The Power of Online Reviews for Car Dealerships

Word-of-mouth marketing has long been heralded as the top marketing strategy. As the internet continues to shape consumer behavior, traditional word-of-mouth marketing has evolved into something more expansive. Online reviews, and Google reviews, in particular, are an increasingly important part of the car-buying journey.

70% of shoppers indicated that good reviews and ratings were important when deciding where to purchase a vehicle

According to the CDK Friction Points study, 70% of shoppers indicated that good reviews and ratings were important when deciding where to purchase a vehicle. When asked why they chose a dealership, surveyors echoed a similar sentiment: “They have great reviews, [and] I have heard great things from friends and family.” Even shoppers who indicated price was their top priority still considered good online reviews important when choosing a dealership.

A car is generally considered the second most expensive purchase a consumer will make in their lifetime, behind purchasing a home. Given current home prices and interest rates, it may even be the most expensive for many well into adulthood. Because of the significant investment, reassurance from friends, family, colleagues and community is paramount to understanding the benefits of buying from one dealership and, perhaps more importantly, which ones to avoid. Online reviews augment those touchpoints and are always available.

Like all forms of marketing, online reviews require work and dedication to succeed. Here are a few things to consider:

1. Create Separate Google Business Pages for Each Department

Google allows you to set up separate business profiles for Service and Sales departments. Separate profiles ensure that reviews for one department don’t negatively impact the other while showing customers each one’s strengths.

Additionally, separate Google Business profiles allow dealerships to specify different operating hours, phone numbers and websites. This makes it easier for customers to find the correct department, bypassing frustrating phone trees and sending them directly to the department they’re looking for.

2. Encourage Happy Customers to Leave Reviews

According to the White House Office of Consumer Affairs, dissatisfied customers spread their negative experiences widely, telling around nine to 15 people. However, happy customers are much less vocal. To leverage positive experiences, dealerships should actively encourage satisfied customers to leave reviews. Send them a direct link to the Google Business page to encourage participation.

Remember that Sales customers may feel exhausted by the end of their car-buying process. Waiting a few days after the sale to follow up is a good idea but reach out before the new car smell fades. Offer Service customers a direct link before they leave the dealership to prompt more participation.

3. Respond to Reviews

Monitor online reviews and make it a priority to respond to them within 48 business hours. When a review is positive, thank the customer for their business and for sharing their experience. Respond promptly to a negative review by acknowledging their experience, even if you disagree with their interpretation. Then, provide your contact information to discuss the issue further and propose a solution.