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Homogenization is for Milk (If You Drink That Sort of Thing), Not Dealers

“If digital were that easy, everyone would be doing it” said no automotive OEM executive, ever. But somehow, over the past few years, it seems as though they did. Meaning, for the most part, they don’t do anything digitally and yet…they expect their franchises to through some very forceful measures.

The dealers don’t win. The consumers don’t win. The car companies win. Concessions. That’s all. And not the kind that sell more cars. No, car sales are not up due to websites, erosion of gross or 84 month leases. Car sales are up because of demand, available loans and because, yes, the cars (all of them) are being made better today than ever. Oh, and of course, because your website company says their marketing rocks and they deliver the most low-funnel consumers to your doorstep (yeah, those reports make us puke, too).

Homogenization has never been greater at a time when nearly every smart person in marketing (automotive and non) says to create differentiation in every aspect of your business. Yet your OEM digital representative, who was in sales operations three years ago and brand communications a year ago, comes in and says that you have to/should use website provider A or B (that doesn’t have a fully responsive mobile platform, let alone one site), CRM vendor C2, search marketing partner D5B and consulting company WTF (who’s consultant was born the same year your rep graduated Northwood and worked at a Verizon store last).

If you’re smart and digitally savvy, you’ll run as fast as you can the other way. Why? Because selfishly, every digital know-it-all can do a better job? No. Because, unless you have a well under-performing store that you can plug any brainless automotive digital veteran into, buy more leads and sell more cars, they’re after your data, customers, results and ideas through managed programs. Yes it’s absolutely essential to have every retailer represented well digitally, however if a dealer wants to think that digital is a fad and not put resources into the top consideration generator, let them do so. It’s natural selection in business folks, let ’em sink.

Being made to look like every dealership with the same banners, offers, landing pages, newsletters, paid marketing and social media is a slow, miserable existence. An import dealer shared today that during his recent brand marketing meeting, an OEM digital overlord told him that he should have the ability to turn off all of the factory marketing if he had his own. Unfortunately, his website company (OEM-endorsed) didn’t allow him to and the third-party, in-the-way-of-your-results consulting firm didn’t have an answer on if he could or not. (the OEM guy did take notes and will report back!)

Another dealer chatted with us about not having proper used car data on their OEM-endorsed websites for their group. You think that the car company loses any sleep over used car anything, let alone mis-equipped listings potentially losing thousands of dollars?

It’s time to take your marketing over if you want to. Yes, it’ll take time, money, measurement (you don’t understand now), resources, patience and a die-hard willingness to learn, changing your dealership culture. And it has to start with the dealer and general management. Not for a dashboard or an award, not for a magazine cover shot or being called up at a conference. And quit talking about visits or sessions, that’s so 2008. Nothing cooler than telling your dealer “we had 1,000 people on the lot and in showroom, sat down with 28 and sold 4!”. By the way that’s what your website says.

All of this is because if something doesn’t sell or service a car, or get someone back to your dealership, it’s not worth buying or using. And nobody, not one person, after working with hundreds of dealers, on OEM programs, at 20 Groups, conferences and webinars, producing second-to-none content, social and SEO, can convince us that standardizing marketing and solutions across thousands of retail points across North America can do anything other than paint the industry with a bland brush.

You don’t deserve that and your customers don’t deserve that. Will Rogers once said “If you find yourself in a hole, stop digging”. Unfortunately these OEM digital programs have created a Crab Mentality by literally not letting those that choose to get ahead. Good intentions, poor execution.

You can do much better. We hope. (310) 377-6481 or info at imacsweb.com

 

Best Practices: Professional Insight, Powerful Results

September 16, 2015 by Gary May 2
Tipping The Scales. Against An 800 Pound Gorilla…

Have you ever tried skiing? Uphill? Are you one for SCUBA diving? In a wading pool? Do you get your kicks running marathons? On a treadmill? How does this grab you: are you a fan of water skiing? On a dry lake bed? It seems that the more you try to distinguish your dealership today, there's someone from the factory telling you that all of the franchises in your brand should be the same. Nice. There's nothing better than showing up to a gunfight with a knife, right?

Know that we understand completely the advantage for the OEM. The level of standards, compliance and requirements shows more (not necessarily better) knowledge and what's happening with endorsed vendors shows that there may be a desire for (less than acceptable) results. "But they're the factory and I don't want problems". Well, Dear John, that train already left the station and you're the one who gets to sell the customers…right? Don't look now but the factory guys, umm, they don't know how to sell cars and neither do their bosses. Shhh, it's a big industry secret!

So how do you win at the "I want to get ahead and they want me to be behind some imaginary digital line that they don't understand" scenario? With more effort, time, cost and resources you can get 'er done! Welp, that's the short, hard to swallow answer. Can it get done? Yes, the same way you eat an elephant.

Look, they're the 800-pound gorilla (or, if you've been to counseling, the "white elephant in the room") and it's usually ugly if you don't take the extra cars they're shoving down your throat. How can the conversation about why the website vendor is failing them or the fact that the social media/reputation management company actually doesn't do what they say they do with any competency go better? It can't…not until there are real conversations at the headquarters. And folks, they've not even started yet. And the people in the digital posts at your OEMs facilities? Yes, they were selling factory replacement parts to you, at best, six months ago. No, everyone with a smartphone, a Facebook account and knows that CMS is content management system doesn't understand digital. Newsflash: SEO is alphabet soup to them.

Our 800-pound gorillas (read: all of them, not just the "big 6") need a major intervention from you right now. If you're reading this, you're in the top 5-10% of progressive dealers in the country. And don't think for a second that by having them out for a heart-to-heart or flying coach back to the OEM HQ for a fireside chat is going to take the covers off your website, CRM and marketing secrets because we still don't have over 17,000 dealers on mobile-optimized websites yet. However it's a step in the right direction and then 90% of your brand brothers won't have to scream that they don't know what their digitalmarketingleadmanagementpaidsearchretargetingonlinereputationconsultinggurus actually do (yes, please hashtag that!).

Did you hear the feedback from NADA? Yuuuuuuuuup! We're sure you did. Are the OEMs the bad guys? Not in the least. However the combination comes from vendors constantly selling (and them buying, BTW), relationships winning over logic and thousands of dealers fighting the "digital machine" for way to long. When a franchise gets over 50% of their traffic from sources they've not looked at in over a year, someone has to get involved. So they're not public enemy #1, they're just one massive speed bump that wrote a blank check to the wrong address.

Tip the scales in your direction, one pound at a time. (No gorillas were harmed in the creation of this post, but some will be offended – and so will many endorsed vendors)

 

Best Practices: Professional Insight, Powerful Results

 

February 24, 2013 by Gary May 1
The Key To Everything? Customer Service (STILL!)

Customer service. The term is thrown out like freebies,
party invites, pitches and proposals at NADA. Customer support? Customer
satisfaction? Customer focused? What do your vendors call it? Does that come
after reviewing how many days or weeks they’re allowed after you open a ticket
for something that should be a 1-2 hour operation? Customer service should be
about the…wait for it, CUSTOMER!

What we call customer service has morphed over the years, likely more based on
scale, capacity, programming and software than the requirement to actually take
care of the customer. Very few businesses, still today, put the customer first
however their marketing screams service.

And not following any of the “blueprint” norms really comes
through. Does your website, SEO, SEM, mobile, call tracking and chat companies
really show an amazing zest for paying attention to you? And back you up? And
surprise you from time to time?

Recently my experiences with a couple airlines showcased, in
more detail, what happens to really separate customer service from promises of
service and marketing. With the changes that Delta Airlines has applied to its
SkyMiles program to qualify for 2014 status, the reduction of benefits for my
level (Silver Elite) of status including the amount of complimentary bags you
can check in (now one, so “bag” is more appropriate) and, seemingly, the
ongoing increase in SkyMiles it takes to book an award ticket, coupled with the
number of flights I’ve taken on Alaska (claiming Delta SkyMiles) over the past
couple years with great on-board experience the decision to switch programs
happened last month.

While I’m no social media superstar or influencer, Delta has
followed me on Twitter for quite a while and has, for the most part, responded
to my tweets and mentions whenever they happen. My tweets talking about my
switch to Alaska Airlines resulted in no mentions from Delta’s online teams
(including @Delta and @DeltaAssist) to keep me loyal, however Alaska Airlines
(@AlaskaAir) followed immediately and has mentioned back as well as sent direct
messages. And that is on top of the significantly better experience when flying
them.

On my last flight, Alaska’s ticket counter staff was fantastic,
accommodating my bag without question (my previous flight they accommodated
two, one more than Delta and I didn’t have MVP status on Alaska!). My bag,
which was checked in 32 minutes before the flight made it and the gate agent
addressed every customer when boarding by their first name. Class acts for sure
and to top it off, the counter agent matched my Delta status on Alaska
effective immediately; One person, empowered to make that happen, however the impression
and experience did so much more. With a smile on her face making me smile and
thinking about how to make our customers’ experience even better.

So what does this make you think about? Your investment, or
lack of, in customer service? Whether you have a satisfaction agent or not?

Many companies wrap themselves in customer service; however
when was the last time they paid you a visit entirely based on anything but a report,
pitch, upsell or because they were asked to?

 

Best Practices: Professional Insight, Powerful Results


February 18, 2013 by Gary May 0
Endorsement? Nope, It Rolls More Like A Super Pac.

As our industry moves (very slowly) toward digital dominance, more companies are chosen each year to assist with certain initiatives driven by the OEMs. As the market fills with mostly fledgling, so-called expert vendors in the major categories (website, SEO, SEM, mobile, reputation management, social media), RFPs and projects are drawn out and the partners are selected. Then, almost like clockwork, the inevitable takes place. The proverbial crap hits the fan and the vendor can't deliver.

If you've paid attention and done a little digging over the past few years, you've watched as the industry has filled with providers that, for the most part, weren't doing what they are now providing for more than a year or two (and sometimes simply weren't even in the space the day before they launched). Many companies have re-branded as digital agencies, marketers, training, search and the like with little more than a presentation deck. And then they walk into the manufacturers headquarters (sometimes on the coattails of a relative or someone they have "pictures" of) for their pitch. Viola, preferred vendor!

Even though relationships dominate despite near incompetence or irrelevance, sometimes it's just that the company/companies that can actually do the work are viewed as too small (staff, revenue, etc.), or they are brought in to pitch simply to hit the right amount of stand up presentations for purchasing. But the litmus test doesn't change: call the vendor, ask a non life-and-death question and see if the first person that's not a receptionist or secretary can answer. If you're talking with a tech support person and they have to ask a manager or someone else, call your OEM rep and give them an earful. Maybe, just maybe, if this happens a few hundred (read: thousand) times, maybe they'll get the message that their preferred provider(s) simply can't do the work.

In working with nearly every brand dealership and nearly all OEMs, their ad agencies and digital vendors over the past twelve plus years, it's scary to witness the process, implementation and support that exists. And the cycle continues due to the incestuous ways in which the programs are executed. The manufacturers want you to believe that real assessments are carried out and that they've done their due diligence. Fact is, that's a pipe dream. Endorsements aren't really want they sound like. And for those people that paid any attention to elections over the past months as well as years, vendor selection is more like how Super Pacs operate or how Wall Street controls their puppets: Follow the money, lunches, perks and relationships and you'll find a substandard product or service get the rubber stamp.

And the pisser is that they keep buying from them, warts and all. Because, among other things, the mentality is still non-digital in marketing. And the people who head the eCommerce and digital divisions are no better at their genre than your local newspaper rep.

So follow the vendor recommendations that are mandatory and voluntary but always keep an ear to the ground and give real feedback to your factory rep (even though the majority of them have no idea what an AdWord extension, heat map or pixel tracking is) and at ad meetings and 20 Groups. Because the majority of what they or you are buying is well under what you deserve, and usually what works.

 

Best Practices: Professional Insight, Powerful Results

November 28, 2012 by Gary May 0
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
Resolutions? Who Needs Resolutions? We’ve Got WORK To Do!

It's no coincidence that by using the term 'resolutions' as
temporary markers, we're able to miss our goals and targets. In an industry
that's usually more comfortable with what worked 10 years ago, why waste time
with "I wish"? Fact is, by resolving to do something it means that
you're going to do it.

If you're lacking resolve, find someone that can help you with it. This is not
a plea for you to run out and get a shrink, not at all. Rather being resolute
about how you manage your business, as a GM or a sales person or a porter, is entirely up
to how well you plan your work. And when you think about the work involved with
your entire online presence, business and infrastructure, it's not about being
the 'do it all person'. That method will lead to disaster.

2010 will be a dividing and defining year, but not by the forces
of government intervention, the factory guillotine, lack of the 'perfect' new model or even that location you've been eyeing for years. It will be a year of the haves and have nots: either your 3 P's (plan, people and partners) will provide you with the better option or not. Here is the best starting point that we can recommend rather than spitting out another list of vendors, processes or simple recommendations that can be easily duplicated next door:

1. Where are you? Why are you there? Think about this in terms of where your greatest opportunities are for growth. Some things are completely transparent, like Google rank results, conversion rates and revenue per PO (just as examples) and some are not, like sourcing, third-party expenses and advertising in untracked media.

2. Who's with you and who's not? If you've not weeded out your staff in a while, you're lying to yourself. There is some huge talent out there that can not only move the needle forward, they can likely add some sorely needed spark and sizzle to the rest of the people that claim to love coming to work. 'Stick In The Mud' and 'On The Bubble' are not a fun games to play for two years in a row…

3. What changed that you ignored or missed? Usually a massive change in results comes from more than the other franchise having a stellar month while you tanked. If something big shifted, start with asking your customers, your prospects and those that opted to go somewhere else. The insight will do more for you that pulling the wool over your eyes. This is not a 'social media play', this is a 'get yourself dirty play'.

4. Do you have buy in? Another thing to consider is who's behind you. If it's not a majority or all of your staff voting on how things get done, it's time to be open. Not humor, Not simply listen. It's do or die time and if people don't think you care about them , they won't care about you. (hey, customers think the same way. wow!) The 1976 way of handling sales and staff meetings should be 86'd.

We could go with 'finely tuned engine' or something cheesy like 'firing on all cylinders' but you have to do the things that will really impact your business. Aside from that you MUST fire vendors that don't do their job and stop excusing poor performance.

Today a dealer talked about taking the bold step of letting a vendor go that was so far from doing their job. At a rediculously low price. For something the store didn't really think about. Tomorrow, they're going to take it in-house, spend more money, get the job done right and will likely see the results from their efforts…two to three months from now. What are you doing that, if you'd take five minnutes to think about it, doesn't make sense.

If you can't find anything that's broken, here's another recommendation: Walk into a non-automotive business and whatever you notice that absolutely bothers the $#&^ out of you, ask your employees to stop doing it and take suggestions from them to improve. Why? Because there's a 95% chance that your business is doing the same thing.

2010 is full of promise. There will be those dealerships that hit the ball out of the park. There will be those that barely get on base consistently. There will be those that can't even get the batting helmet on. There will be those that aren't even in the game.

Your chance is to own the whole frickin game…

Best Practices: Professional Insight, Powerful Results

December 31, 2009 by Gary May 0
A Season Of Events: Will It Be Boom Or Bust?

We're on the cusp again: in the next 90 days we're looking at events including DrivingSales Executive Summit, JD Power Internet Roundtable, Dealer summit, Synergy Sessions, Digital Dealer, Auto Training Events and more.  The more dealers that we hear from, the more we hear the same thing: "show me the beef!!".  What's the message?  Drive value for the industry, especially the dealers, or don't bother inviting me to the same old thing!

Today, more than ever, it's a "what have you done for me lately" world in retail.  Dealers need information, partners, cooperation, support and solid direction.  By the same token, dealers need to get off their duffs and start really using all of their tools.  Not buy more and do the same thing.  Dealerships that move forward will do so because they understand their market, their brand and their opportunities.  Not because a piece of software or the factory will just feed them customers all day long.

Our industry is filled with some great providers, vendors, consultants and leaders.  It's hard to know that when, for the most part, the same ones are featured redundantly wherever you look.  It is everyone's responsibility to ensure that, once you drop your two grand to spend a few days away from the dealership, a true learning and sharing experience is had.  Each session should be compelling for everyone attending and it should lead to change.

Here's a concept: event follow up.  If there's a session on social media and 250 people are in the room, everyone should have a follow up about 10 days later with a brief questionnaire, offer of assistance and a general "to keep on track" message.  Headed up a panel on mobile marketing?  Where's the text message thanking people in attendance a week after the event with a unique offer with a reminder of best practices?

And here's the hook: the speakers and promoter will do it for no additional fee.  Sorry overpaid (oops, nicely paid) folks, it's time to give back.  Without the dealers in business, it's hard to collect the "non-negotiable" $150-200 per hour.  Ready for another noble concept: the more customers we keep in business, the more customers we'll have.

SImply having a 'next event in the series' because you said you would is no justification for actually having one.  No doubt we all love to network, gallivant about with industry friends and colleagues over pricey dinners and drinks, hit some balls around on a course you don't get to do so normally and plenty of other arguments for the break from reality.

What changes dealership operations over a 60- to 90-day period is really what at stake.  Pushing the needle forward is an absolute necessity right now.  Speakers, vendors and organizers setting the bar, delivering on expectations and then making sure dealers can execute is the only realistic invitation to an industry starved for sales and results.

So will we be looking at one of these nicely-promoted events truly being a conduit for change or only a way from some folks to take home a profit (again) and some 'at a boy's?  The way that we've done things is not the road forward.  That's not the sole responsibility of the event promoters, but it would sure be nice if someone changed the channel…heck, how about changed a lot of minds…

A season of events: let's make sure that people take back more than photos…

Best practices: Professional Insight, Powerful Results

August 14, 2009 by Gary May 0