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Dealerflow - Car Dealers First Ever ERM (Employee Relations Management) Software

I really love this idea and hope the dealers embrace it sooner than later. All of our websites currently have the ability to do things similar to some of the dealerflow features. We create a meet the staff page and each staff member has full control of their page. It's specific to their contact info, hours of operation, personal biography, etc. Dealers love using it because it helps build that relationship with the customers before they enter the showroom. Or if they have already visited the dealer but forgot their salesperson's name they could use this directory to find them. Check it out:

Dealerflow - Car Dealers First Ever ERM (Employee Relations Management) Software

Wow from the Dealer Flow picture, above, it looks like there is nobody at the convention... was this taken before the doors opened.

Looks like an excellent product... from reading, the status feature looks very handy. Like the 37 signal skin on the admin too... nice interface. Wondering if there be an API so I can build an online staff directory for dealers... something like... http://www.avondaletoyota.com/team/chuck_faciano?showBio=1

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

What about possible backlash when an employee/dealer relationship goes sour? These incidents occur frequently in the business and should not be ignored when blending your brand into your employees personal social media profiles. Your employees automatically become your brand ambassador which can generate great things but what about the flip side. How does a dealer monitor and prevent an ex-employee from engaging in negative branding? Obviously this is a gray area but it certainly needs to be discussed before incorporating into something as definite as an employee handbook. Feedback?

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

Audrey,

That is a great article. I have started using my Twitter, Facebook and yes even My Space accounts to get the message out about Jim Glover Chevrolet. The problem is there isn't enough hours in a day to keep those social places up-to-date - lol. One of the things I have just started doing is an Internet Based Radio program on Blog Talk Radio and IT'S FREE. I do a weekly show that started out being about 45 minutes but will be expanding to a one hour show. This week's show is a 2 hour special in honor of the return of the Camaro. I had been doing a podcast and happened to be introduced to BTR by Philip Zelinger. Thanks Phil. Now while it hasn't stirred up any business, I do enjoy doing the shows, reviewing Chevrolet products as well as other Car related subjects. We even try to have some fun with Trivia and some audio from past Chevrolet TV commercials. But I guess my point is that anything new should be explored. But who knows, maybe one day, someone will call and say I was listening to your show and I want to know more about.... One can only hope. So your article was great. Relationship building is one of the best tools one can use, especially in these tough economic times.

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

I think this article really gets people thinking about how social marketing is changing and impacting how dealerships use there staff for extended marketing outside the usual channels. One thought that comes to mind is creating a standard format "Template" for employees of the dealerships to use that would be in line with the dealerships handbook for each of the social media platforms. This might take a little of the personalization away from the individual but it could help to corral bad content that could harm the dealership yet still give the employee a platform to build a prospect and customer network.

I am sure every dealer would agree that leveraging your staff to become advocates is one of the best ideas but it takes time and patience, which a lot of dealerships just don't have the dedication needed to see it to fruition.

For the dealerships that do embrace social media I think they will be able to gain local market share by being seen repeatedly where the customers are looking and browsing socially. The average Myspace user checks there page something like 35 times per day and I am sure Facebook is similar. So marketing impressions from a dealership on Myspace or Facebook page could help solidify the brand in the browsers mind. Remember brand impressions count and studies have shown it takes from 7-27 positive brand impressions for a shoppers to take action.

This article has been a great idea starter for me thanks for posting it.

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

Getting this into the handbook is certainly a first step and to do this there has to a lasting perspective of the idea at the dealer principal level and all his or her managers. But I don't think it is practical to account for all scenarios and situations that social networking actually presents. These concepts must ultimately become part of the culture.

This will come in time, I believe. It's already happening. Look what has evolved in the auto industry just through the last year.

But there is an element to social networking that I see imposing change in the employee-dealership relationship. It's the branding element. I see sales in the auto industry evolving to a state comparable to the Real Estate industry where automotive sales professionals are building their own brand equity under the roof of a dealership rather than just trying to use social media to sell cars.

Good topic Audrey.

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

Social networking only works if it is not commercialized; real or perceived. Helping your staff to draw the "fine line" of building relationships rather than sales is not as easy as posting this month's creative for the dealership but it has a far superior R.O.I. for all involved parties so your staff needs and deserves your support. For that reason alone a dealership must establish a support system to leverage this valued human networking resource - not only in sales and service but in all departments - to extend the dealership's marketing messages to their staff's personal spheres of influence.

That said, the best place to pass on consistent policies and procedures while considering "risk management" for the dealership is in the employee handbook. Just ask your attorney and he will explain that "no policy" actually is a policy by "ommission." When an employee mis-represents your dealership to a customer - with or without your knowledge and/or permission - you are liable; even if it is only based on the "deep pocket" theory applied by most attorneys seeking damages for their client.

The first issue that has to be addressed is the "buy in" from the dealer that the internet has matured into a "pull/push" media rather than a "push/pull media as far as customers are concerned. As a result, the website of today is already different than yesterday's and they will be drastically different than tomorrow's. Transparency and simplicity is already a practiced wisdom in dealer's sites which have learned to prioritize relationship selling over simply posting price and product. Since it is difficult to have a relationship with a building or a corporation the people factor has to take precedence. Step one is to integrtate a dealer's blogging site for customer generated content including their staff's postings and comments.

The problem is that many customer assume that a dealer's site is self serving and they challenge the source. The only solution is independently develped "relationships" in other sgared verticals like face book, twitter and other communal sites where you are able to kmake friends who are happy to find out that - coincidentally - you also sell and or service vehicles. After all, everyone would like to have a friend in the car business!

As far as the posted point - yes, include instructions, policies and procedures for social networking ploicies and procedures in your employee handbook and enforce it the same way as the other issues that it includes.

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

WOW. CLAP CLAP CLAP. You have my praise!!! This is amazing. I use social networking sites to connect with everyone and anyone that I have ever met as well as people that can help me succeed in my industry. I have over 900 friends in my facebook account (ok some of you probably think that is nuts, how could someone know that many people?). Well guess what, I was very popular in high school and people always knew me for being a nice guy, a great guitar player, and a varsity wrestler so most of those people are high school alumni. The rest of my friends are anyone that I have ever worked with or communicated (yes I know every single person on my friends list). On myspace I network the same way plus with musicians that I respect. On Automotive Digital Marketing, I am always meeting new people and making new friends. I met most of the people at NADA and somehow created a relationship with these people. At the end of the day, the more people that know me the more successful I will be as long as I keep a positive reputation management system going. By the way, sites like linkedin.com and naymz.com are great social networking sites that help keep positive reputation management for individuals just like carfolks.com and dealerrater.com maintains reputation management for dealers. Now, I must say that I used to just act any other way on myspace and facebook until I started adding business contacts as friends. I was never extreme and never a crazy party animal, however this trained me to be more discrete and act accordingly not only as a social net worker but also as a human being in my daily life. After all, you need to always keep a certain image so that people respect you and see you in a certain way. I know that in my young age I needed to start doing things differently and I am proud to have matured this way. I believe that if employers trained employees to be on social networking sites and be discrete it can help improve business. I want everyone that I know to know what I do and where I work. I want them to buy cars from me and only me. I want them to send me referrals. It used to be that I would have to join a club of society to network with people so everyone knows that I am the "go to" person to buy a car. Now I can do it from the comfort of my home from my computer or anywhere as long as I have a computer and/or my iphone. The time to raise awareness of the positive business aspects of social networking is now. I am not one to brag and I am going to make this as humble as possible but my friend, Joe Webb wrote an amazing blog about social networking and myself (http://adpadm.ning.com/profiles/blogs/is-stan-sher-the-greatest). This explains how I leveraged social networking in order to be a part of this great family which includes all of you readers. It is funny too when you look at the comments.

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

I absolutly agree with this article. I have around a 1000 contacts on my own page and would say I probally generate at least 1 direct sale a month form it. I have friends whom pass on my information in the form of used and new car specials. The best part of it all is it's FREE! What better type of advertising could you have when it costs nothing and generates something! Thanks Jeff, great insite!

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

An anecdote from the consumer's perspective:
I'm a Subaru fanatic, and a member of the local "Subaru Impreza Owner's Club". We have an online forum for all club communications, and a local dealership has a sales person and their parts manager both on the forum, with active user accounts.

We just bought a brand-new Forester from the sales guy without giving it a second thought.

The dealership and sales-person relationship was so strong because of the online social network that we 1. didn't even give it a second thought to shop at another Subaru dealership, and 2. didn't haggle on price with the sales guy. He gave us a "club member" discount which was basically the invoice + dealer options (and I know he made money on that), but we didn't mind because the social relationship was strong.

If it weren't for the online social network and the events the dealership has and continues to organize for the club, I wouldn't have known that guy from Adam, and we probably would have gone shopping for a used car and haggled and been a pain on the price.

So this is just to say that I've seen these tools leveraged to build a dealership's business and it does work. And used correctly, it makes the experience much nicer for everyone involved!

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

Wow! Congrats Audrey (for the article) and Jeff (for posting it)! Yes, we have also given this subject much thought - very much.

With about 100 million U.S. visitors each month to Facebook and MySpace alone, the potential for additional sales is huge.

And like 1998, when dealers were first introduced to websites, now they have to get acquainted with social networks.

This is exactly why we built and launched a new website that does EXACTLY this for dealerships.

Through a customized widget that a dealer can subscribe to, not only can the dealerships employees grab the widget to place it on the social network page, but potential customers can grab it to.

For the dealership's sales staff, this is a no-brainer. Nowadays, sales people everywhere have to be creative and innovative to keep there numbers up, and staying on top of the the board at the dealership is no exception.

Employees place the widget on their page, and anybody can send a lead directly to the dealership without every leaving that person's profile.

I have read this blog for a long time now and no the community allows for conversation and not site-pimping, but guys, I just have to tell you that there is a tool that does exactly this!

It's almost inconceivable to think that many dealerships will maintain several (or even a couple) of social network pages. After all, blogging never really caught on (we thought of this too.)

The bottom line is, Audrey is right on the button. Social networks represent a goldmine of opportunity for dealerships.

Anyone can drop me an email (networking is ok, Jeff?) or just check the website and I'll be happy to see if what we do can help you guys tap into this treasure trove of sales opportunities.

Great subject!

Increase Sales by Putting Web 2.0 in the Dealer Employee Handbook

Talk about a Pandora's box! I noticed an article the other day on Drudgereport.com about a teacher who was fired for posting a photo of herself with a rifle pointed toward the camera. This was called in "poor taste". How? If we, as employees are judged on someone elses' criteria, and the dealership has the right to hire/fire based on what is on (or isn't?) on my personal page, how is that fair?

I understand COMPLETELY if I try to use my online presence to drive business to my dealer, he does have some responsibility and potenital liability for my page's content.

This is a particularly poignant article, one appropos for the time, and frankly, one I have not considered much at all. One thing is certain, adoption of Web 2.0 will be much like the adoption of Internet sales- someone will resist to the very end, proclaiming how Web 2.0 will NEVER amount to anything, and before they know it, they will have gone the way of the Gooney bird.

ActivEngage Releases New eBook for Auto Dealers: Seven Reasons Live Chat Fails

Download “Seven Reasons Live Chat Fails” at http://www.activengage.com/Downloads.shtml.

ActivEngage (www.ActivEngage.com), the automotive industry's premier provider of proactive live chat marketing for dealer websites, today announced the release of the industry’s first live chat eBook: “Seven Reasons Live Chat Fails.”  The new eBook provides specific instructions to help dealers engage website visitors in two-way communication to decrease abandonment rates and increase website lead generation.  The new eBook is the first in a series of free educational resources to help dealers better understand how to maximize live chat’s potential and avoid common implementation and management pitfalls. Orlando, Florida, February 3, 2009

According to industry statistics, the average dealer loses around 2,440 sales opportunities each month from website visitors who abandon dealership sites without taking any action.  Used properly, proactive live chat lets dealers engage more site visitors, provide better service and begin building relationships with consumers online.  “Seven Reasons Live Chat Fails” provides detailed information to help dealers take advantage of missed opportunities through properly deployed proactive live chat.  Further, the eBook format was specifically selected because it is fast and easy to read, making it convenient for busy dealers to increase their knowledge and online effectiveness. The eBook also includes a live chat time line that details the history of the medium and discusses important reasons earlier versions failed to produce results for dealerships.  In addition, the eBook includes specific tips to use live chat to increase customer satisfaction and sales.  Opportunities include vehicle sales and all other dealership profit centers, including the high margin parts and service departments.

“We created the eBook to help dealers understand the power of live chat.  When properly deployed and managed, most dealers see results literally the first day of use and can easily double their website leads,” commented Todd Smith, ActivEngage co-founder.  “Live chat lets dealers start a conversation with website visitors and begin building rapport early in the online sales process. This significantly increases the chances that website visitors will become showroom visitors.  Proactive live chat lets dealers “meet and greet” website visitors the same way they greet customers in the showroom and has become one of the most cost-effective methods to increase website lead generation and sales.”

Download “Seven Reasons Live Chat Fails” at http://www.activengage.com/Downloads.shtml.

About ActivEngage
: (www.ActivEngage.com)
ActivEngage’s proprietary business logic helps automotive dealers meet the needs of shoppers by providing dealerships easy to use, powerful website tools. Advanced live chat services let dealers identify, initiate interaction and communicate with website visitors in real-time.  The essential person-to-person Meet & Greet that dealers require at the physical showroom is now possible on the dealership website through ActivEngage.  This proactive website engagement decreases abandonment rates and increases website lead generation with the thousands of visitors the average dealership receives each month. ActivEngage provides the edge that dealerships need to engage more customers who browse for information because it starts building a personal relationship with shoppers from the moment they hit the dealership website.  ActivEngage offers three tiers of service to ensure that all website visitors' experiences are enjoyable and uncomplicated, thereby increasing the value of dealership websites through better lead generation.

Are incentives dead? How do we advertise now?

Incentives are great because everyone wants a deal all of the time. The problems with too many incentives is that it implants the craze into the customer's head. These rebates and special rates incentives have become ridiculous to the point that if Honda does not have special leasing or special financing, sales drop. Incentives are the reason why we are moving metal. This is wrong, it makes it hard for us to actually build value and sell the car. People do not lay down for us anymore. We need to get the public respecting car dealerships and start taking away from their minds that they need an incentive to make a purchase or a lease. At the end of the day, why should I pay you to buy my car? Incentives are great but should be use properly. I blame the incentive craze for making problems for the big three.

Are incentives dead? How do we advertise now?

Fishing where the fish are...

If 80%+ of your consumers are online, how do you attract them to you?

With what message?

Where do you place it?

If they respond to it, what do you engage them with? Your home page? An email where they can "Send an email?"

Would that be what you wanted if you were an online car shopper?

These are just suggestions, but how about using a message of "A 100% online car shopping experience for your next ?"

Where would you place that?

Where would you land them if they clicked on the banner ad?

Could you devise a blogging strategy, search engine marketing campaigns and video channels with a similar call to action?

By all means, let them send you an email any time they want.

Consider letting them shop your vehicles online (price, credit, interest rates, taxes, payments) in such a way that they have to tell you who they are in order to do so.

The Internet is a new medium. What is your message?

Internet consumers don't have to do anything. How do you devise your messages and site interactivity so that they want to do what you want them to do?

If 98% of your visitors leave without engaging with you / telling you who they are, then the experience you have run them through has not met their needs and they've left rather than having to deal with you.

This isn't a rant and it isn't a commercial... just sharing some insight into the psychology behind the thinking that went in to the shopping cart and conversations we have with dealers about using it effectively. The shopping cart is only a tool in the greater context of how dealers advertise and then how consumers shop and buy from you.

To me one of the great game-changers beginning to happen to automotive is the shift away from physical premise to the virtual. Away from digital inquiries (leads) to being able to really shop online. From a hostage-taking approach over info such as price, credit, payments, to letting consumers realize for themselves that they want to speak to dealership staff (can you confirm my credit, firm up my trade valuation, do a bit better on interest rate, etc.)

What do you think?

Are incentives dead? How do we advertise now?

I worked for a dealer in San Antonio who cut all sources of advertising off,liners,radio,display,tv,autotrader,cdm,etc...I had to put our used cars on the internet myself,then i had 10 salespeople who posted 15 cars each on 28 different free websites,we sold twice as many cars without zero dollars spent on advertising. So now I sit at home and put other dealerships new and used cars on those same websites for a consulting fee.I had a dealer in Greer,SC sell 14 cars in two days off one simple posting.

Are incentives dead? How do we advertise now?

Email HAS HAS HAS to improve.

As a former ISM from the San Francisco bay area, I can tell you that I've seen a lot of dealerships ignore the wealth of opportunity that the internet provides.

Andrew and his dealership have the right idea spending most of their ad budget online.

What I was most intrigued about was Alex's reference to "spammy email."

Have any of your gone online and acted like an online shopper would? By that, I mean you go to one of the 3rd party sites to configure a car and contact dealers thru email?

I have - and boy, what a nightmare!

Try getting quotes from about 4-6 dealers and your email box is quickly filled to the brim with every gimmicky and poorly executed marketing pitch there is.

Dealers respond to often and 90% of the time, I didn't even get a hard price quote.

My opinion is to market to customers where they spend most of their time: social networks.

I know I'm in this market and am not pimping our biz, but this topic was too tempting.

By the way, Jeff, did you go to NADA 09? I've been here everyday looking for your review!

Are incentives dead? How do we advertise now?

We just finished January with our best month since opening the dealership in June of last year. One of the major factors behind it (aside from our teams hard work) was we spent 85% of our ad budget online. We had a consistent brand message across sites where in market consumers are looking for vehicles (KBB, Edmunds, Autotrader, Cars.com, etc.) Our strategy was to be in front of consumers that were actively seeking information on vehicles, we didn't try to convince anybody that now is the time to buy a car if you had no intention of buying one. Of course there are some people (to rename nameless in this post) that wanted us to spend more money on TV, more money on direct mail, more money everywhere....but we resisted and got results in both volume and the bottom line of the store.

We have also been aggressively pushing our dealerrater.com reviews to help our online reputation, and we are starting to hear more and more consumers I chose your dealership because of what was said on dealerrater.

Another thing that worked for us was market based pricing on both new and used vehicles across all advertising mediums. Let me say this, our front end grosses were not huge, but we put 86 very satisfied units into operation and spent less than 20k in advertising. With a reduced marketing budget and bonus structure for salespeople, the business was able to be profitable at this reduced per unit average.

New vehicles have been very difficult to push, as the consumer is really seeing the value in like new pre-owned vehicles (2008's with low miles) I highly suggest reading Dale Pollak's book Velocity for more information on market based pricing in the pre-owned vehicle market.

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