You’ve figured everything out, you know vehicle and product costs, values of trades, what routes to take, etc. You know who will buy and who won’t buy. You start to cut corners anytime you can so you can take the easiest routes. You start to hang out within the clicks of salespeople whom are less successful.
(2) Start high and work your way down — It’s a lot easier to build a lust-inducing $100,000 car than a cheaper model. Tesla started with the $100K plus roadster built on a modified Lotus platform. With the Model S, they started with production of $100K vehicles and are working their way towards the $60K entry-luxury models. By starting high, Tesla is letting early adopters fund technology development. As volume increases, prices are coming down. The early super cars are media darlings endlessly discussed in waves of free Tesla publicity.
Despite all of this success, it doesn’t mean that smaller players are giving up. According to the Oxford Economics report, “The Digital Transformation Executive Study,” sponsored by SAP, 82% of small and midsize retailers are focusing their technology investments primarily on Big Data and analytics to gain the same kind of meaningful insights that Amazon uses.
But that was then. Now software has become so integral to the business that nobody can afford to walk away. Businesspeople must join the ranks of the IT consultants. “If you’re building a house, you don’t just disappear for six months and come back and go, ‘Oh, it looks pretty good,’” says Ferro. “You’re on that work site constantly and all of a sudden you’re looking at something, going, ‘Well, that looked really good on the blueprint, not sure it makes sense in reality. Let’s move that over six feet.’ Or, ‘I don’t know if I like that anymore.’ It’s really not much different in application development or for IT or technical projects, where on paper it looked really good and three weeks in, in that second sprint, you’re going, ‘Oh, now that I look at it, that’s really stupid.’”
When it comes to hiring a plumber, picking a restaurant, or even choosing a car dealership, reviews might actually be the thing that matters most to the average consumer. They matter a lot to search engines as well. Building up your customer reviews on Google correlates with better rankings in local pack and organic search results.
I also believe we’ll finally see more OEM’s will also introduce their versions of subscription-based buying programs. Cadillac launched their Book by Cadillac last year with minimal fanfare in three markets. Book by Cadillac provides access to several vehicles and multiple swaps (30!) allowed over an 18-month subscription term.
We can tell you until we’re blue in the face, but you really should hear it from our clients. Negotiating media…media invoice audits…post-buy analysis…The Automotive Marketing Group knows that this is where clients can directly measure our level of service, and we pride ourselves on being the absolute best.
We’ve all heard about analytics for years. We know that analytics measure what’s happening on the web. Analytics tell us how many people are visiting our site, where they’re coming from and more. Unfortunately, many of our analytics tools stop there. They tell us where the traffic’s coming from, our cost per click (if we’re running ads) but we want to know what’s actually driving sales and getting people to the right place on our website.
Neil Kokemuller has been an active business, finance and education writer and content media website developer since 2007. He has been a college marketing professor since 2004. Kokemuller has additional professional experience in marketing, retail and small business. He holds a Master of Business Administration from Iowa State University.
Outsell is the first company to bring Machine Learning to the automotive market. Our NeuroMotics® Brain is at the core of everything we offer, predicting consumer behavior, powering targeted communications, precisely identifying in-market buyers, and enhancing your dealership’s bottom line.
When the salesman starts drawing the 4-square, say you want to negotiate on price, and price only. You can figure out your payments, etc. If he tries drawing the 4 square again, point at it and (politely) say something along the lines of “I know your general manager told you to use the 4-square, but I really don’t want to see it again. I like you as a salesman and would love to get you the commission for this sale, but we’re negotiating on final price, or not at all.”
This is the idea that when you go to an automotive website, your experience won’t mirror the experience of other visitors. Whether you’re logging in as someone who just bought a vehicle or you’ve never visited the store, the site should look different. Personalization is the idea that your website and your digital channels change based on someone’s history. So how do you do that?
Car salesmen who want to advance to management positions can earn two- or four-year degrees in automotive management. These degrees are slightly different from a major in business administration. A degree in automotive management gives a person the knowledge he needs to manage a dealership. Courses in auto parts, auto service, advertising, finance and vehicle warranties are common. Sales degrees that focus on auto sales and technology might also be available. Auto management and sales degrees are usually more common at junior colleges or technical schools.
The first thing a car salesman asks when you walk onto the lot is, “Do you want to take a test drive?” That’s because once you fall in love with the heated seats and surround-sound audio system, he can play to your emotional attachment to the car instead of the facts and figures of the deal. “The worst thing you can do is become emotionally attached to a deal because then it feels very hard to walk away,” says Miller. “If you’re not willing to walk away from a deal, you really can’t negotiate effectively.”
Once you receive a commitment, either you or a manager will come in and close the deal. When you first start out, a manager called a T.O. will come in. His job is to bump the customer. The bump is getting more money from the customer.
The truth is that consumers shop differently than they did just five years ago. Savvy shoppers know that the best way to find the ultimate deal is to start with online research. At Potenza Auto Dealer, our design and marketing experts can make sure that consumers are being directed to your site where they can experience a hassle-free shopping experience.
Not all states require automobile salesmen to be licensed, so you should check the requirements in the state they wish to work in. For example, automobile salespeople in California are required to pay a fee and submit an application to the Department of Motor Vehicles. Salespeople in Colorado must pass an exam and remit a bond, in addition to completing an application and paying a fee.
Nonetheless, manufacturers seem to be following, not leading, the revolution. Many are being pushed or kicked along the path of change. There are real questions whether their late — and in some cases half-hearted — responses will be enough to protect the traditional position of the vehicle manufacturer as the caller of shots in the auto industry.
The shitty lot status helped quite a bit, because every dealership in the area expected us to suck. So they badmouthed us. With such high loyalty, it was a total turn off, and we got soooo many customers who came in and said “I was just at… (insert dealership name) and I mentioned that I bought my last car from you guys, and they were such dicks about it! They talked all kinds of trash”. At that point, we knew we had almost lost a sale, but they came back. You can only do that by treating them right the first time, and making sure they remember that you are one of the good guys. Don’t be a bush leaguer. If you catch any of your sales people talking shit about another brand, or another dealership, light their ass up. Be professional and always say “that’s a great car, and I can understand why you would want one” The customer is basically telling you exactly what they want, and it’s your job to listen.