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Quick, The Shiny Object Just Moved! Ouch, It’s Your Vendor…

Don't read too much into the title, it's not a slam on your (fill in the blank) vendor, although many deserve to be taken to task. This is about what they have to deal with. If you've been under a rock this year or simply have not been paying attention, Google changed significantly three times. Your vendors have had to change at least that many, even though they pitch that they're changing all the time.

So, what does this mean for the shiny object mentality? It's not changed. In fact, it may only get better. In other words, as things get a little more dicey in the online space in regard to results, there will be a larger "sorting out" of who really is prepared from a resource perspective to roll with what could be considered large changes in the way search and results are structured. And when a sales rep is not up to speed and things that happened a week prior, let alone a couple months, it's time to sharpen the pencil and make sure that door that hits them on the way out is primed.

All kidding aside, there have been countless changes since last December that have affected the search engines and how YOU get displayed in results. The biggest one from an overall view would likely be Google Instant, followed by the recent change to the Google Map/Local results that are also affecting the display of reviews and paid ads. There's lots of money, eyeballs and leads at stake.

The shiny object's location is changing, at what seems to be a continuously more rapid pace. Not just search results (and your traditional website) are facing the music, but also mobile: applications, marketing, social and more. And the third party lead market seems to be experiencing a larger ebb and flow in the market today. Just as there is no longer room in automotive retail for "what used to work", there's no room for "let's wait and see" in the vendor world. Rest for just a little bit and your a** will be kicked (but don't worry, dealers will still buy from lots of companies, especially if they keep sending "attractive" reps out to show impressive charts and talk about clicks….yawn….).

It's not easy being a website, CRM, pay-per-click, SEO or social media services company today. Engagement changes regularly and sometimes daily. By the time you send out pertinent information, run some webinars and update your systems and inform the rep force, that earth-changing update is old news and the next revelation has hit the news wires. And yes, even the vendors that do launch 25 updates a week and tweet about it do have to deal with issues outside of their control and fall down regularly.

As fast as the industry is changing, technology is changing many times faster. The balance between being bleeding-edge, leading-edge, between-the-edges and absolutely-no-edge is sometimes no greater than a whisker. Consumers control the content that is controlled by the big engines at such a great level today, what we have to yell about is less and less relevant, engaging and important. Who knows, maybe the shiny object is not even obtainable.

Even with the industry consolidation that we see year after year, it's always refreshing to see the new guy or gal on the block give it a chance. Dealers need much better services than what's been delivered historically and there are companies willing to do it. But the wake up call for dealers is that THEY need to do more in the way of understanding, goal setting and holding staff accountable. Vendor accountability is critical, but still not as important as making sure you can do what you're paying for.

So belive it or not something changed in how well you'll perform online since you started reading this. Maybe it was a vendor, a competitor, a search engine, a customer or even you. No matter what, don't take your eye off of the shiny object!

You did read correctly. Keep one eye on the ball, one on your customer, one on your brand, one on your staff, one on your marketing, one on your process, one on your future, one on your past….and one on the shiny object.

Best Practices: Professional Insight, Powerful Results

November 13, 2010 by Gary May 0
Don’t Let Social Media Get In The Way Of Your Success With It

We're bringing a petition to DrivingSales Executive Summit, JD Power Internet Roundtable, SEMA and NADA. But you can be first to sign it here and now. The law we're hoping to get passed in the retail automotive industry is "stop calling it social media and start calling it die without it". It's not something you try, experiment with, make efforts toward or the like. At least no more than you do with sales, service, F&I and your P&L. Do more. And stop thinking so much you can't do much.

Sick and tired of consumer communication and engagement, as well as fundamental business improvement, being hawked, pitched and sold by fly-by-night companies (as well as legitimate ones) with getcha-while-you're-looking tactics, it's time to discuss, use and improve platforms no differently than you would want a CRM or website technology used and improved.

Simple question: Do you want to stay in business? Your answer has to be all the way in yes or all of the way out no. There is no in between. Many (not all) companies that have tried to be somewhere in between over the past few years show up today as the many For Lease or Going Out Of Business signs on your daily drive. Don't think for a second that we're saying that had those businesses been in social media that they'd be vibrant and profitable today. Not at all.

But to sit and wait, guess and judge, delay and save or flat out refuse social media as part of your business strategy every day is the fastest path to demise today. Period. Remember that no one aspect of your business is a silver bullet. At the same time remember you can save yourself to death no differently than you can spend yourself to death. You're not "in" Twitter and Facebook. You're (hopefully) in business using a database/contact management system, a series of processes to sell, track and report, and a solid foundation of online media to showcase your business.

Saying "I'll try Facebook for 6 months and see if it works" is the same exact thing as saying "I'll try selling our services for 6 months and see if it works" or "I'll maintain my storefront for 6 months and see how that goes". If you want to see how things go, get committed or get out. If you truly aren't prepared for success in your own business, do it for someone else and leave the tools that professionals use to…a professional.

Blogs, Wikis, Display advertising/SEM, Review sites/reputation management, Facebook, Twitter, LinkedIn, Foursquare, Google Places and more are tools to be a more effective, yes effective, business. Not a trend-setter, not a groupie, not one of the cool places to hang or any other way of minimizing your way to profit. Can your business survive without being on Facebook? Chances are yes if at least for a short time. Can you survive without the fundamentals that have social media thriving and being "buzz" in mainstream media? Not for one New York minute, to steal a great song title from Don Henley.

So please don't let social media get in the way of your success with it, knowing you'll not experience success without it. Even if you don't set up that Twitter page you've been hemming and hawing about for a year… Oh, and one more thing. If you're a car dealership, don't pay $4,000 plus a month for social media services. That is unless you're getting a cut of the profit.

Best Practices: Professional Insight, Powerful Results

October 17, 2010 by Gary May 1
Crunch Time: Are Your Vendors out To Lunch? Or Are You?

It's very telling, especially today, when a supplier doesn't deliver.
Over-commit, under-deliver. While there is no such thing as 100%
delivery, 100% of the time when there are variables like creative,
interpretation, third parties and even technology changing at a
breakneck, daily pace. However the fundamentals should never change:
communication, expectation, examination and verification.

Being
around the automotive online space for over 10 years, it has been
common to be around or even directly involved with what you might call
"sales coups without production capabilities" or "sell it and then we'll
build it". Most of the time letting clients know you're building
something as they buy it is completely fine. Selling something as
complete or pitching services you provide when you really don't is
something else.

Over the past few years, it's been website and SEO services. Lately it's social media and reputation management. Two sayings to remember: if it sounds too good to be true, it likely is; stupid is as stupid does. In all fairness, the impetus is always on the buyer. While that's not completely fair, everything deserves a second look or opinion. For one example, recently we've been in meetings hearing about services for a few hundred dollars a month promising positive reviews on hundreds of sites.

Even without prejudice, it is difficult to understand the reach, impact or importance of a positive dealership review on some obscure website. About florists. Being read eight states away from you. By someone who has no interest in buying a car.

Numbers are great. Especially transparent ones via Google Analytics or something similar. It's also great to have a string following in the social online around your business. Having 40,000 on Twitter and 10,000 fans on Facebook, most of whom never have or never will buy from you, refer people to you or possibly even realize what your business does. That's irrelevant. People moving into your PMA that own a car from your franchise? Great. Likely a potential customer. Someone on your social network that lives 8,459 miles away from you because you're giving away something for free? Worthless.

What's of less value than that? The people and companies that are selling the services because you don't have the time to know and understand better, let alone put resources against it. And the fact that you can do it for $300 less a month than another company that can do it for you? And you call yourself a business person? Please. The other day at an OEM meeting, we heard about dealers paying $2,000 dollars a month for social media services. There are real companies doing a better job for half the price. Dealers paying $8,000 a month for that?!?!?! Let's not even go there.

This is not about the struggles with real ROI in the digital space. Or people not understanding services. It's not even about pushing companies out of the industry that will intentionally pull the wool over dealers' eyes (that would take years anyway). It is about taking charge of what you want to do in your business, having goals, comparing apples to apples and making sense out of the insane amount of pitches car dealers face.

Many times it's your vendors that are out to lunch. Sometimes, it's absolutely you. Question reps and consultants. Question proposals and marketing materials. Question your staff on what to do. Heaven forbid, question your customers and find out what they want and expect first. And stop buying for the sake of it, because someone in your 20 group did or because a golf buddy (that operates their store completely different than you do) told you they found the magic bullet.

Get back to business. It's crunch time…

Best Practices: Professional Insight, Powerful Results

September 4, 2010 by Gary May 0
Let’s Talk Next Spring (A Very Direct Monologue)

(Note: As a practice, IM@CS has not written in the first person. We
try to not call people out or make examples of them directly. This is a
slight departure from the past two years of blog writing for dealers. We
hope you enjoy it or are at least compelled to comment on this aspect
as well)

After talking with Internet sales staff and leaving
messages for management over the past months, I visited a prominent
LA-area import dealer recently to see about getting a few minutes with
the manager responsible for their web and eCommerce presence. After
finally having the courtesy to recognize that someone was trying to talk
with him (understanding two things very well: one you're busy and two
you likely have a lot of people calling on you and trying to sell you),
he gave me 45 seconds.

In that time, he was able to share that
the "departments are going through changes so it's not the right time
and we'll be able to put our eCommerce and Internet efforts on the
schedule next Spring". Not only is this one of the best qualifiers, it
is also a great indicator of how removed from reality most dealers
really are. This is not a judgement, we'll leave that to the customers,
staff and factory. But as a litmus test, that's just bad. Flat out bad.

Let's say you ignore every automotive publication. Let's say you never
attend a "digital" event in the industry. Let's assume you're not in a
20 group. Just for kicks, let's say you never talk with your staff.
Considering it's 2010, if you have spent any time on the Internet,
bought an airplane ticket, hotel room, checked a sports score or weather
conditions, how can you allow yourself to be ignorant of what ALL
consumers do?

By next Spring, your competition will be
significantly ahead of you. And maybe by my or another consultant or
vendor's doing. Maybe even intentionally. When you send that kind of
signal out, it's hard not to either try to convince you (unless the
manager was intentionally being dismissive) or leave the store and run
to the next closest store. I say this because it's being done. Every
day.

While I can't speak for others that may walk into the
store I'm referring to, I can guarantee you that if I take the time to
engage you, your website, templates, social media (if it exists), phone
skills and other aspects of your operation has been assessed. Don't even
think for a second that mine is a traditional "pitch", again
understanding that everyone that walks in with a briefcase is likely
trying to get money from you in exchange for services.

Just
know that sometime, really soon, your traffic will go somewhere else..
And with what your using for website and more, it won't even cause a
drop of sweat to fall.

With all the best intentions,

Gary May
IM@CS

July 28, 2010 by Gary May 0
Hey, It’s Digital

Another event in the history books. Digital Dealer 8 provided a new round
of talk, perspective, conjecture, ideas and repetitiveness. Well
attended, the eighth iteration of the event made way for a full expo,
some great sessions, loud receptions and the proverbial automotive
industry buzz.

It was a bit funny last week when two things occurred that caused me to
think about what it is to be "digital", take the leap of faith, change
some (ok, a lot) of the broken practices in our business and bring as
many willing people along with us. Brian Pasch and Ralph Paglia both had
digital device "snafus" in front of a bunch of people. And it was
funny. While some loudmouth from the crowd chirped "it's digital"
(please, no guesses) , it caused me to reflect on how connected we are
to everything digital. And what we continue to do wrong, including the
so called education of the dealers looking for assistance.

Automotive retail's entire existence is based on success in the digital
realm. We don't need a bunch of people, many barely versed themselves,
standing in front of rooms of people telling them that the train has
left the station. Dealers need real assistance, in real time, in real
terms, from real people to build real results.

One thing that tends to rub me is the intention versus goal aspect of
the conferences. What's happened to AAISP? certification programs? "put
the dealer before profits" and all of the other chatter over the past
four years? This is not a post meant to call bullshit on everything but
to avoid it completely would be a disservice. At many conferences, more
netowrking and business happens away from the event than at the event.
And…there is a belief structure that has to be maintained.

It strikes me as odd when people attend events that can have a
significant impact, offer extremely relevant information and otherwise
influence attendees in a positive way are charged the most, treated as
less-than-desireables and not invited to particiapte in the most basic
way. Actually it's flat out wrong. The leading events let the audience
and industry decide what's best. Not the promoter.

Changes in the industry are happening at such a rate now that those in
position to create, promote and execute on large-scale events need to be
more in line who they claim to help. Watch the bottom line? Sure you
should make a profit if you're going to be bold enough, especially in
these economic times, to front cash (which can be significant) and put
an agenda together.

Ego and enforcement also have no place in today's events. Protocol,
yes. Guidelines, yes. Omnipotent overlords focused on anything besides
what drives the most value need to, well…be somewhere else. The
digital shift is about practices, assistance, positioning, data and
more. Our industry has been dealt a deserved blow in the digital space
due to ignorance, denial and a refusal to recognize our own customers
and public. How can the auto industry be so large yet engage and learn
so little?

In my opinion, there should be more Internet department directors
(pardon the phrase), field reps for the larger companies and consultants
that are not beholden to vendors on stage. Those are the people moving
the industry digital every day. Attendees don't want pitches. They need
honest answers. They need examples. They absolutely want to understand
what to do. Not being told. Not being sold. Remember, just like a
customer at a dealership, they want to buy from someone they trust, that
listens to them, that can deliver on value and promises. Why should the
B-to-B part of our business be any different?

It time to start doing the work instead of talking the talk. No more
"we do that" and then scramble to execute it for the first time. No more
canceled cook-offs. No more delays in production. And a lot more
customer service. That's what we need at retail. That's what we need
from the companies making the claims and filling the magazines with ads.
The one's retailers are trying not to do themselves anymore. Because
they're listening to us.

Because, hey. It's digital.

Best Practices: Professional Insight, Powerful Results

May 1, 2010 by Gary May 0
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
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
If We Only Had A Lightbulb To Screw In…And Other Mistakes We Make

How many times have you heard the proverbial saying…"How many (fill in the blank) does it take to screw in a light bulb?", even lately jokingly about the group of 'car czars' circling around Detroit. While we might focus on the joke or moral of the question, how many of us have the light bulb to start with?

If we always focus on the activities and not the goal, it is easy to understand why all the hubbub is around who gets to 'do' things. Considering how things are now, I'd be more concerned with making sure we have the right bulb, that it fits, that it will provide the right illumination and that we know where it came from in case we need more. Then I'd focus on who gets to have the joy of screwing it in!

And this is not endemic to just finding the right action person, it's perpetuated in so many other areas. Larry Pinci (of Sell The Feeling) put it well in a meeting we had not too long ago: "are you on the cause side of the equation or the effect side?". If you're in wait mode, or even better in 'head in the sand' mode, right now you're not on the right side of the equation.

Today I had a great conversation with a dealer in the Ventura area of Southern California in which we discussed branding, something he's been trying to get the owner to act on for quite some time. Part of the build up was him answering pointed questions about experience on their website, consumer engagement and reach. As we talked, he came up with some great answers as to what the site lacked. Until we know what the solution or goal is, the bulb turning (activities) doesn't matter!!!!!

VENDORS: Same thought process when considering how many vendors are pitching dealership GMs and principals today. Want to create a business partner or a sale? (hopefully you answer that one correctly). Want to have an opportunity or 5 minutes and get tossed? (and that one). So why are you trying to get something "sold" before you even know that there is a need identified. Hint: not a need, every business has needs. Rather a need that has been identified!!!!

With so much of what happens today being knee-jerk, defensive actions, it is that much more important to have your goals identified and clearly understand your starting point. Don't' make the same mistakes as the pack! Remember that the last action needed to complete a task is not the one to concentrate on. You must focus on the first one and realize that you'll separate yourself from the rest by the time your goal is reached.

And when you finally flip the switch, it'll be that much more illuminating!

Best practices: Professional Insight, Powerful Results

June 5, 2009 by Gary May 0