CRM & AI Glossary

Plain-English definitions for dealership conversations
CRM Basics

CRM Customer Relationship Management

Software that tracks every interaction with customers and leads. It's the single source of truth for your sales pipeline — a digital Rolodex that remembers every conversation.

Dealer example: A walk-in asks about a truck. You log their info. Next time they call, any salesperson sees their full history.

Lead

A potential customer who has shown interest — filled out a form, called in, walked in, or messaged. Leads are the lifeblood of sales.

Pipeline

The visual stages a deal moves through: New Lead → Contacted → Appointment Set → Test Drive → Negotiation → Sold. A healthy pipeline always has deals at every stage.

Follow-Up

Any contact after the initial interaction. The #1 reason dealers lose sales is poor follow-up. A CRM automates reminders so no lead falls through the cracks.

Opportunity

A qualified lead with a real chance of buying. Once they express serious intent, they become an opportunity.

Contact Record

The complete profile of a customer: name, phone, email, vehicle interests, purchase history, every note from every interaction.

Technical & Integration Terms

API Application Programming Interface

A way for two software systems to talk to each other automatically. When your website form sends a lead directly into your CRM — that's an API.

Dealer example: A customer fills out "Get a Quote" at 11 PM. The API sends their info straight into your CRM, creates a lead, and triggers an automated text reply.

Private Integration

A custom-built connection between your CRM and another system built specifically for your dealership. Tailored to your exact workflow and data needs.

Dealer example: When a vehicle sells, it automatically removes from your website and updates the lead's deal status.

Webhook

An instant notification from one system to another when something happens. Real-time push updates instead of polling.

Dealer example: Customer opens your email → webhook fires → salesperson gets a "hot lead" alert to call now.

Automation / Workflow

A sequence of actions that happen automatically. "When X happens, do Y." Saves hours of manual work daily.

Dealer example: New lead → auto-text → wait 30 min → email with inventory → wait 24h → task to call. All automatic.

Drip Campaign

Pre-written messages sent over time to nurture leads not ready to buy. Keeps your dealership top-of-mind without manual effort.

AI & Usage Costs

AI Agent / AI Assistant

Software using artificial intelligence to handle tasks autonomously — qualifying leads, booking appointments, sending follow-ups. Works 24/7.

Dealer example: Customer texts "Any 2024 F-150s under $50K?" at 2 AM. The AI checks inventory, responds with 3 matches, and books a test drive.

Usage Costs

Per-action cost of running AI. Every text, call, or lead processed costs a small amount.

Rough ranges: Text: $0.01-0.05 | AI call: $0.10-0.50/min | Lead qualification: $0.02-0.10 | Email: $0.001-0.01

Bottom line: 200 leads/month ≈ $50-150/month in AI usage vs $4,000+ for a BDC rep.

Token

The unit AI uses to measure text. ~1 token = 0.75 words. We handle this — you never need to think about it.

Training / Fine-Tuning

Teaching the AI your inventory, pricing rules, policies, and tone. This makes the AI sound like YOUR dealership.

Dealership-Specific

BDC Business Development Center

The team responsible for handling inbound leads and setting appointments. AI handles 80% of BDC tasks at a fraction of the cost.

ILM Internet Lead Management

Handling leads from online sources. Responding within 5 minutes vs 30 minutes doubles your close rate.

DMS Dealer Management System

Core dealership software — inventory, accounting, F&I, service. Common: Reynolds & Reynolds, CDK, Dealertrack.

Speed-to-Lead

How fast you respond. Responding within 1 minute increases conversion by 391% vs waiting 30 minutes. AI makes sub-10-second responses possible.

Conversion Rate

Percentage of leads that become customers. Average: 8-12%. With CRM + AI: 18-25%.