#Japan #Tokyo #Livepass #Proto Corporation #DX hagaki

Introduction

In the rapidly evolving automobile sales landscape, the need for effective communication strategies is essential. With rising postal costs, shifts in communication preferences, and a severe labor shortage, the industry faces significant challenges. Livepass Inc., in collaboration with Proto Corporation, has introduced an innovative solution known as 'DX Hagaki,' a personalized video service that has reached over one million distributions since its launch in October 2024.

The Challenges Car Dealers Face

The auto dealership industry is currently grappling with three major issues:

1. High Postal Costs: The recent postal rate increase from 63 yen to 85 yen for standard postcards has made traditional paper-based marketing strategies increasingly costly.
2. Difficulties in Customer Engagement: A tremendous shift towards digital communication means that over 90% of households own smartphones, particularly among young adults, leading to a decline in traditional phone communication and an increase in engagement difficulties for dealers.
3. Labor Shortages: Recruitment struggles mean dealerships need to maximize efficiency in following up with existing clients, making the improvement of sales efficiency a priority.

Limitations of Traditional Methods

While alternatives like SMS and LINE accounts are gaining traction due to their higher engagement rates, many providers struggle to effectively represent their brand's identity through basic text messages or generic webpages. Livepass sees an opportunity to provide not only informational digital engagements but also a warmer, human touch through personalized video technology.

The Power of 'DX Hagaki'

Four Key Applications of 'DX Hagaki'

The 'DX Hagaki' service simplifies the transition from traditional direct mail, leading to reduced costs while enhancing the digital customer experience:

• - Sales Promotion: By using visually appealing video content, dealerships can effectively drive attendance without the burden of high mailing costs.
• - Automated Vehicle Inspection Notifications: The platform automatically notifies customers about their vehicle check-ups at optimal times, increasing the likelihood of bookings.
• - Introduction of New Models: Through simultaneous surveys during video viewing, dealers can gauge customer interest and purchasing intent more effectively.
• - Diverse Personalized Notifications: Automatically tailored communications align with customers' life stages, ensuring relevant updates are shared.

Demonstrated Success: From Inactive Clients to Sales

The effectiveness of 'DX Hagaki' transcends traditional metrics of reach and open rates. It allows sales teams to visualize customer engagement (or interest) through viewing logs. In a notable case, the system successfully re-engaged over 1600 dormant customers, leading to the sale of eight vehicles only one month after distributions. The unique approach using video allowed curious customers to express interest without the stress often tied to phone calls or visits.

Future Prospects in Customer Experience

Livepass CEO, Asahiro Nakamura, emphasizes the importance of redefining customer experiences: "Through 'DX Hagaki,' we’re not only substituting traditional methods but setting a new communication standard in the auto industry. Our commitment to customer-centric innovation remains steadfast, aiming to blend the warmth of human interaction with necessary technical advancements."

Moving forward, Livepass is dedicated to enhancing the customer experience further through its innovative video solutions, ultimately redefining relationships between auto dealers and their customers.

Conclusion

The journey of 'DX Hagaki' reflects a pivotal shift in automobile sales communications, demonstrating how embracing digital transformation can lead to substantial improvements in customer engagement and business outcomes. The future of customer experience in the auto industry is bright, and initiatives led by Livepass and Proto Corporation are paving the way for meaningful change.