Posts Tagged ‘“Dealer Knows”’

Don’t Suffer from Analysis Paralysis

Saturday, August 7th, 2010

Any Internet professional that is worth their salt actively tracks the important metrics making their dealerships tick.  We look at the numbers and make little adjustments to the ways we do business, the technology we employ, and the people responsible.  These tweaks help grow your business.  However, there are times when you need to separate yourself from the statistics of the day and look at the big picture.

By now, you’ve been monitoring the performance of your store for the past several years.  With the abundance of internet initiatives sweeping through dealerships, the amount of trackable figures has risen and risen.  My good friend, Gilbert Chavez – Director of Operations for Automotive Avenues – always says

“The best thing about the Internet is that it’s quantifiable.  The worst thing about the internet is that it’s quantifiable.”

Basically, that means dealers have been given the ability, for the first time, to truly track the results from their advertising spends and their performance growth.   However, with so many new metrics that can be tracked (click-thrus, time on site, conversion ratios, geo-targeting keyword searches, social media R.O.E., etc), the job of the dealer has become more difficult.  More dedicated to numbers than ever.   So much so, that you may drive yourself a little batty.

If you’ve witnessed constant growth through your internet initiatives and you are doing things right, you may have hit a bit of a plateau.  Your metrics eventually level off and then seesaw a little up and a little down every month.  I beg of you… don’t suffer from analysis paralysis.  Not that a strong focus can’t get every leveled-off metric to increase slightly, but don’t dedicate all of your time to one measurement that has come to a stand-still.  Turn your attention to the end goal: A happy customer. 

Metrics can’t always measure the happiness of a customer (despite CSI scores and dealership ratings).  Trust your gut, pull your eyes away from the teeter-tottering, roller-coaster ride of performance metrics (if just for a little while) and focus on some basic salesmanship and customer service training.

This way, you won’t have a coronary every time one of your numbers dips a fraction.  You’ll be too focused on the good of the store by measuring the smiles on the faces.  Analysis paralysis can cause blindness to what is truly important:  Your customers.



The Dating Game

Wednesday, May 26th, 2010

Here is my newest (somewhat) comedic video, The Dating Game. Created for the Lead to Appointment Show session at the 8th Digital Dealer Conference, it details how dealerships must put their best foot forward when managing a customer’s expectations before visiting instead of confirming their beliefs that they will be meeting with old school car folks.



How to Deconstruct Your Leads

Sunday, May 23rd, 2010

When a lead arrives in your inbox, do you quickly send out a response based on the type of vehicle they inquired about? If so, you may be going about it all wrong. While I agree that time is of the essence, the quality of response far outweighs the speed of the response. Why? If five local dealers send 1 minute auto-responses and you were to get back to the same prospect 20 minutes later, who sits atop their inbox when they open it up? You. The benefit? Many people read their emails from the top down. The first returned email is not always the first to be read.

That being said, take your time and follow these steps.

1. Determine (if possible, don’t assume) if it is a man or woman emailing and prepare yourself accordingly before a call or email.

2. What time did they submit their lead? Are they night owls? You should have both follow up emails and calls scheduled 23/24 hours after their initial inquiry (though those are not your first contacts).

3. Does their email address give anything away to where they work? Maybe you’ve sold someone from their office.

4. Does their location assist you in personalizing your email response? You may know someone in their area or have attended a local school yourself.

5. Google their name – find out everything you can about them. (It is time to do a little spying.)

6. Try to find their accounts on LinkedIn, Facebook, Twitter, MySpace, and Spokeo.

Your goal is to find out as much about them – their interests, their likes, where they were schooled, where they work and live – as “digitally possible”. You must use these findings to build rapport with your prospect and find some common ground.

Internet Managers do not have the luxury of sitting in front of these leads unless you are employing video chat at your dealership – which I had done with great results. If not, use the digital networking sites and the clues they leave on their leads to offer them more than a price, but a friendly, professional guide through their car-buying process.

While it seems like a lot to do to each lead, you can legitimately accomplish the tasks in 5 minutes. It is well worth the extra time you will spend. The personalization of your response will weigh heavily on whether they ever walk into your showroom.



The Importance of Being Earnest

Thursday, December 24th, 2009
Joe Webb's Automotive Digest blog - The Importance of Being Earnest

Joe Webb's Automotive Digest blog - The Importance of Being Earnest

Dealers — be truthful to your Internet customers. There is a dichotomy in the business development centers and Internet departments of our stores. Many are using their Internet departments to flood the floors and do whatever it takes to bring the prospect from lead to appointment by any means necessary. Others are thinking beyond the sale and creating an entirely new customer-centric experience – based in fact, truth, and value.

This is the Internet age
At this point in the evolution of our dealerships, everyone has an individual or team handling their Internet leads. However, some approach internet leads much the same way they’ve been taught to lure in a phone up. Ask questions, overcome objections and set appointments. We’ve all heard our managers say “Get ‘em in. Get ‘em in. Get ‘em in.”

Way back when…
In the digital age, however, we cannot simply stand by the policies of the past and get them into the dealership at any cost. Too many old pros relied on shadowing the truth to reach their end goal of selling a car and they’ve passed this belief onto our internet teams. With the over-researched shoppers of today, these overused practices of yesteryear are a detriment. Yet, mystery shop your competition and you will still see them mislead and misrepresent the truth to achieve their goal of setting an appointment online.

Do what’s right.
Follow in the footsteps of those dealers that are upfront about pricing and inventory. Unfortunately, I’ve seen dealers still doing the “destination bump” to their internet customers as recently as a few weeks ago. I knew a dealer didn’t have a vehicle in-stock yet still tell me they did. These poor practices continue to negatively affect the entire reputation of our industry. So for your sake, tell the truth to your internet shoppers. Not only are they far too researched to fall for the deceit, but your reputation and trust is destroyed when they catch you in a lie. It damages the way we are all viewed in the industry.

Be upfront in the information you provide your customers and you will see a growth in your sales and CSI. It pays to be earnest.



The Not Good Interview

Tuesday, December 8th, 2009

A car sales manager interviews a potential employee using only closed ended questions – with hilarious results. Written by Joe Webb and Performed by Joe Webb and Dave Hudson of D Hudson Productions in Chicago, The Not Good Interview details the importance of knowing how auto dealers should interview and what questions (open ended and closed ended) to use to find the right candidate. Also known as the “Jez” video.



First Day on the Job

Monday, November 9th, 2009


The First Day on the Job highlights the horrible orientation practices followed by automotive dealers by comedically detailing a “day in the life” of a new hire at an auto dealership. Finding strong candidates for our automotive showrooms and BDCs continue to be an issue that we must address.
Starring Joe Webb, Tim and Tammy Jennings, Joe David, and the best filmmaker and film editor in Chicago, David Hudson of D Hudson Productions.
Presented at the 7th Digital Dealer Conference in Joe Webb’s presentation Selection, Hiring, Orientation and Training for the Internet Department.



The Genius of Chili’s

Saturday, November 7th, 2009

Far too many ideas seem like good ideas after a frozen margarita with a Coors Light chaser. However, I am pleasantly surprised to find myself struck with enlightenment as I sit bar side at a Chili’s. I am out to dinner alone after delivering a successful on-site training for a dealer client. As any consultant will tell you, these dinners on the road are commonplace and very little changes from city to city.

When across the bar does my curious eyes spot a sales process secretly displayed for the bartender at this Chili’s establishment. Within moment’s I arose from my stool to see what was the matter. I was incredibly pleased to see a list of steps to follow for this bartender that closely resembles our very own road to the sale. The Chili’s Steps to the Upsell, so to speak.

I’ve attached this picture so you can follow along as we compare proven best practices. I have made it easier for you by spelling out each step they’ve provided to their employees below.
Chili's Steps to the Upsell
Chili’s: The following is the minimum expectation for every bartender. If they cannot execute these, then they should not be responsible for driving our most profitable position in the restaurant.
Joe’s: This is what we expect from you as a sales representative. If you cannot proudly, competently, perform these tasks and follow these steps after we’ve trained you, you may want to consider another line of work.
Summary: You don’t have to go home, but you can’t stay here.
Chili’s:
1. Greeting every bar guest with “Welcome to Chili’s, my name is ——, I’ll be taking great care of you today and your name is….?
Joe’s:
1. Every customer is greeted, preferably on the lot, (at the very least on the showroom floor) before they reach a manager, with “Welcome to ABC Motors, my name is —–, and you are…? Are you here for anyone in particular? No? I will be happy to assist you and answer all of your questions.
Summary: The best pick-up line in the world is still your name, asking for theirs, and asking a simple question.
Chili’s:
2. “Let me tell you about a few great happy hour specials we have”, or weekends “Let me tell you get you started with our Presidente Margarita or ice cold draft.” (Yes, theirs is grammatically incorrect, or (sic) can be said, but nonetheless a similar practice would be
2. Joe’s:
“Allow me to tell you about our amazing new vehicle incentives” or, used “Let me tell you what I feel are some of the hidden gems and best buys on our lot.”
Summary: They’ll never like it if they don’t try it. Make sure to introduce them to your specials.
Chili’s:
3. “Can I get you started with ______ or _______.” Being suggestive with appetizers choose their favorite and let guests know why it is their favorite.
Joe’s:
“I personally believe this vehicle is likely the best fit for you and your family because it is both ______ and ________, both features/needs you said were important to you on your next vehicle.”
Summary: I told you that you were going to enjoy it.
Chili’s:
4. “Check down after every item is rung up, no “I will get it in a minute.”
Joe’s:
4. (If I am reading this correctly) Answer and address every question they have immediately so as to overcome any potential objection in the future and then confirm it is answered.
Summary: Don’t let problems linger or questions go unanswered as it looks as if you are avoiding the subject or not caring about their needs.
Chili’s:
5. Engaging lounge area tables even when there is a lounge server working.
Joe’s:
5. If a customer is walking around on the lot or showroom, whether you are aware if someone is assisting them or not, make sure to approach them and ensure that someone is working with them and they are having their questions answered/expectations met.
Summary: Engage every lone/abandoned customer regardless of the situation to let them know someone is there is assist them at all times.
Chili’s:
6. Running bar beverages at all times when not engaging bar top guests.
Joe’s:
6. If you don’t have a customer, you should be either out on the lot familiarizing yourself with vehicles, looking to assist other managers/guests/salespeople, or looking to follow-up with active/past customers.
Summary: No coffee clutching. This is work. If you want “me time”, stay at home. When you are on the lot, you are there to produce and be productive.
Chili’s:
7. Coaching team members on up-selling beverages that come to the bar screen.
Joe’s:
7. Listen to your coworkers with their customers. If you can offer any guidance after the fact, constructive criticism and helpful hints should be widely accepted among the staff.
Summary: Role-playing will help you improve consistently.
Chili’s:
8. Energetic, friendly, and sociable.
Joe’s”
8. No other way to say it.
Chili’s:
9. Constructive with free time
Joe’s:
9. Get busy. There is ALWAYS something you can be doing to improve yourself and make money.
Summary: In all aspects, Chili’s has it right. And yes, in the picture below, that is a margarita. I did partake in one. After all, you have to reward a good salesperson.
The Chili's Road to the Sale



Switch With Me

Wednesday, October 7th, 2009



Candid Camera

Tuesday, September 15th, 2009

I’m a voyeur. I spend time, when I have it, looking at other dealers’ inventory. I review their web sites and peer into the window of their online dealership. Sometimes I even get excited when I see a dealer breaking the mold and taking online inventory pictures to the next level. It’s a sickness, I know, but I must do it.

While I am proud of my dealership’s presentation of our vehicles, I am always striving to get better. So the question arises… how do you get better? How do you make your vehicles stand out compared to the competition? I’ve attended Cars.com trainings, AutoTrader seminars, KBB presentations, and the lot. All offered valuable information and I’ve adopted at least one idea or more from each session I’ve attended.
I look at pages and pages of used cars and trucks. Listing after listing of the good, the bad, and the ugly scroll across my screen. Now and then, I find something amazing. Since I am a spying deviant, I may even steal their ideas. It is then I ask myself, “I wonder if they do it by themselves or if they have been blessed with the best picture-taking vendor on the planet?” Inevitably, when I get the dealer on the phone, I learn it is all them.

The one constant that began standing out when I made these calls is that the dealerships that do it best maintained in-house control of their pictures. Now, this is just what I have found. I understand there are companies such as Dealer Specialties, CarTHINK, and Dealer Source that provide excellent service to dealerships. Some of these franchises share amazing relationships with their respective dealers and have a seamless process to put the best product online. I do find, though, that this is not always the case for everyone. Just join a networking forum like automotivedigitalmarketing.com and you will hear pleas from the top Internet sales professionals begging to have more control over their pictures. After all, the presentation of a dealer’s inventory online has a direct impact on their bottom line, not the vendors. Mediocre pics don’t much affect the vendor taking the pictures unless their feet are being held to the fire to increase quality and productivity. These requests to vendors apparently don’t always go fulfilled.

When peeking into the online window of another dealership’s inventory, I ask myself:

How do they position their used vehicles?

What is the quality of their pictures?

How many of each do they take?

Is all of the information of the vehicle’s features and options listed?

Do they have engaging comments written about the vehicle that grab your attention and tell a story?

Are there pictures of their new vehicles?

Are they offering a video of the vehicle?

Do they provide a 360-degree rotation of the interior or exterior with color swatches?

Does the listing page offer similar, comparable vehicles to consider?

A reputable vendor in the area offering its services for our inventory pictures recently contacted me. Now, for those of you who know me, I am pretty protective over how I run my dealer’s BDC and Internet department. I fight for what I believe works. In my dealership, I handle everything in-house. It doesn’t work for everyone, but it does for me. Don’t get me wrong. Without a strong online inventory management tool, we’d be toast, but we manage our processes well.
I am lucky to be located directly across the street from a high school. Every year, we hire three of their students. They are our online inventory specialists (OIS). Since this is a slightly more affluent area than some, the school offers photography. The students we choose (essentially from a referral program from the last OIS) must be high-honor roll students, have taken photography and also creative writing classes. A clean driving record is also imperative. They are paid the same as if they were working at the local grocery or video store, but the responsibility is far greater. And their position, I’d like to believe, is more emotionally rewarding as well. It has to be cool to say, “Yeah, I’ve got to go drive and take pictures of that Mustang convertible on the rack over there.”

Opposed to a vendor that spends 10 or so hours every week using our lot to take pictures, the OIS students work roughly 45 hours a week collectively and provide my department so much more support.
They do not charge by the number of pictures like some vendors do, so 20 pics are mandatory. Unlimited pictures can be taken, though, if told to do so. That’s control.
Since the OIS is taking creative writing, they personally write captions/comments for every used vehicle.
They take all pictures needed for our web site whether it be an event that we are promoting or even pics of new sales representatives.
They do Photoshop work on whatever new mail campaign or e-blast we dream up. (You’d be shocked how technologically advanced high school students are. They even blow me away. Sometimes they even handle IT problems!)
The OIS generates, prints, and distributes all letters for the sales department out of the CRM (as well as handles the printing and stuffing of mail campaigns).
Lastly, but just as important, they assist me with the mystery shopping, gathering, and analyzing of all competitive pricing from local dealers.

Best of all, I have total control of their productivity and the final product with no worrying about accountability. This works extremely well for our dealership, but that is because we have a team in place to manage them. They work among my entire BDC and Internet team and contribute to the daily activities because they are one of us. I believe this is the perfect scenario for my dealership.

Even with my preferred set-up, the vendor did push and push to talk about its “streamlined process.” (Have they ever tried to find all the keys needed for pics in an inventory of 200 used cars? Not easy and never quick. It is a process that could only be streamlined at Utopia Motors on the corner of Fifth and Heaven.)

My owner, like every owner, needed to look at the bottom line. He couldn’t base a decision on quality and productivity, but could on dollars and cents. So I created a simple savings analysis comparing the fee of the potential vendor and its own inventory management tool versus the cost of my online inventory specialists and our online inventory management tool. For privacy reasons, I did have to bury some numbers for privacy reasons, but will gladly share the true savings formula and worksheet. If you ask, I will gladly shoot over a template of this to anyone who wants it.

If you have the ability and the team to do your pictures in-house, even if you don’t have the capacity to bring aboard brilliant, little, hard-working high school kids, you must, in good conscience, do a comparison between both alternatives and see what makes the most financial sense. I can tell you, though, how good it makes me feel and how much credibility it gives our dealership that we do offer this program to students when I’m speaking to members of the community at local Chambers of Commerce meetings.

After showing this analysis to my owner, I was able not only to retain my online inventory specialists, but he allowed me to buy them a ritzy camera. We are also currently building them their (our) very own studio. How’s that for a little snooping?

Controlling your pictures in-house will not work for everyone. As a matter of fact, I still learn about the newest and best technologies and trends from dealers that pay quality, third-party vendors. (Handling it in-house does give me the opportunity to experiment more. Also, third-party vendors don’t refer high school students to purchase vehicles either.) My way offers our dealership more control, more support in other departments, and, I believe, a higher quality online presentation. As the chart supports, it can benefit to be a dealer’s “picture-peeping Tom.”



Act As If (You Own the Joint)

Tuesday, September 15th, 2009

A great sales manager and friend of mine always said, “It’s all about perception.” How the Internet shopper perceives you and your role in the store will affect whether they visit your dealership or not.

A title is important. While many dealerships are hesitant to throw around manager titles, it is imperative the individuals in the Internet department refer to themselves as Internet sales managers (ISM). Whether or not an employee has been officially given the title or not, they need to communicate with the automotive Internet users (AIU – a new term for Internet shoppers I picked up at a seminar) as a person with manager status.

Anyone who has sold cars knows that the position of manager carries with it the air of authority. Customers often want to work directly with a manager. It makes them feel more important as if they are dealing with a true decision-maker for the store. I often laugh at this because it is quite possibly the worst way to buy a car. I tell friends and family that, when shopping for a new vehicle, always try to work with the person who seems the most new to the business. Those people care more about getting another unit sold rather than focusing on profit. On the other side of the spectrum, a manager’s main focus is on profit. A person is promoted to manager when they are successful at selling consistently at high gross. Why a customer wants to immediately work with the person (manager) who is most adept at making maximum profit, I’ll never know.

The automotive Internet user is different. As I’ve said in countless past articles, the AIU feels they are entitled to better care than that offered to them by an everyday salesperson. They need to feel as if they are dealing with someone who has the power to make significant decisions regarding price and payment. The AIU wants to know they are talking to a manager. If your Internet employees have the official title of “Internet sales consultant”, “Internet sales coordinator” or any variation in between, encourage them to refer to themselves as “manager” in all e-mail, phone, and face-to-face communications with the AIU. While the role and responsibility for your employee won’t change, the perception of the customer and the mindset of the employee will.

When I began in automotive sales, my title was sales consultant. In a perfect world, our sales staff would consult the customer, but today they act more like sales clerks. However, I encourage my sales staff to stretch the limitations of their titles. ‘Sales associate’ holds no weight with a customer. ‘Sales professional’ does, though, as does ‘certified sales professional’ or ‘senior certified sales and leasing specialist’. Since roughly 90 percent of customers are shopping the Internet prior to visiting to dealership, I wouldn’t even mind if sales consultants referred to themselves as ‘Internet specialists’ (provided they did know how to navigate the web and were familiar with the popular automotive sites). It allows the customers to believe they are dealing with an individual who has attained a higher designation from the dealership, and therefore is more important.

In my Internet department, however, I prefer my Internet sales coordinators to refer to themselves as ‘Internet sales managers’. The AIU doesn’t want to think just anyone is responding to their e-mails. They want someone with clout to handle their transaction because they are special. A little hint for those who don’t know: All Internet shoppers believe they are special. That is why, when they show up unannounced, you are expected to recall their name, their vehicle of interest, and all communication you’ve shared. Even though they need to carry the information into the store with them inside a manila folder tucked under their arm, you should know who they are. It is not like you have 250 others you are conversing with. They are the special ones. (Notice any sarcasm there?) The truth is, though, if they are in the store at that very moment, you should treat them as if they are the most important. The title of manager will carry with it a little more authority, allowing you to stand your ground on topics such as price, payment, and trade as well as make the customers feel they are more important than the average walk-in.

Working with an AIU is a little like the early stages of dating. If you present yourself as a servant/lower-class citizen to your potential girlfriend or boyfriend, it’s over before it begins. Men and women want to be with someone that they look up to and are willing to fight for. The same holds true for car shoppers. No consumers look up to sales clerks. People want to interact with their equals. Referring to yourself as a manager to a customer (provided you act accordingly) makes you an equal.

If you are an owner or GM, allow your staff to present themselves with a title of authority. Let them put it on their business cards if they ask. The pay plan dictates their pay, not their business cards, so you have nothing to worry about.

If you are an Internet sales specialist or a similarly titled position, just go ahead and try using a manager title in your e-mail signature. You will begin receiving more favorable responses. Some of these responses may actually ask more detailed questions, requiring decisions out of your pay grade. That’s fine. It opens the door to building credibility and rapport with the AIU and the medium of e-mail always gives you time to find out the answer from the powers that be.

Simply having the title of manager alone won’t even the playing field with your customers. You must act as if you are a manager. You must be as responsible and professional as your management staff. You must be courteous and respectful to the AIU’s wishes. You must position yourself as a customer’s solution.

It is not the title that makes the manager, but the actions. Even if you are not, act as if you are in charge. Act as if you have been doing this for 100 years and you are the best at it. Act as if you are the only person that can help them through their shopping ordeal. If customers perceive you are a person of power and influence in the dealership, they will have confidence in you and everything you say. If this newfound confidence breeds more sales, act as if you own the joint.