This year, as several iterations of the technology have reached a new level of maturity, the infamous two initials have rarely been out of the news. Since 2011, digital assistants like Apple’s Siri may have made it possible for humans and machines to hold somewhat rational talks based on the latter’s algorithmic pattern recognition systems analyzing databases of pre-defined yet updatable conversational criteria. But in 2023, ChatGPT-4 and Google’s Bard were released, unleashing previously unheard of levels of AI creativity that could – after a few human prompts and suggestions – design a very credible-looking car, create a new music video that appears and sounds like Kanye West but isn’t, and perhaps soon, to bring it back to Motor Trader’s frame of reference, sell a car, by following the instructions of the human designer.
In fact, the press release from the Swedish business Phyron that claimed to have ‘world-first’ voiceover technology integrated to their AI-powered video software and declared boldly that “AI will be selling cars by 2025” served as the inspiration for this piece. After being sufficiently attracted, we sought out Johan Sundstrand, the CEO and founder of Phyron, and inquired further. How concerned should auto salesmen be? was our direct first query.
Sundstrand responds calmly, “First off, humans won’t entirely be replaced by AI. Companies who decide not to use AI, however, will find themselves outcompeted. By when? 2025 was mentioned? Things are happening extremely quickly, says Sundstrand. “AI is still not truly capable of comprehending human emotions or developing positive reactions, like a human can. They were once manufactured by hand, but today humans and robots work together to create them. Some AI tools are still in the experimental stage, but I’m confident that in a year or two, they will operate without error. We frequently observe salespeople using Chat GPT software to create selling notes that outline automobile specifications and how to use specific accessories, particularly in the Nordic countries.
The capacity to produce voiceovers with various UK accents is Phyron’s new USP, which helps to keep the sales pitch feeling local. “We train our AI based on OEMs’ databases to give a very accurate voiceover,” claims Sundstrand. We currently have clients in roughly 25 different nations. There are so many dialects only within the UK; I believe there are ten. As a result, there are 45 different variations worldwide. You don’t want an American voice marketing cars everywhere, after all.
Robert Forrester, chief executive of Vertu Motors, reiterated Sundstrand’s views in his presentation at the recent Driving Digital event hosted by the NFDA. From eCommerce, he stated, “the focus must shift to eColleague.”
“Tech must enhance and enable the physical dealership if it is still important, rather than trying to replace it. The sector needs to concentrate on getting more done with less. The return on investment will depend heavily on increasing sales per sales executive or service advisor through digital efficiency.
Sue Robinson, the chief executive of the NFDA, also sees the use of AI in marketing, lead management, stock management, team rotas, service reminders, and bookings. She does, however, add a word of warning: “AI has the unique ability to alter the automobile retail industry, making operations more efficient, lowering overheads and improving the consumer experience. Dealers must, however, consider the potential human costs of these developments as well as any possible impacts to privacy (GDPR) requirements.
One 25-year sales veteran we spoke with, who wished to remain nameless, has an equally fair perspective. “I could see it working there because when I used to sell mainstream cars, there was frequently little emotion from the consumer in the buying process. They might choose a color, but not much more. But now that I work for a highly premium brand, my clients demand a close connection. They want to visit the dealership, touch the seat leather, sip champagne, and converse. We can use AI to our advantage by using stories and reviews to promote cars online.
That’s smart. While AI may make certain human tasks easier or even disappear, Phyron’s Sundstrand anticipates the creation of new ones. “I’m already seeing consultancy companies starting with product engineers, and other new roles saving many hours per day,” he claims. “Making a video for a website is considerably different than making one for Meta or TikTok. It might be lengthy and detailed on a website, and you may include information about the service agreement and your dealership. You don’t have that time on TikTok, though. You require a different kind of flow.
Additionally, if the video doesn’t work, AI can update it with new context and backgrounds. We don’t want to change it too much, though. By utilizing AI to change the brightness and make things “pop,” we could make an automobile look incredibly amazing. The dealership should be able to reduce time to market simply by automating some processes.
It’s not a high-end offering and is more akin to a volume marketplace classified listing service, according to Sundstrand, who claims that Phyron’s technology is affordable for both small and large dealers. Basically, it costs less per automobile than the price of a cappuccino. It’s more or less a membership dependent on the quantity of cars advertised. We take a portion of the media if you choose to use the program to purchase advertisements across multiple places and formats. There are no hidden things.
