AutoSuccess August 2012

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2012 AUGUST

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The #1 Sales-Improvement Magazine for the Automotive Professional - featuring Dealer Peak

Transcript of AutoSuccess August 2012

Page 1: AutoSuccess August 2012

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More deals means a more successful dealership. And no one knows this better than John and his team at Germain Motor Company. Provision™, vAuto’s inventory management system, helps them sharpen their store-

specific used vehicle strategy so they can find the right cars to meet their growth and profitability goals. They’ve got the numbers to prove their strategy-driven success. This year is on track to break records, with a 20% increase in used vehicle sales and a 30+% boost in net profitability.

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marketing solution

leadership solution

sales & training solution

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less mass to adapt without delaysChristianThornton 38

from lazy to Crazy: how to transform Non-performing salespeople into superstars

JimmyVee & travisMiller 28

dennisMcGinn 20 reCoNditioNiNg traNspareNCy aNd aCCouNtability

master your CraftseanV.Bradley 36

make Video seo a key CompoNeNt toyour digital strategy

aJLeBlanc 26

susanGivens 08 sales proCess best praCtiCes: ipad selling systems

trade-iN “the seCret to the sale”shawnClos 10glennPasch 32 fiNd iNspiratioN outside your iNdustry

markTewart 34 are you a professioNal or a lot lizard?

make data part of the dealrussellGrant 42

dalePollak 30 three ways to boost your CompetitiVeedge iN used VehiCles

andrewPrice 22 doN’t forget the fuNdameNtals of lead CoNVersioN

hiriNg the best sales taleNt for your teamJeffDoerrer 40

susanGivens 12 the iNdustry’s best eVeNt: it’s the oscars of the auto industry

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Susan Givens is the publisher of AutoSuccess. She can be contacted at 877.818.6620, or by e-mail at [email protected].

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sales & training solutionSusanGivens

sales proCess best praCtiCes:ipad selling

systems

Tablets and smartphones have created a mobile society with a large group of consumers who use and expect technology everywhere. A recent Greystripe study indicates that 78 percent of smartphone owners intend to use their phone in the car-buying process (there are more than 100 million smartphone users in the United States).

The good news is that dealerships can now use mobile technology to their advantage and engage the customer using an iPad Selling System.

What is an iPad Selling System? At the core of it is a comprehensive automotive iPad app that’s used throughout the sales process to build understanding and value for the vehicles, dealership and sales consultant. It creates a “wow” factor, making the shopping experience more personal — enhancing customer engagement and increasing customer satisfaction. As an added bonus, sales consultants who hold an iPad are generally perceived as more professional right from the meet and greet.

meet & greetFirst impressions can make or break a sale. Done properly, sales consultants can use the iPad Selling System to immediately position the dealership as cutting edge and unique. • While greeting the customer, hold the iPad

facing outwards with a bright red car on the screen. This is an excellent way to captivate the customer.

• Introduce your iPad Selling System, explaining that your dealership uses state-of-the-art technology to make the sales process quicker and more enjoyable. Most customers love experiencing the cutting edge.

• If an appointment has been scheduled in advance, show the customer how you’ve prepared for them by sharing their preferred vehicle and potential other choices you’ve identifiedforthemontheiPad.Thisbuildsrapportandconfidence.

Needs analysisBy understanding the customer’s wants and needs, the sales consultant will be better equipped to land them on the right vehicle. Use

the iPad to conduct the needs analysis, to help you capture valuable customer information in a more structured way. • If your iPad Selling System has the capability to push customer info directly into your CRM,

you will be able to connect with them later to provide meaningful follow-up (e.g., e-mailing requested information or videos).

presentation An iPad Selling System helps the customer understand and maximize the value of the vehicle during the presentation portion of the sales process. • Use the iPad during the walk around presentation to reinforce the features that are most

important to your customer.• Play videos of the innovative technology and showcase the differences between trim levels.

demo driveThe mobility of the iPad Selling System enables the sales consultant to answer questions even during the demo drive, when they are away from WiFi.

During the drive, the passenger can use the iPad to explore technology videos and learn more about the vehicle.

Closing the dealAt this point in the sales process, the iPad Selling System has already helped the sales consultant build value for the vehicle. Here are some ways to use it to close the sale:• Ask the customer if they are settled on your make or model. If they are still considering others,

use the iPad to compare the vehicles and point out your advantages.• Differentiate and build value for your dealership •Show them a “why buy here” video •Share convincing, humorous and touching customer testimonials

deliveryA world-class delivery leaves a strong, positive, lasting impression of the dealership and sales consultant (which can generate future referrals). Use your iPad Selling System to help the customer thoroughly understand their vehicle and its technologies. • Share the delivery checklist and personalized settings documents directly from your iPad.• Play “how to” technology videos in the vehicle as they follow along. • E-mail the customer a library of “how to” technology videos while you’re in the vehicle for

later reference.

Jason Graciano, sales manager at Paragon Honda (the No. 1 new and used Honda Dealer in theworld)hasseenthevalueofthesebestpracticesfirsthand.“Customerswantthingsthatare quick, easy and fun,” he said, “and that’s what the iPad Selling System allows today’s sales professional to do.”

“The iPad Selling System is a powerful tool that revolutionizes customer-consultant interaction. We continue to see that these best practices ‘wow’ the customer,” said Jim Hughes, principal of IntellaCar, the iPad Selling System used by Paragon Honda. “Customer engagement is key — usetheiPadtomakethecustomercomfortable,confidentandreadytobuy.”

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A recent article quoted automotive research that showed the following:While sales are increasing, service business is decreasing!This recent downturn of service business has been a direct result of the drop off in sales that occurred during the economic downturn. It’s just math....

Slow car sales a few years ago equals slow service sales now. Consider the following:* Several studies have shown that the average

dealership retains only 19 percent of their customers from sales into service. That’s awful for the future health of your dealership.

* When you don’t retain customers into your service department, studies show that you don’t retain them for sales. Your service numbers directly reflect your sales numbers!

* If you don’t retain your customers, you will be forced to spend more and more advertising money to keep up your sales numbers.

Or you could easily and quickly solve these problems and make more $. Imagine the following:• 50 percent or more increase in Service RO’s• Huge increase in sales to service customer retention• Large customer pay increase• Surveys show that service loyalty massively increases

sales loyalty• Imagine also increasing new and used car sales at the

same time• Experience a 10 percent or more increase in vehicle

service contract sales as a result• Increase your front end gross profit, as well!

There are only four ways to increase the net profitof your dealership:1. Sell more vehicles.2. Increase your gross profit per vehicle.3. Increase your customer loyalty that will increase your

repeat business for sales and service.4. Decrease the time between sales and service visits.

Have customers who buy more, more often!

Here is the good news:And you can do all four things right now!

To get a quick preview of this revolutionary idea,just do the following:Call 888 2 Tewart (888 283-9278) and ask for Jaclyn. She will set up a convenient time to quickly and easily review the details. It will take all of 10 minutes!

There is more....I will give you a FREE bonus just for reviewing this. For your 10 minutes I will give you my distance sales training program 30 days for free. Train your sales staff with the best sales content in the industry.

Call 888 2 Tewart (888 283-9278) and tell Jaclyn that you want to review the 50 percent + program.

P.S. My question is, what would happen to your bottom line if you doubled your sales and service repeat business?

ipad sellingsystems

Page 10: AutoSuccess August 2012

sales & training solutionShawnClos

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As I travel and talk with managers and dealers, I am frequently asked to review and analyze different dealerships’ sales maps or processes to the sale. It is amazing to me how many overlook the power of the trade in. It’s my opinion that the trade in is, in almost every case, the No. 1 secret to the car deal.

In all cases, I have always trained sales consultants to look at and review the trade in with the client right after the meet and greet. Now, I am not talking about getting the trade appraised and giving the number up front; all that I want is for the sales consultant to gain some valuable information and build rapport with the client.

Here are a few ideas and suggestions to help you with putting the trade up front in your sales process:

First, the trade is the one place at your dealership that the client will feel comfortable enough to open up and will allow the sales consultant to start to gain and build rapport.

Second, I suggest that the sales consultant always offer the client to take them for a ride in their trade in. This gets the client away from the dealership and will, without a doubt, allow them to open up to the sales consultant more. This is, by far, the one way that a sales consultant will gain rapport and set themselves apart from most other dealerships.

Third, the sales consultant can ask some key questions that will allow them to add some tools to their tool belt when it comes to the new vehicle. Here are a few sample questions that can be asked:• What is the one reason why you are considering trading in your vehicle?• What do you like most about your trade in?• Is there anything that you would add, change or delete from your trade in?• What was the No. 1 reason you purchased this particular vehicle?• I see “X” amount of miles on your vehicle; do you anticipate driving about the same amount

of miles with your new vehicle? Sincethesalesconsultanthasputthetradefirstandcompletedtheaboveareas,theynowhavea clear understanding of what the client likes and dislikes. They have also built the ever-so-important rapport and have set themselves apart from the competition by showing the client that they do really care about their wants and needs. This is a simple solution that can be implementedintoanysalesprocess.Asyoucansee,Ifirmlybelievethatthetradeinisthesecretto the sale.

Shawn Clos is the president of Dealerslice, Inc. He can be contacted at 866.383.2107,or by e-mail at [email protected].

“As I travel and talk with managers and dealers, I am frequently asked to review and analyze different dealerships’ sales maps or processes to the sale. It is amazing to me how many overlook the power of the trade in. It’s my opinion that the trade in is, in almost every case, the No. 1 secret to the car deal.”

trade-iN“the seCret to the sale”

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Page 12: AutoSuccess August 2012
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It’s the Oscars Of the autO IndustryThe automotive industry’s top car dealers and leading thinkers recently gathered in Miami for the annual Automotive Leadership Roundtable & Awards festivities. The event was a packed 24-hour period which included a six-star dinner concert and reception at Miami’s Vizcaya Museum and Gardens with the legendary Tony Bennett and Alejandro Sanz, the most Grammy-award winning Spanish artist in history; a high-level executive roundtable featuring some of the most innovative leaders in automotive retail; and a six-star awards dinner at the Versace Mansion hosted by NADA Chairman Bill Underriner honoring Dave Power, the founder of J.D. Power and Associates and the number one selling dealers from each brand. The Roundtable, which was held in Eden Roc Renaissance Hotel’s famed Pompeii Ballroom, one of Frank Sinatra’s favorite venues, featured several speakers including the number one selling dealers from several brands: Garth Blumenthal, Fletcher Jones Motorcars, the number one selling Mercedes dealer; Brett David, Prestige Imports, the number one selling Audi dealer; Jim Dunn, JM Lexus, the number one selling Lexus dealer; Brian Benstock, Paragon Honda & Acura, the top certified dealer in the country and Honda and Acura’s top new and used combined dealership. Other elite speakers included Doug Frisbie, the Global Head of Automotive for Facebook, Google’s Kim Stonehouse, Scott Painter, CEO of TrueCar, Cesar Conde, President of Univision Networks, Sarah Marquis, Co-founder and CEO of MollyDooker Wines and Rudy Ruettiger, the Notre Dame football player who provided the inspiration to the movie Rudy. The Roundtable also heard from leading dealers such as JJ Jackintalle, President and COO of the Rick Case Automotive Group; Richard Bustillo, who runs Rick Case Honda, the brand’s most profitable dealership since 2007; and Bob Murray, Mercedes of Tampa. “I’ve been to a lot of different events like this, and I don’t think there has been an event that has kept me as engaged as the ALR did. I was glued to my seat and took close to 25 pages of notes,” said Underriner, who is the long time owner of Underriner Motors, a four-franchise dealership in Billings, MT. “The Automotive Leadership Roundtable is one of the best industry events I’ve ever attended.” “It was a pleasure to hear from guys that compete with each other sharing ways we can all improve. There are a number of things I’m taking away that will help us immediately as well as into the future,” said Joe Wilkins, COO, Pohanka Automotive Group, one of the top dealer groups in the country.

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Jim Dunn, JM Lexus, #1 Lexus Dealer, presented at ALR Miami 2012

Hagen Durant, Classic Chevrolet, #1 Chevy Dealer, who presented at ALR 2011 seated with Grant Cardone

David Boice; Garth Blumenthal, Fletcher Jones Motorcars, #1 Mercedes Dealer; Brian Benstock, Paragon Honda Acura, #1 Honda & Acura combined new and used; Sean Wolfington

Courtyard at the Versace Mansion, one of Miami’s most iconic venues

Frisbie gave an eye-opening presentation on how much customers are using Facebook in their research for a new vehicle. At least 88% of new vehicle buyers are on Facebook with almost 30% using it to research vehicles and dealerships – and that number continues to climb. He also provided examples of how dealers are leveraging the platform to sell and service more cars while reducing their costs of attracting customers. Stonehouse shared how innovative dealers are using Google and social media to stay ahead of their competition. Video walk-arounds of the vehicle are becoming popular with consumers as are Google hangouts and Google circles. Painter talked about how technology is creating more informed customers and how dealers can sell to them without losing profitability. Conde, President of Univision Networks, the leading Latino media company, provided attendees a glimpse into how important the often ignored Latino market is to automotive. One example he provided was how the nation’s top Kia dealer, Fuccillo Kia in Cape Coral, FL, leveraged the Latino market to vault to number one in less than a year. Conde also announced a partnership with GroupCars to launch the first U.S. Spanish Auto Buying Program. Participating GroupCars dealers get exclusive access to the Hispanic market, which at more than 50 million people, is the fastest growing demographic in the U.S. A pilot is scheduled for the 4th quarter of 2012 with a full launch slated for 2013. The Roundtable’s Product Showcase featured companies such as: BusinessRater, GroupCars, Driving Loyalty, DealerAppVantage, AutoPilot, CallRevu, Social Dealer, Tier10 Marketing, and Team Velocity which all provided five minute presentations on innovations they’re bringing to the market. “It’s one of the best I’ve ever been part of, having attended many industry events,” Frisbie from Facebook said. “I was impressed by the diversity of attendees and speakers. There was a multiple of different perspectives.” Rick Case’s Richard Bustillo attended ALR in Miami 2011 and returned this year as a speaker. “I was blown away last year by what

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ALR Host NADA Chairman Bill Underriner with wife Mary on the Red CarpetDavid Boice, Team Velocity; Ron Morrison, Tier 10 Marketing, with Bob Murray, head of operational marketing, Asbury Automotive Group (sitting) who presented at Miami ALR 2012

Jack Randall, Univision, with Peter Marlow & Syvetril Perryman, J.D. Power and Associates Jordan Starcher with Garth Blumenthal, Fletcher Jones MotorCars, #1 Mercedes Dealer and presenter at ALR Miami 2012

Tony Bennett with #1 Dealers and VIPs including Doug Frisbie, Facebook; Hugh & Judy Hathcock; Carolyn & Phil Delzatto, #1 Nissan Dealer; NADA Chairman Bill, Mary Underriner; David & Joan Power, founder, J.D. Power; Kate Balingit, Google; Bob Murray, Asbury Automotive; Grant Cardone; Mark Hersh, #1 Infiniti Dealer; Ken & Debbie Smith, #1 Chrysler Dodge Jeep Ram Dealer; Brian Benstock, #1 Honda Acura combined Dealer; Brett David, #1 Audi Dealer

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Ana & Sean Wolfington with Joan & Dave Power, the 2012 Automotive Leadership Legacy Award recipient

Brian Benstock, Paragon Honda & Acura, the country’s top certified dealer and the #1 Honda & Acura new and used combined dealer

Mayakoba Resort in the evening to which ALR attendees received two complimentary nights

NADA Chairman Bill Underriner (2nd from left) with wife Mary, Scott Painter, CEO TrueCar, Dave Power, Founder, J.D. Power and Associates

I heard from the other dealers, vendors and other speakers to the point that I changed my entire business model and plans I had for the dealership last year,” he told attendees during his presentation. After implementing one of the strategies I learned, we increased our average monthly repair orders from 3,000 to 4,100.” Rick Case Honda also became the top selling Honda dealer in the U.S. in June using what Bustillo picked up at ALR. Jim Dunn, a 40-year veteran of the industry, and like Bustillo, has attended multiple ALR events, said it is an event he would recommend everyone attend. “I was just blown away hearing all of the inspirational stories today,” he said. “And you get all of this information to take back to the dealership from successful people in our business. From the people you meet, to the events – everything is over the top.” Grant Cardone, a New York Times best-selling author and one of the world’s leading sales experts, called the Automotive Leadership Roundtable & Awards event, “The Oscars of the Auto Industry.” He’s spoken at multiple ALR events including the latest one in Miami. In Typical Cardone fashion, he urged attendees to stay positive but also to focus on their employees with training and motivation. “The energy here has just been phenomenal,” said Cliff Banks, ALR’s director. “Our focus at ALR isn’t just about helping dealers sell more cars and make more money. Now that’s important, but we want to help dealers and leaders in the industry impact their businesses, their communities and their families in positive ways. The last two days show that our sponsors, our speakers and the attendees have the same mindset.” In addition to having great content, the ALR included extraordinary events in the evening that were designed to foster interaction between guests. “It’s a great opportunity in a casual setting to get to sit down with folks to hear what’s really going on,” said Painter, one of the event’s sponsors. “I was impressed at how dedicated everyone was to giving it the time to have the serious conversations. No one was rushed or spending time on the phones.”

Bill Clinton with Tony Bennett and wife Susan at the Automotive Leadership Roundtable Fall Series in New York

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Richard Bustillo, Rick Case Honda, presenting at the Automo-tive Leadership Roundtable

Dale Pollak, founder of vAuto, presented at ALR Miami 2011

Tony Bennett performing at the Vizcaya Museum during the Automotive Leadership Roundtable

Sarah Marquis, CEO, Mollydooker Wines, one of the world’s top winemakers

Rudy Reuttiger, of Notre Dame’s Rudy fame

Mark Hersh, Pepe Infiniti, #1 Infiniti Dealership

Cesar Conde, President of Univision Networks, presenting at the Automotive Leadership Roundtable

Debbie & Ken Smith, #1 Ram Dealer, #1 Chrysler Dodge Jeep combined Dealer, at the Versace Mansion

Automotive Leadership Roundtable Awards Dinner by the pool at the Versace Mansion

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Jack Randall, Senior Vice President Client Development and Partnership Marketing for Univision, said he appreciated the intimate nature of the event. “I got to meet people and really get to know them and learn what makes them tick,” he said. “The ability to connect with people is what the ALR is about -- sharing ideas, best practices, learning from each other and getting to know people in a setting that is inviting.” “It’s an inspiring and uplifting event where people can pull what they need to from a business aspect but they can also pull from a personal motivation in terms of what they’re doing in giving back to the community.” For Underriner, seeing that in action was critical. “I think the most important part was hearing and seeing ways we can treat our guests and employees with the utmost respect,” he said. All of the attendees received a gift bag in their rooms that included a bottle of wine courtesy of Mollydooker Wines. The number one car dealers received a bottle of Mollydooker’s Velvet Glove, a 99-point award winning wine along with signed footballs by Rudy of Notre Dame fame. Attendees also received a complimentary vacation at the luxurious Rosewood Mayakoba Resorts in Mexico, known world-wide for its lavish villas that include private pools, electric boats and extraordinary amenities. Its lush mangroves, free-flowing waterways, and sparkling beaches offer a stunning eco-diversity.

Brett David, Prestige Imports, #1 Audi Dealer David Boice, Team Velocity; Sean Wolfington, ALR; Kim Stonehouse, Google; Kate Balingit, Google; Cliff Banks, ALR

Doug Frisbie, Head of Automotive for Facebook, presenting at the Automotive Leadership Roundtable

Kim Stonehouse, Google, presenting at the Automotive Leadership Roundtable

Top dealers received a bottle of Mollydooker’s award winning Velvet Glove wine

Page 19: AutoSuccess August 2012

Kim Stonehouse, Google, presenting at the Automotive Leadership Roundtable

The dinner concert, which kicked off the ALR event, was hosted by Univision’s Giselle Blondet, the host of the channel’s “Nuestra Belleza Latina” program. The seated dinner was catered by Thierry Catering, and the delicious desserts bar by Italian Lifestyle Catering by Puntino, owned by hotel impresario Cristoforo Pignata. The gala was sponsored by Mayakoba Resorts, one of the most exclusive luxury destinations in the Mexican Riviera; and Mollydooker Wines, one of the world’s most decorated winemakers and makers of Velvet Glove (99-point award winning wine) and The Boxer, the #1 rated Shiraz by Consumer Reports. Tony Bennett has become a favorite of the ALR. In September, the ALR for its New York Fall Series event, participated in Tony’s 85th birthday party concert, hosted by former President Bill Clinton and attended by celebrities such as Robert De Niro, Whoopi Goldberg, Katie Couric, Regis Philbin and Richard Gere. The dinner at the Versace Mansion, hosted by Bill Underriner, provided the perfect ending to the annual ALR awards event. Attendees were serenaded by Miami’s top Cuban Band and were treated to a concert by Tiffany Alvord, who recently cut an album in Nashville after getting 160 million hits on YouTube. A celebratory toast presented by Underriner and Marquis recognized Dave Power, the founder of J.D. Power and Associates as the recipient of the 2012 Automotive Leadership Legacy Award along with the number one selling dealers from each brand. Top dealers also were treated to a private tasting of Remy Martin’s Louis XIII cognac presented by Brand Ambassador Matthieu Levy. Platinum Sponsors of the 2012 Automotive Leadership Roundtable & Awards event included Team Velocity Marketing, ELeadOne and Tier 10 Marketing. Other sponsors included TrueCar, Univision, Mollydooker Wines, AutoPilot, BusinessRater, CallRevu, Car-mercial, DealerAppVantage, Driving Loyalty, GroupCars, IntellaCar, Offer Logix and Social Dealer.

Robert De Niro & Regis Philbin in NY celebrating Tony Bennett’s 85th birthday with the Automotive Leadership Roundtable

Ralph Paglia, founder of Automotive Digital Marketing, with Doug Frisbie, head of automotive for Facebook

Platinum Sponsors Hugh & Judy Hathcock, ELEAD One, at the Versace Mansion for the Automotive Leadership Roundtable Awards Dinner

The entrance to the Vizcaya Museum where Tony Bennett performed for the Automotive Leadership Roundtable

Phil & Carolyn Delzatto, Garden City Nissan, #1 Nissan Dealer

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leadership solutionDennisMcGinn

20 autosuccessonline.com

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Buyers for pre-owned cars are spending money again, and across the country dealers are feeling cautiously optimistic about this continuing. At the same time, the online competitive landscape demands new ways of reaching buyers through search powerhouses, like AutoTrader.com, Cars.com and, now, Google. With all this opportunity, can your reconditioning process keep up with a continually changing business environment?

While business is up in used car sales volumes, dealers have been slow to add new employees for fear another slowdown lurks around the corner. Consequently, recon staffs are working extra hours to keep the front line stocked with cars. This is not a healthy or sustainable situation, particularly with increasing demand for a quality product. Dealers are looking for innovative ways to help deal with the added workload for their reconditioning teams.

“Workflowcontrol,”aproventechnologymadespecifictoreconditioning,hasrecentlybecomeavailable, streamlining the recon process and making the use of spreadsheets or whiteboards completelyoldschool.Workflowcontrolisaflexibleandsimple-to-usetoolconfiguredto match each dealership’s recon processes. It starts with purchases and trades and makes every car visible at each step — all the way to front-line ready or wholesale.

So why does this work? There are many answers, but one clear improvement with workflowcontrolisthatallpartieshavethesame Web access to reliable and accurate

information, which is updated in real time. For example, any friction between the used car directorandthefixedoperationsmanagereaseswhentheybothknowconsistentlywherethe cars are and why. A most common root of this friction loops right back to an absence of accountability created by years of an assumption that whatever scorekeeping is in place can easily be discounted or ignored. This happens when someone else, besides the person doing the job, manually updates data onto whiteboards or spreadsheets, making room for error.

Workflowcontrolchangesallthisbecausethereisasolidbasisforhavinganintelligentandtransparent approach to making priority adjustments. More importantly, all the information is regularlyupdated,sobottlenecksandresourceconstraintscanbequicklyidentified.Thissetsupreconditioningforcontinuousprocessimprovement,includingusingoutsidevendorsforspecificrepairsandoverflowwhenneeded.

Dealersusingthesystemfinditadvantageoustoholdabrief,weeklyupdatemeetingwiththerecon team. They review the last week’s results and buy plan so they are ready for incoming purchases and trades from the weekend. Every car is visible online in real-time, even from mobile devices such as an iPhone or iPad. Accountability falls right into line as each individual completing the work controls the status of the car online (including RO numbers, added cost approvals and other informative notes) before passing it along to the next step.

Foracompletetransparentandvisiblesolutionintoreconditioning,workflowcontrolshouldbeon every dealer’s to-do list. Dealers are seeing a 50 percent reduction in their average recon cycle time, which translates into one or more additional inventory turns every year.

reCoNditioNiNg traNspareNCy aNd aCCouNtability

Dennis McGinn is the founder and CEO of Rapid Recon. He can be contacted at 866.268.3582, or by e-mail at [email protected].

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“For example, any friction between the used car director and the fixed operations

manager eases when they both know consistently where the cars are and why.”

Page 21: AutoSuccess August 2012

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marketing solutionAndrewPrice

doN’t forget the fuNdameNtals oflead CoNVersioN

Have you become so enamored with Internet leads, behavioral targeting, ad spending and social media that you’ve lost sight of the real bread and butter of lead conversion — the telephone?

Winning sales in the auto industry is similar to winning games in football. For most dealerships,customercallsrepresentthefirstcontact you have, much like the offensive anddefensivelinesinfootballrepresentfirstcontact of each play. If you win the battle in the trenches and over the phone, you’ll win the gameanddriveprofits.

As fundamentally sound as blocking and tackling can be, some teams choose the daring and exciting schemes over the more mundane proven winners. Dealerships that pour tons of money into and rely on new age digital marketing like social media, ad spending and behavioral targeting aren’t getting returns on par with successful phone handling.

The University of Michigan’s football

program is a perfect analogy. Under former head coach Rich Rodriquez, the Wolverines ranked 110th in total team defense and 107th in scoring defense in 2010. They surrendered 450 yards and 35 points per game, en route to a 7-6 record and a 52-14 defeat to Mississippi State in the Progressive Gator Bowl.

This was partly due to Rodriguez’s fascination with trick plays, and the growing popularity of thespreadoffense,whichisquiteflashyandexciting.Thespreadoffense,however,wasn’tthereason why the Wolverines were so porous on defense; it was that they took their eye off of what really wins games — blocking, tackling and defense.

Needless to say, having the 110th ranked defense and a 7-6 record was unacceptable, and Rodriguez was shown the door. In comes Brady Hoke, who, with an emphasis on the fundamentals such as blocking and tackling, improved the defense to 17th in the nation in total defense, and 6th in scoring defense. Coincidentally, the Wolverines enjoyed an 11-2 record and a victory against Virginia Tech in the Sugar Bowl.

If you haven’t guessed it, Rodriguez represents the fascination with new age digital auto marketing, while Hoke is the sound and productive version of old-school telephone driven auto advertising. Tackling and blocking isn’t glamorous, or even exciting, but those two elements are the key to winning — and Hoke knows that.

But do you, the general manager or sales manager, know that? Do you know that the most cost-effective and proven way to capture a sale is to train your employees exactly what to say and how to say it in order to capture a phone lead? What are you, the dealer, doing to ensure that fundamentals are in place?

A recent study from AutoTrader analyzed how buyers chose to interact with dealerships, and the results aren’t surprising. According to the study, 66 percent of all new car purchases (63 percent for used) came from customers walking into the dealership. Phone leads accounted for 21 percent for new cars (27 percent used), and e-mail leads totaled 13 percent for new and 10 percent for used.

Asyoucansee,walk-insmakeupthemajoritywhenitcomestofirst-contact with a customer. However, phone calls still reign supreme over all other types of digital marketing efforts. Knowing this, it’s not about the volume of incoming calls, but how you handle them that is so critical to capturing the sale and providing a positive experience.

A recent Polk study found that 60 percent of calls that were mishandled affected either the dealer or the brand. If phone leads represent the majority of non-walk-in contact with customers, and it’s proven to show that how you handle the call can directly impact the sale, wouldn’t it stand to reason that you should place a heightened sense of importance on turning every phone call into a sale?

Not to say that social media outlets like Facebook and Twitter don’t have their place in strengthening your brand and interacting with customers, but before you invest all that time into developing your social media, you might want to ask yourself how many sales they will generate.

Employees trained to optimize sales through phone leads are essentially winning the wars in the trenches. Although it’s not glamorous, the phone is where the rubber meets the road. Win on the phonesandyou’llexperiencehigherprofitsandgainsthanfromallother digital marketing campaigns.

Andrew Price is the president of automotive at CallSource.He can be contacted at 888.821.3770, or by e-mail [email protected].

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Many automotive dealership groups share little more than a name. The result of this lack of cohesion is inefficiency and resistance to change. Often, we find groups have separate

ads, separate goals and compete with one another for customers, often at the expense of the group’s profitability. This was the case at the Hubler Auto Group in Indianapolis.

eNter JoN berNa…Jon Berna had a unique understanding of the power of the centralized call center. Prior to joining the Hubler group, he consulted some of the bestandmostdifficultdealershipsacrosstheMidwest,helpingsetupbusiness development centers. From there he settled into a medium-sized Chevrolet dealership in Chicago’s northern suburbs. In a brief time, he helped take the store from “average” to the fastest growing Chevy dealer in the state. This is when he knew he was ready to take on a dealer group the size of Hubler.

In early 2011, when Jon took the position, he was nothing more than the latest in a line of e-commerce directors brought in by the owners to create a single, centralized business development center. His mission was to leverage the best available technology to give the group the ultimate tools,Websiteandadvantagesoverthecompetition.Formorethanfiveyears, owner Brad Hubler was committed to the goal to centralize the process. Yet, all of his e-commerce directors were met with a lack of buy-in from each of the store managers and, ultimately, mutiny.

“By the time I got there, everyone had the attitude that they’d seen that movie play here before,” Berna said. Despite the skeptics, Berna had reason to believe in the Hubler Group. “The direction the owners wanted to go and the direction I wanted to go aligned, and that’s why I moved my family from Chicago to Indianapolis. They were committed to doing something that very few dealer groups in the country were committed to doing, and that’s creating a centralized department and doing it on a scale that involved what we’re doing today.”

Ultimately, the goal of a centralized business development center overcame the individual silos that plague most dealer groups, resulting in an uncommon level of teamwork and cooperation between the 10 Hubler stores, the BDC and their vendor partners. “Our centralized call center is pretty unique,” Berna said. “This is a group where each store works together. In a lot of other groups, the stores run independently. That’s not the case here, even with selling vehicles. One dealership can sell off of another’s inventory at cost, which is very rare in the industry.”

to CeNtralize or to Not…The centralization of the BDC solved a major problem for Hubler — one that is common throughout the industry. “The key issue was that no

one knew why they were having good months or bad months,” Berna said.“Theydidn’tunderstandwheretheyweregettingtrafficfrom,whatwe were doing with them and what we weren’t doing with them. We didn’t understand lead accountability or transparency. A lot of decisions were being made with no information.”

igNoraNCe is Not blissPerpetuating this operational ignorance was fear. Berna believed that the store managers were actually afraid of a centralized call center sending customers to whatever store they chose, with no regard for which store brought in the lead, and that their customers would now be shopping other Hubler dealers against them.

“They never really had enterprise-wide information in the past, so they never knew how often customers were shopping multiple Hubler stores,” Berna said. “We’ve got customers that shop seven or eight Hubler stores in a month; they never knew that.”

all aboard! No waitiNg Key to his success would be to get the managers on board. “There was a lot of manager attrition,” Berna said. “There was a lot of people who had been here a few years, some much longer than that; many did not accept the change. But the commitment from management was critical to move forward. Many left on their own, and for the new people we recruit, the mindset was they have think this is the coolest thing ever. What we have now is a team who fully embraces it.”

In order to get the people who did stay to embrace this different approach to dealer group operations, Jon made open communication a priority. “We’ve done this with 100 percent transparency and honesty from Day One. Every interaction we have with customers is published internally. From inbound calls to live chat conversations, everything is fair game for everyone in the organization to see. That takes away a lot of the fear of not knowing what’s happening.”

And it worked. Even for some of the managers who initially fought hard against the changes, the efforts to get everyone on board helped calm fears. “We had one guy who was here for decades who fought it tooth and nail early on. He didn’t want to be a part of it, but he has really come around. He refused to log in to the CRM or take part in any aspect whatsoever. Now, he reviews everything before he desks a deal. He’s an active participant.”

doN’t take the word “partNer” lightlyA key for the management team to make informed decisions for maximum efficiencyishavingtherightpartners(someofyouknowthisasa“vendorrelationship”). “When I was consulting, I got to experience a lot of the softwareandtechnologythatisoutthereandgottoseefirst-handinastore setting how it actually worked,” Berna said. He demands a special relationshipfromhisvendors,onethatbenefitsbothparties.“Theprimarything I looked for was for them to play more than a support role; they need to be a vested part of our business,” Berna said. “The relationships I strive for with all of our vendors is that where we’re almost the mini-R & D team. We’re constantly working on improving their product, in return for a level of support of things that we feel are important. It’s not that they don’t do the R&D on their own; they just don’t have the same perspective. We see the problems every day that they can’t.”

To facilitate this relationship and start Hubler’s journey toward a new, centralized model required extra attention. He describes his relationship with Dealer Peak, his core technology partner, by saying, “We have an hour-long weekly call, every Wednesday, with the senior support team. We go over all the feature requests that I’ve submitted to them and go through each one.”

Then, there’s the bi-weekly call with the president of the company, who facilitates progress updates on improvements to the process and indicates how long things will take. “They’re receptive to continually improving their product,” Berna said, ”to the point that it was their idea to schedule this weekly call with me. They insisted.”

No CliChÉs fouNd hereIn a situation like Berna’s, where the organization is actively rooting

Page 25: AutoSuccess August 2012

against implementing change, a strong, smart and committed vendor is a necessity. “They’re vested in our success because ultimately, our success is a function and big part of their product. A lot of vendors start out really good, with a product that’s really strong, and they lose sight of that. They become too focused on volume. The key can’t just be on sales for vendors — but that’s what happens. Our cornerstone partner does it differently, andwefeelthebenefitofthat.Forexample,iftheyhireasalesperson,they hire all the support that goes with it. I’ve never seen anything like it. It sounds like the cliché, but they’re not just in it for the sale. They really want to have a partnership for a long period of time. What they tell you upfront is exactly what it’s going to be a year from then.”

eXperieNCiNg the differeNCe“In order to facilitate implementation, we were assigned a team to the project, which included their president,” Berna said. “This team facilitated a 10-store roll out for CRM and Website in just 30 days. They spent hours tackling the unforeseen technical issues, and communicated with everyone from the DMS to inventory management to get the job done.”

Beyond the technical aspect of implementation, Berna cites the help in handling the internal logistics of the BDC as key to success. “What came outofitwastheneedforaninternalcertificationprocess,whereBDCstaff would go through similar training as sales staff on product knowledge for each store,” he said. “All of their trainers had dealership experience and phenomenal CRM experience. They understood all the best practices for a modern day dealership to work. They trained everyone in sales, in group training and side-by-side, and then tested them so they could display thattheyknewhowtousethesystemover10days.Thefirstweek,thepresident was here working with me, side by side the whole time.”

And after all of the hard work, the roll out was a success. “It took a lot of habit forming after that; everyone doing their part,” Berna said. “Over the course of the last year, we’ve gotten better each month. We’re more knowledgeable.”

poised for suCCessNot only are Hubler employees more knowledgeable, they’re getting the job done by using their new capabilities with real, actionable intelligence. “The technology and software partner we chose empowers us to integrate with everything,” Burna said. “It allows us to be the hub for all information so we don’t have to go into multiple places. There’s one version of the truth, and that removes the confusion or the misinformation about what actually happened or what is happening.”

One of the tools that the team is particularly excited about is Cyber Sonar, which allows the group to see what vehicles a customer is interested in without waiting for the customer to initiate contact. Berna said, “It’s a feature they’ve done extremely well with. We have representatives proactively calling people who have been on the site. They may not have called or submitted a lead, but we can see what vehicles they’ve looked at. Then, we call to ask about their vehicle search; we set 10 to 20 appointments a day with people who didn’t even submit an inquiry to us.” He noted that there were other tools out there that did this, but few as well as Cyber Sonar.

And to demonstrate this, one of Hubler’s reps used Cyber Sonar exclusively and generated enough leads to sell 25 vehicles in two weeks. Now it’s been incorporated into the BDC’s daily routine to maximize sales they wouldn’t have even known about only a year ago.

proper appliCatioN of teChNology aVailableThe online negotiation tool is another element that’s helped Hubler’s efforts to change the way dealerships do business. Berna said that online negotiations are surprisingly successful for the Hubler Group. “This allows our stores to negotiate with customers online, allowing them to accept or reject offers,” he said. “We’re in our third month of using it andwemakemoremoneyonbackendprofitability.Whencustomerscome to the dealership, they’re relaxed and much more willing to have aconversationaboutaservicecontract.Ourbackendissignificantlyupwithonlinenegotiation,versustraditionaldeals.”Thistakesthebenefitof national players like fast-paced CarWoo and brings it the store level withgreaterprofitability.

When it comes to the Hubler Website, this same partner saved the auto group money and streamlined the process by eliminating the need for multiple vendors. “We have 10 stores with seven franchises,” Burna said, “so Website content, e-mail and call campaigns can all be done in one place for all 10 stores. If we had to go to three places for each store,that’dbe30placesforthegroup.”Theresultisefficiencyandanimpressive100percentincreaseinWebsitetrafficinrecentmonths.

supportiNg suCCessSupported by successful true partnerships, Jon Berna and the people of the Hubler Auto Group have proven that their vision of a centralized business development center is the future of auto dealer CRM and effectiveprofitableconsumercommunications.“Ourcentralizeddepartment has been able to set close up to 1,500 appointments a month this year,” he said. “Of our 10 individual stores, some are up 25 to 30 percent; overall, we’re up during a period of time where we changed the way we operated. Without it, all accountability and transparency is gone. So, at that point, you’re back to the guessing game — bad decisions from a lack of information. Trial and error shouldn’t happen. You should make therightdecisionthefirsttime.

“We offer a superior process,” Berna said. “Not only do we have a controlled environment, we have a more adequately trained and monitored staff. It’s not like we’re perfect, but a year ago, we didn’t know what the problems were. Now we know what and where theproblemsareandwecanfixthem.Forthelastyearorso,thisdepartment has dramatically improved month after month — from the number of appointments that have been set per rep per day, to the percentage of inbound calls that have been converted into an appointment.TheBDChasgonefromnotcreatingenoughtraffictohavingmoretrafficthanweknowwhattodowith.”

keep moViNg forwardWhat would Berna say to other dealer groups considering the Hubler approach? “Is this approach right for every dealer group? With the caveat that the ownership is committed to it; if they’re not, then no,” he said. “The reason why is economy of scale. For just one of our stores to afford the talented people in our BDC, it could be a lot to absorb. But if everyone is on board, then one store doesn’t pay 100 percent of the cost; in our situation, it only pays 10 percent. But we’ve got the best Websites, best CRM and the best of everything. We’re ready to sell a ton of cars. We have all the tools and partnerships in place; there’s no excuse — it’s time to perform.”

Berna took on what seemed like an impossible task. With the help of a supportive and eager owner, an innovative and responsive partner and a team of talented, committed and intelligent coworkers, he’s been abletotransformthewayhisdealergroupengagescustomers,definesthe role of technology and sells vehicles — all of which combine to deliver the vision of a successful consolidated multiple-store group into one cohesive business development and communication center to help Hubler lead the industry into a new phase. “Success is about having a sales and service strategy and executing it. The plan isn’t just sell cars; how are you going to sell cars? How are you going to measure how you sold cars? How are you going to execute the fundamentals and track all of that and improve every month? I don’t think goals are static, but you have to have one and keep raising the bar.”

For more information on Jon Berna and the Hubler Auto Group, visit www.hublerchevyauto.com.

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marketing solutionAJLeBlanc

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make Video seo a key CompoNeNt to yourdigital strategy

AJ LeBlanc is the co-founder of Car-Mercial.com. He can be contacted at 866.795.9094, or by e-mail at [email protected].

Many of us would rather watch the movie than read the book. In that same respect, many online shoppers would rather watch a video ad than view a static text ad. Video catches the consumers’ attention using sight, sound and motion, which is more effective at delivering an advertising message than just standard black and white static text links. Integrating video into your digital marketing strategy is fast becoming a highly effective way to capture in-market online shoppers. By using a Video SEO platform, dealers are able to automate thousands of activities to ensure their dealership captures the most popular search terms and as many relevant keyword phrases related to their brand as possible on all the major search engines organically with high-impact videos to increase their Page One results. With increased Page One results, dealers statistically increase chances of a consumer clicking on one of their dealer videos or links versus a competitor — essentially pushing the competition off of Page One on the most popular search engines like Google, Yahoo and Bing. A 2011 AutoTrader.com / Polk Automotive InfluenceStudyshowsthat95percentofcarbuyers use search engines to shop for vehicles, and98percentofthosesamecarbuyersdonot go past Page One search results. Video SEO is “targeted TV” that allows dealers to deliver their message to engaged

consumers. Google reports that consumers are 55 percent more likely to click on thumbnail video images than static links, so Google gives more ranking authority to video, which places videos on the top of search engine results. The Ed Napleton Automotive Group, with 18 stores located in Florida, Illinois and Missouri, is using Video SEO and generating results. “The South Florida automotive market area has more than fivemillionresidentswithina45-minute drive to our stores, and Jeep is a very popular brand in this region. Video SEO has helped us gain more exposure on Page One search results when prospective local Jeep buyersarelookingforspecificmodelsonline,”saidBrianCole,E-CommerceDirectorfortheEdNapleton Group. The search phrase shown in this example is “2012 WRANGLER WEST PALM BEACH,” which shows Napleton Northlake CJDR store has four Jeep videos on the top of Page One for this particularGooglesearch,therebysignificantlyincreasingthatstore’sexposureinthelocalWestPalm Beach market while pushing competitors off Page One. Start using Video SEO to increase your exposure to in-market car buyers today.

Page 28: AutoSuccess August 2012

leadership solutionJimmyVee & TravisMiller

28 autosuccessonline.com

SEO • SOCIAL MEDIA • VIDEO • WEBSITE DESIGN • www.pcgdigitalmarketing.com

Get The AttentionYou DeservePCG Digital Marketing believes it takes real people to create

winning digital marketing strategies. That's why each and

every one of our clients works with a dedicated account

manager. It is no wonder we've been voted a top SEO + SEM

company by auto dealers for 3 years running.

Real People. Real Strategies. Real Results. Call for a Digital Marketing Assessment (732) 450-8200

podcast in

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eeJimmy Vee and Travis Miller are founders of the Rich Dealers Institute

and the authors of Gravitational Marketing: The Science of Attracting Customers and Invasion of the Profit Snatchers. They can be contacted at

866.867.9618, or by e-mail at [email protected].

Too often, business growth and improvement isstalledoutbecausethedealershipisfilledwith the wrong people — lazy, unmotivated salespeople who can’t do much more than take an order; unskilled managers who can’t inspire the people you’ve got and who aren’t anygoodatrecruitingnewtalent;infighting,resistance, backstabbing…. This all makes growing the business seem impossible. Most leaders stop trying to grow and improve until afterthey’vefixedtheirstaffingproblem.Butthis is backwards thinking, and can cause your business to be forever stuck in a rut.

a better way to growHiring a better team would be ideal. But when that seems too hard to do, there’s no sense giving up and waiting for the situation to improve. Instead, set out on a mission to accomplish two things:

1. Create a purposeMost people are bored with their jobs and feel uninspired to do any better than they are now. But most people don’t feel like they’re engaged in worthwhile work. It’s extremely unrewarding to come to work everyday to enrich the owner, enrich the manufacturer and help ungrateful customers who demand the lowest price. But you can turn all of that around instantly. Here’s the secret: Stop selling cars, and start selling solutions. Realize that most people would really like a nicer, newer

car than they’re currently driving, but some problem is standing in their way. When you focus on solving those problems, the cars sell themselves. What’s more, solving problems is worthwhile work, and you’llfindthatyouremployeesquicklybecomepassionateaboutbeing a trusted advisor, rather than a product pusher. Passionate employees are positive employees who come to work everyday with an attitude of improvement and gratitude. Just imagine the difference this could create.

2. increase traffic and leadsThough it may seem counterintuitive, one way to rapidly tune up your sales force is to give them a lot more customers. They have no choice but to stop being lazy. When customers are lined up everyday, waiting to be helped, salespeople either get excited or they get gone. There’s no opportunity to mope around and bring down morale. Additionally, it won’t take long for the news to spread around town that your store is busy. When that happens, top talent starts lining up, waiting for an opportunity to sell or manage at your store. In just a few months you can transform your sales force from the doldrums to the major leagues.

Always remember: Doing things the way everyone does things is a sure way to get what everyone gets. Approaching common problems from an uncommon perspective allows you to create solutions that most dealers will never experience.

from lazyto Crazy:how to transform Non-performing

salespeople into superstars

“Whencustomersarelined upeveryday,waitingto behelped,salespeopleeithergetexcitedor theyget gone.There’s noopportunityto mopearoundand bringdownmorale.”

Page 29: AutoSuccess August 2012

“Whencustomersarelined upeveryday,waitingto behelped,salespeopleeithergetexcitedor theyget gone.There’s noopportunityto mopearoundand bringdownmorale.”

Page 30: AutoSuccess August 2012

leadership solutionDalePollak

30 autosuccessonline.com

In the past few weeks, industry news items have noted efforts by large dealer groups like AutoNationtobecomemoreefficientandeffective used vehicle retailers.

These efforts include partnerships with rental carcompaniestoexclusivelyoffertheirfleetinventories for sale to dealer group customers. In addition, these larger groups have become more adept at leveraging their size and scale, shifting cars between stores and markets to capitalize on local market supply/demand trends. Likewise, the dealer groups have been testing “premium” and “value” used vehicle retail outlets to further capitalize on local market dynamics.

If I were a dealer, I’d consider these developments as a collective “wake-up” call. Today’s used vehicle business isn’t the sleepy secondfiddletoanewvehiclefranchiseitusedto be. It’s now a front-and-center pathway for increasedsalesanddealership-wideprofitability.

In my view, there are three important strategic goals dealers should establish for their used vehicle operations to compete effectively against larger players — whether it’s AutoNation or a market share-hungry regional dealer:• Use the market to guide your acquisition strategy. I’ve long advocated that dealers should rely on local used vehicle supply/demand data to ensure they acquire the “right” cars for their markets. This best practice is essentially what larger dealer groups do when they decide Dealership A is a better place to retailaspecificcarthanDealershipB.It’simportant for dealers to recognize that as their acquisition strategy shifts to a more market-based approach, the composition of their used vehicle inventories will likely change. In my experience, this means acquiring fewer cars that simply “do well for us” and expanding themake/modelmixtobemorereflectiveofmarket demand.

The move to market-based acquisitions means used vehicle managers often must move beyond their traditional comfort zones. The good news: Today’s technology and tools provide the guidance necessary to determine the “right”

cars for a dealership and to help managers develop a more holistic sense of the market.

It should also be noted that the shift to market-based acquisitions will likely require adjustments in service and parts to ensure the proper reconditioning of non-franchise-brand vehicles.

• Expand your acquisition “nets.” Franchised dealers are blessed with two ways to acquire used vehicles — at the “door” and at wholesale auctions. Let’s take a closer look at best practices for each of these acquisition “nets”:Trade-ins: In today’s environment, dealers need to move past the idea that they can “steal” trades from customers. The reason? A growing number of today’s vehicle buyers will use online appraisal and evaluation tools before showing up at a dealership. Right or wrong, they already have a sense of what they believe their vehicle is worth.

To address this, more dealers are using the same tools as their customers to start appraisals. They check CarFax and similar condition reports. They will then walk around the car with the customertoaffirmandverifytheinformationhe/shehasdisclosedaboutthevehicle.Inmostcases,thiscollaborativereviewfindsanitemortwouniquetothevehiclethatchangesthecustomer’s perception about its trade-in value.

To be sure, this more transparent approach is more time-consuming than the traditional “chair-o-key” appraisal: “I’ll take the keys and appraise the car in my chair.” But it yields higher look-to-book ratiosforappraisersandpreservesdealershipprofitabilityoneverytrade-inunitfromtheget-go.

Auctions:Dealershavetogowideanddeeptofindthe“right”carstofeedtheirinventories.This means tapping a greater number of auctions and reviewing a larger number of vehicles to findthecarsthatfitthelocalmarketanddealershipprofitabilitygoals.Italsomeansdealerswhorely on physical auctions are not working hard or going far enough to feed their used vehicle inventories. In today’s environment, it’s not uncommon for velocity dealers to buy 70 percent of their wholesale vehicle acquisitions from online auctions.

• Think “total gross.” Moredealersfixatelesson“front-endgross”thantheyusedto.Thereason: They’ve come to understand that every used vehicle deal really represents opportunities infourdistinctprofitcenters—sales,service,partsandF&I.Tobesure,“front-endgross”isstillimportant, but it’s only one way a used vehicle can make money for a dealership.

When dealers adopt a “total gross” mentality and combine it with velocity in their inventory management,theyhavegreaterflexibilitytomaximizethereturnoninvestment(ROI)andprofitabilityeachusedvehiclerepresents.Theycanmoreeasily“givealittleheretogetalittlethere”—allwhileachievingbetteroverallprofitabilityforthedealership.

For dealers who bristle at the idea that “front end gross” remains more important than a “total gross”mindset,IshareareportedquotefromAutoNationpresidentandchiefoperatingofficerMichaelMaroone.Heofferedthisresponsewhenquestionedaboutlowerfront-endgrossprofitsthe company earned while selling more used cars:

“We know when we create that transaction, even if we have to step up to that number to get that nice trade, we create that transaction and give ourselves an opportunity to have several other transactions both on the F&I side and the used side of the business and,ultimately, in our customer care owner base.”

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three ways to boostyour CompetitiVe edgeiN used VehiCles

Dale Pollak is an author and the founder of vAuto. He can be contacted at866.867.9620, or by e-mail at [email protected].

Page 31: AutoSuccess August 2012

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Page 32: AutoSuccess August 2012

32 autosuccessonline.com

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sales & training solutionGlennPasch

It is said that if you only look for improvement from within your own industry, you will only replicate what has been done before. At firstglance,Idisagreedwiththisstatement,but after I had more time to digest it, I agree wholeheartedly.

How many of you in the automotive industry look at what your competition is doing so you can mimic their behavior or try to one-up them with a better version of what they do? Has this been a solution that elevates you way past them — or has it had limited success? You may feel better in the short term because at least you are on par with your competition, but the problem is that you are still looking at another automotive dealer for your guide.

Why stay only in your industry? An additional strategy is to look outside of the automotive world for ways to improve your marketing, sales or customer service.

I am not saying to ignore what’s going on in automotive or what has worked for you in the

Glenn Pasch is the COO of PCG Digital Marketingand a national speaker and trainer. He

can be contacted at 866.611.0998, or bye-mail at [email protected]. p

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fiNd iNspiratioN outside your iNdustry

past. However, we are all consumers of many products across different industries and what we experience with each interaction should be taken into account and thought of in terms of how to apply it to your business.

Simply put, if you like it, so will your customers. If it bugs you, don’t do it to your customers.

Forexample,whenyougoonline,doesitbugyouwhenyoucan’tsimplyfindwhatyouwanton the Website? Or what about when you e-mail customer service and they don’t answer your question? Now, look at your processes. Do you do this to your customers? Do you give them only part of the information they need, hoping then they will call you for the rest? Have you ever thought how many potential customers you are losing with that strategy?

Let’s look at a simple thing like phone calls. Do you love going through the IVR, “press 1 for X and 2 for Y” and halfway through the menu you forget what they said and just hammer on the zero, hoping it gets you to a live person? If it infuriates you, then why do many of you still have that IVR for your customers to go through the maze to findsalesorserviceormanagement?

Let’s look at the content you are putting out on your Website, blog and social media. If content is king as per Google, then are your writers just reading automotive blogs to mimic their style? Wouldn’t itbebeneficialiftheysteppedoutsidetheindustryandlookedathowhotels write about the experience at their locations. Have your writers look at the different styles and how they write about the rooms or the staff. Do you see how this same sense of storytelling could be used for staff page or how you describe the dealership itself?

Why not write about your waiting room, showroom or your amenities asifitwereafive-starhotel?Icanseethesmilesoutthere,butremember that if you don’t take pride in what you are presenting, thenImaydomybusinesselsewhere.IfIcanfindthecaratmultiplelocations, are you painting a great picture for me of what it is like to do business with you?

I want you to think of a great customer service experience you had. Think of the things the staff or business did to create that experience for you. How can you bring that to your dealership? If you want to be different than your competition, look at what other industries are doing and replicate the best ideas. Write the blog post that stands out. Provide the customer service that you would want to receive. Have a real person answer the phone. Do it before your competition does.

“Why not write about your waiting room, showroom or your amenities as if it were a five-star hotel? I can see the smiles out there, but remember that if you don’t take pride in what you are presenting, then I may do my business elsewhere. If I can find the car at multiple locations, are you painting a great picture for me of what it is like to do business with you?”

Page 33: AutoSuccess August 2012

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Page 34: AutoSuccess August 2012

34 autosuccessonline.com

Drive up to a dealership and you will most likely see a lot lizard. Their species is easy to spot. They tend to congregate in front of the dealership, smoking, joking, complaining and waiting to wait on someone. Notice I said waiting to wait on. These lizards are a curious species in how they tend to look for prey. The professional is a different breed. The professional tends to not wait on much or for long. The professional has goals, a work plan and is too busy taking action to join the lizards for long, if any at all.

You have heard it before that a dealer provides facilities,inventory,capitalandanoffice;inreturn, the salesperson provides the effort. It’s the typeofeffortthatdefineswhichcategorythe salesperson will be in. The choice of categorywillinfluencetheattitude,futureandhappiness of the salesperson. Let’s look at traits of a professional:

• A professional has goals. Those without goals are destined to live and work for those who do.

• A professional has a work plan. Professionals recognize that time is their most important currency, because when the 1,440 minutes of each day are gone, they

aren’t coming back. A professional avoids and kills all time vampires without mercy.• A professional self-educates consistently because he understands he could not possibly know it

all and has a desire to get better every day.• A professional has a complete follow-up program built over and beyond the dealership’s

CRM, because she realizes the real capital of her business is what she does with that database of customers.

• A professional has a marketing/prospecting system, because he realizes that you cannot give thecontrolandpowerofyourincomeuptodealershipadvertising,seasonaltrafficpatternsoreconomies. The professional makes and works a plan to get all of his business through his own effortsandbecomesindependentofwalk-intraffic.

• A professional works consistently on gaining and maintaining a positive attitude, because without it, everything else does not work. A professional does not care that others may scorn her and her positive approach to life.

• A professional is continually realizing the importance of combining mind-body-spirit for continued success, and without the combination of all of them, his efforts and success can quickly go away.

• A professional creates a “business within a business” that features her own personal stamp or brand.• A professional is committed and commitment equals consistency.

If you are cynical about dedicating yourself to being a professional, I invite you to take a good look at the lot lizard. Observe him as he squirms around endlessly on the lot. Observe the lot lizard’s attitude, happiness and success. Ask yourself what their long-term possibilities are for success. The choice is yours. Lot lizard or professional? If you would like the free Special Report “Becoming A Professional,” e-mail me at the address below with the word “Professional” in the subject line.

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sales & training solutionMarkTewart

are you a professioNal or a lot lizard?

Mark Tewart is the president of Tewart Enterprises, and the author of the bestseller, How To Be A Sales Superstar. He can be contacted at 866.429.6844,

or by e-mail at [email protected].

Page 36: AutoSuccess August 2012

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sales & training solutionSeanV.Bradley

master your Craft

Do you want to be successful in automotive sales? Do you want to sell 30, 40 or more units per month? You can — all you have to do is master your craft.

The key to being successful in this business is being the absolute best you can possibly be. But why is it that everyone wants to sell lots of cars and make lots of money, but only a small percentage ever achieves that level? Same reason why there are so many people who want to be professional athletes and why there are only the few professional athletes, while the rest of the population watches them on television or pretends to be them in video games.

Success is a few simple disciplines practiced everyday repeatedly. So if you would like to master your craft, you must develop the following three disciplines: Dedication (Devoting oneself, time, and/or efforts to a particular task or purpose), Desire (a strong feeling of wanting to have something or wishing for something to happen) and Diligence (careful and persistent work or effort).

So how does this all correlate to mastering your craft? Simply put, if you want to be the best, then you have to be the best.WillDurant,aprolificAmericanwriter,historianandphilosopheronce said, “We are what we repeatedly do. Excellence, then, is not an act but a habit.” Here are some of the things you should focus on mastering if you want to truly be that absolute best automotive sales professional:

CommunicationAs a sales professional, you need to be an effective communicator. You need to be able to clearly articulate your message, and you have to do so with passion and style. • I suggest mastering the “science of communication.” Knowing that 55 percent of communicationisvisualperceptionandbodylanguage,38percentistoneandinflectionandonly 7 percent is the actual words you use, you can study this online or go to a communication workshop or seminar.

• You can join Toastmasters, an organization that is dedicated to helping develop communication and leadership skills for professionals. It is like a “gym” for speakers.

• Record yourself with prospects in the showroom or on the phone or in the BDC, and then review the footage. Study what you sound like, what your body language is, what your prospects sound like and what their body language is. Try to identify loss opportunity, areas that you can improve and or utilize a different strategy or approach in a particular situation.

product knowledge• Youshouldtrulybeamasterofyourproduct.Attheveryleastyoushouldbecertifiedthrough

your OEM as a sales consultant, but most OEMs have advancedtrainingandcertification.• Most OEMs have product launch workshops on new or enhanced models within their line up.

You should ask your management team to send you to any and all OEM opportunities. • Study your product. Take all vehicles on test drives and get familiar

with them. Literally know your vehicles inside and out.• Competition knowledge — You need to know everything about

your competition to make intelligent comparisons and rebuttals.

mastering objections and rebuttals• Stop playing checkers; start playing chess. Document all of the

“expectations” and “objections” you come across on a regular basis. • Identifythetop10objectionsandorexpectationsandcreatefive

powerful responses. If you need it, get help from your leaders.• Go online and search for the best objections and rebuttals. There

are free sites out there like www.automotiveinternetsales.com that offer a tremendous amount of free information, word tracks, scripts, objections/rebuttals and more.

• Practice them everyday — role play with your co-workers, a friend, or your spouse.

self education• Read as much as you can about everything related to your career as

you can. If you don’t like reading, then buy the audio CDs. • Subscribe to and read automotive trade magazines, newsletters,

blogs, e-mail lists and anything else you can get your hands on. • Join automotive social networking communities.

This is only a small list of things that you need to master to truly be the best at what you do. If you would like me to give you a more detailed list or some free strategies, e-mail or call me.

Sean V. Bradley is the founder and CEO of Dealer Synergy, a nationally recognized training and consulting company in the automotive industry. He can be contacted at 866.648.7400, or by e-mail at [email protected].

Page 38: AutoSuccess August 2012

leadership solutionChristianThornton

38 autosuccessonline.com

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Less is more in modern business. It’s common knowledge that businesses did more with less during the Great Recession just to tread water, butexceptionalcompaniesarefindingwaystoturn “less” into ongoing competitive advantage, higherprofitsandhappieremployees.What’sa company to do given the need to constantly adapt to wily competitors, shifting risks, and accelerating technological change? Welcome to the era of less business mass.

American businesses have always measured up to one another by one basic measuring stick: size. There are various size metrics (employees, products, revenues, etc.), but size became the golden ring. As a business grew, everything about it grew — companies accumulated people, assets, liabilities, debts, facilities, lawyers, technology, suppliers and, hopefully,profit.Thisaccumulationisthefundamental reason why growing any business never gets easier from one stage to the next; it just gets more complex. And this complexity is a variable that business plans cannot account for because you cannot see it before it happens. You cannot predict its scope or size prior to the business mass taking shape as the company naturally grows.

People are starting to talk about minimalist business mass — about avoiding business bloat at all costs, in the same way someone should avoid obesity as one matures from child to adult. Less mass means a company adapts to change rapidly. Less mass means that during evolutionary periods where adaption is needed forsurvival,profitabilityisconstant.

Alternatively, the more massive a company, the more energy and resources are required to change its direction. Plus, changing a company with mass into a company with little mass rarely happens without a crisis; think about downsizing employees or being handcuffed by long-term contracts in a recession. Best to avoid mass before it happens, rather then kid yourself that you can meaningfully change it to prevent the party from ending.

For all these reasons and more, business founders are starting to make mass control

a fundamental priority from inception, because the leanest companies have proven that your business modelitselfisthemostsignificanttriggerofcompanymass. By infusing a “less mass” behavior into a company’s DNA, you smother the internal requests and external demands for bloat as the company grows.

Companies with less mass are like Jackie Chan: they will out maneuver Andre the Giant in style, and they make it look easy because, for them, it is easy. And, as they begin to dictate the tempo of the match, rarely will Andre catch up in round 15. He’s usually been KO’d in Round 3. And that less-mass mojo translates into bottom-line business value, even after the competition is out of the way:• You can change and adapt quickly to future

demands.• You can change priorities more readily.• You can change products, feature sets or the entire marketing message as needed.• Youcanmakemistakesbutfixthemquickly.

And don’t make the mistake of thinking that companies with less mass have to be tiny or have only a handful of employees. Proper mass is simply about having business muscle — not being encased in business fat.

Conversely, companies with greater mass typically try to be lots of things to lots of people, across numerous product lines, while consuming as much customer cash as possible daily. Not surprisingly, they take years to pivot and change direction, investing energy and resources to build consensus, navigating layers of internal policies and procedure, and wading through mistrustful cross-functional decision makers and bureaucracy. Meanwhile, Apple has already built three versions of their iPad.

Change is costly (time, energy, money) at companies with too much mass, because these companiesmustfirstcontinuetofeedtheirmassaddictionday-to-daytoeithersurviveortoprotect the balance sheet that their investors/owners are counting on for quarterly returns. Therefore, companies with mass adapt slowly, and rarely adapt across all their product lines. What’s the risk of dropping one product line when they have others feeding the beast?

Don’t become that company. And avoid buying technology from these companies. That’s bad soil for growing anything.

Mass is not the measuring stick of success we should be using. Technology allows for much leaneroutfitsinanyindustry,anycountryoranymarketplacethaneverbefore.Whenleadershipleverages technology under the auspices of a “less mass is more” methodology, and with an agile touch (rather than a rigid long-term view), adaptation becomes much more prevalent and frequent.

Beware the business mass effect. Trim down, or the market will evolve without you.

Christian Thornton is senior executive vice president of marketing and new business development for AULtec Inc. He can be contacted at 866.516.6238, or by e-mail at [email protected].

LEASES

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less mass to adaptwithout delays

Page 39: AutoSuccess August 2012

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Page 40: AutoSuccess August 2012

leadership solutionJeffDoerrer

40 autosuccessonline.com

American businessman Larry Bossidy said, “I am convinced that nothing we do is more important than hiring and developing people. At the end of the day, you bet on people, not on strategies.”

What are your methods of hiring and training people? Has sales turnover hurt your selling effort?Doyoufinditdifficultcompetingwith other dealerships in the market that are perceived to be better places to work?

In today’s market, your competitive edge is won or lost on your front lines. Your salespeople are the face of your dealership to many prospective customers. It is their ability to build rapport, to understand the needs of the customer and their closing skills that help you grow your business. That being said, you can’t afford to take the hiring process lightly. Many dealers and general managers tell me that hiring good salespeople is one of the biggest challenges they face.

Consider this list of the seven key considerations of hiring good salespeople when evaluating a potential new hire:1. Hire What You Can’t Train – You can

teach a salesperson word tracks, dealership processes and business principles, but you can’t teach character, attitude and drive.

2. Sometimes the Best Sale a Salesperson Makes is the One That Got Them Hired — Everybody will tell you how great they are. Have the candidate tell you specific stories about their successes and failures.

3. Judge People on Content, not Style – What the person has to say is often more important than how they say it. Don’t let personal style cloud your perception of their potential.

4. You Can’t Buy Heart with a Paycheck — Everybody will tell you they want to make a lot of money, but only a few prepare to win. Ask them why they want to make a lot of money.

5. Some People Have 10 Year’s Experience, Others Have One Year Repeated 10 Times — Just because a salesperson has been in the car business a long time doesn’t mean they are more effective than a less-experienced salesperson. Avoid those with bad habits.

6. Everyone is a Movie Star on Paper — Always remember: Resumes can be deceiving.

7. Past Performance Is An Indicator of Future Success — If you don’t typically call a candidate’s references, start now.

Now it’s time for the interview. If you are like a lot of employers, you ask many of the standard questions that interviewers ask of sales candidates: strengths, weaknesses, past successes, etc. Be careful of “telegraphing” your questions. Sales candidates are expecting the typical questions and often prepare standard responses to these questions. By catching your candidate off-guard, youmayfindthatyougetmorehonestanswersandbetterinformationtohelpyoumakeagoodhiring decision.

I have 30 interview questions that I use as tools to get the best idea of whether a salesperson isagoodfitforourcompanyornot.Thisisapartiallistofinterviewquestionsthatyoursalescandidate probably hasn’t been asked. Consider using one or more of them to learn more about future salespeople who are applying for sales jobs at your dealership.

15 (of 30) New interview Questions to ask potential salespeople:1. Describe, in detail, your ideal boss. How does he or she get the most out of you?2. What would you like to accomplish with our dealership that you were not able to

accomplish in your last job? Why?3. What personal issues could impact your job? What personal issues have impacted past

performance?4. Who is the toughest employer you have ever worked for and why? (Ask for a story)5. What makes you angry?6. How do you rank yourself among your peers? Why?7. How would you let a customer know that he or she is wrong about something? (Ask for an

example)8. If you had to pick one type of personality that you have trouble selling a car to, what would

it be? Why?9. What would you do if another dealer in town offered you a sales position while you worked

for our dealership?10. What would you do if I told you that I thought you were giving a poor interview today?11. Tell me about an experience where you feel you were at your best while helping a customer.12. What situations kept you from going to work at your last job? How often did that occur?

What is an acceptable number of days it is OK to miss in a year?13. What qualities in your co-workers bother you most? (Ask for a story)14. If I were to ask your last boss to tell me one thing that you do that drove him or her crazy,

what would it be?15. What question should I ask you that I haven’t yet?

If you read through these questions, you may notice that many of them ask the candidate to tell you a story about their answer — to give an illustration that sheds light on the point they are trying to make. My experience has shown that those candidates who can share a multitude of storiesabouttheirpastprofessionallifetendtobebetter-qualitycandidates.Ontheflipside,those who struggle to come up with stories and illustrations are often “empty suits.”

Hiringgoodsalestalentisdifficult,butwithpropertechniquesitdoesn’thavetobesohard.Doyouhave success stories you would like to share or questions of your own? I’d like to hear from you. Let me know if you have interview questions that works well for you. Contact me at the address below with the subject line “INTERVIEW” to get the remaining 15 New Interview Questions.

Jeff Doerrer is the sales manager for G&A Marketing. He can be contacted at 866.855.6616, or by e-mail at [email protected].

hiriNg the best sales taleNt for your team

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marketing solutionRussellGrant

make data part of the deal

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Data mining — or knowledge discovery — is one of the latest buzzwords you hear batted about.Thedefinitionvaries,dependingonwho’s doing the talking, but basically it refers to the process of collecting and extracting data, analyzing it from different perspectives, detecting correlations or patterns and predicting future behaviors based on these findings.Withalltheattentionondatamining,you might think it’s the be-all and end-all. But the truth is, it’s just the beginning. Because it’s what you do with the data that really matters.

lead with your best leads Data mining starts with collecting data about your customers. Remember, it costs much more to earn new customers — and why should you pay for third-party leads when your best leads are already in your system? That’s why I recommend making previous customers, and their data, your primary focus.

Keep in mind, however, that simply having data isn’t enough. What good does it do your dealership to know that customers who own a certain model purchase a new vehicle an averageofevery3.9years?Orcustomerswhoopt for a pre-owned vehicle upgrade their car an average of every 5.2 years? This type of dataisonlybeneficialwhenitinformsyourdealership’s strategies and processes.

put data in the driver’s seat It used to be that, in order to hit their numbers, dealers would come up with special offers and then put money into television ads, radio spots,

newspaper ads or direct mail campaigns. Whatever the chosen advertising methods, a dealership would start with an offer to be communicated and then decide which viewers, listeners, readers or customers to target. But in today’s marketplace, that’s no longer a strategically sound model. Data should be driving the marketing efforts, steering decisions such as which customers to target, when to communicate with those customers and what offers to make available.

go from data to deals For data to be a key component of a dealership’s sales process, it must be incorporated in every marketing effort. Many dealers rely on data mining products to accomplish this, but it is importantthattheydon’tsettleforaone-size-fits-allsolution.Irecommendlookingfortoolsthat allow you to maximize your dealership’s potential and take full advantage of its unique customer base.

Your data isn’t generic and your marketing shouldn’t be either. Don’t settle for an owner marketing strategy that amounts to an impersonal template being dumped into bulk mail or blasted via e-mail. You’ve got the data, so make the most of it — or partner with a vendor who can ensure that you do. Your data should be fully integrated into a multi-channel marketing strategy that is personalized to each customer and their current situation, determining not only what you communicate, but also when. And each element of a campaign should interact with the other, strengthening your message and ultimately resulting in more cars sold.

Data is also critical with outbound calls. Salespeople are much more effective when they know a customer’s history and what a customer’s future patterns are likely to be based on that history.

build on your success The end game is to sell more cars, and data is the bridge that can get you there. Last month I wrote about a dealership that has successfully made data part of their sales process and incorporated it into their marketing campaigns — and I included a thank you note they received from a customer. So not only is that dealership moving more vehicles, it’s increasing customer satisfaction and strengthening customer relationships for future sales. Plus, customers are telling their families and friends they need to buy their next car from that dealership. According to my data, that’s the kind of marketing results just about every dealer I talk to strives for.

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Russell Grant is the vice president of sales for J&L Marketing. He can be contacted at 866.503.8397, or by e-mail at [email protected].

Page 44: AutoSuccess August 2012

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Page 45: AutoSuccess August 2012

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GoldDiggerReputation ELEAD ILMWebsites

“Using one CRM company for a dealer group our size gives us the advantage of centralizing our customer information in one easy-to-use system. With ELEAD, we are able to retain, communicate and close tra�c in a very e�cient and e�ective way. The ELEAD Support Team takes care of any problems or issues quickly and provides us immediate feedback. Their best feature is the desking tool! ELEAD Desking helps us retain more gross and provide customers a professional presentation of numbers. Within seconds, we can give at least 9 di�erent payment options on a quote to help make easier purchasing decisions.”

Angela ButlerCustomer Relations DirectorLaFontaine Automotive Group

Carlos Mojica, Jr.Business Development DirectorLaFontaine Automotive Group

Page 46: AutoSuccess August 2012

Presto. Chango.Lost deal saved.

888.884.0699auto.callsource.com/autosuccess

What if you could get a second chance at missed opportunities?

DealSaver reviews every incoming call, identifying lost revenue opportunities and notifying you in time to save the deal. Your notification will include the caller’s name, telephone number and analyst’s notes.

DealSaver is now a mobile app:

• Quickly and easily save a deal from anywhere, at any time without being tied to your desk

• Be more available to your customers with quicker response time

• Get the DealSaver app for your dealership and start saving deals in an instant

DealSaverSM

powered by

We have had a 16 percent gain in sales directly because of CallSource. We are now able to train sales people from the system and hold people accountable for sales calls.

Wes ParkerCovina Valley Kia

Page 47: AutoSuccess August 2012

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To learn more,call 1-800-200-1513 orvisit www.tdafdealer.com

Get service you can count on.

TD Auto Finance LLC, is a subsidiary of TD Bank, N.A. TD Bank Group is a trade name for The Toronto-Dominion Bank. Used with permission. For detailed credit ratings for the The Toronto-Dominion Bank and TD Bank, N.A. visithttp://www.td.com/investor/credit.jsp. Credit Ratings are not recommendations to purchase, sell, or hold a financial obligation inasmuch as they do not comment on the market price or suitability for a particular investor. Ratings are subjectto revision or withdrawal at any time by the rating organization.

Part of the TD Bank Group,a Aaa-rated bank rankedas one of the safest banksin North America.

At TD Auto Finance, we’re committed to helping you grow yourbusiness. And we go to great lengths to meet your needs. You cansubmit deals seven days a week, and we offer rates and policies thatare among the best in the industry. You also get the expertise ofour dedicated Dealer Relationship Managers, who work with youto customize business plans and maximize profitability. It’s just whatyou get from a financing partner with over 45 years of experience.

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P1574_Mag_I_1_ST.indd 1 1/9/12 5:22 PM

Page 48: AutoSuccess August 2012
Page 49: AutoSuccess August 2012

Success StorySuccess Story Success Story

Acton Toyota

Acton Toyota of Littleton Saves 3 to 4 Deals a Day with New Call Monitoring System

The phone can be a problematic blind spot in the dealership where customers and profits are lost in every department, every hour of every business day. Dealers spend hundreds of thousands of dollars each year on advertising to get their phones to ring, yet many fail to invest in a process to effectively monitor the way their advertising leads are handled once a call comes into the dealership.

Too often, representatives who answer the phone, regardless of department, mishandle customers and not only lose deals for today, but potentially lose customers for life. Subsequently, the phone system can be one of the biggest profit leaks a dealership consistently faces.

Recognizing this systemic problem, many dealers try to have their management team listen to all recorded inbound calls, but the effort proves to be mathematically impossible. With hundreds of calls coming in over a busy weekend by the time an opportunity opens during the week to catch up on reviewing calls it’s too late to save deals or repair CSI concerns. Sporadic spot checks also prove to be ineffective because it means that for the few calls that are actually reviewed and responded to in a timely manner, the majority of calls go unchecked.

LEARN MORE ÆÅ READ FULL STORYÅ CONTINUED INSIDE

Acton Toyota

• Actively monitor, review, transcribe and report on call activity to improve your profits by improving how you handle customers who call your dealership.

• Use call monitoring to help identify areas where training is needed to

improve your sales team’s ability to set appointments and turn sales leads into real deals.

• Subscribe to a call monitoring system that will transcribe all your calls so you

can accurately track which ad sources generate the best response and help you allocate your marketing dollars more wisely.

• Use a call monitoring service like www.CallRevu.com to monitor all your calls

and provide daily updates and text alerts in real-time to help you save deals.

IN A NUTSHELL

Acton Toyota of Littleton Saves 3 to 4 Deals a Day with New Call Monitoring System

“IT WAS AMAZING TO SEE HOW POORLY CALLS WERE BEING HANDLED. WE JUST DIDN’T REALIZE

HOW BIG A PROBLEM WE HAD, BUT NOW WE RECEIVE REAL-TIME ALERTS THAT ALLOW

OUR MANAGERS TO IMMEDIATELY ADDRESS PROBLEMATIC CALLS AND HELP COACH THE

SALES TEAM ON THE SPOT.”

-MIKE HILLS GENERAL MANAGER OF THE ACTON TOYOTA STORE

Page 50: AutoSuccess August 2012

Success Story

Acton Toyota

IN A NUTSHELL Acton Toyota of Littleton Saves 3 to 4 Deals a Day with New Call Monitoring System

Acton Toyota of Littleton, located just outside the Boston metro market, has long subscribed to a monitoring service that recorded all their calls, but it left the dealership facing the same ongoing issue: high call volume with little time and manpower to review calls. Recognizing the phone was an area in need of more attention, Acton Toyota implemented a new call monitoring system that now monitors every incoming call with live call center operators who score each call and notify Acton Toyota’s management team with text alerts to their smart phones whenever a call is mishandled.

“This new system has been eye-opening and extremely enlightening for our managers,” said Mike Hills, General Manager of the Acton Toyota store. “It was amazing to see how poorly calls were being handled. We just didn‘t realize how big a problem we had, but now we receive real-time alerts that allow our managers to immediately address problematic calls and help coach the sales team on the spot.”

“There isn’t a day that goes by that we don’t save 3 or 4 deals with an immediate callback to the customer from the manager,” said Glenn Hoffman, Assistant General Manager.

The real-time text alerts quickly highlighted some of the biggest trouble spots for the Acton Toyota store, as with so many dealers: sales calls were not reaching a sales rep in a timely manner resulting in hang-ups, calls were incorrectly routed after-hours, calls were being sent to voicemail of which many elected to leave no message, connected calls were being ‘off-lined’ for a call back, and a low percentage of sales calls were resulting in appointments. Now managers are able to readily step-in, follow up on any misdirected or lost calls and address issues with the sales rep right away. Acton Toyota’s managers are

• Actively monitor, review, transcribe and report on call activity to improve your profits by improving how you handle customers who call your dealership.

• Use call monitoring to help identify areas where

training is needed to improve your sales team’s ability to set appointments and turn sales leads into real deals.

• Subscribe to a call monitoring system that will

transcribe all your calls so you can accurately track which ad sources generate the best response and help you allocate your marketing dollars more wisely.

• Use a call monitoring service like www.CallRevu.com

to monitor all your calls and provide daily updates and text alerts in real-time to help you save deals.

proactive in coaching a sales rep when the lost opportunity is timely and relevant and then they quickly follow up with the customer and set the appointment.

Daily, weekly and monthly reports further provide valuable information like the individual closing rates for sales reps which has helped to improve the overall performance and accountability of the sales team.

“This gives us a huge competitive advantage. Being able to immediately coach our sales reps on how to better handle a sales lead has improved sales. Our reps have added 2 to 3 additional sales deals per month, each! Two to 3 additional sales per month multiplied by 20 or so sales reps – that’s a big deal,” said Hills.

Acton Toyota of Littleton has always been dedicated to customer service, receiving the highest CSI scores in their region for Toyota. Customer service is their thing. They provide stellar service from the minute the customer walks in the door, from giving them a tour of their state of the art facility, introducing them to staff, overwhelming them with kindness – they ‘wow’ the customer. Once the customer walks through the door, odds are pretty good they will do business with Acton. So improving their ability to turn inbound sales leads into an actual appointment over the phone and get the customer into the store is critical.

“There’s ‘good phone’ and there’s ‘bad phone’. If we give ‘good phone’ and get the customer into the store, we blow them away once they’re here,” said Hills.

Now every single inbound call is monitored, reviewed, transcribed and reported. Real-time text and email alerts are sent for matters needing immediate attention within minutes so management can respond right away and daily reports are emailed to management each morning by 8:30.

“We can’t imagine operating without this tool. The opportunity is so huge for us given our high call volume. The phone has become a big differentiator,” said Hoffman.

“Approximately 21% of new car sales calls never reach an agent and 6% of new car sales calls hang up while on hold. Real-time text alerts enable dealers to immediately respond to missed opportunities – and smart

dealers like Acton Toyota are saving 3 to 4 deals a day.” - CHIP KING, PRESIDENT OF WWW.CALLREVU.COM,

THE CALL MONITORING COMPANY ACTON TOYOTA OF LITTLETON USES

Success Story

Acton Toyota

SEE FULL STORY

Ä CONTINUED FROM THE COVER

Since implementing their new call monitoring service, Acton Toyota has been focused on righting the wrongs of ‘bad phone’, but they’re anxious to begin taking advantage of some of the other benefits of their full service monitoring system like using ad tracking to help them better allocate their marketing dollars on advertising sources that generate the best response rates.

The call monitoring transcription helps to identify what source a call has generated from with reports that detail the customer call. “I’m looking at your newspaper ad and have questions about the Camry you have for $299/month,” despite the fact that the call came in on the web site’s toll-free number, it was actually generated from the newspaper ad source. The ad tracking will allow Acton Toyota to make better marketing decisions. “Without listening to calls you can’t accurately track what ad sources work well because many consumers will view the paper or a mailer, visit the dealer’s website and then call the toll-free number on the site. The dealer thinks the source is the website when in reality it was the print campaign that generated the call,” said Chip King, President of www.CallRevu.com, the call monitoring company Acton Toyota of Littleton uses.

By switching to a new full service call tracking system, Acton Toyota of Littleton has been able to identify, troubleshoot, and correct their phone system’s problem areas enabling them to greatly improve how calls are being handled by their own staff and effectively converting calls into profitable customers.

“We can’t imagine operating without this tool. The opportunity is so huge for us given our high call volume. The phone has become a big differentiator.”

GLENN HOFFMANAssistant General ManagerACTON TOYOTA OF LITTLETON

Success Story

$$$

$$$$

$$$ $

$

$ $

$

$

Set Appointments54

Discuss a Vehicle withNo Appointment Set

23

Hang Up on Hold5

Are Promised aCall Back

16

Go To VM and Leave No Message

1

Go To VM and Leave a Message

1

100 Sales Calls

Page 51: AutoSuccess August 2012

Success Story

Acton Toyota

IN A NUTSHELL Acton Toyota of Littleton Saves 3 to 4 Deals a Day with New Call Monitoring System

Acton Toyota of Littleton, located just outside the Boston metro market, has long subscribed to a monitoring service that recorded all their calls, but it left the dealership facing the same ongoing issue: high call volume with little time and manpower to review calls. Recognizing the phone was an area in need of more attention, Acton Toyota implemented a new call monitoring system that now monitors every incoming call with live call center operators who score each call and notify Acton Toyota’s management team with text alerts to their smart phones whenever a call is mishandled.

“This new system has been eye-opening and extremely enlightening for our managers,” said Mike Hills, General Manager of the Acton Toyota store. “It was amazing to see how poorly calls were being handled. We just didn‘t realize how big a problem we had, but now we receive real-time alerts that allow our managers to immediately address problematic calls and help coach the sales team on the spot.”

“There isn’t a day that goes by that we don’t save 3 or 4 deals with an immediate callback to the customer from the manager,” said Glenn Hoffman, Assistant General Manager.

The real-time text alerts quickly highlighted some of the biggest trouble spots for the Acton Toyota store, as with so many dealers: sales calls were not reaching a sales rep in a timely manner resulting in hang-ups, calls were incorrectly routed after-hours, calls were being sent to voicemail of which many elected to leave no message, connected calls were being ‘off-lined’ for a call back, and a low percentage of sales calls were resulting in appointments. Now managers are able to readily step-in, follow up on any misdirected or lost calls and address issues with the sales rep right away. Acton Toyota’s managers are

• Actively monitor, review, transcribe and report on call activity to improve your profits by improving how you handle customers who call your dealership.

• Use call monitoring to help identify areas where

training is needed to improve your sales team’s ability to set appointments and turn sales leads into real deals.

• Subscribe to a call monitoring system that will

transcribe all your calls so you can accurately track which ad sources generate the best response and help you allocate your marketing dollars more wisely.

• Use a call monitoring service like www.CallRevu.com

to monitor all your calls and provide daily updates and text alerts in real-time to help you save deals.

proactive in coaching a sales rep when the lost opportunity is timely and relevant and then they quickly follow up with the customer and set the appointment.

Daily, weekly and monthly reports further provide valuable information like the individual closing rates for sales reps which has helped to improve the overall performance and accountability of the sales team.

“This gives us a huge competitive advantage. Being able to immediately coach our sales reps on how to better handle a sales lead has improved sales. Our reps have added 2 to 3 additional sales deals per month, each! Two to 3 additional sales per month multiplied by 20 or so sales reps – that’s a big deal,” said Hills.

Acton Toyota of Littleton has always been dedicated to customer service, receiving the highest CSI scores in their region for Toyota. Customer service is their thing. They provide stellar service from the minute the customer walks in the door, from giving them a tour of their state of the art facility, introducing them to staff, overwhelming them with kindness – they ‘wow’ the customer. Once the customer walks through the door, odds are pretty good they will do business with Acton. So improving their ability to turn inbound sales leads into an actual appointment over the phone and get the customer into the store is critical.

“There’s ‘good phone’ and there’s ‘bad phone’. If we give ‘good phone’ and get the customer into the store, we blow them away once they’re here,” said Hills.

Now every single inbound call is monitored, reviewed, transcribed and reported. Real-time text and email alerts are sent for matters needing immediate attention within minutes so management can respond right away and daily reports are emailed to management each morning by 8:30.

“We can’t imagine operating without this tool. The opportunity is so huge for us given our high call volume. The phone has become a big differentiator,” said Hoffman.

“Approximately 21% of new car sales calls never reach an agent and 6% of new car sales calls hang up while on hold. Real-time text alerts enable dealers to immediately respond to missed opportunities – and smart

dealers like Acton Toyota are saving 3 to 4 deals a day.” - CHIP KING, PRESIDENT OF WWW.CALLREVU.COM,

THE CALL MONITORING COMPANY ACTON TOYOTA OF LITTLETON USES

Success Story

Acton Toyota

SEE FULL STORY

Ä CONTINUED FROM THE COVER

Since implementing their new call monitoring service, Acton Toyota has been focused on righting the wrongs of ‘bad phone’, but they’re anxious to begin taking advantage of some of the other benefits of their full service monitoring system like using ad tracking to help them better allocate their marketing dollars on advertising sources that generate the best response rates.

The call monitoring transcription helps to identify what source a call has generated from with reports that detail the customer call. “I’m looking at your newspaper ad and have questions about the Camry you have for $299/month,” despite the fact that the call came in on the web site’s toll-free number, it was actually generated from the newspaper ad source. The ad tracking will allow Acton Toyota to make better marketing decisions. “Without listening to calls you can’t accurately track what ad sources work well because many consumers will view the paper or a mailer, visit the dealer’s website and then call the toll-free number on the site. The dealer thinks the source is the website when in reality it was the print campaign that generated the call,” said Chip King, President of www.CallRevu.com, the call monitoring company Acton Toyota of Littleton uses.

By switching to a new full service call tracking system, Acton Toyota of Littleton has been able to identify, troubleshoot, and correct their phone system’s problem areas enabling them to greatly improve how calls are being handled by their own staff and effectively converting calls into profitable customers.

“We can’t imagine operating without this tool. The opportunity is so huge for us given our high call volume. The phone has become a big differentiator.”

GLENN HOFFMANAssistant General ManagerACTON TOYOTA OF LITTLETON

Success Story

$$$

$$$$

$$$ $

$

$ $

$

$

Set Appointments54

Discuss a Vehicle withNo Appointment Set

23

Hang Up on Hold5

Are Promised aCall Back

16

Go To VM and Leave No Message

1

Go To VM and Leave a Message

1

100 Sales Calls

Page 52: AutoSuccess August 2012

Success StorySuccess Story Success Story

Acton Toyota

Acton Toyota of Littleton Saves 3 to 4 Deals a Day with New Call Monitoring System

The phone can be a problematic blind spot in the dealership where customers and profits are lost in every department, every hour of every business day. Dealers spend hundreds of thousands of dollars each year on advertising to get their phones to ring, yet many fail to invest in a process to effectively monitor the way their advertising leads are handled once a call comes into the dealership.

Too often, representatives who answer the phone, regardless of department, mishandle customers and not only lose deals for today, but potentially lose customers for life. Subsequently, the phone system can be one of the biggest profit leaks a dealership consistently faces.

Recognizing this systemic problem, many dealers try to have their management team listen to all recorded inbound calls, but the effort proves to be mathematically impossible. With hundreds of calls coming in over a busy weekend by the time an opportunity opens during the week to catch up on reviewing calls it’s too late to save deals or repair CSI concerns. Sporadic spot checks also prove to be ineffective because it means that for the few calls that are actually reviewed and responded to in a timely manner, the majority of calls go unchecked.

LEARN MORE ÆÅ READ FULL STORYÅ CONTINUED INSIDE

Acton Toyota

• Actively monitor, review, transcribe and report on call activity to improve your profits by improving how you handle customers who call your dealership.

• Use call monitoring to help identify areas where training is needed to

improve your sales team’s ability to set appointments and turn sales leads into real deals.

• Subscribe to a call monitoring system that will transcribe all your calls so you

can accurately track which ad sources generate the best response and help you allocate your marketing dollars more wisely.

• Use a call monitoring service like www.CallRevu.com to monitor all your calls

and provide daily updates and text alerts in real-time to help you save deals.

IN A NUTSHELL

Acton Toyota of Littleton Saves 3 to 4 Deals a Day with New Call Monitoring System

“IT WAS AMAZING TO SEE HOW POORLY CALLS WERE BEING HANDLED. WE JUST DIDN’T REALIZE

HOW BIG A PROBLEM WE HAD, BUT NOW WE RECEIVE REAL-TIME ALERTS THAT ALLOW

OUR MANAGERS TO IMMEDIATELY ADDRESS PROBLEMATIC CALLS AND HELP COACH THE

SALES TEAM ON THE SPOT.”

-MIKE HILLS GENERAL MANAGER OF THE ACTON TOYOTA STORE