Despite the recent embrace of digital platforms, many dealers find themselves falling short of anticipated results. On today’s episode of Driving Solutions, we’re looking at the factors contributing to this and solutions that can help. Joining us are Aaron Bickart, Executive Vice President and General Manager of Offerlogix, and David Spisak, CEO of Disruptive Growth Solutions.
Key Takeaways
1. One of the primary issues contributing to the underperformance of digital retailing platforms in the auto industry is the inconsistency between online and in-store experiences. When customers visit the dealership, they often find that the pricing and information they receive online do not match what the dealership offers, leading to confusion and a lack of trust.
2. Both Bickhart and Spisak emphasized the need to minimize friction throughout the car-buying journey. Drawing parallels with the seamless experiences offered by companies like Amazon, they highlighted that customers expect fast, simple, and transparent processes. Any discrepancy, especially in payments and pricing, can deter customers from completing their purchases.
3. A significant issue is the fragmented approach many dealerships take towards marketing. With multiple solutions and varied messages being sent out, customers receive inconsistent information. The interviewees suggested that having a single, unified marketing strategy is crucial for maintaining clarity and trust with potential buyers.
4. Effective use of digital retailing platforms is not just a one-time implementation, but a continuous process that requires ongoing training for dealership staff. As the industry evolves with new technologies and consumer expectations, training ensures that the staff can provide a consistent and informed experience both online and offline. Using the analogy of training for mobile banking illustrated the importance of familiarizing all stakeholders with new systems.
5. The future of car buying is not just a possibility, but a reality that is already taking shape with the rise of digital retailing. Bickhart and Spiesak discussed the importance of continually iterating and improving digital platforms to meet consumer expectations. They envisioned a fully integrated online purchasing process that would allow customers to complete the entire transaction digitally, emphasizing the need for the industry to evolve and adapt to consumer demands for convenience and efficiency.
"Amazon has changed our lives forever, and Amazon has reduced the friction of buying things online. That's the experience we need to bring to the consumer today in the marketplace."
