In creating its new digital storefront product, Dealer.com redesigned its vehicle detail pages to include features for consumers such as 360-degree vehicle images on inventory pages through a partnership with Homenet.
Stating that it understands how dramatically the consumer’s car buying process has changed as technology disrupts the industry, Dealer.com — a digital marketing company for auto dealerships — said it launched the new storefront product “to engage customers in the fastest and most effective manner possible.”
The new product boosts transparency along with dealer-customer trust, the company said. That helps improve engagement and bring stronger leads, which can increase sales.
The vehicle detail pages also now incorporate important vehicle information for consumers, according to the company. That information includes easily visible detailed inventory specifications, options and packages and vehicle reviews.
With the new pages, consumers gain increased ability to click through to digital retailing options, including payment calculation, trade-in details and financial applications.
Also, the company has added text-to-phone functionality. Dealer.com said that means shoppers can send listings directly from the desktop to their mobile devices.
In addition to the new VDPs, Dealer.com launched new website capabilities. The company achieved that through a new codebase that it says eases dealers’ ability to implement changes. Also, based on customer preference data from partners Kelley Blue Book and Autotrader, the new platform also automates personalized vehicle inventory recommendations and specials.
Dealer.com general manager Wayne Pastore said in a news release that establishing strong dealer-customer interaction through a combination of data, integration and human-centric insights can “bolster dealer-customer relationships.”
“We understand what motivates customers and how they connect with dealers,” Pastore said.
Dealer.com said the redesign of the vehicle detail pages helps accomplish that, in addition to boosting innovation with its website platform offerings. The company said it bases that innovation on the 1.8 billion online interactions that take place between dealers and clients.
The company said it is investing strongly in new technology, new services for dealers and the entire market. According to its research of VDP activity, Dealer.com found that vehicle photos, prioritized high-level inventory details and requested clear display of options and packages most engaged shoppers. They also asked for more digital retailing options.
The new digital storefront has helped Dealer.com earn several awards in the past year. Among those are two consecutive Automotive Website Awards, the Highest Rated SEO Provider and Driving Sales Dealers’ Choice Award for Top Rated Website Provider.
The company said its new digital storefront’s strong content, digital tools and professional services can “solve the problems and challenges dealers and their customers face now and in the future.”
All automakers are manufacturing vehicles that consumers like, said J.D. Power vice president of global automotive Dave Sargent.
“But some of them are doing it at a higher level than others,” Sargent said in a news release.
Porsche, Ram, and Ford are among the automakers doing the best job of reaching those high levels, according to the J.D. Power 2019 Automotive Performance, Execution and Layout, or APEAL, study released on Wednesday. The study shows that for the fifth consecutive year, appeal of new vehicles has improved.
According to the study, infotainment improvements and a greater availability of advanced driver assistance systems are among the factors that are causing increasing satisfaction for consumers regarding their new vehicles.
This year, the industry average satisfaction index score moved up to 823 (out of a possible 1,000) compared to 820 in 2018. Also, 22 of the 32 brands included in the study showed improvement over last year.
The brand with the highest overall APEAL score of 891: Porsche.
BMW and Genesis tied for second in that overall category with 868. Audi was next at 867, followed by Volvo at 863.
In the mass market segment, Ram ranked highest with a score of 851. Coming in next were Dodge (848), MINI (835), Volkswagen (829) and Ford (828).
Ram won the category of most-improved brand, with a 26-point increase over 2018. Other strong showings in that category were Dodge (+24); Jaguar (+16); Land Rover (+15); Audi (+14); and Jeep (+14).
Ford Motor Co. was the parent company receiving the most model-level awards for its various brands. BMW AG was next with four. The companies and their model-level awards are:
—Ford Motor Co.: Ford Expedition; Ford F-150; Ford Ranger; Ford Super Duty; and Lincoln Navigator
—BMW AG: BMW 2 Series; BMW X4; MINI Cooper; and MINI Countryman
—General Motors Company: Chevrolet Blazer and GMC Terrain
—Honda Motor Company: Honda Accord and Honda Odyssey
—Nissan Motor Co., Ltd.: Nissan Altima and Nissan Maxima
—Toyota Motor Corporation: Toyota Camry and Toyota Yaris
—Volkswagen AG: Audi A7 and Porsche Cayenne
—Daimler AG: Mercedes-Benz C-Class
—Fiat Chrysler Automobiles: Dodge Challenger
—Hyundai Motor Group: Kia Forte
Another key finding of the 2019 study: The satisfaction gap between cars and SUVs is decreasing. The cause of that is a lack of overall improvement in cars, while SUVs improved by 7 points. Mostly because cars are lighter than SUVs, cars continue to outperform SUVs in the areas of fuel economy and engine/transmission. But SUVs perform better in most other areas, such as driving dynamics, storage and space; visibility and safety; and seats.
The study examined new-vehicle owners’ assessments of the design, content, layout, and performance of their new vehicle after 90 days of ownership.
The study is based on more than 90 vehicle attributes in 10 categories:
—Exterior
—Seats
—Interior
—Driving Dynamics
—Storage and Space
—Engine/Transmission
—Fuel Economy
—Visibility and Safety
—Heating, Ventilation, and Air Conditioning
—Audio/Communication/Entertainment/Navigation
J.D. Power's site includes more details on the study.
Black Book says the integration of its vehicle valuation data with auto industry mobile marketing company TEXTiUM will help ease buy-back mail problems by providing it with a timely update.
The companies will do that through TEXTiUM’s Instant Trade-in Values product, which uses TEXTiUM’s Precision Texting and Mail-to-Mobile Technologies.
The companies say that Black Book’s vehicle valuation data and intelligence will power TEXTiUM’s TIV, which will help dealers increase accuracy of vehicle information, which they say will increase customer response rate to buy-back mail.
Using buy-back mail, dealers can currently see up to 30% of every campaign deliver mail with the wrong vehicle information, according to Black Book and TEXTiUM, who say the stated valuation is often inflated. Because of that, according to the companies, the dealer must either disappoint the customer or over-pay for the trade in attempting to close the deal. That depletes profit and lowers customer satisfaction, the companies say. But they say the technological gap between printed direct mail and the modern consumer is the biggest issue.
TEXTiUM’s founder and chief executive officer Craig Schmitz said in a news release that with current mail, the customer is expected to call the dealership or fill-out an online form.
“This runs contrary to what today’s customers expect,” Schmitz said. “Studies show that 85% of customers prefer to communicate with businesses by text. By not giving a buy-back customer that option, the campaign is doomed to fall far short of dealer expectations.”
Each mail piece with TEXTiUM’s new Instant Vehicle Values powered by Black Book includes a unique identifying PIN for every customer. It also includes the offer for the customer to receive the current trade value for his or her vehicle.
The companies say limiting the offer to a specific vehicle attached to the customer’s record is not necessary because with TIV, the customer can receive a value for up to three vehicles in his or her household.
After texting his or her PIN, the interested customer receives an instant personalized text response from the dealer and an official Black Book Trade Value Certificate with what the companies describe as “a realistic rough-to-average valuation.”
At that exact time, TEXTiUM delivers a real-time lead to the dealer’s CRM, with correct name, vehicle data, and the customer’s mobile phone number.
“TEXTiUM, powered by Black Book, is a game changing technology that we have integrated with our Buy-back direct mail campaigns,” Mudd Advertising president Chris Mudd said. “Our dealers are thrilled with the high-quality leads they receive and the increased vehicle sales that result. We are recommending to our dealer and OEM clients that all buy back mail be integrated with TEXTiUM.”
“TIV allows dealers to provide customers with the most up-to-date and precise vehicle valuations through Black Book,” Black Book executive vice president of revenue Jared Kalfus said. “With this information, dealers can receive leads faster and increase their profits.”
Palm Beach State College student Marisol Reyes recently bought a pre-owned 2017 Toyota RAV4 from Palm Beach Toyota. But she had no idea at the time that she was part of a Toyota milestone. And she didn’t know she would be receiving something so valuable in return.
Toyota Motor North America celebrated the purchase of the 6 millionth Toyota Certified Used Vehicle by presenting Reyes with a check for the value of the RAV4.
“Hitting the 6 millionth certified used-vehicle milestone is a testament to not only the great warranty and coverage we offer, but, more importantly, to our customers, who appreciate good value and reliability,” Toyota TCUV operations manager Ron Cooney said in a news release. “We hope Toyota’s enhanced warranty coverage will continue to attract loyal customers like Marisol and her family, who rely on our vehicles for their livelihood.”
Reyes’ story of hard work makes the Toyota giveaway news even better. She took time off from her studies to work and help support her family.
“I come from a hardworking family and had to leave school to help pay for some of our everyday expenses and bills, but this incredible gift from Toyota will allow me to complete my bachelor’s degree sooner than expected,” Reyes said. “My family has owned several Toyotas in the past, but my new RAV4 is already the best one yet.”
In addition to the check in the amount of the value of the RAV4, Toyota Motor North America — along with Southeast Toyota Distributors, a subsidiary of locally owned automotive corporation JM Family Enterprises, and Palm Beach Toyota — also each made a $5,000 donation in her name to the National Alliance to End Homelessness, which works to prevent and end homelessness in the United States. Also, Sirius XM will provide one year of complimentary streaming service. CARFAX also donated a $1,000 gas gift card.
The ceremony at Palm Beach Toyota took place on Wednesday. In addition to presenting Reyes with her gifts, company representatives hosted a luncheon for dealership personnel.
Southeast Toyota noted that the sales milestone comes more than 23 years after Toyota entered the certified pre-owned industry. The company said Toyota ranks as the highest volume certified-pre-owned program in the industry. Toyota said it also recently launched important changes to the program, including new branding and an enhanced limited powertrain warranty. With the warranty, Toyota extends coverage to seven years following the purchase date or 100,000 total vehicle miles.
As Autotrader awaits the arrival of the new Chevrolet Corvette’s mid-engined C8 model, it describes the Corvette’s C7 as “an outstanding send-off to the front engine layout.”
“More than just powerful, the Corvette has agile handling, a comfortable ride and a high-tech interior that is aging well so far,” Autotrader said in a news release.
Autotrader listed the Corvette as one of its 10 Hottest Used Cars for Summer 2019, praising it for its “agile handling, a comfortable ride and a high-tech interior that is aging well so far.”
Autotrader's 10 Hottest Used Cars for Summer 2019 list features the most-searched cars, trucks and SUVs on Autotrader’s website from Jan. 1 to July 8, 2019, ranked by search volume.
Following is the rest of the list, in alphabetical order:
— Chevrolet Silverado (2014-2018): Autotrader describes the Silverado as being at “the intersection of modern and affordable.” The company says the previous generation of the vehicle “hits the sweet spot for value.” In addition to complimenting the vehicle’s quiet, comfortable interior, Autotrader praises the Silverado for its more traditional styling that consumers might prefer over what it describes as “the controversial look” of the new generation.
— Chevrolet Tahoe (2015-2019): Autotrader says possibly because it offers fairly strong value by providing a discount from depreciation while also featuring a manufacturer-backed warranty, certified pre-owned Chevy Tahoe models are a highly searched vehicle on Autotrader.
— Ford F-Series (2015-2019): The F-Series is America’s best-selling truck for good reason, Autotrader said, complimenting its strong range of engines, its towing and hauling capabilities and its agile handling.
— Ford Mustang (2015-2019): Autotrader praises the budget-friendly price of a lightly-used Ford Mustang, also noting its 2015 redesign. In one package that’s “hard for consumers to resist,” according to Autotrader, this generation of Mustang “has a lot of bang for the buck,” according to the company. Autotrader says the Mustang looks good, performs well and has strong value.
— GMC Sierra (2014-2018): Autotrader notes that the Sierra is mechanically identical to the Chevy Silverado and is also all-new for 2019. But Autotrader describes the Sierra’s previous generation beginning in 2014 as “a bargain for used trucks.” Autotrader said the old Sierra might not have what it describes as “the cool MultiPro tailgate,” but the company says that buyers should give the used model a look, “if you can live without a tailgate that can turn into a desk.”
— Honda Accord (2018-2019): Autotrader acknowledges that by looking at this list, the decline of the sedan is evident. But the Accord is the only sedan to make this list, so that says a lot, Autotrader said. The Accord, according to Autotrader, offers the basics in the areas of comfort, safety and reliability, while also adding “lively performance, a lot of safety technology and a luxurious interior in the high trims.”
— Jeep Wrangler (2012-2017): The Wrangler, which Autotrader describes as “iconic,” is a great used-vehicle buy, according to the company. That is especially true when buying in the JK generation, the company said, describing the JK as “a fun off-roader.” Autotrader said the JK is family-friendly with the four-door Unlimited model. Any model after 2012 features a standard 4×4 drive, stronger V6 engine and new automatic transition, Autotrader said.
— Ram 1500 (2014-2018): The 1500 rounds out the "big three" in American full-size trucks on the list, and Autotrader says the vehicle offers “many virtues.” Those include quality interior materials, a smooth, comfortable ride and an “aesthetic that still refuses to be ignored today.” Making the vehicle an even better choice is its starting price as low as around $15,000.
— Toyota Tacoma (2016-2019): The full redesign of the Toyota Tacoma midsize pickup truck for 2016 enhancing the features that people loved about the vehicle, according to Autotrader. That includes attributes such as reliability, safety and performance. Autotrader said the Tacoma is impressive on-road because of features such as a well-built interior and a quality optional V6 engine. Autotrader recommends that option “since it is a lot more affordable used than it is new.”
Autotrader executive editor Brian Moody described all of the vehicles on the list as “hot in their own way.”
“But one thing that won't burn you this summer is their price,” Moody said. “These used cars represent significant savings over their brand-new counterparts and offer great value while maintaining a modern feel. All are smart choices that will save shoppers some extra cash to plan their next weekend getaway.”
It’s yet another example of the auto industry’s efforts to attract qualified technicians to its workforce.
In advance of the company’s opening later this fall of a new North Miami headquarters and showroom, Warren Henry Auto Group is seeking to recruit almost 50 qualified technicians on the spot by hosting an automotive technician job fair.
The South Florida-based, family-owned company plans to double in size and create around 150 to 200 new jobs. At the job fair, the auto group will provide new hires with a hard-hat tour of the headquarters and showroom set to open this fall.
The job fair will take place on Monday from noon to 2 p.m. and 6 p.m. to 8 p.m. in the Kovens Conference Center at Florida International University’s Biscayne Bay Campus. The site is located at 3000 N.E. 151st St. in North Miami.
Warren Henry Auto Group is promoting itself to prospective job candidates, noting that it offers “competitive salaries and excellent benefits”, and it was listed for five years in a row among Automotive News’ “Best Dealerships to Work For.”
“Experienced automotive technicians are encouraged to attend the job fair with their most recent resume in hand and be prepared to be interviewed and potentially hired the same day,” the company writes.
Its new 800,000-square-foot headquarters will be home to Jaguar, Land Rover, Infiniti and Koenigsegg. It will also feature amenities such as what it describes as the nation’s largest electric vehicle charging facility, South Florida’s largest frameless hurricane-resistant storefront glass panel, 82 service bays in an air-conditioned service shop, on-site detailing, and a gourmet cafe and rooftop event space.
The facility is located within a $4 billion SoLe Mia development and includes more than 220,000 square feet of office space and approximately 500,000 square feet of retail and entertainment space, along with residences, a 37-acre public park, and lagoons and beaches.
Now that Auto/Mate Dealership Systems has completed all dealership management system integrations with Dealer360’s Analytics and CompTrackr reporting products, the two systems’ real-time integration means viewed dealership data is always current, authentic and precise, according to Auto/Mate.
Dealer360’s Analytics reporting platform provides insight into dealership operations, according to Auto/Mate. Also with the platform, executives and dealership managers can identify and focus on the main drivers of profitability, the company said.
With Dealer360’s CompTrackr product, salespeople can immediately track their progress toward targets and bonuses after a sale, according to Auto/Mate. The product’s seamless integration with payroll processing ensures the accurate calculation and awarding of all spiffs and comps.
Open/Mate is Auto/Mate's integration program that is based on open standards for third-party vendors to experience easy integration with the DMS, Auto/Mate said. With Auto/Mate's open integration program, integration costs remain low for vendors, the company said. That, according to Auto/Mate, saves money for auto dealers and provides them with more vendor choices.
"Running a successful dealership requires making important decisions every day. How do you know they're the right decisions?” Auto/Mate president and chief executive officer Mike Esposito said in a news release. “If you rely on information provided in Excel spreadsheets, you're relying on outdated data or someone else’s version of the truth.”
Dealer360 chief executive officer Michael Phillips said that with his company’s analytics reporting dashboard, Auto/Mate customers can instantly view trends, missed opportunities and projected outcomes. That makes maximizing profit potential and controlling expenses easy, Phillips said.
First, more bad news about dealer challenges in attracting qualified employees: According to the latest Cox Automotive Dealership Staffing Study, 20% of all dealership staff in the next six months will likely look for another job. And one-third of non-management employees feel neutral or unsatisfied with their jobs.
According to Cox Automotive, those figures show a possible high risk of dealerships losing some of their sales staff, and those staff members turn over at an 80% rate.
But now, the good news: Dealerships can reverse that trend, said Cox Automotive vice president research and market intelligence, Isabelle Helms. The Cox study shows that younger generations are more interested in dealership jobs than older generations.
“A new generation is entering the workforce and bringing with them a renewed interest in working at a dealership,” Helms said in a news release. “To attract and retain employees in this highly competitive job market, dealerships should understand which benefits and cultural attributes employees value most and take action to effect positive changes within their store.”
Cox Automotive says that U.S. employee turnover is rapidly increasing, and competition for talent is redefining the workforce. Dealerships are a main sector that struggles to attract and retain skilled workers.
Among dealership staff members considering a new job, what are the reasons for why they are considering leaving? According to the survey, 57% said better pay was a reason, 43% said work-life balance, 39% said no opportunity for advancement, 28% said long hours and 23% said they wanted better benefits.
More than 30% of Gen Z and young millennials are interested in working for a dealership, according to the study. That number goes even higher when dealerships present roles other than sales to them, according to the study. And that percentage rate is almost 10% higher than interest from older millennials and Gen X.
The good news continues: Approximately 61 million members of Gen Z are entering the U.S. workforce, so to attract and retain this younger, tech-savvy talent, dealerships can work on building a culture that can make that possible.
But back to the bad news: The study shows that dealerships must address large gaps in today’s auto retail workplace culture to win over this next generation, according to the 2019 Dealership Staffing Study.
One of those gaps: Dealership employee engagement is fading. One-third of dealership staff employees are not engaged nor excited about their jobs.
Another gap is that only half of non-management employees say their manager sets regular goal-setting meetings with them to stretch their capabilities and increase their skills.
Two more gaps:
— Work/life balance. It can lead to staff turnover. Forty percent of former dealership staff members report leaving because of that issue.
— Dealerships are not using the latest technology, with only 39% saying they are.
“Dealers can’t afford to take their eyes off their employees’ needs,” said Cox Automotive University senior director Bob Kostkan. “With record high dealership turnover and a low unemployment rate of 3.7% as of June 2019, it’s critical that dealership leaders improve productivity while also enhancing employee engagement and retention. These are controllable issues that must be addressed to maximize customer experience and profitability.”
To create a culture that makes employees feel valued and shows them they have future growth opportunities, dealerships need to act now, Cox Automotive said. John Cragg, executive vice president for the Penske Automotive Group’s East Region who is responsible for dozens of rooftops and thousands of employees, became aware of a blind spot while participating in the Cox Automotive SHIFT/Reinvent Program in 2015: He was “delegating” when he should have been “empowering.”
Because of that new awareness, he and his human resources and marketing teams worked to shift the focus to empower people and provide opportunities for them to make more significant contributions. Since that time, Cragg has seen consistent improvement in employee turnover and satisfaction each year. Outpacing industry averages, even for the highest performers, his region now shows the highest employee satisfaction scores and lowest turnover in the company.
But to help boost productivity and efficiency for employees, dealerships should also invest in modern, user-friendly technology, according to Cox Automotive. The younger generations expect it, and access to that technology is a must for businesses to succeed in today’s digital age, Cox Automotive said.
“To get the most out of technology, dealerships must also implement ongoing training opportunities,” Cox Automotive said. “Equipping employees with the necessary tools to help them grow their skillsets and better take advantage of new technology will create happier workers and a more optimized workflow.”
A new Mileage Estimator predictive model to the Outsell AI-driven marketing automation platform for the auto industry helps dealers better predict consumers’ needs so the dealers can provide timely automotive service, offers, and a better customer experience, according to Outsell.
Model enhancement and implementation of the Mileage Estimator has had a strong impact on the platform, Outsell vice president of product and program management Litded Davis said in a news release.
“We’re able to fill in missing information for dealers and consumers to better predict their service and vehicle needs,” Davis said. “This helps the dealer drives sales zeroing in on the right consumer, which results in higher engagement for a happier and more loyal customer.”
For helping dealers pinpoint where consumers are in their automotive lifecycle, vehicle mileage is an important data point, according to Outsell. But the company adds that most dealerships don’t have access to the data for vehicles they don’t service. Or, the company says, the dealerships don’t regularly collect mileage when they do service the vehicles. Also, they may not have the expertise to analyze the data they have.
Because of those factors, dealerships experience a data gap, according to Outsell. But the company says its Mileage Estimator model fills that gap.
For every make and model, the model establishes mileage patterns and combines them with unique data it has for each consumer. That allows more accurate current mileage calculations for a vehicle identification number, according to the company.
Before most dealers add Outsell’s Mileage Estimator, they see between 60% and 70% of their database records unassigned to a consumer lifecycle stage, according to Davis. But that typically drops, to 30% to 35%, after dealers add Mileage Estimator, Davis said. That means hundreds or thousands of additional consumers can now communicate across channels relevant to their individual lifecycle stage, and the channels are personalized for them.
Single Sign On, or SSO, for security and a better user experience is another new Outsell enhancement. Another is a lapsed servicer preset filter that the company says can help dealers quickly identify consumer and vehicle information such as number of visits and VINs. Then the dealers can download a call list that staff members can use to bring visits to their service departments.
With CarMax’s “new personalized car buying experience,” customers can complete the entire car buying process all in the comfort of their own home. That includes financing, trade-in and paperwork, without visiting the store. Other aspects of the “experience” include a combination of online and in-store shopping, and help from CarMax associates in person or by phone, text or email.
On Thursday, CarMax announced that its new personalized car buying experience is now available to CarMax customers in Florida and Virginia.
With the new offering, customers can arrange to have the car delivered, including test drive, before purchase.
The company plans to make the program nationwide, with plans for availability to the majority of CarMax customers by February.
In addition to completion of the entire car-buying process at home, the combination of online and in-store shopping includes quick store pickup for customers wanting to complete only some of the car-buying process from home. Customers can use the benefit of help from CarMax associates any time during the purchase and financing process.
Specific offerings can vary by city.
The new “experience” is now available in the following areas in Florida: Miami, Ft. Lauderdale, West Palm, Tampa, Orlando, Ft. Myers, Naples and Jacksonville. The areas of Gainesville, Pensacola and Tallahassee will launch at the end of July, with home delivery not currently available at those locations.
In Virginia, the new personalized experience is now available in Richmond, Norfolk-Newport News, Lynchburg-Roanoke, Harrisonburg and Charlottesville, with home delivery not currently available in the latter three areas.
CarMax president and chief executive officer Bill Nash said in a news release that his company is delivering on “an unmet customer need” for what he described as a flexible, convenient car-buying experience “completely tailored to each customer.”
“This experience has been well-received by our customers, who are excited about buying a car on their own terms,” Nash said. “This is the future of car buying, and we’re off to a great start.”
