Auto CRM addresses the used car inventory crunch

Tuesday, September 29, 2009 by Steve Lausch

I was reading Automotive News this week and on the front page was an article lamenting that auto dealers are having a hard time keeping their dealership used car inventory stocked to acceptable levels.  Cars at the auctions are scarce and prices are up to $2000 more than they were just months ago.  Want an alternative means of going after cars for your used car inventory? YOUR OWN SERVICE DRIVE!

With the auto dealer CRM system from Autobase, you can see which customers are hitting your service department at what mileage point they and you can isolate marketing to go after these viable and potential clients to trade their vehicles to restock your used car lot.

Examples I have seen are: going after 2 to 3 year old, in warranty vehicles and the 70 to 80k vehicles for the budget lots. What's the down-side?  Worst case, You'll drive floor traffic in this post "cash for clunkers" vacuum.

by Shawn Belles

Auto dealerships no longer in the 60s and 70s

Tuesday, September 15, 2009 by Steve Lausch

Sometimes life is so ironic.  I had decided to sit down last night and write this blog, started and decided I was not sure of the topic to write about, deleted it all, and watched T.V.   I could not think I had a mental block. 

Then today I was at one of my dealer visits and out of the blue one of the sales managers said to me, “Why does the car industry get such a bad rap?  We are not the sleazy used car sales people of the 60’s and 70’s!”   I could not believe it.  I told him what had happened to me last night and said, “This is fate; I have to go home and continue my blog!"

As I help auto dealers benefit from their investment in a strong dealership CRM solution, I have the utmost respect for all of my dealers as well as their dealership sales management and their staff. The automotive industry has come a long way.  Auto dealerships are now run just like any other industry in corporate America, and should be addressed in that fashion.  About a month  ago, one of my former employers (who happens to now be one of my accounts!) accused me of “being so corporate."

Sales Consultants, I believe people respond to how they are treated, and if you present yourself as well as Autobase CRM in this light to your dealers, you may be surprised at the favorable and positive response you will receive!

by Donna McCarthy


Using Auto Dealer CRM after the 'Cash for Clunkers' program

Wednesday, September 2, 2009 by Steve Lausch
Many dealerships are excited about the financial lift the Cash for Clunkers program provided.  In my opinion, this program was a success with 700,000 clunkers taken off the road and replaced with modern fuel efficient vehicles.  There were 2.877 billion dollars worth of rebates submitted!  Overall I feel this was a win for our economy and our environment.  So what is next for dealerships? 

How can dealerships continue to sell cars after such a successful program?  Many dealerships are extremely low on new car inventory and since they have not taken any trades (mainly clunkers), their used car inventory is low as well. 

How many potential customers came into your dealership over the last month and did not qualify for this program?  If you are using a True CRM, such as the auto dealer CRM software provided by Autobase, you could quickly find this information.  As manufacturers release new incentives you should have this list of customers readily available.  When the timing is right, use your automotive CRM to begin a highly targeted, permission-based email/phone campaign inviting these customers back into your showroom. 

The majority of prospects that came into your dealership looking to make use of the Cash for Clunkers program had older, high mileage vehicles.  If they did not qualify, use your Automotive CRM to capitalize on this great opportunity to invite these prospects back to your dealership.

by Kevin Smith

Autobase Business Solutions: Leveraging the power of your Autobase CRM

Monday, August 31, 2009 by Steve Lausch
Let’s face it, in today’s market, you may not see a ton of people running into your auto dealerships looking to buy a vehicle from your used car inventory.  But you probably have more than your fair share on the lot and want to figure out how to move them quickly.  You probably put ads in the newspaper, pay for local radio spots, maybe have an interstate billboard or a TV commercial, and you are able to get your name out to thousands upon thousands of people a day -- great! Right?  (Well, I won’t say no, but I won’t say yes either.)

Think about how much you are spending in your automotive dealership advertising budget to get your name out to those thousands of people.  Think of the hundreds that come to your store?  Now, think of the hundreds of thousands who never will.  The actual percentage is probably pretty small (and, unfortunately, so is your ROI).  Why then waste money on customers that will never buy from you?

Any of the Autobase Business Solutions (ABS) would allow you to trim the advertising budget, and get people in the door.  Doesn’t seem possible, does it?  Well the reason this works is because using ABS leverages the power of the data in your Autobase CRM solution, enabling you to reach those customers (through permission-based email, voice, and text marketing) that are actually interested, right now, in what you have. 

Send campaigns to much smaller groups of customers.  In other words, you TARGET MARKET!  AND with Autobase Business Solutions Managed Services we will do the work for you.  You wouldn’t have to lift a finger, aside from writing all of the new contracts brought in by your campaign.

Think about what you are doing now and then think about how you are going to step into the future and get ahead of the competition. 

by Sheena Lee

Finding used car inventory in Auto CRM from Autobase

Friday, August 21, 2009 by Steve Lausch

I’m a car guy, if it’s got an engine I’m instantly in love. I’m sure my gear head roots will be a common theme on many of my blog posts moving forward. Maybe it is because of my love for cars that I find myself actually sympathizing with several tons of metal, while I watch some of the YouTube videos of guzzlers having salt and sand pumped through their veins until their hearts seize into a hunk of scrap.

Aside from my emotional response to the activity of disabling these vehicles, the fact remains that Cash for Clunkers could pose a challenge to the Used Car business. After all, the act of disabling clunkers is in fact depleting the countries inventory of used cars (especially trucks and SUVs) by destroying perhaps millions of vehicles. Moving forward, many dealers may be in for a real treat, when attempting to match prospects to used vehicles.

Automotive CRM, namely the dealership sales software from Autobase, utilizes Want List functionality, an extremely valuable tool that assists auto dealerships to instantly and seamlessly match an existing prospect in their database, to a vehicle in the car dealers inventory list. Once Autobase CRM matches a prospect to a vehicle, an email will be dispatched to the salesperson notifying them of the pending match possibility. This Want List functionality is a built-in tool included in your Autobase sales solutions.

With imminent challenges in locating used car inventory, Auto Dealer Software and lead management can be used to keep track of deal opportunities.

by Zach Thompson

Get Automotive CRM. Get ideas. Get going!

Wednesday, August 19, 2009 by Steve Lausch

Raise your hand if you are growing tired of listening to people blame some negative situation or scenario on the economic recession.  Sure, it’s no secret that it’s a challenge out there right now (especially for auto dealerships), and moving your new and used car inventory isn’t as easy now as it has been in the past.  So, it’s time to think (or should I say sell) outside of the box.  There are a lot of placed to get great ideas ... here's one.

Every Saturday morning a group of automotive enthusiasts meet at a local coffee shop in Indianapolis (not far from the Autobase headquarters) and share stories and chit-chat over some breakfast. We call it Cars and Coffee. As it turns out Cars and Coffee isn’t something that is specific to Indianapolis, in fact, many cities around the U.S. have similar meetings where self proclaimed car guys can share their stories.

At this morning’s event, I arrive to see two gentlemen standing next to one of those new Camaros. I approach them and we have a great dialog about each other’s rides. We bantered for awhile, and the conversion turns to what each of us did for a living. As it turns out, both of these gentlemen are salesman at a local car dealership, who caught wind of Cars and Coffee, and came out to see what it was all about. More interestingly, the dealership they worked for use the auto dealer CRM software from Autobase to sell more cars, grow customer loyalty, and increase service revenues. What a great way to “sell outside the box” -- connecting with the local automotive enthusiasts! Let people know you are out there and market creatively!

by Zach Thompson

Using Automotive CRM to drive sales appointments

Thursday, August 6, 2009 by Steve Lausch
Need auto dealer CRM usage ideas to bring customers into your auto dealership? For automotive salespeople, the Business Planner in the Autobase CRM provides a great starting place.  Additionally, the following are a few, simple suggestions that you should consider each day. 

Identify customers in the Floor Traffic log that are be-backs and give them a call to check in.  If they liked you and the auto dealership enough to visit more than once in their search for a new vehicle, stay on top of them

Visit the Leads Log and identify customers that do not yet have an appointment set.  Don’t try to sell the car over the phone; rather, sell the appointment and get the customer in the door.

In the Appraisal Log, look for clients who are looking for a vehicle that may not have been in your used car inventory.  Check the Appraisal Log routinely to see if there is a match. 

Has it been a while since checking to see if any orphan customers have been assigned to you in your prospect or owner call logbooks?  You could discover multiple opportunities within this list!

Use the Service Log to identify customers that have an upcoming appointment and make sure that you stop by the service department to say "hello."  You can also use this log to find opportunities with customers that are out of manufacturer’s warranty or that have spent a significant amount of money on a repair.  These customers need to hear from you!

Every entry on the Renewals Log should be contacted as quickly as possible at the beginning of each month.   You should think of all calls to your renewals as an opportunity to see if the customer is in the market currently, as well as an opportunity to identify when the customer may be in the market again.

And don’t forget to use every contact you have with a customer as an opportunity to cleanse your data and ask for referrals. 

by Laurie Simons, Personal Service Team Manager


Auto CRM Software helps you find the used car inventory you need

Wednesday, August 5, 2009 by Steve Lausch
I overheard a conversation the other day at an auto dealership between a sales person and a sales manager that went something like this ...

    "Where did your customer go?”

    “They left.”

    “Why did they leave?”

    “They wanted a used car that we did not have.”

    “OK, after all, used cars are hard to find right now.” 

I  immediately went over to the Sales Manager to make sure I had heard him correctly.  He reiterated his frustration -- their used car inventory was so low.

No used cars?  Go get them.  Where?  How many past buyers are back in the market?  A good Renewal Log from an automotive CRM with strong dealership lead management provides you with an extensive list of potential trades.  How many used cars have been through your service bays in the last month?  Any good Service Log provides the dealership with another list of potential trades.  Dealership sales management should be working these logs every day, for in them are possibly all the used cars they could ever ask for.  The dealer spends thousands to get used car customers in the door.  So if you don’t have the car ... use the dealership CRM to GO GET IT!

Submitted by Western Region Personal Service Team

What makes work with Auto Dealer CRM so exciting?

Tuesday, August 4, 2009 by Steve Lausch
What excites you to go to work every day?  If you're an auto dealer, part of dealership sales management, or an automotive salesperson, you are in the business of putting people in vehicles.  But is that what drives you?  Is there anything more to it than moving cars and trucks from your new car inventory or used car inventory and seeing them come through your service drive?

Personally, I work as the Marketing Manager here at Autobase.  I outline and execute our corporate marketing strategy.  I am in and out of various software applications, manage our online presence, create sales tools and other collateral, drive print and digital campaigns through permission-based email marketing to auto dealers nationwide, etc. etc. etc.  But what excites me most is not so much marketing our software to dealerships ...

It's knowing that there are over 35,000 automotive professionals across the country that use automotive CRM from Autobase to sell more cars and lower costs every day.  It's knowing that business owners are using our digital marketing and BDC software to drive significantly more traffic and customer loyalty.  It's knowing that our automotive lead management is helping salespeople to manage their book of business in such as way that they'll close more business than the guy down the street.

... and I'm just one of nearly 150 people at Autobase who come to work and are dedicated to our valued customers -- now in almost all 50 states.  Good reasons to go to work!

"Don't ever give up!" ... and automotive CRM for car dealers can help!

Monday, July 20, 2009 by Steve Lausch

Jim Valvano, the basketball coach at North Carolina State University, with his body racked by cancer that would ultimately take him from us at far too young an age, once stood before an assembly, and said ”... Cancer may take my life, but it can never take my mind, it can never take my heart and it can never take my soul.  Don’t give up, don’t ever give up.” 

 

Any time since that point, in both my personal and professional life, when things got tough, I remembered the words and actions of this brave man and vowed never to give up, to push harder and to use the gifts that I had been given and still retained.  So it is in today’s business climate that I urge all of us to cede the field to no opponent. 

Do not give in or give up.  Every day is an opportunity to move new and used car inventory.  We have the tools in our auto dealerships to make a difference and to overcome the challenges of the economy to our business.    Use the technical tools (like your Auto Dealer CRM, ILM, and permission-based marketing solution) to maximize the business that you have earned the right to. 

If you are a dealer who uses Autobase CRM, take a good look at your Autobase solution, especially the Managed Services options.  They will allow you to centralize your permission-based marketing effort under one roof, and not only save money but get better results also.  That half full glass in front of you is an opportunity; grab it!

by John Champeau

90-67-33: Three numbers Automotive CRM users love

Friday, June 19, 2009 by Steve Lausch
90
Ninety percent of people who leave a dealership without buying are never contacted again.  Think about that.  Only 1 of out 10 people receive some sort of follow-up from the sales person or store?  No matter how many times I've come across this statistic in my years at Autobase, it continues to astound me.

67
This number blows me away as well.  Sixty-seven percent of people who return to the dealership in a beback visit end up purchasing a vehicle.  Want a 67% closing ratio? (Who doesn't?)  Focus on the bebacks and drive your appointment processes.  How?

33
Thirty-three percent of people who leave a dealership without purchasing WILL RETURN ... with good follow-up.  It's that easy.  And this is most easily driven, most professionally accomplished, and most consistently achieved with a strong, True CRM like Autobase.

Why do auto CRM users love these statistics? 
It means that the permission-based marketing solutions, the loyalty and digital marketing, the lead management (including ILM) -- everything that goes into that CRM system -- is going to work for the sales person and the dealership to get that customer BACK IN THE STORE.  The CRM user is now in the 10% of ALL salespeople, bringing 33% of his visitors back, and moving some new or used car inventory with 67% of those customers.  90-67-33: got to love those numbers!

No such thing as a "SOLD" customer in a good Auto CRM

Friday, May 8, 2009 by Steve Lausch
One of the key points separating the average dealership software (in terms of a CRM system) from the best-of-breed, auto dealer CRM is the grouping of customers.  And one of the hurdles we in the auto retail industry need to clear (whether our auto CRM helps or hinders the effort) is adopting the mindset that there is no such thing as a SOLD customer. 

Not to worry, this misconception is not isolated within the dealership world.  It is common for many businesses with the potential for repeat sales to fall victim to a nearsighted view of the future.
 

A customer is always just that: a customer -- a warm body presenting opportunity for business on many levels far beyond the new car or used car they might be looking at today.  If you are successful in selling the vehicle, congratulations!  Now, let the cashier enjoy that moment ... we're already working to pencil the customer in for a future sales opportunity. 

Here's another way to look at it:

Before taking delivery, the customer is a current sales opportunity. After taking delivery, they instantly become a future sales opportunity.

The auto dealer adopting this mindset is likely to enjoy a relatively high rate of customer retention.

Want THIS employee at your auto dealership?

Wednesday, April 29, 2009 by Steve Lausch
Turnover in the average auto dealership is nothing new, but with so many out of work, you might get the chance to interview some good people these days.  Here's a scenario for you...

Imagine interviewing your next prospective employee.  Besides offering his long list of references, he offers to bolster your sales and marketing efforts by performing a number of auto dealer services, including:

- Generating emails and phone calls to prospects and owners from sales people and managers

- Preparing a daily work plan for each sales person, including working deals and sold customers

- Printing all of your worksheets and appraisals

- Providing a daily list of Save-A-Deal opportunities for managers, adding thousands to the bottom line month after month

- Creating the ideal list, as often as you like, for a targeted campaigns using
permission-based marketing solutions like email, voice messaging, and SMS texting

- Upon request, preparing a wide variety of detailed statistical reports in seconds, helping you to make key decisions in a timely manner

- Capturing and managing your phone and Internet leads

- Managing your new car inventory and used car inventory, providing up to the minute info about each unit for the entire staff

- Reassigning orphan customers whenever a salesperson leaves your staff

- Tracking all floor traffic, renewals, appointments, phone activity, service visits, trades, sold units, and saved deals

- Tracking and managing all customer complaints to ensure a high CSI/SSI

- Accurately compiling monthly sales projections through a unique forecasting model

- Keeping real-time track of all trades, including those vehicles that customers have asked you to “keep an eye out for"

He agrees to work all day, every day, and never take a vacation.  And though he does much more, his salary requirements are simple: minimum wage.  A valuable hire? 

You have just interviewed Autobase.  Not the picture of automotive CRM that most people have, is it?  But it's true -- True CRM.