How taking a digital-first approach allows you to attract different buyer types
Combining national reach with local presence
Many consumers continue to value physical forecourt experiences from local retailers, yet the pandemic and the emergence of online only players is disrupting the retail landscape. It has accelerated consumer preferences towards transacting online and many have already adapted by establishing new online journeys.
It’s presented an opportunity to combine the reach of selling online with the value of a local presence, allowing traditional retailers and consumers to benefit from the best of both worlds. The ease and convenience of making more of the buying decision online, combined with the face-to-face physical experience of visiting the showroom for a viewing or test drive.
It’s likely to result in a further shift from sellers “selling” to buyers “buying”, with more detail about the vehicle and the deal surfaced online. This could level the playing field with greater transparency and physical forecourt’s adjusting from shop windows to customer experience centres.
What do we mean by a digital first approach?
Taking a digital-first approach is about giving consumers the confidence they need to commit to a purchase online without the need to visit your forecourt. That isn’t to say that all customers won’t want to visit your forecourt, but you will need to appeal to those that don’t if you are to maximise the benefit of online reach and local presence. It means that every vehicle must be prepared and advertised to a standard where it appeals to buyers who want to transact online. Once you reach that standard, you’re allowing all buyer types to make as much of their buying decision as they choose online.
From proactive showroom visitors, to digital adopters. If you want to appeal to all buyer types, you need to apply the five principles of a digital-first approach:
1. Ensure all of your stock is visible online
If you are going to succeed and benefit from the efficiencies of taking a digital-first approach, it is absolutely essential that all stock is visible online. If it’s not, you’ve either not committed to taking a digital-first approach or you have stock sitting on your forecourt that is effectively not for sale. Key principles such as managing viewings by appointment and measuring your performance versus the rest of the market rely on it. You don’t have to increase your contracted stock, we have solutions that let you self-serve additional advertising slots in Portal without the need to speak to your Account Manager or increase your contract.
2. Surface more detail about the vehicle and the deal online
Giving consumers the confidence to commit to a purchase online involves providing more detail about the vehicle and the deal online. Add a pre-recorded vehicle walkaround video to every advert as standard and utilise a high volume of high-quality images to capture all the details of the vehicle, including any imperfections. Write a quality vehicle description and detail what’s included in the deal, with a brief summary of how to purchase or reserve the vehicle. You can also use our Guaranteed Part-Exchange (GPX) tool and allow the customer to appraise their vehicle in exchange for a guaranteed part exchange valuation.
3. Offer a 14-day money back guarantee
Consumers have a 14-day right to return as part of any distance sale. However, positioning this on your adverts as a 14-day moneyback guarantee proved successful for many retailers in lockdown when consumers were unable to visit a forecourt. It provides the customer with the peace of mind that they can return the vehicle if it doesn’t suit their needs or if it’s not as described. For this to work, it’s key to prepare all vehicles to a high standard and to describe any imperfections on the advert. If this is the case, it’s very unlikely that a customer would go on to return the vehicle, especially after going to the trouble of taxing and insuring it.
4. Manage your performance rating for your adverts
Performance rating is important when adopting a digital-first strategy. If your performance rating relative to the rest of the market is low, then it’s likely your actual performance will be below the market average or that you’re missing out on an opportunity to outperform your competitors. Get the basics right first, such as pricing to market and utilising our best practice advice to improve your advertising. Once that’s in order, it’s worth looking at how we can help boost performance with our prominence tools or a package upgrade.
5. Manage forecourt visits by appointment to maximise efficiency
To maximise the benefits of taking a digital-first approach, efficiency is key. If you operate on the basis that most of your customers make an appointment to view a vehicle and the rest just walk in and ask for assistance, it’s likely you’ll manage neither process effectively. In an era of post pandemic retailing, it’s not unreasonable to ask a customer to make an appointment to view or test drive a vehicle. Simply explain that in order to maintain safety and deliver the best possible service we request that you make an appointment. You can view all of our vehicles online and if you’re not sure on which vehicle you’re interested in, we’ll be happy to help you find a car that suits you. This will ensure you make the best use of your time and allow you to deliver the best possible service. Not to mention it will reduce the number of time wasters and test pilots that wonder onto your site for a bit of something to do.
If you need any support in applying any of these principles or if you’d like any more information on how taking a digital-first approach can help you and your business, please contact your Account Manager or call us on 0330 098 5874.