News

Mazda trials kiosks to expand car shopping experience

April 25, 2005

It used to be the only way someone could experience a new car was to take a test drive. Walk into one of Mazda's Retail Revolution dealerships today and you'll see how the showroom experience has changed. In addition to its award-winning lineup of vehicles, Mazda has created a shopping experience that goes beyond the traditional dealer showroom.

To enable customers to "feel the Mazda experience," Mazda partnered with software developer Nanonation to create interactive kiosks deployed at participating dealerships across the U.S. Customers are now greeted with an interactive marketing tool that creates a visually appealing and emotionally powerful way of experiencing the fun of driving and owning a Mazda.

The kiosks can be seen in seven dealerships currently, with an additional 10 more dealerships launching the systems by mid-year. What makes the systems unique is the ability for Mazda to tailor and target the content and information for each of its dealerships, while leveraging its brand, media assets, and information technology infrastructure. Customers can configure and shop for their ideal car, all while getting treated to a multimedia experience designed to engage and inform. While waiting for an oil change or test drive, customers can surf the Internet, shop for accessories, and view Mazda videos.

Jim Hoostal, Director, Retail Development, Mazda North American Operations said, "We were looking for a way to engage our customers and start a conversation. The kiosks enable us to showcase our products in a way that can't be done through traditional brochures or media." Hoostal added, "While an interactive system can't compete with the dynamic experience of sitting behind the wheel of a new car, it can complement the entire dealer experience to help the customer better understand the benefits and possibilities of owning a Mazda."

In addition to the enhanced customer experience, Mazda is benefiting from the systems' ability to remotely monitor, manage and track each kiosk no matter where it is located. Interface updates and content updates are deployed to all dealerships from a centralized content management system. Using the kiosk reporting functionality gives Mazda better marketing data and a way to analyze the effectiveness of the devices.

Bradley Walker, CEO and President of Nanonation, said the project is an example of Nanonation's approach to collaborating with clients. "The key to creating a compelling, engaging and cost effective customer experience requires understanding the needs of the customer and the business opportunities of the client." Walker added, "It's exciting to work with clients such as Mazda that understand the benefits of building engaging customer relationships and who aren't afraid to utilize creative ways to make it happen."

About Mazda's retail revolution

Mazda's new retail strategy, still in the early stages of implementation, promises to create difficult-to-imitate competitive advantages for the company. The concept hinges on the high degree of power the customer now has when shopping for a car. Enabled by the internet, the customer has new expectations and bargaining power, and in many cases, has made the purchase decision online.

Based on these new trends, the role of the dealership becomes more important than ever in terms of completing customers' experience with their auto brand-experiences. However, older-model selling process embodied by many dealerships creates a disconnect with the customer when s/he enters the showroom.

Mazda's "Retail Revolution" strategy addresses these new challenges in a manner which:

• Addresses change in consumer behavior in a manner which respects consumer power.
• Enhances the overall brand experience.
• Sells automobiles faster, and with less pressure on the consumer.

While Mazda maintains firm ties and loyalties with every one of its dealers across the country, the company feels strongly about recognizing the efforts of those that make Mazda a top priority. As the company is looking to the future structure of their dealer body, their intention is to invest in dealers who make a commitment to the Mazda franchise and who are either an exclusive franchise or a separate Mazda showroom. Dealers that have made a Mazda facility investment and meet minimum square footage, brand signage and image-based facility requirements, will be subject to an offering of a bonus per vehicle, and can receive substantial construction support for building new showrooms.

Research
www.mazdausa.com
www.nanonation.com

Originally published in the Mar/Apr 2004 issue ofKiosk magazine.