Internet Retailer - Strategies For Multi-Channel Retailing

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News Stories Friday, August 13, 2004   
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Why auto dealers need manufacturers to generate online sales

Manufacturers must take more of a lead role in helping their dealers generate more Internet sales, says a new report from Jupiter Research. While almost all new-car dealers have stand-alone web sites, more than 60% of research begins with undecided shoppers clicking on a manufacturer's site.

Most auto manufacturers have tools that let customers search for available inventory, pre-configure their dream car and locate a dealer near them. But, says Jupiter, 71% of shoppers leave the site before selecting a dealer.

To help prevent the loss of potential sales--and drive more leads to their local dealers--the Jupiter report says manufacturers should do more to help dealers promote their local web sites by including dealer URLs in the lead submission process and dealer links on more pages on the manufacturer's site.

"OEM sites should provide site visitors with dealer URLs along with other dealer information after they complete a price quote request," says Julie Ask, a Jupiter automotive research analyst.

Jupiter says undecided car buyers are heavily influenced by the online experience beginning on the manufacturer's site and ending on the dealer's home page. "Moving consumers closer to dealers will drive more car sales," Ask says. "6% of new car buyers whose dealer choice was influenced by their online experience made a deposit online."

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