Introduction
I bought a car ten years ago. Every year, the retailer I got it from contacts me to see if I need it MOT’d and every time they call me, I tell them I haven’t owned that car for some time. So, when I need a new car, I’m not going to go back to that retailer, because quite simply they don’t know who I am or what my needs are. The truth is, a joined up view of their customer data and an automated CRM system could have kept me loyal. We’re living in the age of experience, where consumers know – to the letter – what they want and how they want it. Poor is unforgivable and mediocre is simply not good enough.
In this whitepaper we’ve taken a deep dive into the power of Experience-First and how to deliver it. For this bonus chapter I take on the perspective of the consumer to show just how important getting the customer experience right, and getting it right consistently, can be.
Consumers are driving change
The automotive industry is at a particularly interesting stage of evolution. Not just because vehicles are evolving, technology is advancing, and how retailers and OEMs deliver service is changing, but also because consumers themselves are changing. This is having a significant impact on what modern customers expect from their journey when they buy or service a car. Consumers today naturally want to control that experience, rather than be forced down one route or another by the retailer they are buying from. The automotive retail industry is advancing a traditional model so that it comes into line with modern expectations, and are doing so at a time when industry solutions – from agency to subscription, ICE to EV, emerging entrants and more – are also evolving. We find ourselves at a crossroads. The technology is there, but the adoption process is taking longer than anyone would want.
We can’t treat everyone the same
Not everybody wants the same experience, and it’s good business to treat individuals as individuals. As our CRO, James Fernandez, cited in his chapter of this whitepaper, personalised calls to action convert 202% better than default ones. There is real variation in the current population of car buyers: people who are engaged by a personal process involving physical post, phone calls and an in-person visit to a retailer; people who like to do their research online and are comfortable with an omnichannel route but still want to be guided through the buying experience; and the latest generation of car buyers – confident in buying online and parting with large sums of money without any personal interaction. Our own research in 2021 showed that 38% of car buyers across Europe didn’t feel the need to visit a dealership, so we need to take a broad approach in how we best serve their needs.
We must cater for people who just want to do things online, for people who want to do everything on their phone and for people who need an in-person experience. And for people who want everything in between. We need to provide the right experience, at the right time, in the right way – if we don’t get it spot on, if it doesn’t feel quite right, consumers will go elsewhere.
How I want to engage with a dealership is down to me, the consumer, and I expect my experience to be managed and to be ultra-personal. Whether I’m an existing or new customer, I need to be heard, understood, and anticipated for if a retailer is to deliver. I expect them to present me with the best offer for my budget and my needs, and after the sale I want to continue to be looked after and engaged at intervals with content that is relevant to me.
At Keyloop we’re building a technology ecosystem that will empower our automotive customers to deliver just what their consumers want, and to deliver an experience that is right at an individual level. We know this will unlock long-term customer trust and loyalty and, vitally, unlock margin for retailers and OEMs.
What makes the difference – what does good look like?
There’s a magic word we use a lot as a business: seamless. As a customer, I should feel that I’m at the centre of the experience. My journey should be effortless and joined-up, whichever channels I use. If I’ve spent an hour browsing a retailer’s website and filled in my details and requirements, when someone from the retailer calls me, I want them to know what I’m looking for and be ready to help me (and not ask me the same questions over again). The people in dealerships’ CRM databases need to be nurtured, otherwise they will go somewhere else. That means looking after the data. To provide a seamless customer journey consistently, we need to interact with data quickly. The main challenge for retailers is a lack of integration in systems and processes, as that is when data, and therefore customers, fall through the gaps.
Dealerships are busy places. Where efficiencies are lacking in process control and data management, we need solutions that will help find and fix the gaps.
Harnessing the Experience- First platform and reading the data to streamline customer engagement, maximise touchpoints, and focus in on growth areas of the business are all critical in the shift to great and help build long-term loyalty.
Technology should be there to make the customer journey easier and more efficient for when they want to do things alone, and when they want human interaction. A retailer who’s using technology to manage customer touchpoints better, wherever and whenever they take place, will ensure nothing – and no-one – drops through the gaps.
Using technology as an enabler: sweat the ‘small stuff’
There is no doubt that technology enables an Experience-First approach, ensuring a joined-up and frictionless journey that gives customers what they want. Some of those technologies are breaking new boundaries in customer service – showstoppers if you will. AI can elegantly simplify how we communicate with customers. Previous human interactions – bookings and follow-ups for example – are being replaced with AI solutions for 24/7/365 customer engagement, enabling retailers to deliver exceptional experiences around the clock. VR has the potential to offer a fantastic car-buying experience that’s delivered online but feels in-person. Already VR is used to view current purchases, and it is an easy leap to envisage how it can replace dealership visits with customers visiting virtual showrooms, interacting with virtual sales teams and even virtual road-testing. Yet the real power in technology for automotive retailers is not in these showstopper moments, but in streamlining and enabling the day-to-day.
How Experience-First service helps solve today’s challenges
Economically, politically, societally, the UK market is in an interesting place. Collectively and individually, we are under more pressure than we have been in many years. Our mental load is heavy and shapes every decision we make, from family to finances and purchases to leisure time. We are not yet at a point where we can clearly define what the next three years will look like, which makes it even more imperative that we align with our customers and make ourselves relevant to them. This means alleviating and not adding to their mental load and satisfying their requirements so there’s less chance of them going elsewhere. When we’re used to same-day delivery and instant gratification, being told something has a 10-12 month lead-time is challenging. No one wants to tell a customer: “You won’t hear from us again for 12 months.”
Our job at Keyloop is to make seamless happen, because that is when great happens.
Instead, retailers need to respond by keeping customers engaged and up to date, creating enjoyable and highly personalised interactions at touchpoints along the way. Use them as an opportunity to stay connected and build relationships, the focus should be on creating long-term value. Retailers need to guide and build trust with customers, ready to make personalised recommendations, rather than just offering generic options. In some businesses, salespeople are becoming reliable advisors, trained in how to think from the customer’s perspective.
Read the full whitepaper here.
Key Takeaways:
