In the fast-paced world of technology, where innovation is a constant, the digital landscape can resemble a graveyard of unused or under-utilized software. According to Covideo, a staggering $500,000,000 is wasted every year on unused software. In fact, nearly half (49.96%) of installed software goes unused by employees.
In a NADA Show Live Stage segment on Feb. 3, Covideo addressed the challenges faced by dealerships in adopting digital tools and technologies, exploring top barriers, and proposing strategies to avoid “shelfware” — software or hardware that remains unsold, unused or under-used.
According to a 2023 study by Capital One, adoption of technology is the most overwhelming hurdle for dealerships.
Top Barriers to Adoption:
- Reliability and Performance (44%): Fear of investing in technology that may not deliver as promised can be a significant deterrent for dealerships. Addressing this barrier requires thorough research, testing and a commitment to partnering with reliable technology providers.
- Budget or Cost (41%): It is essential dealerships treat this as an investment rather than an expense. Developing a budgeting strategy that considers the long-term benefits of technology adoption can help overcome this hurdle.
- Ease of Adoption (40%): Employees may resist change if the learning curve is steep or if the new tools disrupt established workflows. Prioritizing user-friendly solutions, providing comprehensive training, and fostering a culture of adaptability can enhance the ease of adoption.
Embracing technology is not just a necessity; it's an opportunity to stay ahead in the competitive automotive industry.
Strategies for Success:
- Determine metrics that matter.
- Seek a partner rather than a vendor.
- Prioritize integrations.
- Get buy-in/input.
- Drive adoption.
- Socialize wins.
