Comments on: Web 2.0 Essential for Dealers to Survive Economic Crisis

By: Ostridge dealers | Itstimetocare

Ostridge dealers | Itstimetocare — Wed, 01 Jun 2011 21:23:30 +0000

[...] Web 2.0 Essential for Dealers to Survive Economic Crisis |The car business has been struggling to come to terms with Web 2.0. Dealers should use this slow period to invest time, resources, and money, into transforming into Web 2.0 operations. … These days, the most believable voices come from individuals, not what your dealers says about itself. [...]

By: Facebook Ideas for Car Dealers | AutoConversion Blog

Facebook Ideas for Car Dealers | AutoConversion Blog — Sat, 18 Jul 2009 05:14:01 +0000

[...] for dealers to sell more cars with today’s web technologies. I for one have no doubt that Web 2.0 is key to the success of car dealers, but I also realize the climb has hardly [...]

By: Edward Brown

Edward Brown — Thu, 01 Jan 2009 09:10:14 +0000

Thought provoking post, Audrey. I can see 2009 becoming the year of dealer Web 2.0. A surprise may be the use of Web 2.0 inside organizations as differentiated from strict marketing. Use of Web 2.0 internally could positively impact the use of such tools for customer facing activity by training the entire dealer workforce on Web 2.0 concepts and tools. I agree with you that smart dealers will look at this slow period as the time tackle a new model like Web 2.0.

By: Tony Weaver

Tony Weaver — Thu, 20 Nov 2008 02:48:40 +0000

Audrey,
Yes, now find me a vender that will actually do it. Maybe in two years??? Automotive web site venders are always late in developing the what is happening now stuff. Hopefully, dealer.com will work with me on this…

By: Audrey Knoth

Audrey Knoth — Wed, 19 Nov 2008 16:54:28 +0000

Hi, Tony: How interesting about your reading the reviews about the space heater and then making your decision. This is absolutely the way consumer purchasing behavior is going. If consumers don’t find reviews on a retailer’s web site, they google for them elsewhere. By keeping their websites closed off to customer reviews, dealers are not going to prevent customers from putting their opinions online about the vehicles they bought and the service they received. They are simply going to cause customers to find other places on the web to post them. I agree there has to be review of submitted customer comments for senseless ranted and lewd language before they are posted … and consumers generally understand and accept the necessity of that process. Managing the comments is important in another way, too, because the dealership can post responses to any comments it feels are negative. These responses could be things like, “Thanks for pointing that out to us; we looked into it and took care of it this morning” … etc, etc, etc. Web 2.0 isn’t going away for dealers … it’s just the smart ones will get on board now so they are ahead of the curve for whatever Web 3.0 is going to be.

By: Tony Weaver

Tony Weaver — Sat, 15 Nov 2008 19:13:49 +0000

Allowing customers to have full reign of your site would be a huge step, no doubt about it. After much thought on this idea, and after taking a beating the other day from people on this site in another posting, I decided to investigate this alleged customer phenomenon quoted as, “After the dark economic clouds clear, the sun will be shining on a new era – one in which consumers will be able to spend money, but will only be willing to do so with companies endorsed by “people like me.” Woe betide auto dealers who are not onboard and ready with Web 2.0 then.” I do not know why, but after reading that comment, the hype of Y2K comes to mind. “Never mind that. Let’s be positive!” they say!

Just the other day, after reading this post, I was thinking about purchasing a space heater for my home. In the interest of saving time, I went to the Wal-Mart website to see what they had listed for sale. I found what I was looking for and read the reviews on the product. There were two positive remarks and one negative remark. Satisfied with the positive feedback, I went to Wal-Mart last night and bought the space heater. Did the comments regarding the heater sway my decision? YES, of course they did!

Well heck, maybe it would be great to have customer comments on new or used vehicles on our site. What could be the harm? After all, if the comments are made by real people, everything should be fine – especially if our dealership is customer service orientated.

I figure that there would need to be some checks and balances. For example: requiring any person, wishing to leave a comment, to have their email verified before the comment is posted. I actually tried to leave a comment on Wal-Mart.com and there was a process I had to follow to have my comment posted on the site. Basically, I had to be a real person. I have found this to be the case on most other sites. They will not allow someone without a name and a confirmable e-mail to post on their site. This process prevents people from ranting or making lewd remarks.

Yesterday, I took this whole idea of customer reviews a step further. My dealership group is spread out across a couple of states so we have three website providers. I contacted each of these companies and pitched the idea of adding customer reviews or maybe a question and answer section (like the one on e-Bay). All three venders shot down the idea. The rep at each website provider told me to just use the “News” or “About us” section on my site(s) and put written testimonials with pictures, or video testimonials up. They all treated me as if I was absolutely insane and I thought I was for asking them because I new what the outcome would be…

So guys and gals, if you want this, you are going to have to request these reviews to be built to your sites now! Or, like the author of this post indicated, we may become victims of this Web 2.0 phenomenon – or not…

By: Stan Sher

Stan Sher — Sat, 15 Nov 2008 06:37:52 +0000

This is the time when dealers start to separate the strong managers from the weak ones. They realize they waste money on weak ones and let them go. This is also the time to really start embracing the internet because it is the wave. The future is already here, they just need to grap onto it. This is where internet specialists and consultants should really be working to help shape the industry to be eCommerce friendly…

By: Audrey Knoth

Audrey Knoth — Mon, 10 Nov 2008 22:05:13 +0000

Thank you, Jeff and Ryan, for your kind comments … Jeff, regarding your point about the current economic crisis … it’s all the more reason for dealers to embrace Web 2.0 now. First off, of course, there is its cost-effectiveness, and that factor alone should speak volumes. Beyond that, economic disruption always forces change. The victors are the ones who innovate so they are ready for the new era. Ryan, your point about building a culture of “customer audience” rather than “vehicle leads” is the perfect way to put it … and also why I believe that the dealership’s web/e-commerce directorship should be a top-level executive function, because the company’s web presence cuts across all departments. When you consider it from the standpoint of “customer audience,” you realize this audience is comprised of sales customers, service customers, body shop customers, and other audiences, such as potential employees. This is central to the dealership’s identity and needs to be advocated at the top. Again, thanks for your comments!

By: Ryan G

Ryan G — Mon, 10 Nov 2008 17:32:44 +0000

Yes, this is a good topic, but keep in mind that “Web 2.0″ is just a temporary label identifying a permanent situation – Interactive Marketing or User Contributed Marketing as Jeff suggests above.

The mountain I see needing to be climbed by dealers is shifting from a culture of “vehicle leads” to “customer audience”. With Web 2.0, the objective is to develop an engaged audience, not generate vehicle inquiries. Of course, you are developing this audience for the interest of your business.

For instance, when you hold your next tent event, consider some possible uses for Facebook.

Good stuff Audrey.

By: Jeff Kershner

Jeff Kershner — Sun, 09 Nov 2008 17:59:59 +0000

Audrey,

I can’t thank you enough for a great subject and a great post.

I truly fear the outcome for many dealers across the United States. I hear of dealers closing their doors and selling out almost daily.

I know of TOP performing dealers that do have a grasp on Web 2.0 but are still facing rough times. They are keeping afloat but are of course still feeling the dip.

To be fair though..we have hit a crises in the economy while 2.0 is still in it’s infancy. Most dealer are still trying to figure out the 101, so having them on board with 2.0 is not expected (though needed).

Something that I have seen and maybe some others can confirm; though over all sales are dramatically down, Internet accredited sales percentages seem to be at their highest (or have stayed the same).

What does this tell us?? Something most of us already know; customers are spending more and more time online researching. They are becoming more analytic and are buying based on facts and needs rather emotion. This is another reason I believe dealers are struggling with floor sales. Sales people are and have been trained (plus it comes natural) to sell on emotion. This is currently causing conflict with the consumer and giving them more reason to “have to think about it” while going back home to get more facts.

More time online equates to more searches, more fact finding and MORE opportunities to engage with Web 2.0 avenues. More opportunities to find and be influenced by the a dealers online reputation.

Lets get even more granular! Customers spending more time online, more time to be influenced, more time to gather facts, MORE TIME TO EXPRESS THEIR OWN EXPERIENCE they just had with the dealer trying to sell them on emotion.

I have no doubt this is happening. I see it first hand.

Dealers desperately need to get on board and grasp the true understanding of web 2.0, transparency, relationship based selling. It’s more than just “web”. It’s a movement and one that has been even more fueled by the crises of the economy.