Delivering more than just the vehicle

As sales continue to move online, vehicle delivery — whether at the dealership or at the customer's home or workplace — could be a dealer's only opportunity to make an in-person impression.

"It just can't be the way we deliver them now. It's got to become more of an event," said Jorge Gutierrez, corporate strategist at Bert Ogden Auto Group in Texas. "Something has got to change where delivery becomes key in order to be able to keep a relationship between the dealership and consumer."

Dealers and auto retail experts predict an evolution of the delivery experience as car-buying becomes more digital. Some customers will grow to expect a high-end or lively visit to the dealership, and those who want to take delivery elsewhere will expect a seamless, personalized handoff.

Gutierrez envisions, for some brands, a white-glove approach that a consumer might expect for another big-ticket purchase, such as a piece of jewelry.

Lincoln already is headed in that direction with a standalone showroom design it calls Vitrine, a French word for a glass display case. The stores are enclosed by floor-to-ceiling glass panels, giving passersby an illuminated view of the vehicles at night.

The value of a unique showroom depends on the brand and its customer base, said Rachelle Petusky, senior industry intelligence manager at Cox Automotive.

"There's going to be ... brands that need to offer that because that's what their target base wants," Petusky said. "But then there's the others that don't necessarily have to lean into that."

Jeep and Ford Motor Co.'s Bronco line each have a customer base of enthusiasts who often want a unique experience.

"Bronco has a huge affinity following, so it makes sense for them to have the branded showroom and to have that whole experience," Petusky said. "That may not be the right decision for all automakers because not every consumer is approaching the relationship with their vehicle in that same way."

Land Rover for years has offered custom tracks at its experience centers for consumers to experiment before they buy.

"That's why the test-drive experience has gotten such pressure to change," she said. Customers are saying, " 'I want to know what my daily drive is going to be like. I want to know what it feels like to really drive on the highway versus around the dealership.' That's why we're seeing a huge shift in the amount of time that consumers have to test drive the cars."

More dealers are offering extended or overnight test drives as well as a money-back guarantee, she said.

"Some of those assurances of having the money-back guarantees, having the extended warranties ... make them more comfortable with the idea of shifting a large proportion of the researching and shopping process online," Petusky said.

The coronavirus pandemic forced many dealers to add or enhance digital retail tools for customers to complete much of the transaction online.

"We had customers that didn't want to leave their homes but needed to buy cars. We had to really enhance that experience for the customer," said David Butler, executive manager of Suburban Collection in Michigan.

At the same time, dealers should remain flexible and avoid a one-size-fits-all approach, said Cory Mosley, principal of Mosley Automotive, an automotive sales strategy and training company in Richmond, Va. Some customers still want to shop in person, so dealers should have delivery strategies that fit all customer preferences, he said.

"The greatest opportunity that the dealers have is to start to abandon this one-way sales process that has been alienating in different ways for different types of buyers," he said. Lack of "diversity of process for customers — that's the biggest issue I see in a store."

In a Cox Automotive study during the second half of 2020, about a quarter of consumers said they wanted the next vehicle they purchased to be delivered to them. With deliveries, personalization is critical, Petusky said.

"They want a clearly communicated timeline. They like the use of their name," she said. "Those types of components are what's going to be important to having a positive delivery experience."