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“The game has changed and you now must change the game you play in order to advance your position. Do not look for ‘best practices’ at this time; look for ‘game changing’ practices that will separate you from the competition.”

- Grant Cardone

“The retail business has learned to capitalize on the impulsive Americanmarket utilizing these effective marketing tools. Its time dealers wake up and do the same.”

- Jason Orlando

By SusanGivens

DEALER DOMINATES CASH FORCLUNKERS MARKET

SusanGivens 10

DrakeA.Baerresen 22 JUMP START SALES WITH CASHFOR CLUNKERS

Chuck&TriciaPatton 28 HOW DO YOU OPERATE ONYOUR SERVICE DEPARTMENT - WITH AN AXE OR A SCALPEL?

MattBaker 14 ARE YOUR EMOTIONS PREVENTINGYOUR SUCCESS?

WHAT IS OPPORTUNITY MANAGEMENT?GarryHouse 16

INSPIRATION WITHOUT INSTRUCTION SIMPLY FALLS SHORT

KirkManzo 34

GrantCardone 24 THE GAME CHANGER

MarcSmith 26 HIGHER EMOTIONS = HIGHER PROFITS

SeanV.Bradley 18 CAR SALESMAN MAKES $200,000 INTHIS ECONOMYInternet Sales 20 Group XVIII

8TH HABIT LEADERSHIP:Valuing the Differences

StephenR.Covey 08

MANAGING CHANGESteveBrazill 17

STABILIZE YOUR BUSINESSRichardVanderport 27SELLING IN TOUGH TIMESTomHopkins 32

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BrianEpro 33LEAD GENERATION IS STILL KINGJasonOrlando 37

A SOLUTION FOR USED VEHICLESOURCING TROUBLES

DalePollak 25

www.autosuccessonline.com

StephenR.Covey

8TH HABIT LEADERSHIP:Valuing the Differences

08

leadership

solu

tion

Much of the talk about valuing diversity in

the world of business is just talk.

One of the most positive things business leaders have done in the past few decades is to open the doors to people who were traditionally excluded — particularly women and members of minority groups. This progress, although not as fast or as widespread as it should be, is heartening.

Still, the true treasures of diversity in the marketplace have yet to be tapped. I’m talking about divergent voices.

Deliberately Seeking theDivergent VoicesLeaders are paid to be right. Therefore, they have a big vested interest in making sure that their opinions prevail, in appearing confi dent and sure of themselves. They don’t relish being contradicted, especially in our lockstep Industrial Age tradition. It’s the rare leader who is excited to encounter disagreement or resistance.

But to be successful in the new Information Age, leaders need to adopt just the opposite mindset. They need to do more than just tolerate diverse views; they must actively seek them out.

It’s only natural to react defensively when faced with someone who disagrees with you, even when they mean well. But the identities of too many leaders are intertwined with their need to have all the answers. There is

great wisdom in training the mind to respond to disagreement in entirely the opposite way: to welcome it, to embrace a diversity of viewpoints — even to jump at the chance to hear from someone who sees the world differently.

When faced with dissent, say, “Terrifi c! You see things differently! I need to listen to you!” And mean it. And do it.

This does not mean we have to agree or compromise in any fashion. But for our own good, we need to hear opposing views. Only a decision that has been tested in this way is robust enough to withstand reality.

Leveraging Divergent VoicesOne of the most successful business leaders in the world today is Carlos Ghosn, head of Nissan and Renault motor companies. He is himself the product of diverse cultures: born in Brazil of Lebanese parents, educated in France, he has led companies effectively on four continents. In 1999, when Ghosn became CEO of Nissan, the unprofi table automaker was burdened with $22 billion in debt and faced its 27th straight year of market decline. Within four years, Nissan had zero debt and the highest profi t margin in the mainstream auto business—all in some of the most diffi cult years in history for carmakers.

Ghosn achieved this success by leveraging the vast cultural differences within his global corporation. Instead of suppressing dissent, he welcomed divergent voices as an asset rather than a disadvantage. “I have always believed that you can learn the most from people who are not just like you,” Ghosn said. “Seeing issues from someone else’s perspective can be very instructive.”

Ghosn based Nissan’s recovery program on genuinely multicultural teams. Once he had communicated clearly the common purpose, to resurrect this great company, he set out deliberately to mix styles of thinking from different nations in order to get the best of

each and to arrive at synergistic solutions.

“Generally speaking, my impression is that Japanese people are naturally process-oriented thinkers. French people are conceptual, ingenious and innovative. Americans are direct, get-to-the-point, bottom-line-driven. The mix of those traits can be a tremendous asset during problem-solving or brainstorming sessions.”

“I have no doubt that cultural infl uences can affect the outcomes of discussions among multi-cultural teams, contributing much richer solutions than those teams’ members might have developed on their own.”

Synergy — The Product ofDivergent VoicesNissan’s success is due to these rich synergies. Eight striking new car models were launched in record time by getting engineers together with people from the worlds of fashion, art, and architecture in six new Design Centers around the globe. The groundbreaking 350Z car became a sellout in 2003, winning award after award for its remarkable design—a new look and feel for the formerly staid Nissan product line. These are the wonderful fruits of valuing the differences—improved processes, surprising new products, synergies everywhere. The whole is greater than the sum of the parts. You have true creative cooperation that produces things no one has achieved before. And, as at Nissan, perhaps the greatest benefi t of synergy is that it bonds people even though they differ. Any time you and I listen to each other deeply, and we produce something together that was not there before, that memory is bonding.

If both of us think alike, one of us is unnecessary.

Stephen R. Covey, Ph.D., is co-founder of FranklinCovey, and is the author of The 7 Habits of Highly Effective People. He can be contacted at 866.892.6363, or by e-mail at scovey@autosuccessonline.com.

“There is great wisdom in training the mind to respond to disagreement in entirely the opposite way...”

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10

DEALER DOMINATES CASH FOR CLUNKERS MARKET

marketing

solu

tion SusanGivens

Paragon Honda and Acura of Queens,

NY had already collected over 1,000 leads before President Obama signed the “Cash for Clunkers” bill into law, and they have continued to collect thousands more through their targeted marketing strategy.

“These customers have a $4,500 advantage, so they are a great customer to target,” said Paragon GM and Vice President Brian Benstock. “While other dealers are waiting for July 23, we have already contacted all the qualifi ed consumers in our market.”

As is widely known by now, the federal government is allocating between $1 to 4 billion to provide consumers $4,500 vouchers towards the purchase of a new, more energy-effi cient vehicle. The program is scheduled to run between July 1 and Nov. 1, 2009, or when the funds run out, whichever comes fi rst.

If there are a lot of dealers like Paragon, the funds will most defi nitely run out before the Nov. 1 deadline because of the aggressive marketing campaigns aimed at getting more than their fair share of the $1 billion in rebate money.

The offi cial name of the bill that was passed is the Consumer Assistance to Recycle and Save Program (C.A.R.S.). You can visit www.ConsumerAssistanceToRecycleAndSave.org to view legislation and a summary of the rules. The program is being implemented by the NHTSA, which will post the rules on July 23rd at www.cars.gov, the only offi cial government Web site. Figure 1 shows a summary of the program.

The dealerships reaching these consumers fi rst not only will take advantage of the dramatic increase in demand that this bill is designed to create, but will also

build a large local database for future

marketing, and that is exactly what Paragon has done.

National and Regional StrategyParagon positioned themselves as the go-to resource for “cash for clunkers” information in their market. Their Web site, www.CashForClunkersNY.com, is an information portal that helps consumers learn about the program and connects them with the dealership to get pricing information. The Web site was built for free by their national “cash for clunkers” network partner, www.CashForClunkersInformation.org, a consumer information site that educates consumers and helps them fi nd licensed dealers in their markets.

By partnering with www.CashForClunkersInformation.org, Paragon receives all the national leads from the site, and has benefi ted from their three celebrity spokespeople (Mexican actress, singer and comedienne Angelica Vale, “Dancing with the Stars” actor Cristian de la Fuente and former Chief of the U.S. Offi ce of Citizenship Alfonso Aguilar), who have promoted the organization on the biggest news outlets in English and Spanish. While Paragon does not get all the leads from the

national site, they get the leads for their particular market. In addition, Paragon has licensed the entire marketing campaign to promote the program to qualifi ed consumers through targeted mail to the clunker list,

search marketing, e-mail marketing, banner ads, print, PR, radio, point of sale merchandising and, of course, the aforementioned Web sites.

Paragon’s Targeted Marketing Plan On average, approximately 10 to 15 percent of a particular market qualifi es for the program. Paragon used www.ClunkerList.com, a list of the top-200 markets that shows the numbers of vehicles that qualify for the program, along with another sub-list that shows customers who qualify for the program and have a higher probability of qualifying for fi nancing. Paragon implemented a targeted campaign to all the clunker prospects in their market before their competitors because they had the campaign ready to go before the bill was passed.

Web MarketingTo inform everyone who visits their dealership Web site, Paragon added the “Cash for Clunkers” logo on their home page, which leads consumers to www.CashForClunkersNY.com. Paragon appears fi rst for people searching “Cash for Clunkers NY” in their market (you can test this for yourself with Google). They are also in many articles that appear fi rst in the top

search phrases in New York. Paragon also has banner ads that have remarkably high click-through rates and lead conversions. Finally, they sent an e-mail campaign to their customer base to inform them of the

New Vehicle

All Passenger Cars

Light-Duty Truck (1)

Large Light-Duty Truck (2) (up to 8,500 Pounds)

Work Truck (3)(8,500 to 10,000 Pounds)

Minimum Fuel Economy for New Vehicle

22 mpg(EPA Combined)

18 mpg(EPA Combined)

15 mpg(EPA Combined)

N/A

$3,500 Voucher

Mileage improvement ofat least 4 to 9 mpg

Mileage improvement ofat least 2 to 5 mpg

Mileage improvement ofat least 1 mpg

Trade-in must be similarin size or smaller

$4,500 Voucher

Mileage improvement ofat least 10 mpg

Mileage improvement ofat least 5 mpg

Mileage improvement ofat least 2 mpg

N/A

Summary of Cash for C.A.R.S. Program

program and to remind consumers who don’t qualify for the government’s program that they can qualify for the manufacturer and dealer incentive programs.

PublicityIf you Google www.CashForClunkersNY.com you will see some of the press Paragon and their Web site has received in the last few weeks. The national site, www.CashForClunkersInformation.org, generated all of the local press, and positioned Benstock as the subject-matter expert with the local media. As a result, he did both national and local TV (NY1), radio, print and online interviews. As a result of the publicity, consumers who are learning about the CARS program for the fi rst time are only one click away from their information portal, which sends leads directly to their dealership.

Traditional AdvertisingParagon used a half-page print ad and limited radio. All of the ads had the same credible message that positioned Paragon and its consumer portal as the “cash for clunkers” resource for information. Paragon’s radio ads are short news updates that inform customers about the government rebate program and drive them towww.CashForClunkersNY.com for more

information. After consumers learn about the program, dealers will have to highlight the incremental incentives offer above and beyond the $4,500 rebates.

Point of Sale MerchandisingConsumers who visited Paragon immediately saw their in-store merchandising that confi rmed they were a participating “cash for clunkers” dealer. The in-store merchandising also clearly explained the program. The merchandising includes posters, placemats, hang tags and a brochure.

Dedicated Team and ProcessThe above average response rates have generated call volume that is beyond Paragon’s BDC capacity, so all Paragon’s leads are being directed to the campaign call center. The call center schedules the appointments and sends a confi rmation e-mail with instructions and directions. The dealership then confi rms the appointment and sells the car. Follow- up on no-shows and unsold prospects is done by their BDC and sales staff.

Vehicle Disposal & ReceivablesParagon has set up processes that start on the initial call to get the

required documentation necessary to receive their funding from the government. To get the funding within 10 days of the application, dealers must prove the vehicle was operable, has been owned, registered and insured in the buyer’s name for a minimum of one year, and was salvaged according to program guidelines that will be published on July 23, 2009 on www.Cars.gov.

This thoughtful marketing campaign has given Paragon a head start in the New York area. Paragon’s early success has already sold them more than 40 new vehicles and hopefully this article will help other dealers create a winning strategy to maximize this historic opportunity in their market.

For More Information• To view Paragons regional Web site,

visit www.CashForClunkersNY.com.• To view a summary of Paragons

strategy, visit www.ClunkerCampaign.com.• To view the government’s Web site, visit

www.Cars.gov.

For more information about the Cash for Clunkers program, visit www.CashForClunkersInformation.org.

the #1 sales-improvement magazine for the automotive professional

11

Campaign Materials

12

13

SusanGivens

Let’s imagine a typical scenario: You are a Subaru dealer; you have just sold a new Forester and now you have the shopper’s trade-in, a 2005 Ford Focus that you need to sell as quickly as possible. Since 80 percent or more of consumers search for vehicles online, the obvious solution

is to advertise online. But how? With so many pre-owned vehicles on your lot, how can you possibly set up and manage effective campaigns for every used car in your inventory? Historically, successful use of search engine marketing (SEM) for non-franchise, pre-owned inventory has been virtually impossible. Even with dedicated resources to manage these campaigns, creating, monitoring and evaluating results for all used cars could be a full-time job for a team of staff members. In addition, outsourcing this job can be prohibitively expensive. Meanwhile, there are shoppers online, every day, searching for pre-owned vehicles that you have on your lot. It is impossible to calculate the full value of these missed opportunities, but the value is obviously high.

The Problem with Used Vehicle SEM in the Past The problem in the past was that adverting used vehicles through SEM was a labor-intensive manual process. For example, a used vehicle arrives at the dealership and is added to the Web site. Someone must then enter the vehicle’s details into an SEM campaign management tool and manually select search terms to bid on. Then, someone must monitor the campaign continuously to see which search terms are effective and which are not. After that, the search terms should be regularly altered, based on results. Once the vehicle is sold, the campaign would then need to be removed from the system. And, after all that work, depending on available reporting and ties to your Web site, you may not even know if the sale resulted from one of your campaigns. And this is just an example of one vehicle. The same work is required for every single used vehicle on the lot. A new technology, however, does exist to streamline this process.

With Dealer.com’s latest version of TotalControl DOMINATOR (TCD), for example, you can now automatically and cost-effectively advertise all pre-owned inventory, regardless of make and model, through SEM.

The New Solution for Used Vehicle SEM Success For the fi rst time in the automotive sales fi eld, dealers can now effi ciently advertise all pre-owned inventory online. As soon as a used vehicle is added to the Web site, technology like TCD can recognize the unit and create an SEM campaign specifi cally for that vehicle. The vehicle is then advertised through search engines, with the terms that shoppers are most likely to use. This includes campaigns for “long tail” searches, for example “2005 Ford Focus, Orlando FL,” rather than merely generic campaigns. Furthermore, in the case of TCD, advertisements are created based on Dealer.com’s 10 years of experience with SEO and SEM keywords for specifi c geographic regions and OEMs. This deep knowledge base helps ensure that your campaigns include the best search terms, specifi c to your vehicles in your market.

This technology also allows you to edit your used car advertising budget in real time. The gratifi cation of real-time changes is a plus, but is nothing compared to the gratifi cation of the resulting increase in your ROI. Options also exist to have in-house SEM experts personally manage all campaigns.

Leads generated from search marketing campaigns are among the most cost-effective of all lead sources. These fi rst-party leads, generated from the dealership’s own Web site, have the highest closing rates of all leads sources. With the ease and automation of platforms such as TCD, it’s now possible to market all pre-owned inventory through SEM and increase these valuable leads.

Advanced software such as TCD is also more effective than other, older SEM applications because this new class is specifi cally designed for online automotive retail, enabling the fastest, easiest to use campaigns and relevant reporting. Further, this technology automatically removes keywords that are not working and shows all phone, form and e-mail leads.

Though making changes is relatively simple, it is necessary to actually view campaign details; transparency is truly the key to running successful campaigns. Knowing your budget, keywords and cost per click means owning the campaign and making changes when you see fi t. Technology such as TotalControl DOMINATOR’s reporting transparency means detailed knowledge of all keywords, their cost, their performance, ad language, etc. And, in TCD’s case, these data points are fi ltered through Dealer.com’s knowledge of users’ historic search patterns.

Specifi city Leads to Sales:Keywords, Deep Links and Transparent Reporting At the beginning of the sales funnel, keywords are general. As consumers reach a deeper point in the funnel, keywords become

much more specifi c. An exact make, model, year and location are more likely as the consumer gets closer to making a purchase. Specifi c keywords return specifi c results. When a user clicks on an ad for a “2005 Ford Focus, Orlando FL,” they should be taken to an inventory listing page for that specifi c vehicle in-stock, on the dealership Web site and available for immediate purchase. This is often referred to as “deep linking.” SEM campaigns that link directly to specifi c vehicle inventory pages have a much higher lead generation rate than those that merely link to the home page or other generic dealership or vehicle information page. Advanced software packages such as TotalControl DOMINATOR deep links your used vehicle campaigns to provide the most direct connection between shoppers and your pre-owned inventory. These keywords and deep links are the most likely to convert to leads and sales.

Another important feature of this type of marketing is conversion tracking. When done correctly, dealers can track leads through the sales process from the initial keyword searched, to a phone call or form submission and fi nally to a sale. It’s clear that the measurability of SEM far outweighs the measurability of any previous advertising method. Conversion tracking coupled with true transparency means more control for the dealer. Not only are dealers able to see what keywords they’re using and how much they’re paying for each, but also how keywords are performing comparatively. This allows for future campaign tailoring and ultimately an even stronger ROI.

Technology such as TCD also balances your spend according to your inventory, its data points and audience, to reach the optimal position. In the case of TotalControl DOMINATOR, it benefi ts from the knowledge of Dealer.com’s extensive SEO and SEM experience, in all markets, specifi c to geography and OEMs. It’s

also highly customizable, allowing control of campaigns by region, town, income level and more. The combination of highly targeted marketing with deep links and conversion tracking enables dealers to reach a level of optimization that was simply impossible before the latest iteration of TCD. Imagine marketing that literally steps into the consumer’s door, addresses their exact needs (their location, their income, their preferred vehicle) and takes them to a page that provides them with a detailed look at a real car, ready for purchase at your dealership.

This specifi city allows you to maintain relevance with search engines, without necessarily being supported by a franchise name. For example, used inventory is typically composed of a number of brands. Without SEM, marketing a brand that isn’t on your sign is next to impossible. Further, this same targeting can be applied to parts, service, new inventory and any dealership profi t center.

Next generation software solutions such as TotalControl DOMINATOR also allow dealers to generate ads based on days on the lot and pricing criteria, enabling enhanced campaign fi ne tuning, based on the criteria that are most important to your sales. And after vehicles are sold and removed from the dealership Web site, any campaigns for those vehicles automatically end, eliminating any wasteful spending. TCD offers your dealership the power of full integration between your Web site inventory and your used-vehicle search engine marketing, leading to more pre-owned vehicle sales.

For more information about Dealer.com contact usat 866.898.4617, or by e-mail atdealer.com@autosuccessonline.com.

7 Key Benefi ts ofTotalControl DOMINATOR:1. Incredibly low cost per lead

2. Your used vehicles advertise themselves on Google, Yahoo, and MSN/Bing

3. Dynamic budget control, giving you the power to turn your reach up and down

4. Your advertisements can begin delivering results in seconds

5. 100 percent transparent reporting, including every keyword and what you’re paying

6. Full conversion tracking, including phone calls and form submissions

7. Target shoppers by region, town, and even household income

TotalControl DOMINATORAutomated Used VehicleSEM Process:

1. Used vehicle is added to the dealership Web site

2. SEM campaigns are automatically generated, specifi c to the make and model in that particular market

3. SEM campaign is monitored for maximum results, based on which search terms are successful at generating click throughs

4. SEM campaigns for that vehicle are automatically removed once the vehicle is sold

www.autosuccessonline.com

14

MattBaker

ARE YOUR EMOTIONS PREVENTING YOUR SUCCESS?

marketing

solu

tion

Remember the good old days when the

automotive industry would sell 16 million or more new units in a single year? Sure you do. The thrill, the excitement, the busy showroom buying frenzy — it’s hard to forget.

Yet as our economy continues to slowly chug along, the thrill and excitement we remember may now seem impossible to come by. For many, the fear of loss now outweighs the thrill of gain. As a number of dealers, managers and sales staff face the pressures brought by a lack of sales, possible job loss or franchise failure, the ambition they once had has now become clouded with feelings of doubt. In the end, these dealers, managers, and sales people are left with little drive to initiate the change necessary to help their dealerships succeed, or even survive.

This shift from optimism to doubt is what has largely contributed to the stagnant state of today’s automotive industry. If we want to bring back the momentum of the good old days, we need to shift our focus from “why things won’t work” to “how will we make it work?”

In the good old days, I remember calling on dealers and managers who exuded confi dence and excitement about the future. Today, however, many have changed their mentality to believe “that will never work.”

You’re right. Times are tough. But that does not mean we should all stop trying. As I talk to dealers across the nation, I am constantly amazed by the growing number who believe they will survive this recession without advertising.

Sure, budgets are tight, which can make “going dark” with advertising dollars seem

like the safest way out. Without advertising, however, we lose the ability to effectively attract new or even repeat customers, ultimately allowing our competition to gain market share and our valued employees to jump ship.

I have to believe that managers and sales reps are watching more than ever before at whether or not their dealers continue to invest in advertising. Good managers and sales reps understand that a dealer’s investment in advertising is also an investment in their people. If these valued employees don’t see efforts being made to help secure their future, chances are they will move on to another dealer in the market who is willing to invest in them.

Lately, I have noticed an increasing trend among many of the dealers I speak with. While these dealers hope for a light at the end of the tunnel, they have become paralyzed by fear of the unknown. Without being willing to take a chance we become unable to make conscious decisions to help move ourselves closer to the light. Yes, in tough times every penny counts, causing decisions to become more diffi cult to make. Indecision, however, is not an option that will get you from where you are to where you want to be.

Think of it like this: Let’s say you are the coach of a football team that is half way through a 16 game season. At this point your team has been hit with a number of injuries and your record is 4-4. You have a decision to make. You can give up on the situation and end the year at 4-12. You can just keep doing what you had been doing and hope for 8-8. Or you can make the decision to work for the win and end your

season at 12-4. What would you do?

In reality, this situation is not any different than what we currently face. Much like the football team, we have been stricken with an injured economy that has made playing to win tough. As a result, we now have to make a decision. We can choose to blame the circumstances, take the loss and close the dealership. We can continue on the same path, watch our competition gain market share, and hope we end the season break even. Or we can decide to make a change, gain market share with the home fi eld advantage, and end this season better than we began it.

Some say the best way to stabilize one’s self in rough waters is to look towards the horizon. Given the ups and downs of today’s economy, this couldn’t be truer.

We will always encounter issues that will be beyond our control. However whether we sink or fl oat is mostly determined by how we perceive the situation.

If we allow fear and uncertainty to overshadow ambition we will continue to stay stagnant, making the thrill and excitement of the good old days nothing more than a distant memory. Believe it or not, recreating the energy and enthusiasm many in the auto industry long for isn’t impossible. It just takes a different frame of mind these days to get there.

Matt Baker is the vice president of sales for G&A Marketing. He can be contacted at 866.618.8248, or by e-mail atmbaker@autosuccessonline.com.

www.autosuccessonline.com

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the #1 sales-improvement magazine for the automotive professional

17

SteveBrazill

leadership

solu

tion

MANAGINGCHANGEPat yourself on the back and treat yourself

to a nice dinner tonight. You deserve it. Anyone who has weathered the storm raging through the industry deserves special attention. While you are at it, don’t forget your people — undoubtedly there are many who contributed to your success (or survival) during these challenging times. In the rush to solve problems and dowse fi res, it is easy to forget to recognize the many efforts, large and small, that produce your results.

You might also take some time to examine those things that are working best for you. This is similar to analyzing problems and mistakes, but instead of asking what went wrong, you want to learn what went right. Maximizing an organization’s strengths is just as important as minimizing its weaknesses.

If you have not performed a SWOT (strengths, weaknesses, opportunities, threats) analysis on your organization for a while, this is probably a good time. Many dealerships have undergone sweeping changes in the

past year. Odds are you’re working with less inventory and smaller budgets. Also, changes in personnel may have altered the depth and breadth of your organization’s talent pool. Whatever changes you’ve experienced, they have likely modifi ed the way you market your goods and services. And they have probably had a signifi cant effect on your organization’s relationship with its employees, customers and competitors. All the changes you’ve made over the past year will combine to produce a new and continually evolving set of strengths, weaknesses, opportunities and threats for your organization. You can’t control the state of the economy, or of the industry, but you can alter the distribution of competitive advantage in your local market by managing change better than your competitors.

Understanding how your organization has changed — and how those changes alter your place in the world — is an important step. Determining how your competitors have changed is another. Just as you have a different mix of strengths and

weaknesses than you did a year ago, so do they. Those shifts have probably created opportunities for you. Do you know what those opportunities are? Do you have a specifi c plan for exploiting them? Of course, shifting conditions have a way of creating opportunities for your competitors as well as for your dealership. And their new opportunities often give rise to new threats to you. Have you determined what those threats might be, and do you have a plan for countering them?

Change is inevitable. You can’t avoid it — and neither can your competitors. Someone in your market will manage the changes taking place more effectively than everyone else. Imagine that someone is you.

Steve Brazill is the chair of automotive marketing for Northwood University, Texas Campus. He can be contacted at 866.861.1515, or by e-mail atsbrazill@autosuccessonline.com.

I clearly recall the fi rst (of numerous client-

dealers) to say, “I need your help to increase my Up-Count.”

My follow-up question was, “Do you know how many Opportunities To Do Business (OTDBs) you currently have — by control category or by salesper son?”

The blank look I received led me to explain further. “Until you are able to accurately measure your true OTDB count, by category, we have no basis to gauge improvement,” I said. “Right now, you may have a suffi cient num ber of OTDBs to achieve your sales objec tives. Why would you consider changing your marketing strategy if you’re not doing an acceptable job with the OTDBs you currently enjoy?”

Like most dealers, this client had no idea there are actually eight distinct OTDB control categories; four each, for new and used vehicle sales. Each of these categories corresponds to a different set of metrics, and each set must be addressed separately. The categories are:

1. Salesperson-Proactive OTDBs2. Inbound Phone OTDBs3. Internet OTDBs4. First-Time Walk-In OTDBs

I then showed him a sample “opportunity analysis” worksheet which details both the control and metric categories. I could almost

see the light bulb glowing above his head.

“OK,” he said. “I understand why new and used must be separated; that’s because of the ‘unique’ pre-owned vehicle, versus the ‘generic’ new vehicle. And I’m pretty sure I understand the inbound phone OTDBs and the Internet OTDBs categories. But tell me about the salesperson-proactive OTDBs and the fi rst-time walk-in OTDBs categories.”

I started by discussing “fi rst-time walk-ins,” because it’s the easiest to understand; it is also the category on which most sales managers and sales consultants (particu larly those who come to work to wait) are focused. Keep in mind that, theo retically, prospects in this category have never done business (or tried to do business) with the dealership. If they had, they should properly be classifi ed as “sales person-proactive OTDBs.” OTDBs in this category unquestionably have the lowest delivery ratio. “Unsold prospects” from this category become a “source” for OTDBs in category 1.

Salesperson-proactive OTDBs, on the other hand, enjoy the highest delivery ratio; this category includes:

• Unsold prospects (potential “Be-Backs”)

• Repeat business• Owner referrals• Bird-Dog referrals• Salesperson’s “circle of infl uence”• Prospects from the Service drive

GarryHouse

WHAT IS OPPORTUNITYMANAGEMENT?

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It is also the cate gory which receives the least amount of focus from sales managers and sales consultants (except those who come to work to work). The reason for this lack of focus is pretty simple: Most sales managers don’t know how to maximize on this cate gory because they’ve never been trained to do so. Each salesperson should strive to set one appointment per working day from this category.

My client was getting excited. He then said, “It sounds like I need to employ the account-ability management principles that you keep preaching to me and my managers to this challenge.”

• Implement a systemic structure (proc-esses)

• Communicate our expectations• Plan our work, and work our plan• Measure what we need to manage• Inspect what we expect• Respond appropriately to both positive

and negative behavior

“That’s correct,” I concluded, “and remem-ber: Opportunity management is a science — not an art.”

Garry House is a senior staff account manager with NCM In-Dealership solutions consulting division. He can be contacted at 866.870.9359, or by e-mail atghouse@autosuccessonline.com.

www.autosuccessonline.com

18

SeanV.Bradley

CAR SALESMAN MAKES $200,000 IN THIS ECONOMYInternet Sales 20 Group XVIII

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In writing this article, I did some research.

Between data from NADA, Yahoo Answers and Wikipedia, I came up with the follow-ing:

• There are approximately 19,500 fran-chised dealerships in the U.S.

• The average car salesman sells approxi-mately 10.5 units per month.

• The average car salesman earns approxi-mately $40,000 per year.

What is insane is that Chris Gramlich, In-ternet Sales Manager of Peruzzi Toyota in Hatfi eld Pennsylvania, has earned close to $225,000 in a year (when the economy was in a little better shape) and has delivered upwards of 50 units in a single month. This month, we conclude our interview with Chris.

Sean V. Bradley: What is the percentage of sales that your dealerships get from the Internet? Chris Gramlich: You might be surprised, but our dealership attributes 50 to 60 percent of all of our closed deals to the Internet.

SVB: How does your dealership handle the distribution of Internet leads? CG: My title is “Internet sales manager,” but I am basically an Internet sales consul-tant. There are a total of four Internet sales managers here at Peruzzi Toyota. We also have six Internet coordinators (profession-ally trained phone sales people who sell the appointment). All of the 700+ Internet leads get funneled to the coordinators, whose main priority is to qualify the Internet prospects and sell them an appointment. If they need assistance, the ISMs are there to TO. When they make the appointment, it’s our job to perpetuate the momentum that they have created. We will handle them from the point of their arrival at the dealership, relation-ship building, confi rming details, product presentation, demo drive, value building and ultimately delivering a vehicle. Our goal is to fi rst understand the wants, needs and

expectations, then to meet them and then fi nally to exceed them.

SVB: What advice would you give a new sales person into the business? CG: You need to put your time in. When I fi rst started, I took every customer possible. I followed up with every customer. I treated ev-eryone with immense respect. Even if some-one didn’t buy a car from me, I still followed up, offered my services and tried to generate referrals. I kept in contact with them.

You have to treat them well. You have to treat them better than the guy down the street. You need to respond to them faster, you need to know your product well, you need to know how to qualify them properly and advise them on different scenarios that will benefi t them. You need to be great at customer service. You need to get them to like you, trust you and believe you. I don’t mean manipulate them into feeling those things or be insincere; I mean that it should truly be sincere. If you can get them to trust and believe you, they will buy from you. This is really an easy business. I have relatives who work in other types of sales and they have to go out and prospect 100 percent of their business. In our industry, people for the most part come to us. We need to maximize those opportunities as best as possible.

SVB: What things are you looking to do to evolve yourself, do differently or do better? CG: I am always looking to improve and enhance myself. It is a never-ending search to be better. But to answer your question, I think I can do a better job in prospecting within my own customer base. I am sure if I spent more time there, I probably wouldn’t have to take an Up at all. I have a great rela-tionship with my customers. I send out 2,300 Christmas cards a year. I am working with a CRM company for a strategy for my specifi c own customer base to maximize those op-portunities.

SVB: Do you realize that you are in the top

.5 percent in the United States, out of over 200,000 professional car salespeople out there?CG: No, I didn’t, but to tell you the truth, I attribute a lot of my success to my envi-ronment. The dealership I am at has been extremely supportive. Peruzzi Toyota is a progressive dealership, and I am close with the owners. They have allowed me the op-portunity to do what I do. I think a lot more people could achieve what I have, and pos-sibly more if they have the right work ethic and dealership support.

SVB: Congratulations with all of your suc-cess and congratulations with your family. You are a very talented and humble man. I can’t tell you how much I appreciate you sharing your amazing story with all of our readers. When I found out about your amaz-ing success. I said to myself “I need to inter-view this man.”

I feel in the middle of all of the turmoil that is going on within our industry, and all of the diffi cult times Americans are facing right now, it’s great to hear such a powerful automotive sales success story. I am hoping that there are sales professionals reading this story and thinking to themselves “If this guy in Pennsylvania can make $200,000 in this economy, I can, too,” or at the very least, they know now that the sky isn’t really fall-ing. I am hoping that dealers and managers reading this share this article with their staff.

I love these types of articles and encourage anyone out there who has a success story in a dealership and who would like to be inter-viewed please contact me either by phone or e-mail. Please send me your stories. This industry needs some positive energy!

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

www.autosuccessonline.com

22 877.738.3313www.homenetinc.com

salesteam@homenetinc.com

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JUMP START SALES WITH CASH FOR CLUNKERS

marketing

solu

tion DrakeA.Baerresen

Congress recently continued its support

for the auto industry with passage of the Car Allowance Rebate System, more commonly called “Cash for Clunkers.” The goal is to help dealers boost auto sales in this still-sluggish economy. While we are seeing signs of stabilization in both our industry and the general economy, folks are still nervous about spending, their employment future and taking on new debt. Let’s look at the basics of this bill.

Benefi ts Offered to Consumers1. They can get $4,500 if new car is 10

MPG more fuel effi cient than the older car

2. They can get $3,500 if new car is 4 MPG more fuel effi cient than the older car

3. The bill sets aside $4 billion for “Cash For Clunkers” program

4. Shoppers may trade in or buy a domestic or a foreign vehicle

Who is Eligible for the Program?1. Only purchase or lease of new vehicles

will qualify2. Clunkers eligible for the program must

get 18 MPG, or less3. Shoppers must hold a valid legal title to

the car seeking to trade in and 4. Registered to the same owner for the

full year preceding the trade-in

What Cars are NOT Eligible?1. Cars that have not been insured for the

past year2. Cars that are more than 25 years old3. Cars not in drivable condition4. New vehicles that have a suggested

retail price that exceeds $45,000

The program is authorized with $1 billion from July through November. It is expected to be implemented by early August. Dealers participating on the program can access

electronic vouchers from the government for consumers to purchase or lease qualifying vehicles. Dealers are directed to ensure that older vehicles are crushed or shredded to get the clunkers off the road.

Will this program help you sell 50 or a 100 more cars during those months? Probably not. But this program does open up all sorts of doors for you to build on this energy and excitement and piggy back on all the publicity that is sure to surround this program.

First off this program is for new cars only. That means sales of your used cars, where some good gross profi ts are generated, are excluded from this program. The other issue is that many people driving older “clunkers” might not have the funds or the ability to qualify for new vehicle loans and thus take advantage of these large rebates.

The publicity for the program will be ramping up in the fall, but I suggest you prime the pump and use this as a marketing draw for the next few months. Start by building your inventory with more fuel-effi cient, late model cars and trucks. This doesn’t mean you need only 40+ mile per gallon hybrids, but look for any vehicle that can get a highway average of 20 or more miles per gallon. You can go to www.fueleconomy.gov to download the latest fuel economy report showing the average mileage ranges for consumer vehicles. You’ll want to help educate your sales team about the information in there than can help guide and educate your customers. The goal is to fi nd a vehicle that improves fuel effi ciency for your customers and offers them a good value for the dollar.

Ever heard of “Earth Day?” Of course you have. We take one day a year and focus on improving our planet, or at least not damaging it as much. You can now leverage

that theme by planning specifi c sales days and events that focus on all of us doing our part to improve our environment, and your dealership is helping out by offering great values on fuel effi cient vehicles.

While the government is not offering rebates on the purchases of used vehicles, there is nothing stopping your dealership from offering “Instant Rebates” on pre-owned fuel-effi cient vehicles. As long as the vehicle they are buying gets better overall mileage than the one they are trading in, they qualify for your rebate. Start planning your own big events over the coming months. Pull out all the stops and involve the community, too. Invite recycling programs to participate and offer them some table-top space to share information with your buyers. Event premiums might include an environmentally friendly shopping bag with your dealership’s logo. There are lots of other gifts made from recycled materials, and you can offer to donate a bench or two made of recycled materials to a local park or city location as part of the event.

You will also want to integrate your promotion and marketing of this event with professionally designed announcement letters or make a real statement with large mailers to prospects in your area. Think about recycled paper and keep the message upbeat and positive. We all know that getting older, gas guzzlers off the road is a good thing, so let’s all chip in and do our part.

Drake A. Baerresen is the vice-president of sales and marketing and co-founder of Turn-Key Events. He can be contacted at 866.900.7714, or by e-mail atdrakeb@autosuccessonline.com.

www.autosuccessonline.com

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the #1 sales-improvement magazine for the automotive professional

25

DalePollak

A SOLUTION FORUSED VEHICLESOURCING TROUBLES

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Chances are you’ve heard the following

statements around your dealership: “I know we need vehicles but I can’t fi nd them,” and/or “We are going to have to over-pay to get them.”

Both statements ring true, to a point. The market is certainly full of dealers looking for used vehicles to sustain their operations, as trade-ins have thinned with diminished new vehicle sales. Meanwhile, local auctions are absolutely choked with frenetic potential buyers.

However, these are conditions of a volatile market, not proof of a vehicle shortage.

In my view, the market has plenty of used vehicles. The problem is that many dealers and used vehicle managers are unaccustomed to or unwilling to step up and spend the extra time required to go beyond the “local and familiar” in order to acquire them. For years, dealers and used vehicle managers leaned heavily on trade-ins and one or two local auctions to stock their used vehicle inventories. For the most part, this system worked and most stores had the inventory they needed to do a good job. Today’s market conditions, however, have changed all that.

Today’s successful used vehicle managers (or their buyers) need to literally “cross the country” in order to fi nd the vehicles they need. Some rely quite heavily on technology to do the job, spending hours in front of computers preparing buy lists and participating in virtual auctions. Some delegate this responsibility to recently hired inventory specialists. Others have launched “we’ll buy your car” campaigns with teams that make appraisal house calls. This is the kind of energy and attention that today’s market requires for sourcing used vehicles. Anything less is likely to result in the kind of frustrations earlier noted.

The Inventory Specialist —An Intriguing IdeaAs I’ve listened to and thought about the approaches successful dealers and used vehicle managers have taken to addressing today’s sourcing challenges, there is an underlying theme — the work takes an

inordinate amount of time. However, it can be done effi ciently and successfully with the right tools: technology and discipline.

For many velocity dealers, the decision to hire, train and deploy inventory specialists has been a time and cost-saving winner. With a used vehicle manager’s oversight, this person can identify the right vehicles to purchase, the physical or virtual places to acquire them and the maximum price the store should pay for each unit. This allows the used vehicle manager time to focus on ensuring effi cient and effective processes for appraising, taking TOs, closing deals, reconditioning and other responsibilities that require a strong in-store presence. At these stores, the conversations on used vehicle sourcing are less about quantity than they are about how to acquire vehicles in the most effi cient fashion.

While I like the idea of an inventory specialist, I am not advocating one for every dealership. If your store has recent visits to auctions that might best be described as “fi shing trips” or “get a feel for the market” sessions, or where today’s able crop of tools and technology have not been fully deployed to most effectively and effi ciently source used vehicles, you may have some work to do with your existing team and resources.

In any case, it is imperative that dealerships recognize the need for an increased commitment to properly sourcing vehicles. The current pressures on sourcing used vehicles will not go away anytime soon, if at all. In fact, I submit that it might get worse before it gets better, given the focus and urgency many dealers are placing on their used vehicle operations to keep their businesses afl oat. Dealers who solve the used vehicle sourcing challenge will enjoy greater and potentially more long-term success than those who don’t. And those who do it most effi ciently — that is, with the least cost to fi nd, acquire, transport, recondition and retail the units — will be the biggest winners.

Dale Pollak is an author and the founder of vAuto. He can be contacted at 866.867.9620, or by e-mail atdpollak@autosuccessonline.com.

You can no longer afford the “business

as usual” attitude, as this is not business as usual. Extreme times require extreme actions.

Let me show you one simple thing that will immediately result in increased business.

Your business is different today, and different times require different actions, different attitudes and a different set of approaches. As popular as it is to say, “Just get back to basics,” this naïve thinking will prove deadly. You have banks backing up on loan amounts, customers more resistant to make decisions, no-cost/easy credit has disappeared, unemployment numbers are hitting levels not seen in recent memory, and bad news combined with a lack of consumer confi dence is fl ooding everyone’s mind. The fact is, most of your people have never sold in this type of environment! These market conditions require you and your people to think and act well beyond the norm. The game has changed and you now must change the game you play in order to advance your position. Do not look for “best practices” at

GrantCardone

THE GAMECHANGER

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this time; look for “game changing” practices that will separate you from the competition.

If you do what you did last year, or anything even remotely similar, you will fi nd yourselves going backwards and may even cease to exist. In addition to thinking about what you can do to get a deal closed, determine what your competitors will not do, and do that.

Determine what your best competitor is unwilling to do and do it, and you will not only survive, but you will seize market share. We are now talking about going way beyond basics and instilling new actions for sales and management. Sit down with your management and pick any action that can create results. Let’s take “follow up,” for example. Determine what your best competition will not do regarding follow-up. Let’s say the answers are:

1. They will not call immediately2. They will not make personal visits3. Their management/exec’s do not make

calls

These answers show you the actions that you want to take right now. You have now discovered three game changing actions that will make the difference. A little tip here: The more unacceptable the answers, the more successful the results will be.

Quit looking for just “best practices,” and start searching for “game-changing practices” that will separate you completely from others. Don’t think with what “others are doing” or what you “should do,” or even “how to compete.” I want you thinking “what they won’t do” so you don’t compete with them; you conquer them. Those that don’t take this simple advice might not be in the market next year to complain.

The survivors and winners will be those who have the best attitudes and the best approaches, who take the most action and are willing to go where their competitors will not.

Grant Cardone is an author and the CEO of The Cardone Group. He can be contacted at 866.865.3175, or by e-mail at gcardone@autosuccessonline.com.

www.autosuccessonline.com

26

MarcSmith

HIGHER EMOTIONS= HIGHER PROFITS

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During the sales process, it is

imperative that the sales team appeal to the customer’s emotions in order to hold profi t. You see, consumers buy on emotions, and support their decisions with logic. To put it simply, you are going to have to make the customer want the vehicle more than they want the money it’s going to take to own it.

With more than 80 percent of consumers shopping the Internet before entering the showroom fl oor, there is little doubt that price, more often than not, will be an area of contention. If the customer doesn’t get emotionally involved in the sales process, it then becomes all about price. That is why the walk-around presentation of the new vehicle is the time to turn up product knowledge, and deliver it in a way that elevates the customer’s level of emotional involvement.

Now, it takes practice, commitment and dedication to deliver an award-winning

walk-around presentation. It shows the difference between an amateur and a professional. The presentation is your chance to wow the customer and really set yourself apart from the competition. In the presentation, you want to sell to the customer’s emotional side and around the areas of the vehicle that are most important to the customer. So many times sales professionals make the mistake of selling from what they get excited about and talk over the customer. For maximum results, always present features that were discovered in the needs assessment step of the process — the features that were most important to the customer. Your level of enthusiasm, belief and conviction in your product will also have a direct effect on the customer’s decision to buy, and the value they perceive as it relates to price.

Also remember that knowledge is power and can give you the edge in delivering a memorable presentation. When training walk-around presentations — and I have

trained hundreds in dealerships across the country — I have found the following exercise to be extremely effective in getting new hires up to speed, not to mention improving the skills of seasoned pros. I have them refer to the manufacturer’s brochure and observe how they deliver the features and benefi ts as it relates to the following six areas:• Safety• Performance• Appearance• Comfort and Convenience• Economy • Dependability

If you are new to sales, or are a seasoned pro,

I suggest that you take a brochure and pick three features from each of the six categories. Review how these features have been presented in the brochure, and pay close attention to the advantage and benefi ts of each one. Remember the manufacturers have paid millions of dollars to professional fi rms to deliver features, advantages and benefi ts that take into consideration the demographics that they are trying to market their product to. Take a piece of paper and make an overhead diagram of a car. Place a number by each location you present during your walk around. Take, for example, the driver’s side of the car. Write down one feature as it would relate to at least three of the six key areas. Another example: unibody construction. Using the brochure, write down how they delivered the information. In a short period of time, you will feel and appear more confi dent in your delivery because your level of product knowledge will have increased.

Years ago, I worked with a gentleman who really knew how to get the customer excited about their potential acquisition. He never ceased to amaze me during walk around training sessions how he would reveal unique things that other sales associates overlooked, or were not aware of. By working with customers that had already shopped the competition, he realized early in his career that competing sales professionals were lacking in product knowledge and presentation skills. I can remember how often he would comment that sales professionals at other dealerships did not cover many of the vital features that were important to his customer. He knew that in order to stand out from the completion and separate himself in a measurable way, he would have to deliver his presentation at a higher level.

In one survey, 84 percent of customers said that they planned to purchase before they came into the dealership. Maybe if we get them a little more involved in the presentation process, keeping the focus off of price, we could close more deals and increase profi ts.

Marc Smith is the president and CEO of Marc Smith International LLC. He can be contacted at 866.665.4479, or by e-mailat msmith@autosuccessonline.com.

866-964-6397 imnLoyaltyDriver.com

YOU HAVE CUSTOMERSAND PROSPECTS.

WE HELP YOU GET A LOT MORE MILEAGE

OUT OF THEM.

Let’s roll.

After the fallout with GM and Chrysler,

many dealers are questioning how stable their businesses really are. Dealers who have worked as franchisees of the major manufacturers for their entire working lives have seen how unsteady that business plan can be. Most dealers knew that GM was on a self-destruct course back in the late 1970s and early ‘80s but could do nothing to change its direction.

Enough about the manufacturers. Now it is up to you to get up, brush yourself off and get to work. What are you going to do now? How are you going to protect what you have and stabilize your business?

Here’s one possible answer: You know how to sell vehicles; what about fi nancing customers you normally do not fi nance? Buy Here Pay Here (BHPH) might be your answer.

What is BHPH?Everyone has an idea of what BHPH is. Profi t (if this is done correctly) or loss (If done incorrectly). There are so many ways to do BHPH, but there is only one principal that everyone who profi ts from it follows: Collect more than you put out. Sound simple? It can be, with a lot of experience and/or a lot of help. Don’t get me wrong; there are a lot of factors necessary to successfully complete the entire process of BHPH (also known as non prime, self fi nancing and/or subprime). It doesn’t matter what you call it, though; you are fi nancing customers who conventional lenders do not fi nance.

Why do BHPH?The simple answer: More customers, and increased income stream.

These are two very important reasons why people do BHPH. The most astonishing factor is some dealerships still do not take the opportunity to capitalize on this major profi t center. This happens for mainly two reasons: the dealership has no idea of the help they are giving the customer, and the dealer has no idea of the potential profi t of this program. Imagine this: The customer is already on your car lot, looking to buy a vehicle, and you and your staff cannot help the customer with fi nancing. That customer will leave your lot and go to another car

lot and buy a vehicle from someone who is willing to help them get the deal made.

The customer will give the BHPH dealership a substantial down payment, and pay the dealership payments that exceed the dealership’s cost of the vehicle. One thing you need to keep in mind, however, is that a number of customers will not pay when their payment is due, and some will not pay at all. All of this has to be taken into account prior to pricing the vehicle, and developing your BHPH business plan.

Today’s BHPH are SellingBetter VehiclesToday, the BHPH dealer will repair the vehicle prior to selling it, and continue to help the customer with repairs after the sale. Most dealers believe that “if the car is running, the customer will pay.” There’s at least a better chance of the customer paying for a functional vehicle. All of this adds to better collections. The old way of doing business — do not fi x anything after the sale — creates problems with the customers and dealership personnel. Most dealerships today build in repairs prior to pricing the vehicle. Today, many BHPH dealers sell customers more than one vehicle in a very short period of time. As a car dealership, you will have the opportunity to help the customer get their credit re-established, and keep a customer for life.

How Do You Get Started?Just think of it this way: You already have the customers, you already have the vehicles and you already have your sales staff.

Now you need money for funding. You need a business management system, and a staff for your fi nance company, or you need to hire an outside management company. You need to get set up to take payments and make decisions about the frequency your payments will be required. You will need to know the collection laws and, most of all, you should go to as many BHPH seminars as possible. Educate yourself about this facet of the business, and take control of your career and your dealership’s future.

Richard Vanderport is the president of Lender to Lender Franchise System.He can be contacted at866.455.1671, or by e-mail atrvanderport@autosuccessonline.com.

RichardVanderport

STABILIZE YOURBUSINESS

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the #1 sales-improvement magazine for the automotive professional

27

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28

Chuck&TriciaPatton

HOW DO YOU OPERATE ONYOUR SERVICE DEPARTMENT - WITH AN AXE OR A SCALPEL?

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Are you ready for the

big meeting? Or, have you already had it?

“What big meeting” you ask? The big meeting when the dealer principle or general manager comes into your service offi ce and tells you that times are tough, and that you need to drastically cut your budget. You planned on using the scalpel, and instead, are required to use the axe. You say, “Hey, wait — my department is doing better than any other, and I am the only one driving in traffi c to the store.”

I have the privilege to work with many owners and GMs who truly support their service departments and value the impact they make. We also have many other service managers who say that upper management leaves them alone, never steps foot in the back or knows nothing about the service department. For many years, that may have been a good thing; in today’s market, however, that reality is gone for most dealers. As a leadership team, all departments must support each other, even if it requires a short-term sacrifi ce.

All is not lost, though. You can prepare for a logical discussion on why you should strategically cut and not make sweeping changes. This simple list will get you ready to have a strong, effective conversation to show your strategy to continue to grow your business without cutting out strong monthly traffi c.

1. Get Prepared with YourMarketing Plan Most dealerships don’t have a formal plan, but it will be easier if you have at least itemized your spending. Use your dealership’s marketing spending history as your guide. Break out what you are doing with the manufacturer vs. aftermarket solutions and what results you have measured, if any.

2. Cut the Fat, Keep the MuscleNow that the numbers are in black and white, get the scalpel. Identify those things that need to be cut because they are not working. Maybe you are double-mailing to your customers or have an employee you should have gotten rid of a long time ago. Don’t waste too much time cutting things that save you very little per month.

3. Sell the Things that You Wantto Keep Print out anything you can show to justify your expenses. This could include performance reports, sales on a machine or results-driven services you pay for.

4. Sell the Negative as Well asthe Positive Motivation for keeping your expenses are simple. They help grow your business or they help you avoid losing money. Not only do you need to show what kind of progress each expense creates, but you also need to show a possible negative impact if the investment goes away.

5. Lop Off the EndsDriving in new or lost customers to the dealership is an important mid-term and long-term goal for service success. It is also the most expensive repair order to require (even though the repair order is typically $200 more than those from loyal clients). So, temporarily cut back your marketing on customers whose last service dates are 24 months or more. Mail to them every six months rather than every other month for now. Then when times get better, refocus your efforts on database building vs. database retention and frequency.

6. Discounting – Stop It!Many dealers itemize their discounts in the advertising fi eld. Even if you do not have a discount service department, itemizing

discounts will hurt your bottom line. Ask yourself what is the perceived value of the discount, not the real value. The service manager’s opinion doesn’t matter because you know too much. Only discount the common service and leave the rest competitive with the aftermarket around you within a 15 to 20 mile radius.

7. Sell Them on Your NumbersMost of our customers are right around or slightly above where they were last year. Be brave and put all the numbers out on the table. More than likely your department is doing better than any other department. You may be the only one holding any profi t.

8. Use the Logical CloseEvery sales department has his or her own unique selling system and close. Use a logic analogy for your close. If you had a mortgage payment on your house that you were having trouble making every month, what would your solution be? Would you cut the $20 monthly dry cleaning bill, or would you look for expenses that have a larger impact? Our most aggressive dealership spends less than seven percent of their total marketing budget on the service department. So when you try to cut costs for the health of the dealership, don’t go after the lowest expenses that have the most positive impact on the dealership.

Service is the strongest part of what is keeping many dealerships going. Your dealership may have a well-liked service manager whose customers come fl ooding in. However, it may also be because in today’s economic market, we have seen glimpses of success in segments that offer cost-alternatives to the market. Service is a cost alternative to buying a new car. Dealers must take time to justify their plans so they will continue to have the resources that make an impact on the dealership, the employees and the service manager. Service personnel in general are hired to independently make a profi t in the back end. Respect the fact that the front end is very different than the back end, and educate your owner and general manager about those differences. Just choose your operating tools carefully.

Chuck and Tricia Patton are the founders of Traffi c Builders Inc. They can be contacted at 866.859.8520, or by e-mailat patton@autosuccessonline.com.

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TomHopkinssale

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With the U.S. population having

doubled since the 1960s and the number of automotive manufacturers tripling during the same time period, it doesn’t take a mathematician to see how competitive the market has become. And modern cars, once built, have an extremely long shelf life compared with the cars of the past. With decent care, they can last 15-plus years and more than 200,000 miles. Some people simply won’t purchase a new vehicle until their old one wears out or needs a monthly infl ux of repair money that’s larger than a new car payment. Others take extremely good care of their vehicles hoping for larger trade-in amounts than are realistic. Some are downsizing for economy’s sake, yet may not really be happy with something smaller after they’ve been driving a large SUV for years. Yet others who used to trade in their vehicles every two to three years are hanging on to them longer, thus negatively impacting your repeat business with them.

Let’s face it. Being an automotive salesperson today can be a pretty challenging job. With so many changes going on in the industry — manufacturers trying to fi gure out how to come out on top of the recession, dealers getting creative with offers, and so on — the information you need to know in order to do your job well changes on an almost daily basis. Some days you’re expected to walk a fi ne line to keep everyone happy — your sales manager, your clients, your family.

May I remind you of one thing that does not change, no matter what the news reports say, and no matter what your manager tells you? Every word you utter and every sale you make must truly be good for the client. That never changes. If you will stick to that as your foundational ethic in automotive sales, you will not only survive these tough times but thrive as the economy turns around. Repeat the mantra “good for them, good for them, good for them” in your head as you meet with, talk with and demonstrate

vehicles to clients new and old. If you do that, your name will be passed among your clients’ friends and relatives as someone who is “one of the good guys (or gals).” You’ll not only earn their repeat business, but the business of nearly everyone they know and that type of referral business is what will keep you afl oat during tough times.

Face it — the title “automotive salesperson” is likely to conjure up a negative gut reaction in many potential new clients. As much as everyone enjoys the benefi ts of owning a vehicle that’s right for them, not many seem to really enjoy the process of getting one. Yet the need — the desire — to own those benefi ts keeps them coming, doesn’t it? Your job is to make their buying experience pleasant enough that they want to come back to you over and over again.

Even with the inroads in public transportation and today’s tighter restrictions on lending, people still have a need for and ability to own automobiles. It’s your job in these times to educate young or fi rst-time buyers on the nuances of getting a vehicle loan and how to establish credit. It’s wise to help them understand what amount they might qualify for or whether or not they’ll need a co-signer in advance of showing them any vehicles. Don’t let them get their hearts (or egos) set on something they have no way of owning. Help them with fi nding a “starter” car, just as real estate agents help people get into “starter” homes. If you handle this correctly, once their credit is established and/or they earn higher incomes, you’ll be the one they turn to for their next purchase which might very well be the car of their dreams.

With any potential client, I recommend a three-pronged approach. Help them fi nd a vehicle that is a bit less than they can afford. Then show them one that is most likely ideal for their situation. Then, show them one that’s a little more than they want to invest. In the majority of the cases, they’ll go with the middle one, and that’s fi ne. However,

there will be a certain group of people who will fi nd a way to stretch their resources for that nicer vehicle. And, there will be those whose fears cause them to go for the lesser vehicle — for now. Your concern for and ability to provide them with the opportunity to “shop around” right there in your dealership with you will often short-circuit their natural desire to just see what you have to offer and keep visiting other dealerships.

When times get tough, smart salespeople get creative. You know people are fearful of making fi nancial commitments. You know some can’t qualify for what they want. You know some are hesitant to give up their old vehicles even though they may not be as reliable as something newer. Your job is to make the process of making a decision that is “good for them” a pleasant one.

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 atthopkins@autosuccessonline.com.

the #1 sales-improvement magazine for the automotive professional

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BrianEpro

SAVVY MARKETING STRATEGIES FROM DEALERS SUCCEEDINGIN A DOWN ECONOMY

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Tired of all the economic doom

and gloom? Here’s some good news: Although our industry is experiencing great challenges, there are dealers who continue to see profi ts month after month. What is the one thing they have in common? Customer communications with the goal of long-term, value-added relationships, not one-off sales. The successful dealers I’ve talked with are implementing savvy marketing strategies to pull in customers and keep them coming back, time after time. Following are the four best strategies and promotions that successful dealers are using to secure a steady revenue stream today, and a profi table future.

1. Utilize Service and Parts CouponsWith many consumers delaying a new vehicle purchase, your parts and service department is where to look to bump up your revenue stream. As consumers seek out repairs and services to keep their older vehicles running well for a few more months or years, ensure they visit your shop by marketing compelling service and parts coupons. Once you get them in the door, take the opportunity to up-sell additional products and services. Treat them well and impress them with your expertise and professionalism, and they are more likely to return when they are in the market for a new vehicle.

Penske Chevrolet in Indianapolis, Indiana, achieves stellar results with this tactic. “We send a service coupon in every issue of our monthly e-newsletter,” says Scott Haynes, Director of Business Development for Penske Chevrolet. “In a recent month we had 359 oil change coupons redeemed with an up-sell rate of 67 percent. And that is also getting our customers back into our service department so that they are in the habit of always visiting Penske for their service work.” Not only is Penske getting a big bump in service revenue, they’re creating long-term customer relationships.

2. Implement a Deal of the MonthEveryone loves a great deal, especially

now. Smart dealers are capitalizing on this by highlighting a vehicle “Deal of the Month” in their promotional marketing. Germain Motor Company of Columbus, Ohio, regularly includes a pre-owned vehicle special in each issue of their monthly Mercedes-brand e-newsletter. In four out of fi ve months, the highlighted vehicle sold the weekend after the e-newsletter was sent.

In addition to moving their pre-owned inventory, this type of promotion is helping Germain cultivate a customer-fi rst reputation that keeps their owner-base coming back. “With the market now, our most prized possession is our owner-base,” says Shaun “Niff” Kniffi n, director of Internet Sales and Business Development for Germain Motor Co. “We’re creating community and maintaining relationships.”

3. Connect with the CommunityAstute dealerships are fi nding ways to brand themselves as an integral part of their local communities. As community members dedicated to the growth and health of their local economies and citizens, they weave a tight bond that results in loyal, life-long customers. Germain is a steward of community involvement, hosting a United Way charity event at their facility and actively promoting local businesses and events in their e-newsletters. They’re also tapping into their community’s desire for “green” vehicles and sustainable living information with their GermainGreen.com Web site.

“We’re doing what we ultimately wanted to do, and that is capitalize on our Germain reputation, accentuate the branding of that, and then reach out to our customers and let them know that we’re more than just a company that sells cars,” says Kniffi n. “When we come out of the current economic downturn, we’re going to come out of it with a lot more market share because we realize that the most important thing we can do is get in there and build, maintain and strengthen our customer relationships.”

4. Make It Easy to Do Business With Your DealershipSuccessful dealers make it as easy as possible for consumers to fi nd inventory information, learn of specials and offered services, and redeem coupons. Many employ an e-newsletter to deliver monthly news directly to a customer’s inbox. As an added bonus, dealers can easily include articles about local events, news, and leisure activities. These types of articles grab interest and showcase community involvement; a value-add that keeps customers reading month after month so the dealership is front-of-mind when they are ready to make a purchase.

In addition, some e-newsletters include mobile coupon technology so customers can have coupons sent to their mobile phones for easy redemption at the dealership. Customers simply show their phone when arriving for a service, eliminating the hassle of remembering and printing a coupon. Additional ways to make vehicle shopping as easy as possible for consumers include making your dealership Web site easy to navigate, and ensuring your Internet sales team responds immediately and consistently to Internet leads. The idea is to be open, accessible, and a valuable resource for every potential and current customer.

The common thread through all these marketing strategies is a focus on building customer relationships that extend far beyond one vehicle sale or one service. Many dealers are doing it with big results. The added bonus? They’re securing business viability far into the future.

Brian Epro is the director of the automotive services group at iMakeNews Inc. He can be contacted at 866.393.3919, or by e-mail at bepro@autosuccessonline.com.

SELLING INTOUGH TIMES

www.autosuccessonline.com

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KirkManzo

INSPIRATION WITHOUT INSTRUCTION SIMPLYFALLS SHORT

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All too often you hear the battle cry

of a dealer or sales manager to their sales team to simply go out and “Sell, Sell, Sell.” While their passion may infl uence a few, and in some cases even inspire the troops to go out and “Win one for the Gipper,” at the end of the day inspiration without instruction simply falls short.

The most common track of advancement in our industry moves a salesperson up into the ranks of management because they achieved superior sales results. Unfortunately, they learned how to become a sales manager by watching their predecessor, who was fi red and who they are now replacing.

Much of what we all learn comes from experiences and observations. The concept of “monkey see, monkey do” is very real. For those of you that have children, you know exactly what this means; if they hear it once or see it once, that word or action wants to become part of your household.

Some dealerships invest the time and money to develop managers strategically and fi ll the bullpen with available talent on site, but they are the exception to the norm. Most changes in management positions occur abruptly and with little preparation — then we wonder why the new manager (often just off the sales fl oor) struggles to succeed in their new position.

Recently while working with a new Acura store, a scenario unfolded as described above. The general manager was speaking to his sales staff about the importance of getting more appointments on the telephone. A list of previous customers had been provided to each salesperson for this project (while this location was new for this auto group, they had sold vehicles to customers in the area previously through one of their other stores).

The GM went on to explain emphatically that each salesperson was responsible for

selling one vehicle each per day over the next three days to make up the current shortfall in sold units month to date. He went on to say that just calling the list was not acceptable, but that each of them needed to produce results. Mind you, while this one-sided conversation was occurring, not once did the manager provide any insight on how to actually accomplish the task at hand.

It would appear that perhaps he was under the illusion that some sort of divine intervention from above was going to guide his green pea sales staff to victory. Realizing that was likely not to occur, some input from this author seemed appropriate. After all, they’re a fee-paying client.

Through a series of questions and discussions with the entire group, including the manager, it was obvious they were fl ying by the seat of their pants. They were merely throwing everything against the wall in hopes that some of it might stick. Does this scenario sound familiar? By the way, the guilty need not jump up and confess right now. Save it for later. We need to sell cars.

When dealing with a previous customer (orphan), one of the most effective strategies is to contact them with the intention of introducing yourself (salesperson) as their new representative at the dealership. Explain to the customer that you are newly assigned to their account and that going forward you will be their point of contact for everything related to their vehicle.

As part of this process, inform them that you will need to update the dealership’s records to make sure that all their contact information is current. After updating their information, verify that they still own the vehicle the dealership sold them four years ago. “Mr. Customer, do you still own your 2005 Acura TL? You do? Great. How has the car worked out for you? Glad to hear.”

Once you have confi rmed that your customer still owns the vehicle, explain

that the dealership is in need of good quality used cars. Inform them that starting today and for the next three days, you will have a professional used car buyer at your store, and that he is interested in looking at their vehicle for purchase.

You will then need to set an appointment for them to come to the dealership. “Either/Or” questions can be helpful. Today or tomorrow? Morning or afternoon? You see, it is better to ask when they can come down, rather than if they are available.

Some customer may express reluctance in coming down to the dealership (not everyone will say “yes”). If this occurs, let your customer know that they will be under no obligation to do something. After we have made an offer to purchase their car there will no pressure. They can decide what they would like to do, if anything.

The idea here is fi rst for the salesperson to connect to the customer. This has both short-term and long-term benefi ts. Secondly, it gives you an opportunity to bring in prospects that already know and like your company. Compared to the “shopper,” this sale will close easier and yield higher gross.

So remember: Don’t just inspire your troops. Instruct them as well, and your summer of 2009 will fi nish strong.

Kirk Manzo is the president of The Manzo Group. He can be contacted at 800.858.6903, or by e-mail atkmanzo@autosuccessonline.com.

Have you ever felt like you were making little mistakes that are costing you tons of money at your dealership? Do you feel like there are hidden profi ts in your dealership that are just waiting to be un-covered? If you are like most dealers, the honest answer is, YES, Absolutely!

It’s a shame for YOU not to make more money, when these dealers do it so easily…

“Just one thing that Mark showed us made us over $200,000 in profi ts in 90 days”

– Franklin Greene, GM Montgomery Ford LM

“Our grosses went up 30% on the front end, and we added almost 50% in the back end. The best part of that is that our sales also increased over 25% and continue to increase.”

– Gary Minneman Jr, GMSunshine Toyota

“Our sales have increased over 25% while our grosses went up over $800 per vehicle and we have experienced over $105,000 in additional service profi ts from lost previous customers, many of which had not been to our dealership in years.”

– Wayne Gregory, Dealer West Ashley Toyota

My name is Mark Tewart and I am the President of Tewart Enterprises Inc. For almost two decades I have been helping

dealers fi nd hidden profi ts and correct-ing little mistakes that were costing those dealers hundreds of thousands of dollars. These almost-magical solutions turn little mistakes into instant cash machines of bottom-line profi t.

Because I have not met you and do not know anything about your dealership, I can’t say how much money is being left unrealized at your dealership. However, I can say FOR CERTAIN that the num-ber of dollars is substantial and would shock you, if you knew.

There are a few things that every dealer should be doing to make money, espe-cially in this economy.

The Great News is that I have identifi ed those little mistakes and have big solu-tions for them. NO BS, just real measur-able results that start happening immedi-ately and I guarantee those results.

• Sell more vehicles without spending $1 more on advertising• Increase your gross profi ts anywhere from $300 to $800 a vehicle• Make an extra $100,000 or more in your service profi ts in 90 days or less• Double and even triple your sales and service customer retention• Double your appointments and sales conversion from Internet leads, Web site leads, third party leads • Increase your F&I Product penetra-tions by 25% immediately

• Discover the one secret that will make your dealership an additional million dollars or more over the next fi ve years — We have several clients who have al-ready experienced this and it will make the hair stand up on your neck when you hear this.

Call 888 2 Tewart (888 283-9278) or e-mail info@tewart.com to schedule a private and confi dential interview.

***We will share candid and specifi c information that will prove to you without a doubt what I am saying is true. You will see real dealer examples that support these results. Because of time constraints, there will only be a limited amount of dealers accepted into this program.

P.S.: Please, only Dealers Or General Managers may respond.

A Little Mistake Cost These Dealers $250,000 A Year

MARK TEWARTauthor of

How To Be A Sales Superstar

JodyDeVere

Dealers who understand how to

bring people onto their lots and into their showrooms are winning, even in today’s economic climate. Everyone understands the importance of having the right inventory to match the demand of their marketplace. We’ve all been reminded of the importance in securing the right relationships with lenders, and we all know how easy it is to generate store traffi c. Wait; it’s easy to generate store traffi c? The answer is “yes.”

Too many dealers have fallen on their own swords, a result of cutting their overhead to the point of eliminating the one thing that can save them — traffi c. Without it, you won’t sell a single unit. There are many ways, and many opinions, on what is the best and most cost-effi cient way to keep the consumer coming to your store. One proven way — a way that is both cost effi cient and effective — is direct response lead generation.

Whether using direct mail, purchasing Internet leads, running infomercials or using traditional media, utilizing some form of direct response marketing is essential to keeping your store stocked with people and affording to do so.

Obviously, it’s 2009, and the Internet is not going to vanish tomorrow in some sort of apocalyptic cyber melt down, so if you don’t have an Internet presence, you should highly consider investing. Did I mention its 2009? The Internet is a necessary tool in today’s marketing plan, and without it, you are already admitting defeat. The boom of used car sales over the past several months has made dealer Web sites and a presence on popular on-line automotive sites such as Cars.com, and AutoTrader a competitive must. It is a great way to show off your inventory, generate interest and secure appointments to your store. What’s the key to winning in this arena? Inventory and pricing. Make sure the inventory you list can sell and make sure you are competitive in your pricing. You are going head-to-head, feature-to-feature, mile-to-mile, color-to-color and price-to-price with your competition. Don’t waste your opportunity here; update your listings daily and offer service coupons, such as free 45-point inspections. The small details deliver big results.

The most commonly used form of direct response advertising has been direct mail. For years, dealers have relied on mail for

www.autosuccessonline.com

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LEAD GENERATIONIS STILL KING

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service pieces, sales events, giveaways and other items to drive traffi c. However, the days of buying that perfect list — you know the one, it contains only 700 beacons and above, who are driving three-year-old vehicles with miles in the teens, and have money stuffed under the mattress for a down payment they inherited from their rich uncle Bob — are gone. Privacy laws have greatly hampered the ability to really hone in and lock on to the core customer you desire. That, in combination with the oversaturation and overuse of mail, has made its effectiveness wane in recent years. Direct mail can still be an effective part of your marketing mix; however, use caution. Take the extra time to study your marketplace. How many mail pieces are hitting in your area, and how often? Know your competition, and know your state laws and restrictions. Many hefty fi nes are passed out each year to dealers using mail that has missing disclaimers or makes offers that are not allowed in their state.

Over the past few years infomercial advertising has blasted onto the scene. From fi ve-minute mini-infomercials to full-blown thirty-minute variety programs, dealers have learned to generate thousands of unique leads to their stores. “Unique” is the key word from the last sentence. Unlike many Internet leads that you purchase, leads from infomercials are yours, and they are not shared with other dealers in the market. Therefore, these leads can cost less and give you a better opportunity to close at a higher ratio. With long-form advertising, you have a greater amount of creative freedom to get your message across.

You can highlight the many profi t centers inside the dealership, like service and parts, accessories, you can advertise both new and used vehicles together, and you can build your store brand and stand out from the competition. One of the most important things to understand about this form of lead generation is you must have the ability to answer the calls and set the appointment. Not every dealer can manage the amount of leads that can be generated in this arena. Integrating a business development center, whether in-house or outsourced, is highly recommended for this program.

Lead generation through direct response advertising is still king. It has been the effective choice of advertisers for generations. It includes the coupon banner for Rogaine on your MSNBC home page to the pizza coupon mailer you received yesterday in the mail, and especially includes the Sham-wow, blanket with sleeves, oxy-cleaning, Hercules hook infomercial that entertained you at 2:30 a.m., while you were thinking about ways to increase your fl oor traffi c. The retail business has learned to capitalize on the impulsive American market utilizing these effective marketing tools. Its time dealers wake up and do the same. Just running a radio or cable schedule or putting an ad in the paper will not keep you competitive in today’s tough environment. Generate leads — it’ll do a dealer good!

Jason Orlando is the general manager of AutoAd Partners. He can be contacted at866.918.4030, or by e-mail atjorlando@autosuccessonline.com.

I recently attended and chaired a round-

table on social media marketing to female car buyers at the annual M2W-Marketing to Women conference, where the brightest and greatest minds on how to reach women spoke, networked and discussed the latest trends and strategies. It was invigorating, and a nice change of pace for me to spend time mostly in the company of women who, like me, understand the “Power of the Purse.” I am committed to speaking and training people (mostly men) in the auto industry that women are not a diversity or niche market, and how to improve their results with women. Women are the majority of car, tire and service customers, yet at M2W it was like singing to the choir — very few men attended the conference in general and there were no men from the auto industry in attendance.

It is puzzling and somewhat perturbing that, during a time when the auto industry is in a sharp downward tailspin, overall they still refuse to listen, recognize and treat the majority of who is making and infl uencing the buying decisions — women. The “ol’ boys network” seems to want to cling to the idea that men are still in control of the buying process, and that the auto industry is a guy’s world to their last dying breath, even though studies, statistic and the facts say otherwise.

Women infl uence over 85 percent of all automotive purchases, yet 74 percent of women surveyed feel misunderstood by automotive marketers.

It was comforting and reassuring that women working along these lines in other industries are battling the same issues within their own industries and organizations. A stand out was Julie Gilbert of WOLF Means Business. As many of us in this fi eld of marketing to women are aware, it is tough to get support at the top from men to address the needs of women in the workplace and the needs of female buyers. Julie met the challenge of shattering the glass ceiling for women head-on with results and achievements, both for female employees and for Best Buy’s bottom line. She created Wolf (Women’s Leadership Forum) Pack — an international network of women who advise and mentor Best Buy’s women employees.

IS THE AUTO INDUSTRY LISTENING ON HOW TOMARKET TO WOMEN?

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Some great quotes for me from the conference:

• Julie Gilbert, former senior vice president of Best Buy, now CEO/Founder WOLF Means Business:

“You can’t PowerPoint people into understanding — they have to experience it.”

• Kelly Murray Skoloda, who launched her new book “Too Busy to Shop,” and coined a new phrase: “Multi-Minding” women:“Marketing to women, who control 85 percent of all consumer purchases and a growing number of business purchases, is no longer a “nice to do” component of the marketing mix.”

• Tony Cardinale, senior vice president of research and strategic insights for Bravo and Oxygen Media:“If someone tells you women want this right now, you should respond by saying ‘which women?’ There are all different kinds of women who want different things.”

• Caryn Carmer, senior vice president, Co-Practice Leader & Allyson Clarke, Vice President of Insight Creation, MS&L:“Digital is at the center of women’s conversations. More than eight in 10 women gather information from external sources and look for more info or online, or they start online and take the information to their offl ine world.”

• Melissa Read, Ph.D, vice president of research and innovation, Engauge:“In addition to the makeup of our brains being different, men and women have different life experiences that drive our needs and behavior. Boys and girls engage in different things and in different ways, making women more relational.”

• Kelley Styring of Insight Farms was my favorite speaker; she was funny and insightful about her research project about how women use and feel about their cars: “Women ‘wear’ their car. The exterior is the face we show others. The interior is our ‘authentic self.’ The front seat is our workspace. The back

seat is the kids area and garbage bag. The trunk is ‘where things go to die.’”

Other sound bites on marketing to women:

• Women are looking for substance — you have to stand for something. About 78 percent of women say leading companies are driven by values.

• “Edgy,” “excess,” “too much fun” and “living life large” are being replaced by “giving back.” Women want to know what you stand for.

• Instead of asking “Do I want it?” she’s asking “Do I need it?”

• Women are hoping for the best but preparing for the worst during the current economic climate.

• Women right now are looking for value, but that doesn’t necessarily mean they are looking for cheap.

• A woman’s buying process is longer. Good enough isn’t good enough — she’s looking for the perfect answer.

• She is more expensive to acquire, but cheaper to keep; because she’s invested more time in her decision, she’s more confi dent in that decision. There’s a higher psychological cost if she walks away.

• Women have more mementos (in their car and other places) to remind them of “what’s important in life.”

• If she complains and you handle the complaint and satisfy her, she’s even more likely to recommend you than if she had a good experience. Make it easy for her to complain. She is trying to communicate with you and solve the problem with you.

Jody DeVere is the CEO and president of AskPatty.com. She can be contacted at 866.849.9973, or by e-mail at devere@autosuccessonline.com.

the #1 sales-improvement magazine for the automotive professional

37

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We provide the most current email addresses, phone numbers and physical addresses on a monthly basis.

By having current data in your DMS system you will be reaching customers with every marketing campaign you initiate... distancing yourself from your competition.

That means more profit potential for every department in your dealership.

DMS Update automatically insures all of the information in your DMS system (such as ADP or R&R) is current, accurate, and in compliance with the latest government regulations. 1-866-702-1566

www.dmsupdate.com

DMS UPDATE

UnlimitedUpdatingPackagesstarting as low as $199per month

Are you looking forcustomers who aren’tthere?