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Mark Pauzé
Senior Marketing Manager Analytics & Consulting
Heather MacKinnon
Vice President National Accounts-DealerRater
The Proof is in the Numbers
Reviews Drive Business
Agenda
Reviews Drive Business- The methodology and results of a
2012 Polk Study measuring the impact average star ratings have
on new vehicle registrations.
Booking More Appointments & Breaking Down Barriers-
Utilizing review content to book more sales/service
appointments.
Let Your Customers Do the Talking- Increase Sales/Service
business through reputation leveraging strategies
Inspect What You Expect- Promote the positives!
Consumer Behavior...
88% of all in-market consumers conduct research on the internet
before walking into a dealership (JD Power)
89% of car buyers go online to verify recommendations before
purchasing a vehicle (Cone Study 2011)
4 out of 5 consumers do not move ahead with a purchase based
on negative online reviews (Cone Study 2011)
59% of auto shoppers said they feel more positive about dealers
who respond to negative comments (2013 Ford Direct study)
2012 Polk Study
Mark Pauzé
Senior Marketing Manager
Analytics and Consulting
Polk manages a complex set of online vehicle data
to support the automotive industry as our core business
• 500 million unique vehicles
– Passenger
– Commercial
• Over 135 million households,
195 million individuals
– Demographics
– Lifestyles
– Vehicle intenders
– Internet shopping
• 2.6 billion transactions
• 240+ data sources
• Titles
• Registrations
• Sales
• Over 17 million businesses
• 35 million vehicles
The world’s largest provider of automotive market
intelligence and solutions.
Polk’s Industry Intelligence
 All global OEMs (including emerging)
 Dealers/Dealer groups
 Aftermarket companies
 Finance and insurance companies
 Advertising agencies
 Media companies
 Consulting organizations
 Government agencies
 Investment firms
 Market research firms
 Web portals
 Search engines
Polk’s Customers
6
Polk’s Areas of Expertise
Analyze & Forecast
Market Potential
Plan & Manage
Multichannel Target
Marketing
Improve Owner Loyalty
Manage Aftersales &
Aftermarket Operations
Optimize Dealer
Networks
Interpret & Apply
VIN Information
Study Background
• Polk was requested by DealerRater to conduct a study
evaluating:
1. How franchised dealership star ratings affect sales
performance
2. How various levels of participation in DealerRater’s
Certified Dealer Program affect sales performance
• Goal was to investigate assumptions about star ratings and the
Certified Dealer Program
Study Methodology
 DealerRater provided Polk with industry database file
(including DealerRater certified dealers and other dealerships)
 7,784 dealers in the sample set
◦ DealerRater data elements included:
 Dealer ratings
 Certified dealer date & certification type
 Reviews
 Usage of DealerRater tools
 Jan-Sept 2012 vs. Jan-Sept 2011 & historical new vehicle registrations to
2009
12.2%
14.8%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
Dealers Rated 2 or Less Dealers Rated 4 or More
% Growth
Jan-Sep 2012 vs. 2011
Dealers with an average star rating of 4.0 or higher had a 21% greater
increase in sales compared to dealerships with an average star rating
of 2.0 or less
Reviews Drive Business
 Certified dealers averaged a 5% increase after six months and an 8%
increase after 12 months
 360Certified dealers averaged an 11% increase after six months / 19%
increase after 12 months
Certified Dealer Program
Impacts Dealer Growth
* 360Certified dealers using all
DealerRater tools
5%
8%
11%
19%
0%
5%
10%
15%
20%
25%
6 months after certification 12 months after certification
% Growth After Certification
Certified Dealers
*360Certified Deale
In other words, on average certified dealers sold 6 more cars per
month in the 12 months after joining the program
A Measurable ROI
 Certified dealers experienced on average a 23% greater increase in new car
sales compared to non-certified dealers.
 360Certified dealers who were fully utilizing the program tools had a 50%
greater increase in sales compared to non-certified dealers.
23%
49%
0%
10%
20%
30%
40%
50%
60%
% Greater Increase in Sales
% Growth vs. Non-Certified Dealers
Certified Dealers
*360Certified Dealers
Outpace the Average Dealer
*360CertifieddealersusingallDealerRatertools
Jeff King
General Manager
Bozard Ford, St Augustine FL
Creating a Strong but Simple Reputation Strategy
Bozard Ford Reputation Results
Instituted a Reputation Strategy early 2010 comprised of building DealerRater
and Google Sales and Service Reviews.
Bozard Ford Sales 2010:
Average # of vehicles sold per month: 100
Average # of vehicles sold per month sourced through the internet: 8
Featured fewer than 20 online reviews
Bozard Ford Sales 2013:
Average # of Vehicles sold per month: 300
Average # of Vehicles sold per month sourced through the internet: 120
Features over 1000 reviews on DealerRater and Google combined
Bozard Ford Service:
Monthly Repair Orders up over 50%
Since 2011, 100% of Bozard Ford’s Marketing has leveraged reputation
Decide and Conquer
Google
Page One
Dominance
Decide and Conquer
 Vast majority of Search Traffic comes from Dealer Name-
based Search.
◦ 65% of search traffic is Directory Search (Bozard Ford) vs.
◦ 35% of search traffic is Keyword Search (Ford Dealers St
Augustine, FL)
***2013 Autotrader.com reported at JDPower March 2013 Conf.
Keyword Versus Directory Searches
Create Employee Buy In
•Engage entire staff
•Recognize Top Rated Employees Weekly
•Drive Competition and Recognition
Promote 3rd Party Reputation Everywhere!
•Website Staff Pages
•Employee Email Signatures
Promote 3rd Party Reputation Everywhere!
Print &
Online Ads
Service Lounge
Monitors
Promote 3rd Party Reputation Everywhere!
• 3rd Party Breaks Down Barriers of Mistrust
•Differentiate from Competition
Why Does Bozard Ford Promote 3rd Party Reputation?
Online Consumer
Reviews 2nd Most
Trusted Form of
Advertising
Promote 3rd Party Reputation Everywhere
Because Reviews Drives Business!
•Radio
•Television
•Online Advertising
•Print
•Billboard
Online
Print
Jim McGinn
Germain BMW
Naples, FL
Kurt Lytle
Universal Kia
Franklin, TN
Booking More Appointments & Breaking Down Barriers
• Engage the 88% outside
the showroom
• Personal/Professional Bio
• Links to 3rd Party Content
Create an Online Greeting
Follow Up Email Templates/Email Signatures
•Engage Every Unsold Prospect
•Powerful 3rd Party 1st Impression
Building Today’s On/Offline Evidence Manual
Print Out and Promote 3rd Party
Reviews
Give the 88% a reason to choose you!
Jim McGinn
Germain BMW
Naples, FL
Megan Barto
Ciocca Honda
Harrisburg, PA
Competition + Recognition = More Quality Appointments
Competition + Recognition = More Quality Appointments
“Google
Me”
Drive Individual & Dealership Awareness on Social Networks
•Socialize Reputation
•Be Top of Mind
Competition & Recognition = More Quality Appointments!
More Reviews
More Court Time
Eley Duke
Duke Automotive
Suffolk, VA
Inspect What You Expect!
Inspect What You Expect:
Charlotte NC Consumer
is the 88%
Searching Local
Dealers
In Market: Late Model
Chevy Yukon
Inspect What You Inspect:
Dedicated Page
Containing
Links to Five Review
Destinations
Inspect What You Expect:
4 out of 5 consumers…
Inspect What You Expect:
Testimonial Pages
contain timely 3rd
party
powered reviews
Inspect What You Expect:
•Review History is Consistent/Current
•Strong Sales & Service Reputation
Questions?
For additional questions or information:
Heather MacKinnon
Vice President of National Accounts
800-266-9455 x 3533
Heather@dealerrater.com
www.DealerRater.com

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How reviews drive auto sales and service business

  • 1. Mark Pauzé Senior Marketing Manager Analytics & Consulting Heather MacKinnon Vice President National Accounts-DealerRater The Proof is in the Numbers Reviews Drive Business
  • 2. Agenda Reviews Drive Business- The methodology and results of a 2012 Polk Study measuring the impact average star ratings have on new vehicle registrations. Booking More Appointments & Breaking Down Barriers- Utilizing review content to book more sales/service appointments. Let Your Customers Do the Talking- Increase Sales/Service business through reputation leveraging strategies Inspect What You Expect- Promote the positives!
  • 3. Consumer Behavior... 88% of all in-market consumers conduct research on the internet before walking into a dealership (JD Power) 89% of car buyers go online to verify recommendations before purchasing a vehicle (Cone Study 2011) 4 out of 5 consumers do not move ahead with a purchase based on negative online reviews (Cone Study 2011) 59% of auto shoppers said they feel more positive about dealers who respond to negative comments (2013 Ford Direct study)
  • 4. 2012 Polk Study Mark Pauzé Senior Marketing Manager Analytics and Consulting
  • 5. Polk manages a complex set of online vehicle data to support the automotive industry as our core business • 500 million unique vehicles – Passenger – Commercial • Over 135 million households, 195 million individuals – Demographics – Lifestyles – Vehicle intenders – Internet shopping • 2.6 billion transactions • 240+ data sources • Titles • Registrations • Sales • Over 17 million businesses • 35 million vehicles The world’s largest provider of automotive market intelligence and solutions. Polk’s Industry Intelligence
  • 6.  All global OEMs (including emerging)  Dealers/Dealer groups  Aftermarket companies  Finance and insurance companies  Advertising agencies  Media companies  Consulting organizations  Government agencies  Investment firms  Market research firms  Web portals  Search engines Polk’s Customers 6
  • 7. Polk’s Areas of Expertise Analyze & Forecast Market Potential Plan & Manage Multichannel Target Marketing Improve Owner Loyalty Manage Aftersales & Aftermarket Operations Optimize Dealer Networks Interpret & Apply VIN Information
  • 8. Study Background • Polk was requested by DealerRater to conduct a study evaluating: 1. How franchised dealership star ratings affect sales performance 2. How various levels of participation in DealerRater’s Certified Dealer Program affect sales performance • Goal was to investigate assumptions about star ratings and the Certified Dealer Program
  • 9. Study Methodology  DealerRater provided Polk with industry database file (including DealerRater certified dealers and other dealerships)  7,784 dealers in the sample set ◦ DealerRater data elements included:  Dealer ratings  Certified dealer date & certification type  Reviews  Usage of DealerRater tools  Jan-Sept 2012 vs. Jan-Sept 2011 & historical new vehicle registrations to 2009
  • 10. 12.2% 14.8% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% Dealers Rated 2 or Less Dealers Rated 4 or More % Growth Jan-Sep 2012 vs. 2011 Dealers with an average star rating of 4.0 or higher had a 21% greater increase in sales compared to dealerships with an average star rating of 2.0 or less Reviews Drive Business
  • 11.  Certified dealers averaged a 5% increase after six months and an 8% increase after 12 months  360Certified dealers averaged an 11% increase after six months / 19% increase after 12 months Certified Dealer Program Impacts Dealer Growth * 360Certified dealers using all DealerRater tools 5% 8% 11% 19% 0% 5% 10% 15% 20% 25% 6 months after certification 12 months after certification % Growth After Certification Certified Dealers *360Certified Deale
  • 12. In other words, on average certified dealers sold 6 more cars per month in the 12 months after joining the program A Measurable ROI
  • 13.  Certified dealers experienced on average a 23% greater increase in new car sales compared to non-certified dealers.  360Certified dealers who were fully utilizing the program tools had a 50% greater increase in sales compared to non-certified dealers. 23% 49% 0% 10% 20% 30% 40% 50% 60% % Greater Increase in Sales % Growth vs. Non-Certified Dealers Certified Dealers *360Certified Dealers Outpace the Average Dealer *360CertifieddealersusingallDealerRatertools
  • 14. Jeff King General Manager Bozard Ford, St Augustine FL Creating a Strong but Simple Reputation Strategy
  • 15. Bozard Ford Reputation Results Instituted a Reputation Strategy early 2010 comprised of building DealerRater and Google Sales and Service Reviews. Bozard Ford Sales 2010: Average # of vehicles sold per month: 100 Average # of vehicles sold per month sourced through the internet: 8 Featured fewer than 20 online reviews Bozard Ford Sales 2013: Average # of Vehicles sold per month: 300 Average # of Vehicles sold per month sourced through the internet: 120 Features over 1000 reviews on DealerRater and Google combined Bozard Ford Service: Monthly Repair Orders up over 50% Since 2011, 100% of Bozard Ford’s Marketing has leveraged reputation
  • 17. Decide and Conquer  Vast majority of Search Traffic comes from Dealer Name- based Search. ◦ 65% of search traffic is Directory Search (Bozard Ford) vs. ◦ 35% of search traffic is Keyword Search (Ford Dealers St Augustine, FL) ***2013 Autotrader.com reported at JDPower March 2013 Conf. Keyword Versus Directory Searches
  • 18. Create Employee Buy In •Engage entire staff •Recognize Top Rated Employees Weekly •Drive Competition and Recognition
  • 19. Promote 3rd Party Reputation Everywhere! •Website Staff Pages •Employee Email Signatures
  • 20. Promote 3rd Party Reputation Everywhere! Print & Online Ads Service Lounge Monitors
  • 21. Promote 3rd Party Reputation Everywhere! • 3rd Party Breaks Down Barriers of Mistrust •Differentiate from Competition
  • 22. Why Does Bozard Ford Promote 3rd Party Reputation? Online Consumer Reviews 2nd Most Trusted Form of Advertising
  • 23. Promote 3rd Party Reputation Everywhere Because Reviews Drives Business! •Radio •Television •Online Advertising •Print •Billboard Online Print
  • 24. Jim McGinn Germain BMW Naples, FL Kurt Lytle Universal Kia Franklin, TN Booking More Appointments & Breaking Down Barriers
  • 25. • Engage the 88% outside the showroom • Personal/Professional Bio • Links to 3rd Party Content Create an Online Greeting
  • 26. Follow Up Email Templates/Email Signatures •Engage Every Unsold Prospect •Powerful 3rd Party 1st Impression
  • 27. Building Today’s On/Offline Evidence Manual Print Out and Promote 3rd Party Reviews Give the 88% a reason to choose you!
  • 28. Jim McGinn Germain BMW Naples, FL Megan Barto Ciocca Honda Harrisburg, PA Competition + Recognition = More Quality Appointments
  • 29. Competition + Recognition = More Quality Appointments “Google Me”
  • 30. Drive Individual & Dealership Awareness on Social Networks •Socialize Reputation •Be Top of Mind
  • 31. Competition & Recognition = More Quality Appointments! More Reviews More Court Time
  • 32. Eley Duke Duke Automotive Suffolk, VA Inspect What You Expect!
  • 33. Inspect What You Expect: Charlotte NC Consumer is the 88% Searching Local Dealers In Market: Late Model Chevy Yukon
  • 34. Inspect What You Inspect: Dedicated Page Containing Links to Five Review Destinations
  • 35. Inspect What You Expect: 4 out of 5 consumers…
  • 36. Inspect What You Expect: Testimonial Pages contain timely 3rd party powered reviews
  • 37. Inspect What You Expect: •Review History is Consistent/Current •Strong Sales & Service Reputation
  • 38. Questions? For additional questions or information: Heather MacKinnon Vice President of National Accounts 800-266-9455 x 3533 Heather@dealerrater.com www.DealerRater.com

Notas del editor

  1. Maybe put a staff page there