Digital Dealer - July 2018 - 45

can tell which ads generate
responses and which don't.
They can even track in-store
behavior, such as which areas get high foot traffic and
how many customers arrive
each hour. So, while it's true
that buyers expect more,
sellers also are able to align
service with customer needs
like never before- and
that can be a major win for
dealerships.

WHAT DIGITAL
RETAIL MEANS, AND
WHY IT MATTERS FOR
YOUR DEALERSHIP

Digital retail for auto,
then, is about a change
in mindset: it's the shift to
a more customer-centric
model, powered by data.
Retail industry influencer
Nikki Baird helpfully talks
about this in terms of the
"digital value chain," where
sellers focus on collecting
data, turning data into insight, and insight into action
(https://www.forbes.com/
sites/nikkibaird/2018/03/13/
what-digital-transformation-actually-means-for-retail/#4c3c8c470386). In
other words, digital retail
means collecting as much
data as possible, and then
learning from that data to
create smarter strategies.
Thinking about digital
retail this way allows your
dealership to take a proactive approach. Instead of
scrambling to catch up with
the latest trend, you can
take a step back and think:
how can you use data to
understand your customers
better? What pain points do
you now have the ability to
address, and what tools can
you use to address them?

And finally, how can you use
data to build a more strategic marketing plan? The
digital transformation means
being able to reach customers more successfully- and
sell more cars as a result.
Here are some practical
ways to employ this proactive, data-driven approach:

FIND THE PAIN POINTS
ON YOUR WEBSITE

Shoppers use your website to do hours of research
before coming to your
showroom, so giving them
the best online experience
possible is crucial. A focus
on data makes it easier to
figure out what's working
on your website, and what's
not. Gather user data that
answers these questions:
Are you getting high VDP
views from expensive ad
campaigns? What is the
bounce rate on paid traffic
vs. organic? Are shoppers
scrolling the way you expect
them to and clicking your
CTAs? Are conversion tools
engaging or are they just
getting in the way? Digital
tracking tools including Google Analytics and heatmaps
allow you to see what users
are doing onsite, and whether they are finding what they
need or getting frustrated.
You might discover that
one of your lead forms asks
for too much, and your
shoppers are not willing to
fill it out. You'll then have the
opportunity to streamline the
form and ensure it's actually
helping customers achieve
their goals. You might find
that users are ignoring
a particular button and
reconsider the placement
or language. You might find

that certain pages are not
getting enough traffic and
analyze why. These insights
help you provide a better
online experience for your
shoppers- and smarter
strategies for engaging your
online shoppers.
USE TECH THAT
ACTUALLY HELPS YOUR
CUSTOMERS- AND YOU

There are so many digital
tools these days that choosing can be overwhelming.
Your customer data can
help you choose which tools
are actually helping your
shoppers on their shopping
journey and which ones are
not worth it. When tracking
lead capture tools, notice
not only how many conversions they bring, but also
whether they are related
to a higher bounce rate
or shorter site visit. Track
if people are using your
chat tools or closing them
immediately. Ask your instore customers if they find
your F&I software helpful.
You can even visit your site,
taking on different personas
and experiencing your tools
to see what it's really like
for your customers. Just
because a tool is digital
doesn't mean it's helpful.
Anything that's not furthering your dealership's goals
should be reevaluated.
FOLLOW THE ENTIRE
CUSTOMER JOURNEY

Often, data tracking systems do not communicate
with each other, which can
make for a stilted customer
experience. For example, a
customer's on-site behavior may not be recorded
properly in the CRM, so
follow-up conversations end
D I G I TA L D E A L E R . C O M

up being repetitive. Or ad
tracking is not integrated
with website behavior- so
it's hard to see which ads
actually lead to sales.
Conversion tools often
don't communicate with
each other, so customers keep getting asked to
enter the same information
or seeing offers that are
not relevant. All of these
disconnects interfere with
a process that should be
seamless. To whatever extent possible, data sources
need to be connected for a
larger picture of the whole
customer journey. Smoothing bumps in this path
provides the ability to understand customers better,
and to be more strategic at
every stage of marketing.
Across industries, the digital transformation is forcing
businesses to rethink their
strategies. Luckily, the shift
to digital can be an amazing
opportunity for growth. It
can allow your dealership to
use data to provide more for
your customers- while they
provide you with the data
you need to keep improving
your business. Digital is
about insight- and insight is
key to success.
DEVORAH WOLF is the content marketing manager at AutoLeadStar, a lead-engagement
platform for auto dealerships,
powered by artiﬁcial intelligence.
Following the latest in AI, marketing technology, and customer
experience, she writes about
providing the best possible digital service. Devorah is always
open to industry interviews and
reports, so please reach out to
collaborate. EMAIL: devorah@
autoleadstar.com

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https://www.forbes.com/sites/nikkibaird/2018/03/13/what-digital-transformation-actually-means-for-retail/#4c3c8c470386 https://www.forbes.com/sites/nikkibaird/2018/03/13/what-digital-transformation-actually-means-for-retail/#4c3c8c470386 http://www.DIGITALDEALER.COM
Table of Contents for the Digital Edition of Digital Dealer - July 2018
