Reflections on Automotive Retailing from MRC

This week the 2022 Modern Retailing Conference (MRC) concluded. We will be back in Palm Beach Nov 12-14th in 2023. As I reflect on the conference content, speakers, private conversations, exhibitors, and the new ideas that were shared, I am truly blessed to be able to host automotive industry leaders and innovators each year.

Here are a few themes that emerged from the conference, that will help guide dealers and technology providers in 2023:

Connected Retailing trumps Digital Retailing

Software tools on dealership or OEM websites which enable a consumer to explore the affordability of a vehicle are "table stakes" to be considered part of the modern retailing movement. The key to fully transforming the consumer experience is to use the exact same tools online and in the showroom.

Many dealers today have different tools in the showroom which creates friction, delays, and can damage trust. The good news is that many companies that once only had online retailing tools (DR) are releasing Connected Retailing software for the showroom as well. This will be a hot topic at NADA in January and I encourage dealers to set appointments with the leading technology platforms offering Connected Retailing solutions which include CarNow , Gubagoo , AutoFi , CDK Global , Cox Automotive Inc. , WebBuy , and Upstart .

Technology Companies Have Underestimated Training and Coaching

At MRC we heard from Glenn Rizzo (SET), Tim Bliss (Toyota), and three Toyota dealers about their approach to Connected Retailing powered by Toyota's SmartPath platform. Rizzo emphasized that SmartPath implementations required careful vetting, advanced planning, process mapping, role playing, and long term coaching.

Without process accountability after installation, most Connected Retailing installations falter and some fail.

Dealers need to properly budget for training if they want to get their teams fully invested in a Connected Retailing sales process. Dealers should check out training solutions from Proactive Dealer Solutions and Quantum5 to help make your Connected Retailing culture stick.

First Party Praise Is Not Supported by Intentional Data Management

For the past two years the "first party data is valuable" slogan has been played out in vendor pitches. It has now become white noise to dealership managers. At MRC, we exposed a common practice:

Dealers continue to share their first party data with multiple vendors (in silos) who provide no real-time feedback (to their database) on marketing outcomes and online engagement.

At MRC, dealers began to realize that they need to invest in building a competent Customer Data Platform (CDP) to fully leverage the marketing signals and customer feedback they generate each month. In 2023, I will be doing more research on providers of CDPs so that dealers can have some framework to pick providers that best meet their needs and budgets.

This will also be a hot topic in the Expo Hall at NADA. I encourage dealers and agencies to start the education process now and budget for CDPs in 2023. I know that PCG Digital will need to be able to integrate and operate the CDPs that our customers select, so we need to be active in the marketplace as well. Companies to watch include Outsell , Orbee , Automotive Masterminds - The new Automotive Conference , Fullpath , Drivonic , and DealerBuilt .

Google Analytics Training for GA4 Is Critical

At MRC, the Automotive Standards Council released version 1.0 of the universal specification for the automotive industry, This specification will be supported by over 80 companies in the retail space, which is no small accomplishment. The specification can be downloaded for free on this page: Version 1.0 Specification PDF

The workshop sessions at MRC on GA4 were well attended and the conversations revealed just how much education is needed for dealers and agencies to fully leverage GA4. The good news is that the ASC Specification will make GA4 very usable and powerful for dealers.

Many of the ASC members have committed to sending the ASC events into dealer GA4 accounts by January 1st.

Dealers are encouraged to contact their website vendors and retailing partners to request that they start sending events by January 1st. The following website companies have committed to turn on events by January 1st: DealerOn , Dealer Inspire , Dealer eProcess , Sincro, a DealerOn company , Dealer.com , and Team Velocity . Dealers who want to simply their GA4 reporting can download free templates on the ASC website (January 2023) or can contact Vistadash for a customized dashboard of GA4 insights.

Online and live regional training events for GA4 will be schedule in Q1 and Q2 of 2023.

Dealers who would like to be notified on when these events will be scheduled can sign up for my Automotive PRO group for free on this page: https://bit.ly/3OiCufx

Innovators Continue To Fill Operational Gaps

There were a number of "breakthrough" moments during MRC as dealers were introduced to new technologies or operating paradigms that will help them reduce costs, increase profits, and expand the Lifetime Value (LTV) of their customer portfolios. These innovators include:

• Derek White 's consumer direct car buying center strategy called AXLE, powered by their innovative trade software (TradeVue), is helping dealers double and triple consumer direct trades. Request an AXLE demo and see if you agree with his vision for accelerating local vehicle acquisition, which was a very popular topic at CXO and MRC.
• Steven Apicella 's platform for increasing F&I product penetration after sale and also to support the value of F&I products over the customer's ownership lifecycle. Check out the mobile application built by Strategic DX - Your Dealer Experience .
• The interest and adoption of digital voice assistants continues to grow. We heard of more success stories from dealers using personalized assistants called "Brooke" from Brooke.ai and "Stella" from STELLA Automotive AI . As these platforms expand their capabilities, most dealers will see that DVAs will be a critical foundation for service and sales operations.

Dealer Education Continues

If you missed MRC, don't worry. You can purchase a virtual ticket online to view all the main stage keynotes and panels. You can also attend the Digital Marketing Strategies Conference (DMSC) in Austin, May 21-23rd.

Dealers can take advantage of a special 2:1 promotional offer which ends on November 30th.

To lock is the special 2:1 offer for dealers and OEM leaders, visit this page: BOGO Offer