COMMENTARY: Preparing for a unique 2022 after a unique 2021
There have been so many changes and unique circumstances that affect the market and your business. They must be considered as you plan for success in 2022.
What to do about it all?
First, plan to do something different — not just a little different but completely different. Doing a little more of the same may not net better results. Be willing to think outside of the box.
Here are a few tips to get you thinking:
First, collect ideas. No idea is bad in the first step. Accept all ideas then narrow them down. This is how the creative process works in order to think outside of the box.
As Carl Sewell mentions in Customers for Life, bring in outside eyes. Sometimes you are too close to the situation to see clearly. Also, outside eyes can bring more creativity.
Look outside of your own industry. If you are having trouble finding employees, watching what other dealers do may not help as much. Look at restaurants, grocery stores, or other businesses.
We have the midterm election in 2022. Expect more communication and energy than ever before. Even previously uniformed, uninterested people are turning their eyes and ears to politics. That makes it harder for your communication to get attention. If you are trying to dominate social media and other hyper-competitive media, try a different media. Become the media (email newsletters, print newsletters, customer appreciation events.)
Major tech companies have limited ad tracking. Ad tracking was one of the main reasons for the shift from other types of advertising to digital advertising. What did you do before? Some marketers got lazy on creativity after realizing you could put ads in front of hyper-targeted leads. Get creative again with fun, interesting, and heartfelt communications.
Several recent articles, including from The Wall Street Journal, have revealed that the chip shortage for new vehicles will continue long into 2022. The new-car shortage will continue. The used-car shortage will continue. Some dealers will have trouble finding inventory using the same methods that previously worked well. Do something different. Dealers approached us to ask about marketing directly to the consumer to buy vehicles. Buy-Here Pay-Here dealers are used to buying at auction because of all that it provides, but if you still do not have enough inventory, try something new. I can’t provide all of the details here but I know one dealer who is doing a consignment approach.
A variety of industries are having difficulty finding employees. Some blame fear of the virus. Others say paying people to stay home has caused a worker shortage. Hire from other industries. Hire based on attitude instead of experience. Use systems better so that existing employees can be more efficient. A well thought out CRM process and salesperson who has it mastered can work more leads than two average people.
Masks, no masks, vaccine mandate, no mandate. Enough has been covered on this.
Some people want to buy vehicles without setting foot on the lot. This desire already existed and was stimulated by the pandemic. It may not be the best idea to change your entire model, but you can consider having a process in place. We have clients who have launched a hybrid approach.
Here are trends that have not changed that could use a tune-up:
• Online video: I have been pushing this for years. Some of our clients do not want to be on video. They are just not comfortable. We hired actors and have earned tens of thousands of views (locally) for our clients for a fraction of the cost of nearly everything else.
• Reviews: If you do everything else right but your reputation is not stellar, you will lose business to a dealership that has a 4.7 Google rating or better. The excuse, “I just can’t get my customers to write a review” is no longer legitimate. The systems and training exist.
• The customer experience: Hire employees who like other humans. Perhaps that sounds cynical. In my live employee/management training, Become the obvious choice, I reveal how it is hardly possible to pretend to like your customers. You have to actually like them even when customers make it hard. Repeat purchases, referrals, and word-of-mouth have always been important. In a world where the average person is exposed to up to 10,000 advertisements a day according to Forbes, a positive customer experience is critical to earn repeat, referrals, and word-of-mouth business.
Recap: Plan to do something different. Think outside the box. Look outside your industry. Bring in another set of eyes.
Kenny Atcheson is the founder and president of Dealer Profit Pros and author of Marketing Battleground: How to Deploy Under-the-Radar Strategies to Explode Your Profits. Request a consult or learn more about his company’s marketing and advertising programs, customer service and sales training at www.DealerProfitPros.com.