Turbocharging Your New Car Sales

Turbocharging Your New Car Sales

Nick Hummer• Director of New Car Strategy• Nearly10 years of online automotive

industry experience

Connect with Me: dealers.cars.com/facebook

dealers.cars.com/twitter

Nick Hummer on LinkedInnhummer@cars.com

About Me

New Car Shopper Needs

Building Your

Brand

Measuring to Drive

Performance

New Car Landscape

Objectives

Sources: Reuters, NADA , J.D. Power & Associates, Polk

Pre-recession

New Car Sales on the Rise

2009

1367

2012

1408

Cars.com Internal Reporting 2012

Vehicle Make & Model Combinations on Cars.com

Shoppers Have More Choices

Brand Loyalty down 15%

3 brands in 2008

5 brands in 2011

Source: Cars.com Internal Reporting; Sources: AT Kearney 2012

They’re Less Brand-Loyal

18on average

25If younger

than 34

They Use More Sources

Source: Google

New Car Shopper Needs

Building Your

Brand

Measuring to Drive

Performance

New Car Landscape

Objectives

9

The information they want…

Delivered the way they want it…

From a dealer they can trust to deliver a great experience

New Car Shopper Needs

ResearchNew car shoppers view more pages and spend more time on site than used

car shoppers by 40%

Source: Cars.com Internal Reporting

What New Car Shoppers Want

Comparison ToolsCars.com new car shoppers cross

shop an average of 5 makes

Source: Cars.com Internal Reporting

What New Car Shoppers Want

Dealer Information80% of Cars.com new car shoppers access dealer-specific information – not just inventory.

They’re 2x as likely to filter results by Dealer Reviews

What New Car Shoppers Want

13

Your Web site

• Are you giving shoppers what they need to make a New Car Decision?

• How are you standing out from their other options?

• Are you giving them the tools they need to make an informed vehicle, brand and dealer decision?

• Nearly half of U.S. online adults follow a retailer via Facebook, Twitter or a blog

• 83% of mobile car shoppers own a smartphone, and 28% own a tablet.

• Consumers want to read as many as 10 reviews before choosing a local business

Sources: Shop.org Social Commerce Study, BrightLocal Annual Consumer Review Study, Cars.com: Mobile Web & App Usage for Automotive Shoppers, Nielsen

Today’s Shopper is SoLoMo

Reach Shoppers Where They Are

Nearly 40% of Cars.com’s total new-vehicle searches

comes from mobile devices.

Source: Cars.com Internal Reporting; Cars.com/Synovate, 2010

Wired Site Mobile Site

Provide the info mobile users want

Make sure it can be seen on all devices

Don’t forget service!

A Better Mobile Experience

Tip - Visit howtogomo.com to see how your dealership’s website looks on a mobile device

Tip: Confirm with a Quick Text

New Car Shopper Needs

Building Your

Brand

Measuring to Drive

Performance

New Car Landscape

Objectives

Building Visibility80% of new-car shoppers access dealership-specific information – not just inventory.

Building TrustCars.com users searching for a new vehicle are 7x more likely to contact a dealer with reviews.

Your Brand Matters

Brand (n. \ˈbrand\): The set of

expectations, memories, stories and relationships that, taken together, account for a consumer’s decision to choose one product or service over another.

– Seth Godin, entrepreneur and

marketing guru

Do You Have a Brand Strategy?

Does Your Brand Mean Something?

“You only get one chance to make a first impression, and a shopper’s first encounter with you isn’t when they walk into your store – it’s an online review they read, a vehicle listing they clicked on or an ad they saw… Overall, we make sure our branding and promotional strategies are consistent across our advertising.

Ryan EslerGeorge Matick Chevrolet

Is Your Brand Consistent?

Other places to claim your listings: • Facebook Places

• Foursquare

• Google+

• DealerRater.com

• Angie’s List

Claim What’s Yours

Consumers who read reviews on Cars.com are more engaged: they spend twice as much time on site and view twice as many pages.2x

New-car shoppers on Cars.com who read reviews are 7x more likely to contact a dealer.7x

Source: Cars.com Internal Reporting, DriverSide/Kelton Research Study, April 2011

91% Think beyond sales – 91 percent of new-car shoppers want to read service reviews when considering a dealership.

Managing Your Reputation is Good For You!

MonitorGather feedback from all sources, Web and beyond

Share feedback with your entire dealership

Respond Reply to ALL feedback

Correct any potential issues

at the store

AskEvery team member

to deliver a great customer

experience

Every customer for their feedback

PromoteShare all reviews

with prospects and past customers

Reward your team for their progress

and success

Four Steps to Five Stars

...This is still totally a man's dealership. I HATE being called sweetie by a male or a female. When I was told how much I'd be offered for my car, it was in a very condescending tone and as if I had no idea what the value of my own car is.

…He assured me that the vehicle was right in front of him as we spoke… When I got there, no car, it was “sold this morning.” They did have a few 2011s they wanted to get me in though.

First, the salesman tried to get me to sign a blank loan form...

I would readily choose another repair facility if it were not for warranty work.

Address All Reviews

Negative Feedback Happens

Discuss with your store& answer the following questions about your process:

Who…o should monitor?

o should respond?

o can benefit?

What…o additional action should be taken?

o impact can your response make?

o improvements, if any, can you make?

How can you apply this to all areas of your business? New, Used,

Service?

Directly address customer’s concern

Take the conversation offline

Remember that your response influences current and future customers

Making Your Response Meaningful

Take it OfflineListen &

Acknowledge

Take the Conversation Offline

Dealer.com/DriverSide/Gfk: THE RISE OF LOYALTY, ADVOCACY & INFLUENCE, 2011

Reaching Shoppers with Social Media

Nearly 1 in 3 shoppers who use Facebook added a dealer to their consideration list based on info received via a social media source

6 Tips for Social Media Greatness

1. Set (realistic!) goals and develop a strategy to attain them.

2. Set guidelines for your staff. Check out www.charleneli.com

3. Have a plan to build your audience.

4. Content is king!

5. Social Media is not just about addressing Customer Service issues

Have a Social Media Action Plan

Tip: Participate in the

Conversation

New Car Shopper Needs

Building Your

Brand

Measuring to Drive

Performance

New Car Landscape

Objectives

What are your goals?

▸ Increase brand presence online?

▸ Improve your reviews ratings?

▸ Grow your social media followers?

▸ Heighten staff performance?

▸ Improve service efficiency?

Goal

Strategy

Metrics

Define Your New Car Strategy

Are You Measuring What Matters for your New Car Business?

1998

2000

2009

2008

2011

Or Is It “Business As Usual?”

37

The most important point in this deck

Selling New is different than selling Pre-Owned

• Do an audit • Marketing channels targeting new-car shoppers

• Process & training specific to new-car customers

• Begin adapting your new-car strategy and processes• Think big, but start small

• Define your new-car metrics• Set goals collaboratively (new-car sales manager, service

manager, leadership team)

• Choose to collect metrics that impact new-car performance

• Incentivize for success

Get Started Today

Questions

Thank You!