AI for Car Dealerships
The technological landscape is ever-changing, and dealerships must keep up with the times or risk losing business to competitors. In recent years, the discourse around artificial intelligence (AI) has grown to astronomical levels, with it now being utilised daily across the globe. The recent explosion of the AI conversation tool, ChatGPT, shook the world and highlighted the strength and staying power of AI. As this revolutionary technology develops, its role in the car buying process will become stronger, and dealerships must be aware of how to make the most of AI. AI is not to be feared, when employed correctly it can be a monumental tool to help increase sales and improve operational efficiency. In this article, we will be taking a deep dive into the ways you can utilise AI for your dealership.
Champion your online offering
In this digital age, customers now have the expectation that purchasing a car should be quick, easy and hassle-free. Marsh Finance spoke to three of our partners, who all overwhelmingly agreed that customers are now favouring purchasing a car online versus in-store. In some cases, customers will purchase a car without even seeing it in person.
In this rapidly changing world, where technology continues to advance at an astonishing pace, you might find yourself pondering over the best way to tackle the tremendous demand that accompanies it. Look no further, for the solution lies in the realm of AI. Brace yourself for the power of chatbots and virtual assistants, which allow customers to engage in truly lifelike conversations with artificial intelligence. And here’s the exciting part: you receive the entire conversation in its entirety, delivered straight to your fingertips. Get ready to witness the future of customer interactions like never before!
AI can solve queries and generate new customer leads outside of business hours, whilst you’re asleep! Being able to direct and process customer requests outside of office hours provides a fantastic opportunity to grow sales potential at very minimal expense. For those still seeking an in-person car buying experience, AI can still help. Online check-ins can limit queues and allow customers to check in and out easier, increasing the number of prospects you can speak to throughout the day.
In the realm of the online world, AI emerges as a phenomenal tool that not only takes charge of your crucial first interactions with customers but also amplifies your online presence—a vital ingredient for achieving unrivalled success in the business landscape of today.
Predict customer trends and behaviours
The ability to meticulously track and decipher the ever-evolving patterns and behaviours of buyers, thus facilitating customer segmentations, serves as the gateway to unlocking unparalleled revenue growth and operational efficiencies. Currently, these processes involve a lot of manual processing.
Simultaneous data analysis and tracking can bring vital information for car dealerships such as which cars are most popular within the customer base and which segmentations are most prevalent. This information can then drive sales and inform marketing campaigns.
Overhaul of your CRM
Automation is the future, and AI provides the means to champion automation. On a day-to-day basis, it’s easy to feel overwhelmed with admin tasks. By adopting AI, you can create automatic replies to emails, and automate operational processes, freeing up time for sales reps to do what they do best, sell. A survey undertaken by People.ai in conjunction with Harvard Business Review found that one company saw a 15% increase in bookings per sales rep after automating manual CRM data entry. Cutting through the manual processes and replacing them with AI transforms sales potential by taking mundane tasks away from humans.
How to get started
Here are some tips to get started with using AI in a car dealership:
- Check out ChatGPT by clicking here.
- Define your objectives: Determine your specific goals and objectives for implementing AI in your dealership. Whether it’s optimising sales, enhancing customer experience, improving inventory management, or streamlining operations, having clear objectives will guide your AI integration strategy.
- Assess your data infrastructure: Evaluate your existing data infrastructure and ensure it can support AI applications. Identify the data sources available, such as customer data, sales records, service histories, and website interactions.
- Start small and prioritise: Begin by focusing on a specific area where AI can deliver immediate value. For example, you could start by implementing a chatbot to handle customer inquiries or using predictive analytics to optimise inventory management. Starting small allows for easier implementation and showcases tangible results, building confidence in AI adoption.
- Explore AI solutions and partners: Research AI solutions tailored for automotive and dealership operations. Look for reputable vendors or partners who specialize in AI for the automotive industry. Assess their expertise, track record, and the suitability of their solutions to your dealership’s needs. Consider factors like scalability, ease of integration, and ongoing support.
- Train and educate your team: Provide training and education to your staff to foster AI adoption and ensure smooth integration. Help them understand the benefits and potential of AI in their respective roles. Encourage a culture of learning and collaboration to maximise the effectiveness of AI tools. Additionally, consider designating a dedicated AI champion within your team to drive the implementation and utilisation of AI technologies.
Remember, embracing AI in your car dealership is an iterative process. Start with small steps, learn from the outcomes, and continuously refine your AI strategies based on feedback and insights gained along the way.
AI is here to stay, and embracing its offerings is a fantastic opportunity to gain a competitive advantage over rivals. This technology is constantly developing, and harnessing its power now will almost guarantee greater operational efficiencies for the future. So, what are you waiting for? Start the journey to maximising sales potential and synergy across your business with AI.