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All Of Us In Automotive Need To Be…Less Automotive (At Least Socially)

One of the things that I love about IM@CS is the fluid nature of what we do. In consulting to different businesses (and thankfully contributing to different industries), we are involved in different aspects of attracting, engaging and retaining customers. One thing that is more than evident is the necessity to be more than single-track minded. And frankly, that is being screamed for in Automotive.

So as businesses skew, some forced, more into mainstream consumerism there is a natural shift to social engagement both online and offline. For some, CRM is a well-used tool. email has its proper place, social networking traction is gaining, true sourcing is an every-day activity, analytics are a way of life and e-Newsletters are not static. In fewer cases, reputation management and new technology like QR codes have started to garner true, distinguishing results.

Enter the reward game. Handfuls of dealers have gone into using dealership-exclusive offers within their marketing similar to many attempts made over the years. Except nowadays, there aer monumentally better ways to track and measure the effectiveness. But what are we offering? And how effective a reach could we be benefiting from if we just stopped to think about it?

Put it this way. Answer this: What do at least 25% of your clients do? Right now. Without looking at your CRM, 3×5 cards or notes. Now are you offering them something related to what they want to do away from your dealership? Why do people go to dealerships and dealership websites? Simple: shop, inquire, transact. Nearly nobody, save for the extremely loyal and enthusiasts (which we're all thankful for), wakes up in the morning and says "I'm going to hang out at the local BMW dealership today". I've never heard anyone say "my life will get better if I spend a few days a month at the local Ford store".

Let's say your store is utilizing Foursquare (meaning you've actually claimed your location which is similar to the process with Google Places) and have published your first offer. What is your offer for? 10% off service? A you making the first payment on any new lease? Awesome! You've made the jump and are hopefully tracking the results. How about 10% off the local hot spot's dining or drinks? How about 25% off green fees at the local golf course? How about tickets to a major sporting event (and the ones provided by your OEM don't count)? How about donating to a local charity that your customer chooses so everyone feels great?

Not to say that a discount for your loyal customers is not great. It absolutely is. Reward them and they'll continue to come back. So the dealership perk aside, are you doing something exciting for more of your customers and non-customers? Let's say 65% of the R.O.s created between 10:00a and 3:00p are for women. Do you have a Manicure Monday or Mommy Massages and bring in some popular local businesses that offer those businesses?

Better yet do you deploy cooperative or reciprocal marketing with local businesses so there is a mutual benefit? That seems to be a lost art in today's too-eager-to-grow and too-eager-to-cut environments. Have a (legitimate) Facebook page with at least a couple hundred Likes? Have you done a giveaway yet? It's great to do that as long as you follow Facebook's rules. Do yuo deploy technology that when people are ready to print the incentive/coupon, they must share it first on their Facebook wall? That has much more wide-ranging implications and people that are engaged are many more times likely to do that!

And be creative. No, more creative. No….even more creative! If you take a vacation and your resort offers you a $150 resort credit for using the restaurant and other merchants or a 10% off your next stay, which one are you likely to take?

It's time for all of us in automotive to be….well, less automotive. It's not hard. Yes, it takes some forethought, some work and extra effort to get the word out. But do you want a typical result or an amazing result? Do you want a few more people referring business or would you rather have a lot of local businesses referring business.

You don't need to answer now. Just think about it. After you put down the Bluetooth earpiece that you got free with the smartphone that your stock broker told you about, and turn off your big screen TV with DirecTv service that came with the free HD upgrade and take your car to get the free car wash that you earned with purchases from your local grocery store and finish dining at your kids favorite local restaurant with the free desert that your kids earned months ago with good grades at their school….

Best Practices: Professional Insight, Powerful Results

 

July 22, 2011 by Gary May 0
Don’t Let Social Media Get In The Way Of Your Success With It

We're bringing a petition to DrivingSales Executive Summit, JD Power Internet Roundtable, SEMA and NADA. But you can be first to sign it here and now. The law we're hoping to get passed in the retail automotive industry is "stop calling it social media and start calling it die without it". It's not something you try, experiment with, make efforts toward or the like. At least no more than you do with sales, service, F&I and your P&L. Do more. And stop thinking so much you can't do much.

Sick and tired of consumer communication and engagement, as well as fundamental business improvement, being hawked, pitched and sold by fly-by-night companies (as well as legitimate ones) with getcha-while-you're-looking tactics, it's time to discuss, use and improve platforms no differently than you would want a CRM or website technology used and improved.

Simple question: Do you want to stay in business? Your answer has to be all the way in yes or all of the way out no. There is no in between. Many (not all) companies that have tried to be somewhere in between over the past few years show up today as the many For Lease or Going Out Of Business signs on your daily drive. Don't think for a second that we're saying that had those businesses been in social media that they'd be vibrant and profitable today. Not at all.

But to sit and wait, guess and judge, delay and save or flat out refuse social media as part of your business strategy every day is the fastest path to demise today. Period. Remember that no one aspect of your business is a silver bullet. At the same time remember you can save yourself to death no differently than you can spend yourself to death. You're not "in" Twitter and Facebook. You're (hopefully) in business using a database/contact management system, a series of processes to sell, track and report, and a solid foundation of online media to showcase your business.

Saying "I'll try Facebook for 6 months and see if it works" is the same exact thing as saying "I'll try selling our services for 6 months and see if it works" or "I'll maintain my storefront for 6 months and see how that goes". If you want to see how things go, get committed or get out. If you truly aren't prepared for success in your own business, do it for someone else and leave the tools that professionals use to…a professional.

Blogs, Wikis, Display advertising/SEM, Review sites/reputation management, Facebook, Twitter, LinkedIn, Foursquare, Google Places and more are tools to be a more effective, yes effective, business. Not a trend-setter, not a groupie, not one of the cool places to hang or any other way of minimizing your way to profit. Can your business survive without being on Facebook? Chances are yes if at least for a short time. Can you survive without the fundamentals that have social media thriving and being "buzz" in mainstream media? Not for one New York minute, to steal a great song title from Don Henley.

So please don't let social media get in the way of your success with it, knowing you'll not experience success without it. Even if you don't set up that Twitter page you've been hemming and hawing about for a year… Oh, and one more thing. If you're a car dealership, don't pay $4,000 plus a month for social media services. That is unless you're getting a cut of the profit.

Best Practices: Professional Insight, Powerful Results

October 17, 2010 by Gary May 1
Death By Response: You Lost Me At Hello!

Let's take a moment to ignore the store front, avoid the showroom,
shed technology and just get back to being human. Do you know how to
talk and carry a conversation? Well, if you judge that by much of the
email and phone communication going on at automotive retail, you'd be
left with more questions than answers.

Face it, we have a lot
of room to grow when it comes to 'inviting' the public to car
dealerships. Oh sure, they'll continue to come when they have to buy.
They will find somewhere and someone to buy from. But the fact that most
of you had an easier time asking your first date out, shows we still
have issues when it comes to how to engage a person that wants to
buy!

Many people shrug off their verbal and written skills
when they can deliver a fair amount of cars each month. When lean times
come, they'll blame everything but the water cooler (maybe some will
actually blame the Sparkletts man) rather than look at their own
communication.

So here's a 4-step recovery program that should
help you (who needs 12 steps anyway?):

1. Know what you
want to say before you touch the phone or start typing

At least
with an email you can proof it before sending but most salespeople
aren't in the habit of doing that. The biggest hint that a salesperson
isn't ready for the call? Uh, um, er, ah, eh, well, gee, ayyyyyyye (the
long 'I' as they reach for something to say) and other stalling tactics
tell the customer on the other end of the phone clearly that there might
be a more professional person in the building.

2. It's about the
customer, silly

I did this. I did that. I'll talk with my
manager, I usually tell people that ask me that. I, I, I, I, I. Stop it!
It's about them, always has been, always will be. Go to a nice
restaurant for dinner, the waiter or waitress doesn't say "I have some
specials tonight"…do they?!?!?! No!! What you'll usually hear is
something like "would you like to hear what your choices are for
specials tonight?" or "Would you like to start with a drink or
appetizer?". Go to fast food and they say "can I take your order?". Are
you selling a hamburger value meal or a choice steak? (or Gorgonzola
salad for our vegetarian readers!). Change your focus to the customer
and you'll be amazed at how different your interaction goes.

3.
Questions are like water. Go without and you die.

You've get
them qualified. You walk them. You drive them. You sit them down. You
pencil them. You close them. If you stop asking questions, you likely
lose somewhere along the process. When the questions end, the
conversation ends. Sure, they can pick it up again. Our job? Keep them
talking. About the car, themselves, their family, their likes, anything.
Stop asking, you're on your own because you've lost control. Questions
(as well as answering theirs) are the lifeline of communication along
with emotion and everything else the expensive consultants and sales
coaches tell you is important (that you already knew).

4.
Validation and excitement. Oh, and courtesy!

Who can be excited
about calling you back if your message sounds like it was made in a
monotone machine? Ten messages down and ready for call 11? Get pumped up
again! Nobody wants to call a boring sales person back about what is
exciting for then. And how about validation? Can you relate to your
customers, even the ones with challenged credit? Don't kid yourself
because people can see through fake. And remember, especially in today's
social age (sorry, had to go there for a moment), their experience with
the 'less than exciting, not quite interested in me buying a car from
him/her' now translates to dozens, if not hundreds or thousands, more
people who may not shop at your store now.

And with regard to
courtesy, if you're not asking if the person you are calling is
available for you in a way that doesn't completely let them off the hook
from talking with you (because they must, must, must buy the perfect
car for them from you), you don't deserve to be selling cars. Don't ask,
don't tell. If you don't ask if they're available, they'll likely never
tell you they're buying from you.

In today's age with
complete transparency on the web, don't kid yourself into doing a less
than a complete, exciting job with your customers will work. We're not
saying to be something your not, but if you're in automotive sales and
expect to do well, just do it. It may not be fair that a book is still
judged by its cover but don't treat anyone trying to do business with
your store any differently than what you expect when you go into someone
else's.

Welcome back to the business about people. You can now
return to your technology-laden existence.

Best Practices:
Professional Insight, Powerful Results

June 17, 2010 by Gary May 2
Hey, It’s Digital

Another event in the history books. Digital Dealer 8 provided a new round
of talk, perspective, conjecture, ideas and repetitiveness. Well
attended, the eighth iteration of the event made way for a full expo,
some great sessions, loud receptions and the proverbial automotive
industry buzz.

It was a bit funny last week when two things occurred that caused me to
think about what it is to be "digital", take the leap of faith, change
some (ok, a lot) of the broken practices in our business and bring as
many willing people along with us. Brian Pasch and Ralph Paglia both had
digital device "snafus" in front of a bunch of people. And it was
funny. While some loudmouth from the crowd chirped "it's digital"
(please, no guesses) , it caused me to reflect on how connected we are
to everything digital. And what we continue to do wrong, including the
so called education of the dealers looking for assistance.

Automotive retail's entire existence is based on success in the digital
realm. We don't need a bunch of people, many barely versed themselves,
standing in front of rooms of people telling them that the train has
left the station. Dealers need real assistance, in real time, in real
terms, from real people to build real results.

One thing that tends to rub me is the intention versus goal aspect of
the conferences. What's happened to AAISP? certification programs? "put
the dealer before profits" and all of the other chatter over the past
four years? This is not a post meant to call bullshit on everything but
to avoid it completely would be a disservice. At many conferences, more
netowrking and business happens away from the event than at the event.
And…there is a belief structure that has to be maintained.

It strikes me as odd when people attend events that can have a
significant impact, offer extremely relevant information and otherwise
influence attendees in a positive way are charged the most, treated as
less-than-desireables and not invited to particiapte in the most basic
way. Actually it's flat out wrong. The leading events let the audience
and industry decide what's best. Not the promoter.

Changes in the industry are happening at such a rate now that those in
position to create, promote and execute on large-scale events need to be
more in line who they claim to help. Watch the bottom line? Sure you
should make a profit if you're going to be bold enough, especially in
these economic times, to front cash (which can be significant) and put
an agenda together.

Ego and enforcement also have no place in today's events. Protocol,
yes. Guidelines, yes. Omnipotent overlords focused on anything besides
what drives the most value need to, well…be somewhere else. The
digital shift is about practices, assistance, positioning, data and
more. Our industry has been dealt a deserved blow in the digital space
due to ignorance, denial and a refusal to recognize our own customers
and public. How can the auto industry be so large yet engage and learn
so little?

In my opinion, there should be more Internet department directors
(pardon the phrase), field reps for the larger companies and consultants
that are not beholden to vendors on stage. Those are the people moving
the industry digital every day. Attendees don't want pitches. They need
honest answers. They need examples. They absolutely want to understand
what to do. Not being told. Not being sold. Remember, just like a
customer at a dealership, they want to buy from someone they trust, that
listens to them, that can deliver on value and promises. Why should the
B-to-B part of our business be any different?

It time to start doing the work instead of talking the talk. No more
"we do that" and then scramble to execute it for the first time. No more
canceled cook-offs. No more delays in production. And a lot more
customer service. That's what we need at retail. That's what we need
from the companies making the claims and filling the magazines with ads.
The one's retailers are trying not to do themselves anymore. Because
they're listening to us.

Because, hey. It's digital.

Best Practices: Professional Insight, Powerful Results

May 1, 2010 by Gary May 0
Branding, Communication and Process For Dummies (AKA All Of Us) In Time For NADA

If education, reinforcement, results and transparency are the benchmarks of success why are we all not more successful than we are right now? More often than not, in our beloved industry, what has been around for a long time is considered as accepted or the norm and what is new is rejected with rare exception. At the end of the day we're branders and communicators entirely and inextricably linked to the success or failure of process. Well, we need a wake up call.

Recently there has been a barrage of articles on everything from social media must do's for car dealers to self-indulgent bantering among dealership consultants, from incessantly republishing authoritative sources to fill pages and drive traffic to kicking dead horses and old ghosts. And who are we kidding? The whole industry has to wake up to new ways of doing business, engaging consumers that control content, delivering more value than flash to dealerships, learning more than preaching and finally…wait for it…stop talking about what you don't understand.

So what's the difference between ignoring technology because management says "you can sell without it", the Barracuda firewall encasing your dealership is controlled by a corporate yes man who thinks that every 10 minutes on Facebook is one unit lost and your so-called vendors swear they're "all over it" and getting passed by like a 911 GT3 in 6th gear? Not much unless you truly desire to be in business and profitable over the next 24 months.

Every piece of real data out there shows the same thing: brand, communication and process control your path. Not advertising. Not high-pressure salesmanship. Not displacing your cranium under the warm sand. Brand is shared. Communication is shared. Process doesn't need to be shared but without it you won't remember where the brand and communication go (even if you've got really good hair, a tan and bling to win over GMs and dealer principals with).

So, when's the last time you went through your website (and saw keyword stuffing and out-of-date optimization)? Checked out your templates (and saw that they didn't have links in your signature block)? Really customized your 'newsletter' (that is the same as everyone else's)? Checked, double-checked and then triple-checked your third-party lead sources (unless you have no issue with them showing 80 leads and 315 phone calls when you're positive that the real number is half that)? Do you truly know what your site analytics show? How are those inbound links working for you? And your press releases? When was the last blog post you did?

Today I overheard a salesperson getting educated at a dealership. Rather than say trained, we'll go with that. He was asked not to say "welcome to (name of dealership), my name is (his name), how can I help you?". It was explained that by putting the showroom guest in the position of being 'helped' that they will feel put off or less empowered and it was better to offer assistance by saying "how can I assist you?".

Let's not kid ourselves any more. Many in automotive retail need HELP and those that ask will get it from the best sources the industry has to offer, as long as they're willing to go with the new. As you check out all that has to be offered in Orlando this weekend, where is your help going to come from?

Best Practices: Professional Insight, Powerful Results

February 10, 2010 by Gary May 0
It Doesn’t Matter How Much, You Can’t Afford Not Going All Out On The Web

With the end of the year quickly approaching and a focus on getting as many cars sold as possible, it''s also the only time you have to make sure your plan is right for your web presence in 2010.  We're talking about a plan.  If you don't have one, it's time do something that will really move the needle for you.

It's a bit of Branding 101, Internet 102, Process 201 (we'll say that since you've likely hired a more traditional "get them excited to do more of the same thing after the excitement of yelling at them wears off in 3 days" trainer although not in a while) and a number of other 'class' sounding names.  The long and short of it everything you're successful at will depend on your virtual existence.

So, when you decide to spend $X,XXX to $XX,XXX per month online, and stick with it for the long haul, start with:

WEBSITE: A thorough review of your websites via a true outside SEO review (we use @Grader at http://websitegrader.com), SEO keyword report from a third party (we use AutoFusion at http://www.autofusion.com) and a true review of best practices will have to open to change considering what most website companies offer.  If you're website is 6 years old, has 100-400 indexed pages, less than 100 inbound links and a page rank under 4, it's time to say hello to a more competent provider.

We're not going to list website vendors here this time.  Just start by knowing what you are paying for and (likely) not getting.  The most important part is how dynamic your site(s) and content are.  Yes, SEO is here to stay along with usability and design.

CRM/EMAIL MARKETING: While there has been a lot of focus on social media, email is still an effective tool for engagement.  That is as long as you make it relevant and compelling.  How do you do that?  Start really looking at who is in your database, not just deeming them as customers!  Without getting into the details here, start thinking about your message and what you would want act on instead of not thinking and leaving companies that know nothing about your business communicate for you.  Do yourself a huge favor and read what you're sending out before you simply spend money on someone to spread *&$! out there faster and more efficiently.

When you've got that done, we think that these represent some best-practice partners: VIN Solutions (http://www.vinsolutions.com), Dealer Socket (http://www.dealersocket.com)  and DealerUps (http://www.dealerups.com), which has been going though retooling since acquisition can really help you do your job more effectively with way less effort.

Using an email marketing company is important if you want to have more transparency and control (including scrubbing, deduping, targeting and more), remember to focus on content. Emma (http://www.myemma.com), Ratepoint (http://www.ratepoint.com) and Constant Contact (http://www.constantcontact.com) are leaders in their field in addition to the more auto-industry pervasive IMN (http://www.imakenews.com) in addition to surveys made easy by Survey Monkey (http://www.surveymonkey.com).  the investments made in the services is minimal compared to the results.  Again, your content must be timely, compelling and relevant or your just advertising and most people say 'no thanks' to that.

REPUTATION MANAGEMENT: What are other people reading before they ever talk to or visit you?  It's how a majority of people are deciding on where they spend their hard-earned money!  Will you spend $150 a night at a hotel with a 2-star ranking from guests?  Why spend $30,000 on a dealer that does?  Start by checking Yelp, DealerRater, Google and more.  Then set up Google, Twitter and other alerts to monitor your business' name for free is a great start.  Then there are services for a fee (in and out of the industry providers) from eXteres Auto (http://www.exteresauto.com) to Radian6 (http://www.radiansix.com) that know and understand online reputation and how to stay up on what's being said about you AND your competition.

SOCIAL MEDIA: It's all the buzz.  And for most dealers, It's another avenue to scream "BUY HERE". Start with trying to understand that it starts with social.  Think about how you're social.  If you're selling all the time, you're likely not effective.  And neither is selling all the time on networks.  Be different, unique, compelling (there it is again!) and someone that people want to talk with rather than ignore.  Here's a hint: if you get between 30 and 70% open rate on your emails but no clicks and/or your website visits crash two days later, and you're going to send the same kind of messages out via social media. there's one word for you: don't.

These are merely starting points and things to consider in your online branding.  One thing to keep in mind as well: when you do promote and advertise, make sure that your message is contiguous.  If you're a Toyota store and taking part in the Tent Event, everything you put on the web should be intertwined and you should have your store benefits and unique aspects promoted in addition to proper promotion.

If the above is already a stretch for your current resources and knowledge, get help.  There are dozens of consultants out there.  Don't hire an advertising agency to do this.  Don't take the word of your current providers.  Find out for yourself, ignore reps and figure out what you want from your money.

Get going, your competition already is or will be next.  And don't pay the Internet any more lip service about what you're going to do, start and do it so you can have the Internet paying you.

Best Practices: Professional Insight, Powerful Results

November 29, 2009 by Gary May 0