People are Talking about You Right Now Would you like to join the conversation?

by: Mark R. Dubis

Online social networks are increasingly providing an impact on Internet users in North America. Not only are consumers flocking to these sites, but they are getting recognition from businesses too.  This past October Microsoft Corporation invested $240 million (US) for less than a 2 percent stake in Facebook.com. That investment in the small, privately owned company gave Facebook a valuation of $15 billion dollars (US). Both MySpace and Facebook are sites that allow users to build a profile about their life and interests and then helps them connect with people with similar interests and allows them to “get connected.” It’s pretty simple overall, users on the sites can chat, message, and build or join peer groups based on their hobbies, interests and the people they know.  As these communities build a following and increase participants, they start to share their experiences and recommendations on everything from the latest music and television programs, to current events to businesses they patronize. The consumers share the good and the bad about the products they buy and their experience in the purchase transaction. It’s real “word of mouth” networking amplified by the World Wide Web. So what does all of this mean to you? Your customers are talking about you. The reality today is that everyone of your customers after they leave the dealership whether they bought a vehicle or had their vehicle serviced with you is talking about you to their friends, family, and associates at the office, in the factory, or in the shops where they work. They talk about prices they pay, the amount of time they spend and often talk about your staff individually. They are taking the comments they used to put in your surveys and delivering them in person to your future customers by telling them their true thoughts and feelings about your company. Some customers are even creating short videos about their experience and posting them for all to view on the Internet. What this means is that user-generated content (UGC) by consumers around the world is an indication that consumers are quickly changing their values and where they get their news and information. No longer are we living in a world where we look to “experts” to analyze a situation, product, service or event and give us a final determination of their expertise. Today we tend to look to our peers, to people that have similar interests, jobs, families and lifestyles and ask what has been their experience with a product or company. After reviewing many people’s comments, it is time to make a determination of our own and act. Because of this, many businesses, manufacturers and dealerships included have begun to create their own profile on sites like Facebook and MySpace to get involved with these online communities to build referrals and measure the level of acceptance of their brand among those consumers. The influence is so strong, that one large vehicle manufacturers in the United States has hired a team of 26 full-time employees to monitor the content of these UGC enabled sites and to interject “professional” guidance when it will serve that specific community in a positive way. This is a true acknowledgement about the power of social networks on the buying habits of the public. Most dealerships do not have the staff, the expertise or the need to go to the extreme of hiring a staff to monitor online media. You can handle the online communities and the UGC in a much more traditional method. Here are a few simple things to keep in mind about user generated content and online social networks: 1. They exist today and are growing in popularity every day. Linkedin.com, a professional community focused on recruiting, reports that it adds 26 new members on its site every 60 seconds or one new member on its site every 2.4 seconds! 2. The members of the online communities place a lot of value on the advice and support from their members, so look for ways to add value. In Canada, www.mommyclub.ca has a number of groups where it would be appropriate to bring up the vehicle ownership or purchase process and share advice or tips with these “Mom” members.                                                                                                                                                                             3. They are talking about the value your dealership offers, so make sure you offer enhanced levels of those services such as free oil changes for one year, tire replacement, road service or other value enhancing service. 4. They are talking about how your staff treats their customers. Many times they share information on which staff to ask for and which ones to avoid. 5. Always be sincere, personable and do not disrupt the community. They are extremely offended by companies “posing” as real people trying to manipulate the opinions of the community; however they are not opposed to companies taking a supportive role in the community, just not a controlling role. Some automotive dealerships have learned this the hard way when its pages were shut down on myspace.com as being too commercial. Having a presence on generic community sites is great but also you should look for more auto focused blogs and networks too. One of these is called CarFolks. Its website and system (www.carfolks.ca) enables dealerships and their front line staff (salespeople and service advisors) to directly connect with customers through the network (as the professionals) to engage in ongoing one-to-one and group conversations with customers they have built a relationship with. Social networks and dealer rating sites provide a different twist on ‘word of mouth’ referrals. Many dealers feel that the responsibility for the relationship belongs with the staff people working with customers. That means sales and service personnel.  Sites that rate the individual salesperson insure these frontline staff members have some real ‘skin in the game.’ If every member of your team understands that the majority of the customers that they come in contact with (a Polk study from this year states that 71 percent are likely to participate in this arena) are going to post comments about the interaction online, then they will be more focused on making sure they are delivering an experience that will make them (and the dealership) look great to the social network. So, you and every member of your team control the content that is posted on every social network about your dealership. What type of training are you doing this month with your employees to help them understand how to use this to their advantage? Blogs, social networks, online media and the user-generated content they create are not going away any time soon and will continue to influence consumers. Please work with your staff to insure they are trained and motivated to drive positive feedback through the interactions they have with customers in the dealership and online. In this way you will help minimize any negative comments about your service and how you treat your customers.

Mark Dubis is director for the Dubis Group, an automotive marketing services company. Previously he held positions as editor of Digital Dealer magazine, vice president in the indirect lending areas at National City Bank and KeyBankUSA, non-prime sales trainer for World Omni and a former car salesman in South Florida.

This article appeared in World of Special Finance - Canadian Edition March-April 2008