AutoSuccess Apr07

AutoSuccess Best Practices Summit VI • May 15th & 16th in Las VegasThe Sales-Improvement Event of the Year

Volume 5 • Issue 11

There’s no better way to sell cars than AutoTrader.com, and wehave the numbers to prove it. Like $99 billion in sales – that’s 1million used cars sold every month. In fact, we jump-start almosta third of all the used car sales in America. AutoTrader.combrings together more buyers and sellers, giving you morechances to put the right buyer in the right car.

Call 888-249-6860 today. Make sure your share ofthese sales starts rolling off your lot.

We helped generate$99,000,000,000in used car saleslast year.

Did you get your share?

©2007 AutoTrader.com, LLC. All Rights Reserved. “AutoTrader.com” is a registered trademark of TPI Holdings, Inc. used under exclusive license.Source: 2006 Prospect Close Rate Study, MORPACE International, Inc. Based on average used car sales price of $8,236: 2006 CNW Used Vehicle Retail Sales Projection.

WHAT WE DO WORKS.WHAT WE DO WORKS.

The ultimate automotive marketplace.

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AutoSuccess Magazine is published monthly at 3411 Pinnacle Gardens Drive, Louisville, Kentucky, 40245; 502.588.3155, fax 502.588.3170. Direct all subscription and customer service inquiries to 877.818.6620 or [email protected]. Subscription rate is $75 per year. AutoSuccess welcomes unsolicited editorials and graphics (not responsible for their return). All submitted editorials and graphics are subject to editing for grammar, content and page length. AutoSuccess provides its contributing writers latitude in expressing advice and solutions; views expressed are not necessarily those of AutoSuccess and by no means reflect any guarantees. AutoSuccess accepts no liability in respect of the content of any third party material appearing in this magazine or in respect of the content of any other magazine to which this magazine may be linked from time to time. Always confer with legal counsel before implementing changes in procedures.© All contents copyrighted by AutoSuccess Magazine, a Division of Systems Marketing, Inc. All rights reserved. Reproduction inwhole or part is prohibited without express written consent from AutoSuccess. AutoSuccess may occasionally make readers’ names available to other companies whose products and/or services may be of interest; readers may request thatnames be removed by calling 877.818.6620. Printed in the USA. Postmaster: Send address changes to AutoSuccess Magazine, 3411 Pinnacle Gardens Drive, Louisville, Kentucky 40245.

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Sales and Part Inventory...What About Service InventoryCustomer Pay Labor and Parts Profit Training

How We Used Centralized Marketing to Quadruple Closing Ratios

Endless Learning - The Key to Anti-Aging

Believe

The Truth is...Numbers Lie

‘Breaking the Rules:’ To Serve is to Lead Part II

Your Biggest Opportunity

Customer Loyalty Starts in Fixed Operations

Perform at the Highest Level

Common Objections and What to Do With Them

DeniseRichardson

JeffMorrill

BrianTracy

CoreyByrd

DavidKain

DavidThomas

JesseBiter

AllenCheek

DeliaPassi

MarkTewart

SteveLaPenta

TonyRimas

CraigCriswell

KarlaFriede

God is the source of all supply

JoeShuster

How to Keep Your Best Sales People

What Business Are You In

RandyMcPherson

Leviticus, 8:28 And Moses took them from off their hands, and burnt them on the altar upon the burnt offering: they were consecrations for a sweet savour: it is an offering made by fire unto the LORD.

Brian Ankney, Sales-improvement [email protected]

Brian Balash, Sales-improvement [email protected]

Cori Frye, Sales-improvement [email protected]

3411 Pinnacle Gardens DriveLouisville, Kentucky 40245

toll free: 877.818.6620 facsimile: 502.588.3170 web: www.SellingSuccessOnline.com

Patrick Luck, Editor & [email protected] Susan Givens, Vice [email protected] Thomas Williams, Creative [email protected] Dave Davis, Creative Strategist & [email protected]

helping to promote...

Want to Sell More Online -Just Follow Your Customers Lead

TomHopkinsMaking Powerful Connections

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Super Sizing Your Upside RalphRoberts

The E-Mail Capturing Machine: Employees PaulLong

PattiWood

The Spirit of Determination:Troy Aikman Ford

Making the Most of Your Media InterviewGetting the Radio or Webcast Phone Interviews

Will You Forgive Me

Listening: A Valuable Tactic for Selling to Women

SeanWolfington

Increasing MindshareYou Can’t Hit One Out of the Park With Just Awareness

Perform at the Highest Level

BrianTracysts fos ls ms sf fi s

sales and training solution

8 www.sellingsuccessonline.com

The turning point in my life came when I discovered the law of cause and effect - the great law of the universe and human

destiny. Everything happens for a reason. Success is not an accident. Failure is not an accident, either. The people who are successful in any area are usually those who have learned the cause and effect relationship between what they want and how to get it. They then did repeatedly what other successful people did in a particular area until they got the same results.

Many people delude themselves into thinking that they can do what failures do and somehow, by some miracle, get the results successful people get. Even worse, they think they can do little or nothing at all and, by some great stroke of luck, all their problems will be solved and their dreams will come true. This is not the way the world works. Wolfgang von Goethe once wrote, “To have more, you must fi rst be more.” To achieve more in your outer world, you must go to work on your inner world, on developing yourself. There is no lasting shortcut. There is no other way.

Personal and professional development

is the most powerful tool you can use to achieve any goal you set for yourself. You can move yourself from wherever you are to wherever you want to go by learning how others have done it before you and then by following the paths they have already blazed. Abraham Maslow said that the story of the human race is the story of men and women “selling themselves short.” Most people settle for far less than they are truly capable of achieving. Most people create all kinds of justifi cations and rationalizations for poor performance. They convince themselves or allow themselves to be convinced, on the fl imsiest evidence, that they lack the potential and ability of other people who are doing better than they are. They settle for a mediocre existence rather than committing themselves to breaking their own mental shackles and escaping from their own mental prisons.

Each person has the potential to do something wonderful with his or her life. Within every person, there is a giant waiting to come out. Everyone can do much more than they have ever done before, if only they learn how. Create a long-term vision for yourself in the area of personal growth. Project forward fi ve or 10 years, and imagine that you are developed fully in every important part of your life. Idealize and see yourself as outstanding in every respect. Refuse to

compromise on your personal dreams. Create your daily personal growth and development activity schedule.

There are seven disciplines you must develop if you want to achieve all that is possible for you. You can learn these disciplines through practice and repetition until they become automatic. They are: 1. Daily goal setting2. Daily planning and organizing3. Daily priority setting4. Daily concentration on your highest-

value activities5. Daily exercise and proper nutrition6. Daily learning and growth7. Daily time for the important people in

your life

These seven disciplines will ensure that you perform at the highest level and get the greatest satisfaction and results from everything you do.

Brian Tracy is the chairman and CEO of Brian Tracy International. He can be contacted at 866.300.9881, or by e-mail at [email protected].

VISUMMITBEST PRACTICES

LEADERSHIP • INTERNET • CRM • MARKETING • BDC • SALES

YOU DON’T WANT TO MISS THIS EVENT!Call today to register. Seating is limited. Speakers and times subject to change. toll free: 866.432.8718 web: www.autosuccessonline.com

See more details about speakers and case studies starting on page 18

9the #1 sales-improvement magazine for the automotive professional

Making the Mostof Your Media Interview

Getting the Radio or Webcast Phone Interviews

PattiWoodsts fos ls ms sf fi s


Next time, we’ll look at ways to prepare to give a good interview and make the most of the opportunity.

Patti Wood, MA, CSP is a professional speaker, author and coach at Communications Dynamics. She can be contacted at 800.849.3651, or by e-mail at [email protected].

Being in the spotlight means you gain recognition for your knowledge, talents or skills, and it’s a way for you to teach

others about your fi eld. In order to share your expertise with the public, you need to spend some time becoming media-savvy. If you can be dazzling in a media interview and then learn how to follow up, you’ll fi nd opportunities will keep knocking.

Over the next few issues, we’ll be going over some tips and checklists to help you get the interview, prepare for the interview, handle the set up phone call, conduct the interview and then follow up afterwards.

Getting an Interview You may be one of the top experts in your fi eld, but if there is no access to information about you, then you won’t be the one the media seek out when they need expert information. Here are few ways to get your name out there where members of the media can fi nd you:

1. List Yourself in the Expert Directories, Which You Can Find by Browsing the InternetFor example, The Yearbook Of Experts (www.yearbooknews.com) offers a listing in their “hard copy” bound directory and their online site, as well as special online press releases for a yearly fl at fee.

2. Send Out Press ReleasesCan you link your expertise to a newsworthy event? Are you hosting a special event? Are you speaking at a prestigious institution? Have you recently written a book or an article? When ABC and CBS radio news asked me to analyze the body language of former congressman Gary Condit in the famous Connie Chung interview, I followed up those interviews with a press release to 500 media contacts. I got 27 more interviews, most of them with a nationwide listenership. Suddenly, magazines became interested as well.

3. Apply Your Expertise to Something NewFor years I got interviewed about political speeches and interviews with political fi gures, but I wasn’t meeting my goal of being interviewed by the popular magazines. It wasn’t until I hit upon the idea of using my body language expertise to analyze a national entertainment event – the Oscars – that I received the national magazine coverage I wanted. We sent out a press release saying I could analyze the body language of the stars on the red carpet or during the awards. That

led to more than 20 radio interviews, and entry to mass-market magazines.

4. Offer – For Free – Something You Have Written That They Could Use on the AirFor example, create a quiz with 10 things people want to know about your topic and send it out to media lists. Make it short, content-rich and fun.


No matter how good you get, no matter how well you master your selling skills, you cannot do it all alone. Somewhere along

the line you will need a friend, a contact, an introduction, someone to urge you on or someone just to have an understanding heart to listen to you. These are the primary reasons you need to build a network.

Many people think networks are only for high-level business professionals who use them to arrange special golf outings, front-row tickets to sporting or cultural events or to make special introductions. I hope you’re not one of those people.

The fact is that most people have networks, but they just don’t keep very good track of them or they don’t use them as well as they could. A network is simply a group of people helping each other get to where each wants to go as quickly, as easily and as effi ciently as possible.

There are networks involving soccer moms, car pool groups, church organizations, social clubs, and community service groups. The most successful people in life and in business keep track of the people they meet through their various activities and build their own custom networks.

For those of us in selling careers, a network is a powerful way to get to qualifi ed prospects in the least amount of time and with the least amount of diffi culty. Beware not to fall into the trap and think of networking in terms of receiving something from others: leads, prospects, customers, guidance, hints, techniques, or moral support. Start your network by fi rst considering others.

Always remember this: Success is determined by the service you provide others, not by what others do to further your goals. Take some time to carefully examine what you have to offer someone in your network. What capabilities, skills, information, talents, connections and words of wisdom can you provide that can help build someone else’s career? Almost everything is useful to someone.

For example, the fact that you’re on a fi rst-name basis with the owner of the local service station, fl ower shop or antique mall may be a valuable asset at some point to someone in your network. Just as links in a chain, you

want to have a good, solid relationship with everyone in your network. A network is no good unless you work it. Treat your network as you would an expensive, fi nely-crafted instrument and it will provide you with enjoyment beyond your wildest dreams.

Here are six ideas for maintaining a strong network:1. Stay in TouchThis one is pretty obvious, but it’s also where many average networkers fall down. When an interesting bit of information comes your way, don’t just evaluate it for yourself, pass it along to others who may also benefi t from it. Other ways to keep in touch include birthdays, business or personal anniversaries. Dropping a card in the mail, sending one via e-mail or making a quick call is easy compared with how much harder you’d have to work if you didn’t have this person’s knowledge and resources to draw from. Keep an eye out for others in the news. Send them the clipping or at least recognize that you saw them. Making others feel good strengthens your relationship. Go out of your way to share a meal with the key players in your network. These contacts don’t need to be lengthy or take on the appearance of an obligation; in fact, spontaneity often makes the contact more enjoyable. The point is to make the contact.

2. Ask for HelpIf you’ve been good about staying in contact, don’t hesitate to seek support when you need it. People want to help others. Asking for assistance helps you and reinforces the fact that when the other party needs something, you’ll be there for them. When you ask for help, keep two things in mind:a. Say What You Really MeanPhrase your request in words that allow the other party to understand your real needs. “We’ve just added a new line of whatchamacallits. Who do you know that may need a new one?” That’s a lot more effective than “Got any leads for me?”

b. Be Polite“I need you to help me” may be a little strong and even border on being rude. Instead, say, “I’m in need of a little help and was wondering if you can spare a few moments” is warmer and less demanding.

3. Volunteer to HelpBecome known for the excellence of your

service. Believe me, people talk and your career is most defi nitely infl uenced by word-of-mouth advertising. Go out of your way to fi nd ways to support your network. Don’t wait for someone to ask for your help. Make a point of contacting members of your network when you don’t need anything. Just check in to see if you can be of service to them. Even if there’s no particular need at that time, they’ll certainly appreciate the thought and you will have further cemented a valuable relationship.

4. Follow UpIf someone in your network provides you with a referred lead, handle it immediately. Then, get back to the referrer to let them know the outcome and thank them a second time.

5. Maintain Your FocusA network is a living entity. Once or twice a year, evaluate the effectiveness of the people in your group to see if you need to add more support in a particular area. If you’re all give and get nothing back, you need to correct the situation or fi nd new links for your network. The opposite holds true, too. Honestly evaluate your own effectiveness to the other group members as well.

6. Make Networking an Integral Part of Your LifestyleDon’t think of networking as an activity to be scheduled. “Today, I will network all morning.” A champion realizes that virtually every waking moment can offer an opportunity to use, build or assist the network. Never hesitate to start a friendly conversation with someone. You never know where it may lead — to a prospect, a sale or even a new valuable member of your network.

By making your network more successful, you make yourself more successful. As the individuals within the network grow, succeed and prospect, your range of contacts increases. Your connections with successful people connect you with an ever-growing circle of more successful people. The depth of your support group increases as does your access to more and more powerful resources. All of this leads directly to more and more prospects.

World-renowned master sales trainer Tom Hopkins is the chairman of Tom Hopkins International. He can be contacted at 866.347.6148, or by e-mail [email protected].

Making Powerful Connections

TomHopkinssts fos ls ms sf fi s


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www.sellingsuccessonline.com

CoreyByrd

At Troy Aikman Ford, our goal is to continuously improve our people, process and culture. As general manager, it is my job to ensure that we enforce Troy Aikman’s spirit - the will to win, and the will to succeed.

When I was hired in the summer of 2005 as the general manager, I had some big shoes to fi ll and some high expectations to meet. Troy Aikman had always maintained a positive image throughout his career, and it was very important that his dealership maintain that same image. His “brand” – the Troy Aikman Brand, was one of a positive attitude and strong values that was so well known throughout the Dallas area, that if someone made a mistake at Troy Aikman Ford, it was common for a customer to say, “I’m going to take this up with Mr. Aikman.” So, it has been my No. 1 priority to ensure that we represent Troy Aikman by upholding those values at our dealership.

Naturally – we needed our employees and vendors to not only understand these values and this philosophy, but to fully embrace it. In order to maintain the brand and create a culture of success, we needed three key strategies to meet our business objectives:

1. Implement Cutting-Edge Loyalty Programs

2. Establish CSI Accountability at All Levels

3. Revolutionize the Car Buying Experience

1. Cutting-Edge Loyalty ProgramsIn order for our loyalty programs to work, they needed to be on the cutting-edge of technology. We needed a solution that would help us to effectively and intelligently communicate with all our customers. Our marketing partner’s multi-channel marketing approach using video e-mail, voice broadcasting and text messaging has helped us hit several milestones by enabling us to touch all of our customers.

But there were several steps involved with implementing this technology, and it started with E-MAIL.

Collecting E-mail Addresses:43 Percent of Customer BaseIn June of 2005, we had less than 100 e-mails in our database. In just under two years, we now have over 43% of our customer’s e-mail addresses. We attribute this to three factors:

1. E-mail Collection Accountability - Holding service writers accountable for collecting e-mails using an E-mail Tracking Report which shows who is collecting e-mails in the dealership.

2. We also use an “E-mail Discovery” solution - fi nding e-mails for our customers in the DMS by their name and address and continuing to search for updates.

3. Consistency and Visibility into ongoing e-mail collection - Using e-mail addresses to constantly communicate sales and service messages, so those e-mail addresses never go stale. Service and sales personnel are much more likely to ask for an e-mail if they know you will use those addresses to make them more money.

RESULTS:No. 1 in District for FirstAppointment SettingOur automated campaigns have contributed to us being No. 1 in fi rst appointment retainer in our district (we have an 84 percent success rate at fi rst appointment retainer). This is because we immediately send a video e-mail of Troy Aikman after someone buys a vehicle. Imagine buying a car and getting a video from the owner of the dealership introducing your service drive. We experienced strong penetration from this “intro to service” campaign. Customers for whom we don’t have an e-mail address are sent a pre-recorded voice broadcast

from Troy Aikman, where he personally thanks them for their vehicle purchase and introduces them to the service drive.

Increase in Overall Gross Profi tOur loyalty programs have also contributed to our increase in overall gross profi t. We believe that you must communicate with each customer individually and create marketing campaigns to meet their unique needs.

For example, a person who used to be a loyal customer and then stopped coming to the dealership, needs to be treated differently than a loyal customer. We recognize that they haven’t been in the dealership in awhile – so we’ll send a piece directly to them to try to “win back” their business. We do this through an automated campaign system. Our marketing partner sets up the campaigns, runs the queries and constantly communicates with these customers. We have “rediscovered” customers who hadn’t stepped foot in our service drive in 25 months. These rediscovered customers are also the ones who are more likely to purchase a vehicle from our dealership. In every message, we insert several links to our Web site which ultimately drives more traffi c to our Web site (which equates to more car sales).

One of the best response rates comes from our text message service reminders. We have received great customer feedback from using this form of communication. Our dealership tries to be on the cutting-edge of technology, and we believe that using text messaging communication is at the top of the list of innovative marketing strategies. If someone wants to get a hold of me, they send me a text message. If this is true for me, wouldn’t my customers want to be treated the same way? It is the wave of the future. We only get about one complaint every two months – but ultimately it’s an opportunity to communicate with that customer and get them into the dealership. The majority of our customers appreciate this non-intrusive approach.

2. Establish CSI Accountabilityat All LevelsTroy Aikman and I share the same approach to customer retention: Try to do what we say we are going to do. If we do this, our CSI scores will refl ect this approach. In March, our “Voice of the Customer” Score (i.e. - CSI score) was 95 percent. We believe this was because of our follow-up program with our customers:

1. E-mail Survey

2. Paper Letter

3. Follow-up Phone Call

We feel that it is extremely important to survey our customers immediately after they leave the dealership so we can address any issues quickly. We send surveys to our customers as soon as we sell a vehicle or close an RO. We receive the survey results by e-mail in real time, which allows us to take action immediately. Through this process, we are able to identify problems, address concerns and resolve them effectively. It has been my experience that if you resolve a customer’s problem in a timely manner, they become your most loyal customers.

We have found that if you hold employees accountable to these numbers, you will see an overall lift in CSI. Two years ago, we implemented a policy where one-third of the pay of our staff is based on CSI scores. This approach has encouraged our staff to treat every customer as they would want to be treated. The staff WANTS to collect e-mail addresses of our customers so we can send them an e-mail survey, fi nd the problems, and solve the problems before the OEM survey. We also believe that our high CSI has contributed to our higher than average gross per car.

3. Revolutionize the CarBuying ExperienceA dealership’s Web site hits can be a huge contributor to total sales in the dealership.

We spend a lot of time and effort driving traffi c to our Web site which has produced an unbelievably high number of Web site hits. This is done through search engine optimization, effective e-mail campaigns and dealership reputation (I’ll admit that having Troy Aikman’s photo on our site also helps drive traffi c).

We believe that this approach has helped us hit our numbers over the past several years. We were up 26 percent in sales revenue in the fi rst two months of 2007, while the Dallas market was up only six percent.

So, how did we turn Web site hits to sales? Here is our approach:

Continuous E-mail MarketingWe have learned that customers appreciate monthly e-mail marketing communications from our dealership. We work with our e-mail marketing company (MarketView360) to create high-end pieces that focus on driving traffi c to our Web site. They always include a “click to call” button that allows a customer to call us directly from the e-mail marketing piece. Now, the pieces are interactive and we can encourage the customer to come by our dealership and view the vehicles.

The “Restaurant Style” CloseOnce we get them into our dealership, we continue our “hands-on approach” with the customer. We call this the “Restaurant Style” approach. You know you are in a well-run restaurant when a manager walks around and gets the pulse of his customers. Troy Aikman and I believe this same “Restaurant Style” approach is critical in the car-buying experience. Our management team will introduce themselves at the beginning of the sale to let the customer know they are accessible at any time in the transaction (rather

than at the end of the transaction). We follow these two simple rules when selling a car:

1. Find a car that fi ts the customers’ needs

2. Make it affordable for them to purchase

My mission to ensure that we are constantly evaluating our operations and continuously making improvements in our people, process and culture is ongoing, and upholds the pure determination to succeed. In short, we fi rmly believe that that by implementing loyalty programs, and by creating a culture of accountability with regard to CSI and by revolutionizing the car buying experience – we are showing the true spirit of determination at Troy Aikman Ford.

And while we continue to fi nd ways to improve our dealership and our numbers, we also continue to rely on employees and vendors that portray the image and goals of our dealership - the spirit, the will to win, and the will to succeed of Troy Aikman.

Corey Byrd grew up in Houston, TX and graduated from The University of Texas at Austin in 1993 with a B.A. He went straight into the automotive industry. He’s been on board at Troy Aikman since May 2005 as general manager and he is now general manager and partner.

MarketView360 (www.marketview360.com) is a division of MarketQuiz. MarketView360 helps their clients communicate to their customers automatically and intelligently using e-mail, voice broadcasts, text messaging and direct mail.

Corey Byrd is the general manager of Troy Aikman Ford in Dallas, Texas. He can be contacted at 866.469.9756, or by e-mail at [email protected].

TheSpirit of

Determination: Troy Aikman Ford

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...we needed our employees and vendors to not only understand these values and this philosophy, but to fully embrace it.


One certain aspect of the Internet is the fact that it is a highly personal medium which allows the user to customize the

experience to their specifi c needs. Unlike television, which presents programming in preset time slots unless you have TiVo or DVR capability, the Internet allows you to select the activity you want when you want it. When you want to watch or read the news, you may do so at the time you prefer through a multitude of sources. If you want entertainment, you can watch videos or read stories; if you want to view sports or study history, you can do so with just a few clicks. The Internet has become what I like to call “MeTV.” The Internet user has all the options and freely exercises them. No more do they have to wait for “details at 11.”

Following Your Customers LeadUnderstanding and respecting how automotive shoppers use the Internet will give you a tremendous advantage when you respond to their inquiry. Web site statistics will show that most automotive prospects shop for vehicles using a variety of sources, but most customers eventually touch base with the leading consumer education Web sites. These consumer education Web sites are set up to provide automotive shoppers with all the information they need to make informed buying decisions.

Often times, I hear sales people criticize shoppers for visiting these sites, and sometimes the reaction, even to the customer by phone or in person, is that the sites are not credible and the information they provide is not correct. Before there was the Internet there were banks, credit unions, libraries, consumer magazines and even “advisors.” All of these sources provided insight to the consumer to assist them the same way the Internet sources do today. My experience and the experience of many successful Internet

Want to Sell More Online - Just Follow Your Customers Lead

DavidKainsts fos ls ms sf fi s

marketing solution

managers would suggest that discrediting these online sources is not a fruitful approach. It is far better to acknowledge that you would do the same thing if you were shopping for a vehicle, and that you respect the fact that they were trying to gain knowledge about the vehicle they were interested in.

Be glad that they visited these sites and still submitted a request or called you about your vehicle because it means your brand survived the fi rst cut in the shopping process and is still under consideration. I like to use the phrase, “Great, I am glad you were wise and used those sources to learn more about the vehicle. Please bring that information with you when you come in for your appointment and we can go over it together.” The key is to use the information to your advantage and get the customer to come in to the dealership. You would be surprised at the quality of the information on these sites if you clicked around on them yourself and, more surprising, is the fact that they actually price vehicles at a level that most dealers would be glad to accept. Some dealers use the Kelley Blue Book or Edmunds price as an advantage and let the customer know their vehicles are in line with these online sources. What is most important is that you do not just dismiss these sources as irrelevant and inaccurate because most online shoppers appreciate what they offer and if you talk bad about them it only hurts your opportunity.

Where Did the Lead Come From?When responding to a lead that came in via the Web, one of the fi rst things you need to check is where it came from. This important step will allow you to understand what was on your prospect’s mind when they clicked the submit key and sent their personal contact information your way. I like to fi nd out if they clicked “request a quote,” “more information,” “value my trade,” “schedule a test drive,” or even “make an offer” because it determines how I respond. If we respond with a price quote to someone who wanted

to schedule a test drive then we are missing the mark and frustrating the consumer. Many consumers suggest that their frustration with automotive shopping online is that the sales person did not answer their questions. The Cobalt Group released a major study in 2006 that suggested that response times were down but fewer customers were satisfi ed with the responses from dealers in the study because they did not answer their questions.

It is important to remember that not every online shopper is looking for a price quote. With used vehicles, most listings already provide a selling price and the typical questions are “do you still have it?” and “does it have the options I am looking for?” When you receive an electronic lead, be sure to read the details and then go online and follow the path that your customer took so you can understand what prompted them to click submit. This will give you the knowledge you need to formulate a customer focused response that meets their needs and, ultimately, meets your needs. This can be done in a matter of seconds and will make you stand out in the crowd of other sales people who may not be willing to understand what the customer is asking.

The Internet provides many clues for sales people if they are willing to use them. I used to ask my customers to “tell me how you like to purchase a vehicle and then I will meet your needs.” This worked more often than not and allowed them to know that I had their best interest in mind. The Internet shopper is telling you what is most important to them with their online shopping path and all you need to do is take a few moments to research their clicks. Give it a try next time. I promise it will help you sell more vehicles.

David Kain is the automotive Internet training specialist at Kain Automotive, Inc. He can be contacted at 800.385.0095, or by e-mail at [email protected], or visit www.kainautomotive.com.

Common Objections and What to Do With Them

JeffMorrillsts fos ls ms sf fi s


Here’s the technique, with the example “I want to think about it”:

1. Acknowledge. “I can understand why you

feel the need to think on it overnight. Buying a car is a big purchase and, if I were you, I wouldn’t want to make a mistake.”

2. Ask questions to understand the objection. “When you say that you want to think about it, what will you be considering?”

3. Isolate the objection. “Other than the cost, is there any other reason that would hold you back from writing an order with us today?”

4. Be a problem solver. “If we could narrow

the gap between our monthly payment and your monthly budget, would that allow you to write an order with us today?”

Suggestions for Other Common Objections:

1. This is the fi rst place I’ve looked and I don’t want to rush in. “If you lost your keys and you found them in the fi rst place you looked, would you keep looking? (Thanks to Joe Verde, the Jedi Master, for this one.)

2. I need a day to consider all this. “It sounds like what you’re saying is that you want to own the car but you don’t want to wake up and feel bad about it tomorrow. What could we do today so you didn’t feel bad tomorrow?”

3. I just need to think about it. “Most everybody feels anxiety when they’re on the edge of a big decision. One of the reasons I’m here is to help you work through the anxiety today so you can begin enjoying your new car and end all the worrying about what to do. What’s on your mind? What would make you feel more comfortable?

4. I need to check with my credit union. “What do you need to check on? We have much of that information here, and excellent fi nancing through a variety of lenders. With that information, would you be able to write an order with us?”

Tips:1. Let the customer talk, listen carefully and ask clarifying questions. It’s much easier to solve a price objection, for instance, if you know whether you have a new car price issue, a trade issue or a payment issue.

2. Remember that it takes multiple closing questions before most customers fi nally agree to buy, so don’t be afraid to be professionally persistent. If someone just took two hours of your time, you’re entitled to some answers about why they don’t feel comfortable buying yet.

3. After you overcome an objection, ask for the order. Don’t wait for the customer to come up with additional objections.

Jeff Morrill is co-owner of Planet Subaru in Hanover, Mass., and Planet Chrysler Jeep Dodge in Franklin, Mass. He can be contacted at 866.872.8699, or by e-mail at [email protected].


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Never stopping the learning process, always keeping the mind open to new ideas and keeping that thirst for discovering

something new could be a key to staying young. There are numerous articles and studies out now validating this very idea.

The degeneration of the brain is far from inevitable. “Its design features are such that it should continue to function for a lifetime,” says Zaven Khachaturian, Ph.D., director of the Alzheimer’s Association’s Ronald and Nancy Reagan Research Institute. . . So what’s the secret to keeping our brains agile and fi t? Activity seems to be the key. In fact, mental and physical challenges are both strongly connected to cerebral fi tness. Education also seems to enhance brain function.Making our Minds Last, Katherine Grieder, Jill Niemark, Psychology Today

The brain is like a muscle: Use it or lose it. Today’s research offers evidence showing that taking steps to protect your brain can prevent a decreased memory and slowed wit. Mental exercise is crucial. It begins when parents read to their children. But it is never too late to stimulate the brain.Medical World Search, Ifay Chang, Ph.D

How often in the automotive world have we become complacent in our belief we have a thorough knowledge of our business? Do we challenge ourselves by trying to learn more about that which is unfamiliar to us – such as uses for the Internet, how an online customer thinks, what it takes to be at the top of a search engine or a myriad of other topics related to the new online world?

Education may be the long-sought-after fountain of youth. After decades of studies, researchers continue to fi nd that those who keep their minds engaged in active education live longer and stave off the ravages of aging, such as memory loss and lethargy. . . Only two decades ago, most physicians and researchers felt that aging and its deleterious

Endless Learning - The Key to Anti-Aging

CraigCriswellsts fos ls ms sf fi s


effects on the brain were inevitable. However, these recent fi ndings offer hope to maintaining lifelong mental health. The Alzheimer’s Association now sponsors “Maintain Your Brain” workshops throughout the country, encouraging people to stay physically and intellectually active. The workshop advises people to “enroll in courses at your local adult education center, community college or other community group.”Ongoing Learning Increases Longevity, Gabby Hyman

One should never stop learning. Keeping your mind open to options does not mean you have to take every thought and act upon it. But by spending the time, effort and money to learn, to educate oneself on the new and different will allow for more intelligent decisions about the direction to take. Chance favors the prepared mind. One can research new ideas, new ways of doing business, new methods for attacking everyday challenges so that when an opportunity does present itself, they will be ready.

Think about how this applies to your business. If you have reached a sense of comfort in your position or your business it may keep you from learning and expanding. Remember, chance favors the prepared mind.

As an example, what do you know about the following Internet marketing topics:

• Blogging – Do you blog? Maybe you should.

• Podcasting – Ready for primetime?• RSS Feeds – The wick has been lit.• Viral Marketing – One to many, not

one to one.• White Hat – An ethical hacker?

Find an Internet topic, an online skill, an area of virtual knowledge unfamiliar to you and do the research to learn more about it. Expand your mind and keep yourself young.

Craig Criswell is the Internet director for O’Rielly Chevrolet in Tucson, AZ and the president of Internet Certifi ed Dealer. He can be contacted at 866.440.4301, or by e-mail at [email protected].



David Thomas - Owner, Subaru of Dallas

Power Prospecting covers 4 key areas. The 4 W’s...When, What, Who and Where, to effectively prospect in today’s super competitive market. When is the best, most effective time to contact a prospect, a be back, and/or a referral for maximum results. There is a right and a wrong time to call a prospect! What is the most effective style and way to communicate as well as tips to get past the “gatekeepers”. Who are our best prospects, and how to identify them and their sphere of infl uence, who has the best chance of buying from you? Where do we get our best prospects and referral opportunities? Where are they working, dining, living and relaxing? Where will your time be best spent? Now that the Internet has changed our entire business model, we must get back to some “grass roots marketing” to stay competitive. I preach the basics. This coupled with an effective Internet strategy will keep your sales growing.

Call today to register. Seating is limited. Speakers and times subject to change. toll free: 866.432.8718 web: www.autosuccessonline.com

Joe Shuster - General Manager, Hillside Honda in Queens, New York

A dominant BDC is one of the best tools your dealership can have to pull customers into your showroom and increase your bottom line. Joe Shuster, general manager of the highly successful Hillside Honda of Queens, New York, will discuss how he and his staff have implemented Hillside’s business development system, and what kind of growth it has generated. Joe will discuss the importance of your BDC, how to implement a BDC quickly and effectively, hiring and training the right people for your BDC and setting up the proper processes and systems to give your dealership and edge over your competitors.

Todd Bennett - General Manager, Bruce Bennett Nissan

Connecticut’s #1 volume Nissan Dealer will share best practices for BDC process, Internet process, sales process, the best trained sales and service team, customer relationships and a passion for making money. Nissan Owner First Award dealer since 2000 and three times in that time period won the most prestigious Circle of Excellence award both based on customer satisfaction. We have out sold every Nissan dealer in Connecticut, and the surrounding New York counties for the last 4 years doing business out of Georgetown, Connecticut. I will show you how we do it and answer your questions.

Red McCombs Automotive Group - Tony RimasYou will learn how to expand your Internet department through creative inventory presentation, strategic pricing, and aggregation techniques. Then convert this added demand to sales through tactical lead allocation, superior staffi ng

and recruiting. Last, you will be advised on vendor selection to satisfy your dealership and market needs.

Vice President of Sales, BZ Results - Eric StuttzSell more cars, keep more customers PROFITABLY! You will learn how to use technology and training that

works together to attract, sell and keep customers loyal to the dealership. I will talk about systems that include automated marketing tools for direct mail, bulk e-mail, multi-media e-mails, automated phone campaigns, Web site development, virtual test drives, and marketing campaigns that include high-end custom presentations that highlight the reasons why your customers should be doing business with you instead of the competition. These

systems will help dealers customize their business plan, strategy, people and processes to ensure that the system gets the results they want.

Co-founder and Chairman, vAuto - Dale PollakEvery dealer knows a car bought right is a car half sold. Dale will discuss the methods many of the most

successful dealerships across America have used to improve pre-owned vehicle department profi tability. This session will illustrate the underlying principle that profi t is dependent on turn, and turn is sensitive to “equity” or how

you own your vehicles. By managing equity, pre-owned inventory turn will increase. Dale will discuss the importance of fi nancial awareness during the acquisition, wholesale disposition,

reconditioning, pricing and desking processes along with three killer strategies for improving pre-owned sales in the internet era. In this session you will learn how to: Apply fi nancial discipline; Price for today’s consumer; Adopt

cutting-edge merchandising techniques.Attend this session and you’ll never manage age again.

Michael York - Author and Professional Speaker

Welcome to the most sophisticated marketplace the world has ever known!How will you win? In this “show” you’ll fi nd out why MOTIVATION is one of the biggest wastes of time and energy for selling organizations, and what you should be focused on to win.Plus…Why sales training doesn’t work! The “BIG LIE” of selling! The 3 WAYS to grow YOUR selling revenues! Why so many talented people are BROKE and what to do about it! Why “time management” is a waste of time! Why 98 percent of sales people don’t really know how to set goals (until NOW)! Why “informal education” is available to EVERYONE who wants to win!And what does BECOMING UNCOMMON really mean? Find out why COMMON is well, common. And how you and your organization can stand out in this economy as UNCOMMON simply by doing a few things better than you are now! Don’t miss this session packed with UNCOMMON wisdom as only the entertaining MICHAEL YORK can deliver it!



toll free: 866.432.8718 web: www.autosuccessonline.com

Howard Polirer - Director of Industry Relations, AutoTrader.com

Director of industry relations, AutoTrader.com, Howard Polirer will teach you how to market and sell more cars online in this Best Practices Summit VI workshop. It’s time to get back into the car business. Don’t let technology dictate how you do your business, rather let technology help you to sell more cars and make more money. Today’s consumers are all considered Internet consumers and are armed with more information. However, if they can’t see your cars online, they won’t click on them. And if they don’t click on them, they won’t buy them. It’s time to get online. Advertising online is less expensive, but that doesn’t mean you need to abandon all other mediums. Take a holistic approach – when advertising in newspapers, TV or radio, be sure to direct consumers to your online, virtual showroom. It’s time to move shoppers from your virtual showroom to your real showroom. After all, people still buy cars from people. Entice shoppers through your ads – use multiple photos, tell the car’s story through ad copy, and include an action item. Use measurement tools like a Webtrends report to evaluate the clicks on your inventory or the activity on your site. This Best Practices Summit VI will teach you about today’s consumer, incorporating the Internet in your advertising mix, your in-store processes, and how to sell more cars and make more money.

Bryan Hopkins - BDC/Internet Director, Hare Auto Group

You will learn how the Hare Auto Group in one month increased Internet sales 438 percent. Sales went from 18 to 79 in one month. You will learn how Hare increased its closing ratio from 7 percent to 15 percent in just that one month. You will learn how Hare Auto uses a well-trained and dedicated Internet staff to set appointments on 28 percent of its leads. You will learn how www.HareAuto.com builds value in their products and dealership, generating a 53 percent close ratio on appointments that show. You will learn strategies on how to keep customers on your Web site and how to generate leads from customers from your Web site. You will learn how to fi nd your best Internet process, and create a process-driven team. You will learn the importance of having daily, weekly, and monthly goals. You will learn how to increase your lead conversion rates from your Web site. You will learn how to customize your Web site to your market conditions. How to use innovative technology to identify, attract and retain loyal customers. How to use your Virtual Dealership to create a profi t center from sales to F&I to service and parts. Learn how to use your Web site to help increase your sales and service CSI.

How We Used CentralizedMarketing to Quadruple Closing Ratios

TonyRimas

Red McCombs is capitalizing on centralized marketing strategies to increase closing ratios from three percent up to 19

percent and to sell up to 500 online vehicles per month. With the evolution of both marketing and technology, Red McCombs needed to fi nd a means to leverage the full potential of both in order to maintain our top position in our region. There were many reasons for our dealership to consolidate our marketing strategies in order to create a centralized marketing approach. With the help of our digital marketing consultants, Red McCombs was able to customize a centralized approach that incorporated the traditional media of advertising along with our eCommerce strategy.

This strategy was the solution for Red McCombs to effi ciently manage and measure our marketing campaigns. Centralized marketing provides a central point of connection between marketing efforts and sales. By centralizing our marketing strategy, we were able to accurately track and measure

effectiveness of each medium and campaign, deliver a consistent advertising message in all of our ad copy, and, most importantly, we were able to reduce advertising costs. Our newspaper, television, radio and direct mail campaigns now include our URL as the primary point of contact. Through our web of microsites and landing pages, we are able to channel and direct consumers to our Web site which enables us to more effectively analyze and manage our leads. We also enhanced our search marketing campaigns, and have seen immediate and signifi cant results. By centralizing our marketing strategies we are able to measure and track results and ROI of marketing with our CRM lead management tool. We have seen an increase in traffi c, but most importantly an increase in the amount of visitors we are converting to leads and subsequently into sales.

With our management tool we are able to effectively track all of our advertising efforts by assigning a unique toll-free number to all advertising campaigns. Each campaign is assigned a unique tracking number, which provides us with instant tracking and reporting

capabilities. We can easily identify which tactics are attracting the most visitors and whether or not the visitors request additional information and eventually enter the buying process. With our fully automated CRM BuzzTrak tool, we are able to integrate and measure all of our marketing mediums and centralize the entire process.

All dealerships, regardless of size, are driven by the need to maintain a competitive edge and to more profi tably manage customer interaction and customer experience. By centralizing all of our marketing mediums, we channeled all leads to our Web site marketing hub, RedMcCombs.com, to effectively manage, measure and track their profi tability while reducing advertising costs. Our digital marketing system, working with our traditional marketing, continues to provide Red McCombs with everything we need to attract, sell and keep loyal customers. The proof is in our results.

Tony Rimas is the eCommerce director at Red McCombs. He can be contacted at 866.439.4672, or by e-mail [email protected].

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marketing solution

the #1 sales-improvement magazine for the automotive professional

About 10 years ago, I had the opportunity to catch up with my high school basketball coach. We had a great time reminiscing about

great victories, tough losses and the team that to this day has a special place in my heart. We talked for a good hour or so before my coach asked me a question that made me think. He asked me what the most important lesson I learned was from playing with that team. I’ve never been one to be tongue-tied but I was thrown off a bit. After careful thought, I answered, “to win.” I did not fully understand then but I could tell the answer didn’t satisfy my coach.

There are a lot of ingredients involved in winning. At Hillside Honda, one of our keys to success is our belief system. The store has a tremendous history and a winning track record. Training is a religion at Hillside Honda. So much so, many talented individuals have gone on and graduated from this system to become leaders throughout the industry. The philosophy of believing is a three-part initiative. If you have ever played team sports in high school or college and

were successful, you understand the concept of believing: believing in yourself, in your team and in the philosophy.

Every business book I have ever read has described the best investment you can make is investing in yourself. At Hillside Honda, we stress that daily. There is no stock, property, mutual fund or anything else that can outperform you. At Hillside we stress mind, body and soul. Are you feeding your head with good information, or are you caught up worrying about everyone else’s business? Are you reading positive material so you can move forward in life, professionally and personally? Are you taking care of your body - exercising daily, feeding it good stuff, not smoking, drinking, using drugs, etc.? The body has been compared to a temple, and I like that analogy. Finally, your soul - are you a happy individual, are your relationships pure, are you an individual that can sleep comfortably at night because you know you’ve conducted yourself as a gentleman or lady? Are your relationships with your wife, husband, kids, family and friends healthy and positive, or are they fi lled with problems, lies and deceit? Life is too short to live this way. Invest in you on every level. At Hillside Honda we fi rmly believe it is our responsibility to stress that there is no better investment than the one you make in yourself.

I loved playing team ball because it taught me that I needed people in my life to win. As a retail automobile sales man, believing in the leadership is paramount to your success. At Hillside Honda, we are fortunate that the sales reps understand that management’s sole function is to help them. I recently told one of my newest leaders in the sales department that sales people have to feel that you care about them. They have to know that you will protect them, assist them and are there for them when they need you. It’s imperative; they have to know you would lay it down


leadership solution

BelieveJoeShuster


for them. It’s your responsibility to convey that to them, and if you can’t, you won’t lead for long. I believe one of the reasons Hillside has bucked many trends over the years is because of our family-type environment. People in this store care for each other and do what they can to be helpful.

Finally, believing in the system is especially important when it comes to your career. At Hillside Honda our daily training includes sales philosophy training. Over the years, I have heard many retail automobile sales people and leaders referring to the “tire kicker.” After 16 years in this business, I still can honestly say I have not met this person. At Hillside Honda we stress and train, people come to this store for one reason and one reason only: to fi nd a sales person to sell them a car. That’s it - not to look, not to tire you out and not to waste your time. They are looking for someone to sell them the car they want. In addition, our daily training reminds retail automobile sales people that customers come here 99 percent of the time because they want a car, not need a car. The American public loves automobiles. That knowledge is extremely important for sale reps to know but, more importantly, to understand. Understanding that and believing in the system your leaders have set up will do you wonders.

Hillside Honda is a great place to learn, make money and enjoy the car business. In addition, it’s the belief of the leaders in our corporation that makes sure that everyone understands what the best investment is, how important teammates are and the positive philosophy that guides us every day.

Joe Shuster is the general manager of Hillside Honda, located in Queens, New York. He can be contacted at 866.440.3445, or by e-mail [email protected].

From left to right - Jeremy Abramson, Sales Manager; Joe Shuster, General Manager; and Peter Petito, Sales Manager

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DeliaPassi

Listening: A ValuableTactic for Selling to Women



Most women say that nobody listens to them. To some extent, this is literally true. Research on cross-gender conversation

routinely fi nds that men introduce most of the “successful” topics, while women play the supporting role of keeping that subject alive. That means, at least most of the time, men talk and women listen.

It may also be stated that the pattern will hold, no matter where or who the woman is. Even women who outrank men - female executives, female business owners, female principals or a stay-at-home mom who employs someone to do work around the house - every woman will generally fi nd herself expected to be the polite listener rather than the take-charge talker.

There is even more to it than that. When a woman says nobody listens to her, what she also means is she does not feel heard. She does not feel understood. Communication styles can vary so widely that many men tell me they literally struggle to follow women when they talk. She may veer off topic, his mind may wander or he just does not grasp where the conversation is going.

If, as a sales person, you are not listening to a female customer it is probably because:1. You assume you already understand

her requirements, so you can block out what she is saying; or

2. You are concentrating on your own agenda, which pulls your focus away from her dialogue. This makes it diffi cult to follow her train of thought and, consequently, her needs and wants.

Whatever the reason, women tend to have fi ner-tuned social perceptions than men. They usually notice if you have logged off or if your attention is drifting away. And that will often lead to frustration and doubts about your ability to seal the deal.

The upside is that the fi x is fairly easy. Do not interrupt. Do not “mind read” her needs. Do not try to solve all her problems. Just stay calm and let her lead the conversation. Refocus on whatever it is that she is saying. Your job is to be ready, willing and able to adjust your footing to hear her out. In the end, you will be very glad you did. Because

when a woman believes you are there and that you really hear her, you might just get her business for life - and that of her friends and family, too.

Listen Up: Getting the Information You NeedFollow Her FeelingsHer reasons for watching the price tag tell you this is one busy woman - a working mom who feels pressure to perform fi nancially in her business and be an extra-caring wife to a sick spouse. Her house is under construction - her routine is disrupted, there is a lot to decide. Her kids are growing up, moving on - big changes, a new chapter. Imagine how impressed she will be if you can relate your product to reducing her stress, simplifying her life and helping her to manage and maintain normality. Hear and understand her need for product effi ciency and high-performance in light of her full plate. If you deliver the value proposition from that standpoint, she is sure to feel the fi t.

Think FeelingsA woman is not as compartmentalized as your average man. Her feelings are often part of her thoughts, and that is a crucial linkage. Listen for feeling words, emotional states, loaded terms: stranded, furious, disappointment, confusing, scam. These are the signposts that tell you where she is coming from and where you should go.

Think RelationshipsShe does. Do not try to impress her with facts and fi gures; on their own, out of context, sheer logistics will probably backfi re. Relate your product or service to the people in her life; you have been listening, so you know who they are. That will help her really see the value of the product you are trying to sell.

Think ContextSure, you are selling products and services for what she needs to get done. But to seal the deal, sell to what she needs to make her life better. If you can speak to her life and sell to be a positive part of it, then you are sure to get repeat business from her.

Not to Be Missed: Showing Her YouAre ListeningMen especially like to do things, but be careful. There are many things a sales person can do to blow the sale - talking too much or too soon, trying to fi x things or pushing too hard or too aggressively. The fi rst thing

to do with a female customer is to make her feel that she is unquestionably being heard; even the perception that you are listening is a start. Responsive listening is what women will do with other women to say, “I’m there” or “I’m with you.” It is useful with men, too, especially because it gives them something to do while listening. It will keep them from doing the wrong things they might want to do, like interrupt or jump the gun to the solution before she is fi nished explaining the situation.

It is easy – and, most importantly, it works. To start, use simple supportive gestures like smiling or nodding every once in awhile. This tells her you are there with her, taking time, and digesting what she feeds you. It also sends a second crucial message: approval. Research shows that approving gestures help everyone to open up, and a woman who is seeking reassurance is sure to respond when you make the effort.

Roll out some reassuring phrases. Sure bets include:

• “If I understand you correctly…”• “That’s interesting, tell me more.”• “I see.”• “Go on.”• “What else?”

Another no-sweat step that delivers stellar returns is paraphrasing. Some people may think it is just restating the obvious. What could be more obvious than repeating what she just said? But women feel reassured and supported when they know you are really listening, and paraphrasing is an easy way to prove it to them. In addition, restating the main points will help you make sure you are really getting the entire picture.

Remember: Women buy by consensus - and they talk along those lines as well. They even want the people they purchase from to be part of their team. But nobody likes to be told what to do. Women especially do not like it when men swoop in and want to solve all their problems.

So be a collaborator. And listen, listen - and then listen some more.

Delia Passi is the president and CEO at MedeliaCommunications. She can be contacted at 866.883.4953, or by e-mail at [email protected].


These might be four of the most diffi cult words in the world to speak sincerely: Will you forgive me? They certainly are not words

we hear very often in our fast-paced and highly competitive industry.

We generally think of forgiveness as a process of releasing feelings of anger or resentment toward another, but quite often we are not the victim - but the offender. We live in a world that revolves around our relationships with others. Because of the fragile nature of the human heart, it is virtually impossible to think that we will never offend someone, intentionally or not. When we hurt or offend someone, it is necessary to offer some form of acknowledgement and apology, not only for the benefi t of the person who has been offended, but for ourselves as well.

Why is it so diffi cult to ask for forgiveness? The ability to seek forgiveness from another involves acknowledging our own weaknesses which, therefore, makes an implied


leadership solution


SeanWolfi ngton

declaration that we are fl awed, exposing our own vulnerability. We fi nd it much easier to judge and fi nd fault in others than to take ownership of our own failings. Although the ability to seek forgiveness may be one of the most challenging virtues to practice, it is important to remember that it is in our weakness that we are made strong. No leader can continue to mature and grow without fi rst recognizing his/her own fl awed humanity. The act of seeking forgiveness involves the humble giving of something to the person that you have offended - not something that can be measured materially, but the gift of the belief that they themselves are valued and thereby able to forgive.

Because of the common stresses of everyday life that we all encounter with regard to family matters, fi nancial obligations and the high demands of our professions, we sometimes allow ourselves to become indifferent to our offenses against those with whom we relate and the subsequent consequence of pain that affl icts those persons we encounter. Often our pride gets in the way, rendering us prone to make excuses or to justify ourselves.

Unfortunately we live in a society that has become corrupt with self-centeredness and self-gratifi cation, and, in fact, promotes and condones this type of attitude. Even though our culture does not encourage the concept of seeking forgiveness, the good news is that the value of this attribute can be modeled within your organization to promote healthy relationships that will build and promote the self esteem of all your colleagues. This will create an environment where employees seek to improve and thrive, which will, no doubt, trickle down to the service of the dealership’s customers, fostering their respect and loyalty.

The human person innately longs to be loved, valued and esteemed. May we continually recognize this need in others as we seek forgiveness for our transgressions, thereby assisting others in their ultimate journey to seek and fi nd the transcendent presence of love and forgiveness within their own hearts.

Sean Wolfi ngton is the general manager of BZResults.com, an ADP Company. He can be contacted at 866.802.5753, or by e-mail at swolfi [email protected].

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Will You Forgive Me

Building brand awareness in itself does not increase your market share or allow you to close more deals. When a company

strives to increase awareness levels, the intent is typically to gain mindshare that ultimately leads to a buying decision in their favor. Successful results depend on a multi-step process, and you can’t hit one out of the park just by simply increasing brand awareness.

Building brand awareness is really the initial ingredient to the buying decision. The buying lifecycle is a multi-step process that includes awareness, familiarity, interest, consideration and ultimately the decision.

It’s essential to test these levels with your prospective customer base. Unfortunately, there is no crystal ball; however, these levels can be measured by incorporating a sound market research approach. By asking the right questions, you can evaluate un-aided recall levels (awareness) and measure familiarity levels with services currently offered. You might be surprised with the results. In fact, these fi ndings may become the cornerstone of re-evaluating your marketing collaterals. Are you presenting the right message that’s important to your prospective customers? As an added benefi t, in many cases you actually “smoke out” other services or benefi ts desired by customers that you are not currently providing. This in itself opens up new opportunities.

The fi rst two ingredients - awareness and familiarity - are the focus of this discussion. A successful execution of both may lead to closing more deals. First of all, it’s essential to increase familiarity levels of our product or services. The wider the gap between awareness and familiarity levels, the greater risk of lost sales opportunities. Increasing the familiarity level is a key fundamental step to increase a prospective customer’s consideration of your product or service, as it typically takes more than just your name to close a deal.

To clarify, there are distinct differences between awareness and familiarity. A prospect may be cognizant of who you are and what you do, but familiarity is driven by thorough knowledge of services and benefi ts gained. In most cases, a prospect accepts your offer only after the realization that the value proposition exceeds the price. In this

Increasing Mindshare You Can’t Hit One Out of the Park With Just Awareness

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marketing solution

instance, familiarity becomes the cornerstone of the value proposition.

Here’s an illustration to showcase these differences. In January 2007, JP Morgan conducted a North America Equity Research where they surveyed 1,100 consumers to gauge overall spending behaviors for 2006. Specifi cally, they wanted to evaluate the newly launched product Google Checkout against Pay Pal. The fi ndings from the survey concluded that Google Checkout penetrated only six percent of the consumers compared to PayPal at 42 percent. The study concluded that Google’s aggressive promotion led to a respectable launch for its fi rst year operation. My point is, as strong as the name “Google” is in the market (its stock price ranges around $455 per share), its new product checkout is just gaining ground. As noted earlier in the survey fi ndings, “their aggressive promotions and discounting spurred the respectable launch.” This again reinforces that even the corporate giants have to expend efforts to get their prospects familiar with services – it takes more than a strong company name to get market share.

The prospective customer must have familiarity with the product or service, benefi ts gained and how the value outweighs the price, which is far from just awareness. Plain and simple, this doesn’t just come by the ability to recall your name. What leads to a buying decision is your prospect having a keen understanding of your product or service and how it’s going to benefi t or solve a problem for them – it’s got to provide real value that justifi es and/or outweighs the price. By that, I’m not specifi cally referring to the lowest price. In fact, as stated many times by Zig Ziglar, “good things are rarely cheap and cheap things are seldom good.”

Don’t leave your understanding of awareness and familiarity levels up to guesswork, your gut feeling or chance; it’s too important. Applying a sound market research approach will give you the competitive edge to increase customer mindshare that will infi nitely lead to more sales opportunities. You can’t hit one out of the park with just awareness, but if you close the gap between awareness and familiarity levels it will get you on the way to closing more deals.

Allen Cheek is the president of CLARITY OMS. He can be contacted at 866.611.0998, or by e-mail [email protected].


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DeniseRichardson

The Truth is...Numbers Do Lie




When it comes to buying an automobile, fi nancing a home or obtaining credit, it’s all about the numbers. The numbers

contained in a consumer’s credit report are directly related to the price of a car or home the consumer can afford. These all powerful numbers can affect both the affordability of insurance premiums and the interest rates and ultimately, may be a deciding factor in whether or not the consumer can drive the car he or she wants or purchase the home that seems perfect for their family.

But what happens when those numbers lie? Some studies have shown that one in four credit reports has inaccurate information that contaminates a consumer’s rating and affects whether or not a deal can be sealed. When consumers are hit with the disturbing news that their credit reports don’t portray the truth about them, your sales fi gures will suffer a hit too, since consumers will be forced to spend months, and often years, correcting errors caused by someone else.

Consumer credit scores are the single determining factor when basing the cost of credit. If that score is derived at using false information, everyone loses. A credit score is calculated by using precise models that analyze consumer creditworthiness based on their payment history, outstanding debts, types of credit, available credit, credit inquiries and how long a consumer has had credit. If any one of the factors used to determine a consumer credit score is imprecise or tainted, so too is the end score.

On a related note, did you know that, according to the U.S. Department of Justice statistics, identity theft is now sailing by drug-traffi cking as the No. 1 crime in the nation? Studies have shown that the victim population is estimated at 10 million a year. Mathematically speaking, that means that

there are 19 new victims every 60 seconds. Just as car thieves don’t tend to steal cars of little worth, credit thieves, given the chance, would much prefer to steal the identities of those with high credit lines and perfect credit ratings. Consumers who believe they have an excellent credit rating often have a false sense of security that makes them less likely to review their credit reports, payment history schedules or credit card statements. It’s that false sense of security that can get them into trouble at the time they least expect it – sitting across from you at the bargaining table.

What can you do about it? I suggest offering consumers help in the form of educational material well before they apply for credit. Help your prospective buyers by providing them the necessary information about who to turn to, what to do and how to do it before their dreams are crushed at the table. Provide fl yers, post information, consider offering a consumer workshop and get out the word that consumers need to review their credit reports prior to applying for credit.

Here Are Five Important Tips to Share With Consumers:

• You can obtain a free credit report without causing damaging inquiries to show on your credit report. There is one authorized place mandated by the Fair and Accurate Credit Transaction Act of 2005 that allows consumers the right to a free annual credit report. The offi cial toll free number to get a government mandated annual free credit report is 877-322-8228. Free credit reports from each credit bureau may be obtained at www.annualcreditreport.com.

• Be sure to review and dispute all account inaccuracies to get the necessary corrections made. Credit bureaus have 30 days to investigate their disputes and all disputes should be sent via certifi ed mail.

• Inspect credit reports for inaccurate addresses, erroneous employment notations or mistaken name variations. These types of inaccuracies can be an early tip off that someone else’s credit is co-mingled with yours or that someone else is using your credit. Watch for any new credit inquiries you did not initiate and immediately dispute any account activity that you don’t recognize.

• Examine credit card statements. In addition to reviewing current charges (and pending) applied to your credit card, it is equally important to pay close attention to interest rates...any rate spike can be a predictor of unknown, derogatory credit data contaminating your credit fi le that will also affect the price of your auto and homeowners insurance premiums.

• Review all current loan statements. Monthly statements need to be reviewed in order to verify that all payments were received and applied accurately. Watch for erroneously applied late fees and verify that escrow accounts (taxes and insurance) are up to date and handled properly.

Remember two simple, but well-known adages... an ounce of prevention is worth a pound of cure, and knowledge is power. Arming consumers with knowledge can effectively prevent them from losing their dream car or home. Whoever said numbers don’t lie was dead-wrong. When it comes to the world of credit, numbers can, and often do, lie.

Denise Richardson is a member of the National Association of Consumer Advocates and an author. She can be contacted at 866.439.9242, or by e-mail at [email protected].

Your Biggest OpportunityDavidThomas

After buying an u n d e r - p e r f o r m i n g store a few years ago in West Texas, my fi nancial partner asked me what had been

my biggest challenge. I quickly remarked, “Complacency.” When he asked me about my biggest opportunity, I remarked, “Complacency.”

After closing on the dealership, I realized that I was in a fairly complacent environment. If someone sold fi ve or six cars per month, they were happy. They made enough to pay the rent, car payment and cable. Where I came from, six deals per month would barely cover half of my expenses. I had to sell 15 to 20 vehicles each month to enjoy a nice standard of living and sack some savings away. My biggest challenge was to seek and hire great sales associates that weren’t satisfi ed with only six deals a month. I needed associates that had to make more money and, more importantly,

wanted to. It took seven months, but I fi nally had a team that needed and wanted to make money. Money is not everything, but it sure helps to give you and your family a more comfortable lifestyle.

Consider the following when you are looking to hire a motivated team.

• Do they need to make money? (To support a family or lifestyle.)

• Do they really want to make money? (Have a burning desire to improve their standard of living.)

• Do they walk fast? (If they move slow, they sell slow.)

• Are they enjoyable to be around?• Would you invite them to your home?

After we had established our team of motivated individuals that wanted to prospect and wanted to reach new heights, our attitudes and profi ts naturally went up. We now have a huge edge over our complacent competition that still hires fi ve-car-a-month performers.

I want to hire someone that says, “I need to make money.” Being great at what you do pays better and, more importantly, gives you a better attitude about life and family.

If you are “existing” in a complacent environment, make a shift to raise the bar. Whether you are a sales person or an owner, step up to the next level, and get the fi re started.

Post the following motivations on your refrigerator door.

• Sell fi ve more this month• Prospect every morning• Ask for referrals• Let everyone know what you do• Know your product

David Thomas is the owner of Subaru of Dallas. He can be contacted at 866.429.6803, or by e-mail [email protected].




‘Breaking the Rules:’To Serve is to Lead Part II

Leadership has always been a hot topic in which business professionals hold great interest. A recent book search for the

term “leadership” on Amazon.com yielded over 43,000 results. With a seemingly endless supply of leadership training material readily available, it can be diffi cult to understand why poor leadership practices continue to permeate organizations around the world. The reality is that while many people may aspire to be great leaders, very few are actually equipped with the necessary tools to become a great leader.

Last month, we introduced the concept of Servant-Leadership. Although the idea may seem counter-intuitive at fi rst, it’s a concept that is worth a closer look. Successful leaders are able to adapt to an ever-evolving social and business landscape. The leadership practices of decades past simply do not apply to the global world in which we live today. People are now seeking more empowerment and purpose in what they do. Employees want less top-down, authoritative leadership. The exclusive, hierarchical leadership model of yesterday has paved the way for a more


leadership solution


JesseBiter

inclusive, participative leadership model of today.

“Each one should use whatever gift he has received to serve others, faithfully administering God’s grace in its various forms.”1 Peter 4:10

The essence of Servant-Leadership is a commitment to making the needs of those being led the highest priority. It is a philosophy and a lifelong process that is consistent with the idea of personal development for all. A successful Servant-Leader is mindful to create opportunities in which those served can grow as individuals. The goal is to help the next generation of leaders to grow wiser, more autonomous and more likely themselves to become servants.

So how can you adapt the principles of Servant-Leadership to help your business? You can start by listening. Servant-Leaders listen receptively to what is being said (and not said) and seek to identify the will of a group. They will understand and empathize with others, gaining respect while showing compassion to those they serve. Effective

Servant-Leaders possess the ability to look at an organization from a conceptualizing perspective, thinking beyond the day-to-day realities and nurturing the ability in others to see the big picture.

One of the clear-cut distinctions between the traditional authoritarian model and that of Servant-Leadership is the reliance on the art of persuasion, rather than the reliance on positional authority to get things done. Initiating a robust dialogue and group collaboration will accomplish more than coerced compliance.

“Now it is required that those who have been given a trust must prove faithful.”1 Corinthians 4:2

Servant-Leaders ultimately view themselves as stewards of the organization, accountable for the overall well-being of the group and the community in which they serve.

Jesse Biter is the president and CEO of HomeNet, Inc. He can be contacted at 866.239.4049, or by e-mail [email protected].

You may sell a car because you have a low price on a popular model but you keep customers coming back for their next purchase

because of great service in your service and body shop operations. In fact, your very next car sale could - and should - come from a loyal fi xed-operations customer.

Most auto dealerships spend thousands of dollars attracting new customers to their dealership rather than building a “Customers for Life” cycle from their fi xed operations. It’s more cost effective to keep customers than to attract new ones.

Dealers say they’re committed to a “Customers for Life” experience in the dealership, but their allocation of marketing dollars doesn’t refl ect this. What percentage of your marketing budget do you spend on sales promotions versus customer loyalty initiatives? Most auto dealers spend less than two percent of their advertising initiatives on customer loyalty initiatives. They should be spending 15 percent.

If you spend money to “wow” your customer at all levels, you will ultimately spend less money advertising to sell more cars. And the cars you sell will be at a better gross profi t.

You ask, “How can I deliver a ‘Customers for Life’ experience at all levels of my dealership?” It’s hard work and you never fully arrive at extraordinary customer service but, here are a few suggestions on how to get moving in the right direction:

1. Take care of your employees. If you don’t take care of your employees, they’re never going to take care of your customers. Make sure your employees feel recognized and appreciated for achieving superior results, and not just with fi nancial rewards. Do a “climate” survey, where employees can respond anonymously about working in your organization. Be sure to respond to their legitimate concerns. The road to “Customers for Life” starts with “Employees for Life.”

2. Make sure you are getting feedback

Customer Loyalty Startsin Fixed Operations

RandyMcPhersonsts fos ls ms sf fi s

fi xed operations solution

from your customers, both in focus groups and surveys on what can be done better in your dealership. This should be done every six months.

3. Take the time to write a “Values Statement.” Hand it to every customer on the showroom fl oor and when they come in for service and repair, tell them why no one will work harder than you to delight them at every interaction.

4. When a customer’s car has been “totaled” and towed into your body shop, make sure your shop personnel immediately contact someone on your sales force who can tactfully help them get into a new or used car to replace the one they just lost. Deepest loyalty can be created when we truly help our customers in need.

To Really Cinch the Deal:5. Develop and implement a well-

thought out ‘Customers for Life’ loyalty program that rewards your customers every time they come in for service or repairs. Divert more of your advertising dollars into this area. Create incentives for people to come back to your dealership - service specials, car washes, events, etc.

6. Develop your own branded “Auto Club” that gives your customers local and nationwide benefi ts that keeps your name-branded club cards in their wallet. Every time they use their card for discounts at restaurants, movies, hotels and rental cars, they will be reminded of the value they get by doing business with your dealership.

For a free list of ways to make sure your employees feel recognized and appreciated, e-mail me.

Randy McPherson is the CEO of the re:member group. He can be can be contacted at 866.467.3861, or by e-mail at [email protected].

35

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the #1 sales-improvement magazine for the automotive professional

Sales and Part Inventory...What About Service Inventory

Customer Pay Labor and Parts Profi t Training

SteveLaPentasts fos ls ms sf fi s

fi xed operations solution

I would like to discuss a very important subject that could potentially uncover a huge “profi t leak” within your service department.

Let me start by saying that a dealer principal would not dream of opening the doors to an automobile dealership without having a tight rein on vehicle inventory control, the same holds true for the parts department inventory.

While conducting telephone consultations, I will always ask either the dealer principal, general manger or service manager “How do you manage your service inventory?” Then, a moment or two of silence, and then the usual response is “I wasn’t aware of any service inventory.” This happens because nobody has taken the time to introduce and educate anyone on the dealership management team on the basic principals, fi nancial opportunities and benefi ts of “service inventory control.” Depending on service department size and operational ineffi ciencies, the absence of service inventory control could cost a service department $100,000 - $450,000 of labor sales per year. Add to that equation a 1:1 labor-parts sales ratio and a dealership could be looking at a $200,000 to $900,000 profi t leak.

Basics of Service InventoryThink of service labor as your personnel checking account. Example, if I were to make a daily deposit of $2,000 into your checking account with the agreement, any remaining balance at the end of the day would not be allowed to rollover into your next day account balance…what would you do? I would bet the farm that you would work extra hard to make sure that you spent the entire $2,000 before the end of the day. The same concept needs to be applied when managing and selling service department inventory, which also can be referred to as labor hours and/or time.

There are a few major distinctions between the service labor inventory apart from the sales and parts department inventories:1. You can’t physically touch the “service

inventory,” because it is called “time” (labor hours).

2. You can’t sell yesterday’s “service inventory.”

3. You can, however, touch and sell vehicles that are sitting on the lot and the parts that have been sitting on the shelves from yesterday.

Technician Time Control – Is the Service Department’s Inventory Control System.Managing technician time control on a daily basis is essential to the future profi tability of the service and parts department. There will be a substantial increase in gross profi t when technician time control and performance is measured on a daily basis. Technician time control is dependant on three measurements of time:

• Available time - the time that the technician is physically available (attendance) to work on a vehicle.

• Actual time – the time the technician actually spends working on the repair order or customer vehicle.

• Flat rate time – the fl at-rate time (hours) given to the technician for performing the job.

Technician Performance – Are You Measuring Your Technician’s Performance?

• Productivity = attendance time divided by the actual working time

• Effi ciency = actual time divided by the fl at rate time

By measuring the above factors you can determine the performance of your technicians, but more importantly, identify who is controlling the service department inventory - the technicians or the service manager.

Benefi ts of Service Inventory Control A DMS electronic dispatching system enables service managers to manage service inventory labor hours with optimum effi ciency, enabling them to make fact-based decisions before hiring any additional technicians and service advisors.

• Improve appointment process, customer promise times and CSI.

• Reduce technician shortages and carryovers.

• Improve shop workfl ow by completing 20 to 30 percent more vehicles per day with the same number of technicians.

• Improve Service Department Business Performance and Fixed Absorption.

• Reduce Departmental Operating Costs.• Bring labor and parts profi ts to the next

level.

• Measure the ROI (return on investment) with your DMS computer system.

Service Inventory Control– Should I Use Manual or DMS Electronic Inventory Control?There are two ways of managing service inventory, one is the traditional manual paper “time sheets” that a dispatcher would block off time for each technician based on the estimated duration time to complete a vehicle. However, in some cases the dealer principal has already purchased automated service inventory and is paying their DMS vendor every month for this program. Automated service inventory controls are “sleeping giants” within service departments and just waiting to perform for you. Most DMS computer systems can accurately measure technician time control (productivity and effi ciency) through use of the DMS computer performance reports.

DMS computer service inventory control has been available to dealerships since 1985. Listed are the DMS vendors that incorporate “real-time” service inventory control applications:

• ADP–ERO - Electronic Repair Order • Reynolds and Reynolds–ESI-

Technician Dispatching • UCS - SDS or TEC-Technician

Electronic Control

DMS electronic service inventory control will out perform any manual time control or manual dispatching process and the improvement will be noticeable on your monthly fi nancial operating report.

Effectively manage your service labor inventory, and you can dramatically increase your profi ts.

For three things you can do today to effectively manage your service labor inventory, and dramatically increase your profi ts, e-mail me.

Steve LaPenta is a fi xed operations consultant and owner of Dealer Automated Systems, Inc. He can be contacted at 866.652.3968, or by e-mail at [email protected].


To get an immediate estimate of the number of leads in your market,

try the Dealix On-Demand Lead EstimatorSM at www.dealix.com.

*For details on these studies, call us at (800) 717-8079.

Dealers have also rated Dealix their #1 new car sales lead provider

in studies by Ward’s Dealer Business and Auto Dealer Monthly.*

Thank you for rating Dealix the highest!

Dealix is a division of The Cobalt Group.

The J.D. Power and Associates Dealer Satisfaction with Online Buying Services Study, rated on business generation, dealer supports/service, fees and transmission of leads.

Dealix received the highest numerical score for new vehicle leads in the proprietary J.D. Power and Associates 2006 Dealer Satisfaction with Online Buying Services Study.SM Study based on 1,010 dealer evaluations in June – July 2006. Your experiences may vary. Visit jdpower.com.

In 2006, dealers rated Dealix “Highest in

Dealer Satisfaction with Online Buying Services

and with New Vehicle Leads.”

(Did we celebrate? Yeah, for a minute. Then we got back to work.)

“Bravo, Dealix!”

– Gilbert Chavez, Internet Director for 17 Phil Long Dealerships,

the largest privately-owned dealer group in Colorado

“ It’s great to see Dealix receiving the highest marks in the latest J.D. Power

and Associates study. With Dealix, we get a higher closing ratio than with

any other lead source, so I’m able to help long-term Dealix customers

like Rick Hendrick Toyota and Capital Ford, the #1 online Ford dealership,

achieve their best e-commerce results ever. Congrats Dealix, and

thank you!”

– Paul Miller, President of Dudley-Miller, Inc., advising many

top dealers nationwide

AS Dealix JDPA spread ad_f1B.ai 11/17/06 12:34:50 PM

Retaining competent and profi table sales people is a high priority for most industries. Studies

show that it costs a dealership approximately 50 percent of a worker’s annual pay to hire a replacement. Taking into account the cost of intangibles like supervisor time and damaged customer relations, the true cost could be as high as 150 percent. Devise ways to show your employees that you value their work, beyond paying them their earned salaries or bonuses. The following suggestions show how to record greater retention rates through the use of incentives.

The Power of Reward PointsIf you receive reward points for every dollar you spend on your credit card, you may be sitting on a goldmine of incentive options. You can use your points to reward your

How to KeepYour Best Sales People


leadership solution


KarlaFriede

sales staff. Consider purchasing domestic or international airline tickets for outstanding employees to use. Or how about cashing in your points for a luxurious Caribbean cruise for your top-producing sales person? If you want to award smaller rewards to more employees, consider converting your points into gift cards specifi c to your area. Maybe there’s a very high-end restaurant in your city that would be perfect for an employee’s upcoming wedding anniversary celebration, or you have an employee who’s a movie-nut and would love movie ticket vouchers. There are a plethora of rewards you can “buy” with points, and you can get them just by paying your dealership bills.

If you are currently paying for some of your dealership expenses with credit cards, consider researching how you can use them to pay for more of your expenses. Did you know many parts, utilities and uniform

companies accept credit cards? There are services available that integrate with your DMS system to provide an effi cient tool for paying, posting and reconciling invoices paid by card. You get the same control of paying by check with the added benefi ts of paying with a reward earning credit card.

Rev Up the Level of CompetitionAn old-fashioned sales promotion can pump up your sales team and get them excited about selling. The key to making a promotion work is to offer a small reward for every test-drive secured or new service appointment made, for example, and then a larger prize for the winner. So you may announce a month-long promotion to your team where every time they take a test-drive with a customer they receive $10. At the end of the month, the employee with the most test-drives wins an iPod Nano or a digital camera. Make sure that the ultimate prize is something hot on the market right now to generate the most competition.

Reap the Benefi ts of Paying AttentionThis last suggestion is simple, and may just be the most important action you can take to retain your team. Every person is an individual, and so is motivated by different factors. You may have one sales person who is driven to perform because they receive praise and positive feedback. Another may be very competitive, so knowing the numbers of every team member at all times may spur them on to lead the pack. The point is that you need to pay attention to every employee, study how they work, and then motivate them according to how they operate. This tip goes hand-in-hand with the others, and in conjunction with them, can engender true loyalty in your employees.

Challenge yourself to reward and retain your sales team. With a little planning and thought, you can increase your employees’ loyalty and your dealership’s bottom-line.

Karla Friede is the president of Zevez. She can contacted at 866.469.9770, or by e-mail at [email protected].

IMN Loyalty Driver™ is a turnkey e-marketing service that drivesinterest, sales and customer loyalty. Customized, trackable emailcommunications provide tangible results for dealerships acrossthe country. A couple of examples:

• 90 phone calls in a month as a direct result of one IMN Loyalty Driver e-newsletter.

• Web traffic spiked to 2.5 times its normal rateafter a dealership’s first e-newsletter.

Looking for results like these? Call 866.964.6397, ext. 214 oremail [email protected].

Drive customers in…For sales, for life.

866-964-6397 imnLoyaltyDriver.com

> Scott Haynes, Penske Chevrolet and Honda

“Within the first hour of the

e-newsletter going out, I had 15 test drives.”

Client:Job #:Date:Rev:

AE:AD:Prod:

Approval:

Pub:1st run:Due:

Bleed:Trim:Live:

Date:

What BusinessAre You In

MarkTewartsts fos ls ms sf fi s


What business are you in? “The car business” would probably be your normal answer. I would invite you look deeper into that

question. Rarely, is your fi rst answer to that question your most accurate answer. The majority of businesses fail, or fail to reach their potential, because the owner and managers haven’t fi gured out the most important and most basic question: “What business are we in?”

Saying you are in the car business seems logical. However, that answer does not stir emotions in you, your team or your customers. It’s kind of like saying Disneyland is in the “theme park” business. The general answer is that you are in the “problem solving and emotional relationship” business.

People don’t sell or buy cars. They solve problems. Those problems may be wants or needs based problems or perceived or real problems, but they are problems nonetheless. If a customer gets the itch for a new car and, even though they may not need the new car, the emotion of the desire creates an incredible pull that becomes a problem for the customer until it is solved. Therefore, you are always in the emotions and problems business and the vehicle just becomes a part of the answer. Stop selling cars and start creating relationships based upon solving problems and matching answers to your customer’s emotional desires.

Your product knowledge, sales skills nor any other skill will help you accomplish solving the customer’s problem more than people skills. The old adage that “People buy from people” is true. People buy you fi rst, before they buy the car. In order for the customer to buy you, you must make a memorable impression. In most cases, you have about 15 seconds to two minutes to create a connection that creates trust and respect. However, most sales people treat the meet and greet as if it’s no big deal.

Try the following meet and greet, “Hi folks, welcome to our dealership. Are you out beginning to look and shop around a little bit?” This question is a universal truth statement. It’s a universal truth that people are looking and shopping. If you don’t believe it, just greet them the way you normally do and see how they reply 99 percent of the time.

If you know how the customer usually replies

to your standard greeting and you know that all customers share certain unexpressed fears, all you have to do is proactively remove those fears and you have at least a 70 percent greater chance of the customer buying from you than someone else.

Most all customers are afraid of getting the wrong vehicle, wrong price, wrong information or the wrong sales person. Somewhere in the beginning of the sales process, I invite you to make a Job Mission Statement that proactively addresses the customer’s fears and concerns. This Job Mission Statement will position you as a person, not a sales person. Try the following Job Mission Statement, “Mr. Customer, I try to help every customer of mine fi nd the right vehicle at the right budget and give them all the right information and just make it an easy, fun and painless experience, fair enough?”

Addressing the customer’s fears up front creates trust and allows you to create cognitive dissonance. That’s just a fancy term for saying you have in the customers mind mentally distanced yourself from the other sales people they have experienced, or even their perceptions of sales people in general.

Don’t get caught up in the “best price wins” trap. It’s a loser’s game played by people losing in the sales game. Every day people are buying goods and services and paying premiums for them because of their perceptions created about the product, service or lifestyle change. If all things are equal, then price becomes the fi nal decision. Your mission is to make everything that you offer and the way you offer it so unique that you completely change the decision game.

Selling is a game of positioning. You must create leverage for yourself with the customer. If there is no leverage, then you are doomed to play the best price game. In other words, without a strong position and leverage, you are begging for the sale.

The 80/20 rule applies to sales people. Eighty percent of sales are made by 20 percent of the sales people. The reason the top 20 percent of sales people thrive is because they have fi gured out what business they are in, and it’s not the “car” business.

Mark Tewart is the president of Tewart Enterprises. He can be contacted at 866.429.6844, or by e-mail [email protected].


42 www.sellingsuccessonline.com42 www.sellingsuccessonline.com

Super Sizing Your UpsideRalph R.Roberts

You reach a plateau in any challenging endeavor: physical training, a weight-loss plan, marriage, career - you name it. In sales,

you may fi nd that after several months of steadily increasing volume, sales level off. No matter how hard you try, you can’t seem to break through to the next level. Something is limiting your upside.

When you begin to feel that sales have fl at-lined, take the following four steps to blow the lid off of any upside limitations:

1. Identify your best customer2. Build relationships3. Hire an assistant4. Expand time

Identifying Your Best CustomerEvery sales person has a best customer - one who values your products and services, calls you fi rst, allows you to do what you do best and exposes you to new opportunities. To fi nd more best customers, single out your best customer and then fi nd out:

• Who your best customer is. Study the demographic—age, gender, race or ethnicity, household income, geographical location, and so on.

• What your best customer does. What does your customer do? How was she doing it when she met you? How did you help her do it better? This gives you a clearer idea of where to look for your next best customer and what to offer.

Identify the top seven sources for getting more customers like your best customer -referral, networking, Internet marketing, print advertising and so on. Where would you need to look and what would you need to do to get more customers like this?

Don’t hesitate to fi re your worst customers… nicely, of course. A bad customer wastes time and resources that you could better spend by serving your best customers.

Building RelationshipsIn business, almost everything is quantifi able except the relationships that are ultimately responsible for success. You can’t really measure relationships, but they are the collective force that generates new ideas, draws people together to execute those

ideas, and functions as the infrastructure for developing, advertising, marketing and distributing the products and services spawned from those ideas. Yet, sales people and other business professionals often limit their opportunities by focusing too much on the bottom line and overlooking the true force behind sales and profi ts - relationships.

When you think relationships in terms of sales, most people naturally think of “customer.” That’s only one of the four “C” words you should consider. As a sales person, tending to relationships in all four C categories builds the strongest foundation for success:

• Company: What’s good for your company is good for your customers, colleagues and community, and for you, as well. Look for opportunities to improve your company’s success.

• Colleagues: Your colleagues include everyone you work for and with and anyone who works for you. Do whatever you can to surround yourself with the best people, and then make them better. Partner with colleagues to tap the power of synergistic relationships.

• Customers: Every customer who fails is a customer lost. Team up with your customers to make them as successful as they can be. This doesn’t mean simply placating them. A customer or client often needs to be challenged to make a positive change.

• Community: Dynamic, vibrant communities are places where people want to invest and spend money. By investing time and resources in building and bettering communities, you establish a dynamic, ever-growing consumer base.

Hiring an AssistantWhen I set a goal to sell 300 houses in a single year, I immediately realized that I couldn’t do it on my own. To achieve my stated goal, I had to outsource the most time-consuming chores and focus on what I was really good at - selling. I decided to deal with clients and hire others to answer the phones, shuffl e the papers and tie up the loose ends.

You’re not responsible for doing everything. You’re responsible for making sure everything gets done. To optimize your time, take the following steps:

1. Write down a comprehensive list of everything you do at work and at home.

2. Highlight any tasks someone else could do faster, better or for less money.

3. Group tasks that are related and assign each group a job title.

4. Hire people to complete those tasks and treat them well.

Remember, if you don’t have an assistant, you are one.

Expanding TimeTime is relative to how much you get accomplished in that amount of time. If I can get twice as much done in half the time it takes someone else, I’ve just expanded time by a factor of four.

When I discovered that time was limiting the number of houses I could sell, I began double-booking appointments. Instead of showing homes to one set of buyers, I invited two sets of buyers to drive around and look at houses. I loaded them into my Suburban and showed them the same houses. I usually sold two houses on the same trip, and never once did two couples decide on the same house.

After this accidental success, I purchased a 16-passenger van. We started marketing this new house-hunting approach, and people loved it. I was driving three or four or fi ve families around at a time to look at houses. During the house-hunting tour, I would call back to the offi ce on my cell phone and have an assistant prepare the paperwork. On my best day, I actually sold 14 houses from the van. This became so successful that we eventually had entire convoys out looking at homes.

In his book “Illusions,” Richard Bach writes, “Argue for your limitations, and sure enough, they’re yours.” When you feel boxed in, think outside the box. Shake things up a bit and try something new. You’re likely to surprise yourself at just how much upside you really have.

Nationally recognized sales coach and author Ralph R. Roberts, can be contacted at 866.470.5181, or by e-mail at [email protected].



PaulLong

The Internet has changed the way consumers shop for vehicles; therefore, it should change the way car dealers do business.

That’s why every dealership should develop a comprehensive Digital Marketing Strategy. This includes a plan for capturing e-mail addresses in order to drive customers back into the store for service and sales. E-mail capture is not a “nice to have,” but a tactical plan to improve the bottom line.

The main reason to capture e-mails is that communicating to your customers is virtually free. Even better, e-mails to customers turn into real revenue back to your dealership.

As an example, let’s say you have only 1,000 e-mail addresses in your database, and that your average gross on every Repair Order is $99. You create an e-mail with a service coupon, and send it. If you receive only a one percent response rate, 10 people will visit the Dealership because of the e-mail, giving

you $999 in gross revenue. And it cost you nothing.

What if you had 20,000 e-mail addresses? You do the math. In fact, it is not unlikely that one properly executed e-mail can drive up to $40,000 in revenue through the dealership in just one weekend.

But how do you capture e-mail addresses? Many dealers pay marketing companies to create elaborate e-mail retrieval systems for them. I have an unconventional idea: Ask for it. If every employee were to simply ask for an e-mail address from their customers, your list would grow exponentially at fi rst, and continue a steady growth for years.

Some dealers give employees a temporary incentive to ask for e-mail addresses. I don’t think it’s necessary. In the car dealer business, if you’re not asking for the sale, you won’t survive. Capturing e-mail addresses should just be a part of everyone’s job. You just need to give your people the right script, and maybe a good reason to ask. A sample script

might be: “If I can get your e-mail address, we’ll send you specifi c service and sale offers available exclusively through e-mail. And your e-mail address is…?”

Or, my favorite, “What’s your e-mail address?”

Be sure to establish a policy and a process for capturing e-mail addresses, and hold your people accountable.

Finally, once you have a critical mass of e-mail addresses (in some cases 500 is acceptable), develop a plan to communicate with your customers to drive traffi c back to your dealership. But remember: A plan is only as good as its execution. Be consistent in following through.

For a free comprehensive e-mail marketing plan, send an e-mail or give me a call.

Paul Long is the president of there:member group. He can be contacted at 866.630.0221, or by e-mail [email protected].


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