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Alex Snyder

President Skroob
May 1, 2006
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Alex
With the DR abandonment rate being so high, why do companies continue to invest millions into these tools? What's the goal? Why is the UX so poor that consumers won't finish the process?

View attachment 5685

It takes a long time to build software. Many digital retailing projects got heftier investments in response to the COVID quarantines in March of 2020. It is too financially painful to pull the plug now.

Can you give me a link to this graph - I love it! Can use it in my board meeting.

EDIT: found the article https://99firms.com/blog/shopping-cart-abandonment-stats
 
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Shawn Zents

Lot Lizard
Aug 12, 2019
21
18
8
First Name
Shawn
It takes a long time to build software. Many digital retailing projects got heftier investments in response to the COVID quarantines in March of 2020. It is too financially painful to pull the plug now.

Can you give me a link to this graph - I love it! Can use it in my board meeting.

EDIT: found the article https://99firms.com/blog/shopping-cart-abandonment-stats
I totally agree, Alex - too many resources already invested so there's no turning back.

I would love to see an extensive study of consumer behavior that shows the journey 'up to and including' abandonment. Why do consumers simply bail?!? Tells me how important the people are at each store - customers still want the in-person experience. What I love about automotive is the innovation and the deep pockets to power it all.

Maybe I found it? Check this out: https://www.leithcars.com/blogs/1421/automotive/car-buying-online/ (published May 19, 2020 though...)

Glad you found the article link - I should have included it originally!
Leith Blog - Buying Online.png
 

Alex Snyder

President Skroob
May 1, 2006
3,305
2,169
0
First Name
Alex
Maybe I found it? Check this out: https://www.leithcars.com/blogs/1421/automotive/car-buying-online/ (published May 19, 2020 though...)

View attachment 5686

When pointing things like this out the marketers are quick to state "the whole Millennial and whatever blah blah blah" generation of buyers doesn't want to visit the car dealership. I think those same marketers were repping phone companies when the telephone was going to replace sales agents.

I crested the hill a few years ago, and am starting to find appreciation in the printed newspaper again. Last week, I bought my first physical paperbacks since the iPad came out. As I'm aging I'm starting to find my multitasking skills are not what they once were and I'm also beginning to appreciate less screen time.

My point is that there may be a younger generation exhibiting new buying practices, but they're going to get older one day.

…complete tangent from the viability of digital retailing, but I keep hearing this younger generation is going to make it viable. Cracks me up every time I hear it :lol:
 
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May 28, 2009
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Brad
We have tried accelerate with the hope that a fully integrated (website and dr) tool would provide a cleaner journey and provide better reporting. I cant begin to tell you how frustrating it was. the verbiage was confusing and during sign then drive at vw, it was actually wrong and pissed off many customers. In addition, backend tool of DDC didnt even include DR leads in their website lead conversion reports. insane. we dropped it after 3 months.
 
Mar 21, 2012
568
727
193
First Name
Ryan
We have tried accelerate with the hope that a fully integrated (website and dr) tool would provide a cleaner journey and provide better reporting. I cant begin to tell you how frustrating it was. the verbiage was confusing and during sign then drive at vw, it was actually wrong and pissed off many customers. In addition, backend tool of DDC didnt even include DR leads in their website lead conversion reports. insane. we dropped it after 3 months.
To Cox's credit at least they realized that Accelerate is a joke of a DR product (if you can even call it that) and came out with this new more full-fledged solution.
 
Jun 16, 2021
5
1
1
First Name
Carol
When pointing things like this out the marketers are quick to state "the whole Millennial and whatever blah blah blah" generation of buyers doesn't want to visit the car dealership. I think those same marketers were repping phone companies when the telephone was going to replace sales agents.

I crested the hill a few years ago, and am starting to find appreciation in the printed newspaper again. Last week, I bought my first physical paperbacks since the iPad came out. As I'm aging I'm starting to find my multitasking skills are not what they once were and I'm also beginning to appreciate less screen time.

My point is that there may be a younger generation exhibiting new buying practices, but they're going to get older one day.

…complete tangent from the viability of digital retailing, but I keep hearing this younger generation is going to make it viable. Cracks me up every time I hear it :lol:
My 21 yr old daughter wanted a new car. I directed her to some models to review online that met what she wanted. She said to me, exactly these words, "Cars are a lot of money. I need to test drive. I'll either fall in love and the money won't matter, or I won't and I'll keep driving what I have."

Digital Retailing tools will continue to evolve. What is missing in most is the ability to interact with humans when the consumer chooses. Most of the questions we see in DR conversations are related to finance such as "will you accept a check from XYZ Bank?" The mere ability for that question to be heard, acknowledged and someone to respond specifically to it is meeting the consumer's needs. Meet them where they are with whatever question they may have and be ready to build trust is the key.
 
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Greg Spencer

Full Sticker
Aug 7, 2020
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Greg
My 21 yr old daughter wanted a new car. I directed her to some models to review online that met what she wanted. She said to me, exactly these words, "Cars are a lot of money. I need to test drive. I'll either fall in love and the money won't matter, or I won't and I'll keep driving what I have."

Digital Retailing tools will continue to evolve. What is missing in most is the ability to interact with humans when the consumer chooses. Most of the questions we see in DR conversations are related to finance such as "will you accept a check from XYZ Bank?" The mere ability for that question to be heard, acknowledged and someone to respond specifically to it is meeting the consumer's needs. Meet them where they are with whatever question they may have and be ready to build trust is the key.
Replying 8 months later: I agree having a real-person backstop is key. I bought a car from Carvana online, and I ended up with a question about payments -- which, as you say, is one of the commonest questions that arise in DR conversations. There was a button to press to get a Carvana "customer advocate" on the phone. As I recall, there wasn't much of a wait time and the advocate resolved the issue. I ended up buying the car. I have to add, though, that Carvana was not nearly as quick to pick up when I had questions post-sale. Go figure.
 
May 10, 2022
5
4
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First Name
Zack
Because 99% of the platforms don't provide an actual credit decision to complete a deal. If I can't "Checkout" the only option is to abandon. No?

Unless, in this scenario "Abandoned" qualifies as a failure to capture a submitted credit app / new lead.
Most (not all ;-)) tools out there provide the customer a rough estimation based on a self assessment of credit and then try to capture a credit app with a basic deal structure. In addition, there are dealerships that don't have a strong process taking action on these Digital Retail "Leads" when they typically provide way more insights into the customer's journey. Leveraging that extra information can be really helpful meeting the customer where they are in their shopping journey. (Reading the digital body language) Which in turn, should increase efficiency at the dealership.
 

Alex Snyder

President Skroob
May 1, 2006
3,305
2,169
0
First Name
Alex
Because 99% of the platforms don't provide an actual credit decision to complete a deal. If I can't "Checkout" the only option is to abandon. No?

Yup. Hence the giant lead gate right at the front of the tunnel into a "digital retailing" solution. Also known as a really bad customer experience.

When you ditch the lead gate and let customers play, you get more floor-ups. Maybe one day we can learn to appreciate floor-ups over internet leads.
 
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