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High traffic with low conversions? Is this a franchise-related problem?

Joe,

I assume you're speaking to me, not Andrew.....

"If you've won 'em over once on the net, they'll assume you've got the right package and they're less likely to shop ya' the next time."

I agree with that - I see it all the time. Many repeat customers purchasing cars from the dealership, who went through the Internet department on their last purchase, are not using the Internet department on this purchase. In my opinion, this is a good thing! The irony of our jobs, as Internet people, is to get people off the Internet. We cannot sell a car in an email, so the ultimate goal is to get a customer in the showroom. If the customer opts to not use the Internet department on future purchases, and heads straight to the showroom, without shopping competitors - is this not the absolute best scenario for the dealership? I am an Internet guy speaking to a bunch of Internet guys, and realize this is a bad scenario for our paychecks.

"Ergo, Less requests for 'net quotes is a good thing." - I think we're saying the same thing.

Another side to the coin, are all the trends the Internet goes through. This "Internet Thing" is still in its infancy. The government is still trying to find a solution on how to handle it, and new business ventures come from it every second. Will everything we're talking about in this thread be worthless next year?

In the meantime, I'm not looking for a solution to what is or isn't a problem on my end. I was simply putting my dealership's "situation" out there as an example. I've got some plans in the pipeline ;) My reasons for starting this thread, although I kept this agenda hidden in the original article, was to bring up discussion on the topic of "where are the customers going?" I wanted to put a thought out that I don't think many people have considered.
 
Andrew,
After taking a quick look at your site, one last thought. Here maybe another reason why your lead count maybe down.

A Paradigm Shift is upon us all.
"Small Dealers must Beware the Beast"

Fact:
Internet shoppers are drawn to selection like a moth to flame. Inventory size is the GLUE that holds Internet shoppers interest. Scale works on the Internet! If your large, very large, your site becomes a destination. Average visting times can be 300% higher for megastores then for single stores. My average visit is under 4minutes. I've have 2 new mega stores in our small market and they're >11 minutes per visit!! The sucking sound is deafening! The megastore site becomes the "1st stop" to see whats just arrived. This is a synergy to hook shoppers that no smaller store can match.

Lastly,
The "thrill" of the 'net shopping experience has gone the way of the sunday drive. Websites are a window into a store. I personally would rather visit a store with lots to see vs. a "we can order it for you" place.

See for yourself:
Autotrader.com vs. Cars.com

=See avg. # of visitors.
=See Engagement> Avg. stay Monthly

Then,
Plug in your site and players in your market (and out of your market).

Hope this helps,
Joe
 
Joe,

I understand what you're saying and appreciate your posts. You make a valid point on the megastores. For our marketplace, we are one. We do have very long times spent on our site. According to Ward's e-Dealer Top 100 numbers, we should be in the top 25, but nobody ever asks us for our numbers since we stopped using CarsDirect. That's a story for another topic.

In response to your post, I'm not sure we have to fear the beast....yet.

Thanks,
Alex
 
Alex,
You ARE the beast (in your market ;-) The lil' guys need to be on their A game to compete with the depth and scale of the mega dealers. Your "less ups these days" research validates my thoughts.

You're a marketing wonk, ck out this site:
You're avg'ing about 6,500 unique vistors p/mo
They stay almost 7 minutes each
 
Alex,
Right along with your discovery, I have noticed online service appointments rising dramatically (yr over yr).

We also use callbright.com to monitor phone traffic and the # of service calls coming in from the web site is nearly 20% of our web site driven phone traffic.

Interesting....
Joe
 
Alex,

Our company does alot of research through email surveys to on-line visitors and we find that many visitors never even get a response when submitting inquiries. In fact, I personally have shopped several different dealers over the past 5 years and over half never responded. Of the ones that did, most took days. I could count on one hand the dealers that responded in hours.

You have to wonder if this is starting to have an effect on lead generation. Furthermore, if we find phone inquiries are on the rise as Joe stated, it also makes you wonder if the visitors are not even bothering to submit leads and rather opting for the phone, knowing they will be able to communicate with someone.
 
One more thing...

I know this is only anecdotal evidence but I was working with a real estate broker recently and him and his wife were trying to buy a Hummer on line. He submitted his request to 5 different dealers in the LA area and did not get a response from any of them. In fact, even after several weeks, no response.

He ended up calling two of the dealers and finally negotiating a deal with one of them. Do you think he'll try this again or opt for the phone the next time around?
 
You make a very good point Richard, but 5, 3, even 1 year ago is a vast difference to where dealers are with their Internet presence today.

Did your real estate broker have a spam blocker on his email? Does your system look for that?

We use iMagicLabs ILM which lets us know when an email has been opened. Very seldom do we see a customer opening our emails without responding, but very often we see plenty of customers who never open any of our emails. I assume we are simply landing in their spam box. How many customers submit an inquiry without a phone number, or a bad number, and we end up in their spam box?