What lead provider has the best leads?

[aamirrez]

I was wonder if I could get everyones input on who they think the best lead provider is. By best I mean, provides the highest quality leads that result in higher closing percentages?

Autoweb
Autobytel
Carsmart
Car direct
Stoneage
invoice dealers
NADA Direct
Car Point
?

I have heard invoice dealers isn't too good? Does anyone disagree.

Which do you think is the best one?

Thanks in advance for your input!!

Ali

[puredealer]

Your dealership's site produces the best quality leads, and typically have by far the highest closing ratios. Our goal, and most dealers, is to eliminate the highest costing lead sources and obviously put more money where they can sell more cars for less. Typically this is through self-promotion of their own site, or by "becoming" a lead source by making a site as good as the big sources. email me direct if you want to see some samples of some dealer site "portals" we've developed.

Thanks,
Michael www.puredealer.com


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www.puredealer.com

[doc]

I agree with Puredealer, as do most Internet/E-commerce analyst. Generating your own website traffic will bring in a better quality lead, will close anywhere b/w 5-15% higher than your lead providers (Assuming you are working them correctly), and will cost you a fraction to do it (Assuming that you teach yourself how to do it). Even if you have to spend money, if done intelligently, you still will spend far less annually.

However if you are more interested in a 3rd party site then I suggest checking into Autovantage/Carpoint. I believe them to be best, atlleast with new cars.

You know, for that matter, I think they are all worth about the same. Which isnt saying a lot.

I dont know of many dealerships closing their 3rd party leads above 10% (Although there are some), and I know a lot of dealers closing their website leads anywhere from 15-25%. Good thing about these guys though is that they merged about 6 months ago. This created a 2 portal system both of which drove traffic to their own site very well to begin with. Now I have recognized on average that most lead providers have dropped about 20% across the board from last year when it comes to number of leads generated. I believe that is primarily due to the consumers beginning to realize that they still have to go to a dealer to buy the vehicle. All evidence suggests that these 3rd party sites are still keeping their traffic numbers up but people are beginning to use them as info sites instead of getting their auto quotes. Even though, prior to the merger, carpoint suffered the same loss, and I believe Autovantage was as well, as the rest of the providers, after wards their volume numbers began to surpass lasts year. Quality of the leads IMHO remained the same or changed little. I also believe that within a year to two that even with the combined efforts they will not be as valuable as they are today, and they will probably lose volume next year when measured to 2001.

However, you will be more successful IMHO to spend the money on your own site. My company didnt believe me at first but now they have witnessed the results. Bottom line is this.

Your website closes 15 25% or more of its self generated leads. Providers (most would agree) 10% or less.

Website can be pushed with very little cost. I now receive more leads than any of my providers and I spent less than $1,000 to achieve it for the entire year. Providers, well they cost me b/w $5K & 12K. Some dealers pay more, especially import lines (most anyway) due to their increased traffic on the World Wide Web.

You do the math........

The Toyota store, which isnt nearly as successful as our Lincoln-Mercury's Internet operations, have spent a lot more with providers due to them receiving 3 times as many leads as our Lincoln-Mercury products. South East Toyota assisted their dealers and helped provide them with an Automark site. Which iss good for the most part, however now we are dealiong with a proprietary site. Meaning they do not have any ownershiop rights, or customizable control. Now anytime we want to do any real marketing changes its could cost extra $$$.

So if you have a proprietary site (One in which a company maintains for you at a monthly service fee), then it could/will cost you much more. However there are tricks that, if you spend the time to be a student of e-commerce, you can learn that will accomplish the same tasks (Driving traffic) by spending far less.

Just remember one thing. The Internet is the only non-traditional media available right now. It changes more rapidly than any other Industry ever. Its still a baby and like a baby it grows fast and you always having to keep up. Get your mind to think out-of-the-box and utilize the tools that have been available to most dealers for the last 5 years. Just by making proper use of todays Internet and the services on the Internet you can drive traffic and in most cases you dont have to $$ a dime!

Of course this is just my professional opinion.

Email me if you would like

John Holladay
Internet/E-commerce Manager
Parks Automotive Group Florida
jholladay@parksflorida.com


[This message has been edited by doc (edited 12-20-2001).]

[This message has been edited by doc (edited 12-20-2001).]

[This message has been edited by doc (edited 12-20-2001).]

[This message has been edited by doc (edited 01-15-2002).]

[fossy]

We've used a lead generator service that has produced the best results. It's http://www.cheapervehicle.com

They have specific sites for each car line

ie www.cheapertoyotas.com

We bought our market area for a one time fee and we can advertise it our own way and they also have national advertising where the leads go to the dealer that owns that market.

pretty slick and the leads are good for both new and used. we do more used so far. grosses are also good.

[Balelo]

I currently don't have the opportunity to have Carpoint in the dealership where I work. But, based on my 6 years experience as an E-Commerce Director for several franchises, I would have to say that Carpoint has given me the best results.

Mark Balelo
E-Commerce Director
Coulter Motor Company
http://www.coulter-tempe.com

[Eva]

Whatever you do, don't go with Stoneage... They charge a per lead fee, and solicite leads with huge mass e-mail promotions that offer contests prizes for people that "Submit" inquires. You end up with a large amount of leads that you have to pay for that were never interested in buying a vehicle, and half of them are not even old enough to drive. Then Stoneage continues to send them e-mails forever so you end up getting leads from the same people for months to come. Many customers have complained about the repeated e-mails. They also use other names in their promotions to hide the fact that they are Stoneage - I suggest that you submit an inquiry yourself and see what happens.

AutoVantage is good. They have changed over to a per lead charge based on an average, but they have an agreement with Carpoint to get all the Carpoint New Leads.

Autoweb will provide a large number of leads not quite as good a closing ratio as AutoVantage, but with their partnerships with other buying services you will get a good supply of leads. They are very visible on the internet.

I would suggest that you make sure you know which services have relationships with others so you don't pay for one source twice.

Sorry for the long reply. All in all the best source we have which provides the most leads for the least expense and has the highest closing ratio is our own site.



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Eva

[jdaniel]

Looks like you've gotten good advice already, so I'll reiterate a couple of points: steer clear of Stoneage for all of the reasons listed by Eva; pump up your own site for the reasons listed by Michael and Doc. Also, you didn't specify where you are located, but there are a few independent, regional referral services out there that have been doing this sort of business a long time, if there's one in your market you may be surprised by how well they perform.

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Jack Daniel, MCSE+I, CCNA

[Ken Luna]

This is a prejudiced posting but I would urge you to check out Intelliprice.biz. Autonation is placing it on all their sites.
If you go to www.elway.com, you can see the pop up reflex. Everyone is correct in stating that a dealers own web site brings the highest quality leads. Intelliprice takes advantage of that. I am the V.P. of Sales for Intelliprice so please forgive the self promotion but I do believe you will find us to be quite unique.

[puredealer]

Have any dealer's (other than our own) made their own "third-party" sites to generate leads such as:
http://www.lowestfordprices.com http://lowestpreownedprices.com http://www.chrysleratinvoice.com

What were the results if so?

-Michael

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www.puredealer.com