Archive for the 'marketing' tag

I’ve created this post for the purpose of insuring that as long as OEM’s and other sources of supply in the motorcycle and powersports industry continue to create and enforce M.A.P. (minimum advertised price) policies (thus creating what are essentially price fixing scenarios) that all violators are treated the same.

It’s the “action” arm of my lengthy post on my take on MAP in general that you can read here.

The goal here is to make sure large retailers and small retailers are all being held to the same standard when it comes to MAP.

So, when you see a violation of MAP anywhere (email, print, website, eBay, Amazon, Google products feeds, etc.) in addition to following the policy of the OEM and reporting the violation to them, report it here as well so everyone can see it. Simply use the comments at the bottom of the page. You don’t need to use your real name to leave a post. I’ll be moderating the comments to eliminate spam, but that’s it. I take ZERO responsibility as to the accuracy of the MAP violation claim. I have no idea if the items actually violate any given OEM’s MAP policy. That’s for the OEM to decide.

The OEM’s with MAP are more than welcome to post their responses to MAP violation claims here as well. As are the offending retailers.

When the offending retailer has made the change to their site, etc. please update the comment section. Likewise, if after reporting the violation to the OEM/Disti you don’t see the retailer being forced to toe the MAP line make that clear as well.

Hopefully by having this fully open and transparent discussion of MAP and all of its tangential issues we can work to create a more fair, competitive, and vibrant powersports market.

Holding my breath…. NOW!

Tags:E-Commerce, ecommerce, internet, MAP, marketing, minimum-advertised-price, motorcycle, Motorcycle Advertising, powersports, selling-online

Welcome to 2010! I want to kick off this year with a column about selling online, but selling someplace else other than your own website. This is something that you can engage in even if you’re not directly engaged in full-blown e-commerce on your dealership’s primary website.

What I’m talking about is taking advantage of things like e-commerce applications on social networking sites like Facebook and other “widgets” that you can embed in blogs or forums.

The first example I’ll point out is a company called Payvment [http://www.payvment.com/] that has a nifty little storefront application for Facebook.

In order for this to work you’ll need to have a Facebook fan page set up for your dealership. You simply install the application on your page, set up the look at feel of the storefront using the tools that Payvement gives you, enter in some information about your shop, and then start loading products. (Obviously there’s more detailed steps involved and Payvment’s site provides all the details).

I’d recommend experimenting at first and a load a small selection (around 10) of products that are impulse buy, gift, general interest type of products. You’ll want to keep in mind that Facebook is not really a shopping destination, and typically you’ll want to focus on the interaction and social networking aspect of Facebook and keep the sales pitches to a minimum. But since it is a fan page, I see it as a great way to sell things like t-shirts, hats, and other items branded with your shop’s logo, or the brands that you carry.

Considering that Payvement is totally free to use right now, there’s really no reason to not give it a try and see if there’s a sensible way for you to fit it into the overall online activities.

One dealership that has begun experimenting with Payvment is Ducati Seattle [http://tinyurl.com/ykppl42]. What’s interesting about the fact that they have this e-commerce application running on Facebook is that they don’t even have any e-commerce on their primary dealership website!

Ducati Seattle’s Cindy Wallace is in charge of the Facebook storefront as well as their eBay store where they focus on selling crash damage take-offs, excess & obsolete, etc. Cindy told me that based on a combination of factors (strong local community support & involvement in the shop, etc.) Ducati Seattle has made the decision to not have a full-blown e-commerce operation. “People prefer to come into the shop to buy things where they can actually see them and to see other people there as well.”

But that doesn’t mean that they are not active online in other ways. Based on leadership by Ducati Seattle’s owner David Roosevelt they have made a decision to be very involved in social media like Facebook. Considering that they have over 1,200 fans on their Facebook page it makes sense that they are giving the Payvement application a test ride.

Another Facebook application for selling products from within your Facebook page is Nimbit MyStore for Facebook [http://tinyurl.com/yzvdzxh]. Nimbit seems to be going more for the rock band trying to sell merchandise angle (so they offer features like the ability to sell tickets or downloadable music), but I don’t see why you couldn’t use it to sell merchandise for your shop. Nimbit has several offerings that range from free to about twenty bucks a month.

Moving away from Facebook, I want to point out that there’s a growing number of widgets that allow you to place shopping experiences on more content-centered (as opposed to shopping-centered) websites and pages. A widget is a small bit of code that you embed in a webpage that provides a little area or box where something shows up that gives people information (weather, race results, etc.) or in our case a product display with the ability to buy it right there.

These widgets allow what I call contextual commerce. Where you can offer products that go along with the content the visitor is reading about. Writing a post in your blog about how to bleed the brakes? Why not have a widget in the side bar selling brake fluid, brake bleeders, pads, etc?

There’s quite a few people playing in this widget area out there. Here’s a few leads to get you started: BlinkCart [http://www.blinkcart.com/], Shopit [http://www.shopit.com/], CartFly [http://www.cartfly.com/], and Amazon [https://widgets.amazon.com/] even has widgets that let you sell products they offer (or that you have loaded as an Amazon merchant) on your site.

Check out Widgetbox (a clearinghouse of all things widget) as well and check out the ecommerce tag http://www.widgetbox.com/tag/ecommerce. Finally, of course, you can always Google “e-commerce widgets” to track down more of the latest and greatest as developers keep the wheels of progress humming along.

Having a storefront on Facebook or an e-commmerce widget on your blog is most likely not going to be a silver bullet in terms of generating a huge amount of extra revenue. A lot of this has to do with the fact that most people out there are not in the shopping mood when they are on a social site like Facebook. However, having a good selection of impulse purchase products and gifty items makes a lot of sense. It gives you a chance to have a few more hooks in the water in terms of selling things and it keeps you abreast of what’s going on in the world of e-commerce technology and off-site merchandising.

If you give this a try, please let me know how it works for you!

Tags:Column, contextual commerce, DealerNews, dealerships, E-Commerce, ecommerce, internet, marketing, Merchandising, motorcycle, powersports, selling-online, social marketing, social media, social-networking

I’m writing this post to insure that there’s complete transparency regarding my involvement with 50 Below. I’m pretty sure that some of you, either with some encouragement from one of 50 Below’s competitors, or on your own, are going to wonder what the nature of this relationship is.

I don’t want there to be any confusion or misunderstanding about why I’m doing this. I want you Dear Reader to be 100% clear about what the deal is. And because of that, I hope you will respect my position and my conclusion. If at any point in the future anything changes I will be equally clear.

No, This little missive is not brief. It’s not a bunch of key concepts organized in bullet points. You’re going to probably want to carve out a chunk of time to read it, but damnit, it’s my site and it’s one of the few places I can do whatever the hell I want! It’s a blog and I like to rant! And I’m writing a lot of it on an airplane flying back home from Duluth so I’ve got time to burn.

Also, I don’t have an editor anywhere around here so I’m sure there’s a lot of really bad writing in here as well. Also (see?! two sentences in a row that start with also!), because this is my point of view and not officially a statement from 50 Below, I’m going to be pretty direct so there’s not a lot of ambiguity.

On with the show…

As some of you may have noticed, I’ve placed an advertisement on my blog here for 50 Below. In addition, you need to know that I have entered into a co-marketing partnership with 50 Below to help promote, and more importantly, develop, their range of solutions for the motorcycle and powersports industries.

If you’re a long-time reader of my random thoughts and rants in Dealernews or here on this site (Congratulations! You’re among a very small, and elite group of people!), you should be saying to yourself, “Self: but I thought Todd has said repeatedly in his columns and in his Indy presentations that all of those turn-key, 3rd party website providers were to be avoided if at all possible.” (Actually, to be honest, I’ve said they were all crap) And yes, when those things were written or spoken it was, in my rather well-informed opinion, true.

I fully stand behind the fact that when I expressed those views that if a dealership was committed to really taking on things like e-commerce or using their web presence as a cornerstone of their marketing strategy that the only honest advise I could give was to take it on and build something unique, bespoke, custom… Expensive.

That was before I began a project for A&S Powersports, the dealership that I am, at the time of this writing, responsible for the development and operation of their websites.

I’m pleased to say that now, for like 98% of you, when you ask me what you need to do to get online and really take it on, instead of of a 16 page proposal that had a ton of bullet points and would require you to spend a lot of money, my advise boils down to the following three points:

1. Sign up with 50 Below (load it up… get EZ-Shop, Shop by fitment, and when they launch some of the cool-as-hell stuff that I’ve seen this week, whatever it costs, you’ll need that too…)
2. Have someone that is at least full-time to really take it on that has the competence and ability to make the most of it. You don’t have a service department without a Service Manager do you? How about a sales department with no Sales Manager? Parts department with no Parts Manager? Nope. Nope. And…… Nope. So why would you have a line of your business that has more potential for revenue than all three combined (and right now, without exaggeration, that potential exists) without at least one person dedicated to it full time?
   Would you buy a new box of tools from the Snap-On guy, roll a bike in front of it and then get pissed because when you came back at the end of the month the bike still doesn’t run?
3. Hire me as an obscenely high-priced consultant to really show you how to make enough money so that you can sleep on a bed of $100 bills with three or four MotoGP Umbrella Girls.

(Step #3 is optional, but highly recommended)

Anyway on with the main story…

Over the years, A&S had one primary website, www.ascycles.com. This site was doing double duty as a successful dealership-based e-commerce operation, and our “dealership” website. So whenever we needed to communicate something like an event, or a vehicle financing special, it had to go onto a site that was generating significant e-commerce revenue from PG&A sales to BMW riders all over the country. This meant “giving up” things like screen real estate, navigation areas etc. for locally oriented purposes at the expense of direct revenue generation via e-commerce (promotion space, merchandising, etc.).

At the beginning of this year A&S took on Ducati and created a new line of business, A&S Ducati. This was going to require some shuffling around and thinking about what I was going to do in terms of site organization.

I made the decision that:

• the site www.ascycles.com should remain focused on BMW Motorcycle e-commerce
• there should be a new dedicated Ducati e-commerce site (www.ducati-motorcycle-parts.com (I can’t believe that in 2009 that this prime, SEO worthy domain was available!)
• I should create two new sites for local dealership activities (vehicle information, lead generation, local community activities, etc.).

I had some key goals or constraints for these two new dealer sites:

1) They had to be easily maintainable directly by A&S sales and marketing staff. I had zero desire, interest, or time to do things like put up new graphics or change content on these sites. So there needed to be some kind of easy-to-use content management system.

I could custom develop a site around a content management system (CMS) platform like Wordpress or maybe suck it up and go with one of those 3rd party, turn-key sites that focus on the powersports industry. At this point in the process, you need to read that last part with a sneer of disdain bordering on disgust. Remember, I still didn’t like any of them.

2) I wanted a system that automagically had things like vehicle specs and OEM promotions just show up on the site. Well, that obviously ruled out building a custom site on a CMS and pretty much forced me to at least consider one of the three players in this space.

So I wrote up an extensive evaluation questionnaire similar to the one Arlo did for Dealernews. No, you can’t see my questionnaire because I did it as part of my day job for A&S, but Arlo’s is a pretty good representation of what I was asking.

I was going to grill the hell out of these guys and if they couldn’t handle it then maybe I’d have to go the custom route.

So I wrote up the questions, emailed them to each of the vendors, had them fill them out and then scheduled the follow up interviews.

Now I want to be very clear here. I was asking questions to a detail and a level that I’m 100% sure that none of you ask. How do I know that? Because all three told me that. They all said that I was asking stuff that they had never had any dealer ask them.

Because of my years, and years, and years in the software sales industry before I came to the powersports market, I know how to get through the smokescreens, the fake demos, the hand-waving, etc. I was a sales engineer during the dot-com days. I know how to rig a demo. Therefore I know how to spot a rigged game.

And remember, I was looking to spend real money for the dealership where I worked on not one, but two sites. I don’t take my job lightly. I’m obsessive to the point of being a pain in the ass. But I’m pretty good at what I do so I consider it a fair trade.

Also keep in mind that I was sort of throwing my weight in as somewhat of an expert in the motorcycle and powersports industry when I was asking these questions. As in, “You know who I am right? You know, if I end up picking you that means that I’m going against my past stand against a turn-key site and that might be potentially valuable for your company… Right?”

I’m kind of like the male version of Paris Hilton when it comes to the internet in this industry except I don’t carry around an ugly rat-dog and I make a lot, lot, lot less money.

And I’m not as hot.
Or as skinny.

OK… Maybe I’m more like Oprah.

But male.
And white.
And thinner…
And much, much, much poorer.

Anyway… I was being very clear that:

1. I don’t want to use any of you
2. If you impress me, I’m going to be very vocal about it
3. I’m 90% sure that you’re not going to impress me
4. It’s worth your effort to try to impress me

So onto the results:

Company A:

To sum up Company A in powersports terms, they are the equivalent of an inexpensive Chinese motorcycle. It’s cheap, and yea, it technically qualifies as as a motorcycle, but I would never buy one or ride on one or let a friend buy one. And it’s sure as heck not going to win you any races.

• They pretty much refused to offer much of anything in the way of a written response to my RFQ questionnaire so it fell to a phone call.
• On the initial phone call I went though the answers with a salesperson that I’m pretty sure had just turned on a computer for the very first time a day or two before we talked. They were totally clueless about everything. They finally admitted they were new (why would they have a brand new sales person talk to someone like me?! What were they thinking?!) and they were going to get their boss involved. That was probably a mistake.
• “The Boss” was one of the most unpleasant people I have ever had to deal in a sales/customer interaction in recent memory. And they were pretty clueless as well. On several occasions their initial response to a question was something along the lines of “Why do you need to know that?” Because maybe I’d like to know as much as I can about the platform I’m going to invest a big chunk of money in and depend on as a significant part of my business’s future success. How’s that for a reason? Good grief… Sales training anyone?
• So in addition to the general unpleasant feeling about the call, the solution was so horrible that I pretty much stopped writing down answers on my notes and tried to get off the phone as quickly as possible.
• Well, they do have pretty good micro-fiche solutions. I think they should go back to focusing on that, hand off all their customers to 50 Below and just move on. But that’s just me.

Company A’s verdict… Immediate and total FAIL!

Company B:

In powersports terms, Company B is a 1996 Virago. It might have been an adequate bike for the time, but it’s 2009 for Pete’s sake! A new coat of paint and new tires are not enough to let it compete in the modern marketplace!

• Dated platform. They have not made, nor do they seem to be interested in making any significant or necessary advancements or improvements to their products in several years.
• Pretty much without exception, every one of the sites I’ve ever seen that is based on their platform is ugly. Not just ugly based on 2009 standards, but most of these sites would have been ugly back in 1998 when people still thought that the <blink> tag was cool. I know, because when I judged the top websites for the 2009 Indy show, I had to suffer through reviewing like 90 of them. The good news is I could identify them before the header graphic had even loaded so I didn’t have to suffer long before I moved on to the next one.
  While I can’t fault you dealers for not being graphic designers, or knowing anything about how to design a website that enhances your brand image, you’d think that the largest supplier of websites to the powersports industry would have a frickin clue and hire someone that had more artistic and design background than painting portraits of Elvis on black velvet at the country fair.
• Horrible, horrible shopping experience. Face it… Customers do… not… shop… by… distributor… catalog…! A customer for a motorcycle jacket does not care or know who Tucker Rocky is! Sure, they know Parts Unlimited because their banners are all over the race track, but I’d say less than 1% of your customers has a clue what Parts Unlimited actually does. And they sure as hell don’t want to search through those catalogs for something like a jacket, sprocket, tire, or helmet.
• You’re locked into a long term contract. You are required to sign a one year contract with an non-optional auto-renew clause. No way! I’m not getting locked into anything as important as my website’s platform. Things change in our industry and on the web too quickly to run the risk of missing a significant opportunity to do the right thing for my business because I’m tied to an agreement that is not in my best interest. Seriously, what do they think they are…? A cell phone company?
• Very poor customer service. When I used them on a limited basis for a dealership I was trying to help out (to the point that I wrote several strongly worded e-mails about the issue to their parent company’s upper management) I basically got an “oh… so sorry…” response. I (and by extension Company B’s customer) never did get answers to my questions.
• Very expensive. When all the bells and whistles are turned on to get it to come close to what 50 Below offers when all their bells and whistles are turned on they were almost $10,000 more expensive than 50 Below over a year for both sites. And that’s with, in my opinion, an inferior product and much worse service.
  You’d think that if anyone could get a discount it would be me so they’d have a pretty good reference account… Nope… It’s not until now, in a down market with an obviously inferior product are they offering any discounts to try to shore up customers that are finally realizing that they’ve been overpaying for years. If you happen to have been a customer of Company B, and they offer you a discount going forward, make sure that you ask if you can get that discount back-dated for all those years they were over charging you.
• Here’s a real shocker… The person that I talked to on the phone, a guy that I’ve met at a few Indy shows and you would think would obviously know that there’s a fair chance that I’ll talk to people about our conversation, didn’t hesitate to take advantage of opportunities to totally rip apart the parent company that had just spent an obscene amount of money to acquire them. So here’s an executive at the company ripping apart his parent company to a potential, and somewhat influential, customer. What does that say about the internal dynamics of the entire operation and its internal corporate health?
• Backing up the above indications of bad blood between the acquired and the acquirer was that when I was at Indy and talked to several guys from another division of the acquiring company about their thoughts of the soon to be corporate sibling, they ripped them apart. Not just a little either. These are not rumors about hostility within the overall organization. This is my first-hand account with both sides of this company being openly hostile to the other guys.
• So obviously there’s something really messed up at that company and it’s just one more giant indication that I’d never want to recommend them to anyone, let alone choose them myself.
• I even offered the following to them: “If you are interested in detailed reasons why Company B was not chosen, and think that my input/reasons would help your development in the future, let me know.” Nothing… OK, fine. Maybe in spite of my position in the industry, my years of experience, my demonstrated success in e-commerce in the motorcycle industry they figured I was full of crap and had nothing to learn from. Might have been worth a discussion or two though, no?

Now again keep in mind that both of these vendors knew who I was. That by signing me and the dealership where I worked it would be at least a tacit, and at best an overt, endorsement of their company and their products.

And in both of these cases they acted as if they could care less. I was stunned. I expected a little more effort.

So, I’d say that if they were willing to treat me like that (and let’s not forget, I’m really, really important around here! ), before I’d even signed up with them, you gotta wonder what would happen if I was a customer and ran into “issues.”

So once again. Total… Fail…

50 Below:

With 50 Below, you’re getting a race ready factory bike. You even get factory support in the form of their Marketing Account Executives that will work with you, as part of the standard package to help you get your site working the way it’s supposed to work. They want to help you win. Let them!

So then I move on to 50 Below… Keep in mind that I went into this whole process positive that 50 Below was going to be the absolute worst. So much so that I had considered not even including them.

Why?

1) The solution they first offered a few years ago was so God-awful horrible. That whole page turning, flash-based, parts catalog based shopping experience was just miserable. The templates were eye-searingly bad. Etc. etc.

2) They had had some pretty significant financial and/or legal issues in their recent past that I thought indicated that they were at worst shady and at best irresponsible. Everyone I talked to about 50 Below, even today, universally says something along the lines of:

• “Are they still in business?”
• “Didn’t they all get hauled off to Gitmo?”
• “Don’t they try to keep your domain name if you leave their service?”
• (It should be pointed out that a lot of this FUD was being propagated and encouraged to propagate by good ol’ Company B above… Oh… Look… One more reason to not pick Company B… They like to play dirty.). For the record, none of the above was true or at least true to the extent that it was portrayed. If you want to know what really happened, talk to 50 Below. They will explain it to you.

Or better yet, check this out…

I didn’t know this at first, and I bet most of you might not know this, but 50 Below is also involved in other industries other than powersports. For instance, they are the only approved provider for franchised UPS stores. They are also the sole, authorized website providers for various financial and insurance firm’s independent advisers like UBS and Smith Barney.

I’m willing to bet that all those companies probably did a fair amount of due diligence when they decided to pick 50 Below. WAYYYY more than I did and I’m willing to bet WAYYYY more than you’re going to do. You think they would have picked 50 Below if the rumors were even close to being true? Yea. I don’t think so either.

And does being involved in those other industries mean that 50 Below is not “focused” or “dedicated” to the powersports markets? Hell no… It means that they are diversified across multiple industries so that when crap like what’s hitting our industry now happens, it doesn’t cripple them. Now if all you’re involved in is the powersports industries and things start getting bad, what do you lean on? Oh… Right…Nothing.

So onto the results of my investigation…

About 5 minutes into the presentation on their product offering I was really, really impressed with

1. the improvements they had made in the last few years and
2. how astonishingly far beyond the other two competitors they were.

Their website designs are composed of modern best-practices. All that crappy table based layout stuff that they had used in the past, and that the other two companies still used was gone with clean and efficient CSS based design. Nice!

Their shopping experience, what they are calling EZ-Shop, finally addressed the horrible practice of catalog based shopping. Customers can shop by category, brand, and even fitment to the model of vehicle that they own. This is seriously an order of magnitude better than the other two solutions. If you care about e-commerce at all as a part of your overall business strategy, this feature alone is reason to pick 50 Below. The fact that they are kicking ass on so many other features as well just makes this such a no brainer solution.

Is 50 Below perfect? Nope. Is it better than the rest? Absolutely.

Are there things I’d like to see changed or improved? Yes. And you know what? They are really interested in making those changes. In fact they already have plans, prototypes, or almost released features to address a lot of the things I’d like to see. They seem to actually be very committed to making their product better and better and providing more value and better service. What more can you ask for from a partner?

If 50 Below would have had an offering like they have now when I began the work on the sites I manage, I would have used it. Or to put it another way, if I was going to go to work for a new dealership today with the goal of creating another world-class internet presence I would use 50 Below as the platform upon which I would begin my work. No brainer.

Where do you want your techs to buy their tools? Snap On? MAC? Or some dude selling crap from China out of a van at the flea market? Same deal.

Does this mean that just because you use 50 Below you’ll automagically end up with a website that shows up #1 in all Google results and generates millions of dollars in e-commerce revenue? Not a chance. Just because you buy a Ducati 1098R can you jump on it and win an WSBK title? Nope. But if you have an amazing rider and a talented team working on it, you’ll have better than a fighting chance.

I get from 50 Below a real sense of forward momentum, valuable progress, continuous improvement. Moving forward at an amazing speed. In the time I’ve spent working with 50 Below I’ve seen a team of dedicated individuals that are hell-bent on creating the ultimate platform for the motorcycle and powersports industries.

In conclusion (finally…), I just spent the better part of a week in Duluth meeting with the folks from 50 Below. Seeing what they’ve got going on, seeing what’s coming, etc. I wanted to make sure that if I was going to get behind promoting something that I could do it in good faith.

After doing that I’m even more convinced that I made the right decision for A&S to use them for my projects and that I can recommend them as the default, no-brainer, “what are you waiting for?”, go-to solution for the motorcycle and powersports industry when it comes to turn-key internet presences.

Why do I want you to all move to 50 Below? Because I want to be able to actually help this industry start using the web so you’ll be successful. I’m sick of seeing dealers wallow around with no website, or crap websites, and not be able to tell you in simple terms how to do the stuff you need to be doing.

Now I can. Call 50 Below. Tell them you just read this and you’re ready to start taking responsibility for getting your dealership into the 21st century.

Here’s some more details about how and why I’m working with 50 Below:

• I contacted them to see if there was anything I could do to help them get more dealers to use their platform. Why? Because I could not understand why anyone except in the most unusual of circumstances would not choose 50 Below. I have a very limited tolerance for irrational behaviour. If after reading this, and after really digging into the three options out there you don’t choose 50 Below, well, I’d love to hear why. Seriously… If you don’t pick 50 Below, tell me why. If it’s a valid point, I will ask them to address the issue. If it’s a legitimate issue, I’ll update this post with that info.
• They are paying me a small consulting retainer to do things like write tutorials for their newsletters and other educational materials in the future. This fee also includes an advertising component for the banner on my site. Trust me, it’s not a lot of money and if I didn’t feel that I was doing the right thing to recommend them to you, the amount of money they are paying me would never be enough to get me to do it.
• I absolutely, positively, do not make any more or less money if you sign up or don’t sign up with them.
• And to be very, very clear, just because I write for Dealernews there is not even the slightest connection between my personal opinions and conclusions and anyone at Dealernews. I will not involve myself in any activity at Dealernews that involves the review or discussion of the competing platforms while I’m working with 50 Below.

Tags:dealerships, E-Commerce, ecommerce, internet, marketing, motorcycle, Motorcycle Advertising, powersports, reviews, selling-online

While I know that most of you see me as the ultimate guru of all things web (right?), the truth is, there’s a wealth of places out there other than me where you can (and really should) find out a lot more about things like e-commerce, internet advertising, and integrating social media into your overall internet marketing strategy and so on.

The truth is, this area of technology (especially social media) is forming and re-forming so fast that if you blink you’re likely to miss a development or a breakthrough that becomes the next “big thing.” You don’t want to be the one that misses out on the next hot trend do you?

If you answered “No!” then read on. If you answered “Yes!” then I’m not sure we have anything else to talk about frankly.

So, without further ado, this month I’m going to save you some time in filtering out the wheat from the chaff (ooohhh… an 18th century reference in a 21st century column!) and point out some of the resources that I find pretty valuable in keeping up with what’s hot, happening, and now.

E-Commerce

First and foremost is a resources that I’ve mentioned in the past when it comes to e-commerce, and that’s Internet Retailer (www.internetretailer.com). Internet Retailer has a print magazine that you can get for free, as well as several really well done e-mail newsletters that you can subscribe to. Internet Retailer is also responsible for the Top 500 Guide, which every year ranks the top largest e-commerce players in terms of revenue and provides a wealth of information such as traffic figures, sales performance data (conversion rates, average order value, etc.) that you can use to benchmark your own performance.

Next up in the e-commerce space is Shop.org (guess what the address of their website is). Shop.org is the e-commerce focus for the larger National Retail Federation (www.nrf.com). Shop.org puts out a great series of e-mail newsletters that do an excellent job of keeping the reader up on what’s going on in the e-commerce space. I find the coverage they provide to have a slightly different twist than Internet Retailer and between the two you can get a great picture of what’s working, what’s coming down the road, what you need to be doing to get ahead and once you’re there, to stay there.

Internet Marketing

As all internet marketing pretty much begins by looking through the lens of the search engines like Google, Yahoo, MSN Live, etc. the best place to get your daily fix of search engine related wisdom is probably Search Engine Watch (www.searchenginewatch.com). They have a series of e-mail updates, as well as a worthwhile RSS feed and Twitter profile (@sewatch) that you should be reading. They cover pretty much all the aspects of search engine optimization (SEO) and search engine marketing (SEM) that you will ever need to know (or at least could ever remember or implement).

The next excellent resource for internet (and even general) marketing is Marketing Sherpa (www.marketingsherpa.com). Marketing Sherpa has developed the reputation as the source for marketing best practices. These are real-world best practices, not high-level theory like you’d get from some place like the American Marketing Association. While they do offer some free reports and resources (their write-ups are free for the first week), to get the most out of what Marketing Sherpa has to offer you will need to pay for the annual subscription. You can sign up for a free trial subscription to check it out. I recommend that you do.

Social Media, etc.

Finally we have the increasingly important and dynamically changing world of social media and all of the hybrid offshoots of sites like Facebook and Twitter.

First up is a site called Mashable (www.mashable.com) who bills itself as The Social Media Guide. They do an excellent job of covering how to use the exisiting social sites both from the perspective of a user, as well as from the perspective of a business looking to use social media for marketing and promotional purposes. In addition they keep on top of the bubbling, churning, and chaotic world of emerging social media players as well as clever and useful ways to leverage the social media ecosystem of feeds, API, applications, and widgets.

Finally I’m offering up a great site, TechCrunch (www.techcrunch.com), that will keep you abreast of both the social media scene as well as the business world of the internet from a technical perspective. TechCrunch is actually billed as a blog, but it’s a blog (and extended media empire known as the Crunch Network) that headed by probably the best “new business” gadfly around, Michael Arrington. Michael and his team are plugged into who’s doing what, what it’s good for, who’s getting funded and who’s the newest member of the internet industry deadpool. It’s a great resource that you don’t want to miss.

So there you have it. A great list of summer reading when you need to know what’s going on in the world of the web. I’ve only scratched the surface by offering up the ones that I read on a regular basis. If you have some great resources you want to share, let me know!

Tags:Column, DealerNews, dealerships, E-Commerce, ecommerce, internet, marketing, motorcycle, powersports, Resources, Search Engine Optimization, selling-online, social marketing, social media, social-networking

If you were at Indy, perhaps you saw their booth announcing their new program. Or perhaps you’ve seen some of their advertising. Regardless of where or if you’ve heard about their new program, Motorcycle Superstore has a new initiative that may help you make more money.

What?! How can one of those “evil” internet retailers (and not just “one of”, Motorcycle Superstore is the largest e-commerce player in our market as rated by Internet Retailer in their Top 500 retailers survey for 2008) that so many of you hate have anything to offer your business?

The program that Motorcycle Superstore is rolling out is called the “Preferred Installer Program” and the idea is that dealers sign up with Motorcycle Superstore to be an installation “partner.” When a customer buys a qualifying product from their site, the part gets shipped directly to your dealership where you install and configure it on the buyer’s bike.

If you are familiar with the automobile tire and accessory company The Tire Rack, then this program is going to sound really familiar to you because it’s a model that Motorcycle Superstore’s Don Becklin has pretty much followed for their PI program.

Currently the program is only covering tires, exhaust systems, and Power Commanders, but that may be expanded in the future based on findings from customers and participating dealers.

Now that you know a little more about the program, you’re probably wondering what in the heck is this thing really all about. Where’s the scam? Is this some kind of big wooden horse that you’d be letting into your shop only to have a bunch of Motorcycle Superstore invaders come pouring out?

Not quite. You see, Motorcycle Superstore gets at least half-a-million visitors a month (per Internet Retailer’s estimates, I think the real number is much higher) and only like 2.5% of those people ever buy something from them. Where do the rest of those people go? Well, while the exact numbers are pretty much any one’s guess, the overwhelming majority of purchases in our industry still happen across a counter, face-to-face in a brick and mortar retail store.

Wait! But how can that be? I’ve heard for years how the internet is destroying dealerships and other powersports retailers. Customers come in, ask a bunch of questions, try on a bunch of stuff, and then leave to buy what they need online for a few bucks less.

That’s quite a paradox. Don’s company’s seeing millions of people doing a bunch of research online only to buy somewhere else at the same time dealers are saying that the same thing is happening to them! How do we resolve this paradox?

The truth is, you can’t. The reality is that certain customers, at certain times, for certain products are going to choose the retail channel that best suits their needs. It’s just a fact and trying to fight it is as pointless as tilting at windmills.

Motorcycle Superstore has realized this and has developed a program that they hope will allow them to sell more stuff, make it easier on their (and your) customers, and help support and build the dealer and independent retailers at the same time. It’s a way to grow the pie instead of fighting over the crumbs!

Face it, do you really want to sell a set of tires at close to, if not at, cost just to get customers in your shop? You really want to carry the inventory, or incur the ordering, freight, and receiving expenses on those tires in hopes of getting some extra service work or to attract a new customer into your shop? Of course not!

Just taking tires as an example, Motorcycle Superstore is probably the largest retailer of motorcycle tires on the face of the planet. They get deliveries by the container load. They are getting prices on tires you could never dream of. So it makes sense for them to build their business on that. However, the missing link is what does the customer do with them once they get them? There’s no way anyone is mounting modern sport bike tires on their new Ducati 1098 with a couple tire irons and some Vaseline. Let alone getting them balanced. They need you for that.

This doesn’t even scratch the surface for things like tuning setups for exhaust systems and Power Commanders. If you’re a tuning shop, get ready to fire up the dyno because you may have more work in the near future!

Now that brings me back a few years when I wrote that if someone comes into your shop carrying a new set of tires freshly delivered from some website under their arms, instead of treating that customer like some kind of scum, you should be welcoming them and even going so far as to just mount them for free in the hopes of making an impression on that new customer. Boy, did some of you have issues with that!

Ok, so maybe “free” was going a little far to make my point, but I stand behind my primary idea that someone else’s website’s sale got a new customer through your door. And I’m willing to bet some pretty decent money that your typical cost of new customer acquisition is a lot higher than you’d make off that set of tires.

And now here’s a program, set up by one of those “evil” internet discount shops, that is intended to formally allow you to do exactly what I was preaching two years ago!

I’m going to close this month with two last points. The first is a simple thought exercise where we imagine the following scenario:

A lifelong Kawasaki riders buys some new tires off from Motorcycle Superstore. Let’s say that Motorcycle Superstore make $30 bucks net from that sale (which is probably generous depending on shipping charges, etc., etc.). Your Suzuki and Honda shop was wise and followed my advise and got on board for the PI program and that customer has the tires shipped to your shop.

You get the confirmation email that the tires are on the way and you proactively call the customer up to set up a time for the service (you will do it that way won’t you? Surprise the customer with a level of service they weren’t expecting?). The customer comes in for the tire service and because your advisers have been reading Dave’s columns on selling service they are able to upsell something like a brake system flush, oil change, etc.

Now, while the customer is waiting for the service work to be done, they check out the new Gixxer. Maybe one of your sales people get them on it for a test ride. They like it! “Nice bike!”

They leave your shop with an amazing impression of great service and possibly a decision on the next bike that they’ll buy in 6-8 months.

Now what did this all cost you? Did you have to run an expensive TV campaign? Take out a full page in the local newspaper? No. You got all this because you lost the sale of a set of tires and you executed flawlessly once the ball was on your side of the court.

Finally, if you’re still not convinced that this program is something worthwhile that you need to get on board with, do this. Go to the Tirerack’s website (www.tirerack.com) and find an installer or two in your area that has signed up for their program. Take a long lunch and ride down to a couple and talk to the mangers there and ask them how that program is working for them in the automotive arena.

Then when you get back from your lunch, go to here (http://www.motorcycle-superstore.com/818/MNGR/Preferred-Installer-Dealer-Sign-Up-Information.aspx) to sign up for Motorcycle Superstore’s PI program. I’m willing to be another shop in your area is going to.

Tags:Column, DealerNews, dealerships, E-Commerce, ecommerce, marketing, motorcycle, powersports, selling-online

This month I’m going to be tweeting about Twitter. What it is, why you should care, and most importantly how you can use it in your business

Unless you’ve been living under a rock, you have most likely been bombarded with mentions of Twitter in the media

Even members of congress were “busted” tweeting during President Obama’s recent national address http://tinyurl.com/dc394j

Briefly, Twitter is a “microblogging” tool (and now a technical infrastructure) that lets people post short 140 character tweets to the web

Twitter is a weird FrankenTech that exists somewhere in the spaces between RSS, chat, e-mail (albeit public email), blogs, and forums

Once you post your “tweet” to the Twittersphere, users that are “following” you will be updated with the pearl of wisdom you just posted

I admit, at first I didn’t “get” Twitter. It seemed like a pointless social-media distraction. I’m rapidly and drastically changing my mind

The best way to really understand Twitter is to sign up for it and start playing with it. Go to twitter.com and create a twitter account

Make sure you take the time to create a customized and branded profile. Include a link to your e-commerce or dealership website

Be warned going in, Twitter goes down a lot. Just Google “Twitter is down”. It happens so much, it’s *almost* become an endearing quality

Check out Twitter’s help site help.twitter.com to really understand all that you can do with it. As always, if you’re stuck, RTFM!

Posting to, and managing followers is an excellent task for your Community Relationship Manager!

Publicize your dealership’s twitter ID and encourage people that visit your shop or your site to sign up for twitter and to follow you

Put your twitter ID on your printed receipts, on your business cards, add a “Follow Us” link to your website and in your e-mail marketing

You need to understand some of the tools and technique of the twitter “language.” First, a tweet is the name for a twitter post

Next, you will see the @ symbol in tweets. This is a way for directly referencing or replying to another twitter user. Mine is @radicalpower

Another symbol you will see is #. It’s an unofficial trick that has evolved among twitter users to tag or categorize post content #ecommerce

Another convention you will see is RT for Re-Tweet. When you read something really interesting that deserves wider distribution you RT it

Here’s how it looks together: RT @radicalpower- I’m writing a great article for #Dealernews on how to use #twitter for motorcycle dealers

Twitter has really become more of a technical infrastructure. To get the most out of it you’ll want to use some of the twitter clients

Two of the most widely used and recommended twitter clients are www.twhirl.org and www.tweetdeck.com. Try them out for yourself and use one

There are some cool applications that tap into twitter so people can analyze the real-time twit-stream to see what the world is thinking

Check out Twist twist.flaptor.com to track trends or keywords and Twitscoop www.twitscoop.com to see what terms are waxing or waning

There’s even an easy to use tool, twitpic twitpic.com that lets you post pictures through twitter.

Because you only have 140 characters, it’s hard to enter long urls when you want to direct people to a certain site or page

The solution to this is to use a URL-shortening service. Tinyurl.com is the most popular but there are hundreds more See: tinyurl.com/yp8cba

A user-generated directory has popped at wefollow.com. You simply tweet to @wefollow with 3 #category to get listed

So the big question you have to be asking is, OK this is all very interesting, but how can I use this to make more money in my shop?

On the e-commerce side, you can tweet to all your followers when you add new, cool products to your website. That will drive traffic & sales

You can also run RT-based contests. Tell people that if they re-tweet a product detail page, or blog post they have a chance to win a prize

Follow this link http://tinyurl.com/cg8euq for a Google search on “retweet contests” to see some ideas of what others are doing

You can publicize web discounts or in-store specials that are good with a code that you tweet. This gives people motivation to follow you.

Build a social media ecosystem with twitter that points people to your blog posts, and a blog link that points people to your twitter ID

When people follow you, or RT you, make sure you thank them via a Direct Message or publicly via an @reply. Don’t forget to follow them back

You will want to make sure that you do frequent searches on twitter for you company name to keep track of what people are saying about you

I hope you found this series of tweets on Twitter informative and I invite you to follow me on twitter @radicalpower

And yes, each of the points above were under 140 characters!

Tags:Column, DealerNews, dealerships, E-Commerce, ecommerce, internet, marketing, motorcycle, powersports, pr, Search Engine Optimization, selling-online, social marketing, social media, social-networking, Twitter

As I’m sure you’re well aware, the economic model that currently supports most of Western Civilization appears to be in the process of a major melt-down. These tough times are going to call for some creative thinking to pry the money you need to keep your doors open from the hands of the customer that is worried about keeping their job or paying their mortgage.

This month I’m going to talk about discounting and other promotions. In the past I have laid out my general philosophy that if you run a proper operation you should not need to think too much about discounting. I still hold by that sentiment. I’m not talking about some kind of grand fire-sale along the lines of those furniture stores that seem to be going out of business every other week.

What I am talking about are developing, and more importantly communicating, discount-type promotions that entice a shopper to buy from you if they were not going to buy from you in the first place, or to buy more from you if they were buying anyway.

An over-arching theme is that you never give anything away for free. If you are giving it away (cue the Red Hot Chili Peppers), then it’s only logical that the customer is not going to ascribe any value to it. You want to come up with some manner of telling your customers that you are buying something for them. After all, that’s what you’re doing, so why not position it that way?

Some people may consider it a matter of semantics but I think it’s an important distinction if you are trying to do some type of discounting yet retain a brand identity different from the multitudes of internet discounters.

For example: You are not offering “free shipping.” You are paying for the customer’s shipping. So instead of “Free shipping on orders over $150″ you need to communicate it like “Spend over $150 and we’ll pay your shipping.”

Yes they are functionally equivalent, but I think the latter has more value. Sure not everyone is going to look at it that way, but it helps. And it’s the thought process behind this that should be driving you as you craft discount or promotion methods.

A next point is to remember that your goal of discounting should be to get people that would not otherwise buy from you at full price to buy from you at a price that you are still willing to accept.

Let’s say that you run a promotion that requires customers to enter a discount code at check out to get 20% off their orders. I would say that in most circumstances that you would want to publicise that code to customers via advertising like e-mails or off-line print ads, but not publicise the code on your site. If someone hits your site off a Google search with the intent of buying something you’re selling, and they are willing to pay full price, why in the world would you be willing to accept less? Use the e-mails and print ads to drive incremental traffic to your store and the discount to increase conversion.

A lot of this is going to depend on the type of business you run and the type of normal customers & traffic you have buying from your site. You need to do some in-depth analysis of your analytics and sales data from the past. The goal should be to come up with discount methodologies that enable you to get full price from people that were willing to pay full price going in.

Next, you should try to come up with methods to coax a higher level of spending from people already buying. A good way to do this that also brings them back on a later date to buy more are instruments like gift certificates that are good for a certain dollar amount once they spend over a set limit. Say, “spend $300 today and we’ll email you a gift certificate code good for $30 off your next order.” You are hopefully pushing those customers sitting there with $250 in their cart to add another $50 to get the $30 gift certificate that they may use another day. And of course hopefully on that next visit they spend more than the $30.

Obviously you’ll again have to dip into your analytics and sales data to try to come up with the thresholds and values that make rational business sense for these types of promotions.

And finally here’s one of those brilliant ideas that keep you coming back to read my column every month. Because so many of you non-snow vehicle related retailers are sitting there looking out of empty showrooms at piles of the white stuff, here’s an idea to generate some cash now and defer the outflow until you’ve got more organic sales going on in the spring. Sell something like a “spring certificate” on your site that is good for a certain percentage above the face value when used between certain dates in the future (the certificate’s magic window).

Here’s an example: “Buy our Spring Certificate this week for $200 and when you come back and use it between April 1 and May 31 and we’ll increase the value to $250!” If they use it outside the magic window it’s still worth the face value of $200. This allows you to get cash from the customer now on your books with a potential liability for a lower margin during a set window when you should be generating enough sales to cover it. And I can promise you that not everyone will use it during the magic window. And of course there’s even a percentage of people that will never use it at all. You do realize that some estimates put the amount of money that will sit there unspent on those “gift cards” around $10Billion for 2008? It’s possible that the amount of people that don’t spend all of their $200 at all may make up for the loss in margin from the discount.

Fine print: I’m sure there’s some accounting and/or legal magic your controller and lawyer are going to have to perform to account for the future liability, cash flow, proper wording, etc., etc., etc. so make sure you get all that squared away before you launch something like this.

I’m going to leave you with one overarching theme that I recommend you use in all of your advertising and marketing messaging: motorcycles and powersports are the ultimate escape from the strife that people are being bombarded with every waking moment these days. Motorcycles and powersports have always been about freedom and getting away from it all. If you’re bombing through the woods on a dual sport you typically don’t have a lot of spare brain-cycles to be worried about your mortgage. If your cruising past the majestic Grand Tetons with your significant other behind you and soaking it all in, you typically are not thinking about the annual return on your 401k.

We are in the escape business. Economic realities may be dictating that people are not buying new bikes, but we can sure as heck make sure we help them get the parts, accessories, and gear they need to get out and enjoy the vehicles they already own. Intelligent discounting and promotions in your e-commerce operation can be a huge help. For them, and for you.

Tags:Column, DealerNews, dealerships, E-Commerce, ecommerce, internet, marketing, motorcycle, powersports, selling-online

In all my years of writing about “all things web” (granted weighted heavily toward e-commerce) for the motorcycle and powersports industry, nothing has seemed to reach the same level of resonance as my idea that developing a dedicated, full-time community management position was a brilliant thing to do.

When I was running marketing for the dealership that I work with, I had put on a few really successful open-house events. The “light bulb” moment came when I said: “we need to do stuff like this every month!”

That required someone dedicated to coming up with the ideas, handling all the logistics, etc. But I then saw this role as much more than just an “event” person. We need to do more community stuff. Community stuff takes a lot of time. I need a full-time person to do it. Bingo! It was that simple.

I also wanted them to start being the “face” of the company on all our our online social networking activities. That led to me climbing up the abstraction ladder to call the position community relationship manager.

In short, this position is THE public and personal face of the company.

I just came across a post on ReadWriteWeb that deals with the same idea. Their article is obviously written from a more theoretical framework, while my take on it is much more the result of pragmatic, hands-on needs.

Marshall asks the questions “Do Startup Companies Need A Community Manager?” My answer is of course a resounding “YES”. However, like pretty much everything else it all comes down to the ability to execute on the idea.

It’s not PR!

PR is dead. The two-faced, B.S. spewing PR flacks that have made their money by coming up with ever more creative methods to lie to a company’s customer are going to die a loud and long overdue death.

PR was a one-sided shouting match. The new age of community is more about listening than talking. One thing that most PR people seem to have is a genetic aversion letting anyone else talk or listening to them when they do.

No one with ANY hint of PR on their resume should come anywhere near a community relationship position!

But what about all those functions that PR serves? Like minimizing damage when the company does something stupid or bad? Or “spinning” one result to be seen as something totally different?

Oh, I don’t know… How about not doing things like putting poison in kid’s toys, or letting poison food get produced in the first place or simply telling the truth?

Naive? Probably.

The direction that the world is going to force you to go? Absolutely!

Might as well start recognizing that you’ve got a transparent kimono on. Open it up… Or don’t… Don’t matter because people are going to know what’s going on anyway. You might want to see how the truth works for a change.

It’s not Marketing!

Marketing still has a valuable place when it comes to developing the identity and the initial message. But marketing is going to need to become much more participatory and reactive to the reality being dictated by the real world.

It must be legitimate!

Don’t lie. If you have a position that the market doesn’t seem to like, then explain in truthful detail why you did what you did, do what you do, or are going to continue to do what you did. Even people that hate you will at least respect you. How is that a downside? And who knows, maybe being honest may actually turn some people onto you. After years and years of BS, maybe legitimacy and honesty are worth giving a try?

It may be a game changer!

This has the potential to be one of those paradigm changing ideas that fundamentally changes the way companies communicate with their customers.

Customers don’t want to listen to PR B.S. and they sure as hell don’t believe anything that comes out of a marketing or advertising department.

There are of course risks. The old model of how PR/Marketing crafted and controlled a focused message or identity is over. In reality the only messages or identities that really mattered were the ones that the customers created for themselves and communicated to each other.

In the past it was obviously easier for a large company to force conformity to the desired message, but as the number of communication channels is now nearly infinite, there’s no way any company is going to be able to effectively control their message or ID.

Companies must sooner or later respond to the fact that the key to their company’s long term survival is the active and honest communication and participation with the market. And in non-economic terms, what’s a market if not a community?

This is going to totally shake up so many business practices! From product development, to accounting, to of course sales and marketing.

It’s going to bring about the need for greater transparency. Worn-out corporate double-speak is dead. The old guard PR industry is going to die (no doubt kicking and screaming about “losing control”).

It’s time for companies of all sizes to realize that they have already lost, or very shortly will loose, control over their true image.

So it’s time now to start crafting plans and organizations that can communicate and participate openly and truthfully with the market. That starts with the Community Relationship position.

If you really want to take this on and understand it, you need to closely read Groundswell. It will articulate in detail pretty much everything I’m talking about. But with better writing and more footnotes.

Tags:community-marketing, community-relationship-management, marketing, pr, relationship