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Welcome to the digital edition
  of Digital Dealer magazine!
Just as you are trying to keep your store(s) on the cutting edge, we
are doing the very same thing as we venture into a new frontier in
the publishing biz.

We can get this digital version in your hands 2-3 weeks faster than
the print version, giving you the freshest information possible. You
can click on links at the end of each article to email the author of
such. And you can click on the ads to link to that advertiser’s website
(and you’d REALLY be helping us out by doing just that).

It’s quite intuitive…I don’t think that someone who uses the Internet
to make a living will have any trouble easily figuring it out.

Please let me know what you think about it…
mroscoe@Dealer-Communications.com




                Michael Roscoe
                Editor-in-Chief
February 2009




          The Technology Magazine for Dealers & Managers

                                            Internet Sales:
                                              Redesigning and
                                              Refocusing your
                                              Approach to the
                                                 Market page 12

                                              Your Best Online
                                              Presence in 2009
                                                  and Beyond
                                                                     page 14


                                        Technology Trends:
                                              A Good DOC Will
                                             Keep you Healthy

ANTHONY                                                              page 32




BARTOLI
                                                  BDC/CRM:
                                                    Measuring
                                                     Customer
New and Pre-owned                               Retention: The
Sales Manager/Internet                       Secret Ingredient
Director, Behlmann                                                   page 34

Buick Pontiac GMC
and Pre-owned Cars                                          CIAL
page 26
page 26                                                 FF I
                                                  O




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HOW CAN WE WORK FOR YOU?
              At AutoTrader.com, we want to help you succeed. That’s why we          your investment. And you’ll get innovative products and market

              make it our goal to do whatever it takes to help you sell more cars.   intelligence to give you an edge. And with all this, you’ll also get

              You’ll get exposure for your cars and dealership so you can attract    a dedicated service team to make it all work for you. To put us to

              more customers. You will get training to help get the most out of      work for you, just call 888-249-6860 or visit dealers.autotrader.com.




©2009 AutoTrader.com, Inc. All Rights Reserved. “AutoTrader.com”
is a registered trademark of TPI Holdings, Inc. used under exclusive license.
T ABLE OF CONTENTS
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                                                                                                      The Technology Magazine for Dealers & Managers

                                                                                                           FEBRUARY 2009
 FEATURE                                                                                                     MANAGING EDITOR
                                                                                                             LINDA DI PIETRO
       Digital Dealer Cover Story                                                                         ldipietro@Dealer-magazine.com

  26 Anthony Bartoli, New and Pre-owned                                                                        PUBLISHER
       Sales Manager/Internet Director                                                                       GREG NOONAN
                                                                                                                 607-264-3359
       Behlmann Buick Pontiac GMC and                                                                     gnoonan@Dealer-magazine.com
       Pre-owned Cars
                                                                                                                ART DIRECTOR
                                                                                                                 JOE BIRCH
 COLUMNS                                                                                                    jbirch@Dealer-magazine.com


       AAISP Notes                                                                                       PRODUCTION MANAGER
                                                                                                           ELIZABETH BIRCH
  10 How to Endure, Survive and Even
       Thrive in Tumultuous Times                                                                            PRINT PRODUCTION
       Mike Roscoe                                                                                           DAVID MANTHEY
                                                     Anthony Bartoli                                     DESIGN CONSULTING
                                                     Behlmann Buick
       Internet Sales                               Pontiac GMC and
                                                                                                      PUBLICATION DESIGN, INC.
  12 Redesigning and Refocusing your                 Pre-owned Cars                                             COVER DESIGN
       Approach to the Market                                                                                    JOE BIRCH
                                                                                                            jbirch@Dealer-magazine.com
       Phil Sura
                                                                                                          COVER PHOTOGRAPHY
  14 Your Best Online Presence in 2009 and Beyond                                                          YVONNE NIEMANN
       Peter Batten                                                                                    CIRCULATION SUBSCRIPTION
                                                                                                            RICH JARRETT
  16 Be the Authority                                                                                        314-432-7511
                                                                                                           rjarrett@Dealer-magazine.com
       Paige Presley
                                                                                                 NATIONAL ADVERTISING SALES
  18 Snake Oil Online?                                                                           adsales@Dealer-magazine.com
       Joe Webb                                                                                         607-264-3359
                                                                                                 Dealer magazine makes every attempt to
  22 Salvage Sales with the Internet in a Downtime                                               ensure the accuracy of all published works.
                                                                                                 However it cannot be held responsible for
       Daryl Sanders                                                                             opinions expressed or facts supplied herein.
                                                                                                 Nothing may be reproduced in whole or in part
                                                                                                 without written permission from the publisher.
  24 What Can SEO and SEM Do For Your                                                            All rights reserved. The publisher encourages
                                                                                                 you to submit suggestions. Submitted materials
       Dealership?                                                                               become the property of Horizon Communications,
                                                                                                 Inc. and will not be returned. Send material for
       Elissa Giroux                                                                             publication to 330 Franklin Rd., Suite 135A,
                                                                                                 PMB 386, Brentwood, TN 37027. The editor
                                                                                                 reserves the right to edit material; submission
     Technology Trends                                                                           of material constitutes permission to edit and
  32 A Good DOC Will Keep you Healthy                                                            publish that material. This publication is
                                                                                                 designed to provide accurate and authoritative
       Sandi Jerome                                                                              information in regard to the subject matter
                                                                                                 covered. It is presented with the understanding
                                                                                                 that the publisher is not engaged in rendering
     BDC/CRM                                                                                     legal, accounting or other professional service.
                                                                                                 If legal advice or other expert assistance is
  34 Measuring Customer Retention: The Secret Ingredient                                         required, the services of a competent profes-
                                                                                                 sional person should be sought. From a
       Jim Roche                                                                                 Declaration of Principles jointly adopted by a
                                                                                                 Committee of the American Bar Association
                                                                                                 and a Committee of Publishers.
     DMS Workshop
  36 ‘Go Away and Leave Me Alone!’
       Paul Gillrie                                                                                     A PUBLICATION OF

 DEPARTMENTS
   6 Industry & Tech News
   8 Digital Dealer E-mail




DD 4   February 2009   DigitalDealer-magazine.com
D IGITAL Dealer INDUSTRY & TECH NEWS



Kelley Blue Book now                          Dealer.com wins top                          vAuto, Carfax unlock
releasing values weekly                      international emerging                        profit for auto dealers
                                                                                             A study released today proves that
   Kelley Blue Book is now publishing
its used-vehicle values weekly via its
                                                  media award                             dealers can maximize profitability by
                                                Dealer.com is a Leader Award winner
web-based product KarPower Online.                                                        immediately evaluating cars at trade-in.
                                             in the 2008 Summit Emerging Media
Prior to this, only the Kelley Blue Book                                                  vAuto and Carfax deliver a powerful
                                             Award (Summit EMA) competition for
Trade-In Values were updated weekly,                                                      tool that dealers are using to identify
                                             its work with Checkered Flag Motor Car
while other values were published in                                                      cars that command a premium price on
                                             Corporation, www.checkeredflag.com.
the Kelley Blue Book Official Guide                                                       the retail market. According to vAuto,
                                             The 2008 competition included
every other month. The Blue Book                                                          dealers consistently price Carfax 1-
                                             approximately 700 entries from numer-
Official Guide also has an updated                                                        Owner cars an average of $1,000 more
                                             ous countries for which only 12 percent
publishing schedule with its frequency                                                    than cars without the Carfax 1-Owner
                                             earned recognition. Dealer.com’s work
moving from every other month to                                                          designation.
                                             was recognized in the Consumer
monthly. Blue Book Official Guide                                                              “In these tough economic times,
                                             Product Website category.
customers received their first monthly                                                    dealers need to know which cars and
                                                Summit EMA award winners are
edition in November of 2008.                                                              light trucks can be aggressively mar-
                                             selected for their leading-edge use of
   In addition to striving for greater                                                    keted the second they hit their lots,”
                                             new and emerging web technologies.
accuracy through more frequent                                                            said Keith Jezek, president and CEO of
                                             Checkered Flag’s Dealer.com web site
updates, Kelley Blue Book has added                                                       Chicago- and Austin-based vAuto.
                                             includes the latest in new media tech-
an ‘Auction Value,’ which is what a                                                          Consumers prefer cars that have had
                                             nology to keep site visitors engaged and
used vehicle is expected to sell for at a                                                 only one previous owner. Using the
                                             increase lead submission. The goal
wholesale auction. An additional                                                          vAuto tool, dealers can price their vehi-
                                             with Checkered Flag’s Dealer.com web
change includes a name change for the                                                     cles at the top of the market. The study,
                                             site was to create a customer-friendly
company’s Wholesale Value, a long-                                                        based on more than 3.5 million online
                                             web site with one-click navigation and
standing benchmark for automotive                                                         listings, also indicates that Carfax 1-
                                             feature rich content to attract and
lending, which is now the ‘Wholesale                                                      Owner cars increase inventory turn.
                                             encourage visitors to shop for cars
Lending Value.’ The Wholesale                                                             Combined with a higher resale value,
                                             online. The site incorporates cutting-
Lending Value will be updated weekly                                                      Carfax 1-Owner cars maximize a
                                             edge search marketing, video,
reflecting the value of a vehicle that has                                                dealer’s profit per unit.
                                             consumer reviews, a dealership blog,
been fully reconditioned, inspected and                                                      “By using vAuto in conjunction with
                                             online credit approval, online service
is frontline ready. Finance companies                                                     the Carfax 1-Owner designation, I con-
                                             scheduling and more.
can now use Kelley Blue Book’s                                                            tinue to see an increase in sales as well as
                                                The Summit EMA competition is
Wholesale Lending Value without any                                                       an increase in per car gross,” said Gary
                                             based on the premise that advertising is
additional calculation to mitigate risk                                                   Duncan, Duncan Automotive Network
                                             consistently at the forefront of the tech-
and better manage lending portfolios.                                                     of Christiansburg, Virginia.
                                             nological evolution of communication.
   Dealers, manufacturers, finance com-                                                      Previous studies show a minimum
                                             Some of this year’s judges included: Lisa
panies and others in the automotive                                                       sale price lift of $300 for Carfax 1-
                                             Charlebois of Ogilvy & Mather,
industry can access all of Kelley Blue                                                    Owner cars. Carfax has programs in
                                             Vanessa DiMauro of Leader Networks
Book’s weekly values through a paid                                                       place to make sure dealers take full
                                             and David Snyder of FL2.
subscription to the company’s Internet-                                                   advantage of their inventory’s profit
                                                 www.Dealer.com
based valuation system, KARPOWER                                                          potential.       www.carfaxonline.com,
Online through syndication or via our                                                     www.vAuto.com
                                                                O
service provider RouteOne and others.
   www.kbb.com                                                                                                O

                   O




DD 6     February 2009       DigitalDealer-magazine.com
D IGITAL Dealer E-MAIL
Digital Dealer welcomes your letters and
after verification will run them signed or
unsigned. Letters may be edited for space
and clarity. Send letters to
DDmail@DigitalDealer-magazine.com.


   Jim Skeans,                                  While you are there please take a look at   NADA, but none on my own. I'm in the
   I have just read your excellent article   the other management tools, available          process of finding ways to better train
in the November 2008 Digital Dealer          from our web site for free.                    dealership staff on DMS systems for ACS,
magazine, “Leverage More Information            Good luck,                                  our preferred provider of DealerStar and
from your Financial Statement/DOC.”             Jim Skeans                                  webinars are one of the options. If I can
I would appreciate you e-mailing your                                                       find a good seminar provider, I might add
complete list of favorite ratios with the      Hi Sandi Jerome,                             some specialty classes like data extraction
formulas to me. Thank you.                     Great article in the December 2008           and of course the new popular one, data
   Best regards,                             Digital Dealer magazine, “Data                 “pushing.” Thank you for the suggestion
   Mark Krieger                              Extraction – Is it all Over?” I am won-        and I'll get busy!
   Vice President                            dering if you are at all entertaining the         Thanks!
   Krieger Autogroup                         idea of webinars where you could show             Sandi Jerome
   Muscatine, Iowa                           us the how tos of pushing info. ADP has
   mkrieger@kriegers.com                     coach classes that we can pay for, just           Daryl Sanders,
                                             wondering with all the information you            I enjoyed your article, “10 Strategic E-
   Hello Mark,                               have if you would consider that option         mail Rules for Internet Car Shoppers” in
   Glad you enjoyed the article and thanks   for many digital dealer business issues.       the December 2008 Digital Dealer mag-
for reading Digital Dealer magazine.           Looking forward to hearing from you.         azine. As a Chrysler/ Jeep/Dodge sales
   The ratios and formulas are included        Thank you,                                   manager, I frequently have issues with
in the spreadsheet “Key Financial Ratios”      Ann Potter                                   what you mentioned: customer pricing
available for downloading from the             Controller/IT                                eligibility. If at all possible, could you
“Free Tools” page on my web site,              Ryan Motors                                  offer suggestions or even a copy of the
www.jimskeans.com.                             Buffalo, MN                                  questionnaire that you send prospects? I
   The spreadsheet also illustrates how to     annp@bwig.net                                would understand if you are not
link the elements of the formulas to your                                                   inclined to disclose your technique, but
financial statement or accounting report       Hi Ann,                                      any help would be appreciated.
download for complete automaton from           Great to hear from you and I've done            Thanks,
your one-time setup efforts.                 some webinars for DealersEdge and                 BJ Holmes
                                                                                               General Sales Manager
                                                                                               Falls Chrysler Jeep Dodge
                                                                                               Cuyahoga Falls, OH

                                                                                               BJ,
                                                                                               While I normally advocate an auto
                                                                                            response that introduces the salesperson
                                                                                            and store, and then in the next e-mail a
                                                                                            quote can be sent, Chrysler, Dodge, and
                                                                                            Jeep are exceptions to the rule. They have
                                                                                            so many pricing rules and incentives
                                                                                            (about an inch- thick document), that
                                                                                            covers employees, friends, family, acquain-
                                                                                            tances, people who once knew someone,
                                                                                            and on and on, to quote a price might
                                                                                            cause the dealership to put foot in mouth.
                                                                                               So I advocate four brief questions in the
                                                                                            auto response that will help qualify the
                                                                                            person’s eligibility for an advantageous
                                                                                            price. If I don’t hear back from the
                                                                                            prospect quickly, then I suggest going
                                                                                            forward with a price quote with quali-
                                                                                            fiers in small print assuming certain
                                                                                            stipulations.
                                                                                               Daryl Sanders

DD 8      February 2009       DigitalDealer-magazine.com
D IGITAL Dealer AAISP NOTES
   Mike Roscoe




                 How to Endure,
                                                                                        way to approach this market. You need
                                                                                        to hear from the top consultants and
                                                                                        trainers in the industry. You need to see
                                                                                        what the leading edge companies have


                     Survive and
                                                                                        to offer to give you your best shot.
                                                                                        You need…the 6th Digital Dealer
                                                                                        Conference & Exposition.
                                                                                           Every speaker submitting a proposal


                  Even Thrive in
                                                                                        to speak at the April event has been
                                                                                        instructed to focus their presentation

                                                                                         “This current economy
                Tumultuous Times                                                            is only going to
                                                                                          hasten the move to
                                                                                              e-commerce in
                                                                                         dealerships. Now more

D
        oes the title above pretty much
        wrap it up? Is that what you                                                         than ever, your
        and your store(s) need at this
very moment? The knowledge of how                                                          attendance at this
to endure in these tumultuous times?
The ability to survive in these tumul-                                                      event is critical.”
tuous times? And can you imagine…a                                                                     —Michael Roscoe
plan to even thrive in these tumul-
tuous times.                                                                            specifically on “How to Endure,
                                                                                        Survive and Even Thrive in
   The dealerships that will be able to                                                 Tumultuous Times.” Whatever their
reach these three goals are the ones that                                               knowledge, whatever their experience,
are doing everything they can to accom-                                                 whatever their specific expertise…they
plish them. Of course, cost cutting is                                                  will be presenting it with the focus on
the first action that is taken during one    metrics that traditional advertising       how to endure, survive and even thrive
of these cycles. Typically, when times are   could never provide. You can defini-       in tumultuous times.
good, fat builds up in the form of           tively track ROI.
expenses that are not necessary to the                                                    Now more than ever, your atten-
success of the business. So finding and        This current economy is only going       dance at this event is critical. It will take
cutting the fat is the first, and most       to hasten the move to e-commerce in        place at the Mirage in Las Vegas on
painless way to bring down expenses.         dealerships. Sure, retail automotive has   April 19-21. There is nothing else you
                                             been steadily increasing adoption of       could possibly do during those 21/2
  As I am well aware from being in the       technologies and processes to market to    days that will be as valuable to your
publishing business, advertising is also     new and existing customers…and we          business at this time. You need to be
one of the early casualties when we go       knew we would get “there” eventually.      there, and your dealer needs to be there.
through the slow part of the economic        But now…it’s a must.                       Check out the web site for details,
cycle. As the old saying goes, “50                                                      www.DigitalDealerConference.com.
percent of my advertising is wasted…I          As such, you need to have your best
just don’t know which half.”                 shot in knowing how to endure, survive
                                             and thrive in these tumultuous times.      If you wish to discuss this article with
   But…this time we have something           You need to be in front of your com-       other dealers, or with the author,
we’ve never had before. The                  petitors in marketing to prospective       please go to the “Discussion Forums”
Internet…and technology, which               and current customers. You need to do      at www.DigitalDealer-magazine.com
allows you to not only know what             this in a way that provides ROI. You       and enter the “AAISP” forum or
dollars   you’re   spending    are           need to find out what the best in the      e-mail him at mroscoe@Digital
wasted…but which are going to the            business are doing. You need to know       Dealer-magazine.com.
best option. There’s tracking and            what the top minds believe is the best
DD 10      February 2009      DigitalDealer-magazine.com
D IGITAL Dealer INTERNET SALES
   Phil Sura




                  Redesigning and
                                                                                     the pros of the past and applying those
                                                                                     concepts to the customers of today. He
                                                                                     still loves to prospect for new cus-
                                                                                     tomers everywhere he goes, including


                  Refocusing your
                                                                                     restaurants. He loves to call and
                                                                                     engage with customers in the data-
                                                                                     base to prospect and share key points
                                                                                     with other sales people. A final point


                                          Approach to
                                                                                     about Cronin is that he has learned
                                                                                     to take the great sales concepts from
                                                                                     the past and apply them to the new
                                                                                     paradigm that exists with the influ-


                                           the Market
                                                                                     ence of the Internet.
                                                                                        Many of Internet directors I visit
                                                                                     with today are selling at least at the
                                                                                     same level in their departments while
                                                                                     the front end of the sales team is suf-
                                                                                     fering. Andrew Oxendine is a one-man




D
                                                                                     show with direct Internet sales but he
                                                                                     is still selling 18 to 20 units for
            URING THE ‘80S AND ‘90S, I                                               Mercedes Benz of Alexandria. Andy
supported, consulted and worked with                                                 Warner from Beechmont Ford in
a number of dealerships across a five-
state region. That was a period of time                                                     “If you started a
when the best operations would attract
and keep solid sales producers for 20                                                  new dealership today,
years. I would love to visit with those
veterans since they possessed keen                                                          what would you
insight concerning the auto industry.
They were committed to their profes-                                                  expect and how would
sion, their customer base, and the
manufacturer that they represented.                                                         you operate it?”
These were the guys who would sell 25
to 40 units each month without taking                                                                          —Phil Sura
a “fresh customer” unless forced by the
sales manager on a busy Saturday.         adopted member in the business, you        Cincinnati, Ohio just celebrated the
They lived on repeat and referral         are committed to that person. You          birth of his first son and he is selling
business. They would pass out busi-       would not think of going anywhere          90-plus units monthly out of his
ness cards to everyone that they met      else to purchase your next car. We         Internet team – a record.
and they would dare to venture out        have lost some of that enthusiasm and         Volker Jaeckel is the e-commerce
of the dealership to introduce the        focus over the years. Employee             director for Son’s Auto Group in
latest models in the field. Many          turnover has become a major issue for      Atlanta. VJ has been getting great
became like family to a number of         many operations for a number of            results with blogs (2,800 visitors over a
their customers because these veter-      reasons, primarily shrinking margins.      recent eight-week period), which
ans kept written notes (or at least       Loyalty is very rare and many sales-       showcase information about the
mental notes) on the following:           people simply bounce from store to         BMWs. VJ cut the traditional advertis-
• Number of kids and their ages (high     store or in and out of the industry. A     ing out and is focused on leveraging
   school kids needed that first car)     number of the veterans mentioned           technology and “old fashion German
• Type of business where they worked      above have retired or moved away           sales sizzle” to drive sales in his depart-
• The neighborhood where they lived       from the auto industry entirely.           ment. VJ actually got his start in
• The places that they went on vaca-         There are exceptions. An example is     Internet sales in Michigan when no
   tion and if the car was used           Michael Cronin, Internet manager for       one else wanted to deal with it at his
• How the car/ truck was going to be      Diamond Auto Group in Worchester,          dealership. Today, VJ is setting record
   used (primary use) and the key con-    MA. Cronin loves his job and his pro-      Internet sales for Son’s Auto Group.
   cerns (safety, economy)                fession and he can’t contain his              VJ, Andy and Andrew love the
• Clubs and organizations                 enthusiasm for this industry. He is pas-
   If you have a family member or an      sionate about studying concepts from                          continued on P-DD38
DD 12     February 2009     DigitalDealer-magazine.com
D IGITAL Dealer INTERNET SALES
   Peter Batten




                         Your Best Online
                                                                                             research and buy a vehicle right on your
                                                                                             web site. Consumers buy vehicles every
                                                                                             day on eBay, why not from your dealer-
                                                                                             ship? One company to check out is


                         Presence in 2009
                                                                                             Ai-Dealer (www.ai-dealer.com), provider
                                                                                             of complete end-to-end shopping cart
                                                                                             technology for dealerships. Montesi
                                                                                             Volkswagen of North Haven, CT


                              and Beyond
                                                                                             http://nitra.vwdealer.com/montesi/?http:/
                                                                                             / w w w. a i - d e a l e r. c o m / M o n t e s i -
                                                                                             Volkswagen-Shopping-Cart.html                    is
                                                                                             currently offering shoppers this tool with
                                                                                             easy step-by-step instructions that make
                            Tools for attracting more                                        the process a snap.

                                                                                             Get mobile
                        customers to your online turf                                           Get mobile and you’ll reach more con-




I
                                                                                             sumers. There are more mobile phones
                                                                                             in the United States than there are
    T’S 2009; is your dealership web site                                                    people, and the newest smartphones
ready for the new year? A powerful                                                           offer powerful web browsing and search
online presence can pave the way for                                                         capabilities. Launch a mobile version of
increased leads and sales, so now is the                                                     your dealership web site and consumers
time to take a close look at what you’re                                                     can find your inventory, review options,
offering and step up your game. The fol-                                                     and even view vehicle videos, from any-
lowing are some of the best tools and best                                                   where. Head to www.gumiyo.com for
practices to implement today for a stellar                                                   more details on how to get started.
2009 and beyond.                                                                                Although we’re experiencing a shaky
                                                                                             economy, consumer use of the Internet is
Crank down the volume and                                                                    unlikely to falter. Eighty percent of
add substance                                                                                serious, in-market vehicle shoppers do
   An internal study conducted by                                                            their research online (2007 Cap Gemini
Chrome Systems found that consumer                                                           study) and that number is on the rise. It
usage of automotive retail selling sites                                                     can only help your dealership to con-
(including dealership sites, portals, and      cars that are easier on the environment.      tinue to build your web site. Set the stage
OEM sites) peaks between 11:00 am and          Consider going ‘green’ with a web page        now and reap the benefits in the new
1:00 pm. This means that most con-             that highlights your fuel-efficient vehi-     year and beyond.
sumers research and shop for vehicles          cles. Check out the Ron Tonkin
while at work or on their lunch breaks.        dealership’s Tonkin Green (www.tonk-          Peter Batten is general manager for
   Use this knowledge to your advantage.       ingreen.com) for some ideas.                  Chrome Systems, where his focus is on
Forgo loud music, time-consuming                  You can also create specialized search     making it easy for web site builders, appli-
downloads, and flashy presentations.           functions to make it easier for consumers     cation developers, and dealers to present
Make all rich media optional to “play”.        to find what they want. The majority of       vehicle information that can be easily used
What consumers want is fast, easy-to-          web sites currently require consumers to      and acted upon by consumers. In his six
access content like build-a-car tools, clear   enter a vehicle make, model, and style to     years with Chrome he has held several posi-
pricing information, detailed options,         start their search, but many consumers        tions including: product management,
reviews, fuel economy, and images. If          do not think in these terms. Enable con-      content development, sales, and operations.
you make the essentials easy to find and       sumers to search by body style (coupe,
view, consumers will keep coming back          sedan, or convertible), or by features like
for more in-depth research, and are more       gas mileage, minimum price, and               If you wish to discuss this article with
likely to submit a lead or visit your store.   maximum price. Check out the NADA             other dealers, or with the author,
                                               Guides web site (www.nadaguides.com)          please go to the “Discussion Forums”
Consider specialization                        for examples of specialized searches.         at www.DigitalDealer-magazine.com
   More consumers want information                                                           and enter the “Internet Sales” forum or
tailored to their individual interests and     Make shopping easier                          e-mail him at pbatten@DigitalDealer-
specifications. A big consumer concern          There are some great new tools that          magazine.com.
right now is fuel economy and finding          make it easier than ever for a consumer to
DD 14       February 2009       DigitalDealer-magazine.com
D IGITAL Dealer INTERNET SALES
   Paige Presley




  Be the Authority
                                                                                          helpful during their shopping process.
                                                                                            Get your staff together and have
                                                                                          everyone write up what they like and
                                                                                          dislike about the vehicles in your inven-
                                                                                          tory. While your first priority is to sell
      How the information you put on                                                      the cars, remember that in order to gain
                                                                                          consumers’ trust, you need to be honest.

                                                                                             • User reviews: The New
 your web site can boost your credibility                                                 Autoshopper.com Study also said that
                                                                                          nearly 70 percent of online car shoppers
                                                                                          use consumer-generated content while
                                                                                          vehicle shopping. In fact, nearly 63
                                                                                          percent of those shoppers use this infor-
                                                                                          mation as a resource, and 95 percent of



N
                                                                                          them believe these reviews are helpful in
                                                                                          the buying process.
            OW, MORE THAN EVER, it is                                                        Ramsey adds in the previously men-
important for your dealership to main-                                                    tioned digital marketing report that
tain the trust of your customers.                                                         consumers place the most trust in the
   With the economy at such a low                                                         opinions of friends and family, as well as
point, consumers are becoming less con-                                                   those of strangers with experience when
fident in their purchasing power, and                                                     trying to make purchasing decisions.
they are looking for someone to trust.                                                       Draft a list of people who have
   Geoffrey Ramsey, CEO of eMarketer,                                                     recently purchased vehicles from your
said in the report, Digital Marketing                                                     dealership and ask them to write a quick
Now: Seven Strategies for Surviving the                                                   review of the cars they purchased and of
Downturn, “consumers explicitly want                                                      their experience with your dealership.
advertisers to advertise.”
   So begin letting your customers                                                           • Contact information form: This
know you are an authority in the auto                                                     is the single most important thing to
business by making your web site the                                                      have on your site as it creates a call to
one-stop shop for vehicle information.                                                    action from your visitors.
   Since the 2008 New Autoshopper.com               “…consumers are                          These are just a few suggestions that
Study by J.D. Power and Associates                                                        will help you become a credible source
established that the amount of time                    becoming less                      of auto information in and around your
potential car buyers spend looking for                                                    community.
information online is on a steady rise, it’s        confident in their                       Once you’ve got these down, get a little
time to kick your web site into high gear.                                                creative and test some other marketing
   Ensure you’re the place auto shoppers            purchasing power,                     tactics to see how they work for you.
know to go to when looking for facts
and figures about vehicles by having the          and they are looking                    Paige Presley is the marketing analyst/
right information on your web site.                                                       writer for Dealerskins in Nashville, TN.
                                                for someone to trust.”                    She enjoys mixing her passions for all things
Here are a few key items to                                      —Paige Presley           technology and for following consumer
include:                                                                                  trends by staying involved in market
  • OEM information: Many people                                                          research for the auto industry.
go directly to an OEM web site to learn        information and whether or not you
more about vehicle features and pricing        have it in stock.
information before looking for a local                                                     If you wish to discuss this article with
dealership for inventory information.            • Dealer/staff opinions: The New          other dealers, or with the author,
  Save them the time of going to two or        Autoshopper.com Study noted that            please go to the “Discussion Forums”
three web sites by providing all of those      dealer ratings and reviews are popular      at www.DigitalDealer-magazine.com
specifications on your site, so when           among auto shoppers. About 38 percent       and enter the “Internet Sales” forum or
shoppers have questions about a partic-        of online auto shoppers use these           e-mail her at ppresley@DigitalDealer-
ular vehicle, they can go directly to your     reviews as a resource, and 87 percent of    magazine.com.
web site to see all of the features, pricing   them believe the information was
DD 16       February 2009       DigitalDealer-magazine.com
YOU HAVE CUSTOMERS
  AND PROSPECTS.
  WE HELP YOU GET
A LOT MORE MILEAGE
   OUT OF THEM.
              Let’s roll.




      Innovative e-newsletter solutions.

   866-964-6397    imnLoyaltyDriver.com
D IGITAL Dealer INTERNET SALES
   Joe Webb




             Snake Oil Online?
                                                                                                  a significant role in your store’s survival.
                                                                                                  The other online vendors offer amazing
                                                                                                  tools that will help you shift your deal-
                                                                                                  ership’s culture online as well, but may
                                                                                                  not have the same influence on sales as




W
                                                                                                  the others.
                                                                                                     Let’s face it. Dealers are cutting back
             ITH SO MANY VENDORS                                                                  their spending. Even the dealerships
AVAILABLE TO YOUR DEALERSHIP, it                                                                  leading the game know they cannot be
becomes difficult separating the worthy                                                           involved with every opportunity. We
from the not so worthy. What vendor is                                                            must evaluate what vendors we will
right for you during these trying times is                                                        succeed with, and whether we are willing
one of the more difficult questions to                                                            to back the vendors we choose with our
ask. Some dealerships are even creating                                                           own optimal effort. It is a two-way street.
vendor relations manager positions just                                                           As a dealer, you must work for your
to have one person dedicated to fielding                                                          vendor as much as they work for you. As
endless calls, sitting through sales                                                              a vendor, you must ensure your product is
pitches and managing the plethora of                                                              capable of delivering great successes con-
companies pounding on your dealer                                                                 sistently for clients. If your product,
door. Someone must determine what,                                                                program, or service is hit or miss in its
actually, is worth your time?                                                                     success rate, it may be time to go back to
   For those of you who know me or have                                                           the drawing board and develop an initia-
read my columns, you know that in my             tives. With the Internet-based programs,         tive that all dealers covet. Easier said than
articles I share my own experiences, opin-       though, many seem to be targeting such a         done, I’m sure, but belief in your product
ions, musings and struggles. What I write is     small segment of your business that, while       is not always enough.
never meant to be an indictment on any           the service may yield more sales, the               So when walking through the exhibit
one individual or service, just my own per-      overall impact is minimal.                       halls at the NADA convention (or any
spective. (With a preface like this to an           When I would meet with a vendor rep-          other conference for that matter), keep in
article, I know many of you are saying “Uh-      resentative, I would always ask how many         mind that your goal should be to find a
oh...who is he going to tick off?” That’s not    sales they would expect us to generate           vendor willing to help you grow your
the case.) I just want people to remain          from adding their service. On several            business by leaps and bounds, not baby
focused on their own interests and not let       occasions, the reps’ answer to this ques-        steps. Don’t be marveled by the miracle
the interests of others affect their own judg-   tion was, “Even if you sell three cars, the      medicine being pitched. Be pragmatic.
ment. This is near an impossible feat in the     program pays for itself.” I despise this         While online initiatives remain the way to
world of vehicle sales, but I’ll type on.        answer. I believe every vendor’s program         go in today’s marketplace, realize they
   Many of us are attending NADA in              is, at the very least, valuable enough to sell   don’t all cure what ails you.
New Orleans this month. We’ve visited            three cars. Selling three more cars,
the recent Digital Dealer Conferences and        though, is not a dealer’s goal. Three more       Joe Webb is the president of DealerKnows,
walked through the vast exhibit halls. The       cars sold in this economic climate will not      LLC, specializing in automotive e-commerce
NADA convention, much like the Digital           make or break a dealer. Dealerships              consulting and assisting dealers and vendors
Dealer conference, is filled to the brim         should focus on forming partnerships             with the advancement of their online efforts,
with worthy programs, services, and              with vendors that will sell them 30 (not         solution successes, and processes through
products trying to earn your business. All       three) additional vehicles. I equate those       hands-on training. He has worked in the
of these vendors can add one new dimen-          representatives whose intent is to sell          dealership trenches and now shares his
sion, for the most part, to your sales or        their product for the promise of three           knowledge of e-commerce, online advertis-
fixed operations needs. However, I ask           sales to new-age snake oil salesmen.             ing, and Internet initiatives nationwide.
again, what is worth your time?                     There are programs out there that can
   At my previous dealership, I fielded the      help your dealership move 30 or more
incoming calls from all new sales vendors        vehicles a month.
looking to promote their wares. I’d sit          • Forward-thinking web site providers             If you wish to discuss this article with
through countless presentations of their         • Proven SEO/SEM companies                        other dealers, or with the author,
services and create my own analyses that         • State-of-the-art CRM solutions                  please go to the “Discussion Forums”
I’d share with the owner and general man-        • Customer retention programs                     at www.DigitalDealer-magazine.com
agement. Over the past few years, the            • Inventory listing sites                         and enter the “Internet Sales” forum or
amount of Internet-focused programs              • Big-name lead providers                         e-mail him at jwebb@DigitalDealer-
seems to have tripled, as have the calls and     • Lead scoring companies                          magazine.com.
showroom visits from their representa-              These types of online services can play
DD 18       February 2009        DigitalDealer-magazine.com
D IGITAL Dealer INTERNET SALES
   Daryl Sanders




                             Salvage Sales
                                                                                                way to do this is to set up a file system.
                                                                                                Put all the talking prospects in the same
                                                                                                file and then review each lead weekly to
                                                                                                stay in touch while they are waiting to
                                                                                                make a decision to buy. If an appointment

                          with the Internet                                                     is made, then move prospects into a “set
                                                                                                appointment” file. This file requires
                                                                                                reviewing each of these prospects daily to


                          in a Downtime
                                                                                                see if there is anything needed to move
                                                                                                them forward.

                                                                                                   3. Focus on conquest sales to Internet
                                                                                                leads. Each phone conversation should
                                                                                                take on a more engaging tone. Not that
                                                                                                you don’t immediately work toward
                                                                                                setting the appointment. But when




T
                                                                                                sensing a client backing off, you need to
                                                                                                provide additional choices to reel them in.
       HE INTERNET AUTOMOTIVE MAR-                                                              Don’t get too anxious to sell that car and
KETING CHANNEL CAN BE COMPARED TO
DEEP-SEA FISHING. With something like
1,200 automotive lead gathering sites                                                               “Adapt, change, be
(not counting dealer web sites), the lead
generators have packaged “leads” that                                                              positive, find a way,
have been hooked by seeking a price
quote. These leads are in various stages of                                                         and work together
the buying cycle. For example, a lead gen-
erated via spam e-mail, is probably the                                                         among departments…”
worst kind of lead there is. It tends to
gather the curious or the idle, which have
                                                                                                                   —Daryl Sanders
no intention to buy another vehicle.
     This “worst kind” is like hooking a
minnow; you will never get it to the boat.                                                      tug too hard. You might lose the fish.
If you did, you’d throw it back anyway.         you’ll be ready to haul in the nets full of     While you have them on the “line” take
These kinds of leads could represent            fish to fry.                                    that opportunity to discover the other
between 10 and 15 percent of all leads.            So, how do you adjust your in-store          choices they are considering. Be mindful
Too many dealers let these minnows dis-         processes to succeed in these changing          that the generally accepted stats are that
courage the use of this selling channel. But    times?                                          one half of the 55 buyers out of 100 will
let’s look on the positive side of the equa-                                                    select a different kind of vehicle. Learn to
tion. It is generally accepted that 55 out of      1. Make more calls to the leads in your      focus on conquest sales in these down-
100 purchased leads will buy a vehicle in       net. The lead counts are down in all            times. Use that opportunity to bring up
the six- to nine-month time frame.              markets. This translates into you’ll spend      comparative products if you can’t reel
   Let’s get this perspective: To hook a        less time working up quotes and sending         them into the boat right away. Prod and
lead, the retail dealer must cast a line out    fewer e-mails, therefore, you can make          push for their alternative choices, and
into the web via a zip code purchase.           more phone calls. My research shows that        quickly offer your dealership and your
Then, via defined processes, the dealer         you’re only talking to about 20 to 25           product advantages.
Internet sales manager begins to reel in        percent of your leads. Consequently, you
what is hooked on the line. However,            now have an opportunity to double that             4. Change the bait often. Change e-
there is a challenge because of the lengthy     percentage of leads talked to. Therefore,       mail content from price focus to product
time frame from getting them hooked to          this effort will greatly increase your online   information content. Don’t bug potential
getting them into the boat. But my con-         engagements to give a clear opportunity         leads with “buy now” pricing e-mails.
tention during these tough economic             to double your sales when these prospects       Most likely this will put them off. This is
times is that you must be patient. In addi-     are ready to buy.                               the time to focus more on conquest sales
tion, you should kindly cultivate those                                                         and throw out additional product
Internet prospects that are in your lead          2. Keep track of each lead, don’t let it      content. One of the highest concerns of
management tools. Eventually, when              swim away. After reaching each prospect,        the American public is product safety.
these prospects feel the freedom to buy,        don’t let them get lost in the shuffle. The     Therefore, it is a good idea to build e-mail
DD 22       February 2009       DigitalDealer-magazine.com
content that highlights your product’s          the purchase. The operative word is ‘how’,     ing out the nets. We must be organized
safety message. Imports should promote          not ‘if’. Every dealership finance depart-     for every catch during these changing
the number of their cars built in America.      ment needs to mentally turn the corner.        times. It begins with the captain of the
Since environmental issues remain a             Don’t rely on the same two or three            boat. Starting with the dealer, every
concern, every manufacturer should have         sources of the past. Utilize every possibil-   department needs to sit down together
a “green” message. You should also have a       ity and contact 20 other sources if            and find new ways to gather the Internet
good e-mail content story on the advan-         necessary. Just because the rules have         leads into the boat. Adapt, change, be
tages of buying from your dealership, and       changed does not mean you stick your           positive, find a way, and work together
from you. Why should you send these             head in the sand. Too often the finance        among departments; these are vital
kinds of e-mails? Because, when reeling a       department dictates with unreasonable          requirements in today’s market.
buyer into the boat, the hook requires          rules and conditions for the Internet
more than a price. A successful landing         prospect. By working in tandem, allow          Daryl Sanders is the owner of Internet
requires content and relevant information       this prospect to supply you information        Dealer Solutions, Ltd. He has installed his
that enables a prospect to picture himself      before they come in. Many finance              evolving sales system in over 100 dealerships.
in your car.                                    departments have blocked potential sales       He has a business degree in marketing from
                                                to Internet prospects. In the car business     Ohio State University. As an offensive tackle
   5. Keep obstacles away from the view of      over the years, I have learned to figure out   at OSU, he was an NFL number one draft
the fish. Talk about financing issues earlier   how to make the sale first, and then figure    pick in 1963 for the Detroit Lions.
in the process. Don’t spend time fretting       out how to make more money.
or complaining about the finance issues            Maintaining positive attitudes and           If you wish to discuss this article with
facing our industry. It’s best to talk about    preparing the nets is the key to success.       other dealers, or with the author,
the elephant in the room; so face financ-       Every commercial fisherman repairs the          please go to the “Discussion Forums”
ing head on. After sending your e-mail          rips in the nets before going out to sea to     at www.DigitalDealer-magazine.com
price quote, the Internet sales manager         fish. We have a rip in our economy, but         and enter the “Internet Sales” forum or
should get the prospect to fill out a credit    steady yourself and take aim. There are         e-mail him at dsanders@Digital
application right up front. He needs to         many fish in the sea. Get prepared. Don’t       Dealer-magazine.com.
show how he can help them in this part of       let economic stress keep you from throw-




                                                                               DigitalDealer-magazine.com      February 2009       DD 23
D IGITAL Dealer INTERNET SALES
   Elissa Giroux




                         What Can SEO
                                                                                         rankings. Savvy SEO analysts make it a
                                                                                         point to keep informed and implement
                                                                                         new technologies that prove to be
                                                                                         promising.


                       and SEM Do For                                                    Search engine marketing
                                                                                           The primary advantage of SEM, or
                                                                                         pay-per-click advertising is that vendors


                        Your Dealership?
                                                                                         can set up campaigns that are very tar-
                                                                                         geted and specific. If a dealer needs to
                                                                                         focus on moving a particular make or
                                                                                         model, an ad can be created to attract
                                                                                         customers looking for that exact make
                               Separating hype from fact                                 and model in your area, and then link


                                                                                               “To increase the



I
                                                                                           effectiveness of SEM,
      N TODAY’S MARKET, the Internet                                                       a site should be well
plays a vital role in connecting dealers
to their customers. Dealers who are not                                                      designed; ensuring
web savvy are falling behind their com-
petition, and the reason is simple.                                                        that phone numbers
Estimates reveal that more than 90
percent of consumers begin their search                                                    are highly visible on
for a vehicle online. The vast majority
begins by entering search terms into                                                      every page and forms
Google or other search engines. Making
sure a web site “gets found” should be a                                                       are easy to find
top priority for every dealer.
   Unfortunately, many companies have                                                             and fill out.”
jumped onto the Internet and search
marketing bandwagon. As a result,                                                                          —Elissa Giroux
dealers hear a lot of conflicting informa-   are diverse, including structural design,
tion from multiple sources. What’s           updating content and linking.               them directly to the inventory page.
right and what’s wrong? What delivers           The ideal solution incorporates a        Conversion rates are very high with this
results and what’s a waste of money?         multi-faceted approach, from the way        type of ad. Once on your site, con-
   Search marketing experts are all too      the web site is initially designed to       sumers are a captive audience. To
familiar with dealers’ varying success       updating content according to dealers’      increase the effectiveness of SEM, a site
rates when they attempt to dive into         goals. In addition, analyzing opportuni-    should be well designed; ensuring that
the world of search engine optimiza-         ties in local markets and developing        phone numbers are highly visible on
tion (SEO) and search engine                 partnerships with companies benefit         every page and forms are easy to find
marketing (SEM) without knowing the          dealers in terms of links.                  and fill out. Customers looking for
facts. To help dealers get it right the         It’s important for dealers to under-     service or parts can also be linked
first time, it’s important to separate the   stand that they must also take              directly to those departments’ pages.
hype from fact.                              responsibility for effective SEO by            Another benefit of SEM is that
                                             taking advantage of back-end tools and      results can be easily tracked, therefore
Search engine optimization                   keeping content and inventory fresh, all    ROI is easily measured.
   The advantage to having a well-opti-      of which affect how well search engines
mized site is obvious; when consumers        can find a site. It’s also important to     An unbeatable combination
enter keywords into Google or another        realize that trends in SEO come and go,        Both SEO and SEM are good solu-
search engine, a dealer’s web site will      and what worked yesterday will not          tions for attracting customers, but used
appear high on the list of results. But      necessarily work today or tomorrow.         together their power is multiplied.
obvious does not equate to simple. The       New trends such as blogs and social net-    Statistics show that when both SEO
strategies vendors use to optimize a site    working have an impact on a site’s SEO      and SEM are combined, the results are
DD 24      February 2009      DigitalDealer-magazine.com
far more effective.                          customers. Unfortunately, many SEM               Questions to Ask Your Search
   Here’s an example: If you’re doing        firms aren’t much better. If you do hire          Engine Marketing Provider
SEO, you want to write descriptive           an expert, you want to make sure you          Is your provider asking you to sign
content on your site that describes          know how much they are spending on          a contract or make some other long-
exactly what you offer. If you’re doing      various keywords, and if they can give      term commitment? If a provider
SEM, you want to be sure your paid ad        you reports that track results. A rep-      doesn’t deliver in a reasonable time-
and link appear if someone is searching      utable provider will have no problem        frame, you should have the freedom
for specific keywords, i.e. “Honda           showing you exactly how they are            to try other solutions.
Accords Atlanta.” But if Google sees         spending your money. To help with             How much do you have to spend per
that your site has content about Honda       this sometimes confusing task, see a        month (what fees are involved)? Some
Accords, it will be more likely to match     complete checklist of questions to ask a    providers charge management fees,
the paid search ad with this relevant        potential SEM provider (located in a        which can drive up your per-lead cost.
content, and your site will be ranked        sidebar to this article).
higher in the organic rankings.                 Focus on placement: But not where          Do you have flexibility? You should
   Conversely, if you’re doing SEM you       you think. There are a lot of SEM firms     have the ability to change campaigns
want to make sure your web site is well      out there that may promise you the          on the fly in response to market con-
optimized for the paid search ad to be       number one ranking on Google, but           ditions or specials that you or a
effective. And to some extent, it’s a pure   they won’t tell you which keywords they     competitor may be running.
numbers game. If you utilize both SEO        are going after. What if your top
and SEM, your site will be listed in         ranking is for keywords that no one is        Can you choose when your ads
more places and it’s more likely that one    using? Realistically, dealers need to       run? If you know about what hours or
of them will be clicked on.                  focus on seeing themselves at the top of    days of the week potential buyers are
                                             listings for the right terms. Garnering     looking for cars, you’ll want to be
                                                                                         able to turn your campaigns on and
Five steps to creating effective             top placement for “Honda dealer             off to ensure you’re running at
SEO/SEM campaigns                            Atlanta” may not deliver the same con-      optimum times.
   Outline goals: Is it really important     version rates as “2005 Honda Accord
to be ranked number one with the key-        Atlanta.” The latter term is more spe-        Can you track your results? With
words that you have in mind? Or, is          cific and will likely deliver a higher      money tight, it’s important that you be
your goal to attract more traffic to your    conversion rate.                            able to track your return on invest-
site and increase conversion rates?             Be patient: Effective SEO takes time.    ment. You should know where every
Perhaps you want to reduce the cost of       If a dealer is expecting to see instant     phone call and e-mail submission is
your leads, or increase closing rates. All   results once a web site has been opti-      coming from, so you can connect the
these goals can be accomplished with         mized, disappointment is inevitable.        leads generated for every dollar spent.
effective SEO and SEM campaigns, but         Achieving a top ranking is a long-term
not necessarily in the way you think. A      strategy and can take months. One              Is it easy to use? Even the most
savvy Internet marketing provider can        reason is that effective SEO results        sophisticated technology isn’t going
help you establish goals and then come       depend largely on what links you have       to do you much good if you can’t
                                                                                         figure out how to use it. Look for a
up with appropriate strategies to help       pointing to your site. When Google          simple user interface.
you accomplish them.                         and other engines perform a search,
   Know your vendor’s strategy: How          part of what they look for is links           Is your supporting web site opti-
will the provider help you accomplish        coming into your site from other            mized for conversions? As important
your goals? This should not be kept          sources. Getting these links built up       as your ad campaign is, a high quality
secret. There are many different             takes time. A realistic timeframe for a     web site that’s been built to turn visi-
methods and approaches to SEO and            site to show up in SEO rankings ranges      tors into leads is the most important
SEM, and most vendors use a combina-         from a few weeks to several months.         part of the equation.
tion of various kinds. Is your vendor        SEM on the other hand, can deliver
going to work with web site architec-        instant results. If a dealer wants a fast      Can I divide my spend throughout
ture, navigation and back-end                turnaround, a targeted SEM campaign         different departments such as new
structure, or will it focus on optimizing    is the medium of choice.                    and used car sales, service, parts,
web site content? Your comfort level                                                     finance, specials etc.?
will increase greatly if your provider can   Elissa Giroux is search operations
explain their strategies in simple terms,    manager with Dealer.com.                      Can I control what I spend? Only
                                                                                         you should be able to decide how
and then back up what they say they                                                      much per lead you want to pay.
will do with reports that clearly show
how progress is tracked.                     If you wish to discuss this article with      Is my inventory updated in the
   Hire experts: Many dealers believe        other dealers, or with the author,          search engines in real time? Every
that when it comes to SEM, they can          please go to the “Discussion Forums”        time you upload new inventory, ads
do it themselves. But they really don’t      at www.DigitalDealer-magazine.com           should be automatically generated
have the expertise and raw data to           and enter the “Internet Sales” forum or     and posted on Google. This connects
determine which keywords are going to        e-mail her at egiroux@DigitalDealer-        buyers directly with the inventory
deliver traffic to your web site and once    magazine.com.                               they’re seeking, which increases con-
there, convert that traffic into potential                                               version rates and closing rates.
                                                                          DigitalDealer-magazine.com    February 2009    DD 25
D IGITAL Dealer COVER STORY



                                         Anthony Bartoli
                                                    New and Pre-owned
                                         Sales Manager/Internet Director
                                                Behlmann Buick Pontiac
                                               GMC and Pre-owned Cars




DD 26   February 2009   DigitalDealer-magazine.com
Success is part of the Behlmann Buick Pontiac GMC tradition. Through its
     partnership with Explorer Vans, the St. Louis, Missouri-based dealership is the
     premier van conversion company in America, as well as the St. Louis area’s number one
    GM certified pre-owned dealer. It’s also a classic family-owned dealership, founded by Ken
     and Linda Behlmann in 1972 and now owned and managed by their son, Dan. Today,
    Behlmann Buick Pontiac GMC, one of the most successful GM dealerships in the United
      States, proudly sells and services Buick, Pontiac, GMC, Chevrolet, Cadillac, Saturn,
              Chrysler, Dodge, Jeep, Ford, Toyota, Nissan, Honda, Kia and Lexus.

          Anthony Bartoli joined the Behlmann family in 2001, stayed for a few years, left in
     2005, and then returned in 2007, where he remains today as one of the dealership’s sales
     managers and its Internet director. From the first day he started using the Internet to sell
    cars, he’s been in love with both the technology and the process. Although web technology
      might be complex, Bartoli believes the sales process for consumers must remain simple.
        Read on to learn more about how he and his Internet team consistently bring in 50
                       percent of the sales for this highly successful dealership.




P   LEASE TELL ME ABOUT YOUR BACK-
GROUND.
   Prior to entering the sales industry, I
had been in the restaurant business man-
aging restaurants and even owning my
                                                someone who worked in the industry and
                                                he seemed to make a very good living.
                                                   I was excited about the challenge and
                                                was very successful right from the start. I
                                                was one of the dealership’s top performers
                                                                                               he had signed up to attend the first
                                                                                               AAISP conference (Digital Dealer confer-
                                                                                               ence now) in the spring of 2006 and we
                                                                                               had to send someone since we had already
                                                                                               paid the fee. Reluctantly, I drove down to
own for some time. After leaving the            and even earned salesman of the year in        Nashville thinking this was a waste of
restaurant business, I became involved in       my first year of selling cars. The dealer-     time and money for the dealership. Wow,
home alarm dealerships, which were very         ship is a family-owned business and the        what an amazing experience! Meeting and
successful in their time. However, the          Behlmann family and managers were              talking to people who actually were in the
market became saturated, resulting in sig-      great to work for. When the Internet           Internet trenches was incredible. What a
nificant and sudden changes in the alarm        manager quit, I tried to get into the          wealth of knowledge. I was constantly on
industry market share. So I started             Internet department and was told that          my laptop when I wasn’t in seminars. I
looking for something else to do in 2001.       was no place for a workhorse/closer. I         came back energized and was immedi-
I had discovered that I had a gift for sales-   worked the Internet leads anyway on my         ately generating over $2,200 a deal for the
manship and decided to try out the auto         own until they found someone to fill the       store off Internet sales. The way I thought
sales industry.                                 position a week later. I sold 11 cars in       about sales completely shifted and I had a
   In late June 2001 I answered an ad for       eight days and then went back to strictly      whole new outlook. I continued to focus
salespeople at Behlmann Automotive              floor traffic.                                 on Internet sales from there on out and
through TK Worldwide. I didn’t know                Later in February 2005, I was recruited     believe that it is the future of the automo-
much about cars and was reluctant to            to manage a Chevy dealership. While            tive business.
enter the auto industry. I thought you had      there I was given the task of overseeing the      Dan Behlmann asked me to return to
to have a passion for cars and be some-         one-person Internet department as well.        Behlmann Buick Pontiac GMC in June
what of a gear head. However, I knew            When the Internet person left our store,       of 2007 as a sales manager and Internet
                                                                               DigitalDealer-magazine.com      February 2009      DD 27
D IGITAL Dealer COVER STORY
director. I eagerly accepted and now
oversee the whole Internet operation,
from monitoring leads on and off hours,
maintaining the web site, developing
Internet advertising, managing the vehicle
inventory, budgeting, managing third-
party vendors, etc. I am part of a sales
management team with two other man-
agers, and we each concentrate on
different areas.

How many people work in your
department?
  When I returned to Behlmann in June
2007, we had one person handling the
Internet. In just over one year we have
grown and expanded our Internet sales
division to include an Internet director
and five Internet managers.                      “What sets Behlmann’s apart is our people and our main mission, which is to
                                                             exceed our customers’ expectations,” says Bartoli.
What percentage of your dealership’s
overall sales is generated from the
Internet?
   I can track and account for 67 percent      unknown factor and a given factor. The              It wasn’t easy getting our web site to
of our traffic generated from the Internet,    given factor is that I can usually add           where it is today. When I first came here
but that figure is probably closer to 75       another 10 percent to what the Internet          we had a web site built in a basement.
percent with the floor traffic that goes       did to indicate what was really brought          They were getting about 500 hits a
unlabeled from the various web sites.          into the floor. We’re on over 75 different       month on. When I came here I brought
With our contact management tool, ILM          sites, so we’re pulling in traffic from a lot    in Dealerskins and had them do our site.
and CRM, we can track leads. During the        of sources.                                      Within a month we were at 2,000 visitors;
delivery part of the sales process, for                                                         now our Dealerskins Behlmann.com web
example, we actually confirm where they        What tools or lead generators have               site has had over 11,000 hits in a single
originated. We know what percentage of         really worked on your site to pull in            month. We also tried the Dealerskins
repeat business we get. We always ask the      leads?                                           SEM service. They provide a wide range
buyer this final question: “What brought          Our web site is the number one source         of services and they are all economical,
you in today?” They might tell us they         for our leads. It is as easy as 1-2-3 buttons.   cost-effective solutions.
were       on      Behlmann.com          or    First: select your vehicle; second: value           When I ran a Chevy store and first got
Autotrader.com, MSN Auto, saw the car          your trade; and third: finance. Our cus-         involved in the Internet I firmly believed,
on GM’s web site, whatever the case may        tomers say that of all the auto web sites        and still believe, that the process of
be. We want to track what percentage           that they researched, including OEM, our         buying on a web site should be as simple
we’re doing from the Internet and where        site is by far the easiest to use.               as 1-2-3. One, do your research. Two,
we’re spending our ad dollars. There is an        Dan Behlmann really believes in the           value your trade. And three, apply for
unknown element in that a new employee         Internet and has dedicated a good portion        financing. As a result our motto here at
might forget to extract that key marketing     of the advertising budget to driving             Behlmann is the deal on the Internet is as
information from a new customer. So I          people to our online dealership. We do           easy as 1-2-3. We try to drive everyone to
honestly think our Internet close ratio is     not purchase leads at this time. Between         Behlmann.com, which is probably our
higher than our reports might indicate.        our web site, GM third-party leads,              number one site that I continually focus
Traffic into our store is probably higher      Autotrader.com and Cars.com, we gener-           on. We have a free Cobalt site. We use
than 75 percent. Month after month,            ate over 100 leads per person per month.         Autotrader. We have a special finance site
we’re at 50 percent or more in sales, just                                                      called Easy Auto Credit Help to help cus-
from the Internet team alone.                  What interactive media resources do              tomers get pre-approved.
   People come to Behlmann’s for a variety     you utilize? Please tell me what services           But our web site has it all: research, a
of reasons, such as the history of the deal-   they provide and why you decided to              configurator, customer testimonials, build
ership; perhaps a car was explained better,    go with them.                                    your own vehicle, and financing applica-
the price, perhaps value, our web site,          Our Dealerskins web site is a great inter-     tions (for special finance). You can also
whatever the case may be. The floor guy is     active site for us. We went with Dealerskins     value your trade using an online appraisal
probably not going to tell you it was an       because it does an excellent job with a great    from. It’s not a range; we give customers
Internet deal. To recap, there’s an            price to value combination.                      an exact number based on the trade-in
DD 28       February 2009       DigitalDealer-magazine.com
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
Digital dealer magazine   february 2009
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Digital dealer magazine february 2009

  • 1. Welcome to the digital edition of Digital Dealer magazine! Just as you are trying to keep your store(s) on the cutting edge, we are doing the very same thing as we venture into a new frontier in the publishing biz. We can get this digital version in your hands 2-3 weeks faster than the print version, giving you the freshest information possible. You can click on links at the end of each article to email the author of such. And you can click on the ads to link to that advertiser’s website (and you’d REALLY be helping us out by doing just that). It’s quite intuitive…I don’t think that someone who uses the Internet to make a living will have any trouble easily figuring it out. Please let me know what you think about it… mroscoe@Dealer-Communications.com Michael Roscoe Editor-in-Chief
  • 2. February 2009 The Technology Magazine for Dealers & Managers Internet Sales: Redesigning and Refocusing your Approach to the Market page 12 Your Best Online Presence in 2009 and Beyond page 14 Technology Trends: A Good DOC Will Keep you Healthy ANTHONY page 32 BARTOLI BDC/CRM: Measuring Customer New and Pre-owned Retention: The Sales Manager/Internet Secret Ingredient Director, Behlmann page 34 Buick Pontiac GMC and Pre-owned Cars CIAL page 26 page 26 FF I O ttiive ve mo om o alls s Auttossiion a Aufes s on off ro fe g rg o ro ttiion es P line.ero on s P ia al e nnlin a o. oc i so c Sa l N Assernett S.AAISPo Ast erne wA AISPo IIn t ww . IO n ww PU w B L I C AT
  • 3. 2 Page E ER GAT T RAD AUTO D FOL EA W ILL B THIS FILE E RATE SEP
  • 4. HOW CAN WE WORK FOR YOU? At AutoTrader.com, we want to help you succeed. That’s why we your investment. And you’ll get innovative products and market make it our goal to do whatever it takes to help you sell more cars. intelligence to give you an edge. And with all this, you’ll also get You’ll get exposure for your cars and dealership so you can attract a dedicated service team to make it all work for you. To put us to more customers. You will get training to help get the most out of work for you, just call 888-249-6860 or visit dealers.autotrader.com. ©2009 AutoTrader.com, Inc. All Rights Reserved. “AutoTrader.com” is a registered trademark of TPI Holdings, Inc. used under exclusive license.
  • 5.
  • 6. T ABLE OF CONTENTS CIAL FF I O tive ve mo tials mo nals uto Au tossion off A fess io on o Profe rg rg on ro .o ciatiSales Ponlie.o ciattiSalesPonlin ne N so Ass orne t .AAISP Astern e w AIS In te ww .A IO In w w w PU B L I C AT The Technology Magazine for Dealers & Managers FEBRUARY 2009 FEATURE MANAGING EDITOR LINDA DI PIETRO Digital Dealer Cover Story ldipietro@Dealer-magazine.com 26 Anthony Bartoli, New and Pre-owned PUBLISHER Sales Manager/Internet Director GREG NOONAN 607-264-3359 Behlmann Buick Pontiac GMC and gnoonan@Dealer-magazine.com Pre-owned Cars ART DIRECTOR JOE BIRCH COLUMNS jbirch@Dealer-magazine.com AAISP Notes PRODUCTION MANAGER ELIZABETH BIRCH 10 How to Endure, Survive and Even Thrive in Tumultuous Times PRINT PRODUCTION Mike Roscoe DAVID MANTHEY Anthony Bartoli DESIGN CONSULTING Behlmann Buick Internet Sales Pontiac GMC and PUBLICATION DESIGN, INC. 12 Redesigning and Refocusing your Pre-owned Cars COVER DESIGN Approach to the Market JOE BIRCH jbirch@Dealer-magazine.com Phil Sura COVER PHOTOGRAPHY 14 Your Best Online Presence in 2009 and Beyond YVONNE NIEMANN Peter Batten CIRCULATION SUBSCRIPTION RICH JARRETT 16 Be the Authority 314-432-7511 rjarrett@Dealer-magazine.com Paige Presley NATIONAL ADVERTISING SALES 18 Snake Oil Online? adsales@Dealer-magazine.com Joe Webb 607-264-3359 Dealer magazine makes every attempt to 22 Salvage Sales with the Internet in a Downtime ensure the accuracy of all published works. However it cannot be held responsible for Daryl Sanders opinions expressed or facts supplied herein. Nothing may be reproduced in whole or in part without written permission from the publisher. 24 What Can SEO and SEM Do For Your All rights reserved. The publisher encourages you to submit suggestions. Submitted materials Dealership? become the property of Horizon Communications, Inc. and will not be returned. Send material for Elissa Giroux publication to 330 Franklin Rd., Suite 135A, PMB 386, Brentwood, TN 37027. The editor reserves the right to edit material; submission Technology Trends of material constitutes permission to edit and 32 A Good DOC Will Keep you Healthy publish that material. This publication is designed to provide accurate and authoritative Sandi Jerome information in regard to the subject matter covered. It is presented with the understanding that the publisher is not engaged in rendering BDC/CRM legal, accounting or other professional service. If legal advice or other expert assistance is 34 Measuring Customer Retention: The Secret Ingredient required, the services of a competent profes- sional person should be sought. From a Jim Roche Declaration of Principles jointly adopted by a Committee of the American Bar Association and a Committee of Publishers. DMS Workshop 36 ‘Go Away and Leave Me Alone!’ Paul Gillrie A PUBLICATION OF DEPARTMENTS 6 Industry & Tech News 8 Digital Dealer E-mail DD 4 February 2009 DigitalDealer-magazine.com
  • 7.
  • 8. D IGITAL Dealer INDUSTRY & TECH NEWS Kelley Blue Book now Dealer.com wins top vAuto, Carfax unlock releasing values weekly international emerging profit for auto dealers A study released today proves that Kelley Blue Book is now publishing its used-vehicle values weekly via its media award dealers can maximize profitability by Dealer.com is a Leader Award winner web-based product KarPower Online. immediately evaluating cars at trade-in. in the 2008 Summit Emerging Media Prior to this, only the Kelley Blue Book vAuto and Carfax deliver a powerful Award (Summit EMA) competition for Trade-In Values were updated weekly, tool that dealers are using to identify its work with Checkered Flag Motor Car while other values were published in cars that command a premium price on Corporation, www.checkeredflag.com. the Kelley Blue Book Official Guide the retail market. According to vAuto, The 2008 competition included every other month. The Blue Book dealers consistently price Carfax 1- approximately 700 entries from numer- Official Guide also has an updated Owner cars an average of $1,000 more ous countries for which only 12 percent publishing schedule with its frequency than cars without the Carfax 1-Owner earned recognition. Dealer.com’s work moving from every other month to designation. was recognized in the Consumer monthly. Blue Book Official Guide “In these tough economic times, Product Website category. customers received their first monthly dealers need to know which cars and Summit EMA award winners are edition in November of 2008. light trucks can be aggressively mar- selected for their leading-edge use of In addition to striving for greater keted the second they hit their lots,” new and emerging web technologies. accuracy through more frequent said Keith Jezek, president and CEO of Checkered Flag’s Dealer.com web site updates, Kelley Blue Book has added Chicago- and Austin-based vAuto. includes the latest in new media tech- an ‘Auction Value,’ which is what a Consumers prefer cars that have had nology to keep site visitors engaged and used vehicle is expected to sell for at a only one previous owner. Using the increase lead submission. The goal wholesale auction. An additional vAuto tool, dealers can price their vehi- with Checkered Flag’s Dealer.com web change includes a name change for the cles at the top of the market. The study, site was to create a customer-friendly company’s Wholesale Value, a long- based on more than 3.5 million online web site with one-click navigation and standing benchmark for automotive listings, also indicates that Carfax 1- feature rich content to attract and lending, which is now the ‘Wholesale Owner cars increase inventory turn. encourage visitors to shop for cars Lending Value.’ The Wholesale Combined with a higher resale value, online. The site incorporates cutting- Lending Value will be updated weekly Carfax 1-Owner cars maximize a edge search marketing, video, reflecting the value of a vehicle that has dealer’s profit per unit. consumer reviews, a dealership blog, been fully reconditioned, inspected and “By using vAuto in conjunction with online credit approval, online service is frontline ready. Finance companies the Carfax 1-Owner designation, I con- scheduling and more. can now use Kelley Blue Book’s tinue to see an increase in sales as well as The Summit EMA competition is Wholesale Lending Value without any an increase in per car gross,” said Gary based on the premise that advertising is additional calculation to mitigate risk Duncan, Duncan Automotive Network consistently at the forefront of the tech- and better manage lending portfolios. of Christiansburg, Virginia. nological evolution of communication. Dealers, manufacturers, finance com- Previous studies show a minimum Some of this year’s judges included: Lisa panies and others in the automotive sale price lift of $300 for Carfax 1- Charlebois of Ogilvy & Mather, industry can access all of Kelley Blue Owner cars. Carfax has programs in Vanessa DiMauro of Leader Networks Book’s weekly values through a paid place to make sure dealers take full and David Snyder of FL2. subscription to the company’s Internet- advantage of their inventory’s profit www.Dealer.com based valuation system, KARPOWER potential. www.carfaxonline.com, Online through syndication or via our www.vAuto.com O service provider RouteOne and others. www.kbb.com O O DD 6 February 2009 DigitalDealer-magazine.com
  • 9.
  • 10. D IGITAL Dealer E-MAIL Digital Dealer welcomes your letters and after verification will run them signed or unsigned. Letters may be edited for space and clarity. Send letters to DDmail@DigitalDealer-magazine.com. Jim Skeans, While you are there please take a look at NADA, but none on my own. I'm in the I have just read your excellent article the other management tools, available process of finding ways to better train in the November 2008 Digital Dealer from our web site for free. dealership staff on DMS systems for ACS, magazine, “Leverage More Information Good luck, our preferred provider of DealerStar and from your Financial Statement/DOC.” Jim Skeans webinars are one of the options. If I can I would appreciate you e-mailing your find a good seminar provider, I might add complete list of favorite ratios with the Hi Sandi Jerome, some specialty classes like data extraction formulas to me. Thank you. Great article in the December 2008 and of course the new popular one, data Best regards, Digital Dealer magazine, “Data “pushing.” Thank you for the suggestion Mark Krieger Extraction – Is it all Over?” I am won- and I'll get busy! Vice President dering if you are at all entertaining the Thanks! Krieger Autogroup idea of webinars where you could show Sandi Jerome Muscatine, Iowa us the how tos of pushing info. ADP has mkrieger@kriegers.com coach classes that we can pay for, just Daryl Sanders, wondering with all the information you I enjoyed your article, “10 Strategic E- Hello Mark, have if you would consider that option mail Rules for Internet Car Shoppers” in Glad you enjoyed the article and thanks for many digital dealer business issues. the December 2008 Digital Dealer mag- for reading Digital Dealer magazine. Looking forward to hearing from you. azine. As a Chrysler/ Jeep/Dodge sales The ratios and formulas are included Thank you, manager, I frequently have issues with in the spreadsheet “Key Financial Ratios” Ann Potter what you mentioned: customer pricing available for downloading from the Controller/IT eligibility. If at all possible, could you “Free Tools” page on my web site, Ryan Motors offer suggestions or even a copy of the www.jimskeans.com. Buffalo, MN questionnaire that you send prospects? I The spreadsheet also illustrates how to annp@bwig.net would understand if you are not link the elements of the formulas to your inclined to disclose your technique, but financial statement or accounting report Hi Ann, any help would be appreciated. download for complete automaton from Great to hear from you and I've done Thanks, your one-time setup efforts. some webinars for DealersEdge and BJ Holmes General Sales Manager Falls Chrysler Jeep Dodge Cuyahoga Falls, OH BJ, While I normally advocate an auto response that introduces the salesperson and store, and then in the next e-mail a quote can be sent, Chrysler, Dodge, and Jeep are exceptions to the rule. They have so many pricing rules and incentives (about an inch- thick document), that covers employees, friends, family, acquain- tances, people who once knew someone, and on and on, to quote a price might cause the dealership to put foot in mouth. So I advocate four brief questions in the auto response that will help qualify the person’s eligibility for an advantageous price. If I don’t hear back from the prospect quickly, then I suggest going forward with a price quote with quali- fiers in small print assuming certain stipulations. Daryl Sanders DD 8 February 2009 DigitalDealer-magazine.com
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  • 12. D IGITAL Dealer AAISP NOTES Mike Roscoe How to Endure, way to approach this market. You need to hear from the top consultants and trainers in the industry. You need to see what the leading edge companies have Survive and to offer to give you your best shot. You need…the 6th Digital Dealer Conference & Exposition. Every speaker submitting a proposal Even Thrive in to speak at the April event has been instructed to focus their presentation “This current economy Tumultuous Times is only going to hasten the move to e-commerce in dealerships. Now more D oes the title above pretty much wrap it up? Is that what you than ever, your and your store(s) need at this very moment? The knowledge of how attendance at this to endure in these tumultuous times? The ability to survive in these tumul- event is critical.” tuous times? And can you imagine…a —Michael Roscoe plan to even thrive in these tumul- tuous times. specifically on “How to Endure, Survive and Even Thrive in The dealerships that will be able to Tumultuous Times.” Whatever their reach these three goals are the ones that knowledge, whatever their experience, are doing everything they can to accom- whatever their specific expertise…they plish them. Of course, cost cutting is will be presenting it with the focus on the first action that is taken during one metrics that traditional advertising how to endure, survive and even thrive of these cycles. Typically, when times are could never provide. You can defini- in tumultuous times. good, fat builds up in the form of tively track ROI. expenses that are not necessary to the Now more than ever, your atten- success of the business. So finding and This current economy is only going dance at this event is critical. It will take cutting the fat is the first, and most to hasten the move to e-commerce in place at the Mirage in Las Vegas on painless way to bring down expenses. dealerships. Sure, retail automotive has April 19-21. There is nothing else you been steadily increasing adoption of could possibly do during those 21/2 As I am well aware from being in the technologies and processes to market to days that will be as valuable to your publishing business, advertising is also new and existing customers…and we business at this time. You need to be one of the early casualties when we go knew we would get “there” eventually. there, and your dealer needs to be there. through the slow part of the economic But now…it’s a must. Check out the web site for details, cycle. As the old saying goes, “50 www.DigitalDealerConference.com. percent of my advertising is wasted…I As such, you need to have your best just don’t know which half.” shot in knowing how to endure, survive and thrive in these tumultuous times. If you wish to discuss this article with But…this time we have something You need to be in front of your com- other dealers, or with the author, we’ve never had before. The petitors in marketing to prospective please go to the “Discussion Forums” Internet…and technology, which and current customers. You need to do at www.DigitalDealer-magazine.com allows you to not only know what this in a way that provides ROI. You and enter the “AAISP” forum or dollars you’re spending are need to find out what the best in the e-mail him at mroscoe@Digital wasted…but which are going to the business are doing. You need to know Dealer-magazine.com. best option. There’s tracking and what the top minds believe is the best DD 10 February 2009 DigitalDealer-magazine.com
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  • 14. D IGITAL Dealer INTERNET SALES Phil Sura Redesigning and the pros of the past and applying those concepts to the customers of today. He still loves to prospect for new cus- tomers everywhere he goes, including Refocusing your restaurants. He loves to call and engage with customers in the data- base to prospect and share key points with other sales people. A final point Approach to about Cronin is that he has learned to take the great sales concepts from the past and apply them to the new paradigm that exists with the influ- the Market ence of the Internet. Many of Internet directors I visit with today are selling at least at the same level in their departments while the front end of the sales team is suf- fering. Andrew Oxendine is a one-man D show with direct Internet sales but he is still selling 18 to 20 units for URING THE ‘80S AND ‘90S, I Mercedes Benz of Alexandria. Andy supported, consulted and worked with Warner from Beechmont Ford in a number of dealerships across a five- state region. That was a period of time “If you started a when the best operations would attract and keep solid sales producers for 20 new dealership today, years. I would love to visit with those veterans since they possessed keen what would you insight concerning the auto industry. They were committed to their profes- expect and how would sion, their customer base, and the manufacturer that they represented. you operate it?” These were the guys who would sell 25 to 40 units each month without taking —Phil Sura a “fresh customer” unless forced by the sales manager on a busy Saturday. adopted member in the business, you Cincinnati, Ohio just celebrated the They lived on repeat and referral are committed to that person. You birth of his first son and he is selling business. They would pass out busi- would not think of going anywhere 90-plus units monthly out of his ness cards to everyone that they met else to purchase your next car. We Internet team – a record. and they would dare to venture out have lost some of that enthusiasm and Volker Jaeckel is the e-commerce of the dealership to introduce the focus over the years. Employee director for Son’s Auto Group in latest models in the field. Many turnover has become a major issue for Atlanta. VJ has been getting great became like family to a number of many operations for a number of results with blogs (2,800 visitors over a their customers because these veter- reasons, primarily shrinking margins. recent eight-week period), which ans kept written notes (or at least Loyalty is very rare and many sales- showcase information about the mental notes) on the following: people simply bounce from store to BMWs. VJ cut the traditional advertis- • Number of kids and their ages (high store or in and out of the industry. A ing out and is focused on leveraging school kids needed that first car) number of the veterans mentioned technology and “old fashion German • Type of business where they worked above have retired or moved away sales sizzle” to drive sales in his depart- • The neighborhood where they lived from the auto industry entirely. ment. VJ actually got his start in • The places that they went on vaca- There are exceptions. An example is Internet sales in Michigan when no tion and if the car was used Michael Cronin, Internet manager for one else wanted to deal with it at his • How the car/ truck was going to be Diamond Auto Group in Worchester, dealership. Today, VJ is setting record used (primary use) and the key con- MA. Cronin loves his job and his pro- Internet sales for Son’s Auto Group. cerns (safety, economy) fession and he can’t contain his VJ, Andy and Andrew love the • Clubs and organizations enthusiasm for this industry. He is pas- If you have a family member or an sionate about studying concepts from continued on P-DD38 DD 12 February 2009 DigitalDealer-magazine.com
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  • 16. D IGITAL Dealer INTERNET SALES Peter Batten Your Best Online research and buy a vehicle right on your web site. Consumers buy vehicles every day on eBay, why not from your dealer- ship? One company to check out is Presence in 2009 Ai-Dealer (www.ai-dealer.com), provider of complete end-to-end shopping cart technology for dealerships. Montesi Volkswagen of North Haven, CT and Beyond http://nitra.vwdealer.com/montesi/?http:/ / w w w. a i - d e a l e r. c o m / M o n t e s i - Volkswagen-Shopping-Cart.html is currently offering shoppers this tool with easy step-by-step instructions that make Tools for attracting more the process a snap. Get mobile customers to your online turf Get mobile and you’ll reach more con- I sumers. There are more mobile phones in the United States than there are T’S 2009; is your dealership web site people, and the newest smartphones ready for the new year? A powerful offer powerful web browsing and search online presence can pave the way for capabilities. Launch a mobile version of increased leads and sales, so now is the your dealership web site and consumers time to take a close look at what you’re can find your inventory, review options, offering and step up your game. The fol- and even view vehicle videos, from any- lowing are some of the best tools and best where. Head to www.gumiyo.com for practices to implement today for a stellar more details on how to get started. 2009 and beyond. Although we’re experiencing a shaky economy, consumer use of the Internet is Crank down the volume and unlikely to falter. Eighty percent of add substance serious, in-market vehicle shoppers do An internal study conducted by their research online (2007 Cap Gemini Chrome Systems found that consumer study) and that number is on the rise. It usage of automotive retail selling sites can only help your dealership to con- (including dealership sites, portals, and cars that are easier on the environment. tinue to build your web site. Set the stage OEM sites) peaks between 11:00 am and Consider going ‘green’ with a web page now and reap the benefits in the new 1:00 pm. This means that most con- that highlights your fuel-efficient vehi- year and beyond. sumers research and shop for vehicles cles. Check out the Ron Tonkin while at work or on their lunch breaks. dealership’s Tonkin Green (www.tonk- Peter Batten is general manager for Use this knowledge to your advantage. ingreen.com) for some ideas. Chrome Systems, where his focus is on Forgo loud music, time-consuming You can also create specialized search making it easy for web site builders, appli- downloads, and flashy presentations. functions to make it easier for consumers cation developers, and dealers to present Make all rich media optional to “play”. to find what they want. The majority of vehicle information that can be easily used What consumers want is fast, easy-to- web sites currently require consumers to and acted upon by consumers. In his six access content like build-a-car tools, clear enter a vehicle make, model, and style to years with Chrome he has held several posi- pricing information, detailed options, start their search, but many consumers tions including: product management, reviews, fuel economy, and images. If do not think in these terms. Enable con- content development, sales, and operations. you make the essentials easy to find and sumers to search by body style (coupe, view, consumers will keep coming back sedan, or convertible), or by features like for more in-depth research, and are more gas mileage, minimum price, and If you wish to discuss this article with likely to submit a lead or visit your store. maximum price. Check out the NADA other dealers, or with the author, Guides web site (www.nadaguides.com) please go to the “Discussion Forums” Consider specialization for examples of specialized searches. at www.DigitalDealer-magazine.com More consumers want information and enter the “Internet Sales” forum or tailored to their individual interests and Make shopping easier e-mail him at pbatten@DigitalDealer- specifications. A big consumer concern There are some great new tools that magazine.com. right now is fuel economy and finding make it easier than ever for a consumer to DD 14 February 2009 DigitalDealer-magazine.com
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  • 18. D IGITAL Dealer INTERNET SALES Paige Presley Be the Authority helpful during their shopping process. Get your staff together and have everyone write up what they like and dislike about the vehicles in your inven- tory. While your first priority is to sell How the information you put on the cars, remember that in order to gain consumers’ trust, you need to be honest. • User reviews: The New your web site can boost your credibility Autoshopper.com Study also said that nearly 70 percent of online car shoppers use consumer-generated content while vehicle shopping. In fact, nearly 63 percent of those shoppers use this infor- mation as a resource, and 95 percent of N them believe these reviews are helpful in the buying process. OW, MORE THAN EVER, it is Ramsey adds in the previously men- important for your dealership to main- tioned digital marketing report that tain the trust of your customers. consumers place the most trust in the With the economy at such a low opinions of friends and family, as well as point, consumers are becoming less con- those of strangers with experience when fident in their purchasing power, and trying to make purchasing decisions. they are looking for someone to trust. Draft a list of people who have Geoffrey Ramsey, CEO of eMarketer, recently purchased vehicles from your said in the report, Digital Marketing dealership and ask them to write a quick Now: Seven Strategies for Surviving the review of the cars they purchased and of Downturn, “consumers explicitly want their experience with your dealership. advertisers to advertise.” So begin letting your customers • Contact information form: This know you are an authority in the auto is the single most important thing to business by making your web site the have on your site as it creates a call to one-stop shop for vehicle information. action from your visitors. Since the 2008 New Autoshopper.com “…consumers are These are just a few suggestions that Study by J.D. Power and Associates will help you become a credible source established that the amount of time becoming less of auto information in and around your potential car buyers spend looking for community. information online is on a steady rise, it’s confident in their Once you’ve got these down, get a little time to kick your web site into high gear. creative and test some other marketing Ensure you’re the place auto shoppers purchasing power, tactics to see how they work for you. know to go to when looking for facts and figures about vehicles by having the and they are looking Paige Presley is the marketing analyst/ right information on your web site. writer for Dealerskins in Nashville, TN. for someone to trust.” She enjoys mixing her passions for all things Here are a few key items to —Paige Presley technology and for following consumer include: trends by staying involved in market • OEM information: Many people research for the auto industry. go directly to an OEM web site to learn information and whether or not you more about vehicle features and pricing have it in stock. information before looking for a local If you wish to discuss this article with dealership for inventory information. • Dealer/staff opinions: The New other dealers, or with the author, Save them the time of going to two or Autoshopper.com Study noted that please go to the “Discussion Forums” three web sites by providing all of those dealer ratings and reviews are popular at www.DigitalDealer-magazine.com specifications on your site, so when among auto shoppers. About 38 percent and enter the “Internet Sales” forum or shoppers have questions about a partic- of online auto shoppers use these e-mail her at ppresley@DigitalDealer- ular vehicle, they can go directly to your reviews as a resource, and 87 percent of magazine.com. web site to see all of the features, pricing them believe the information was DD 16 February 2009 DigitalDealer-magazine.com
  • 19. YOU HAVE CUSTOMERS AND PROSPECTS. WE HELP YOU GET A LOT MORE MILEAGE OUT OF THEM. Let’s roll. Innovative e-newsletter solutions. 866-964-6397 imnLoyaltyDriver.com
  • 20. D IGITAL Dealer INTERNET SALES Joe Webb Snake Oil Online? a significant role in your store’s survival. The other online vendors offer amazing tools that will help you shift your deal- ership’s culture online as well, but may not have the same influence on sales as W the others. Let’s face it. Dealers are cutting back ITH SO MANY VENDORS their spending. Even the dealerships AVAILABLE TO YOUR DEALERSHIP, it leading the game know they cannot be becomes difficult separating the worthy involved with every opportunity. We from the not so worthy. What vendor is must evaluate what vendors we will right for you during these trying times is succeed with, and whether we are willing one of the more difficult questions to to back the vendors we choose with our ask. Some dealerships are even creating own optimal effort. It is a two-way street. vendor relations manager positions just As a dealer, you must work for your to have one person dedicated to fielding vendor as much as they work for you. As endless calls, sitting through sales a vendor, you must ensure your product is pitches and managing the plethora of capable of delivering great successes con- companies pounding on your dealer sistently for clients. If your product, door. Someone must determine what, program, or service is hit or miss in its actually, is worth your time? success rate, it may be time to go back to For those of you who know me or have the drawing board and develop an initia- read my columns, you know that in my tives. With the Internet-based programs, tive that all dealers covet. Easier said than articles I share my own experiences, opin- though, many seem to be targeting such a done, I’m sure, but belief in your product ions, musings and struggles. What I write is small segment of your business that, while is not always enough. never meant to be an indictment on any the service may yield more sales, the So when walking through the exhibit one individual or service, just my own per- overall impact is minimal. halls at the NADA convention (or any spective. (With a preface like this to an When I would meet with a vendor rep- other conference for that matter), keep in article, I know many of you are saying “Uh- resentative, I would always ask how many mind that your goal should be to find a oh...who is he going to tick off?” That’s not sales they would expect us to generate vendor willing to help you grow your the case.) I just want people to remain from adding their service. On several business by leaps and bounds, not baby focused on their own interests and not let occasions, the reps’ answer to this ques- steps. Don’t be marveled by the miracle the interests of others affect their own judg- tion was, “Even if you sell three cars, the medicine being pitched. Be pragmatic. ment. This is near an impossible feat in the program pays for itself.” I despise this While online initiatives remain the way to world of vehicle sales, but I’ll type on. answer. I believe every vendor’s program go in today’s marketplace, realize they Many of us are attending NADA in is, at the very least, valuable enough to sell don’t all cure what ails you. New Orleans this month. We’ve visited three cars. Selling three more cars, the recent Digital Dealer Conferences and though, is not a dealer’s goal. Three more Joe Webb is the president of DealerKnows, walked through the vast exhibit halls. The cars sold in this economic climate will not LLC, specializing in automotive e-commerce NADA convention, much like the Digital make or break a dealer. Dealerships consulting and assisting dealers and vendors Dealer conference, is filled to the brim should focus on forming partnerships with the advancement of their online efforts, with worthy programs, services, and with vendors that will sell them 30 (not solution successes, and processes through products trying to earn your business. All three) additional vehicles. I equate those hands-on training. He has worked in the of these vendors can add one new dimen- representatives whose intent is to sell dealership trenches and now shares his sion, for the most part, to your sales or their product for the promise of three knowledge of e-commerce, online advertis- fixed operations needs. However, I ask sales to new-age snake oil salesmen. ing, and Internet initiatives nationwide. again, what is worth your time? There are programs out there that can At my previous dealership, I fielded the help your dealership move 30 or more incoming calls from all new sales vendors vehicles a month. looking to promote their wares. I’d sit • Forward-thinking web site providers If you wish to discuss this article with through countless presentations of their • Proven SEO/SEM companies other dealers, or with the author, services and create my own analyses that • State-of-the-art CRM solutions please go to the “Discussion Forums” I’d share with the owner and general man- • Customer retention programs at www.DigitalDealer-magazine.com agement. Over the past few years, the • Inventory listing sites and enter the “Internet Sales” forum or amount of Internet-focused programs • Big-name lead providers e-mail him at jwebb@DigitalDealer- seems to have tripled, as have the calls and • Lead scoring companies magazine.com. showroom visits from their representa- These types of online services can play DD 18 February 2009 DigitalDealer-magazine.com
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  • 24. D IGITAL Dealer INTERNET SALES Daryl Sanders Salvage Sales way to do this is to set up a file system. Put all the talking prospects in the same file and then review each lead weekly to stay in touch while they are waiting to make a decision to buy. If an appointment with the Internet is made, then move prospects into a “set appointment” file. This file requires reviewing each of these prospects daily to in a Downtime see if there is anything needed to move them forward. 3. Focus on conquest sales to Internet leads. Each phone conversation should take on a more engaging tone. Not that you don’t immediately work toward setting the appointment. But when T sensing a client backing off, you need to provide additional choices to reel them in. HE INTERNET AUTOMOTIVE MAR- Don’t get too anxious to sell that car and KETING CHANNEL CAN BE COMPARED TO DEEP-SEA FISHING. With something like 1,200 automotive lead gathering sites “Adapt, change, be (not counting dealer web sites), the lead generators have packaged “leads” that positive, find a way, have been hooked by seeking a price quote. These leads are in various stages of and work together the buying cycle. For example, a lead gen- erated via spam e-mail, is probably the among departments…” worst kind of lead there is. It tends to gather the curious or the idle, which have —Daryl Sanders no intention to buy another vehicle. This “worst kind” is like hooking a minnow; you will never get it to the boat. tug too hard. You might lose the fish. If you did, you’d throw it back anyway. you’ll be ready to haul in the nets full of While you have them on the “line” take These kinds of leads could represent fish to fry. that opportunity to discover the other between 10 and 15 percent of all leads. So, how do you adjust your in-store choices they are considering. Be mindful Too many dealers let these minnows dis- processes to succeed in these changing that the generally accepted stats are that courage the use of this selling channel. But times? one half of the 55 buyers out of 100 will let’s look on the positive side of the equa- select a different kind of vehicle. Learn to tion. It is generally accepted that 55 out of 1. Make more calls to the leads in your focus on conquest sales in these down- 100 purchased leads will buy a vehicle in net. The lead counts are down in all times. Use that opportunity to bring up the six- to nine-month time frame. markets. This translates into you’ll spend comparative products if you can’t reel Let’s get this perspective: To hook a less time working up quotes and sending them into the boat right away. Prod and lead, the retail dealer must cast a line out fewer e-mails, therefore, you can make push for their alternative choices, and into the web via a zip code purchase. more phone calls. My research shows that quickly offer your dealership and your Then, via defined processes, the dealer you’re only talking to about 20 to 25 product advantages. Internet sales manager begins to reel in percent of your leads. Consequently, you what is hooked on the line. However, now have an opportunity to double that 4. Change the bait often. Change e- there is a challenge because of the lengthy percentage of leads talked to. Therefore, mail content from price focus to product time frame from getting them hooked to this effort will greatly increase your online information content. Don’t bug potential getting them into the boat. But my con- engagements to give a clear opportunity leads with “buy now” pricing e-mails. tention during these tough economic to double your sales when these prospects Most likely this will put them off. This is times is that you must be patient. In addi- are ready to buy. the time to focus more on conquest sales tion, you should kindly cultivate those and throw out additional product Internet prospects that are in your lead 2. Keep track of each lead, don’t let it content. One of the highest concerns of management tools. Eventually, when swim away. After reaching each prospect, the American public is product safety. these prospects feel the freedom to buy, don’t let them get lost in the shuffle. The Therefore, it is a good idea to build e-mail DD 22 February 2009 DigitalDealer-magazine.com
  • 25. content that highlights your product’s the purchase. The operative word is ‘how’, ing out the nets. We must be organized safety message. Imports should promote not ‘if’. Every dealership finance depart- for every catch during these changing the number of their cars built in America. ment needs to mentally turn the corner. times. It begins with the captain of the Since environmental issues remain a Don’t rely on the same two or three boat. Starting with the dealer, every concern, every manufacturer should have sources of the past. Utilize every possibil- department needs to sit down together a “green” message. You should also have a ity and contact 20 other sources if and find new ways to gather the Internet good e-mail content story on the advan- necessary. Just because the rules have leads into the boat. Adapt, change, be tages of buying from your dealership, and changed does not mean you stick your positive, find a way, and work together from you. Why should you send these head in the sand. Too often the finance among departments; these are vital kinds of e-mails? Because, when reeling a department dictates with unreasonable requirements in today’s market. buyer into the boat, the hook requires rules and conditions for the Internet more than a price. A successful landing prospect. By working in tandem, allow Daryl Sanders is the owner of Internet requires content and relevant information this prospect to supply you information Dealer Solutions, Ltd. He has installed his that enables a prospect to picture himself before they come in. Many finance evolving sales system in over 100 dealerships. in your car. departments have blocked potential sales He has a business degree in marketing from to Internet prospects. In the car business Ohio State University. As an offensive tackle 5. Keep obstacles away from the view of over the years, I have learned to figure out at OSU, he was an NFL number one draft the fish. Talk about financing issues earlier how to make the sale first, and then figure pick in 1963 for the Detroit Lions. in the process. Don’t spend time fretting out how to make more money. or complaining about the finance issues Maintaining positive attitudes and If you wish to discuss this article with facing our industry. It’s best to talk about preparing the nets is the key to success. other dealers, or with the author, the elephant in the room; so face financ- Every commercial fisherman repairs the please go to the “Discussion Forums” ing head on. After sending your e-mail rips in the nets before going out to sea to at www.DigitalDealer-magazine.com price quote, the Internet sales manager fish. We have a rip in our economy, but and enter the “Internet Sales” forum or should get the prospect to fill out a credit steady yourself and take aim. There are e-mail him at dsanders@Digital application right up front. He needs to many fish in the sea. Get prepared. Don’t Dealer-magazine.com. show how he can help them in this part of let economic stress keep you from throw- DigitalDealer-magazine.com February 2009 DD 23
  • 26. D IGITAL Dealer INTERNET SALES Elissa Giroux What Can SEO rankings. Savvy SEO analysts make it a point to keep informed and implement new technologies that prove to be promising. and SEM Do For Search engine marketing The primary advantage of SEM, or pay-per-click advertising is that vendors Your Dealership? can set up campaigns that are very tar- geted and specific. If a dealer needs to focus on moving a particular make or model, an ad can be created to attract customers looking for that exact make Separating hype from fact and model in your area, and then link “To increase the I effectiveness of SEM, N TODAY’S MARKET, the Internet a site should be well plays a vital role in connecting dealers to their customers. Dealers who are not designed; ensuring web savvy are falling behind their com- petition, and the reason is simple. that phone numbers Estimates reveal that more than 90 percent of consumers begin their search are highly visible on for a vehicle online. The vast majority begins by entering search terms into every page and forms Google or other search engines. Making sure a web site “gets found” should be a are easy to find top priority for every dealer. Unfortunately, many companies have and fill out.” jumped onto the Internet and search marketing bandwagon. As a result, —Elissa Giroux dealers hear a lot of conflicting informa- are diverse, including structural design, tion from multiple sources. What’s updating content and linking. them directly to the inventory page. right and what’s wrong? What delivers The ideal solution incorporates a Conversion rates are very high with this results and what’s a waste of money? multi-faceted approach, from the way type of ad. Once on your site, con- Search marketing experts are all too the web site is initially designed to sumers are a captive audience. To familiar with dealers’ varying success updating content according to dealers’ increase the effectiveness of SEM, a site rates when they attempt to dive into goals. In addition, analyzing opportuni- should be well designed; ensuring that the world of search engine optimiza- ties in local markets and developing phone numbers are highly visible on tion (SEO) and search engine partnerships with companies benefit every page and forms are easy to find marketing (SEM) without knowing the dealers in terms of links. and fill out. Customers looking for facts. To help dealers get it right the It’s important for dealers to under- service or parts can also be linked first time, it’s important to separate the stand that they must also take directly to those departments’ pages. hype from fact. responsibility for effective SEO by Another benefit of SEM is that taking advantage of back-end tools and results can be easily tracked, therefore Search engine optimization keeping content and inventory fresh, all ROI is easily measured. The advantage to having a well-opti- of which affect how well search engines mized site is obvious; when consumers can find a site. It’s also important to An unbeatable combination enter keywords into Google or another realize that trends in SEO come and go, Both SEO and SEM are good solu- search engine, a dealer’s web site will and what worked yesterday will not tions for attracting customers, but used appear high on the list of results. But necessarily work today or tomorrow. together their power is multiplied. obvious does not equate to simple. The New trends such as blogs and social net- Statistics show that when both SEO strategies vendors use to optimize a site working have an impact on a site’s SEO and SEM are combined, the results are DD 24 February 2009 DigitalDealer-magazine.com
  • 27. far more effective. customers. Unfortunately, many SEM Questions to Ask Your Search Here’s an example: If you’re doing firms aren’t much better. If you do hire Engine Marketing Provider SEO, you want to write descriptive an expert, you want to make sure you Is your provider asking you to sign content on your site that describes know how much they are spending on a contract or make some other long- exactly what you offer. If you’re doing various keywords, and if they can give term commitment? If a provider SEM, you want to be sure your paid ad you reports that track results. A rep- doesn’t deliver in a reasonable time- and link appear if someone is searching utable provider will have no problem frame, you should have the freedom for specific keywords, i.e. “Honda showing you exactly how they are to try other solutions. Accords Atlanta.” But if Google sees spending your money. To help with How much do you have to spend per that your site has content about Honda this sometimes confusing task, see a month (what fees are involved)? Some Accords, it will be more likely to match complete checklist of questions to ask a providers charge management fees, the paid search ad with this relevant potential SEM provider (located in a which can drive up your per-lead cost. content, and your site will be ranked sidebar to this article). higher in the organic rankings. Focus on placement: But not where Do you have flexibility? You should Conversely, if you’re doing SEM you you think. There are a lot of SEM firms have the ability to change campaigns want to make sure your web site is well out there that may promise you the on the fly in response to market con- optimized for the paid search ad to be number one ranking on Google, but ditions or specials that you or a effective. And to some extent, it’s a pure they won’t tell you which keywords they competitor may be running. numbers game. If you utilize both SEO are going after. What if your top and SEM, your site will be listed in ranking is for keywords that no one is Can you choose when your ads more places and it’s more likely that one using? Realistically, dealers need to run? If you know about what hours or of them will be clicked on. focus on seeing themselves at the top of days of the week potential buyers are listings for the right terms. Garnering looking for cars, you’ll want to be able to turn your campaigns on and Five steps to creating effective top placement for “Honda dealer off to ensure you’re running at SEO/SEM campaigns Atlanta” may not deliver the same con- optimum times. Outline goals: Is it really important version rates as “2005 Honda Accord to be ranked number one with the key- Atlanta.” The latter term is more spe- Can you track your results? With words that you have in mind? Or, is cific and will likely deliver a higher money tight, it’s important that you be your goal to attract more traffic to your conversion rate. able to track your return on invest- site and increase conversion rates? Be patient: Effective SEO takes time. ment. You should know where every Perhaps you want to reduce the cost of If a dealer is expecting to see instant phone call and e-mail submission is your leads, or increase closing rates. All results once a web site has been opti- coming from, so you can connect the these goals can be accomplished with mized, disappointment is inevitable. leads generated for every dollar spent. effective SEO and SEM campaigns, but Achieving a top ranking is a long-term not necessarily in the way you think. A strategy and can take months. One Is it easy to use? Even the most savvy Internet marketing provider can reason is that effective SEO results sophisticated technology isn’t going help you establish goals and then come depend largely on what links you have to do you much good if you can’t figure out how to use it. Look for a up with appropriate strategies to help pointing to your site. When Google simple user interface. you accomplish them. and other engines perform a search, Know your vendor’s strategy: How part of what they look for is links Is your supporting web site opti- will the provider help you accomplish coming into your site from other mized for conversions? As important your goals? This should not be kept sources. Getting these links built up as your ad campaign is, a high quality secret. There are many different takes time. A realistic timeframe for a web site that’s been built to turn visi- methods and approaches to SEO and site to show up in SEO rankings ranges tors into leads is the most important SEM, and most vendors use a combina- from a few weeks to several months. part of the equation. tion of various kinds. Is your vendor SEM on the other hand, can deliver going to work with web site architec- instant results. If a dealer wants a fast Can I divide my spend throughout ture, navigation and back-end turnaround, a targeted SEM campaign different departments such as new structure, or will it focus on optimizing is the medium of choice. and used car sales, service, parts, web site content? Your comfort level finance, specials etc.? will increase greatly if your provider can Elissa Giroux is search operations explain their strategies in simple terms, manager with Dealer.com. Can I control what I spend? Only you should be able to decide how and then back up what they say they much per lead you want to pay. will do with reports that clearly show how progress is tracked. If you wish to discuss this article with Is my inventory updated in the Hire experts: Many dealers believe other dealers, or with the author, search engines in real time? Every that when it comes to SEM, they can please go to the “Discussion Forums” time you upload new inventory, ads do it themselves. But they really don’t at www.DigitalDealer-magazine.com should be automatically generated have the expertise and raw data to and enter the “Internet Sales” forum or and posted on Google. This connects determine which keywords are going to e-mail her at egiroux@DigitalDealer- buyers directly with the inventory deliver traffic to your web site and once magazine.com. they’re seeking, which increases con- there, convert that traffic into potential version rates and closing rates. DigitalDealer-magazine.com February 2009 DD 25
  • 28. D IGITAL Dealer COVER STORY Anthony Bartoli New and Pre-owned Sales Manager/Internet Director Behlmann Buick Pontiac GMC and Pre-owned Cars DD 26 February 2009 DigitalDealer-magazine.com
  • 29. Success is part of the Behlmann Buick Pontiac GMC tradition. Through its partnership with Explorer Vans, the St. Louis, Missouri-based dealership is the premier van conversion company in America, as well as the St. Louis area’s number one GM certified pre-owned dealer. It’s also a classic family-owned dealership, founded by Ken and Linda Behlmann in 1972 and now owned and managed by their son, Dan. Today, Behlmann Buick Pontiac GMC, one of the most successful GM dealerships in the United States, proudly sells and services Buick, Pontiac, GMC, Chevrolet, Cadillac, Saturn, Chrysler, Dodge, Jeep, Ford, Toyota, Nissan, Honda, Kia and Lexus. Anthony Bartoli joined the Behlmann family in 2001, stayed for a few years, left in 2005, and then returned in 2007, where he remains today as one of the dealership’s sales managers and its Internet director. From the first day he started using the Internet to sell cars, he’s been in love with both the technology and the process. Although web technology might be complex, Bartoli believes the sales process for consumers must remain simple. Read on to learn more about how he and his Internet team consistently bring in 50 percent of the sales for this highly successful dealership. P LEASE TELL ME ABOUT YOUR BACK- GROUND. Prior to entering the sales industry, I had been in the restaurant business man- aging restaurants and even owning my someone who worked in the industry and he seemed to make a very good living. I was excited about the challenge and was very successful right from the start. I was one of the dealership’s top performers he had signed up to attend the first AAISP conference (Digital Dealer confer- ence now) in the spring of 2006 and we had to send someone since we had already paid the fee. Reluctantly, I drove down to own for some time. After leaving the and even earned salesman of the year in Nashville thinking this was a waste of restaurant business, I became involved in my first year of selling cars. The dealer- time and money for the dealership. Wow, home alarm dealerships, which were very ship is a family-owned business and the what an amazing experience! Meeting and successful in their time. However, the Behlmann family and managers were talking to people who actually were in the market became saturated, resulting in sig- great to work for. When the Internet Internet trenches was incredible. What a nificant and sudden changes in the alarm manager quit, I tried to get into the wealth of knowledge. I was constantly on industry market share. So I started Internet department and was told that my laptop when I wasn’t in seminars. I looking for something else to do in 2001. was no place for a workhorse/closer. I came back energized and was immedi- I had discovered that I had a gift for sales- worked the Internet leads anyway on my ately generating over $2,200 a deal for the manship and decided to try out the auto own until they found someone to fill the store off Internet sales. The way I thought sales industry. position a week later. I sold 11 cars in about sales completely shifted and I had a In late June 2001 I answered an ad for eight days and then went back to strictly whole new outlook. I continued to focus salespeople at Behlmann Automotive floor traffic. on Internet sales from there on out and through TK Worldwide. I didn’t know Later in February 2005, I was recruited believe that it is the future of the automo- much about cars and was reluctant to to manage a Chevy dealership. While tive business. enter the auto industry. I thought you had there I was given the task of overseeing the Dan Behlmann asked me to return to to have a passion for cars and be some- one-person Internet department as well. Behlmann Buick Pontiac GMC in June what of a gear head. However, I knew When the Internet person left our store, of 2007 as a sales manager and Internet DigitalDealer-magazine.com February 2009 DD 27
  • 30. D IGITAL Dealer COVER STORY director. I eagerly accepted and now oversee the whole Internet operation, from monitoring leads on and off hours, maintaining the web site, developing Internet advertising, managing the vehicle inventory, budgeting, managing third- party vendors, etc. I am part of a sales management team with two other man- agers, and we each concentrate on different areas. How many people work in your department? When I returned to Behlmann in June 2007, we had one person handling the Internet. In just over one year we have grown and expanded our Internet sales division to include an Internet director and five Internet managers. “What sets Behlmann’s apart is our people and our main mission, which is to exceed our customers’ expectations,” says Bartoli. What percentage of your dealership’s overall sales is generated from the Internet? I can track and account for 67 percent unknown factor and a given factor. The It wasn’t easy getting our web site to of our traffic generated from the Internet, given factor is that I can usually add where it is today. When I first came here but that figure is probably closer to 75 another 10 percent to what the Internet we had a web site built in a basement. percent with the floor traffic that goes did to indicate what was really brought They were getting about 500 hits a unlabeled from the various web sites. into the floor. We’re on over 75 different month on. When I came here I brought With our contact management tool, ILM sites, so we’re pulling in traffic from a lot in Dealerskins and had them do our site. and CRM, we can track leads. During the of sources. Within a month we were at 2,000 visitors; delivery part of the sales process, for now our Dealerskins Behlmann.com web example, we actually confirm where they What tools or lead generators have site has had over 11,000 hits in a single originated. We know what percentage of really worked on your site to pull in month. We also tried the Dealerskins repeat business we get. We always ask the leads? SEM service. They provide a wide range buyer this final question: “What brought Our web site is the number one source of services and they are all economical, you in today?” They might tell us they for our leads. It is as easy as 1-2-3 buttons. cost-effective solutions. were on Behlmann.com or First: select your vehicle; second: value When I ran a Chevy store and first got Autotrader.com, MSN Auto, saw the car your trade; and third: finance. Our cus- involved in the Internet I firmly believed, on GM’s web site, whatever the case may tomers say that of all the auto web sites and still believe, that the process of be. We want to track what percentage that they researched, including OEM, our buying on a web site should be as simple we’re doing from the Internet and where site is by far the easiest to use. as 1-2-3. One, do your research. Two, we’re spending our ad dollars. There is an Dan Behlmann really believes in the value your trade. And three, apply for unknown element in that a new employee Internet and has dedicated a good portion financing. As a result our motto here at might forget to extract that key marketing of the advertising budget to driving Behlmann is the deal on the Internet is as information from a new customer. So I people to our online dealership. We do easy as 1-2-3. We try to drive everyone to honestly think our Internet close ratio is not purchase leads at this time. Between Behlmann.com, which is probably our higher than our reports might indicate. our web site, GM third-party leads, number one site that I continually focus Traffic into our store is probably higher Autotrader.com and Cars.com, we gener- on. We have a free Cobalt site. We use than 75 percent. Month after month, ate over 100 leads per person per month. Autotrader. We have a special finance site we’re at 50 percent or more in sales, just called Easy Auto Credit Help to help cus- from the Internet team alone. What interactive media resources do tomers get pre-approved. People come to Behlmann’s for a variety you utilize? Please tell me what services But our web site has it all: research, a of reasons, such as the history of the deal- they provide and why you decided to configurator, customer testimonials, build ership; perhaps a car was explained better, go with them. your own vehicle, and financing applica- the price, perhaps value, our web site, Our Dealerskins web site is a great inter- tions (for special finance). You can also whatever the case may be. The floor guy is active site for us. We went with Dealerskins value your trade using an online appraisal probably not going to tell you it was an because it does an excellent job with a great from. It’s not a range; we give customers Internet deal. To recap, there’s an price to value combination. an exact number based on the trade-in DD 28 February 2009 DigitalDealer-magazine.com