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All ADM Blog Posts Tagged 'revenue' (42)

Want to Triple Recall Work in your Service Department?

Recall campaigns can easily be one of the most lucrative service opportunities. Sadly, however, most dealers only reach about a third of the potential recall customers in their area. This is because they simply comb through their DMS and any information received from the factory for owners in their PMA.…


Added by Chris Miller on September 16, 2015 at 5:30am — No Comments

Going the Extra Mile to Earn Customer Loyalty

With brand loyalty at its highest point ever, it’s time to take a new look at customer loyalty within your own dealership.

According to IHS Automotive, as of the first quarter 2015, the automotive industry is sitting on a ten-year high of 52.8 percent in brand loyalty -…


Added by Mike Gorun on August 4, 2015 at 4:00am — No Comments

Innovative Dealer Partners with Village to Increase Sales and Loyalty

According to an article in Automotive News, one dealer in Illinois has come up with a pretty ingenious loyalty rewards program idea – to leverage taxpayer dollars to increase car sales, while…


Added by Mike Gorun on July 28, 2015 at 5:30am — No Comments

Discounts: They Work But Can Do More Harm than Good

It’s no secret that dealerships have been in a crazy race to the bottom in terms of profit per vehicle. Consumers are always looking for the best deal and automotive Internet resources are providing them with more ammo to negotiate with. Dealers have been complaining for years about decreasing profit margins on…


Added by Mike Gorun on June 9, 2015 at 5:30am — No Comments

Car Buying Trends Show Service Is the Future of Dealerships

No one doubts the average age of vehicles on the road has gone up. The current average vehicle is 11 years old and trends in consumer purchases indicate this statistic isn’t going to change any time soon. In fact, indicators suggest average vehicle age might increase.



Added by Richard Holland on June 4, 2015 at 5:30am — No Comments

Using Recalls to Your Advantage

A recent article in Auto Remarketing reports how Penske Automotive Group is using recalls to increase their service business through recall work, but also as an opportunity to sell more vehicles. “I think recall business…


Added by Chris Miller on May 22, 2015 at 5:00am — No Comments

Dealer Currency Helps Grow Gross Revenue on Every Sale While Retaining Customers

I recently had the pleasure to work with a very innovative dealer who implemented the concept of “dealer currency” in his dealership with great success. Dealer currency allows you to eliminate cash discounts on sales (in both Variable & Fixed Ops) by instead issuing a form of “dealer dollars,” redeemable anywhere…


Added by Mike Gorun on May 20, 2015 at 5:00am — No Comments

When Will I See You Again?

When will I see you again? No, I am not talking about the 70’s pop song, although the lyrics just may fit the content here. I am talking about the continued trend in customer defections from our dealerships. 


Customer’s defect for many reasons and the longer an individual owns a car, the harder it can be…


Added by Mike Gorun on February 23, 2015 at 6:00am — No Comments

Why Sending Bad Emails Hurts Your Business

Way too often we see dealerships handing over databases to vendors to facilitate a mass email campaign to an entire unfiltered list of customers. Vendors certainly have a stake in larger email campaigns since the odds that a dealer obtains business from the campaign increases - due to sheer numbers. A…


Added by Scott T. Joseph on November 12, 2014 at 6:30am — No Comments

The Key to Increased Service Absorption Is Efficiency

Last week, Automotive News highlighted Redlands Auto Plaza, a Southern California dealership that is doing some pretty creative things within their service department to increase absorption.…


Added by Richard Holland on July 17, 2014 at 4:30am — 1 Comment

Stop Marketing to Ghosts! The Importance of Cleaning House

In a world filled with companies vying for consumer attention, many marketing agencies advise that making more noise is an efficient strategy.

Think about many dealerships’ sales strategies in handling customers who have actually expressed interest in a…


Added by Misti Miller on May 5, 2014 at 12:30pm — 6 Comments

Rewarding the Four Percent: Delta’s New Loyalty Strategy

Delta Airlines recently revamped its loyalty program changing how rewards are distributed to its customers.  In an article in Knowledge@Wharton, Peter Fader, Wharton Marketing Professor, applied the…


Added by Mike Gorun on March 25, 2014 at 7:31am — No Comments

New NHTSA Labels Present Challenges to Dealers

Warranty work is a large part of any service department’s revenue. The recent announcement by the NHTSA mandating manufacturers to use specific labeling on recall notices could prove to be very helpful to dealers; helping them get the work faster and at a lower cost. However, there are challenges…


Added by Richard Holland on March 6, 2014 at 7:30am — 1 Comment

Tesla Demonstrates How OEMs Could Cut Into Service Revenue

Everyone in the automotive industry is familiar with Tesla’s entry into the automotive retail business.

However, not as many realize that they’re simultaneously spotlighting innovative functionality that any manufacturer could use to make automotive service easier and more…


Added by Richard Holland on January 16, 2014 at 6:00am — 7 Comments

A Picture’s Worth a Thousand Words

When dealerships first started publishing web pages, I remember that many felt that it was not very important.

However, as many other dealers were doing it, they felt that they needed to as well. At first they were static, very basic websites, with very little information. Along came…


Added by Richard Holland on October 31, 2013 at 6:00am — 3 Comments

Automotive Case Study: How Flash Point Turns Social Media into ROI

Sometimes, it's hard to break the mold and try something new. Happily for us, we found one major automotive company that did just that. They canceled some traditional media and invested in one of our custom social sweeps to help support their Truck Event.

To some, it seemed crazy. Social media? For something other than branding? But…


Added by April Lee on July 19, 2013 at 4:00pm — 21 Comments

Is Your Service Department Your Red-Headed Stepchild?

There was a fascinating article in Automotive News which discussed a new trend that many dealers are adopting: placing their service departments at the front of their…


Added by Richard Holland on May 16, 2013 at 3:36am — No Comments

Utilize a Rewards Program to Increase Marketing ROI

98% of Customers Who Join a Rewards Program Provide an Email Address

Email Open Rates for Reward Members are 300% Higher Than Non-Members

Dealerships That Provide an Incentive for Customers to RETURN After a Visit Have a 20%…


Added by Mike Gorun on April 9, 2013 at 6:30am — 5 Comments

Build Loyalty with Five Metrics: #3—Service Visitation

Dealerships with the most effective loyalty programs drive results in five key areas: marketing responsiveness, sales-to-service conversion, service visitation, retail member spend and member repurchase intent.


This is the third blog in a five-part series where I explain how loyalty programs improve each of these metrics. Last week I touched on…


Added by Mike Gorun on May 2, 2012 at 11:52am — No Comments

Bridging the Multi-Billion Dollar Certification Gap

There is a huge ‘certification’ gap in our industry that represents a potential loss of billions of dollars by used car dealers.

Consider: over 35 million used cars were sold last year, but fewer than 2 million of them were certified by OEM-sponsored programs. This is a stunning fact given that consumers are willing to pay, on average, a 12-27% premium on a certified vehicle.

Let’s add the numbers up: the average cost of a used…


Added by Jeffrey Schwartz on December 12, 2011 at 8:09am — No Comments

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