AutoSuccess January 2013

Page 66

AndrewPrice

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finding the right app for your dealership There’s no escaping it — mobile app usage is on the rise. With 50 billion downloads projected by year’s end, it’s imperative that dealerships incorporate app technology into their business. Implementing a mobile strategy isn’t as much about increasing sales and exposure as it is about stepping into a new age of technology and communication. If you don’t figure out a mobile app strategy, your dealership might as well sell horses and buggies. Knowing that you need to incorporate an app into your business is one thing — actually implementing one is another. There are several ways to go about getting an app, which can get confusing and expensive. That’s why you need to determine what type of app fits your business plan, and how much you’re willing to spend. What Type of App is the Right Type of App?

The app field is ripe for harvesting, provided you know which seeds to plant. What that means is that developing an app takes time and money — and there’s no guarantee of success. Instead of developing an app that might gain traction with potential customers, why not pay much less for an app that helps your dealership generate more business? You’re probably thinking of creating an app that provides helpful research and shopping tools for consumers. There’s no doubt that your dealership should strive to be helpful and convenient, but does a research app really help generate more sales? Most people conduct their research on tablets and computers, as opposed to their smartphone.

There are several consumer-driven automotive apps that assist in research, but what about apps that help the dealer drive sales? Apps aren’t just a one way street from the consumer to a business. More and more dealerships are using apps to set appointments and capture consumer information. Before your dealership starts developing an app, know that branded apps have a small success rate. According to a recent Deloitte study, 80 percent of branded apps had been downloaded fewer than 100 times. You need to zero in on attaining apps that help you, the dealer, generate sales. Why put all of your eggs in the consumer’s basket when you can make a better omelet? Apps are thriving because they offer convenience, which is why technology that frees you from your desk so you can increase your bottom line and eliminate inefficiencies is important to your personal well-being and your dealership. Save Resources by Renting Apps

Developing an app is not cheap. Expect even the most basic apps to cost more than $100,000, and that’s on the small side. To truly maximize your resources, you’ll want to get in on the action instead of creating it. You can pay top-dollar and hire a third party to develop an app for your dealership, or you can take advantage of the existing app market. It takes extreme amounts of time, research and resources to create an app that will benefit your dealership. When you start development on an app, you are married to it — for better or for worse. You can’t guarantee it will be a success, and you can’t get that money back if it tanks. That’s why it’s wise to pay for time-tested apps that can be utilized for a nominal monthly fee. There are automotive-specific apps that specialize in assisting dealerships move their fleet and connect with consumers. And the great thing about these apps is that they’ve already been developed and have a successful track record. Imagine if there was a specific mobile app that could help drive your bottom line, while offering life-changing convenience. Imagine an app that captures missed sales calls and alerts you via smartphone. You could access this app while making your morning coffee from home, on your lunch break, at a little league game and during the weekend. Instead of being tied to your desk for hours on end, you could free yourself from the lot and endless rows of cars. Think of it like this: Apps are fruit. You can buy some land, till the soil, plant the seed and cultivate the crops until they bear fruit. Or you can buy the finished product at the store. Considering the cost of farming for fruit versus buying it, it’s a no-brainer. Andrew Price is the president of automotive at CallSource. He can be contacted at 888.821.3770, or by e-mail at aprice@autosuccessonline.com.

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