AI's Impact on Automotive Retail?

There is little doubt that AI has the potential to transform various aspects of automotive retail operations, including sales, marketing, and customer service. Many seem nervous and even frightened by the impact it can have. Like anything new, the fear is for the unknown. The Automotive Advisor Team can bring clarity to the chaos and build your personalized strategy to make AI work for you. Take a look below at a few of the ways we are exploring AI's potential to improve automotive retail dealership operations.

• Personalized Sales: AI can help automotive dealerships provide personalized sales experiences to customers by analyzing data on their preferences, behaviors, and past purchases. This data can be used to create tailored offers and promotions that are more likely to resonate with the customer. The more personalized the content and interaction the higher the closing ratio.?

• Inventory Management:?AI can also help dealerships optimize their inventory management by predicting which models will sell well and when, allowing them to make better-informed decisions about stocking and pricing. Surgical inventory decisions from acquisition, to retail offerings and to disposal will be key to success in the new automotive landscape. Companies like The Automotive Advisor Team use this type of technology to help their clients stay ahead of the market to win.?

• Predictive Maintenance: AI-powered predictive maintenance can help dealerships identify potential issues with vehicles before they become serious problems, enabling them to proactively address issues and reduce costly repairs. Fleet companies have been doing this for years but with AI, OEMs can use the technology to determine when service is needed before an event actually happens and alert the dealership's service center of the proactive maintenance needed. The service center can set an appt and direct more business to the service bays in a predictive manner to foster greater loyalty with a world-class experience.?

• Virtual Sales Assistants:?AI-powered virtual sales assistants can help dealerships automate some aspects of the sales process, such as lead qualification and scheduling appointments. This can help free up sales staff to focus on building relationships with customers.?

• Customer Service:?AI-powered chatbots can help dealerships provide 24/7 customer support, answering frequently asked questions and providing basic information about products and services. Response time and follow-up is the key to closing deals and AI can help you not miss a beat!

• Marketing:?AI can help dealerships improve their marketing efforts by analyzing data on customer behavior and preferences to create more targeted and effective campaigns. For example, AI can help dealerships identify which customers are most likely to buy a particular model and target them with personalized offers. Targeted advertising to individual shoppers is the concept of "people not pixels" and will drive conversation rates through the roof.

AI has the potential to improve efficiency, increase sales, and enhance the customer experience at automotive retail dealerships. However, it is not an easy technology to grasp and if you aren't careful it can do more harm than good to your operations. The goal of any business is to grow and become more efficient for margins increase. AI can help, but a well-thought-out strategy with a surgical plan of execution is a necessity to avoid any missteps, because AI can hurt too.

The Automotive Advisor Team is diving in head first to make sure our dealer clients stay ahead of the technology and use it to their advantage to grow market share and increase profits. Reach out for a discussion or demo with the team here: [email protected]

Happy Selling,

John Ellis

601-577-2980