Making the effort to understand how “Big Data” can be utilized in the dealership should be a priority. As our consumers evolve, our approach to marketing and selling them new vehicles needs to change.
At the recent Digital Dealer 23 Conference in Las Vegas, there were several good speaker sessions that addressed how dealers should be leveraging big data into their marketing efforts. As a marketer for a data driven organization, I fully agree with my industry colleagues.
While I was listening to one session focused on Big Data, I overhead a dealer’s conversation. He confined to a friend, “I’m just a small business, not a large enterprise; I don’t have the bandwidth to incorporate this into my business.” For any dealer that has these thoughts I’d like to say to you, yes you can and no it doesn’t have to be overwhelming or complex.
Data analytics is a powerful tool. It’s not costly, nor does it require a SWAT team to understand or implement. What it does take is your commitment to think differently and use the value of this information more effectively, which will result in strategic target marketing that delivers stronger results and will save you money. This is not an initiative you have to take on by yourself. Dealers have a variety of vendor options that you can consider; business partners who can help guide and assist you with this effort.
A byproduct of big data, is predictive analytics. Predictive analytic marketing is a highly effect method to identify active in-market buyers based on an analysis of thousands of big data touchpoints and having the ability to rank their propensity to buy. Utilizing predictive analytics to target market enables you to focus and engage with the right customers when it matters most. Here are 5 reasons for using predictive analytics to drive customers to your dealership:
- Improve Customer Intelligence.
Your CRM or DMS does not contain all there is to know about your customers. Use a predictive analytic solution that utilizes data science to aggregate thousands of data points that will provide a higher level of customer intelligence based on – garage data, credit and financial attributes, demographics, life events and behavioral information.
- Create Customer Profiles
Leverage the information you receive from your big data analysis to better understand your customer, their buying needs and ability. Developing customer profiles will enable you to market the right vehicle to the right customers for a higher conversion. In addition, profiles provide consumer insights which empower Sales to be more consultative in how they interact with each consumer.
- Access Higher Quality Sales Prospects
By identifying active in-market buyers, you can be more strategic in how you market and engage with each customer. Knowing who is in market and who has the highest propensity to buy will allow you to be more effective in attracting their attention and ultimately converting them into a sale.
- Create More Impactful Marketing Campaigns
Not all customers are the same. Tailor your target marketing to your audience’s needs, affordability, life situation etc. Be more effective with your messaging to drive higher results.
- Increase and Sustain Brand Loyalty
Just because you may have them in your DMS, doesn’t mean you know they are in the market to buy. Be proactive and use the information available to you and include them in your strategic marketing efforts. In addition, because you familiar with them, you can position your dealership to be at the forefront in their decision making process, opposed to being left in the dark. Sustaining customer loyalty can be fragile in our new era, treat it with care.