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Reasons for Making Mobile Marketing Your Priority

In the marketing arena, marketers are always on the lookout for great things that will keep them ahead of their competitors in the market. You do not have to worry anymore because the solution lies in your purse or the pocket. We are living in an era where mobile marketing is bringing forth a tremendous opportunity for marketers to a greater level. Cell phones help the marketer to reach wider audiences in real time and on a personal level, which is a different engagement you cannot find in other communication channels.Significance of Mobile Marketing to BusinessesAccording to the recent most statistics, almost all customers own a mobile device. Seventy percent of the customers have a mobile phone, seventy-five percent own a laptop, and fifty-five percent own a tablet. At least seventy percent of this population uses their mobile devices for accessing the internet and not the laptop. With an increase in the population of smartphone users, the number of devices in the world exceeds the current population.Using the mobile device is the most viable option, and marketers need to make adjustments towards this medium as many users possess these devices. The extensive use of mobile devices among customers is a growing and crucial part of the market. It helps in unlocking the potential held in the massive, captive, expanding, and engaged audience.Nowadays, many companies are taking the full advantage of this option as it is the new thing in the market. In case your brand is not in mobile marketing, you need to make sure that you get a bandwagon as your competitor will leave you behind. Below are some reasons as to why businesses have to give priority to mobile marketing.i. Social media offers a platform for advertsTwitter, Facebook, and other platforms have understood the potential that resides in mobile marketing. They have recognized this potential and have evolved their adverts platforms for you to target mobile customers efficiently. All you need to do is clicking a button to start. This change will take a few minutes if you use social media marketing.ii. Mobile Advertising Reaches New and Broad AudiencesThe number people who are using mobile advertising exclusively are increasing. If your business is not using mobile advertising, then you are not going to reach your target audience and potential customers.iii. Retailers are Getting Mobile Arrangements WronglyThe news around nowadays shows how retailers are struggling to keep their profit margins high as a result of poor returns. Most retailers have taken their employees and shareholders by surprise in recent years because of a massive decrease in sales and net profits. Such companies view mobile marketing and e-commerce as an option when they are planning their budget. However, despite the vast opportunities the channel gives, the retailers struggle in investing in mobile marketing which makes them fall into the rat race of dwindling sales and profits.iv. Mobile Devices are Growing Online GrowthWith improving internet infrastructure and escalating smartphone penetration in the world, mobile devices have become a primary method that consumers use as a gateway to accessing the internet. Recent research shows that internet access by use of smartphones is a daily action for more than 83% of all users in the world.v. Google Advice Retailers to Use Mobile Marketing The main reason that will make you start mobile advertising is the Google Mobilegeddon update which penalizes websites which have not begun to put mobile marketing into consideration. Your site has to be easy to browse and responsive on mobile devices. In simple terms, your site will get a slap from Google by going down in the search engine ranks. These penalties are getting stricter with time, and your company has to take necessary measures before feeling the impact.vi. It is PersonalIt is hard to get brand close to the audiences when you are doing it behind a computer. Using mobile devices is however different. These devices are special accessories which people carry along at all times. They provide a different physical aspect as compared to other media.This form of marketing is personalized because it allows retailers get closer to consumers. You will have a high chance of converting these people into high-paying customers. For now, mobile marketing is in the market to stay, and researchers say that it will be gaining momentum as time goes. Businesses and firms that are waiting will find it hard to get on board making them spend a lot of money.vii. You Have the Chance Of Hitting Them Time and AgainIn case your strategy is targeting desktops, you need to put in mind that there is a possibility that your audience is also using mobile devices. Therefore, it might take a few attempts to reach and resonate with customers. In case you miss the laptop chance, use the smartphone to get him/her and convert the viewer.viii. It is Getting Costlier With TimeFacebook advertising is the best example when looking at what might happen in the event an advertising method has grown in popularity. Costs have continued rising in the recent past for no good reason. However, you might attribute it to the increase in the market competition.The mobile marketing space is similar; you will have to engage it now or later. It is advisable to do it now because tasting costs are quite affordable than wait for the future when you will have to break the bank before gaining any return.ix. Mobile Advertising Opens Up Possibilities and Virtual RealitiesIncluding exciting technologies such as virtual reality will make mobile ads more useful and engaging. The vast options show that it is easy to make a profit from this channel. Therefore, you need to understand that there exists an opportunity for all businesses in all industries.x. Mobile Marketing is Large and Has Taken ChargeRecently mobile advertising had gone back to face to face mode of shopping. When the internet became populous, the mobile has once again hit the market spending a lot by the use of mobile devices. Research says that by 2018, more than 25% of business profits will be coming from mobile devices. Therefore, mobile advertising is a modest way of ensuring you get profit as people are always ready to purchase via their smartphones.

Reduced Sales in the Auto Industry Requires New Responsibilities For Automotive Advertising Agencies

The role of the automotive advertising agency in today’s consolidating auto industry must change to accommodate the needs of the auto dealers that they serve. Reduced sales volume and profits have forced auto dealers to reduce their automotive advertising budgets and sales staff. As a direct result, automotive advertising agencies are being challenged to deliver more for less and reduced budgets and floor traffic suggest that they must increase their areas of responsibility to justify their agency fees or risk losing accounts. More importantly, they must learn the auto industry from the auto dealer’s perspective if they expect to be able to contribute in any meaningful manner.Assuming that we all work our pay plans to maximize our own ROI in our chosen careers in the automotive advertising industry, I thought I would share some best practices regarding an auto dealership’s Internet sales processes with my fellow automotive advertising professionals to help them better serve their auto dealer clients. Not all of the situations I discuss will apply to every auto dealership so take note of ones that do and save the others for future reference in case they surface in some other form. I will cover common issues that are part of human nature. After all, the key to success in the car business is in the people – not in the franchise or facility – so most problems start and finish with people.The Internet Department — From The Dealer’s PerspectiveAs a former new car dealer and current consultant on dealer operations and marketing I am constantly amazed by the disconnect between dealers and their key personnel. I liken the miscommunication of their common goals — to sell more cars/service and make more money — to that of a long marriage. Courting equates to the interview and the first few months are like an extended honeymoon. Once the excitement wears off it is a lot of work to remember why you got married in the first place; but worth the effort!Dealers are people too! They often indulge their emotions in the hiring process based on the fact that they need help more than the applicants need the job! Great interviews get an applicant the job with the dealer’s hope and desire to solve a problem – not make a friend. Their business needs eventually outweigh their emotions and words like bottom line profits, accountability and the latest buzz words — verifiable R.O.I. — take over. Dealers should always have job descriptions and areas of responsibility along with supported compensation plans based on individual and department guidelines and objectives. Unfortunately, not many auto dealers have those today and few automotive advertising agencies are prepared to provide them.Today’s market losses have forced dealers to make difficult decisions that should have been made before a position was even considered. The survival of the fittest must apply! It’s a dirty job but someone has to do it and the Dealer must base his decisions on performance and individually contributed profits or we will all suffer the consequences! That observed deficiency is a perfect opportunity for a forward thinking and prepared automotive advertising agency to earn their fees when direct sales won’t support them by passing on the observed need to their auto dealer clients while providing them proven processes to satisfy them.Re-defining the role of the Internet Sales Manager, (ISM), at the Dealership – Customer Communication Center, (C.C.C.) vs. Business Development Center, (B.D.C.)The A, B, C’s of the car business — Always Be Closing — go beyond the showroom floor and apply to the ISM as well as their staff. The key to the close, however, is to know the answer before you ask the question, or at least provide a limited response that you can control!Based on your new found knowledge and understanding of the dealer’s requirements of their ISM, I suggest that you ask the hard questions before your dealer client does! The more you and the ISM are involved in the selling process in both vehicle sales and fixed operations the more productive and profitable you will be. The more accountable and verifiable your R.O.I. to the dealer the more secure your income and the account. Sell yourself and the added value that you bring to his Internet department to your dealer with the leverage of verifiable performance in a clearly defined position on the team beyond what most dealers envisioned from their automotive advertising agency and be paid accordingly.I propose that you literally have the tail wag the dog, so to speak, by suggesting that the Internet Department become more than a lead generator with limited selling responsibilities. All communications, before, during and after the sale can, should and soon will be handled over the internet and/or on the dealership’s website which should now be part of your shared area of responsibility with the ISM.Currently, Business Development Centers, or B.D.C’s., coordinate selling opportunities developed on the telephone, showroom floor, service drive, data base marketing and in many cases the Internet. They rely on linked technology like telephony systems, vendors, such as Whos Calling, and onsite data base management systems, (DMS), such as ADP or Reynolds and Reynolds and customer retention management systems, (CRM), like Higher Gear or DealerUps, that are all now available on the internet.Who is better prepared to coordinate communications and even transactions on the Internet than the Internet Manager supported by an involved and educated advertising agency? Who has the best understanding of computers, software and integrated links to access and apply information directed to the contacts sourced from the auto dealer’s automotive advertising investments? It better be you!Customer Communication Centers, or C.C.C’s. provide a more integrated and accessible central point of contact at the dealership for their customers in both their brick and mortar dealership and their online virtual showroom. All customer contacts for sales, service/parts and office should be channeled to one location from all sources including telephone, email, mail, internal DMS and CRM, Internet — you name it! The cross-sell opportunities between sales and service/parts by having one contact person suggesting shared opportunities is obvious but unlikely if they are handled by two different people or departments! Less obvious opportunities like customer complaints and key vendor communications provide the ability to turn a problem into a solution but only if channeled properly.The Internet is hosting telephone, DMS and communications through webinars and emails so take charge and credit with the dealer. Re-define your role at the dealership by increasing your areas of responsibility!Integrating the Internet into the selling process — Sales and Fixed OperationsMost dealers have been traumatized by software solutions they are still paying for and never used. Usually they require secondary input, are redundant with other more integrated systems to the selling process or just lack real world applications to their deal flow — which is driven by human nature on all levels. Inspect what you expect coupled with standards like you can’t manage what you can’t measure can be applied to support your close for enhanced opportunities for you, his staff and your dealer.Place the Internet C.C.C. squarely in the middle of all selling processes. Of course be careful what you ask for since an astute dealer will, and should, hold you accountable. No pain, no gain — so go for it!As admitted, the devil is in the details, and there is no standard application to apply to all situations. Deciding what to do and what to delegate, and how to best integrate with the auto dealer’s current systems to minimize disruption, is the key. Don’t throw out the baby with the bath water but expecting different results from the same action is a good definition of insanity.The auto dealer’s sales staff and service writers hate you — join the team!The automotive advertising agency has always been perceived by the auto dealer’s staff as an outsider and the ISM has only recently earned the respect that he deserves by the old car guys who may still be fighting the shift to the World Wide Web. The Internet Geek of the old days has matured into a key manager in most dealerships and the trend is growing! You can’t possibly expect to cross train on all aspects of operations — but you should try! Evaluate the current communications, customer and deal flow and create a business pro forma in concert with the ISM and the other department managers to develop a profit and increased R.O.I. for all involved and you will earn your position on the team.Inter-department squabbles in the car business will always exist but your new position on the team — if introduced correctly — will transcend individual motives to resist your efforts to improve everyone’s bottom line. Taking on the burden of helping the ISM and his team to make appointments and providing centralized communications — both internally and externally to the dealership — will free everyone else up to sell more cars, service and parts!Real time paperless reports available online — or in the DMS/CRM — will provide the department managers with the information and tools they need to do their jobs. Your complimentary secretarial services, automated and managed follow up systems to recapture lost sales opportunities coupled with your shared goal to increase appointments, sales and customer satisfaction is not a threat but a blessing!Establishing goals, accountability — getting paid on the bottom lineMost automotive advertising agencies and ISMs are involved in search engine optimization plans, (S.E.O.), and search engine marketing plans, (SEM), with applications on their website that track leads, conversions and R.O.I. — or they should be! Your goal should start with continuing your efforts to increase traffic to your auto dealer’s website rather than the telephone. It represents the most sophisticated tracking software available; now and for the foreseeable future. Your ability to track results is where your accountability part gets covered!Sales goals theoretically start with the dealer’s market share responsibility for the manufacturer, (M.S.R.), but fixed and semi-variable expenses quickly establish more pressing goals. Covering the Nut is a street level goal which must be met or none of the others matter. Have the dealer provide you with what he expects — or needs — and that should become your common goal!An example of a realistic goal for an auto dealership should be 4-5 generated appointments per day per person; selling one. This represents 120 + appointments each month, 80 +/- that show up and an additional 20 units per person per month based on a 25% closing ratio.Include areas that you and the ISM can directly impact and monitor like new and used vehicle sales — units and gross profit, sales and service appointments, customer satisfaction scores and all monthly sales or performance goals. Define the areas of responsibility that you will handle and decide on which ones you will delegate. Compute the budget, staff and facility you will need, online and in concert with your conventional advertising and community networking proposals, to develop the traffic required to achieve the sales and performance goals the dealer has established.Use industry guidelines as far as closing ratios and conversion ratios specific to the auto dealer’s franchise, size of market, staff, inventory and facility to “back into” your sales vs. traffic needs. Resource local media statistics, like cost per point, C.P.P., to determine the most cost effective media to dominate within your budget focused on the Internet customer and then dominate it.On broadcast, for example, a 5 plus frequency and a 50% reach coupled with consistent and coordinated dealer specific brand-tail messages, (branding and retail), over a ninety day period with creative directed to your dealer’s web site as well as a monitored 800 number will absolutely drive traffic.Of course expenses must be considered based on line item percentage guidelines vs. other expenses to preserve profits. Another common budget tool is to establish a per unit cap based on experienced expenses per unit which range from $250-$500 per car but it can double in certain markets. Pick a basis for your budget, any basis, and stick with it!Monitor shifts within budget based on results and R.O.I. per investment but never increase the budget without a proper risk to reward consideration and an acceptable projected R.O.I. The days of guessing are over; so be right!Do all of the above, design an agency fee tied to specific performance under your control and you will have deserved a bonus tied to the total dealership bottom line because you have contributed to it. More importantly, as a valued member of the team your agency relationship with your auto dealer clients and their staff will survive today’s downturn in the economy and the auto industry with its reduced conventional advertising budgets.