by Dealertrack Technologies

May has been a great month for some truly amazing industry events. The buzz started in Orlando, FL on May 7 – 9 at the 14^th Digital Dealer Conference, and the fun continued in Philadelphia, PA on May 14-17 at the Automotive Boot Camp.

Digital Dealer

The event was a great opportunity for Dealertrack to meet with our partners and clients to discuss the latest in website, digital marketing and digital retailing technology and trends. From SEO-rich websites, to chat and capturing finance-ready leads online, dealers were seeking out the latest solutions to help them more effectively engage with consumers online while improving their lead to sales conversion rates. Check out the picture below of the Dealertrack booth. You can also follow the twitter buzz via #DD14.

Automotive Boot Camp

The event was a great and intimate opportunity for us to discuss some amazing trends in the industry and share online sales and marketing best practices. At the event, Dealertrack had two featured speakers:

Ali Mendiola headed up a workshop titled “From Digital Marketing to Digital Retailing – Digital Retailing Best Practices Proven to Increase Digital Marketing ROI.” Dealers learned about new technology and workflow best practices designed to increase conversion rates and how a dealer can provide consumer information on their websites to better align a consumer with the right vehicle and right finance/lease program.

Keith Platt also headed up a workshop How Technology is making Inventory Management Faster, Smarter and More Profitable.

by Dealertrack Technologies

On May 13, Auto Remarketing magazine featured an article on the ever-changing automotive regulatory market and provided a perspective on how Dealertrack is helping dealers manage compliance requirements.

In the article, Dealertrack Technologies chairman and chief executive officer Mark O’Neil emphasized that the more governmental regulations dealers face, the more valuable the company’s suite of solutions are.

“Dealers have reached out to us and asked us to make sure we’re prepared to help them,” O’Neil said during a conference call last week when Dealertrack reported its first-quarter financial performance. “It’s hard to be definitive right now because no one really knows for sure where things are going to land and how the lending landscape will ultimately unfold.

Click here to read more.

by Dealertrack Technologies

The longer shoppers stay on your dealership website the more likely they are to submit a lead. Our research reveals digital retailing tools are an effective way to make your website extra sticky. For example, shoppers spend an average of five minutes per session on the Dealertrack Digital Retailing Suite’s monthly payment and offers page. The key is PaymentDriver, our 1^st pencil loan/lease monthly payment calculator.

PaymentDriver includes real finance program data, residuals and incentives for VIN-specific new and used vehicles. It can also include reserve and rate markups in the monthly payment, along with the shopper’s down payment amount, term and trade value. PaymentDriver enables shoppers to get comfortable with the online ‘first pencil,’ and nudges them towards online financing. When they visit your dealership, they already have a good understanding of vehicles within their payment range.

A stickier site is only one of the many benefits of adding the Dealertrack Digital Retailing Suite to your dealership website. You can learn more by downloading Dealertrack’s whitepaper Digital Retailing Delivers and by visiting dealertrack.com/digital.

by Dealertrack Technologies

Digital Retailing not only focuses on quantity, but also on the quality of leads. This results in higher conversion ratio and better use of your marketing dollars. This fact can be exhibited in two different scenarios: (1) A Digital Retailing lead ultimately costs less than a basic 3^rd-party lead and (2) Digital Retailing delivers a higher ROI on your digital marketing spend.

Our research reveals that Digital Retailing leads can be more efficient for your dealership than basic 3^rd-party leads. Digital Retailing leads cost $40-$84 per sale, while 3^rd-party leads can run as high as $250 per sale. The following table offers more details:

Comparison of cost of Dealertrack Digital Retailing leads to 3^rd-party leads:

Third-party leads have an important place in your online strategy. However, you should consider adding Digital Retailing to your Internet marketing mix.

Similarly, Digital Retailing provides for a higher ROI on your website costs.

* Does not include the ROI generated from service leads, walk-in, and phone leads.

High-quality, cost-effective leads are just one of the benefits of adding Dealertrack’s Digital Retailing Suite to your dealership website. You can learn more by downloading Dealertrack’s whitepaper Digital Retailing Delivers and by visiting dealertrack.com/digital. 

by Dealertrack Technologies

Today we announced that there are more than 1300 active lenders connected to the Dealertrack Credit Application Network!

The Dealertrack Credit Application Network, part of the Dealertrack Dealflow Advantage, allows dealers to electronically submit application data to the industry’s most diverse network of banks, independent finance companies, captives, and credit unions. 

Dealertrack Dealflow Advantage: Driving Profits and Value for Dealers

The Dealertrack Dealflow Advantage underscores Dealertrack’s commitment to workflow efficiencies that help drive profits and value through every step of a customer interaction and transaction for dealerships. Dealers can leverage the Dealflow Advantage through a number of Sales and F&I tools and solutions, including digital retailing, credit application processing, F&I product aftermarket selling, electronic contracting, compliance and registration and titling, to create a seamless and efficient customer experience and workflow for one’s dealership.

In addition, the Dealertrack Dealflow Advantage delivers innovation and advanced Sales and F&I functionality. Dealertrack Mobile enables dealers and lenders to securely manage and monitor finance and consumer credit application activities in real-time from their mobile device.  Since its introduction last year, more than 23,000 users at more than 13,000 dealerships and lenders in North America are leveraging the power of the Dealertrack Mobile application.

Click here to lookup your Lender!

by Dealertrack Technologies

Adding digital retailing tools to your dealership website is an effective way to attract and convert more traffic. Our research reveals that consumers that go deeper into the shopping funnel online are more likely to buy a vehicle from you.

It turns out that an average of 20-25 percent of digital retailing leads convert to sales. Compare that to the basic website lead conversion rate of 10-15 percent. What accounts for such a high conversion ratio? The key is that these leads are finance-ready. That means consumers are associating realistic payment ranges with specific vehicles and then submitting valuable information that is typical of a serious buyer, such as financial and trade-in info. Check out the table below for a summary of key performance metrics:

Comparison of Dealertrack Digital Retailing leads to typical website leads:

* Results may vary based on implementation, package, demographics, new-used sales mix and franchise.

Better sales conversion is just one of the benefits of adding Dealertrack’s Digital Retailing Suite to your dealership website. You can learn more by downloading Dealertrack’s whitepaper Digital Retailing Delivers and by visiting dealertrack.com/digital.

by Dealertrack Technologies

Dealertrack’s Regulatory Counsel, Randy Henrick discusses his analysis of the CFPB’s Guidance on Indirect Auto Finance with Auto Remarketing in an April 25th online article. Randy states “We believe rate participation is not going to end, at least not any time soon”.   He adds “Dealers always have discretion to send contracts to lenders they choose and where dealers send their contracts will have an important effect on the success or failure of any lenders who adopt flat-fee pricing.”

Dealertrack Technologies Confident Dealer Participation Will Remain Crucial F&I Income

Thu, 04/25/2013 - 01:56 | LAKE SUCCESS, N.Y

By SubPrime Auto Finance News Editor Nick Zulovich

When the Consumer Financial Protection Bureau issued guidance regarding the auto finance market in March, many legal observers and dealer principals saw it as a direct attack on dealer participation, a strong income driver for stores’ F&I revenue.

However, Dealertrack Technologies associate general counsel Randy Henrick attempted to quell fears that federal regulators were going to directly or indirectly make dealer participation a thing of the past.

Click here to read the full article

by Dealertrack Technologies

On April 21st and 22nd, Dealertrack proudly participated in and sponsored the 2013 DrivingSales President’s Club in New York City. The DrivingSales Presidents Club is an annual gathering of Presidents, Dealer Principals and General Managers. This meeting is dedicated to studying the trends and managing the best practices surrounding the three most important assets for running a dealership: your Capital, your People and your Brand. At the event, Raj Sundaram, Dealertrack’s Dealer Solutions Group President, presented on key trends influencing dealer brands in the Digital Retailing Age.

In his presentation, Raj detailed how technology will enable important innovations in automotive retailing over the next three to five years, but for the next great transformation in automotive retailing to occur; digital capabilities must be accompanied by a deep cultural change that is already taking place at leading dealers and groups. Raj also discussed how a dealer’s brand will ultimately be driven by how they do business, both online and in the showroom.

Want to learn more about the event? Click here to follow the event’s Twitter trend #DSPC or click here to go to the DrivingSales event.

by Dealertrack Technologies

Randy Henrick, Dealertrack’s Associate General Counsel provides insight into the CFPB Guidance during a Car Biz Today (CBT) News interview on April 18, 2013. Randy discusses Rate Participation and his take on the impact that the guidance will have on it, as well as recommendations of actions for dealers to take.

Click below to watch the video.  Randy Henrick’s interview begins 2 minutes and 15 seconds in.