dealerships Archives - Storytailer

Pokémon Go as A Traffic Driver to Dealerships

July 15, 2016 By Arnold Tijerina

So it’s been a long time since I wrote a blog (for myself, that is) but after attending Jim Ziegler’s Internet Battle Plan and watching a kid yell “I found a Pokémon!” then promptly walking into a wall then watching adult auto industry attendees, vendors and speakers choose to go Pokémon hunting rather than network with industry colleagues and dealers, it got me thinking. First, yes, I downloaded the app just to see what all of the fuss was about. My Pokémon Go experience lasted all of about 15 minutes. I’ve seen people argue that Pokémon Go is silly and a waste of time while also seeing others relay the benefits of the game including physical exercise, exploring one’s neighborhood and connecting with new people with (at least one) similar interest.

I probably wouldn’t have been even interested in exploring the app at all but for the fact that a client created a clever ad that tied into their business message and we started exploring ways in which we could exploit this trendy craze. Who knows how long this game’s popularity will last but, for now, it’s the hottest thing around. Playing to trending things is nothing new and if you can leverage it in a way that supports your message or drives business, I’m all for it (sans tragedies, politics and the other taboo topics).

In my research, I found that there are things called “lures” in the game. You get these by catching Pokémon and doing various things BUT you can also purchase them for $1 each through the app. These “lures” are like catnip to Pokémon and the area in which the lure is set shows up within the game to other players. Of course, seeing as the goal of the game is catching Pokémon, it’s easy to understand why dropping a lure (which lasts 30 minutes) would attract nearby players. For $1 per half-hour, a dealership could pretty much leverage lures to the tune of $20 per day (given a 10-hour business day) and get a fair share of explorers. [EDIT: A fellow automotive colleague and self-professed Pokémon Go addict informed me that lures can only be used at already established Pokéstops. I do know that there are businesses that have been designated as such so this strategy would only work if your dealership were already a Pokéstop apparently. The overall intent of the article is discuss the marketing opportunity soon to be available as described later in this article.]

There are also things called Pokéstops and gyms which naturally attract players but Niantic (the game’s creator) decides where these Pokéstops are located. Of course, the concentration of Pokémon or the ability to train them (level them up) make these popular places for players. While actual user numbers haven’t been released, I’ve seen articles that report that daily use of Pokémon Go is extremely close to surpassing the daily use of Twitter. That is huge.

Well, it looks like (unsurprisingly) that Pokémon Go is going to make it very easy for dealerships (or any business) to leverage their game to drive foot traffic to their location. Of course, a company that’s pulling in $1,000,000 (yes million) per day just through in-app purchases decided to commercialize by extending business sponsorship opportunities. It’s reportedly always been in their plans but, due to the super-fast popularity (including a 50% increase in Nintendo share price), those plans have been expedited. Soon, businesses (read: dealerships) will be able to pay to be a “sponsored location” which would (hypothetically) make the business an uber-popular place to visit for Pokémon Go players.

Seeing as the game’s developer, Niantic, is a spin-off owned by Google and the game engine itself uses Google Maps for the GPS function within the game (i.e. finding Pokémon) it’s no surprise that the revenue trigger (i.e. what needs to happen for revenue to be produced) has been altered from the traditional cost-per-click to one of cost-per-VISIT. Yup, you read that right.

Now, knowing that you’d be charged based on how many Pokémon Go players show up at your dealership, the question now becomes… Is that something you’d want to pay for? Are these people worth having around, running around your lot searching for these cartoon characters while staring at computer screens?

I was told of at least one dealer group that’s already running a promotion leveraging Pokémon Go by running a contest in which players explore the lot and, when they find a Pokémon, screenshotting the Pokémon at the dealership then sharing it to social media including Instagram and naming the dealership. This is a new promotion (just like the game) so I don’t know how it’ll work out for them but I wish them well.

In my opinion, whether a dealership should become a “sponsored location” will depend on several things – the dealership’s demographic and whether they want people running around looking for Pokémon rather than buying a car (I mean, even people really there to buy a car are staring at their phone showrooming you so you probably wouldn’t know the difference between the two unless one of them is 10 years old). The opposite side of that argument is that a busy lot snowballs and attracts other buyers. I mean, we do use inflatable gorillas and wavy tube men, right? Now you can have Pokémon hunters attracting others and forgo the gorilla. (I wonder if the gorillas and wavy tube men qualify for unemployment or food stamps.)

All of that being said, we don’t yet know what the “cost-per-visit” will be but my guess is that it will be determined just like any other Google advertising – based on bids. Get into an auto mall and that might get expensive. It could offer the kids something to do while the parents are shopping or you could see the parents hunting Pokémon WITH their kids. If you subscribe to the “happy, sense of community, getting out and meeting people” philosophy, it could be a way to make a name for yourself (or become a more popular destination) within your community. Of course, being a sponsored location probably won’t end when you lock the doors. There could easily be people jumping your blocker cars to explore your closed dealership just to hunt Pokémon. I may know of someone that might possibly have broken into a miniature golf course just to catch a Pokémon… but that’s just a story I was told so I totally have plausible deniability… besides I would plead the fifth anyways.

So what do you think? I’d love to hear from dealers and/or vendors on their thoughts as to whether this sponsored location option about to come around through Niantic, Nintendo, and Google via Pokémon Go is one that a dealership should consider.

Do I believe that it will make the dealership a popular place to visit? Yes. Do I think that it would increase foot traffic? Yes.

The real question is whether it is foot traffic that a dealership would want.

Forget SEO, Naked Women Will Increase VDP Views

August 1, 2014 By Arnold Tijerina

In the middle of July, a small dealer in Oregon started to get a lot of attention. I’m fairly certain their website visitors spiked and at least one VDP started to get massive traffic. You see, somehow a 2001 Mercedes-Benz got transformed into a picture of a naked woman. Yes, you heard that right. Word started spreading amongst the automotive circles on social media AND, more importantly, to the public through a very popular automotive blog, Jalopnik. We (being my friends in the automotive community) found it quite amusing. The author of Jalopnik reports that he called the dealership and the faux pas was blamed on… wait for it… a computer virus. This “naked woman” VDP was appearing all across the Internet – the dealer’s website, Cars.com, and Auto.com being amongst them. I bet that dealer got more phone calls, leads and VDP views on this 2001 Mercedes than any vehicle it has ever had in its history.

The problem didn’t stay there, however. Once I verified this on their website and Cars.com, I started researching to see exactly how widespread this was. That vehicle (and picture) was everywhere. Not only that but once I SAW the picture, I couldn’t UNSEE it. Yes, the remarketing magic kicked in. All of a sudden, I had a naked woman stalking me on the Internet.

Anyone who knows the path of data distribution in the car industry knows that this didn’t originate with Cars.com. If you don’t know, this is basically the flow:

Dealer/3^rd Party Photo Service -> Data Distribution Company -> 3^rd Party websites

Having worked at HomeNet for a while, I got fairly familiar with this process. Some dealers would argue that “data distribution company” should be replaced with “website provider” but, for the most part, website providers don’t actually do the data distribution. In most cases, they subcontract out the service to companies like HomeNet. As a dealer, you may or may not be aware of this as your website provider may include data distribution in their service. I cannot count the times that I called dealers whose data feed we already had to try and sell them services and they had no clue that we (HomeNet) were distributing their data already.

How could something like this happen? Well, there are several possibilities so let’s get started.

Computer virus/Hacked – I don’t buy this one. This would have to be a pretty intricate virus with the ability to identify a picture of a naked woman, log into the dealer’s account with their data company, choose a vehicle and upload the picture into the system. When I looked at their website, it was only this single VDP that had the explicit picture. If it were a computer virus, chances are more than likely that it would have replaced EVERY picture for all of the vehicles. Not just one. Viruses are malicious. They want to do damage. The same rationale goes for a hacker. Replacing one picture isn’t going to make some guy so happy he spits out his Twinkie while Mountain Dew flies out of his nose. (I know, total stereotype. It was simply an effort to be amusing.)
Dealer Accident – This is certainly a possibility. In the past, dealers have been notoriously vocal about how difficult and time-consuming it was to take and upload pictures. This motivated the industry into creating software that made it easier. It’s possible that whomever was in charge of uploading pictures at the dealership happened to have this naked girl on their desktop or in the folder with the vehicle pictures and it accidentally got uploaded. Knowing the mechanics of retrieving pictures from a camera, then manually selecting the pictures that go each which vehicle while uploading them makes this scenario also unlikely. There was only a single picture for this vehicle so you can’t say that it was mixed in with 30+ other pictures of the same vehicle.
Third Party Photo Service – This, again, is pretty unlikely. Photo services depend on their clients for revenue. For the most part, they also use technology that makes taking pictures and attributing them to vehicles pretty efficient. Scan a Vin. Take a bunch of pictures. Repeat. Upload. It’s pretty automatic. Seeing as this explicit photo wasn’t a picture of a picture, the likelihood that it was already on the camera is slim-to-none. The exception here would be smaller photo services that don’t use this sort of technology. In those cases, you would refer back to possibility #2 above.
Cars.com – Forget about it. Do you really think Cars.com has the time to upload photos for dealers? They simply take a feed that originated as a combination of a DMS vehicle record and corresponding pictures and a listing is created automatically. Obviously there isn’t a censor watching on their end. They probably don’t feel the need for one. It’s certainly not scalable for them to view the millions of inventory pictures they get daily from dealers across the country.
On Purpose – This is the most likely scenario. Someone was either disgruntled or wanted a little laugh. Based on the results of widespread distribution though, this had to happen at or before the data distribution link in the chain of events for it to get disseminated as much as it was. Unless the dealer used a small photo service that they just cancelled, the likelihood that it was a vendor is small. People have to pay the rent, you know. The simplest solution is that someone at the dealership, that had the log-in to upload a picture, is the culprit. As they say, the simplest answer is usually the correct one. Maybe they were upset. Maybe it was a prank. We’ll probably never know.

Dealers are way too lax with their vital services and log-ins. Most CRMs have unique log-ins as they need to track activity and tie it to specific employees. The same is true with MOST log-ins to a DMS. Exceptions exist, however. There are many instances of shared or single passwords being used by dealers to access services. How about social media accounts? Imagine that showing up on your Facebook page, Twitter, Instagram, etc. A lot worse can happen to a dealer than the scenario in this article.

Vendors aren’t immune to this either. Read the comments on that Jalopnik article. Cars.com got some unwanted publicity as well. Consumers don’t know the mechanics involved. They simply blamed Cars.com and had a good laugh. That picture/VDP was on their (and other) websites for HOURS. I reached out to them via Twitter. While they wouldn’t get specific with me (although I’m sure they know exactly where they got the feed from) they did deny responsibility tweeting that the image “originated from a 3^rd party site.”

The point of this article isn’t to cast blame. I’m certainly not Sherlock Holmes. I’m simply using common sense. As dealers, your website and VDPs are your virtual dealership. Unless you would place a naked girl in the middle of your lot to bring in traffic, you probably don’t want this happening to you. (Although it would probably work better than a giant inflatable gorilla or wavy tube guy. Just saying.) You should treat all of your services as if you were in the military. Log-ins and passwords (especially administrator-level ones) should be shared on a “need to know” basis. In every possible case, there should be levels of access for individual users. This way, you can control who can access what, what they can do once there, and, if something goes wrong, hold someone accountable.

Dealers also need to know, and control, exactly where their inventory is going. Most dealers get sold on the fact that there inventory will be on a gazillion websites and their eyes light up like a child seeing his or her presents under the tree on Christmas morning. Dealers should know not only whom THEY are sending their inventory to but also to whom THOSE people may be sending it to as well.

While this was an amusing venture that didn’t last a terribly long time, it’s a perfect example of Murphy’s Law – “If anything can go wrong, it will.”

Data security is something that’s becoming more prominent in the eyes of consumers. If someone can upload a naked picture of a woman and get that on hundreds of websites in a minute, imagine what someone who REALLY wants to get revenge or create havoc can do with your DMS database, social media accounts, CRM, customer information (including socials, DOBs, etc)…and guess who would be responsible…

You.

Shame on Chevrolet & How the Homogenization of Dealerships By Auto Manufacturers Is Dangerous

April 25, 2014 By Arnold Tijerina

It recently came to my attention that a Chevrolet dealership in Indiana had a visit from a Chevrolet “architect” who instructed them that they must remove pictures of athletes that they sponsor and recognize and, worst of all, the American flags they had proudly displayed around their dealerships. This is the worst kind of hypocrisy and is a slap in the face to Americans.

Maybe they don’t remember that the U.S. Government helped the automaker to the tune of almost $50 BILLION. In the end, the USA Today reports that the U.S. Government may actually LOSE $10 BILLION of taxpayer money by doing so. It has only been four months since the U.S. Treasury Department exited the automobile industry with the sale of their remaining stock in G.M. It also wasn’t too long ago that the United States actually OWNED ~61% of the company itself.

Apparently, the divorce is final.

Not only does this infuriate me but it’s also bad for dealerships. Most dealerships survive on regular and repeat business especially in their service departments. The ONLY thing that they have to differentiate themselves from their competing Chevrolet franchise is their personality and the customer experience they provide. The homogenization of dealerships around the country (and the world) only serves to strengthen the brand and does absolutely nothing for the franchise.

Think about it. You may be a loyal patron of many stores… Rite Aid, Walgreens, Nordstrom… you name it. If you haven’t noticed, those companies do their best to make their stores identical as well. They do it because it offers a familiar and consistent experience across all locations and serves to make the customer more comfortable shopping with them… NO MATTER WHICH LOCATION IS CONVENIENT. If you’re a loyal Walgreens customer, you don’t necessarily care which location you go to when you need something they sell. You just go. This is a normal practice amongst large retail chains.

Automakers who are forcing design and décor compliance on its dealers (which most of them do) accomplish this by dangling big carrots of money in the form of financial subsidies to build new showrooms. I would argue that this DETRACTS from a dealership’s personality. It makes you less different than your competitors. It gives consumers LESS of a reason to choose you over the next dealership. All of a sudden, dealerships are like Walgreens, McDonalds, or any other retail chain. Over time, dealerships will be less able to differentiate themselves to consumers. When everything looks and feels the same… well, it must be the same.

You already have to battle your own brand for visibility in your digital marketing. Go ahead and try to rank over your brand on Google. See how much you’d have to spend to get the first position in a PPC campaign over your brand in your market. Some manufacturers are requiring dealers to do business with only certain vendors. If you look at many of these “required” vendors, their strategy is to push the same content for those dealerships. Many manufacturers create websites for their dealers (whether they want them or not) which puts dealers in a position of battling… well, with themselves. Then they force dealers to buy leads from them and regulate how quickly you respond and even what you say in some cases.

This homogenization is not only happening in our physical world but it’s slowly creeping into our digital one as well.

The fact that Chevrolet, a company that was owned by the United States less than a year ago because they couldn’t pay the bills and is also currently running to a U.S. Bankruptcy Court judge begging the court to “enforce a bar on lawsuits stemming from ignition defects sold before its 2009 bankruptcy…” to ask franchisees to remove the American flag from their showrooms is the epitome of hypocrisy and screams ingratitude. The bottom line is that Chevrolet has been asking a lot from the United States government and its taxpayers for the last few years while, at the same time, forcing its franchisees to remove the very symbol of the same.

Don’t mistake these concerns as only regarding Chevrolet (or General Motors), however. As a franchise owner, you should be very concerned that your manufacturer is forcing you to become less you and more them. You sell the same cars as all of the other franchise owners of your brand so the ONLY thing you have to differentiate yourself is WHO you are. Manufacturers don’t care if your customers are loyal to YOU. They only care that the customers are loyal to THEM.

The more your business – both physically and digitally – becomes THEM, the less consumers will care about YOU.

[P.S. I can confidently say that U.S. Veterans of the Armed Forces – including your employees, customers and members of your community – won’t be really happy with this policy. One can only guess if this will affect their perception of your dealership and/or brand.]

Did Google Just Hide Your Dealership’s Emails?

July 25, 2013 By Arnold Tijerina

[UPDATE: I discovered that how Google is determining what goes into the “Promotions & Offers” tab are emails that include CAN-SPAM regulated unsubscribe links. Well, that’s pretty much every dealership in the universe.]

As you may or may not know, Google introduced a new feature to their web-based Gmail interface. Tabs. It’s like a non-spam spam filter. This is what it looks like:

The idea is that it will help people manage their inboxes better by separating different “types” of e-mails. There are four tabs:

Primary: According to Google, the e-mail that you “really, really want” goes there.
Social: This is where Google is going to deliver e-mails from social sites including Facebook, Twitter, YouTube, etc. You know, all of those notifications.
Promotions & Offers: This is where all the e-mails from retailers advertising goes. You know those “sale” e-mails, coupons, etc. (I bet you can’t guess what else will go here.)
Updates: According to Google, this is where “updates, bills and receipts” will go.

What does that mean for dealerships and e-mail marketing? [Read more…]

Google+ Ditches Zagat Ratings, Returns to Consumer Friendly 5-Star Ratings

July 11, 2013 By Arnold Tijerina

Google can’t seem to make up their minds. That being said, they sneakily introduced a change that I believe most businesses (and consumers) will welcome.

In May of 2012, Google implemented their Zagat rating system which was confusing for both businesses and consumers. The 30-point system just didn’t make sense to most people including, most importantly, consumers.

As you can see by visiting any Google+ local page, they have reverted back to the 5-star rating system. Ultimately, this makes more sense as not only is it easier for the business to understand why their rating is what it is but a consumer intuitively understands what the number “means” in relation to reviews left by other customers.

The biggest thing is that it seems to have been rolled out completely in that the rating now exists inside and outside Google maps and whether you are logged into Google or not and you don’t need to have an upgraded listing as a business owner.

For the score to show, your business must have at least 5 reviews, however.

It isn’t quite updated everywhere yet. It’s still showing the Zagat score in the old version of Google Maps and in Google+ Local search results but I anticipate that this will all be conformed in due time.

I, personally, welcome this about face and think it’s good for both businesses and consumers.

What are your thoughts?

[Note: Thanks to 3GEngagement for the tip!]