RV manufacturers are constantly looking for ways to attract and retain customers in a highly competitive market, and one strategy that has been widely used is offering incentives. Whether discounts on service or a gift card towards a future purchase, these incentives can not only attract a wider base of consumers but also secure brand loyalty and advocacy.
However, the traditional method of handing out incentives often falls short of what both manufacturers and consumers desire from their purchasing experience. In this article, we will explore why it is more efficient and effective for RV manufacturers to provide incentives directly to consumers.
The Challenge with Traditional Methods of Giving Incentives
The traditional method of providing incentives to customers involves RV manufacturers offering a specific amount of dollars to dealerships for every RV sold. The dealerships, in turn, are expected to pass on these incentives to their customers. While this approach has been used for a long time, it has some drawbacks.
Firstly, it can be difficult for manufacturers to track the effectiveness of these incentives, as it is not always clear whether or not the incentives are actually being passed on to customers. Dealers may use incentives as a bargaining tool to increase the selling price, rather than passing on the full value of the incentive to the customer.
Secondly, the traditional method of providing incentives can lead to confusion and frustration for the customer. Customers may not be aware of the incentives available to them, or they may not fully understand how they work. Dealers may also be encouraged to push certain models or brands that offer higher incentives, rather than offering the best RV for the customer's needs.
How Digital Retailing Can Fill in the Incentive Gaps
These days, digital marketing is a necessary part of the RV sales process. Since the pandemic, RV consumers have been driven online to do most of their research and buying process. Naturally, this means manufacturers need to be craftier with their messaging and strategy. By offering incentives directly to the consumer through digital marketing channels, RV manufacturers can reach a wider audience and have more control over the incentive process, offering personalized experiences based on a customer’s intended model and interests.
One way to make this more engaging process possible is through Rollick’s Digital Retailing solution, RollickDR, where you can customize special offers and incentives to not only provide more visibility to the process but also improve customer satisfaction and even cut costs.
Increased Control: Digital retailing through RollickDR allows RV manufacturers to have more control over the incentive process. They can create specific incentives for certain models or brands, and they can ensure that the incentives are being offered to customers in a clear and concise manner. This can help to eliminate confusion and frustration for customers that comes with traditional practices where important messages can get lost in translation from manufacturer to dealer to consumer.
Better Tracking: RollickDR also allows manufacturers to track the effectiveness of incentives more accurately. They can use analytics to see how many people are engaging with their incentives, how many people are actually purchasing RVs, and what the return on investment is. This information can be used to refine future incentive programs and make them more effective.
Improved Customer Experience: Offering incentives directly to the customer through digital retailing can also improve the overall customer experience. Customers can see the incentives available to them upfront, and they can make informed decisions about which RV to purchase. This can lead to increased customer satisfaction and can turn an owner into an advocate.
Cost-Effective: Digital retailing is also a cost-effective way to offer incentives. Traditional incentives require manufacturers to offer a specific dollar amount to dealerships for every RV sold. With digital retailing, manufacturers can offer incentives without incurring the additional costs associated with the traditional method.
In conclusion, the traditional method of offering incentives to customers through dealerships has some drawbacks that can be addressed by offering incentives directly to consumers via digital retailing. By adopting RollickDR, RV manufacturers can better position themselves to attract and retain customers in a highly competitive market.