The Dealer Playbook
The Dealer Playbook

Episode 506 ยท 1 month ago

Car Dealer Lead Management Process w/ Paul de Vries

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Welcome to the weekly Dealer Playbook Powerbomb featuring Paul de Vries. In this segment, we chat about Paul's car dealer lead management process and why it took him 4 years to develop.ย 

The needs of car shoppers are changing all the time. Their attention span is decreasing and so it's important for car dealers to make sure that their lead management process matches current demands of the market.ย 

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Thanks, Paul de Vries!

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This is the dealer playbook, power bomb. What's taking you now, the last four or five years or more, to develop and maybe some examples of what that would look like for a dealership to implement? Yeah, of course. So we started now with another o e m Um, and they they have a response time, a mandatory response time on leads only lead through the DADS, of thirty minutes. So they are asking their dealers to be responding to two DELETES IN THIRTY MINUTES UM. And that's the only KPI idea are given. The dealers be great, be uh and be fast and and called the lead or respond to the lead within thirty minutes. WE ARE ASKING THEM...

WHY THIRTY MINUTES? They have surveys, they have and content about thirty minutes. And then we are going to say about the four traits of the consumer. Nowadays, at the fortress of the consumer. Nowadays we are working with the IPHONE, we are going to bed with the IPHONE, we are going to republic, toilet with the IPHONE, et Cetera. The iphone is everywhere or the phone at its set, but if somebody who you don't know are calling you, you won't pick up the phone. So the response time is very is very big because if you are in the moment to submit information, to submit the lead and submit and request request information, you are in that moment, you have only two minutes to respond. If you're later than that, the chance on the voice of the chance that people are not picking up or no have attention whatsoever is very big. The second trade of the consumer.

Nowadays we have no time whatsoever, we have no patience whatsoever. You have children in some ages, when you shut up the Wifi for one second, there are they are screaming for something, and you can say that as well on whatsap. If you send out on WHATSAP, if you're using WHATSAPP and you send a message to your wife where you need the answer and you see the blue remarks and you are not getting the answer back, then your basis is zero because you need that information. So two of the four trades are very important in lead follow up. So we're saying on the first step you need to follow up within five minutes and all that this will be crazy because it cannot work, it cannot happen, it's not workable, etcetera. But we are using an American system, the gold rip system, and that's is a system which actually a gives you a call when an inbound call,...

...when somebody smit information through an online lead. So it forces you to pick up the phone. So it's actually an enforced tole so the five minutes or the two minutes is the most easy step of the sixth step, because that is something which, if you pick up the phone, then it will work. But the second step is that we made on process manual of forty five pages where we lay out the tactics. It's about twenty years of experience in forty five pages about lead handling, about scripting, email scripting, as mess scripting, force, no scripting, what Sep scripting, etcetera, how it should work and it is not the Bible. But on the other hand, if you work the system like that, you will be successful. The step free is making the sales people important, not saying the BBC is there to help. You know, we invested a lot of time and money and every...

...on the sales people. You have to be controlling the lead. We think you are important because if I'm calling a dealer in Holland and I asked him physically, I'm interesting in one of your cards. Who Do I want to who do I need to talk to? He's going to say the sales people, but then I'm going to say hey, but if I'm calling, who should I speak to? Then he will say the sales people, but then when I'm submitting a lead with a form, then it should be a BBC. It makes no sense whatsoever. So we are making it very blunt to the seals people that they are important. The fourth step is the minimum acceptable performance. I'm getting that from clan pass on the D M S C where he went to last month. That was about seven years ago. They were talking about the minimum acceptable performance of fairly six percent. So one hundred leads,...

...you need thirty six percent conversion rate on appointments. So because one KPI is never KPI. So in Holland, and I know for sure that in America knows, such sales people existing, but they're getting the phone call, listening to the whisper, waiting for one ring to go to the to the client and then hung up the phone and then saying hey, I was calling within five minutes, but the client don't pick up the phone. I did write right. So you never trust one KPI. Sow you need in second KPI. But if they are sending the appointments, the seal will happen, but if they if they don't send in the appointments, the seal will never happen. So that's the fourth step. The fifth step is inspect. What you expect. Of course, listen to all the calls. So we're listening to foul of course, in the Netherlands, in Germany now and in Belgium.

What happened in the cold, because the perception of the sales people can have I made an appointment, but without the data and the time it is never an appointment. So the assumption of the sales people I don't trust. I want to know it for sure, because the lead is, in most cases for sales people in the Netherlands, in Europe, free. But there is an obligation to do it right and we have another system. So we have to pay salespeople and fairly good salary. We have to pay them sickly, if you have to pay them holiday days, etcetera, and they only have to show up. So you have to you have to push them on the other way, to control them actually what they are doing. And Control is fine if you can explain why it happened. The leads are free, but there is an obligation to do it right. And the six step is coaching and I always refer to the dry sponge technique. So if you remember,...

...if you can emphasize and dry sponge and yellow one and hard one and you take out a glass of water and you will spit it out. About of the water will spill off. That's the brain of a sales people. If you if you train them for three four hours, it will splits off. It will not go into their brain. But if you train them for every every day, five minutes to listen to his calls and give out your feedback on the call, on the conversation and send them through an email to them through the cold web system, you will train them every day for only five minutes. So the six steps is North Star. You need and follow up within five minutes. The second lead process manual. Give them the content in video, in text, et Cetera, how to do their job on lead handling. The free is making them important, make them feel important as...

...well as their striker, as the quarterback, or I don't know what the striker is in American football, but whatever. Fourth is the map, the minimum acceptable performance. What are we aiming for after the five minutes. And then step five and six is inspect what you expect. We expect for the six percent conversion. If the seals people are saying I have sixty, that's fine, but I want to check that as well. Have from different source, with a different set of eyes and ears, and sixth coaching. So we started with some o e M S and, for example, we started with eight point nine conversion, Sixty Thou leads and we deferre that to seventeen point two percent after three years. And that's on scale with three on the sales people, one hundred stores. So it will work if you do the...

...sixth step. It will never work if you're only implementing the tool all with the food to full with the tool is still the fool. So and give me a and and sledgehammer. I cannot do anything with it. I think we need to make a shirt that says a fool with a tool is still a fool. It is still a fool. I love that. Yeah, Um, is there any in your opinion? Is there any room for a hybrid BDC sales department we have, because the BBC I'm owning is the escalation part of the of the O E m. So we're wagging with about six seven O e m s. When the phone call is is coming to the dealership through the cold rib system and nobody picks up the phone because they are...

...all in deliveries, they're all in sales compensation, whatever the case will be, if that's the truth. We are ringing once, twice, through, time, four times, fifth times, six times, but the sixth time is going over to our BBC as well, because we want to have a structure that the lead follow up will be happening within five minutes. The first chance is going to the sales people, the second chances going to the BBC as well, because the conversation with the client should be happening within the five minutes. So the BBC is still part of the game, but as an escalation, not as as as the quarterback, not as the most important one. And then you can also see the numbers that the really good sales people are doing twice that much appointments then the BBC, because they are better. The average sales people is losing from the BBC and that's what we have to...

...train. MM HMM. The other thought that comes to my mind and as we close down here is, I would imagine, by implementing and training these six steps, the the sales people are more fulfilled. There's probably less turnover in the dealership because people are more satisfied with the work they do, because they're actually getting results. Yes, yes, and so in Europe you don't have to turn off you have in North America right because the loyalty and goes two ways. On the other hand, if sales people having conversations with clients within one minute, after two minutes day submitting the lead, people are very entisstic about that lead from the world. They are starting the conversation with a happy smile. Wow, that's fast, or something like that. That's the...

...fuel you need as a sales people if the if the other end is responding in a good way, because if somebody is picking up from me, you don't get exciting about that one. You have to pump yourself. But if the customer is actually respondingly happy to you because you are calling as a salesperson, that gives you the fuel you need to have the best conversations you will have have and that's fulfilling. I'm Michael Sirillo and you've been listening to the dealer playbook podcast. If you haven't yet, please click the subscribe button wherever you're listening right now, leave a rating or review and share it with a colleague. Thanks for listening.

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