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Still Ignoring The “C Word” Will Cost You

The “C Word”. You know, that word. The one that makes dealership executives’ skin crawl, makes sales people laugh, has trainers’ mouths drool and absolutely keeps your store from its true potential. It even has female staffers cringing, question working at the dealership. Say it with me….CULTURE.

Ignored by only the bravest of souls who understand the kind of wrath and trial it brings. Changing culture takes balls. It takes work. It takes time. And it takes an unrelenting focus as well as undying commitment. We all know it, so why do so few do it? Weak leadership? Lazy management? Not necessarily. Mostly it’s due to the lack of understanding what the intermediate goals during and wins at the end of the effort are. You know…not starting with the end in mind.

Culture, by definition, is a way of life of a group of people–the behaviors, beliefs, values, and symbols that they accept, generally without thinking about them, and that are passed along by communication and imitation from one generation to the next.

In other words, you’ve built the existing culture and it’s continued nearly blindly. In order to change a culture, the industry has historically resorted to spiffing or spanking. That’s not truly leading a culture change, rather a practice of distraction. So we take adults who should otherwise be able to achieve a change and create a different focus. Then we shoot down the same adults when the incentive or punishment dissipates. Quit setting your business up for failure!

Culture change takes conviction and creating lots of buy-in. We do that a lot with lead management and sales coaching at IM@CS. Creating adoption breeds results. More than taking the same business rules and communication requirements from dealer to dealer, like most consultants and trainers do, it takes a focus on sustainable actions through owning efforts, responsibility and results at each individual business.

Instead of blaming incompatible software, say desking and CRM, for why salespeople don’t complete their logging and steps in tracking and following up with customers, create an environment where sales supports each other and daily reports reign. And back it up with at least one weekly sales meeting run completely out of CRM. Over-simplified? Possibly. Worthwhile? Absolutely.

Culture? It’s everything or it’s nothing. Yeah, that will reflect everywhere…

 

Best Practices: Professional Insight, Powerful Results

September 18, 2015 by Gary May 0
Misunderstanding the Misunderstood (A Post-NADA Perspective)

Too often, we mix messages. We misconstrue. We miscount. And most often, decisions based off those actions lead to more of the same. There is a lot of “data” out there: actionable, validated, accurate data, and damaging, paralyzing, inaccurate “data”.

 

Last year IM@CS was fortunate to be involved with a Mercedes-Benz project around lead management and one of the talking points (not from us or our partners) showed the average customer in 2013 submitted a lead to 1.3 dealers. Not only has this been invalidated by at least a half-dozen companies, in speaking with the dealers themselves, the empirical data disputed that. The data. “Data” brought in by (maybe) well-intentioned parties however far from accurate, very far for allowing a proper action plan and light years from having the dealers make sense of it.

 

Too often, the OEMs, and admittedly dealers, are lit up by flashy bids, mesmerizing proposals and the all-too-famous “we also have contracts with Competitor A and Competitor B” line or the notorious “we built the space/were first to launch this” verbal flatulence.

 

Another case in point: Last year General Motors rolled out an initiative for BDC build-out for it’s nearly 4,000 franchises. Good intentions, a little late on the “action bandwagon” (we spoke with GM about his in 2008 and 2009) aimed at mitigating the massive amount of lost sales due to lackluster lead response and follow up (read: all OEMs fall in to this bracket and have subsequently gone at solutions the wrong way). Enter two vendors for those dealers. Yes, two. Two vendors for build out and support of thousands of dealers’ BDCs. Then, the co-op curse, leading most dealers, due to “cost”, to not hire companies that can scale better, are more experienced (in real life, not on paper).

 

It’s time to stop misunderstanding the misunderstood! Who are the misunderstood? The agile, more up-to-date, active, often smaller guys and gals who prove themselves daily, weekly and monthly.  The misunderstood are the companies with great services, not great advertising and magazine cover shots. The misunderstood are the ones who deliver faithfully without contracts or gouging (why would a dealer ever sign a contract for services that must be measured?).

 

There is a prominent Internet/Marketing Director from the Midwest who, a couple months ago, posted on their Facebook page that their group was firing their existing trainer, and looking for a more progressive company that didn’t have an OEM contract. Why? Why? Why? Simply put, the services provided, as do most of the OEMs and the companies they endorse, couldn’t deliver for today’s market regardless of that company’s data!

 

The misunderstood are so titled due to the lack of willingness of dealers to get way from comfortable and, simply put, sell and service more cars. Its not your word tracks, it’s not your phone call scoring. It’s not your trainer that has to repeat him/herself each and every month and bring in nearly-duplicate reports. IF you don’t understand how something works, stops paying for someone to do it. Understand it.. Even if you find a partner to leverage, you’d better understand it.

 

The industry, by and large, still can’t respond to a lead effectively, completely and with a reason to buy in under a day.  We’re starting the 21st year of the Automotive Internet. You don’t need to know ode, you absolutely must understand why having a responsive website is a must. You don’t need to know how Facebook changes their algorithms, you absolutely must understand targeting das and dark posts. You don’t need to how Google leverages directories and local citations to leverage local search, you absolutely must understand how and where to update your information, links and phone numbers.

 

Best Practices: Professional Insight, Powerful Results

 

February 1, 2015 by Gary May 0
Logistics: I’ll Take “What Is A Dealership?” For $1000 Alex

Lo·gis·tics  ləˈjistiks,lō-/  noun

    1. The detailed coordination of a complex operation involving many people, facilities, or supplies.

We are in the game of logistics. Like it or not car dealerships, at a minimum, are hubs of logistic activities: connections to the factory and engineers, DMS uploads, inventory pushes and pulls, secure financial documents and transactions, lead migration, email and phone connections, server backups, marketing company, sales rep and little league treasure troves…it's dizzying.

Add to that the total of resources: staff, hardware, all the moving parts. And you want to put a 300-pound inflatable on top to make it look like a scene from a Chevy Chase Vacation movie. *burp*

A whole, as they say, is the sum of its parts. However some of those parts are more evident to the people you’re trying to attract: consumers. More important than ever is the media, availability/speed of information and communication we deliver to the public.

So riddle me this Batman: the most important part of your website is the:

 

  1. Template and main pages you reviewed two years ago with your website vendor that you get a PDF “report” from once a month and a visit with once a quarter, when they sell you more stuff.
  2. Inventory being online that you assume is feeding correctly with the automated “cheese” seller notes, not so robust VIN explosion/features and being syndicated to portals you’ve never heard f (although they’re fully disclosed in the document you’ve never read).
  3. SEO you’ve never checked on provided by the website or aftermarket company (that is ABSOLUTELY using spun content)…oh wait. What’s SEO? Yeah.
  4. About us video made a while ago showing some staff you still have employed inside the dealership before the new fascia when up

The answer is none of the above. Just like your dealership it’s the experience. Yes, it has to have what people expect however when’s the last time you met a customer, truly, that knew exactly what to expect. And that is, literally, exactly.

If you’ve not stopped, in a long time, and done a real deep-dive into analytics, feedback from customers and staff, taken more than a gander at your competition (which is everyone), looked and reassessed everything that has your name/brand on it and taken stock of actionable goals and roadmaps, you’re gliding on the rise in sales that’s taken place over the past couple of years now and are, still, not ready for what comes next. Get real about what you’re avoiding.

At the center of everything is a person, with a real need for attention, consideration, information, service, answers and solutions. We are in the logistics business.

Consider this again before you chat with your coworkers about Sunday’s games tomorrow with finite details and stats about passing yards, rushing yards, total years, carries, receptions, turnovers, time of possession, sacks, half sacks, quarter sacks and hurries…and then realize that’s the same level of passion we must exhibit and deliver on for every one of the people that give you the honor of walking through your front door.

 

Best Practices: Professional Insight, Powerful Results

October 6, 2014 by Gary May 0
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

June 26, 2012 by Gary May 0
First Of The Month Syndrome: You’re Not Starting Over

Month end is behind you, save for those few deals that are going to be back-dated to August 31. Hopefully with C.A.R.S. you didn't need to do that. Now it's a whole new month and you're thinking "I'm at zero, clean sheet of paper, time to hit my numbers!"  Since we know so many people that do that, there must have been one parent in all of our families that, when we were infants, whispered in our ears "you'll think like you'll get paid, you'll start over on the 1st, you'll scurry like hell to get everything done on the last day of every month". Man, talk about a dysfunctional     family!

So here you are, 20-40 years later, convinced that a calendar determines your effectiveness and runs your life.  While nobody is here to tell you it's not how you get paid, quotas are set, assessments are handled and forecasts are created, quit thinking that way.  You're not starting over.

Especially in today's Internet-based world, the first of any month is just another day to tackle the 30-100 leads in your queue.  You can let the management and executives control the way a company operates but you don't have to be controlled by a calendar.  When you remove yourself from that process, your vision grows and you can see things in better perspective.  Again, don't start a revolt or fight the way your GM runs your store.  Just start to believe there's people (your customers) that work and believe in a 365-day world.

When you start planning beyond 30 days, in reality most folks hope on 30 and plan less, you can better see marketing effectiveness, referrals building, many leads actually taking 5-12 weeks to buy (rather than ignoring them until the week before and finding out they bought elsewhere), track trends and cycles, even bring customers back for parts, accessories, warranties and more!

If you truly believe that your number is 'zero' when the last month expires and the new one starts, maybe look at how you're holding yourself back.  It might just be your condition, but for those that can change, it might be the most fun you've ever had at a dealership…and possibly the most money too!

Best Practices: Professional Insight, Powerful Results

September 1, 2009 by Gary May 1
Lead, Follow…Or Learn How To Lead! (Don’t Get Out Of The Way…)

We were young once and we were fearless! Then we got some schooling and some more, then we got trained, then we were led, then we completely forgot how in the heck to be fearless! Add today's worthless media, sprinkle in some naysayers, a fair dose of skepticism and you've got a full-blown problem.

How to fix it? Leadership, which is defined as the activity of leading; with the leader being "a person who rules or guides or inspires others". Let's throw out the 'rules' definition for our purposes here (there are too many examples of lacking leadership to touch that one).

So, not everyone is going to be or desires to be a leader. That is why 95% of the American public controls 5% of the wealth. There is nothing fundamentally wrong with being a follower. To be an effective leader, however, it takes more effort in a number of areas. First, you have to know where you are going (aka start with the end in mind). Second, you have to completely believe in what you are doing. Third, you must understand the task at hand. Fourth, you must be accomplished enough to know the fundamentals (26 plus times to make something a habit). Also, you can't be swayed by followers…ever!

We use the expressions "industry leader", "thought leader", "technology leader" and others like those too loosely many times. Leaders consistently and methodically do what needs to be done, many times without fanfare or credit. Leaders in the retail space are commonly not the loudest person of the staff (whether automotive, real estate or other markets). And remember: leaders are made, not born!

Today's market conditions and challenges are ripe with opportunity. It takes leaders to push through, know the target, set the course and get the whole team to go with them. Together Everyone Achieves More is not simply a saying. It's a mindset. It's a belief. It's a mantra. It's a reality. If you think for a moment that you can be a leader by yourself, you still have a lot to learn.

Don't worry though, because the true leaders haven't stopped learning as well. You'll see them reading, listening, attending, challenging, paying attention and many more activities around going forward. Will you make mistakes and missteps? Absolutely! If you're afraid of failure, learn to follow. If you're not afraid to fail, learn to lead and it will become natural.

Are you where you want to be right now? today? last week? If not, start leading. The old adage of "lead, follow or get out of the way" has two truths, not three. If you're in business and you get out of the way, you will die. Our 'next' economy has no space for that. Follow if you may, but there's too many risks associated with that.

It is my hope that you will learn to lead, desire to succeed through failure and compel yourself enough to change. Find leaders around you and tag along (if they're truly a leader, they'll absolutely want you around). It will be interesting to see which retailers reach out for help this month instead of following one more day or finding out that waiting is the last nail in their coffin…

Best Practices: Professional Insight, Power Results

May 13, 2009 by Gary May 2