Leveraging Data to Increase Car Sales

Summary

Believing in the value of predictive analytics back in 2015, Jim Norton Toyota hired one of the leading providers of data mining technology for the automobile industry. In time, the dealership realized that it’s not just a set of numbers – it’s HOW the data is leveraged – is what transforms high-level prospects into highly profitable buyers. So, the store looked for a data provider that offers meaningful and actionable insights and selected automotiveMastermind (Mastermind) as its new data-driven technology and marketing partner.

About

Over the last few years, the Oklahoma dealership has ranked #18-20 among 157 Gulf States Toyota stores. It has maintained this level of success by serving its customers’ complete vehicle needs.

Michael Rentschler General Manager Jim Norton Toyota

Challenge

A two-year, listless relationship with its data mining firm was described by store management as “fine, but not a full package.” Jim Norton Toyota wanted more: “A way to make predictive analytics productive and profitable.”

The Solution

An active partnership between Jim Norton Toyota and Mastermind has transformed the store’s selling process, and bottom line, in just two months.

Michael Rentschler, General Manager at Jim Norton Toyota, is pleased:

“I rate automotiveMastermind a ‘10’ for simplicity – how user-friendly it is. I love predictive analytics, and Mastermind delivers on the spot what used to take me hours to do on my own. Seeing their simple dashboard was a WOW factor! Plus, the Management dashboard makes it easy for me to integrate Mastermind as part of my daily sales meeting.”

The Result

Mastermind brought an innovative combination of predictive analytics and marketing automation technology that changed the dealership’s game in a number of winning ways:

In May 2017, Jim Norton Toyota started using Mastermind predictive marketing technology to precisely predict car buying behavior and to automate the creation of personalized, micro-targeted consumer communications. The unique communications sales platform can develop and deliver a customized marketing mix of at every touch point and stage in the consumer buying journey through telemarketing, email, direct mail, mobile, and POS.
In May 2017, the store’s email open rate hit 46% (almost double the industry average of 27%). The click-through rate reached 35% (over 10X the industry average of 3.3%).
The dealership sold 40-50 cars in May as a result of Mastermind – twice the 20-30 that were attributable to the prior data company. The sales team increased it productivity 100%!
The cost per sale spent on marketing was $222 versus an industry average of $650*
ROI was a phenomenal 18X.
May 2017 sales were up 20% versus May 2016 – much of it attributed Mastermind using big data to provide actionable insights.
The dealership’s sales ranking for Gulf States stores climbed to #10 from recent years up significantly since the end of 2014 which was a 30 – again attributed in part to Mastermind.
General Manager Michael Rentschler calls automotiveMastermind the “Best tool out there,”and he has praise for Mastermind Account Manager, Stephen Bethke: “Steve is fantastic. A great partner and consultant. He’s always here when we need him!”

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