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I Before We, With No Exception To D(ealers)

It's the end of the year and the heart of the holiday season, right in between being thankful for everything we have and swearing off more than half of it (mostly weight) for the coming year. It's the time of the year when a few minutes on the automotive networks and news sites gets the mind going. It's also right after last week's (first ever) rant….

So in spelling, it's i before e except after c. Makes sense. Well, it makes no more sense than if it had never been that way and we simply didn't make the rule. No different than putting I before we, especially for the D's. The I's are the loud talkers, advertisers and general blow hards. We…in case people forgot, are the industry. And alas, the D's. The D's are the dealers. Those are the ones that move the industry.

In the event that those that believe the real deals are: the ones doing all of the talking, the media, the OEMs and the old boys club…you're dead wrong. Not that more than an acceptable level of that goes on, it clearly does. But the writing on the wall is getting more clear by the day: the dealers, customers and (ahem) the banks/captives move our beloved industry. Just because an outside person can come in and put a deal together doesn't mean that anything….anything improved the dealership.

More and more dealers are waking up to the simple fact that they've been taken for a long drive on a short road for quite a while. And since the days of milk and honey have been over for a bit, it's more painful than most would care to admit.

So check out the majority of content on our favorite places to read. More #1 this and that's. More white papers. More new, unbelievable this and that's. More covers and articles blaring horns and sirens. OK, the numbers are up in 2010, thank goodness. Even if we're at 12M new units, that's not 17M. Not playing the downer here, lots of stuff is good, but realize that yelling about being the best at something does nothing for business at retail.

Heck, there should be more practicing of the preaching. Any company claiming they're the best, don't just back it up with 1-5% of the client base with quotes. Get the bottom percentage to do the same thing. Ask them to write testimonials without any favors, kickback or kudos of any type. And if you have three times the customers of your next competitor, you should have at least three times the reviews.

We need to move the industry at retail. We can't change the banks, so let's put our efforts where they matter most. Yelling about moving a dealer's Internet sales from 25 to 50 per month, when you didn't? Screaming that you can do the best job in the industry at whatever and your clients aren't the best in the industry? Promoting as best-in-class when the company's experts can't get on the phone for days to review the company's performance in what should be their core competency? Shame on us. How many things have become more important than the customer and how many things are in the way of simply delivering?

Let's make dealers better tomorrow. If a dealer is paying for a service, every 30 days should be better in some measurable form. It's not always units or profit. Sometimes, it's efficiency (which drives profit anyway) or education or communication or retention. Something that makes more sense than simply spending more. Let's put the dealers first. Before the next award bought. Before the next accolade spun.

I before we, with no exception to D is the wrong approach. Pass on the awards, the half-baked "third party" certifications, the advertisements (please!), the 'unbiased' networks, the bling and the paid glorification. Let's get more DEALERS on the cover of Newsweek, not CONSULTANTS on the cover of….

Whooops, that one almost got out….

Best Practices: Professional Insight, Powerful Resultsego,

December 19, 2010 by Gary May 0
Customer Relationship Management: It’s The Message, Not Software That Sells

Three vendors, multiple pitches, agonizing internal conversations, budget decisions, integration, contract, training and the big fat check (every month). Now: simply turn it on and have it send messages for you and you win! Right? Wrong!

How in the world are we continually convinced that a solution 'in the box' is the right one for our multi-million dollar businesses?  Are most dealers now buying software and technology the same way that we've bought DMS for the past 20 years?  We have Dell build our own laptops down the finest detail, change the covers on our cell phones so they're more 'us', put 20's on our otherwise stock cars, and wear clothes that says 'me'. But we send out messages to everyone that's the same and expect them to respond, let alone come in, buy and refer? What a joke!

Here's a clue: if it takes more work and you don't see the results immediately, you're probably heading in the right direction. Why would you send a message (email, text, direct mail, etc) to someone that has a F-150 XLT from your store an offer for a $29 oil change that has small print disclaiming the offer is for 4-cylinder cars? How about sending someone that just leased a new Lexus IS250 from your dealership three months ago an offer that's $40 less per month or that has $1,000 less drive off for the same payment?

If you want to use CRM, treat it like a CRM tool by segmenting your customers in your database, updating regularly, creating different campaigns (start with something difficult, let's say like whether they're male or female) and start with unique messages and offers. It might even work!

Do you use your CRM, an eNewsletter and a company that markets specifically for declined service follow ups (if not more vendors)? Since you've created your own mess, at least hold each vendor responsible to running consistent (non-concurrent) uniquely-branded content that offers readers something that they won't likely want to ignore. What's meant by ignore? If you statistics show supposedly great open and click rates and you don't see a relative increase in traffic, people are likely ignoring your messages.

Have you started using social media as a CRM avenue? Think about it this way: do you believe that you have more customers opening your newsletter (with the same content as everyone else in your PMA) or using Facebook regularly? Don't answer out loud, but why don't you put your current, and archived, newsletters with a link on your Facebook Fan Page and every time you update, all of your followers get it in their feed and emai?

Instead of spending $10,000 a month on direct mail with a 2-6% open rate, send them via Twitter, Facebook and Plaxo for practically $0 and schedule the offers to be sent on specific dates, specific hours and with exact details. Considering that likely under 5% of direct mail is actually integrated into all marketing, your social media CRM efforts will pay huge dividends with less effort. Remember not to forget the most important part, the message.

If you believe that Customer Relationship Management is still about advertising, be prepared to have your (rear end) handed to you by more dynamic, engaged dealerships that have embraced the digital CRM revolution in addition to their CRM software. If the emails you send out to leads don't even have a link to your favorite reputation management site, links to your social media profiles and at least a 'why to buy' item like an intro video or photos of the car they will likely buy, you need to stop and really think over your CRM plan.

Treat Customer Relationship Management as its name implies rather than the 'other' CRM: customer-regardless mumble-jumble. Oh, and one more point: never stop asking questions. It's what you do when you stop talking and start listening.

Best Practices: Professional Insight, Powerful Results

November 1, 2009 by Gary May 1