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Start With The End In Mind, But Mind What You Start

One of the beauties of working with those businesses that want to move forward is just that: the move forward. One of the drawbacks is the distractions that can stop clients in their tracks. Even the most excited dealer, on any given day, may end up with a list of fire drills that can stop a freight train. Downhill. When you start your move in the digital direction, it must be a complete commitment.

More and more principals and senior management at the dealer level are getting their hands, minds and ambitions set around their online presence, brand reach, consumer interaction and spending real time in understanding what is out there. By educating dealers rather than just taking over the whole ball of wax, change is visible. By involving them rather than avoiding them, cooperation is established. By partnering, accountability becomes easier.

Even with the greatest level of engagement, however, retail is still retail and some habits die hard. Dealers can't ignore their fixed operations for a day. Management can't (and won't) turn a blind eye to the sales floor for 24 hours. Not even the parts manager gets a day without a general manager visit. So how can you afford to go a week or two, if not longer, without chatting up what's happening online and not just leads.

Two areas that might need more work are setting expectations and goal setting. Too often relatively major aspects of online operation are glazed over that can easily be addressed by keeping both vendor and client accountable to updates, the calendar and results.

These days you hear about more dealer service providers being tasked by their dealerships, companies providing more amenable terms, dealers sharing more information with their 20 groups and huge attendance at events around Internet and social media efforts. Great! What is happening to hold the dealer responsible? The web and everything associated with it is so fluid today that it almost makes more sense to have a meeting about what's happening and how to adjust and direct once or twice a week compared to having another sales meeting. Folks, if you have the right staff, it's about bringing the people in…salespeople know what they're doing and not doing especially when they hear it from the desk consistently.

Set expectations, draw out what steps must be done to excel. We must start with the end in mind AND be completely committed to it. Advisers, consultants, webinars and conferences are what you start and maintain with. In other words those are tools, just like 3 by 5 cars, tickler files, walkarounds, and CRM software. They are the conduits to results you want: the sale. They don't sell cars but you can't exist without them.

If you have committed to put your emphasis online, no matter what phase of the process you're in, stick with it. This isn't toe-in-the-water. This is died-in-the-wool. You can't get anywhere without having both the keys and a destination. You can't take off without the right equipment and a flight plan (yeah you pilots of the auto industry, you know who you are). And you can't win online without being part of it, staying in it and knowing what you want out of it.

Best practices: Professional Insight, Powerful Results

March 4, 2010 by Gary May 0
Why 2010 Is The Year For The Dealer In The Automotive Communities

You've seen them. You've registered. You've looked a couple times. You've even mentioned them at some of the events you attend to be in the 'know' . But the most you've been involved with what is likely the greatest area of information and opportunity for quicker growth ends with exactly that: not much. Post a comment on a forum? Nonsense. Ask a tough question of your peers? Waster of time. But your processes, results and even poorly rated vendors don't change and the answers are staring at you, through that nice flat screen you convinced your general manager you had to have.

So what will it take to propel dealership involvement in the communities? If we don't change retail, as great as the products have gotten, the fact that new cars are now launched on the web or mobile devices exclusively rather than traditional advertising (about stinking time), the fact that you read reviews of hotels and restaurants on review/forum sites and a list of other valid reasons, the dealer voice online is about as frequent as (fill in your least favorite 80's or 90's pop star here, mine's Cher) appearing on the Billboard Chart's number one spot today.

We can all agree, or let's just say we can, that a lot has had to change in automotive retail. And some are doing it with rewarding results. Even with 'better' results, it's not enough to drop your marketing expense by $50,000 a month compared to a couple years from now, redesign your website and expect cars to fly off the showroom floor. We must share and help each other.

Considering how many have chopped expenses including travel and 20 groups, stopped attending most events and don't even see their reps as much as before, how can you not leverage the online automotive industry communities? That is a rhetorical question considering how many dealers still step over a dollar to pick up a penny.

And let's have real involvement rather the same old list of suspects. A changing of the guard is totally needed, appropriate and refreshing. Does your favorite publication use the same contributors every month? (yawn) Boring! It's no different online.

Dealers, here is the challenge: write down your two or three biggest challenges. Everyone posts them starting tomorrow, for the next 50 weeks. Stupid questions? No such thing! Someone already asked the same or close question? See who else can answer it. What are you afraid of? This is your opportunity to learn while everyone else does. No two people will execute exactly the same so make sure you've got your spin on it.

As an example, after last October's DrivingSales Executive Summit, the comments were consistent not only about the value of the event but the content was more in line with what dealers needed. It was dynamic. The speakers were fresh. The subjects impacted attendees. Then, crickets on the website.

Folks, this is THE year for the automotive online community. Our future success depends on what we do today and for the next 354 days. We have one of the best industries out there, we should treat it as such.

Best Practices: Profession Insight, Powerful Results

January 10, 2010 by Gary May 0
Resolutions? Who Needs Resolutions? We’ve Got WORK To Do!

It's no coincidence that by using the term 'resolutions' as
temporary markers, we're able to miss our goals and targets. In an industry
that's usually more comfortable with what worked 10 years ago, why waste time
with "I wish"? Fact is, by resolving to do something it means that
you're going to do it.

If you're lacking resolve, find someone that can help you with it. This is not
a plea for you to run out and get a shrink, not at all. Rather being resolute
about how you manage your business, as a GM or a sales person or a porter, is entirely up
to how well you plan your work. And when you think about the work involved with
your entire online presence, business and infrastructure, it's not about being
the 'do it all person'. That method will lead to disaster.

2010 will be a dividing and defining year, but not by the forces
of government intervention, the factory guillotine, lack of the 'perfect' new model or even that location you've been eyeing for years. It will be a year of the haves and have nots: either your 3 P's (plan, people and partners) will provide you with the better option or not. Here is the best starting point that we can recommend rather than spitting out another list of vendors, processes or simple recommendations that can be easily duplicated next door:

1. Where are you? Why are you there? Think about this in terms of where your greatest opportunities are for growth. Some things are completely transparent, like Google rank results, conversion rates and revenue per PO (just as examples) and some are not, like sourcing, third-party expenses and advertising in untracked media.

2. Who's with you and who's not? If you've not weeded out your staff in a while, you're lying to yourself. There is some huge talent out there that can not only move the needle forward, they can likely add some sorely needed spark and sizzle to the rest of the people that claim to love coming to work. 'Stick In The Mud' and 'On The Bubble' are not a fun games to play for two years in a row…

3. What changed that you ignored or missed? Usually a massive change in results comes from more than the other franchise having a stellar month while you tanked. If something big shifted, start with asking your customers, your prospects and those that opted to go somewhere else. The insight will do more for you that pulling the wool over your eyes. This is not a 'social media play', this is a 'get yourself dirty play'.

4. Do you have buy in? Another thing to consider is who's behind you. If it's not a majority or all of your staff voting on how things get done, it's time to be open. Not humor, Not simply listen. It's do or die time and if people don't think you care about them , they won't care about you. (hey, customers think the same way. wow!) The 1976 way of handling sales and staff meetings should be 86'd.

We could go with 'finely tuned engine' or something cheesy like 'firing on all cylinders' but you have to do the things that will really impact your business. Aside from that you MUST fire vendors that don't do their job and stop excusing poor performance.

Today a dealer talked about taking the bold step of letting a vendor go that was so far from doing their job. At a rediculously low price. For something the store didn't really think about. Tomorrow, they're going to take it in-house, spend more money, get the job done right and will likely see the results from their efforts…two to three months from now. What are you doing that, if you'd take five minnutes to think about it, doesn't make sense.

If you can't find anything that's broken, here's another recommendation: Walk into a non-automotive business and whatever you notice that absolutely bothers the $#&^ out of you, ask your employees to stop doing it and take suggestions from them to improve. Why? Because there's a 95% chance that your business is doing the same thing.

2010 is full of promise. There will be those dealerships that hit the ball out of the park. There will be those that barely get on base consistently. There will be those that can't even get the batting helmet on. There will be those that aren't even in the game.

Your chance is to own the whole frickin game…

Best Practices: Professional Insight, Powerful Results

December 31, 2009 by Gary May 0
So Much Good Stuff…Does It Make You Want To Ignore It All?

It's no secret that over the past few months things have really been taking off in the online automotive space for dealers and a lot of attention is being paid to the more leading edge, innovative companies (and some not-so-leading-edge ones).  It really seems that retail is starting to embrace, at a minimum, the 'change' in mindset.  At the same time it's not too hard to see that it may be overload.

When you consider the amount of good information, new technology, availability of tools (especially those that are free or inexpensive), vast selection of downloads/blogs/webinars and more, it really seems like a heyday for flipping the switch and going forward like a gleaming new Boeing 787,  But just like the impressive 'Dreamliner", you can't get off the ground if your resources aren't trained for the flight.

We still seem to be hamstrung by our best resource: staff, desire, goal-setting, application, training and simple commitment.  In a recent meeting, a general manager was talking about how he'd like to offload the lead handling to a staff member.  Yes…a GM wanted to have someone else take up the task of correctly touching, responding to and managing the leads.  Huh?!?!?!?!?

All of this made me flash back to the AM/PM radio spots with their campaign "Too Much Good Stuff".  We can SEO/PPC/CRM/DMS/PMA/CPO/RO/MICKEYMOUSE a dealer to death.  By the same token, you've got to be able to execute on all of those lovely acronyms.  Start with the leads.

Don't have the right person(s)?  You had better look at all of your sales staff.  Don't apply any excuses to any one of them.  Can't type an effective email?  Chances are you can't communicate very effectively on the floor.  Sorry, you must not ignore one and not the other.  They go hand-in-hand.  Can't turn on a monitor or CPU?  Just imagine that all of the 'old dogs' on your sales floor had to learn something about navigation/Bluetooth/OnStar/Sync/back up assist/iDrive and more on new cars over the past few years.  And chances are your 40-50 plus year-old techs in the back have had to learn something (actually a heck of a lot) that's new under the hood.  Again, stop excusing lack and ignoring ignorance.

Don't have someone that can lead efforts on your website, integration, social media, templates, vendor management and more?  You need one.  Don't hire a salesperson to do it…and don't hire an IT person either.  Hire someone with a balance of skills covering all the aspects: communication, technology, customer service and ensure that it's someone that can conjugate what they'll do for you, not what they did for someone else.

Understand, staff, educate, execute and then lead with some consistent effort and passion.  Every dealer that wants to thrive, let alone survive, must be able to assess and improve on ALL aspects of their presence, brand and sales, especially online.  To get better results you've got to think and do things differently.  And that doesn't mean thinking differently by keeping the person on that has been selling 3-6 cars a month for months just to have them post in social media networks (by the way, that's a mistake!).

Here's a challenge: Make your business plans by December 31, target your staff and online needs, plot your strategy, write everything down, stick to it all year long and (here's the hard part) do everything that you're in control of and ignore the rest.

The difference this coming year between you making online work for you and not making it work can be devastating.  Make "Too Much Good Stuff" work for you and then take it all…

Best Practices: Professional Insight, Powerful Results

December 19, 2009 by Gary May 1
What Did Thanksgiving Do For You?

If you're in sales, chances are you needed the Thanksgiving day break.  Badly. If things are good or not-so-good, the day off allows you at least to decompress.  If you're in automotive, many would say that the break is more than deserved.  You should return with two things: the day off and something new.

Too often we take the greatest chance to improve and dismiss it with a focus on the short-term gain.  Will you return simply energized or with new, more aggressive goals and a dedication to really build your brand?  It's not only the things we're thankful for, it's also the things you plan on being thankful for.

If you sell, are you doing everything you can?  Using your CRM as a static database or a real tool?  Is the day after Thanksgiving the day that you start leveraging your website with live chat, video, widgets, blogs, calls-to-action to convert your traffic (campaigns, truly unique offers, integrated items, etc) and more.  Or maybe it's not time to do that.  Right?

Is it time to start customizing your newsletters and other email marketing instead of thinking that simply sending things out means you get results?  Maybe Friday is the day that you start holding vendors accountable.  Or when you start leveraging social media and online reputation management?  Yes, that means you'll have to start asking, connecting and setting expectations.

In order to expect different results, you must do different things and do them consistently.  If there's ever been a time to distinguish yourself, your brand, your dealership, your clients, your community and your industry, it's now.  The gloves are off.  The transparency is ever clear.  The opportunities are there.  The opportunities are yours.

Chances are most of your competition is going to be doing something when they come in Friday: the same thing.  What are you going to do?

Best Practices: Professional Insight, Powerful Results

November 26, 2009 by Gary May 0
Why Hit The Panic Button When You Can Hit The Simple Button?

Can't you just hear it in the background when you try to explain the shift to digital/social marketing from traditional 'push' marketing to a business like, oh let's say, a car dealer? A chorus fills your head from 1978: "Aaahh Freak out!  Le Freak, C'est Chic, Freak out!". Scary enough, our sales volumes are near 1978 levels and we continue to advertise as if it were.

From forums on DrivingSales to articles on Advertising Age to the offices of medium- to large-sized dealer groups, there is still a debate. That's' mind boggling! Consumers are gobbling up media at alarming rates. Their chosen media, not advertising. Do you still believe it was the advertisers that killed the newspapers? It's much easier to accept than understand that people don't need to read yesterday's news that they already got online or on their cell phone the day before.

So, people do what people do when they just don't understand: freak out, panic, sweat, worry, bury their heads. Come on, take out the Simple button (thanks for the idea Staples!) and start working and communicating WITH everyone. If you don't understand SEO, social media, microsites, true CRM, integration and the whole list of items that aren't a print, radio or TV ad then simply ask our community. Stop being in love with your advertisements and start being in love with your customers!

Changing the way we generate traffic is not easy, but it is incredibly simple. What is usually missing from any effective digital strategy at dealers is (1) process, (2) stick-to-it-iveness, (3) oversight, (4) knowledge, (5) willingness and (6) a burning desire to succeed. Why wait when you can dominate? The wait mentality really gets my goat. You might as well sell you business if you're going to wait.

Last week while speaking at a NADA 20 Group, one dealer had less than 20% of their marketing budget in digital/online. His explanation? "Hasn't worked!". His process? Buying the same way he buys weekend spot or full-page ads. Folks, online is not a "stick-your-toe-in-the-water-and-see-if-it-feels-good" proposition. All of the transparency and accountability is there, no other media measures like online!!

Whether it's wanting to "own" page one of Google by partnering with a strong SEO company (especially if your website company thinks SEO is simply a typo of CEO), to sharing great content on Facebook or Twitter, effectively engaging service customers with a tool like Driverside, or doing effective CRM with a company like DealerSocket or VINSolutions, it's the same: if you don't know, ask.

If you don't have the best brand possible reflected online, over 60 percent open rates for your emails, positive onliine reputation, inventory that can be indexed by the search engines (you don't if it's framed-in on your website) and a community that communicates with you online, it's time to get your business in order before spending thousands and thousands of dollars every month because someone's convinced you that they can sell more cars for you (if they're that strong, hire them and get rid of your deadwood).

Polish up your Simple button and use it because you should be operating a profitable business and not a charity and blind contribution machine. In other words, make your business right before you continue to help make others right (and more profitable that yours)…

Best practices: Professional Insight, Powerful Results

October 27, 2009 by Gary May 0
Reputation Management: The Good, The Bad And The Ugly

This post should really be titled: Reputation Management: Can't I Just Ignore It? It's amazing that another year, and some great social media presentations, has passed with dealers still not understanding that they live and die by their reputation. They know it, they don't understand it. Or else everyone would be tackling their Achilles' heel.

It wasn't too long ago that dealers knew their customers by name, would give up their own car if a client's died on the way home, attended the events they sponsored and generally made sure their name (and brand) was sterling. Then came the 'glut years' of the mid-80s to about two years ago. Dealers practically printed money for 20 years or so and then the dance ended.

Volume, massive profits, huge staffs and even traffic have mostly gone in the same direction as reputation: downhill. With the exception of some forward-thinking and consumer-focused retailers, it seems apparent that our industry is completely fine with negative reviews on top of the other diminishing returns already listed. If there is one thing you do around social media, please let it be reputation management.

You may not be ready to tweet, post, share this, stumble upon anything, digg or have a bunch of fans, but chances are you are concerned about something other than how many other dealers sold cars out of your PMA. About 3/4 of the public will now now shop you based on other consumer write ups!!!!!! That should be enough to make any business owner or manager go online
and start participating in something other than fantasy football
leagues (not saying that anything is wrong with that!).

Maybe you don't realize how simple (read: it may not be easy but it's painfully simple) it is to participate, get everyone on board at your store and improve your results, or how quickly fewer than a handful of poor reviews can absolutely kill your business. You do have a choice no matter which way you go.

If you haven't been to Google, DealerRater or Yelp lately, it's time you did. Most of the traffic to your online store has been or will be viewing the comments others have made about you. And do it now. I've been talking with a large dealer in Los Angeles for four months who still hasn't decided to invest time, resources or effort in one of the greatest opportunities for more traffic, greater customer confidence, referrals (remember those????) and just plain common sense. I don't know what's stopping them and I don't know what's stopping you.

Just remember that there are three things that never work in the car business: hear no evil, see no evil, speak no evil. It's time you got up to speed on your online reputation and got a little more social. Maybe then we can get back to minting money again…

Best practices: Professional Insight, Power Results

October 18, 2009 by Gary May 0
The Great Dealership Debate That Shouldn’t Be

"Hear ye, hear ye! For all of you, thou shalt be indentured in thar' olde sales department.  And for the rest of ya blubbering fools, 'yer lucky to call the Internet department over yonder home!"  Boy, sounds like a clip right out of a bad Tom Cruise period movie about horse sales from the 17th century, right?  And to top things off, he loses his English accent about 17 minutes into the flick…

All right, it may not be that bad where you work, and it may be the 21st century, but why is there still a separation between most dealership sales 'departments'?  Why is there still a debate about whether or not they should be integrated?  Is it because the favorite 'floor' sales person loses status and the spooned deals?  What is it about the 1987 mindset that carries otherwise unacceptable practices forward?

Your entire sales department shouldn't be handling Internet leads because nearly all customers are now shopping online.  It's not enough to make those not taking website ups handle "online jacks" simply because there is not a trickle of showroom traffic to speak of, and definitely not to support the size of your team.  Do it because it is simply the right thing to do.  How you do it is up to you.

Dealers: quit responding to the market, conditions, volume and what you perceive to be business indicators and start being proactive: building, planning and expecting more.  Nobody ever built a birdhouse, let alone an empire, by standing still and waiting.

Yet people that otherwise can absolutely, positively produce more numbers, revenue and profit are not in organizations that support the opportunity, vision or appropriate business model.  While a good number of dealers have shifted their resources to completely cover all aspects of sales including web-based leads (and you deserve a lot of credit for doing that), most of the market continues to have a small segment handle what continues to be debated as a different kind of customer.

Fact: Consumers no longer bend around businesses, especially those with dated practices.  If you haven't checked in a while, they're no longer around.  Competition, the Internet and consumer-generated content/virtual word of mouth have changed our industry.  Businesses must listen to, connect with, communicate with and engage with the consumer on their terms.  To use an old adage: quit trying to find a square peg into a round hole.

If you no longer drive to the airport, stand in a 52 minute line and deal with a counter agent to buy an airline ticket, why are you expecting people to deal with an automotive retailer in ways that are also 20-plus years old?  Remember this next time you're in line returning a high-tech item that
you bought online from your favorite electronics retailer: you'll
likely find yourself in the same line as the people who bought items in
the store.  Imagine that…the same line!

It's time to look at your business with new eyes and focus.  Don't do anything less than you'd expect from the places you do business with.  No debate about it: there is no such thing as an Internet department.   There are only the ones that haven't figured it out yet…

Best practices: Professional Insight, Powerful Results

September 24, 2009 by Gary May 0
Powered Webinar: From Zero to Community: Practical Advice for Growing and Nurturing an Online Community

Powered_Logo 

Live Webinar on Thursday, September 17th

Featuring Newell Rubbermaid, The Community Roundtable and Powered

A successful social marketing program requires the same comprehensive,
well-planned approach that traditional marketing programs demand, and it
entails careful consideration of how your company will participate. At the
heart of most social marketing programs is some form of online community that
can help integrate social media elements into a cohesive program aligned with
your marketing objectives – from creating customer engagement to brand
loyalty and advocates. Online communities take dedication, perseverance and
commitment that go far beyond building a site or joining an existing social
network community.

Register to attend to learn:

  • How to drive ongoing, active engagement within a branded online
    community
  • Tips for leveraging social media such as Twitter and Facebook to
    drive awareness of your community initiative
  • How online communities help address the need of your customers at
    every stage of the buying cycle
  • The importance of community management on the health of a
    successful online community

Register here!

September 3, 2009 by Gary May 0
What Will You Focus On Tuesday After Clunkers Shuts Down? Start Inviting Your Customers In Again…

Imagine, if you can, that business becomes painfully slow. Sales, traffic, even service, is down anywhere from a little bit to 'oh-my-gosh-how-can-we-survive?' slow.  Then try really hard to imagine some gift-from-above program from an unannounced source drives a bunch of customers to your store for a few weeks.  Then…the program ends abruptly.  At the same time, consider that you expected the program to end at any time so you are not completely surprised by the news that the masked crusader and his money left town.

What will you do the next business day? How prepared you are, how well you communicate with prospects and customers alike, how creative you are and where you know your business comes from will dictate if Tuesday is satisfactorily busy or if it is just like another day before all the loads of Monopoly money arrived.

Most people we've heard from consider C.A.R.S. a blessing with all of the traffic and sales it generated, as well as a genuine pain in the butt.  Of course!  If you had the program to do for yourself, would you have done it any differently?  You absolutely would have.  So why are you going to be twiddling your thumbs come Tuesday?  What program you run is up to YOU, every day.

Now, that's not to say that you're going to be able to come up with $4,500 of "it'll get here someday" funds on nearly half of the deals you do next week or any other day.  However, it's entirely up to you how to drive people off of their scared little (and big) duffs and into your business.

It's not up to the factory, it's not up to the million-dollar advertisements, it's not up to the region or your 20-group and gosh-forbid it's definitely not up to the government.  Don't you want them out of your business…not in it?  What happens in your business, positive or negative, is up to you, your brand, your staff, your effort and your planning.

So when the here today-gone tomorrow spigot of funds is finally turned off by someone making a lot more than you with nicer benefits than you have and a pension you can't even dream about, get back into the habit of making your business happen.  Less business?  Get a bigger piece of a smaller pie!

Can't figure out how to make it work?  Ask someone for help or at least tell the receptionist that you're not "away from your desk all day" and that you'll start taking meetings again.  Business doesn't happen from thin air, it takes a lot of work and some good consistency.  And sometimes it takes outside ideas folks, as painful as that might sound to some 20-year plus veterans.

Besides, whether you call it natural selection, survival of the fittest or one of a myriad of other expressions that refer to 'business better then usual', it is always best when you're the master of your domain rather than waiting for the next shot in the arm.

Best practices: Professional Insight, Powerful Results

August 20, 2009 by Gary May 1