The Future of Automotive Retail Sales and Your Dealership
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1 The Future of Automotive Retail Sales and Your Dealership Your photo here Peter Leto Head of Auto Retail Google Inc. Detroit, Michigan
2 2 The views and opinions presented in this educational program and any accompanying handout material are those of the speakers, and do not necessarily represent the views or opinions of NADA. The speakers are not NADA representatives, and their presence on the program is not a NADA endorsement or sponsorship of the speaker or the speaker s company, product, or services. Nothing that is presented during this educational program is intended as legal advice, and this program may not address all federal, state, or local regulatory or other legal issues raised by the subject matter it addresses. The purpose of the program is to help dealers improve the effectiveness of their business practices. The information presented is also not intended to urge or suggest that dealers adopt any specific practices or policies for their dealerships, nor is it intended to encourage concerted action among competitors or any other action on the part of dealers that would in any manner fix or stabilize the price or any element of the price of any good or service.
3 3
4
5 5
6 6
7 EVOLVE. ADAPT. GROW.
8 US Retail stores closing by
9 While cars have changed, the retail experience is much the same as it was one hundred years ago. Dr. Ian Robertson, BMW Global Sales and Marketing
10 Visiting 1 to 2 dealers versus 5 in 2005
11 56% Of buyers test drive 1 vehicle, at most
12 75% of auto purchaser research time is spent on digital
13 [Average distance traveled to purchase a new vehicle] 19.7 miles miles 2013
14 14 Evolve. Adapt. Grow. Now.
15
16 16 Gone are the days when people take care of cars. Now people expect cars to take care of them. Donna Satterfield, IBM Automotive
17 17 Slide Title in Initial Caps/Calibri Use this slide for your material. Each slide should have no more than 20 words and include at least one graphic element. Leave the Questions and repeat-title slides at the end.
18 18 They want to know the benefits, not specs
19 19
20 20 20% of US Auto Shoppers said I learned as much as I could online, and only went to the dealer to confirm my decision or to complete the paperwork
21 21 Over half of millennials prefer Not to negotiate
22 22
23 23
24 24 People trust virtual experiences (and saves them time)
25 25 Test Drive has gone digital Reveal Features Walk through
26 26
27 Proprietary + Confidential Source: Lorem ipsum dolor sit amet, consectetur adipiscing elit. Duis non erat sem
28 28 People want frictionless online-to-offline experience
29 Proprietary + Confidential Source: Lorem ipsum dolor sit amet, consectetur adipiscing elit. Duis non erat sem
30 30 So, what needs to be done TODAY?
31 Proprietary + Confidential Source: Lorem ipsum dolor sit amet, consectetur adipiscing elit. Duis non erat sem
32 32 Digital assets Data Insights Teams
33 33 Prepare & Invest on your digital assets 60% 50% Time Spent per Media Ad spending by Automotive Dealers 40% 30% 20% 10% 0% TV Digital Print Radio
34 34 Your website matters, A LOT
35 35 Mobile is the key to capture real time demands 56% of searches for dealership reviews on weekends occur on mobile devices 84% of are dealers open Sunday searches occur on mobile devices
36 36 Shoppers are turning to digital channels to reach your salespeople 80% 70% 60% 50% 40% 30% [Actions taken before purchasing the vehicle] Spoke to a salesperson in person Spoke to a salesperson over the phone ed a salesperson Filled out a form online 20% 10% 0% Chatted with a salesperson online Texted with a salesperson on my mobile device
37 37 Searched on Google Visited OEM website Inquired family, friends colleagues Measure and evaluate the touch points Looked at photos Visited a brand s social page watched video on YouTube browsed newspaper ads influenced by online ad watched video ad loan calculator on 3rd party site searched on mobile Saw a TV ad Built-and-priced on OEM site read professional review search dealer inventory on Tier 2 visited dealer website located a dealer from mobile requested a quote online clicked display ad used model comparison tool visited newspaper site filled out a form read consumer reviews used mobile on lot visited a dealership test drove a vehicle
38 38 Measure and evaluate the touch points
39 Set up a data intelligence system to measure & evaluate 39 Quantity Impression, Clicks, Views Pipeline Assisted Conversions, Engagement Quality Web Conversions, Phone calls
40 40 Set up teams to effectively act upon the insights Internet Marketing Traditional Marketing GSM DEALER + GENERAL MANAGER Fixed Ops BDC ISD New Mgr Used Mgr BDC ISM Sales Sales Parts Mgr Parts Service Mgr Advisor Advisor Internet Sales Traditional Sales Tech Tech
41 41 Set up teams to effectively act upon the insights DEALER + GENERAL MANAGER Marketing /Branding GSM Marketing Fixed Ops New Mgr Used Mgr BDC Parts Mgr Service Mgr Sales Sales BDC Parts Advisor Advisor Tech Tech
42 Proprietary + Confidential Source: Lorem ipsum dolor sit amet, consectetur adipiscing elit. Duis non erat sem
43 43 Clear measurement of online to offline sales Reach shoppers on the go through efficient digital targeting One marketing budget & execution, instead of two silos of offline & online
44 44 Questions
45 The Future of Automotive Retail Sales and Your Dealership Your photo here Peter Leto Head of Auto Retail Google Inc. Detroit, Michigan Please visit the NADA Pavilion in the Expo Hall for information on accessing electronic versions of this presentation and the accompanying handout materials, and to order the workshop video recording.
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