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Bdc whys and hows march 2007
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Bdc whys and hows march 2007


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  • 1. Staffing for Online Sales Success Is a BDC Right for You? Kathy Kimmel,
  • 2. Welcome Phone lines are on mute Have a question? • Please hold your question until the Q&A period that follows the presentation • Enter your question in the lower right corner of the WebEx browser • Include your: Name Store Name State
  • 3. Your Host for Today’s Call Kathy Kimmel • National training manager for, consulting dealers on internet advertising and sales processes • Former BDC manager for two AutoNation Mercedes-Benz stores in Illinois • District sales and service representative at DaimlerChrysler for 10 years
  • 4. Agenda In today’s call, you’ll learn: • What is a BDC • How to determine if a BDC is right for you and what other options you may want to consider • The pitfalls to avoid in establishing a BDC • How to track results, measure success and refine processes
  • 5. What is a Business Development Center? BDC • Emerged in the mid- 1990s • Distinct telemarketing department • Responds to phone and email inquiries • Manages inbound and outbound phone calls to set, confirm and rebook appointments
  • 6. How are BDCs Used? BDC staff is trained in phone and email skills Call scripts and email templates provide for consistent, controlled customer interactions In addition to prospects and appointments, BDC staff can manage other customer interactions: • Unsold showroom traffic (UST) • Lease maturity • New model introductions and dealer events • Customers nearing time for repurchase • Customer satisfaction • Service reminders
  • 7. Why are BDCs Used? In an average showroom: • 75% of prospects are not asked their names • 97% of sales associates do not set an appointment • 98% of incoming call prospects who set an appointment do not show up
  • 8. Why are BDCs Used? BDCs help you to: • Consistently and effectively manage sales processes • Reach sales and marketing objectives • Manage prospects • Drive profitability and retain customers • Capture data to improve processes
  • 9. To BDC or Not to BDC? BDCs are not a one-size- fits-all solution There are many factors to consider Decision must be evaluated based on your store’s • Culture • Process • People • Sales goals • Available capital
  • 10. Weigh the Pros and Cons Pros: Cons: Staff has the skills to Must invest capital to get the appointment get started Performance is Need to hire trained highly monitored associates with a Longer customer new skill set communication Must create scripts/ Can reduce the templates, establish number of sales “steps to a call” associates Must have long-term commitment
  • 11. Establish BDC Objectives Typical objectives include: • Gather customer information • Schedule and keep appointments • Increase store traffic and sales • Manage prospects • Maintain customer relationships • Increase customer satisfaction
  • 12. Determine BDC Scope Evaluate what projects a BDC would manage • Will they get paid? • Should they send follow-up letters too? CSI • Increases shows • Should they send an email reminder too? Appointments • Sales must keep good notes • Sold/not delivered? UST • How will they be dispersed? • Are there templates? Email requests • What are your hours? • Is product knowledge required? Inbound calls
  • 13. Consider Upfront Investment Workspace for BDC Office for BDC manager Computers and high- speed internet access CRM system Telephones • Headsets • Monitoring equipment Toll-free numbers Automatic call distribution system
  • 14. Define BDC “Must Haves” Sales management must: Establish an operational budget Provide capital for network and store infrastructure Be committed to the BDC structure for at least 1 year Write scripts/set “steps to a call” Meet weekly with BDC and sales managers Create a process-oriented sales department that will track all prospects
  • 15. Establish Good BDC Communication Include BDC manager in weekly manager meetings Invite BDC manager or associates to attend weekly/daily sales meetings Keep BDC team informed on current incentives
  • 16. Determine BDC Staffing Needs Monthly sales BDC associates Up to 50 cars 1-2 51-100 cars 2-3 101-150 cars 3-5 151+ 5+
  • 17. BDC Staffing: What People Will You Need? The BDC manager role: • Manages BDC operations • Hires, motivates and develops BDC personnel • Maintains open interdepartmental communications Recommended skills: • Strong communication and interpersonal skills • Leadership • Automotive knowledge • Problem solving abilities • Call center management experience
  • 18. BDC Staffing: What People Will You Need? BDC associate role: • Manages inbound calls and internet prospects • Provides general information to car buyers while scheduling customer appointments • Manages outbound follow-up calls and emails Recommended skills: • Sales-focused and goal-oriented • Good phone voice and phone skills • Ability to quickly learn scripts, product information • Telemarketing, sales or performing arts background • Attention to detail and good follow-through
  • 19. BDC Staffing: Set the Pay Plan Start with your total compensation in mind Managers and associates are compensated based on: • Salary • Per appointment • Per sale • Customer satisfaction Also take into account: • Monthly incentives • Minimum requirements
  • 20. BDC Staffing: Provide Training Basic phone skills Scripts/“steps to a call” Personalizing templates Address prospect’s questions and concerns Overcoming objections Price requests Trade-in values Product knowledge
  • 21. Evaluate Your BDC Metrics Leads received vs. appointments made Appointments made vs. appointments kept Leads purchased vs. vehicles sold Lead source Number and percentage of sales generated from the BDC Average gross on BDC-generated sales vs. showroom team Customer satisfaction Calls per day
  • 22. Are You Getting the Most Out of Your BDC? Key questions to ask after implementation: • Is there really buy-in from all managers? • Do showroom and BDC processes align? • Are BDC associates consistently using appropriate email and phone processes? Are they consistently following up with car buyers? • Check your pay plan: Are BDC associates motivated to deliver results? • Check your staffing levels: Do you have too many or too few associates?
  • 23. BDC Alternatives
  • 24. Use Existing Sales Associates Sales associates assigned to the BDC on a preset schedule BDC manager reports to GM and monitors associates while working the BDC
  • 25. Weigh the Pros and Cons Pros: Cons: Equal opportunity for Sales associates prospects may lack phone and Requires no or few email skills additional people Accountability: Builds good work Difficult to track habits individual follow-up Easy to add other types of customer Sales associates calls/emails may not feel Ideal for smaller comfortable in this environment stores
  • 26. Establish an Internet Department Dedicated sales associates manage internet phone calls and emails Floor staff continues to manage walk-in traffic
  • 27. Weigh the Pros and Cons Pros: Cons: Ideal for larger Potential for conflict stores with additional with floor sales resources to associates dedicate Sales managers Best associates are don’t have time to dedicated fully manage Accountability: Easy customer to track follow-up for interactions internet prospects Associates become experts
  • 28. Outsource a BDC Third-party company provides call center facility, infrastructure and highly trained associates to manage incoming/outgoing phone calls and emails
  • 29. Weigh the Pros and Cons Pros: Cons: No capital costs Agents may lack Quick time-to-market automotive or Call center agents specific vehicle specialize in sales, knowledge customer retention Agents may not Cost control understand your Staffing flexibility brand Multi-lingual support Possible inability to Accountability monitor customer interactions
  • 30. Review A BDC may be a good option to help your store increase sales, more effectively manage prospects A BDC is not a one-size-fits-all solution Should you implement a BDC, you’ll need to set objectives and manage against those goals BDC alternatives may work better for your store, given your culture, processes and budget
  • 31. Register Now for Our Next Event The Secrets of Their Success Top Performing Dealers • What sales processes and online media mix do successful dealers use • When is the best time to respond to a lead • Why the internet plays an 20 0 6 increasingly important role in , Ap ril 13, Friday ET selling cars Noon : er at • How internet advertising R e g i st radvan brands your store and drives http://deale walk-in traffic
  • 32. Resources for Online Success DealerCenter • • DealerADvantage LIVE webinars Register for upcoming events Access event archives • DealerADvantage e-newsletter Subscribe to the monthly newsletter Get expert advice anytime with dozens of useful articles • Dealer solutions Check out the latest tools to maximize your online sales
  • 33. Questions & Further Discussion
  • 34. Thank You & Good Luck