Automobile dealerships are using the IoT to improve customer experience in a variety of new ways. They are utilizing on-lot vehicle tracking technologies in order to not only enhance the customer experience, but gain significant ROI as well. For instance, the new IoT-based solutions can accurately display the movement of cars within or between geographical areas. Additionally, they enable automatic registration of deliveries and transfers on arrival of vehicles. Finally, they are even being used to provide data analytics on test-drive frequencies that record consumer trends, which also aids in optimizing stock management. The following piece provides more detail on how these applications are being implemented and utilized.
Businesses see massive opportunities in the Internet of Things (IoT), but they’re also aware of significant challenges. Quantifying return on investment (ROI) and finding a clear use case has been identified as the most immediate challenge for IoT professionals. In this article, we show how IoT can be used in a concrete and viable business scenario to improve customer experience with an example based on an automotive retailer.
The automotive industry faces many challenges to increase turnover, revenues, and profitability. For retailers (i.e., the car dealerships), these challenges will be met by increasing the number of cars and the related services they sell, such as routine maintenance and repair services. However, sales are influenced by the customer experience (CX). And while a good CX may help dealerships sell more cars, a bad experience will certainly not. Until recently, customers typically visited a dealership four times before making a purchase. Now, over half the cars are sold on the first visit and 67 percent within two visits; therefore, the CX on the first visit clearly matters. Who knew first impressions were so enduring?