Four Ways AI Saves Time (and Money) In the Shop
Artificial Intelligence (AI) has the power to save and repurpose time to other areas of a dealership and body shop.
Think of it like Amazon, Mo Zahabi, senior director of product consulting at VinSolutions and DealerTrack F&I, says. When someone goes into Amazon, they’re able to put a lot of items in the cart at the beginning of the day, leave it there and go back to access the site with items still in the cart.
“Customers go online and search for cars but when they show up at a dealership, their cart is empty,” he says. “AI helps us give them a full cart.”
1. Reducing admin work
AI helps eliminate some unnecessary work sales people conduct because they don’t have to comb through data any more.
By tying the online experience with what takes place in a dealership, it overall shortens the cycle time for the dealership. Zahabi says.
One category of AI, for example, is called natural language processing. It can determine if customers are happy in inbound forms of communication, if they’re unhappy or just answering questions.
2. Reducing customer communication
And, AI can eliminate the need for sales people to message customers about their experience. AI can determine through data if the customer even still owns his or her car since last coming into the dealership.
3. Increases sales
A dealership testing the AI tool, attributed 32 percent of its sale to AI within 60 days. The technology helps identify data for a specific customer so that sales staff can use those identifiers to make personal offers. The staff can also reach out when the customer is in need of a vehicle and know that time instead of routinely following up every six months, 12 months and 24 months to check-in on the customer.
4. Costs less than traditional advertising
Zahabi thinks right now is the right time to invest in the technology, and he says it doesn't cost a lot. For example, here's the breakdown between a traditional advertising spend, according to him, and an AI product:
- Cost of investing in Newspaper Marketing: approximately $12,000 per month
Cost of investing in AI product: $1,200 per month