Internet Departments

[machado]

Numbers????

If we count gross leads that is total number of leads that have a good phone number or good email address.

That does not mean that you disqualify the prospect who will not reply but the information seems valid. Im counting every lead that is not from an obviously bogus source.

I have worked with a VW store in San Antonio that has been my client for about 8 months it is consistently closing 15-19%. Truthfully, I feel they could do a much better job if they would work on continually prospecting to the clients that they save in their database. They admittedly do a poor job of this but they do one hell of a job on the low hanging fruit. All because they have strong fundamentals and a solid process for working every lead. All request are answered within 12 minutes automatically and everyone is contacted a minimum of 5 times 3 by email and twice by phone all inside of 30 hours.

My best Domestic client has been 13.3% for the last 3 months. The best part is they just started with me and are already projecting much stronger returns. Currently they have 23 units on order with $1000 + deposits that they will start to deliver next week. If you have a program that has strong fundamentals I'm confident that you can have results that range from the high teens to the low twenties.


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Greg Machado
E-Commerce Director &
Independant Consultant
http://www.gMACgroup.com
machado@gmacgroup.com
210.710.8456

[EddieFitz]

Thanks for the reply. I use the 5 contact method as well. I feel the reason the business is poor for my department right now is the lack of inventory and changing of the model years. There is currently no reasonable lease programs for a Dodge product. (Durango is 49%, and this is the 2001!)

As for gross numbers, I count every request. I would say roughly 10% of them are the Daffy Ducks and bounced e-mail leads. In your thoughts, do you feel that an import store has a higher ratio then domestic? I have heard this repeatly and just can't seem to come to a conclusion on this matter. Best wishes

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Eddie Fitzgerald
Internet Manager
Croton Dodge
http://www.crotondodge.com

[markrouleau]

If you are selling 18% of your total leads you are doing great. I have heard national average statistics in the 7-9% range.

Also, I believe that the accepted method of contacting leads is to count every one in which two-way communication is possible. Even the Daffy Ducks, if they give their correct phone number or email address.

Mark Rouleau www.marinadodge.com

[chipkinder]

Can someone that uses the 5 contact system tell me how they use it and what they concider 5 contacts. We are currently selling 35-40 a month through hard work and are looking for a system that will help us increase our numbers and closing ratio.

Thanks
Chip Kinder
Sales Manager
Atchley Ford Inc.

[orlexus]

I would really like to know, how to use the 5 point system! Is it applicable to us here in Canada, as well?? Could you please let me know!!

Thanks alot

Chris Edwards
E-Commerce Coordinator
OpenRoad Auto Group Ltd.
www.openroadcanada.com

[machado]

Here is a posting that I did a few months ago that addresses your question

"OK you guys got me.
I also agree with Mike, You need to find what works for you. We have blended several product together to cut down on the amount of work that the ISMs have to do.

Here are a few things to consider:

Personally, I like web-based products that allow several members of my staff to work at the office or from home or on the road (away at training or a trade show). It also allows you to follow up on what they are doing in the office on the road or at home.

Web Control is the mother product to several re-sellers on the market but if you go Straight to AVV at www.avv.com (ask for Lance) you will get the best price.

In all of our stores we use Web Control to track our day to day business. It allows me to run several detailed reports so we can determine a monthly ROI on each lead aggregator and my own web pages. As well as making sure who is and is not following up.
The GMs and myself have manager access the only difference is that we have a Delete Button the ISMs and ISSs do not.

One other feature is that you can allow them DMS access so that you can also measure your Internet Influenced sales as well. This access will also allow you to see just how much money each deal made without having to collect date from 5 different places.

However, we still print all of our inbound leads, Eudora checks mail every 6-8 minuets and then it sends out the AutoResponce then prints the PR. We then send out 3 to 5 letters that guide the customer through the process if they reply or other letter if they do not.

We use Web Control to remind us when to send the follow up letters and make the follow up calls. It also allows us to schedule our day and so that we can confirm things for each other. You can also spot trends and you can use this tool to DOCUMENT when and why you loose deals to the competition.

Eudora also allows us to create address books that are grouped by a recipient list and segregated by model line for NEW or product type for USED. That way we can continue to send out bulk email when there is an incentive change or if we receive a unit like what they are looking for. By using the BCC or Blind Carbon Copy we can send hundreds of email in just a few minuets. Imagine, if your store was hit by hail you could contact thousands of people by email with just a few keystrokes. It cost nothing!!!


You paid for those leads there is no reason to throw them in the trash. 30% of our Internet sales volume comes from the leads that we continue to stay in contact with 6 to 10 weeks after the initial contact. Think back to when you were a green pee
Follow up sells but now instead of spending all day leaving messages on answering machines for a 2% return you can email hundreds of people at a time for a 8% return
DO THE MATH!.

I like Web Control for one other reason they are a web hosting and design company whose roots are in the car business. They have all the other tools to make your job less stressful. We develop a lot of our own content and they plug it into our pages so our sites look different than other stores. So since they were already dialing into our box it seemed like a natural fit. The folks at AVV will make it easy for you to post pictures on your sight and gladly push that data anywhere you want. That way you only manage your inventory once and you will have total control of how it looks and where it goes.

There are a few other real good products that are about to launch or are fairly new that offers much the same functionality but it was designed for a BDC or CRS not specifically for I-net so they cost a few bucks:


Traver Technology www.travertech.com
Automotive Directions
Sandi Jerome Consulting 360.452.1857
Auto web has a fairly good system too:
Sales Enhancer www.autoweb.com
I hope this helps."



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Greg Machado
E-Commerce Director &
Independant Consultant
http://www.gMACgroup.com
machado@gmacgroup.com
210.710.8456

[Results]

SUMMARY - When you look at all of the above responses there are some facts testified by all.
1. The Internet Sales Department must be a separate department in order to dedicate the time required. Hey guys if you have not ever done the job it is time consuming before you even get the first car over the curb.
There is more admin. in this job than most other departments.

2. The Internet Sales Manager should really be a manager. They should have the freedom, budgets, responsibilities and authority that the other managers have in the dealership. Granted there are a lot of ISM's that have know idea how to desk a deal, set ACV or understand the importance of hold back. The GM should be grooming these individuals and preparing them to become a true manager of a store.

3. Internet customers are different than the usual walk in. That is a fact. Do the old sales techniques work? I think they do. The difference is having the savvy of when to apply and how to apply them. Due to the information that is provided by the OEM's, the Internet, and the competition the sales process breaks down as we knew it from the past. The meet and greet is still there but in a different format. The gathering of information is extracted in a different way. Locating the unit is different because in several cases they have done that before they even contacted you. The demo ride takes on new shape and falls out of the order we are all use to. Closing the Sale can really be unique because that in some that is all but done before they contacted the store.
The strong ISM still applies the old time tested techniques. The selling process has changed so the when and how has changed.

Dean's Permission Marketing is a great example. (Dean if you are ever looking for a job call me) Greg Machado is another person that has some great styles that work. I recently reviewed his data and his guys have their manual response down to a minute or less. That is powerful.

Mike Stinson
Results
results@rintuit.com

[This message has been edited by Results (edited 11-11-2000).]

[swindler]

Thanks Mike for the great comment and offer.

Mike is right. Everything posted within the hallows of the dealer forum is a tribute to our accomplishments, insight and foresight to make the Internet vehicle buying experience the best that it can be. It begins with trial and error and ends with value and benefits.

We are all on the leading edge of a win-win situation that depends on our actions. Beginning with our first response, the Internet customer must feel special and welcome to proceed on. With each continuing effort of communication, they must be impressed with a process that is beyond their expectations. They need to be asked to take the next step on their own, but in doing so, we need to reward them.

Give the customer what they want, and you have passed the first step. They in return will be more likely to take the next step that you ask them to. For instance, when we ask a customer to complete a credit application on-line, (it's like the Jerry Maguire "Help me to help you" phrase), express to the customer that you want to ensure that their Internet buying experience is a "hassle free" one. Invite them to review the information online with you to ensure that all of their questions are answered up front. You don't want leave an open door of questions when the customer comes in.

When the customer arrives at the dealership, you should have a "Welcome board" recognizing them as someone special. The vehicle must be ready for delivery and located in a prominent location to exemplify the experience. Introduce the customer to the vehicle with a thorough walk-a-round presentation and test drive. Sell yourself, the business, and the fact that you will all be there for them for miles to come.

All of the paperwork should be done well in advance. This is very important. Remember, the Internet customer used the Internet for it's convenience. Show them the same respect when they come in. If they're a "get me done", the process should be the same. When they talk to family, friends and acquaintances about their vehicle purchasing experience, your name, dealership and URL address should roll off their tongues without hesitation.

It's the overall experience that counts. Make it happen!

Good selling to all!



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Dean Swindler
Internet Manager
The Rowe Dealerships

www.roweauburn.com