David Goldberg – CBT News https://www.cbtnews.com Your #1 source for auto industry news and content Tue, 05 Sep 2023 08:43:06 +0000 en-US hourly 1 https://wordpress.org/?v=6.2.2 https://d9s1543upwp3n.cloudfront.net/wp-content/uploads/2023/04/cropped-CBT-logo-scaled-1-32x32.png David Goldberg – CBT News https://www.cbtnews.com 32 32 7 tips for enhancing your dealership’s online vehicle merchandising strategy https://www.cbtnews.com/7-tips-for-enhancing-your-dealerships-online-vehicle-merchandising-strategy/ Tue, 05 Sep 2023 09:03:09 +0000 https://www.cbtnews.com/?p=189613 In today’s fast-paced digital age­, having a robust strategy for showcasing your dealership’s vehicles online­ is not just a passing trend – it’s absolutely vital. With 80% of car shoppers conside­ring making their vehicle purchase­ online, how you present your inve­ntory on the internet can significantly influe­nce your sales and competitive­ness.  In this article, we […]

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In today’s fast-paced digital age­, having a robust strategy for showcasing your dealership’s vehicles online­ is not just a passing trend – it’s absolutely vital. With 80% of car shoppers conside­ring making their vehicle purchase­ online, how you present your inve­ntory on the internet can significantly influe­nce your sales and competitive­ness. 

In this article, we will de­lve into the effectiveness of online vehicle me­rchandising and provide practical tips to help you achieve success in this crucial area.

Understanding Online Vehicle Merchandising

Successfully se­lling vehicles online goes beyond simply listing them. It involves creating an interactive, transparent, and captivating experience for potential customers. This is crucial because studies show that 74% of buyers compare cars online before setting foot in a deale­rship. Some key factors to consider include:

  • Transparency: Providing clear pricing, financing, and damage details builds trust.
  • Trust Building: Showcasing testimonials, awards, and warranties enhances credibility.
  • Engagement: Utilizing interactive media like 3D shots and panoramic views simulates an in-person experience.

Best Practices for Vehicle Listing Optimization

In a world where 41% of buyers visit just one deale­rship before deciding, it is crucial to optimize­ vehicle listings. The ke­y is to create listings that connect with buye­rs who are considering deale­rships within a 100-mile radius. Here’s how you can do it:

1. Real Photos: Use actual vehicle photos, not stock images, to represent authenticity.

2. Compelling Descriptions: Highlight important features and benefits to entice buyers.

3. Video Integration: Full-motion videos engage shoppers, providing a virtual test drive.

4. Special Offers: Regularly update specials and calls to action to maintain relevance.

Read more about listing optimization.

Leveraging Digital Marketing Strategies

Digital marketing goes beyond simply running online ads. It involves establishing a cohesive and consistent online presence that aligns with and reinforces the brand and value­s of your dealership. Here­ are some esse­ntial strategies to consider:

  • SEO: Improve search engine rankings to increase visibility.
  • Social Media Marketing: Engage with potential buyers, building community and loyalty.
  • Email Marketing: Create targeted campaigns to nurture leads and drive interest.

Creating Engaging Content for Vehicle Merchandising

Content is king, and it holds a significant role­ in captivating the audience and transforming casual browse­rs into potential customers. The ke­y lies in crafting compelling narratives that re­sonate with the reade­rs.

  • Blog Posts: Share insights, tips, and industry trends to educate and inform.
  • Videos: Showcase vehicles in action, highlighting features and performance.
  • Customer Testimonials: Real customer experiences build trust and humanize your brand.

Utilizing Inventory Management Systems

In the age­ of big data, inventory management syste­ms have become more than just organizational tools – they are now strategic asse­ts. These systems stre­amline merchandising efforts, track inve­ntory accurately, and provide valuable ve­hicle information, ultimately maximizing potential re­turn on investment.

Enhancing the User Experience on the Dealership’s Website

Creating a use­r-friendly website goes beyond just aesthetics. It involves crafting a seamless online journey that mirrors the experience of being in a physical store.

  • Mobile Optimization: Ensure a consistent experience across all devices.
  • Live Chat Support: Provide real-time assistance, mirroring in-store customer service.
  • User-Friendly Interface: Intuitive navigation enhances user satisfaction and conversion.

Personalization and Customer Engagement

Personalization goes beyond simply using a customer’s name in an e­mail. It involves creating customized experiences that de­eply connect with each individual.

  • Personalized Emails: Content that reflects individual preferences and behaviors.
  • Targeted Advertisements: Reach the right audience with relevant offers.
  • Proactive Communication: Engage customers throughout the buying process, building relationships.

Monitoring and Analyzing Performance

Effective­ monitoring and analysis of performance goes beyond mere numbers. It involves gaining valuable insights that fuel ongoing improvement. By utilizing tools and metrics to track key performance indicators (KPIs) and refining strategies based on data-driven insights, dealerships can drive meaningful progress.

Conclusion

Enhancing your dealership’s online vehicle merchandising strategy is a multifaceted approach that requires understanding shifting consumer behavior, implementing winning strategies, leveraging expert photography insights, and utilizing time-saving software tools. By embracing these tips and strategies, you can stand out from the competition and drive sales in today’s digital landscape.

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The mentorship mindset: how effective leaders nurture the growth of their teams https://www.cbtnews.com/the-mentorship-mindset-how-effective-leaders-nurture-the-growth-of-their-teams/ Tue, 05 Sep 2023 09:03:08 +0000 https://www.cbtnews.com/?p=189612 For dealership managers and executives, getting top talent in place is only half the battle for driving sales and boosting profits. Sharp leaders realize that success comes from developing people to their fullest potential. It’s an approach requiring a mentorship mindset.  Exceptional leaders recognize that their roles extend far beyond overseeing daily operations and concentrating […]

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For dealership managers and executives, getting top talent in place is only half the battle for driving sales and boosting profits. Sharp leaders realize that success comes from developing people to their fullest potential. It’s an approach requiring a mentorship mindset. 

Exceptional leaders recognize that their roles extend far beyond overseeing daily operations and concentrating on KPIs and other metrics. By providing individualized guidance, managers and executives can support and inspire their teams for personal and professional growth. There’s another benefit to a culture of mentorship: a sharper competitive edge for your dealership. 

Here’s how to put this concept into practice.

Fostering open communication

One role that every mentor should embrace is that of a trusted advisor. An open-door policy and regular one-on-one meetings create opportunities to learn about each employee’s hopes, challenges, and ideas. This practice encourages an frank dialogue and mutual understanding between leaders and team members.  

Effective mentors don’t just rely on annual reviews to provide feedback. They consider themselves coaches who provide ongoing guidance that offers constructive suggestions for improvement and recognizes achievements. Real-time observations give team members the insights to continuously refine skills and maximize strengths. 

Providing personalized guidance

While a manager sets broad goals for their department, a mentor takes a personalized approach by tailoring opportunities to each employee. They get to know each employee’s strengths, weaknesses, and passions, and guide them to projects where they can succeed. That one employee’s enthusiasm for social media could translate into working on a digital marketing initiative. Or that technician who’s embracing the transition to EVs with gusto could lead the way for others in the service department. 

Providing this individualized attention not only creates a pathway for advancement, but also variety, ensuring a career that’s engaging, interesting, and skill enhancing. The process should also include regular discussions to map out personalized development plans. These get-togethers can focus on training opportunities, skill-building projects, and next-level roles.

Leading by Example

We’ve all had a boss that issues behind-the-desk commands, but chances are they didn’t make a great mentor. The best mentors lead by example. You’ve heard it a thousand times, actions speak louder than words. This means demonstrating the values and behavior you wish to install in others. Don’t hesitate to share your own career journey and challenges. Be sure to include the lessons learned during these conversations. Team members will feel more comfortable about stretching and growing if they know you’ve been through the same thing. 

Successful mentors also demonstrate work-life balance, creating reasonable workplace expectations while supporting a life outside of work. Why does this matter? Because there’s a direct connection between high levels of workplace stress and the desire to find a new job, says the American Psychological Association. In a 2021 study, the organization found that stressed-out team members are three times more likely to look for different employment. 

Above all else, a mentor must walk the talk when it comes to ethics and integrity. By holding themself accountable to the highest standards, they set the bar for conduct expectations for everyone else.

Fostering a sense of belonging

Making each employee feel valued is another essential role of a mentor. Look beyond roles and responsibilities, by taking a genuine interest in each staff member’s outside passions. This includes recognizing life events from birthdays to personal milestones. It’s a no-brainier way of enhancing morale. And so is organizing social events for the team. 

Establishing a supportive workplace community helps provide emotional fuel for those days when the going gets tough. At the same time, employees feel that their contributions matter, which inspires them to continue with their best efforts. 

Cultivating continuous learning

A superior mentor instills an appetite for continuous learning in their team. Importantly, this goes beyond mandated service or sales training. Look for conferences and workshops opportunities that expand professional development. And education doesn’t have to be a one-way street. Empower employees to share their knowledge by leading department seminars, cross-training team members, or mentoring interns. 

Further, a mentor serves as a role model for lifelong curiosity. No matter how much experience you have, there’s always something new to learn. Such activities remind the team to expand capabilities and sharpen their skills. 

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Is there a disconnect between your service managers and technicians? Here’s how to fix it https://www.cbtnews.com/is-there-a-disconnect-between-your-service-managers-and-technicians-heres-how-to-fix-it/ Mon, 04 Sep 2023 09:03:07 +0000 https://www.cbtnews.com/?p=180630 Strong connections between service department managers and technicians are vital on two fronts: productivity and customer satisfaction. But sometimes poor communication, lack of training, and other factors impact workflow and the fixed ops bottom line. Let’s explore what causes this friction and how to smooth things over to foster teamwork and camaraderie.  Causes of disconnection […]

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Strong connections between service department managers and technicians are vital on two fronts: productivity and customer satisfaction. But sometimes poor communication, lack of training, and other factors impact workflow and the fixed ops bottom line. Let’s explore what causes this friction and how to smooth things over to foster teamwork and camaraderie. 

Causes of disconnection

While service managers and technicians are on the same team, they really live in two different worlds. This divide comes from distinct job responsibilities. Plus, the gap grows wider when other circumstances are at play.

Insufficient training

Many challenges in the workplace can be traced to a lack of training (both in quantity and quality). If a staff person responds to a situation with an “I didn’t know that” comment, you can rightly point to deficient training as the reason. Of course, staff education extends beyond technical instruction. Managers and technicians should fully understand the procedures and systems related to their specific jobs. 

Misplaced talent

Promoting from within is a great way to motivate employees. But let’s be honest in saying that not every top-flight technician is well-suited to joining the ranks of management. Yet, it happens all the time. In these cases, resentment builds from both sides. 

A new manager gets overwhelmed by different priorities, and technicians get frustrated by someone who forgets what it’s like to be in the trenches. At the same time, that newly minted service department manager may not be as familiar with the role as they should be (another instance of a lack of training).

Unclear goals and expectations

It’s easy to fall into the trap of just getting the work done and not looking at the bigger picture. Perhaps plans and objectives were discussed at one time, but those discussions are no longer a regular occurrence. It’s hard to follow a path when there’s no roadmap to follow. To create a framework for goal setting, try devising S.M.A.R.T. goals using the template below:

Creating a unified service department

Getting service managers and technicians on the same page isn’t rocket science. Using tried-and-true techniques, you can establish or re-launch the necessary connections.

Foster communication

Just like training is vital, so is communication. According to a study by Dynamic Signal, ineffective company communication causes workplace anxiety for 80% of U.S. employees. It’s impossible for someone to keep up with expectations if they’ve never been told about the requirements. An expanded dialogue will keep everyone in the loop and foster inclusion instead of isolation. Approaches can include starting or expanding stand-up meetings, printed memos, or a regular email newsletter. 

Take advantage of technology

Chances are your dealership already has the technology infrastructure that can help improve communication among service department staff but isn’t being fully utilized. Take a look at what’s available and incorporate these systems into an expanded communications plan. 

Work towards shared goals

Service department staff will perform as a team when working towards common goals. This reinforces the “we” mindset rather than a “you versus me” approach. For instance, customer satisfaction and retention rates are benchmarks that both managers and technicians can relate to. 

Provide feedback opportunities

Look for ways to incorporate feedback into management and technician interactions. This could be done informally, such as during a meeting or under an open-door policy. Or through a more structured process like 360-degree reviews where technicians can assess their managers. 

Importantly, demonstrate that you’re acting on the feedback that’s received. This doesn’t have to happen every time, but nothing is worse than an ignored suggestion box. 

Reinvigorate culture

Fostering teamwork through team activities and events can create stronger bonds between service managers and technicians and open a dialogue. Something as fundamental as sharing a meal can go a long way to building connections and culture.

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6 tips for marketing the benefits of electric vehicles and other eco-friendly cars https://www.cbtnews.com/6-tips-for-marketing-the-benefits-of-electric-vehicles-and-other-eco-friendly-cars/ Fri, 25 Aug 2023 09:03:42 +0000 https://www.cbtnews.com/?p=189083 Electric vehicles (EVs) are increasingly gaining favor with eco-conscious consumers looking for more sustainable transportation. However, marketing the environmental benefits of EVs to this audience requires a well-thought-out approach. These efforts need to include highlighting the ‘green’ aspects of EVs. With this in mind, let’s review effective techniques that dealerships can use to appeal to […]

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Electric vehicles (EVs) are increasingly gaining favor with eco-conscious consumers looking for more sustainable transportation. However, marketing the environmental benefits of EVs to this audience requires a well-thought-out approach. These efforts need to include highlighting the ‘green’ aspects of EVs. With this in mind, let’s review effective techniques that dealerships can use to appeal to environmentally-minded buyers. 

Speaking to the eco-conscious consumer

More and more consumers think about environmental impact in their purchase decisions. This is especially the case with car buyers. According to the Pew Research Center, 72% of shoppers considering an EV say helping the environment is a key motivator. Meanwhile, 70% see saving money on fuel as another advantage, and 12% like keeping up with the latest vehicle trends.

These preferences work well with clearly identifiable EV benefits, including:

  • Environmental friendliness
  • Long-term cost savings
  • Innovative technology

There are also several eco-friendly EV features that can be promoted in marketing. These are ‘green’ attributes that demonstrate a dealer’s environmental consciousness and build trust about a commitment to sustainability.

  • Zero tailpipe emissions
  • High energy efficiency 
  • Recyclability of EV batteries

Along with being eco-conscious, EV buyers tend to be tech-oriented, and drawn to innovation. Savvy dealer marketers will build off these interests by accentuating the high-tech features integral to all-electric cars. Examples include:

  • Access to instantaneous torque
  • Autonomous/semi-autonomous driving systems
  • Energy use displays/control screens
  • Smartphone integration
  • Charging capabilities

Be sure that your messaging isn’t just about environmental benefits and technical specs. EV buying still involves emotions, so marketing should reflect this. Here’s an opportunity to get creative as cleverly worded campaigns capture the excitement of car buying while citing EVs’ underlying benefits.

Getting the word out about electric vehicles

We’ve covered what to say to EV-minded shoppers. Here’s how to say it. 

1. Create a theme

Creating a simple and memorable phrase will anchor the related marketing efforts, whether you’re thinking of a long-term tagline or a short-term slogan. If your creative juices aren’t flowing, give artificial intelligence a try. Head over to ChatGPT (you’ll need to set up a free account) and ask, “What are some taglines that can be used for a car dealer wanting to promote electric vehicles?

You’ll get many responses, like “Driving Green Has Never Been Easier” and “Take Charge of Your Commute.” Searching Google and the U.S. Patent and Trademark Office database should confirm if you’re treading on someone else’s efforts. 

2. Produce engaging content

Creativity will also have to prevail in the content your dealership produces to market its EVs. Not only will these videos, social media posts, and emails have to be visually engaging, they’ll need to educate and inform. Use infographics to break down complex data into more digestible information. Show real-world scenarios to demystify unfamiliar EV activities (like vehicle charging or one-pedal driving). 

3. Take advantage of strategic partnerships

Identify environmental organizations that can lend credibility when marketing an EV’s sustainability benefits. Look for branches of national operations or local green nonprofits. These tie-ups can promote an eco-friendly brand image and help forge connections with environmental advocates who might not otherwise step foot into your showroom. 

4. Revise digital operations

Ensure that your digital outreach is crafted to target eco-conscious consumers. This starts with dedicated landing pages highlighting the environmental advantages of your dealership’s EV offerings. A revamped SEO strategy and focused social media and email campaigns must also come into play.  

5. Leverage test drives

Test drive events enable dealers to get eco-conscious and EV-curious shoppers behind the wheel. These hands-on experiences build engagement by demonstrating the real-world practicality of EVs. While activities associated with Earth Day are natural, look for other venues, like farmers’ markets, that also have a green values connection. 

6. Become an EV resource

Your dealership is or will become an expert on electric vehicles. Take advantage of this mastery by promoting what you know. 

  • Provide an information clearinghouse for rebates, tax credits, and other incentives available to EV buyers
  • Work with utility companies to highlight available programs that foster EV adoption
  • Create a list of recommended installers for EV chargers
  • Designate one or more staff as EV ambassadors to serve as point persons 
  • Host EV workshops for owners and would-be owners

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Selling cars despite the current economic uncertainty https://www.cbtnews.com/selling-cars-despite-the-current-economic-uncertainty/ Thu, 24 Aug 2023 09:03:28 +0000 https://www.cbtnews.com/?p=189022 Automotive retailers have seen a massive upheaval in recent years. Between the effects of the COVID-19 pandemic, inflationary concerns, higher borrowing costs, and general economic uncertainty, the landscape for dealers has profoundly shifted. Not only has buyer behavior changed, but so have consumer preferences and expectations. It’s all the result of an evolving economic climate.  […]

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Automotive retailers have seen a massive upheaval in recent years. Between the effects of the COVID-19 pandemic, inflationary concerns, higher borrowing costs, and general economic uncertainty, the landscape for dealers has profoundly shifted. Not only has buyer behavior changed, but so have consumer preferences and expectations. It’s all the result of an evolving economic climate. 

For a dealership to remain competitive, it must recognize and adapt to the changing marketplace. Keep reading to learn more. 

Impacts on car pricing

Undoubtedly, the most significant impact has been on car prices. Inventory shortages stemming from supply chain turmoil and the spillover effects have led to major price inflation. KBB reports that the average new car sold for $48,334 last month. That compares to $38,948 in December 2019. 

Demand was further taxed as buyers emerged from lockdown eager to make big-ticket purchases. Low interest rates at the time also incentivized buyers. And while the supply chain picture is brightening, it’s dimmed by higher interest rates. At the same time, inflationary pressures across all household spending have made car shoppers more cautious and value-focused. 

The need for messaging value 

In response to this economic uncertainty, dealers need to focus on a value-based approach with assurances of pricing integrity. A shopper wants to be confident that they’re getting a competitive deal. Highlighting bundled offerings (with accessories, a service package, or extra warranty coverage) can also heighten the appeal for buyers concentrated on value. 

Recognizing vehicle preferences

While SUVs and light trucks remain popular, dealers need to realize that some buyers are gravitating to smaller, more economical vehicles. This is one way of offsetting higher retail prices and increased borrowing costs. With this in mind, dealers need to work on an inventory mix with adequate options for shoppers concerned about every dollar. 

Flexible and individualized buying experiences

Car shoppers today want a flexible buying experience that can accommodate preferences for online or in-store purchases (or a combination of both). The pandemic required an almost complete migration to digital channels for car research, shopping, and buying. So, now in a post-pandemic era, buyers expect a seamless integration between online activity and showroom interactions. Virtual vehicle tours, home test drives, and online transactions with e-contracts and remote signing being part of these modern fundamentals.

Taking a consultative sales approach 

A volatile economy means buyers spend more time researching and deliberating before pulling the trigger. Adopting a consultative sales approach is the best way to accommodate an expanded sales cycle. Providing personalized information and guiding customers through the car-buying path is well-suited for shoppers looking to take their time. This investment in customer relationships is essential throughout the prolonged decision-making process. Going for a quick close will turn off buyers and make them go elsewhere. 

Customer retention steps

Customer retention initiatives have become even more crucial. Adaptive dealers need to reach buyers with surveys, maintenance reminders, loyalty discounts, and special offers to foster satisfaction and build brand identity. These efforts encourage repeat purchases, services, visits, and referrals—all supporting future revenue. 

Opportunities amidst the challenges

Today’s challenging selling environment can create opportunities for innovation. This requires dealers to make strategic investments and modify their business models to meet ever-evolving customer expectations. But, when properly implemented, these changes can strengthen your company’s competitive positioning. The key element is thinking about thriving, not just surviving. This approach will put your dealership in the best position when more stable economic conditions return. 

Final thoughts

Dealers and the auto industry as a whole have adapted to the disruptions of the past few years. The car business won’t be returning to the old days. Now’s the time for dealerships to reinvent themselves for this new reality while finding success during economic uncertainty.

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Using AI to drive more fixed ops revenue https://www.cbtnews.com/using-ai-to-drive-more-fixed-ops-revenue/ Mon, 21 Aug 2023 09:03:27 +0000 https://www.cbtnews.com/?p=188703 The fixed ops department is the lifeblood of most dealerships. But this vital profit center continuously faces challenges from rising customer expectations, ever-changing vehicle technology, and competitive pressures. Exploring optimization strategies is a logical approach to maintaining and boosting revenue.  Increasingly, dealers are harnessing the power of artificial intelligence (AI) for these efforts. These technologies […]

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The fixed ops department is the lifeblood of most dealerships. But this vital profit center continuously faces challenges from rising customer expectations, ever-changing vehicle technology, and competitive pressures. Exploring optimization strategies is a logical approach to maintaining and boosting revenue. 

Increasingly, dealers are harnessing the power of artificial intelligence (AI) for these efforts. These technologies can enhance the customer experience, streamline workflow, and ultimately improve the bottom line. Rather than talk about AI as some grandiose concept for fixed ops, let’s dive into specific areas ripe for implementation. 

Personalizing the customer experience

One key advantage of AI is the ability to use this technology for an individualized customer experience. AI systems can analyze detailed data and develop personalized customer profiles that create tailored service recommendations. This proactive approach to maintenance is based on individual driving habits and vehicle conditions rather than generic scheduled maintenance tables. 

Conversational AI solutions

AI chatbots and virtual assistants enable customers to get quick answers to common questions no matter the hour. These platforms are also ideal for scheduling service appointments. Conversational AI tools can deliver responsive and accurate support through natural language engagements. This self-service model is convenient for customers and frees up service advisors for other activities.

Proactive maintenance notifications

AI-powered predictive analytical tools offer a future look into customers’ service needs. Not only can you notify customers about upcoming maintenance work, but eventually, service departments can learn how many notifications turn into appointments, enabling more accurate staffing. The process starts with machine-learning algorithms that analyze telematics data to forecast ideal service timeframes. Customers appreciate the more personalized experience and the reduced risk of needing major repairs.

Smart recommendation systems

AI-powered systems can suggest tailored packages and upsell offers to customers based on individual maintenance history and vehicle data. This degree of personalization means service advisors don’t have to guess what to suggest, ensuring each customer receives the right offer at the right time. 

Optimizing operations 

AI has broad potential to maximize fixed ops processes and resources. Advanced analytics and automation can enhance productivity across the service and parts departments:

Inventory Management

Determining the right parts to stock and at what levels is a balancing act made simpler by demand forecasting algorithms. Some platforms can combine Internet of Things (IoT) sensors and artificial intelligence to get the job done. This is further aided by automated reordering once a low inventory threshold is reached, ensuring the steady availability of critical components. 

Workforce optimization 

AI-powered scheduling systems assess technician skills, parts requirements, and bay availability to maximize workload capabilities. These tools use algorithms to assign work depending on employee capability and availability. At the same time, service departments can seamlessly handle more vehicles faster while not overwhelming technicians.

Workflow automation

Paperwork is a necessary evil made less taxing through AI automation. Documentation tasks for inspections and estimates, for instance, can be handled through self-executing platforms. Invoicing is another example. The net result is back-office productivity and faster customer service. 

New revenue streams

AI’s potential enables forward-thinking dealer executives and managers to look beyond traditional services for new revenue streams.

Predictive upsell recommendations

Artificial intelligence creates new opportunities for dealers to sell customized upsell offers based on owner preferences and vehicle requirements. Continuous data monitoring can lead to personalized packages highlighting the replacement of wear-and-tear parts like brakes, batteries, and tires. Predictive platforms can also lead to reminders about maintenance services. The goal is to eliminate the guesswork in upselling, leading to increased appointment conversion. 

AI points to the way ahead

Staying competitive and boosting profitability are just some of the daily tasks required of today’s dealership executives and managers. While not a complete solution for these activities, AI is well-suited to help. Importantly, these technologies shouldn’t be thought of as isolated systems. But instead, as an integral component of your dealership’s approach to being more efficient and delivering better customer satisfaction. Similarly, AI must be introduced to employees as a resource for reducing mundane tasks, not as a replacement for anyone’s job.

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Next-gen vehicle interiors: Innovations in cabin design, connectivity, and UX https://www.cbtnews.com/next-gen-vehicle-interiors-innovations-in-cabin-design-connectivity-and-ux/ Thu, 10 Aug 2023 09:03:12 +0000 https://www.cbtnews.com/?p=188226 Automakers are in a race to reinvent vehicle interiors for today’s high-tech, connected customers. While performance, safety, and efficiency are still important factors, more and more car buyers are searching for vehicle cabins that are personalized, intelligent, and comfortable. These consumers are looking at taking their living room experiences on the road with top-notch cabins […]

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Automakers are in a race to reinvent vehicle interiors for today’s high-tech, connected customers. While performance, safety, and efficiency are still important factors, more and more car buyers are searching for vehicle cabins that are personalized, intelligent, and comfortable. These consumers are looking at taking their living room experiences on the road with top-notch cabins that cocoon, connect, and inform. 

And automakers are more than happy to oblige. New vehicle concepts tease innovative design features and the latest technology. We’re already seeing sustainable materials becoming commonplace while features once reserved for tablets and gaming consoles are making their way into car interiors.  

Arguably, the reinvention of modern vehicle interiors began with Tesla and the use of a center console touchscreen. However, the industry is quickly moving away from dashboards with iPads. The current trend uses sweeping displays that combine driver instrumentation and infotainment controls into a single curved unit (albeit with two screens appearing as one continuous setup). Recent examples of this trend include the BMW iX, Ford Mustang, and Buick Envista. 

Of course, there’s more to future modern vehicle interiors than new displays. Let’s explore some projects that may reshape what sits on your showroom floor in the future.

Mercedes-Benz and Microsoft ChatGPT Collaboration

Earlier this summer, Mercedes-Benz announced a partnership with Microsoft for a U.S. pilot program that brings ChatGPT to the automaker’s cars. Conversational artificial intelligence (AI) will take the “Hey Mercedes” voice command system to the next level. The technology provides a more advanced in-car personal assistant that works better with natural language instructions. 

Chrysler Synthesis Cockpit

Chrysler previewed its Synthesis Cockpit concept at CES in January. The preview teased what the Stellantis brand has in mind for its first EV scheduled for 2025. Chrysler’s future vehicles will embrace a smart cockpit enhanced with an AI assistant and Level 3 autonomous driving. One notable feature is a 37.2-inch infotainment screen for both front-row occupants.

Hyundai IONIQ Concept Cabin

If the full scope of Hyundai’s IONIQ Concept Cabin becomes a reality, occupants of its future cars will be able to sit back and relax while they get help keeping their clothes and shoes clean (and other mundane tasks). In addition, this platform for a personalized in-car experience features seats that can swivel and recline to face passengers toward each other for improved social interaction. Meanwhile, touchscreens allow for individualized control of vehicle settings and entertainment choices. Content will be displayed on a ceiling-mounted 77-inch flexible OLED screen.

Stellantis, Panasonic, and Amazon collaboration for vehicle interior controls

Not resting on its laurels, Stellantis is engaging with Panasonic and Amazon to develop vehicle control systems. The involvement of Amazon may initially be a head-scratcher, but the idea is to integrate the company’s Alexa voice assistant into the platform to handle the infotainment and climate subsystems. Panasonic brings expertise in automotive displays and software integration to the table.

Rolls Royce Vision Next 100 Concept

Although the Rolls Royce Vision Next 100 Concept (also dubbed the 103EX in the automaker’s terminology) has been out since 2016, it’s interesting to see if ideas for future vehicle interiors have changed in the intervening years.  That’s not the case here. If anything, the folks in Goodwood (or their BMW overseers) were right on track. Of course, this concept’s interior features opulent materials like wood paneling and silk upholstery. However, ideas like Eleanor the virtual assistant and a jumbo OLED infotainment screen don’t differ from what other manufacturers are proposing almost a decade later.

2024 Porsche Cayenne Passenger Display

While other automakers are being more conceptual about vehicle interiors, Porsche is taking a here-and-now approach with the cabin of the 2024 Cayenne. Besides a new look and some relocated controls, the dashboard now has three displays. Besides the usual driver instrumentation (including some analog gauges) and infotainment touchscreen, the front seat passenger gets their own display. The available 10.9-inch touchscreen sits above the glove box door and provides access to a video display and navigation controls. A filter prevents the driver from seeing what’s on screen. The Jeep Grand Wagoneer has a similar arrangement.

Toyota Woven City

Going beyond the cabin, Toyota’s Woven City project takes a broader look at future mobility by creating a community of tomorrow where people, buildings, and vehicles communicate with each other via data and sensors. Set to open in 2025 at the base of Mount Fuji in Japan, the 175-acre community will serve as a living laboratory for autonomous vehicles, artificial intelligence, smart homes, robotics, and other emerging technologies. It’s doubtful that Toyota will get into the construction business, but some of what is learned from this endeavor will surely show up in future cars.

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Auditing your dealership’s service scheduling processes https://www.cbtnews.com/auditing-your-dealerships-service-scheduling-processes/ Thu, 03 Aug 2023 09:03:08 +0000 https://www.cbtnews.com/?p=187819 The gateway to your dealership’s service department is scheduling. Make this process effortless, and the journey for a satisfied customer gets off on the right foot. However, you may never know if there are roadblocks to arranging a service appointment because the customer will simply go elsewhere. This is why auditing your service scheduling process […]

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The gateway to your dealership’s service department is scheduling. Make this process effortless, and the journey for a satisfied customer gets off on the right foot. However, you may never know if there are roadblocks to arranging a service appointment because the customer will simply go elsewhere. This is why auditing your service scheduling process regularly is so critical. It’s the best way to identify potential bottlenecks and implement techniques to optimize this key component of fixed operations. 

Let’s look at the audit process and what’s involved in reducing wait times, improving technician productivity, and enhancing customer satisfaction. 

Start by reviewing key performance indicators

The first step in auditing service scheduling is to analyze key performance indicators (KPIs). Look at technician utilization rates, average repair times, number of appointments booked versus available slots, and customer satisfaction scores. This data will highlight problem areas. For example, low technician utilization could indicate inefficient scheduling. Highly variable repair times may suggest inaccurate estimations. Knowing your KPIs can identify improvement areas.

Analyze the schedule

Examine how the service schedule itself is set up. Do the existing appointment slots allow enough time for typical services? Do certain repairs need specialized tools, particular bays, or specific technicians? Are you allowing enough time for test drives? Go back to the data to check if appointments routinely run long. If so, your scheduling template requires adjustment. It’s a delicate balance. Arranging appointments too far apart reduces productivity, while scheduling the work too closely leads to delays and frustration. 

Take advantage of scheduling tools and software 

Modern scheduling platforms are a boon to streamlined operations and a sure path to customer satisfaction. Evaluate the software your dealership currently uses and see if there’s room for improvement. At a minimum, you’ll want software that provides real-time updates when appointments are delayed, provides 24/7 online booking for customers, and sends automatic text or email reminders. There’s no reason not to take advantage of the powerful tools at your disposal. 

Look for scheduling bottlenecks

Review the scheduling process to uncover bottlenecks. Examples could include appointments with an unclear status or technicians slowed down by parts or authorization delays. Do a deep dive into the steps involved, from setting up the appointment to starting work. Are there any communication hold-ups? Could the workflow be improved? To identify specific trouble areas, perform a post-game analysis of any repairs that encountered delays.

Collect customer feedback

Don’t hesitate to learn from your customers about the scheduling experiences. Be sure that post-repair surveys ask about the booking process and wait times. At the same time, monitor social media and online review sites for trouble patterns and common complaints. Feedback is a forerunner of what your customers are encountering. 

You’ve made changes to service scheduling. Now what?

Implementing improvements to the scheduling process is only half the effort. There are numerous follow-up steps to employ to ensure these changes make a difference. 

Get staff up to speed

Making improvements to the scheduling process will only yield results if the staff are fully comfortable with the changes. Provide comprehensive training to service advisors and technicians to maximize the new scheduling procedures.  Review the platform’s capabilities, examine the schedule templates, and explore time allocation guidelines. Set up periodic refresher training so staff don’t fall back into old habits.

Take advantage of time management strategies

Scheduling success comes from better time management. Create checklists to keep technicians on track. If work still regularly falls behind, use timers to provide reminders. While you don’t want to encourage overruns, establish an atmosphere that encourages technicians to provide an update if they can’t get the work completed with the allotted time. 

Leverage advanced technologies

Let the latest technology do some of the heavy lifting. Artificial intelligence can scrub historical data to create hyper-accurate work estimates. Smart tablets can provide real-time information about bay status and work progress. These systems can ensure that all the improvements from an updated scheduling process don’t go to waste.

Conduct regular scheduling audits

Get in the habit of regularly auditing the service scheduling process. Ideally, this should be done quarterly. But, don’t hesitate to be more aggressive if new bottlenecks arise. Periodic audits can enable the service department to get ahead of any anomalies before they impact customer satisfaction and the bottom line. 

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Closer look: the impact of electrification on performance cars https://www.cbtnews.com/closer-look-the-impact-of-electrification-on-performance-cars/ Wed, 26 Jul 2023 09:03:53 +0000 https://www.cbtnews.com/?p=187426 Like it or not, the car business is advancing toward an electric future. Government mandates are pushing automakers to electrify their lineups. This tremendous shift is already impacting the performance car segment.  This year, we’re seeing the departure of Hellcat-powered Dodges at the same time Ford launches a rally version of its Mach-E EV crossover. […]

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Like it or not, the car business is advancing toward an electric future. Government mandates are pushing automakers to electrify their lineups. This tremendous shift is already impacting the performance car segment. 

This year, we’re seeing the departure of Hellcat-powered Dodges at the same time Ford launches a rally version of its Mach-E EV crossover. At the same time, Stellantis is teasing the high-voltage Dodge Charger Daytona SRT, and Chevy is introducing an electrified (hybrid) Corvette, the E-Ray. There’s much more ahead.

For dealerships specializing in brands known for driver engagement, the transition to electric performance cars brings challenges and opportunities. 

Understanding EV Tech

Many consumers still think of electric vehicles (EVs) as eco-friendly cars, with examples like the Nissan Leaf and Chevrolet Bolt reinforcing these images. But we’re now at the point where all-electric powertrains can leave internal combustion engines in the dust. Companies such as Tesla and Rimac have demonstrated that EVs can be insanely fast off the line and hold their own on the track or street.

EVs can deliver instant torque and lightning-fast acceleration. It wasn’t too long ago that the idea of a street-legal vehicle reaching 60 mph from a standstill in under two seconds was a fantasy. But that’s what Tesla, Lucid, and others can do today. 

When it comes to performance, maximized power delivery along with single-speed transmissions give EVs an edge over conventional cars. And further advances, like the introduction of solid-state batteries later this decade, will push performance boundaries even further. 

Recognizing Changing Brand Perceptions

The rise of performance EVs presents a unique challenge for dealers. These retailers and the automakers they represent have to reshape their identities. Brands once based on gutsy V8 powerplants and smooth-as-silk inline-six engines have to look to the future while keeping conventionally-minded enthusiasts happy. It’s a balancing act that requires the introduction of EVs that are in sync with a brand’s core DNA.

One example is Porsche, with the all-electric Taycan not straying too far from the company’s other offerings (other than the powertrain). And the marketplace is accepting the change. In 2021, Porsche sold more Taycans globally than 911s. 

Understanding New Ownership Demographics

Electrification introduces performance brands to new customers. ICE-powered sports cars are more the domain of older generations who grew up with posters of Mustangs, Camaros, and Firebirds. On the other hand, high-performance EVs have a greater potential to reach younger and tech-centered audiences. These buyers are more accustomed to cutting-edge technology, which plays right into the hands of EVs.

To these digital natives, smartphones, over-the-air updates, and cutting-edge infotainment are the norm.

Investing in Education and Tools  

Transitioning to performance EVs will require dealers to invest in sales and service training. Conversations about horsepower and torque have to be reinforced with new talking points about electric motor technology, charging times, regenerative braking, and other key topics. Today’s car buyers are thirsting for knowledge, and this trend is unlikely to change with the move to EVs. Sales staff must not only keep up with the world of EV performance, but they must also become experts. Otherwise, shoppers will go elsewhere.

On the service side, next-generation diagnostic tools and shop equipment will be needed to support these new performance vehicles. Of course, technician training plays a major role in the effort. Dealers unwilling to support these initiatives will get left behind as new all-electric performance vehicles reach showrooms. 

Embracing the Electric Future  

Every change brings risks and uncertainty. It’s no different with the rise of electric performance cars. And now’s the time for dealers to welcome a future when roaring exhaust notes come from speakers, not tailpipes. For dealers, getting ahead of the curve means promoting brand loyalty and opening the door to a new generation of performance enthusiasts. 

Here are steps to consider:

  • Install EV charging stations: Chances are you’re already adding charging facilities (or making plans to do so). But don’t hide these chargers behind a building. Instead, place them in noticeable locations so customers can see your dealership is part of the future.
  • Highlight EV benefits: Touting the benefits of instance torque, low maintenance, and other features needs to become second nature for sales staff. Training that supports these efforts will go a long way in convincing performance enthusiasts about the advantages of electric powertrains. And encouraging EV test drives will further drive the point home.
  • Incentivize sales staff: While some salespeople will accept the shift to EVs, others will need encouragement to learn about electric performance and promote your dealership’s offerings. An incentive program can get everyone on board. 
  • Partner with utilities: Many local utilities have programs to make EV ownership more accessible. Work with these electric providers to identify resources, including rebate and tax incentive programs.
  • Futureproof facilities: Expenditures may not be a favorite topic, but they will prepare your dealership for what’s ahead. That means investing in training, tools, inventory, and infrastructure.
  • Promote EV expertise: Once everything (training and infrastructure) is in place, it’s time to promote your dealership as a knowledge source about EVs. The message tells customers where to seek professional help for EV performance car sales and servicing.

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Why auto industry trendsetters are focused on these 3 things https://www.cbtnews.com/why-auto-industry-trendsetters-are-focused-on-these-3-things/ Wed, 19 Jul 2023 09:03:41 +0000 https://www.cbtnews.com/?p=187038 The 19th-century proverb, “The more things change, the more they stay the same,” couldn’t be more appropriate for today’s car dealers. People still purchase cars despite inventory challenges, rising interest rates, and changing buying habits.   A new report from CDK Global captured these dynamics while getting insight from innovative car dealers who aren’t happy resting […]

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The 19th-century proverb, “The more things change, the more they stay the same,” couldn’t be more appropriate for today’s car dealers. People still purchase cars despite inventory challenges, rising interest rates, and changing buying habits.  

A new report from CDK Global captured these dynamics while getting insight from innovative car dealers who aren’t happy resting on laurels. CDK calls these individuals “trendsetters;” they represent almost half of the 311 dealership department heads and executive managers surveyed. 

The 2023 Trendsetter’s Guide to Automotive Retail explores what these forward-thinking dealers use to stay ahead of the game. In a nutshell, we highlight three key areas from the study and offer takeaways to consider. 

#1 Technology integrations 

It’s no secret that many advances in automotive retailing center on technology. In fact, the CDK report called technology a “trendsetting divide” between enterprising dealers and those focused on more conventional selling methods. The study cited that 72% of surveyed dealers felt technology had a “very high impact on their business.”  

But there’s a gap in implementation. Almost half (48%) of trendsetting dealers enhanced their digital retailing efforts last year, compared to 36% for “non-trendsetters” still relying on web channels. Yet, on a broader scale, only 25% of all dealers made any significant efforts to enhance their retail technology offerings.  

Technology takeaway 

One of the key discoveries of the study shows how much the use of digital images and videos for vehicle servicing vastly improved the estimate process. 81% felt that such efforts had a positive impact. However, the reports indicates most have dealers have a lot of ground to cover. 

#2 Strengthening staff 

Concerns about dealership employees lessened, according to CDK. 35% of respondents reported being less worried about staffing this year, compared to 46% in 2022. Unease about burnout also declined, from 29% last year to 20% in the current analysis. However, these reductions don’t give managers a pass on retention issues.  

Employees will need better pay and benefits to keep up with inflation and want on-target training designed to boost careers instead of being burdensome mandates.  

Staffing takeaway 

There’s a training upside for dealers beyond what automakers and others may require. CDK reports that 47% of dealer trendsetters had outlays last year for technology training compared to 21% of those taking more traditional avenues. Yet, there’s a payoff for this investment. 70% of forward-looking dealers who undertook this type of training said it had a “very high impact” on their business. And 81% of all dealers who initiated training plan on making further investments in 2023.  

With so many dealers believing that training is working, it’s hard not to argue against this being a clear pathway for moving operations forward without disengaging staff. 

#3 Trying new solutions 

Changing pricing strategies and cutting costs aren’t new ideas for dealers. But taking a fresh look at how to do these things can produce innovative results. 35% of dealers cited that a new approach to pricing helped the bottom line, while 31% reported that reducing expenses also improved profitability. There are other ways to reinvent, says CDK. 

New Solutions Takeaways 

Looking for new ways to enhance business doesn’t mean a trip far from home. 31% of dealers who sought stronger partnerships with OEMs felt the effort had a very or extremely high impact on operations.  

Innovative dealers also sought to reinvent their sales process. 44% of these trendsetting businesses undertook efforts to transition from a traditional approach to a sales methodology based on improving the buying experience. The result is that 29% felt the steps had a substantial operational impact. Equally as important, 27% of these dealers felt reinventing their sales process significantly improved the bottom line.  

Look For More Solutions 

In addition to reviewing the CDK report, dealers can search for their own ways to be trendsetters. Learn about what’s driving today’s buyers, discover the value of social selling, or foster a culture of creative innovation. There are limitless opportunities to improve operations and profit. 

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