Jeff Bounds, National Account Director. Service-to-Sales Handoff Equity Mining Webinar Playbook to Success

Transcription

1 Jeff Bounds, National Account Director Service-to-Sales Handoff Equity Mining Webinar Playbook to Success

2 AGENDA Today We Will Cover Definition of Equity Mining The 4 Phase Approach Service Drive Customer Database Inventory Target Marketing & Social Ads Process Best Practices Questions

3 EQUITY MINING DEFINED Equity Mining uses dealers customer data to identify qualified opportunities using DMS, OEM incentives, and book values. This offers visibility to the dealerships service lane and customers database to generate additional sales volume and gross profit. This solution will convert your customers into a new vehicle with a similar payment for little or no money down.

4 DEAL ACTIVATOR FOUR PHASE APPROACH Sell More Cars with the Service Drive Mine Your Existing Customer Data SERVICE DRIVE CUSTOMER DATABASE AGED VEHICLES DIRECT MAIL SOCIAL ADS Reduce Your Average Age of Inventory Professionally Contact your Customers

5 OPPORTUNITY #1 SERVICE DRIVE SERVICE TO SALES HANDOFF

6 SERVICE TO SALES HANDOFF WIIFM Service drive is largest pool of brand-loyal sales prospects Many are conquest customers (service not sold) for your sales department Higher Gross due to lack of shopping Prime opportunity for great front line preowned units Recon opportunities Become a more sought after dealership Why service here Why buy here Why work here THE KEY: Pull customers into the market by offering the right message at the right time

7 SERVICE TO SALES HANDOFF WIIFM Improve Customer Experience, Loyalty & Increase Vehicle Sales Improve Profitability (+$480 Front-end gross) Turn current service customers into repeat sales customers Accelerate the Customer Buying Cycle Acquire Highly Desired Pre-owned Vehicles There is added value to a car that has been serviced at your dealership

8 SERVICE TO SALES HANDOFF Opportunity It s not just about equity! A day in the life of the customers vehicle may look very different from when they first took delivery Changes in family situation Changes in budget Changes in commute / climate / terrain Continuous needs-assessment

9 SERVICE TO SALES HANDOFF Do The Math What is the average number of RO s at your dealership excluding internals? Most stores have 4-6 customers a day in a prime position to trade keys. Most stores have 48% of their service lane that didn't originally purchase their vehicle with them (conquest customers) total RO s per month 4-6 opportunities a day from current customers 26 days a month that service is open total opportunities a month 25% conversion ratio incremental car deals monthly just from proper identification and engagement +Higher gross +Used car gross +Recon - RO/Customer pay + Potential SGP, QGP, Nissan 10 earnings How many of those customers can you present an offer to? What about the 480 conquest customers that you don t have their deal info? How many cars deals are you missing there?

10 INDUSTRY STANDARDS 48% of Service Drive Customers Bought Somewhere Else What if I knew the Financial Information of every customer that came into my Service Department?

11 SOFT CREDIT PULLS Soft Credit Pull Statistics: Over 65% are approved and a firm offer of credit is sent to the customer Over 33% of those approved have an open auto loan matching the vehicle in service (22% of all) Over 50% of those with loan matches are in one of our top 4 equity classes (11% of all) Our average dealer does just over 1,000 retail RO s per month Over 48% of those RO s are service not sold customers (dealer-level conquest) If a dealer speaks to only those Conquest Customers with a great story which are in the service drive, approved for credit, matched to an auto loan and are in a top equity class, the average dealer would have over 50 new opportunities per month. At just a 20% closing ratio that s over 10 units per month from customers that will stay loyal to the brand even though they have already proven to not be loyal to the dealer.

12 FIRM OFFER OF CREDIT Firm Offer of Credit Generates Hand Raisers

13 REAL-TIME CALCULATIONS

14 MATCHING TO YOUR INVENTORY AND PROGRAMS

15 DON T MISS ANY OPPORTUNITIES Mobile is an Essential Component of Equity Mining Provides flexibility in the Service Lane Ensures that you can capture every opportunity Execute and monitor campaigns anytime, anywhere

16 CUSTOMIZABLE PRESENTATION SHEET

17 OPPORTUNITY #2 MILLION DOLLAR SECRET PROACTIVELY MINING YOUR CUSTOMER DATABASE

18 PROACTIVELY MINING YOUR CUSTOMER DATABASE Do The Math What is the total number of customers in your DMS? How do your salespeople stay engaged with their customer base? How many orphan owners do you have? When is the last time they were contacted with a relevant offer to bring them back? Example Scenario total customers 10-15% in a position to upgrade opportunities 25% closing ratio Average Gross Profit $1, to 375 additional car deals per year from proper identification and engagement could generate $375,000 to $562,000 in gross profit How many of these customers have you missed?

19 THREE POINTS OF CONTACT Combine The Power Of 4 Points Of Contact To Drive The Message Home Market research indicates utilizing 3 points of contact increases closing ratios as much as 300%.

20 QUICK FOLLOW UP TO PROSPECTS

21 GOALS AND INVENTORY Build Scenarios That Work With Your Goals And Inventory Create multiple campaigns focusing on different groups with no overlap Quickly and easily set all criteria for your new equity search

22 OPPORTUNITY #3 SOLVING THE AGE OLD QUESTION PROACTIVELY MANAGING INVENTORY TURN

23 FOCUS ON SPECIFICS Stop Blasting Your Database and Focus On Specifics

24 OPPORTUNITY #4 DIVERSIFY YOUR ENGAGEMENT MARKETING TO CREATE HAND RAISERS

25 MARKETING TACTICS Use Leverage To Get Attention Use customizable graphics geared towards the dealer s message Don t over communicate the message Take a strategic approach Align with the OEM What vehicle are they promoting? What vehicles do you need? What s your most profitable used car?

26 SOCIAL ADS PASSIVE MARKETING WHERE THE EYEBALLS ARE

27 REDEFINING THE VALUE OF SOCIAL MEDIA Every day, on average, Facebook reaches more people in the US than the audience of the 2016 Super Bowl.

28 REDEFINING THE VALUE OF SOCIAL MEDIA Social Objectives Likes, Shares & Engagement Business Objectives Leads, Conversions, Reach & Consideration

29 REDEFINING THE VALUE OF SOCIAL MEDIA 150x /day 15-20x /day Where they are most engaged.

30 MEASURING SUCCESS Web > Campaign Report You can view key metrics for each post: VDP Views SRP Views SAP Views Bounce Rate Time on Site

31 DRIVING RESULTS MAXIMIZE YOUR SALES THROUGH SOCIAL

32 DEALACTIVATOR SOCIAL ADVERTISING EXAMPLES

33 DEALACTIVATOR SOCIAL ADVERTISING SUCCESS Vehicles Sold: 7 Primary Sales: 7 Secondary Sales: 0 Est. Gross Profit: $30, Audience Targeted: 876 Total # of Website Clicks: 32 Average Time on Site: 0:01:36

34 IMPLEMENT A CONSISTENT PROCESS ESTABLISH A PROCESS AND REPORTS

35 ESTABLISH A PROCESS 1. Identify Opportunity 2. Appointment Reminder 3. Establish a VIP Program 4. Consultative Communication 5. Strategic Loaners 6. Follow Up

36 DASHBOARD REPORTS- CREATE ACCOUNTABILITY Monitor Employee Engagement With Dashboard Reports

37 ESTABLISH BEST PRACTICES 10 KEY TAKEAWAYS

38 TAKEAWAYS 10 BEST PRACTICES 1. Create targeted campaigns leveraging inventory and OEM initiatives 2. Attach letter to top equity class service customers invoice upon checkout of dealership 3. Point-of-sale materials to create hand raisers 4. Spiff Service Advisors 5. Target customers without service contracts F&I 6. Lease customers nearing or over mileage limits 7. Have multiple people working the solution 8. Leverage direct mail and campaigns 9. Go three for three phone call, , and letter 10. Be bought in from the top down

39 THANK YOU Q/A

40 Jeff Bounds National Account Director