conditioning,” and the parallel between the doghouse and the dealership cannot be clearer. Obviously, the incoming lead is the “ringing bell” in your dealership, and the dealers are the hungry dogs pouncing on the lead.

Right? Wrong.

Instead, what I hear all too often in my visits around the nation’s dealerships are lackluster lead responses like “Ahh, that can wait a little bit.” or “Somebody else can take the phone call.” Over the past four or five months, I’ve noticed this non-responsive attitude toward leads becoming more common than ever.

What happened to the urgency? Shouldn’t every Internet sales person know by now that the first fifteen minutes are the most critical when it comes to new automotive leads? Why are all the Internet sales processes taught in OEM seminars and Dealer Group guidelines going out the window?

To understand this seemingly irrational behavior, we must return to Pavlov’s dogs.

In the same experiment, Pavlov began ringing the bell WITHOUT providing food, to see if the dogs would still respond with salivating and pouncing. Result: Without the food (stimuli), the bell elicited less and less “drooling” and, after a while, the behavior became extinct.

The moral of the story? For a variety of reasons, Internet Sales Managers have stopped associating leads with sales. As a result, sales urgency is out and “lead lethargy” is in. In order to understand why, we must identify the reasons and establish best practices around digital automotive lead management.

Why Automotive Leads “Overflow” is Turning Alpha Dogs into Lapdogs

Why have so many dealers stopped associating leads with sales? Believe it or not, one key reason is the sheer abundance of leads. Digital automotive marketing has done its job almost too well, and as a result, there is an unprecedented flow of leads and lead sources. Like Pavlov’s ringing bell,today’s Internet Managers are inundated with nonstop chimes, buzzers, pages and calls, all alerting them that leads are pouring in.

With “too many” leads for one Internet Salesperson to handle; the reward for selling a car will be still there, but the closing ratio will drop. This drop will probably defeat company’s policies (closing ration >10% and so on). If a dealership has an average of 200 leads coming in per month, even if an Internet Salesperson sells 18 cars a month, they will still not be able to make a dent. Realizing this, the salesperson begins “cherry picking,” handling the lower hanging fruit (e.g the rare used car in inventory with tons of inquiries), and neglecting the fresh 3rd party leads, most likely the leads w/ the highest cost per sale ratio.

How to Yank the Leash on Automotive Lead Management Apathy

1.Staff up. Many managers hear this story and think the answer is to decrease leads. Instead of canceling leads, I suggest converting one or more salesperson into your Internet team and supplying them with the lead “overflow.” By sharing the wealth, you get to keep all your leads and still make sure each one gets the attention it deserves.

2.Limit leads per person. Even a dog faced with 2,000 juicy steaks can’t eat them all. Sharpen sales concentration by limiting the number of start-to-finish leads to 80-90 per person/month.  If they are an absolute pro, 120 start-to-finish leads may be doable, but don’t risk it unless you are sure this person is well-versed in your internal process.

3.Correlate effort and reward. To keep that urgency going, you have to make sure the stimulus is there. Let your team know “This next incoming lead will be the only one for today.” Limiting leads will stretch the necessity to handle each lead with thoroughness, according to your automotive  lead management process. Needless to say, it was also increase staff motivation. All of a sudden the dog who was sitting with his tail between his legs will be streaking after the tennis ball.
 

These lead management practices work, I can assure you. I have turned around 3 franchises in the last 6 months to #1 CPO in state, #2 CPO in the country, and #1 New Car dealer objective, and so on. By integrating these practices, I have helped dealership realize the most Internet department sales ever, not by minimizing lead count, but by allocating the right resources in my eCommerce departments.

In conclusion, while I do not expect Internet Sales people to start drooling and pawing when an Internet Sales phone page comes across, these lead management practices should urge them to get out of their chair and “take care about business” right away.

And? Did this post ring a bell?

VJ - The Social Media Buzzer

PHOENIX  -  ATLANTA

Good news for early adapters in our so beloved automobile industry. When you are one of the pioneers using in your ads, Maroni stickers, or even on Business cards the two-dimensional barcode like images – a.k.a. quick-response codes or in short QR-Codes – you past the stage of  prior “thinking out of  the box” with flying colors.

As you know adaptable smartphone apps are able to scan and then convert the code into a picture ad or other information you would love to share with your potential clients.

Advantage for the consumer: Recalling “what was shown or said in an ad” with a push of a button.

Advantage for us dealerships: Unlimited "air" time - 24/7/365

The MGH group conducted a survey to see how consumers are adapting to the “new” technology, which is actually now out for more than a year. Here is the great news and opportunity for us dealers:

• Almost 75% of smartphone users are very likely or at least somewhat intrigued to recall   advertising and marketing messages with QR codes
• Awareness among smartphone users rose to 65% (have seen a QR Code)
• 56% recognized the two-dimensional images on product packaging
• 45% recalled to have seen them on magazines and (ATTENTION PLEASE) on coupons
• And more than a quarter of the users saw the QR’s in newspaper ads (is your dealership still doing off-line advertising in your local newspaper? If so “jam” a QR code into your ads!)

So, the question here is “what did the smartphone users use their code for?”

The top-3 contenders are:

• 53% want to find coupons or discounts on their products or services they want to obtain from a business
• 52% want more product or service information (did your OEM already convert their new car price stickers and show the QR code? You should check because it is on almost every manufacturers agenda to “put it out there”)
• 33% just scanning it to have the opportunity to win in sweepstakes

The rest of usage reasons are: accessing videos, making actually purchases, signing up to receive more information and last but not least interacting with social media networks.

One of the more important reflections of the survey (especially from the business owner standpoint), which was held in February 2010 via the Vision Critical America panel, is showing an indisputable fact and a huge opportunity for everyone who wants to play in this “QR league”.

70% of the first time QR code users and those who used it already having following motivation to do so:

• They want to find deals and/or discounts (87% !!!)
• They want to play and enter into sweepstakes (64%)
• They want to have access to more information (63%)
• They actually are ready to purchase right away (60%)
• They enter their information into your database to receive more information from you on the products or services you offer (53% - here comes the good old permission based email marketing in my mind)

So, I hope I provided you with some brain teasers to make you even more think if and when you should join the “QR-force” and get your business another (two-dimensional) platform. In my opinion, this should be a no-brainer for you.

Good news for early adapters in our so beloved automobile industry. When you are one of the pioneers using in your ads, Maroni stickers, or even on Business cards the two-dimensional barcode like images – a.k.a. quick-response codes or in short QR-Codes – you past the stage of  prior “thinking out of  the box” with flying colors.

As you know adaptable smartphone apps are able to scan and then convert the code into a picture ad or other information you would love to share with your potential clients.

Advantage for the consumer: Recalling “what was shown or said in an ad” with a push of a button.

Advantage for us dealerships: Unlimited "air" time - 24/7/365

The MGH group conducted a survey to see how consumers are adapting to the “new” technology, which is actually now out for more than a year. Here is the great news and opportunity for us dealers:

• Almost 75% of smartphone users are very likely or at least somewhat intrigued to recall   advertising and marketing messages with QR codes
• Awareness among smartphone users rose to 65% (have seen a QR Code)
• 56% recognized the two-dimensional images on product packaging
• 45% recalled to have seen them on magazines and (ATTENTION PLEASE) on coupons
• And more than a quarter of the users saw the QR’s in newspaper ads (is your dealership still doing off-line advertising in your local newspaper? If so “jam” a QR code into your ads!)

So, the question here is “what did the smartphone users use their code for?”

The top-3 contenders are:

• 53% want to find coupons or discounts on their products or services they want to obtain from a business
• 52% want more product or service information (did your OEM already convert their new car price stickers and show the QR code? You should check because it is on almost every manufacturers agenda to “put it out there”)
• 33% just scanning it to have the opportunity to win in sweepstakes

The rest of usage reasons are: accessing videos, making actually purchases, signing up to receive more information and last but not least interacting with social media networks.

One of the more important reflections of the survey (especially from the business owner standpoint), which was held in February 2010 via the Vision Critical America panel, is showing an indisputable fact and a huge opportunity for everyone who wants to play in this “QR league”.

70% of the first time QR code users and those who used it already having following motivation to do so:

• They want to find deals and/or discounts (87% !!!)
• They want to play and enter into sweepstakes (64%)
• They want to have access to more information (63%)
• They actually are ready to purchase right away (60%)
• They enter their information into your database to receive more information from you on the products or services you offer (53% - here comes the good old permission based email marketing in my mind)

So, I hope I provided you with some brain teasers to make you even more think if and when you should join the “QR-force” and get your business another (two-dimensional) platform. In my opinion, this should be a no-brainer for you.

The first part of “Consumer Trends for 2011” – a research performed by trendwatching.com, showed three trends so far on how consumer behavior will change and how we, the dealerships can prepare ourselves successfully for the upcoming year.

We covered so far topics on “Consumer will look for more realness and human touches”, "Consumers will be more prone to try new products and new services” and that they will look out for “more targeted pricing and offers”. Which other trends will be important for dealerships to take a look at? The Part 2 will discover how important Status symbols are still for consumers and how a dealership will be able to get “Evangelists” involved in their referral business.

1. Consumers will look out for gaining Online Status Symbols Trendwatching.com clearly defines and recommends for businesses to supply costumers with any kind of symbol or badges. This “symbol” can be a virtual one (like we already know from Foursquare and their variety of “unlocking badges” and the mayor seal of one particular business location) or a “real world” one with real world prizes like T-shirts, caps or just special coupons. I can see you already frowning and ask yourself, “what in the world is a real world status symbol I can give to my customers?”, and it actually much more easier than you possible thought. Check your key fob, please! Do you see any CVS, Publix, Borders or Fitness Club member cards on it? Yes? – Here we go, that is what will be in 2011 even more valuable (and as we all know not a new idea). Checking on myself, I particular shop at these places, who had provided me with a key fob card, and as I do other consumers as well love to be members of a club, free of charge but with benefits allowing them to save more money than any other regular customers or even get a cheese bagel for free as you see here at the ad, asking particular for your card or tag.

In regards to the virtual world, we have seen and heard about car dealerships setting up their own iPhone or Android dealerships app into realty, with the idea to provide their customers with a feel of “security” (click the app and connect instantly) and “specials on demand”, without jumping on the computer, looking up the special page, hitting the print button, taking the paper…and so forth, you get the idea.

Last but not least, try to get your customers be the mayor of your dealership and reward her with a “bonus, bonus special”, just because they checked in at your dealership location again. When you didn’t do the task so far and at least checked out Google Places, Foursquare, Gowalla, Groupon or even Facebook Places please put it on your to-do list for early on in 2011. Get familiar with the Geo-location based services, promoting business who decided to create specials for particular check-ins (like mayor ships) or for everyone, who is coming by and is using your dealership for buying parts or needs service.

2. Consumers will convert into “Twin-sumers” and “Social-lites” Early on adapters, who knew how consumers selecting their dealerships in the future know what I am talking about. As trendwatching.com pointed out there will be two different kind of online shoppers in the future. One type will be the “Twin-sumer” – a consumer with similar consumer patterns, likes, dislikes and who are hence valuable sources for recommendations on what to buy and where to get the best purchase experience.

You can be certain that these consumers will know how to work review sites like Yelp, Merchant Circle or more car specific review sites like dealerrater.com, Edmunds dealer reviews and Presto Reviews. When you are not familiar with any of these review sites – Holy Moly, it’s about time for you to get your team and dealership behind the idea of reputation management. An early on adapter on “how important customer reviews for a dealership can be”, is Dick Hannah Honda and its General Manager Joe Orr with more than 220 reviews on Dealerrater, dominating the entire state of Washington and giving Honda prospects a sense of security and the right place for a good deal.

On the other hand we have consumers operating as “Social-lites”, who are using their social circles and social affiliates to spread their experiences out into the world-wide web. Owning the business and trust of a “Social-lite” consumer, will make it possible to “grow” you an Evangelist and Advocate for your business. In the old days we had asked our customers for referrals, most of the time short after the sale or around 4 weeks later, hoping the customer had a name for us. Now, we know when a “Social-lite” was satisfied and agreed to take a photo for our Dealer Fan Page or doing a YouTube testimonial, she will be happy to spread the word throughout her circle of influence. Her followers will see the video or photo and she will get immediate responses out of it – your own Dealer Evangelist was just “created”.

This concludes part 2 of Trends for 2011 – What is your customer up to Part 3 will be posted in the next couple of days.

The first part of “Consumer Trends for 2011” – a research performed by trendwatching.com, showed three trends so far on how consumer behavior will change and how we, the dealerships can prepare ourselves successfully for the upcoming year.

We covered so far topics on “Consumer will look for more realness and human touches”, "Consumers will be more prone to try new products and new services” and that they will look out for “more targeted pricing and offers”. Which other trends will be important for dealerships to take a look at? The Part 2 will discover how important Status symbols are still for consumers and how a dealership will be able to get “Evangelists” involved in their referral business.

1. Consumers will look out for gaining Online Status Symbols Trendwatching.com clearly defines and recommends for businesses to supply costumers with any kind of symbol or badges. This “symbol” can be a virtual one (like we already know from Foursquare and their variety of “unlocking badges” and the mayor seal of one particular business location) or a “real world” one with real world prizes like T-shirts, caps or just special coupons. I can see you already frowning and ask yourself, “what in the world is a real world status symbol I can give to my customers?”, and it actually much more easier than you possible thought. Check your key fob, please! Do you see any CVS, Publix, Borders or Fitness Club member cards on it? Yes? – Here we go, that is what will be in 2011 even more valuable (and as we all know not a new idea). Checking on myself, I particular shop at these places, who had provided me with a key fob card, and as I do other consumers as well love to be members of a club, free of charge but with benefits allowing them to save more money than any other regular customers or even get a cheese bagel for free as you see here at the ad, asking particular for your card or tag.

In regards to the virtual world, we have seen and heard about car dealerships setting up their own iPhone or Android dealerships app into realty, with the idea to provide their customers with a feel of “security” (click the app and connect instantly) and “specials on demand”, without jumping on the computer, looking up the special page, hitting the print button, taking the paper…and so forth, you get the idea.

Last but not least, try to get your customers be the mayor of your dealership and reward her with a “bonus, bonus special”, just because they checked in at your dealership location again. When you didn’t do the task so far and at least checked out Google Places, Foursquare, Gowalla, Groupon or even Facebook Places please put it on your to-do list for early on in 2011. Get familiar with the Geo-location based services, promoting business who decided to create specials for particular check-ins (like mayor ships) or for everyone, who is coming by and is using your dealership for buying parts or needs service.

2. Consumers will convert into “Twin-sumers” and “Social-lites” Early on adapters, who knew how consumers selecting their dealerships in the future know what I am talking about. As trendwatching.com pointed out there will be two different kind of online shoppers in the future. One type will be the “Twin-sumer” – a consumer with similar consumer patterns, likes, dislikes and who are hence valuable sources for recommendations on what to buy and where to get the best purchase experience.

You can be certain that these consumers will know how to work review sites like Yelp, Merchant Circle or more car specific review sites like dealerrater.com, Edmunds dealer reviews and Presto Reviews. When you are not familiar with any of these review sites – Holy Moly, it’s about time for you to get your team and dealership behind the idea of reputation management. An early on adapter on “how important customer reviews for a dealership can be”, is Dick Hannah Honda and its General Manager Joe Orr with more than 220 reviews on Dealerrater, dominating the entire state of Washington and giving Honda prospects a sense of security and the right place for a good deal.

On the other hand we have consumers operating as “Social-lites”, who are using their social circles and social affiliates to spread their experiences out into the world-wide web. Owning the business and trust of a “Social-lite” consumer, will make it possible to “grow” you an Evangelist and Advocate for your business. In the old days we had asked our customers for referrals, most of the time short after the sale or around 4 weeks later, hoping the customer had a name for us. Now, we know when a “Social-lite” was satisfied and agreed to take a photo for our Dealer Fan Page or doing a YouTube testimonial, she will be happy to spread the word throughout her circle of influence. Her followers will see the video or photo and she will get immediate responses out of it – your own Dealer Evangelist was just “created”.

This concludes part 2 of Trends for 2011 – What is your customer up to Part 3 will be posted in the next couple of days.

According to research of http://trendwatching.com the year 2011 will have changes in consumer behavior which screams for a change in business behavior and attitude as well. No more Business as Usual please, when you want to keep the edge.

Here are the first three points trendwatching.com is pointing out of the eleven findings

1. Consumers will look for more realness and human touches

Chances for dealerships to engage with social media sharing more than ever. Consumer’s are craving for more authenticity, realness, human touch and less canned approaches to win their business. When dealerships taking the time to analyze, or even better watch the behavior and comments of their followers – you’ll gain insights to moods, wants and even their location, which then enable the dealership to send out targeted messages. Geo location based applications like Foursquare, Gowalla and Facebook detected these trends early, early on and made targeted advertising for businesses to their clientele an easy and achievable task.

2. Consumers will be more prone to try new products and services

Danger for dealerships – falling in old and not any longer workable habits. The old formula "one time a Benz or Chevy driver always a Chevy driver" is a tale of the past. Due to globalization of new products and services the customers becoming more liberal, more tolerant and also more experienced to digest information. This means, the customers knows more than you - the sales professional - when arriving in your showroom.

TMV or True Market Value, Show me the CarFax or Yelp reviews are not any longer just terms an insider buyer knows how to obtain the best deals or to questioning the heck out of the sales persons' brain. Since manufacturers producing more models than anybody possibly can handle or needs to buy a car, customers making decisions based on following facts

1. Car Makers who are understanding the value of human globalization (Ford and their new so called World Cars) and engaging in a s subliminal but consistent way via social media interaction, and
2. Companies who will offer the biggest value (maintenance free plans, Hyundai Assurance programs, Chrysler's "you don't like it - you bring it back", etc.) to potential buyers. Further transparency is the next big word, you'll hear more and more, especially on dealership levels.
3. Transparency on dealer levels are easy to achieve, when...., when the processes are in place and everybody in the dealership buys into the idea what needs and has to happen. However, transparency and reputation can be the evil twins for a dealer or Santa Claus and the Easter Bunny at once, presenting surprises like positive reviews, testimonials, rankings and ratings displaying your performance for everybody to see. It is essential for each sales professional to ask not any longer only for referrals but also to follow up and guide the customers post sales to review site that count in the automotive industry. Ask for a good grade and let the customer tell everybody how great you are.

3. Targeted pricing and offers for your potential customers

The times of the good old shotgun advertising – blast out your pellets or in this case your ad message and possibly you’ll hit one or two potential clients and trigger a purchase are over. I actually don’t care what your advertising agency or offline advertising rep is telling you. The fact that “radio and print is so hot right now and will never die” – is just not true, especially in the huge Metro markets. Rather going for the rabbit hunting approach, blasting into a bulk of running rabbits and two will possibly not make it. Instead develop the skills of a sniper. Sit in your hideaway, observe the target(s), make no noise and wait – wait until you see the desired 13-pointer, mark it - and "boom" - touche. You got this large deer because you were hiding out where the pack is eating - you targeted exactly the location where you'll find the best of the best. So, I am asking now, why don't you "hide out" where your customers are today? Online!

For example: Look at your fan base on Twitter, Facebook – what is your average follower age group, are these more female or male customers, are they actively engaging with comments on your postings? Target your message!

A Nielsen Study revealed that Baby Boomers just discovered the power of Facebook around a year ago, and this particular customer group loves to shop online (THOUGHT: are you offering a shopping card / check-out for your automotive parts and accessories)?

The second group of valuable customers - The Generation X is looking for offers or amenities who are considered “convenience factors” – like real-time online service scheduling, pick-up service and drop-off loaner cars for families with little kids of two and more – and the most upcoming digitally involved and engaged generation –

The Millennials – are having more than 2 social media profiles, using text messaging on mobile devices more than they use the device to phone around. Using texting to submit your instant mobile coupons and discounts, flash sales and even dynamic ad hoc pricing will make you “hip” in their eyes and gain you the edge.

This concludes part 1 of Trends for 2011 - What is your customer up to

Part 2 will be posted in the next couple of days.

According to research of http://trendwatching.com the year 2011 will have changes in consumer behavior which screams for a change in business behavior and attitude as well. No more Business as Usual please, when you want to keep the edge.

Here are the first three points trendwatching.com is pointing out of the eleven findings

1. Consumers will look for more realness and human touches

Chances for dealerships to engage with social media sharing more than ever. Consumer’s are craving for more authenticity, realness, human touch and less canned approaches to win their business. When dealerships taking the time to analyze, or even better watch the behavior and comments of their followers – you’ll gain insights to moods, wants and even their location, which then enable the dealership to send out targeted messages. Geo location based applications like Foursquare, Gowalla and Facebook detected these trends early, early on and made targeted advertising for businesses to their clientele an easy and achievable task.

2. Consumers will be more prone to try new products and services

Danger for dealerships – falling in old and not any longer workable habits. The old formula "one time a Benz or Chevy driver always a Chevy driver" is a tale of the past. Due to globalization of new products and services the customers becoming more liberal, more tolerant and also more experienced to digest information. This means, the customers knows more than you - the sales professional - when arriving in your showroom.

TMV or True Market Value, Show me the CarFax or Yelp reviews are not any longer just terms an insider buyer knows how to obtain the best deals or to questioning the heck out of the sales persons' brain. Since manufacturers producing more models than anybody possibly can handle or needs to buy a car, customers making decisions based on following facts

1. Car Makers who are understanding the value of human globalization (Ford and their new so called World Cars) and engaging in a s subliminal but consistent way via social media interaction, and
2. Companies who will offer the biggest value (maintenance free plans, Hyundai Assurance programs, Chrysler's "you don't like it - you bring it back", etc.) to potential buyers. Further transparency is the next big word, you'll hear more and more, especially on dealership levels.
3. Transparency on dealer levels are easy to achieve, when...., when the processes are in place and everybody in the dealership buys into the idea what needs and has to happen. However, transparency and reputation can be the evil twins for a dealer or Santa Claus and the Easter Bunny at once, presenting surprises like positive reviews, testimonials, rankings and ratings displaying your performance for everybody to see. It is essential for each sales professional to ask not any longer only for referrals but also to follow up and guide the customers post sales to review site that count in the automotive industry. Ask for a good grade and let the customer tell everybody how great you are.

3. Targeted pricing and offers for your potential customers

The times of the good old shotgun advertising – blast out your pellets or in this case your ad message and possibly you’ll hit one or two potential clients and trigger a purchase are over. I actually don’t care what your advertising agency or offline advertising rep is telling you. The fact that “radio and print is so hot right now and will never die” – is just not true, especially in the huge Metro markets. Rather going for the rabbit hunting approach, blasting into a bulk of running rabbits and two will possibly not make it. Instead develop the skills of a sniper. Sit in your hideaway, observe the target(s), make no noise and wait – wait until you see the desired 13-pointer, mark it - and "boom" - touche. You got this large deer because you were hiding out where the pack is eating - you targeted exactly the location where you'll find the best of the best. So, I am asking now, why don't you "hide out" where your customers are today? Online!

For example: Look at your fan base on Twitter, Facebook – what is your average follower age group, are these more female or male customers, are they actively engaging with comments on your postings? Target your message!

A Nielsen Study revealed that Baby Boomers just discovered the power of Facebook around a year ago, and this particular customer group loves to shop online (THOUGHT: are you offering a shopping card / check-out for your automotive parts and accessories)?

The second group of valuable customers - The Generation X is looking for offers or amenities who are considered “convenience factors” – like real-time online service scheduling, pick-up service and drop-off loaner cars for families with little kids of two and more – and the most upcoming digitally involved and engaged generation –

The Millennials – are having more than 2 social media profiles, using text messaging on mobile devices more than they use the device to phone around. Using texting to submit your instant mobile coupons and discounts, flash sales and even dynamic ad hoc pricing will make you “hip” in their eyes and gain you the edge.

This concludes part 1 of Trends for 2011 - What is your customer up to

Part 2 will be posted in the next couple of days.

Similar to the fairy tale of the Princess and the Frog, there is another phenomenon in the real marketing and advertising world what pretty much reminds me on this tale. You know it is something new out there, you are not really certain what it does, if it works – and most likely you only will find out when you try it. Just like giving the Frog a kiss and see if it turns into a prince.

We all have by now heard (I guess and hope for you) about Facebook, YouTube, Twitter, Flickr and other social media networking websites and networks. One of the newer kids on the blocks are social hubs like Gowalla, Where, Loopt and Foursquare. These three named social engagement tools are considered Geo-location based services which have only one goal in mind: To lure Users, Advertisers and Investors into their fangs. When in 2009 the Mobile Advertising segment scratched the $320 million mark, according to researchers at BIA/Kelsey, the year 2013 is expected to soar to $3.1 billion in the U.S.

May be I should quick reflect on the purposes of these Geo-location based services and explain what they are actually doing. Geo-location services are being embraced by mobile devices and encourage their owners to shop, communicate and socialize. When the purpose of these applications in the early phases were more likely game playing and seeing where my friends were hanging around, the momentum has now shifted. Capital Venture analysts nail it down: Location is one of the most important tools a merchant and marketer can use today. The opportunity to connect with potential consumers and existing customers of a brand can grow deeper. When you still doubt the success or let’s say upcoming phenomenal success of the last 3 mentioned platforms take this my friend:

• Just a few days ago Foursquare was able to secure $20 million in additional venture funding
• In April Foursquare just passed its first million member mark only to just passed 2 months later the 1.8 million member mark
• With this speed Foursquare is able to maintain a growth rate of approximate 15,000 users/day
• Foursquare has more than 15,000 business partnerships established, including Starbucks and even the news channel CNN
• The company “Where” has so far connections and business relations with more than 20,000 businesses
• Loopt has accumulated already 3 million users and attracted Gap and Burger King to their portfolio of clients
• Gowalla is up to 350,000 users

With the driving force of skyrocketing Smart-phone sales and approximate 11,000+ iPhone apps offering location services – the trend is not reversible. As you possible already know; Google with their location based application “Latitude”, Facebook, Twitter, Flickr and numerous other Social Network platforms are adding or have already added Geo-location tagging. This is just the beginning. Further down the road is planned to combine Photos and Content with the locations. Chances for dealerships? Huge!!!

Just think about following scenario I discovered when I was a few weeks back in PA. In the evening hours I went to a restaurant, 4-squared my location to share it with my friend and followers to just say what I am up to and typing the info on the home screen of 4SQ. All this happened mobile (using a Blackberry). With my location (tracked to the smartphones GPS system) I also get a small information icon, placed on the right hand corner of the screen with the message “Check offers nearby”. One of the basic principles in Social Media “create curiosity” hit me up, I clicked and “voila” a Starbucks message shows up to tell me that the store right next to the restaurant offers $1 off any Frappuccino. What a perfect scenario in wanting to settle your nightly meal with a nice cold (or warm) Chocolate Chip Frappuccino.

The follow-up post on this topic will handle "how a dealer can utilize this technology for their advantage". In case you do not want to miss this, just sighn up for my RSS-feed @ SocialMediaBuzzer.com and being notified when the follow-up post will be life.

Similar to the fairy tale of the Princess and the Frog, there is another phenomenon in the real marketing and advertising world what pretty much reminds me on this tale. You know it is something new out there, you are not really certain what it does, if it works – and most likely you only will find out when you try it. Just like giving the Frog a kiss and see if it turns into a prince.

We all have by now heard (I guess and hope for you) about Facebook, YouTube, Twitter, Flickr and other social media networking websites and networks. One of the newer kids on the blocks are social hubs like Gowalla, Where, Loopt and Foursquare. These three named social engagement tools are considered Geo-location based services which have only one goal in mind: To lure Users, Advertisers and Investors into their fangs. When in 2009 the Mobile Advertising segment scratched the $320 million mark, according to researchers at BIA/Kelsey, the year 2013 is expected to soar to $3.1 billion in the U.S.

May be I should quick reflect on the purposes of these Geo-location based services and explain what they are actually doing. Geo-location services are being embraced by mobile devices and encourage their owners to shop, communicate and socialize. When the purpose of these applications in the early phases were more likely game playing and seeing where my friends were hanging around, the momentum has now shifted. Capital Venture analysts nail it down: Location is one of the most important tools a merchant and marketer can use today. The opportunity to connect with potential consumers and existing customers of a brand can grow deeper. When you still doubt the success or let’s say upcoming phenomenal success of the last 3 mentioned platforms take this my friend:

• Just a few days ago Foursquare was able to secure $20 million in additional venture funding
• In April Foursquare just passed its first million member mark only to just passed 2 months later the 1.8 million member mark
• With this speed Foursquare is able to maintain a growth rate of approximate 15,000 users/day
• Foursquare has more than 15,000 business partnerships established, including Starbucks and even the news channel CNN
• The company “Where” has so far connections and business relations with more than 20,000 businesses
• Loopt has accumulated already 3 million users and attracted Gap and Burger King to their portfolio of clients
• Gowalla is up to 350,000 users

With the driving force of skyrocketing Smart-phone sales and approximate 11,000+ iPhone apps offering location services – the trend is not reversible. As you possible already know; Google with their location based application “Latitude”, Facebook, Twitter, Flickr and numerous other Social Network platforms are adding or have already added Geo-location tagging. This is just the beginning. Further down the road is planned to combine Photos and Content with the locations. Chances for dealerships? Huge!!!

Just think about following scenario I discovered when I was a few weeks back in PA. In the evening hours I went to a restaurant, 4-squared my location to share it with my friend and followers to just say what I am up to and typing the info on the home screen of 4SQ. All this happened mobile (using a Blackberry). With my location (tracked to the smartphones GPS system) I also get a small information icon, placed on the right hand corner of the screen with the message “Check offers nearby”. One of the basic principles in Social Media “create curiosity” hit me up, I clicked and “voila” a Starbucks message shows up to tell me that the store right next to the restaurant offers $1 off any Frappuccino. What a perfect scenario in wanting to settle your nightly meal with a nice cold (or warm) Chocolate Chip Frappuccino.

The follow-up post on this topic will handle "how a dealer can utilize this technology for their advantage". In case you do not want to miss this, just sighn up for my RSS-feed @ SocialMediaBuzzer.com and being notified when the follow-up post will be life.