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The State of Automotive Digital Advising: More Vanilla, Please!

Anyone who regularly reads our blog knows a few things. One, we tell it like it is. Two, we educate from fact and passion, not from the heart of from the pocketbook. Three, we do and cover what nobody else does across the entire scope of services. Four, we affect a sliver of the industry through the automotive social sphere. While none of these aspects alone are uniquely significant, it becomes more so when you consider what dealers are receiving from “advisors” today.

Recently we had a high-line dealer visit that also included a regional sales director from the OEM, which is a rare pleasure. They wanted to review the new digital assessment package from their third-party partner. While we were extremely happy that the digital marketing consulting company that had previously provided in-field services for the OEM and their dealers was no longer doing so, and there was clearly an improvement in the standard deliverables, frustration quickly set in.

In reviewing the report, it was clear that it took into account items that didn’t properly set up dealer expectations, or take into account how search algorithms have changed, especially mobile, contained improper SEO evaluation components (named search, for example) and wasn’t thorough (had both scoring and consistency issues).

So while the report was an improvement over the third-party and OEM agenda-only approach previously employed to advising the dealers, it showed that we are still significant;y off the mark when it comes to assisting a dealer in doing a better job online. While we’ll assume that the vendor’s intentions are completely altruistic, we once again see the misguided and completely subjective plight we’re in considering there are no “digital standards”, no “consulting certifications” and certainly no “results-based comparisons”.

What we do have is more vanilla. Yes, the OEMs to a large extent need the data; yes, there’s a much better way to go about it. And the challenge is how can you do that, counting on one or two companies, without true A-B testing, in a cost-effective manner? You can’t and all that happens is the dealers can operate off slightly better input rather than consultants taking ideas and bringing them back to the third party and OEM. Everyone loses in that scenario.

Yes, more money is being spent. And with that, more errors are being made. Stupid, unseen errors. How do you tell a dealer that 25-50% of their SEM spend is for terms they shouldn’t be buying, cities that are 500-1,500 miles away, with action-killing text and that 47% of their traffic is on mobile but 70% of their budget is going to desktop? Or that their website’s key pages have the same content as 100 other sites and incorrectly link to non-existent pages on their site? Or that their social media is a complete disaster that is not being seen, read or acted upon? OK, “tell them” you say. And then they bury their heads again or plead the “have to use what my OEM says to” line of garbage. No you don’t.

Stop getting vanilla. When the market drops again, and it WILL, there will be a larger dividing line digitally between dealerships. You can’t take an OEM digital assessment report, unfortunately still, and build better value, own more spots in SERP, turn your social media and social marketing around or answer your leads any better. You actually need to spend money doing that, using different vendors than everyone is using and learn how to understand this our evolving, digital world.

 

Best Practices: Professional Insight, Powerful Results

 

 

The Year 2012 In Review? (What’s An Automotive Industry Nutshell?)

(Warning, 1000 words below!)

OK,
who's got their 2013 game face on? Nobody? Good, let's make things difficult!!!
2012 was one heck of a year: consumer demand is still up and growing for cars
(although demand still outstrips what sold), mobile use is skyrocketing (albeit
not remotely matched by dealers providing strong solutions), digital demand is
still growing at a breakneck pace (while use of traditional media by
dealerships is up), vehicle technology, especially in-car, is amazing and
overwhelming (while we still can't truly get a MPG sticker correct without driving like we're dying) and quality
is better than even with IQS improving (hand-in-hand with more
"media" coverage of massive recalls). Yup, 2012 was quite the year…

So ask
a car dealership what they're doing and about 16,500 answers will flutter
around "more _________ and less ________ while focusing on our key
strengths in _____________". And that, by the way, will be the answer
around January 5-15th because, unlike other industries that revolve around
retail, we seem to be focused on a date non later than January 5 to close the
year. Newsflash: 2012 is done. Make more calls, send more emails, offer more
dealer cash/rebates/incentives/consumer cash/financing discounts and leases and
you're still not going to sell more. Hello?!?! The "Oh, we pulled 10 more
from our competitor" crap doesn't fly. You'll sell what was essentially
already in the hopper and be happy with it.

Over the last twelve months we saw
highs and lows in the automotive industry, mostly driven by International
factors like economy, emerging markets, regulation, partnership and bankruptcy.
As a matter of fact, we are more tied than ever to what happens in Europe and
Asia, even considering how insular as we tend to be. Whether or not we get to
see a new Cadillac in the States depends more on what happens in Germany than
ever while BMW's success likely depends on what happens in South Carolina. 2012
saw the continued demise of storied as well as soft brands everywhere.

In the passing of this last year, it's
important to reflect on how we actually invited people into showrooms while not
making it any more enjoyable (except for the new showrooms which mostly made
the factory happy while getting better looking floor tiles and slightly better
tasting coffee to customers and some of those neat kids' play rooms we desperately needed). We
switched website CMSs, dealership CRMs, DMSs, SMSs and POPs but did satisfaction with
dealerships actually go up as much as 2012 IQS? Jaguar is still tops
(well, 2nd behind Lexus for 2012 models) on the list and they can't seem to
sell the damn cats…

What did 2012 deliver to your business?
If you've not asked your customers more than your factory reps, your
salespeople and your accountant, you will miss the boat by a larger gap in
2013. Yes, you will continue to sell cars next year and maybe, fortunately more
again, but where does that stop based on solely looking back or not at all?

Where your concentration needs to be,
right now, is around March 2013 because your next 6-8 weeks are already figured
out for the most part. No matter how many "cycles" we have, after 100
years of automobile sales most think that there is some magic to the last few
weeks of the year. Bullhooey.

If you want to succeed starting next
Tuesday, there is no other way to do it than be steadfast in every aspect of
your staff, processes, facility and follow through. Your greatest efforts need
to be put into place around the touch points (hint: it's not the cars!). Those
are showroom (real and virtual) and people. Nothing else matters without those. We are asked regularly how to "jumpstart" sales to the
effect that many talk about in the industry. If you've not been bombarded by
spam marketing and videos, it usually sounds like "100 to 500 cars
overnight with our processes" and "our sales events will have people
driving in from everywhere" and don't forget "our websites will
optimize so well (or drive leads so easily), no other dealer will be able to
touch your numbers, you'll dominate and just have to deliver cars". Rat
dung!

Get the best assets in your business
today that understand how everyday people use technology and expect to be
communicated with. If that means more green peas, then do it! Training?!?!
Tearing down your salespeople to build them back up means you have the wrong
people and wrong processes! It's not "that Internet thing" any more
than your cars are "those things that have engines and tires". It's
time to grow up and look forward. If you 15-pounder 15% of your customers, expect 50%+ of
your reviews to scream you suck.

If you want to look at things in a
nutshell, read another whitepaper about how great a solution is (6- to
12-months after it's relevant while you signed up to get marketed like mad by the
same company) and look backward. Our industry is depending on people who look
forward with only what's needed about past performance as indicators, nothing
else. Improve incrementally prior to making the huge, sweeping changes like we
hear about so much and maybe, just maybe, you'll see about 3-4 months that the
big stuff is not so big after all because you were able to move the needle
consistently. Overnight success is a short-term facade over impending disaster.
Count on it.

2013 can be great for many, even
amongst the raising concerns about economic and other pressures. The best
always raise to the occasion, it's just that it needs to be done in newer ways
more consistently. And remember to make changes with anything that you do by
benchmarking and recording first because so many will pull the wool over your
eyes and scream "we did it for you!". We see it every day. There are
some great dealership partners out there. Remember that opportunity is missed
by most because it comes dressed in overalls. It's work and most of the time
it's slow.

So relish in the success you've had in
2012, you deserve it! At the same time try not to look back all that much. It
will take longer to catch up than you realize. The automotive world moves at
the speed of retail. That is the only truth. So stop slowing yourself down more
than needed.

Much success in 2012 and thanks for
continuing to read…

 

Best Practices: Professional
Insight,
 Powerful Results

You Lost Me At Hello

Leads. Leads. Leads. Lead? Nope, the customer that should be
yours that will buy somewhere else. All the data (little data and it’s more
well-known brothers medium data and big data) says the same thing: people that
submit leads buy. And buy in a well-defined time frame. And buy from…….well,
it doesn’t matter. Most of the time it’s not you.

So what’s the deal? The deal is this: the more leads that
are typically generated deliver fewer customers. Why? Because we can’t change
an industry of salespeople, management, training and manuals before it wants to
shed its rich history of stuffing customers into cars, only going for the low-hanging
fruit and being “busy” which is a crock of bull. Between seemingly insurmountable
amounts of information and customers buying, there is a brick wall. Yes, the
one you keep hitting your heads against; the one that prevents us from being
great and gaining attitudes that push us outside of our comfort zones.

Internet leads are gold. Back in the 1800’s California Gold
Rush a lot of people went broke while a fair number made their riches. Fast
forward to the last fifteen years and, likely for many of the same reasons, a
few are making a killing while most are screaming “bad leads” rather than
actually looking at what the heck is happening in their stores.

Between a dealership’s website and third parties, the
average store can create enough business to sustain at least one person
dedicated to managing “leads” or a floor of great communicators (which everyone
says they are) sharing all of the business. The problem lies at the point where
a response is sent. For the most part, dealerships respond with crap, period.
Invite me into any dealership in the country, I’ll show you mediocre at best
responses within the 30 days period prior and many of them.

So what needs to be done to eliminate losing someone at
hello? Ready…here’s the rocket science: 

  • Read the lead, and most of the time the source
    lead, completely prior to sending a response. Then read it again. Then slow
    down and read it again.
  • The response should include answers to every question or comment provided by the customer and validation for the customer
  • The response should include a qualifying and/or
    a closing question every time. In
    every email. Every time. No matter what. Every time. And if you can’t think of
    one, write a couple and stick it to your monitor or keyboard (would you like assistance with anything else?
    or did you have any other questions right
    now?
    )
  • Hit send after you’ve read the email thoroughly,
    ensuring that everything asked by the customer has been addressed, value or
    benefit has been identified, your complete contact information is included and
    that no significant amount of time has elapsed since receiving the
    information/email/response from the customer. Hold it!! Read it again and make
    sure it is understandable and completely
    addresses what the customer wants and needs
    without being a Steinbeck.

The reason that most dealerships don’t receive equitable
responses from customers who submit online leads is….we send garbage! If it’s
easier and more rewarding to buy a $25 item from Amazon than a $30,000 car from
your store, shame on you!

Never send an email or pick up the phone (recorded phone
calls demonstrate that we do just as s**tty of a job on the phone as emails)
when (1) you don’t know what you are going to say, (2) don’t address the
customer’s needs, (3) can’t properly invite them into the dealership and (4)
talk/write more than asking questions.

Expectations around online experiences leading to purchase
are increasing. So it doesn’t make sense to miss the mark, then defend yourself
to your GM or GSM with anything other than “you know what, I don’t deserve to
manage your leads”. And by the way, that’s not much of a defense, however at
least it’s honest.

Remember that there is no such thing as a bad lead, just a
crappy response. Yes, there are bogus leads but you’re old enough and smart
enough to sell 20+ cars a month on 100 leads. Yes, you are. Go get ‘em tiger!

Best Practices:
Professional Insight, Powerful Results

DrivingSales Executive Summit 2012: A To Unmarketing

The 2012 DrivingSales Executive Summit has closed its doors with an amazing, energetic event to show. Congratulations to the entire (growing) DrivingSales team, you have left a higher bar to be measured against, once again. With nearly 1000 in attendance, primarily dealers, the vibe was strong around leading-edge strategies. And the expectations were high…

Opening in one of the Bellagio's main ballrooms, with the shortest intro of the four-year event by Jared Hamilton, emcee Charlie Vogelheim introduced Dennis Galbraith to talk about "big data" for dealerships, emphasizing the importance of executable data-based strategy, followed by Luke Wroblewski, renowned mobile expert. The information shared by the former Yahoo design guru wowed the crowd. While not industry-specific, the impact of traffic and studies was easily translatable to both OEM and dealership tactics. The big question was, why are we not better around mobile strategies? The opening reception definitely reflected the excitement for the event.

Florian Zettelmeyer opened up day two with a deeper drive into "Big Data" with a focus on national brands. Like Luke's presentation the evening before, the practical application into automotive was significant and it turned quite a few heads. Feedback from dealers was overwhelmingly positive, and interesting. So were some tweets: one suggested a drinking game each time "Big Data" was heard, the other coining "Big Data" as the…..well you'll have to find and read it.

Rand Fishkin was next and the SEO oracle delivered. Talking points included off-site, social signals, long-tail and other critical search components. The feedback from the session was that it was top-notch. The SEOmoz founder gave dealers (and many vendors) information points that area critical to success, especially given lots of "enterprise" information that is typically given to the industry.

One of the marquee events of the DSES was next…the Best Idea competition. It's best to watch the videos on DrivingSales TV since this post can't quite catch the passion that the dealers being to the table. Everything, at the end of the day, is about the dealer and the industry moves as the speed of retail. So go watch! After the first round of breakout sessions, it was back into the main ballroom for the Innovation Cup. This year cDemo came out on top. Next year those in the running are going to watch to polish up their presentation and explanation skills….

Cobalt was next with their presentation that was supposed to hit on research and, wait for it…. Data that the industry could use relevant to websites and traffic. Some of the points were relevant while many points were already part of existing marketing for most of the dealers in attendance. Then, the full-capacity crowd was rewarded with a gem of a presentation from Billy Beane. The Oakland A's General Manager, who doesn't make public speaking a regular practice, talked about how businesses must be smart, agile and customer-centric, plus saving some tongue-in-check monologue about Moneyball. The audience paid full attention to his ideas, quotes and stories.

Tuesday opened with Facebook and Google…and a heavy dose of anticipation. The two biggest subjects on the industry's mind, Google reviews and Facebook advertising, were not covered due to both companies request. Tom White did as good as possible a job without a full quiver of questions to ask, still leaving some important aspects to be covered by both the search and social giants.

Then one of the most highly anticipated sessions in the industry in 2012: Jared Hamilton hosted TrueCar's Scott Painter for a one-on-one Q&A. Whether Jared took it easy or was tough on who represented the industry's pariah about a year ago or not is of opinion, there were some great questions and responses with some in the crowd wondering what position TrueCar will play into 2013.

Jim Dance followed with a leadership focused presentation that should immediately impact dealership operation. Rich in examples and strategy, Jim did have a post-lunch audience (always tough) that revealed many taking notes. Packed afternoon breakouts brought the event to the evening's joint keynote with JD Power's Automotive Marketing Roundtable. Mini's marketing head Tom Salkowsky talked about their passionate customers and gave chimerical and video examples of just how dedicated Mini owners are.

Then, Scott Straten of "Unmarketing" fame stepped on stage and gave the packed ballroom plenty to laugh, cry and think about. Between chanting "stop it" in regard to mediocre marketing and technology use to bits of "Awesome", his words danced throughout the mix of dealers, OEMs, agencies, media and portals packed i for the following conference. Sick as a dog, Straten simply engaged the audience with the same style and techniques he begged attendees to use.

Amazing event. What will the DSES team due to make 2013 shine? We only have 12 months to find out…

Special announcements: Jared Hamilton introduced industry veteran Kevin Root as President/COO of DrivingSales and revealed that in April 2013, the DrivingSales Automotive Presidents Club featuring Seth Godin. For dealers who want to attend the New York event, go to www.drivingsalespresidentsclub.com

 

Best Practices: Professional Insight, Powerful Results

If You’re Going To Do It, Do It Right…

The special time of the year is nearly upon us, again. From September through February: conferences, expos and 20 Groups with the veritable sales crunch of "you have to get this or you'll be left in the dust!" pitches. You can feel dealers' and general managers' certain body parts tightening up now (not that they aren't pitched every day of every week of every month or every year already).

With very little assistance, which is by choice, direction or information, vendors are chosen and deals are signed. Does that mean dealerships make decisions without "data"? Not necessarily. However decisions made with vendors' own calculators (remember when lead estimating in your market at certain NADA website booths was the fix of the day?????), skewed analytics/search results and by recommendations (you know, what works for a dealer with half the competition and market size one of their 20 Group buddies has should work the same for someone else in a major metro with twice the stores and massive gross degradation?).

What generates results are a combination of relevant data, unbiased information, support, updates and consistency. However what we still see dominating today are dealers using:

Websites:

  • Without any SEO (and sometimes even basic optimization), micro-sites/landing pages and SEM with no/poor call-to-action, heavily redundant non-inventory based content (which Google LOVES! right?!) and the like…

CRM:

  • The "take it as it came out of the box" processes and templates that can't get a call back from a desperate buyer, no management notifications set up, and people with access sending out marketing messages to dealerships' database that are not proper, timely or accurate…

Social media:

  • Left up to companies setting up personal profiles on Facebook, Google Plus, Foursquare, etc. for businesses and/or…
  • Duplicating content on hundreds of dealership social networks and/or…
  • Solely following industry people's accounts and them fanning/following back and/or…
  • Simply buying audiences gaining thousands of eyeballs while most of the paid followers are in different countries (or simply spam accounts)…

…and the list just goes on and on and on. 

If you want to sell cars, you have to do it right. Meet and greet, the walk, the drive, the pencil, the close (yes, the road to the sale to many) that can't exist without process, checklists, audits and accountability. Yet most dealerships' entire digital presence has none of those!!

What we need to do is do things right. Businesses are responsible for everything they do. It's 2012. If you don't understand websites and SEO, get someone that does in your store. Don't think social media is right for your point? Ask your customers where they want you to be and then get someone that does it in your store. And get advice before you hire your person/people or bring on the vendor! You must own every part of your marketing today and not turn a blind eye. And no, it's not too much to do or to get someone in the store or close to you to provide reporting that is not from a vendor's proprietary dashboard (read: manipulation) that can't be validated by another unbiased source.

There are no excuses for businesses today to not know how to do things right and expect results. Sending texts from employees phones without permission based marketing and legal/opt-out included? Having a website for a 150+ unit store that has 800 inbound links and no +1's? Promoting a blog that has the same content as every other (fill in your brand) store within a 1,000 mile radius? It's NOT fine. It's NOT ok. Get real.

Act as if you're a customer to your own business! What are the chances you'd return to your own website if the home page never changed? Would you buy concert tickets from a site that never featured your favorite artists? Would you Like United Airlines on Facebook if every other post from them was two sea lions fighting or two mimes fighting with an intro of "caption this"? would you follow Morton's Steakhouse on Twitter if EVERY post was simply a push from their Facebook account and no interaction with diners? Would you continue to read Marriott's blog if all it contained was posts about awards they were winning from magazines rather than updates on their resort locations that you wanted to travel to? Look it's really simple, it's just not easy.

Own your marketing. The pisser is you've been hearing this for over five years now from a number of sources in the industry including this one. Quit cutting corners and believing everything that the large enterprise-level providers are feeding you. How can one provider claim to be the #1 vendor in an industry and charge half of what everyone else does? It doesn't work that way! You know that…

Look at it this way. McDonald's (as good as some of you may think they are) is not number one in hamburgers. They are number one in volume! Do they serve the best burger? No! Their burger is not the best…and neither is your website/CRM/Social Media if you don't know better.

If you're going to do it, do it right!

 

Best Practices: Professional Insight, Powerful Results

Parting Shots, Starting Shots. They’re Not Too Different. So Get Real!

Chances are you've been on one of the many sides of this lately: Just moments ago I sent a Facebook message to a dealer, responding to my initial message after receiving a "friend" request from them on Facebook. The message in the middle, the one from them, essentially asked me to show them any Facebook language indicating that setting up a personal page for a business was a violation of their terms of use. That was in addition to their indicating that, after reading into it, a business page might be a "good option as they are more tailored to businesses".

Folks, for better or worse it's 2011. Being in business is not about turning the open sign to "open". Being in business means you are serious about it. That every part of your business is on the radar. That being as how nearly everything that you do away from the dealership is digital you should be doing it at your dealership. You can't be serious about it being half-assed.

If you communicate with your Internet leads 50% of the time in your ILM/CRM and 50% of the time in Outlook, you WILL get 50% of the results, not 100%.

If you make a serious effort to contact leads, customers, be-backs and more 50% of the time and spend 50% of the time shooting the s&*t at the water cooler, the point, the desk, the lot and on the web, you WILL get 50% of the results, not 100%.

If you do a relatively good job at scheduling appointments 50% of the time, great job 50% of the time, you WILL get 50% of the results, not 100%.

And if you pay attention to half of the new, relevant, digital information available to you and pay attention to half of the old school, down and dirty, blocking and tackling, back to basics, you WILL get 50% of the results, not 100%. If you are lucky….

You see, as we close one year and start another what you do, and not what you talk about doing, will dictate what you get. This is not rocket science. Stop ignoring what is right in front of you… What we're hoping for is that you get the message. And there's no cost or strings attached! Ignore the messengers all you want. Don't ignore the message here!!!!! Heck, there are plenty in our industry getting (and paying for) a much larger audience and covers of magazines just to tell you what you should be well past.

Yes, it is our job to do the job right the first time. Especially if you have the information and resources! Dealers making sure the coffee and pastry service is just right while ignoring their sales process? Nothing in the world is more akin to stepping over a dollar to pick up a dime. Yes, the customer feel good is important. But calls filled with a bunch of ahs, ers and ums with a bunch of I's to boot or sending someone an email blast 120 days after they bought with a payment $50 less per month for the same car will never take the place of a great donut and a latte.

And it will never take the place of having the best new-owner orientation in the city or even the state or region. Oh yeah, those went away when things got tough and have now been replaced by $5,000 a day "trainers" and $4,000 a month social media services. Man, someone has your number and they've been sharing it!

Our parting shots for 2010 are absolutely no different at all from the starting ones for 2011. A number of dead-on predictions for the last year were ignored by at least 95% of the industry. Will an increase in sales for the majority of dealers in 2010, and hopefully again in 2011, have people ignoring really solid insight and strategies again? Let's hope not.

Aside from the factory banging on you to punch cars so they can reach new sales levels (or try to save their year), January 1 is not the start of a new month or new year. It's the next day after December 31, when you'll likely be doing the same exact thing you were doing on June 16.

So get real…

Best Practices: Professional Insight, Powerful Results

Flipping The Light On: Life After The Pitch

You heard about them. You read about them. You phoned them. You had them in. You listened to them. You took the pitch. You signed the deal. And now, with services starting, either everything is the same as it was before……or the lights are on and it's kind of "ohh my my".

(Twilight Zone music in the background) You thought it would be different. You thought you knew what everything meant. You made that final turn…welcome, to real life after the pitch.

So what happened? Everything seemed fine. Well, what did you expect from adding the services? Did you write down your goals? Were resources already set aside to handle the new vendor? Was their customer service department part of the initial pitch at all? You know, the people that you'll call with questions and issues? Did you get an "out" clause or are you roped in tighter that a M3's engine in the space under the hood of a MX-5? Did you ever think "what happens if they don't do what they say they'll do?"

Let's face it, retailers want a fast, easy, painless, seamless, passive, snap-your-fingers solution. So why in the heck would anyone, unless they are offering an education with full disclosure in their pitch (read: NOT most vendors), tell you that they can't do what you need? It's so much easier to add modules and updates rather than focus on the effectiveness of a core product. It's a lot more fun, apparently, to fill up review sites with bogus users' glowing reviews than actually make it a dealership process to get recommendations. That's why dealers' investments fail and vendors fast profits are usually replaced with a shrinking client list over time.

Without question there are a few companies in the industry that are in a position to add to their product line. And because they can and are able to. Not just because they want to or are getting pressure from compoetitors. Can you find Nike golf bags, backpacks and glasses? Yup! If their shoes started sucking, those superficial products, as profitable and lifestyle "branding integrated" as they are, would be inconsequencial if the core product failed.

And, as a dealer/client, it's your job to turn the lights on. And that means ask the tough questions. Don't take the reports to heart, especially if there's no validation. When you turn the bright lights on, the cockroaches go running! When you have a partnership with your suppliers, guess what happens? Real growth, real education, real improvement. After the pitch should be the best part. If companies knew what was good for then, they'd pitch modestly and over-deliver. Now THAT'S a concept!

And life after the pitch should get progressively easier. Here's a great test and maybe something you want to try in 2011. When you start a new agreement with a vendor, ask for no more than 6 months commitment, maybe less if not month-to-month. After 50-75% of the initial period is done, indicate you're going to cancel at the end of the term and watch/listen to the response. That will tell you volumes about who you're doing business with.

Here's a few things to think about in your next (and likely soon) approach to new providers:

Ask:
1. How long have you been providing this service and who can I talk to about it?
2. What is your average turnaround time for support and completion of a ticket?
3. What hours does your customer service department work?
4. What is your after-hours/weekend customer service policy?
5. When was your last failure/cancelled client and what happened?
6. How many of my competitors to you currently work with?
7. How well does your service integrate with the system(s) currently used by my business?
8. Do you use internal or third party reporting of metrics?
9. Can I cut back on part or all of my services and what kind of notice do you need?
10. Do you subcontract and services and have you experienced service outages?
11. Is ongoing training or field support (not sales rep visits) part of your service?

Thinking about what your needs are away from how much more product and services you're being told you'll sell is critical. And go with your gut. If it sounds too good to be true (1,000 Facebook fans in no time, 200 glowing reviews per month, best sourcing of all customers of any ILM/CRM ever, increases conversion 20% every month for a year, sells cars for you 24/7, builds your client base while you're sleeping and more), it probably is.

And then there's the Golden Rule: Generally stay away from "#1 in (fill in the blank)". If you can see marketing from a vendor you are considering on every automotive network, in every publication, on every B-to-B forum and in your showroom (more often than you'd like), pretend you're a consumer –because you are!– and ask yourself this: do the best working companies in a vertical advertise everywhere? Are they screaming "we're number one"? Now, if you are always screaming "we're number one!" yourself, it might just be a match made in heaven.

Otherwise, for the rest of us, chances are there's too much focus on the frosting and not enough on the cake. Some frosting is so good, it can cover up what looks like a full, well-made, perfectly done cake. Remember that next time you simply grab the box and drive back to the office, thinking about how great everything will be, pull in, run into the store, flip on the lights and open the box. Ooh bummer…

Best Practices: Professional Insight, Powerful Results

Gut Check: What Are We Doing? Oh Yeah, Measuring!

Overstated? Maybe….but likely not. What are we doing? If we go by the numbers, and they're estimated but well known, we've got the second largest employer in the Untied States behind our back. The automotive industry is massive, even if you don't consider the associated businesses it keeps thriving. So, let's say we have a few million directly employed in the car biz (which is likely conservative) and had less than 3,000 in Las Vegas recently for the most important events that actually can move the needle. Pitiful. This week's SEMA show will kill that in attendance. And within the first hour.

What are we doing? So add the OEM eCommerce summits, conferences and events (which represent vendors more typically than push owners and general managers into the uncomfortable zone) and you've got at best a few thousand more that are around the discussions of online marketing, online customers, online retention and online success.

Ignore it at your own willful demise. Attack it like people trying the 72 ounce steak at Big Texan, you might go crazy trying to figure out which end is up. So how do you go down the road somewhere in between the two extremes and still try to maintain that "blocking and tackling" BS mentality that makes ownership and management comfortable? Simple: a plan.

While they are in fact out there, the count of dealers who have a written-down, approved, executable monthly strategy for doing and increasing amount of activities to promote success is likely somewhere around the chance of us having a space program in 2011 that lands us back on the moon. It's on the radar, they're might even be some dollars against it but I will venture a strong guess that it won't happen. That's not quite as disappointing as a dealer that is a few months from increasing their results and market share significantly, and does nothing about it.

Folks, the information is out here. And don't be afraid to ask. Yes, you might have to do some digging through the typical crap: an article on one of the popular automotive communities that doesn't answer your question but does have the "expert's" contact information. Or one of our recent favorites: white papers that will confuse the &^@# out of dealers that also end with a signature block that looks more like a proclamation. (Hint: generally speaking, automotive communities are not the place for white papers. Link to your website from the community website. Better yet, if it's a white paper done in conjunction with a company OUTSIDE of the industry, definitely publish it but keep your post on the communities to the synopsis. Please. Tip: not only that, you get back-links!!!!!!)

There have been fantastic pointers and forecasts about what will happen in the digital/online space for the past two years. Over 95% of the dealers missed or ignored them. Maybe it's time to have 2011 be "The Year Of Great Automotive Listening" (do that will your Movie-Guy voice). No matter what, this is the year of honest measurement, in our opinion.

So here's a few places to go to get your feet wet (or immersed) in measurement:

  1. Google.com (Analytics, Trends, Insights, Alerts, Webmaster tools, etc)
    A. If you've never used the above, start with going to Google and entering "links:www.YOURDEALERSHIPWEBSITE.com" or "site:www.YOURDEALERSHIPWEBSITE.com" and see what Google sees!
  2. Hubspot.com (Website grader, Facebook grader, Twitter grader, PR grader, etc)
    A. If you attended DrivingSales Executive Summit, you got more than you need!
  3. SEOmoz.org, Yahoo Site Explorer, etc (Linking and content tools)
  4. Twitalyzer, TwitterCounter, Untweeps, TwitterAnalyzer, etc (amazing tools if you're on Twitter)
  5. FourScore (found this recently for your FourSquare ranking/effectiveness)
  6. Compete, Alexa, etc (even though many dealership sites won't rank, be creative!)

There are so many other great FREE tools available for you to do more than just count on others, like your website company, and actually improve while holding people accountable but too many to list.

It's time for a gut check. How much further can you go down the road mostly (or absolutely) blind to what is essential to grow your business and be able to talk to the main points….without fudging it anymore.

Here's to doing things with more tools than just passion. Here's to knowing what we're doing!

Best Practices: Professional Insight, Powerful Results

Start With The End In Mind, But Mind What You Start

One of the beauties of working with those businesses that want to move forward is just that: the move forward. One of the drawbacks is the distractions that can stop clients in their tracks. Even the most excited dealer, on any given day, may end up with a list of fire drills that can stop a freight train. Downhill. When you start your move in the digital direction, it must be a complete commitment.

More and more principals and senior management at the dealer level are getting their hands, minds and ambitions set around their online presence, brand reach, consumer interaction and spending real time in understanding what is out there. By educating dealers rather than just taking over the whole ball of wax, change is visible. By involving them rather than avoiding them, cooperation is established. By partnering, accountability becomes easier.

Even with the greatest level of engagement, however, retail is still retail and some habits die hard. Dealers can't ignore their fixed operations for a day. Management can't (and won't) turn a blind eye to the sales floor for 24 hours. Not even the parts manager gets a day without a general manager visit. So how can you afford to go a week or two, if not longer, without chatting up what's happening online and not just leads.

Two areas that might need more work are setting expectations and goal setting. Too often relatively major aspects of online operation are glazed over that can easily be addressed by keeping both vendor and client accountable to updates, the calendar and results.

These days you hear about more dealer service providers being tasked by their dealerships, companies providing more amenable terms, dealers sharing more information with their 20 groups and huge attendance at events around Internet and social media efforts. Great! What is happening to hold the dealer responsible? The web and everything associated with it is so fluid today that it almost makes more sense to have a meeting about what's happening and how to adjust and direct once or twice a week compared to having another sales meeting. Folks, if you have the right staff, it's about bringing the people in…salespeople know what they're doing and not doing especially when they hear it from the desk consistently.

Set expectations, draw out what steps must be done to excel. We must start with the end in mind AND be completely committed to it. Advisers, consultants, webinars and conferences are what you start and maintain with. In other words those are tools, just like 3 by 5 cars, tickler files, walkarounds, and CRM software. They are the conduits to results you want: the sale. They don't sell cars but you can't exist without them.

If you have committed to put your emphasis online, no matter what phase of the process you're in, stick with it. This isn't toe-in-the-water. This is died-in-the-wool. You can't get anywhere without having both the keys and a destination. You can't take off without the right equipment and a flight plan (yeah you pilots of the auto industry, you know who you are). And you can't win online without being part of it, staying in it and knowing what you want out of it.

Best practices: Professional Insight, Powerful Results

Why 2010 Is The Year For The Dealer In The Automotive Communities

You've seen them. You've registered. You've looked a couple times. You've even mentioned them at some of the events you attend to be in the 'know' . But the most you've been involved with what is likely the greatest area of information and opportunity for quicker growth ends with exactly that: not much. Post a comment on a forum? Nonsense. Ask a tough question of your peers? Waster of time. But your processes, results and even poorly rated vendors don't change and the answers are staring at you, through that nice flat screen you convinced your general manager you had to have.

So what will it take to propel dealership involvement in the communities? If we don't change retail, as great as the products have gotten, the fact that new cars are now launched on the web or mobile devices exclusively rather than traditional advertising (about stinking time), the fact that you read reviews of hotels and restaurants on review/forum sites and a list of other valid reasons, the dealer voice online is about as frequent as (fill in your least favorite 80's or 90's pop star here, mine's Cher) appearing on the Billboard Chart's number one spot today.

We can all agree, or let's just say we can, that a lot has had to change in automotive retail. And some are doing it with rewarding results. Even with 'better' results, it's not enough to drop your marketing expense by $50,000 a month compared to a couple years from now, redesign your website and expect cars to fly off the showroom floor. We must share and help each other.

Considering how many have chopped expenses including travel and 20 groups, stopped attending most events and don't even see their reps as much as before, how can you not leverage the online automotive industry communities? That is a rhetorical question considering how many dealers still step over a dollar to pick up a penny.

And let's have real involvement rather the same old list of suspects. A changing of the guard is totally needed, appropriate and refreshing. Does your favorite publication use the same contributors every month? (yawn) Boring! It's no different online.

Dealers, here is the challenge: write down your two or three biggest challenges. Everyone posts them starting tomorrow, for the next 50 weeks. Stupid questions? No such thing! Someone already asked the same or close question? See who else can answer it. What are you afraid of? This is your opportunity to learn while everyone else does. No two people will execute exactly the same so make sure you've got your spin on it.

As an example, after last October's DrivingSales Executive Summit, the comments were consistent not only about the value of the event but the content was more in line with what dealers needed. It was dynamic. The speakers were fresh. The subjects impacted attendees. Then, crickets on the website.

Folks, this is THE year for the automotive online community. Our future success depends on what we do today and for the next 354 days. We have one of the best industries out there, we should treat it as such.

Best Practices: Profession Insight, Powerful Results