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CDK Global, a leading enabler of end-to-end automotive commerce, is taking a bold step toward revolutionizing its Dealer Management System (DMS) offerings by introducing CDK Drive Flex DMSaaS. Drive Flex includes user-friendly features and a groundbreaking pricing model that flexes with the unique business needs of dealers who operate one or two locations. The new cloud-based DMS, designed from the ground up, includes these innovative features:
• Pricing that adapts to dealer business activity. A first among DMS offerings, this commercial model will be beneficial to small business owners who must contend with seasonal and macroeconomic cycles. Rather than having a fixed monthly amount due regardless of business activity, Drive Flex pricing adjusts with each dealer's business volumes for better cash flow and margin control. Using three common metrics sales, system users, and repair orders pricing adjusts to volumes with a clear line of sight for business planning and growth.
• With a simplified, modern user interface, self-evident workflows and generous core service bundles, dealers can focus on serving customers and growing their businesses.
• The freedom to operate untethered. Using web-based architecture, dealers can stay in touch with the business from virtually any browser or internet-connected device. No more special PCs and no VPN mean significant reductions in infrastructure costs and greater operating flexibility.
• Real-time business insights through operational management reporting and data visualization leverage the CDK Executive Eye technology, giving Drive Flex customers the core insights they need to stay in tune with daily operations.
• Modern Application Programming Interfaces (APIs) that enable easy integration to other software offerings put the dealer in control for future growth and innovations.
• 256-bit encryption technology increases data protection as it flows end-to-end through transactions and to and from other systems. Drive Flex is available on Amazon Web Services (AWS) for a reliable and secure experience.
• System migrations that used to take weeks and disrupt a dealer's business will now take just hours. Migrations can be done completely remotely, reducing downtime and freeing up valuable dealer resources.
"CDK Drive Flex is an innovative web-based DMS perfect for dealers with just one or two locations," said Brian MacDonald, chief executive officer at CDK Global. "The system introduces a groundbreaking commercial model that adapts to the individual dealer's business activity. We've been developing this solution for some time and know it will help smaller dealers who really need this kind of solution for managing their businesses," he said. "When business volumes and fixed costs don't match up, that can really put pressure on the P&L," MacDonald noted. "Drive Flex offers a simplified, modern user interface and all of the core features a dealer with one or two locations needs to allow them to focus on customers and growth. We're looking forward to introducing Drive Flex to customers at NADA."
Dealers can experience a demonstration of the Drive Flex in Booth 2216 at the NADA Show 2018 in Las Vegas March 22-25.
What is CDK Drive Flex DMSaaS?
CDK Global is taking a bold step toward revolutionizing its DMS offerings by introducing CDK Drive Flex DMSaaS. This new Dealer Management System as a Service was designed based on dealer input and includes user-friendly features along with a groundbreaking pricing model that flexes with the unique business needs of dealers who operate one or two locations. Drive Flex avoids the one-size-fits-all approach of other DMS offerings. With Drive Flex, the system's cost aligns with activity levels, helping improve a dealer's profitability. Along with a modern user interface, self-evident workflows and web-based architecture, Drive Flex gives the dealer core insights into how their system is used by staff, making their cloud-based DMS a vital tool for improving business operations and spotting new opportunities.
What is unique about Drive Flex DMSaaS?
This groundbreaking DMS as a Service is built to not only simplify and modernize a core dealership system, but to also help dealers better match their costs to actual business activity. Smaller dealers can be affected by minor swings in the market that challenge their ability to offset fixed costs with lower business volumes. Drive Flex addresses this key business issue for dealers, helping them better protect profitability. In addition, Drive Flex was built for the future of automotive commerce and features a modern user interface and self-evident workflows along with tools to help the dealer gain more insight into their business. The entire system is accessible on AWS.
What is Flex pricing and how will it work?
Drive Flex pricing is based upon three standard automotive retail business drivers: sales volumes, repair orders, and system users. Our customers know in advance exactly how the pricing is calculated, so there are no surprises. With this flexible pricing built in, dealers will enjoy "right-sized" pricing, both when business is good and when business might be softer.
Why is having a web-based architecture important?
By having our Drive Flex system on AWS, it untethers the dealer and allows them to operate more flexibly and efficiently. They can access their dealership from any device, anywhere at any time. They no longer need special PCs or VPN connections. And because we will use state-of-the-art 256-bit encryption, we'll be able to meet their data and system security needs.
I have two stores now… what if I add two more?
Drive Flex has been designed to make moving up to the CDK Drive DMS an easy process. If dealers continue to grow and add stores, they will be able to migrate to Drive and its additional features quickly and seamlessly.
How does this fit into the CDK business strategy?
CDK enables end-to-end automotive commerce, helping dealers increase sales, operational efficiency, and profitability. Drive Flex will attract a segment of customers that has been particularly frustrated with their DMS options in the past. The revolutionary and flexible commercial model we are introducing closely connects our success with theirs while demonstrating our focus on putting our customers first. It also provides us with several foundational elements that will help us strengthen our Drive DMS product over the next several years and bring exciting innovation to all our customers that will help them be even more successful.
Others have announced their plans to offer DMS as a Service. How is Drive Flex different from those other products?
We've been working on this groundbreaking solution for some time. We didn't want to simply move our DMS to the cloud we wanted to do much more for dealers. The unique Drive Flex commercial model is a real game-changer that puts the smaller dealer in the driver's seat. We strongly believe that this new model is needed by these dealers to better manage their businesses for the long-term. In many ways, this flexible model closely connects our own success to theirs, and we wouldn't have it any other way. You've heard us say that we're listening. Drive Flex is one of the outcomes of carefully listening to customers and giving them what they have asked us to deliver.
About CDK Global
With more than $2 billion in revenues, CDK Global (cdkglobal.com) is a leading global provider of integrated information technology and digital marketing solutions to the automotive retail and adjacent industries. Focused on enabling end-to-end automotive commerce, CDK Global provides solutions to dealers in more than 100 countries around the world, serving approximately 28,000 retail locations and most automotive manufacturers. CDK solutions automate and integrate all parts of the dealership and buying process from targeted digital advertising and marketing campaigns to the sale, financing, insuring, parts supply, repair and maintenance of vehicles.
Media Contact: Rob Duda - Peppercomm
E: cdk[.]peppercomm.com.
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