Microblogging Drives the Evolution of Used Car Retailing

I admit that I’m a car guy; there’s nothing like a ride to help clear your mind and forget the drama of the workday. Several months ago I met Eric Miltsch, IT-Web Director for Auction Direct USA, a multi-state auto retailer focused on the used car segment. Eric was kind enough to share his thoughts and experience with micro blogging and how it’s helping to transform their engagement with customers.

Background

“Our unique selling proposition is communicated in a casual, yet professional way. We answer questions, share valuable information, and get instant consumer feedback about their experiences, habits and desires. Online car shoppers are looking for information without the fear of being aggressively sold something. They also have a powerful voice and aren’t afraid to use it when it comes to making a recommendation or comment.”

Twitter

JK: How did you get started with Twitter?
EM: Auction Direct USA discovered Twitter late in ‘07; however we didn’t start using it until early ‘08. Twitter needed to be tested to determine its worth. Our “A-ha” moment came once our follower base began to rapidly grow.  The positive feedback helped and the stats showed it was worth the effort.

JK: How are you using Twitter today?
EM: Twitter is one element within our unique online strategy. It lets us build depth to our social media reach by engaging new customer segments otherwise not tapped. We (try to) contribute valuable and relevant automotive items such as industry news, new blog articles and company specific updates. I feel it’s important to add the human element if we want to build any confidence – we’re not there to blindly sell product. The goal is to educate and inform the automotive consumer, while also getting their feedback. People are very willing to comment and review. I’ve asked for feedback on new design mock-ups and even conducted online polls.

I also use Twitter to share and contribute ideas. I’ve spoken with and met new people that I wouldn’t have had the opportunity to otherwise.

Innovation in Micro sharing and Engagement: Tweet and Greet

What caught my eye about Auction Direct was something called Tweet and Greet. I love the concept and how it uses Twitter to generate a common community interest.
JK: What type of results have you seen?
EM: I’m asking 10 simple car-related questions to get to know our followers better. The answers, and their feedback, are incredible; there’s so much detail. You can really learn a lot about people when you ask them about the vehicles in their life. It began by inviting 20 early followers to share their answers. I hoped for one or two replies. Nineteen people responded, some within minutes. I kept asking and they kept coming in, so I put up TweetandGreet.com. Once published, the individual posts are tweeted. Many even link back from their sites. The traffic to our used car blog and our used cars website is tracked very closely with analytics. Not only have I learned who our followers are and developed many new relationships, I’ve also learned from our followers. Most notably, we recently had our 100^th interview completed.

Measurement

JK: How do you intend to measure Twitter’s impact on your business?
EM: This isn’t meant to be a sales channel, Twitter is another communication channel for us. I’m still measuring the traffic to our website, blog and other online properties. The key factors are obviously traffic and conversions. Our conversion rates confirm its success so far as our conversion rates fill within industry expectations. However, I consider the comments, feedback, and relationships to be the most important factor in all of our online efforts, and that’s where the real impact is realized.

Lessons Learned Along the Way

JK: What advice would you give other companies that are thinking of using Twitter or something similar?
EM: The best lesson is to get started. I’m very happy we started when we did. It gave us a nice jump on our competition. I’m sure our follower count would rapidly drop if the value of our core messages also dropped. I wear my common sense hat and simply “Think Before I Tweet.” [Having the right person to deliver valuable content ranks high as well. Shameless plug.]

Essential Tools

JK: How do you manage the time spent on maintaining the account?
EM: Good question. Without a plan, one could lose days watching the public’s tweets. My list of must-have tools are:

• TweetDeck: Neatly organizes messages & groups making it possible to see items quickly.
• TwitterFeed: Automatically distributes new blog content and new inventory updates for our “Cool Whip of the Day” tweets. (Corny – but very well received.)
• TweetLater: Every follower receives a welcome message (I send a personal note as well).
• TweetBeep: Alerts notify us when specific keywords are mentioned.
• TwitterTise: Message scheduler with built in stats.
• FriendOrFollow: Manager your network by seeing who follows who doesn’t,
• TwitGrid: Track multiple keywords within custom grid views.

JK: Most importantly: That’s an RS4 in your twitter background, right?
EM: Ohh, so close. That’s an R8.

Summary

Do’h, so maybe I don’t know cars as well as I thought. What I do know, however, is Auction Direct USA’s understanding of micro blogging extends beyond Twitter and provides an example for other organizations to follow. It’s about engaging the community and storytelling; and it’s about creating an opportunity for customers to share their stories and be heard. How do you find the right story? Look at your organization’s focus and objectives. The rest is easy.

Jonathan Kash is Director of Web Services at a non-profit based in Washington, D.C., and writes the blog Fluent Simplicity. He also created the Social Media Brand Index (originally the Twitter Brand Index). Interests include brand identity, online reputation and strategy.

Tagged as: auction direct usa, auto retailers, eric miltsch, microblogging, Twitter