Professional Community for Car Dealers, Marketing, Advertising and Sales Leaders
Our world is changing. Unprecedented access to information and a massive shift in consumer behavior has resulted in a challenging new automotive retail landscape. It has also enabled a consumer appetite for data transparency. To hide from evolving consumer behavior is to deny change. At TrueCar, we embrace this opportunity. We also believe that transparency is the centerpiece of trusting relationships. Some in the industry disagree. We would like to make our position clear.
Our goal at TrueCar is to foster healthier relationships between manufacturers, dealers and consumers through data transparency. To deliver on this promise, we require a high standard from our 5,800 dealer partners – an upfront competitive price and a commitment to a great customer experience. A discoverable upfront price is the cost of getting noticed. Contrary to popular concerns this does not create a “race to the bottom.” The lowest price only secures the sale 19.2% of the time within the TrueCar network. The sale is still won by location, selection and good old-fashioned customer service.
At TrueCar, we believe that upfront price is at the core of a good buying experience for dealer and consumer. Informed consumers buy more confidently and are more satisfied. At TrueCar, we publish the most accurate reflection of the retail market that has ever been available. The goal is to establish an objective, credible and transparent baseline for fairness – both for the customer and the dealer. That being said, TrueCar does not set this market. Our dealer partners set their own prices 100% of the time.
Dealers earn their business every day and we believe that their marketing programs should too. TrueCar is the only fully accountable source of new business where our dealer partners only pay when they sell a car. Gone are the days when dealers have to assume all of the marketing risk and pay for advertising and for leads as a primary way to secure new customers.
TrueCar requires DMS integration for tracking of this accountable model, the core of what makes us unique. We use DMS feeds from our dealer partners for tracking and optimization of introductions made to the dealership. We don’t use our dealer partners’ information to populate the TrueCar pricing curve. That information comes from entirely separate sources of anonymized data that represent nearly 90% of all vehicle transactions in the U.S.
At TrueCar, data integrity, security and privacy are job #1. Our policies, systems and technology have passed the scrutiny of partners like USAA, Consumer Reports, American Express, AAA and many others. TrueCar has never, and will never, sell or repurpose DMS data for any reason.
In spite of all this, we recognize that change is threatening for some. Ours will always be a high-touch industry. The service of our dealer partners and highly-trained sales professionals becomes increasingly important the more consumers know. At TrueCar, our commitment is to relieve those professionals from needing to resort to high-pressure sales tactics or misdirection. These tactics have been an albatross for our industry and they are at the heart of why consumers have become generally mistrustful of the car shopping experience in the first place.
Is TrueCar good for all dealers? There will always be those that resist change. To our dealer partners, we applaud your understanding that truth, transparency, and customer service is at the center of success in our changing market. And, to those that still have questions, we invite an open dialogue. One of the great virtues of transparency is that we have nothing to hide.
I'm actually not familiar with the man since I just signed up today but as I read his letter, he seemed a brilliant man. Regarding car dealership I found my new Audi A8 because of their help. And I'm happy having them helped me with all the papers and other stuff. Good thing car dealership is there.:) Anyway, here's where I learned about Audi A8: New Audi Allroad and six-cylinder A8 for 2013.
The situation we have found ourselves in with TC/Zag is not unique. The difference is “we have found ourselves in it”, thanks in part to Painter’s rather large ego I believe. Some vendors/consultants have forever worked both sides of the fence. Painter grabbed the bullhorn and announced it. Broadcasting his belief that there are too many dealers and predicting the demise of the salesperson as we now know them today through the use of his “service” struck a nerve with the industry that will smart for many years to come. If that weren’t enough, Painter made clear of his intentions to carry his model into all elements of our industry. Thank you Mr. Painter. Your blueprint/battle plan for our demise is well received and appreciated.
In Painter’s most recent open letter to our industry he stated “TrueCar has never, and will never, sell or repurpose DMS data for any reason.” Then it is settled, the DMS data is collected to the inclusion of the purposes that Painter uses the data……without regard to where he collects it. If he will not repurpose data (he clearly states this), then in essence he is claiming that any data he receives was originally intended to be used for what he is using it for. I guess we need to figure out a way to explain this to the folks who’s information we collect. Our silly customers probably think the information we ask them to give us is being used to secure a loan and register the transaction of their purchase with our respective states or some such nonsense. Again, thanks for the heads up Mr. Painter, I am starting to understand how this all works.
This high rolling deal maker is only interested in the bottom line of his own deal.
Why not take this transparency discussion to his own company and explain his costs to every one. Where the cash came from for TC and what is his plan is to pay back his investors. Stop pretending like there is a care about the dealers this will rape profit from. For those of you dumb enough to give this thief DMS access you might as well give him access to your personal checking account and assets. Its been amazing to me over the years how concerned dealers have been about sales staff having access to their dealership information and yet allowing this guy who doesnt sell for a living to know your data and use it against you.
NADA is right around the corner. I will look for the True Cars booth. Meet me there guys.
CUT OFF THE DATA AND TC DIES!!!!!!!!!
Extremely insightful William. There are some really big surprises coming for TrueCar in the next week or so from a completely different direction than anyone has so far discussed. It should collapse any hope of additional investor money rolling in after potentials see that this entire regime might collapse. Originally we thought we would just stop them from the rotten things they were doing and saying about our industry. Now, there is a very real possibility they may go away entirely.
SPEND YOUR TIME GUYS CONVINCING YOUR DEALERS TO DUMP TRUE CAR.
Here is a request for equal transparency! Provide us access to your DMS and in the name of transparency provide us with your actual cost with which we will negotiate a fair profit if any for you to make!!!
Now there using the same information gathering system to post and price used cars. Here we go again:
TrueCar, Inc. Presents at Needham & Company, LLC's 14th Annual Needham Growth Conference, Jan-10-2012 11:40 AM. Venue: The Palace Hotel New York, New York, New York, United States.
TrueCar, Inc. has announced the release of the new ClearBook, the company's most comprehensive and fully-featured used car valuation tool to date. In the same way TrueCar benefits both new car buyers and sellers through comprehensive, unbiased new car pricing data, ClearBook will help those buying, selling or trading-in their car to know the real value of a used vehicle through unprecedented access to current sales data from around the country. ClearBook 2.0 features include a full price report for tens of thousands of different used makes and models; detailed vehicle pricing information including: expected sale price, recommended list price and trade-in price and an easy-to-understand transaction-based market curve that contains the most current car pricing and valuation data
I realize that everyone may already be aware of this one, but isn't or does'nt it look funny that several of the Company board members happen to be AutoNation Executives. The car company that still today is in a dealership purchasing frenzy?
|Name||Board Relationships||Primary Company||Age|
|Steven J. Dietz||18 Relationships||GRP Partners||46|
|Michael E. Maroone||10 Relationships||AutoNation Inc.||57|
Watch what happens next :) JIM
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Thursday, December 22, 2011
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Trust me. I have had a chance to experience TrueCar for a full week. They are taking over a whole market. A dealership that gets 600 normal leads from their sources (that are not out to hurt them) now gets 1600. 1000 comes from TrueCar and they sell 30-40 cars per month out of it. That is a 3-4% closing ratio when we should be at 10%. I found out calling these leads that the customers are being steered in that direction. TrueCar has done a great job getting in front of the consumers with their commercials and marketing. But when 70% of your leads are 80-120 miles away and they do not want to make the drive no matter what value you give them or how good of a closer you really are you start to really see what a horrible company TrueCar is. If you want to clutter your CRM with garbage and let your DMS be used to extract data that will be used against you then TrueCar is your solution.
TrueCar is not a friend to the industry. TrueCar is worse then cancer.
I spoke to a BDC manager from a NY Chrysler Jeep Dodge dealership. He called me because he was looking to contact his TrueCar rep and when he googled to get contact information he stumbled on my blogs. He actually defended TrueCar saying that he does well with them and they are good. When asking him how he feels about getting the runaround from leads that are 80 miles away he simply responded that he does not waste time on internet leads at all. He follows up with them for 7 days and if nothing happens he just gives up. He did not believe that a lead needs to be managed for 90-120 days. I wonder what training he got. That is not a good BDC Manager at all. I cannot believe that dealers allow things like this to happen.
There is nothing out there that can prove that TrueCar deserves to have a place in the marketplace. I was going to go out and see the operation for myself. But I realized I want nothing to ever do with them after TrueCar started submitting bogus leads with my information to their own dealers. I had 100s of dealers from NJ, PA, and even CA call me to follow up with me because they thought I was an internet lead. These leads came from TrueCar. A company that is supposed to be a partner in helping dealers sell more cars is not only hurting them by taking their data but it is wasting their employees time calling on bogus leads instead of focusing on the real leads that should be coming in. Come on dealers, wake up!!! How can you let this happen?