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Consumers are constantly bombarded by mass marketing, and many are frustrated by being inundated with messages that don’t apply to them. Personalized digital marketing and sales, however, provide an opportunity to set yourself apart with customers by treating them like the unique people they are.

Customers are tired of one-size-fits-all retail experiences, including car buying. According to the Cox Automotive Future of Digital Retail Study, 90 percent of consumers prefer a unique, personalized car buying journey. Additionally, customers’ expectations of the buying process have changed significantly. Nearly two-thirds of car buyers want to complete more of the purchase steps online than the last time they bought a car, according to the 2020 Cox Automotive COVID-19 Consumer & Dealer Impact Study.

If you’re ready to give your customers the kind of car buying experience they want (and increase profits for your dealership), here are three steps to personalize your automotive digital marketing and sales efforts.

Step 1: Collect Your Customer’s Data

When it comes to collecting customer data, automotive CRM systems really matter. With robust customer data stored in your dealership CRM, as well as other software platforms, you can start the process of segmenting your customers based on individual interests. From there, you can tailor a sales approach that is more likely to capture each individual customer’s attention. This approach to marketing helps prevent miscommunication between dealership and customer. And when your customers receive information (sales-related or not) that is relevant to them, it increases their trust in your dealership.

If you’re part of a dealer group, it is also important that you’re able to view customer data across stores. Wouldn’t it be good to know if the customer you’re speaking with just came from a sister dealership? This cross-rooftop data sharing enables you to identify possible brand defections and maximize profits with better visibility into a customer’s negotiations with other stores. 

Again, this all hinges on the type of data you have. Real segmentation that leads to real personalized messaging comes from moving beyond basic demographics. For example, paying attention to your customers’ online browsing history and recording it in your CRM, like the VinLens integration between Connect CRM and Dealer.com does, can help you segment audiences based on key behaviors.  

Step 2: Know the Buying Signals

Reading your customer data can sometimes feel like a foreign language. Not only do you have to collect the right type of data, you have to interpret that data to deliver the right marketing messages. And once again, technology comes to the rescue. CRM artificial intelligence tools like Connect Automotive Intelligence can quickly analyze huge volumes of customer data, identify trends and flag customers that may be ready to talk. Then, you can take a more proactive sales approach to deliver both timely and relevant marketing that will catch your customers’ attention.

You can learn a lot about your customers based on the equity they have in their current vehicles, for example. But unsurprisingly, some of the most insightful buying signals come from your customers’ browsing behavior, including their budget, the makes/models they’re interested in and the frequency/timing of their browsing.

Step 3: Hit the Mark with Your Marketing  

Automated technologies like website analytics and your CRM can give you insight into customer behavior — especially when the two technologies are integrated like they are with VinLens. But now that you’ve used those tools to gather and interpret data, it’s up to you to make a personalized marketing offer. Know your customers’ interests. And deliver messaging that’s warm, welcoming and lets them know you know where they’re coming from and what they want.

Naturally, you’ll use the data you’ve gathered about your customers to guide you through the process. Is a group of customers looking for similar prices, vehicle sizes and features? This information will help you customize pricing and vehicle options and make relevant product suggestions. And it helps you develop authority and rapport with your customers.

With the right technology tools, you can take a more personable and proactive approach with your marketing efforts. And when your customers see that you’re trying to give them information and offers they actually want, they’re more likely to value your suggestions and remain loyal to your dealership.

Serra Honda Grandville built a successful dealership based on the fundamentals of good old-fashioned communication (like greeting every customer at the door) and working hard to develop and maintain healthy customer relationships. 

And while these fundamentals will always remain a priority, the dealership is also deeply committed to staying on the cutting edge, including efforts to improve with the help of new technologies. Serra Honda Grandville has used VinSolutions Connect CRM to boost employee performance and maintain a competitive edge. Specifically, Connect CRM has helped: 

• Increase data collection and utilization, including customer driver’s license and email capture rates.  
• Improve lead-to-appointment ratios. 
• Incentivize employees to boost sales through the use of technology.  
• Improve communication with customers.  

See how VinSolutions Connect CRM helped promote constant improvement and drive long-term success.

Oklahoma City Volkswagen isn’t run by a bunch of old school car guys. Its forward-thinking management team is always looking for ways to enhance the value of their investment. And when Robert Lackey was offered a position as the dealership’s service director, he immediately saw ways to apply that philosophy in the service lane. Many of his most immediate concerns were related to service lane employees and their engagement levels.

“On the surface level, you would see employees and technicians walking around in plain clothes or in shirts from other dealerships,” Robert recalls. “There was no pride in the atmosphere. And on the service drive, you’d see service advisors writing customers up that were stuck in the early 90s with literally a particle board clipboard…and a carbon-copy multipoint inspection sheet. There was zero pride, zero process from front to back.”

Based on his experience managing other service departments, Robert knew that our solutions had the power to increase employee engagement by improving processes and ensuring accountability. He got the employee buy-in necessary to fix the dealership’s obvious challenges with a little help from us.

Real-World Results

Service lane metrics have shown the wisdom in Oklahoma City Volkswagen’s investment in our end-to-end solution. The dealership has achieved:

• 2x increase in gross profit in the service department
• 441+ average additional sales per check-in
• 5-point increase in customer service numbers
• 90% multipoint inspection rate
• $831k+ in additional service recommendations captured in one quarter

A Full Suite for Full Satisfaction

While we offer various solutions for improving different areas of the service lane, Robert implemented the full Spectrum Suite because he knew it could help every single fixed ops employee.

As he sees it, “there is no tool in the industry—and you try to piece them all together—that does everything that Xtime Spectrum does.”

Honda of Downtown Chicago is one of the busiest service centers around. Every day—from daybreak to nightfall—cars stream in and out of the service bays. And Service Manager, Joel Adames, counts on us to keep business flowing.

Prior to Xtime, Honda of Downtown Chicago performed well, with a healthy client base and substantial revenue. But Joel isn’t satisfied with “good”—he strives to be number one. That’s why he chose our Spectrum platform to increase customer satisfaction index (CSI) scores, guest return rates, and overall profitability.

“Before Xtime it was hit or miss—you just sat there and waited for business to happen,” says Joel.

The switch brought immediate results. Within the first month, Invite Declined Services campaigns generated over $30,000 in repair order (RO) revenue in the Honda of Downtown Chicago service department.

Real-World Results

Joel believes Xtime is always working to be better since they help Honda of Downtown Chicago with continuous improvements as well through the following:

• Greater profits per RO: The Honda of Downtown Chicago service department currently achieves an average of $725 per RO.
• Additional appointments: Joel and his team captured 64 additional appointments in just one month of working with us.
• Exceptional email open rate: Most marketing emails are sent directly to the trash folder. But, Honda of Downtown Chicago service achieves a 65% email open rate—an impressive figure for any industry.
• Improved email capture rate: A high email capture rate, combined with verification at each visit, leads to more profitable campaigns. Joel says his department previously had an email capture rate between 70% and 80%. Now, that figure has risen to 90%.
• Effective, collaborative strategy: Streamlined processes and actionable data, allow dealership professionals on our team, such as Performance Managers and Account Managers, to collaborate with Joel and his team to implement effective strategies.

A Silent Partner on the Service Drive

Joel admits that managing a service department can bring a sense of isolation. But dealers that work with us get added support managing customer relations, analyzing data, and improving productivity.

“The biggest part of using Xtime for me is being able to see what I’m putting out and what’s coming back in and knowing that it’s working. And with the reporting and being able to see that, you feel accomplished,” Joel says. “You feel a little bit more in control.”

Would you like to feel in control, like Joel? Schedule a demo to learn how your dealership can capture declined services, improve customer experience, retain clients, and grow profits.

Written by,

Tracy Noonan Fred

Vice President & General Manager

Fear is a funny thing. In humans, it generally evokes one of two well-known responses—fight or flight. In a split second, our instincts kick in and we decide whether to confront the source of fear or simply run away. In recent interactions with dealerships, I’ve sensed a lot of that same fear surrounding changing customer expectations. I’ve also learned that when things get scary, dealerships have the same choice as people—they can confront the fear or run away from it. 

Changing Customer Expectations

Consumers have been groomed to expect on-demand experiences where they are in control. They want to pick and choose, in à la carte fashion, the goods and services they consume. In addition to quality and value, they now demand convenience, transparency, and trust. According to the 2018 Cox Automotive Service Industry Study, 20 percent of consumers list pressure to buy additional services on a service visit as their top frustration while another 10 percent list unclear pricing. As a result, customers are regularly declining service recommendations and want to be able to handle them on their own terms in the future. 

A Tendency Toward Paralysis

Sadly, many dealerships are choosing not to confront these changes in consumer expectations and, as a result, find themselves frozen in fear. Their reasoning is understandable—they only know that they should change, but don’t exactly know what to change. With no one to guide them through this process, they worry that they’ll end up making the wrong changes. In their words, the devil they know is better than the devil they don’t know. They accept that the industry is changing around them, but decline to make adjustments to their own processes.

An Openness Toward Change

Of course, there are those that choose to fight instead of fleeing from changes in customer expectations. Those that fight understand that dealerships have always operated in an environment of change. They are open to change and view it as an opportunity rather than a threat. In addition to a more productive mindset, these dealerships often enjoy more useful partnerships with technology vendors that nudge them toward the future. Along with their partners, change-oriented dealerships are creating on-demand experiences in their service departments.

Putting Data at the Fingertips of Staff

One thing dealerships can do to meet changing customer demands is to put data at the fingertips of their staff members through the use of technology. Consider the following benefits of various dealership technologies that make information more accessible to both customers and staff:

• Using technology to track and promote past declined services helps dealerships recapture an average of $7,026 per month.*
• 55 percent of car owners are more likely to schedule service at a dealership that provides online cost estimates.
• The use of tablets in the write-up process has a significant positive impact on satisfaction and CSI.**
• In-lane write-up tablets also increase customer retention rates from 63.9 percent to 70.5 percent. ***
• 67 percent of service customers say they will definitely return when they receive text message updates, compared to 55 percent when updated by phone.

There’s no getting around it—customer expectations are changing to favor a more on-demand experience. Successful dealerships will view that change as an opportunity and will avoid being paralyzed by fear. By putting more information at the fingertips of dealership employees and customers, those dealerships will deliver the experience that today’s customers have come to expect.

*Based on Xtime dealers who have been enrolled with declined services since September 2017 and with Inspect go-live date before September 2017

**Analysis of survey data from J.D. Power and Associates, McGraw Hill Financial, 2016

***Xtime, based on 89 dealers using Engage and Go-Live date before 5/1/2015, 216,332 VINs and 463 Service Advisors. Vin based retention based on May-July 2015.

After what has been a long, snowy winter here in Kansas City, spring is finally here! For many of us, that means it is time for an annual dose of spring cleaning. Spring cleaning isn’t just for the storage shelves in your garage and that closet of random items, though. Most dealership CRMs could use a good spring cleaning too.  

For a CRM to do your dealership any good, your team has to actually use it. Just like the miscellaneous pile of poorly-writing promotional ink pens and out-of-date pizza menus keep you from getting to the one thing you actually need in the junk drawer, the clutter that piles up in your CRM can keep you from being able to properly use the tool.  

Your dealership and your customers are always changing, so the way you use your CRM should always be evolving too. There are three key areas in your CRM that could probably use a good spring cleaning: your data, your processes and your training.  

Your Data  
In conversations about CRMs, you’ve likely heard the phrase, “Garbage in, garbage out.” It is said often for a reason; it’s true, and it’s important. Keeping your data tidy is critical to CRM success, and the cost of failing to keep your data clean is high.  

Bad data costs quickly add up. First, there are the opportunity costs. With missing or inaccurate data, such as a wrong phone number, you miss out on sales opportunities. Second, there are the wasted marketing costs. Sending customers promotions in the mail can be a valuable marketing tool – but only if you keep their physical addresses updated. If customers addresses aren’t up to date, you might as well be tossing dollar bills out the window. Finally, there are the lost productivity costs. If your salespeople are directing half of their follow-up to incorrect email addresses and phone numbers, half of their time is wasted.  

Even the most stringent of CRM users likely accumulate some garbage data over a year’s time, so take stock of what you have and clean up what’s not right.  

Your Processes 
Your CRM should work for you, not the other way around, which is why we allow VinSolutions Connect CRM dealers to fully customize their CRM processes whenever needed. Since our processes allow for so much customization, dealers often ask me what the best process is. The answer, though unsatisfying, is that the best process is the one that your people will follow.  

There is some trial and error involved with getting processes right, so do some spring cleaning of every process you have built in your CRM. You may find that you don’t need some of the processes you currently have, or that there are big gaps that you need to build new processes to fill.  

Start your process spring cleaning by looking at overdue tasks. Too many overdue tasks often indicate that your processes are overly complicated or unrealistic. On the flip side, if you do not have any overdue tasks, your processes are probably not complex or thorough enough.  

Your Training Programs  
I see many dealerships begin and end their CRM training with new hire onboarding. Training new hires is critical to CRM success, but new hire training alone isn’t enough. To keep utilization high, CRM training must be ongoing. High CRM utilization means high ROI, so it is worth cleaning up your training programs this spring.  

To begin your training clean up, think about common problem areas in your dealership. Could the root cause of any of those problems be solved with training? For many dealerships, key CRM issues are caused by poor utilization, not the tool itself.  

A good CRM is always changing, and people are forgetful, so it is critical to work regular training into your staff’s responsibilities. Be realistic about it, though, and start small. If you only have training once a quarter currently, try shooting for once a month.  

It’s also important to take advantage of the training resources you have at your disposal. At VinSolutions, we offer online training sessions, an annual user summit and regular consultation with Performance Managers. The dealers that are most successful with their CRM are the ones who take advantage of all of this training and take it seriously.  

This spring, give your CRM a good spring cleaning, and start seeing even greater success.  

If you’re getting serious about choosing a new CRM, you need to ask providers some serious questions about Performance Management.

In our new ebook, “The #1 Thing to Look for in Your New CRM,” we show you all the important roles a Performance Manager plays in making your dealership profitable, and tell you all the questions you need to ask before you sign on the dotted line.

If you already know utilization drives results, and you’re ready to see it in action, schedule a demo with us!

Fill out the form to download our new ebook

Improving the customer experience and sending internet sales soaring with VinSolutions Connect CRM

The motto of Montana’s Helena Motors is “the way it ought to be.” This belief guides every customer interaction, and treating customers right has been the basis for much of their success.

However, the group was ready to take its customer experience to the next level. It wanted a technology solution to help streamline and track interactions with potential and current customers to personalize the buying journey, as well as increase efficiency. These needs led Helena Motors to look for a new CRM provider that could provide:

• Unsurpassed workflow and reporting flexibility.
• Expert guideance and proactive support from a dedicated Performance Manager.
• Real-time integrations with its other Cox Automotive solutions.
• One central view for all customer information

Watch how VinSolutions Connect CRM elevated the customer experience and helped drive sales.

A better customer experience and more sales with VinSolutions Connect CRM.

The dealership management team at Ron Marhofer knew the sales group needed a more streamlined online-to-in-store process to deliver the best dealership experience to customers. At the same time, they needed better CRM software data to drive sales coaching opportunities and a clearer understanding of the dealership’s customers. With these must-haves in mind, the dealer group turned to VinSolutions Connect CRM. Upon implementing VinSolutions’ CRM, the dealer group gained access to:

• A high degree of sales workflow customization and data reporting. 
• Real-time integration with other Cox Automotive software solutions.
• An intuitive lead management platform that is easy to use.
• Proactive management support from dedicated Performance Managers. 

Learn how VinSolutions Connect CRM elevated the customer experience and helped drive leads and sales