Myths About Selling in the High Tech World
By Mark Tewart
Manufacturers are giving out invoice and buying price information. Consumer Reports publishes the invoice costs plus tips on how to get what the buyer wants from the dealer. Third- party buying services promise low prices without having to set foot in a dealership and Internet gurus promise to buy dealerships and make them distribution points for delivering vehicles at low prices. Welcome to the information age. The surprise is, in the information age, the process of selling vehicles is not about information, it's about relationships. The increased use of technology has created several myths about selling.
Vehicle buyers have more information than ever before about the process, pricing, financing and all aspects involving the purchase. The majority of dealerships are scrambling to acquire or update their technology to compete in an Internet world. All the technology available will not make a difference if old-fashioned value selling and the building of relationships do not occur. The phrase for today should be, "High Tech-High Touch."
When dramatic change occurs in society, there is always a readjustment and backlash to the change that moves society away from the change and more towards a previous standard and comfort zone. Although high technology will never go away, the increasing use of technology has created a faceless society that de-emphasizes human interaction and high-level service. Because of the frustration that people are feeling with the lack of personal service and the added stress in their lives from technological overload, people are seeking a little bit of Andy and Opie in their lives. A simpler, easier, more personal time. The following are five current myths and their exposure as such:
Myth #1-People Want to Avoid Dealerships.
People only want to avoid dealerships with heavy-handed, old-fashioned, control-oriented selling systems. People actually desire to deal with professional, well-trained salespeople that deliver more than promised. People want to deal with people, not just technology. People don't buy vehicles, they buy emotions that salespeople help them discover.
Stop selling vehicles and start helping people solve their problems and discover their emotions about the vehicle, dealership and salesperson.
Myth #2-Educated Internet Buyers Only Care About Price.
People will pay a fair price for a great value. Customers have prices today. What they seek is a professional, friendly process that allows them to get straight answers to questions that can never be answered on a Web site. If the value is there, people will pay the price. Nordstrom's department store sells items that could probably be found somewhere else for a lesser price, but that doesn't keep them from selling more items and growing every year.
Myth #3-Educated Consumers Don't Want to Negotiate.
The majority of educated consumers do want to negotiate in a professional manner without having to run back and forth five times to the manager. If salespeople are trained in negotiations, they will know what to do when a customer says no or has an objection or a counter proposal. Managers can't be the only people who do the negotiating. Even one-price customers negotiate. People negotiate by making decisions about you, your dealership and service. When a dealership makes a decision to not negotiate, that is negotiating by stating your stance of not negotiating up front.
Myth #4-People Go Straight to Price Instead of Presentations and Demos.
People want and need better presentations and demonstrations than ever before, because all the emphasis is on price today. Try acquiring previous patterns to slow down the process, build rapport and find the way to give your customer hope for gain. Have salespeople ask consumers what kind of vehicle they are driving now. Salespeople can ask to see their current vehicle to get information to later offer an evaluation and also find what they like and don't like on the vehicle. Also, don't sell apples to apples. Offer possible alternatives that might change the shopping criteria, such as different models, leasing etc.
Myth #5-People Do Not Have Loyalty to Anything Anymore.
Because of the faceless society created by improper use of technology and the lack of customer service, consumers have little or no reason to develop any feeling of loyalty. However, when they find exceptional service and a unique buying experience combined with continual contact and care after the sale, customers will feel an obligation to do business with you. Obligation can be one of the strongest influences of buying.
There are many myths that have been created by the increased use of technology in selling. Like everything in life, how you view those changes and make them work for you rather than against you is the key. Don't view educated customers as greedy, price-only oriented time wasters. Using technology for lead generation, streamlining sales processes and customer relationship management are keys.
Mark Tewart is the president of Tewart Enterprises Inc., a sales, management and customer service training and consulting organization conducting seminars and in-house training programs internationally. He has spent almost 16 years in the automotive field, with his experience ranging from sales, leasing F&I, general sales manager and general manager. From this experience, Tewart developed the "Contrarian Selling and Management Concepts" that he speaks and trains on today. mtewart@dealeronline.com
