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It’s A Time For Thanksgiving (Automotive Style)

It's that time of the year again…. Well, actually not. Let's be completely honest. It's that one day of the year again. The one day where everyone around the automotivesphere expresses their public thanks: letters from the manufacturers' chief/department executives to their staff, dealers/general managers to their staff, vendors to their staff and maybe, just maybe, expressions of thanks between companies and their staff.

What are you thankful for? The fact that 2012, for the most part, is better than 2011? That the last couple years beats the two before that (and who isn't)? Are we all in a state of fiscal thanks or personal thanks? Who went out to the lot to deeply thank the porter who always takes care of the customers, never takes even a penny from a floor board and smiles as he closes the door for a customer about to leave? A gift certificate for a complimentary 10 pound turkey is not the same as a hearty handshake or chest bump and looking them in the eye and saying "thank you".

Were all of your clients welcome at your store or office simply to talk, network and share a story? The website, CRM, mobile or search marketing vendor contact that always makes things right before the 11th hour…did you write a thank you letter or tell their boss in an email?

You all saw that manufacturer's ad that ran this morning thanking their customers for making the choice to buy their product, right?! Yeah, I just called hell and it hadn't frozen over yet…the ads I see still scream about Curesomethingian leather, diamond-encrusted door handles, and de-magnetized drive control. AS a matter of fact, when is the last time an OEM publicly thanked their customers?

Giving thanks should be a warm-inducing, blush-creating, pit-of-your-stomach humbling experience. At a minimum it should happen more than we all hear "sorry", which for most people has lost it's meaning. But "thank you" shouldn't. And rather than "thanks", make it "thank you" because it actually talks about the person in front of you, or on the phone or that receives the email. Make it about someone else.

So take a moment today (and the following days) to heartily thank the people who make a difference in your business, for your customers and in your life. Thanksgiving is a great day if the thank yous that are giving are complete.

 

OK, now go out and make Black Friday more important and spend all of the money that you're thankful for….

 

Best Practices: Professional Insight, Powerful Results

Are You Waiting? Still? Well…..Goodbye!

This is officially the beginning of the end for many. December 27, 2011. There will be a moment over the next couple to handful of years in which you'll reflect back to this post (or others like it) and say "oh crap". Or it may be the longer rendition which usually sounds something like "Why did I allow me to get in my way over and over again? Why did I shut down and refuse to change, giving garbage excuses?"

As time went on from December 27, 2011 Acute Death by Delusional Digital Defiance, we'll call it ADDDD for short, you invested more and more in the comfort zone, allowing vendors to do with you money and brand what they wanted and would essentially squandering opportunities while you were convinced you were actually doing something. Your business was actually disappearing at the same time everything looked the same from your vantage point behind the desk or golf cart steering wheel.

And who could blame you? You read the ads in the trades and took advice from your 20 Group and absorbed the Powerpoint presentations. You wrote the checks. You took the training, however often that someone actually showed up and you attended the conferences. It never dawned on you that everything you relied so heavily on was the white elephant in the room. You took the easy way out instead of asking the tough questions and not believing the hype. Simply put you allowed yourself to fail.

Why did this happen? You didn't take the road less traveled when the paths diverged in the woods. As far as you knew, you believed it wasn't supposed to be about "hard work" anymore: you're senior management or, better yet, a business owner. Add to that the whole "Internet thing" was just too difficult to understand and should be handled by young kids and "people who text a lot and surf the web".

So wind it down now so you don't experience the slow, deliberate march of self-induced death. Ignore the articles from Joe Webb prodding the salespeople that you mistreat (http://bit.ly/rVN66B) and from HubSpot on Harvard Business Review about Google changes (http://bit.ly/ub6iOH) that your website company will not talk about, or some trends to capitalize on (http://bit.ly/rU9VAt) and what's going on with mobile (http://bit.ly/smRSOt) from Search Engine Watch. You've been reading all of these…right?

Nope…"too busy running a business". More like "too ignorant to run a business"

So while you idly wait for the inevitable why don't you ask:

Your website company why:

  1. your pages have the same names and metadata
  2. you don't have model and trim level landing pages
  3. you don't have separate tracking numbers
  4. you don't have original content on your pages (heard of Google Panda?)
  5. you don't have a truly optimized mobile presence
  6. you can't track conversions on Google Analytics or your PPC/SEM
  7. they don't truly offer eCommerce
  8. their proouction team doesn't talk with their marketing team (ie SEO to SEM)
  9. they lack in customer support
  10. they're not up to date on what's happening with Google and social

Your CRM company why:

  1. you can't track email opens, bounces, links, shares, etc.
  2. you can't change headers and footers dynamically
  3. they don't append and integrate for text/mobile delivery
  4. you are still on servers and not on the cloud
  5. they don't offer true mobility
  6. they can't make lead duplication management much easier
  7. data "siloing" still existst (lead based: service/sales/finance)
  8. they're not up to date on what's happening with Google and social

Your social media company why:

  1. they don't actually write content
  2. what they do publish is redundant and automated (ie "Caption this photo" of dogs or cats)
  3. they don't create engagement
  4. they sold you on 20+ "social media sites/platforms" when traffic comes from 4-8 of them
  5. they pitch and don't produce (and not actually active on the networks at all themselves)
  6. they are disconnected from the store
  7. they're not up to date on what's happening with Google and social

Waiting? You've been told your entire life that good things come to those that wait. Well, we're here to set the record straight. Only the leaders thrive. You can wing it today, sure. There will be "those" that still make it with no true effort. However, it is a false existence and leads to ADDDD.

The grim reaper is coming and his sickle has your business' name on it. Are you waiting? Still? Well…..Goodbye!

Thanks to @HarryHaber and @BryanCarGuy for a little insight on the list of dealer pain points… you're great friends and car guys!

 

Best Practices: Professional Insight, Powerful Results

Automotive Online: Let’s Start From The Start

First, this is not a "back to the basics". The basics are constantly changing so anyone telling you to get back to anything likely can't get to the "now" things. So ignore them. If you're online in the automotive world (which should be everyone) there are a lot of things to do, keep up with, pay attention to, understand, investigate and network about. With the ongoing approach of "buy this", "you need that" and other distractions, let's look a quick look at what you should already have done:

1. Brand: The way people identify with you. Not a slogan. Not a mission statement. A brand is something people can experience at your business and take with them.

2. Staff: The right people make all the difference. It's any business's greatest asset, even if your facility cost over $50 million. Educate, listen, compel, challenge, equip and support them.

3. DMS: Are you simply using it or are you getting the greatest value out of one of the most critical pieces of technology? Hopefully you have one that gets development support behind it, provides regular training and updates and allows you to run your business from anywhere.

4. Website: Simply put it should be on technology that is up-to-date, work on all platforms and browsers, have a mobile version, integrates fully with your inventory, has a sitemap, allows full CMS access, has been submitted to all the major search engines, built on real SEO (yes, you have to pay for that), receives real updates, allows for use of video, social media and other necessary technology integration and is not controlled by your OEM.

5. Google analytics: Track your website(s). Track everything about them. Stop flying blind. It even helps you do other things.

6. Phone tracking: Why would you believe you educate and support your staff (anyone who touches a customer) without using phone tracking? You can't identify issues you don't know about and you can't teach (especially role play) without the right tools. Like someone hearing themselves.

7. Google Places: Your location, claimed by you, with all relevant details and descriptions, using photos and videos, leveraging Boost, using all provided analytics.

8. Reviews: Ask for them, explain the benefits in consumer terms (stop saying "would you do me a favor", please), display them, take care of customers that don't feel appropriately taken care of, use photos, use video and promote throughout your facility.

9. Inventory management tools: If you actually sell cars, stop using your gut and start using a tool that assists your genius mind with tools that help market your inventory, shows your pricing in the area or beyond, pushes your cars to your website and other places on the web you choose, has reporting, lets you use technology real-time on the lot and allows you to track performance wherever you are.

10. CRM: Input everything. Track everything. Measure everything. Tie it all together. And remember: the store owns the customer. The salesperson owns the relationship. Not putting all the data you can into the records in your CRM? You might as well cut a hand or foot off. It's what you're doing to your and your store's revenue potential.

11. Social networks: Get the first 10 down. First. Then call someone (not a guru).

These aren't by any means new ideas, bold suggestions, compelling insights or amazing shortcuts to your impending success. At the same time, they are grossly missed. Every day. By most dealerships in the country. It's one thing to have someone hold you back. It's an entirely other thing when you are holding you back.

If your business is not set up right,how can it perform its best?

 

Best Practices: Professional Insights, Powerful Results

 

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

Resolutions? Who Needs Resolutions? We’ve Got WORK To Do!

It's no coincidence that by using the term 'resolutions' as
temporary markers, we're able to miss our goals and targets. In an industry
that's usually more comfortable with what worked 10 years ago, why waste time
with "I wish"? Fact is, by resolving to do something it means that
you're going to do it.

If you're lacking resolve, find someone that can help you with it. This is not
a plea for you to run out and get a shrink, not at all. Rather being resolute
about how you manage your business, as a GM or a sales person or a porter, is entirely up
to how well you plan your work. And when you think about the work involved with
your entire online presence, business and infrastructure, it's not about being
the 'do it all person'. That method will lead to disaster.

2010 will be a dividing and defining year, but not by the forces
of government intervention, the factory guillotine, lack of the 'perfect' new model or even that location you've been eyeing for years. It will be a year of the haves and have nots: either your 3 P's (plan, people and partners) will provide you with the better option or not. Here is the best starting point that we can recommend rather than spitting out another list of vendors, processes or simple recommendations that can be easily duplicated next door:

1. Where are you? Why are you there? Think about this in terms of where your greatest opportunities are for growth. Some things are completely transparent, like Google rank results, conversion rates and revenue per PO (just as examples) and some are not, like sourcing, third-party expenses and advertising in untracked media.

2. Who's with you and who's not? If you've not weeded out your staff in a while, you're lying to yourself. There is some huge talent out there that can not only move the needle forward, they can likely add some sorely needed spark and sizzle to the rest of the people that claim to love coming to work. 'Stick In The Mud' and 'On The Bubble' are not a fun games to play for two years in a row…

3. What changed that you ignored or missed? Usually a massive change in results comes from more than the other franchise having a stellar month while you tanked. If something big shifted, start with asking your customers, your prospects and those that opted to go somewhere else. The insight will do more for you that pulling the wool over your eyes. This is not a 'social media play', this is a 'get yourself dirty play'.

4. Do you have buy in? Another thing to consider is who's behind you. If it's not a majority or all of your staff voting on how things get done, it's time to be open. Not humor, Not simply listen. It's do or die time and if people don't think you care about them , they won't care about you. (hey, customers think the same way. wow!) The 1976 way of handling sales and staff meetings should be 86'd.

We could go with 'finely tuned engine' or something cheesy like 'firing on all cylinders' but you have to do the things that will really impact your business. Aside from that you MUST fire vendors that don't do their job and stop excusing poor performance.

Today a dealer talked about taking the bold step of letting a vendor go that was so far from doing their job. At a rediculously low price. For something the store didn't really think about. Tomorrow, they're going to take it in-house, spend more money, get the job done right and will likely see the results from their efforts…two to three months from now. What are you doing that, if you'd take five minnutes to think about it, doesn't make sense.

If you can't find anything that's broken, here's another recommendation: Walk into a non-automotive business and whatever you notice that absolutely bothers the $#&^ out of you, ask your employees to stop doing it and take suggestions from them to improve. Why? Because there's a 95% chance that your business is doing the same thing.

2010 is full of promise. There will be those dealerships that hit the ball out of the park. There will be those that barely get on base consistently. There will be those that can't even get the batting helmet on. There will be those that aren't even in the game.

Your chance is to own the whole frickin game…

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

The Great Dealership Debate That Shouldn’t Be

"Hear ye, hear ye! For all of you, thou shalt be indentured in thar' olde sales department.  And for the rest of ya blubbering fools, 'yer lucky to call the Internet department over yonder home!"  Boy, sounds like a clip right out of a bad Tom Cruise period movie about horse sales from the 17th century, right?  And to top things off, he loses his English accent about 17 minutes into the flick…

All right, it may not be that bad where you work, and it may be the 21st century, but why is there still a separation between most dealership sales 'departments'?  Why is there still a debate about whether or not they should be integrated?  Is it because the favorite 'floor' sales person loses status and the spooned deals?  What is it about the 1987 mindset that carries otherwise unacceptable practices forward?

Your entire sales department shouldn't be handling Internet leads because nearly all customers are now shopping online.  It's not enough to make those not taking website ups handle "online jacks" simply because there is not a trickle of showroom traffic to speak of, and definitely not to support the size of your team.  Do it because it is simply the right thing to do.  How you do it is up to you.

Dealers: quit responding to the market, conditions, volume and what you perceive to be business indicators and start being proactive: building, planning and expecting more.  Nobody ever built a birdhouse, let alone an empire, by standing still and waiting.

Yet people that otherwise can absolutely, positively produce more numbers, revenue and profit are not in organizations that support the opportunity, vision or appropriate business model.  While a good number of dealers have shifted their resources to completely cover all aspects of sales including web-based leads (and you deserve a lot of credit for doing that), most of the market continues to have a small segment handle what continues to be debated as a different kind of customer.

Fact: Consumers no longer bend around businesses, especially those with dated practices.  If you haven't checked in a while, they're no longer around.  Competition, the Internet and consumer-generated content/virtual word of mouth have changed our industry.  Businesses must listen to, connect with, communicate with and engage with the consumer on their terms.  To use an old adage: quit trying to find a square peg into a round hole.

If you no longer drive to the airport, stand in a 52 minute line and deal with a counter agent to buy an airline ticket, why are you expecting people to deal with an automotive retailer in ways that are also 20-plus years old?  Remember this next time you're in line returning a high-tech item that
you bought online from your favorite electronics retailer: you'll
likely find yourself in the same line as the people who bought items in
the store.  Imagine that…the same line!

It's time to look at your business with new eyes and focus.  Don't do anything less than you'd expect from the places you do business with.  No debate about it: there is no such thing as an Internet department.   There are only the ones that haven't figured it out yet…

Best practices: Professional Insight, Powerful Results

How And When Do You Generate Your Traffic? Your Own Program Or Someone Else’s This-For-That?

Whether or not the money lasts in the government's C.A.R.S./Cash For Clunkers program, one thing is clear: automotive retail still waits for someone or something outside of the dealer to drive the traffic. With few (and great) exceptions, people started hitting lots hard over the weekend.The question remains: what happens that's entirely up to you before and after programs?

A couple of OEMs started a little early by creating buzz around doubling or even advancing dealers money. Dealers even sent out email and direct marketing (along with radio and newspaper….aaaaarrggggh!) to promote the fact that they'd have the CARS program at their dealership! Folks, that's just not enough. Remember that people what to know what's in it for them! If they can get $3,500 or $4,500 (or more) for their car ANYWHERE, why are you yelling that you simply have the program? Is your banner bigger? Big (something) deal!

Why not detail how you understand the program's details, that you have a special team at the dealership to promptly handle customers, that you have a 'Clunkiest of Clunkers' competition for a prize or that your staff's outfits are "older than your trade!' and have them come in powder blue ruffled suits? Now, I'm not saying that you need to look like your favorite scene for The Wedding Singer or a bit part in one of my favorite industry guy's videos…what I am saying is that you have to get your head out of the "same place, same thing" mentality and start thinking about how YOU drive traffic.

No consumer typically wakes up in the morning and says "I've got to make it by some dealerships today and spend some time at each one!". That should not be news to anyone. What differentiates you (or doesn't) is the special events, programs and 'why-to-buy-here' calls to action that invite people in. Why continue to fight over the same piece of pie when you can make yours bigger? And with the current economic issues, simply take a bigger piece of a smaller pie! But your way of doing business can't stay in "wait and see", "hold on for 90 more days", "not going to do anything just now" or "watching how effective (fill in the blank)'s promotion goes before we do anything" mode.

Look at your numbers, especially your regional/area performance. Losing sales in your PMA? Why? Asked your customers why lately? How many times have you blind shopped the competition? Did you optimize your website in the last 30 days (or simply put up a C.A.R.S page and/or compete for the same keywords)?

To expect business you need to plan for business:

  • Listen to everyone (yes, your staff is part of everyone)
  • Understand trends and performance
  • Track and adjust in real time
  • Communicate and set expectations
  • Brand, brand, brand, brand, brand, brand, brand

And remember, you can't live on someone else's brand (including the government's). It is also important to be real. If you don't understand something, say so! Ask questions or your vendors, partners, consultants and industry resources (as long as you are actually using them). If they can't do something, ask them to it and if they can't/won't: drop 'em like they're hot.

See the traffic on the highway? They are all going somewhere. They either have to or want to go where they're going. You might just end up being more people's destination if you play your cards right, plan to be successful and don't reply on ANYTHING outside your place of business to bring in the business.

Be a 'traffic-generating' leader, not a 'take what's left' follower…

Best Practices: Professional Insight, Powerful Results

AutoTrader.com Wants You To Know: Chip Perry and Alan Smith Video

Picture 31 AT_Perry_SmithAlan Smith, Sr. Vice President of Dealer Sales, and Chip Perry, CEO, have created a video to share their take on the current issues shaping AutoTrader.com and dealership business today and what they're doing to deliver more value to the market. This is definitely not something you see often in any industry, let alone automotive, so chances are watching the whole video would be beneficial especially if you're an AT.com client.

With the uncertainty in our business and the necessity for more companies to be proactive and 'open book', it will be interesting to see if more providers attempt messages like this one.

Click on the video caption or here to launch the video page on AutoTrader.com's media website

Cutting To Save Costs Can Cost You Greatly, So What’s Next?

It's so much a part of business today: cost cutting, staff reductions, marketing cancellations, disappearing perks. Even companies that are profitable and efficient are not exempt from the slashing and hacking (that makes sense, right? right?). Needed? Absolutely! Done right? No way! What can you honestly expect when you're name (and more) is not out there?

There's no point in kicking a dead horse: it's bad out there and those that watch conventional media just make it worse by believing what the masses do. But ignoring opportunities and not INVESTING in your future is just as bad as picking up a dime after stepping over a $100 bill. Cost cutting is not an exercise as many people profess, it's simply a knee-jerk activity. One in which you'll disappear. If you want to run through exercises and get wiser, more nimble and learn, then be smart!

Many activities related to online reputation, brand equity, lead generation, customer relation management and more are…wait for it…free! But alas, you must work at it (as discussed in today's Dealer.com 1st Party Lead Webinar, thank you Alex Snyder). Hearing "I can't afford to have my staff doing that online stuff" gives me more indigestion than eating that 72oz steak down at Big Texan!! Folks, what is your strategy? If you cut off blood and oxygen to the brain, what happens?

If you are part of the pointless cost cutting brigade today, how are you going to correctly ramp back up? What are your benchmarks? Consumer confidence, bank lending, 20% lift in units? Please! Strategy, planning, analytics, indicators and some intuition thrown in for good measure should do it along with a good long look at the competition.

If you don't have a game plan, how do you know when the 'cuts' are done? You can't, you don't and you won't. Be proactive. Be thoughtful. Be interactive. Most of all, be timely, accurate and relevant. People want to know you're around and in business.

You may have turned off the car wash and done away with the donuts and muffins but what do you still offer? Think about what's next and think about success (no matter how hard). There are some great opportunities out there just as long as you're willing to do them, putting your effort, thoughts and money behind them.

Best practices: Professional Insight, Powerful Results