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The Gift That Keeps On Giving (That You Don’t Want To Give Customers)

It was years ago, and repressed on and off over the years, that I received what would have easily been the biggest gift received in my young life. The box was huge, maybe up to my neck if I can remember correctly. It was wrapped. That was the fun part, or maybe the following minute or three.

After opening the box, another smaller box was revealed. Followed by a smaller next box. And another. And another. And another. My grandfather, who had given me the gift, was starting to really enjoy himself about two or three feet away from me in his favorite rocking chair. The box reduction play went on until it was almost unbelievable that they could get any smaller.

At some point, a handful of minutes later, I achieved present status and my only memory,(to this day) is the exercise that took place. No, the present does not exist in my memory. What is there is the half-hysterical feelings that existed.

So, as it's time for a question, what is it that you take your customers through and what do you give them? What is their level of expectation when you have them start their box-opening process? Do you get to the present (car, reward, incentive, warranty, etc.) quickly, or do you make it more about the entertainment (throwing keys on the roof, driving their trade for appraisal to lunch and back while they're waiting, etc.) prior to the painfully long process?

Regardless of how time-deprived "we all are" today, there are unbreakable rules in retail today, especially when driven by online/eCommerce. Yes your customers, like I did years ago, have expectations. While my grandfather's only intention was to get his laugh on for the day PRIOR to my getting the gift, do everything you can to ensure that you don't end up with only a laugh and your customer walking (or running) out of the store to the next one.

Too many businesses today still make the same fundamental mistakes in making customers happy because (1) that's the way you have always done things, (2) you're not willing to change, (3) you're not truly connected with your customers or (4) because customers "don't expect it". You can never ask enough questions, properly validate enough and set/work with expectations well enough.

Tomorrow is first day of the rest of your "I'm in retail loving, customer service-oriented" life so what are you doing? Do you have your stack of boxes and scotch tape ready or are you heading an in-the-game organization toward the happy, engaged customer base?

p.s. (anyone know a good shrink?)

 

Best Practices: Professional Insight, Powerful Results

 

June 19, 2012 by Gary May 0
Accountability. Denial. Cover Up. A Losing Game.

We all come to proverbial "forks in the road" when it comes to performance, to delivering, to being reliable, to following up and ultimately to understanding what it takes to be better. There are mainly two types of being in business, away from the actual retail transaction if you look at things in very simple terms. Partnership and vendorship. They are both a state of being. Partnership is one thing: a cooperation. Vending is one thing: a delivery mechanism.

Over time all businesses play roles in one or both, likely both. While no person or no entity is perfect, it is in our best interest to actually perform to the best of our ability. It is also in our best interest to acknowledge what is done and undone. In a world where it is standard business to over-promise and under-deliver, when marketing trumps products and services, and reps and salespeople are most concerned with commissions or kickbacks, it is rare for someone to raise their hands and accept responsibility.

Recently I've had to experience both sides of the coin. One as a vendor and one as a partner of the client with another vendor. Watching, as we always do, from the outside, it is interesting to witness companies deal with requests (or demands) for products and/or services. We live it every day. Being first to accept responsibility no matter what. It's a fundamental approach to delivery and client satisfaction. Many argue with that philosophy. In the end, you end up reaping what you sow.

Nobody is wrong in arguing. It is natural to disagree. It is, however, wrong to stay in a position or unbending stance. No matter how comfortable we can become in believing what we vend is completely ideal, there is no such thing. And no company can profess, at least honestly, to no issues of dissatisfaction. This is another thing I've recently had to experience. It is a hopeful thing, just not achievable.

It is in all of our best interest to be teachable, flexible, to listen, ask and confirm as well as validate. In a partnership, these are musts. When these critically important things start to disappear and position is asserted, it is no longer a partnership. Companies need to understand that shouting in order to position or defending their position is detrimental. And not simply because it is being said here, but because most will say and acknowledge the simple fact.

So what do you want to provide? Many businesses seem to want to provide with the opportunity to partner. Some businesses seem to want to partner with the opportunity to provide. No cart or horse here. Not which came first. All of us want to prosper and profit. It is required to continue to provide services. But at what cost? It is true that you can't make everyone happy all of the time. But no business that has more than two customers has never had a squeaky wheel.

Over the next five months, when so much comes down to the pitch, the sell, the flash, the sizzle and the gorilla on the roof, it might just make a few vendors become partners if we all stop and recognize what we're doing this for. Customer service starts with a customer and ends with service. We must be accountable. If your service is operating at 60% efficiency, you might just find that your customer is 40% out the door. If you're paying attention. You can point at anything else that touches what you make, but it's still your responsibility.

Lack of accountability, denial or service, sweeping things under the rug and the like are just a losing game. Oh, it may take time. But it will happen. Businesses today want real. They need honest. They expect more. They deserve what they expect and definitely what they pay for.

Don't you? Act that way.

*No clients were harmed in the making of this post. But many are simply fed up.

 

Best Practices: Professional Insight. Powerful Results.

September 29, 2011 by Gary May 0
IM@CS on Social Media Club LA Panel: Social Media Affecting the Automotive Industry

It was a pleasure to participate with other industry colleagues on a panel at Social Media Club LA’s event last Tuesday evening: How Social Media Is Affecting the Automotive Industry. Chris Heuer kicked off the evening as only the head of the global Social Media Clubs could. Serena Ehrlich moderated the panel and fielded the live and web-based questions. Thanks to TechZulu and Efren Toscano for covering the event live and to Dave Barthmuss and the GM team for providing some great pizza!



Watch live video from TechZulu on Justin.tv

August 29, 2010 by Gary May 0
Floor Traffic Down? Invite Them In! (Including 5 Ideas That Work If You Do)

Reading a number of great posts recently (while trying to ignore the blatant self-promotion via a popularity contest glorified by a number of industry members last week), all focused on getting dealers to make the shift to digital or social media, it hit me once again what we're all trying to do: get people in the door.

While a number of dealers (maybe 5% in the country) are seeing growth many are seeing flat or declining numbers. Others are experiencing unit lifts while dealing with large drop in gross or back end. And everyone is dealing with selling fewer vehicles in the past 18 months than in the previous 4-6 years.

So in this online world, what aside from actually selling a vehicle to a customer or servicing their car drives traffic? One thing that can be looked at, especially in a world of smaller budgets, staffs and sales is events. With rare exception over the past two years, the factories (and therefore the dealers) have spent less and less on driving valuable traffic via new-owner events, clinics, ride-and-drives, sponsorships, meet-and-greets and the like. While the quantity of tire kickers may be down, real purchase intention is down significantly less (we'll leave the statistics and "pent up demand" gibberish talk to others).

Fewer and fewer dealers are doing what it takes to being people in: WIIFM. Yes, the most popular radio station in the world. What's In It For Me! More and more consumers are out there, looking for answers on how to program their seat memory, sync their bluetooth, update their navigation system, find out the difference in maintaining their car at the dealership versus aftermarket besides price and a whole lot more. So…they're left with going to a discussion group/blog/forum/portal, relying on word of mouth or not knowing at all. And you believe you 'had them at hello' when you sold the car.

So no new owner clinics. No barbecues. No comparison drives. No meet the staff days. No fundraisers (let alone getting a link from the event website to your website with all of the traffic they're receiving. What's that? What's a link? What does that do?). Boy, that will work! Then tell yourself that the drop in floor traffic is fine since 70-90% of the same-brand stores in your PMA are also down rather than kicking ass. Forget about building a brand, or answering the questions that many customers won't ask you over the phone, or stopping that brand new owner from driving into (fill-in-the-blank)-Lube, let alone even retaining the customers you have and that WANT to come back for a good reason or two.

No. Maybe this whole thing is wrong. The factory is supposed to do and promote events. The factory is supposed to drive floor traffic. The factory is supposed to give you all of the handraisers in the area. The factory has to do all of the advertising so you can copy the ad and put it on your (mediocre) website. The factory is supposed to give you all of the pitter-patter of footsteps so you can just kick back, put your feet up (or in the golf cart), make money and retire in 20 years.

DING, DING, DING. Wake Up!!! (that was your floor traffic meter just hitting zero)

Best Practices: Professional Insight, Powerful Results

August 2, 2010 by Gary May 1
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

June 17, 2010 by Gary May 2
Is It The Chicken Or The Egg? Nope. It’s The Customer!

A long time ago we lost focus. Then got it back. A while ago we lost focus, and got it back. A short bit ago we lost focus. Somehow it came back together. Ah, the joys of the automotive industry. Factory, retail, supplier, service provider…all of us. It's about the customer, always has been, always will be. Why does the perpetual machine forget so easily?

In a world that where everyone expects to be right, as customers, it's amazing how far off base we are. This goes for how retail thinks about, talks about and, most of the time, treats customers. And unfortunately this is the way most dealers are treated as customers, too. Simply put we're in a world where commitment wins but when you look for support, it seems to have "left the building".

This is the case in today's world: consumer controlled content. Dealers wanting to move forward and their vendors standing in the way (many times backed by the factory/headquarters standing in their way). If you sell a car with rear seat entertainment and heated/cooled leather seats, you can't tell the customer "we're working on it, it'll be here soon" or "Oh, I'm sorry, that package can't get those options. Did I tell you it came with those?". So why is that what happens and, more often than not, is accepted by 20,000 dealerships from their vendors?

What may need to happen is a reevaluation of what is expected. What may need to happen is putting the customers (along with the chicken and egg) first. What may need to happen is more participation of online groups and communities rather than just a few speaking and providing a real value. Lately we're watched as the value has slipped, content to validate positions is more re-purposed than ever, pitches and and vendor tirades rule. Nobody can hear the egg break above the screaming.

Generally speaking, people don't want to be accountable. Are you a dealer or management? Beware of broken focus. Maintain your commitment to improve your business consistently online and offline. Remember that once a decision has been made, every decision is on purpose. We've (happily) watched dealers do this for the past two and a half years.

If you're selling, are you treating your business as an entrepreneur? Are you treating every customer as your next ticket or your last? Ask yourself: what's the most important part of my business? The walk, the drive/demo, the pencil, the close or the prospecting? If you didn't answer 'prospecting', and we're not counting walk ups, you've got to ask your self what you're doing.

Take time to take a step back and ask yourself why you're in business. If it's to excel, make it happen. If it's for a check, then you know what to do…hopefully.

Best Practices: Professional Insight, Powerful Results

March 15, 2010 by Gary May 1
The Square Peg, The Round Hole and Public Opinion. How Can The Dealer Win?

The factory, the product, the media coverage, the recalls, the blitz of lacking and half-cooked information. When does the dealer get the coverage? When they're closing, exposed as corrupt or so-called environmentalists torch their lots. Welcome to the square peg and the round hole in the automotive industry, if not the perfect storm.

And who's to blame for the lopsided ego-train? Yes, the factory is guilty: plain as day. More than not, they treat the dealer like a flea on the 800-pound gorilla. But so is the dealer base. For the last couple decades, the dealers have waited for the new models, created mediocre-at-best, self-indulgent print and radio ads, greeted fearful (or at least resentful) customers in less-than-desirable locations and then wondered why they have the (earned) reputations they do.

With exception to the leaders in the industry, dealers have not done much to truly brand and distinguish themselves. Don't get 'yer panties in a wad yet: We're not saying that you don't impact your communities, gainfully employ many or that you don't feed tax revenue into your city's coffers. What we are saying is that the dealer brands have not matched, let alone eclipsed, the nameplate and that is sad. Today would be one of those days if you happen to sell one of two import brands…and we all know that the domestics have had their days as well.

There has not been a better time ever to build a sustainable brand aside from what the factory does. And wouldn't you want to do something different?!?!?! Have you paid attention to most car ads? Have you seen the POPs that are created for showrooms? You're better off putting one of those 40-foot high lizards or cylindrical men with billowing arms on your roof! Actually, please don't do that, 1986 called and they want their marketing back.

How does the dealer win today?  Start competing with the factory by becoming your own media. On the web it's more achievable for less money than you'd ever imagine, if you do it right. You might even start working with your customers and actually source, communicate and retain them successfully. There are some OEMs that actually want to take over your CRM and relationships but it's not because they can do it any better than the dealer can. Truth is it's not happening correctly at retail. This evening I was talking to a successful local dealer group that has one of their import stores source nearly every walk-up the same way in their CRM: simply click the first drop down choice. CRAP!

The foundation for winning is simple, it's just not easy: unbreakable processes, management from the top down, complete comprehension of systems and support and a die-hard commitment to the customer. If we don't do that, it's all for naught.

These are still very trying times in automotive (special mention to the banks!). Maybe we can all start by simply trying to keep ourselves from making it any harder. Start internally. Then make sure your 'home' is in great shape. Then concentrate on the customers. Then, alas, take care of the factory.

Best Practices: Professional Insight, Powerful Results

February 2, 2010 by Gary May 0
Dealeritis or Vendoritis? Has The Game Changed At All?

There seems to be a perpetual struggle in the dealer world between the client needing services, needing to change/improve, needing to stay in front of the competition and the vendors needing new places to hock their wares, prove their value, bang the 'we're the leader' drum and pay back their investors. They're both right while not typically paying attention to each other.

In the course of recommending vendors, after assessing the needs of the client, it is sometimes difficult to pinpoint what services will be beneficial. This is more the case today with some providers offering truly integrated, real-time solutions. There are times when, over the course of an engagement, fitting vendors are brought in to do their jobs, but in hindsight it's realized that one larger provider could have done the work. And likely at a lower price while providing a more streamlined experience.

It is always appropriate to push for the larger picture and achieve more but automotive retail has been hit hard over the years with less-than-promised services at outrageous prices and lackluster support. This has been painfully evident with DMS and CRM systems. Many dealers are numb to the pitch today. But have they turned a deaf ear and a blind eye when now is the right time to hear them out again?

Many consultants have the benefit of working with leading-edge and/or forward thinking dealerships and it is a pleasure. In providing best practice recommendations (i.e. the suggestions are honest and the vendor doesn't pay anyone a finder's or recurring fee) it is always necessary to keep goals in mind while ensuring the possibility of exceeding them. Too often the client feels it's the vendors job to 'perform' and the vendor feels it's the client's job to do so as well.

Getting over this 'dealeritis' and 'vendoritis' type of game is essential. and many think it's not happening fast enough. One event started changing things last year and we need more change.

What suggestions do you have to get vendors and dealers together in not-simply-for-large-profits-for-the-promoter forums around the country? Can it be sponsored so the cost is free-to-low for everyone and vendors pitch or should it be a pay-your-way-and-bring-a-sack-lunch event? This is the year of the automotive community: pitch in so you'll win!

Best Practices: Professional Insight, Powerful Results

January 15, 2010 by Gary May 0
Take The Walls Down On Both Sides

Two items that we talk a lot around but typically don't address directly are the 'blocking and tackling' in the retail business. One stops people from the inside, the other from the outside. The first limits a broader brand experience while the second keeps customers away. Slowly eliminate both and you'll win.

Dealership firewalls, website blocking, limiting controls and other less-than-trusting measures remove timely access and ability to become involved in what is the greatest area of traffic generation today. Add to that the understanding of what is happening in the market during the time in each person's day that it matters most. Whether posting to Facebook, sending test leads to competitors, scanning forums and reputation sites (likely for what Google alerts notified the store of), or seeing a competitor's site updates and overall becoming involved in the essential aspects of branding and reach, being online is essential.

No, just block everything. Enter the typical excuses for limiting adult access to the web at dealerships: time waste, inappropriate content, non-work activities and more. Wow, great thing that your IT director has that closed down!! Whew, and you thought smoking on the point, chatting incessantly on cell phones, water cooler banter about the dealership's 'less-than-perfects' and simply hanging out for the next up was a time suck. Boy the Internet did change everything.

So all of that other stuff is now ok and some barely negligible photo of a little known celebrity topless on some remote beach in Europe is wrong? It may be but the technology that allows a complete blackout of surfing the web in what can be extremely productive time can also be set up to allow the right use. Have someone violating your store's TOU? Then fire them for the same reason that you would for violating other company policies. Ok, enough about that dealership mistake that is completely circumvented by someone's web-enabled device.

The second issue is blocking the other stuff that your store also needs: customers. If you've not woken up to 2010 (or 2009, or even 2008 and before for that matter) and realized that people are judging you before ever deciding to step foot in your showroom you've got to take the blinders off. The days of hiding aspects of your operation, be it front-end or back-end, and surprising customers when they do decide to come in will kill you.

Dealerships that don't decide it's time for transparency are not only kidding themselves, they're also hurting the next store that dissatisfied customer is going to head to. It doesn't matter if it's tackling the next 'up' because it's your turn, stuffing someone that doesn't understand that you could have actually saved them money, stranding someone in the showroom because the used car manager can't find their keys or a litany of other lies and excuses, mistreat customers and you will have fewer of them. And they will let everyone else know online.

There is an abundance of complete disclosure on the web related to everything automotive. So why pretend it's 1994 at a dealership? Because that's what a GM knows or a GSM pushes? Sorry, that has no place in business and deserves to be eliminated completely from our industry's retail locations. The archaic practices that still exist need to replaced by true business excellence. Customers will build a wall so fast around your dealership it'll make your head spin.

So if these are your challenges for 2010, put new plans and goals into action. The walls inside and outside your store will bring your business to a halt. Removing them and getting everyone involved in building your business is the best course you can start the new year with.

Simply put in the words of John Mellencamp in "Tumblin' Down":

Saw my picture in the paper
Read the news around my face
And now some people don't want to treat me the same…
When the walls come tumblin' down

You don't control your reputation, the factory, area pricing or everything else than happens around you, especially on the web and you'll never again control customers. What you do control is your brand, actions and messages. You can influence your customers and that, my friends, is powerful.

Take down the walls…

Best practices: Professional Insight, Powerful Results

January 2, 2010 by Gary May 1
What Did Thanksgiving Do For You?

If you're in sales, chances are you needed the Thanksgiving day break.  Badly. If things are good or not-so-good, the day off allows you at least to decompress.  If you're in automotive, many would say that the break is more than deserved.  You should return with two things: the day off and something new.

Too often we take the greatest chance to improve and dismiss it with a focus on the short-term gain.  Will you return simply energized or with new, more aggressive goals and a dedication to really build your brand?  It's not only the things we're thankful for, it's also the things you plan on being thankful for.

If you sell, are you doing everything you can?  Using your CRM as a static database or a real tool?  Is the day after Thanksgiving the day that you start leveraging your website with live chat, video, widgets, blogs, calls-to-action to convert your traffic (campaigns, truly unique offers, integrated items, etc) and more.  Or maybe it's not time to do that.  Right?

Is it time to start customizing your newsletters and other email marketing instead of thinking that simply sending things out means you get results?  Maybe Friday is the day that you start holding vendors accountable.  Or when you start leveraging social media and online reputation management?  Yes, that means you'll have to start asking, connecting and setting expectations.

In order to expect different results, you must do different things and do them consistently.  If there's ever been a time to distinguish yourself, your brand, your dealership, your clients, your community and your industry, it's now.  The gloves are off.  The transparency is ever clear.  The opportunities are there.  The opportunities are yours.

Chances are most of your competition is going to be doing something when they come in Friday: the same thing.  What are you going to do?

Best Practices: Professional Insight, Powerful Results

November 26, 2009 by Gary May 0