Don't be a dodo!

The sorry tale of the dodo, the large flightless bird that once roamed the island of Mauritius, reminds us how quickly the world can change. Unable to adapt to handle the sudden threats from man and other invasive species, along with the destruction of its habitat, the dodo was extinct within a few decades.

The principles of evolution apply as much to business as they do to nature. Businesses which are unable or reluctant to adapt to a rapidly changing environment could also face extinction. Examples abound of companies being impacted by change. Remember Blockbuster, the video rental company? Peaking at 9,000 stores in 2004, it fell into administration only nine years later. Why? Technological advancement. Why would you rent a video or DVD when you could just stream it through Netflix or Amazon Prime? What about the Blackberry, once the go-to device for corporate users. The launch of the iPhone and Google’s android platform changed the competitive landscape entirely, but the makers of the Blackberry failed to adapt, not seeing the threat to its market. The result? Blackberry lost substantial market share in a short space of time.

What can the automotive industry learn from these examples?

Be aware of the competitor landscape and the latest trends

The world is changing rapidly as it becomes increasingly digital. Look at new market entrants, Cazoo and Cinch, who are increasingly disrupting the industry. Before the pandemic, physical visits dominated sales enquires. During lockdown, online and telephone enquires took over, as customers adapted their habits. In person enquires are now leading again, but not by as much as they did pre pandemic, reflecting a permanent change in shopper habits. We should view this as an opportunity, not a threat. It’s all about embracing change, not running from it.

These industry changes highlight that the basic rules of selling still apply, perhaps now more than ever. JudgeService’s research shows there is a positive correlation between a customer’s experience and the likelihood that they will make a purchase. A greater focus on the key touch points in a customer’s sales journey, from the first interaction onwards, can have a marked impact on the customer becoming that all-important net promoter. The better the experience, the quicker the sale.

JudgeService also measured the impact of upselling on customer satisfaction. Offering additional packages such as a service plan enhanced the customer experience and represented additional sales, a win-win situation.

What can we take away from this?

Don’t be a dodo!

• Monitor and assess changes in the commercial environment and your competitors, including new market entrants.
• Adapt and evolve your business accordingly. That way it will be your competitors that go extinct!
• First impressions count when it comes to creating satisfied customers and delivering sales.
• Omnichannel retailing is an opportunity, increasing the number of touchpoints with customers and providing a more rounded service than that offered by online market entrants.
• The basic principles of selling still apply! Welcoming, attentive and well—trained salespeople remain key to your success!
• Upselling is good for business, increasing customer satisfaction whilst at the same time generating additional turnover.
• A sale should be the start of a long relationship with a customer, continuing with the next service.

Sound interesting? Check out the Driving Digital presentation here: event-downloads/

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