Based on our experiences and analyses, we estimate that about 7 percent of the total cost to serve consumers, or nearly one-quarter of automotive marketing and distribution costs, can be reduced based on a typical traditional dealer operation. (See Exhibit IV.) The cost reductions derive from three sources:
The Internet, and more precisely the rapid advancement of people’s access to the Internet, represents a tremendous change in the auto sales industry. What was once a mystery, the pricing of automobiles is now readily available to anyone with Internet access and some very basic Google skills.
The marketing environment is making a hard shift. It’s moving away from fragmentation to consolidation in products. The winners? Dealers who can use technology differently within a newer operations model that combines different functional roles and simplifies time-wasting activities.
The U.S. is a global leader in the advertising industry. In 2016, the American ad market generated 179 billion U.S. dollars in revenue, while second-placed China amounted 53 billion U.S. dollars in revenue. Over the years, automobile manufacturers have been well represented in the list of highest-spending advertisers in the U.S., as the industry invests heavily on advertising in the country.
This situation is changing. Automobile retailing is evolving at an unprecedented rate. At one level the future implications are clear. These include multiple alternative formats and channels; greater unbundling of dealer businesses; increased value through the channels (improved service and selection at a lower cost); more emphasis on life-cycle relationships, and probably tighter relationships between manufacturers and consumers. Specifically who will win and lose is much less clear. The odds are not with the manufacturers, but the game is not lost. To win they must shake off old habits and practices and then visualize and implement revolutionary ways to sell cars.
3) If you get hired on, and are greeted by a sales manager (or “tower” manager) who makes you watch the Alec Baldwin scene from “Glengarry Glen Ross”, walk out of there immediately and never look back. If you find the sales manager to be a total hardass who raises his voice and manages through intimidation, then walk. You will be better off.
One of the easiest ways to increase user experience on your site is to leverage a live chat system. Anyone browsing listings on your page is actively looking for a vehicle, so the best way to harness that potential lead is to message them directly. When a user visits any page on a website, there’s a small banner at the bottom of the screen that opens up into a chat, where they can ask anything that they need assistance with, and you’ll get an immediate notification. Once you’ve assisted them, you can use the live chat to bring them into the dealership by offering a free test drive of the vehicle they’re interested in.
Re-targeting is an essential component of a successful digital marketing strategy because it allows you to focus your time and money on leads that have already shown interest in your car dealership. Turn a visit into a sale with the help of our re-targeting services.
Dealers should expect to see simpler reporting from their own Google analytics and not third-party reporting solutions. The only dashboard you need to view is either in your Google Analytics or, my favorite, Google Data Studio.
So here we are in the first week of 2017. It’s a new year and I’m betting a lot of people are planning on buying a new (or used) car sometime in the coming year. Think you’re ready for some good, old-fashioned fender tradin’? Lookin’ at “figgers?” Crunchin’ numbers? Countin’ squirrels? Whatever you call it, you know what I mean. Negotiating.
With billions of users on Facebook and Twitter, it is becoming essential to have an online presence where you can interact with your potential customers in real-time to answer any queries they may have. Facebook pages also allow your customers to review your business, which providing you have a good reputation, can boost your potential customers.
Republic is clearly a leader in first-stage channel restructuring, forcing cost reduction through aggressive rationalization and consolidation. Automotive industry observers for the most part view Republic as a leviathan, swallowing up auto dealers at will. For the first three quarters of 1998, Republic reported revenue of $12.7 billion, up 72 percent from billion during the first three quarters of 1997. Its income from continuing operations for the same period totaled $384.2 million, up 68 percent from 1997. Automotive operations, which include National Car Rental, Alamo Rent-A-Car and CarTemps USA, account for about 92 percent of revenue and 78 percent of operating income; solid waste services contribute the rest.