Video extends reach of dealerships
The use of video can extend the reach of a dealership by up to 65%, according to the latest research by CitNOW.
CitNOW analysed 2014 data from more than 10,500 new and used car customer records from a leading BMW dealer group and premium multi-franchise specialist, Harwoods Group.
Customers of the BMW group who received a video were willing to travel an average of 55% further than those who did not, upping the mean distance travelled from 23 to 36 miles.
Meanwhile, the Harwoods Group data showed an even greater reach, with customers considering Aston Martin, Bentley, Jaguar and Land Rover vehicles willing to travel 65% further if they viewed a personalised CitNOW video, with the average distance increasing from 36 to 59 miles.
Moreover, in cases where video was used as a sales tool, 88% of used car sales and 70% of new car sales at the BMW group were completed within four weeks of the video being produced.
Harwoods head of marketing, Brett Ward, is pushing for Video to be added into their current CRM systems so they can better understand how the use of Web and / or personalised videos help the User Experience on route to sale. ‘If we can understand this we can tailor our marketing better to offer videos on more targeted demographical information’, said Brett.
The research also showed that the average age of used cars being sold increased slightly with the use of video in the sales process. There is also a strong correlation between the duration of videos sent to customers and the distance they are willing to travel, with videos of between 90 and 120 seconds the most effective.
CitNOW sales director, Gordon Grant, said, ‘The new and used car sales market is a fiercely competitive environment and, with the changing ways in which customers are researching and buying cars, the pressure on dealerships is only going to increase.
‘It is important for dealers to arm themselves with as many tools as possible to achieve the cut through they need to flourish and forward-thinking dealer principals should be adopting anything that expands their customer base. Our research shows that using video as a tool does exactly that and can also speed the sales process along at the same time.’