Chances are you've heard it before. They pop up in your CSI results, and it’s a common complaint on social media channels and dealer review sites. You may have even gotten an earful straight from the customer, as they express their frustration and dissatisfaction with the automotive sales process. And those are the folks who actually bought a car, who just spent hours of their time spending thousands of their dollars at your dealership.
Think about that for a second.
Your team spent three hours turning a willing customer into an angry buyer. It’s eye-opening because selling cars is a relationship business – and it always will be – yet consumers view that relationship as an unpleasant hassle. Why? According to the Cox Automotive “It’s About Time” whitepaper, three of the key reasons are time, negotiations and the trade-in process:
1. Buying a car can be like going to the movies. Twice.
According to the 2014 IHS Automotive Buyer Influence Study, 55 percent of new car buyers and 57 percent of used car buyers experienced frustration during the vehicle purchase process, largely due to the amount of time it took to complete the sales process.
Tip: Implementing digital retailing tools on your website allows shoppers to jump-start the buying process online. When that online experience is integrated into your in-store process, the experience of buying a car is faster, efficient and more relaxing.
2. Negotiating a purchase price can be worse than a root canal.
Multiple personnel, missed communication between salespeople, and the constant reworking of the deal make the traditional negotiating process and tactics more cumbersome than needed. Today’s shoppers have done their research online, and want to arrange deal terms in a way that’s more transparent, convenient and efficient.
Tip: Deal communication platforms such as MakeMyDeal build consumer trust and accelerate purchase decisions because it empowers a direct, one-to-one online connection with buyers, allowing you to make deals and finalize terms prior to the showroom visit. Allowing shoppers to pencil their own deal right at the Vehicle Details Page (VDP) builds trust and enables your sales consultants to more quickly understand what buyers are looking for in terms of pricing and features.
3. Getting a good trade offer can be like finding the last unicorn.
More waiting, more hand-offs…and less communication between more people can make the trade process frustrating. The study found that on average, this step alone took over half an hour at the dealership. That’s confounding, to be sure – and it doesn’t include the confusion that comes from getting different valuations from different software systems.
Tip: Digital Retailing tools on your website should include a realistic trade-in appraisal tool. Connecting the online and in-store trade process reduces confusion, boosts transparency and streamlines the steps.
Compete on Experience & Authenticity, Reduce the Trust Gap
The takeaway is pretty simple and very powerful: A lengthy process damages the authenticity of the experience. The Cox Automotive study found that customer satisfaction is highest within the first 90 minutes at the dealership, but once past those 90 minutes, smiles quickly turn to frowns. Today? The entire traditional experience lasts close to three hours. Changing that requires an online to in-store approach that bridges the work consumers do on your dealer’s website into the showroom. Reducing this time reduces the trust gap between salesperson and buyer, and that creates an experience focused on making the buyer feel as though they are a part of an authentic relationship that puts their needs first.
Win the Deal Online
Selling cars is a relationship-driven act. And by establishing the parameters of that relationship online first, you will start working deals instead of leads and create what Cox Automotive Vice President and Digital Retailing expert Mike Burgiss calls “Connection Commerce.” That’s the act of putting the relationship between dealer and buyer first, and empowering the deal structuring process to take place online, right on the VDP. It gives consumers the type of experience they want, in the time frame they wish – and at the places they prefer.
Mike Burgiss is the Founder & General Manager of MakeMyDeal, and VP of Digital Retailing at Cox Automotive. As a technology thought leader and entrepreneur, Mike’s passion lies in providing dealers with the online tools necessary to stay in control and win in their retail businesses, specializing in leading innovations that drive new business growth. Click here to learn more about Mike and read his latest guidance on online automotive retail trends.