- Aug 13, 2009
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- Walt
They feel less "sold" if that makes any sense. You didn't talk them into this, they are choosing to buy and making a great decision. SATISFACTION!
Is Pricing a Strategy or just a Tactic?
- Thread starter ed.brooks
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They feel less "sold" if that makes any sense. You didn't talk them into this, they are choosing to buy and making a great decision. SATISFACTION!
JQuinn "which is why TALENT is more important than ever." You can't overstate the importance of having good people. I don't think that talent is more important today than ever before. I know that is harder to find.
It makes PERFECT sense Walt! And reinforcing the the intelligence of their decision is a much easier tactic than "Will I look pretty in this?"
When you have the car priced right and can PROVE it, you're not stuck with only "Will I look pretty in this?"
When you're overpriced and don't have a leg to stand on you're stuck here:
Hat Tip to Alex for the video find
Ed: "do you think today's salespeople are considerably worse than yesterday's salespeople? Or is it just that we're making them play with an outdated strategy?
I think that it could be a little of both. Oh, the good old days! Twenty years ago, you could assume that someone with a diploma could compose a sentence. People accepted personal responsibility and didn't make excuses or blame others. People showed up on time and had a stronger work ethic. You can never overstate the importance of having good people. They are harder to find.
I have never had the opportunity to work with a Sales manager, Used Car Manager, General Sales Manager or General Manager that has ever worked in an Internet department. Maybe others don't see this disconnect.
I think that it could be a little of both. Oh, the good old days! Twenty years ago, you could assume that someone with a diploma could compose a sentence. People accepted personal responsibility and didn't make excuses or blame others. People showed up on time and had a stronger work ethic. You can never overstate the importance of having good people. They are harder to find.
I have never had the opportunity to work with a Sales manager, Used Car Manager, General Sales Manager or General Manager that has ever worked in an Internet department. Maybe others don't see this disconnect.
- Apr 7, 2009
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- Joe
Ed,
You gotta see the 2011 Google ThinkAuto conference video. Look at this jewel!
This chart is a study made by Shopper Sciences and is presented by it's CEO John Ross. It's a 3hr video. Intro to John Ross is at 1:06:00, this chart is at 1:32:18.
I referenced this video in the other forum post: http://forum.dealerrefresh.com/f43/video-why-car-dealers-will-always-fail-social-media-1908.html
- Apr 7, 2009
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All,
Watch the video, see the chart. Connect the dots. Ed Brooks and John Quinn are both right... but, the most powerful influence over the PURCHASE DECISION is at the dealership.
The internet simply ENABLES the visit, where the IMPORTANT deal making "Quinn questions" get answered:
"Will I look pretty in this?"
"What will my friends think?"
"Can I get 4 bags of clubs in here?"
"Will my wife be appreciative of this purchase?"
"Does this car match my personality?"
"What does this car say about me?"
--
Watch the video, see the chart. Connect the dots. Ed Brooks and John Quinn are both right... but, the most powerful influence over the PURCHASE DECISION is at the dealership.
The internet simply ENABLES the visit, where the IMPORTANT deal making "Quinn questions" get answered:
"Will I look pretty in this?"
"What will my friends think?"
"Can I get 4 bags of clubs in here?"
"Will my wife be appreciative of this purchase?"
"Does this car match my personality?"
"What does this car say about me?"
--
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- Dec 2, 2009
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You're right, Joe. I kinda got off-topic here -- mine was a 30,000-foot discussion about Core Process and the intent of that process, and how the Intent is needed now as much as ever -- when the string is really a 5,000 foot discussion about merchandizing.
Love that video, too! But I admit I went right back to my APB training: as soon as he said "I want this car for $22,500," My next question was "How exactly will we be titling this vehicle today?"
John - we're going to disagree here a bit, but I think we'll do it in a friendly way. I thought we were having a high-level conversation on marketing strategies that moved into a sales process conversation. But that's just a difference in our perspectives
My point is that, if a dealer is over-priced, they face not only reduced traffic, but also a more difficult time motivating a purchase thru what Uncle Joe refers to the "Quinn Questions".
My contention is that if you price to market, you increase your traffic, still have most of the traditional motivators and tactics to work with, and ALSO have the ability to justify the asking price thru documentation.
- Dec 2, 2009
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John - we're going to disagree here a bit, but I think we'll do it in a friendly way. I thought we were having a high-level conversation on marketing strategies that moved into a sales process conversation. But that's just a difference in our perspectives
My point is that, if a dealer is over-priced, they face not only reduced traffic, but also a more difficult time motivating a purchase thru what Uncle Joe refers to the "Quinn Questions".
My contention is that if you price to market, you increase your traffic, still have most of the traditional motivators and tactics to work with, and ALSO have the ability to justify the asking price thru documentation.
Hi Ed! Always friendly!!
As my "jort" posts will attest, I never take myself to seriously! But you are right, we disagree, and here's where: while price is certainly part of every automotive equation, I wouldn't place market-based pricing strategies in the same biosfere with Core Process Intent: why the original process was created and how (and which) intentions of that process still apply today.
OF COURSE bad pricing limits traffic -- but c'mon, how can this moment of zen be considered "high level?" But that's why I said -- and for which I will apologize -- I went off-topic. We're really not talking about the same thing. We'll have to start a string some day: Why APB was developed, and what, if anything, still applies today?
Within the process, overcoming price objections is a valid or topical component. How that has changed and how we can use the internet and software to build or reduce value and justify pricing and then build relationships is more appropriate for this string's content.
So again -- my bad -- I went to another place without leaving a good trail of bread crumbs.
Hope everyone has a GREAT holiday weekend!!
Digging into your responses, I can see that my references to "Old School" strategies and tactics may have stuck a chord with you. You're promoting a process developed almost 50 years ago. When you say that the customer hasn't changed, I agree that you are at least partially correct. But the amount of information they are armed with has substantially changed the playing field.But you are right, we disagree, and here's where: while price is certainly part of every automotive equation, I wouldn't place market-based pricing strategies in the same biosfere with Core Process Intent: why the original process was created and how (and which) intentions of that process still apply today.
OF COURSE bad pricing limits traffic -- but c'mon, how can this moment of zen be considered "high level?" But that's why I said -- and for which I will apologize -- I went off-topic. We're really not talking about the same thing. We'll have to start a string some day: Why APB was developed, and what, if anything, still applies today?
Within the process, overcoming price objections is a valid or topical component. How that has changed and how we can use the internet and software to build or reduce value and justify pricing and then build relationships is more appropriate for this string's content.
So again -- my bad -- I went to another place without leaving a good trail of bread crumbs.
I'm not talking about merely overcoming price objections as we've done for the past 50 years, I'm talking about eliminating them before they even begin. This truly different mindset is the "moment of zen" and it's part of what elevates it beyond an "overcoming the price objection" tactic into a new strategy.
That said, much of the "Old School" is still applicable today. I have an appreciation for many of the sales tactics that have worked for years and can appreciate that many still work today. But when you come out with "whoring-out your cars on-line to get them through the door, then you don't have a very good process", I have to think that you don't have the best understanding of what a true Market-Based Pricing Strategy entails. I'd be happy to discuss it with you at length.
Give me a call! (but most importantly, have a great weekend!
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