A Consumer Has Found
Your Dealership Through
A Smartphone Search:
Then What?
John Busby
Senior Vice President, Marchex Institute
September 23, 2014
So this is happening…
#DD17 @johnmbusby @marchex
2
What is the most common response to a mobile search?
Visit to a Web Site?
Filling out a Form?
Online purchase?
Visiting a dealer?
Going in-store?
#DD17 @johnmbusby @marchex
3
Actually, it is none of those.
#DD17 @johnmbusby @marchex
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In 2016, mobile search will produce 70 billion consumer
to business phone calls
Internet Call Volumes by Channel
70000
60000
50000
40000
Calls generated from
desktop search
30000
Calls from mobile search
20000
10000
0
2010
2011
2012
2013
2014
2015
2016
Source: BIA/Kelsey (2012)
#DD17 @johnmbusby @marchex
5
We know that most car buyers use search engines.
52%
Of car buyers see search
engines as the most important
source for vehicle research
#DD17 @johnmbusby @marchex
Source: Capgemini: Cars online 2014
6
And we know that searches are going mobile.
31%
Smartphone
38%
8%
10%
Tablet
61%
Desktop
Q4 2012
52%
48%
Of all searches for car
dealers are now coming
from mobile devices
Q4 2013
#DD17 @johnmbusby @marchex
Source: Google Internal Data, Easy Life Vertical Trends Report for Auto Dealers (Q4 2013)
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We know that mobile searches yield phone calls.
3:1
Mobile Calls
Mobile Forms
#DD17 @johnmbusby @marchex
Automotive News, “Dealer’s Phone Rings Again” July 21, 2014
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But what do we know beyond that?
http://bit.ly/marchexauto
#DD17 @johnmbusby @marchex
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First, at a high level we found that there are three types of
phone calls.
16%
Unanswered
71%
Product or
Service
Calls
13%
Non Product
or Service
Calls
#DD17 @johnmbusby @marchex
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What kinds of calls are not product or service calls?
13%
Personal
Job Inquiry
Wrong Number
Vendor
Voicemail
Unclear Intent
Non Product
or Service
Calls
#DD17 @johnmbusby @marchex
11
How about unanswered calls?
Non-Product Voicemail
Fax
Hold Time or
Ring Hang-up
4%
1%
7%
88%
Voicemail Phone Tree
Hang-up
#DD17 @johnmbusby @marchex
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Are they calling about a new car?
New Car
Other New Business
Used Car Sales
5%
9%
13%
19%
Parts
54%
Service
#DD17 @johnmbusby @marchex
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Calls can be a profit center for dealerships.
#DD17 @johnmbusby @marchex
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Product or service: How many produce appointments?
PoS Voicemail Message
Hours & Directions
3%1%
15%
Service
Not Offered
Follow-up
2%
52%
27%
Other Product
Inquiries
Sale or
Appointment
#DD17 @johnmbusby @marchex
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Ugh. In 60% of calls, an appointment was never tried.
29%
8%
63%
Customer
Service Rep
Never Mentioned
#DD17 @johnmbusby @marchex
Note: Based on data from 2014 auto campaign driven by Marchex Call Market Place.
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It’s even more dismal for sales-related calls.
6%
1%
4%
1%
confirmed appointment
no appointment but ready to buy
soft commitment - customer will call back
soft commitment - customer will stop by
soft commitment - rep tells customer to stop by
other
87%
N= 223
#DD17 @johnmbusby @marchex
Note: Based on data from 2014 auto campaign driven by Marchex Call Market Place.
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What we’ve observed as successful by analyzing calls to
dealerships.
1. Whenever a consumer inquires about store hours, provide
“next available appointment”.
2. Capture “drive-by” callers by offering promotional prices or
limited time offers.
3. Turn “research” calls into “why us” calls.
#DD17 @johnmbusby @marchex
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A few things we left out of the study…
http://bit.ly/marchexauto
#DD17 @johnmbusby @marchex
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Our data shows that Millennials and Generation X are
most predisposed to calling from digital and mobile ads.
More Than 64
0%
11%
55 to 64
0%
22%
45 to 54
0%
20%
35 to 44
0%
25%
Age
25 to 34
0%
Less Than 25
19%
3%
0%
5%
10%
15%
20%
25%
30%
 Over Index Against US Population
 Under Index Against US Population
 Most Over Indexed Segment Against US Population
#DD17 @johnmbusby @marchex
Sources: Marchex Data2014, more than 40,000+ calls. Neustar Element One
20
How did we collect the information for the paper?
Through Call DNA – conversational analytics.
21
For this study, it can show us the types of service calls.
#DD17 @johnmbusby @marchex
Note: Based on a random sample of 5,000+ calls from 2014 that were >45 seconds long.
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Or whether a brand or location is truly about giving
consumers the lowest price.
#DD17 @johnmbusby @marchex
Note: Based on a random sample of 6359 calls from Oct. 23 through Nov. 30 that were >45 seconds long.
23
Call DNA can also begin to show the effectiveness of
different digital marketing campaigns.
#DD17 @johnmbusby @marchex
Sources: 10,000+ calls from Sep-Nov 2013
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Or how often a consumer is mentioning a specific make or
model when calling a dealer.
Model mentions among
Model mentions among
new and used car calls
parts and service calls
#DD17 @johnmbusby @marchex
Sources: Marchex Data2014
25
Should auto dealers be getting coal in their stockings this
holiday season?
#DD17 @johnmbusby @marchex
Sources: Marchex Data2013
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Auto dealers did pretty well (all things considered).
#DD17 @johnmbusby @marchex
Sources: Marchex Data2013
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Marchex is a leading advertising technology company
focused on mobile and phone calls.
=
100K+ 400M+
Customer scale
Annual call
connections
CALLS
30
400/50%
Patents granted
& pending
Employees / % in Product
& Engineering roles
#DD17 @johnmbusby @marchex
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Marchex Call Analytics
Marchex Call Marketplace
The leader in measuring phone
calls from advertising
The leading mobile pay-per-call
advertising network
 +1,000 clients
 Hundreds of national brands
 400M annual Call connections
 100+ publisher sources
 30 patents granted or pending
 Proprietary Call Ad-Server and voice
search technology
 Leading in innovation, Clean Call, Call
Firewall, Dynamic Tracking, Call DNA,
Call Rescue.
 25% average conversion (sale) rate
 Rate per Qualified Call business model
 Rate per Call or Usage model (flexible)
#DD17 @johnmbusby @marchex
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Then What? - 18th Digital Dealer Conference & Exposition