the future of customer experience: digital marketing inside the dealership
Post on 17-Jul-2015
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[The auto industry] needs to keep up with — or even set — the pace in redefining
excellence in retail, and be favorably compared across industries ... The benchmark is
actually being established by the integrated shopping experience on Amazon: the
seamlessness, the efficiency, the ease, the fun.
— Jeremy Anwyl, Vice Chairman, Edmunds
“Reimagining the Car Shopping Experience”
FUTURE OF CUSTOMER EXPERIENCE
• Innovations in retail
• What is a great shopping experience?
• The evolving dealership experience
• Digital marketing inside the dealership – the opportunity
UGG/Deckers Brands
• Four large RFID-enabled touchscreens
• UGG By You puts customer in charge
of the design process
• Bling It On allows customer to
embellish boots with Swarovski crystals
“We are merging the best of digital and physical
shopping experiences...”
— Dave Powers, president of omnichannel Deckers Brands
NEIMAN MARCUS
Memory Mirror
• Captures images and video of
everything shoppers try on
• Compare outfits side by side
• 360-degree view
“All our newest initiatives—MyNM, Snap.Find.Shop, the
Memory Mirrors, the Touch Tables—are geared toward
making the customer experience the very best it can
be.”
— Ginger Reeder, Neiman Marcus
NEIMAN MARCUS
Touch Table
• Browse and filter Neiman Marcus’
in-store and online inventory
• Showcase “coming soon” products
• 32” Ultra High-Definition 4K
touchscreen
"Whether it's a product in another store
location or from our online inventory, our goal
is to provide customers with omnichannel
access to the best merchandise in the world.”
—Wanda Gierhart, CMO
DL1961 Premium
Denim/Nordstrom
“Digital Denim Doctor”
• 360-degree imagery
• Detailed denim “blueprint”
• “Prescription” for the perfect fit
“We wanted to really simplify the customer
experience.”
— Sarah Ahmed, Creative Director
Ford F-150
“The Truth About Trucks”
• Interactive touchscreen and
3-D interactive display
• Features and capabilities, in depth
• Comparison with competitors’ full-size
pickup trucks
• Build with available options
“The kiosks will allow a customer to drive
the experience ... learn about what you are
interested in.”
— Eric Peterson, F-150 Marketing Manager
Audi City
• Consumers choose model, color, engine and other specs
• Completed car is displayed on floor-to-ceiling “Powerwalls.”
• Customer can interact with their creation — spin it around, peer inside, open doors & more.
“Audi has set itself the task of bringing together the benefits of the real and the digital worlds, to fully integrate them and create a perfect brand experience.”
— Horst Hanschur, Business Development, Audi
WHAT HAVE WE LEARNED FROM THE APPLE
STORE?
• Make investments that will connect customers with your products
• Create an enticing retail environment
• Let customers test products hands-on, light/no supervision
• Hire good people, train employees well, make experts available
• Look beyond the transaction
• No pressure
• No upsell
• Don’t get complacent
WHAT DID WE REALLY LEARN FROM
THE APPLE STORE?
Create a great experience
“... Bringing together the benefits of the real and the digital worlds, to fully integrate
them and create a perfect brand experience.”
“The kiosks will allow a customer to drive the
experience ... learn about what you are
interested in.”
"The goal is to create an inviting and engaging retail experience ...”
“We are merging the best of digital and
physical shopping experiences...”
All our newest initiatives are geared toward
making the customer experience
the very best it can be.”
OVERALL, THE EXAMPLES WE LOOKED AT ARE
HELPFUL AND EMPOWERING
Meaningful interaction Example
Help me choose the right product for me NM Memory Mirror – 360° view
DL1961/Nordstrom – 360° imagery, questionnaire
Help me find the one I’m looking for NM interactive table – Online inventory, new products
Help me understand the available choices or a specific
product
DL1961/Nordstrom – RFID tags
Ford 150 – Aluminum body, fuel efficiency
Help me compare products I’m considering Ford 150 – Comparison against other trucks
NM Memory Mirror – Side-by side comparison
Let me build exactly what I want UGG – customize with color, patterns, crystals
Audi City – Configure car
Ford 150 –
Let me see and feel what it would be like to own the
product
Audi City Powerwalls – Spin, look inside, open doors
UGG – RFID-driven videos and style tips
IS CAR BUYING A GREAT EXPERIENCE?
Source Data Points
McKinsey 2013 Retail Innovation Consumer
Survey
• 1 in 4 customers is unsatisfied with dealer experience
• Buyers expect dealer visit to yield information not easily found online
Cars Online 2014 • 57% of US respondents said they were satisfied with the overall buying process
• 76% would consider an alternate test drive location
MTV Millennial Study 2014 • Good news: they don’t hate cars
• 8/10 believe process should take less time
• 87% say process should be more transparent
JD Power U.S. Sales Satisfaction Index • Overall satisfaction with the sales experience among new-vehicle buyers and
rejecters in 2014 is 686 /1000
• Overcoming customers' feelings of intimidation with regard to the latest
technology is an important part of vehicle sales; product specialists help
... but it should be
It should be like when you go to an ice cream store.
Everybody is happy at the ice cream store.
They are laughing, smiling and joking.
When you buy a car, it should be the same.
— Mike AccavittiVice President, Automobile Marketing, American Honda Motor Company
PEOPLE SHOP FOR CARS ONLINE, BUT THEY
BUY CARS IN DEALERSHIPS
• Online touch points have reshaped how people gather information
• Dealers are still the most important touch point in the decision phase
• Car dealerships will remain a crucial touch point, even as many bricks-and-mortar retailers fade away
• physical experience
• expert advice
• personal aspect of the sales process
Information
PhaseDecision
Phase
Source : McKinsey, “Innovating Automotive Retail,” 2014
Customers Maneuver Through
Multiple Touch Points
GOOGLE “OMNICHANNEL,” AND YOU WILL SEE
HUNDREDS OF PICTURES LIKE THISIt looks a little different in the automotive sector
YOU HAVE TO FIT INTO THEIR BUYING PROCESSOEMs and dealers need to work together to make the customer’s experience as seamless as possible
WE’VE TOUCHED ON SOME OF THE CHANGES IN
BUYER BEHAVIOR
Virtually 100% start online
• OEM & Dealer websites
• Independent websites
(e.g. Edmunds, KBB)
• Search engines/articles
Evaluation resources
• Online forums
• Social networks
• Configurators
• Pricing
63% use phone in
dealership – usually third
party sites
Fewer dealer visits
• 1 in 6 skip test drive
• 40% visit one dealer
• Average 1.2 dealers
Auto manufacturers and
dealers have invested heavily
in websites and internet
advertising
• Huge increase in internet
advertising
• Manufacturers have created owner
websites
• Dealers use digital media — email
lists, social networks, e-newsletters
— to offer rebates, loyalty
programs, contests and incentives
2009
$5.4b
2012
$7.2b
2010
$5.9b
2011
$6.4b
2013
$7.6b
Source : NADA State of the Industry reports, 2010-2014.
Franchised dealer advertising spending.
... but the dealership experience
hasn’t changed much
THERE ARE SO MANY POSSIBILITIES FOR
HOW DEALERSHIPS WILL CHANGE
• Digital experiences come in all shapes and sizes—but some are affordable for individual
franchises
• Projects span functions, including content, design, marketing and technology will have to
work as a team
• In the retail environment especially, staff and training are critical success
• And of course it’s all powered by the technology
• Most projects require a commitment to keep the content fresh and accurate
In-store digital experiences will be part of the picture
ONE APPROACH: WHAT DO CUSTOMERS
EXPECT TO SEE IN THE SHOWROOM?
Interactive touch screens to view car information with pictures and videos
3D virtual vehicle configuration
Virtual test drive stations
Cars in showroom have digital information available for display on mobile device
Tablet for me to use in the showroom to get detailed information
Ability to transfer data (configuration, price offers) to your mobile device
Source: Cap Gemini Cars Online 2014
INTERACTIVE KIOSKS CAN BE USEFUL
THROUGHOUT DEALERSHIPS
• Available in all the right sizes
• Captivate with large monitors
• Educate with mobile devices
• Collaborate with PC-sized screens
• Consistent – continuity between OEM and dealer websites and the dealership
• Easy to use – touchscreen, familiar gestures
• Engaging – high-performance video, interactive applications
• Connected – internet, mobile devices, cloud
• Informative – training, news, education, detailed product information
The following slides show ViewPoint kiosks at work in different parts of the dealership
FUTURE OF CUSTOMER EXPERIENCE - RECAP
• Looked at examples of innovative digital experience that are being rolled out across retail
• Examined how those examples improve customer experience
• Considered changes in the way people buy cars & associated challenges
• Short introduction to ViewPoint Interactive Marketing Kiosks & examples of how they are
used in dealerships
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