Why Are Automotive Companies Behaving Like Businesses?
Why Are Automotive Companies Behaving Like Businesses?
Automotive dealerships are becoming increasingly tech-savvy as they employ Intelligent Virtual Assistants (IVAs) for Automotive Sales and Service, despite the perception that they are trailing behind in terms of innovation. These virtual team members are becoming mainstays for dealerships aiming to attract and keep consumers, thanks to artificial intelligence (AI) and clever automation.
In a recent edition of the Modern Marketing Engine podcast, presenter Bernie Borges speaks with Micah Burgess (VP of Sales at SimpSocial) on the use of IVAs in dealerships to address Marketing, Inside Sales, and Service. Of course, IVA acceptance is only one facet of this rapidly changing sector. Here are a few reasons why automakers are starting to think like other businesses.
Automobiles are a Changing Industry
Micah Burgess has 15 years of experience in the automobile sector. And throughout that time, he has witnessed significant changes in the way auto professionals manage and operate their businesses.
Micah emphasizes that “it’s not just the automobile business anymore; you’re in business now,” implying that the sector is moving away from old methods and toward practices that are more in line with how other industries manage and conduct their businesses. The way dealerships approach marketing and sales, human resources, and technology adoption will change as the car industry embraces this “business mindset.”
Similarly, huge dealership groups are looking for new workers outside of the auto sector. They’re now bringing in top personnel from Fortune 500 firms, finance, technology, and other industries to assist them drive their entire business models to higher success and profitability. Mid-market and small-business dealerships benefit from this multi-industry experience as well.
Traditional marketing approaches, such as mailers or newspaper, TV, and radio commercials, still have a place in the sector, especially in the Midwest, but data-driven marketing initiatives are gaining traction. “It’s difficult to say where a consumer came from from a ROI standpoint unless they come in with a newspaper ad folder in their pocket,” Micah explains.
Customers want to know how their money is being spent and what return on investment they can expect as dealers become more data-driven and customers want more digital alternatives. “Data is more crucial now than it has ever been for the automobile industry,” Micah explains. “These businesses and dealership groups are using data to better attract and convert customers,” says the author.
Making the Sales and Marketing Process More Efficient
The automotive sector relies heavily on inbound leads. In the past, a typical shopper would go to their local dealership on the weekend to look at numerous models, compare costs, and test drive them. The great majority of that process now takes place online. A consumer begins their trip by studying various car models online, requesting quotes using lead forms from several different dealerships, and then comparing their selections as they arrive by email or text. It’s critical to follow up with leads as soon as they exhibit interest, because the first dealership to reply to a lead is more likely to seal the purchase.
Of course, sales teams frequently have more leads than they know what to do with. And it’s impossible to follow up with hundreds or even thousands of leads in a timely and personalized manner. The same can be true for service departments aiming to attract automobile owners who, on average, require multiple reminders to get them to arrange a vehicle repair or routine maintenance appointment.
Dealerships are implementing technologies like the SimpSocial Automotive Sales AI Assistant and Automotive Service AI Assistant to better handle inbound leads and outgoing service reminders to prior customers. The auto industry has a history of being sluggish to accept new technologies. Micah, on the other hand, is ecstatic to see how swiftly dealerships are using AI to improve customer experiences and increase sales or service appointments.
Intelligent Virtual Assistants are so successful because they provide human-like, two-way discussions at a large scale. These discussions are courteous, persistent, and timely – a winning mix that generates a better return on investment than traditional marketing tactics in a trackable and proven manner.
Micah says, “Customers enjoy it and don’t even realize they’re chatting with an AI Assistant.” Even better, Salespeople and Service teams adore AI Assistants because they promptly pass handraisers to Sales the moment they show an intent to buy, allowing them to spend less time chasing leads and more time completing transactions. This guarantees that dealerships are actively engaged and making the most of every opportunity.
The Augmented Workforce is a healthy synergy between Intelligent Virtual Assistants and people, and it is something that any company can profit from.
Choosing the Correct Route
Automotive dealerships are doing a better job of attracting, acquiring, maintaining, and growing customer engagements by adopting a business mindset and implementing AI technologies, all while managing their staff and capturing the data they need to make better decisions.
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