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Selling to the Car Dealer in a Multiplatform World Selling to the Car Dealer in a Multiplatform World

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Selling to the Car Dealer

in a Multiplatform World

Selling to the Car Dealer

in a Multiplatform World

Paul AccinnoPresident and

CEO

WorldDealer Inc.

Paul AccinnoPresident and

CEO

WorldDealer Inc.

AgendaAgenda

• President/CEO – WorldDealer, Inc. – Provides online and offline automotive marketing solutions

including advertising services, websites, lead management and CRM, call center services and systems administration and auto portals for TV stations.

• President/CEO – JW Messner, Inc.– Formerly GM’s largest LMG agency

• EVP Sales/Marketing – The Boucher Group– Top 100 Auto Dealer Group

• Zone Manager – Ford Motor Company– Field Marketing Group

Background

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• Selling to the Dealer in a Multi-Platform World– Understanding the Purchase Process– How Do Dealers Spend Their Ad Dollars– Why Don’t Dealers Buy Broadcast TV

• Media Convergence...Getting Started• Getting Ready To Pitch

Agenda

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Title

The Purchase Funnel

Purchase Process

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The research has shown that the purchase process begins within six months from the eventual acquisition.

The Purchase Funnel

Time Inc. Automotive Purchase Process ©December 2005

Purchase Process

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Three Distinct Stages emerge as the intenders pass through the purchase process

The Purchase Funnel

Time Inc. Automotive Purchase Process ©December 2005

Purchase Process

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“Needs Phase” (6 months – 4 months) Intenders are accessing the models that are available for basic consumer needs and desires — size, space and styling.

The Purchase Funnel

Time Inc. Automotive Purchase Process ©December 2005

Purchase Process

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“Features Phase” (3 months – 2 months) - Intenders have narrowed their choices and are now comparing models within a single segment focusing on product features.

The Purchase Funnel

Time Inc. Automotive Purchase Process ©December 2005

Purchase Process

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“Price Phase” (final month) - Vehicle cost becomes paramount as the intender visits dealerships (usually for the first time) and makes final comparisons that lead to purchase.

The Purchase Funnel

Time Inc. Automotive Purchase Process ©December 2005

Purchase Process

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Title

Media Usage InThe Funnel

Purchase Process

The most powerful convergence media combination!

Automotive Internet Users (AIU)

Automotive Internet Users (AIU)

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A record high 67 percent of new-vehicle buyers use the Internet in their vehicle shopping process in 2005.

New Automotive Internet Users

J.D. Power and Associates 2005 New Autoshopper.com Study

Purchase Process

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Nearly all (89%) of these consumers visit a search engine or portal (such as AOL, Google, MSN and Yahoo!) as part of their shopping process.

New Automotive Internet Users

J.D. Power and Associates 2005 New Autoshopper.com Study

Purchase Process

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77% of these consumers visit at least one Independent Web Site and typically visit this type of site first in their vehicle shopping process.

New Automotive Internet Users

J.D. Power and Associates 2005 New Autoshopper.com Study

Purchase Process

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“The Internet now helps to lead more late-model, used-vehicle buyers to the vehicles they purchase than traditional newspaper and magazine classified ads combined.”

Used Automotive Internet Users

J.D. Power and Associates 2005 New Autoshopper.com Study

Purchase Process

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• 53% Used Internet In Shopping Process

• 24.3% Internet Impacted Seller Selection

• 90% Visited And Independent Site

• 52% Of Purchasers > Dealer Site Primary Source

Used Automotive Internet Users

Purchase Process

Dennis Galbraith, senior director of research at J.D. Power and Associates

How Do Dealers Spend Their Ad Dollars

How Do Dealers Spend Their Ad Dollars

Ad Spending

• Newspaper still has “Lion’s Share”– 76% of New Vehicle Budget– Newspaper Association of America (NAA) reports 7

consecutive quarters of used car classified revenue loss

• Internet is 14% of new vehicle dealer spending with 1/3 involved in SEM (PPC) advertising

Spending Trends

Ad Spending

CNW Research, NAA and The Cobalt Group

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Spending Trends

Ad Spending

TV Radio DM NP

11%

15%

7%

14%NADA Industry Analysis Division, 2005

Past 10 Years

• Media Usage in the Purchase Funnel

• If TV + Internet is the most powerful combo...why do dealers spend so much in radio? We need to educate!

Spending Trends

Ad Spending

Spending Trends

Ad Spending

Why Don’t Dealers Buy TV?Why Don’t Dealers Buy TV?

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1. Fear and Habit– They need help breaking the Print Habit!

2. TV Buys Are Too Expensive– Show them the research (TV + Web)

3. TV Buys Are Too Complicated– Presentation Skills...keep it simple

4. TV Production Is Too Expensive– Include in buy

5. TV Production Is Too Complicated– Don’t make it such a big deal...have spec creative

6. I’m Paying For Coverage I Don’t Need – Cable Argument...get Polk Data to show dealer who’s selling units in his

area

Why Don’t Dealers Buy TV?

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7. Location...Location...Location Cost in Major Metro’s is prohibitive. Help dealers with creative

schedules using shorter lengths, shorter flghts.

8. It’s Not My Job! – It’s the Ad Group’s Job...WRONG...if they piggy backed the ad

group...they would see how effective this strategy is!

9. Local Ad Agencies – Tend to be Print of Radio skewed

10. Planning/Stewardship – Not understanding the simplicity and beauty of the base

annual buy

Why Don’t Dealers Buy TV?

Automotive RetailMedia Convergence...Getting In

The Game!

Automotive RetailMedia Convergence...Getting In

The Game!

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• How Committed Are You?– 3rd Party Plug & Play– Partial Integration of Multi-Platform Elements– Fully Integrated Station/Dealer Solution

• Build In House• Strategic Partner

Getting In The Game

Third Party Plug In withAutomotive Content

Build A Vehicle

Basic Plug & Play Solution

Factory Videos, Dealer SpotsOr Animation

Third PartyPlug In w/

Grounded Stock

Partial Integration

Station Commercials Direct Consumers To Auto Section Link On Your Website. Commercials Tag Participating Dealers

Auto SectionLink

Auto Section Content

Integration

Full Integration

Auto Section Home Page

AutoChannel provides consumers with multiple access points to dealer’s inventory.

Auto Section provides consumers with multiple access points to dealer’s inventory.

Auto Section Home Page

AutoChannel provides consumers with multiple access points to dealer’s inventory.

Auto Section provides consumers with multiple access points to dealer’s inventory.

Make/Model/Zip Code Search Takes Consumers to Results Page in One Step!

Auto Section Home Page

AutoChannel provides consumers with multiple access points to dealer’s inventory.

Auto Section provides consumers with multiple access points to dealer’s inventory.

Make/Model/Zip Code Search Takes Consumers to Results Page in One Step!

On Line Ads Take Consumer to SpeciallyDesigned Co-Branded Dealer Sites

AutoChannel provides consumers with multiple access points to dealer’s inventory.

Dealer Search Takes Consumers to Specially Designed Co-Branded

Dealer Sites

Auto Section Home Page

Auto Section provides consumers with multiple access points to dealer’s inventory.

Make/Model/Zip Code Search Takes Consumers to Results Page in One Step!

On Line Ads Take Consumer to SpeciallyDesigned Co-Branded Dealer Sites

Zip Code Search Brings Consumers to Search Results Page

Maintain Station Identity Throughout Your Auto Section

Vehicle Details Page

Consumer Has Option to Call Dealership Using Toll Free Tracking Number

Vehicle Details Page

Consumer Has Option to Call Dealership Using Toll Free Tracking Number

Submit Quote Form

Vehicle Details Page

Consumer Has Option to Call Dealership Using Toll Free Tracking Number

Submit Quote Form

Calculate Payments

Vehicle Details Page

Consumer Has Option to Call Dealership Using Toll Free Tracking Number

Print Trackable Page to Bring to Dealership

Submit Quote Form

Calculate Payments

Consumer Has Option to Call Dealership Using Toll Free Tracking Number

Print Trackable Page to Bring to Dealership

Or Visit Custom Designed Co-Branded Dealer Website

Submit Quote Form

Calculate Payments

Vehicle Details Page

Elements of Your Co-Branded Dealer Site

Elements of Your Co-Branded Dealer Site– About Us

• Contact Us• Directions

– Incentives• Factory

– New Vehicles• Search• Find My Car• Trade Appraiser

– Used Vehicles• Search• Find My Car• Trade Appraiser

– Calculator • Forward/Reverse

– Finance Application– Call Tracking

Co-Branded Dealer Website

Searchable Inventory Ads

Searchable Inventory Ads

Used Car Classified Section Allows Consumers and Independent Dealers to list Vehicles. Brings more viewers to site.

Dealer Association Model

Station Home PageAd GroupContent

Assoc.Tower

Ad

AssociationLanding Page

Customer Searches

For Vehicle or

Dealer

If Dealer Then

Co-Branded Dealer Website

If VehicleThen

Results Page w/Vehicle

RequestedBy Zip Code

Customer Views Vehicle’s Details

Page Dealer Receives Lead

Customer Views Vehicle’s Details

Page Dealer Receives Lead

Search Inventory Ad

Assoc.30 Spot

Managing ExpectationsManaging Expectations

Merchandising The ModelPositioningYour Model

Audience DeliveryLead Delivery

Online/Offline TrafficMuti-Platform

Getting Ready To PitchGetting Ready To Pitch

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• Managers/AE Training...Learn the Biz– Bring A Dealer To Lunch Day

• Be Creative...Make Something Happen– Compressed Flights– Limited Dayparts– Shorter Units– Frequency VS Reach– Spec Creative

“Drive Traffic To Their Showroom Through Their Website”

Act Like You’re Ready

Next StepsNext Steps

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• Find A Strategic Partner– Must Be Flexible– More Interested In Promoting Your Brand– Assistance With Packages and Dealers Visits

Next Steps

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• Find A Strategic Partner• Get Training For Your Sales Staff

– Selling Skills and Automotive• Tackle the Logistics Early

– Packages• Develop one’s that work for your station and make sure AE’s and

Management are on the same page!– Inventory

• Make sure dealer schedules will clear...they don’t like being bumped!– Geography

• Assign “Dealer Row’s” by AE so they can easily call on dealers...not based on who currently handles what account!

Next Steps

Paul Accinno866-485-8800

[email protected]

Paul Accinno866-485-8800

[email protected]