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Branding: A Call To Arms (And Phones, Marketing, Websites, email…)

BOOM! It happens and you’re left without a net… Damaged image. Damaged perception. Damaged goods.

Unless you have a brand. Unless you’ve been under a rock or have been too ‘busy’, the amount of evidence, chatter, discussion and conference-data hinging about branding has been nearly deafening. And still, undeniably, the majority of dealers put all of it on the badge.

Write your rxcuses down and put them where the training materials are from your favorite industry speaker (likely in someone’s office or under the desk in the tower, collecting dust). That’s where theu. Belong.

Retailers with amazing brand, consistent engagement, a commitment to what they do for customers and how much they care for their own people know what to do and say when the shit hits the fan.

If you have little else aside from lip service and management doing things the way they always have, you’re forced to depend on the badge. And folks, that’s a crappy position to be in. Oh, it is completely preventable.

Brand, whether the store’s or the salesperson’s or the service tech’s or the business manager’s, is inextricably tied to the customer expeerience. Someone can sell a product for years and ultimately be invisible.

Whatever comes out of any manufacturer difficulty or trial can be mitigated by having a brand that is independent.  It’s been proven over and over and over.

There will be those who come out if any challenging time better, more aware,ore prepared and more convinced. Will that be you after the smoke clears? Or will it be back to business (badge reliant) as usual?

Don’t be badge-dependant, be self-dependant!  If you don’t understand or believe that, it’s time to do a little self-searching…and ask what your brand is.

 

Best Practices: Professional Insights, Powerful Results 

Some Good Time With Some Dealers…MPG Style (Why Weren’t More There!?)

Tuesday's MPG event at Proud Bird at LAX was another great session. While we're typically greeting marketers, OEM executives and industry suppliers, this was a great departure and informative (if not inspiring!). Charlie Vogelheim moderated the panel and the room finished the day with great questions. In between, it was all perspective, passion, personality and even a little bit of 'personal'.

Enter Jon Gray (Orange Coast Jeep Chrysler Dodge), Peter Hoffman (Sierra Automotive Group) and Beau Boeckmann (Galpin Motors). OK, there were three domestic dealerships on the panel so you could say the 'bend' was deserved. That being said, dealership owners I've met have all spoken the same way regardless if they were a domestic or import store owner. Fact is these guys know the business and definitely from a perspective rarely caught in the 'media' headlines after networks and publishers are done devouring the OEM stories.

The three principals were asked about everything from the cost to sell a car, how long they've been in business, how many employees they have, involvement with charities…to their take on government involvement in the automotive industry, specifically GM and Chrysler (with the two dealers speaking about being 'in the clear' of store terminations…for now).

One of the most interesting answers the panel gave was in regards to the impact of the Internet on car sales. All were in agreement that our favorite technology has added cost to dealership sales operations, not decreased, while acknowledging that the transparency has provided some significant advantages to their business.

As expected, the most pointed comments were about Washington's takeover of GM and Chrysler (let's say Fiasler since the Fiat purchase is complete as of this morning) and Ford's ability to stay out of the Cirque d' AutoBiz. They spoke of close friends and associates being on the short end of the decision stick.

Reflecting on how auto retail has changed, Boeckmann talked about how attrition in their local market area over the past years has taken the Ford dealership count from 9 to 3. Hoffman related the story of Oldsmobile's unwind a few years ago and how different it is this time around. Gray talked about how disconnected the factory reps are from the reality of dealership business. Both Hoffman and Boeckmann talked about Saturn's new life, albeit from polar opposites: Galpin still has their Saturn franchise while Sierra sold theirs. They both hope for the best with Penske's purchase of the brand.

Boeckmann provided a unique perspective in being a retailer that has a very close relationship with headquarters, even getting to have input on future cars. Mostly, the three businessmen related how hard it is to get both consumers and manufacturers to think of dealerships in a positive light.  All three are obviously passionate about what they do and provide to their communities, and very likely more so today. Even if most dealerships today are in defense mode, these three seem to have a forward-thinking perspective that is completely refreshing backed by the fact that none are throwing in the towel anytime soon.

These retailers don't have golden parachutes, multi-million (or
billion) dollar bailout packages, rarely get to sell cars for the same
price every time (as the factories do), and  are searching for the
logic behind the banks over-reactive pull back (and well as the search for loans so consumers can buy cars). Having seen a handful of dealerships speaking on panels over the past four years, it is clear that it needs to happen much, much more. Kudos to the Motor Press Guild for having the three fine retailers in for a dose of reality (and even a little bit of business and political conjecture).

What Bankruptcy Means To You And Me…Just Between Car People

Chances are you'll wake up June 2 and head to work, just like on June 1, with most people doing the "same place, same thing" jig and trading their time for money. Sometime (and consistently) over the coming months, however, that will change for far too many people. What we do and what becomes of us will define what impact Chrysler's and General Motors' bankruptcies will ultimately have as well as what will be written.

What bankruptcy means is "a legally declared inability or impairment of ability of an individual or organization to pay its creditors". What it means to you and me depends on what starts on our June 2. It's no secret that a myriad of factors slayed the once-giants. Without getting into the gory details let's say simply that a 'change order' is due (while salespeople might not get that, production folks will!). If everyone continues to focus on the OEMs and not the retail and supplier channel, we'll likely have more 'little' bankruptcies to talk about, soon.

Chances are the real place of change (not discounting what needs to happen at car companies' headquarters) is at dealerships. No doubt the ads will tout change, listening to the public, making better/safer cars and the like. With all of that, people still buy cars from dealerships and not the factories. People buy cars from people. Those people need to be given reasons, explanations, respect, validation and more for ANY purchase they do now.

If you are in retail and are not willing to make difficult changes, you must ask yourself why you're in retail. Bankruptcies will add layers of scrutiny, questions, doubt, consumer pullback and more. You must be prepared to proactively address your market, your clients, your prospects, your business model and more.It might even have people believing they can practically steal your inventory for pennies on the dollar (and tell you they should be able to since the creditors will get about the same!).

There is no such thing as "business as usual". Even in great times, that type of mentality will get you cut at the knees. The market is always in flux, even throwing some curve balls just because the world gives back what you want.

You see bankruptcy is a part of business, unfortunately. It will mean exactly what you want it to mean for you, your staff, your customers and suppliers. If you continue to drive a value, offer benefits, show genuine interest and respect, do what you say you'll do (hello auto industry – wake up!!), give real reasons to return, guess what. People will really do business with you. They have with other businesses in the throws of bankruptcy.

What does bankruptcy mean? What do you want it to mean? Don't allow it to be a crutch, an excuse, a reason to wait, a sign of weakness, a road hazard or anything but a word. If anything, let the transparency be a fear and lethargy removal machine, an opportunity creator and really go out there to be IN business rather that OUT of business. The rest is up to you.

Best practices: Professional Insight, Powerful Results

Author's note: At no time over the past year has IM@CS changed its focus for dealerships: process, branding, communication and accountability. Customized solutions tailored for each client. Commitment to your business and our word. It's time for a partner like that…

A Day With The Marketers…Automotive News Style

Today was a day filled with marketing statistics, reporting, ideas, videos, commercials, banter, conjecture and more. Ultimately what Automotive News set out to achieve again this year was, I my opinion, point the industry/crowd/listeners to what is and will be happening in the landscape of media and marketing. Did it happen?

Joel Ewanick from Hyundai detailed a number of aspects of the Hyundai Assurance program that has gained the brand major accolades in addition to being mimicked by over 100 companies. His retelling of the time line (just over 30 days) that they produced the campaign in along with the supporting aspects of such a program was impressive. The presentation lacked a 'forward' element, which I'm sure HMA already has done, but that's not likely what he was asked to speak about.

Scion's Jack Hollis struck what I thought was the closest blow to the nail from an engagement standpoint regarding experiential marketing, lifestyle and connection with customers. "We want community" is as close to where a marketer needs to be today! Great visuals were backed by his actual participation in events (and no, not just in a room to watch usability studies through a two-way mirror).

Judy Wheeler form Chrysler (replacement for the absent Steven Landry) had a good presentation that understandably had no major 'forward' view. After having their marketing budget slashed by 50% last week by the White House and Auto Task Force, there was not much to address besides the 'impending' marriage with Fiat. She did bring some ads that are in the hopper which centered around what Chrysler and Jeep brand "build".

John Maloney of Volvo hit on some solid points around their shift from the traditional 'national' unveiling and detailed a number of great points about the XC60's recent 'new' launch campaign. It sounds like Volvo will use the money-saving, impact increasing method again in the near future. He also focused on the brand's image with the new 'City Safety' accident avoidance system.

John Mendel from Honda spoke the words that you rarely hear today: brand, value, consistency. He repeated that call time and again throughout his session which included a throw-back to a nearly 50-year-old Honda motorcycle commercial! Flipping from decade to decade in content and conversation, Mr. Mendel was able to address the solid focus at Honda (along with their agency RPA) that should enable them to deliver more 'safe' marketing. Hopefully they do get a little more edgy than their Facebook and Twitter involvement…

And then there was Mike Sullivan, a.k.a. "L.A. Car Guy", bringing color and comedy to the stage for a retailer's perspective. He got into hard hitting numbers, results, marketing mix, Internet effect and other, more typical in better financial times, tangibles like charity, community involvement and other brand building mantras. Mr. Sullivan and his staff are more than dedicated to their marketing goals and seem poised to achieve success through their different initiatives. They still may have some room to grow on integrated media and retention, but they are clearly looking for more ways to deliver on their Interactive brand.

The closing panel with all the speakers answering questions got a little better, especially around the newspaper/print aspect. While Chrysler's recent direction was more heavily tilted toward print, the overwhelming opinion was a shift away from the paper and to the web. By the same token, these marketers have not hit pay dirt as many marketing efforts still leave behind the largest potential as well as target: the consumer. Content consumption has changed and even content creation has had a noticeable shift. Out industry still lacks the 'teeth' it needs, especially at retail, to really engage the consumer to become part of their lives, especially away from their vehicles.

Overall, it was a great time around well over a thousand ad agency, automotive marketing, manufacturers and service provider folks. Wonder what it'll be like next year…

Best Practices: Professional Insight, Powerful Results

Sharing The Pain, Silver Bullets And You

What is it that drives someone to perform? Along with the given family, friends, clients, bosses, partners and other tangibles and intangibles, it's simply that person's desire. Two things are clearly evident in the auto industry today: it's inextricably tied to the economy (if not one of the biggest drivers) and that companies reap what they sow, sometimes for an undeservedly long time. You can't change the economy but you can absolutely control what you do.

It's not rocket science to understand what separates a performer for an 'also ran'. While that may not be fair, it's reality. The winner always figures out a way to the desired result. They rise above circumstances and work on the cause side of the equation rather than the effect side. They also know that pointing a outward finger points three back at themselves.

Another wake-up call: even though the domestic auto manufacturers may not be building the most relevant cars in the world, the products sold by GM, Ford and Chrysler do not deserve the stigma attached to the cars from the 1980s until about 2000 or so today. If sentiment is the major indicator that it truly is, Detroit is still living the nightmare. In all fairness, however, I've seen more Traverse commercials in the past three months than I ever saw of 'Road To Redemption' ads.

What is it that continues to perpetuate that type of thought process today when products and services are truly better than ever? No one is impervious. Toyota is down around 50% over the past two months and layoffs there are eminent after the first of the year.

Sharing the pain is and will be one of the unfair realities (GM is holding incentive money from dealers for two weeks, which might bury more than a few stores) as is shortages of 'hot sellers' while your lot is filled with cars that don't move. And guess what…silver bullets just don't exist and likely never did.

So what can you do to change the perception of auto retail and service?  Quit letting the 'brands' dictate your actions and reactions. Build your own brand and reputation because people don't buy a Wrangler, Camry, Z, Malibu or Arnage from Jeep, Toyota, Nissan, Chevrolet or Bentley. They buy from you. Start staring at the front door less and start staring at your screen more (and then email and call more, too). Read what people are saying about you online and realize that's what everyone reads!

Start using the reports from your CRM, utilizing your analytics, update your website (including updating your staff photos that show people that are no longer there and not showing people that are), market your pre-owned inventory (you market it, not the third party sites), add video to your site, emails and follow ups, take more pictures of your happy customers at delivery, call a customer you haven't touched in 12 months…

Don't hold Honda or Subaru responsible for slow traffic and hold back
on expecting Mazda to deliver 24 more customers this month.  Think like, plan like, act like and then become a performer. You're the only thing between not having it happen and making it happen. Be more effective by doing above what is needed and you'll have everyone else thinking that your holster is loaded with silver bullets. Go on…be great!

Best practices: Professional Insight, Powerful Results