The Myth of the "All Powerful" Marketing Suite

By David Metter

Just as one baseball glove does not fit all who play baseball, one “all-encompassing” marketing suite or strategy does not fit all in the automotive business. Think about how our industry views vendors. If dealerships are the players, then vendors are the equipment – the bats, the gloves, the cleats, the helmets – the indispensable facilitators of grand slam opportunities. No team has a shot at winning without the right, proper-fitting equipment. It is the equipment, or rather the vendors, that provide the gloves and helmets that give players the freedom to do what they do best – play the game. But you can’t play baseball without a ball – and you can’t sell cars without vendors.

Okay, okay. Technically, you can still sell cars – but after taking 30 immaculate photos of all vehicles in your inventory, building and maintaining your dealership website, getting certified in Google AdWords to run your paid search campaigns, developing your own CRM, and designing retargeting ads in HTML, there isn’t much time left for selling cars. Am I right?

It’s the “Jack of All Trades” approach versus a new age, fine-tuned, and forward-thinking approach. A company that claims to be a “one-stop solution for all your marketing needs,” cannot possibly be as competent in the results they deliver as a vendor that specializes (and dominates) in one specific area. Think about Walmart. If you wanted to, you could do all your grocery shopping and revamp your wardrobe all in one place. But do you really want to buy your underwear at the same store you buy your carrots? You would have to sacrifice quality somewhere, and in this case, it’s going to be your underwear.

The most progressive dealers, dealer groups, and manufacturers make the time to evaluate new, revolutionary technologies. Why? Because they can have revolutionary impacts on your business. The best players never compromise quality for convenience. They embrace change and innovation while always keeping their eye on the ball. They know the score at all times. To win at something, you don’t necessarily have to know all the stats and analytics, or every player’s batting average, but you do have to know the score – or rather, where you stand in comparison to your competition.

“IF DEALERSHIPS ARE THE PLAYERS, THEN VENDORS ARE THE EQUIPMENT - THE BATS, THE GLOVES, THE CLEATS, THE HELMETS - THE INDESPENSIBLE FACILITATORS OF GRAND SLAM OPPORTUNITIES.” 

More than ever, platform-style vendors are developing marketing suites that consolidate all needs into one. In theory, this sounds like a good idea. However, with product consolidation can come problematic insufficiencies that do not fit all business models, especially those that are unique to car dealers. Jay Henderson, Director of Strategy at IBM advises, “To best succeed in 2016, marketers must understand that flexibility is key and the ability to integrate with a variety of best-of-breed technologies can open up amazing
new opportunities to innovate and engage.”

Thinking outside the traditional marketing platform mentality is the clutch, or the fastball, that will ultimately defend your dealership from falling into the dreaded “average” category, which also fails to identify why people should buy from you. Average is not compelling. Average online experiences don’t drive buyers to your showroom – and more importantly, traditional marketing suites do not offer memorable experiences for your customers. Who wants to be average? Certainly no one in an industry synonymous with competition.

These one-stop-shop agencies and vendors lure you in with the appeal of only having to remember one login, with a single user-interface where you can access all your advertising needs – spanning from paid search, to social media, to email marketing, to your in-store conversion tools, as well as the analytics and reporting on all said items. But that’s exactly why they make tools like LastPass, which manage all your sites and logins so you don’t have to, while providing an easy method of ensuring you have the right players, in the right positions, with the best possible equipment. In other words, the ultimate, game-winning formula.

There’s no denying the accelerating rate at which new companies, with first-ever technologies are entering the digital landscape. This makes it virtually impossible for an all-in-one marketing platform to keep up with up-and-coming players, with best-in-class solutions that challenge the traditional way the game is played. In IBM’s recent whitepaper, they recognize the flexibility that accompanies integrating the ideal mix of solutions as opposed to a large “one-size fits all” marketing suite. “In 2016, look for new ways to leverage your technology mix to give you greater agility to innovate and more strongly engage your customers.”

SmartInsights.com points out another common problem that has accompanied the upheaval in digital solutions, with a movement towards large vendor product consolidation. These curveballs that disrupt organizations and halt communications is what many refer to as digital silos. “Digital silos are created where different parts of marketing and their agencies don’t communicate effectively giving rise to campaigns that don’t work across media.”

When considering which vendors to work with, remember to choose ones that complement each other. For example, you can’t achieve a high website conversion rate if you don’t get enough traffic to your website. Likewise, when drafting a winning team, a coach is tasked with the finding the right blend of talent and strengths, and placing those players in the right positions. And when you think about it, that’s really the only way to win at anything – finding that perfect combination of vendors and tools and making sure all your bases are covered with the player that’s made for the job.

*Article originally featured on Digital Dealer

Winning Starts With WHY: The Critical Role of the "Why Factor" in the Auto Industry

By David Metter

Every business in existence knows what they do – or what product they offer and the associated features and benefits. Every dealership knows what they do best – which is obviously, sell cars. Successful dealerships equip their team with key players that know how to sell cars. But very few know why they sell cars, and the ones that do are empowered with this magical element I like to call the “why factor.”

What is the why factor? The why factor is a set of indestructible beliefs. It is how a business inspires to the point of eternal success. The why factor occurs when a threshold is crossed that transforms a brand into an essential lifestyle component. It is the point at which the brand itself becomes synonymous with the experience it provides.

The why factor is what makes baseball America’s pastime and not just a sport. You don’t have to be a diehard fan to enjoy a baseball game. It’s the atmosphere - the sights, the sounds, the smells, the contests - the experience the ballpark offers that makes it an exciting event for the whole family.

I’ll admit, compared to other pro sports, baseball is relatively slow-paced. But regardless, people love going to baseball games. Why? Because there is something memorable that comes to life within the stadium. The ballpark experience has become a vibrant aspect of our culture.

Apple, like baseball, has also become a part of our culture due to their unique marketing plays. The question becomes, what does Apple have that competing brands lack? I’ll give you a hint. It starts with why and ends with factor. It’s the why factor alone that has made Apple more successful than Dell. Their business model takes the traditional, “outside-in” approach and reverses it from “What-How-Why” to “Why-How-What.”

Leadership guru, author and acclaimed TED Talks speaker, Simon Sinek has created his own diagram that demonstrates the why factor, which he refers to as “The Golden Circle” shown below. Sinek says, “The inspired leaders, the inspired organizations, regardless of their size, regardless of their industry, all think, act, and communicate from the inside out.”

Still with me? Let’s further break down how Apple has mastered the all-powerful “why factor.”

IF (and that’s a big if) Apple communicated like everyone else, they would say what they do, how they do it and why they’re better. Then they would expect the action or behavior of people wanting to purchase their products. This is the “outside in,” commonplace approach. This tactic fails to guarantee longevity or more importantly, loyal customers.                                                 

Sinek demonstrates how Apple’s marketing messaging would sound if they were just like everyone else (outside in)…              

1. What: “We make great computers.”
2. How: “They’re beautifully designed, simple to use, and user-friendly.”
3. “Want to buy one?”

Apple’s Actual Model (inside out):

1. Why: “Everything we do we believe in challenging the status quo, we believe in thinking differently.”
2. How: “The way we challenge the status quo is by making our products beautifully designed, simple to use, and user-friendly.”
3. What: “We just happen to make great computers, want to buy one?” 

The difference between these two angles of approach is in the values behind the company that define why they exist. Sinek emphasizes, “People don’t buy what you do, they buy why you do it.” Such a simple idea, but so incredibly powerful. If you don’t believe me, look at any great car salesperson vs. an average car salesperson and you will see what I mean. 

In order to stand out, you can’t just say you’re different. You have to know exactly why you’re different. The why factor must be overflowing within your inherent system of beliefs. It should dictate why you get out of bed in the morning. It is this factor that conquers competitors and challenges the current way the game is played.

It’s not about if you win or lose. It’s about WHY you play the game. Same thing applies for dealers. Whether you sell the car or not, it’s essential you deliver a ball park-inspired, grand slam experience. People who have negative dealership interactions are more likely to tell their friends about them. Positive experiences equate to satisfied, loyal customers. The article, 9 Ways Your Business is Like Baseball also emphasizes the point, “The experience your customer has with your company can make or break their overall view of you and your products. Filling the seats isn’t enough. You want those seats filled by people who are happy they came.”

For your dealership’s message to resonate, you have to simply reverse the order of the information you deliver from “What-How-Why” to “Why-How-What” – always pushing forward from the inside out – never the other way around. Dealers can go about their day (and their marketing strategy) in one of two ways: they can sell cars, OR they can inspire people. Which will you choose moving forward?  

10 Baseball Movies that Will Improve Automotive Sales

Infographic: June, 2016

The Automotive Marketing Home Run

By David Metter

The four bases that make up a baseball diamond can be directly related to the car shopper’s journey. We all know the path begins online. The final destination, or home base, is the dealership. The goal is to surpass all your bases and arrive back at home, or rather, get buyers into your store. You can’t get a home run without rounding the other three bases - that would be cheating. Similarly, in the car business, there are three obstacles you have to conquer first and foremost, before returning home for the win.

First Base: Meet Expectations

The expectations of today’s digitally equipped consumers have skyrocketed. Souring shopper standards have caused additional complexities within the marketing landscape. There are more media outlets than ever before. New developments in mobile and wearable devices are generating more buzz than an overcrowded group text. Our access to data is exploding. Social media advertising opportunities are #Trending. But with all this technological innovation has come consequences. These advancements mean one thing for dealers and marketers: more competition. The following are guidelines to rise above and defeat the competition.

In a recent study, eMarketer reported 97% of US corporate executives say their customers expected an efficient, fast, cost-effective, and personalized level of experience. The two most critical components in automotive marketing today are speed and personalization. Cost aside, if you don’t offer a seamless, personal experience that spans from your digital advertising all the way to your showroom, having the lowest price in town isn’t going to matter - because buyers won’t make it to your dealership if you lack the first two pieces of the equation.

When a pitch is thrown to home plate, the batter has less than a tenth of a second to make a decision on whether or not to take a swing. When it comes to your website and mobile site, the same holds true. The modern-day consumer is flat out impatient. Google says 70% of smartphone users will leave a site that has a lagging load time and 67% will switch websites if it takes too many steps to get the relevant information they’re looking for. Dealers have a total of two seconds to ensure their mobile site experience prevails – slightly more time than a player at bat, but a very small window nonetheless.

According to AutoConversion, personalization of messaging is something we can and should be measuring. “Consumers now expect and respond better to messaging that is better customized to them personally, thus customization has become a key measurable characteristic with marketing attribution, an idea unimagined only a few years ago.”

Second Base: Establish Trust

I don’t care how you do it. Or at what inning in the game you earn their trust. But trust is paramount when it comes to selling cars. Choosing which vehicle to purchase and where to buy it is a large, emotionally dense decision. Whether it’s trust in a brand, a dealership, or a salesperson, it is ultimately that sense of security that makes people feel like they’re being provided with a personal, reliable experience. That feeling of comfort will translate across channels into vehicles sold.

Salespeople are already at a disadvantage when it comes to trust. A new survey from HubSpot says, “Only a mere 3% of people consider salespeople to be trustworthy.” Dealers need to be cognizant of this when staffing sales and BDC staff. Your team’s ability to communicate with honesty and transparency should be equally as important as their experience and knowledge of your inventory.

The same rules apply in marketing. Your brand, your digital campaigns, your “why buy” messaging, and your reputation management, all must collectively paint a picture of trust. A dependable brand provides helpful tips and easy access to information. Dealers can establish integrity by sharing useful advice or articles throughout their digital endeavors, not necessarily related to their given product. 

Third Base: Achieve Conversion

We know vehicle details page (VDP) visits are important. There is no denying the correlation between VDP views and units sold. But what is even more important is the experience your VDP offers once the customer gets there. Your landing pages need to do three things: be easy to navigate, load fast, and above all, convert. Ask yourself, how do your VDPs incentivize customers to take that next step toward home base (your showroom)? KissMetrics says a one second delay in page response can result in a 7% reduction in conversions.

And finally…

Home Plate: Your Dealership

The culmination of the home run occurs when all these factors are simultaneously in play. The trajectory includes every digital touch point (base) that ultimately drove a buyer into your showroom. Just as players must work together as a team, these micro-moments must all work in harmony in order to meet expectations, establish trust, and offer a fast and personal experience.  

Auto Attribution: Are We Stuck in the Minor Leagues?

By David Metter

There are a lot of rookie players in the game when it comes to accurate attribution reporting (measuring your digital sales return on investment). More often than not, the task of obtaining valuable sales attribution metrics is put on the bench due to their roaring complexity. The problem is not the data. The data is there; we just need the right players in the game to tell us what to do with it and how it connects. Obscure conundrums of the digital world can be “attributed” to the ongoing development of new media channels and information available. This new-age, omni-channel playing field has resulted in an upheaval of brand interaction opportunities – leaving the one source that led to a sale increasingly difficult to pinpoint. Keyword being difficult, not impossible.

The concept of attribution itself is relatively simple. According to DrivingSales, “Attribution allows you to understand which elements of your marketing mix were involved in the purchase decision process, and ideally, which were the most effective.” The problem lies in securing truthful statistics. What use is big data when you can’t put it into perspective and draw logical conclusions? If we knew which touch point led to a sale, wouldn’t we have a much better gage on how and where to spend our ad dollars?

In Google’s recent article, they highlight one consumer’s 900+ digital interactions that took place preceding her final vehicle purchase.

·      The Good News: That’s 900 opportunities for dealers and manufacturers to engage customers with relevant, impactful information. Or in Google’s words, 900 chances to “be there and be useful.”

·      The Bad News: The more digital interactions that make up a single consumer’s online profile, the more difficult it becomes to identify which interaction was the tipping point that led to the purchase.

Experian’s Global Marketer Report highlights the current depth of the issue. “The biggest hurdles and key priorities for marketers this year are dependent on having accurate, enriched data, linked together in a central location for a complete customer view.” In 2016, 81% of marketers are still struggling to attain this information. “Proper revenue attribution is crucial to determining each channel or touch point’s role in the customer journey.” But the reality is too many marketers have very little, if any understanding of which investments are paying off.

So let’s get to the point. The answer to the title of this blog is an obvious YES. Overall as an industry, we are stuck in the minor leagues when it comes to correctly measuring ROI. It’s a huge problem for marketers. But I assure you there is hope. If we only had the reporting to know which interaction point transformed a browser into a buyer, we could make much smarter, more efficient decisions with our money.  

So, what are we going to do about it? First, manufacturers and dealers need to hold themselves accountable for seizing the limitless opportunities to connect. Second, ask yourself if you’re holding your vendors accountable for providing you with the attribution metrics that led to a sale? And I don’t mean how many clicks, impressions or unique site visitors your vendors have sent your way. That’s all great to know. But the major league players know that those executions drove traffic into your showroom and they know how many sales they got you.

CDK’s eBook, Automotive Moneyball says it best. “Leads, clicks, visits and VDP views all have value—as do inventory searches and hours & directions lookups. They just can’t tell the whole story when viewed in isolation. No single number can. They’re simply incomplete—pint-sized, partial pictures of the shoppers they represent.”

The major league players have the good stuff: clear, proven, and complete attribution models. However, it is up to you to key up your bases with ONLY major league vendors.

As the former CMO of one of the largest dealer groups in the country, I know from experience how difficult this can be. I also know that dealers are not getting the most out of their vendors for a variety of reasons - one being lack of time, another being the fear they may try and upsell you during a meeting...I get it. But the truth is, vendors are the experts (think of a player using better equipment) and their expertise is up for the taking - just make sure your scouts know how to draft the players with major league talent.  

4 Absolutes of an Automotive Game Changer

By David Metter

I have great news. You don’t have to be a genius to change the game, and you don’t have to be a World Series winning champion either. But you do have to be willing to disrupt and question the current rules, players, and equipment used in the game. You also have to be capable of placing YOUR right players in your lineup. If you possess the mentality that there is always a better, more efficient method of accomplishing a goal, or executing a play, then you have it in your DNA to be a game changer. Most of the time, it’s simply about combining the highest-ranked players with a little common sense.

The following absolutes are not only a set of guidelines to winning a baseball game, but they also dictate the attributes of a game-winning team across all leagues of automotive marketing.

1.    Have the Proper Equipment. It’s impossible to get a home run without a bat, and it’s pretty difficult to catch a fly ball without a glove that properly fits. It doesn’t mean the talent isn’t there, it just means it’s not being correctly applied. If dealers are the players of the automotive business, then vendors are their equipment. Vendors facilitate home runs and grand slam opportunities in the same fashion that bats, helmets, cleats, and protective gear assist players in capitalizing on their true strengths. It is the equipment, or rather the vendors, that provide the freedom for players to do what they do best – play the game. Or in our case, sell cars.

In addition, just as one baseball glove does not fit all who play baseball, one all-inclusive marketing strategy does not fit all dealership business models. Now more than ever, our playing field is being infiltrated with vendors aggregating solutions into a single, “all-powerful” marketing suite that consolidates all needs into one – everything from search, to social, to email marketing and in-store conversion tools. In theory, this may sound like a good idea. However, I advise you to be cautious of anyone who claims to be a “Jack of All Trades,” as they cannot possibly be as competent in the results they deliver when compared to a company that specializes, and dominates, in one specific area.

IBM’s recent whitepaper recognizes the advantages that accompany integrating the unique mix of solutions that support your individual needs as opposed to a “one size fits all” marketing suite. “In 2016, look for new ways to leverage your technology mix to give you greater agility to innovate and more strongly engage your customers.”

2.    Put Your Players in the Right Positions. Know the distinct strengths of every player on your team. Just as you wouldn’t put a first baseman in to pitch to a batter, you should very carefully consider putting a vendor that began in one segment and now offers “everything” in a position to manage your full marketing needs. Automotive is not a one size fits all business. The same dealers, dealer groups, and manufacturers that have changed the game are the ones that have taken the time to sit down and evaluate new, revolutionary technologies. Why? Because their impacts can be revolutionary on your most critical KPIs.

When considering which vendors to add to your roster, remember to choose ones that complement each other. For instance, if your goal is to increase your website conversion, you first need to secure a method of getting enough traffic to your site. Likewise, when drafting a winning team, the coach is tasked with the finding the right blend of strengths and talents, and placing each player in the right position. When you think about it, that’s really the only way to win at anything – finding that ideal combination of tools that cover all your bases with the player that’s made for the job.

3.    Don’t Throw the Same Pitch Every Time. In order to win the game, there has to be an element of surprise. That’s your curveball. In marketing, there is traditional, predictable thinking, and then there is the kind of thinking that completely obliterates everything it means to be average. Game changers refuse to succumb to all that is ordinary. When you’re working within our current digital playing field, it’s important to acknowledge the dense fog of information attempting to cloud your vision at all times. But never take your eye off the ball, as this is the fundamental secret weapon needed to break through the clutter.

Thinking outside the conventional marketing platform is the clutch, or the fastball, that will ultimately defend your dealership from falling into the dreaded “average” category - which also fails to identify why people should buy from you. Average is not compelling nor is it magnetic. Average online experiences don’t drive buyers to your showroom – and more importantly, all-in-one marketing suites fail to offer memorable experiences for your customers. Who wants to be average in an industry synonymous with competition?

4.    Know the Score. How can you possibly win at anything when you don’t know the score? In order to overtake the competition, you have to know where you stand in comparison. Don’t get me wrong, you don’t have to be a statistician or analytics expert, nor do you have to know every player’s batting average, but you do need to know what you’re up against and above all, what sets you apart.

To win the game, you have to be ready and willing to change the game. True leaders combine unbelievable technology with a common sense approach. Sometimes all it takes is asking the right questions, which then evolve into ideas, and ultimately solutions that change and improve our operations. Top-of-the-line equipment will never fail to safeguard a competitive edge, but what really sets game changers apart is that they know how to appropriately allocate their assets. They choose to work with vendors that make it possible to transform a single idea into a better-suited reality.