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The Difference Is One Letter…And What It Gets You Is Much More

Many times people ask me why IM@CS is not a training company, even though plenty of people call what we do by the "T" word. The response every single person receives, for the last five years – and emphatically – is that people despise being trained. People, more successful ones for sure, love learning. In short, we've never had a staff member at a client that ever deserved such a low pat of the attention span.

Education, however, is what people and businesses that want to succeed tune into. There are plenty of trainers to choke 17,000 new car franchises to death, and then some. There are so very few educators, especially in the digital space. That aren't beholden to vendors they recommend (read: if you take a fee from a client and a commission from a vendor, that's called a conflict of interest). That don't work at a store 40 hours a week (read: that's an employee, not a consultant). That learn from outside the industry (read: recirculating existing data, quotes, white papers and results from others is simply an affront).

Education, for the few that want it, is the only thing that moves our industry forward. "Getting back to the basics" and "blocking and tackling", while called for and part of daily operation especially when things drop through the cracks, is needed. However, you can't increase results from eCommerce, increase your SEO footprint, establish social media signals, improve your email lead response rate or conquest a new market or brand by "doing what has always worked".

This week brought a great opportunity to share what might be considered as more "digitally savvy" dealerships and vendors in a conversation with an industry colleague. He happens to be someone that I respect, having OEM, portal and agency experience including outside automotive. He asked, among other items, what we're most proud of that we were able to do with a now, more-successful client. My response was that he should ask them, not me…

You see, training is something you do everywhere for everybody that "needs it". Education is something that you provide with varying degrees of success, seeing the results later through your clients and only for those that absolutely want or will kill for it.

One thing I've always been passionate about in providing services to different business over the past twenty plus years is watching their growth. By providing turnkey services or an enterprise-wide platform, as needed as those services are, the baseline is so muted. That doesn't get me or the team of people I get to work with up in the morning. What does is making a difference through education and then supporting the education. Anyone call sell or buy a widget. And many will tell you their widget is better or drives better results. Bulls**t. The people using the widget to their best capability win. Remember who people buy cars from? The least educated one, right?

So what's the difference between training and education? Education is one letter longer. And likely the only thing keeping your dealership back from excellence…

 

Best Practices: Professional Insight, Powerful Results

 

If It Were That Simple, You Wouldn’t Have Done It Yet…

Things are changing. So fast, they’re staying put, at least for the most part. It usually brings a smile to my face when they phrase “We’re doing well. Things could be better, but compared with (fill in competitor) we’re actually doing fine/well“, is muttered for two reasons. First, it’s part of our selection process and second, it’s part of the business’ selection process. “No, we’re not changing” is a great response, even though most can’t get it out of their mouths.

Recently one of our clients called to advise us that they were being pushed be their OEM to do some print advertising, their first in nearly two years. So they advised us that they’ll do it for two months, just to get the heat of their back. That made me think about what business owners and senior management do to simply make their business partners happy, or trying to make competitors worried, or to make a statement as well as a list of other, mostly ego-driven or self-centered, reasons.

Many businesses today are out of touch with their customers even though consumer sentiment and feedback is so readily available today, to the point of nausea. And we don’t ask. Heck, we can’t even get accurate sourcing at the point of sale today as “the fastest way around the system” is what most of those in sales will do because “I just want to sell a (fill in the blank) now”.

Logic tells us if something is easy enough, we should just do it! Logic also tells us most people won’t opt to do things that are deemed difficult so the few that do that harder work reap the greatest benefit. Most things that can increase results relatively quickly, given the proper attention, will absolutely give an unprecedented advantage. Yet most fall short. Well short.

Take, for example, call tracking. Why would you want to use your cell, at your desk, when you can kill two birds with one stone on the business’ land line (unless you have a more advanced CRM that can append a cell call to a customer record)? Convenience is not a reason, that’s called an excuse. Sure, there are reasons to have your land line forwarded to your cell, however it makes sense to get the most out of each contact, being somewhere you can easily take notes and/or check something online and more, simply by making/taking the call at your desk on a tracked phone. (Using this example due to the fact that for most car dealerships this is a huge pain point in accountability and tracking.)

Do we really think the top producing salesperson will drop 20-70% of their sales when pressed to follow a process versus letting them “do it their way” since nobody wants to “rock the boat”? That’s not likely to happen and,  better yet, it’s more likely to provide a boost in production.

More than ever we need to stretch the rubber band if we expect to succeed, not just get along. There are so many simple things that we can get done offering huge benefits in return. They may not always be easy, but they are worth it. The salesperson chatting on the front line may just be able to reach five more people today on the phone. But it won’t happen..

Because if it were really that simple, it just won’t get done. That, ladies and gentlemen, is a big issue.

 

Best Practices: Professional Insight, Powerful Results

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

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

News flash: It always has been so.

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

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

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

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

 

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

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

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

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

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

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

 

Best practices: Professional Insight, Powerful Results


Tricked Ya! Been Here The Whole Time…

So it's been eight weeks since the last post. It feels like an eternity. But it's likely been longer since the companies and people your business depends on have done something for you either. Was that the point of my hiatus? Not quite. It's been incredibly busy here as our client list as well as staff have grown. It has, however, been a great experiment to get requests to start posting again and watch the analytics. But not to worry, everyone else has had your back. Tricked ya! Well, maybe not…

So anyway, how has 2011 started for you? Chances are things are not much different unless the recent NADA and Digital Marketing Strategies Conferences are now on your "I've attended them" list. For the thousands of dealers at NADA in San Francisco, there was a significant buzz that has been absent for the past few years. For the fifty plus dealers at DMSC in Napa, the feedback has been tremendous and the workshop leaders are preparing…wait for it…for FOLLOW UP webinars with the dealers. That will be a first, and something I've been asking event promoters to do for four years (even recommending it to four event heads in the past eight months). Tricked ya! Nope, that's never been done before…

So change has been in the air and it seems that some of it is actually sticking. The dealers that have been ignoring the screaming and yelling have realized that this can be their year by achieving chunks of change consistently. Yeah, you can still hear "it's still about blocking and tackling!" and "it's back to basics for us!", but it's been the most refreshing eight weeks to get calls, emails, tweets and Facebook messages asking for change. Even from some otherwise typically content business owners and managers. Tricked ya! Well gosh, comfortable is not so much anymore…

So, more impotrant that what our small band of ambassadors think…what has been happening for you, your teams, your store, your community? What have you already achieved this year that you want to share? And what will you do to move our community forward? The dealers MUST participate in greater numbers than ever (even though that's not hard to achieve at all) to assist each other. So get your thoughts written down here…and make it count!

Tricked ya! Dealers don't really share on the forums and blogs… Well I hope you do…

 

Best Practices: Professional Insight, Powerful Results

Death By Response: You Lost Me At Hello!

Let's take a moment to ignore the store front, avoid the showroom,
shed technology and just get back to being human. Do you know how to
talk and carry a conversation? Well, if you judge that by much of the
email and phone communication going on at automotive retail, you'd be
left with more questions than answers.

Face it, we have a lot
of room to grow when it comes to 'inviting' the public to car
dealerships. Oh sure, they'll continue to come when they have to buy.
They will find somewhere and someone to buy from. But the fact that most
of you had an easier time asking your first date out, shows we still
have issues when it comes to how to engage a person that wants to
buy!

Many people shrug off their verbal and written skills
when they can deliver a fair amount of cars each month. When lean times
come, they'll blame everything but the water cooler (maybe some will
actually blame the Sparkletts man) rather than look at their own
communication.

So here's a 4-step recovery program that should
help you (who needs 12 steps anyway?):

1. Know what you
want to say before you touch the phone or start typing

At least
with an email you can proof it before sending but most salespeople
aren't in the habit of doing that. The biggest hint that a salesperson
isn't ready for the call? Uh, um, er, ah, eh, well, gee, ayyyyyyye (the
long 'I' as they reach for something to say) and other stalling tactics
tell the customer on the other end of the phone clearly that there might
be a more professional person in the building.

2. It's about the
customer, silly

I did this. I did that. I'll talk with my
manager, I usually tell people that ask me that. I, I, I, I, I. Stop it!
It's about them, always has been, always will be. Go to a nice
restaurant for dinner, the waiter or waitress doesn't say "I have some
specials tonight"…do they?!?!?! No!! What you'll usually hear is
something like "would you like to hear what your choices are for
specials tonight?" or "Would you like to start with a drink or
appetizer?". Go to fast food and they say "can I take your order?". Are
you selling a hamburger value meal or a choice steak? (or Gorgonzola
salad for our vegetarian readers!). Change your focus to the customer
and you'll be amazed at how different your interaction goes.

3.
Questions are like water. Go without and you die.

You've get
them qualified. You walk them. You drive them. You sit them down. You
pencil them. You close them. If you stop asking questions, you likely
lose somewhere along the process. When the questions end, the
conversation ends. Sure, they can pick it up again. Our job? Keep them
talking. About the car, themselves, their family, their likes, anything.
Stop asking, you're on your own because you've lost control. Questions
(as well as answering theirs) are the lifeline of communication along
with emotion and everything else the expensive consultants and sales
coaches tell you is important (that you already knew).

4.
Validation and excitement. Oh, and courtesy!

Who can be excited
about calling you back if your message sounds like it was made in a
monotone machine? Ten messages down and ready for call 11? Get pumped up
again! Nobody wants to call a boring sales person back about what is
exciting for then. And how about validation? Can you relate to your
customers, even the ones with challenged credit? Don't kid yourself
because people can see through fake. And remember, especially in today's
social age (sorry, had to go there for a moment), their experience with
the 'less than exciting, not quite interested in me buying a car from
him/her' now translates to dozens, if not hundreds or thousands, more
people who may not shop at your store now.

And with regard to
courtesy, if you're not asking if the person you are calling is
available for you in a way that doesn't completely let them off the hook
from talking with you (because they must, must, must buy the perfect
car for them from you), you don't deserve to be selling cars. Don't ask,
don't tell. If you don't ask if they're available, they'll likely never
tell you they're buying from you.

In today's age with
complete transparency on the web, don't kid yourself into doing a less
than a complete, exciting job with your customers will work. We're not
saying to be something your not, but if you're in automotive sales and
expect to do well, just do it. It may not be fair that a book is still
judged by its cover but don't treat anyone trying to do business with
your store any differently than what you expect when you go into someone
else's.

Welcome back to the business about people. You can now
return to your technology-laden existence.

Best Practices:
Professional Insight, Powerful Results

Focus Daniel-san, Focus!

Focus. We all need it. Sometimes we loose it. Hopefully we get it back. Focus is what, along with goals and direction, on the path to success. Simply put we're in the business of selling products and services, backing them up, and maintaining relationships with those that bought the products or services.

Broken focus is what allows us to view the products and services that we buy as those that will sell what our customers will buy. Yup…long sentence. What does it mean? It means simply stop thinking that websites, CRM, widgets, gadgets, software/SAAS and all of the other stuff (including social media) sells cars and then makes people service them at your business. People buy from people.

Don't get me wrong, we're all about more efficiencies and lower costs through all the items above. But if you think for a second that you can forget about an up, any kind of up, you're dead wrong. Companies continue at a break-neck pace to promote their "two cars pays for our service"and "with our leads you'll sell 8.7 more cars more month".

People sell cars, people sell cars, people sell cars. The 'best' lead, scored by some company that doesn't sell cars, sold to you by a company spending millions to promote themselves with your money, with the most gross ever not followed up on is a floating, polished  t**d. At the same time, the 'worst' perceived lead from your overpriced third parties, let alone your own website (if your cars actually showed up on Google from your own website which most don't), is closed in a 5 minute call or three emails because the person was dealt with quickly, honestly and had all of their questions answered.

Focus on setting appointments. Appointments that are confirmed. That then show up. That then are handled right. That then are closed right. Because they nearly all come from your website or some displayed listing. Focus on what drives people to your store…you and your co-workers.

It's amazing the amount of dealers spending $20,000 per month or more to sell a few more cars (plus salesperson's commission, managers' cut, overhead and all the rest) because they're convinced that without buying what they're selling, they'll be crushed. Yesterday a meeting at a store revealed that, while the staff was asking for more leads, one of their marketing sources had about 20 plus leads that weren't touched. At all. Yeah, it was from service marketing. So I guess people that service don't also buy?!?!?! Focus…

Your website is there to get appointments. Everything online and in marketing outside of your website is intended to drive traffic to your website. To get appointments. Everything else you use to drive impressions and retention is supposed to eventually drive people to your website. Please don't fool yourself. Look at your analtyics. Yours. Google's. Not your website company's 'unique' statistics.

Please focus. Dealers (And everyone in business that is trying to grasp online), it's time to stop. And focus. We're trying to invite people to buy cars and maintenance and parts and accessories. As an industry we say that but it's not how we buy services. We buy because our buddy did, our competitor did, all of our 20 group says to and so on.

It's down to focus. Remember that Daniel-san could block, sweep and jump AFTER he focused on painting and all the other chores that Mr. Miyagi gave him. No distractions. Complete focus.

So focus Daniel-san, focus.

Best Practices: Professional Insight, Powerful Results

This Is What Happens When You Do It Right

It's not every day that you come across as example of what you're preaching, especially when it's in the automotive world. To be brutally honest, it almost never happens around social media, blogging, websites and the like. And then, just like in the movies, a kid gives you hope. This is not a typical post at all for us but this much-needed fresh air deserves credit.

A jaunt down dealership social media lane today will reveal about 85% plus of franchises screaming "buy here" and all sorts of offers, incentives, links to inventory and other huge no-no's. Finding stores that are actually talking with the public is so rare you'd think that, even considering the poor reputation car dealerships have, all hope of being real humans was gone.

Enter Scott Mitchell and his online brand: www.IAmAudi.com, or @I_Am_Audi on Twitter. After following his social media moniker for a while, I ventured to his site/blog and was even more impressed. Not being a client (nor his Audi store in Oregon) and never having met, his content comes across purely and without a drop of pretentiousness. This is interesting considering the Audi history, massive brand awareness of late and knowing how aggressive they're being in (old school) offline marketing and (new school) online marketing, Scott's property could have screamed "Audi Is King'.

Rather you get taken along on a ride (drive) through Audi's past, present and future. The articles are engaging and have purpose. With a fair balance of statistics, news, photos and '4 ring' passion, there's not a list of current incentives or begging you to come in to the store.

Have a question about Audi? Find this site or his Twitterperson and you feel like you're going to get an answer without having to sit around a showroom for 20 minutes, let alone have a salesperson hounding you for the 'best deal of the year'.

And outside of the link to and map location of the dealership employing him (kudos to that general manager!) there's not an ad, money generating link or anything else that hints at outside-interest-ladened affect. Folks this might be the wholly grail. Look, listen and learn because there's a new resource around.

Great job Scott, welcome to the 'gets it' club…oh, are you on Facebook?

Best Practices: Professional Insight, Powerful Results

So Much Good Stuff…Does It Make You Want To Ignore It All?

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

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

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

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

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

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

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

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

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

Best Practices: Professional Insight, Powerful Results