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5 Reasons Why User Experience is the

Foundation of a Strong Dealership

By Steve Southin, Co-CEO, PAVE
User Experience, by definition, addresses all Stronger ROI hard numbers before coming in. The faster,
aspects of an experience within automotive With better user experience, dealers simpler and more accurate it is to use a
shopping, purchasing and owning of a 2get enjoy a better return on investment digital retail feature, the more likely it is
vehicle from the customer’s perspective. across all operations. It guarantees that that consumers will complete the process
From interacting with an ad, to interacting money invested into its software solutions and the more confident a dealership will be
with a website and to parking their new and marketing efforts generates into a in giving a more accurate value.
vehicle in their driveway, user experience measurable value. This results in stronger
guides the interaction of the customer customer retention and it costs 3 to 5 times Stronger Customer Experience and
throughout mobile apps and websites from more to acquire a new customer than to Satisfaction
both visual and functional perspectives. retain a returning customer. 5A dealership’s customers are the
It encompasses the experiential, affective, users of digital retailing software and they
meaningful and valuable aspects of Stronger Conversion are valuable. When the process is easy,
human-business interaction and product Measuring the effectiveness of your pleasant and natural for customers to
ownership and use. 3user experience efforts depends on be able to complete the steps in a digital
how many users you turn into customers. retailing process, they are more likely to
Here are 5 reasons why User Experience is Analyzing conversion rates is far more complete a transaction with the dealership.
the foundation of a successful dealership. effective in measuring user experience than These benefit both the consumer and the
using sales figures alone. 74% of businesses dealership and lead to a better customer
Stronger Customer Loyalty believe User Experience is the key to experience for the consumer and an easier
Simply put, if users have a negative increase the rate of conversion. sale for the dealership.
1experience with a digital retailing
feature on a dealership’s website or mobile Stronger Productivity More Efficiency It goes without saying that User Experience
application, it’s likely they won’t return. In By helping users get information and (UX) is heavily dependent on the design of
this scenario, dealerships only get one shot. 4provide easy to use shopping tools, an application, integration of a dealership’s
Not only do dealerships lose a potential dealerships let them know that they respect brand, and being able to provide the tools
customer, they are also sending them the consumer’s time and appreciate their and information consumers are looking for
directly to a competitor. Many consumers business. Every interaction between the while shopping for a vehicle. When 62%
will choose to do business with a competitor customer and a dealer’s website should of shoppers and consumers base future
after a poor customer experience. happen in the fewest possible steps with the purchases dependent on past experience,
least friction possible. the user experience circumscribes customer
Loyal customers also make some of the best loyalty and retention.
brand ambassadors. Referrals are the least Evaluating a trade has been historically
expensive customer acquisition but also time-consuming for both the customer User experience should be more than just
come with higher closing rates. A positive and the dealership – especially when the an afterthought and can affect revenue
user experience will help dealerships get interaction and transaction is occurring from many angles. A dealership’s customers
to that point. Loyal customers account for online in a digital retailing capacity. expect to be able to engage with them on
roughly 20% of a dealership’s customer Finding every little scratch and dent to their terms. Making that process easier will
base, but make up more than 65% percent fill in a vehicle inspection form takes time only make the dealership stronger. And
of its sales. and attention to detail. Dealerships are that is what leads to increased revenue,
hesitant to give solid numbers on a sight- retention and loyalty. n
unseen trade-in while consumers want

30 | GIADA Independent Auto Dealer JUL/AUG 2020