Engaging the Online Buyer A Matter of Trust

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Engaging the Online Buyer A Matter of Trust

• Kathy Kimmel, Cars.com

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Moderator Kathy Kimmel

• Began automotive career as DaimlerChrysler
  district sales and service representative
• CSI manager for 26 AutoNation stores
• Former BDC manager for two AutoNation
  Mercedes-Benz stores in Illinois
• Training manager for Cars.com, consulting dealers
  on internet advertising and sales processes

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Panelist Matt Lamoureux

• Acton Toyota
• Internet sales director
• Single-point store in Massachusetts

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Panelist Nancy Stracione

• Fred Beans Family of Dealerships
• Internet director
• 23 franchise stores in Pennsylvania

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Panelist Jerry Winder

• Larry H. Miller Dealerships
• Director of e-commerce/internet
• 43 franchise and pre-owned stores in the western
  United States

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Trust Fuels Your Business
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Overcoming Perception

• Perceptions of car salesmen and the car shopping
  process must be overcome
• Americans rank car salesmen last among public
  service professions for honesty and ethics

Gallup Poll Honesty / Ethics in Professions,
Dec 8-10, 2006
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Internets Influence Continues to Grow

• Internet yields greater
• influence on decisions than
• ever before
• 80 now research online
• 68 claim the internet has an impact on
  make/model
• 49 note the internet has some influence in
  choosing the seller from which they purchase

Cap Gemini J.D. Power Associates 2006 Used
Autoshopper.com
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Shoppers Narrow Dealerships Online

• Shoppers are visiting fewer dealerships
• Shoppers visiting only one dealership has doubled
  since 2004

Automotive Retailing Today Image 2006 Shoppers
Non-Shoppers Survey Results (September 2006)
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What Well Learn Today

• How to build online ads and listings that engage
  buyers and instill confidence
• How to monitor and influence your online
  reputation

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Online Ads That Build Trust
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Avoid Trust Busters

• Trust Busters
• Inaccurate information in your ad
• Different pricing information in the same ad
• Inaccurately advertised mileage
• False equipment in the listing
• Too many phone numbers
• Bad grammar and misspelled words
• No pictures of the vehicle
• Advertisements for inventory thats not in stock
  or that has already been sold

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Include Trust Builders

• Trust Builders
• Quality photos that alleviate doubts
• Pictures of the sales staff
• Detailed information about the vehicles history
• Maintenance records, inspection report or
  reconditioning report
• Information about your dealership and its
  reputation

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Buyers Believe What They Can See

• How do photos engage buyers and build trust?

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Buyers Believe What They Can See

• Trust Building Photos
• Problem areas
• Use multiple, good-quality pictures
• Price on the vehicle window
• Odometer reading
• Under the hood
• Owners manuals with keys
• Maintenance records
• Vehicle History Reports
• Sales staff or ISM
• Tire tread with penny test
• Actual photos of new- vehicle inventory

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Keep Your Inventory Fresh

• Outdated inventory leads buyers to believe they
  have been a victim of bait and switch sales
• Remove sold vehicles from your listings
  immediately
• Never post inventory you dont have in stock
• Know whats in your inventory when buyers call

• I had a very poor experience at this dealership
  on 6/7/07. After speaking with the internet sales
  department to confirm vehicle(s) were actually on
  the lot and to tell him I'd be there that
  evening, to my dismay, the vehicle was not on the
  lot. The quoted vehicle was now only available at
  900.00 additional (running boards I didn't want)
  the classic bait and switch. In short my
  experience was extremely annoying, frustrating
  and a colossal waste of my time. I would never
  recommend this dealer to friends and family.

DealerRater.com
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Build Confidence in the Car

• Call out special features that build trust in the
  vehicle
• One-owner vehicle
• Bought and serviced here
• Inspected by our certified technicians
• Vehicle History Reports
• Certified pre-owned

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Certification Gives Peace of Mind
Cars.com/Experian Automotive Consumer Purchase
Behavior Analysis
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Show Buyers You Have Nothing to Hide

• Vehicle History Reports reduce real or perceived
  risks in the buyers mind
• VHRs are growing in importance to used-car
  shoppers
• Of those who obtained a VHR, 57 would not have
  purchased the vehicle without the report

J.D. Power and Associates 2006 Used Vehicle
Sales Certification Study
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Offer Reasons to Trust Your Dealership

• Tell buyers about your dealership to earn their
  trust
• Articulate your business philosophy
• Mention longevity in the business
• Note community involvement
• Feature accolades and awards
• Establish the expertise of your management team
  and sales staff

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Going Beyond Your Website

• Using social media to engage buyers and build
  trust in online communities

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Roadmap to Ads That Engage Shoppers

• Build the cars credibility through quality
  photos, accurate pricing and detailed sell copy
• Leverage certified inventory and VHRs to give
  buyers peace of mind
• Set a trustworthy tone for the sales process
• Reinforce your stores positive reputation
• Be consistent across all channels online and
  offline

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Managing Your Online Reputation
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Monitor Whats Being Said

• Evaluate the conversation about your dealership
  online
• Monitor blogs and chat rooms
• Read consumer reviews
• DealerRater.com
• Seller ratings on eBay Motors
• Take negative feedback to heart and make it right

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The Power of Consumer Reviews

• Increasing numbers of consumers are turning to
  the opinion of others online
• 75 of shoppers say its extremely or very
  important to consult consumer reviews before
  buying

I used the team at Acton I and the experience was
extremely excellent. The whole process worked
seamlessly. I had very little time and needed
someone willing to work via email and phone as
well. The staff was great to work with and was
very responsive and more importantly was
pro-active without being intrusive. The process
gave me their best price right away (and it was a
fair price) and I never felt or found anything
but straight and honest discussions. I have
already recommended them to friends telling them
they have to at least give Acton a try when they
look for a car.
2007 Survey by Bazaarvoice and Vizu Answers
Effect of Consumer Reviews DealerRater.com
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Influence Your Reputation Online
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Would You Trust This Dealer?

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Trust Drives Success

• Trust plays an essential role in the sales
  process
• Build buyer confidence in your advertising by
• Fully advertising your listings with
  photographs/video and sell copy that accurately
  shows the cars condition and gives buyers peace
  of mind
• Promoting the value of your brand and
  communicating your reputation
• Earn buyers trust with best practices for lead
  follow-up, managing email, phone and walk-in
  traffic
• Monitor and influence your online reputation to
  build trust in your store
• Leverage trust and credibility to build
  relationships and drive more sales

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Questions Answers

• Thank You