$

Advertising Salespeople

Inventory

“Advertising is the

science of arresting

human intelligence

long enough to get

money from it”

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

20.0%

6 mo 5 mo 4 mo 3 mo 2 mo 1 Mo 2 Wk

Source: CNW Marketing/Research and Time Inc. Purchase Process

Radio

Newspaper

Internet

Magazine

TV

Time preceding purchase of an automobile

Can they find you & can you turn it into a Lead?

QUESTION? Thinking about all of the

sources of information used during the

Beginning, Middle, Final, & Entire process,

please rank order the sources according to

how helpful they are?

Overall, the Internet and the

Dealership visit are considered most

helpful throughout the entire process.

Source: R.L. Polk CO., 2007 New Vehicle Shopping Media Usage.

Consumer Ratings of Car Shopping Information Sources

Source: NADA Data 2007 Report. R.L. Polk CO., 2007 New Vehicle Shopping Media Usage.

42%

1%

2%

1%

8%

12%

27%

10%

18%

20%

Internet

Newspaper

Direct Marketing

Radio

TV

Most Useful Shopping Source

Dealer Advertising

Dealer Spending vs. Car Shoppers’

Preferred Media

Customers Say Buying Decision

Depends on Response Time…

Cobalt eBusiness Performance Study 2006

How do you know it works?

3. Coupon

2. Click Internet?

1

Who is the Advertising Mgr.?

E Bay Dealix OEM Cars.com My Website

What are you spending

– Total Monthly Budget

– Cost per car?

– Cost per sale?

What Advertising drives traffic?

• Are we running Brown Bananas or “lead

cars”?

• What do New ads look like vs. Used?

• Hunting vs. Farming?

Advertising Salespeople

Inventory

Dealership Management

Thought starters…

• What % of customers use the Internet

before they buy (10 yrs. Ago vs. today)?

• What are the 2 most important pieces of

Dealer real estate?

• Did you build the “Field of Dreams”

website?

• What are you doing with your Internet

“Ups”?

88%

% of Customers that use the

Internet for Research

prior to visiting a dealership

Fact About Internet Sales

21%And rising

% of Customers that choose

searched Dealers based on

Internet Consumer Reviews

Fact About Internet Sales

42%

% of Customers

that buy within 30 days

of their 1st search

Fact About Internet Sales

30%

% of Customers who

use newspaper classified ads

to locate a Used car

Fact About Internet Sales

% of customers that use the

Internet to locate a Used car

71%

Fact About Internet Sales

% of Customers that have not

decided if they want a New or

Used car when they visit a

Dealer’s website

42%

Fact About Internet Sales

% of New Car Customers

that visit Dealership websites

before buying

48%

Fact About Auto Sales

64%

% of Used Car Customers who

visit Dealership websites

before buying

Fact About Internet Sales

4-5

# of websites Customers visited

before submitting a lead

Fact About Internet Sales

42%

% of Customers that were

New Car Leads & bought a

Used Car instead

Fact About Internet Sales

% of Customers that buy a

different car than the one they

submitted a Lead on

58%

Fact About Internet Sales

% of Dealers that Follow Up

only 1 time with 1 Email

55%

Fact About Internet Sales

% of Leads sent to Dealers

that go Unanswered

30%

Fact About Internet Sales

% of Customers that

submitted an Internet Lead

by Email

20%

Fact About Internet Sales

% of Customers that

submitted an Internet Lead

by Phone

80%

Fact About Internet Sales

% of Calls where Salespeople

quoted

discounts, payments or trade value

71%

Fact About Internet Sales

% of Calls where Salespeople

didn’t ask for an appointment

84%

Fact About Internet Sales

% of Calls where Salespeople

didn’t ask for a phone #

66%

Fact About Internet Sales

% of Calls where Salespeople

didn’t ask for a Customer’s name

42%

Fact About Internet Sales

% of Customers that submitted

a Lead and actually bought

from that Dealer

8%

Fact About Internet Sales

1st base – getting to the website

• How do they get there now?

– Paid leads from other websites

– Search Engine (Google, Yahoo)

– Type in the web address (how long is it?)

– Click on the website off their “favorites” list

• Can a Customer Google you?

• Leveraging traditional ads (on lot also)?

• “Farming” the database with e mails

2nd base – converting a visit >lead

• Home Page - D.I.S.C?

• Clicks to Cars - Manager’s Specials?

• Description – Stats or “story”

• Pictures – many, scrolling

• Print me, call me, e-mail me

• Average is only 2%!

3rd base – converting a lead > appt

• Why are internet leads not ups?

• Who is responding & # of leads?

• 6 days, hours, or min.? Auto response?

1. Thanks & intro

2. At least 1 alternative vehicle, 2 or 3 better, 1

CPO with more features

3. A reason to buy from you

4. Ask 2 qualifying ?’s to start dialogue

5. Give contact info and ask customer preference

6. ASK FOR AN APPOINTMENT

Dealers Survey of Avg.

Response time = 45 min.

Customers Survey = 5.4 hours

New or CPO? This EXACT car, or the

NICEST one like it?

E-Mail 1st Auto response

Thank you for your Automotive Internet Inquiry,our

goal is to make sure that you receive quick and

accurate information.. We have one of the most

successful Internet departments in the Market.

To better serve your Automotive needs

please call us now at 1-800-234-5678.

This is a direct line to your personal Internet

Specialist.

What if they don’t respond?

Phone Best Practices

• Who is answering the

calls?

• Set an appointment to

get them into the

Dealership.

• Who with?

• What if they are not

buying today?

Home Run – converting appts. > $ales

• What % of customers buy a car without

coming in?

• Expectations when they come to the

store?

– Trade value?

– Payment Calculator?

What are you spending?

• Per month?

• X 12?

• So ,who is the Advertising Manager?

• Cost per lead?

• Cost per sale?

Who is the Advertising Mgr.?

A1.com B2.com C3.com D4.com Our Website

Sales

$ per Sale

24 24 24 55 42

$204$470$583$854$719

Which #’s can we be certain of?

Keeping Score

What do you do with the Leads?

Leads to: Good Great Best

Appts.% 50 60 70

Show% 50 60 70

Sold% 50 60 70

Total 12.5 21.6 34.3

Cost Per $ale!