Posts Tagged ‘car sales’

Building Rapport is OUT!

Thursday, March 29th, 2012

The Meet and Greet.  The Needs Assessment.  Getting to know them on the test drive.  Making friends while waiting for figures from the manager.  All of these are associated with the idea that building rapport is the key to selling cars.  Well, building rapport is OUT!  It is no longer a determining factor for many customers when buying a new vehicle.

We all have countless sales stories from our retail days (those of us who’ve done retail at least) of instances where finding a common ground with customers has helped us sell them a car.  It still can go a long way in creating a more comfortable sales experience.  However, I will say it again… “building rapport” is out.

The new focus should be “Fostering Relationships”.  I know many of you are saying “splitting hairs” or “semantics”, but I don’t believe these two phrases mean the same thing.   Building rapport is looking for some mutual understanding or trying to find ways to align yourself with the individual person.  Fostering relationships involves the development of trust before the handshake, during the interaction, and long after the customer leaves the store.

Building rapport happens mostly in person and occasionally on the phone and email.  Fostering relationships is peer to peer.  It involves creating an evidence of honesty in your interactions with other customers.  It relies on developing ways to grow your relationship further.  It carries with it the idea that a relationship should develop after the sale opposed to just prior to the sale.

I will not tell you to do away with the “Where did you go to school?” or “Where do you work? questions.  I won’t ask you to cease the “How do you use your current car?” inquisitions or the “Yeah, my sister lives in that town” scenarios.

Instead, I’d like you to think of ways to engage the customer before you are engaged.  Reviews, testimonials, video bios and more are all ways to start fostering a relationship with customers before first contact.  What is the difference between building rapport in person or fostering a relationship in person?  The former is asking questions, looking for commonalities.  The latter is discussing how you will serve them and continue to earn their business long after the sale.  (Think “new owner clinic discussions” and “loyalty program talks”.)

Put a strategy into place today (whether it is in your service department, your social media calendar, your CRM follow-up, or your post-sale deliverables) that will allow you to truly foster a relationship with this customer.  In the days of multiple mediums to communicate (especially social platforms), it is more important than ever to maximize your connection with your customers.  This connection shouldn’t just be between the customer, the salesperson and their church, but instead, how your entire organization serves the church, the community, and the individual customer with your personal services.

Stop thinking that building rapport is all you need to sell a vehicle in a 2012 world.  You must foster relationships before, during and after, if you truly want to develop ongoing customer satisfaction.  Building rapport is all about completing a short-term action while fostering relationships are about implementing long-term strategies.

Rapport Building

Why the same old questions?

 



Dealership Bugs

Thursday, February 23rd, 2012

Do you have bugs in your dealership? If so, DealerKnows can help exterminate these bad habits.
Starring Joe Webb, Bill Playford, Arnold Tijerina, Tim Hommer and David Hudson.
Written by Joe Webb
Directed by David Hudson



The Phenomenon of Lin(ternet Sales)

Wednesday, February 15th, 2012

The sports world is buzzing because of one player. An underdog of Chinese/Taiwanese descent is lighting up the scoreboard in the NBA and this lightening rod of excitement has consumed a nation. His name is Jeremy Lin of the New York Knicks. He was undrafted. He had been cut from two different teams. He was a fill-in player that wasn’t supposed to get any real playing time. He wasn’t supposed to be any good. Yet, he is turning heads. He has been a marketing wonder for a team, a catalyst for a city, and a role model for a league. How many great talents sit on the bench without ever proving they can succeed in the spotlight?

The powers that be are not always the ones with the keenest eyesight for talent. It is common that the old guard makes the decisions and only look for those stereotypical playmakers when deciding who to elevate into a position of authority. The managers in our dealerships were promoted usually because they reminded their managers a little of themselves. If we keep looking for the same type of players to lead our teams, we’ll never improve our culture. If we keep promoting the same type of players, without ever giving the opportunity to someone who isn’t prototypical, we will never grow as an industry.

How many people may you have passed up giving the chance to prove themselves in managerial spotlights? How many Internet sales managers have sat on your bench, pounding away on the keyboard in their department, without ever considering them for a role in upper management?

You may have a Jeremy Lin on the bench. You might have an Internet sales manager that deserves a little more respect. They might have progressive, forward-thinking ideas or simply a better attitude toward customer interaction. They may be destined for greatness in management, if only given the chance. Their different outlook on the industry may improve the way your dealership connects with their customers. Just because someone has “Internet” in their title does NOT mean it is the only segment of your business they should be in. If anything, their strength in your Internet department makes them a better choice for an open sales management slot.

Don’t stereotype anyone into a role. Don’t keep anyone on the bench because of their philosophies, mental make-up, or job title. We need to be bringing new blood into our front-court management teams. As Jeremy Lin has proven, the person you need the most may be the person you’ve undervalued all along.

Do you have a Jeremy Lin on your bench?



No More No. 2

Tuesday, February 14th, 2012

Back and forth.  Up and down.  Back and forth.  Up and down.  Back and forth goes the salesperson negotiating with the customer.  Up to the sales manager’s desk the salesperson walks and then back down to their desk they go with another price.  Another attempt.  This volley with the customer has become archaic and antiquated.  It is disliked and disgusting.  The days of penciling deals over and over must end.

No more No. 2.  No more pencils.  That strategy is done.  It’s finished.  Someone tell your sales managers.  Break into their desks and steal the pencils and multi-colored Sharpie markers.  The consumer has moved beyond this tired strategy and is ready for new days of selling!  Stop the negotiating with customers and start the educating.

It is time your sales managers and sales people end the rigmarole they’ve used for years and do away with how they’ve penciled deals.  Instead, your managers and salespeople must learn how to overcome objections and negotiate through education.  The consumers are coming in with very specific expectations and very detailed research.  Why put them through the constant back and forth?  Instead, you must utilize the online resources and data at your (and the customer’s) disposal to validate the price you charge.

Dedicate yourself to understanding what all is available to your consumers online and begin using the third-party data as evidence to defend the price you are charging.  I’m not advocating a one-price solution here.  Negotiation is still allowed and going for gross is still acceptable, but be prepared to answer the “WHY?” question when it arises with real data.

We have now entered the era of Validation Selling.  (Yes, I’m coining a new term here). We must prove the reason we price our vehicles by utilizing the data they already have.

Moreover, we must eliminate the tactic of writing down our offer on a half-blank sheet of paper with markers and pens and begin presenting our figures on a fully-printed out pricing proposal.  All figures must be entered into the CRM and printed out as if it were an official contract.  This must happen from the very first offer.  Having it printed and available in a clean format lends credence to the numbers your sales team present.  Certainly more validity than a four-square with $24,995 scribbled across it in thick blue ink.

Get on board with Validation Selling.  Throw out any previously-held beliefs that the customer still enjoys the ‘back and forth, up and down, crossed-off price here and slightly lower price penciled there’ strategies that you’ve grown accustomed to.  Educate yourself and then educate the customer with online, third-party data – or be prepared to overcome it.  You will sell more vehicles and build a quality customer sales experience at the same time.

No More No. 2
This is how to sell vehicles in 2012 and beyond.  Education over Negotiation.  DealerKnows are the Validation Selling Specialists.  Let us explain it to you.



How to Catch an Internet Customer

Friday, January 20th, 2012

An Internet shopper is caught off-guard when he attempts to push for additional discounts after agreeing to an Internet price with the car dealership’s Internet Manager. This comedic video shows what would happen if Dateline NBC’s Chris Hanson shows up and puts a halt to the customer’s efforts.

Starring:
Joe Webb
Arnold Tijerina
Bill Playford
David Hudson
Written by Joe Webb
Directed by David Hudson



The No-Need Deposition

Sunday, January 1st, 2012

I was speaking to friends at a New Year’s Eve party who had recently purchased a new car. I asked about their experience. They said it was “good”… just as they had expected. They had researched the vehicle online (OEM, Edmunds, KBB and finally the dealership site) before heading into the store. Everything had gone according to plan. I asked if they left the dealership an online review and they said “Yes. Three stars.”

Why only three?” I asked.

Then they told me how the only reason they gave three stars was because the salesperson kept trying to make them feel bad after the sale.

“Feel bad? After?” I asked. It turns out their salesperson kept saying over and over “My manager is really upset at me for selling the car this low.”

“My manager is pretty pissed off he has to let for of this car for the price you got online.” ETC. Etc.

We’ve all heard this before (and if you’ve been doing this for a while, you may have even had a manager tell you to say something similar to a customer.) Allow me to say that, in today’s world, saying these unnecessary statements AFTER the deal is made is only begging for negative reviews.

After hearing this (and laughing a little), I asked myself, ”Why?” Why does this still go on? Why did it go on in the first place? I’m sure, in all of the sales I’ve made and customers I’ve closed, I’ve even said this to a customer before. Why would anyone do this? I’ve never heard of a customer relenting and saying – “Okay, then just raise the price $400 more. I don’t want them feeling bad.” Or “You shouldn’t get in trouble for it. How about we add on a few hundred more just in case.” NO. That’s insane.

As a manager, if you accept a deal… live with it. Urge your salespeople to deliver top-notch customer service after the sale and hope for returning service department traffic. Or don’t accept it. You aren’t a guilt-trip artist. You are a sales manager. It doesn’t work anyway and you should recognize that it doesn’t do any good.

If you tell the customer this to cover up the fact that you are gouging them in the wallet, then why mention anything? It is akin to having a royal flush in poker on the draw and then immediately saying “Wow. I’ve got nothing. What a terrible hand of cards. I hope you folks don’t take advantage of my miserable hand here.” NO. That’s stupid.

If you are a salesperson and this is a tactic you’ve tried, ask yourself what good it could possibly do. There are several phrases that we are accustomed to saying or hearing that are No-Need statements. There simply is no-need to say them so why say them at all. If you know of any other “No-Need” statements, I’d love to hear them.



Unique Vehicle Descriptions

Monday, October 17th, 2011

The unlikely event when a customer chooses to purchase a vehicle based on the mundane, unnecessary descriptions of features that the vehicle is listed with online.
Debuted at the 11th Digital Dealer Conference – during the session – Merchandizzle
Starring:
Joe Webb
Arnold Tijerina
Bill Playford
Tim Hommer
Written and Produced by:
Joe Webb
Directed by:
David Hudson



Guy Internet – A Trainer to Fall in Love With

Thursday, May 5th, 2011

Are you getting what you need from your current Internet training? Guy Internet and his Drive Shaft team will blow your mind with results. (An obvious spoof at another ill-conceived and failed training program. Just more car sales comedy from Joe Webb.



Car Sales Comedian from the South

Saturday, January 15th, 2011

Buford Beauregard is a former car-selling superstar turned acclaimed stand-up comedian from the south. Buford sells out trailer parks nationwide with his comedic act about automotive internet sales and is known for his catchphrases “Ain’t she a beaut!” and “…you might not be an e-Dealer.”

*It is well known that he is not related to Joe Webb, but does often use Joe as his opening act. Likely, based on the accent and hairstyle, Buford originates from either Alabama, Arkansas, or Mississippi. He cannot recall. But what he does know is automotive sales and digital marketing tactics.



The (De?)Evolution of the Internet Sales Manager

Monday, November 1st, 2010

Joe Webb and Bill Playford of DealerKnows Consulting share a (comedic) study of how the automotive Internet Sales Manager’s job responsibility has grown to be more than one can handle on their own.
Another funny “car guy” comedy creation from Joe Webb.
Starring Bill Playford as the ISM Joe Webb as the GM
Written by Joe Webb
Directed by Dave Hudson of D. Hudson Productions