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Websites: Why Your Smallest Investment Still Pisses You Off

We’ll let you in on a little secret. For years, decades really, you’ve been able to throw some words and photos onto recycled trees, shoot a check out for $5,000 a week and create a line so long out your front door you were laughing. And now you have a virtual ad up every day for one quarter that price (or less for most dealers) and bang your head against a wall.

You might even think that your last print ad actually did better than any other source in recent memory.

The only rules that changed when you relied on print was if your rep would “take care of you”, a competitor would drop out of the paper for a week, you had a better lost leader than the closest same-brand store or if you included dealer cash or bought down rate and nobody else did that weekend.

Nowadays how you show up, where you show up, when you show up doesn’t make sense to you and don’t have anyone even get you started on pricing as gross erodes, software tells you how to optimize your lot and competitors you’ve never heard of are showing up in your pump-in, pump-out report.

You would gladly spend $30,000 a month to see your latest promotion, however if another rep or consultant walks in with a haphazardly assembled SEO report telling you that their services are needed immediately for $2,000 a month you’ll give them the Axel Foley treatment in Beverly Hills Cop.

And now you’re told that your current website provider platform isn’t up to snuff (what is a subdomain or a second “site”??), your paid ads don’t convert, leads are down and your cost per sale is up. You’re pissed. And mostly because you don’t understand what to do and how to do it or how to get your vendor(s) to do it, not because your most important advertising source can’t work.

It’s your smallest investment (you’ll spend more in coffee services, porters and trips to 7-11 for Red Bull for your staff to start logging their ups and follows ups in CRM).

Studies don’t matter. Analytics don’t matter. Lead ROI doesn’t matter. Not until all of the basics are covered. Not until you have an understanding of your $700-$3,000 per month spend. It’s never been a pay-for-it-and-leave-it even though every vendor tells you it is.

Websites are one of your three greatest investments and the least expensive (the other two are your staff and your CRM). Don’t ignore it and them blame anyone else. You shouldn’t spend money for anything you don’t understand. Don’t be the one who knows more about what clubs Jordan was using last weekend, yet nothing about the platform your website runs on or that you need to deliver four sizes of your latest ads instead of one. Don’t get pissed off at one of your smallest line items, get smart and get results.

 

Best Practices: Professional Insight, Powerful Results

Wake Up! A Call To Arms…Legs, Hands, Feet, Real Products and Decisions

The more things change, the more they stay the same. There
are no shortcuts… Car dealers, when it comes to websites, SEO, reputation
management, SEM and social media stop simply buying services blind or going
co-op “approved” to save a buck. Stop buying enterprise solutions because it's
one check or everything comes on a "proprietary dashboard" and start
getting effective results with accountability. Start being your own dealership
online rather than being like all of the rest. The same is what enterprise
solutions get you. It doesn't work.

Some quick examples: Redundant SEO doesn't stand out and as
a matter of fact it’s penalized today by Google and Bing. Copied press releases
don't get clicked, read or acted upon. Facebook posts (even though, yes, Google
and Bing don't crawl them) that are identical to every one of your competitors don't
gain reach or go viral. And PPC ads that aren’t set up properly and don't have
unique content don't convert.

It is time to drop the vendors that are endorsed by your
brand/OEM that 450, 700 or 1,600 other stores are on; and time to invest
properly, get involved with what YOU put online under your name and get real
about understanding and results. And for business sake, reputation management
and social media are not things you just turn over and don’t watch and discuss,
period. Paying vendors to get reviews and paying someone to put up pictures of
goldfish in adjacent bowls starting at each other with "caption this"
was not acceptable in 2009, let alone 2012. And even if you're not up to speed
with what Google or Yelp are doing (and you need to be), don’t pay for reviews
from someone that’s not a salesperson, service writer or other employee. Your
reputation is your responsibility, not a vendor’s for a couple thousand dollars
a month.

Your OEM-certified vendors don’t understand social media and
for most brand headquarters, the people making the decision don’t know much
more when they sign the purchase orders or endorsements. Most eCommerce heads
had stints in other areas of their brand operations and have no experience or
understanding.  It’s time you knew that because
you are trusting your largest traffic generator, which most dealers flinch at
spending $1,000-1,500 a month for…let alone more appropriate, higher costs, to a
decision someone made based on a relationship, a pitch and/or promises of non-dealer-centric
benefits.

Take ownership and yes, you can and must do and be
responsible for every single thing that has your name on it: advertising,
fliers, sell sheets, hang tags, pictures, video, templates and online
marketing…all the way down to your business cards. If you aren’t on your way,
or at least starting, down your digital comprehension and betterment it is only
a matter of time before you are absolutely, positively passed up.

You will hear this from very few people and places because
it flies in the face of convention. And it disagrees with what you hear in ads
and presentations. And it is an about face from what nearly all of the OEMs
want and believe. And because it’s hard to beat the 800 pound gorilla (vendors);
the gorilla that has no idea what any part of the funnel in their traffic
report is, how to properly maintain website optimization, how to set up a
legitimate Facebook or Google Plus page and just can’t get its hands around how
to actually answer a lead.

Welcome to being back in business for yourself and with the
right frame of mind. Yes, that means the herd you leave just may be heading the
wrong way…

 

Best Practices: Professional Insight, Powerful Resutls

When The Cover Comes Off The Onion

Let's face it, we still live in a marketing-based world. And nearly all of it still screaming for attention, sales, mass following, validation, acceptance and more while typically ignoring what matters most. Yes, it's morphed and transitioned and (partially) gone to the place called online but it is created and delivered in the same way it nearly always has. And for automotive, in both B-to-B and B-to-C arenas, the deliverables suck (we'll try to not use any more technical terms in this post).

It's not that the market, the public, the customers, the industry or even the actual providers don't expect any different, it's just that it's what's done. Is it that when you stop screaming "we're #1" it allows another company to scream the same thing, making it true? In the experience garnered by partnering with dealers all over North America, the most dissatisfaction expressed comes from dealing with companies screaming about top results while not backing it up.

Have we become so skewed that we'll actually do what we don't want to take part in ourselves? Or have we become so numb to the barrage of messaging that we don't notice? So let's take a layer off!

1. Old school. We practice what we preach, right? There is a lot of talk, once again, about "back to basics" and "blocking and tackling". Are you practicing what you preach, or is it time to get real? For starters, look at how salespeople are being "taught" typically, if at all. Motivational speakers? In-your-face, Glengarry Glen Ross "coffee is for closers" stuff (even though it may be true)? "Seasoned veterans that can do everything" sessions in your store? So…do you actually do that to customers? Do you talk to them that way? If not, why do you need it?

Salespeople are motivated by, wait for it, MONEY! If a salesperson is not on the ball, they may need a pep talk from an outsider for $5,000-$30,000. Right? More likely they need a couple days off, fresh air, a good book, some exercise and to get away from the naysayers at the dealership (which can also include management!). The first layer of the onion feel like the first burn of summer vacation…

2. Hyped 20 Group sales. For good and for bad, dealers talk to dealers that talk with other dealers. They recommend things. They invite speakers and presenters (don't forget the pitch masters) to their groups, associations and getaways. And then it happens: after providing a dealer/group with some great info, recommending appropriate partners, showing them how to best get the true answers as they consider the next move…you walk into the store that has been desperately needing a real kick in the behind treatment to get going, and alas…they had a round of golf with their buddy 86 states away and bought the same (fill-in-the-blank solution/vendor) because "they're selling cars like water".

No real research, no real competitive bids, no idea what they're doing. And, being as how it's automotive retail, after the install and training, the 30 days of excitement wears off and it's just another check. Until the next company comes in and…"nope, we don't need any new fill-in-the-blanks…we're all over it!". Yeah Bill (if you're a Microsoft fan or Steve if you like Apple more), you're all over it. That layer of the onion just put a divot in your business way bigger than the one you did on the 14th hole with your buddy.

3. Media. While that should be enough said, it still needs clarification. You are what you eat right? So, it is worth venturing a guess that you are what you read as well. Did you ever like a newscaster so much that the news was somewhat not as believable when someone else was on camera? That sure explains a lot in the automotive industry. A change of scenery is becoming more and more what the doctor ordered. Social media has surely facilitated the fact that a handful of sources is not as good as many good sources. Considering, at the same time, that there is definitely garbage out there called news, the world would just not be the same place anymore without the streams of great, timely and absolutely valuable information.

Or do you still get it from the same 10 people over and over and over? Better yet, do you get it from a place that sells what you end up seeing? Trust is absolutely required and good data is needed. So is a great line of questioning that deserves an honest, unbiased answer. Have you got your answer yet? The pain from that layer of the onion comes with a tear, a grimace and a cost.

 

Change is necessary, more than ever. And more than ever, things are remaining the same: The OEMs' ads. The Tier II ads. The vendors' pitches. The automotive media. The balloons. The gorillas on roofs. The radio spots. The newspaper. What are you trying to tell a public that is wide awake and ignoring it all?

Look outside, there's a new day. It's called opportunity. And it's not wearing yesterday's clothes. It's not driving a….oh boy. Better not go there. That onion might end up being really sour….

 

Best Practices: Professional Insight, Powerful Results

Week At IM@CS: Chats With The Industry

We typically address vendors here for best practices and today will be a little different. When trying to tackle social media, especially as a support for specific marketing online, it is important to be equipped. Some of the most frequent questions heard relate to getting started and how to be effective.

1. Where?
    Twitter, Facebook, Plaxo, LinkedIn, CarFolks, Google, Yelp, DealerRater, MyDealerReport for starters

2. Why?
    People go there, trust them, read them, listen to them more than they do with you, period.

3. How?
    Register, watch others, prepare and create a plan. Don't just set up a Facebook page and leave it. Support it with content, staff and purpose. There are now tools to measure your impact, for example on Twitter:
http://www.webanalyticsdemystified.com/twitter
http://twitter.grader.com/

4. When?
    Now, or as soon as you decide that your brand awareness and people connecting with you are important.

5. Remember
    Nothing, not even the best process, is a silver bullet. If you're planning on inviting more people to come to you, give them a reason. Not a price, not a car, not a showroom, not espresso. Give them a reason that the rest of the 'things' absolutely support.

Nothing can build or kill your business like reputation. What are you doing to ensure that the good outweighs the bad, no matter how accurate? Almost every resource listed above is free, but worth money. You've been spending $3,000-$50,000 per month to get one, two, three customers at a time (at a ridiculously low ROI). Why not spend $0-$3,000 a month using those tools to make sure every customer has a reason to use you, can find you, can read what others say about you and stay connected with you, something they never did with your $20,000 ad that used to run every Saturday.

Stay in front, it's more important than ever today. Stay relevant, your future depends on it. Stay tuned, that way your customers can.

Best practices: Professional Insight, Powerful Results

What NADA Showed Us And How We Can Learn

Last weekend's NADA show had all of the makings for a great show: vendors, timing, speakers and even terrific weather (for New Orleans in winter). The one thing that was missed: the D in NADA. Without the dealers, it's a relatively expensive industry supplier meeting. As the trade show and the main body of the industry in the US, it's the dealers' best resource for gettin' er' done. I've never walked around unabated.

This is not a blast on the NADA, its leadership or affiliates. Considering that this blog is for best practices, we'd prefer to look at ideas and solutions prior to next year's Orlando get together. More should have been done to get the dealers there that considered it and declined. NADA, its exhibitors, partners and others deserve more for the effort that is put forth every year to provide solutions and resources to a massive industry.

Absolutely knowing that attendance would be down, a stronger message could have been sent including promotion of the event in the past couple months. Lowering ticket prices, getting airlines, hotels and other necessary partners involved to chip in with big discounts would have been instrumental in getting more people out. On the surface, those are the 'easy' things: better promotion, better attendance, better planning leading to better results. OK, enough said on that, I went.

This year is done and over, we can't change it. Keeping in mind existing factors and the expected continued drop in sales, how can we drive going forward and build for NADA '10? If the industry is down this year, will less than 10% of the automotive retailers be represented next year? How many people will think "I didn't go in '09 and I don't think it hurt me, maybe I'll skip the next one!"

Maybe a couple things need to change. Having attended the major shows and events over the past eight years, it's clear that change is needed to be more effective. Here are a few thoughts:

1. Setting expectations for what dealers will be able to get out of every session, event, speaker and meeting.
2. Promote each event individually in the lead up to the show via email and other marketing.
3. Hold speakers and contributors accountable for the content of their sessions and change them every year. People don't want to hear the same folks talking every year.
4. Follow up. Maybe NADA should follow up with every attendee each year with their staff of consultants and make sure the value from the show is delivered.
5. Come with the expectation to learn first, network second, see everyone you should third and then maybe shift to how many drinks it takes to forget the taxi ride back to the wrong hotel. No, it shouldn't be number one or two no matter how much fun you can have.

Many of this industry's best and brightest companies were on display for about 80% fewer dealers this year. The busiest booths I witnessed were all associated with the web, web-based and/or services that are made for the Internet. In order for all of us to build the business right now, we have to be focused on customers, best practices, smart spending, brand building and right-sizing.

If we act now to make NADA 2010 better for everyone, we'll have a tremendous show. One other way we might be better served is to cross promote events (no matter how insane that sounds in a hyper-competitive environment). Digital Dealer, JD Power Automotive Roundtables, Ward's Spring Training, Synergy Sessions and more can further benefit by helping the community in addition to getting more dealers to attend through lowering fees and providing more value. Just an idea…

If you were at NADA:

1. What were your perspectives?
2. What do you see happening to push business forward?
3. Who were the most exciting companies in your opinion? (without blatant self-promotion)
4. What do you think was missed that must be addressed in a proactive manner going forward?

Learn from the past to better look forward and plan. It is in our complete interest to create a healthier place to both work and thrive from the inside. It must start with helping dealers sell more cars.

Best practices: Professional Insight, Powerful Results

Week At IM@CS: Chats With The Industry

Information: Admit it, even when you're 'on top' of your DMS, know your monthly P/L and even memorize 2,000 customers' names…you still struggle. We live and die by information. When do you act on it? How do you act on it? Is it
relevant? How is it stored? Do you use it to learn? Do you seek it with the determination of an honors student with a 4.3GPA or the person who slides to the back of the classroom? Doesn't matter: your world is ruled by it. Here are some ideas
about what you can do with your information and some great places for more:

Visible Customer:
Have an ILM? Pay for a CRM? If it's not strong enough or your staff can't use it effectively, it's no better than MICKEY MOUSE. Still need to build one-to-one relationships
with your customers? Sean Stapleton and the team at Visible seem to
understand what dealers need to a degree that very few vendors do today
from an execution perspective. The product line is inline with today's needs and their background happens to be solid enough to rest an entire football team on (in case you were wondering). http://www.visiblecustomer.com

Dealer Refresh: A few weeks ago a couple newer automotive "community" sites were mentioned that IM@CS reads and participates in. When it comes to industry blogs (including this one) there is a recognized leader through the observations and words of Jeff Kershner at http://www.dealerrefresh.com Check it out if it's been a while or if you've never laid your eyes on the content from one of Mile One's and the industry's finest.

Arkona: Every once in a while, one of our clients completes their 218-year contract with their existing DMS supplier. Having been around and watching Richard Holland's company for the past four plus years (and acknowledging DealerTrack's great acquisition as well), Arkona seems to do that little bit more, a little bit faster, a little bit easier for a little bit less with a little more focus on you (yes, that's being a little nice to the 'other' guys). Check out their product: http://www.arkona.com

Survey Monkey: "I can't trust my staff to get the data", "No customer is going answer my questions, they don't even answer our surveys" and "it's not my job to follow up with the customer, our CSR does that" are just a few excuses heard typically in the halls, showrooms and back offices of dealerships daily. There is a free way to get your client opinions and comments with a little bit of set up work. If you need to ask more than 10 questions, you'll pay a little but it's worth every penny. What you do with the data is up to you, but get it! http://www.surveymonkey.com

There are many more ways to accrue, store, work with and ultimately monetize your data, but hopefully the above serve as one to a few more than you had before. We'll try to keep these updates weekly and ultimately have an area where you can get in touch with the vendors.

Best practices: Professional Insight, Powerful Results

Week At IM@CS: Chats With The Industry

There are some great companies out there and this section of our blog is intended to both look at best practices and provide a more level playing field for those that don't have the marketing dollars or field representation. Sometimes, it's just that the vendor is newer to the space and should get a helping hand.

Both of the companies listed here are neither new or very small, but they do have those qualities. Both are headed by experienced leaders and provide a great service.

1Micro: Integration means different things to different people. Doing a great job with prospects before, during and after their dealership experience requires skill, knowledge and a solid level of integration. 1Micro provides an impressive system at any level, including key systems and CRM. Back at the Digital Dealer conference in April '08 I had the chance to get a thorough introduction by Kris Terp and I've been impressed since. Check them out at http://www.1micro.com

Jazel: Websites are websites until they have strong SEO, are dynamic and allow dealers with different skill levels to admin them. So Steve Hastert and his team at Jazel provide more than just a website, which is what more and more dealers need today. They also have an ad agency background so they know how to drive traffic, create eye-candy and also keep things simple if you prefer that. Oh, they do lead management as well, so you may even be able to simplify things if you like http://www.jazelauto.com

We'll try to keep these updates weekly and ultimately have an area where you can get in touch with the vendors.

Best practices: Professional Insight, Powerful Results

Week At IM@CS: Chats With The Industry

With the year coming to a close, it was time for a bigger perspective break from our traditional focus on smaller companies. This is a look back a the bigger conduits that may not always have had the spotlight, considering the focus on the OEMs, economy and other reasons. IM@CS would like to give credit to the following:

HomeNet: If Jesse Biter and the team at HomeNet don't continue to impress, you're not looking. With everything else they're doing to make inventory 'that much better', they added their IOL community to the list of accomplishments. Then they polished off the year by getting Neal Gann on board…great work Jesse and the folks at HomeNet! http://www.homenetinc.com

DealerSocket: We continue to be impressed by their product, innovation and support. The industry is focussed on CRM now, but there has to be more than strong intent to help dealers succeed or put out a great campaign to solicit signups. Some of the smallest and largest dealers in the country rely on Jonathan Ord's company daily and they seem to be sold on the whole package and not an image, great stuff! http://www.dealersocket.com

Automotive Digest: Outside of the fact that their content has been finding its way into the inbox here for a long time, their content is relevant, compelling, easy to read and timely. Chuck Parker and the team of contributors and editors seem to focus on what dealers need most, especially in the online world. There a number of titles to satisfy nearly everyone on your holiday list!! Dealer Digest Daily is the IM@CS favorite. http://www.automotivedigest.com

We'll try to keep these updates weekly and ultimately have an area where you can get in touch with the vendors.

Best practices: Professional Insight, Powerful Results

Week At IM@CS: Chats With The Industry

Little fish in a big pond or big fish in a little pond? If you have process, vendors that back you and a great staff, it doesn't matter. In the event that you're looking for some smaller companies that 'fit the bill', you may want to check these out:

Customer For Life: CRM is not just emails. No, seriously! Get the most out of your database, at least until someone at your dealership actually gets to them. Having worked with Salesforce-based systems in the past, the foundation is rock solid. Put Ivan Feher and the team at CFL on the case at your dealership and you might just see great results, for less than you think. In addition, they seem to be launching something of value about every quarter so they like to keep you on your toes! http://www.customerforlife.com

Undertone Networks: Online media doesn't get a lot of attention compared to SEO and SEM for individual dealers but if you're part of an association, 20 group or own a number of dealerships, you may want to know a lot more about ad networks and starting to interact with your public the way that the big boys do. Not for everyone, but this is one of the areas that is a must going forward considering that you've already dropped all of your conventional marketing (or will this month). Contact Brad Fox, he has a great background in everything online automotive (or any of their regional offices). http://www.undertone.com

Free Press Release: When it comes to all of the activities that dealers want to but don't execute on, one that can help greatly and doesn't take a lot of time is press releases. Free is better (if you don't mind Google ads and other no-in-your-control aspects) but there is a minor charge to get rid of the 'other stuff'. Remember, it's a great SEO tool and gets your events, specials and other news-worthy events in front of the public. http://www.free-press-release.com

DealersCompass: Fixed-Ops seems to be saving at least a few lives for the proverbial cat as of late. Outside of merely cutting costs, dealers need ideas. Brad Bossen at DealersCompass has a couple decades of experience in making service and other facets of fixed operations work better, make more sense and deliver more dollars. He's based in Phoenix but planes, trains and automobiles go everywhere. Call Brad at (480) 234-7877 or visit him at http://www.linkedin.com/pub/dir/brad/bossen or http://adpadm.ning.com/profile/BradBossen

We'll try to keep these updates weekly and ultimately have an area where you can get in touch with the vendors.

Best practices: Professional Insight, Powerful Results