Welcome!

News Feed Item

The Dealership Experience Can Make Or Break A Sale, According To AutoTrader.com

ATLANTA, Jan. 27, 2014 /PRNewswire/ -- In 2014, the industry should put a greater focus on the experience consumers are having in dealerships, according to AutoTrader.com®. Combining insights gained through years of consumer research, as well as working with a third-party firm to understand what fuels the best performing dealerships' success, AutoTrader.com identified the "Dealership Experience," and particularly "Customer Handling," as one of the leading factors that determines where consumers make their purchases.  

(Logo: http://photos.prnewswire.com/prnh/20110425/CL88097LOGO

"We work diligently to partner with our dealer customers and be true consultants, helping them to not only attract more shoppers, but to also turn those shoppers into buyers," said Kevin Filan, vice president of customer marketing and industry relations at AutoTrader.com. "In order to fulfill this promise, we felt it was important to highlight a key theme that has come up across our wide body of research: as shoppers move between online research and interacting with dealerships, it is those interactions—or the way customers are handled—that can make or break the sale. Because of this, we believe that now is the time for the industry to come together to enhance consumers' dealership experience."

Central to superior customer handling is meeting shoppers where they are in the shopping process and allowing them to shop the way they want to. Car buyers indicate that they will walk away from a deal when the experience is not meeting their expectations. In fact, AutoTrader.com research has shown that one of the top reasons new and used car buyers are dissatisfied with the dealership experience is a pushy and/or dishonest sales person.[1]

Additionally, that research shows that a majority of shoppers would not buy from a dealership they found to be untrustworthy, even if that dealership had the best price or the exact car they were looking for. In that study, 70 percent of respondents said they would walk away from a dealership that offered the best price on a vehicle if they found the dealership to be untrustworthy, and 74 percent indicated that they would walk away from a dealership that had the exact car they wanted if they found the dealership to be untrustworthy.[2]

Lynn V., an avid online car shopper, drove this point home in a recent conversation with AutoTrader.com where she said, "I went online and narrowed it down to two different dealerships. One was very good about communicating with me via email, was explicit in putting out an offer – very detailed. [They] included a price in the offer and invited me to the dealership. The other dealership, which actually had my first choice of color…wouldn't give me specifics in email."

She continued to try and work with the dealership that had the exact vehicle she wanted, but they would not communicate with her effectively the way she wanted, and her in-store experience led to her decide against doing business with that dealership:  "I will never go to that dealer again, even though they were probably 40 miles closer to my house. I was willing to spend the time and make the drive for a dealership that honored its word and treated its customer right."

Conversely, a good consumer experience can help dealers seal the deal. Of the top 10 reasons why car buyers select the dealership where they ultimately purchased from, six were influenced by positive customer handling: past experience with the dealer (21 percent), dealer's reputation (10 percent), referral from someone else (seven percent), dealer's service department (six percent), always buy from my salesperson (five percent), liked salesperson/treated us well (three percent).[1]

As a result, it's critical to a dealership's success for salespeople to evolve the way they engage potential buyers today by providing a buying experience that is focused on the individual customer's wants and needs.

"Shoppers want to feel good, not just about their purchase, but the dealership from where they are purchasing," Filan continued. "The dealership experience extends beyond the showroom floor, as dealers are creating experiences for consumers each and every time they come into contact with the dealership—whether that's online looking at inventory, chatting, or reading reviews, or in person as they walk the lot. Because of this, dealers should focus on building trust from the first interaction with each consumer and sustaining that trust throughout the consumer's experience."

This information is particularly important, as car buyers are only visiting one to three dealerships prior to purchase, according to AutoTrader.com research.[2] Therefore, dealers need to ensure that their "first showroom," their online presence, is creating an enticing and informative experience, as well as focus on the in-person experience.

To help dealers improve their dealership experience, AutoTrader.com offers the following tips:

  • Improve soft skills. Train employees on customer handling and in-store processes. Observe and review sales calls as well as in-store interactions and provide coaching to dealership staff.
  • Be more consultative. Embrace a more consultative approach to the sales process to alleviate shopper concerns and build trust.
  • Be knowledgeable. Ensure that dealership staff is intimately knowledgeable with inventory and product offerings. Despite being informed, many car shoppers still rely heavily on the salesperson for information.
  • Ensure pricing consistency. Consider introducing more pricing transparency through consistently pricing vehicles across third-party sites, advertising and the dealership site. It may even be worth embracing a "no haggle" policy. Shoppers indicate that agreeing on a price can be one of the most frustrating parts of buying a car.
  • Hire the right sales staff. Recruit and hire sales staff who mirror the profile of your buyers and who have a pulse on how consumers today prefer to shop.
  • Think outside the box. Differentiate your dealership with a unique amenity. For example, some car shoppers bring their children to the dealership, so amenities that cater to families can turn a good experience into a great one.
  • Reconsider the BDC/Internet Department model. While many dealerships have a finely tuned process that is highly effective, others should consider a "top to bottom" experience where consumers interact with one individual—from the person who answers the phone or greets a customer when they arrive through facilitation of the entire transaction. Car shoppers indicate frustration when they begin working with one dealership associate but then are handed off to another associate only to start the process over again.

About AutoTrader.com

Created in 1997, Atlanta-based AutoTrader.com is the Internet's ultimate automotive marketplace. As a leading resource for car shoppers and sellers, AutoTrader.com aggregates millions of new, used and certified pre-owned cars from thousands of dealers and private sellers and provides expert articles and reviews. AutoTrader.com, which also operates the AutoTraderClassics.com auto marketing brand, is wholly owned by AutoTrader Group. Additionally, AutoTrader Group owns Kelley Blue Book (KBB.com®) as well as companies that provide a full suite of software tools that help dealers and manufacturers manage their inventory and advertising online: vAuto®, HomeNet Automotive®, VinSolutions®, AIS Rebates™, Genius Labs® and Haystak™. AutoTrader Group is a subsidiary of Cox Enterprises. For more information, please visit http://press.autotrader.com.

[1] Source: 2013 Polk Automotive Buyer Influence Study

[2] Source: AutoTrader.com 2012 Dealership Experience Study

SOURCE AutoTrader.com

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
In his session at @ThingsExpo, Chris Klein, CEO and Co-founder of Rachio, will discuss next generation communities that are using IoT to create more sustainable, intelligent communities. One example is Sterling Ranch, a 10,000 home development that – with the help of Siemens – will integrate IoT technology into the community to provide residents with energy and water savings as well as intelligent security. Everything from stop lights to sprinkler systems to building infrastructures will run ef...
Whether your IoT service is connecting cars, homes, appliances, wearable, cameras or other devices, one question hangs in the balance – how do you actually make money from this service? The ability to turn your IoT service into profit requires the ability to create a monetization strategy that is flexible, scalable and working for you in real-time. It must be a transparent, smoothly implemented strategy that all stakeholders – from customers to the board – will be able to understand and comprehe...
SYS-CON Events announced today that Peak 10, Inc., a national IT infrastructure and cloud services provider, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Peak 10 provides reliable, tailored data center and network services, cloud and managed services. Its solutions are designed to scale and adapt to customers’ changing business needs, enabling them to lower costs, improve performance and focus inter...
You think you know what’s in your data. But do you? Most organizations are now aware of the business intelligence represented by their data. Data science stands to take this to a level you never thought of – literally. The techniques of data science, when used with the capabilities of Big Data technologies, can make connections you had not yet imagined, helping you discover new insights and ask new questions of your data. In his session at @ThingsExpo, Sarbjit Sarkaria, data science team lead ...
In the world of DevOps there are ‘known good practices’ – aka ‘patterns’ – and ‘known bad practices’ – aka ‘anti-patterns.' Many of these patterns and anti-patterns have been developed from real world experience, especially by the early adopters of DevOps theory; but many are more feasible in theory than in practice, especially for more recent entrants to the DevOps scene. In this power panel at @DevOpsSummit at 18th Cloud Expo, moderated by DevOps Conference Chair Andi Mann, panelists will dis...
See storage differently! Storage performance problems have only gotten worse and harder to solve as applications have become largely virtualized and moved to a cloud-based infrastructure. Storage performance in a virtualized environment is not just about IOPS, it is about how well that potential performance is guaranteed to individual VMs for these apps as the number of VMs keep going up real time. In his session at 18th Cloud Expo, Dhiraj Sehgal, in product and marketing at Tintri, will discu...
So, you bought into the current machine learning craze and went on to collect millions/billions of records from this promising new data source. Now, what do you do with them? Too often, the abundance of data quickly turns into an abundance of problems. How do you extract that "magic essence" from your data without falling into the common pitfalls? In her session at @ThingsExpo, Natalia Ponomareva, Software Engineer at Google, will provide tips on how to be successful in large scale machine lear...
Machine Learning helps make complex systems more efficient. By applying advanced Machine Learning techniques such as Cognitive Fingerprinting, wind project operators can utilize these tools to learn from collected data, detect regular patterns, and optimize their own operations. In his session at 18th Cloud Expo, Stuart Gillen, Director of Business Development at SparkCognition, will discuss how research has demonstrated the value of Machine Learning in delivering next generation analytics to im...
Unless you don’t use the internet, don’t live in California, or haven’t been paying attention to the recent news… you should be aware that self-driving cars are on their way to becoming a reality. I have seen them – they are real. If you believe in the future reality of self-driving cars, then continue reading on. If you don’t believe in the future possibilities, then I am not sure what to do to convince you other than discuss the very real changes that will roll out with the consumer producti...
Up until last year, enterprises that were looking into cloud services usually undertook a long-term pilot with one of the large cloud providers, running test and dev workloads in the cloud. With cloud’s transition to mainstream adoption in 2015, and with enterprises migrating more and more workloads into the cloud and in between public and private environments, the single-provider approach must be revisited. In his session at 18th Cloud Expo, Yoav Mor, multi-cloud solution evangelist at Cloudy...
There is an ever-growing explosion of new devices that are connected to the Internet using “cloud” solutions. This rapid growth is creating a massive new demand for efficient access to data. And it’s not just about connecting to that data anymore. This new demand is bringing new issues and challenges and it is important for companies to scale for the coming growth. And with that scaling comes the need for greater security, gathering and data analysis, storage, connectivity and, of course, the...
This is not a small hotel event. It is also not a big vendor party where politicians and entertainers are more important than real content. This is Cloud Expo, the world's longest-running conference and exhibition focused on Cloud Computing and all that it entails. If you want serious presentations and valuable insight about Cloud Computing for three straight days, then register now for Cloud Expo.
IoT device adoption is growing at staggering rates, and with it comes opportunity for developers to meet consumer demand for an ever more connected world. Wireless communication is the key part of the encompassing components of any IoT device. Wireless connectivity enhances the device utility at the expense of ease of use and deployment challenges. Since connectivity is fundamental for IoT device development, engineers must understand how to overcome the hurdles inherent in incorporating multipl...
Redis is not only the fastest database, but it has become the most popular among the new wave of applications running in containers. Redis speeds up just about every data interaction between your users or operational systems. In his session at 18th Cloud Expo, Dave Nielsen, Developer Relations at Redis Labs, will shares the functions and data structures used to solve everyday use cases that are driving Redis' popularity.
SYS-CON Events announced today that Stratoscale, the software company developing the next generation data center operating system, will exhibit at SYS-CON's 18th International Cloud Expo®, which will take place on June 7-9, 2016, at the Javits Center in New York City, NY. Stratoscale is revolutionizing the data center with a zero-to-cloud-in-minutes solution. With Stratoscale’s hardware-agnostic, Software Defined Data Center (SDDC) solution to store everything, run anything and scale everywhere...