Recent Press - Automotive News

Porsche and dealerships ranked highest in a study that looked how auto dealers handle internet leads.

Pied Piper's annual study used internet mystery shopping to contact 11,000+ dealerships to see how the U.S. dealer networks for all car brands compare.

LOS ANGELES – Car dealerships are doing better at responding to Internet leads, but the quality of the responses still leaves something to be desired, according to a new study.

Mystery-shopping consultant Pied Piper Management Co. found that most of the 11,353 dealerships it submitted Internet inquires to in the past year now use customer relationship management software. And although the software usually automatically responds immediately to an e-mail inquiry, what happens after can make all the difference.

Mercedes-Benz dealerships ranked highest in a study that looked how auto dealers treat customers.

Pied Piper's annual study sends thousands of secret shoppers to stores across the U.S. and measures how salespeople perform.

Some vehicle brands that score high in customer satisfaction surveys do less well when the effectiveness of dealership salespeople is measured, according to a California consultant. Mystery shopping consultant Pied Piper of Monterey, Calif., sent 4,419 shoppers to dealerships nationwide, from July 2011 to June 2012, to measure salespeople's effectiveness in selling cars on the showroom floor.

Mercedes-Benz ranked first in the survey and led all brands in 10 of the 60 sales activities measured in Pied Piper's Prospect Satisfaction Index. For example, Mercedes led in salesperson introductions, offering a thorough test drive and focusing attention on important features. Mercedes was followed by Acura, Infiniti and Lexus.

Pied Piper said it looked at everything leading up to the purchase decision, starting from the first contact by the salesperson to the customer's decision to purchase or not. J.D. Power's Sales Satisfaction Index asks consumers for their impression of a dealership where they had recently purchased a vehicle.

Mercedes-Benz dealerships ranked highest in a study by Pied Piper Management Company to measure how effectively dealerships sell cars. Jaguar and Lexus tied for second.

According to mystery-shopping consultancy Pied Piper of Monterey, Calif., although Toyota's sales practices are near the industry average, Scion's are the third-worst.
Scion trailed other youth-oriented brands such as Volkswagen, Kia and Mazda mostly because the brand's low-pressure sales techniques don't give customers a reason to buy now or return for a future visit. Scion salespeople fared well in product knowledge, not overselling, and having power over negotiating the selling price.
"We are improving the customer experience, the shopping process, the in-dealership, service," said Dawn Ahmed, Scion corporate manager. "There are lots of opportunities there."

Ninety percent of internet customers received some sort of response, but usually it's the e-mail equivalent of a form letter, according to a survey by Pied Piper Management Company of Monterey, California.

Lexus, Honda and Toyota dealerships ranked highest in a study to measure how dealerships treat car customers online. Pied Piper tracks dealerships' performance with mystery shoppers, but in this case, online mystery shoppers.

Mystery shoppers are nothing new, but Internet mystery shoppers are.

That's part of the expansion plan for Fran O'Hagan as CEO of Pied Piper, which tracks not whether customers enjoyed their shopping experience but whether dealership salespeople did the things that would lead to a sale.

Mercedes ranked number one—just above Lexus—in the 2010 Pied Piper Prospect Satisfaction Index. The results come from more than 3,600 anonymous mystery shoppers nationwide.