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NADA Time: Start Operating Your Business As Yours Or Someone Else Will

More often than not, businesses are left to turning part (or all) of their operation over to vendors and partners with the reasoning that they're not able to "do everything". In automotive retail the de facto excuse you hear usually has something to do with how selling cars is what gets done and nothing else matters. Well, it's 2012 and everything has to do with selling cars.

News flash: It always has been so.

More likely than not, as we're upon the National Automobile Dealers Association (NADA) season, hundreds if not thousands of dealers will leave with contracts signed, or nearly signed, convinced that simply punting their responsibilities over the wall is the best way to get 'er done. Fact is nothing is further from the truth.

Dealers must grasp a much more realistic perspective of controlling their business through action, education and accountability or they will absolutely have it taken over. And nobody is saying that's a bad thing, in the event that a business has no desire to be "in" business. While a $6M dealership may not scale, invest, market or operate like a Fortune 100 business, but there is not a single reason why it can't approach and plan business in the same way or using the similar methodology.

A few things to keep in mind as we go into the NADA conference this coming weekend.

  1. Assess your dealership's needs and gain consensus from your employees on what to return from the conference with
  2. Plan 90% of your schedule via expo and workshop schedules, focusing on must-have meetings
  3. Schedule meetings with critical existing and vendors and check out their competition
  4. Talk to as many dealers as you can outside of your 20 Group, in the booths you visit, about what they're doing and not doing with the vendors you're visiting as well as haven't considered
  5. Look at vendor and supplier reviews on Google, forums including DrivingSales and other reliable sources
  6. Ensure the viability of vendor/product deployment in your store prior to signing any agreement
  7. Talk with existing/new vendors after the conference again, prior to accepting any new agreement

 

While the above steps are no guarantee against "being had", it should at least put some steps between a mediocre quick decision and a thought out beneficial one.

Areas that seem to be gaining traction and popularity that don't make sense include:

  • Reputation management: services that promise hundreds, if not thousands, of well-deserved gleaming reviews from consumers that just haven't provided them to you. Garbage! Consumers see through it faster, better and more than Google does. Start expecting your staff to obtain reviews when selling or servicing products and ensure a process is in place. Some staff members don't want to do that? Let them go or simply hand over the keys because you're not leading a dealership…
  • Social media: services that promise hundreds, if not thousands, of fans simply because you're a car dealership, with "caption this" or "tell us what you think" on nearly every other post sprinkled with inventory or incentive specials don't say "great place to buy" in the least. If a great Facebook, Twitter or blog presence means 2,000 likes, followers or readers and not more than 3-4 comments, shares, retweets or +1's, you're likely being had. Nobody wants to go to a dealership Facebook page to play Asteroids or Bejeweled 2 and write a title for a photo showing two dogs dressed up as superheros chasing each other, let alone find a tab that doesn't work (for months).
  • CRM: services that say their great, train your staff for $5,000-10,000 a day, put in standard templates and tell you to look at reports to create accountability need to start traveling with the Dodo bird. At the same time employees not using CRM for any reason need to pack their neon-green Hulk baggage and leave town as well. Get real, negotiate agreements, expect your account person to visit regularly, get all of management to use the tools and then expect everyone else to in the dealership. If utilization of CRM is under 75% in your dealership, get your vendor to start acting like a partner and put sales and service staff on the bubble. It's not a choice, it's a reality check.

There will be a lot of fanfare, parties, speakers pitching and snow jobs at booths. However, it's in everyone's best interest to see through the smoke and put the rose-colored glasses down. Our entire world is digital, mobile and fast. It's time for 17,000+ franchises (and who knows how many independents) to get so as well. Leave the hook, line and sinker at home, ignore the playmates for as long as you can and get real with your business.

There is a boatload of opportunity for those that want it in 2012 and NADA happens to be a great place to kick it all off or continue down the progressive road if you've already started. It's also where tons of dealers get sucked in by nothing more than marketing and get nothing for their hard-earned cash except for an open liability door.

So go with purpose to NADA. Come back and operate your business properly. Or someone else will take it from you. All of it.

 

Best practices: Professional Insight, Powerful Results


January 29, 2012 by Gary May 0
Are You Waiting? Still? Well…..Goodbye!

This is officially the beginning of the end for many. December 27, 2011. There will be a moment over the next couple to handful of years in which you'll reflect back to this post (or others like it) and say "oh crap". Or it may be the longer rendition which usually sounds something like "Why did I allow me to get in my way over and over again? Why did I shut down and refuse to change, giving garbage excuses?"

As time went on from December 27, 2011 Acute Death by Delusional Digital Defiance, we'll call it ADDDD for short, you invested more and more in the comfort zone, allowing vendors to do with you money and brand what they wanted and would essentially squandering opportunities while you were convinced you were actually doing something. Your business was actually disappearing at the same time everything looked the same from your vantage point behind the desk or golf cart steering wheel.

And who could blame you? You read the ads in the trades and took advice from your 20 Group and absorbed the Powerpoint presentations. You wrote the checks. You took the training, however often that someone actually showed up and you attended the conferences. It never dawned on you that everything you relied so heavily on was the white elephant in the room. You took the easy way out instead of asking the tough questions and not believing the hype. Simply put you allowed yourself to fail.

Why did this happen? You didn't take the road less traveled when the paths diverged in the woods. As far as you knew, you believed it wasn't supposed to be about "hard work" anymore: you're senior management or, better yet, a business owner. Add to that the whole "Internet thing" was just too difficult to understand and should be handled by young kids and "people who text a lot and surf the web".

So wind it down now so you don't experience the slow, deliberate march of self-induced death. Ignore the articles from Joe Webb prodding the salespeople that you mistreat (http://bit.ly/rVN66B) and from HubSpot on Harvard Business Review about Google changes (http://bit.ly/ub6iOH) that your website company will not talk about, or some trends to capitalize on (http://bit.ly/rU9VAt) and what's going on with mobile (http://bit.ly/smRSOt) from Search Engine Watch. You've been reading all of these…right?

Nope…"too busy running a business". More like "too ignorant to run a business"

So while you idly wait for the inevitable why don't you ask:

Your website company why:

  1. your pages have the same names and metadata
  2. you don't have model and trim level landing pages
  3. you don't have separate tracking numbers
  4. you don't have original content on your pages (heard of Google Panda?)
  5. you don't have a truly optimized mobile presence
  6. you can't track conversions on Google Analytics or your PPC/SEM
  7. they don't truly offer eCommerce
  8. their proouction team doesn't talk with their marketing team (ie SEO to SEM)
  9. they lack in customer support
  10. they're not up to date on what's happening with Google and social

Your CRM company why:

  1. you can't track email opens, bounces, links, shares, etc.
  2. you can't change headers and footers dynamically
  3. they don't append and integrate for text/mobile delivery
  4. you are still on servers and not on the cloud
  5. they don't offer true mobility
  6. they can't make lead duplication management much easier
  7. data "siloing" still existst (lead based: service/sales/finance)
  8. they're not up to date on what's happening with Google and social

Your social media company why:

  1. they don't actually write content
  2. what they do publish is redundant and automated (ie "Caption this photo" of dogs or cats)
  3. they don't create engagement
  4. they sold you on 20+ "social media sites/platforms" when traffic comes from 4-8 of them
  5. they pitch and don't produce (and not actually active on the networks at all themselves)
  6. they are disconnected from the store
  7. they're not up to date on what's happening with Google and social

Waiting? You've been told your entire life that good things come to those that wait. Well, we're here to set the record straight. Only the leaders thrive. You can wing it today, sure. There will be "those" that still make it with no true effort. However, it is a false existence and leads to ADDDD.

The grim reaper is coming and his sickle has your business' name on it. Are you waiting? Still? Well…..Goodbye!

Thanks to @HarryHaber and @BryanCarGuy for a little insight on the list of dealer pain points… you're great friends and car guys!

 

Best Practices: Professional Insight, Powerful Results

December 27, 2011 by Gary May 1
Google Plus Pages Allowing Dealers To Do More (Half-Baked)?

With innovation and technology comes missteps and half-hearted attempts to "do it". As more dealers encourage their staff, and many times vendors, to push into new technology, software and social networking, which should be commended, the volume of missteps and simple ignorance increases as well. It's simple: if you don't know how to do something, get assistance. Just winging it in today's market won't pay dividends nor register with the public when it counts.

Google Plus Pages Equals Unknown_SMALL

Google Plus Business Pages launched more than a week ago and searches with typical terms (Toyota, Honda, Ford, etc) on G+ turns up car dealerships using Google Plus profiles as businesses. Not pages, Google Plus profiles as in personal pages. This is absolutely the same lack of common sense and willingness to "ask for directions" that has thousands of retailers on Facebook personal profiles rather than the appropriate business pages.

No different than buying a CRM and not utilizing more than 40% of its capabilities or paying $699 a month for a website without SEO services, multi-million dollar establishments continue to fudge it and then wonder why things "don't work" or "provide revenue or ROI". It seems that the more technology and opportunities avail themselves, the faster car dealers are willing to say "we don't have any more budget", "we're not looking to go after every thing we can possibly buy" and the ever-popular "we already are doing a great job using what we use". So things go 'round like they always do: crap in, crap out.

The jury is in on your decision to half-ass things: you're wrong! The rule is go big or go home.

When sales, service and parts staffs are quick to Google the latest part that a customer brings up, right after they check ESPN highlights on their smart phones, why do things stop before the extra click to search for "setting up google plus business pages" and reading a quick particle or, better yet, watching a two-minute video that explains everything to properly establish their presence. Naw, it's better to wait until it's seemingly too late to make a change and your competition that you "beat" now has a more established foothold in the same technology, website or service. A local dealer, after offers of assistance fro multiple companies, apparently had to wait until their Facebook "friend" page had over 2,000 people on it before asking about making a business page. WHY??????????????????

We continue to be an industry filled with ignorance, denial, shortcuts, Band-Aids and excuses. ALL of the information is available if you're willing to ask the right questions and select the right employee, partner or vendor. Yes, there is a lot of misinformation but it's not impossible to weed through it. Recently, a top-OEM endorsed social media company executive informed an audience at one of the auto industry digital marketing events that deleting spam posts from Facebook pages was not possible but that they "scan and report" such occurrences. Yes, there is incorrect information out in the market from what should be reputable companies so always finding the right ways to do things can be a challenge.

So are the absolutely-essential, need-to-have Google Plus Business Pages allowing dealers (and other businesses) to do more, just in half-baked ways? Yes, sure enough. Just like everything else that is not known, understood, new and not managed. Until it is…..

Best Practices: Professional Insight, Powerful Results

November 19, 2011 by Gary May 0
DrivingSales Executive Summit 2011: The Big Bang (And Oh, What Comes Next?)

Wow. What happened last week was amazing. Nearly every session at this year's DrivingSales Executive Summit (DSES) rang the bell. From the opening comments on Sunday to the closing minutes Tuesday, nearly everything seemed to gel with a couple standing ovations to boot. This, ladies and gentlemen, is engagement, learning and a focus on the dealer at its best.

Day one featured returning emcee Charlie Vogelheim introducing DrivingSales' own Jared Hamilton followed Paul Potratz, JD Rucker and Jason Falls as the opening keynotes. Having outside-the-industry, topic-rich speakers has been a hallmark since the opening of the DrivingSales Executive Summit in 2009 and this year simply added to the validity of such influencers.

Day two started with a social media study by Dealer.com's Kevin Root and Matt Murray, then featured Aaron Strout on location-based marketing which presented some still very-new ideas to the crowd of over 400 attendees*. Four sessions of breakouts followed, covering a range of in-the-moment subjects, in addition to the Dealership Best Idea presentations. In between, two powerful events happened: a new Digital Marketing Dilemma "battle" format that had people buzzing into the evening and beyond day three, along with the DSES-exclusive Innovation Cup Vendor presentations. After the cup participants used up their allotted time, all attention was on the evening keynote Gary Vaynerchuk. He stole the show, got the more-than-typically-timid audience leaning forward and received what was described by nearly everyone as a one-of-a-kind, never before seen standing ovation. And a resounding ovation it was, not a "my gosh that was a boring presentation but at least it closed the day" kind of applause with people standing. Gary Vee rocked the house and converted the few not-yet-socially-commited dealerships on the spot. He followed that with a signing for his "The Thank You Economy" book.

Day three opened with Google and closed with the cup. And in between we heard from Zappos' Rob Siefker and what could arguably be the automotive industry's "Big 5" CEOs representing Dealer.com, Cars.com, ADP, DealerTrack and AutoTrader.com talking about what's coming in 2012. Many viewers not only enjoyed the big-company heads, they were comparing notes about who hit the ball the furthest (Mark Bonfigli of Dealer.com provided the second standing -albeit provoked- ovation of DSES).

Even with heads-up prep prior to DSES by the DrivingSales team, the Google session seemed to miss what most of the dealers there wanted to hear including answers to, among other things, Google Places questions. So there is room to improve in 2012 as well as grow. And by all signs, DSES may be getting quite a bit better and bigger in the coming year.

Kudos to those that made the draw in the breakout sessions including Jeff Cryder, Joe Webb, Tracy Myers, Cory Mosley, Marc McGurren, Brian Pasch and Dennis Galbraith.

The most heartfelt appreciation and thanks to Jared Hamilton and the entire unsung DrivingSales Executive Summit team. They put together the finest event for North America's most progressive dealerships out of a passion for what makes the industry tick. It was also a bit of a compliment to many of the DSES speakers as they were also invited to participate across town at the JD Power & Associates Internet Roundtable. You know who you are and the fact that what you contribute makes a difference to the industry. It was a pleasure to spent some incredible time with you at Bellagio over three days in October 2011.

Until next year…be well, be listening, be teaching, be growing and be yourselves!

 

Best Practices: Professional Insight, Powerful Results

*Being as how DSES is the only automotive conference streamed live as it happens, we may not know the total amount of attendees above the 400+ in attendance, but it's easy to say the impact went well beyond the walls of the Bellagio Hotel conference center. Dealers everywhere were affected by the 2011 DSES. DrivingSales and DSTV proved once again that you need to serve dealers in the ways that you are founded on. Education goes everywhere…socially.

October 17, 2011 by Gary May 0
All Of Us In Automotive Need To Be…Less Automotive (At Least Socially)

One of the things that I love about IM@CS is the fluid nature of what we do. In consulting to different businesses (and thankfully contributing to different industries), we are involved in different aspects of attracting, engaging and retaining customers. One thing that is more than evident is the necessity to be more than single-track minded. And frankly, that is being screamed for in Automotive.

So as businesses skew, some forced, more into mainstream consumerism there is a natural shift to social engagement both online and offline. For some, CRM is a well-used tool. email has its proper place, social networking traction is gaining, true sourcing is an every-day activity, analytics are a way of life and e-Newsletters are not static. In fewer cases, reputation management and new technology like QR codes have started to garner true, distinguishing results.

Enter the reward game. Handfuls of dealers have gone into using dealership-exclusive offers within their marketing similar to many attempts made over the years. Except nowadays, there aer monumentally better ways to track and measure the effectiveness. But what are we offering? And how effective a reach could we be benefiting from if we just stopped to think about it?

Put it this way. Answer this: What do at least 25% of your clients do? Right now. Without looking at your CRM, 3×5 cards or notes. Now are you offering them something related to what they want to do away from your dealership? Why do people go to dealerships and dealership websites? Simple: shop, inquire, transact. Nearly nobody, save for the extremely loyal and enthusiasts (which we're all thankful for), wakes up in the morning and says "I'm going to hang out at the local BMW dealership today". I've never heard anyone say "my life will get better if I spend a few days a month at the local Ford store".

Let's say your store is utilizing Foursquare (meaning you've actually claimed your location which is similar to the process with Google Places) and have published your first offer. What is your offer for? 10% off service? A you making the first payment on any new lease? Awesome! You've made the jump and are hopefully tracking the results. How about 10% off the local hot spot's dining or drinks? How about 25% off green fees at the local golf course? How about tickets to a major sporting event (and the ones provided by your OEM don't count)? How about donating to a local charity that your customer chooses so everyone feels great?

Not to say that a discount for your loyal customers is not great. It absolutely is. Reward them and they'll continue to come back. So the dealership perk aside, are you doing something exciting for more of your customers and non-customers? Let's say 65% of the R.O.s created between 10:00a and 3:00p are for women. Do you have a Manicure Monday or Mommy Massages and bring in some popular local businesses that offer those businesses?

Better yet do you deploy cooperative or reciprocal marketing with local businesses so there is a mutual benefit? That seems to be a lost art in today's too-eager-to-grow and too-eager-to-cut environments. Have a (legitimate) Facebook page with at least a couple hundred Likes? Have you done a giveaway yet? It's great to do that as long as you follow Facebook's rules. Do yuo deploy technology that when people are ready to print the incentive/coupon, they must share it first on their Facebook wall? That has much more wide-ranging implications and people that are engaged are many more times likely to do that!

And be creative. No, more creative. No….even more creative! If you take a vacation and your resort offers you a $150 resort credit for using the restaurant and other merchants or a 10% off your next stay, which one are you likely to take?

It's time for all of us in automotive to be….well, less automotive. It's not hard. Yes, it takes some forethought, some work and extra effort to get the word out. But do you want a typical result or an amazing result? Do you want a few more people referring business or would you rather have a lot of local businesses referring business.

You don't need to answer now. Just think about it. After you put down the Bluetooth earpiece that you got free with the smartphone that your stock broker told you about, and turn off your big screen TV with DirecTv service that came with the free HD upgrade and take your car to get the free car wash that you earned with purchases from your local grocery store and finish dining at your kids favorite local restaurant with the free desert that your kids earned months ago with good grades at their school….

Best Practices: Professional Insight, Powerful Results

 

July 22, 2011 by Gary May 0
Making A Laughing Stock Out Of Social “Media”

Being involved in helping build awareness via social networks for dealers over the past three plus years, there has been a lot to see. And wonder about. From using APIs, feeds, republishing other content without attribution, ghost writing, "social" content farms, 50 plus network claims and more, it's a real "Wild Wild West" in what can loosely be called social media.

More often than not, the authentic part of brand building and gaining a following of targeted prospects, customers and partners is overshadowed by the "numbers game". Having not participated in the rat race, a few companies have catered to dealers from a more genuine and pervasive angle. In our case, even in working with some of the most reputable dealers in the US and Canada, our focus hasn't changed.

Just like with traditional or measured media, you can always pull an extra customer or two from outside your PMA/AOI because they saw your ad, lost leader, teaser, direct mail from a purchased list and the like. But the effort usually takes a financial investment, as well as a dedicated staff to take a couple hundred extra shopper calls from 50-200+ miles outside your selling market, that exceeds not only the return but takes un-calculated hours of effort. Again, you can likely sell one, two or even three. But at what cost?

Shiny object syndrome. Your choice: make it part of your business, or do like most dealers do with anything besides a warm body walking into the dealership. Isn't it so much easier when you can just throw hundreds to thousands of dollars at it to have it "done" by someone else, software, a new staff person, an existing staff person not doing their current job effectively or outsource it. Welcome to cardealerville, where more often than not (because there are some dealers and stores that simply kick a**), it's easier to just make it by rather than listen, learn, commit, apply, measure, adjust, remeasure, ask questions and do it forever.

Social networks. Facebook. It's a numbers game. Right? Yes, but only to a degree. While there are ways to grow a true, engaged following from email blasts to events, promotions to ads, signage to signature lines, an overnight success is as close to real and authentic as Simon Cowell keepng his opinion to himself or Donald Trump's hair staying in place without adhesive.

If you can add 2,100 fans in 48 hours and 1,100 of them in 11 hours, during the last few days of the month, claiming to do it with two salespeople walking around a (popular) mall armed only with iPads and their charm, there's a brand new Lexus LFA for sale at my house for $3.95 tax included.

Not to say that it can't be done. For Coca Cola. For United Airlines. For Zappos. For Lady Gaga. For a car dealer? Here's a reality check. The average percentage of people that you can stop, in a mall, during their shopping, fully engage, a get to do something you've asked them to do (as in "Like" a Facebook page) which requires about 2-4 minutes per person considering logging in, going to the page, liking it and logging out, is about 20%. If you're great. So, if you've added over 2,000 Likes, you would need over 10,000 people "walking by" you. Asking to Like a car dealership's Facebook page. At month end. Of a Holiday weekend. In a down economy. Need we go on?

Dealers. Heck, any business that reads our posts. This blog has been, is now, and will always be driven by the passon that our company has to education, improvement, information and moving the industry forward. Not hearsay. Not ego. Not reputation. Not prominence. Not sales (unless you're talking about a sales increase for the businesses reading our blog).

With less than 1% of franchise dealership employees getting a digital education at events, less than 5% participating in any level of OEM or third-party endorsed education, the attraction of paying $100 for 1,000 Facebook Likes can be too easy. Using automation and $50 a month to get thousands of Twitter followers can also be the same kind of aphrodisiac. Zero to hero is usually filled with as much satisfaction as a no-calorie candy bar. It may sound great, but selling high-line cars to a growing "Fan" base from South East Asia or South America is……………..well, let's not go there. Some of the OEMs actually read this. Wouldn't want anyone to get in hot water.

So just enjoy the teeming hordes of Likes you Real Ameican Genius of the Facebook Page. You deserve a nice cold one. Shower, that is.

Best Practices: Professional Insight, Powerful Results.

May 31, 2011 by Gary May 4
Silver Bullets, The New Black And A Bunch Of Sites. It’s A Dealer’s World?

Things are getting better. Right? You hear it everywhere. Even amidst the issues that are having a significant impact on our industry (the switch from economic downturns to Mother Nature's havoc), there's bright talk and a focus on building. Ha! A perfect time for silver bullets…

Yeah, we've heard there's no such thing. But that can't stop the preachers from preaching and the sellers from selling. So last time we went off on "blocking and tackling", now it's "the new black" that we'll pick on. So, what ocurred to you first?

Was it the pitch telling you how many leads you'll get in your zip code (postal code for our friends in the Great Defrosting North)? Or is it the dozens to hundreds of websites you'll get from the latest social media and reputation management offering? Or is it the CRM that sells cars for you?

Purchases are earned by the business. Reputations are managed by the business. Retention is managed by the business. Traffic is earned by the business. No, really. Why do dealers believe that platforms win? Data wins. Releationships win. Granted, if your technoloy is better and you put great information in it, you DO have a better chance to attract and win business. But if the house is one of cards? Fail.

Silver bullets don't exist. Neither do #1 website SEO platforms that don't create their own content! Nobody goes to 50-200 social media sites. You don't. Why do you think others do? Facebook pages don't sell cars. Salespeople can close deals with people who want to buy cars. Granted, if you're not on Facebook, review sites (all 3 to 5 of them that matter), a blog and YouTube, AND your competition is, you are many times more likely to lose sales. Yes.

What is most important about your name, reputation, brand, processes and retention? That you own it with your customers. Too many dealers (95% plus) today still take the ill-advised approach of buying into selling. It doesn't exist. Platforms don't sell. Data and process do! Platforms make it better!

As a company, we love giving recommendations. When do we give them? When dealers ask, when we qualify, when we research, when we understand what their goals are, their processes are, where their failures come from and what things are working well. A certified technician would never just start going through a car, fixing things without knowing what the heck he or she is fixing in the first place. Then they'd likely assess what the required parts, techniques and intended results are. Why buy differently than you provide? It doesn't make sense.

There are companies out there that are raising the bar. All of the time. It's neat to watch the water level rise and see which companies also rise to the occasion and which ones sink. Remember that acting like a lemming makes you a lemming. Core competencies matter. Are your vendors calling you to add services that they've come up with overnight? Are you in a beta that's lasted months…or years?

Part of innovating is falling flat on your face. You wipe off the dirt and keep going. No company or vendor is perfect. There is no such thing as number one for longer than the ad or survey runs. Progress happens at the speed of tomorrow.

If you're building your business and you find that you're falling short because you or someone has identified if, discussed a roadmap, reviewed opportunities and processes and then proceeded with a plan that is talked about regularly, then you're bound to progress soundly.

Remember that you might build some showroom traffic off the big ad with low low prices. It might work better than a direct mail piece. It'll certainly work more than a Facebook ad. And a newspaper ad will still eat the lunch of a Twitter stream full of "I just uploaded a YouTube video of a 2007 fill-in-the-blank" that some inventory company told you is social media because you don't have to do it. But when that person does come on the lot, if the experience is not what's expected…

Shoot the silver bullets, put the new black back with the old black and question anyone selling a "bunch of sites" with…well that's where we'll stop on this post. We think…

Want more? Head to Orlando this Saturday morning and participate in the Automotive Marketing Boot Camp through Monday. Bring your laptop. Bring your mind. Bring your questions. Prepare to learn. Not just attend…

Best Practices: Professional Insight. Powerful Results

April 10, 2011 by Gary May 1
2011 Will Be A Great Year…Even If You Don’t Participate

It's no secret that over the past three years, some pretty forward-thinking information was provided to the automotive industry franchise dealer body. All 24,000 plus of them (not ignoring the independents here, just making a point). Over the coming weeks, all 20,000 of the franchise dealers will get more critically important data. Just like before, it's up to them to participate.

2011 will be a great year. Fewer than last year will make up the bulk of increases in sales, count on it. The most web-versed, socially-minded, communication-skilled and forward-thinking will win. Many of those dealers will win impressively. So the same question bears repeating: why not more? Has the carnage not been great enough? Is there too much money in the coffers still? Or is it that management is still happy sitting on their "duffs" of the bay?

2011 will be a great year. There will be more talent available for dealers to select their next sales, service and parts teams and management from. Efficiency will increase, while hopefully not at the sake of bottom lines. In other words there should be more people working at dealerships unless dealerships ignore the potential increase to their business.

2011 will be a great year. The product lines continue to get better and consumer demand for a wider array of cars (not the same car re-badged) is greater than ever. Floor traffic at the dealers that deserve it will most definitely increase. Savvier dealer marketing and engagement will increase penetration in service departments, expect it. And many dealers will experience true conquest for the very first time because they did it, not the badge.

2011 will be a great year. Technoloy will continue to becon to a larger and larger customer base so those more comfortable with technology will take advantage of that. Chaging interests in Green and alternatives will compel a few more dealers to become as engaged with those movements as their customers. Building dealership brands will become a more heated conversation than building new dealership facilities (no, that won't go away).

So how great of a year will 2011 be for you and your store? Everyone, yes everyone, is betting their bottom dollar — and bottoms — that the numbers will be up. We even believe that will be the case. Remember: it's not what you make, it's what you keep. So if you didn't like what 2010 brought, you may not really be satisfied once 2011 closes it's doors.

2011 will be a great year. Oh by the way, for the ones that will be successful, 2011 has already begun. For those that want to join us, what's stopping you???…

Best Practices: Professional Insight, Powerful Results

December 6, 2010 by Gary May 0
When The River Runs Dry…Pave It!

Retrench! Dig in! Block and tackle! Just wait! Awww bullshit…. More and more today it seems that the chasm between the "doers" and those choosing "planned obsolescence" is growing. You hear a lot of good stories out in the field about who's doing what and which dealers are killing it. Then the numbers come in. Reality check.

So why is it that there are dealers growing market share (the minority) while there are those than seem to want to accept and participate in a challenged market (majority)? With everything facing dealers today, and it's a bleepstorm, it seems that the path of least resistance is the one leading the wrong way. Resources, blogs, data, events/conferences, outside assistance and more, are readily available. And to the point that they're so underused, they're essentially abused.

Have you hit the end of your rope? Down-sized to the point that your store is no-sized? Pushed the factory guy back on allocation to the point that they're giving you 365-day terms just to take cars? Listening to your 20 Group buddies' stories of success and smiling while shrinking in the back of the room? OK, so stop it. If the river is dry…why not pave it? Heck, make it a raceway!

There are no silver bullets but there are a number of effective shortcuts, that get you to where you want to be. No matter what your newspaper sales rep or the online inventory advertising company reps tell you, that's not where the customers are. Sure, they go there after they end up feeling like they can't get a straight deal, attention and common courtesy starting with your website or showroom. Sorry….

Yep, the proverbial question: how do I pave the dry river?

Lead responses: effective, in the shortest possible time. with validation, options and the most engagement that drive the strongest replies, appointments, profit anad retention.

Events: inexpensive, regular, value-based, informative, community-engaging, need-supporting, fund-raising, cooperative and non-self-serving.

Social media: Compelling, revealing, engaging, fun, relevant, contextual, intuitive, brand-building and even a bit giveaway-ish for the "what's in it for me?".

You see the river can be paved fastest when it's filled by things that consumers are looking for. What doesn't pave the rider, or fill your showroom, or get the phone ringing is what's been used for the longest time: lost leaders, false advertising, packing (especially recently), full-page ads, large traditional media spends, bait-and-switch and everything else that you know is despised by consumers (and us really).

Here's a wake up call: no matter how much the river fills with water soon (if you're waiting) or how nicely you can pave it, do things differently. "Old guard" stuff, as nostalgic as it is, is about as good for the auto industry as tainted meat is for McDonald's, faulty engines for Boeing and corrupt processors for Dell. So stop accepting, if not endorsing, it.

Paving the dry river bed takes strategy, commitment, insight and foresight, transparency and a willingness to change the size, shape and location of the sandbox. What do you have to lose? Not as much as you have to gain!!!!

Pave it like you own it….

Best Practices: Professional Insight, Powerful Resutls

November 5, 2010 by Gary May 2
DrivingSales Executive Summit…In A Nutshell

 DrivingSales Executive Summit V2.0 hit Encore (Wynn) in Las Vegas last Monday through Wednesday. A few things: attendance doubled last year’s, the start was absolutely electric and the event finished on such a high it left many attendees literally longing for more and feeling like they needed another day. The DSES crew flat out delivered.

Upon walking into the main Encore conference room at 4:00p, it was packed. Charlie Vogelheim emceed once again with his typical style. Jared Hamilton, founder of DrivingSales.com, did a more-than-typically -fast-paced tirade on where the industry is from both his and an opportunity perspective. It was mesmerizing and for more reasons than the picture of the donkey suspended in mid-air. The foundation was set.

Brian Benstock and Sean Wolfington talked about what Paragon Honda and Tier 10 did together to achieve massive results from integrated marketing. Not “let’s do this offline and see if it works on the web” so-called integration but a rarely-executed integration. The cost would strike most dealers, especially Honda dealers, as a shock today but it was a massive undertaking, shaved Paragon’s costs in what would rank as the “wow that’s great” territory and put them solidly on the map as #1. It was impressive.

Then it was time for Scott Monty of Ford (http://www.twitter.com/ScottMonty). As I’ve had the benefit of seeing a good part of the opening of his presentation before, it was crowd watching time. Simply put, Scott had the room wrapped around his finger. It’s amazing to hear about just part of what he, backed by a rare CEO in Alan Mulally, and the social media and marketing teams do at Ford. Day one’s reception at Piero’s was fantastic, the buzz consistent well into the evening.

Day two kicked off with great anticipation and didn’t disappoint. Jeremiah Owyang (http://www.web-strategist.com/blog) piqued the interest of many in the room with volumes of data as well as practical application. Brian Pasch and Erich Miltsch both hit their separate sessions, SEO and location-based services, with great engagement. Eric unveiled his CarZar application (http://www.thecarzar.com) which was definitely the talk over the rest of the conference. Grant Cardone followed with one of his rousing, impassioned pleased from stage about businesses maintaining an “eat or be eaten” mentality.

Three sessions of breakouts, then lunch, and three more rounds covered the rest of day two’s learning. The Facebook session (Albrecht AG and Lebanon FLM) was insightful but seemed to lack engagement with the audience and didn’t answer the “tough questions”. Rafi Hamid’s Enterprise Management presentation may have been a little much for some of the attendees. Fact is all could have, somewhat to completely, restructured their dealerships just from his insight.

Then it was time for the Dealer and Vendor Innovation Cup. What a great way for dealers to participate in what may change the industry next! These are some of the most innovative folks around, not hampered by other company’s offerings or what vendors don’t provide. Some of the substance was leading edge, others more common place. But the desire to execute, and what it took to continue to push the envelope, that was the compelling “meat and potatoes”. eCarList (http://www.ecarlist.com) and Marc McGurren from Jerry Durant Toyota won. Congratulations.

The one thing that continues to strike me after attending eight years of automotive conferences is this: why do we not connect the dots at the event rather than making the attendees do so themselves after the events. DrivingSales Executive Summit would have been the right place to have a Q&A session that allowed those that wanted the extra insight to get going when they returned to their dealerships later in the week. Note to promoters: breakouts, lunch sessions and other quick after-session times plus post-event webinars and curriculum are perfect for that and the speakers should be required to do their part.

Tuesday closed with another packed reception but I’d say the buzz was higher. Yes, there was even a Ralph Paglia sighting! Lots of connecting, introductions and big conversations (small chat was non-existent). It was fun to have a number of Canadians in the room as things change north of the border. The industry there is also changing rapidly and not having felt as steep of an economic decline as the US did, many retailers there are waking up to incredible opportunities for their dealerships. After hours, Sean Wolfington and Brian Pasch greeted some forty plus to their own reception which went on for another four hours plus.

Wednesday saw Dan Zarrella (http://danzarrella.com) put many on their ears and some looking inquisitively with a wide-ranging but hard-hitting session of insight all relevant to search, social, engagement, measurement and more. The accountability and opportunities dealers can create just from his time on stage would be more than a year of gains. Joel Ristuccia of Babson College brought incredible amounts of insight to the subject of change management in the industry, Dale Pollak did one of always rousing, but very up-to-date, admonitions about how dealers must change now and Jared Hamilton closed the event with John Holt of Cobalt Group on stage. Admittedly I missed that session while in the adjoining hall on phone calls and no tweets.

In closing, with definite room to grow and improve (and some more microphones around the audience for the Q&A session after each keynote), DrivingSales Exeuctive Summit was spot on in only its second generation. There was enough positive feedback to likely venture a guess as to how much the third edition would grow. And maybe room for…….

Congratulations to Jared and the entire DSES team for an impressive event!

October 24, 2010 by Gary May 1