Car dealers and automakers, amid a rapidly changing automotive market, are abandoning traditional media such as television and newspapers, and are flocking towards new media, especially social media, which ultimately allows consumers to have a voice in their messaging.
More consumers are trusting social media as a sort of democratized information channel, as consumers can gain insights, recommendations, and other information, directly from other consumers. From social websites to blogs, brand perceptions are no longer tightly controlled at the source, but are instead exposed and then manipulated by consumers themselves. While this may pose a risk for car dealers and automakers, the real benefit is that their messaging could be spread voluntarily by consumers, furthering the message’s reach.
Trust plays a large role in how social media is shaping the automotive industry. So much trust has been lost via traditional media. However, new media gives a great amount of power to a consumer, which has the effect of building trust and potentially word of mouth.
Online media enables quick information delivery. This is precisely why automakers and car dealers are struggling to maintain steady footing in social media. If they’re unable to maintain the dialogue with consumers, they may be unable to maintain positive momentum in the social media realm.
A vast array of online marketing techniques are increasingly being utilized and relied upon in the automotive space, enabling car dealers and automakers to connect with consumers in a more personal way. These same social environments also enable consumers to connect with other consumers. This exchange can be positive or negative, but many car dealers like Anaheim Toyota are finding that the risk is worth it, as email marketing, online video, blogs, and other social media websites are increasingly being utilized, and delivering ROI.
Social media websites are a meeting place of sorts for consumers. Because much of the content is either created or steered by actual users, the segmentation on many of these website is staggering. From Facebook, to Myspace, to Digg, social media provides something for nearly every consumer’s interests.
Social media provides new opportunities not only because it gives consumers access to great content, but because it also makes friends out of marketers. It’s an interesting concept, but diving into a website such as Twitter, and it becomes easy to see why this method works. Scott Monty directs social media at Ford. In addition to having a great blog covering social media, he’s extremely active on Twitter, with 12,927 users following him (and counting). Unlike an anonymous spammer, Monty utilized the transparency of social media to help change perceptions of the Ford brand. Promoting Ford news via Twitter is one way he accomplished this, but he also spurs dialogue about news surrounding Ford and the auto industry. Whether someone has something good to say or bad to say, he’s able to get a dialogue at the very least.
Simply asking for the opinion of consumers may seem risky, but with social media it can often become a valuable resource for consumer feedback. Take a look at GM’s FastLane Blog. In a recent post coinciding with the launch of the all-new 2010 Buick LaCrosse at the Detroit Auto Show, Buick-Pontiac-GMC VP Susan Docherty expressed her pride in the new LCrosse, highlighting the newly sculpted lines, new technologies, and overall positioning as a world-class luxury sedan. Dorcherty also asked what others felt about Buick’s latest product launch. Responses quickly added up, and while some were less than positive, many provided well-balanced feedback on the new model.
With transparency comes trust, and trust could cause consumers to become advocates of your brand. Many variables are contingent on this taking place, such as offering quality products and superb customer service, but social media is a big part of the equation and it potentially enables consumers to become marketers for your business.
With car dealerships directing more marketing dollars to online media such as Hyundai Chicago dealers, customers and dealers are benefiting in new ways. Conversations about buying a car can now take place without having to step onto a dealer’s lot. Additionally, dealers such as Honda Pittsburgh and Louisville Chevy are both finding they’re able to drive more business to parts, service, and other profit centers beyond the new car sales department. New specials and incentives can also be promoted in new ways, enabling dealers to notify potential customers at an extremely low cost.
With car sales down across the board, one Honda dealer New Jersey stresses that these days it all comes down to spending money in more innovative ways. Because of the low cost of social media activity, and the relative low cost to online media in general compared with traditional media, car dealers especially are moving past the ‘testing the waters’ phase and are embracing more facets of online media.
* * *
Learning how to make the most of car dealer marketing is what we’re all about. Stay tuned.
{ 2 trackbacks }
{ 1 comment… read it below or add one }
I have been trying to tell my local dealers this for a little while now. I think it’s slowly starting to sink in! Dealerships have to evovle and change their tactics today more than ever. It’s a hard thing to do, but I know that using social networking sites will more than benefit car dealers all around the globe.
Let’s hope the lesson finally hits home soon!