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BUSTED Spincar caught selling dealer data

Tarry Shebesta

Getting Refreshed
Mar 17, 2011
70
37
18
First Name
Tarry
Reactions: Alexander Lau
Jan 17, 2019
3
1
1
First Name
Stephen
Hi Alex,

Hope you are well sir.

Interesting read and I agree, no dealer should ever be in a position where they are forced to place anything on their sites, tags included. However, I do take issue with the vignette the author used to help sell the case:

"Did you ever have one of your customers approached by a competing dealer while you were still working a deal with them? The customer didn't contact them and sure didn't try to buy a car from them. So how did they know? Who told them? Well, the truth is one of your trusted vendors lifted that data from your website traffic — or from your CRM, or your DMS — and sold it to a data brokerage. The brokerage then resold that lead to your competitors. And since it was an "in-market" buyer, they paid a premium."

If a vendor is indeed stealing the lead/data and shopping it around, it is a severe offense. However, there are other ways to identify, and target, in-market shoppers that do not rely on stealing leads from the dealer. Please keep in mind there are hundreds of thousands of (maybe millions) consumer data streams that are being collected across every industry vertical you can imagine.

There are known products/systems/methods that can scan these streams to look for certain behaviors. Once the system determines a person is statistically likely to be "in-market," the lead is generated and sold to anyone willing to buy.

In this case, the "poached shopper" may have recently been making cluster purchases at an auto parts store who was legitimately selling their sales data. This may indicate the person is coming to their wit's end with repairing their current car. Admittedly, this is not enough for a lead. However, within a month the same person's cell phone places them at a dealership for an extended period of time via GPS tracking on their phone. (The person agreed to let a free weather app track their location) At this point, a decent program would certainly tag the person as "in-market," create a lead with full contact info and sell it to their customer, who in this case was the competition.

Just wanted to point this out and remind everyone that big data is a potent tool for identifying in-market consumers across a wide range of use cases and industries. If you lose a sale, it may not be due to the nefarious activities of your vendors. It may just be that you were out-maneuvered.

Have a great weekend.
 
Reactions: Alexander Lau

Tarry Shebesta

Getting Refreshed
Mar 17, 2011
70
37
18
First Name
Tarry
Hi Alex,

Hope you are well sir.

Interesting read and I agree, no dealer should ever be in a position where they are forced to place anything on their sites, tags included. However, I do take issue with the vignette the author used to help sell the case:

"Did you ever have one of your customers approached by a competing dealer while you were still working a deal with them? The customer didn't contact them and sure didn't try to buy a car from them. So how did they know? Who told them? Well, the truth is one of your trusted vendors lifted that data from your website traffic — or from your CRM, or your DMS — and sold it to a data brokerage. The brokerage then resold that lead to your competitors. And since it was an "in-market" buyer, they paid a premium."

If a vendor is indeed stealing the lead/data and shopping it around, it is a severe offense. However, there are other ways to identify, and target, in-market shoppers that do not rely on stealing leads from the dealer. Please keep in mind there are hundreds of thousands of (maybe millions) consumer data streams that are being collected across every industry vertical you can imagine.

There are known products/systems/methods that can scan these streams to look for certain behaviors. Once the system determines a person is statistically likely to be "in-market," the lead is generated and sold to anyone willing to buy.
One of the big culprits of poached sales are "Trigger Leads". These are leads generated when you pull a hard credit bureau. They are then sold to your competitor! We use soft credit pulls with our Digital Retailing products and Shop-by-Payment. This eliminates Trigger Leads!