Establishing loyalty through Social Media

Social media is a highly effective way of maintaining a relationship with our customers. Retaining clients in what is a long sales cycle is one of the challenges we face in the automotive industry. By keeping in regular contact during what are traditionally dormant periods through social media we can improve loyalty and generate repeat sales and referrals.

The Nielsen New Zealand Social Media Report Wave 2: 2010 described Social Media as where consumers have the power to review, compare, rate, and recommend ideas, products, brands, and anything they connect with. During the last year 73% of Kiwis using the internet turned to other consumers’ opinions found in blogs, message boards, comments on social networking sites (such as Twitter or Facebook) and other ‘social’ websites. The credibility of social media networking was expressed by those surveyed saying that friends and family referrals were “Trusted, impartial, reliable, experienced, knowledgeable - knowledge from a person with a genuine wish for me to get the best deal.” We have talked about the power of Twitter and Facebook in previous articles, but as an industry we are increasingly adopting other forms of rich media (ie. interactive multimedia) to spread our message like videos and blogs.

Video

Fronting a video can add value to our business by creating a personality and brand that people can identify with, and relate to - look at The Mad Butcher! And people are looking - the Nielsen Online Social Media Report 2010 showed that New Zealanders are increasingly turning to rich media to support their decision making. In 2010, a massive 1.6 million Kiwis* watched an online video about products or services they were thinking of buying. Online videos were mostly accessed straight from a company website when viewers were researching products they were considering buying – this was followed by YouTube (You can also embed YouTube videos into your own company website). YouTube has a male skew (62%) and has a large proportion under 40*, targeting our videos to our audience will help us get the best results.

Blogs

A blog is like a message board and can be part of a website or stand alone. The blogger writes regular entries listed by date, often with pictures, video and room for visitors to leave comments. Several Kiwi automotive identities regularly write blogs within the industry. A good writer will gather a following, and is great advertising for their dealership. You can talk not only about your business and products, but review vehicles, or discuss industry news, events and views. This is yet another way to stay connected with your customers and continue to put a face, personality and credibility behind your business and brand. In the last 12 months more than 1.4 million Kiwis* read online blogs.

Sharing

Another reason that social media works so well to retain clients and generate referrals is that it is just so easy to share information and products online. At the click of a button you can email dozens of friends a classified listing, video, website or blog to check out, or post a listing or link on your Facebook or Twitter for all to see. For example Trade Me Motors and AutoBase now have buttons on every listing allowing viewers to share that listing by posting it on their Twitter or Facebook site. In the past year 62% of Online New Zealanders over 18 watched online video involving a product or service and 44% sent or shared that video clip with a friend!

Connect, Contribute and Converse

Social media provides us with an array of simple tools we can utilize to continue to Connect, Contribute and Converse with existing customers and prospective buyers. The great thing about social media is that it’s FREE - all it takes is time. It is sometimes hard to know where to start and what to use that’s why it is important that you have a solid digital strategy and establish the medium that best suits you and your business. Some people love making videos of their vehicles and have the charisma to be in front of a camera. Others enjoy writing so may start a blog to post articles about their dealership and products, or review vehicles.

Step into the ring, get amongst it

Updates to your website, YouTube channel or Blog give you the opportunity to enter the social media marketing ring with some clout; the delivery once again is your choice eg. you can use a link on Twitter with its short sharp jabs (140 character tweets) which are persistent, quick and timely or Facebook’s right hook delivering an in depth well connected shot . Whatever you do don’t sit on your hands, Social Media is an opportunity!

*Source: Nielsen Online Social Media Report 2010, surveying the New Zealand online population aged 18+ of 2,628,000 ?

Gone Fishing - but not the good kind!

Last year and once this year our dealers were targeted by a ‘phishing scam’ - a bogus email  e.g:

A group of AutoBase clients received an email asking them to confirm their account – it had the AutoBase logo and branding on it and looked fairly realistic. When a few of our clients clicked on the link in the email, a website that looked exactly like the AutoBase site appeared with fields to enter their Username and Password. It all looked authentic – apart from the fact that the URL was wrong. When a few of our clients clicked on the link in the email, a website that looked exactly like the AutoBase site appeared with fields to enter their Username and Password. It all looked authentic – apart from the fact that the URL was wrong. This was the fake website which looked real as it was copied directly from our own site - However the URL was http://admin-autobase.com/ which is not the correct one. Our website would have come up as http://admin.autobase.co.nz/ - the mere difference of a ‘dot’ instead of a ‘dash’ and extension. 

Another example of the URL of the fake website a more recent scam used is www.idealerbase.co.nz instead of real www.dealerbase.co.nz. The mere fact of an addition letter in this case was a subtle change to the URL address.

Only a few clients actually entered their details, which took the Phisher into their AutoBase account where on some existing listings they reduced listing prices, added ‘Half Price Liquidation Sale’ to the comments, changed the images to look like an AutoBase brochure and changed contact details by entering an email address they had created. They also added bogus listings including all of this information.  Some viewers on Trade Me who saw the scammer’s listings took interest and emailed the bogus address, where they were asked to deposit money for the vehicle into the scammer’s account.

Luckily, bogus listings were spotted and reported to AutoBase within hours of the client entering their username & password into the link in the scam email.  Within hours myself, the General Manager and the IT team were in the AutoBase office. The bogus listings were pulled and amended and all clients’ passwords were immediately changed to protect anyone who had already sent the scammer their details. Every client was sent an email warning them of the scam and advising of their new passwords. Trade Me were notified and sent an email to every person who viewed a bogus listing, letting them know it was fake. The Police Departments National Cyber Crime Centre (yes, a Cyber Crime department does exist!) was contacted and the bogus site was shut down.  Due to the quick response, no sellers or buyers were affected - and the scammer got NO money!

You may have received one of the most popular phishing scam emails that appear to be coming from a bank asking you to confirm your account details. More often than not you don’t even belong to that bank! Phishers are ‘fishing’ for your personal details or even worse, your customer’s details – they want your username and password so they can access your private accounts such as your bank, email (Gmail, Xtra, Hotmail etc) or Trade Me. So how do you stay safe and avoid being duped? The rule of thumb to keep you safe is NEVER enter your username and password into a website link that has been emailed to you. If in any doubt, call the company who appears to be sending you the email – guaranteed it will be a scam. 

Scammers and Phishers are becoming increasingly clever. Click on the link and the website looks real, with legitimate looking logos and design exactly like the real thing - this is how victims are lured into entering their details. It looks real, so they assume it is real.   No matter how realistic the website looks, do not enter your username and password.

How do I identify a phishing scam?

• The email fails to confirm that the company does business with you (i.e. by referencing your account number)
• The email fails to address you by your name, and may be addressed ‘Dear Sir/Madam’ or‘Dear Cardholder’
• The email warns that you have been a victim of fraud
• The email says that you need to confirm or enter a new password
• The HTML tags behind the links on the email will reveal that the underlying URL usually does not link to a page within the authentic domain.
• You did not initiate contact with the sender or may not have expected to receive it
• The email contains grammatical errors and spelling mistakes

Do not reply to any email that requests your personal information, or click on the link provided. Again, if in doubt, contact the company who appears to be sending you the email. For more information, check the Ministry of Consumer Affairs scam information here.

Footnotes

 1. Scambusters NZ website - Click here

Pimp that listing!

Our dealers often ask us, ”How do I make the most of my online advertising?” The key is to have a simple plan and work your online provider as hard as you can. Henry Ford said about his Model T “Any customer can have a car painted any colour that he wants. So long as it is black.” Luckily, that’s no longer the case. Online classified websites contain thousands of vehicle listings of every price, model, make and type. So how do you get buyers to locate and look at your vehicles?

An online classified provider like Trade Me Motors gets almost two million Unique Browsers a month (that’s individuals, who have visited the site one or more times in a month, who are counted once). You want to funnel as many of these potential buyers as you can toward your vehicles, so start by placing as many ‘arrows’ as possible pointing to your vehicles. The more vehicle and brand information you have displayed, the more likely a buyer’s search enquiry will pick up on your vehicles. One way to do this is to utilise the ‘comments area’ to the max (i.e. the area where you enter free flow text to describe the vehicle). On most automotive classified sites vehicles can be searched for by categories such as region, body style, make, model, price and year, enabling buyers to filter down to exactly what they want. So be specific and include as many descriptive keywords within your vehicle descriptions as you can such as colour, CD player, AA Appraised, turbo or remote locking to further refine a browser’s search.

Also think about how you would approach a customer and sell that vehicle if you were on your yard. Parlay that same approach and information into your online listings - tell the story. What is special about this vehicle? What condition is it in? What would you say if someone was inspecting this vehicle on your yard? This might sound obvious, but you would be amazed how many scant, lack luster listings we see.

One of our dealers rang me recently concerned that he wasn’t getting many enquiries on his vehicles. When I had a look at his listings the answer was clear – the descriptions listed were very brief with no features, and nowhere near enough information in the description. Most of the comments contained just one word – “petrol”! There was only one poor image on some vehicles and some had none at all. The pictures were taken on a cloudy day and on a funny angle that either cut the back off the vehicle or a corner. We had a chat and the dealer went back and updated all of his listings, adding more information, features and photos plus benefits of buying from his dealership. Within a week he had seen a good increase in his enquiries and vehicle views. We continued to monitor his vehicle views so that he could see which vehicles were getting less views, and figure out the reason why. In most cases, the reason was a lack of information or poor photos. The solution was basic, but it was the difference between working the vehicles and not.

To further attract and drive buyers to your vehicles, use any upgrade features that your online provider offers - feature your listings so that they appear at the top of searches, add a hyperlink to your website, showcase your vehicles in an online showroom or store. If you have a company website, promote it. Putting your website on your business cards and signage is great, but having a hyperlink to it online when someone is already sitting at their computer is far better and there is much more chance of them clicking into your website. Having a website but not advertising it properly is like having an advertisement for your yard on the 100th storey of a building – yes it’s out there, but who’s looking at it?

Also, think beyond just your product. Having your vehicles online is one thing but having your brand online is another. Sell your proposition as well as the product - what does your dealership offer that the next may not? Include information about special services, warranties, finance, deliveries etc. Work your listing space to its absolute capacity to sell not only your vehicle but your brand and proposition.

Finally, work to a plan - but make sure you understand it and you can follow it through. What is your budget? Where will you get the most bang for your buck? Identify your target audience. Where can you reach them and how? Online advertising has rapidly become the foundation to automotive dealers’ marketing plans. New Zealand’s online advertising spend for 2009 was $213 Million - a 10% growth since 2008. So seek out business partners who will put your brand and products in front of a large, relevant audience. In my next article we’ll drill down into how to create and work a simple, targeted sales plan. In the meantime if you are using an online classified website, work that site to your benefit to promote your vehicles and your brand and you should start to see results.

See this article also for 5 free and easy Tips on improving your listings. 

Social Media – Word of mouth on STEROIDS

We are always looking for ways for our dealers to maximize their online presence, and have had dealers ask us how they can integrate Social Media, particularly Facebook and Twitter into their digital strategy. That’s why we have recently added some new features to our dealer services area which allows dealers to send vehicle listings to their Facebook or Twitter accounts. This is another ‘arrow’ that can be utilised to drive online traffic back to your stock. There’s been a lot of talk amongst dealers lately about social media – what is it and do I need it? Is it a flash in the pan or is it actually relevant to my business? Here is a bit of a brief about what it all entails.  

What is so important about Facebook and Twitter?

In the 2009 Nielsen Online New Zealand Automotive Search Report; “Friends and Family” were the most useful resource when buying a vehicle. Other studies support this and a 2010 report says “In terms of the impact of Social Media on advertising, word of mouth is the popular option with 78% of customers trusting peer recommendations on sites. While, only 14% trust advertisements”

Facebook and Twitter are word of mouth on steroids, giving businesses the ability to tap into these trusted networks of friends, family and followers, which ultimately leads to sales.

What is Facebook’s business application?

Facebook was originally created for everyday people (in fact university students) to keep in touch and share photos. As an extension of this, individuals can also create a Facebook Page to share interests, or in our case, business information. Individuals can “like” your business’s Facebook page, so every time you post something they will get an update in their News feed on their personal wall.  A post may be as simple as writing a comment or you can create links back to your listings and more in depth information on your website. You can manage the information posted on your Facebook page, and share it using the networks of friends and family already connected on Facebook.  

How does Twitter work?

Twitter has also exploded in New Zealand.  After setting up your free Twitter account you choose who to ”follow”. This means when you log into Twitter, you are kept up to date with the news & information from the people who you want to listen to (“follow”).  Tweets are posts which are limited to 140 characters, are predominantly text-based and can include links to websites, articles, videos and images.  Tweets should be timely and relevant to your audience of followers (people who follow you, to listen to what you have to say).  80% of Twitter users use Twitter on mobile devices (Smartphones like an iPhone) which have become an essential tool to deliver high frequency conversations and keep up with the play.

Auto marketers and dealers are increasingly realising the value of Social Media and using it to increase their online presence, or ‘digital footprint’. Today, almost half of all Kiwis using the Internet are interacting with companies via social networking sites.

Social Media can be used as an effective marketing tool to:

• make it easy for friends, family and followers to refer your business or vehicles
• engage in conversations about your business or product and reinforce your brand
• promote specials, events and information
• be aware of what your competitors are doing and discover trends

Like having a company website, using sites such as Twitter & Facebook needs to be well-executed and managed. So before you start, ensure that you have a digital media strategy. A badly managed Facebook or Twitter account can do more damage than good. Look at corporate behemoth Nestlé, reduced to a vulnerable deer in the headlights due to their badly managed Facebook page in one of the year’s most epic corporate blunders. Once Nestlé put up their Facebook page, it was lambasted with ‘digital protests’ and abuse from the public and Greenpeace  for their use of palm oil and using companies accused of illegal deforestation of rainforests. Questions about Nestlé’s products were being asked on the page by the public, but Nestlé were not answering them. The page became flooded with protests and negative comments about the brand. The furor rapidly grew from Facebook to Twitter and is now all over the media like a tumor. Given that Google now index Twitter and Facebook, all that negative publicity comes up when you type ‘Nestlé’ into Google. A Nestlé employee admitted ‘The person responding for Nestlé seems to be junior. In future they need to look at the person who is responsible for monitoring the page and use someone more senior.'

Social Media is here to stay and is growing within the New Zealand automotive industry, but having a solid digital strategy in place before entering the social media arena is absolutely vital. As a business the way you engage should be quite different to your personal approach. When engaging be authentic and remember these 3 C's - Connect, Contribute, Converse. If you want to have a discussion about social media, give us a call, post a comment or send us a tweet; we’d be happy to hear from you.

Who is AutoBase?

AutoBase is the 'Dealer-only' doorway to Trade Me Motors

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Since being launched in August 2003, Trade Me Motors immediately became New Zealand's most visited automotive internet site. Today, more than 2 million Unique Browsers (sourced by Nielsen Market Intelligence) go to Trade Me Motors every month to buy and sell vehicles. In order to provide Trade Me visitors with the largest possible selection of vehicles, Trade Me partnered with AutoBase Ltd, who have been providing online services and solutions to motor vehicle dealers since 1999.

Around 70% of the vehicle listings in Trade Me Motors are trader vehicles supplied through AutoBase. AutoBase provide trader listings for cars, motorbikes, boats, trucks, caravans, buses, farm and other equipment to Trade Me Motors and have years of experience in working with clients. 

AutoBase services include tailoring options for loading and managing your stock - AutoBase can work with your existing stock system to make getting your vehicles onto Trade Me Motors a simple and straight forward process whereby you can load your listings onto AutoBase, Trade Me and your own website in one easy step. You can access AutoBase's free 0800 Customer Care number or email to receive training and assistance, or advice on how to make the most of your listings.

Other services AutoBase customers are provided with are online stock management (using our DealerBase website), upgrade features to increase dealer's online exposure, website development and hosting, logo design, free Automated Vehicle Fuel Economy Labelling and free stock statistics reporting such as Vehicle Views counts.

Today with over 40,000 vehicles online, AutoBase remains the strongest supplier of services to the automotive trader market.

With over 900 dealers registered as users, AutoBase look forward to continuing to develop sales solutions and provide internet-based products and services to its clients. 
 

Call AutoBase on 0800 42 88 62, or email us for more information.

Internet to Inventory

We know that one of the key issues facing dealers at the moment is how to best manage their internet presence – in terms of resources, budget and time. Following we have compiled some of the most common questions we receive from dealers, and our views on them.

How do I maximize my online presence in line with my budget and resources?

Put your stock where the most people are looking. It makes sense to choose a provider who gets the most traffic – Trade Me runs auctions and classifieds and they put a great deal of money and effort into optimizing their search results in Google, so you don’t have to! We suggest following this plan. Put 60% of your marketing spend into online classifieds, 30% into promoting those listings so they stand out, and 10% managing leads and your staff to make sure those leads are being followed up.

How do I encourage people to look at and buy from my online listings? 

Once your inventory is online, use any upgrade features that your provider offers as ‘arrows’ to drive viewers to your listings. Feature your listings so they are highlighted and pushed to the top of searches. If you have a website add a hyperlink to your listings. This will drive traffic into your website. Showcase your vehicles all together with your company branding, logo and promotional text. The more arrows pointing to your stock = more views = more enquiries.

How do I create a point of difference within my online advertising and differentiate my dealership from others who advertise in the same place?

Once you get your stock online, you need to drive traffic to it.

• Make sure your main photo for each listing is fantastic, showing the vehicle at its best.
• Make sure there is as much information as possible about your stock and dealership. Tell a story about each vehicle. Include as many descriptive keywords, features and unique selling
  points as you can 
• Promote your dealership’s services – what extra services do you offer? Focusing on service attracts.
  more leads.
• Entice viewers by running a campaign or special deal. Do you have any specials coming up for the Christmas period? Are you running any competitions? Are you giving anything away with purchase? People love a bargain, so promote any services, competitions or deals in all your listings as well as your website.

How do I bridge the gap between online and offline sales? 

Develop a solid marketing and sales plan:

• Work the 60/30/10 plan and use your classifieds website and all it provides to its capacity.
• Put the same effort into selling your car online as you do into selling your car offline on your yard.
• Ensure your staff following up on all enquiries and provide easy directions to your dealership.
• Provide a rapid connection with the customer.

How do I promote my website and get more traffic to it? 

You can pay for Search Engine Optimisation to drive more traffic to your site, but why not utilise a classified website already available and working successfully? Promote your website by adding the address to all of your business cards, email signatures, signage, stationery and brochures. Even better, get a hyperlink to your website from all of your online listings. When someone is already sitting at their computer there is much more chance of them clicking into your website rather than trying to remember the address. The more arrows that point viewers to your website, the better.

How do I get better qualified leads and drive a higher conversion rate from those leads? 

To give online viewers the confidence to make an enquiry, ensure that you have quality listings with good photos and lots of information about your business and services. This is essential. Make sure that you have a tight follow up process for your staff to help bridge the gap between conversions and sales. It is vital that your staff are following up on all internet enquiries quickly and effectively. Speed is extremely important to consumers. Invest in a smartphone so you can reply to emails immediately. No matter how odd every enquiry should be followed up. We know that enquiries that are answered promptly are significantly more likely to convert to sales.

What are the tools required to convert internet leads to sales? 

• Reply to email leads immediately 
• and appropriately (get a smartphone). Give prospects confidence that you know what you are talking about, and be happy with the customer service they are receiving. Ensure that your replies include:
• Knowledge – Answers are thorough and informative to create creditability with the customer
• Proposition – What is your point of difference? Are you running any deals? Do you offer any special finance packages? Do you have similar vehicles?
• Offer – Have a call to action. Offer other vehicles within their budget, a test drive, or a chat over a coffee or beer (if it’s Friday of course!) to discuss your vehicles and proposition further.

Other than using online classifieds, what should I be doing regarding advertising, such as a banner ad on Trade Me? 

Look at the plan – put your money into the place that will get you the most sales. Most large sites have banner advertising starting at around $10,000 per week, which is often shared with other advertisers. Go back to the 60/30/10 plan and distribute your budget accordingly - where you are getting the most exposure and the most bang for your buck?

Try this - pull out a piece of paper and draft up a 60/30/10 plan using the budget you spent last month. Try some of these suggestions, utilize others strengths, follow up every enquiry and make sure you take great photos and use the maximum allowance. Every little bit helps to make a difference once you have these things in place. And once you do, work on fine tuning them and enhancing them. As Dale Carnegie said: “Don’t be afraid to give your best to what seemingly are small jobs. Every time you conquer one it makes you that much stronger. If you do the little jobs well, the big ones will tend to take care of themselves.”