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How a former mortician cracked dealers' #1 profitability issue
Featuring Peter Duffy, Founder and CEO of Dealer Image Pro
Welcome to another edition of expert insights from the Car Dealership Guy Podcast, an episode recap that breaks down the high-level takeaways from the conversation.
In this episode, Peter Duffy, Founder and CEO of Dealer Image Pro, shares how a simple iPad app is saving dealers time and money. Peter is an entrepreneur who turned his photography hobby into a business venture, helping retailers boost sales through engaging images. He now uses cutting-edge technology to make the merchandising process faster and more efficient for the auto retail industry.
1. Before joining the automotive industry.
Peter worked in many professions before entering the car business. Growing up poor, he prioritized a career that would allow him to escape poverty easily, leading him to become a successful mortician. During a trip to Japan, Peter discovered he had a knack for photography and realized he could turn the hobby into a career.
While there were some early setbacks, Peter’s big break came when a forward-thinking dealer approached him looking for help as he had just built a photo studio for his storefront’s inventory. Over time, Peter found more dealers interested in the same thing, eventually leading him to found Dealer Image Pro.
2. Getting cars “retail ready.”
One of the biggest hurdles to selling cars is the time it takes to get vehicles to the market. The faster dealers can prep inventory, the more inventory they can sell, but multiple steps in the process can be time-consuming. Managers also have limited time to come up with their own solutions since they have to focus on running the dealership. The right technologies, however, can easily empower retailers to boost efficiency and speed.
3. Why technology is paramount.
Dealers have two reasons for using technology to make the photography process faster. The first is consistency, which can make a massive difference in consumer trust and the buyer experience. The second is simplicity: an app can generate results based on the dealer’s input without having to worry about the personal interpretations of the photographer or editor.
4. The importance of visual communication.
Dealers should consistently shop on their own websites to test the user experience and identify areas that need improvement. The most important thing to pay attention to is visual communication. Customers don’t want to call dealers until they know what vehicle they’re interested in and whether the store has that model in inventory. Dealership websites have to convey that information visually in order to drive sales.
“If you’re not giving them everything they need, and a competitor is with the same car…if the other dealership is giving them what they need to make the call and you are not, then you’re losing out.”
CDK Global - Empowering dealers with the tools and technology to build deeper customer relationships. Learn more at cdkglobal.com/dealership-xperience-platform.
Car Wars – Car Wars is the trusted partner for discerning dealerships in the Automotive Retail Industry, offering premium call tracking, texting, and phone solutions. Visit carguymedia.com/cw to learn more.
Dealer Image Pro – Picture this: a streamlined merchandising process providing high-quality online content seven days a week. Say goodbye to the days of waiting around and hello to a faster, more efficient way to showcase your inventory. Learn more at dealerimagepro.com.
5. Best practices for website design and photo composition.
Clean backgrounds are typically best for boosting consumer engagement on dealership websites. This helps to focus attention on the vehicle and makes it easier for users to see smaller details that will help inform their decision.
6. How to train photographers.
Peter trains photographers at each client storefront to use the Dealer Image Pro platform so that every dealership is working with the best practices in place, removing the guesswork for managers. The company works with roughly 145 dealers through Group 1’s Acceleride. While none of the photographers at each storefront know each other, they have all received the same level of training and have the same level of expertise, allowing Acceleride’s listings to appear consistent.
7. Reducing holding costs.
Assuming it takes them 12 days to bring a car to market, dealers spend roughly $480 per unit on holding costs before they actually put the vehicle on sale. Using tech, vendors and best practices can reduce the number of days needed to bring cars to market, saving retailers massive sums of money and letting them speed up their process.
8. Car buyers and leads.
Consumers want to get through the car buying process as fast as possible and want to keep their communication with dealer staff to a minimum. This is why so many do their research online before going to the dealership: this allows them to determine the best store to go to without wasting time shopping at different locations. Because of this, dealers need to treat each lead, especially calls, as a golden opportunity. This is a far cry from the auto industry of the past, where more customers shopped around at different storefronts, and calls were more common.
Being aware that a customer who calls or walks into a store has already determined where they’re going to buy their next vehicle can help dealers make the most of their leads and drive more sales.
9. The future of vehicle merchandising.
Merchandising is evolving thanks to technology, but not as fast as one might think. Many wondered if artificial intelligence and virtual reality could transform the face of dealership product images, allowing customers to experience the interior and exterior of vehicles without having to go to a showroom, but Peter explains that the tech still isn’t quite accessible enough. Dealer Image Pro actually developed an A.I. feature for its app so that users could have access to intuitive composition ideas.
However, the feature was so energy intensive that it sucked the battery life out of user devices, forcing the company to take a step back and figure out a different way to achieve its goals. However, A.I. is still having an impact on the retail auto space. Dealers are building fewer studios due to the rise of tools that can create photo backgrounds from scratch.
10. Closing thoughts.
Different products require different kinds of sales languages. This is something Peter has learned firsthand as he has transitioned Dealer Image Pro to support motorsports dealers as well.
You need to hire good salespeople that speak the language. Passenger car people don’t speak boat, and boat people don’t speak motorsport.”
Going forward, Peter plans to continue making Dealer Image Pro more accessible for different kinds of mobility products and learning the language of different industries.
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