Can Beacons Turn Auto Dealer Solutions Upside Down?

Showroom Proximity makes auto dealer solutions smarter with beacons!

Can Beacons Turn Auto Dealer Solutions Upside Down?

Car buyers are under immense pressure to reach today’s customer. Can beacons bring a much needed upgrade to auto dealer solutions? We wrote this white paper to get you up to speed.

The modern car buyer is very different than its predecessors. They come armed with technology, tools, and resources. They want the best deals, and they know how to find them. Low customer loyalty shows that legacy auto dealer solutions just aren’t doing the job. And it’s a big problem.

JD Power’s 2014 New Autoshopper study revealed several unnerving results. They found, of customers using their phone, 61% looked up vehicle pricing information. A further 42% looked up model information. That means 42% of phone users would rather ask the internet about a specific car than a trained salesperson. To realistically drive up customer loyalty, dealers have to fight technology with technology.

Give Customers What They Want

Approximately 50% of dealership customers switch retailers once their guarantee expires. Customers simply don’t feel connected to their dealership and are out to find the best deal, every time. This is due in part to new technologies that are upping expectations.

There’s one huge facet to auto dealer solutions that is often forgotten: transparency.

Within the dealership and without, there is simply a missing sense of clarity. This is why visitors turn to their phones instead of to a trained salesperson. Honestly, who would you trust more to give you an honest, unbiased opinion?

Do Auto Dealer Solutions Need Beacons?

Whether it’s real or perceived, modern customers simply don’t like being at the mercy of a salesperson. They want information. They want to make their own decisions. There is a new dynamic at play, and modern auto dealer solutions need to react carefully.

To empower dealerships and customers, T-Systems teamed up with Salesforce (and Kontakt.io!) to improve customer loyalty with their newest solution: Showroom Proximity–and the showroom floor has never looked so advanced. It has also never gathered so much data.

Showroom Proximity makes auto dealer solutions smarter with beacons!

Beacons are part of the growing IoT revolution. They’re incredible little powerhouses. They share and generate data while running quietly in the background. Nearly every industry is experiencing the rise of the beacon: shouldn’t the showroom?

What is Showroom Proximity?

Showroom Proximity pairs beacons with dealership vehicles. This means customers can interact with the car, learn about and check out offerings, from their own phone. This has two results:

  • Customers are empowered by knowledge. They feel more comfortable and better informed.
  • Managers can learn about visitors and see how they are interacting with different vehicles.

Showroom Proximity makes auto dealer solutions smarter with beacons!

Here’s How it Works

Vehicles, both on the floor and in the lot, are outfitted with a Kontakt.io beacon running iBeacon. Each individual beacon acts as an identifier and connects to the smart devices of passers-by via Bluetooth. Unlike GPS, beacons can accurately map a location, like a showroom, down to the last meter. Even in a busy store, the beacons register who is standing where, when.

Beacons know when the Joneses are in front of the new luxury vehicle. They know how many visitors checked out last season’s model and how many visitor’s almost bought a car.

Unlike salespeople, beacons are ready to go 24/7 and can serve multiple visitors at once. Better still, it’s a cloud-based infrastructure that is easy to scale and update. IoT infrastructures also generate ample data. This means managers can learn from their beacons every day.

Give Your Customers Brand New Opportunities

Here’s what happens: when a customer enters the showroom, they see a banner suggesting they use the showroom app. Once downloaded, the visitor can interact with the cars from the comfort of their phone. They travel through the cars, checking details on their phone when they choose.

Thanks to the app, they find vehicle specs, special promotions, videos, and detailed images. After several minutes examining they choose to book a test drive or to move on to the next car.

The dealer has also added a special promo: want to be the first to test drive a hot new car? Visitors who check out several cars, or simply use the app, can be entered in a raffle. It’s a solution that let’s customers decide what they want and when. Transparency builds trust and ensures that that visitors have a completely unique experience.

While customers are checking out the vehicles, dealers can check out the ample data generated by using the app. By digitally tracking customer movements, it will be instantly clear which vehicles are popular, leading to better insights and both short-and long-term strategies.

Need to make your automotive dealership more competitive? Find the white paper here!

You can also come test out the T-Systems app yourself in the Proximity Studio. We’re located right in the heart of Berlin.