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A SPECIAL ISSUE NADA SPECIAL ISSUE NADA SPECIAL ISSUE NADA SPECIAL ISSUE NADA SPECIA




                                                                                     .biz




              Earnhardt.com                                              Schomp.com
             ParagonCars.com                                           DickHannah.com
             HerbChambers.com                                         RedMcCombs.com
             HouseofCourtesy.com                                    DaveSmithMotors.com
                      Tasca.com                                     Sheehy.com
  January 2005
   756 South 1st Street                               PRSRT STD
   Suite 202                                         US POSTAGE
   Louisville, KY 40202                                  PAID
                                                    LOUISVILLE KY
                                                    PERMIT NO 879




   a division of Systems Marketing, Inc.   www.autosuccess.biz
• BZ Results 3124
                                   BZ Results is a digital marketing & training company that has a great new system that helps dealers sell & service more vehicles proÞtably.
        TOP 10                     BZ’s clients include United Auto Group, Group 1, Herb Chambers, Red McCombs, Sheehy, Paul Miller, Larry Miller, Courtesy Chevrolet,
   BEST OF THE BEST                Tasca and others. BZ dealers are selling 100-700 incremental units a month from this revolutionary new system. To get a free 180 second
       NADA                        tour of this new system visit: BZResults.com

        2005
                                                                                                   • J&L Marketing 4731
Established in 1991, J&L Marketing is without equal when comparing automotive direct marketing companies. Their philosophy is simple - there are only three ways to
grow your dealership: 1) Increase your number of customers, 2) Increase your average gross per deal and 3) Increase the frequency of repurchase – get more residual
value out of each customer. With a customer base of over 6,000 dealers and managers nationwide their ground-breaking J&L Marketing Growth Strategy™ is producing
staggering results and has eliminated the number one challenge for most dealerships - trafÞc.



                                                                                                                                   • Dealix 5415
In 2005, Dealix is expanding their quality and service initiatives, continuing to help dealers sell more cars, more efÞciently. Their combined efforts with The Cobalt Group will
bring an even more dynamic product to their customers to increase sales and help improve dealership efÞciencies. Dealix has been rated the number one lead provider in
studies by J.D. Power and the Dotcominsider. Their goal is to continue to win over customers with high quality leads and superior service. The Dealix Quality Team enhanced
their lead scrubbing and call veriÞcation technologies to ensure customers receive leads only from the most serious car buyers. Dealix is committed to provide even better
one-on-one service and has expanded it’s Lead Acquisition Network, adding hundreds more of the best auto sites on the web.



                                                                                                                       • Autobase 4819
Autobase, Inc. has provided the automotive retail market with premier customer relationship management (CRM) solutions since 1988. Autobase Sales Center™, the ßagship
of the Autobase suite, is now in its sixth generation of development, boasting 17 years of successful implementation in dealerships of every demographic. Over 15,000 auto
professionals go to work every day and use Sales Center™ to sell more cars. Newly-released and already manufacturer-endorsed for it’s innovative approach to business
development, the Autobase Loyalty Center™ is the most recent addition to their suite of solutions. Their rich history, strong reputation, comprehensive industry knowledge,
and pioneering work in feature-rich CRM and BDC technology have long impacted the bottom line for proactive dealers nationwide.



                                                                                   • TimeHighway.com 4430
TimeHighway.com is the premier, on-line solution for service department appointment scheduling, allowing dealership customers to make a conÞrmed service appointment
24 hours a day, seven days a week. BeneÞts to the dealership include: replacing telephone-based scheduling with Internet technology that enhances the effectiveness
and customer satisfaction of the dealership, reduces in-bound telephone calls and drives trafÞc to the dealer’s website. Customers prefer the ease and convenience of
the Internet to do their banking, shopping, make travel arrangements, etc. and now with TimeHighway.com, they can schedule their service appointments online, no more
waiting on hold to make an appointment.


                                                                             • The Joe Verde Group 931
JOE VERDE • Your Training Partner Since 1985, the Joe Verde Group has been helping dealerships improve their sales and gross by providing the best sales and sales
management training in the automobile business. Joe Verde’s up-to-date sales training helps dealerships implement effective sales training that works to build a solid sales
team and long term, satisÞed customer base. Joe’s management training addresses today’s challenges and tomorrow’s needs by helping dealers build top performing
management teams. The bottom line… the Joe Verde Group provides a dealership with clear-cut solutions that boost their sales, proÞts and customer satisfaction.



                                                                                                          • ProResponse 3058
ProResponse, Inc. CRM with proven results, represents nearly 300 dealers nationwide. Their services are geared toward total showroom control with ProScan® Touch
Screen driver’s license reader, prospect tracking (phone, ßoor and Internet), and sold customer follow-up for Þve years. ProResponse is a service company assisting dealers
each day with database management, data cleansing, data mining, and effective target marketing. They are e-mail enabled and FTC compliant, running prospects and
customers against the “Do Not Call” list daily. They provide on-site training and monthly service visits “In Your Dealership”. Their programs are also written in Spanish and
French. They seamlessly integrate with Who’s Calling, Call Source, Call Bright, Call Command, EPencil and many others.


                                                          • American Auto Exchange 5755
Founded in 2001, American Auto Exchange is revolutionizing the way dealers conduct business by Þnally assembling all the pieces necessary to running a streamlined, high
tech used car operation. Through the use of the aaXchange tools, dealers are dramatically improving the way they operate their used car departments.
American Auto Exchange works with thousands of dealerships across the United States who have chosen to utilize the American Auto Exchange Real Time Vehicle Trading
Network, the aaXchange proprietary Vehicle Management System (VMS) and a new integrated intelligent vehicle launch product with Ebay.




                                                           • Ultimate Warranty Corp. 1411
Ultimate Warranty Corp. provides leading-edge service contracts and ancillary F&I products. More than 7,000 dealers have recognized the advantages and have beneÞted
from selling Ultimate Warranty Corp. products. Ultimate’s package has proven that it can propel its client base to the front of the pack in terms of quality, proÞtability,
compliance, customer retention, and CSI. Stop by the booth, and Ultimate Warranty Corp.can show you how they are making a great thing even better in 2005. Ultimate
Warranty Corp. has some great new things to offer to its clients at no additional cost. Ultimate Warranty can truly show you how to do more with less.




                                                                        • The WolÞngton Group 527
The WolÞngton Group produces high performance sales events on behalf of new car dealerships across the country, with no outsourcing or subcontractors. The Þrm maintains long
term relationships with dealerships, providing marketing territories and strategies that help The WolÞngton Group dealers outperform their markets. A WolÞngton Group produced
event brings an atmosphere of fun and excitement to the dealership, creating a great buying experience for the consumer and a positive selling experience for the dealer’s sales team.
Harry WolÞngton, President, provides his insight and experience to auto dealerships through his six sales teams. “Being a small company, we are more focused on each individual
event. Our dealers get an attention to detail from our staff paralleled by none.” It’s this philosophy that has earned The WolÞngton Group a spot in this year’s “Best of the Best”
NADA 2005
     TOP 10 BEST OF THE BEST

                                S
                                N
                                A
                                E
                                L
                                R
                                O
                                W
                                E
                                N    E
                                         ✴
Ernest N. Morial Convention Center       S
 BC D E F G H
                                     N
                                         W
58 Cars Sold Last Month with Dealix Leads
Magnussen’s Dodge Chrysler Jeep
Magnussen’s Dodge Chrysler Jeep




 Quality Leads | Superior Service | Dealer Control Features

                    “That’s why I get my leads from Dealix. When it comes to selling to Internet customers, my team goes beyond
                    our immediate market area. In fact, we pull customers in from as far as San Francisco. With Dealix, we can get leads
                    from a wide mile radius, or we can target specific Zip codes. The choice is ours. No other
                    level of control and this many sales.”
                    Steve Jackson, Internet Fleet Manager, Magnussen’s Dodge Chrysler, Jeep of Auburn, CA
                                                                                                                                        TOP 10
                                                                                                                                    BEST OF THE BEST
                                                                                                                                       NADA
                                                                                                                                        2005

      Dealer Control Features
                                                                                 Dealix                     AutoUSA               Autobytel
   Territory ControlSM
                                                                               Standard                       N/S                     N/S
   Choose multiple Zip Codes for each franchise.

   Territory ControlSM
   Target your ideal sales territory – choose any                              Standard                       N/S                     N/S
   mile radius.

   Inventory-Driven Lead ControlSM
                                                                               Standard                       N/S                     N/S
   Choose leads for the models you want to sell.

                                                                                                                      N/S = Not Standard July 2004 Sales


         Start selling more cars today! Call Dealix now. (866) 253-5125
                                             or visit us online at www.dealix.com.
TOP 10

                                                                                    Secrets of
                                                           BEST OF THE BEST
                                                              NADA
                                                               2005
                                                                                    Dealership
                                                                                    Overachievers –
                                                                                    No One Else
                                                                                    Will Tell You:

                                                                                    • What the best “response generating”
                                                                                      ads all have in common.

                                                                                    • The three most important goals you
                                                                                      will ever set for your dealership.

                                                                                    • How to condition your current
                                                                                      customers to buy from you
                                                                                      more often.

                                                                                    • How to create advertising that
                                                                                      attracts quality customers who
                                                                                      negotiate less.

                                                                                    • How to out-market your competition
                                                                                      and dominate your market.

                                                                                    • What the ultimate goal of marketing
                                                                                      should be today.

                                                                                    • How to create advertising that actually
                                                                                      increases your closing percentage.




Special Free Offer:           Call 866.856.6782 now and ask for Sarah to receive your free copy of the J&L Marketing
Ultimate Growth Strategy, featuring an actual case study of Johnson City Honda.

You’ll discover the exact growth strategy and marketing plan created by J&L Marketing and used by Johnson City
Honda and read how, in just their first four months, they increased sales by 65 units per month and their gross averages
by over $1,300 per vehicle!

Visit us at NADA in New Orleans at Booth 4731.

866.856.6782
www.jandlmarketing.com

move the crowd.       crush the competition.       count the money.
TOP 10
BEST OF THE BEST
   NADA
    2005
MEET YOUR NEW E-PLOYEE...
WORKS 24/7 WITHOUT A SICK DAY OR VACATION!




TIMEHIGHWAY.COM replaces telephone-based scheduling with internet technology that enhances the effectiveness
and customer satisfaction of your dealership. By scheduling appointments directly through your web site, your customers
make conÞrmed appointments instantly without call-backs. TimeHighway.com puts your service department’s schedule
on your web site, making it possible to schedule appointments 24 hours a day, 7 days a week, from anywhere.




                                                                                                 INCREASED CUSTOMER

                                                                                              SATISFACTION WITH WEB-BASED

                                                                                                APPOINTMENT SCHEDULING

                                                                                                     IS THE FUTURE!




                   For More Information Contact Karen Dillon at (800) 901-3054 or kdillon@TimeHighway.com




                                                                                                            5633 Strand Blvd
    TOP 10                                                                                                          Suite 302
BEST OF THE BEST
                                                                                                             Naples, Florida
   NADA                                                                                                     (800) 901-3054
    2005
Increase Sales by
       ✓ FREE Follow-up every phone call, ßoor up, be-back.
         Stay in contact with ALL ups!
                                                                                 TOP 10
                                                                             BEST OF THE BEST
       ✓ FREE Drive website trafÞc to your store and                            NADA
         track Internet prospects with Total E-mail Follow-up!                   2005

       ✓ FREE
         Direct Marketing.

       ✓ FREE DAILY Management Reports with REAL data you can
         use to manage your people, not your systems.

       ✓ FREE FTC “Do Not Call” daily Synchronization and Alerts to
         help you avoid receiving an $11,000 Fine!

       ✓ Follow-up every sold/leased customer for 5 years. Increase
         repeat sales, CSI, gain referrals and increase service trafÞc.

            Easy to own - On-Site Training - No huge up-front charges!
              Limited Exclusivity. Call us before your competition does!
After seven years with ProResponse I can still say it is

                                                              Going to the
the best investment we’ve ever made.
-Larry Jones, Jones Junction

The Koons Automotive Group sold over 44,000
vehicles last year with the help of ProResponse.            NADA Convention?
-Alex Hafer General Manager
                                                                Visit us at
                                                               Booth 3058
ProResponse is the only system I have ever used where
the sales people are actually motivated to use it. Our
new car sales are up 21% in one year.
-Jeffrey Abel President, Miller Toyota

Our closing ratio has improved 38% and our
“be-backs” have nearly doubled. When we first
implemented ProResponse we averaged 160 cars a
                                                            RORESPONSE
                                                           866.596.6889
month, an average month is now 350!
-Kevin Cohan General Manager, Jim Coleman
Cadillac Infiniti Toyota

Available in Spanish                                        www.ProResponse.com
I N S I D E
10          Chess Champion Has the Drive to Succeed                                                                                                                                                    Chula Schlesinger
12          Are You an IMPACT Player                                                                                                                                                                                            Zig Ziglar
13          10 Steps to CRM Success                                                                                                                                                                        Bryan Anderson
14          On Becoming a Servant Leader                                                                                                                                                                    Adam DeGraide
16          Almost $600,000 to the Bottom Line                                                                                                                                                           Bruce Thompson
18          Silence is Golden                                                                                                                                                                                       Anthony Hall
19          How to Identify and Sell to the Entrepreneur Personality                                                                                                                                                  Carol Martin
20          Discover How to Eliminate Your
            Dealership’s ‘TrafÞc in The Door’ Challenges                                                                                                                                                               Scott Joseph

22 2005 eDealers of the Year                                                                                                                                                                                           Patrick Luck
26 Management Driven Dealerships                                                                                                                                                                                              Joe Verde
28 Courtesy Chevrolet’s Four Keys to Selling 380 Additional Units                                                                                                                                                 Robert Revere
30 The Importance and BeneÞts of a Credit Application                                                                                                                                                      Tony Dupaquier
31 Across the Board Increase in Service and Parts Revenue                                                                                                                                                  Joseph Schmoke
32 Huge Dividends in Happy, Loyal Customers                                                                                                                                                                           Karen Dillon
34 Sophisticated e-Newsletters Create
            Interest, Detect and Qualify Buy Signals                                                                                                                                                                David A. Fish
35          The Value of a Professional T.O.                                                                                                                                                                               Jim Adams
36          Building Your Business                                                                                                                                                                                    Mark Tewart
37          Human Nature: Taking the Path of Least Resistance                                                                                                                                                            Kirk Manzo
38          I Think I’ll Have an Idea                                                                                                                                                                                Michael York
                                                                                                                                         Psalms 23: 1 - 6

                                                                                                                                         The Lord is my shepherd, I shall not want; he makes me
               Choose Freedom • Support Our Troops                                                                                          lie down in green pastures.
                                                                                                                                         He leads me beside still waters; he restores my soul.
                                                                                                                                         He leads me in paths of righteousness for his name’s sake.

                                                                                                                                         Even though I walk through the valley of the shadow of death,
                                                                                                                                            I fear no evil; for thou art with me;
756 South 1st Street, Suite 202 Louisville, Kentucky 40202                                                                                  thy rod and thy staff, they comfort me.
       ! Toll Free: 877.818.6620 " Facsimile: 502.588.3170                                                                               Thou preparest a table before me in the presence of my
Patrick Luck, Editor & Publisher                                                           Courtney Hill                                    enemies;
• pluck01@autosuccess.biz                                                  Sales-improvement Strategist                                  thou anointest my head with oil, my cup overflows.
                                                                              • chill04@autosuccess.biz                                  Surely goodness and mercy shall follow me all the days of my
Susan Goodman, Vice President                                                                                                               life;
• sgoodman02@autosuccess.biz                                      Thomas Williams, Creative Director                                     and I shall dwell in the house of the Lord for ever.
                                                                     • twilliams03@autosuccess.biz

                              Success Driven Solutions
AutoSuccess Magazine is published monthly at 756 South First Street, Suite 202, Louisville, Kentucky, 40202; 502.588.3155, fax 502.588.3170. Direct all subscription and customer service inquiries to 877.818.6620 or
info@autosuccess.biz.Subscriptionrateis$75peryear.AutoSuccesswelcomesunsolicitededitorialsandgraphics(notresponsiblefortheirreturn).Allsubmittededitorialsandgraphicsaresubjecttoeditingforgrammar,content,andpagelength.AutoSuccess
provides its contributing writers latitude in expressing advice and solutions; views expressed are not necessarily those ofAutoSuccess and by no means reflect any guarantees.Always confer with legal counsel before implementing changes in procedures.
© All contents copyrighted by AutoSuccess Magazine, a Division of Systems Marketing, Inc. All rights reserved. Reproduction in whole or part is prohibited without express written consent from AutoSuccess. AutoSuccess
may occasionally make readers’ names available to other companies whose products and/or services may be of interest; readers may request that names be removed by calling 877.818.6620. Printed in the USA.
Postmaster: Send address changes to AutoSuccess Magazine, 756 South First Street, Suite 202, Louisville, Kentucky 40202.
sf      special feature
                                                                                                                ChulaSchlesinger


                                                                     Chess Champion
                                                             Has the Drive to Succeed
                     Thousands of young         difference to ensure this type of violence
                     men and women who          stops in America in his lifetime.
                     will be graduating
                     high      school     or    Orrin left behind his successful car
                     college this spring        dealership, which he had owned for 10
                     are looking forward        years. He focused every personal asset, and
to the ultimate graduation present. Mom         all of his savings to launch his grassroots
and Dad have promised a trip to the local       crime prevention program, Be Someone
dealership to pick out their first automobile    Inc. He targets crime where it begins, in
upon graduation.                                the inner cities of our country disguised as
                                                poverty, sickness and hopelessness.
There are, however, thousands more young
adults who will never realize that American     Orrin has developed several mentoring
dream. Their lives are starkly different from   programs that teach children life mastery
mainstream America. Many at-risk children       skills, using chess as a metaphor. Using
living in the inner cities of our country       his personal resources, dedication and          CNN, Orrin and his life changing programs
have no hope of ever finishing school,           passion for his dream, he has touched the       have been featured on Fox News, CNN,
or attending college based on the current       lives of more than 15,000 children and their    TBS Superstation, as well as having been
deplorable circumstances in which they          families. His programs have been taught in      highlighted with a full-page article in USA
find themselves.                                 more than 30 schools in five states.             Today. He has been interviewed and his
                                                                                                programs featured in countless media and
One man has vowed to change this grim           Dramatic changes occur in the lives of          news outlets.
prediction by dedicating his life to the        these children when someone who is as
fulfillment of his personal dream. Orrin         powerful a mentor as Orrin Hudson appears       Although the recipient of numerous
Hudson, a leading nationally recognized         in their lives. They immediately respond to     community service and leadership awards,
chess champion has turned his dream of          his charismatic personality and energetic       Orrin remains humble and thankful for
mentoring children through the game of          teaching style. Upon completion of Orrin’s      the opportunity to serve his community.
chess into a life-long pursuit.                 classes, reported improvements include          His personal reward is in the achievement
                                                extended concentration time, improved           of the children throughout the country
In 2001, Orrin was shocked, as was the rest     grades, more positive social skills and         currently enrolled in his programs. He has
of the country, to hear of the incident in      concern for others. Students exhibit the        recently received the 2004 Martin Luther
Queens, New York in which a young black         ability to think more clearly and apply         King Jr. Community Service Award, 2004
youth terrorized the patrons of Wendy’s         problem solving skills. They develop a          TBS Superstation Pathfinders Award
Restaurant. He ultimately herded several        clearer understanding of consequences and       for Education, and 2004 Atlanta Braves
of them into the cooler and shot them in        the ability to recognize patterns to increase   Leadership Award, among others. As a
the head for a paltry sum of $2,000. As a       forward thinking.                               testament to his selfless achievements, he
former U.S. Air Force and Alabama State                                                         is currently the subject of an upcoming
Trooper veteran, Orrin vowed to make a          Dubbed the “Piped Piper of Positivity” by       screenplay expected to be released next year.




  10                                                                                                       www.autosuccess.biz
continued

What does Orrin Hudson have? Heart. His          that results. If they can’t find a way to win     and share with your employees and their
passion for learning, and burning concern        at life, we all lose,” Orrin Hudson said.        families the powerful success mastery
for the students he mentors, keeps him                                                            skills that he has taught to thousands. He is
working long and hard even when his              If Orrin and Be Someone, Inc can reach           a dynamic personal coach.
personal resources are depleted. He needs        them before its too late ... we are all
our support.                                     winners.                                         To learn more about Be Someone Inc. please
                                                                                                  visit the Web site at www.besomeone.org.
As an author, trainer, coach, educator and       “It is not just about the game of chess. It is   To donate, sponsor children or sponsor a
motivational speaker, Orrin has amassed          about the game of life, and learning how to      school in your hometown, please contact
some hefty accolades.                            win at every level.” Orrin Hudson                Orrin. Be Someone Inc. is a non-profit
                                                                                                  organization.
“I salute you on your quest to develop           To thank you for your consideration and          Orrin Hudson can be contacted
yourself in order to make a difference in        help with his programs, Orrin has agreed         at 800.901.3057, or by e-mail at
others’ lives. We are kindred souls in that I,   to appear at your dealership for no charge       ohudson@autosuccess.biz.
too, have always had an insatiable hunger
for knowledge and excellence. Live with
Passion!” Anthony Robbins, No. 1 best


                                                        DEALERS MUST BE
selling author, motivational speaker

“I am extremely impressed with your
organization, especially since our youth
are desperately in need of leadership and
guidance. I admire your zeal, and your
enthusiasm is contagious.” Brian Tracy
No. 1 best selling author, motivational
speaker
                                                         ON TELEVISION!
“Orrin C. Hudson is destined to inspire
                                                           See why over 100 dealers nationwide have
our youth in a positive and extraordinary                   INCREASED SALES MORE THAN 30% IN
way. I like his tough-minded optimism and
charisma.” Mark Victor Hansen No. 1                         LESS THAN 90 DAYS WITH TELEVISION!
best selling author, motivational speaker
                                                                                     We produce nearly 4,000 commercials
“I enthusiastically endorse the work of                                              a year from our studios. We give you
Orrin C. Hudson, founder and president
of Be Someone Inc. and all that he does
                                                                                     unlimited, high quality television campaigns
for our children.” Jane Fonda, actress,                                              and promotions FREE. With computerized
director                                                                             media buying technology, we buy television as
                                                                                     much as 30%-40% more effectively than any
“Orrin, you amazed me with your ability
to get results!” Jack Canfield, author,
                                                                                     media buyer in the nation and give you
motivational speaker                                                                 UNLIMITED TV CAMPAIGNS
You can partner with Orrin and Be
                                                                                     AND PROMOTIONS!
Someone Inc. Through your tax-deductible                                             Call for a FREE demo tape and information.
donation you can sponsor a child or several
children today by offering scholarships to
the program. You will positively change
the life of a child forever. By partnering                                Larry John Wright, Inc.
                                                                          Automotive Advertising
with Be Someone Inc., you will be fighting
crime, illiteracy and hopelessness for
thousands of American children.
                                                         “America’s Premier Automotive Advertising Agency”
“The future of our country and our youth



                                                        1-800-821-5068
depends on what we do today. If we ignore
this generation and allow them to continue
to travel their current path through inner
city poverty and despair, we are also
responsible for the crime and desperation

january 2005                                                                                                                            11
sts       ms      ls     fis      lr
                                                                                                                          ZigZiglar
    sales and training solution



                                                  Are You an IMPACT Player
                     How can we become        P = Passion                                    modeling and our passion and our actions.
                     IMPACT       players     Passion is doing what makes us feel the        We must enjoy our journey, not just the
                     in our companies,        most alive!!! We must develop a passion        arrival. Along the way we must remind
                     organizations,           for what we do. This passion will get us out   ourselves to have fun, loosen up and laugh
                     c h u r c h e s ,        of bed in the morning when we don’t feel       out loud. We shouldn’t take ourselves too
                     communities,    and      like it. Passion sets fire to discouragement.   seriously. Remember: Angels fly because
families? Here are a few ideas:               Passion creates excitement in those around     they take themselves lightly.
                                              us. If you light yourself with passion,
I = Intensity                                 people will come from miles around to          T = Trust
We must be focused on our goals and           watch you burn.                                We must learn to trust ourselves. Too often
dedicated to put forth the effort necessary                                                  we are waiting for all the lights to turn
to achieve those goals. Intensity doesn’t     A = Action                                     green before we leave home. There is an
mean being so serious you aren’t enjoying     By turning passion into action, we will        adage that states: trust your gut. We should
the process. It does mean being serious       surely make an impact! Oftentimes, this        learn to trust our feelings.
enough to overcome obstacles that stand in    is the biggest challenge we face - putting
the way. Remember: you are either intense     our passion into action. There are times       By becoming an IMPACT player, all those
… or you are past tense!                      when we don’t feel like being impact           around you will benefit. Go out there today
                                              players. Our passion is at a low level, and    and knock’ em alive!
M = Model the correct behavior                the feelings have gone. The key is this: We
Yogi Berra once said you could observe        must “act” our way into feeling and not
a lot by watching. We should observe          wait to “feel” our way into acting.            Zig Ziglar is the chairman of the board of
positive role models and “steal” the                                                         Ziglar Training Systems in Dallas, TX. He
effective aspects of them. We should then     C = Comedy relief                              can be contacted at 866.873.0026, or by
model that behavior on a consistent basis.    We must enjoy our intensity and our            e-mail at zziglar@autosuccess.biz.




   12                                                                                                    www.autosuccess.biz
sts      ms        ls     fis      lr
                                                                                                                     BryanAnderson
    sales and training solution



                                                     10 Steps to CRM Success
                  A successful CRM              4. Build value into every customer record        through the cracks any longer.
                  implementation will           with processes
                  produce a tremendous          You want your CRM feature-rich, and              7. Execute a strategic plan of business
                  return on investment.         make sure those features work within             every day.
                  Let’s examine 10              the framework of the sales process. Your         Aim at nothing and you’ll be sure to hit it
                  fundamental steps to          sales people will be able to take an up          every time. CRM provides each sales person
achieving CRM success.                          and move through the sales process with          with a daily business plan based on clear,
                                                ease. Real-time Web-based services               concise rules for every type of customer
1. Present to your staff the beneÞts of         (such as reverse lookup technology and           (appointments, leads, prospects, owners,
using CRM                                       compliance with the Do Not Call Registry)        renewals, etc.). It’s an automated list of
Sales people will save time because             will enhance customer records. In addition       calls to be made plus letters and e-mails to
worksheets, appraisals, credit apps and add     to basic contact info, the customer record       be sent. CRM ties into your phone system
ons are automatically and professionally        will show all prospect history, all sales        to measure outbound call compliance and
laser-printed. They will be able to move        history (including gross profit), all service     to report on the calls your sales associates
through the sales process effectively and       history, all after-sale history, a complete      log. All of this data is analyzed in a report
with greater ease. It provides a simple,        customer profile, all credit information,         format, allowing you to interactively view
but powerful, first-pencil tool, credit          complaint management (keep track of their        each customer record.
bureau processing, inventory look-up, and       concerns), all e-mail history and the DMS
appraisal management with Blackbook             customer number (to create real-time data        8. Clearly identify customer types and sub-
lookup. Sales people will enjoy automatic       synchronization). Finally, the process will      types within your CRM
follow up, as if each had his or her own        conclude with a complete analysis of all         Unsold customers cannot be grouped
personal assistant who printed daily letters,   data through interactive reporting.              together. A customer who was unable to
sent daily e-mails, and strategically built                                                      secure financing is different than the unsold
a plan of business 365 days a year. It will     5. Seek the immediate beneÞts of a real-         customer who told his or her sales person
offer real-time integration with your DMS,      time environment                                 that he or she bought elsewhere. A be-back
Internet leads and phone leads. You’ll          Reap the benefits of a real-time environment      that is ready to buy in days is different than
get total buy-in of your sales staff. When      in which people, process and data are            a prospect that is ready to buy in months.
sales people properly use CRM as a tool to      managed. At any given time, your managers        With a more detailed approach, you will sell
success, they all sell more cars, which will    are able to see which customers (and sales       more cars.
increase their income.                          associates) are in the dealership. At a glance
                                                they are able to see today’s appointments,       9. Appreciate and acknowledge personal
2. Attack your database on a daily basis        ups, prospecting/owner calls, tomorrow’s         lead production (PLP)
Managers can easily create targeted             appointments and sold units, both for today      Your CRM can clearly categorize prospects
advertising campaigns. They now engage          and the month. Managers are able to tell         found through a sales person’s personal
in a daily review of the floor traffic as         who is responsible for the numbers (who is       networking. It tracks referrals received
well as those deals that can be saved.          doing their job and who isn’t). First-pencil     during calls to sold customers. Teaching
Sales people log in every day to find a          figures are seen at the tower the moment          your sales force to produce these prospects
planner full of opportunities from today’s      they are created. On any deal not closed,        will increase revenue in all departments.
appointments to prospecting for referrals       a manager is prompted to follow up with          Reward your sales staff for their own
and closing renewal business. Produce           a call to save the deal. Now put this kind       personal lead production.
results every day.                              of power into the hands of your BDC, and
                                                you’ll see your call center, sales team,         10. Create a data collection process to
3. Prepare                                      and service team work together in ways           capture 100 percent of customer information
Your CRM provider is able to efficiently         you never could outside of a real-time           Successful CRM has less to do with cutting-
pull every DMS record possible, for both        environment.                                     edge features and more to do with how
sales and service. If a customer’s name and                                                      those features are designed to fit your sales
number has been recorded somewhere at           6. Implement a speciÞc process for pipeline      process. Attention to process is the main
some point, that customer will end up in        management                                       component a successful CRM incorporates
your CRM. These records are scrubbed            Every customer record has value. When            and the main reason why many solutions
against the National Change of Address          sales people reach a barrier with a              succeed in dealerships.
(NCOA) database to ensure that your data        customer a trigger prompts a manager to
                                                                                                 Bryan Anderson is the founder and
is accurate. Then each record is matched        step in. When managed in a dynamic and           president of Autobase Inc. He can be
with a current sales person and a plan for      interactive process, dealerships save money      contacted at 800.350.9683, or by e-mail at
follow-up.                                      in a short amount of time. No one slips          banderson@autosuccess.biz.



january 2005                                                                                                                            13
sts      ms        ls      fis      lr                                                                                   AdamDeGraide
                        leadership solution



                                   On Becoming a Servant Leader
                      How do you define           servant leader is aiming to go beyond             success in servant leadership depends on
                      leadership?        Ken     success and social significance and                how clearly values are defined, ordered and
                      Blanchard, co-author       approaches leadership as an act of service        lived by the leader. Living out these values
                      of “The One-Minute         from the perspective of what we can give          and core beliefs is where most leaders and
                      Manager”, “Raving          rather than what we can get. Sounds easy,         dealerships can get into trouble. You cannot
                      Fans” and now the          but leadership for the purpose of serving         just talk the talk, you must walk the walk.
“The Servant Leader”, defines leadership          others will fail if we fall prey to false pride   Effective implementation requires turning
as “an influence process – any time you are       and fear.                                         the traditional hierarchy of a dealership
trying to influence the thoughts and actions                                                        upside down so that the customers and
of others toward goal accomplishment in          Close examination of failed leadership            the folks on the front line are at the top of
either their personal or professional life,      efforts usually reveals a self-serving leader     the organization with all of the tools and
you are engaging in leadership.” It makes        who has been drawn by pride into taking too       resources needed to do their job, while the
sense to measure our success as a leader by      much credit, showing off and demanding            leaders serve the needs of the employees;
our ability to shape what others think, do       attention or by fear that compels a person        helping them to accomplish the vision and
and say as they try and find meaning and          to protect him or herself, hide behind a          direction of the dealership.
their purpose in the world. It can also help     title, intimidate others, discourage honest
to ask if we are being selfless or selfish.        feedback and ultimately become known as           Putting it into action
The answer to this question compels us to        a control freak. In preparing your heart it       Once you feel and understand the concepts,
search our inner motivations and measure         is important to treat others as if they are as    are you really willing to change your heart,
our actions and habits in light of the goal of   important as we are. Why? We treat people         your mind and your behavior to become a
being a better servant leader. In this article   the way that we see them, and if we see           better servant leader? Once you step out it
are some ideas for preparing our hearts,         them as inferior we will treat them that          is important to step up and stay the course.
bringing clarity to our minds and applying       way. When we treat everyone as if he or           Change is a given, it will happen. Your
and putting into action servant leader           she were valuable and worthy of our time,         organization will adapt or die, and you as a
principles within our dealerships, families      respect and attention, what do you think          person will either grow or go. By becoming




“
and communities.                                 would happen in our relationships? Do unto        “other focused,” we can truly begin to lead
                                                 others as you would have done unto you is         the right way and others will want to follow
                                                 the Golden Rule, and it works.                    out of faith and hope instead of fear and
   Prepare your                                  Cleaning out the mind
                                                                                                   manipulation. It’s been said that if life is all
                                                                                                   about you, than you is all you’ll ever have.
   heart, clear                                  Garbage in - garbage out. It’s time for us        In order to work at taming an addiction to

   out your mind
                                                 to take out the trash, wash out the cans.         personal pride it helps to ask some hard
                                                 When we allow our minds to be filled with          questions:
   and put it into                               so much junk, we truly need to flush out
                                                 the garbage and bring in the fresh air of           • Do I think of myself more often
   action. As a                                  balanced thinking. All great leaders have a           than I think of others?

   servant leader,
                                                 specific leadership point of view and belief         • Have I developed a habit of giving?
                                                 system that defines how they see their role          • Can I participate in a group without
   you can                                       and their relationships with those they seek          taking charge?




                ”
                                                 to influence. Our belief system is shaped            • Can I enjoy the successes of others
   accomplish                                    by our past experiences, our attitudes and            or does everything have to be about

   anything.
                                                 feelings, our perceptions, our capacity for           me?
                                                 critical thinking and our education. What           • Do I use plain, honest speech,
                                                 we think is impacted by what we feed our              letting “yes” be yes and “no” be no?
                                                 mind. To make a positive impact on what             • Do I do what I ask others to do?
Preparing the heart                              we think, it helps to surround ourselves with
Regardless of your title and position in the     positive people and positive experiences.         Prepare your heart, clear out your mind and
dealership, any one can be a leader. It has                                                        put it into action. As a servant leader, you
nothing to do with your job and everything       You are who you hang with, never                  can accomplish anything.
to do with your character and your               forget that. As a result, it helps to find a
intent. Whether you’re the title clerk, the      role model who has the vision to do the
receptionist, a sales person, a desk manager     right thing and, from an implementation           Adam DeGraide is an owner of
or the dealer, people in the dealership can      standpoint, has the ability to do things          BZResults.com. He can be contacted at
feel it when we have a mission and we’re         right. Values are also important because          800.526.9804, or by e-mail at
seeking to lead for a higher purpose. The        they define what you stand for, and true           adegraide@autosuccess.biz.



  14                                                                                                          www.autosuccess.biz
Our consultants will help
                                                                      your dealership achieve:
                                                                             • Industry Leading
                                                                              Gross Profits
                                                                             • Sustainable Sales
                                                                               Process
                                                                             • Maximum, Compliant
                                                                               F&I PVR
                                                                             • Professional
                                                                              Management Systems
                                                                             • Power Negotiation
                                                                               Techniques
                                                                             • Professional
                                                                               Sales Skills
                                                                             • Accountability and
                                                                               Objective Tracking

                                                                             Give Ziegler and
                                                                             his team a call!
                                                                           800-726-0510
You want warm and fuzzy? We got
 your warm and fuzzy right here.

       Ziegler Supersystems • www.ZieglerSuperSystems.com • 800-726-0510
                Call today to speak to a Ziegler Representative
       In-Store Consulting - Management Seminars - Video Sales Training - Support Products
sts      ms        ls      fis       lr
                                                                                                                     BruceThompson
              marketing solution



                         Almost $600,000 to the Bottom Line
                      An effective inventory      management and inventory          wholesale     time data from NADA, Kelley Blue Book,
                      management system           acquisition and liquidation.                    Black Book, MMR, CarFax, AutoCheck,
                      coupled with real-time                                                      DealerBasics and other services, many times
                      productivity       tools,   Most of the companies (vendors), who have       within the same screen.
                      based on accurate           entered the industry of pre-owned vehicle
                      market      conditions      management, aspire to meet the demand of        A trade desk tool is utilized to assist those
and real-time pricing, will benefit your           those three areas with the ongoing feedback     with multiple dealerships. This tool matches
organization because it gives the dealership      from dealerships. The goal in mind is to        surpluses and needs between dealers in
management team and the sales management          benefit multiple aspects of used vehicle         a group that can be managed and traded
team the knowledge needed to properly             operations and encourage the repetitive         by a single group manager. You need
evaluate deals scientifically with little or no    management processes for every used             accountable key people operating the
guesswork.                                        vehicle.                                        management system, working with dealer
                                                                                                  groups to customize backend fulfillment
Software systems have been coupled with           A significant aspect of used vehicle             processes, including title processing and
the correct level of training and support so      operations involves customer appraisals and     transport notifications, to make the trade
that these new productivity tools are simple      trades. Trade-ins account for approximately     process efficient.
to use, easy to implement and based on real-      60 percent of the pre-owned automobiles
time data in an ever-changing market.             retailed by a dealership.                       There is also a mechanism for dealers to send
                                                                                                  alerts out to other dealers for a vehicle they
Management systems for auto parts are a           When the dealership knows at the time of        are appraising or have in inventory with a
standard business practice at dealerships.        the vehicle appraisal that this model tends     requested buy-now price. Dealers receiving
It make sense to manage millions of dollars       to retail for a strong profit, or that another   these alerts can counter with a different price
in pre-owned vehicle inventory as well.           dealership within his group could use that      for the vehicle or request to purchase the
Wouldn’t you agree there is a need?               vehicle, the dealer can offer the potential     vehicle at the buy-now price. This is ideal
                                                  customer a premium for their trade-in and       for dealers to shop potential or recent trades
There are sophisticated systems for managing      subsequently make another car sale – at a       to a network of dealers.
pre-owned inventory. All systems have             good profit.
similar goals: eliminate wholesale loss and                                                       Some systems help to compile the
unproductive inventory, achieve consistent        Use of these systems and processes can          dealership ideal inventory model and gives
under-30-day turns, real-time inventory           improve a dealership’s ratio from trading       ideal and actual inventory calculations,
management control at the dealership level,       for two out of 10 vehicles to almost five        recommendations, aging reports, retail vs.
maintain proper inventory mix, provide            out of 10. For an average sized dealership,     wholesale reports and a quick-glance at a
instantaneous buy/sell recommendations,           this could mean almost 30 additional new or     dealership’s sales history with all makes and
provide more scientific appraisal tools with       used car sales in a month, or approximately     models. This makes the selection process
real market values and increased trade            $45,000 in additional front and back-end        for trades and the appraisal process more of
opportunities.                                    gross profit.                                    a predictable, accountable process.

The biggest challenge for the used car            Vehicle inventory management systems will       There are tools that provide a trading network
manger can be adopting and embracing              help the dealer and the used car manager        that matches inventory needs between
change. Robert Kennedy said, “Progress is         determine individual marketing strategies.      dealers, thus creating a real-time channel
good but change is its motivator and change       Some systems provide consistent inventory       for dealers to shop vehicles over the network
has enemies.” The improvements of a used          recommendations for each vehicle being          while a trade is being evaluated. This can
vehicle management system will increase           evaluated, as well as data that will help       replace the system whereby the used car
profits in all departments.                        make better decisions for each car deal.        manager calls other used car managers, one
                                                  The consistent use of these tools will guide    at a time, to see if they would purchase the
A dealership that instituted one of these         managers to stock what will sell best at that   vehicle, call wholesalers or purchase the
systems experienced the following.                particular dealership. Consistent compliance    trade unit at a conservative amount and
Before implementation, retail pre-owned           with the inventory recommendations will         later take the vehicle to an auction. Used car
vehicle volume was 97, after 116. Before          result in increases of gross profit and an       managers are able to identify and purchase
implementation, the average retail pre-           improvement in turn time of about 15            vehicles they know will retail well before a
owned front end was $953, after $1,220.           percent.                                        vehicle ages, therefore reducing wholesale
Before implementation, the retail pre-owned                                                       losses.
turn time was 25 days, after 21.5. This           These systems provide daily inventory
translated into an average increase in front-     management tools, such as book-out sheets,
end profit of more than $49,000 – almost           inventory recommendations, past history,
$600,000 to the bottom line that was laying       vehicle condition history, book values and      Bruce Thompson is the chief executive
dormant at the dealership.                        appraisal sheets. The appraisal portion         ofÞcer and founder of American Auto
                                                  provides tools for dealers to track appraisal   Exchange. He can be contacted at
Three main areas of pre-owned operations          performance and trade rates and to work         800.901.3017, or by e-mail at
are appraisals and trade-ins, inventory           deals with customers. It incorporates real-     bthompson@autosuccess.biz.


   16                                                                                                        www.autosuccess.biz
sts       ms        ls     fis       lr
                                                                                                                             AnthonyHall
    sales and training solution



                                                                                   Silence is Golden
                     Sales people need            test all accessories, i.e., windshield wipers,     • How many miles on the current
                     to bring out the true        radio, heater, air conditioning, power seats,        tires?
                     condition     of    the      all power windows, etc. Record all defects.        • Is this car equipped with a spare tire
                     customer’s       trade-                                                           and a jack?
                     in      professionally       Next, drive the car with the customer and          • Does the car have an environmental
                     because by not doing         check for any mechanical problems. Helpful           protection package?
so, we are leaving gross profit on the table       hint: Always ask the customer, “What is            • Do you have both sets of keys and
due to over-allowing on trade-ins.                that noise?” The customer will always                the key fobs?
                                                  respond with an explanation. Make one
This can be corrected with a silent trade         quick trip around the block. Once back at        “And if you had to rate you car, Mr. or
evaluation (condition, not value). The            the dealership, park the trade-in as close as    Ms. customer, on a scale of one to 10, with
process starts after a quality demonstration      possible to the vehicle they are buying. This    10 being absolutely perfect, showroom
drive and commitment to buy if all terms          is a great opportunity to show the difference    condition, how would you rate your car?”




                                                  “
are agreeable.                                    between old and new.                             Most people respond between six and eight.
                                                                                                   Where would it rate on the scale?
Once the commitment to buy has been
established, proceed to your trade                This whole                                       In consideration of this rating, the buyer has

                                                  process takes
evaluation. Ask the customer if there is                                                           three prices in mind for their trade-in:
a vehicle they would like to sell to the
dealership. “Help me, help you, sell your
vehicle to ABC Motors. Show me.”                  less than 15 to                                               1. Asking price.
                                                                                                                2. Liking price.

With clipboard in hand and a trade
                                                  20 minutes and                                                3. Taking price.

evaluation form attached, start by having         produces huge                                    Through this process, the sales person
the customer read the mileage on his or her
vehicle. Record it on the form. No words          returns. It also has                             can bring the customer from an asking
                                                                                                   price, which always equates to a huge
from you, but you may want to do the wince
and flinch (a very effective tool). Also, ask
                                                  a positive effect                                over-allowance based on actual cash value
                                                                                                   of the trade, all the way to a taking price.
                                                  on yours and the




                                                  ”
him or her to activate the hood release while                                                      The difference can be as much as $1,000

                                                  dealership’s CSI
they’re in position. Proceed to the front                                                          to $2,000. This is the difference between
of the vehicle and lift the hood. Record                                                           a little or no gross to a much more fair and
any oil leaks, over spray, or worn belts
(Silence, touch and feel). Proceed to the         scores.                                          reasonable gross. It has the ability to take
                                                                                                   a lot of the confrontation out of negotiation
front bumper, touch any scratches, dents,                                                          when it is time to present trade figures.
cracked headlights, etc., and record them.        Then, bring the customer inside and sit him
Move to the passenger side, recording tire        or her down in the negotiation area. This        A customer’s perception can be summed up
wear (at this point, you may want to use the      is the point where we ask them some key          this way: I’m going to pay this much for the
“penny-tire wear gauge”). Hold a penny so         questions:                                       car I’m buying. I am going to get this much
you can slip it between the tread. If you can                                                      for my trade-in; all I have got to do is pay
see the top of Abe Lincoln’s head, the tire         •   Do you have the title?                     the difference.
wear is beyond the point where it will pass         •   Is this a salvaged title?
state inspection. Touch every dent, scratch,        •   Is the title free and clear?               It is the sales person’s job to increase the
or defect and record them. At this point, wait      •   Lien holder – pay off?                     perceived value of the car they are buying.
for stories on how each dent happened.              •   Has the vehicle ever had any               (Walk-around, November article) and
                                                        collision damage? If yes, what type        respectfully decrease the perceived value of
Move to the back of the car and at this                 of damage and what was the cost of         their trade-in. This is where the gross and
point, ask for the keys. Open the trunk,                the repairs?                               your commission are.
hatchback, etc. Check for the spare tire jack,      •   Has the vehicle had any mechanical
look for any fluid bottles, i.e., brake fluid,            repairs? If yes, what type of repairs?     This whole process takes less than 15 to
transmission fluid, oil, etc. Pick up each           •   Was the vehicle purchased new?             20 minutes and produces huge returns. It
bottle, hold it close to your ear and shake it,     •   Has the vehicle ever been smoked           also has a positive effect on yours and the
looking for half full containers. Move to the           in?                                        dealership’s CSI scores.
driver’s side, also recording any defects, and      •   Has it been used for towing?
get in and ask your customer to do the same.        •   What is the date of the last tune-up?      Good Selling!
Go over the interior thoroughly, checking           •   What was the date of the last oil
for wear and tear, cleanliness, etc. Record             change?
side glass and windshield condition.                •   Has the oil been changed every             Anthony Hall is a training consultant
                                                        4,000 miles?                               at Ziegler Supersystems. He can be
While in the driver’s seat, start the vehicle       •   Do you have all the required               contacted at 800.610.9047, or by e-mail at
and turn on every piece of equipment and                maintenance history?                       ahall@autosuccess.biz.


   18                                                                            successful solutions at www.autosuccess.biz
sts      ms        ls      fis      lr
                                                                                                  CarolMartin
    sales and training solution


                          How to Identify and Sell to
                        the Entrepreneur Personality
                    If you could connect         take the upper hand in situations and have
                    with your prospective        an innate ability to convince others to see
                    buyer, would it help         things their way. Outwitting, outdoing, or
                    get the sale? Would          overpowering them can prove to be a tall
                    you want to know             task, as they usually have good answers for
                    how to specifically           everything and are not the least bit afraid to
sell a customer who is outspoken and             speak up. They are win-driven, competitive
demanding? What if you could create and          and determined to stay in control of
pique genuine interest in a shopper who          situations. They will probably relate well
seems unmotivated? Have you ever made            to you if you seem equally enterprising and
a sale when a prospect said he or she was        self-assured; they respect and appreciate
just looking?                                    your competitive drive.

This article is the first in a three-part         While all entrepreneur personalities share
series dealing with how different buyer          the same general characteristics and
personalities respond to various sales           display overall behavioral patterns that are
presentations. You’ll learn how to read your     similar, it’s important to know that there
prospect, detect subtle buying cues, and         are different levels of each defining trait.
tailor your presentation to trigger a positive   Some entrepreneurs have exceedingly
response from even your most challenging         strong and determined personalities. These
customers.                                       entrepreneurs can be charming, but they
                                                 can also be outwardly bold and impatient.
  Part 1: How to identify and sell to the        If your customer seems highly aggressive
  Entrepreneur personality                       and antsy, be prepared to be a little less
  Part 2: How to identify and sell to the        forceful when talking business, so as to
  Technician personality                         avoid bumping heads and thus triggering
  Part 3: Will the Accommodator                  an unwelcome and, perhaps, deal-breaking,
  personality ever, in your lifetime,            confrontation. Consider these strategies
  actually buy a car?                            when working with an entrepreneur:

Entrepreneur personalities will usually be         • End your sales pitch with a sentence
talkative and fast-paced. They’ll also be          like: “Of course, it’s up to you whether
friendly. True entrepreneurs like to make          you want to take advantage of this
their own decisions, and they may seem             special, because you have to make that
to have a very clear idea of which vehicles        decision”
they do, and do not, want to buy. In terms
of dollars and cents, do not hesitate to           • Make his or her ideas seem like
negotiate with them.                               your own. For example, point out an
                                                   obviously positive feature about the
Some entrepreneurs might seem a little             vehicle, something with which the
demanding, but they can also soften those          prospect is sure to agree. Once he or
demands when they want to, by putting              she does, get him or her to elaborate on
their excellent social skills to good use.         it and then say something like: “You’re
They might make some small talk, establish         exactly right! I never thought of it that
easy rapport, so their own business                way.”
objectives can be more readily attained.
They are typically confident, assertive and       Virtually all entrepreneurs can identify with
fast-paced individuals. You will probably        people who are driven to win. Talk about
not find an entrepreneur personality asking       your own successes; if you met or exceeded
for a lot of help, putting himself/herself       your goal last month, work that into the
down or waiting long for an answer to a          conversation.
question. If you notice that your customer
seems self-sufficient, confident, talkative,
quick and very proactive, you are probably
                                                 Carol Martin is a senior consultant
dealing with an entrepreneur personality.        with The Omnia Group. She can be
                                                 contacted at 800.601.3216, or by e-mail at
Entrepreneurs are leaders. They instinctively    cmartin@autosuccess.biz.


january 2005                                                                                             19
sts      ms        ls     fis         lr
             marketing solution                                                                                          ScottJoseph

                                         Discover How to Eliminate Your
                             Dealership’s ‘TrafÞc in the Door’ Challenges
                    I ask dealers and           businesses, is one of the least understood          training, which leads to better
                    general      managers       and most underutilized facets of business           customer education.
                    all the time, “What         today.                                            • Track all advertisements and
                    is     your    biggest                                                          measure the ROI. Know exactly
                    challenge in selling        In these competitive times, the importance          what is working and, more
                    cars today?” Almost         of marketing is even greater than before.           importantly, what is not.
always their answer is “traffic.” The more       Why? In this wildly unpredictable and
I study the challenge of generating more        changing marketplace, dealerships must          2. Increase customer retention by:
traffic and staying ahead in competitive         have an edge or they will not survive             • Communicating frequently with
times, the more I am convinced it boils         – they’ll lose their share of market to their       customers.
down to one principle – marketing. As           competitors.                                      • Provide compelling reasons as to
we start 2005, now’s the time for you to                                                            why they should come back in
tune up your marketing – to make sure           The simple fundamentals of marketing – the          and buy another vehicle with
you’re getting new customers coming in,         obvious marketing techniques that make a            special offers before they are
old customers coming back and customers         lot of money – are the most powerful. After         announced to the general public.
purchasing more often.                          all, you can do all sorts of advertising, but
                                                if you ignore the basics, the money just will   3. Increase closing rate by:
Marketing is the main spring of every           not come easily.                                  • Increase the sales skills with
business. After all, marketing is the science                                                       training.
of getting people to come in and test drive     Does your dealership(s) have an actual            • Develop an advertising strategy
your cars and have them try your parts and      marketing plan? There are only three ways           that allows your sales staff the
service departments. It persuades them to       to grow your business; 1) sell to more              opportunity to qualify the wants
come back again and again and induces           customers, 2) increase your gross average           and needs of customers up front.
them to purchase at higher grosses when         and 3) increase how often customers spend         • Offer great deals for the customer.




“
they do come back.                              money with you. What is your growth               • Educate customers by giving
                                                strategy to accomplish these goals?                 “reasons why” they should buy
                                                                                                    from you.
 Maximize                                       A real marketing growth strategy
                                                incorporates advertising, sales and your        To increase your gross averages, focus on:

 the potential                                  corporate identity. Maximize the potential
                                                of the marketing plan by working backward
                                                                                                  • Use direct response ads that
                                                                                                    attract buyers who negotiate less (it

 of the                                         – start from sales. For any marketing plan
                                                to work the advertising element must align
                                                                                                    can be done).
                                                                                                  • Increase the sales skills.

 marketing                                      with the way your dealership sells cars. The
                                                class war between marketing and sales is a
                                                                                                  • Managers start every deal.
                                                                                                  • Use direct response ads that

 plan by                                        primary reason for program failure. There
                                                are direct response advertising strategies
                                                                                                    increase the percentage of people
                                                                                                    who talk numbers (once again, it can

 working
                                                that can help support your sales team – even        be done).
                                                make them better.

 backwards
                                                                                                To increase how often customers spend
                                                To increase sales, focus on the following:      money with you, focus on:




       ”
 – start from
                                                1. Increasing your phone traffic, new              • Use direct response techniques
                                                and used floor traffic, parts and service             to create compelling reasons

 sales.
                                                business by:                                        why customers should come in
                                                  • Aggressively marketing products                 and buy another vehicle from you
                                                     and services by using direct                   right now.
                                                     response advertising rather than the         • Run special events such
Marketing is not just advertising.                   normal institutional advertising.              as “clearance and new model
It incorporates sales, advertising, your          • Run special sales events.                       introduction” events, and so on.
business identity and a host of other             • Develop a unique selling                      • Special offers for sales.
ingredients that are less obvious. Without           proposition and a corporate                  • Monthly parts and service
marketing, you lose customers. And                   identity. This identity must be                offers to induce frequency.
without customers, you lose business.                recognizable in all communications
                                                     and convey your unique selling             Scott Joseph is the president of J&L
Marketing can make the difference between            proposition.                               Marketing Inc. He can be contacted
the life and death of your dealership. Yet,       • Increase the perceived value of             at 866.429.6846, or by e-mail at
marketing, which is the prime mover of               the product through better sales           sjoseph@autosuccess.biz.


  20                                                                                                       www.autosuccess.biz
Service Manager Uncovers $10,500
  of Hidden Net Profit per Month...
      (details on Þle)


With the help of KEEPS, we increased our net proÞt
                                                         after attending the
                                                       Finding & Keeping Hidden
by $104,287 in one year. We did this with the same
number of techs and less customer pay RO’s than
the previous year.
Sam Lilly, Fixed Operations Director
Royal Chevrolet, Lynchburg, VA
                                                       Net ProÞts in Your Service
Prior to KEEPS, we barely made $100,000 net             Department WORKSHOP
proÞt combined with 6 Service Departments. Using
the structured processes and highly motivational
pay plans of the KEEPS system our combined             Discover powerful new tools for getting
net proÞt should be over $1,000,000 for 2004. Our
customer retention and repeat business has never
been better.
                                                      your Service Department to the next level.
Rusty Holcomb, Service Director
                                                        A small sample of what you will learn:
Page Auto Group, Richmond, VA
                                                      ! Eight speciÞc techniques to increase your
I have spent 10+ years working with Þxed operations    customer pay effective labor rate by $4.50
trainers out of Birmingham, AL. I learned more in        to $6.50 per hour while improving CSI
this workshop than in those 10 years combined.
Dan Folk, Service Director                            ! Six techniques to design and build highly
Friendly Ford, Monroe, MI                                       proÞtable service menus
                                                      ! “R.O.A.M.S.” the ultimate technology for
                                                       achieving the next level of PROFITABILITY

Go to our website                                               Call Today for a FREE Service
for complete workshop                                     Department Finiancial Analysis Tool
content details,
dates and locations.
www.keepscorp.com                                       800.901.2863
                              This one day workshop comes with a 100% money back guarantee
fs      feature solution


                                                                                                                           PatrickLuck




                         2005 eDealers of the Year
Our January issue is dedicated to honoring       the forefront of digital marketing, enabling   to establish an Internet marketing strategy.
the Top 10 eDealers of 2005. The                 them to sell 50 to 800 units every single      This person typically winds up spending
benchmark for consideration for winning          month. Successful dealers recognize and        a lot of time updating and maintaining a
this year’s award is results as measured         appreciate the fact that 70 percent to 80      nice-looking, information rich site that is
by volume of Internet sales and by how           percent of all customers who purchase a        largely ineffective and when taken to the
well the dealers use the Internet and digital    new or used vehicle use the Web at some        extreme, these are the dealers who abandon
marketing to promote all of their profit          point in the buying process. Some dealers      the Internet entirely. In contrast, our Top 10
centers: new, used, F&I, service, parts, etc.    have even scrapped their conventional          dealers tell us about personal involvement
Our goal was to seek out the dealers who         advertising budget and dropped their cost      in selecting the right vendors and defining
are the best at using this marketing medium      per sale from $300+ to less than $150          an Internet sales strategy and vision with
to generate huge increases in profit for their    per sale. In recognition of these and other    their entire leadership teams. Some of the
dealerships. We considered the number of         outstanding achievements, we devote this       areas dealers consider when establishing
rooftops, the size of the dealership or dealer   article to recognizing the Top 10 eDealers     their strategy and vision are: technology,
group, their markets, the brands they carry      of 2005 and we will share some of the best     marketing, process, people, pricing and
and their Internet profits as a percentage        practices that have positioned them at the     measurement.
of their total profits. Here’s the detailed       top in their field.
criteria used to select the winners:                                                            Establishing Your Strategy & Vision by
                                                 Internet Strategy & Vision:                    Seeking to Answer 10 Questions:
  • Profit generated as a result of               We found that commitment starts with           Technology: How do we separate the hype
    Internet marketing                           the dealer principle himself and cascades      from what works? What vendors deliver
  • New and used vehicle sales volume            throughout the rest of the organization        a clear return on investment and what
    as a result of Internet marketing            in direct proportion to dealer’s level of      technology can successfully automate parts
  • F&I and subprime profits as a result          commitment. For the award winners,             of the process?
    of Internet marketing                        the vision doesn’t start with the General
  • Online service and parts business            Manager or the Internet Director or            Marketing: What are some best practices
                                                                                                for using the Web and digital marketing to

   2005 eDealers of the Winners!
   Congratulations, eDealer of the Year Award Year
                                                                                                attract more customers to the dealership?
                                                                                                What is the best use of my advertising
                                                                                                budget and how much should be devoted to
   Dealership                  Location                    Website                              digital marketing?
   Paragon Honda & Acura       New York, NY                www.ParagonCars.com
   Dick Hannah                 New York, NY                www.DickHannah.com                   Process: How can a dealer fine-tune
   Ralph Schomp Automotive     New York, NY                www.Schomp.com                       his process to ensure that more of his
   Tasca Automotive Group      Providence, RI              wwwTasca.com
                                                                                                opportunities are being transformed into
   Herb Chambers               Boston, MA                  www.HerbChambers.com
   Red McCombs                 San Antonio, CA             www.RedMcCombs.com
                                                                                                profitable sales?
   Earnhardt Auto Centers      Tempe, AZ                   www.Earnhardt.com
   Courtesy Chevrolet          Phoenix, AZ                 www.HouseofCourtesy.com              People: What are the secrets to lowering
   Dave Smith Motors           Kellogg, ID                 www.DaveSmithMotors.com              employee turnover? What are some best
   Sheehy                      Virginia/DC                 www.Sheehy.com                       practices for recruiting, hiring and training
                                                                                                the right team?
We learned a lot about what determines           another member of the leadership team;
a dealer’s success with using the Web to         for the winners, commitment to an Internet     Pricing: When, where and how do the
generate increased sales and service profits.     strategy and vision begins with the            most successful dealers address pricing
We found some commonalities among                dealer himself. A common mistake some          on the Internet? What will work for my
the winners and some truly effective best        dealerships make is to dedicate or hire a      store and what are some best practices for
practices that have propelled the winners to     technology person and leave it to him or her   maintaining a fair profit?




  22                                                                                                       www.autosuccess.biz
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE
NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE

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NADA 2005 TOP 10 BEST OF THE BEST SPECIAL ISSUE

  • 1. A SPECIAL ISSUE NADA SPECIAL ISSUE NADA SPECIAL ISSUE NADA SPECIAL ISSUE NADA SPECIA .biz Earnhardt.com Schomp.com ParagonCars.com DickHannah.com HerbChambers.com RedMcCombs.com HouseofCourtesy.com DaveSmithMotors.com Tasca.com Sheehy.com January 2005 756 South 1st Street PRSRT STD Suite 202 US POSTAGE Louisville, KY 40202 PAID LOUISVILLE KY PERMIT NO 879 a division of Systems Marketing, Inc. www.autosuccess.biz
  • 2. • BZ Results 3124 BZ Results is a digital marketing & training company that has a great new system that helps dealers sell & service more vehicles proÞtably. TOP 10 BZ’s clients include United Auto Group, Group 1, Herb Chambers, Red McCombs, Sheehy, Paul Miller, Larry Miller, Courtesy Chevrolet, BEST OF THE BEST Tasca and others. BZ dealers are selling 100-700 incremental units a month from this revolutionary new system. To get a free 180 second NADA tour of this new system visit: BZResults.com 2005 • J&L Marketing 4731 Established in 1991, J&L Marketing is without equal when comparing automotive direct marketing companies. Their philosophy is simple - there are only three ways to grow your dealership: 1) Increase your number of customers, 2) Increase your average gross per deal and 3) Increase the frequency of repurchase – get more residual value out of each customer. With a customer base of over 6,000 dealers and managers nationwide their ground-breaking J&L Marketing Growth Strategy™ is producing staggering results and has eliminated the number one challenge for most dealerships - trafÞc. • Dealix 5415 In 2005, Dealix is expanding their quality and service initiatives, continuing to help dealers sell more cars, more efÞciently. Their combined efforts with The Cobalt Group will bring an even more dynamic product to their customers to increase sales and help improve dealership efÞciencies. Dealix has been rated the number one lead provider in studies by J.D. Power and the Dotcominsider. Their goal is to continue to win over customers with high quality leads and superior service. The Dealix Quality Team enhanced their lead scrubbing and call veriÞcation technologies to ensure customers receive leads only from the most serious car buyers. Dealix is committed to provide even better one-on-one service and has expanded it’s Lead Acquisition Network, adding hundreds more of the best auto sites on the web. • Autobase 4819 Autobase, Inc. has provided the automotive retail market with premier customer relationship management (CRM) solutions since 1988. Autobase Sales Center™, the ßagship of the Autobase suite, is now in its sixth generation of development, boasting 17 years of successful implementation in dealerships of every demographic. Over 15,000 auto professionals go to work every day and use Sales Center™ to sell more cars. Newly-released and already manufacturer-endorsed for it’s innovative approach to business development, the Autobase Loyalty Center™ is the most recent addition to their suite of solutions. Their rich history, strong reputation, comprehensive industry knowledge, and pioneering work in feature-rich CRM and BDC technology have long impacted the bottom line for proactive dealers nationwide. • TimeHighway.com 4430 TimeHighway.com is the premier, on-line solution for service department appointment scheduling, allowing dealership customers to make a conÞrmed service appointment 24 hours a day, seven days a week. BeneÞts to the dealership include: replacing telephone-based scheduling with Internet technology that enhances the effectiveness and customer satisfaction of the dealership, reduces in-bound telephone calls and drives trafÞc to the dealer’s website. Customers prefer the ease and convenience of the Internet to do their banking, shopping, make travel arrangements, etc. and now with TimeHighway.com, they can schedule their service appointments online, no more waiting on hold to make an appointment. • The Joe Verde Group 931 JOE VERDE • Your Training Partner Since 1985, the Joe Verde Group has been helping dealerships improve their sales and gross by providing the best sales and sales management training in the automobile business. Joe Verde’s up-to-date sales training helps dealerships implement effective sales training that works to build a solid sales team and long term, satisÞed customer base. Joe’s management training addresses today’s challenges and tomorrow’s needs by helping dealers build top performing management teams. The bottom line… the Joe Verde Group provides a dealership with clear-cut solutions that boost their sales, proÞts and customer satisfaction. • ProResponse 3058 ProResponse, Inc. CRM with proven results, represents nearly 300 dealers nationwide. Their services are geared toward total showroom control with ProScan® Touch Screen driver’s license reader, prospect tracking (phone, ßoor and Internet), and sold customer follow-up for Þve years. ProResponse is a service company assisting dealers each day with database management, data cleansing, data mining, and effective target marketing. They are e-mail enabled and FTC compliant, running prospects and customers against the “Do Not Call” list daily. They provide on-site training and monthly service visits “In Your Dealership”. Their programs are also written in Spanish and French. They seamlessly integrate with Who’s Calling, Call Source, Call Bright, Call Command, EPencil and many others. • American Auto Exchange 5755 Founded in 2001, American Auto Exchange is revolutionizing the way dealers conduct business by Þnally assembling all the pieces necessary to running a streamlined, high tech used car operation. Through the use of the aaXchange tools, dealers are dramatically improving the way they operate their used car departments. American Auto Exchange works with thousands of dealerships across the United States who have chosen to utilize the American Auto Exchange Real Time Vehicle Trading Network, the aaXchange proprietary Vehicle Management System (VMS) and a new integrated intelligent vehicle launch product with Ebay. • Ultimate Warranty Corp. 1411 Ultimate Warranty Corp. provides leading-edge service contracts and ancillary F&I products. More than 7,000 dealers have recognized the advantages and have beneÞted from selling Ultimate Warranty Corp. products. Ultimate’s package has proven that it can propel its client base to the front of the pack in terms of quality, proÞtability, compliance, customer retention, and CSI. Stop by the booth, and Ultimate Warranty Corp.can show you how they are making a great thing even better in 2005. Ultimate Warranty Corp. has some great new things to offer to its clients at no additional cost. Ultimate Warranty can truly show you how to do more with less. • The WolÞngton Group 527 The WolÞngton Group produces high performance sales events on behalf of new car dealerships across the country, with no outsourcing or subcontractors. The Þrm maintains long term relationships with dealerships, providing marketing territories and strategies that help The WolÞngton Group dealers outperform their markets. A WolÞngton Group produced event brings an atmosphere of fun and excitement to the dealership, creating a great buying experience for the consumer and a positive selling experience for the dealer’s sales team. Harry WolÞngton, President, provides his insight and experience to auto dealerships through his six sales teams. “Being a small company, we are more focused on each individual event. Our dealers get an attention to detail from our staff paralleled by none.” It’s this philosophy that has earned The WolÞngton Group a spot in this year’s “Best of the Best”
  • 3. NADA 2005 TOP 10 BEST OF THE BEST S N A E L R O W E N E ✴ Ernest N. Morial Convention Center S BC D E F G H N W
  • 4. 58 Cars Sold Last Month with Dealix Leads Magnussen’s Dodge Chrysler Jeep Magnussen’s Dodge Chrysler Jeep Quality Leads | Superior Service | Dealer Control Features “That’s why I get my leads from Dealix. When it comes to selling to Internet customers, my team goes beyond our immediate market area. In fact, we pull customers in from as far as San Francisco. With Dealix, we can get leads from a wide mile radius, or we can target specific Zip codes. The choice is ours. No other level of control and this many sales.” Steve Jackson, Internet Fleet Manager, Magnussen’s Dodge Chrysler, Jeep of Auburn, CA TOP 10 BEST OF THE BEST NADA 2005 Dealer Control Features Dealix AutoUSA Autobytel Territory ControlSM Standard N/S N/S Choose multiple Zip Codes for each franchise. Territory ControlSM Target your ideal sales territory – choose any Standard N/S N/S mile radius. Inventory-Driven Lead ControlSM Standard N/S N/S Choose leads for the models you want to sell. N/S = Not Standard July 2004 Sales Start selling more cars today! Call Dealix now. (866) 253-5125 or visit us online at www.dealix.com.
  • 5. TOP 10 Secrets of BEST OF THE BEST NADA 2005 Dealership Overachievers – No One Else Will Tell You: • What the best “response generating” ads all have in common. • The three most important goals you will ever set for your dealership. • How to condition your current customers to buy from you more often. • How to create advertising that attracts quality customers who negotiate less. • How to out-market your competition and dominate your market. • What the ultimate goal of marketing should be today. • How to create advertising that actually increases your closing percentage. Special Free Offer: Call 866.856.6782 now and ask for Sarah to receive your free copy of the J&L Marketing Ultimate Growth Strategy, featuring an actual case study of Johnson City Honda. You’ll discover the exact growth strategy and marketing plan created by J&L Marketing and used by Johnson City Honda and read how, in just their first four months, they increased sales by 65 units per month and their gross averages by over $1,300 per vehicle! Visit us at NADA in New Orleans at Booth 4731. 866.856.6782 www.jandlmarketing.com move the crowd. crush the competition. count the money.
  • 6. TOP 10 BEST OF THE BEST NADA 2005
  • 7. MEET YOUR NEW E-PLOYEE... WORKS 24/7 WITHOUT A SICK DAY OR VACATION! TIMEHIGHWAY.COM replaces telephone-based scheduling with internet technology that enhances the effectiveness and customer satisfaction of your dealership. By scheduling appointments directly through your web site, your customers make conÞrmed appointments instantly without call-backs. TimeHighway.com puts your service department’s schedule on your web site, making it possible to schedule appointments 24 hours a day, 7 days a week, from anywhere. INCREASED CUSTOMER SATISFACTION WITH WEB-BASED APPOINTMENT SCHEDULING IS THE FUTURE! For More Information Contact Karen Dillon at (800) 901-3054 or kdillon@TimeHighway.com 5633 Strand Blvd TOP 10 Suite 302 BEST OF THE BEST Naples, Florida NADA (800) 901-3054 2005
  • 8. Increase Sales by ✓ FREE Follow-up every phone call, ßoor up, be-back. Stay in contact with ALL ups! TOP 10 BEST OF THE BEST ✓ FREE Drive website trafÞc to your store and NADA track Internet prospects with Total E-mail Follow-up! 2005 ✓ FREE Direct Marketing. ✓ FREE DAILY Management Reports with REAL data you can use to manage your people, not your systems. ✓ FREE FTC “Do Not Call” daily Synchronization and Alerts to help you avoid receiving an $11,000 Fine! ✓ Follow-up every sold/leased customer for 5 years. Increase repeat sales, CSI, gain referrals and increase service trafÞc. Easy to own - On-Site Training - No huge up-front charges! Limited Exclusivity. Call us before your competition does! After seven years with ProResponse I can still say it is Going to the the best investment we’ve ever made. -Larry Jones, Jones Junction The Koons Automotive Group sold over 44,000 vehicles last year with the help of ProResponse. NADA Convention? -Alex Hafer General Manager Visit us at Booth 3058 ProResponse is the only system I have ever used where the sales people are actually motivated to use it. Our new car sales are up 21% in one year. -Jeffrey Abel President, Miller Toyota Our closing ratio has improved 38% and our “be-backs” have nearly doubled. When we first implemented ProResponse we averaged 160 cars a RORESPONSE 866.596.6889 month, an average month is now 350! -Kevin Cohan General Manager, Jim Coleman Cadillac Infiniti Toyota Available in Spanish www.ProResponse.com
  • 9. I N S I D E 10 Chess Champion Has the Drive to Succeed Chula Schlesinger 12 Are You an IMPACT Player Zig Ziglar 13 10 Steps to CRM Success Bryan Anderson 14 On Becoming a Servant Leader Adam DeGraide 16 Almost $600,000 to the Bottom Line Bruce Thompson 18 Silence is Golden Anthony Hall 19 How to Identify and Sell to the Entrepreneur Personality Carol Martin 20 Discover How to Eliminate Your Dealership’s ‘TrafÞc in The Door’ Challenges Scott Joseph 22 2005 eDealers of the Year Patrick Luck 26 Management Driven Dealerships Joe Verde 28 Courtesy Chevrolet’s Four Keys to Selling 380 Additional Units Robert Revere 30 The Importance and BeneÞts of a Credit Application Tony Dupaquier 31 Across the Board Increase in Service and Parts Revenue Joseph Schmoke 32 Huge Dividends in Happy, Loyal Customers Karen Dillon 34 Sophisticated e-Newsletters Create Interest, Detect and Qualify Buy Signals David A. Fish 35 The Value of a Professional T.O. Jim Adams 36 Building Your Business Mark Tewart 37 Human Nature: Taking the Path of Least Resistance Kirk Manzo 38 I Think I’ll Have an Idea Michael York Psalms 23: 1 - 6 The Lord is my shepherd, I shall not want; he makes me Choose Freedom • Support Our Troops lie down in green pastures. He leads me beside still waters; he restores my soul. He leads me in paths of righteousness for his name’s sake. Even though I walk through the valley of the shadow of death, I fear no evil; for thou art with me; 756 South 1st Street, Suite 202 Louisville, Kentucky 40202 thy rod and thy staff, they comfort me. ! Toll Free: 877.818.6620 " Facsimile: 502.588.3170 Thou preparest a table before me in the presence of my Patrick Luck, Editor & Publisher Courtney Hill enemies; • pluck01@autosuccess.biz Sales-improvement Strategist thou anointest my head with oil, my cup overflows. • chill04@autosuccess.biz Surely goodness and mercy shall follow me all the days of my Susan Goodman, Vice President life; • sgoodman02@autosuccess.biz Thomas Williams, Creative Director and I shall dwell in the house of the Lord for ever. • twilliams03@autosuccess.biz Success Driven Solutions AutoSuccess Magazine is published monthly at 756 South First Street, Suite 202, Louisville, Kentucky, 40202; 502.588.3155, fax 502.588.3170. Direct all subscription and customer service inquiries to 877.818.6620 or info@autosuccess.biz.Subscriptionrateis$75peryear.AutoSuccesswelcomesunsolicitededitorialsandgraphics(notresponsiblefortheirreturn).Allsubmittededitorialsandgraphicsaresubjecttoeditingforgrammar,content,andpagelength.AutoSuccess provides its contributing writers latitude in expressing advice and solutions; views expressed are not necessarily those ofAutoSuccess and by no means reflect any guarantees.Always confer with legal counsel before implementing changes in procedures. © All contents copyrighted by AutoSuccess Magazine, a Division of Systems Marketing, Inc. All rights reserved. Reproduction in whole or part is prohibited without express written consent from AutoSuccess. AutoSuccess may occasionally make readers’ names available to other companies whose products and/or services may be of interest; readers may request that names be removed by calling 877.818.6620. Printed in the USA. Postmaster: Send address changes to AutoSuccess Magazine, 756 South First Street, Suite 202, Louisville, Kentucky 40202.
  • 10. sf special feature ChulaSchlesinger Chess Champion Has the Drive to Succeed Thousands of young difference to ensure this type of violence men and women who stops in America in his lifetime. will be graduating high school or Orrin left behind his successful car college this spring dealership, which he had owned for 10 are looking forward years. He focused every personal asset, and to the ultimate graduation present. Mom all of his savings to launch his grassroots and Dad have promised a trip to the local crime prevention program, Be Someone dealership to pick out their first automobile Inc. He targets crime where it begins, in upon graduation. the inner cities of our country disguised as poverty, sickness and hopelessness. There are, however, thousands more young adults who will never realize that American Orrin has developed several mentoring dream. Their lives are starkly different from programs that teach children life mastery mainstream America. Many at-risk children skills, using chess as a metaphor. Using living in the inner cities of our country his personal resources, dedication and CNN, Orrin and his life changing programs have no hope of ever finishing school, passion for his dream, he has touched the have been featured on Fox News, CNN, or attending college based on the current lives of more than 15,000 children and their TBS Superstation, as well as having been deplorable circumstances in which they families. His programs have been taught in highlighted with a full-page article in USA find themselves. more than 30 schools in five states. Today. He has been interviewed and his programs featured in countless media and One man has vowed to change this grim Dramatic changes occur in the lives of news outlets. prediction by dedicating his life to the these children when someone who is as fulfillment of his personal dream. Orrin powerful a mentor as Orrin Hudson appears Although the recipient of numerous Hudson, a leading nationally recognized in their lives. They immediately respond to community service and leadership awards, chess champion has turned his dream of his charismatic personality and energetic Orrin remains humble and thankful for mentoring children through the game of teaching style. Upon completion of Orrin’s the opportunity to serve his community. chess into a life-long pursuit. classes, reported improvements include His personal reward is in the achievement extended concentration time, improved of the children throughout the country In 2001, Orrin was shocked, as was the rest grades, more positive social skills and currently enrolled in his programs. He has of the country, to hear of the incident in concern for others. Students exhibit the recently received the 2004 Martin Luther Queens, New York in which a young black ability to think more clearly and apply King Jr. Community Service Award, 2004 youth terrorized the patrons of Wendy’s problem solving skills. They develop a TBS Superstation Pathfinders Award Restaurant. He ultimately herded several clearer understanding of consequences and for Education, and 2004 Atlanta Braves of them into the cooler and shot them in the ability to recognize patterns to increase Leadership Award, among others. As a the head for a paltry sum of $2,000. As a forward thinking. testament to his selfless achievements, he former U.S. Air Force and Alabama State is currently the subject of an upcoming Trooper veteran, Orrin vowed to make a Dubbed the “Piped Piper of Positivity” by screenplay expected to be released next year. 10 www.autosuccess.biz
  • 11. continued What does Orrin Hudson have? Heart. His that results. If they can’t find a way to win and share with your employees and their passion for learning, and burning concern at life, we all lose,” Orrin Hudson said. families the powerful success mastery for the students he mentors, keeps him skills that he has taught to thousands. He is working long and hard even when his If Orrin and Be Someone, Inc can reach a dynamic personal coach. personal resources are depleted. He needs them before its too late ... we are all our support. winners. To learn more about Be Someone Inc. please visit the Web site at www.besomeone.org. As an author, trainer, coach, educator and “It is not just about the game of chess. It is To donate, sponsor children or sponsor a motivational speaker, Orrin has amassed about the game of life, and learning how to school in your hometown, please contact some hefty accolades. win at every level.” Orrin Hudson Orrin. Be Someone Inc. is a non-profit organization. “I salute you on your quest to develop To thank you for your consideration and Orrin Hudson can be contacted yourself in order to make a difference in help with his programs, Orrin has agreed at 800.901.3057, or by e-mail at others’ lives. We are kindred souls in that I, to appear at your dealership for no charge ohudson@autosuccess.biz. too, have always had an insatiable hunger for knowledge and excellence. Live with Passion!” Anthony Robbins, No. 1 best DEALERS MUST BE selling author, motivational speaker “I am extremely impressed with your organization, especially since our youth are desperately in need of leadership and guidance. I admire your zeal, and your enthusiasm is contagious.” Brian Tracy No. 1 best selling author, motivational speaker ON TELEVISION! “Orrin C. Hudson is destined to inspire See why over 100 dealers nationwide have our youth in a positive and extraordinary INCREASED SALES MORE THAN 30% IN way. I like his tough-minded optimism and charisma.” Mark Victor Hansen No. 1 LESS THAN 90 DAYS WITH TELEVISION! best selling author, motivational speaker We produce nearly 4,000 commercials “I enthusiastically endorse the work of a year from our studios. We give you Orrin C. Hudson, founder and president of Be Someone Inc. and all that he does unlimited, high quality television campaigns for our children.” Jane Fonda, actress, and promotions FREE. With computerized director media buying technology, we buy television as much as 30%-40% more effectively than any “Orrin, you amazed me with your ability to get results!” Jack Canfield, author, media buyer in the nation and give you motivational speaker UNLIMITED TV CAMPAIGNS You can partner with Orrin and Be AND PROMOTIONS! Someone Inc. Through your tax-deductible Call for a FREE demo tape and information. donation you can sponsor a child or several children today by offering scholarships to the program. You will positively change the life of a child forever. By partnering Larry John Wright, Inc. Automotive Advertising with Be Someone Inc., you will be fighting crime, illiteracy and hopelessness for thousands of American children. “America’s Premier Automotive Advertising Agency” “The future of our country and our youth 1-800-821-5068 depends on what we do today. If we ignore this generation and allow them to continue to travel their current path through inner city poverty and despair, we are also responsible for the crime and desperation january 2005 11
  • 12. sts ms ls fis lr ZigZiglar sales and training solution Are You an IMPACT Player How can we become P = Passion modeling and our passion and our actions. IMPACT players Passion is doing what makes us feel the We must enjoy our journey, not just the in our companies, most alive!!! We must develop a passion arrival. Along the way we must remind organizations, for what we do. This passion will get us out ourselves to have fun, loosen up and laugh c h u r c h e s , of bed in the morning when we don’t feel out loud. We shouldn’t take ourselves too communities, and like it. Passion sets fire to discouragement. seriously. Remember: Angels fly because families? Here are a few ideas: Passion creates excitement in those around they take themselves lightly. us. If you light yourself with passion, I = Intensity people will come from miles around to T = Trust We must be focused on our goals and watch you burn. We must learn to trust ourselves. Too often dedicated to put forth the effort necessary we are waiting for all the lights to turn to achieve those goals. Intensity doesn’t A = Action green before we leave home. There is an mean being so serious you aren’t enjoying By turning passion into action, we will adage that states: trust your gut. We should the process. It does mean being serious surely make an impact! Oftentimes, this learn to trust our feelings. enough to overcome obstacles that stand in is the biggest challenge we face - putting the way. Remember: you are either intense our passion into action. There are times By becoming an IMPACT player, all those … or you are past tense! when we don’t feel like being impact around you will benefit. Go out there today players. Our passion is at a low level, and and knock’ em alive! M = Model the correct behavior the feelings have gone. The key is this: We Yogi Berra once said you could observe must “act” our way into feeling and not a lot by watching. We should observe wait to “feel” our way into acting. Zig Ziglar is the chairman of the board of positive role models and “steal” the Ziglar Training Systems in Dallas, TX. He effective aspects of them. We should then C = Comedy relief can be contacted at 866.873.0026, or by model that behavior on a consistent basis. We must enjoy our intensity and our e-mail at zziglar@autosuccess.biz. 12 www.autosuccess.biz
  • 13. sts ms ls fis lr BryanAnderson sales and training solution 10 Steps to CRM Success A successful CRM 4. Build value into every customer record through the cracks any longer. implementation will with processes produce a tremendous You want your CRM feature-rich, and 7. Execute a strategic plan of business return on investment. make sure those features work within every day. Let’s examine 10 the framework of the sales process. Your Aim at nothing and you’ll be sure to hit it fundamental steps to sales people will be able to take an up every time. CRM provides each sales person achieving CRM success. and move through the sales process with with a daily business plan based on clear, ease. Real-time Web-based services concise rules for every type of customer 1. Present to your staff the beneÞts of (such as reverse lookup technology and (appointments, leads, prospects, owners, using CRM compliance with the Do Not Call Registry) renewals, etc.). It’s an automated list of Sales people will save time because will enhance customer records. In addition calls to be made plus letters and e-mails to worksheets, appraisals, credit apps and add to basic contact info, the customer record be sent. CRM ties into your phone system ons are automatically and professionally will show all prospect history, all sales to measure outbound call compliance and laser-printed. They will be able to move history (including gross profit), all service to report on the calls your sales associates through the sales process effectively and history, all after-sale history, a complete log. All of this data is analyzed in a report with greater ease. It provides a simple, customer profile, all credit information, format, allowing you to interactively view but powerful, first-pencil tool, credit complaint management (keep track of their each customer record. bureau processing, inventory look-up, and concerns), all e-mail history and the DMS appraisal management with Blackbook customer number (to create real-time data 8. Clearly identify customer types and sub- lookup. Sales people will enjoy automatic synchronization). Finally, the process will types within your CRM follow up, as if each had his or her own conclude with a complete analysis of all Unsold customers cannot be grouped personal assistant who printed daily letters, data through interactive reporting. together. A customer who was unable to sent daily e-mails, and strategically built secure financing is different than the unsold a plan of business 365 days a year. It will 5. Seek the immediate beneÞts of a real- customer who told his or her sales person offer real-time integration with your DMS, time environment that he or she bought elsewhere. A be-back Internet leads and phone leads. You’ll Reap the benefits of a real-time environment that is ready to buy in days is different than get total buy-in of your sales staff. When in which people, process and data are a prospect that is ready to buy in months. sales people properly use CRM as a tool to managed. At any given time, your managers With a more detailed approach, you will sell success, they all sell more cars, which will are able to see which customers (and sales more cars. increase their income. associates) are in the dealership. At a glance they are able to see today’s appointments, 9. Appreciate and acknowledge personal 2. Attack your database on a daily basis ups, prospecting/owner calls, tomorrow’s lead production (PLP) Managers can easily create targeted appointments and sold units, both for today Your CRM can clearly categorize prospects advertising campaigns. They now engage and the month. Managers are able to tell found through a sales person’s personal in a daily review of the floor traffic as who is responsible for the numbers (who is networking. It tracks referrals received well as those deals that can be saved. doing their job and who isn’t). First-pencil during calls to sold customers. Teaching Sales people log in every day to find a figures are seen at the tower the moment your sales force to produce these prospects planner full of opportunities from today’s they are created. On any deal not closed, will increase revenue in all departments. appointments to prospecting for referrals a manager is prompted to follow up with Reward your sales staff for their own and closing renewal business. Produce a call to save the deal. Now put this kind personal lead production. results every day. of power into the hands of your BDC, and you’ll see your call center, sales team, 10. Create a data collection process to 3. Prepare and service team work together in ways capture 100 percent of customer information Your CRM provider is able to efficiently you never could outside of a real-time Successful CRM has less to do with cutting- pull every DMS record possible, for both environment. edge features and more to do with how sales and service. If a customer’s name and those features are designed to fit your sales number has been recorded somewhere at 6. Implement a speciÞc process for pipeline process. Attention to process is the main some point, that customer will end up in management component a successful CRM incorporates your CRM. These records are scrubbed Every customer record has value. When and the main reason why many solutions against the National Change of Address sales people reach a barrier with a succeed in dealerships. (NCOA) database to ensure that your data customer a trigger prompts a manager to Bryan Anderson is the founder and is accurate. Then each record is matched step in. When managed in a dynamic and president of Autobase Inc. He can be with a current sales person and a plan for interactive process, dealerships save money contacted at 800.350.9683, or by e-mail at follow-up. in a short amount of time. No one slips banderson@autosuccess.biz. january 2005 13
  • 14. sts ms ls fis lr AdamDeGraide leadership solution On Becoming a Servant Leader How do you define servant leader is aiming to go beyond success in servant leadership depends on leadership? Ken success and social significance and how clearly values are defined, ordered and Blanchard, co-author approaches leadership as an act of service lived by the leader. Living out these values of “The One-Minute from the perspective of what we can give and core beliefs is where most leaders and Manager”, “Raving rather than what we can get. Sounds easy, dealerships can get into trouble. You cannot Fans” and now the but leadership for the purpose of serving just talk the talk, you must walk the walk. “The Servant Leader”, defines leadership others will fail if we fall prey to false pride Effective implementation requires turning as “an influence process – any time you are and fear. the traditional hierarchy of a dealership trying to influence the thoughts and actions upside down so that the customers and of others toward goal accomplishment in Close examination of failed leadership the folks on the front line are at the top of either their personal or professional life, efforts usually reveals a self-serving leader the organization with all of the tools and you are engaging in leadership.” It makes who has been drawn by pride into taking too resources needed to do their job, while the sense to measure our success as a leader by much credit, showing off and demanding leaders serve the needs of the employees; our ability to shape what others think, do attention or by fear that compels a person helping them to accomplish the vision and and say as they try and find meaning and to protect him or herself, hide behind a direction of the dealership. their purpose in the world. It can also help title, intimidate others, discourage honest to ask if we are being selfless or selfish. feedback and ultimately become known as Putting it into action The answer to this question compels us to a control freak. In preparing your heart it Once you feel and understand the concepts, search our inner motivations and measure is important to treat others as if they are as are you really willing to change your heart, our actions and habits in light of the goal of important as we are. Why? We treat people your mind and your behavior to become a being a better servant leader. In this article the way that we see them, and if we see better servant leader? Once you step out it are some ideas for preparing our hearts, them as inferior we will treat them that is important to step up and stay the course. bringing clarity to our minds and applying way. When we treat everyone as if he or Change is a given, it will happen. Your and putting into action servant leader she were valuable and worthy of our time, organization will adapt or die, and you as a principles within our dealerships, families respect and attention, what do you think person will either grow or go. By becoming “ and communities. would happen in our relationships? Do unto “other focused,” we can truly begin to lead others as you would have done unto you is the right way and others will want to follow the Golden Rule, and it works. out of faith and hope instead of fear and Prepare your Cleaning out the mind manipulation. It’s been said that if life is all about you, than you is all you’ll ever have. heart, clear Garbage in - garbage out. It’s time for us In order to work at taming an addiction to out your mind to take out the trash, wash out the cans. personal pride it helps to ask some hard When we allow our minds to be filled with questions: and put it into so much junk, we truly need to flush out the garbage and bring in the fresh air of • Do I think of myself more often action. As a balanced thinking. All great leaders have a than I think of others? servant leader, specific leadership point of view and belief • Have I developed a habit of giving? system that defines how they see their role • Can I participate in a group without you can and their relationships with those they seek taking charge? ” to influence. Our belief system is shaped • Can I enjoy the successes of others accomplish by our past experiences, our attitudes and or does everything have to be about anything. feelings, our perceptions, our capacity for me? critical thinking and our education. What • Do I use plain, honest speech, we think is impacted by what we feed our letting “yes” be yes and “no” be no? mind. To make a positive impact on what • Do I do what I ask others to do? Preparing the heart we think, it helps to surround ourselves with Regardless of your title and position in the positive people and positive experiences. Prepare your heart, clear out your mind and dealership, any one can be a leader. It has put it into action. As a servant leader, you nothing to do with your job and everything You are who you hang with, never can accomplish anything. to do with your character and your forget that. As a result, it helps to find a intent. Whether you’re the title clerk, the role model who has the vision to do the receptionist, a sales person, a desk manager right thing and, from an implementation Adam DeGraide is an owner of or the dealer, people in the dealership can standpoint, has the ability to do things BZResults.com. He can be contacted at feel it when we have a mission and we’re right. Values are also important because 800.526.9804, or by e-mail at seeking to lead for a higher purpose. The they define what you stand for, and true adegraide@autosuccess.biz. 14 www.autosuccess.biz
  • 15. Our consultants will help your dealership achieve: • Industry Leading Gross Profits • Sustainable Sales Process • Maximum, Compliant F&I PVR • Professional Management Systems • Power Negotiation Techniques • Professional Sales Skills • Accountability and Objective Tracking Give Ziegler and his team a call! 800-726-0510 You want warm and fuzzy? We got your warm and fuzzy right here. Ziegler Supersystems • www.ZieglerSuperSystems.com • 800-726-0510 Call today to speak to a Ziegler Representative In-Store Consulting - Management Seminars - Video Sales Training - Support Products
  • 16. sts ms ls fis lr BruceThompson marketing solution Almost $600,000 to the Bottom Line An effective inventory management and inventory wholesale time data from NADA, Kelley Blue Book, management system acquisition and liquidation. Black Book, MMR, CarFax, AutoCheck, coupled with real-time DealerBasics and other services, many times productivity tools, Most of the companies (vendors), who have within the same screen. based on accurate entered the industry of pre-owned vehicle market conditions management, aspire to meet the demand of A trade desk tool is utilized to assist those and real-time pricing, will benefit your those three areas with the ongoing feedback with multiple dealerships. This tool matches organization because it gives the dealership from dealerships. The goal in mind is to surpluses and needs between dealers in management team and the sales management benefit multiple aspects of used vehicle a group that can be managed and traded team the knowledge needed to properly operations and encourage the repetitive by a single group manager. You need evaluate deals scientifically with little or no management processes for every used accountable key people operating the guesswork. vehicle. management system, working with dealer groups to customize backend fulfillment Software systems have been coupled with A significant aspect of used vehicle processes, including title processing and the correct level of training and support so operations involves customer appraisals and transport notifications, to make the trade that these new productivity tools are simple trades. Trade-ins account for approximately process efficient. to use, easy to implement and based on real- 60 percent of the pre-owned automobiles time data in an ever-changing market. retailed by a dealership. There is also a mechanism for dealers to send alerts out to other dealers for a vehicle they Management systems for auto parts are a When the dealership knows at the time of are appraising or have in inventory with a standard business practice at dealerships. the vehicle appraisal that this model tends requested buy-now price. Dealers receiving It make sense to manage millions of dollars to retail for a strong profit, or that another these alerts can counter with a different price in pre-owned vehicle inventory as well. dealership within his group could use that for the vehicle or request to purchase the Wouldn’t you agree there is a need? vehicle, the dealer can offer the potential vehicle at the buy-now price. This is ideal customer a premium for their trade-in and for dealers to shop potential or recent trades There are sophisticated systems for managing subsequently make another car sale – at a to a network of dealers. pre-owned inventory. All systems have good profit. similar goals: eliminate wholesale loss and Some systems help to compile the unproductive inventory, achieve consistent Use of these systems and processes can dealership ideal inventory model and gives under-30-day turns, real-time inventory improve a dealership’s ratio from trading ideal and actual inventory calculations, management control at the dealership level, for two out of 10 vehicles to almost five recommendations, aging reports, retail vs. maintain proper inventory mix, provide out of 10. For an average sized dealership, wholesale reports and a quick-glance at a instantaneous buy/sell recommendations, this could mean almost 30 additional new or dealership’s sales history with all makes and provide more scientific appraisal tools with used car sales in a month, or approximately models. This makes the selection process real market values and increased trade $45,000 in additional front and back-end for trades and the appraisal process more of opportunities. gross profit. a predictable, accountable process. The biggest challenge for the used car Vehicle inventory management systems will There are tools that provide a trading network manger can be adopting and embracing help the dealer and the used car manager that matches inventory needs between change. Robert Kennedy said, “Progress is determine individual marketing strategies. dealers, thus creating a real-time channel good but change is its motivator and change Some systems provide consistent inventory for dealers to shop vehicles over the network has enemies.” The improvements of a used recommendations for each vehicle being while a trade is being evaluated. This can vehicle management system will increase evaluated, as well as data that will help replace the system whereby the used car profits in all departments. make better decisions for each car deal. manager calls other used car managers, one The consistent use of these tools will guide at a time, to see if they would purchase the A dealership that instituted one of these managers to stock what will sell best at that vehicle, call wholesalers or purchase the systems experienced the following. particular dealership. Consistent compliance trade unit at a conservative amount and Before implementation, retail pre-owned with the inventory recommendations will later take the vehicle to an auction. Used car vehicle volume was 97, after 116. Before result in increases of gross profit and an managers are able to identify and purchase implementation, the average retail pre- improvement in turn time of about 15 vehicles they know will retail well before a owned front end was $953, after $1,220. percent. vehicle ages, therefore reducing wholesale Before implementation, the retail pre-owned losses. turn time was 25 days, after 21.5. This These systems provide daily inventory translated into an average increase in front- management tools, such as book-out sheets, end profit of more than $49,000 – almost inventory recommendations, past history, $600,000 to the bottom line that was laying vehicle condition history, book values and Bruce Thompson is the chief executive dormant at the dealership. appraisal sheets. The appraisal portion ofÞcer and founder of American Auto provides tools for dealers to track appraisal Exchange. He can be contacted at Three main areas of pre-owned operations performance and trade rates and to work 800.901.3017, or by e-mail at are appraisals and trade-ins, inventory deals with customers. It incorporates real- bthompson@autosuccess.biz. 16 www.autosuccess.biz
  • 17.
  • 18. sts ms ls fis lr AnthonyHall sales and training solution Silence is Golden Sales people need test all accessories, i.e., windshield wipers, • How many miles on the current to bring out the true radio, heater, air conditioning, power seats, tires? condition of the all power windows, etc. Record all defects. • Is this car equipped with a spare tire customer’s trade- and a jack? in professionally Next, drive the car with the customer and • Does the car have an environmental because by not doing check for any mechanical problems. Helpful protection package? so, we are leaving gross profit on the table hint: Always ask the customer, “What is • Do you have both sets of keys and due to over-allowing on trade-ins. that noise?” The customer will always the key fobs? respond with an explanation. Make one This can be corrected with a silent trade quick trip around the block. Once back at “And if you had to rate you car, Mr. or evaluation (condition, not value). The the dealership, park the trade-in as close as Ms. customer, on a scale of one to 10, with process starts after a quality demonstration possible to the vehicle they are buying. This 10 being absolutely perfect, showroom drive and commitment to buy if all terms is a great opportunity to show the difference condition, how would you rate your car?” “ are agreeable. between old and new. Most people respond between six and eight. Where would it rate on the scale? Once the commitment to buy has been established, proceed to your trade This whole In consideration of this rating, the buyer has process takes evaluation. Ask the customer if there is three prices in mind for their trade-in: a vehicle they would like to sell to the dealership. “Help me, help you, sell your vehicle to ABC Motors. Show me.” less than 15 to 1. Asking price. 2. Liking price. With clipboard in hand and a trade 20 minutes and 3. Taking price. evaluation form attached, start by having produces huge Through this process, the sales person the customer read the mileage on his or her vehicle. Record it on the form. No words returns. It also has can bring the customer from an asking price, which always equates to a huge from you, but you may want to do the wince and flinch (a very effective tool). Also, ask a positive effect over-allowance based on actual cash value of the trade, all the way to a taking price. on yours and the ” him or her to activate the hood release while The difference can be as much as $1,000 dealership’s CSI they’re in position. Proceed to the front to $2,000. This is the difference between of the vehicle and lift the hood. Record a little or no gross to a much more fair and any oil leaks, over spray, or worn belts (Silence, touch and feel). Proceed to the scores. reasonable gross. It has the ability to take a lot of the confrontation out of negotiation front bumper, touch any scratches, dents, when it is time to present trade figures. cracked headlights, etc., and record them. Then, bring the customer inside and sit him Move to the passenger side, recording tire or her down in the negotiation area. This A customer’s perception can be summed up wear (at this point, you may want to use the is the point where we ask them some key this way: I’m going to pay this much for the “penny-tire wear gauge”). Hold a penny so questions: car I’m buying. I am going to get this much you can slip it between the tread. If you can for my trade-in; all I have got to do is pay see the top of Abe Lincoln’s head, the tire • Do you have the title? the difference. wear is beyond the point where it will pass • Is this a salvaged title? state inspection. Touch every dent, scratch, • Is the title free and clear? It is the sales person’s job to increase the or defect and record them. At this point, wait • Lien holder – pay off? perceived value of the car they are buying. for stories on how each dent happened. • Has the vehicle ever had any (Walk-around, November article) and collision damage? If yes, what type respectfully decrease the perceived value of Move to the back of the car and at this of damage and what was the cost of their trade-in. This is where the gross and point, ask for the keys. Open the trunk, the repairs? your commission are. hatchback, etc. Check for the spare tire jack, • Has the vehicle had any mechanical look for any fluid bottles, i.e., brake fluid, repairs? If yes, what type of repairs? This whole process takes less than 15 to transmission fluid, oil, etc. Pick up each • Was the vehicle purchased new? 20 minutes and produces huge returns. It bottle, hold it close to your ear and shake it, • Has the vehicle ever been smoked also has a positive effect on yours and the looking for half full containers. Move to the in? dealership’s CSI scores. driver’s side, also recording any defects, and • Has it been used for towing? get in and ask your customer to do the same. • What is the date of the last tune-up? Good Selling! Go over the interior thoroughly, checking • What was the date of the last oil for wear and tear, cleanliness, etc. Record change? side glass and windshield condition. • Has the oil been changed every Anthony Hall is a training consultant 4,000 miles? at Ziegler Supersystems. He can be While in the driver’s seat, start the vehicle • Do you have all the required contacted at 800.610.9047, or by e-mail at and turn on every piece of equipment and maintenance history? ahall@autosuccess.biz. 18 successful solutions at www.autosuccess.biz
  • 19. sts ms ls fis lr CarolMartin sales and training solution How to Identify and Sell to the Entrepreneur Personality If you could connect take the upper hand in situations and have with your prospective an innate ability to convince others to see buyer, would it help things their way. Outwitting, outdoing, or get the sale? Would overpowering them can prove to be a tall you want to know task, as they usually have good answers for how to specifically everything and are not the least bit afraid to sell a customer who is outspoken and speak up. They are win-driven, competitive demanding? What if you could create and and determined to stay in control of pique genuine interest in a shopper who situations. They will probably relate well seems unmotivated? Have you ever made to you if you seem equally enterprising and a sale when a prospect said he or she was self-assured; they respect and appreciate just looking? your competitive drive. This article is the first in a three-part While all entrepreneur personalities share series dealing with how different buyer the same general characteristics and personalities respond to various sales display overall behavioral patterns that are presentations. You’ll learn how to read your similar, it’s important to know that there prospect, detect subtle buying cues, and are different levels of each defining trait. tailor your presentation to trigger a positive Some entrepreneurs have exceedingly response from even your most challenging strong and determined personalities. These customers. entrepreneurs can be charming, but they can also be outwardly bold and impatient. Part 1: How to identify and sell to the If your customer seems highly aggressive Entrepreneur personality and antsy, be prepared to be a little less Part 2: How to identify and sell to the forceful when talking business, so as to Technician personality avoid bumping heads and thus triggering Part 3: Will the Accommodator an unwelcome and, perhaps, deal-breaking, personality ever, in your lifetime, confrontation. Consider these strategies actually buy a car? when working with an entrepreneur: Entrepreneur personalities will usually be • End your sales pitch with a sentence talkative and fast-paced. They’ll also be like: “Of course, it’s up to you whether friendly. True entrepreneurs like to make you want to take advantage of this their own decisions, and they may seem special, because you have to make that to have a very clear idea of which vehicles decision” they do, and do not, want to buy. In terms of dollars and cents, do not hesitate to • Make his or her ideas seem like negotiate with them. your own. For example, point out an obviously positive feature about the Some entrepreneurs might seem a little vehicle, something with which the demanding, but they can also soften those prospect is sure to agree. Once he or demands when they want to, by putting she does, get him or her to elaborate on their excellent social skills to good use. it and then say something like: “You’re They might make some small talk, establish exactly right! I never thought of it that easy rapport, so their own business way.” objectives can be more readily attained. They are typically confident, assertive and Virtually all entrepreneurs can identify with fast-paced individuals. You will probably people who are driven to win. Talk about not find an entrepreneur personality asking your own successes; if you met or exceeded for a lot of help, putting himself/herself your goal last month, work that into the down or waiting long for an answer to a conversation. question. If you notice that your customer seems self-sufficient, confident, talkative, quick and very proactive, you are probably Carol Martin is a senior consultant dealing with an entrepreneur personality. with The Omnia Group. She can be contacted at 800.601.3216, or by e-mail at Entrepreneurs are leaders. They instinctively cmartin@autosuccess.biz. january 2005 19
  • 20. sts ms ls fis lr marketing solution ScottJoseph Discover How to Eliminate Your Dealership’s ‘TrafÞc in the Door’ Challenges I ask dealers and businesses, is one of the least understood training, which leads to better general managers and most underutilized facets of business customer education. all the time, “What today. • Track all advertisements and is your biggest measure the ROI. Know exactly challenge in selling In these competitive times, the importance what is working and, more cars today?” Almost of marketing is even greater than before. importantly, what is not. always their answer is “traffic.” The more Why? In this wildly unpredictable and I study the challenge of generating more changing marketplace, dealerships must 2. Increase customer retention by: traffic and staying ahead in competitive have an edge or they will not survive • Communicating frequently with times, the more I am convinced it boils – they’ll lose their share of market to their customers. down to one principle – marketing. As competitors. • Provide compelling reasons as to we start 2005, now’s the time for you to why they should come back in tune up your marketing – to make sure The simple fundamentals of marketing – the and buy another vehicle with you’re getting new customers coming in, obvious marketing techniques that make a special offers before they are old customers coming back and customers lot of money – are the most powerful. After announced to the general public. purchasing more often. all, you can do all sorts of advertising, but if you ignore the basics, the money just will 3. Increase closing rate by: Marketing is the main spring of every not come easily. • Increase the sales skills with business. After all, marketing is the science training. of getting people to come in and test drive Does your dealership(s) have an actual • Develop an advertising strategy your cars and have them try your parts and marketing plan? There are only three ways that allows your sales staff the service departments. It persuades them to to grow your business; 1) sell to more opportunity to qualify the wants come back again and again and induces customers, 2) increase your gross average and needs of customers up front. them to purchase at higher grosses when and 3) increase how often customers spend • Offer great deals for the customer. “ they do come back. money with you. What is your growth • Educate customers by giving strategy to accomplish these goals? “reasons why” they should buy from you. Maximize A real marketing growth strategy incorporates advertising, sales and your To increase your gross averages, focus on: the potential corporate identity. Maximize the potential of the marketing plan by working backward • Use direct response ads that attract buyers who negotiate less (it of the – start from sales. For any marketing plan to work the advertising element must align can be done). • Increase the sales skills. marketing with the way your dealership sells cars. The class war between marketing and sales is a • Managers start every deal. • Use direct response ads that plan by primary reason for program failure. There are direct response advertising strategies increase the percentage of people who talk numbers (once again, it can working that can help support your sales team – even be done). make them better. backwards To increase how often customers spend To increase sales, focus on the following: money with you, focus on: ” – start from 1. Increasing your phone traffic, new • Use direct response techniques and used floor traffic, parts and service to create compelling reasons sales. business by: why customers should come in • Aggressively marketing products and buy another vehicle from you and services by using direct right now. response advertising rather than the • Run special events such Marketing is not just advertising. normal institutional advertising. as “clearance and new model It incorporates sales, advertising, your • Run special sales events. introduction” events, and so on. business identity and a host of other • Develop a unique selling • Special offers for sales. ingredients that are less obvious. Without proposition and a corporate • Monthly parts and service marketing, you lose customers. And identity. This identity must be offers to induce frequency. without customers, you lose business. recognizable in all communications and convey your unique selling Scott Joseph is the president of J&L Marketing can make the difference between proposition. Marketing Inc. He can be contacted the life and death of your dealership. Yet, • Increase the perceived value of at 866.429.6846, or by e-mail at marketing, which is the prime mover of the product through better sales sjoseph@autosuccess.biz. 20 www.autosuccess.biz
  • 21. Service Manager Uncovers $10,500 of Hidden Net Profit per Month... (details on Þle) With the help of KEEPS, we increased our net proÞt after attending the Finding & Keeping Hidden by $104,287 in one year. We did this with the same number of techs and less customer pay RO’s than the previous year. Sam Lilly, Fixed Operations Director Royal Chevrolet, Lynchburg, VA Net ProÞts in Your Service Prior to KEEPS, we barely made $100,000 net Department WORKSHOP proÞt combined with 6 Service Departments. Using the structured processes and highly motivational pay plans of the KEEPS system our combined Discover powerful new tools for getting net proÞt should be over $1,000,000 for 2004. Our customer retention and repeat business has never been better. your Service Department to the next level. Rusty Holcomb, Service Director A small sample of what you will learn: Page Auto Group, Richmond, VA ! Eight speciÞc techniques to increase your I have spent 10+ years working with Þxed operations customer pay effective labor rate by $4.50 trainers out of Birmingham, AL. I learned more in to $6.50 per hour while improving CSI this workshop than in those 10 years combined. Dan Folk, Service Director ! Six techniques to design and build highly Friendly Ford, Monroe, MI proÞtable service menus ! “R.O.A.M.S.” the ultimate technology for achieving the next level of PROFITABILITY Go to our website Call Today for a FREE Service for complete workshop Department Finiancial Analysis Tool content details, dates and locations. www.keepscorp.com 800.901.2863 This one day workshop comes with a 100% money back guarantee
  • 22. fs feature solution PatrickLuck 2005 eDealers of the Year Our January issue is dedicated to honoring the forefront of digital marketing, enabling to establish an Internet marketing strategy. the Top 10 eDealers of 2005. The them to sell 50 to 800 units every single This person typically winds up spending benchmark for consideration for winning month. Successful dealers recognize and a lot of time updating and maintaining a this year’s award is results as measured appreciate the fact that 70 percent to 80 nice-looking, information rich site that is by volume of Internet sales and by how percent of all customers who purchase a largely ineffective and when taken to the well the dealers use the Internet and digital new or used vehicle use the Web at some extreme, these are the dealers who abandon marketing to promote all of their profit point in the buying process. Some dealers the Internet entirely. In contrast, our Top 10 centers: new, used, F&I, service, parts, etc. have even scrapped their conventional dealers tell us about personal involvement Our goal was to seek out the dealers who advertising budget and dropped their cost in selecting the right vendors and defining are the best at using this marketing medium per sale from $300+ to less than $150 an Internet sales strategy and vision with to generate huge increases in profit for their per sale. In recognition of these and other their entire leadership teams. Some of the dealerships. We considered the number of outstanding achievements, we devote this areas dealers consider when establishing rooftops, the size of the dealership or dealer article to recognizing the Top 10 eDealers their strategy and vision are: technology, group, their markets, the brands they carry of 2005 and we will share some of the best marketing, process, people, pricing and and their Internet profits as a percentage practices that have positioned them at the measurement. of their total profits. Here’s the detailed top in their field. criteria used to select the winners: Establishing Your Strategy & Vision by Internet Strategy & Vision: Seeking to Answer 10 Questions: • Profit generated as a result of We found that commitment starts with Technology: How do we separate the hype Internet marketing the dealer principle himself and cascades from what works? What vendors deliver • New and used vehicle sales volume throughout the rest of the organization a clear return on investment and what as a result of Internet marketing in direct proportion to dealer’s level of technology can successfully automate parts • F&I and subprime profits as a result commitment. For the award winners, of the process? of Internet marketing the vision doesn’t start with the General • Online service and parts business Manager or the Internet Director or Marketing: What are some best practices for using the Web and digital marketing to 2005 eDealers of the Winners! Congratulations, eDealer of the Year Award Year attract more customers to the dealership? What is the best use of my advertising budget and how much should be devoted to Dealership Location Website digital marketing? Paragon Honda & Acura New York, NY www.ParagonCars.com Dick Hannah New York, NY www.DickHannah.com Process: How can a dealer fine-tune Ralph Schomp Automotive New York, NY www.Schomp.com his process to ensure that more of his Tasca Automotive Group Providence, RI wwwTasca.com opportunities are being transformed into Herb Chambers Boston, MA www.HerbChambers.com Red McCombs San Antonio, CA www.RedMcCombs.com profitable sales? Earnhardt Auto Centers Tempe, AZ www.Earnhardt.com Courtesy Chevrolet Phoenix, AZ www.HouseofCourtesy.com People: What are the secrets to lowering Dave Smith Motors Kellogg, ID www.DaveSmithMotors.com employee turnover? What are some best Sheehy Virginia/DC www.Sheehy.com practices for recruiting, hiring and training the right team? We learned a lot about what determines another member of the leadership team; a dealer’s success with using the Web to for the winners, commitment to an Internet Pricing: When, where and how do the generate increased sales and service profits. strategy and vision begins with the most successful dealers address pricing We found some commonalities among dealer himself. A common mistake some on the Internet? What will work for my the winners and some truly effective best dealerships make is to dedicate or hire a store and what are some best practices for practices that have propelled the winners to technology person and leave it to him or her maintaining a fair profit? 22 www.autosuccess.biz