One of the most popular and controversial review sites that we assist dealers with when managing their dealership’s reputation is Yelp. Many of our dealers on the coasts get a decent amount of traffic and results from Yelp. But Yelp’s popularity and user adoption seem to be more prevalent in larger metro areas, leaving other dealers in smaller markets feeling left out.
And let’s face it… we also realize that many businesses, including dealers, face challenges with the Yelp filter. Frustrations and filters aside, most dealers have come to appreciate the value of participating in this space and promoting their business through this channel. To that end, Yelp has offered various tools to help you engage with the Yelp community, including check-in offers, promotional deals, business photos and other features.
Now Yelp is offering new insight into the potential impact your Yelp listing has on your dealership with their Revenue Estimate tool. Yelp’s Revenue Estimate is designed to provide visibility into how much business Yelp is directly sending your dealership. Yelp partnered with the Boston Consulting Group to determine the average revenue estimate for various industries. The company surveyed 4,800 businesses in these industries to find out the average estimated revenue generated by the review site for each business category. For the car industry, the study determined the average annual revenue from purchase-minded Yelpers to be $39,000.
How does it work? Yelp considers a lead to be any unique user who views your listing, including check-ins, calls, photo uploads, or other user activity. Assuming that every individual who looks at your listing is a paying customer, Yelp assigns a specific value to these leads or activities to generate the estimated total revenue for businesses within each category.
Here are the categories:
- Car dealers – the average revenue of all profit centers within an auto dealership
- Auto Repair – the average revenue of service departments
- Tires – the average revenue for tire center departments
We recommend using “car dealers” as the category to receive the most accurate estimate. If you select a category that has a lower ranking, as determined by the Boston Consulting Group, your estimate will show an incomplete picture. If you have multiple categories selected, it will use the revenue estimate from the lowest category.
You can find the revenue tool by logging into your business account, or if you are a Power Reputation Management client, have a discussion with your Specialist about what your estimate means.
What do you think of this new tool and how it helps (or doesn’t help) your dealership? Share your comments!
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