Automotive Industry News That Makes a Point

While the average person may not have much interest in automotive industry news, a lot of useful information can be obtained. This would include the interesting reasoning behind why you can’t always find the car you want at a dealership. Many consultants push for dealers to listen to the customers and their needs. Though this suggestion would work when you look at it theoretically, there are some things that are stopping it from happening.

It is not actually the dealers that are dropping the ball most of the time; it’s the automakers themselves. They may not ship what has been requested by the dealers, instead shipping the vehicle they want. This leaves the dealers with an inventory that isn’t what they requested or what their customers want.

This unfortunate circumstance leaves the dealer with the choice of resorting to hard sell tactics or letting the vehicles sit around forever. Those hard to sell cars can continue to sit for a while, but ultimately they will create problems for the dealer, as no customer may really want to buy them. You either hope they have the vehicle you want or sometimes settling on another choice.

Continued build up of those vehicles can leave the dealer with absolutely no cars that will fit their customers’ needs or wants. You will definitely want to figure this in when you head into that local dealership and don’t see a car you want.

Those hard to sell vehicles that continue to sit around are called a “brown banana”, because it’s become overripe and the value has been going down as it continues to sit around. At this point what can a dealer really do about that problem?

Giving away the cars free, while it might thrill customers, is something that isn’t going to happen. Even when they knock off a lot of money on the price, they are hurting themselves as dealerships are held to making a certain amount of profit. If they don’t make that amount of profit, they could be shut down.

Of course dealers could head back to the days when hard sells were being used all the time. However, that isn’t going to make a customer happy in any way. Many people hated to see a salesperson walking up them in those days.

You’ve probably had it done before – you know the old “let me see those keys” routine. They would state they needed to look at your car to value it for trade-in, however, once those keys were gone it took some might serious persuasion for them to bring your car around so you could leave.

It was a process that earned many people a bad reputation in the past. They would wear you down over time, until you would finally agree to the sale. Not only would you get a car you weren’t really sure you wanted, but you may have put yourself into too much debt.

Automotive Direct Mail Marketing – A Proven Approach to Marketing

Automotive direct mail is one of the most commonly read types of direct mail. In fact, an article by DM News cites a survey showing that 73% of car buyers respond to direct mail.

Why do so many auto dealers and manufactures use direct mail marketing?

1. Direct Mail is Cost-Effective

Automotive direct mail campaigns can be shaped around any marketing budget. Direct mail can be as simple as a 4″ x 6″ postcard, or as complex as multi-part letter kit. The smart automotive marketer can use the more affordable pieces for lead generation, while reserving the more expensive pieces for current or past customers.

Automotive direct mail is also cost-effective due to volume factors. Most direct mail companies offer price breaks with increased volume. Under such a system, the more you mail the more you save. Automotive direct mail volumes can be easily scaled up or down to coincide with budget cycles or limitations.

Then there’s the ROI factor:

When used effectively, direct mail marketing can yield a favorable ROI. It has for decades, and it will for many more years. Sure, direct mail strategies have changed with advances in technology, the Internet, etc. But the fact remains that automotive direct mail produces results. Why else would the vast majority of auto manufacturers use direct mail?

2. Direct Mail is Flexible

Automotive direct mail can support any marketing goal. Whether it’s a lead generation program for potential customers, or a service reminder to existing customers, automotive direct mail can produce results. Here are some of the most common uses for automotive direct mail marketing:

New model announcements
Lead generation campaigns
Customer rewards / loyalty programs
Inventory updates
Service reminders

These are some of the most common uses for automotive direct mail, but they are by far not the only ways to use the medium. Forward-thinking automotive companies are finding new ways to use direct mail every day. Direct mail is a dynamic, versatile marketing tool.

3. Direct Mail is Measurable

Direct mail is one of the most measurable of all marketing channels. Once you have a response-tracking mechanism in place (like special 800 numbers, web page tracking, or business-reply cards), the rest is simple math. With television or radio advertising, you have no way of knowing how many people saw your ad, even if you can count responses.

Conclusion

Automotive direct mail can be an effective marketing tool, but it requires a good deal of research and planning. We hope this resource has increased your knowledge of automotive direct mail, and we wish you well in your direct mail marketing endeavors.

* You may republish this article online if you retain the author’s byline and the active hyperlinks below. Copyright 2007, Brandon Cornett.

Automotive Equipment and Tools – Online Retailers Offer the Best in Automotive Equipment

Car enthusiasts have long been shopping for the ideal car parts, automotive equipment, and all the best tools in the business for cranking out the best possible work and highest quality product. The good news is, no longer do vehicle enthusiasts have to shop locally for auto lifts and other automotive equipment.

It’s no secret that automotive equipment doesn’t come cheap. In fact, car parts are some of the most valuable artifacts of the planet. One of the reasons behind this is that fact that cheap or faulty car parts make for cheap and faulty cars (which is not only undesirable, but also dangerous). As a result, men and women who spend much of their time working on, building, and tuning up these precision machines require a variety of specialty tools that makes them experts in what they do.

The auto lift is one of the most important tools of the trade when it comes to doing high-quality automotive work. Cars require a secure platform during enhancement, making car lifts a high priority for mechanics and automotive enthusiasts all over the world. The good news is that it’s finally possible to purchase high-quality automotive equipment from reputable online resources. This means no driving all over town, no waiting on parts to be ordered from your local car parts store, no wasting time, energy, and gas bouncing from location to location only to find that they don’t have what you’ve been looking for.

An important factor to consider when shopping for automotive equipment online is the reputation of the online retailer with whom you’ve chosen to do business. Not all online merchants are created equally. There are a wide variety of retailers operating on the Internet who don’t put an emphasis on quality and customer service. For those of us seeking to purchase car parts, high quality is imperative. For this reason, it’s important to spend some time seeking out an online retailer with a solid track record in customer service, as well as a good reputation for providing consumers with the best possible product.

In this economy, money definitely isn’t growing on trees. As a result, a combination of budgetary restraint and good old-fashioned horse sense is necessary for getting the most bang for your buck when shopping for automotive equipment online. Cars are precision machines and, as a result, the retailers that offer car parts and other automotive tools should operate with precision and accuracy. Don’t waste time and money ordering from inferior automotive suppliers.

Role of A Service Consultant in The Automotive Industry

The automotive industry has undergone tremendous changes and development in the 20th century and so far there is no stopping to it. Since the rolling out of the first car, the automotive industry news reports a steep rise in sales, as more and more cars are being produced. In recent times, with so much economic liberalization, attractive finance schemes and tax benefit laws and with increase in the income of the local people, car sales have been hitting new highs. However, with changing times, the mentality of people has changed and today services provided by car manufacturers play a crucial role, apart from car designs and models.

As more companies jump into the automotive sector, buyers have more freedom of choice to select the best of the lot. Unlike earlier times, buyers today pay more attention towards the services provided by the car producers. And with a variety of media around, buyers research and gather more information, before they step into any car dealerships. Hence, with so much of emphasis given on service, the role of the automotive service manager is vital to every car company in the market.

Not only does the automotive service manager coordinate and supervise the duties performed by the service staff, he looks after all the operations carried out by the service department. He has to make sure that all the employees working under him are adhering to company policies and other applicable standards and laws. Because the automotive service manager deals with customers and the service department, he has to be calculative about keeping both, the customer and his staff happy. Also, he does need to have a decent knowledge about mechanics of automobiles, and a pleasing personality to maintain customer satisfaction ratio.

Those employed in the service manager job have to ensure customer retention by not only providing repair and maintenance service but also by communicating and understanding customer’s priorities. He has to analyze and identify market reports, and have a good understanding of current trends making waves in the automotive sector. With so many things in one platter, it goes without saying that the service manager job requires leadership qualities, management know-how, counseling skills, apart from the customer service parameters.

At times, it becomes an arduous task for the automotive service manager to cope up with so many responsibilities and duties, which is time when he needs a service consultant, who will help him to get out of his overloaded work schedule. The main purpose of the service consultant is to counsel service managers, who are buried under the work load which comes with their job profile. Service consultants help service managers on how they can perform their duties in an organized way, which will not only bring down their stress level, but also pump out more productivity.

Service consultants also provide insight to those in the service manager job or service director job on how to calculate the productivity of other employees, and educate them with work practices to enhance their customer service skills. Service consultants take service advisor training as part of the service consulting module and set standards to make sure employees always have a positive approach towards their work and are updated with skills and knowledge so that they can provide a better experience to their customers.

5 Automotive Industry Trends Which Will Put Pedal to Metal

A new technological decade has unfolded, and businesses are gearing up to keep pace with the emerging trends and evolving user requisites of this era. Industry giants are claiming to have their strategies in place, in order to mitigate any risks which the year 2013 may pose. But are all industries indeed ready?

As of March 2013, the US automotive industry has recorded a sale of 3,689,089, but will the pace be maintained throughout? Are mobility firms prepared for the next decade? In order to determine this, automakers will need to keep an eye in the emerging trends of the industry and adopt them into their business models. Here are 5 key trends which every mobility firm must be mindful about as it strategizes for the upcoming financial year.

Governments will regulate the need for safer and cleaner transportation. As far as secure individual mobility is concerned, governments are currently focusing on three core areas- environmental compatibility, preservation of resources and safety. This will prompt original equipment manufacturers (OEMs) to render a diversified range of safer and cleaner vehicles, especially zero-emission transportation. While, consumers will weigh their vehicle-buying decisions based on penalties and incentives at their disposal.

New players will set foot in the automotive sector. The evolving consumer needs, introduction of Automotive IT solutions and advancing technology have paved way for new entrants to set foot in the mobility market. Even non-automotive firms are rendering services like mobility integration, car-sharing and ‘black box insurance’ based on usage, which decides the premium limit based on electric vehicle integration, real-time evaluation of driving performance and advanced car entertainment systems. The evolution of these new business models will allow the new players to become an integrated part of the traditional automotive value chain.

Automotive marketing will get an edge with social media initiatives. The marketing trends in the automotive industry have witnessed a major shift. From showcasing a gleaming car in a 30-second slot, the means of marketing have become more social. Lately, consumers have been doing a thorough research before deciding upon which vehicle to invest in. Social media platforms have facilitated the access to a plethora of information, including perceptions and opinions of other consumers. Buyers are resting their decisions on reviews which they acquire from influential blogs and websites, other consumers and news features- sources on which the mobility firms can’t exercise any control. At the same time, OEMs are harnessing social platforms to develop closer bonds with consumers. They are adapting to the paradigm shift and utilizing it to market their products to a wider audience base.

OEMs will look forward to rationalizing their portfolios. Post surviving the recession blues, most OEMs will shift their focus from volume to sustainability and profits. Emerging OEMs will look forward to climbing up the scale as soon as possible, by either acquiring in their home market or eyeing the developed nations, in order to build a global presence.

Globalization of the sector will result into emergence of new risks. Globalization is paving way for new risks and OEMs are continuously devising radical operational strategies in order to mitigate these risks. Whether it’s the volatile prices of raw materials and misalignment of demand and supply, or it’s the shortage of qualified workers and changing regulatory prices, automotive firms are facing a reality check pertaining to their globalization efforts. In the wake of these challenges, industry must gear up to implement mitigation strategies in order to simplify the adaption of the value chain. And implementation of automotive software solutions is being viewed as one of the prime solutions to these challenges.

Planning is the key to success in the times to come. The automotive industry needs to study the evolving trends circumspectly and prepare their business strategies accordingly.