Study: Talking trade-in increases dealer appointment success by 72%
Alan Ram’s Proactive Training Solutions recently announced the results of a partnership with Calldrip to conduct an independent study of 15 random auto dealerships in their database, scoring 1,215 sales calls.
The study found what the companies called a “vital missing link.” as the customer’s vehicle trade was discussed only 14% of the time.
However, the companies discovered that inquiring about an appraisal of a shopper’s current vehicle increased appointments set by 72%.
Here’s how the study idea originated and the findings surfaced.
Calldrip recently integrated all-new features powered by artificial intelligence into its call monitoring program for auto dealerships.
To ensure the new AI was listening for the right conversation elements when measuring sales call performance, Calldrip partnered with Alan Ram’s Proactive Training Solutions.
The company used Ram’s scoring formula, including the steps that help convert shoppers into appointments at the dealership.
After three weeks of training the AI on what to listen for, the companies said a direct correlation was found between the trade-in conversation and appointment success. The more often the trade-in word tracks were used, the more appointments that rep would set.
Proactively inquiring about the shopper’s trade resulted in a 72% increase in appointments set, according to the companies.
Out of 1,215 conversations, a total of 297 appointments were set, a rate of just 24%. And the trade was discussed 14% of the time.
Digging deeper into the results, 164 calls were then isolated where the trade was discussed. These calls resulted in a significant increase in appointments set of 42%, a total of 69 appointments.
In other words, when the trade was discussed, the companies indicated the likelihood of setting an appointment jumped from just over 24% to 42%, generating that increase of 72%.
Susan Gaytan is director of dealer engagement and training at Alan Ram Proactive Training Solutions. Gaytan recapped that when the firm piloted the Calldrip AI tool with its own client’s real-time sales calls, they noticed a direct correlation between the trade conversation and appointment success.
“This was a Eureka moment for us,” Gaytan said in the news release. “It is difficult for dealerships to listen, analyze, and coach each sales call, especially large volume dealers with 1,000 plus calls each month. With the Calldrip AI tool, we can score hundreds of calls automatically.
“Furthermore, it has proven that it truly does matter what a sales rep says on that sales call,” Gaytan continued. “Alan Ram was passionate about training sales reps to be successful on the phone and in particular with that trade-in piece. He built a strategy based on the trade-in conversation. He knew that on that sales call, asking the shopper about their trade-in proactively would encourage them to set an appointment and come in. We know that shoppers have a personal connection with their vehicles.
“With this new Calldrip AI feature, we have confirmation that this is indeed true and that Alan was right.” Gaytan went on to say.
Brock Jackson is Calldrip’s chief operating officer and elaborated about the study findings that also are available online.
“AI-powered monitoring provides valuable insights to make the most of every conversation and it is then easy to pinpoint consultant training opportunities,” Jackson said. “It was wonderful partnering with Alan Ram Proactive Training Solutions for this study as it highlighted how one simple item added to a sales conversation can dramatically increase the chance of a successful sale.
“Simple actions such as expressing interest in the trade, selling the trade value, and inquiring about the appraisal make a huge difference, “Jackson added.
For more information about Alan Ram’s Proactive Training Solutions, visit proactivetrainingsolutions.com, or the Calldrip engagement solution, visit calldrip.com.