Many businesses today still practice the traditional approach of transactional marketing, wherein a focus is made on increasing the amount of customer acquisition and individual sales. But in a world that is fast becoming more connected, emphasizing long-term customer engagement is a far better strategy than merely relying on short-term goals.
The value of relationship marketing then should not be underestimated. It is the creation of strategies that target customer satisfaction and retention, both of which are attained thanks to the following results of relationship marketing:
Decreased likelihood of customers switching to competitors: Customers who are not thoroughly satisfied with a business’s products and services are more likely to shop around. But a more beneficial relationship with the company encourages customers to become less price-sensitive, and instead key in on the value the company offers.
Free word of mouth promotions and referrals: Harvard Business Review introduced the concept of net promoter score in 2003. It describes how customers view the company’s performance and the likelihood of them referring the company to their friends. Strong relationships with clients are important in raising the net promoter score.
Minimized cost of acquisition: Because new customers are being brought in by satisfied clients, the costs of advertisements and marketing campaigns can be significantly reduced.
Jeff Lupient has spent most of his professional career in the automotive dealership industry, where he was able to hone many of his skills, including business development and sales. More articles on these subjects can be read on this blog.
Vehicles now are becoming more connected and software-driven than ever. And with the continuous progress of the Internet of Things (IoT), vehicles are seen to advance beyond having seamless links with smartphones, navigation or tracking, real-time traffic information, and other current technologies.
The following are some of the ways IoT can influence car manufacturers:
It can create additional revenue streams. It is said that by 2020, more than 250 million cars will be connected to the internet. This presents an opportunity for carmakers to open up new areas where they could rake in more revenue. For example, car owners are used to purchasing automotive devices, such as in-car entertainment, dash cams, or diagnostic tools, separately. But car manufacturers instead add such features to new models.
Carmakers might transition into technological companies. Deloitte University Press mentioned in a report on the future of car technology that, “Automakers fear that, should they lose control of the customer to software providers, cars could become commodity devices secondary to the software they run.” And IoT is fueling this trend. Thus, carmakers need to keep up by developing and improving their own technological capabilities, which is what Tesla has already started doing.
The arrival of commercial driverless cars is nearing. The necessary equipment needed for autonomous cars, such as sensors, laser-based radars, onboard computers, communication devices, and others, can be interconnected seamlessly because of IoT.
Jeff Lupient has skills and expertise in automotive retail sales, having worked in the industry since he was only 15 years old. For more insights about the automotive industry, follow this Facebook page.
Diversity in the automotive industry is symptomatic of an expanded consumer base. Apart from brand and model, car buyers are also looking at fuel consumption, hybrid structures, and other special features such as propulsion choices. The quality of demand gives little reason to think that the automotive industry isn’t holding up. In fact, it seems the car industry has been mimicking the smartphone market in that it seems to purvey new models at will.
Production reality is far more complex and protracted in relation to the general perception of the ease of model turnovers in the automotive industry. Consumers commonly fail to appreciate the tedious research preceding manufacture, as well as the unrelenting quality control and safety measures that have to be hurdled prior to a new model’s release. Massive car recalls are economically damaging, as global brands like Hyundai, Kia, and Subaru painfully found out. And when these happen, the public can’t help but entertain thoughts of shoddy and rushed manufacturing processes.
In the last seven years, car sales in the U.S. saw a 73 percent increase. The latest sales figures this year are hovering near 20 million, and with the country’s booming population, a boom is still in the offing.
This spike in demand will not lower expectations of trends. Consumers want hybrids and electric vehicles now, and manufacturers with previously questionable carbon footprint are pressured to please this side of the market. Other market caprices—-down to the upholstery for the luxury segment—-are set to make car manufacturers and distributors catch their breaths.
But the beauty of it all is that the industry seems to be coping well. For all those recalls, sales have always won out.
Jeff Lupient is the president and CEO of Lupient Automotive Group. Read more updates about the automotive industry by visiting this Twitter page.
In the modern workplace, one employee can be assigned with multiple responsibilities. While some people excel while juggling different projects at once, there are some who struggle with keeping all of their assignments on track. With this, multitaskers become valued employees because of their contribution to the workflow.
Multitaskers are not necessarily immune from stress or mistakes. However, they prove to their superiors and co-workers that they can hold their own even while overseeing office-related matters. These people are also efficient and organized, which gives them enough time to go through all their work without missing out on small, important details.
Efficient multitaskers also have a wide-range of skills that enable them to do more than one role for an endeavor. This puts them in an advantageous position in a team. Being a multitasker doesn’t mean having a specialty. Many of these workers usually start by specializing in one thing and gain more skills in the process.
Becoming a multitasker can be learned and practiced. Especially in this generation where people have access to different technologies, it is easier to absorb more skills. In the process of mastering the art of multitasking, workers would have to embrace organization skills that will help them become more capable and detailed with all their tasks.
A person who is learning how to multitask doesn’t need to jump into multiple responsibilities as soon as possible. He or she can start with two or three tasks, and when it becomes easier to manage, tasks can be increased gradually.
After holding various positions in sales, Jeff Lupient now heads the Lupient Automotive Group. Visit this blog for more information on the automotive industry.
Back in 2007, Jeff Lupient, an expert in automotive retail business, was given the task of running temporarily his family’s automotive dealership near Minneapolis after the store’s previous general manager left the company. Lupient was able to turn the dealership’s fortunes around by reducing fixed and semi-fixed costs significantly, to the tune of approximately $100,000.
His success was partly due to his decision to cross-train employees for multiple tasks. For instance, the store’s service cashier also directed the warranty repair operations.
Cross-training is a management tool that is often overlooked by business leaders, who fail to see how it can keep employees engaged in their jobs and turn in exemplary performances because their skills are developed even further.
For most employees, non-monetary incentives can serve as the greatest motivator. Cross-training them is a way for the organization to exhibit interest in the workers’ career growth and learning opportunities. Giving them expanded responsibilities can be the start for them to reach their potential in the industry.
Cross-training also results in cost-cutting. It is less costly to leverage internal talent and train employees in new skills than to recruit fresh candidates from outside the company. And when one or more workers cannot avoid taking a leave of absence, productivity is not sacrificed because their tasks are easily covered by their teammates.
Jeff Lupient currently serves as the president and CEO of the Lupient Automotive Group. After working every position and every job in the automotive retail business, he understands well both the plight of his employees and the complex process of running the business. Learn more about him and his industry by checking out this blog.