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The Digital Dealership, Your Audience: Strategic Segmentation Part 1

The Digital Dealership, Your Audience: Strategic Segmentation Part 1

In tonight’s blog post, guest writer Mets Kramer continues his exploration of the digital dealership. Part 1 of a series, tonight we look at strategic segmentation of your audience.

You customers are only a small part of your Audience

All of us have heard the term “audience” over the last few years.  Long gone is the past association of audience with something the queen granted or with sitcom television.  An audience is no longer a small group of people because the internet has grown everyone’s audience.

Yet, even with the automatic growth of everyone’s audience, many dealers don’t think about their audience as they build their digital dealership.  Many of us think about our customers as audience.   Customers come through the door, call our phones and send us emails.  Our customers work with us daily, weekly or monthly as they use the equipment they purchased, or are looking for newer equipment.   Still, our customers are only part of our audience, even if they are a small and important subgroup.

The broader concept of audience is important for us to consider in several ways.  It’s important first when planning our marketing, second in designing operations and finally in developing our strategy.   For this article let’s start with Strategy, since it lays the groundwork for the rest.

The first thing to think about is how will you define or identify your audience.  What groups of people and companies will you want to draw in and communicate with?   This will vary depending on the type of dealership you have, and will need to be adjusted, as you reconsider who your audience is.  This is called segmentation.

For example, for a few large, well-established dealers the audience tends to be fairly set.  It typically consists of all the users of their brand of equipment, in their territory.  Potentially it might only include those customers with accounts in the dealer’s business system.  Another example is a smaller farm and yard equipment dealership.  Here the number of interactions with each customer will be lower, and the dealership needs to find new customers constantly.   A strategic approach to audience segmentation will be different for both these example dealers, but for both, clearly defining it lays the ground work for their business.

To define a dealership’s focus audience, we need to determine what audience segments fit into your strategy.  Start with these 3 audience segments or categories.   How important is each to your business?

  1. Repeat or Existing Customers
  2. Prospect Customers
  3. Unknown Audience (This is typically where your new leads come from)

Next, consider where your audience members are.

Are they:   Local, Regional, National or even farther?  How far do you want to reach? How will your strategy differ for those near you and those far away?

With all the audience segments identified, and priority segments selected, we can create a strategy for each of them.

For each segment the dealership wants to reach, 4 main things must be considered.   First the message, next the communication channels and third the response method.  The final item to be considered is an important part of what makes your dealership the Digital Dealership, it is the integration of known audience information with each strategy.

In creating the strategy dealers need to think about the message.   This is often the product they want to communicate to each audience segment.  Is the product the machine, the dealer’s experience or something else?   Many dealers think they are selling equipment when a significant aspect of value is the dealership.  When communicating to unknown audience members, they merely provide the details of a machine in inventory, they forget to include the more important value the dealership brings.

The strategy should consider the channel for communication.   Dealers should understand what digital channels and platforms their target audience segments are on, where the audience will see or receive the message.  Channels include traditional communications, social media, email etc.  Depending on the product and the audience segment, different channels should be used.  Don’t use the same channel for everything and assume your message reaches the audience.

An often-forgotten aspect of communicating with the audience is the response method.   Typically, the faster the response from the dealer is the better.  Also, the response method should more closely matched the original communication method.  For example, if people are reading your email, they likely want to respond the same way.   We often see dealers mismatching the channel and the response method and seeing poor engagement.

Finally, before we can look at marketing and operations in the next article, we always need to consider the most important aspect of the Digital Dealership, the use of information. This starts by having clear strategies for each segment.  By using the information already known about the audience to fine tune the strategy, we get a much more targeted strategy.   For example, sending marketing campaigns to customers and prospect customers about a new backhoe, to customers known to have backhoes of a replacement age.   Image if your next email campaign started with “Hi Mets, because you currently own a 2012 Case 580SN, we’d like to share information on this 2017 CAT 430F.

In my next article I’ll continue and look specifically at Marketing and advertising to segmented audiences.  I’ll also post a work sheet for your dealership to work through to get started.

Mets Kramer

Mets.kramer@strategicevolutions.ca

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Five First Tasks to Becoming the Digital Dealer

Five First Tasks to becoming the Digital Dealer

Guest writer Mets Kramer continues his series on the Digital Dealership with today’s post: Five First Tasks to Becoming the Digital Dealer.

When I started as a service supervisor, part of my job was closing invoices.  On average, I probably opened (and therefore should have closed) 2 work orders per day.  Yet my metric target was 9 days average invoicing cycle   That meant 9 days between the last day someone worked on the machine and when the invoice was sent.  At the time I thought that seemed quite reasonable.  There were always some outstanding items on the work order, or more commonly I was too busy to close them faster.  The metric was an average number of days, so some work orders were much slower to invoice.  Unfortunately, as we all know, invoices sent well after the end of work are more likely to be disputed and less likely to be paid.

Years later, now responsible for all service operations, I started to ask myself where the 9 days came from.  Why not 10 or 8 or 7 or any other number? There was always some reason to be found why an invoice couldn’t be sent yet.   Then I started wondering why, when I send my car in to get work done at the dealership, do I get an invoice right when I want my car back.  Why don’t they wait 9 days to send me my bill?   I came to realize the reason was because the car dealership had figured out how to make sure every part and charge was on the work order before the work was done.  They do this because they won’t get paid if they give your car back before they send a bill, and they can’t hold your car until the bill is ready.

The car dealership had done the work and created tasks to remove all the problems that delayed getting everything on the work order on time.  So, I started the same process at the branches.  Finding out what stopped invoicing the same day and found ways to remove the hurdle.  It included using purchase orders with confirmed values, real-time digital service reports and even just better vendors. We even changed the metric on invoicing cycle. 75% of work orders had to be closed within one day, 25% could average up to 5 days.  This new metric created tasks for people to figure out how to prevent delays and we showed it was possible to invoice same day in almost all cases.

It’s what Ron calls the Art of the Possible.

In 1993, I got my first dial up internet access, via my 14.4 modem, on my IBM ThinkPad 700.  That’s almost 30 years ago.  Clearly the internet has been around for a long time.  Now, in 2021, here we are talking about the digital dealership and still have open tasks and reasons why we aren’t as digital as most other industries.  The truth is, it is possible!  Possible to have our dealerships capable and positioned where we want them to be.

The Art of the Possible, is about completing the tasks you know exist, to achieve your goals.   It might be a matter of getting some additional help to complete the task.  Either because of manpower, knowledge, or technical limitations.  Sometimes it’s as simple as implementing what you already have in existing systems.   Many of you will agree, you have software systems in the dealership with capabilities you don’t use.  Even though it would make the dealership better.

We’d like to help. Make some time to send Ron Slee or myself a list of 3 – 5 tasks you want to complete. These tasks should be oriented toward a goal aligned with becoming a Digital Dealership and from any department. Examples can include “I’d like to allow customers more flexible ways to communicate with us” or “I’d like to store and use information properly to drive sales”.  Send us your open tasks and we will help you work through implementing them.

A few years ago, I went to see a dealer after my presentation at AED.  I presented on using customer fleet data to predict sales and drive sales activities.  This dealer had all the capacity to implement this concept, and even agreed they should be doing it, but it was still an open item on their list, for the last 20 years. Don’t let small hurdles get in the way of being a better dealership for your customers, don’t let a list of POSSIBLE tasks stop you from becoming a Digital Dealer.

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The Digital Dealership – Digital Data Triggers

The Digital Dealership – Digital Data Triggers

In tonight’s blog post, guest writer Mets Kramer brings us to the bright side of technology in the Digital Dealership – Digital Data Triggers.

One of the best things about computers is they do the boring tasks of wading through data.  It’s a concept that is generally well understood, yet too many dealers are not applying this capability.

For all the years I spent running departments at dealers, I was never a fan of reports.   Reports, to me, are long lists of printed out or on-screen data that I need to read through to determine if there are any actionable situations.  It’s time consuming, especially if done on a regular basis.  I’ve always preferred getting the reporting system to do the work for me.

I LOVE indicators, indicators are the action items you get from a long boring report.   Indicators are the result of analyzing the report data and determining what we should do.  A great example is a customer account balance statement, where we look for people over their credit limit or with aged invoices.   Rather than read the whole list, we often just print the over limit customers and hand them to a credit manager or sales rep to call the customer.

In the same way, the Digital Dealership uses its data, computers and an analyst to create actions from data.  These action items are pushed out through various methods to improve the business or support the customer.

There are 2 main types of actionable data.  First there are activity or event triggered actions and the second are analysis or derived actions.

Activity or event-based triggers are implemented often to follow up on past events.  Great examples are notification to the sales rep 30 days after a customer purchased a machine to schedule an initial service or follow up on performance. Similar triggers are post rental follow up, to find out how the customer’s rental experience was.    The Service department can do a similar follow up after a customer receives their maintenance inspection check list with quoted items found during the service.   If the customer declines them initially, the Digital Dealer follows up to make sure they got done, frequently gaining that work.

The second type of trigger is derived from data or rather the analysis of historic data.  These are often more complex and look for changes in the historic norm to determine if something has changed, which would require action.   This is something we all do in the parts business, for example.  As sales of a part drop off, we analyze the data and, if the part is used on an old model, we determine the need to stock less of them.

Triggers based on data trend analysis often let us get ahead of a problem.   Think of a customer who normally purchases every 6 weeks but has shown no activity in the past 8.   The Sales Rep should be able to connect with that customer and find out why.   What about a customer who was spending $100K per year on service labor, but in the past 6 months it’s been $25K?  In these cases, it’s likely important to understand what’s happening.

Triggers, from analyzing data history or events and put in front of the right person, lead to action.  These action triggers can be as simple as an email notification, or, preferably these triggers are listed as exceptions on a digital platform such as your CRM.  In a CRM the indicator can easily lead to a page listing the customer’s contact information or even instantly connect the call.  Once the call is done an activity is created capturing the story from the customer, and possibly generating a new sales lead.

One of my favorite indicators in Vizybility is “Customer that need follow up”.  Set a contact frequency for an existing or target customer, and the CRM reminds you to call on that interval.  These are great to avoid missing sales for a low volume customer.

In all of these scenario’s computers do what they do best, track and analyze data.   Analysts learn from the data and, in conjunction with a manager, create triggers when certain scenarios are seen.  These actionable decisions, or triggers, are fed to people in the operations through CRM or other systems to support customers, avoid problem.

Next time you’re reading through a long report list and deciding what to do, think about how you could create automatic triggers in your Digital Dealership.

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The Digital Dealership: Information is the Core

The Digital Dealership – Information is the Core

At the core of the digital dealership is information. Tonight, Mets Kramer shares more about the key information you need.

Perform an Information Audit to develop your Digital Dealership

 

In our last podcast about the Digital Dealership, Ron and I discussed what some of the first steps are that any dealership should take to become a dealership of the future.  Since the basis for the digital dealership is the complete use of information, I suggested the first step should be to review how the dealership is currently storing and using key information.

Key information, in the Digital dealership, revolves around the customer and equipment, and especially customer equipment data. To become an integrated dealer, making the most out of the information available, information needs to be collected, analyzed and shared among all areas of the business. It’s important that areas of the dealership don’t become information silos. It’s especially important that the different areas of the business don’t operate on disconnected versions of the same data.

To do this means a few things:

  • First, information should be kept in a single database or “single source of truth” for each type of information. Whether it’s customer, account, equipment or contact information, there should be one primary place to store that information, and no more. Whether it’s equipment information on work orders, customer information and contact data in CRM or unit number information in parts, they all need to draw from and update the same single source. This is especially true if the information is also needed in the other departments.
  • Second, information needs to be shared out to all departments to help make decisions. The Sales team should see equipment information on machines serviced by the shop, they should see parts sales by machine from the parts department. Service needs to know about machines sold to customers before they come in for their first service work, and everyone needs to know the engagement of customers on marketing and digital platforms.
  • Third, information should be enhanced with data from outside sources and inhouse analysis should be performed. When the sales team looks at a customer fleet list, they need to know how much should have been generated by each machine through parts and service, not just the actual numbers. Sales should be able to see market price on equipment when they review a machine, not have to ask the office to get this. Service should be able to see if customers have open quotes and deals on replacement machines when advising the customer’s techs about required repairs. The Marketing department should see what activities are generated from their marketing activities or customer engagement.

To prepare you for your dealership’s journey toward becoming a digital dealership the first step is to review existing systems, available information and the areas where information is missing.  This Information Review identifies what needs to be done, where the problems lie and what systems are limiting your dealership’s efforts. This review is often hard to do with in house people. Most people are too busy running the day-to-day transactions in your dealership, but it’s also hard to find the things you don’t know to look for.

If you’re looking for a detailed review of your information systems, a strategic plan of issues to resolve and initiatives to complete on your Digital Dealership journey, my Company Strategic Evolutions (https://www.strategicevolutions.ca)  can provide this service for you.  With a week onsite, reviewing your systems and talking to people from marketing to service, we’ll prepare a detailed presentation and provide recommended activities to make information an important driver in your dealership’s growth and future.

Are you ready to see your Digital Dealership grow?

Mets.kramer@strategicevolutions.ca

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The Digital Dealership: Change and Remaining the Same

The Digital Dealership – Change and Remaining the Same

In tonight’s blog, guest writer Mets Kramer continues to speak on the digital dealership with a look at change, and remaining the same.

I often hear, and most of us have said, the following word.  “The equipment business is a relationship business”, “Relationships make the difference”.

Nothing could be truer about this industry.   Our products create long term relationships because each of the products have a long-life cycle during which we need to engage with and support our customers.  Relationships make all the difference during many phases of the machine’s life cycle.  I first learned this lesson dealing with 330 Excavator issues.  This work horse machine was relied upon by many customers, just it had lots of issues.  Cylinders, pumps and final drives to name a few.  Having a strong relationship helped us navigate the problems with the customers and come up with workable solutions and agreements.  Through it all, we maintained the relationship and the next generation of the same machine still had lots of buyers.

So, this is often what I hear from dealers when talking about the development of the Digital Dealership. “Digital isn’t important, it’s a relationship business”. As if relationship is all it takes to maintain a customer. If that were true, we would all still have a roll of quarters in the truck and be looking for pay phones to get a hold of the office and the customer, rather than get a cell phone to get better.

The Truth is, while relationships matter, the digital transformation has supported it all the way and needs to continue to do so.  It’s naive or “old fashioned” to get stuck in the glory of the past.   Just like your cell phone caused the demise of the Pay phone because it allowed you to do things better. The rest of the digital world is there to support you. Not replace you.

This past week I sent my 4Runner in for service.  Just for fun I went online, found the nearest dealer, booked an appointment, chose my preferred communication method, got a quote for the service and discussed additional required services at my mileage. Then I got to the Dealership and talked face to face with the person I’d been emailing with. All my car information was entered, and we wasted no time.  I built a relationship with Jallone the Assistant Service Manager.  He looked after my needs and I tried to steal him from automotive to the equipment business, because he did a great job. When the service was done, he followed up with electronic invoices and discussion on open items.

The Digital dealership supports and improves your existing operations, it does not destroy the value of relationships, it only makes them easier to create and maintain.

Take this example I heard from Alex Kraft at Heave.co this past week. A contractor told him he’s been waiting for 3 weeks to get a quote from his sales rep.  All this customer wanted was a piece of paper (or electronic quote) for a machine, but the sales rep is too busy or the process too onerous to get a quote out. How is it helping that dealer and customer not to have the dealership invest more seriously in digital systems to provide quotes faster. In the end this contractor went to a new platform that exposed his needs to dozens of other dealers, who quoted him automatically or saw the Quote request and responded.

Digital supports your business; it doesn’t take away from it; unless you decide to implement it poorly.

How else does Digital augment your relationship?

A core aspect of the Digital dealership is the use of information.  As the equipment expert your customer relies on, you need to be seen as the trusted advisor, not a quote provider or order taker. Find ways to use digital information to be ready to support your customer with all the equipment related information you can. Specs, performance, analysis, operating cost and market pricing data. When you become the Digitally enabled Trusted Advisor, you’re always welcome.

Oh, and don’t forget to have inventory info at your fingertips and be able to price something.

Years ago, I had dinner with a colleague in Chicago during my only 1.5 years not in the construction equipment business.  He told me a story of being a young regional manager, sitting with his customer.  He proudly boasted about the improvement their business had made in delivery.  He told his customer “We can now ship any product we have in stock to you in a week”.  He was so proud of the giant gain in delivery speed.   His customer looked at him and laughed “You’ve got to be F@#%@ kidding me, from stock to out the door in seven days???”    Expectations are the point.  Your customers have a learned experience of what’s possible.  No matter how good you think you are, if someone is doing it better, that’s the new standard.

Creating a strong Digital Dealership, however that applies to your dealership, improves your relationship with your customer.

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The Digital Dealership – Self Serve

Digital Dealership – Self-Serve 

In tonight’s blog, guest writer Mets Kramer continues to speak on the digital dealership and the freedom it gives us when it comes to self serve.

Satisfying our Self-Serve Desire

Last Month, I did something I haven’t in a long time.  On a trip back home, I came across a Full Serve gas station and used it! These used to be the norm, no one pumped their own gas, and every teenager had a job. Then the world started changing. Gas became more expensive, as did the teens, and self-serve became more common.  Why pay extra and wait for the slow teenager to pump your gas when you just do it yourself and get it done faster and easier? In the same way more and more things have become self-serve.  Self-serve gives us the feeling of moving at the pace we want and reduces the need to interact with other people.  It’s not that we’re asocial, but it does feel like other people slow us down, or we have to wait to get access.

So, now we live in a world that has been designed and tooled to allow us to do things for ourselves, often from our phone.   Even the most “Full Service” new trend is really just self-service.   Ordering your dinner though an app such as Uber Eats, or Door dash is really about satisfying your desire to make things easy and at your pace.   Multiple restaurants are presented to you to review and decide what you’re “cooking for dinner”, payment is processed online, and the food shows up ready to go.  A full Self-Service Experience.

The truth is, each of us are becoming more accustomed to and preferring of Self Service.   It lets us do things when we want, where we want and at our own pace.

Your dealership should be no different.  Your customers are people, like yourself, who increasingly prefer the self-service option.  They want to have more information presented about their decision than if they call a person.  Just like you, your customers research and look up information about what they need on a plethora of sites.  Then they find the easiest way to acquire what they want or need.   This is a significant change from the mindset of the past, which looked to person to person contact for the highest level of service.

So, what are the main aspects of a self-service approach in a Digital Dealership

  1. Provide information
  2. Support the preferred communications methods
  3. Deliver the product/service

First, don’t be short on information.  If you have information to help the customer, make decisions, present it while the customer is in the research phase.  If they don’t find what they are looking for, they, like you, are quick to do a second Google search for what they need.   This information can be presented on open webpages, but also presented only to trusted visitors to your digital dealership.

Next allow your customers to communicate with you the way they want, but don’t “Drop the call”.   Too many dealers drive their customers to forms that end up in email boxes.   The response rate and times are terrible.  If it, was you and any other method, you wouldn’t stand for it.  So why do this to your customers.   Make sure every channel is viewed in real time, during extended business hours.   Make sure contact info is checked and related to your CRM data and finally make sure you respond quickly, and preferably in the format the customer contacted you.

Finally, enable delivery.  By delivery I mean take the transaction as far as possible.  If you’re listing items or services through any of your digital channels, enable an immediate action option.  Call it a “Buy it Now” button.   We are all familiar with that.  This doesn’t mean you have to provide digital payment processing, but you can capture commitment from the customer.  In this case we want to enable and cement the customer’s decision.  When you offer the customer a “Contact Us” form to fill when they want to buy, it leaves the door open for them to keep searching.   A “Buy It Now” button allows the customer to feel like they have solved their problem.

We all think our time is valuable.  We want to make sure the time we spend on resolving a need, is efficiently spent.  This is what has driven our Self Service digitally enabled world.  When I go to Starbucks and order my coffee, I now do it from my app.  It remembers what I want, it pays for me, and I just walk in and grab it from the counter.   That’s a Digital Coffee Shop, supported by a bricks and mortar building with a real human barista.   I always have the option to walk in and have a chat while I place my order, but I can use a digital channel if I’m in a hurry.

Your digital dealership shouldn’t be any different.

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Equipment Data and the Digital Dealership

Equipment Data and the Digital Dealership

Tonight, to accompany the podcast released on this subject today, guest blogger Mets Kramer continues to educate us on all the digital aspects of our business with a look at equipment data and the Digital Dealership.

When I started Strategic Evolutions in 2017, it was based on two things.   First, I wanted to help smaller dealers do a better job and grow their business. Second, I wanted to show people how to use information to do exactly that.   One of my first engagements was to speak at the Associated Equipment Distributors on the topic “A Granular, Data Driven Approach to Strategic Sales”.  The focus of my presentation was the value and importance of using information, specifically customer equipment data, to drive dealership activities.

Customers work with you, the dealer, for one reason: they own equipment. (And let’s not forget, it’s also because you’re great people!)

Numerous people in the industry have pointed out the value of customer equipment information.   Most frequently, and in the topic of my presentations, the customer equipment information provides a clear indication of future sales opportunities.   Our industry is focused on equipment with a predictable life cycle.  If you’re a dealer representing any OEM, you should be using this information by now, to drive potential sales opportunities and providing your sales reps with new leads.  Furthermore, by analyzing and predicting the replacement time of a machine, it’s the easiest way to make sure low volume customer aren’t lost to competitors.  Think about the customer with only a few machines, who doesn’t engage with the dealership frequently. These types of customers are often lost because they didn’t connect on time. However, if they had used a CRM system to notify the sales rep to reach out at the right time, we could have prevented this loss.  How do you get this information?  Either through the sales team or by digitally engaging with the customer.

Equipment information is just as valuable in aftersales at the dealership. We all know having this information makes parts and service support easier.  For example, customers call with unit numbers because they don’t use serial numbers to reference their equipment.  With a CRM, your team can quickly find the serial number of the customer’s unit from the database.

From a marketing perspective, equipment data can help you measure the potential size of the aftersales market.  If you’re selling maintenance contracts, you already know how many dollars per hour of parts and labor each machine should produce.   With a complete fleet list, you can estimate total potential revenue and market share.    Now, you have a sales lead for your aftersales PSSR reps.

In the Digital Dealership, aftersales should also be utilizing equipment data.   By integrating the equipment data with your Digital Dealership, you can present equipment information in the online parts store, but more importantly, all over your Digital Dealership.  You can promote Parts Kits, PM kits or Maintenance programs to the customer when they visit.  As a comparison, the digital world’s success started when websites stopped being static and started to tune the content to each visitor.  It’s no different with your Facebook, Amazon and countless other social sites.  These businesses present you relevant information based on what they know about you.

To make this all work, it is as simple now as it was 20 years ago.  To build an information driven dealership, your systems need to be up to the task.  An ERP, DMS or CRM that can store customer fleet data is critical and should be a key item to consider when switching to a new Dealer Management System.  If your current system can’t handle customer fleet data, and you’re not switching, get an integrated CRM. Next, make sure you have your sales and aftersales teams think about collecting this data.  If it becomes a normal part of your conversations throughout the dealership, and a focus of your customer service, gathering the data gets easy.

Finally, invest in a partner or team member who’s full or part time job it is to analyze the data and implement programs using the data, with the business unit owners.  Your sales manager or product support manager needs support.  Most of the dealers I know have limited resources in house, so it might mean a new person or finding a vendor to help you.

One thing is for sure, and you see it all around you, the most successful businesses today, have a strong digital presence and use the information they have to their advantage and their customer’s benefit.

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Your Company Legacy and the Digital Dealership

Your Company Legacy and the Digital Dealership

Tonight, guest blogger Mets Kramer continues to educate us on all the digital aspects of our business with a look at your company legacy and how it fits in with the Digital Dealership.

“In the past, the model for an organized business was a phone and a Rolodex (younger readers can Google what that is). The new digital platforms like your Website, CRM and marketing tools are now the modern Rolodex”

When my team started our marketing efforts, I was stunned to learn there were over 15,000 equipment dealers of all sizes, in North America.  A huge number of these dealers were small organizations, of 1 to 5 team members, who do great business buying, selling, or renting equipment.  In this blog, I want to address the value of Digital Dealerships and brand development for small organizations. This is especially important for those of you who started your dealership and are trying to find ways for your business to support you into your future.

Over the past few years, I have been lucky enough to work with many small dealers. I admire their tenacity; it takes a lot for these dealers to take their own fate into their hands. Often these dealers are smart and entrepreneurial; most come from larger dealers.  They saw a gap in the market, a niche, they could exploit and make a good living. Now their future depends on how well they execute.   For most of these dealers, their eventual legacy will be what sustains them into retirement and their future generations.

So how does this relate to the Digital Dealership?

One of the great things about the digital revolution in our industry is the potential to become, with a little investment, more than a person with a Rolodex. The Digital Dealership, or your digital presence, can help you extend your legacy well into the future in several ways.

  • First, your digital presence is like having an extra team member or sales rep. You’re existing and new customers can learn about you, answer questions they have for themselves and initiate communication with you all by going through your digital profile. I have seen lots of small dealers work hard to keep up with quotes, rentals and inventory information in a very laborious way. Each time sending emails with additional information like pricing. A well created digital presence can take some of this burden off you. Now, even if you are a team of one, you are actually a team of two, or even three. Creating and investing in a Digital Dealership establishes an effective sales path that’s open 24 hours per day. Now, you can focus on getting out to see customers instead of being stuck behind the desk.
  • Second, for a small growing dealership with big aspirations, a digital presence and platform helps you standardize. In many cases over the years, I have come across great dealers who are heavily dependent on one or two key salespeople. Usually, these key players are the owners, or a highly effective salesperson. The problem with this situation is repeatability. If one key person exits the business, it’s hard to recover. Creating a digital presence and a standard process, including CRM, makes your business repeatable. It lets you add new team members, set a standard operating practice so you can repeat what’s working, with new people. Your Digital platform can help to transition your customers and maintain the goodwill you’ve built over the years.

By creating a digital presence and developing a consistent brand, you become more than just a one-on-one relationship. Your hard work over the years, and that of your team, creates a legacy which can be easily understood by new people joining the team. This lets your customers feel like they are still dealing with the original creator of the business, who they first trusted to serve them.

More and more, we see new business relationships initiated from digital platforms. Buyers are looking for solid information, in addition to knowledge and great service.  In the past, the model for an organized business was a phone and a Rolodex. The new digital platforms like your Website, CRM and marketing tools are now the modern Rolodex. They help you organize and maximize the efforts you have put into the business for many years. Now you have the tools to have your business support you into the future.

To build is to have something that lasts; to create a legacy.

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The Digital Dealership: Comparing Equipment Presentation

The Digital Dealership: Comparing Equipment Presentation

Tonight, guest blogger Mets Kramer continues to educate us on all the digital aspects of our business with The Digital Dealership: Comparing Equipment Presentation.

One of the Statements I have made repeatedly in this series is: “The average buyer does 85% of their research digitally prior to contacting the dealer” (Thanks @Charles Bowles). What does this mean for dealers?   In the most practical way, it means “Call for details” is dead. Providing information is critical.

In this blog, I would like to get each of you to do some research. Considering my statement above, which of the following websites or products would you feel ready to buy (assuming you needed it) based on the digital presentation of the product.

To get started I would like to look at the used passenger vehicle market.  This is one market we all have experience in, and one that has seen a radical change over the last 10 years.  It has also been a strong industry, leading the Equipment industry by 10 to 20 years, showing where digital technology is going in the future.

First let’s look at Carvana and CarMax, leaders in digital sales, presenting the vehicles they have for sale.

https://www.carvana.com/vehicle/1836344

https://www.carmax.com/car/19617484

Then Compare the Experience Here at a Toyota Dealer, which does a decent job, but is behind.

https://toyotaoffortworth.com/vehicle-details/used-2017-toyota-4runner-limited-JTEZU5JRXH5155428

Notice how Carvana and CarMax are highlighting issues to avoid surprises, providing delivery and a 7-day guarantee to handle risk and objections.

Which of these listings made you feel like you know enough about the vehicle?  It is a big step to buy your first vehicle without seeing it, for sure, but would seeing it in person really tell you more?  If you could not see it in person, which would you choose?

Now let us look at Equipment, the topic we all focus on daily.

Compare the following sites

  1. DeWitt Equipment Hitachi ZX-160LC-3, presented with images, 2 videos, details, and a PDF specifications document from Hitachi.

https://dewittequipment.com/our-products/2009-hitachi-zx-160-lc-3/

  1. Holt CAT 289D, presented with an inspection report and report from Electronic Technician, specifications, and images

https://holtused.com/2018-cat-289d-ces001277-near-austin

  1. Marcel Equipment CAT D6N – presented with images, detailed description and full repair and condition info.

https://marcelequipment.com/inventory/2016-caterpillar-d6n-lgp/

  1. 4Rivers CAT 320E, presented with 4 pictures and a short description

https://www.4riversequipment.com/shop/general-construction/caterpillar-320e-995554/

After Reviewing these different sites, which machines do you feel you “know” best?  Which one would you buy without seeing it in person?  More importantly, which machine would you be ready to contact the dealer about if you only contact dealers when you’re close to purchasing?

When presenting your equipment on your website you have the greatest opportunity to present the machine fully, since you control your site.  Your goal should be to present enough information to stop visitors from hunting around for more information.   You need to get them to stop scrolling or clicking, call, contact, email, etc. The best way to do this is to answer all their questions.

How would you change your website, to present your equipment better, with this in mind?

If you would like to review your website and look at how easily you can present your equipment with more detail, simply contact me at:

mets.kramer@strategicevolutions.ca  or (289) 680-6387

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The Digital Dealership: Getting Practical

Digital Dealership: Getting Practical

Tonight, guest blogger Mets Kramer continues to educate us on all the digital aspects of our business with The Digital Dealership: Getting Practical.

For the past few weeks, we’ve looked at creating a digital dealership and what defines going fully digital.  One of the main areas of focus, was changing our understanding of how providing information was a key aspect.   Being fully digital, requires being able to provide all the information customers require, about your inventory, in a digital, and typically self-serve way.

Working from current research on purchasing, we know customers are doing 85% of their research, about their purchase, digitally prior to calling a dealer.   This means customers want to find the information they need, to make a purchase decision, in your online platform.   As a digital dealer you need to provide this information.

To put it into perspective, you cannot call Amazon to ask a question about the product you are looking at, so Amazon provides lots of space for product descriptions, so you can make a decision.

For equipment it’s no different.  To provide adequate information to buyers, a digital dealer needs more than a short summary of a couple features and a few pictures.   Consider the following as important.

  1. Specifications, of the machine and model
  2. Service History
  3. 10+ images
  4. 1 or more videos – Operating, walk around, engine running, etc.
  5. Oil Sample history
  6. Repair and condition report
  7. Market and operating cost info
  8. Attachments and features

In a traditional approach, of digital billboard advertising, providing all this information and making it available on the website, takes a huge separate effort loading data into the site, or an outside system.  Furthermore, in all “out of the box” or “off the shelf” platforms, the presentation is standard and doesn’t present the equipment in a way that reflects your dealership.

So, I’m going to put my money with my mouth is;

I would like to show any of you, how manageable taking charge of your own digital presence is.  Modern software and website technology makes building a website easy and representative of your dealership.  It allows information to flow from your inventory management to your website and back to your CRM.  This will allow you to serve up video, images, documents, and detailed descriptions, and even recognize visiting customers.

If you have been following this series and want to see it in action, I’ll provide for you a CRM and a blank website template, linked to your inventory in the CRM.  The Site will be a cutting edge Litespeed server with an Oxygen website template connected to the Vizybility CRM and your inventory, using our WordPress plugin.  Our team will show you how manageable it is, how you can present your inventory and products exactly how you want.  We will work with your team for two months to show you how it will change your digital presence and your customers engagement.  We will even connect your customer data from CRM to Mailchimp so you can run standard and drip campaigns to keep your customers engaged.  If after 2 months you are not convinced, it’s on me.

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