By Caroline Hollis, Director of OEM Programs, Dealer eProcess
Most manufacturers have some sort of OEM-recommended or mandated program for at the very least websites and digital marketing in order to be eligible for any type of co-op funds. Many programs also include additional items such as social reputation management, trade-in tools, chat, SEO, and lead management. While the degree of rules and regulations of these programs can vary, the main goal is to help dealers to maximize their presence online.
Although some OEMs have had requirements for website vendors for quite some time, over the past few years, numerous programs have been revamped, opening it up to new providers in what the industry has dubbed as “dealer’s choice.” While some may not see a program with restrictions on who can and cannot host their website (or digital marketing or chat) as a choice, there is a method behind the madness.
Some manufacturers are hiring companies such as Shift Digital or Internet Brands, while others are forming internal departments. These companies and departments then go out and find the best of the best in the areas that their respective brand believes matter most in the digital world. Through extensive research, proposals, and presentations, your providers are chosen and vetted with the expectation that they will carry out the guidelines and demands of the OEM.
The formation of these programs has helped the regions increase transparency into what is happening in this digital era. Field reps now have access to more data than ever to know exactly how a particular dealership is performing and how it compares to others within their region and beyond.
This has also brought transparency and accountability to vendors, especially in the digital marketing aspect. Vendors can no longer hide their management fees in a lump sum. There are certain KPIs, obviously varying by brand, that vendors are required to hit in order to keep partnership status. Some even require getting as granular as reporting on what type of media outlet money is spent on (Google, Facebook, YouTube, etc.) and what specifically is advertised such as new, CPO or fixed ops.
These programs have also been beneficial for dealerships with add-on products. Chat, trade-in tools or digital retailing products certified in these programs are required to integrate and report better to not only the OEM but the website vendors as well. Although many are still a frame-in of sorts, it is lessening the feeling of a “black hole” in data.
Many of these programs adopted an option for website creative services. These services vary in degree but offer items such as creating and uploading monthly banners to optimization by being an additional set of eyes on your website. A great benefit to choosing one of these services in program, as opposed to perhaps a local marketing agency, is that being a certified partner in an OEM program usually will ensure that you receive up-to-date offers, disclaimers, and images. These partners are aware first-hand of any changes in compliance and have access to the companies that do monthly audits.
The brands also want to feel confident that dealerships are following guidelines and rules. With a controlled group of vendors, OEMs can easier manage the look and feel of websites, from colors and fonts to verbiage and pricing display. These certified vendors are made aware of compliance items and have multiple checks in place to help make sure there are no fines or violations in your dealership’s future.
With all that said, there’s dealer personnel who feel that by forcing these vendors upon them, there is now no difference between them and the next dealership two towns over. Where is the competitive advantage? A large theory behind the creation of these programs is so that dealerships will discontinue creating competition within the brand and unite in tackling conquesting against competitive brands. Manufacturers no longer want to continually raise the cost of a click on Google within their own brand and with dealerships overlapping in territories. They would much rather have a dealership spend that money on display ads that show why the said dealership is better than a competing OEM down the street.
Once the certified website along with certified marketing and the added certified products to said certified website have launched, then what? Don’t just sit back and let the magic happen. Interact with these vendors!
It is understandable to have the mindset that since these vendors are getting paid, it should be their job to do the heavy lifting. And they should. But the best way to make the most out of these programs is to think of it as a partnership rather than hired help.
Make sure your dealership receives monthly reports and has meetings to address any concerns or questions that arise. Let the vendor know what’s going on in the dealership. For instance, was there a change in management? Was there a move to a new CRM? Does the dealership have an overstock in a particular model that needs help? These kinds of conversations are extremely beneficial for not only the vendor but the OEM and program regional reps as well.
Don’t be afraid of these program – mandated or not, they are here to help and aren’t going away any time soon. Most programs offer enrollments on a month-to-month basis so that dealerships do not get stuck to long-term contracts with vendors that don’t work out for them. Embrace the change, take advantage, and enroll today.
Learn more by attending “Digital Certified Programs & You: How to Get the Most Out of Your OEM Programs” (presented by Caroline Hollis and Monica Mueller of Dealer eProcess) at Digital Dealer 27 Conference & Expo (Aug. 19-21, 2019 in Las Vegas, NV).
About the Author
Caroline Hollis, director of OEM programs at Dealer eProcess, has more than seven years of experience in the automotive industry, with extensive knowledge in OEM programs. Throughout her time at Dealer eProcess, she has worked with numerous manufacturers and vendor partners on both the website and digital advertising sides of the OEM programs. Caroline has a vast knowledge of not only of each OEM program, but the compliance standards, co-opable funds, and the data and analytics behind each provider. She strives to help educate dealers on the preferred programs, and any news and upcoming advancements these programs provide.