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Logistics: I’ll Take “What Is A Dealership?” For $1000 Alex

Lo·gis·tics  ləˈjistiks,lō-/  noun

    1. The detailed coordination of a complex operation involving many people, facilities, or supplies.

We are in the game of logistics. Like it or not car dealerships, at a minimum, are hubs of logistic activities: connections to the factory and engineers, DMS uploads, inventory pushes and pulls, secure financial documents and transactions, lead migration, email and phone connections, server backups, marketing company, sales rep and little league treasure troves…it's dizzying.

Add to that the total of resources: staff, hardware, all the moving parts. And you want to put a 300-pound inflatable on top to make it look like a scene from a Chevy Chase Vacation movie. *burp*

A whole, as they say, is the sum of its parts. However some of those parts are more evident to the people you’re trying to attract: consumers. More important than ever is the media, availability/speed of information and communication we deliver to the public.

So riddle me this Batman: the most important part of your website is the:

 

  1. Template and main pages you reviewed two years ago with your website vendor that you get a PDF “report” from once a month and a visit with once a quarter, when they sell you more stuff.
  2. Inventory being online that you assume is feeding correctly with the automated “cheese” seller notes, not so robust VIN explosion/features and being syndicated to portals you’ve never heard f (although they’re fully disclosed in the document you’ve never read).
  3. SEO you’ve never checked on provided by the website or aftermarket company (that is ABSOLUTELY using spun content)…oh wait. What’s SEO? Yeah.
  4. About us video made a while ago showing some staff you still have employed inside the dealership before the new fascia when up

The answer is none of the above. Just like your dealership it’s the experience. Yes, it has to have what people expect however when’s the last time you met a customer, truly, that knew exactly what to expect. And that is, literally, exactly.

If you’ve not stopped, in a long time, and done a real deep-dive into analytics, feedback from customers and staff, taken more than a gander at your competition (which is everyone), looked and reassessed everything that has your name/brand on it and taken stock of actionable goals and roadmaps, you’re gliding on the rise in sales that’s taken place over the past couple of years now and are, still, not ready for what comes next. Get real about what you’re avoiding.

At the center of everything is a person, with a real need for attention, consideration, information, service, answers and solutions. We are in the logistics business.

Consider this again before you chat with your coworkers about Sunday’s games tomorrow with finite details and stats about passing yards, rushing yards, total years, carries, receptions, turnovers, time of possession, sacks, half sacks, quarter sacks and hurries…and then realize that’s the same level of passion we must exhibit and deliver on for every one of the people that give you the honor of walking through your front door.

 

Best Practices: Professional Insight, Powerful Results

The Dealership Environment: Inspired By Everything, Motivated By Nothing

Face it: You’re whipped. Which way is up? Which way is down? Is flat the new growth? Is the shiny object the new thing keeping you from the golf course of from your sales course? Fact: the dealership environment is as fragile and unsteady as it’s ever been. Yet there are more opportunities than ever.

Look around for a little while at any dealership and on the surface it looks functionally no different than it did just a few years ago. Dig a little bit and everything changes. But you already know this. You’re obviously more progressive or being informed by someone who is because you won’t find the sports score ticker or a reality show recap here. It’s all business. But is it new business?

With more advice than ever, including a massive dose of simply republished (or regurgitated) articles and data, and more tools than ever, including predominantly recreated, re-skinned and relicensed  products, it easy to get inspired by everything while ultimately motivated by nothing. So how do you stop the regression and inevitable redirection?

Have a plan. Plan your work. Work your plan.

More than ever, and especially with the speed of all things “new”, it is critical to write everything down, have a plan (including accountability for yourself), build support and see things through. Anything less is simply “blocking and tackling”, which is crap. Is this advice sage? Not at all!

In order to succeed you’re likely doing a number of the things listed above anyway. But are you doing it for everything, every day and do you have a plan of action? Can you get uncomfortable long enough to become perpetually motivated? Can you create the buy-in needed for at least a year? Two?

With the level of community support available, on DrivingSales for example, it’s easier than ever to get the motivation necessary. Remember, the platforms are for sharing and doing. DrivingSales and the other networks are some of the most underused resources! They are not supposed to be selling platforms. Simply reading and not sharing is akin to watching an accident unfold in front of you and not helping. Considering most dealerships are not the most positive environments around why, aside from the ego and time excuses, would you not go to where you can participate, learn, ask and excel?

While there are some great people sharing and answering questions, the purpose of the forums is to engage. The challenge ahead of us is not the economy (national or fuel) or the products. Our collective Achilles heel is not process or response times or the OEMs enforcing programs they don’t understand. Our greatest faults are relaxing, waiting for things to automatically happen for us and not participating. Not asking more questions and letting go of our egos. Not taking more responsibility for our staffs, interactions and brands. Being in the store but not being aware or active. Like most dealers in social media, we might be inspired but by not listening, involving and really trying, we are limiting our success. All of us.

1,000 people at the largest events for dealers, vendors and the OEMs? If those in attendance were just dealer staff, that would represent only 0.0005% of the retail industry. 50 people involved in a community with 50,000+ that touch the content? That’s a slightly better 0.001% involvement.

How can we motivate an industry? It’s not a CRM. It’s not going to happen with a DMS. And it’s surely not going to be spurred by a dealership website (have you actually looked at yours? Really?!) We must be motivated by what can move or change things for the better. We must be motivated by those things that last longer than 30 days. We must be motivated by how much more we can do. We must be motivated and then validate those that did the motivating, then motivate others.

Our industry does have more leaders than are presently obvious. It’s just not obvious. Not for now.

Businesses, already challenged, are going to be challenged more in the foreseeable future. Do you want to go into that future armed with only a pea shooter? Why not an arsenal? Why not a team? We are better than that. An industry that represents the largest part of our (shrinking) GDP deserves to be better, not lethargic!

Take the challenge and get a plan together with solid fundamentals and a road map. Let your inspiration without action turn into something greater.  What would happen if 2,000 people were active on communities? What if 3,000 showed up at the best events? We don’t know.

Best practices: Professional Insight, Powerful Results

 

I Before We, With No Exception To D(ealers)

It's the end of the year and the heart of the holiday season, right in between being thankful for everything we have and swearing off more than half of it (mostly weight) for the coming year. It's the time of the year when a few minutes on the automotive networks and news sites gets the mind going. It's also right after last week's (first ever) rant….

So in spelling, it's i before e except after c. Makes sense. Well, it makes no more sense than if it had never been that way and we simply didn't make the rule. No different than putting I before we, especially for the D's. The I's are the loud talkers, advertisers and general blow hards. We…in case people forgot, are the industry. And alas, the D's. The D's are the dealers. Those are the ones that move the industry.

In the event that those that believe the real deals are: the ones doing all of the talking, the media, the OEMs and the old boys club…you're dead wrong. Not that more than an acceptable level of that goes on, it clearly does. But the writing on the wall is getting more clear by the day: the dealers, customers and (ahem) the banks/captives move our beloved industry. Just because an outside person can come in and put a deal together doesn't mean that anything….anything improved the dealership.

More and more dealers are waking up to the simple fact that they've been taken for a long drive on a short road for quite a while. And since the days of milk and honey have been over for a bit, it's more painful than most would care to admit.

So check out the majority of content on our favorite places to read. More #1 this and that's. More white papers. More new, unbelievable this and that's. More covers and articles blaring horns and sirens. OK, the numbers are up in 2010, thank goodness. Even if we're at 12M new units, that's not 17M. Not playing the downer here, lots of stuff is good, but realize that yelling about being the best at something does nothing for business at retail.

Heck, there should be more practicing of the preaching. Any company claiming they're the best, don't just back it up with 1-5% of the client base with quotes. Get the bottom percentage to do the same thing. Ask them to write testimonials without any favors, kickback or kudos of any type. And if you have three times the customers of your next competitor, you should have at least three times the reviews.

We need to move the industry at retail. We can't change the banks, so let's put our efforts where they matter most. Yelling about moving a dealer's Internet sales from 25 to 50 per month, when you didn't? Screaming that you can do the best job in the industry at whatever and your clients aren't the best in the industry? Promoting as best-in-class when the company's experts can't get on the phone for days to review the company's performance in what should be their core competency? Shame on us. How many things have become more important than the customer and how many things are in the way of simply delivering?

Let's make dealers better tomorrow. If a dealer is paying for a service, every 30 days should be better in some measurable form. It's not always units or profit. Sometimes, it's efficiency (which drives profit anyway) or education or communication or retention. Something that makes more sense than simply spending more. Let's put the dealers first. Before the next award bought. Before the next accolade spun.

I before we, with no exception to D is the wrong approach. Pass on the awards, the half-baked "third party" certifications, the advertisements (please!), the 'unbiased' networks, the bling and the paid glorification. Let's get more DEALERS on the cover of Newsweek, not CONSULTANTS on the cover of….

Whooops, that one almost got out….

Best Practices: Professional Insight, Powerful Resultsego,

Dealership Reset: It’s Halftime, You Got Game?

There's not too many times during the year that we call a time out. Well, there's usually one. Here's the dealership reset:

Accountability: How are you against your goals?

It's not just units, gross and ROs. It's about cost, effectiveness and no-bullshit reviews. Someone's feet not being held to the fire? Now's the time or else don't expect anything different come December.

Assessment: Who is helping you, who is not?

In meeting after meeting, the question should be the same for dealers to suppliers: "what have you done in the past 30 days to improve my business?". If they can't answer and back it up, you're wasting money.

Education: It's not just for sales meetings anymore

It's incredible when the entire sales staff can chirp back specs on the car they just received product training on that morning from a sales manager or the factory rep. It's another thing when a salesperson helps everyone learn something about their CRM they didn't know or shares a closing technique that got them to 25 units for 3 months running. When you stop learning, you start dying. When you refuse to learn, you need to pack your bags.

Impression: None, fleeting, building, lasting or wow?

Impressions have nothing to do with CPMs or 4-color versus black and white, although every newspaper sales rep that calls on your store will have a fit defending themselves. Impressions are all about what people think and feel about you and your business. And while it has a little something to do with the "silver bullet" that nearly everyone is talking about lately (yes, all of the experts are talking…all few of them), impressions are a lot more under your control once you realize that management actually influences nearly everything that happens at your dealership.

Half way through the year is more than enough time to evaluate a new program, see the leads you were supposed to get, increase your SEO results (if not dominate in many markets), build substantial results from email marketing, and a whole  laundry list of other improvements. If you are not getting the results, cut bait. If you are, see how you can get more.

Everyone needs to do the reset. In a meeting with a dealer last week, it was dismaying to see things that weren't acceptable even five years ago still prevalent today. Apologies for using some cliches but they're so appropriate:

  • You must inspect in order to expect
  • Together Everyone Achieves More (TEAM)
  • Leaders are readers
  • The hardest thing to change is the 6 inches between your ears
  • It's not how hard you work, it's what you do with your time
  • Dreams come a size too big, they allow us to grow
  • Track, target, trim and train
  • An idiot with a plan is better than a genius without one

The tragedy in life is not missing your goals, it's not starting with any. And that's even more the case when you don't check yourself before you wreck yourself. It's time to do your reset. You'll thank us later…

Best Practices: Professional Insight, Powerful Results