R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

DEALER CRM BUSINESS DEVELOPMENT7 POINTS OF OPPORTUNITY

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

1. INBOUND SHOWROOM

Objective: Ensure collection of complete customer contact information

Process: 1. Greet Customer2. Collect customer information including email3. Log information into Dealer CRM application4. Generate number from CRM app - required to work deal5. Provide Salesperson incentive

Technology: • Key control tied to CRM application that integrates with DMS. • Data used by CRC for sold and unsold follow-up activities

Metrics:Daily CRM Application Showroom Traffic Report by Salesperson

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

Inbound Showroom

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

2. INBOUND PHONE

Objective: Ensure collection of customer contact information and consistency

of phone techniquesProcess:

1. Receptionist routes calls to CRC (Sales and/or Service)2. Answer calls using scripts3. Schedule an appointment4. Enter Customer information into CRM application5. BDC re-contacts customer

Technology: • Calls automatically identified by caller ID and ad source• Data entered into CRM app. and recorded

Metrics:Customized Sales Call Reports identifies Source and call volume by

CRC staff with appointment to volume %

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

Inbound Phone

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

3. INBOUND INTERNET

Objective: Convert Internet Leads into showroom visitors that buy

Process: 1. Respond to inquiry via email within 30 minutes using templates2. Answer customer questions in first personalized email3. Email quote on several vehicles, set stage for call4. Call customer on phone within 2 hours5. Schedule Appointment6. Confirm appointment via email AND phone call

Technology: • Internet Leads from ALL sources routed into Lead

Management/CRM app that integrates with dealer’s DMS• Wireless device that integrates with CRM application

Metrics:Lead volume by ISM with response time, appointment/closing ratios

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

Inbound Internet

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

4. OUTBOUND UNSOLD FOLLOW-UP

Objective: Convert Unsold Opportunities into showroom visitors that buy

Process: 1. CRM application automatically generates daily customer contact

action plan2. Management conducts daily Save-A-Deal meeting3. CRC executes follow-up contact by phone, mail and email4. Schedule appointment with customer to visit dealership5. Make appointment confirmation call and send email

Technology: • CRM app schedules unsold follow-up completed by CRC staff.• Future follow-up is “results based” on today’s activity.

Metrics:Contact volume by CRC staff with appointment/closing ratios

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

Business Development Center

OutboundUnsold Follow-up

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

5. OUTBOUND SOLD FOLLOW-UP

Objective: Maintain contact throughout the ownership cycle focused oncustomer satisfaction ensuring a pattern of repeat business

Process: 1. CRM application schedules sold follow-up calls, letters and

emails according to a preset timeline (Lease Renewals, RTCM)2. CRC completes customer contact utilizing scripts & templates3. Schedule appointment4. Make appointment confirmation call and send email

Technology: • CRM app integrated with DMS so that sales activity automatically

schedules sold follow-up to be completed by CRC staff• Future follow-up is “results based” on today’s activity

Metrics:Contact volume by CRC staff with appointment/closing ratios

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

OutboundSold Follow-up

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

6. OUTBOUND SERVICE FOLLOW-UP

Objective: Every customer who has their vehicle serviced by the dealership is

contacted to ensure satisfaction and generate repeat businessProcess:

1. CRM application schedules service follow-up calls 2. CRC completes customer contact utilizing scripts & templates3. Schedule appointment4. Make appointment confirmation call and send email

Technology: • CRM app integrated with DMS so that R.O.’s automatically trigger

next day follow-up to be completed by CRC staff• CRM application creates action plans based on anticipated

service needs based on mileage and time intervals.Metrics:

Service customer contact completion rate by each CRC staff

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

OutboundService Follow-up

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

7. OUTBOUND SALES PROSPECTING

Objective: Proactively contact customers not currently in dealer’s portfolio of

business to increase conquest sales and AOI market share Process:

1. Customer lists downloaded into CRM application2. CRM app. schedules prospecting calls, direct mail & email3. CRC completes customer contact using scripts & templates4. Schedule appointment5. Make appointment confirmation call and send email

Technology: • CRM app. integrated with DMS so that customer data is available

upon arrival without duplicate data entry• CRM app. creates action plans based on identifying those people

on list most likely to become customers.Metrics:

Prospective customer contact completion rate by each CRC staff

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

OutboundSalesProspecting

BusinessDevelopment

Center

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

SAMPLE BUSINESS PRACTICES

1. SHOWROOM

• All showroom traffic logged into Dealer CRM Applications (Customer Tracking software) Salesperson is protected for 72 hours – Prestige BMW • Pay Greeter $1.00 per email address obtained – Central Florida Chrysler/Jeep

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

2. INCOMING PHONE

• CRC Manager listens to and records every phone call by using “Who’s Calling” type service… Offers management critique capabilities – Fairbanks Dodge/Mazda

• Using Nextel Technology; incoming sales calls go immediately to Salesperson’s cell phone… Provides immediate customer contact – Schumacher European Ltd.

SAMPLE BUSINESS PRACTICES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

3. INTERNET

• Clearly defined Internet Lead Response Process with verifiable metrics… 13% Closing Ratio, 120/month, #21 Ward’s Top 100 – Sterling McCall Toyota

• Personal response within 30 minutes of request, not including auto-response, both Team and individuals held accountable for response time … 16% Closing Ratio, 21% Sales Volume mix – Ourisman Chevrolet

SAMPLE BUSINESS PRACTICES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

4. UNSOLD FOLLOW-UP

• All customers are manually entered into Gold Mine (using Gold Mine for 8 years) by CRC Coordinator… automatically schedules written and phone follow-up – Schumacher European Ltd.

• Using Dealer CRM Application, follow-up calls made by Salespeople who can be locked out of the system if calls are not made… Increased follow-up consistency – Prestige BMW

SAMPLE BUSINESS PRACTICES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

5. SOLD FOLLOW-UP

• 14 phone contacts per customer in the 1st year… #1 Infiniti dealer for CSI in the past 3 years - Infiniti of Orlando

• Follows RTS recommended 4 Phase Lease Renewal Process… 75%+ YTD Lease customer retention rate – Scott Honda

SAMPLE BUSINESS PRACTICES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

6. SERVICE

• State of the art color glossy dealership quick reference guide given on delivery to introduce the CRC

– Schumacher European Ltd.

• Service reminder postcards sent to customers for specific dealership-only service (not oil changes)… Generates greater revenue per Repair Order – Ourisman Chevrolet

SAMPLE BUSINESS PRACTICES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

7. PROSPECTING

• CRC Managers required to confirm scheduled appointments as part of process and salesperson’s pay plan requirements… 85% show ratio average – Sterling McCall Toyota

• A rotation of Salespeople prospect daily using a purchased list of current Chrysler owners – Central Florida Chrysler/Jeep

SAMPLE BUSINESS PRACTICES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

Buy-in from all department managers

Hiring, training and keeping the right personnel

Fully integrated technology (CRM to DMS)

Investment (facility, equipment, software & training)

Verifiable R.O.I. Measurement

PROCESS IMPLEMENTATION CHALLENGES

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

Dealer Meetings

Best Practice Manual

Technology Assessments

Program Development

Regional Pilots

NEXT STEPS

R E T A I L B U S I N E S S D E V E L O P M E N T B E S T P R A C T I C E S

Customer Relationship Management:Dealer Processes & Tactical Implementation

Customer Relationship Management:Dealer Processes & Tactical Implementation

DEALER CRM PROCESS DEVELOPMENTWhat does success look like?

“All the lights are on, and the customers come home”