5 Reasons Why I Hate CRM Software for Car Dealers.

[Jeff Kershner]

5 quick reasons why I hate CRM software for automotive dealers.

1. Lack of strong ILM utilities - Most CRM software fail to include a strong ILM (internet lead management) utility.
   
2. Workflow never works right -€“ when I say "€œworkflow"€ I mean your pre-determined automatic scheduled follow-up that you set up in your CRM tool. This might be a scheduled phone call on day 1, 3, 5 etc. or
   scheduled emails and/or letters. I have yet to find a CRM that is able to change its follow-up on the fly according to where a sales person determines what phase the customer is in.
   
3. Sold deals get LOCKED - If your CRM updates your Sold customers by pulling from your DMS, many CRM'€™s "€œlock"€ the Sold opportunity, making it impossible to make necessary changes to the customer or vehicle information.For example; you title the car in the business or company name and this overwrites the customer's name that you have entered into your CRM. Now your "after sold" follow up letters are addressed to the business name rather the customer. Another example; a front end or back end gross changes but the CRM doesn’t  allow you to edit this since the opportunity has already been updated by the DMS.
   
4. They allow dealers to SPAM! - Yes..it'€™s SPAM. If you're using your CRM to broadcast email specials to customers that inquired about a vehicle from your website or a 3rd party lead you bought from Dealix, AutoUSA, Cars.com, etc. and they have not opt-in for your specials email, you ARE SPAMMING! Remember, SPAM is the customer perception. (I'€™ll write more about this later).
   
5. Too much maintenance - You almost need a full time person to handle the administrative duties and the phone calls to tech support.

I could go on with another 5-10 more reason why I hate most CRM's software. I'€™ll keep that for another continued post someday.

 

[Eric Biro]

I have to agree. We use UCS, so nothing can be updated through the DMS (ergh...UCS), so that's not a huge issue for me personally.

What really kills me is the sales process, like you said. The only CRM I've ever used that has worked well is Compass. (AutoNation's in-house CRM). I would gladly pay twice the money to use Compass. Everything works so fluidly.

You can tell the difference between the company that believes CRM is the way to go, and has spent tons of dough to get it right (AN) vs. the company that put something together to make an additional couple hundred bucks a month from us.

 

[Jeff Larsen (blog)]

Many CRM vendors, like many website and vehicle management tool vendors, have a tendancy to overpromise and under-deliver.

Before leaving my last dealership, I intentionally brought in 3 CRM vendors for demos since I was only masterful with one, just to see what else was out there.

Since, I was able to assist some friends that had two of those three vendors. Upon seeing first hand, nothing like the presentation or demo.

Even if one is able to understand how to set it up, will it work how it's supposed to? More importantly, will the end users easily understand how to use it according to their responsibility, sold deals may get locked if you're lucky enough to have quality consistent pulling from the DMS, how easy is it to pull reports? I do agree there many things not easy to do in some CRMs.

I do believe a full time person for maintenance is essential though, especially if it's mulit-rooftop. Even if the tool can be set up properly while it's implemented, processes usually need to be adjusted afterwards. Also, the CRM tools are designed to do so much, and must integrate with so much (DMS, inventory, websites) that it's always an ongoing project.

Just as someone is needed to post specials on the dealer website weekly, monitor inventory feeds to and from vehicle management tool to website to vendors, someone is needed to know the CRM tool for adjustments, glitches, and full utilization. However...

This is where the dealership needs to decide who's responsibility it is for such work but most still don't see beyond the current sale being worked in the showroom. If a CRM tool is properly utilized to even 75% of it's capacity, that salary should be easily covered many times over.

 

[Jeremiah (blog)]

I have worked with almost every major lead tool and I have to say ADP, Reynolds Contact Manager and Dealer Socket have to be some of the worst. Unless your sales staff all has computer science degrees, don’t waste your time or money.
If you want user friendly for your sales people then I would recommend DealerPeak or AVV. Out of AVV or DealerPeak I would have to say DealerPeak is the most user friendly when it comes to teaching your sales staff how to use. AVV on the other hand has a few more reports that make a mangers job a breeze.
One of the most positive things I have seen with DealerPeak is DealerPeak is open to new Ideas and they understand that a cookie cutter CRM is not the way to go. Ever try to get AVV to make a change? It has taken AVV three months to make AVV work with windows Vista.
In conclusion, when choosing a CRM don’t be blinded by all the bells and whistles. Make sure you sales team can use it and understand it. With the increases in internet business your team can’t spend half the day trying to find where a customer is in the system. If it came down to it and I had to choose I would go with DealerPeak. Good customer service, ease of use and flexible to some extent when it comes to making changes to fit your needs.

And, no, I do not work for or get paid by dealerpeak.

Jeremiah
Compliance manager
Automotive Internet Management

 

[Richard Keith Latman]

this is quickly turning into an ad forum where vendors are writing way too much. Jeff be careful here, shouldn't this just be for the car guys? Cloaked ads serve no purpose

 

[William Phillips]

We have found most Lead management tools to be very complicated and difficult to use by the sales team and management. To many reports to run and screens to go through to get what you need to know.

Process control is critical in any product you select and far out weights any other need with a lead management tool. You either believe that sales people do their job naturaly or that you must manage and direct them. As a current fact sales people do not naturaly do whats correct next and your lead management tool either helps them decide this or hinders them from knowing it.

Dealer Peak and AVV currently do the best job over all of making it simple for sales people to know what to do next and management knowing if they do it. Dealer Peak is currently the best one that allows good and simple work flow process change based on status change. It will also notify a manager when the status dictates it is needed. My company sees them all, uses them all and this is the opinion of a consultant of more than 30 stores who was in this prior to any tools existing and I have watched most ofthem over develope to the point of being useless with great reports.

 

[Brad Whitehead]

A good CRM offers a powerful process that provides transparancy and accountability. There is no question that a CRM is not only an asset but is essential to a online marketing strategy.

A CRM that has been developed by and for online car sales, intefaces with the dealership web site, considers the online sales cycle and have the flexibiltiy to adjust to the existing dealership culture is a tall order.

CRMs provide a permanent database and the process to manage it and can spit out accurate reports on you sales staffs perfomance or how succesful you marketing campaigns are.

Lets not kid our selves several companies offer CRMs that provide all of the above and are relitively easy to use.

The biggest challenge to implementing a CRM is the how well it is accepted on the lot. Every Dealership has a distinct culture that must buy in to any new process. The flexibility of the CRM to mimic the best practices of existing processes and its ease of use may contribute to it acceptance.

It is only a matter of time before all dealerships are using CRM technology many are just waiting for the right time and the right CRM.

 

[Jeff Larsen (blog)]

They all want it, but...

Have yet to witness a dealership implement any consistent follow-up with their database of customers; sold, unsold, or service- electronically or otherwise.

 

[Nate Marine GSM WVAP]

We are looking at the Higher Gear CRM tool. The demo was impressive and it seemed to be highly adpatable to fit any process, including intergration with Dealertrack and R and R. Any thoughts on this one?

 

[Kevin Frye]

We have both Higher Gear and iCar - and I have to say that iCar is the better product. I could go on and on with a list of details, but suffice it to say - Higher Gear works well, but iCar offers a lot more, and is much easier to use. IMO, if you want the best, and are looking to lead in your market, then iCar is the way to go, as it is on the cutting edge and is constantly upgrading to be the best. Some of the best tools we use within our internet department our only available with iCar, and not even an option with Higher Gear. I think it also says a lot when there is no contract with iCar while there is a 36 month + agreement with Higher Gear. Kevin Frye/eCommerce Director/Jeff wyler Automotive Family