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The Eureka! Link

Michael,

You drive a million visits to dealers web sites yet, you and your dealers HAVE NO IDEA what that means to anyone (including you). There is a big ass disconnect between classified sites and dealer sales and this disconnect is the root of dealer angst.

This post is a mental exercise in how to find leverage points on your platform, create tools to improve the shopper & dealer experience in one move.

The Eureka! Link

Alex, IMO adding a BOB is BULL. It's simply increasing the visibility of the dealer's link.

The number of visits to dealer sites will rise. Even if the BOB button DOUBLES VDP referral traffic, the it'll still be a tiny part of a dealers overall web traffic.

The Eureka! (BOB) visitor is a HIGH ROI visitor.

#1). Let's toss that visitor a rich offer with a strong call to action that expires quickly!

#2). what of the lack of shopper visibility (which is the CORE problem of AT and Cars)?

The Eureka! Link

Alex, in the land of unicorns and rainbows, your reply is right on the money. But... my very good friend, you've missed some stuff!

#1). Reps can't interview ups for lead sources without the shopper feeling like they are giving away secrets.

#2). Shoppers who are ups have spent 19hours on sites all over the internet, and have taken weeks and months to become an up. Any interview of an unsold up looking for lead source info is prone to significant error.

The Eureka! Link

Drew,

I am on vaca, so details won't be rich with data.

#1). All clicks are NOT equal, think conversion funnel, then re-read my work.

#2). Re-look at the Google Analytics referral links, about 60% are from VDPs (aka Eureka! Link referrals).

#3). A VDP referral visit is what I consider VERY VERY rich ROI visitor. (Your example: 165 visitors * 60% = 99 highly motivated Eureka! Link visitors)

#4). On AT/Cars VDP to dealer link, add a "gateway page" with a strong shopper incentive (i.e. coupon with 24hr expiration).

If my instincts are correct, this VDP referral visitor is in the 11th hour and is looking for any excuse to make the commitment to visit the dealer.

The Eureka! Link

Joe -

You stated a couple of times that there are still too many unanswered questions after an online automotive shopper has done their research and price discovery. I'm curious as to what information you feel a shopper can find on the dealer's website that they would not find in the online listings of a dealer doing a good job merchandising their inventory on ATC or cars.com.

There is so much specific vehicle information, multiple photos, dealership information, payment calculators, links to advice on buying, financing, leasing, insuring, online credit application, etc., what else is left for the shopper to ask other than, "do you still have the car?" And, in the case of a new car, if the dealer doesn't have THAT one, they'll have or can get another one just like it.

A prominent link to the dealer's web site (like ATC's BOB) is a great idea, but I don't believe the lack of such a link inhibits an online shopper from being able to proceed to the transaction step.

Studies have shown that what actually happens when the in-market online car buyer "vanishes" at the transaction step, as you put it, is that nearly 3/4 of them have done all of their online research and are now on their way to the dealership(s) that has the vehicle(s) of their choice. You can't touch, see or "drive" the product before the transaction step of an online air travel purchase, but you can with an automobile and that's the difference.

If I wanted to buy a new 55" flat screen television, I'd go online, do my research, do my price discovery and then.....I'd drive down to Best Buy or whatever retailer carried the TV I wanted so that I could first experience the picture and sound quality - and also make sure there wasn't something else I liked better - before making the transaction. Why would I call or email the store before doing so? I wouldn't, and studies show that most car buyers don't either.

As Alex pointed out, the problem is that most Dealer Principals don't incentivise or make it a condition of employment that salespeople and sales managers ACCURATELY ascertain from walk-in traffic what primarily influenced them to be in that dealership on that day to look at that car. Selecting "Drive by" should require management confirmation to be allowed in the stats.

The Eureka! Link

As the leader of the Cars.com ad product management team, I’ve found this thread to be very helpful and I want to share some thoughts in terms of how Cars.com facilitates the relationship between buyer and seller. We strongly believe in allowing the consumer multiple ways to contact a seller with multiple entry points to a dealer’s website on vehicle detail pages and within our dealer directory. In fact, each month we generate over 1 million visits to individual dealer sites and we’ve been providing this form of contact to our customers for many years.

Know that we're listening to this feedback as we continually work on improving our product to provide the best car shopping experience for both shoppers and dealers. Driving traffic to your web sites is very valuable for many potential buyers and clearly beneficial to dealers. I’m not certain that it should take precedence over other forms of contact but it is something that we will continue to track and potentially improve.

The Eureka! Link

I bring this up because Checkered Flag sits in a market with over 100,000 people in that market surfing from behind some significant security (Navy, Army, Marines, Contractors, etc). Anytime we compared clicks between reports there were massive discrepancies.

I don't know where your 5 dealers are that you're looking at Drew, but I agree it is good to see Autotrader making this change.

The Eureka! Link

Man - I think you are missing the forest and focusing on one tree. I could care less about a 1-2% variance. ATC for last month shows 169 clicks, we show 165...pretty close IMO. K.I.S.S...don’t make it harder than it actually is or should be. I would rather ATC focus on getting my dealers customers, rather than talking to web hosting companies.

The Eureka! Link

The problem will then become trying to explain why Autotrader's BOB reports shows so many more customers clicking to the dealer website than the dealer website analytics show are actually coming from Autotrader.

I had to learn about click report differences at Checkered Flag years ago. Talking about security preferences, firewalls, ghost browsers, and proxies is always a fun conversation with someone who could care less about that stuff.

Maybe Autotrader will get smart and talk to the major dealership web hosting companies about finding a way to make the numbers match better. If they don't do that, we're all going to be stressed around BOB within 30 days of its launch.

The Eureka! Link

Drew,

If every dealer had a good CRM system, analytics that tracked form conversions by referrers on their website, and incentivized their staff to interview for the proper ad source this whole article would be pointless. That is where this all came from.

If we want to start pointing fingers...

Yes, it is really the dealer's lack of awareness that he should be looking at this stuff that creates this situation. Yes, it is the vendor's faulty providing of the right tracking metrics that creates this situation. Yes, it is Autotrader & Cars.com's pricing and non-transparency that has added to this situation.

However...

It sounds like Autotrader is finally adding "BOB" (Big Orange Button) to help alleviate some of this. I bet Cars.com will not be far behind.

The Eureka! Link

Dont know where all this came from. Dont know what you are all on. Dont know what half of you are saying. Dont know what this article was origianlly about.

Analytics on a couple dealers show about 165 clicks to dealer site from AutoTrader.com - with a conversion rate (not including phone calls) of 16%. IMO, this means the dealer is getting 16 more leads a month. In the CRM they show as dealer website, shouldn't they be sourced as ATC? But then again, what made them convert? Dealer site or ATC?

The Eureka! Link

Thank You Alex;

At any dealership, the conversation that ultimately results in a transaction is between a consultant and a consumer, right?

And, at AT and Cars, the primary objective is to get the dealers inventory/offering in front of the consumer via online ads - and start the conversation, right?

Both of these have 'the conversation' as the common point of value.

Through the consultant (sales person), AT and Cars could manage these conversations not only from start, but throughout the entire life cycles of consumers' multiple auto purchases. This multiplicity is key.

In auto retail, Alex, as you understand, each year there is a particular number of units sold that defines the overall success of 'our industry'. Why not look at AT and Cars based upon a percentage of this number? Why not ask Chip and Mr. Golub, "what percentage of the total global market do you expect to DELIVER using your products?"

Based upon the percentage, challenge these companies to make their services into transaction-based offerings. So, if AT and Cars say they are responsible for 25% of all auto retail transactions globally, dealers who run the business that hire AT and Cars can assign a specific value to their service offerings.

The consultants (sales persons) responsible for conducting these transactions represent the new client channel for AT and Cars, if they are to come to market with a transaction-based offering.

So, once again, AT and Cars need to offer a service to the consultants that leverages the value of the conversations kept with the consumers
and attach to it a transaction-based revenue model.

Let me know Alex, if this is any clearer. Thanks champion!

The Eureka! Link

I am on vacation, I return March 10th.

Sales inquiries (software/operation/marketing)
---Hold until April 10th and re-send.

Advertising offers
---send to our ad agency, email to:[email protected]

Billing Matters
---can sent to [email protected]

Issues needing a Store Manager:

[email protected]
(manager: DJ Mollica & asst. manager: Fran Cardinal)

[email protected]
(manager: Peter Detor and asst manager: Randy Sasso)

[email protected]
(manager: Rob Curcio & asst manager: Bob Cziesler)

VERY Important issues that can't wait until I return, should be sent to Todd Caputo's attention at: [email protected]

The Eureka! Link

Thanks Joe;

Gotta love the synthesis of thought. It made us an alphabet, a Bible and even cars (and God knows automobiles have come a long way, baybee!).

Dealers don't sell cars. They do run businesses where cars are sold (hopefully).

At least 90% of auto retail customers never even meet the dealer from whom's business their auto is purchased. But, in an age when socialization is important already, and becoming vastly more important each day, this is the disconnect.

A consumer is willing to buy a car from (you all know this...) 'someone they believe, like, and trust'. Almost always, this is a consultant they meet as a professional representative of the dealer.

All I am saying here is, AT and Cars would do well to introduce themselves to these same professional representatives at the dealers they currently serve. It would mean they (AT and Cars) begin to leverage a portion of the industry sector that is growing vs. shrinking - units are up almost 40% while dealerships are down grossly more.

Its easy! Afterall, I am not that damn smart. Remember, I began this journey as 'just a sales guy'. Condescending remarks are condiments for my coffee. I just leave them where they are...

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