“83% of automotive leaders believe digital services will be the key differentiating factor in the automotive industry by 2040”
In this new age, most C-suite executives understand that digital transformation navigates future growth. The above study also projects the same for the automotive industry, where over 80% of leaders see digital services as a significant factor influencing different aspects, including customer buying journey, interaction with dealerships, and post-purchase services. We must agree that owning our dream cars is a pursuit of luxury, happiness, and experience like no other. A customer experience (CX) that we live in whenever we go for a drive, where we forget tiring daily mundane errands.
Buckle up for a high-octane journey into the heart of your customer’s automotive desire, where horsepower purrs a seductive symphony and the open road whispers promises of adrenaline, an experience they crave for each interaction across milestones. Car-buying behavior is changing with the evolving buyer generation, so automotive dealerships need to evolve to give an immersive, cohesive, and appealing customer experience (CX). Let’s understand this with the findings of the S&P Global Mobility survey. It mentioned that 65% of U.S. vehicle buyers prefer shopping online or using online channels for research, exploring, and decision-making, a significant route in their buying journeys.
Today, these digital native millennial and Gen-Z car buyers’ experience is driven through multiple digital and physical milestones. Customers’ demands are clearly rising; the automotive world is no exception; automakers and dealerships are committed to meeting their demands. Though, at first, it looks easy to deliver, however a deeper understanding of evolving buyers’ behavior and CX strategies requires transforming the experience journey and curating a true omnichannel customer experience (CX).
It may appear so, but omnichannel customer experience in automotive is a seamless, blended, and consistent experience, unlike the multichannel approach, where channels work in silos.
“35% of buyers used more than 10 different touch points (online and offline) to research for their new car”.
Omnichannel automotive experience in a dealership environment is a collective engagement across various physical and digital touchpoints that blends in the continuation of their recent interactions in a cohesive and immersive way. Take the insights from this Google study, which says that buyers used over ten different touchpoints, including online and offline, before buying a new car; let’s agree that omnichannel is essential for dealer-customer relationships.
The omnichannel strategy combines websites, apps, other online platforms, social media chatter, email conversations, phone communications, in-person interactions at dealerships, auto expos, and more to create connected, consistent, and engaging experiences for customer journeys.
When it comes to adopting an omnichannel CX strategy, automotive dealerships should bear in mind that the use of advanced technologies and engagement at various touchpoints play a vital role. Harnessing these advanced digital communications empowers dealerships to meet customers’ demands, drive better sales, and earn customer loyalty.
As I begin thinking about the omnichannel CX strategies for car buyers, I ask people around me, car lovers, car sales executives, dealers, and digital natives, too, about what influences them from their recent car buying experiences and engagements. Interestingly, most conversations turn out to be about connected customer journeys and digital touchpoint interactions.
Customers can interact with automakers and dealers using digital means; for example, they follow your Instagram posts, search online and on your website for the latest models, download your exclusive app for a test drive, get more information via telephonic conversation, visit dealership for further purchase decision, give online review and feedback; the entire episode talks about strengthening your online presence. Automotive dealerships must focus on a comprehensive online presence that covers website, social media profiles, Google reviews, and mobile apps.
Mercedes-Benz E-Class LWB is a perfect example here; this Long Wheelbase E-Class saloon car gives you detailed information on their website, facilitates a chatbot to address your queries, allows online configuration and customization of vehicles, gives you online test drive booking at your preferred dealer, and schedules appointments. This German automotive brand offers exclusive mobility services through its app offers financing, leasing, car subscription and car rental, fleet management, insurance brokerage, digital services for charging and payment, and more. And why do they do so? Because in a survey by Accenture Plc, “47% of customers think about changing their automotive brand after a company fails to deliver a relevant customer experience (CX),” experience matters.
Automotive dealers should be prepared for a highly engaging social media presence across platforms like Instagram, Facebook, and YouTube to showcase the latest and upcoming models, share engaging content, and engage with audiences through targeted content, tailored promotions, comments, messages, quizzes, and live events.
These dealerships can offer personalized customer experience through their exclusive apps. It includes virtual test drives, augmented reality experiences, gamification, and face-to-face video consultations for a consistent and integrated experience in their buying journeys. Interestingly, it enhances the experience at dealerships as online engagement carries on to physical dealerships. Of course, you need to integrate all your touchpoints and collect customer insights to deliver a consistent experience and bridge the digital and physical gap.
Image courtesy: McKinsey & Company
Customer experience (CX) doesn’t end after the buying episode, so dealers should focus beyond this interaction to deliver continued customer service. If we follow this McKinsey & Company analysis, then after the gratification from a tremendous buying experience, 53% of customers consider post-purchase service experience as an influential factor in their CX journey.
Image courtesy: Ford
Omnichannel automotive engagement is beyond car sales; it continues after buying to foster better engagement, customer loyalty, and convenience for car owners, ultimately strengthening the dealer-customer relationship. FordPass® App is the perfect example of a CX strategy that goes beyond buying episodes and provides access and information needed for seamless car use and maintenance routine. It’s a powerhouse mobile app that comes with remote features like locking/unlocking your doors, starting/stopping your engine, and creating a start schedule, along with exclusive Ford Roadside Assistance services like fuel delivery, lock-out assistance, towing assistance, flat tire assistance, jumpstart in battery failure, Vehicle Health Alerts (VHA) insights, and remote security, etc. Plus, it rewards your loyalty with rewards points and rich insights into your car to get tailored offerings.
Automotive dealerships should focus on ‘Customer Effort Score or CES,’ the key performance metric that gauges the level of effort (ease of use) a customer requires to avail a product or service. Dealers can define a common customer satisfaction framework, keep focused on exceeding the expectations through their assistance, and measure them using customer surveys, feedback, online reviews, and other qualitative and quantitative methods. Keep a target to achieve a ‘Very Low Effort’ score on CES metrics that reflect the ease of customer navigation throughout the customer journey.
Maybe I’ll throw more such examples here, but the concept behind omnichannel CX strategies is clear here; in fact, in the recent past, almost all automakers and dealer groups moved ahead on the omnichannel track. So, while it’s good to chase the next-generation omnichannel CX sales model, automakers need to build new capabilities, including upgrading IT capabilities, designing the apps and tools, and attracting new talents to craft exciting digital experiences in the omnichannel CX sphere. This will empower dealers to identify customer pain points, improve customer buying journey touchpoints, enhance personalization, refine and upgrade product features, and foster a stronger emotional bond with customers that enable them to serve customers better, increase customer loyalty, bring positive word-of-mouth, and ultimately drive sales for long-term growth and success.
We at Krish help automakers, automotive dealers, and OEMs build these capabilities to facilitate omnichannel customer experience (CX) and meet the future of mobility goals. Connect with me to discuss your business challenges and get an expert consultation to craft your CX strategies that fuel automotive dealership success.
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Sumesh Soman is an Enterprise Sales and Client Management professional with expertise in eCommerce & online marketing. Since a decade, he has been working as a strategic, digital commerce consultative resource for global clients. Having deep relationships with key platform and ecosystem partners, he is an expert at empowering driven and efficient digital transformations that exceeds client goals.
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