Are you losing Customers due to bad data capture?

Our research shows that the majority of motorists would leave Dealers that got their details wrong in CRM communications.

  • 57% of motorists would consider taking their business elsewhere if sales staff got their name or current car wrong
  • Under-25s are least tolerant when it comes to inaccuracy by dealers
  • Marketing Delivery’s BrainBox system helps dealers to monitor data discrepancies and GDPR compliance

Increasing sensitivity about data use, and a heightened awareness of GDPR recently, means that car dealers that make mistakes with prospective customers’ information – such as their name or details of their current vehicle – risk losing their business altogether. Our new research shows that 57% of UK motorists said they would be less likely to purchase a new vehicle from a dealership that made this kind of error.

Just 5% said that inaccurate information would make no difference to their likelihood of buying a car from the dealer whereas the least tolerant of errors are younger buyers, with 65% of motorists under 25 years old saying they would be less likely to purchase a new vehicle from a dealer that made such a mistake.

When it comes to vehicle servicing, motorists are similarly intolerant, with 59% saying they agree with the statement ‘I would be less likely to have my car serviced by a dealer if they got my details wrong when contacting me (e.g. my name or details of my current car)’. At a regional level, Londoners appear to be the least forgiving of inaccuracies – 69% said they would be less likely to use a dealer for servicing if the business got their details wrong.

A greater proportion of women (63%) than men (55%) would reject a dealer that uses inaccurate information following contact about vehicle servicing. The gender difference is smaller when it comes to enquiries about new car sales (58% women vs. 55% men).

Those with the overall highest expectations about data accuracy are the under-25s, with 68% saying they would be likely to shop elsewhere for service work if a dealer got their details wrong.

“Securing contact information for customers is critical, but these findings show that if sales staff subsequently make mistakes in their interactions, it can undo all of the marketing effort up to that point,” says Jeremy Evans, our Managing Director. “The objective is to have customer records that are both comprehensive and completely accurate, and the rapid reporting tools we have built into our new BrainBox system can flag up potential errors before they cause a problem.”

Our new BrainBox system, which is compatible with multiple dealer database and showroom platforms, enables quick, aggregated analysis of data. It can rapidly generate reports on the quality of customer records, the status of permissions for future contact, and key metrics relating to the effectiveness of its digital campaigns – such as open rates, click-through rates, and email ‘bounce-backs’. Your account manager will be showing you BrainBox as it rolls out over the coming weeks.

“With the GDPR enforcement date looming, dealer groups should not only ensure that contact permissions are secured appropriately, but also that the fundamental quality of their data is as high as possible,” adds Evans. “With ‘legitimate interest’ becoming a key point in GDPR discussions, sales and service teams need to make sure they are doing everything possible to keep prospects happy and retain their customers’ business. There’s no second chance to make a first impression.”

Crucial Contact Details Lacking In 34% Of Customer Records

Over a third (34%) of sales and service records held by franchised car dealerships lack accurate details relating to the customer and their vehicle, according to new analysis from Marketing Delivery.

Evaluating over 200,000 customer records during Q2 (April to June) of 2017, the company found that the customer’s email address was the individual detail most commonly absent, in 18% of all cases. The problem is one that affects the entire sector – even the best-performing dealership had email addresses missing in 8% of its records.

The Marketing Delivery analysis, which encompassed dealerships throughout the UK representing prestige and volume brands, also found that 13% of customer records lacked a mobile number. The best-performing dealership still had 7% of records without a mobile number.

“Without crucial contact details, dealerships are inevitably limited in their ability to interact with customers and prospects,” explains Jeremy Evans, Managing Director at Marketing Delivery. “With the new car market starting to lose momentum, dealers can’t let potential leads slip between the cracks. Comprehensive customer data underpins agile and responsive marketing, engaging with customers in the most effective ways at optimal points in the buying and ownership cycles.”

In an average of 9% of cases, the service-due date is either missing or it is in the past (i.e. the record has not been updated by the service department after work was completed). For MOT-due dates the figure for absent or overdue details is 8%. In both cases the dealership will not be able to include those customers in their aftersales marketing campaigns. “These numbers are relatively small but they can make a big difference to an overall aftersales marketing effort,” adds Evans.

“A lot of attention is rightly paid to levels of response from dealer marketing campaigns, but if you don’t have accurate records you aren’t even getting out of the starting blocks. With increasingly intense competition from independents and fast-fits, dealers can’t afford to squander opportunities.”

Marketing Delivery conducted the analysis as part of its quarterly Data Quality Report, which also identified some year-on-year trends. Significantly, there appears to be a modest improvement in the accuracy of customer records held by most dealerships compared to Q2 2016. For example, an average of 39% of records had absent or inaccurate details in Q2 2016 (versus 34% in Q2 2017). The proportion of records lacking an email address was higher last year (20%, versus 18% in 2017), and a greater proportion lacked a mobile number (17%, versus 13% in 2017).

How does eCRM improve Sales Conversion?

The Sales eCRM processes employed in our clients’ dealerships supports the traditional follow up process, providing a safety net for any “forgotten” opportunities, difficult to contact customers, absences or any of the other multitude of reasons a prospect may not be followed up.

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When is a “Lost Sale” not lost?

We were recently asked by clients to come up with a way of re-engaging with “lost” customers. The first thing we asked was “what’s a lost customer” – the answers were:

  • A customer who has made an enquiry with a dealership but hasn’t gone on to order a car after a certain amount of time
  • A customer who has searched for a used car on the dealer website but can’t find a suitable match

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Communication is key to success and loyalty

Franchise dealerships are a great model for the consumer – identikit buildings with staff conforming to the latest manufacturer sponsored “CSI” process or system requirements. It’s a great way of ensuring a relatively high level of basic service, comparable to neighbouring dealerships, whatever the marque.

So how does a business differentiate itself from the others?

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Big Data to Improve CRM

There is lots of talk at the moment about big data and how to use it to deliver the right, personalised, relevant, responsive messages to customers at the right time, using the right media.

The good news for car dealers is that big data is nothing new and is sitting there on DMS, showroom and aftersales systems already.

The tricky bit is using that data to deliver the right messages at the right time, producing a relevant, engaging CRM cycle.

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From Data To Deal In Seven Easy Steps

A prospect is seven times more likely to buy from a dealership if they’re followed up within 72 hours of their visit.

That’s a powerful message, isn’t it?!

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