Do videos really help sell cars?

[Ray (blog)]

Hi Everyone,

A comment on Steve's experiences during the video test. It would surely seem that a 90 day test would be enough to provide a gut feeling as to whether or not there was any benefit to using video. Dividing the inventory randomly seems to be a good idea, but I wonder if a more effective test would be to have a pair of identical or almost identical cars and video one and not the other and see which one moved the fastest. Just a thought.

Another thought, I think there would be some benefit in having a nicely done video presentation available for specific cars that might be hard to keep in stock. For example, in our dealership we are sold out of the new BMW 328 Hardtop Convertible until November and have none to show an interested prospect. I think it might be a good idea to film a walk around and post it to be able so show interested prospects. Anyway, that's my theory and as soon as the camera gets here next week that I've ordered, I'll be testing it to see how it works. I'll keep you posted.

 

[Lao Shi]

Clients learn more about a car by seeing it in a video, particularly if the video is well narrated by a person with a clear pleasant voice and if the video does close ups and shots of the interior, which all helps to streamline the grinding search for a used car.

The video should only be 30-60 seconds depending on the uniqueness of the vehicle, interior and exterior footage. The image does not have to be professional, just well done. With the quality of digital cameras with electronic stabilization today priced at $5-600.00, software available at affordable prices and computers that can take the download from the camera who can say no to the technology?

There are even site providers today that offer the dealer ISM a notice to know when the client opens the email and will notify the dealer ISM when it happens so you can call the client while they view the vehicle and do your sales presentation. How cool is this? If you’re not at your PC it will notify your smart phone.

Video search is the choice of the smart dealers who are wary of, traditional, antiquated advertising. “The Boutique Dealers” will embrace this new way of using technology and increase their margins at the same time.

The majors will continue to use the “cookie cutter” systems and pound away at the margins, pushing more metal at lower prices.

 

[Auto Industry Startups]

Hotswap ReviewParty

I’m late to the Hotswap review party, I know. Frankly, after reading about them on TechCrunch I was surprised they raised 2 million dollars. 2 million? For sales videos of cars? That must have been a great presentation. I think most dealers are sligh...

 

[Ryan]

The piece everyone is missing is the delivery of the content (streaming video) through the network of servers. The dealer must have their media files properly managed within their website, and have a quality CDN providing them a solution that will deliver the videos quickly, clearly and consistently. If the video lags, and jumps and basically looks amateur, then it isn't worth the dealers time and money. Think of the early days when dealers had websites built by their cousin who dabbled in HTML coding...bad news. The dealers who spend money to do all the things listed above (essentially, video production) and dont have a quality content delivery network set up (not done on their own website servers) for the delivery of these streaming videos,will be wasting their money...period.

Then there are some other important factors...

First, people dont care about the dealer story or anything else. If they got video, it needs to be about the specific car they are looking at on that page. The only video should be car video.

Second, lets make this part pretty clear. There is a TON of research supporting this fact...anytime you have a streaming video clearly explaining a product, like a car, a home, or any consumer good, that video will improve the conversion of users to leads and leads into sales. People would much rather find what they want and watch and listen, VERSUS having to read and click through pictures. (even though quality pictures are ESSENTIAL in todays current environment.)

BUT....

Third, it all depends on the value the solution brings the dealership, just like with anything in internet marketing. So if the dealership is selling into a market that has solid broadband penetration, then it probably is worth the time looking into these types of solutions, because the investment will improve conversions, and improve sales, while generating a positive profit ROI.

Hope this provides a different piece of info that is critical to this piece... A solid CDN needs to be taken into account... doing it on your web servers won't do.

 

[Jeff Kershner]

Ryan, you said "First, people dont care about the dealer story or anything else."

I don't know if I totally agree with you in this. I believe if you position your videos in the right area of your dealer website that you can help brand your dealer and dealer message while increasing conversion and improving the customers over all experience.

This is something that I will be playing around with in the months to come and will be sure to report back.

Thanks for your feedback Ryan!!

-Jeff

 

[Mark Springer]

Look at the activity in this post. WOW! 13 comments since this post has been sent live and I am scouring the comments looking for the answer to video for my clients. I want to know who, how, and is there and efficient and effective way to streamline this process right now?

And wow, Sean Bradley is all over it!

Someone tell me . . . . or us . . . where do we go to get simple, streamlined service for videos that will produce better results that 30-40 quality, high resolution images will do on its own? That is really what I am hoping to take away from the time invested in reading this excellent "theory".

I agree with Sean Bradley, and disagree with everyone who is looking at the now results on video. I think that the results that have been realized thus far are because we as a group of automotive internet folk have not tapped into the true channel of how video will produce sales for us, or our clients if we are vendors.

What needs to be done to really find the place for video in this market?

I think that is what Sean is pointing out to us all . . . that regardless what has happened thus far . . . it is coming and will be part of how we market vehicles to the online customer. We have to tap into this medium and make it an effective way to do what we all do . . . which is drive the #2 driving force of this economy. I just want to know how??

Springer
Blu

 

[Joe Pistell]

A Video Zelot weighs in...

Shoppers are out there sitting in chairs for hours and hours in a sea of flat, lifeless, 2-d information.

Video Commerce is coming!
The more complex and expensive the product, the more valuable video is. Car sales are the poster child of video commerce.

Fact:
Would a good, personal video walkaround by a knowledgeable rep. help you pick up the phone?

CONSIDER... If we're here to sell something OTHER THAN PRICE, can anyone tell me a better way to get a shopper off of price than a good walk around video??

I can't even believe there is any debate on this topic. The "dark side" of this debate is rooted in the production... I agree, It's a PIA to do video right!

Video helps make the net personal!
Can you overlook google's jillion dollar buy of YouTube?

Video adds another dimension to the shoppers experience and we all know the best customer is the one that is tired and ready to end the process, video appeals to the EMOTIONAL side of the brain.

Joe

 

[umer.autojini]

I have to agree that informational videos are excellent to have on your site... I have a heat map of dealership website located at http://www.autojini.com/blog/images/heatmap_vidoes.jpg that shows that visitors are actually clicking on the videos and playing them... and looking for more videos... or may be they are trying to mute it since it auto plays but the clicks on the video button below counters that perspective... (I blurred the dealership name in that jpeg)

Chrome just introduced the wheel TV videos for new vehicles... and they are bit addictive... reminds me of motor week on PBS... so this is going to stick around and I think for younger generation it is no longer images but videos.

I wonder if someone can run a quick Craigslist test... by posting one inventory with link to a video and one without... any clearly mentioning it in title. Since it has the traffic and just costs time and effort...

 

[esietsma]

Hi Everyone,

So, thanks Sean for the Mile One shout out, even if you got the name a little wrong. Yep, we are dabbling in the google video world and completely agree that it will be first page soon.

As for Video, I am in the "pro" group and will leave it at that. We have enough reasons why.

As for Video Players, we have been looking at Vimation and are really impressed with their company thus far. The founders, Peter and David seem extremely bright and have been in this game for a while. They aren't video novices and they are doing some awesome interactive pieces with their video. I will see if I can get them to post some test links on here.

 

[Joe Pistell]

Umer,
Been following your posts, Awesome work and awesome heat map! It confirms...

#1). The home page is the "fly over" page where "Folks arrive to find". No selling can be done there.

#2). Kill all home page auto-audio. Look at the traffic records, all those cube surfers at work get upset when the ad comes busting out! Let the surfer opt-in to the running video!

Keep it up!
Joe