Vincent Duoto, Na.onal Accounts Execu.ve Winning the Online Shopper with New Car Incen5ves
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Winning the Online Shopper with New Car Incen5ves Na.onal Account Execu.ve vince.duoto@drivedominion.com (713) 471-8657
Today s Agenda Incen.ves In the Market Google s Automo.ve Micro-Moments Steps to Incen.vizing Inventory Incen.ve Tools Q & A
Incen.ves On The Rise 2016 in review Average incen5ve spending $3,766 per unit Up 22.6% over 2015 Full-year incen5ve spending $3,348 per unit up 14.5% versus 2015
Market Trends According to Steven Szakaly, chief economist at NADA, "New-car shoppers can expect a year with slightly higher interest rates on auto loans, but those increases will likely be offset by rising automaker incen5ves. In February 2017, incen.ves reached just over 10% of the MSRP. The highest since 2009.
Incen.ves Build Trust Shoppers value a perceived deal. Shoppers value trust.
Incen.ves Build Trust
Google s Key Automo5ve Micro Moments Where do incen.ves fit in?
Google s Key Automo.ve Micro Moments Micro-Moment #1 Which Car is Best for Me? Consumers oien turn to digital avenues to begin their auto research. 69% of people who use YouTube while buying a car are influenced by it.* Are you crea.ng videos for your inventory? Is your inventory on YouTube? *Source: Think With Google Study, 2016
Google s Key Automo.ve Micro Moments Micro-Moment #2 Is It Right for Me? During the car buying journey, shoppers will ask: will this fit my needs and lifestyle? Time spent watching auto videos increased nearly 2X YoY. Search interest for car trunk space and towing capacity increased by 15% and 30% respec.vely, YoY.* *Source: Think With Google Study, 2016
Google s Key Automo.ve Micro Moments Micro-Moment #3 Can I Afford It? Search interest for car MSRP and list prices is at its highest level EVER, growing 25% YoY, driven in large part by mobile, which accounts for 70% of these searches.* *Source: Think With Google Study, 2016
Poll Ques.on How many of your vehicles show online incen5ves and/or rebate op5ons to the shopper? A. 25% B. 50% C. 75% D. All of them E. None/Not Sure
Google s Key Automo.ve Micro Moments Micro-Moment #4 Where Should I Buy? Although much of the car purchase journey has moved online, consumers s.ll need to find a dealership. Search interest for car dealerships near me doubled YoY.* 1 in 3 car shoppers who use their mobile devices as part of the car purchase process, locate or call a dealer on their mobile device. *Source: Think With Google Study, 2016
Google s Key Automo.ve Micro Moments Micro-Moment #5 Am I GeWng a Deal? Today, half of all car shoppers with mobile devices use their smartphones while at the dealership. The top ac.on people perform with their phone while on the dealership lot is confirming they are gerng a good price on a vehicle.* *Source: Think With Google Study, 2016
Source: Google 40% of Google Micro-Moments Belong to Pricing!
Simple Steps to Incen5vize Your Inventory
K. U. B. E. S. Know Your Inventory What vehicles do you have in stock? Which specific vehicles in stock are slow movers? Which specific vehicles are cos.ng you money? Is your inventory priced correctly?
K. U. B. E. S. Understand Your Market Do you completely understand your market and the surrounding areas? Who is your compe..on? How are you going to gain market share? How are you going to make that extra sale you didn t get last month? Is your inventory priced correctly?
K. U. B. E. S. Be Transparent Don t confuse the shopper. - Consumers are shopping 3 rd party sites to verify your pricing Be certain your website and 3rd party sites reflect the same online pricing. Be clear in your pricing Build trust. - People buy from those they like and trust.
K. U. B. E. S. Be Transparent As a shopper, this can be very confusing
Poll Ques.on What are you currently doing at your dealership to ensure price transparency? A. Showing MSRP Online B. Offering Incen.ve Pricing Online C. Using Incen.ve Pricing Tool D. All of The Above E. Not Sure
K. U. B. E. S. Engage Your Buyer Engage the consumers exis.ng knowledge Consumers are searching 3rd party sites like Edmunds and KBB to verify incen.ves Source: 2016 KBB Study
K. U. B. E. S. Simplify Your Pricing Strategy Pricing and Incen.ves Tools Create Pricing Rules Access to 95%+ of available incen.ves
K. U. B. E. S. Know your inventory Understand your market Be transparent Engage your buyer with knowledge Simplify your pricing strategy
A Quick Peek Into an Incen5ves Pricing Tool
New Car Incen.ves Tools Market Pricing Live Updates Determine Profit View All Available Incen5ves Set Rules
New Car Incen.ves Tools Simple Rule Crea5on! Determine Start/End Dates Quickly View All Applicable Vehicles
New Car Incen.ves Tools Eliminate pricing guesswork, and start pricing for profitability! New Market Listings Simple Select and Know Competition Apply Instant Views Automatic Updates Alerts for New R & I from Data Partners Win the Sale Ensure Consistency
Final Points 71% of car buyers say looking at pricing is their #1 ac9vity when researching online. - KBB Study
Summary 40% of Google s Key Micro-Moments relate to pricing K.U.B.E.S. Incen5ves Tools = Added Profitability Win the online shopper by building trust and engagement with incen5ves!
THANK YOU QUESTIONS?
Sources hvps://www.thinkwithgoogle.com/infographics/key-auto-micro-moments-mobile-trends.html hvp://www.jdpower.com/press-releases/jd-power-and-lmc-automo.ve-forecast-february-2017 NADA Incen.ve Data
Vincent Duoto Na.onal Account Execu.ve vince.duoto@drivedominion.com (713) 471-8657 www.fb.com/dominiondealersolutions www.twitter.com/dominiondealer