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Quick, The Shiny Object Just Moved! Ouch, It’s Your Vendor…

Don't read too much into the title, it's not a slam on your (fill in the blank) vendor, although many deserve to be taken to task. This is about what they have to deal with. If you've been under a rock this year or simply have not been paying attention, Google changed significantly three times. Your vendors have had to change at least that many, even though they pitch that they're changing all the time.

So, what does this mean for the shiny object mentality? It's not changed. In fact, it may only get better. In other words, as things get a little more dicey in the online space in regard to results, there will be a larger "sorting out" of who really is prepared from a resource perspective to roll with what could be considered large changes in the way search and results are structured. And when a sales rep is not up to speed and things that happened a week prior, let alone a couple months, it's time to sharpen the pencil and make sure that door that hits them on the way out is primed.

All kidding aside, there have been countless changes since last December that have affected the search engines and how YOU get displayed in results. The biggest one from an overall view would likely be Google Instant, followed by the recent change to the Google Map/Local results that are also affecting the display of reviews and paid ads. There's lots of money, eyeballs and leads at stake.

The shiny object's location is changing, at what seems to be a continuously more rapid pace. Not just search results (and your traditional website) are facing the music, but also mobile: applications, marketing, social and more. And the third party lead market seems to be experiencing a larger ebb and flow in the market today. Just as there is no longer room in automotive retail for "what used to work", there's no room for "let's wait and see" in the vendor world. Rest for just a little bit and your a** will be kicked (but don't worry, dealers will still buy from lots of companies, especially if they keep sending "attractive" reps out to show impressive charts and talk about clicks….yawn….).

It's not easy being a website, CRM, pay-per-click, SEO or social media services company today. Engagement changes regularly and sometimes daily. By the time you send out pertinent information, run some webinars and update your systems and inform the rep force, that earth-changing update is old news and the next revelation has hit the news wires. And yes, even the vendors that do launch 25 updates a week and tweet about it do have to deal with issues outside of their control and fall down regularly.

As fast as the industry is changing, technology is changing many times faster. The balance between being bleeding-edge, leading-edge, between-the-edges and absolutely-no-edge is sometimes no greater than a whisker. Consumers control the content that is controlled by the big engines at such a great level today, what we have to yell about is less and less relevant, engaging and important. Who knows, maybe the shiny object is not even obtainable.

Even with the industry consolidation that we see year after year, it's always refreshing to see the new guy or gal on the block give it a chance. Dealers need much better services than what's been delivered historically and there are companies willing to do it. But the wake up call for dealers is that THEY need to do more in the way of understanding, goal setting and holding staff accountable. Vendor accountability is critical, but still not as important as making sure you can do what you're paying for.

So belive it or not something changed in how well you'll perform online since you started reading this. Maybe it was a vendor, a competitor, a search engine, a customer or even you. No matter what, don't take your eye off of the shiny object!

You did read correctly. Keep one eye on the ball, one on your customer, one on your brand, one on your staff, one on your marketing, one on your process, one on your future, one on your past….and one on the shiny object.

Best Practices: Professional Insight, Powerful Results

It’s Time To Do A Few Things Well

Most people that read this blog that are in automotive retail probably have one thing in common: they can do one thing really well. Sales, finance, management, etc you're likely not fresh in your position or field. You've been trained, taught, updated and (even if not very effective) sent to seminars, events and trade shows. People looking for more information, especially in this format, are those that want to learn…to be better, earn more or lead their field.

So, it's time for you and your colleagues. Time to do a few things. This is not a way to say that you're only doing one thing. Rather that the automotive retail, and even most of the headquarters, needs to venture outside of the comfort zone in regards to being more effective, using multifaceted strategies and new technology to deliver better results.

There is raging debate on what works and doesn't tied into whether or not fads and technology work: social media versus the tickler file, direct mail versus ads, text marketing versus a note, text codes/integrated mobile marketing versus billboards, Internet departments versus the floor, CRM versus the 3 by 5 and the salesperson's memory. Folks, what are afraid of? What investment is not worth it if customers will consume it? And why is the debate still going on at all? If it works for you, do it.

Oh, and then there's the budget and resource excuse. It used to be that the argument was simply "if I drop my newspaper and TV ads, traffic will stop". We all know today, without question, that's not the truth. Period. Now days it's "I can't staff competent people to handle live chat", or "how can I have someone post on social media ll day and still sell the cars they're supposed to?".

That's not the point. It's simple: do the same things, get the same results. Stop thinking of a technology, solution or new mouse trap as a stand alone aspect of your business! Everything creates either consideration or traffic that should convert. You might think about things this way:

1. Your website is the center of the universe. All traffic should ultimately go there. Leads convert there or because of the information gained there. While not the most dynamic part of your marketing, it is one of most easily tracked, can be modified nearly on the fly, enjoys the benefits of multiple sources and provides seamless integration. Oh, and you own it (or if you don't, you now know you should!)

2. Invasive marketing is meant to drive specific contact or leads but rarely meant to drive traffic to the website (which should change): direct mail, outbound calls, inserts and other forms of non-requested contact. Still works but typically not tailored correctly for higher conversion. If dealers started using their data correctly, ROI would increase (or start actually). Upside is that the receiver is not expected to do anything other than look or open their mail or drive by something while the downside is that tracking is poor and is not on the consumers terms.

3. Passive marketing is meant to involve your customers with your brand and includes events, ride-and-drives, social media, giveaways and more. Benefits are that it can be tracked more accurately than any other off-site media, costs are typically lower than (if not practically dirt cheap) traditional marketing, engages consumers at their want/need/desire level and offers great sharing and word-of-mouth.

Two and three are supposed to make one work better, consistently. It's incredible to think of someone that controls the marketing spend at a dealership or group using invasive marketing as the majority of their focus while the same person doesn't use the media they buy when they consume content! Put even more appropriately, why do you market or advertise expecting it to work when you've not successfully asked or tracked how your customers engaged, used and responded to your marketing? The first dealer that says they source successfully over 50% of the time, your staff is…well…not being honest.

It's our job to know what our customers want, not what we want them to want. If you're a top producer at your dealership, how can you deliver more? The answer isn't that you can't. Or that there's not enough time in the day. Or that you're waiting for the new model because nobody wants to buy what's being replaced. It's time to do a few more things well.

Are we recommending that you get into a fist fight with your GM about opening up the firewall that your IT director clamped down so tight you can't get an email out to your mother? No. What we are recommending is that you find the time and ways to make your time and results more effective and productive.

These things don't happen by themselves. We need to push ourselves into uncomfortable territory for a while and commit to seeing the results through.And don't lay down because your factory rep doesn't understand how your CRM works or what a tweet is or that you can actually talk with people on Facebook.

Do one new thing…then do two things…and they will come! Yes, silly, the customers.

Best Practices: Professional Insight, Powerful Results

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

So Much Good Stuff…Does It Make You Want To Ignore It All?

It's no secret that over the past few months things have really been taking off in the online automotive space for dealers and a lot of attention is being paid to the more leading edge, innovative companies (and some not-so-leading-edge ones).  It really seems that retail is starting to embrace, at a minimum, the 'change' in mindset.  At the same time it's not too hard to see that it may be overload.

When you consider the amount of good information, new technology, availability of tools (especially those that are free or inexpensive), vast selection of downloads/blogs/webinars and more, it really seems like a heyday for flipping the switch and going forward like a gleaming new Boeing 787,  But just like the impressive 'Dreamliner", you can't get off the ground if your resources aren't trained for the flight.

We still seem to be hamstrung by our best resource: staff, desire, goal-setting, application, training and simple commitment.  In a recent meeting, a general manager was talking about how he'd like to offload the lead handling to a staff member.  Yes…a GM wanted to have someone else take up the task of correctly touching, responding to and managing the leads.  Huh?!?!?!?!?

All of this made me flash back to the AM/PM radio spots with their campaign "Too Much Good Stuff".  We can SEO/PPC/CRM/DMS/PMA/CPO/RO/MICKEYMOUSE a dealer to death.  By the same token, you've got to be able to execute on all of those lovely acronyms.  Start with the leads.

Don't have the right person(s)?  You had better look at all of your sales staff.  Don't apply any excuses to any one of them.  Can't type an effective email?  Chances are you can't communicate very effectively on the floor.  Sorry, you must not ignore one and not the other.  They go hand-in-hand.  Can't turn on a monitor or CPU?  Just imagine that all of the 'old dogs' on your sales floor had to learn something about navigation/Bluetooth/OnStar/Sync/back up assist/iDrive and more on new cars over the past few years.  And chances are your 40-50 plus year-old techs in the back have had to learn something (actually a heck of a lot) that's new under the hood.  Again, stop excusing lack and ignoring ignorance.

Don't have someone that can lead efforts on your website, integration, social media, templates, vendor management and more?  You need one.  Don't hire a salesperson to do it…and don't hire an IT person either.  Hire someone with a balance of skills covering all the aspects: communication, technology, customer service and ensure that it's someone that can conjugate what they'll do for you, not what they did for someone else.

Understand, staff, educate, execute and then lead with some consistent effort and passion.  Every dealer that wants to thrive, let alone survive, must be able to assess and improve on ALL aspects of their presence, brand and sales, especially online.  To get better results you've got to think and do things differently.  And that doesn't mean thinking differently by keeping the person on that has been selling 3-6 cars a month for months just to have them post in social media networks (by the way, that's a mistake!).

Here's a challenge: Make your business plans by December 31, target your staff and online needs, plot your strategy, write everything down, stick to it all year long and (here's the hard part) do everything that you're in control of and ignore the rest.

The difference this coming year between you making online work for you and not making it work can be devastating.  Make "Too Much Good Stuff" work for you and then take it all…

Best Practices: Professional Insight, Powerful Results