EFG analysis finds major dealer missteps when handling online consumer vehicle inquiries
With Labor Day weekend straight ahead, EFG Companies released an analysis of 10 years of online consumer vehicle inquiries for dealers across the nation.
And many of the findings are not what used-car managers and salespeople want, including broken lines of communication, missed sales opportunities and surprising customer perceptions.
EFG said its results, compiled through 233 professionally conducted vehicle inquiries and more than 1,000 communications, indicated:
—22% of consumers received no response or information from the dealer at all
—More than 50% of dealers did not attempt to fully answer all the customer’s questions
—More than 60% of salespeople were unwilling to discuss vehicle pricing online
—75% of buyers were given no specific value-based “why buy here” message
“Like it or not, the car buying journey now begins online, where first impressions matter and competition is stiff,” EFG chief revenue officer Eric Fifield said in a news release. “Failure to adequately answer online questions, set expectations for the sales process, or engage with the customer on their terms equals a lost sale.
“Our data shows that dealers who prioritize training, compliance, and transparency are winning by converting eLeads, and generating notable revenue gains,” Fifield continued.
Fifield pointed out the research was conducted by trained professionals, posing as potential buyers and engaging with dealer salespeople via chat, text, or email. Dealer websites were evaluated for their effectiveness, email auto-responses, online chatbots were assessed, and sales team communications were comparatively rated.
Using a ranking criterion, the researchers navigated through all steps of the online sales process up to the point of a test drive, tracking outcomes at each juncture including initial vehicle inquiry, vehicle features and condition, add-ons, and price negotiations.
EFG determined missteps resulted from common and easily corrected follies, such as:
—Unconfigured technology in the business development center (BDC)
—Multiple responses to customer inquiries from different dealer team members
—Unprofessional writing with grammatical errors in dealership responses
—Requesting sensitive consumer data without using a secure service
EFG used this research to compile a whitepaper to provide dealer principals with numerous opportunities to invest in actionable customer-focused training that increases revenue opportunities.
Company leaders recommend that all dealerships review their online customer engagement practices and ensure that the online experience is as effective as the in-store experience, while catering to the mindset of an online shopper.
“Monitor all customer relationship management tools frequently to maintain alignment between your current sales process and online platforms,” said Glenice Wilder, vice president of training and inside sales at EFG.
“Dealers should train staff to use all available digital tools to effectively mirror a face-to-face interaction, including video walk-arounds and F&I product discussions. Whether using text, chat, or email communication, make sure everyone is effectively serving the customer, generating referrals, and increasing revenue,” Wilder went on to say.
The EFG whitepaper is available via this website.