"Guaranteed human" — How AI makes connection critical | Joey Zanetis, EVP iHeart Media Automotive
AI is rapidly changing the automotive retail landscape. The question isn't whether it will impact your car dealership, but how to leverage it without alienating your customers. Are you ready to integrate AI in a way that amplifies, rather than diminishes, human connection and trust?
In this episode, you will learn:
Why 90% of consumers still prefer human interaction even while using AI.
How to use AI to drive "auto un-intenders" – high-value customers who aren't actively shopping – to your store.
The critical role of brand health in retaining loyal customers and avoiding the "race to the bottom" on pricing.
Practical strategies to make your dealership more accessible to your target audience using audio channels.
Joey Zanetis, Executive Vice President at iHeart Media Automotive, shares insights from extensive consumer studies on bridging the gap between cutting-edge AI and the timeless need for human connection in sales.
Timestamps
00:00 Intro
00:53 Guaranteed Human Explained
04:00 Redefining Smart in AI
06:48 Human vs Machine Trust
08:00 Influencers and Honest Reviews
11:01 Brand Health and Trust
15:32 Cross Platform Audio Strategy
20:18 Auto Unintenders and Profit
22:36 Podcast Outro
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Episode Transcript
[0:13] Intro
Michael Cirillo: All right gang, we are here. The Dealer Playbook live at NADA, hosted by iHeart Media Automotive and Auto Media Marketplace. The energy here this morning is delightful. It's delightful. That's the only way I know how to say it.
Today I am joined by my new pal Joey Zanetis. He's the Executive Vice President at iHeart Media Automotive. Joey, thanks so much for joining me on the DPB.
Joey Zanetis: I'm excited man, thanks for having me.
Michael Cirillo: You and I, I think we clicked. I don't know if it was the beards, I don't know if it was the aspiration I have for the hair. We connected pretty quickly on the conversation of human to human connection.
[0:53] Guaranteed Human Explained
Michael Cirillo: From your vantage point at iHeart Media Automotive, working with all of the dealers and all of the access you have to data, which is pretty incredible, what are you finding this day and age when there's so much hype or zealotry? To come through the middle with a sentiment that I've heard you say, which is "guaranteed human." Tell me about that. What does it mean? How did you come up with it?
Joey Zanetis: Guaranteed human is a core value for us at iHeart that we're talking about a lot right now, and it's because of the evolution of AI and the way people are targeted with algorithms. All of those things should make the data they receive more relevant, should be smarter data. But what we found through consumer studies that iHeart has done is that most people still want to hear media voices, recommendation voices, trusted voices from a human. Taking the AI side of the business and all of the data side of the business, curating the content, and then having it delivered by a human is the strongest place to be.
I think it was something like 70% of people in our study said that they use AI and they use it often, but 90% of them said they want to get their messages from a human.
In the car business specifically, we are at an interesting moment where there are a lot of people out there who have been told that it has not been a good time to buy a car. Whether it's high interest rates, higher prices, low inventory — they have been told these stories. And so they are just kind of sitting there out of the market, waiting for a trusted voice, a human, a person that they feel is a friend of theirs to tell them, "Hey, it's okay. Now is a good time." It is driving more connection with high value consumers than ever in the auto space.
Michael Cirillo: For those that are willing to see it that way, it speeds up human connection. It's like the catalyst for actually getting us to shake hands faster. But then there's the other side of it. People are saying, "No, it's going to replace us." So what do you say to those individuals? You have the data, you have the studies, you have more than enough evidence that says otherwise. What should they be thinking about to avoid the zealotry?
Joey Zanetis: I think people should look inward, because it's innate within us that everybody wants to connect, especially with large purchase decisions like a car. You want to hear a recommendation from a friend. You want to hear a trusted voice with real background behind it. People know you from your show. They know what you're about. So when you say something, there's that credibility behind it. You don't want a large purchase like this to be all machines. You want that human connection when you go into the dealership. Hospitality is important, as our guest earlier Jeff Swickard was talking about. That all comes through human connection. People know this, they just don't think about it a whole lot.
[4:00] Redefining Smart in the Age of AI
Michael Cirillo: You know what's interesting as you're saying this, I recently saw a video of Jensen Huang, the CEO of NVIDIA. He was asked the question, "Who's the smartest person you know?" And he said that's a really interesting question because the definition of smart is changing. He said smart used to be somebody who could solve a problem or had a very specific skill set, like software programming. Then he said, well, what's the first thing AI figured out how to do? Software programming. So the definition of smart is shifting toward the person who, with their experience, wisdom, and ability to see around a corner, can discern and think a few steps ahead. That anchors right to what you're saying, Joey. You become the filter with a filter set in your core that a machine doesn't have and could never care about.
Joey Zanetis: It's all about human connection. And it's street smarts coming back. One of the reasons we are so excited to partner with you is that through the podcast space, you have felt this for a long time. People in the audio and content environment feel human connection. Podcast hosts and creators are broadcast influencers in our market. They know how to connect with people. That's our expertise. If they are armed with the right data and you let them make the human connection, everything works better. People have a better experience, they get what they want, they feel great about it.
[6:48] Human vs. Machine Trust
Michael Cirillo: Someone might argue, "Well, I can trust a machine. Pilots trust autopilot." But there's a difference here. How would you best describe the difference between trusting that human filter versus putting your trust in a machine?
Joey Zanetis: Operationally, machines work and you want small margins of error, like in your pilot analogy. You want that streamlined. But when you're thinking about something that's right for you, whether it's a purchase or a way to feel about something, you don't want a process to tell you that. You want a human to tell you based on their experience, based on how they felt about it, based on the impact it made on them. The operation you want streamlined. But you still need a person to make the connection, make it relevant, and activate all of it.
[8:00] Influencers and the Power of Honest Reviews
Michael Cirillo: This is making me think about influencers like the Car Mom, Kelly. What is she if not the human lens that opens up understanding for her target audience? She does car reviews entirely through the lens of being a mom. She's looking at a Telluride or a Santa Fe and she's saying, "I'm a mom, I understand what you're going through, I know what I'm looking for, and because I do this with a lot of vehicles I've learned to ask questions you haven't thought of yet." She's not pushing a particular vehicle.
I think of another brand. Motorcycles. There's a company I follow where the guys talk honestly, good and bad, about every product they carry. Revzilla wants to sell every helmet, every glove, every riding pant and riding shoe. But they'll tell you, "Hey, if your head is this shape, this helmet may be uncomfortable for you." And what that does is make me want to buy their products from them even more. Is that the vibe you're seeing?
Joey Zanetis: Absolutely. Trust is at the root and heart of this. If you go in and say everything is great for everyone, that's a quick way downhill because trust erodes. People know that everything isn't right for them, but the right thing is right for them. Building trust in recommendations and knowing the person you're talking to is first and foremost. It becomes about audiences and fit.
Michael Cirillo: Some might say that's Marketing 101. Know who you're talking to. Be valuable to somebody, not worthless to everybody.
Joey Zanetis: Exactly. So many things have moved toward data and analytics that a lot of people forgot about the connection part. What we found is that when you have brand health and trust, and you're having the right conversations in the right way, all that other stuff works better. It supercharges everything else you're doing with the data.
[11:00] Brand Health and Trust
Michael Cirillo: Brand health is the silent enabler or silent killer of a company. Across your partners, thousands of them across the country, is brand health showing up as a success factor or a deterrent?
Joey Zanetis: Brand health is key to everything when it comes to success, especially in the car business because there are so many ups and downs. I was talking to a dealer the other day who said, "I've been super successful because I'm Steady Eddie. I have my brand out there, I connect with the community, people know me as the person they can count on." No matter what's happening, he gets the highest value people coming to him because they trust him and believe in him.
You said something to me the other day that really resonated. You can measure the people coming into your business. What's hard to measure is the people who leave and turn their back on you. When trust erodes and you don't have brand health, you're always trying to fill a wheel while people are going out the back door at the same time. Build trust on the front end, make it the backbone of everything, have the right conversations with the right audiences, and everything changes.
Michael Cirillo: I'm thinking about the downward spiral of deteriorating trust. At what point did we start spending this much to get every lead? For those who feel like their brand needs to be stronger, where do they start?
Joey Zanetis: Audio is interesting because 31% of the time people are exposed to ads in a day comes through audio. Most people don't think about that. Our recommendation is to find the right audience and the right trusted voice that knows how to talk to them, then let them talk to their people. A mistake we see a lot is giving really strict guidelines on what needs to be said and when. You know your audience and you know what's going to resonate with them. Let the person telling that story and building that trust tell it in the way that's going to resonate. That's the core thing.
Michael Cirillo: Authenticity.
Joey Zanetis: Authenticity. In the message and in the delivery.
Michael Cirillo: I think about how many opportunities I've turned down because once something passes through my filter, I realize I can't authentically vouch for it. iHeart Media Automotive I can vouch for because I believe in it and I'm already doing it. There's a level of intangibility to it. As a creator I sometimes think, "Wait, all of this happened because of a podcast?" Imagine if you were doing it intentionally. The power of that for dealers.
[15:37] Cross Platform Audio Strategy
Michael Cirillo: How should dealers be thinking about audio and where it fits in the media mix? There's often a divide between traditional and new age. Is that evolving?
Joey Zanetis: Our mission is to provide a friend for people wherever they are, whenever they want it. We do that through all platforms, podcast and broadcast. We recently did a deal with TikTok, working with TikTok creators and doing segments in both broadcast and podcast. The cross-platform approach is so important because people consume media and audio across all of those platforms. It's about finding the tie that binds and reaching the right audience throughout.
Michael Cirillo: To validate that, audio is actually number one for me because I can consume it while driving, mowing the lawn, shoveling the driveway. It's far more convenient than anything else, and when done right it can be a really immersive experience.
Joey Zanetis: Very emotional. And that's really why it's so important for the car business specifically. This is an emotional, large purchase for most people, the second largest they'll make. They want a trusted recommendation. They want to feel good about it. They want to connect with somebody and feel like it was the right decision.
Michael Cirillo: Imagine audio reviews of a vehicle you're considering. You throw an earbud in and hear your questions answered in a real, human way. If your dealership isn't doing it, somebody else's will. The opportunity is such a level playing field right now.
Joey Zanetis: Think about this. We talk about owning the car as a way to capitalize on audio. It's like if Crest could advertise in the bathroom mirror to somebody with yellow teeth. Advertising in the car just makes sense. When someone is looking at a nicer car going by, thinking about how theirs is old, that is the place to be. Coupled with trust, you have intent.
[19:41] Auto Unintenders and Profitability
Michael Cirillo: The summation of what I'm feeling as you speak is that opportunity abounds, but you have to be looking from a different angle. Most dealers are just trying to catch up to their competitor, not realizing their competitor is doing the same thing. We're like a murmuration of starlings with no leader. Everyone needs to talk about profitability these days.
Joey Zanetis: When everybody is going after the same auto intenders, those customers are shopping around a lot and profitability starts to go down because they're exposed to everybody's pricing. Race to the bottom.
There's a concept I call the auto unintender. These are the people who are going to buy a car but don't know it yet. Through trust, you're changing their mind to say it is a good time. These are the highest value customers out there because they already want to buy from you. They're going to shop fewer places. They're going to say, "I know where I'm going, I'm going to buy from Michael because I believe he's going to give me a good deal. I heard about it through a trusted source." This customer who walks in without ever submitting a lead because they already know where they're going — that's the highest value person a dealership can have.
All of it together starts to make sense. You want to give them all the right low funnel ways to interact and come to you. But if they don't have that foundation of belief that they're going to get the right deal at the right time, it falls apart.
Michael Cirillo: It's an accessibility thing. How accessible can I become to my target audience with information that will actually help them make better decisions for their family?
Joey Zanetis: And we love when dealers jump on and get involved. Not everybody wants to do it. We use influencers. But it's that authenticity that really drives it.
[21:59] Outro
Michael Cirillo: I love this conversation. We are going to have you back on and talk more about the auto unintender. We are here at the Auto Media Marketplace booth, hosted by Auto Media Marketplace and iHeart Media Automotive. Joey Zanetis, EVP at iHeart Media Automotive, how can those listening or watching get in touch with you?
Joey Zanetis: iHeart Media is in your area, so look it up. If not, reach out to me, Joey Zanetis, on LinkedIn. We have auto specific leaders across the country and we can connect.
Michael Cirillo: You're the man. Thanks so much for joining me on the Dealer Playbook.
Joey Zanetis: Thanks so much Michael, appreciate it.
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