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AdAgencyOnline.Net’s Automotive Advertising Portal Reviews DealMaker.Com’s Online Transaction Application

Automotive advertising agencies have been forced to re-invent their roles in today’s troubled economy. An automotive advertising agency used to focus exclusively on the message and the media with little participation in the sales process in their auto dealer clients real or virtual showrooms. Given today’s need to improve the R.O.I. on their automotive advertising dollars auto dealers are demanding much more from their full service automotive advertising agencies.

Philip Zelinger, President of Ad Agency Online, L.L.C. and host of the FREE automotive advertising resource/networking portal - – will be interviewing Spencer Sterling, C.E.O. of DealMaker.Com and Brian Ferris, CIO of DealMaker.Com, on his blog talk radio show, “Automotive Advertising Experts” on Friday, July 18th between 12:00 Noon EST and 12:30 PM EST. The goal of the show is to help the affiliated automotive advertising agencies and auto industry site visitors of AdAgencyOnline.Net to expand their services and to better serve their auto dealer clients through the use of cutting edge Internet applications that promise to “blur the line between the real and the virtual showroom.”

According to Philip Zelinger, “The future of the “brick and mortar” dealership is at risk. At the very least, its role in the selling process must change as Internet technologies and applied automotive advertising applications mature. Huge investments in real estate, facilities and support staff are hard to justify when a virtual showroom can provide all of the information that a car shopper needs to make a decision for a fraction of the fixed expenses and variable operating costs of a real world auto dealership. Established wisdoms shared in the auto industry support the need for a real world service center and even a staging area for test drives but the initial shopping experience has already moved online with 85% plus of today’s car shoppers using the internet to first select a vehicle and then select an auto dealer to buy and service it from. DealMaker.Com is introducing a cutting edge automotive advertising application that will allow a virtual showroom to accommodate an online transaction with efficiencies superior to the real world selling process for both the buyer and the seller. The Internet has changed the automotive advertising industry and it is preparing to change the retail auto industry with the ability to replicate proven selling processes online that integrate seamlessly into established real world processes. The search for an online transaction tool has just reached critical mass due to shrinking margins in new and used car sales with increasing costs for auto dealers that are struggling to survive in a down market. DealMaker.Com is positioned to take advantage of a clearly defined need in the retail auto industry and AdAgencyOnline.Net is pleased to give them an opportunity to discuss their solution on our automotive advertising portal.”

Brian Ferris expanded on the diverse industry needs that helped him develop DealMaker.Com for the auto industry, “DealMaker.Com was founded in December 2000 to develop the MACDAX - a multi attribute CDA – self described as the world's first real-time electronic trading platform for heterogeneous commercial commodities. The MACDAX can execute an infinite number of pricing and configuration changes on-the-fly in real-time. Without these properties other markets lack liquidity and cannot improve the balance between supply and demand. The MACDAX is the first automated negotiation protocol (ANP) to surpass the limited efficiency of one-to-one negotiation, without compromise. Instead of trying to forecast future pricing trends by analyzing historic data, DealMaker's computers can capture the collective deal-making decisions of every trader in the market; to create a human grid of spontaneous market intelligence, published in real-time. Professional traders can haggle 'many-to-many' the price and configuration of complex multi variable commodities in a fraction of the time it takes to hammer out a deal in person. Non professionals can deal instantly at up-to-the-minute real-time market value. I first conceived this patented invention during my experience as an international derivatives trader, following 25 years serving the motor industry as a marketing systems developer and multiple brand factory distributors. It soon became apparent that by adopting the efficiencies of securities markets similar benefits could be applied to less homogeneous commercial markets – like the retail auto industry - and so the MACDAX was born.

The computer systems industry, the travel packaging industry and more specifically the motor industry and its automotive advertising agencies can be the greatest beneficiaries of the MACDAX. All of these industries have highly configurable commodities characterized by volatile pricing, driven by ever changing supply and demand with relatively small margins and high marketing and supply chain costs. The low cost and extensive reach of the Internet can create a unique and compelling opportunity to slash the cost of sales. Online marketing by manufacturers, dealers, and sales prospecting websites have grown exponentially over the past few years. Auto dealers have much more inventory to sell and banks and brokers have numerous well qualified prospects who want to buy, but matching available inventory to consumer demand is still a difficult and time consuming process. DealMaker is the real-time matching engine that turns search results into sales.

The traditional marketplace for many products is being rapidly displaced by the Internet. No longer can manufacturers ignore this highly efficient, low cost marketing channel. The auto industry is no exception. Automotive advertising agencies recognize that 80% of new car buyers now use the Internet as their primary source of information when shopping for a new automobile. Additionally, 20% of these buyers declare that they are likely or very likely to buy their next new car online. A further 51% indicate varying degrees of the same. Only 29% say they are not yet ready to buy online, mostly because they indicate that they were waiting for the same kinds of negotiation tools as found in the patented DealMaker technology. These are reliable conclusions consistent with a number of comprehensive surveys conducted over the past 10 years by some of the world’s largest and most respected automobile industry advisors and automotive advertising agencies. The trend line has been unmistakable and growing exponentially since 2001. For the past 5 years, while others might have been turning a blind eye to demand they cannot service, DealMaker could not be distracted. It takes very special technology to negotiate sales of heterogeneous commodities over the Internet, and DealMaker invented it.

It has been established that 78% + of target buyers that automotive advertising agencies are trying to reach search the Internet before they buy. DealMaker stores vast databases of every variation of every product available; plus a nationwide database of dealer inventory. The data is continuously uploaded to major search engines. Buyers searching the Internet can then find the exact specification they require, and in just 3 clicks they can place an order, or bid the market with complete anonynimity. DealMaker provides a Real-time Trading Platform where Buyers and Sellers can buy and sell immediately with no loss of momentum. All bids and offers can be seen by the whole market, so the best deals close first. All terms can be negotiated in the same transaction process, so there are no loose ends. Parties communicate directly to implement delivery, so there are no misunderstandings. The bottom line is that sales can be negotiated and consummated in real time on a virtual showroom with no high pressure sales tactics or misunderstandings to prevent a mutually acceptable transaction.”

AdAgencyOnline.Net is known as “The One Stop Site For All Of Your Automotive Advertising Needs” in the automotive advertising community and presenting applications like DealMaker.Com support that well earned reputation. Additional automotive advertising applications and auto industry vendors that have appeared on AdAgencyOnline.Net include LeadConverter, Laser Stream Video, Ai Dealer, Gumiyo, ADP, BZ Results, Kihon Media, NADA-24, eBay Motors, DrivingSales.Com, CarFolks.Com, SmartWomenBuyCars.Com, NeoSynergy, SiSTer Technologies – Video Car Lot, Reora, JL Media and Ad Agency Online as the full service automotive advertising agency that links them all together with their online communication and distribution system.

Automotive advertising agencies, auto industry vendors and auto dealers that would like to join the online automotive advertising community are invited to visit 24/7 or to contact Philip Zelinger directly at 1-888-796-2228 to discuss the past, present and future of automotive advertising. To quote Philip Zelinger, “Help is only a click away!”

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Tags: ADP, AdTel, Ai, Bz, Car, DealMaker.Com, Dealer, DrivingSales.Com, Kihon, Laser, More…LeadConverter, Lot, Media, Motors, NADA-24, NeoSynergy, Results, SiSTer, Stream, Technologies, Video, ad,, advertising, agency, auto, automotive, blog,, dealer, eBay, industry, online, philip, radio,, talk, zelinger


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Comment by Philip Zelinger on July 18, 2008 at 6:38pm
Thanks and of course I agree! People will always be in the mix. Please post your response to this blog on a similar forum I started on the role of online transactions and their impact on the future role of brick and mortar dealerships. You will notice that I, as well as some of the responses, agree with your points about the people needing to keep up with technology but we didn't state them as well as you did! I am sure that our fellow ADM members will appreciate your insights. After all, what are friends for!
Comment by Kim Clouse on July 18, 2008 at 6:27pm
I realize the industry is changing at a pace that even the Guru's can't phathom. I usually do not have much to say on trends and numerical studies but this is on the horizon. I can only say that I believe the American car buyer has an addiction now to this medium. We created the addiction with our careless ways, hiring people to just catch customers and offering no real training, the 4 square, the modified 4 square, on and on. Our customers lost their sales professionals. If you think back just 5-7 years, all of the true pro's who decided to hang it up or refused to learn even the fundamental processes they needed to keep their customer base are leaving. And some people who have never been trained or really care are replacing them. People started buying computers as the prices fell. More and more the next generation of buyers started teaching the last generation what to do. It was reverse peer pressure. The manufacturer's saw it coming but through greed thought they could bypass the dealer. The whole time dealers were left out backfired on us all and for the first time all consumers had the power. The reason what we are discussing here did not happen already is purely emotion. Computers have no emotion and every car buyer reacts to it.
I think this virtual world is great, but I also think that "professional salespeople" are missed and if more of them emerge into techno ability but use their old fashioned abc's with emotion they will outsell a computer program. When I first started at the GM store in my hometown, my Aunts came in for service and to visit me.
When they were ready to leave they stopped by their sales persons office with me in tow. I still remember how I felt when they told him not to worry, they would still buy from him. I had never been to their house at 10pm in the evening to clean their battery terminals, and neither will a computer. The difference is, they were never going to use a computer but all of their kids did. He refused to even let me teach him how to e-mail.
He has been selling over 35 years. Now retiring, he told me the other day what a mistake he had made. All of those kids and their friends bought elsewhere. How many of us will go out in the rain, or get up out of bed at midnight to help a customer? We just text the wrecker driver. I'm on the fence.
Comment by Philip Zelinger on July 18, 2008 at 4:36pm
Thanks Michael,

Please reply to the forum I posted today on the same subject and share some of your valued insights there as well! I am actively looking for applications to present on AdAgencyOnline.Net as well as for consideration by our affiliated automotive advertising agencies and auto dealer client so if you have something we should be considering please feel free to reference it. After all, what are friends for!
Comment by Michael Benavides on July 18, 2008 at 4:24pm
The ability for consumers to buy a car online is drawing ever closer, due in large part by their comfort with buying other commoditites online and the evolution of the technologies that will make this possible.

I believe that buying a new car online will be commonplace in just a few years. Moreover, I believe that consumers are more willing to transact in this manner than early polls suggest.

There are varying degrees of how complex these solutions will be. Some solution providers will be able to string together multiple transactions (custom-or-fixed vehicle configuration with pricing [fixed price or hybrid models w/ negotiation engines; plus applicable, regional factory customer & dealer incentives], detailed trade-in evaluations [estimates], loan/lease application w/ quick online approval, F&I upsell menus, and eventualy accessories) to form a cohesive-yet-simple, end-to-end selling system. Others may provide a piece of the puzzle and form partnerships with other third parties to complete the platform.

Some CRM & marketing companies who are already helping dealers target owners with equity and providing them with personalized offers to get them to trade-up to the new version of whatever they are driving have a perfect audience for online transactions.

Autodata Solutions has been actively partnering with solution providers who need the data, content and tools necessary to make this work. Some versions of this exist today, while next generation versions are are being beta-tested for 2009 retail.

Such tools also provide dealers to sell vehicles way outside their traditional markets, which could dramatically alter the dynamics of the franchise system and increase opportunities for brokers and third party auto sites. But I'll leave that topic for discussion on another day...

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