There is a reason why working a database is called ‘data-mining.’ Worked properly, you’ll find golden sales opportunities right inside your own database. The average dealership, for example, has more than 15,000 unique prospects in their database. Combine those prospect numbers with studies that predict the average consumer will spend $50,000 on automotive purchases in the next five years (more than 12 million dollars worth of purchases each month during the period) and you get an idea of just how much gold we’re really talking about.

Yet the typical dealer only captures 10 percent of these opportunities. Why? The truth is many dealers don’t understand the value of the data contained in their DMS or how to use that data to their sales advantage.

To be sure, all customers in your database are not equal, but they can be segmented into logical categories for marketing purposes. Because of the flexibility of data, you can group your customers in a host of ways, such as price, vehicle make, or preferred add-on features. One less obvious (but clearly important) way to group your customers is by their shopping habits.

With that in mind, I’ve noted four categories that will help you to better understand the basic consumer types contained in your DMS, as well as how to view them based on the purchases they make and some suggested methods to motivate them:

•    Platinum: These are your most loyal customers. On average, they buy more vehicles from you than from anyone else and are willing to make great referrals. They visit your dealership often, for major as well as minor service needs and parts. In short, platinum customers are true believers with a high degree of both brand and dealer loyalty. Motivator: Although no special incentives are required, make sure they always know how much you appreciate their business. Never take this group for granted.

•    Gold: These customers are somewhat loyal. They return to your dealership for all major work to be performed on their vehicle because they trust your shop and they want to protect their investment. They go somewhere else for minor services such as an oil change or tire rotation because it’s cheaper or closer to home. Motivator: Consider an extra incentive, such as a discount, for choosing your shop to perform minor services.

•    Silver: This group is made up of new or first-time customers. They are fans of your dealership because of their purchase, but still need to be nurtured in order to build a long-term relationship of trust. They are protective about their new investment, so they tend to visit your dealership more often than either the platinum or gold customers. If communicated with thoughtfully and leveraged successfully, silver customers can offer your dealership multiple revenue opportunities. Motivator: These customers are great candidates for up-selling additional products.

•    Bronze: These customers are bargain hunters and therefore are very price or deal-sensitive. The only motivation they seem to have is getting a special deal; they have very little dealer or brand loyalty. That said, if you develop a strong customer relationship, you may convert a bronze to silver at any point in the lifecycle. Motivator: To bring these customers in, you need to rely on one-time, heavy incentives.

Implement, integrate, and automate.

As a dealer, you probably don’t have the time or the inclination to run queries against your database to identify buying habits. That is where a multi-channel marketing service comes in handy.

First, they can scrub your database, which is a critical initial step since providers have found that dealer databases are typically only 25 percent usable prior to cleansing. Second, they ensure that all contact information is current and that preferred contact methods are noted. Third, they integrate customer data from separate silos into one comprehensive view, bringing together data from your DMS and CRM systems. Finally, they run queries against the database to create group profiles and then help you market to these groups. Best of all, much of the work they do is automated.

Put your customer data to work.

Customer data is more than just a collection of bytes and bits stored in columns and rows. It is knowledge about your customers and the true value of knowing your customers is in knowing how to best communicate with them.

Certainly, you want to keep in touch with all your customers on a regular basis, whether sending them birthday cards or service reminders, perhaps inviting them to special events or alerting them to your newest products. If you know when, what, and how they buy, you stand a better chance of securing their next purchase.

When you make your data actionable, you turn the word ‘relationship’ into a verb and verbs make things happen.

Al Babbington is CEO of OneCommand, previously CallCommand. He can be reached by email at This e-mail address is being protected from spambots. You need JavaScript enabled to view it , call 877-999-9158, or visit www.optin.callcommand.com.

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