Tennessee Dealer News - July/August 08

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TENNESSEE DEALEROfficial Publication Of The Tennessee Independent Automobile Dealers Association J U LY / AUGUST 200 8

news

CHECK OUT OUR NEWWEBSITE:WWW.TNIADA.COM –FULL OF USEFUL INFORMATION

AND RSOURCES”(site designed and hosted by Swank Auto Sites 931-537-2127).

plus

HOUSTON, WEHAVE A PROBLEM

in this issue

HOW TO CAPTURE MORE SUBPRIMECUSTOMERS RIGHT NOW

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4 TENNESSEE DEALER NEWS J U LY / AUGUST 200 8

C ONTENTS

TN I ADA H I GHL I GHTS

ON THE COVER2006 Limited-Edition Ford GT 'Heritage'

What does it mean to be a car dealer these days? It means you have to watch everypenny that goes in and out of your store. Times are tough and we are very aware ofthat. That is why it is more important than ever to be a member of the state

association. We have dealers every week tell us how much money they save with the couponbook, and most were skeptics when they joined. Guys, it is time to belong to an association thatsupports what you are doing and believes in you! In our state there are approximately 700dealers that go out of business every year. That tells us one thing; they don’t get enoughinformation before they go into business. Because of this, they stay in business a few monthsand are either forced to quit or they run out of money or both (and sometimes the situation isreally bad). The people who are most affected by this cycle are the consumers. So how canthe association help this process? We are preparing to offer Dealer Education classes (notmandatory) throughout the state. We hope to have a class ready by September. In theseclasses, we will be able to answer questions, clarify the laws and provide you with relevantand timely information for this business. This will be a tough year for all of us, but a little moreinformation might be just what you need to give you an advantage. Not only have the timeschanged, but the laws have changed as well and if you plan on doing “business as usual” youmight want to reconsider. One change that will be effective July 1 is the bond increase. The newbond amount is $50,000. We will keep you posted on any other changes coming your way. Wehad our first Dealer Expo of 2008 in May at Manheim Nashville and it was a huge success. Wehad over 25 vendors attend which was the most we’ve ever had. If you missed that one, pleaseplan to attend the others throughout the summer, there is something for everyone. Whetheryou are looking for financing, website development, insurance – it doesn’t matter – it will bethere. We hope to see you somewhere this summer and if you’re not a member…..WHATAREYOU WAITING FOR??

MEMBERSHIP AS OF 5/20/08: 436 (GOAL OF 500 FOR 08)

14 Legal Initiatives That Can Directly Affect YourBottom LineFind out about laws and initiatives that can affectyour company.LEONARD A. BELLAVIA

16 How To Capture More Subprime CustomersRight NowLearn how to get more subprime customers and makemore sells in day.GEORGE DANS

26 Houston, We Have A ProblemMake sure your team knows how to leap into action whensomething goes wrong.MICHAEL YORK

4 Letter From The Executive Director28 Auction Directory29 Auction Calendar30 Membership Application

Executive Director’s Letter

2 0 0 8 BOARD OF D I R ECTORS

TN IADA BOARD MEET INGS

Darryl NobleExecutive DirectorP.O. Box 2219Lebanon, TN 37088Cell: (615) 506-4968Office: (866) 5-TNIADAFax: (615) [email protected]@tniada.com

David Andrews – PresidentCity Auto Sales4932 Elmore RoadMemphis, TN 38128Phone: (901) 377-9502Phone: (901) [email protected]

Danny England – Vice PresidentDanny England MotorsP.O. Box 1620New Tazwell, TN 37825Phone: (423) 626-9500Fax: (423) 626-9543Cell: (423) [email protected]

John Niven, Jr. – SecretaryAuto Agency, IncP.O. Box 382664Germantown, TN 38183Phone: (800) 325-5440Phone: (901) [email protected]

Sam ChapleManheim’s Nashville Auto Auction8400 Eastgate Blvd.Mt. Juliet, TN 37122Phone: (615) 773-3808Cell: (615) 533-2298Fax: (615) [email protected]

Mickey DorseyFriendly Auto GroupP.O. Box 6056Cleveland, TN 37320Phone: (423) 892-1770Fax: (423) [email protected]

Don FlandersGuardian Warranty1800 Colonial Shores Dr.Hixson, TN 37343Phone: (423) 596-7601Fax: (423) [email protected]

J.T. LivezeyWest Tennessee Motor Co.413 East Court St.Dyersburg, TN 38024Cell: (901) 484-4840Office: (731) 286-0006Fax: (731) [email protected]

Tony Moorby141 Woodward Hills PlaceBrentwood, TN 37027Cell: (615) 714-7991Fax: (615) [email protected]

Moss MillerMiller Automotive1006 S. HighlandJackson, TN 38301Phone: (731) 427-9797Fax: (731) [email protected]

David WilsonWilson’s Auto Sales6500 Maynardville PikeKnoxville, TN 37918Phone: (865) 688-2781Fax: (865) [email protected]

Allen HodgeAllen Hodge Motors425 Bluff City HwyBristol, TN [email protected]

Skip GronauerRegal Motors, Inc.2496 Mt Moriah Rd.Memphis, TN [email protected]

September 23, 2008, 3:30 p.m.Manheim’s Nashville Auto Auction

October 10-11Music Road Convention Center – Pigeon Forge TN

State of Tennessee Motor Vehicle Commission MeetingsJuly 14, 2008 9:30 AMOctober 13, 2008 9:30 AM500 James Robertson ParkwayDavy Crockett Tower, Room 160Nashville, TN 37243

Tennessee Motor Vehicle Commission

Check out our new website www.tniada.com – full of usefulinformation and resources” (site designed and hosted by SwankAuto Sites 931-537-2127).

TN I ADA WEBS I T E

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company. NIADA had negotiated 25% discountsfor all NIADA members nationwide with AutoTecPresident Chuck Redden, who heads theAuctionACCESS program.

"All dealers should take advantage of thebenefits that AuctionACCESS offers," said Linn."The improved security system protects personalinformation and helps auctions identify dealershipsand reps who are no longer in the wholesalebusiness, thereby keeping retail buyers out of thewholesale auction environment."

The new decision by the auctions wasrevealed after many dealers had already renewedtheir participation in the program.

Redden indicated that AuctionACCESS will behandling the rebates, not the auctions, althoughforms and necessary materials will be available ateach participating wholesale auction site.

Rebate forms and additional information can alsobe obtained online at www.auctionaccess.com.

AuctionACCESS Refunds

AuctionACCESS rebates will be availablefor dealers who have renewed as Man-heim, ADESA and participating independ-

ent auctions have decided to offer themembership at their inlane locations and onlineat no fee to dealers.

AuctionACCESS, a program created byAutoTec of Birmingham, Alabama began charg-ing dealers to use its clearing and monitoringsystem for sales and purchases at more than 185auction locations in North America. The programalso allows dealers a chance to monitor theiraccounts for existing issues prior to visiting anauction site.

Michael Linn, executive vice president andCEO of the National Independent AutomobileDealers Association, praised AuctionACCESS andthe wholesale auctions' decision to cover themembership fees for dealers even though itnegated an agreement between NIADA and the

Manheim Nashville teamed up with HighlineEnterprises to host the 7th annual Muscle CarMayhem, a collector car auction, on Saturday,

April 26, 2008. The auction featured almost 200 vintagemuscle cars and street rods and was open to dealers andthe general public. Only vehicles dating from 1983 andolder were available at the auction. Over 450 people werein attendance in the lane and online. “The annual musclecar sale is a great way for Manheim Nashville to involvethe local communities in the auction process,” said SamChaple, Manheim Nashville general manager. “This wasgreat event for car enthusiasts and families to participatein an auction and bid on the vintage vehicles, or to justattend as spectators.” The next classic car auction is the28th Semi-Annual Music City Classic in September andwill be held at Manheim Nashville, located at 8400Eastgate Blvd. in Mt. Juliet, Tenn. For more informationplease call (615) 773-3800. Admission to the auction is$10 and can be purchased at the gate.

ABOUT NIADA

The National Independent AutomobileDealers Association (NIADA)www.niada.com, founded in 1946, hasrepresented quality independentautomobile dealers for more than 62 years.NIADA assists its members in becomingmore successful within the used motorvehicle industry. Through membership inNIADA, members join with over 20,000other professional automobile dealers whoshare the dream of financial prosperity fortheir business. NIADA is the industry'slegislative representative -- working hardevery day to protect dealer and consumerinterests. The association consistentlybrings forward industry education,valuable industry information along withservices and benefits designed to preparemembers for an ever-changingmarketplace. As a consumer friendlyassociation, automotive consumerinformation can be found onwww.autoconsumer.tv.

BELOW IS A LINK OF THE FORMS TO BE USED FOR OBTAINING THE AUCTIONACCESS REFUND:http://www.auctionaccess.com/auctionaccess/pages/support/forms/Rebate.pdf

Manheim Nashville Hosts CollectorCar Auction LOCAL AUCTION HOSTS THE 7th ANNUAL MUSCLE CAR MAYHEM

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Regional Boards are beginning to set up all over the state and we have been very pleased with the turnout. Below you willsee the names of individuals who have agreed to represent your communities. If you have any questions or problems andneed some help, feel free to contact any of these members. If you are interested in becoming a part of one of theseboards, please let us know. As always, we appreciate the help of our Board Members as they are dedicating their time andenergy to help make this industry better for all of us.

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BUSINESS PARTNERSABC NashvilleAuto Agency, Inc.Auto Services Company, Inc.Chattanooga Auto AuctionDealer FundingGuardian Warranty

ASSOCIATE MEMBERS:1-800 RadiatorAirceptAmerican Recovery Assoc., Inc.App OneAssurant SolutionsAuto Credit of KnoxvilleAuto Credit of NashvilleAuto Save/Charter WarrantyAuto Services Company, Inc.Auto TraderAuto UseAutomotive Credit Corp.CAR Financial ServicesCar SolutionsCarbucksCars.comCARS/Capital Automotive Recon

ServicesCity Auto FinanceClass Custom CarriersComputerized Vehicle RegistrationDealer Services CorporationFinance ExpressFinancial SolutionsFrazer ComputingGlobal Debt Network AutomotiveGreat Lakes WarrantyIndependent Dealer.comLydia Cladek Inc.Manheim TransportMemphis AutoMartNationwide SoutheastNew South Federal Savings BankNICUSA TN Information DivisionPaytek SolutionsPreferred Warranties, Inc.Print for ProfessionalsRemarketing SolutionsSouthern Pioneer Ins. Co.Spann InsuranceStone, Higgs & DrexlerTrader Wheels & DealsWayne Reaves Computer SystemsZurich

TNIADA would like to sincerely thank thefollowing Vendors for their participation inthe state of Tennessee.

It Pays To Belong

Anover-whelming

majority of con-sumers won't beusing their governmenttax rebates to purchase avehicle, as many shoppersinstead, turn to taking overother people's leases as analternative in a market slowed by aslew of economic factors, suggesteda recent survey. According towww.leasetrader.com, one-week onlinesurvey 81 percent of respondents indicated

they don't plan on using theirrebates to make a vehicle

purchase, essentiallybecause the checks

won't be bigenough. "The

results of thissurvey give

an indicationof just how much

the current economyhas affected the average

American consumer,"commented Sergio Stiberman, chief

executive officer and founder ofLeaseTrader.com. "Although the government

is hoping to provide incentive for people to spendmoney and increase economic activity, this survey

shows that a good majority of Americans won't beusing the money towards a car purchase,"Stiberman continued. As most know, vehicle saleshave slowed significantly as of late, thanks toeconomic circumstances involving gas prices,rising mortgages and foreclosures, inflation andcredit debt. Hence, as such economic uncertaintyswirls, most shoppers on LeaseTrader.com saidthey prefer lease takeovers to avoid large downpayments and long lease terms, officials stated."Most people can't project their finances over along period of time," explained Stiberman. "Theyare instead choosing to shop for a 12 or 18 monthlease since they can project their finances bettercompared to a 60 month loan, for example."According to the company, it is free to browseLeaseTrader.com, $39 for a credit verification and$149 for an ownership transfer.

THE RESULTS OF THIS SURVEY GIVE AN INDICATION OF JUST HOW MUCH THECURRENT ECONOMY HAS AFFECTED THE AVERAGE AMERICAN CONSUMER

Most Consumers Won't Use StimulusChecks for Vehicle Purchases

S U R V E Y

S E R G I O S T I B E R M A N ,chief executive officer and founder of LeaseTrader.com.

Terry Bailey of TNT Auto Sales in Maynardville, TNbrought us his coupon book from the past 12 monthsand we calculated that he had saved $1,550. “I don’tknow why every dealer out there isn’t doing this,”Terry said. “It’s too hard to make money these daysto pass up a deal like this.” We at TNIADA are behindthe dealers 100 percent and that is why our couponbook is worth more than ever this year, over $22,000total savings in auction fees. Just more proof that itpays to belong!! Why haven’t you joined?

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Founding partner ofthe law firm ofBellavia Gentile &Associates, LLP,Leonard A.Bellavia, Esq. is anationallyrecognizedauthority in the field ofautomotive and marinefranchise law. Mr. Bellaviaserves as Chairperson of theLitigation Section of theNational Association of Dealer Counsel “NADC”and is a member of its Board of Directors. Hecan be reached at [email protected]

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Glance at any headline or open any consumeror trade publication and the theme is the same.These are challenging economic times.

Significant increases in fuel prices, coupled withwavering consumer confidence, is certainly affectingconsumer spending. On your operational side, fixedcosts continue to rise and competition grows. While allthis may sound ominous, it might actually be a bannertime for independent car dealers. Sales of used carvehicles have been trending upward as a growingnumber of consumers are shopping based on price anda monthly payment. In your efforts to maximize yourprofit from these sales, it is important that you evaluateyour operations to ensure you are protected fromcourt judgments, regulatory fines and dissatisfiedcustomers. Today’s independent dealers face aseemingly never-ending stream of complex laws andregulations from federal, state and local authorities.Laws and regulations change frequently and vary fromstate to state. However, the following businesspractices should be enforced. Non-compliance, or evenignorance, could have serious repercussions to yourbottom line.

ADVERTISINGFalse advertising and deceptive business practices aredeemed prohibited in all states. The most commonviolations facing pre-owned retailers include:• Offers of free merchandise;• Incomplete disclosure of credit terms;• Improper use of footnotes; and• Overvaluation on trade-ins.Everyone who participates in the creation of anadvertisement, as well as your advertising agency,should be familiar with the federal, state and localadvertising guidelines. Deceptive or misleading ads cancost your dealership tens of thousands of dollars in finesand penalties.

DO NOT CALL REGISTRYFederal law requires businesses who solicit business byphone to register with the national Do-Not-Call Registry

and to check the registry before calling consumers. TheTelemarketing Sales Rule (TSR) prohibits sellers andtelemarketers from calling a non-exempt person whosename is on the national Do-Not-Call Registry or fromcalling a non-registered person after he or she hasinstructed the solicitor not to call back. In either case theFTC and the Federal Communications Commission areauthorized to impose a civil penalty of up to $11,000per violation.

In order to avoid potential fines follow thesesimple rules:1. Register the dealership and create a business

profile on the Do-Not-Call Registry website:https://telemarketing.donotcall.gov.

2. Download the Do-Not-Call Registry. Businesses candownload up to five area code lists for free. You canalso use the website to look up phone numbersindividually and avoid frequent downloads.

3. Refresh or reprint a new list every 31 days.4. Advise all employees about the Do-Not-Call rules.

Enact a dealership policy requiring all employeesfollow the Do-Not-Call rules.

E-MAIL ADVERTISEMENTSIn 2004 the FTC and the Department of Justice beganto enforce the Controlling the Assault of Non-SolicitedPornography and Marketing Act of 2003 (CAN-SPAMAct). Here is a run-down of the law’s main provisions:• It bans false or misleading header information;• It prohibits deceptive subject lines;• It requires that your e-mail give recipients an opt-out

method; and• It requires that commercial e-mail be identified as

an advertisement and include the sender’s validphysical postal address.

Fines for non-compliance can reach as high as $11,000per violation.

FTC BUYER’S GUIDEThe FTC Used Car Rule requires sellers of usedvehicles to post a “Buyer’s Guide” on every usedvehicle before it is offered for sale. If a dealerconducts a transaction in Spanish, the FTC alsorequires that the dealer post a Spanish LanguageBuyer’s Guide. A few years ago, the FTC investigatedseveral New York City dealerships for compliance andfound nearly 25% (mostly independent used cardealers) were “substantially in violation.” Dealers whoviolate the Used Car Rules are subject to penalties upto $11,000 per violation.

RED FLAG RULE: Federal ID Theft Preven-tionThe Red Flag Rule requires dealers to develop a

written identify theft protection program withprocedures to identify, detect and respond to“Red Flags” signaling possible ID theft. The rulewent into effect on January 1, 2008; but fullcompliance is not required until November 1,2008. Dealers who fail to abide by the new

rules face potential fines of up to $11,000 perviolation.

PRIVACY ACT/SAFEGUARDS RULEThe Privacy Act requires all dealerships to providenotices to consumers that explain how non-publicinformation (such as social security numbers, bankaccount numbers, etc) is collected, stored and

protected. Dealers must give a copy of their privacynotice to every customer who completes a creditapplication or opens a line of credit. The best time todistribute the notice is when you give the customer acredit application. If you wait until the time of delivery todistribute the notice, some customers will fall throughthe crack, opening up your dealership to liability. TheSafeguards Rule covers the protection and confiden-tiality of non-public information obtained from cus-tomers. This means that dealers must keep alldocuments with non-public information (such as creditapplications, credit reports, etc.) out of sight and storedin a manner which eliminates any possibility of theft.Dealers are also required to properly dispose of any olddocuments containing non-public information. Violationsof the Privacy Act or Safeguards Rule are imposed bythe FTC, who is authorized to assess fines of up to$11,000 per violation, per day.

CREDIT CARD TRUNCATIONDealers must truncate all but the last five (5) digitsand the expiration date on electronically printedreceipts provided to customers at the point of sale.Dealers are easy targets for litigation. Violations aresubject to an $11,000 fine per incident.

OFAC LISTSIndependent dealerships must comply with the Office ofForeignAssets Control (OFAC) screening requirementsby screening all customers against the U.S. TreasuryDepartment’s Specially Designated Nationals andBlocked Persons list. Dealers can check the list on-linefor free at the U.S. Treasury Department’s websitewww.treas.gov/offices/eotffc/ofac/sdn/t11sdn.pdf.Alternatively, dealers may use a third-party service tocross-reference all customers against the OFAC list.

ADVERSE ACTION NOTICESUnder federal law, whenever a customer is denied credithe or she must be given an “Adverse ActionNotice.” Most dealers mistakenly believe that onlylenders must provide this Notice. In fact there areseveral circumstances where a dealer must provide aNotice. The following are just some examples ofwhen a dealer would provide a Notice:1. Customer signs a retail installment contract but

dealer cannot find a bank to fund the deal.2. Customer applies for credit on certain terms (such

as a certain APR) and dealer subsequently offersthe deal with different terms and the customerrejects the counteroffer.

3. F&I Manager reviews credit application and makesan independent decision that the customer can-not obtain financing.

Adverse Action Notices must be sent to acustomer within thirty (30) days after receiving acompleted credit application. If the customer rejectsa counteroffer then the Notice must be sent withinninety (90) days after notifying the customer of thecounteroffer. The key to navigating through thisminefield of laws and regulations is knowledge andtraining. Informed employees make proper decisionsand this will make customers feel comfortable inchoosing your dealership to purchase, service ormaintain their vehicles. Satisfied customers arerepeat customers and promoters of your business.Remember, good news travels fast, but bad newstravels faster.

Legal Initiatives ThatCan Directly AffectYour Bottom LineREMEMBER, GOOD NEWS TRAVELS FAST,BUT BAD NEWS TRAVELS FASTER.

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There are a few ways you can make moresales today. In this article we will review the bestway, the costliest way and the hard way. I can tellyou this, and after doing so many in houses lastyear; it always seems to come down to the samething at almost every dealership. There isn’t enoughtraffic, weather is horrible, the Up bus is broke downon the local highway, customers aren’t loyal any-more, too many salespeople, can’t find enoughgood inventories, life is horrible and so are my salesor my dealerships. Nice. Well if you want to moveyour sales needle, make your salespeople work allhours of the day on their allotted time. Wouldn’t yousell more cars just because of that? I often wonderwhy we can’t get people to work. In any otherprofession, people that don’t work get fired, but inthe car business, we seem to develop safe housesfor under achievers don’t we? Call me and let meknow why. Ok I know why, we don’t have clearexpectations, goals or accountability systems inplace do we? Recently I was doing an in house andthe managers said we can’t get our people to work.Why not? They might quit, see you later, adiosamigo, later gator, in a while crocodile.

Why can’t we get them to work? Why can’twe get them to follow our systems? Why won’t theyfollow the basics to the sale with all the customersinstead of only the ones they want to follow thesystem with? Automotive sales are getting so fiercearen’t they? Everybody wants to borrow or rentyour customers don’t they? When sales are down,isn’t that when most dealerships go into panic modeand we call the ad guy to come in and bail us out?Now ad guys are nice guys or gals, they work longand hard hours and can help you with your busi-ness. When sales are down the ad guy comes inand he has most dealerships hooked on a drug likemorphine which is called advertising. Advertisinghas the same thing in common as band aids, theyfall off. If you spent the same money on training,developing process’s and advertising, biz wouldget better and there would be long term success,instead of a 24 hour high, which is really anincrease of traffic. My question is this, if youadvertise to bring them in, shouldn’t you train themon what to do when they come in? I know what youhear, “oh if we train them they will leave anyway.”Not necessarily, the whole idea is to build a salesteam of champions. If you don’t have systems inplace today to sell to the unbankable customer, thenyou will have a bunch of chumps. With theemerging growth or explosion of subprime sellingand unbankable selling, selling process’s are inmore demand today then ever before. The days of

the wing boys or the selling from the hip shooters isover guys. Forget about it. Over, dead, buried, seeyou, next, later, by, out of here. If you want to sellmore cars right now, place a subprime sellingsystem in place. I wrote the best selling process inthe auto industry, easy to use, easy to follow, easy tounderstand, easy to write more up, easier toget more down payment, easier to overcomeobjections and easier to get to your goal. You cango two ways here, call the ad guy or place aselling system in your dealership that is rigid inprinciple but flexible to the approach. The hardestpart here is getting dealerships to buy into systems.I was just at another dealership and they had like10 systems. They had a system for each salesper-son. What up there? Of course you heard the sameexcuses, “blah blah blah, ya da ya da ya da.” Ok,what about having one selling system, one way tosell cars and one way to make money. Unbankableselling system which can be used for subprimecustomers or Buy-Here, Pay-Here:

1. An impressive first impression.2. A positive greeting.3. Building genuine rapport.4. A specific investigation.5. A smooth transition.6. An interactive flip chart presentation.7. Application process.8. The pre-approval budget analysis.9. Selecting the right vehicle.10. Taking the service walk.11. The dynamic demonstration.12. The final approval.13. The final close.14. Asking for referrals.15. Follow up – beginning of next sale.

I can tell you this; if you followed these stepsin proper sequence you would sell more cars rightnow. My question is this, how can you get lost on atrack that leads you to more sales and profits? Tosustain the drive to more profits though, you alsoneed to do these as seen on TV strategies.

1. Have process’s written out.2. Make them part of your standard operating

processes.3. Train your staff how to get the most out of each

selling step.4. Develop rewards, rules and consequences.5. Don’t let up when the whiners complain about

the new updated system.

Quick story here, in any other business’sthere seems to be systems to maximize profits.McDonalds, Wal Mart, Norstroms, Police Depart-ment, Fire Department and the US Armed Services,car biz no. Why wouldn’t we just copy othersuccessful business’s to maximize our business? Ifyou did, would you sell more then you are sellingright now? Yes. Then why don’t you do it? I know ittakes commitment, but before that you have todecide to do it, and then commit to it.SUBPRIME CHOICES –

My general feeling is that with customershaving so many choices that at some point theirmight even be a new credit score program comingto the subprime industry. I don’t know if the scoringwill ever be the same again, Imagine having asubprime customer with a 590 score, it couldhappen. Let’s rack this up; if you have your ownselling systems, kudos to you, if not, you can use theabove to help you sell more cars. I know theholidays are in the rearview mirror, but my kids,make Christmas cookies until July. There is a certainrecipe to making them, if you follow it, they tastegood. However to get that taste, you have to followthe recipe, if you want to double the batch you justdouble the recipe. If you want to sell more cars, usethe above recipe and sales will go up. If not, andyou want to add your own extras or not use myrecipe, call the ad guy, he has a wonderful plan,pile them deep, sell them cheap, spend 15k a monthwith me and maybe you can you see a small return.Yet with systems and training, the rule is, spend abuck in training and your net return is about $25 -$30 on your buck. Systems or chaos, turnover orbuild a team, more sales or lost sales, grow yourbusiness or go out of business. Subprime sellingsystems or sub sales. See you at the BOP, Bank OfProfits.

George Dans consults with dealers andkey decision makers on how to fulfilltheir dealership vision of sales successand [email protected]

By: George Dans

IF YOU D ON’T HAVE SYS TEMS IN PLACE TODAY TO SELL TO THE UNBANKABLE CUSTOMER, THEN YOU WILL HAVE A BUNCH OF CHUMPS

How To Capture More Subprime Customers

RIGHT NOW

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A blog discussing trends in the used-vehicle industry has been unveiled by formernew-vehicle dealer and industry veteran and entrepreneur Dale Pollak, who is also anauthor. According to officials, the blog features daily insights and anecdotes about theused-vehicle business. The blog, www.dalepollak.com was developed from Pollak's book,"Velocity, From The Front Line To The Bottom Line," which discusses how the Web hasaffected the used-vehicle business. Pollak explained that dealers must be aware thattoday's consumers are Internet-savvy and utilize the web for research and pricecomparisons. According to Pollak, the industry must implement "a more sophisticatedapproach to inventory management." Moreover, franchised and independent dealers alsoface challenges presented by used-vehicle superstores, he added. Pollak noted that used-vehicle sales are crucial to a dealership's operation and prove vital to increasing new-vehicles sales, as well. As such, used-vehicle departments must be run from a"financial and data-driven perspective. I hope my new blog will be helpful to dealers andtheir new- and used-vehicle sales departments as well," Pollak noted. "The blog isinteractive and will be as informative as possible. We plan to have fun with it too."As is thechairman and chief executive office of vAuto, Pollak has more than 25 years ofexperience in dealership retail. For instance, he owned Pollak Cadillac GMC Truck inElmhurst, Ill., for 13 years. Before he founded vAuto, Pollak was vice president of sales andbusiness strategy at Digital Motorworks. For more information, visit www.vauto.com.

"THE BLOG IS INTERACTIVE AND WILL BE AS INFORMATIVEAS POSSIBLE. WE PLAN TO HAVE FUN WITH IT TOO."

Industry Veteran Launches Used Vehicle Blog

While the latest Black Book analysis indicated that the depreciationrate of three-year-old vehicles has fallen in the last month, the samemarket segments continue to show the biggest declines, perhaps

reflecting a shift in buyers' interest. According to Black Book, May'sthree-month deprecation rate for the vehicle age group was 5.8 percent, downfrom 6.2 percent for the three-month period ending April 1, 2008. However,premium sports cars, prestige cars, luxury cars, luxury SUVs and full-sizepickup trucks experienced the steepest depreciation once again.

Officials indicated that the average depreciation for this group was$2,058. Meanwhile, segments such as compact cars, entry midsize cars,upper midsize cars, midsize pickups and entry-level cars had the smallestdepreciation rates, with an average of just $257. "While I don't want to say thatAmerica's love affair with large vehicles is over, we have observed that thesmaller, more fuel-efficient vehicles have been much more sought after byconsumers, and therefore, dealers," commented Ricky Beggs, Black Bookvice president and managing editor. "The larger vehicles, such as pickups andSUVs, held their values amazingly well even when gasoline rose to $3 agallon, but as it marches up to $4, we're seeing that consumers are reallyhaving to justify owning one, and it seems that the casual drivers who likethem, but don't really need them, are moving into smaller vehicles," hecontinued. For more information, visit www.blackbookusa.com

Depreciation RatesSlowing Down Slightly

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If the red shirt thing is new to you, read below how itwent for one particular individual. Last week, whiletraveling to Chicago on business, I noticed a Marine

sergeant traveling with a folded flag, but did not put twoand two together. After we boarded our flight, I turned tothe Marine sergeant, who'd been invited to sit in firstclass (across from me), and inquired if he was headinghome. No, he responded. Heading out I asked? No. I'mescorting a soldier home. Going to pick him up? No. Heis with me right now. He was killed in Iraq; I'm taking himhome to his family. The realization of what he had beenasked to do hit me like a punch to the gut. It was anhonor for him. He told me that, although he didn't evenknow the soldier, he had delivered the news of hispassing to the soldier's family and felt as if he knew them

after many conversations in so few days. I turned backto him, extended my hand, and said, “thank you.” Thankyou for doing what you do so my family and I can dowhat we do. Upon landing in Chicago, the pilot stoppedshort of the gate and made the following announcementover the intercom. "Ladies and gentlemen, I would liketo note that we have had the honor of having SergeantSteeley of the United States Marine Corps join us on thisflight. He is escorting a fallen comrade back home to hisfamily. I ask that you please remain in your seats whenwe open the forward door to allow Sergeant Steeley todeplane and receive his fellow soldier. We will then turnoff the seat belt sign." Without a sound, all went asrequested. I noticed the sergeant saluting the casket asit was brought off the plane, and his action made merealize that I am proud to be an American. So here's apublic “thank you” to our military men & women for whatyou do so we can live the way we do.

RED FRIDAYS

Very soon you will see a great many peoplewearing red every Friday. The reason? Ameri-cans who support our troops used to be called

the "silent majority." We are no longer silent, and we arevoicing our love for God, country and home in record

breaking numbers. We are not organized, boisterous oroverbearing. Many Americans, like you, me and all ourfriends, simply want to recognize that the vast majorityof American's support our troops. Our idea of showingsolidarity and support for our troops with dignity andrespect starts this Friday and continues each and everyFriday until the troops all come home, sending adeafening message that every red-blooded Americanwho supports our men and women afar will wearsomething red. By word of mouth, press, TV, and evenemail, let's make the United States on every Friday asea of red much like a homecoming football game in thebleachers. If every one of us who loves this country willshare this with acquaintances, coworkers, friends, andfamily, it will not be long before the USA is covered inred and it will let our troops know the once "silentmajority" is on their side more than ever, certainly morethan the media lets on. The first thing a soldier sayswhen asked "What can we do to make things better foryou?" is "We need your support and your prayers."

Let's get the word out and lead withclass and dignity, by example, andwear something red every Friday.

FRIDAYRED

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Lic. #2637

1011 Adesa ParkwayLenoir City, TN 3771

865/988-8000865/988-5674 Fax

S A L E D A T E STuesday Night 5:30PM &Friday Morning 8:45 AM

• 6 L a n e A u c t i o n

• B u y O n l i n e a t A D E S A . c o m

• P i c k u p a n d d e l i v e r y S e r v i c e P r o v i d e d

Capital One, PAR North America, RSA, Regions Bank, Independent Bank,C & F Finance, Tennessee Valley Federal Credit Union, Auto Credit of Knoxville,National Kidney Foundation, Automotive Remarketing, GCB Acceptance, National CityBank, Sunrise Acceptance, Enterprise Rent A Car, Citifinancial, Insurance AutoAuction, Budget Sales and Leasing and First Tennessee Bank.

General Manager – Greg KoepferController – Alan DuffFleet Lease/Marketing Manager – Paula WillocksGeneral Sales Manager – Tim DaltonOffice Manager – Debbie AngleTransportation Manager – Jason OodyST

AFF

F E A T U R E A C C O U N T S

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Federal tax credits on hybrids are avail-

able until 2010. The amount of the tax cut de-

pends on your hybrid’s level of fuel efficiency.

Ford Motor Company recently announced that

it plans to produce up to 250,000 hybrid ve-

hicles annually by 2010 and expand the pro-

duction of flexible fuel vehicles (FFVs) which

can use blends of up to 85 percent ethanol

(E85). Ford will also support the expansion of

the E85 infrastructure and promote the advan-

tages of FFVs to consumers.

Other companies have also jumped on

the bandwagon by going “green”. Enterprise

Rent-A-Car has created “Green Branch.”

The “Green Branch” concept is currently on-

going at four locations across the country. Hy-

brids and fuel efficient vehicles will compose

almost 60 percent of the fleet at these

branches. AutoTrader Publishing recently de-

cided to expand AutoTrader Green. This mag-

azine makes it easier for dealers to show their

inventory to buyers looking for fuel-efficient

cars. The magazine only features vehicles

which average more than 30 miles per gallon.

AutoTrader Green can be found at local con-

venience stores.

Soaring gas prices and environmental

concerns have generated unprecedented de-

mand for fuel-efficient vehicles. Personal vehi-

cles account for almost 20 percent of CO2

emissions and they are the second largest

source of greenhouse gas emissions in the

United States. During 1990 to 2006, GHG

emissions increased by 28 percent because of

increased travel. Most individuals see diesel

engine technology as a key focus to help

achieve the 2020 efficiency regulations. The

new regulations will require the auto industry

to meet a fleet-wide average of 35 miles per

gallon for passenger cars, pickup trucks, sport

utility vehicles and vans.

More than half of the gasoline we put in

our cars comes from oil imported from other

countries. Petroleum imports cost us over $5.2

billion per week, which is money that could be

used to fuel our own economy. Almost all cars

and trucks we drive operate from oil. Oil is in

short supply and eventually we will have to

find a new way to power vehicles. Until other

alternatives are developed, it is best that we

use the oil wisely until new energy sources

come along. In the United States alone, cars

are responsible for about 25 percent of green-

house gases produced. Cars and other vehi-

cles are a major source of pollutants that can

create smog and acid rain. Companies are

continuing to look for new alternatives to “go

green” and save energy.

Flexible fuel vehicles and gas electric hy-

B Y C E C I L Y H O L L A N DNIADA State Publications Editor

U.S. ethanol production hit almost 4 billion gallonslast year according to the U.S. Energy InformationAdministration.

continued on page 24

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23TENNESSEE DEALER NEWSJ U LY / AUGUST 200 8

FAST & FLEXIBLE FINANCING FOR INDEPENDENT DEALERS

Contact Lisa BeardenAt (615) 202-1700

Or Visit Us OnlineAt www.ffgrp.net

Specializing In Non Prime Customers

Non Recourse / Fast Funding

The National Automobile Dealers Charitable Foundation is giving backto the New Orleans community with a $400,000 donation to help theBrees Dream Foundation renovate the athletic fields at Lusher

Charter High School in the city's uptown area. Annette Sykora, president ofthe National Automobile Dealers Association, was scheduled to present thecheck to Drew Brees, quarterback of the New Orleans Saints and thecharitable organization's namesake. Brees and Kathy Riedlinger, principaland chief executive officer of the school, spoke at the ceremony.

"This contribution demonstrates NADA's commitment to the recoveryof New Orleans. Our commitment is long term," Sykora indicated. "NewOrleans has been one of NADA's convention cities for more than 30 years.And we are pleased to return here next January for our 92nd annualconvention." According to officials, Lusher's athletic fields have been in roughcondition since the school moved following the aftermath of HurricaneKatrina. NADA's donation will help to re-sod the fields and add bleachers, ascoreboard and lights. The fields will be used for football, soccer, baseball,softball and the school's physical education classes. Additionally, other areaschools and recreational programs plan on utilizing the fields as well. Formore information, visit www.nada.org.

NADA ReachesOut A HelpingHand To NewOrleans

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brids are one of the targets for the govern-

ment’s policy of increasing conservation and

alternative fuels. U.S. ethanol production hit al-

most 4 billion gallons last year according to

the U.S. Energy Information Administration. Ex-

perts all agree that 50 to 100 years from now

the world will probably have no choice but to

switch to an all electric society. Patrick Olsen,

Editor in Chief of Cars.com said that Cars.com

is getting on the environmental friendly band

wagon too. “One of the things we are going to

do by May 1st is launch a green buying guide.

This guide will allow users to search for hybrids

and other cars that are ‘green’ and automo-

biles that average more than 35 miles per gal-

lon. We definitely have seen an interest in

environmental friendly vehicles by dealers and

consumers over the years. Whenever there is

a spike in gasoline prices we see an interest in

hybrid cars and high mileage cars as well.”

Olsen continued, “We know there are a lot of

vendors out there. We just hope this will help

dealers get more information than before. You

can tell that people are more interested in

‘green’ cars. We were looking for a way to

offer them information and let them know that

there are more than just hybrid cars out there.

Hybrids get a lot of buzz and they are good,

but they are not the only ‘green’ alternative.

Hybrids are expensive. I would suggest that

one look into high mileage cars too,” said

Olsen.

Keith Whann, NIADA General Counsel

commented, “Going green isn’t necessarily

easy. I think everyone would agree as dealers

we try to be environmentally friendly but some-

times the choices aren’t as easy or as clear cut

as they seem. Instead of gasoline, some peo-

ple say we can use ethanol. There is a new

product call E85. The problem is E85 doesn’t

burn as efficiently nor produce as much energy

when it burns.” Whann also pointed out, “Of

all the gas stations in the country, only 1,100

carry E85. There isn’t one clear cut

alternative for ‘going green’. We’re going to

have to have one clear cut alternative in the

forefront. Electric cars? E85? How are you

going to get trained? There are also laws that

are in place when it comes to fuel efficiency.”

Whann continued, “One called CAFÉ (Corpo-

rate Average Fuel Economy) where cars have

to produce so many miles per gallon. We also

have the Greenhouse Gas Emissions law. This

law deals with what actually comes out the

back of a car. There are other sets of laws on

how much pollution certain vehicles generate.

The other issue we’re dealing with right now is

which of these issues should the federal gov-

ernment handle and which ones should the

states have a say in”, said Whann.

Mark Rothenberg, senior director of mar-

keting for Cox Enterprises said, “I think we see

that while hybrids are one solution, people are

searching for fuel efficient cars. If you look at

Auto Trader Green magazine it’s not a hybrid

magazine, but a magazine that features cars

that get more than 30 miles per gallon. Hybrids

are part of the solution but smaller cars are an-

other solution to help achieve fuel efficiency.

As you can imagine, we do constant research

to try to understand needs and preferences

and there is an increased awareness of

environmental issues and thus coincides with

gas prices. A high percentage of consumers

told us they were going to consider fuel

efficiency when they purchased a used or new

car and there became a greater number of

used cars that were fuel efficient on the market.

There wasn’t a product that helped consumers

locate fuel efficient cars”, stated Rothenberg.

“Dealers use AutoTrader Green to list cars they

have for sale that are fuel efficient to meet the

increased demand for fuel efficient cars”.

Rothenberg continued, “In light of the contin-

ued awareness of environment, employment

change and continued increase in the price of

gas, this is a product that will definitely see

increased interest. As manufactures continue to

introduce more cars that are fuel efficient we’ll

certainly see more fuel efficient used cars

come onto the market.” Auto Trader Green is

currently in Dallas, Seattle, Los Angeles,

Charlotte, Atlanta, Minneapolis and Washing-

ton D.C. The publication should be national by

the end of the year.

Source: U.S. Energy Information Administrationwww.fueleconomy.gov

Cecily HollandState Publications Editor

“There are other sets of lawson how much pollution

certain vehicles generate. Theother issue we’re dealing withright now is which of these is-

sues should the federalgovernment handle and

which ones should the stateshave a say in”

-- Keith Whann, NIADA General Counsel

continued from page 22

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Michael York wrote the book onBecoming Uncommon... He isa professional speaker andbusiness consultant whospeaks to over 50 audienceseach year as well as leadingthe Dealer MASTERMINDand monthly coaching fordealers through hisWINNERS CIRCLE program.His columns appear regularlyin national publications andonline. Get more on Michael atwww.BetterDealers.com

BYM

ICH

AEL

YOR

K

It’s an attitude, a wayof doing business.Promoting anexpectation to thecustomer in anuncommon fashion.

Something has just gone wrong… And acustomer is not happy because of it. It’s a mix-up, a malfunction, or a blunder, and it doesn’t

matter whose fault it is…Your reputation is on the lineto make it right. What do you say? How do you say it?What do you do? How do you make sparkling lemonwater from the lemons you’ve just been handed?

How do you provide what’s known as, “Immedi-ate Service Recovery?” I know how Disney does it. Iknow how Ritz Carlton does it. I know how the best ofthe best in this marketplace do it. How do YOU do it?Because most individuals and organizations…DON’T! The common response to something gonewrong…“I’m sorry” or even worse, “So what?” Some-times things get in a knot. Can’t be avoided.

Knowing how you’ll recover in those instancesmust be rehearsed and ready to be played like atrump card in a winning hand. What usually happens?“Sorry man, that’s how it goes sometimes.” “Could’vebeen worse though, right?”When you’re the customer,what do you want? An apology? Apathy? Indiffer-ence? A babbling, rambling, bumbling dissertation onhow we got here? How about “Get me outta’ here!”And saying “I’m sorry” doesn’t make it happen. Sorryabout that, sorry we let you down, sorry, sorry,sorry…yep, that’s us, we’re sorry! Excuses, indiffer-ence, and apologies.

What’s wrong with this picture? It’s OK to give anapology when you’ve wronged a friend, but that’s notwhat a customer wants when something goes wrong,unless you want to be with all the common andordinary companies that play it by ear and hope forthe best in “service blunder” situations. In Asheville,North Carolina when you open the menu atMcGuffey’s restaurant, you’ll see their servicementality printed right on the front cover… “Theanswer is YES, what’s the question!” COOL. It’s anattitude, a way of doing business. Promoting anexpectation to the customer in an uncommonfashion. A statement of commitment to amazingservice, even when things go wrong. And if thingsdidn’t go wrong, but you still want to improve yourservice to the customer, how about this question ontheir way out the door… “Was there any one thing wecould have done tonight, to make your (dining, shop-ping, buying, etc.) experience more MEMORABLE?”

When was the last time anyone asked you thatquestion? Give it a try and you’ll stand out in improv-ing and impressing the customer.

THE RITZ CARLTON WAYEven the housekeepers at Ritz Carl-

ton are allowed a $2000 budget to makean “amazing” service recovery so theguest leaves feeling “wow’ed” everytime. It’s not just a blank check to giveaway the farm; it’s a responsibilitythey’ve been taught as a process of

“How to Wow!” And it works. A recent

survey revealed that Ritz has an 8% “defect” rating.That means for 8 out of 100 guests, something goeswrong. A meal, a bill, a room, whatever. But thechances are excellent that those 8 will tell morepeople about their stay at the “amazing” Ritz thanthe other 92, because of how the hotel and its teamRECOVERED from the service glitch!

THE DISNEY WAYThere are hundreds of roles at the Walt Disney

World Resort, but there is only ONE purpose for all ofthem and that is... to make sure that every guest whocomes to their “show” has the most fabulous time ofhis or her life.And when something goes wrong…theydon’t just say “I’m sorry,” they strive to DO SOME-THING AMAZING for the guest (customer)! The castmembers at Disney are like a well-schooled, servicerecovery S.W.A.T. team just waiting for the nextopportunity to strike. How do you provide AMAZINGservice recovery? And waiting until the customercrisis arrives is too late to be ready for it.

FOR STARTERS:1. LISTEN…let them talk and really listen.2. Acknowledge without apology.

(“I can assure you that’s not how we...”)3. Don’t find fault, find a solution.4. Communicate the process. (“Here’s what I’m

going to do…”)5. Make an AMAZING service recovery proposal.

(“What about this?”)6. Promote the recovery to the troops. (“Here’s how

we did it...”)

And the last step has to be the first one…makesure the team knows how we’ll leap into action whensomething goes wrong. When the opportunity“blunder” happens, it’s too late for preparation. Howwill you respond? If you’re serious about amazingservice recovery, get a book called “Knock Your SocksOff Service Recovery,” by Chip Bell & Ron Zemke. Orif you’d like a list of 10 things you can say during aservice recovery encounter, send an email [email protected] Do something remarkablefor the customer. Lemons can really be quite tasty, inthe right recipe.

To Your Uncommon Success,Michael

EDITORS NOTE:

Join Author, Consultant, and AutoSuccessMagazine columnist Michael York for his upcomingFREE TELESEMINAR: “BIG LIFE and BETTERWORK: How to become an UNCOMMON SELLINGPROFESSIONAL that managers and childrenlove!” Phone lines are limited. Register now atwww.MichaelYork.com

HOUSTON,WE HAVE A PROBLEM…

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*All of the auctions listed below are members of the TNIADA and very strong supporters of our association. Please take a moment tothank them for their support the next time you visit their site and patronize them with your business as often as possible.

ABC Murfreesboro Auto Auction1815 Old Fort PkwyMurfreesboro, TN 37129Sale every Wed 3:00Phone: (615) 217-2848

ABC Nashville631 Burnett RoadOld Hickory, TN 37138Thursdays @ 10:00(615) 847-7400

ADESA Knoxville1011 Adesa PkwyLenoir City, TN 37771Tues. @ 5:30 and Fridays @ 9:00Phone: (865) 988-8000

ADESA Lexington672 Blue Sky PkwyLexington, KY 40509Thurs @ 9:00 and 2nd Tues. @ 6:00(800) 296-7103

ADESA Memphis5400 Getwell RoadMemphis, TN 38118Tuesdays @ 9:00(901) 365-6300

Airport Auto AuctionAirbase RoadAlcoa, TN 37701Thursdays @ 5:30(865) 970-9600

Alabama Auto Auction2514 Moody PkwyMoody, AL 35004(205) 640-4040

Bristol Auto Auction3192 W. State StreetBristol, TN 37620Fridays @ 10:00(423) 764-1148

Chattanooga Auto Auction2120 Stein DriveChattanooga, TN 37421(423) 499-0015

Clarksville Auto Auction247 Needmore RoadClarksville, TN 37040Tuesdays @ 12:00(931) 647-5700

Cookeville Auto Auction1851 S. Jefferson Ave.Cookeville, TN 38506Thursdays @ 6:00(931)528-6507

Dealers Auto Auction of Huntsville26125 Hwy 72Athens, AL 35613Tuesdays @ 9:30(256) 232-0201

Dealers Auto Auction of the South6723 Hwy 51 NorthHorn Lake, MS 38637Thursdays @ 9:30(662) 393-0500

East TN Auto Auction195 Joe McCrary RoadFall Branch, TN 37656Thursdays @ 10:00(423) 348-8419

Georgia-Carolina Auto Auction884 E. Ridgeway RoadCommerce, GA 30529(706) 335-5300

HADA Auto Auction3125 Leeman FerryHuntsville, AL3rd Friday of the Month 10:00(205) 966-6777

Jackson Madison Co. Auto Auction38 Graves Loop RoadMedina, TN 38355Fridays @ 10:00(731) 783-4500

Kelley Auto Auction3485 Hwy 431Attalla, AL 35954Tuesdays @ 6:30(256) 538-9095

Manheim’s Nashville Auto Auction8400 Eastgate Blvd.Mt. Juliet, TN 37122Wednesdays @ 9:00(615) 773-3800

Manheim’s Tennessee Auto Auction1450 Lebanon PikeNashville, TN 37210Mondays @ 4:00, Tuesdays @ 10:30(615) 244-2140

Marcka Auto Auction150 Cox AvenueCrossville, TN 38555Mondays @ 6:00(931) 456-7555

Memphis Auto Auction3719 Old Getwell RoadMemphis, TN 38118Wednesdays @ 9:30(901) 795-7634

Nashville Power Sport Auction8037 Eastgate Blvd.Mt. Juliet, TN 371222nd Saturday of each month(615) 466-4000

TNIA

DAAU

TOAU

CTIO

N

DIRE

CTOR

Y

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Out of State Sales (Members of TNIADA)

TUESDAY

ADESAMemphis

9:00

ChattanoogaAuto Auction

9:30

Manheim’sTennessee Auto Auction

10:30

ClarksvilleAuto Auction

12:00

Jackson AreaAuto Auction

4:00

ADESAKnoxville

5.30

Dealer's Auto AuctionHuntsville, AL

9:30

Manheim’s Bishop BrothersAtlanta, GA

10:00

Kelly Auto AuctionGadsden, AL

6:30

MONDAY

Manheim’sTennessee Auto Auction

4:00

Marcka Auto AuctionCrossville, TN

6:00

TallahasseeAuto Auction

Tallahassee, FL6:00

WEDNESDAY

Manheim’sNashville Auto Auction

9:00

MemphisAuto Auction

9:30

ABCMurfreesboro

3:00

Georgia-Carolina3:00

ADESAAtlanta10:00

Alabama Auto AuctionMoody, AL

1:00

THURSDAY

ABCNashville

10:00

East TNAuto Auction

10:00

AirportAuto Auction

5:30

CookevilleAuto Auction

6:00

Dealer’s Auto AuctionHorn Lake, MS

9:30

Manheim’sAtlanta Auto Auction

9:30

ADESALexington

10:00

FRIDAY

ADESAKnoxville

9:30

Jackson AreaAuto Auction

10:00

BristolAuto Auction

10:30

Georgia-Carolina6:00

HADAAuto Auction

Huntsville, AL10:00

3rd Friday Only

ADESAAtlanta

6:30

1-866-5TNIADA (586-4232)Fax 615-443-7486

P.O. Box 2219Lebanon, TN 37088

AUCTIONCALENDAR

VISIT OUR WEB SITE FORupdates, Association highlights

and information, legislative news,and much more!

AUCTIONCALENDAR

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AppOne, a part of Wolters Kluwer FinancialServices, along with Payless Car Sales,recently announced a partnership to provide

Payless Car Sales dealers access to the AppOneplatform. The AppOne platform provides Paylessdealers with access to prime and subprime lenders,in addition to the ability to price and print documen-tation for aftermarket products, along with docu-mentation required for each loan and access toAppOne's MenuOne. MenuOne is characterized asa user-friendly online sales tool offering financingalternatives that dealers can customize for presen-tation to car buyers. AppOne went on to indicatethat its dealer services will support Paylessfranchises, assisting in the completion of financingtransactions, along with ensuring compliance withall state and federal lending regulations. "We arecontinually looking for tools that help our dealerfranchises stay ahead of their competitors,"explained Mike Harley, Payless president and chief

operating officer. "With its cutting-edge technology,compliance expertise and financing assistance, theAppOne platform does this on a number of differentlevels." Lee Domingue, chief executive officer ofAppOne, added, "With the intense competition in theauto industry right now, our goal is to help independ-ent dealers build the financial and technologicalresources they need to sustain their business.

"AppOne not only helps them compete with thelarger franchise dealers, but it also allows them todevote as much time as possible to what they dobest, marketing and selling vehicles," he concluded.For more information, visit www.PaylessFranchise.com,www.PaylessCarSales.com and www.appone.net.

"WE ARE CONTINUALLY LOOKING FOR TOOLS THAT HELP OURDEALER FRANCHISES STAY AHEAD OF THEIR COMPETITORS,"

AppOne, Payless Car Sales Team Up

FOR MORE INFORMATION, VISITwww.PaylessFranchise.com,www.PaylessCarSales.com andwww.appone.net.

KainAutomotive.com recently an-nounced it is hosting an internetboot camp to help industry pro-

fessionals boost online sales and bestutilize the web. The boot camp has oneseminar scheduled for June 10-12 inLas Vegas and another from August 12-14 in Fort Lauderdale, Fla., includes an eight-step program to maximizeonline sales results. "Not only will we teach each attendee the foundational‘8 Steps to Internet Success,' we will also provide the tools for them to takeback to their dealership and cascade it throughout the organization,"commented David Kain, founder of the company. "When recommending whoin your operation should attend this type of training we suggest you selectcommitted individuals that you want to make an investment in because theyhave shown a high desire for career growth and are focused on what it takesto improve your dealership's overall operating results," he added. "Attendeeswill walk away with the knowledge, skills and confidence to build andmaintain a successful Internet operation," Kain continued. To register call(800) 867-2160, or e-mail NCM's Amy Smith at [email protected].

To ShowcaseBest OnlinePractices

KainAutomotive.com

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I N D E X TO ADVERT I S ERSABC Nashville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17

ADESA Atlanta . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .18

ADESA Knoxville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21

Aircept / Cal Amp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .28

AUTOSAVE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23

AutoTrader.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Back Cover

CAR Financial Services, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .27

Cars.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .Inside Front Cover

Credit Acceptance Corporation . . . . . . . . . . . . . . . . . . .Inside Back Cover

Dealer Funding, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5

Frazer Computing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .20

Freedom Financial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .23

Friendly Finance Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .29

Guardian Warranty Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .3

Manheim Nashville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13

Manheim Tennessee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9

McNutt Auto Transport Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .31

Preferred Warranties, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .7

The Penn Warranty Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .19

United Acceptance Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15

Westlake Financial Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .11

National Independent Automobile DealersAssociationwww.niada.com • www.niada.tvNIADA Headquarters:2521 Brown Blvd. • Arlington, TX 76006-5203(817) 640-3838

TN Dealer News is published bi-monthly by theNational Independent AutomobileDealers Association Services Corporation, 2521 Brown Blvd., Arlington, TX 76006-

5203; phone (817) 640-3838. Periodicals postage paid at Dallas, TX and at additionaloffices. POSTMASTER: Send address changes to NIADA State Publications, 2521Brown Blvd., Arlington, TX 76006-5203. The statements and opinions expressed hereinare those of the individual authors and do not necessarily represent the views of theTennessee Independent Automobile Dealers Association or the National IndependentAutomobile Dealers Association. Likewise, the appearance of advertisers, or their iden-tification as members of TNIADA or NIADA, does not constitute an endorsement of theproducts or services featured. Copyright 2008 by NIADA Services, Inc. All rightsreserved. Visit the TNIADA Web site at www.tniada.com.

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Cars.com recently announced that it is expanding its reach into the truck market withthe purchase of PickupTrucks.com, a move that can give automakers and dealersanother avenue to connect with potential buyers. According to officials, Pickup-

Trucks.com was started in 1995 and features shopping tools as well as news andinformation for those in the market to buy a truck. As data indicates that pickup truck salesaccount for 17 percent and 14 of the new and used vehicle markets, respectively, the sec-tor has become increasinglyimportant to the industry. With the acquisition, Cars.com cannow assist its advertisers in reaching this growing segment of shoppers. "PickupTrucks.comallows Cars.com to act upon a strategy to grow our presence in the truck market andquickly expand our current truck offering to drive even more value for consumers and ouradvertising partners," commented Cars.com president Mitch Golub."With this acquisition,we will be able to deliver a highly engaged audience to automotive manufacturers anddealer advertisers seeking to reach in-market truck buyers," he added. As part of the deal,PickupTrucks.com continues as a stand-alone site dedicated to the pickup truck sector.

Moreover, founder and editor Mike Levine will continue as the site's leader.Additionally, the site will now feature thousands of pickup truck listings from Cars.com."We're thrilled to have someone of Mike Levine's character, quality and integrity join theCars.com family," Golub continued. "Levine is considered one the country's foremostexperts on pickup trucks, recognized by leading automotive blogs and news outlets, truckmanufacturers and the pickup community for his insight and expertise in thissegment. We look forward to working with him as he continues to grow PickupTrucks.comwith even more of the unbiased content that established him as the pickup truckauthority." Levine added: "The affiliation with Cars.com, one of the most populardestinations in online vehicle shopping, will bring a wider audience and additional resourcesso we can continue growth of the PickupTrucks.com site. Our site users and fans canexpect more specialized truck content and functionality to help them make the righttruck-buying decision," he concluded.

"PICKUPTRUCKS.COM ALLOWS CARS.COM TO ACT UPON ASTRATEGY TO GROW OUR PRESENCE IN THE TRUCK MARKETAND QUICKLY EXPAND OUR CURRENT TRUCK OFFERINGTO DRIVE EVEN MORE VALUE FOR CONSUMERS AND OURADVERTISING PARTNERS,"

cars.com ACQUIRESpickuptrucks.com

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Tennessee Dealer News - July/August 08

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