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AutoSuccess Jan07
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AutoSuccess Jan07

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AutoSuccess addresses the specific, researched needs of new car and light truck dealerships by providing entrepreneurial, cutting-edge, solution-based editorials to increase dealership profits and …

AutoSuccess addresses the specific, researched needs of new car and light truck dealerships by providing entrepreneurial, cutting-edge, solution-based editorials to increase dealership profits and reduce expenses

AutoSuccess, magazine, sales, new, used, selling, salespeople, vehicle, dealer, dealership, leadership, marketing

For similar content visit http://www.autosuccesssocial.com/

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  • 1. Happy New Year January 2007
  • 2. • F&I Training • Sales Training • Menu Training • Service Drive Training • Sales Management Training • Legal Seminars • Used Car Management Training “It is sure to make myself and my dealership more gross and retain high CSI and customer loyalty.” – Knapp ChevroletVisit us at the NADA Convention in February – Booth 5630 dealerinfo@afasinc.com • (800) 967-3633 • www.afasinc.com
  • 3. eCRM Dealers of the Year 10 PatrickLuck Arouse Emotion, Don’t Sell Logic 22 TomHopkins Continuous Learning 24 BrianTracy Kings Toyota The Biggest Showroom in the Universe 26 PatrickLuck Increase Your Online Profits by Rewriting Your Used Car Manager’s Job Description 28 DavidKain 10 Stop Negotiating in the Business Office Sell Whatcha’ Got 30 31 JeffMorrill TonyDupaquier Targeted Web Video and Your Ad Strategy, Part 1 32 PhilSura Key Performance Indicators, Part 5 36 HeatherConary Training Essential to Telephone Success 38 AlanRam Personal Development is Personal, and Commitment is Key 39 MichaelYork Getting a Head Start: Planning Your Direct Mail Marketing for the New Year 40 JimYoung Brand Yourself 44 DavidThomas Customer Segmentation: Increasing Retention and Profitability 45 MelissaRimoldi What Have We Done to Our Sales People 46 EricMélon How to Start Off Winning 48 DeliaPassi Never Ask a Question If You Don’t Already Know the Answer 50 RichardLibin By Design or Default Customer Pay Labor and Parts Profit Training 52 SteveLaPenta The Art of Recruiting 56 DixonJudd A New Year’s Resolution: Break Up Your Unplowed Ground 58 JesseBiter Car Sales 101: A Case Study 59 MarkTewart Six Steps to a Great Presentation at Your Next Meeting, Part 1 60 PattiWood Four Pillars of Prospecting 62 DirkZeller Patrick Luck, Editor & Publisher Courtney Paris, Sales-improvement Strategist luck43@sellingsuccessonline.com courtney.paris@sellingsuccessonline.com Susan Givens, Vice President Brian Ankney, Sales-improvement Strategist sgivens1@sellingsuccessonline.com super6@sellingsuccessonline.com 3411 Pinnacle Gardens Drive Thomas Williams, Creative Director Brian Balash, Sales-improvement Strategist Louisville, Kentucky 40245 design@sellingsuccessonline.com bb11@sellingsuccessonline.com Dave Davis, Creative Strategist & Editor Toni Stephens, Sales-improvement Strategist toll free: 877.818.6620 ddavis@sellingsuccessonline.com tstephens@sellingsuccessonline.com facsimile: 502.588.3170 Cori Frye, Sales-improvement Strategist web: www.SellingSuccessOnline.com cfrye@sellingsuccessonline.com helping to promote... James 4:10 Humble yourselves in the sight of the Lord, and He shall lift you up. God is the source of all supplyAutoSuccess Magazine is published monthly at 3411 Pinnacle Gardens Drive, Louisville, Kentucky, 40245; 502.588.3155, fax 502.588.3170. Direct all subscription and customer service inquiries to 877.818.6620 or info@autosuccessonline.com. Subscription rate is $75 per year.AutoSuccess welcomes unsolicited editorials and graphics (not responsible for their return). All submitted editorials and graphics are subject to editing for grammar, content and page length. AutoSuccess provides its contributing writers latitude in expressing advice and solutions;views expressed are not necessarily those of AutoSuccess and by no means reflect any guarantees. AutoSuccess accepts no liability in respect of the content of any third party material appearing in this magazine or in respect of the content of any other magazine to which thismagazine may be linked from time to time. Always confer with legal counsel before implementing changes in procedures.© All contents copyrighted by AutoSuccess Magazine, a Division of Systems Marketing, Inc. All rights reserved. Reproduction inwhole or part is prohibited without express written consent from AutoSuccess. AutoSuccess may occasionally make readers’ names available to other companies whose products and/or services may be of interest; readers may request thatnames be removed by calling 877.818.6620. Printed in the USA. Postmaster: Send address changes to AutoSuccess Magazine, 3411 Pinnacle Gardens Drive, Louisville, Kentucky 40245.
  • 4. • Tasca.com • Walser.com • Sheehy.com • RickCase.com • RedMcCombs.com • ParagonHonda.com • HerbChambers.com • HouseofCourtesy.com • DaveSmithMotors.com • HarveyAutos.com ers know and expect more from their dealers than ever before. Therein lays the challenge and the opportuni- ty. Smart dealers are meeting and exceeding these customers’ expectations. Top perform- ing dealers have used the Internet to increase their retail sales by 20 to 25 percent and to improve the profitability of their F&I, Service and Parts Departments as well. Although dif- ferent dealers’ strategies vary, there are some essential elements that most successful dealers possess. AutoSuccess looks for the following five key elements to determine the winners of the eCRM Dealers of the Year Awards: • WELL-DEFINED STRATEGY: A detailed marketing plan with clear objectives to attract traffic to their site, phones and showroom. • HIGH-IMPACT WEB SITE: A customer- friendly site that is innovative, engaging and informative, and that promotes all profit cen- Our staff at AutoSuccess nomenon. This revolutionary medium has en- ters of the dealership. is dedicated to address- abled dealerships to generate substantial returns • POWERFUL CRM TOOL: A fully au- ing the specific needs on their investment by utilizing the innovation tomated prospect management tool that will of new car and light of the Internet and CRM to promote all profit manage and measure all of their leads and drive truck dealerships by centers within their dealership – from new and quality traffic to the phones and showroom. providing cutting-edge, used sales, to F&I, to parts and service. • INNOVATIVE MARKETING: Effective solution-based resolu- media-enriched e-mails and phone scripts to tions to aid dealers in Dealers are spending more and more money on contact prospects. becoming more suc- mass advertising that has increased in cost and • PEOPLE & PROCESS: Well trained and by Patrick Luck cessful, and ultimately decreased in effectiveness. The most frustrat- dedicated Internet specialists to sell appoint- to establish the results ing part of this equation is that dealers cannot ments and well-equipped sales consultants tothey desire: increased profits. In the process of measure the return on their advertising invest- build value in the dealership and the vehicle.providing research-based innovative solutions, ment. That is why many successful dealers are • PRECISION MEASUREMENT &the AutoSuccess team incorporates the input of shifting their ad spending from mass advertis- TRACKING: Measurable results and auto-hundreds of dealers nationwide. ing to targeted digital marketing that has a bet- mated reports to track metrics in order to con- ter return and is more measurable. tinually refine processes and improve results.In an effort to recognize the outstanding digitalmarketing initiatives and campaigns among the Another trend that has influenced dealer ad- Winning entries tell a great story of marketingnation’s most successful dealers, AutoSuccess vertising is the influence the Internet is having challenges, demonstrate excellence in market-honors those dealers who have effectively lev- on how customers are beginning their buying ing strategy and objectives, show measurableeraged the power of the Internet and CRM to process. Statistics consistently show a grow- results and describe the unique lessons learnedharness substantial results. What our research ing increase in the number of customers who from their marketing campaign or program.has shown is that the nation’s top performing have used the Web to research information at The end result is a smarter marketing strategydealers are harnessing their knowledge, experi- some point during the process of purchasing a that uses intelligent digital marketing tools andence and resources toward this marketing phe- vehicle. CSI surveys reveal that these custom- training to sell more cars for less cost. 10
  • 5. Tasca Auto Group Accelerating from eCRM to eSatisfaction with 63% Customer Loyalty What better way for one of the nation’s fast- est growing dealers to spend his spare time than behind the wheel of a modi- fied ’07 Shelby Mus- tang making 3,500 hp and accelerating to 210 mph in just 3.7 seconds! That’s no ordinary car; it’s a National Hot Rod As- sociation Top Alcohol Funny Car piloted by Bob Tasca III. Likewise, Tasca Automotive Group is no ordi- nary dealership. The Tasca Group has grown “Our Digital Marketing System turns traffic into leads while pro- from a small one-rooftop store to a multi-fran- viding the kind of online experience that fits with the Tasca Way.” chise auto group in the New England area. - Bob Tasca III Tasca Automotive Group is now operated by third generation Tasca family members led by 1. Customized marketing lists for targeted More and more successful dealerships are us- prospects ing the Internet to communicate with their cus- auto enthusiast/pilot Bob Tasca III. Their con- 2. Media enriched customized bulk e-mail tomers because it is effective, convenient and tinued growth and success can be attributed to campaigns inexpensive. “Our customers love our buzz- the “Tasca Way” of doing business which fo- 3. Automated delivery of graphic and multime- mails,” adds Bob, “These customized, multi- cuses on customer satisfaction. dia digital presentations via e-mail 4. Integration of optional promotional and cus- media mini-commercials are loaded with inter- tom features active features that keep the customer engaged The scope of Customer Relation Management 5. Management of calls, appointments and pro- while obtaining the information they are seek- has evolved into more than just the face to face cesses ing. When it comes down to it, whatever we’re encounter on the showroom floor. Through the 6. Automated and measurable results doing is working!” power of the Internet and digital marketing, fully automated CRM tools are providing the THE BOTTOM LINE opportunity for today’s successful dealerships to take customer satisfaction to a new level. • Tasca.com awarded E-Dealer Of The Year three consecutive years. Not only are the Tasca Customer Satisfaction Indexes among the highest in the nation, the • Tasca is the largest Ford Motor Company dealer in New England. technology of their automated CRM tools have been instrumental in increasing online sales • Tasca has partnered with BZ Results to make the shift to digital by more than 84 units per month. “Our online marketing and to sell an additional 80 + units per month. presence is a whole new way to communicate with our client base. Our philosophy at this • Tasca’s customer loyalty rating is above 63 percent and their CSI is dealership for more than 20 years has been to among the highest in the nation. rely on repeat and referral business, and our CRM provides a better way to serve our cus- • Tasca uses automated CRM technology to improve customer service. tomers,” explains Bob. “Here’s what an effec- tive CRM tool should provide:” • Tasca Auto Group thrives on repeat and referral business.11
  • 6. The Walser Group Executing Success: Increasing Closing Ratio to 20 Percent Walser Automotive has joined the revolu- tion, implement- ing a centralized eStrategy in 12 franchises. Estab- lished in 1956, Walser Automotive has grown into a network of top qual- ity dealerships across Minnesota who are committed to offering the best service in the industry. Whatmakes the Walser Group unique is their “ne-gotiation-free” philosophy, which they callthe “Walser Way.” “We understand the importance of process and execution, and as a result have built a great foundation in terms of percentages and closing ratios.”Walser Automotive has a fundamentally dif- - Andrew Walserferent approach to the car buying experience.The core principle of the Walser Way is to couple of stores in the mid 20s! That’s quite year creating goals and perfecting processes.give the absolute lowest price up front – no a bit higher than the national average of 5 Andrew Walser is passionate about his com-negotiating, no waiting. The same policy ap- percent.” mitment to centralizing processes and ex-plies to every new and pre-owned vehicle. ecuting on them. Even with the spectacularThe Walser Way empowers the customer and Without the right people and the right pro- results they have seen thus far, 2007 is sureassociate by giving them both the sovereign cesses in place, the greatest technology in to hold great promise for this extraordinarycontrol to make the deal. It is up-front. It is the world is a wasted investment. Newcom- results-driven dealership group. With thehonest. And it is simple. Everyone pays the er to the arena of Top eCRM Dealers of the right tools, people and processes in place, thesame low price…fast, fair and easy. Year, Walser Automotive has spent this past only thing left to do is make it happen.Walser Automotive knows the importance THE BOTTOM LINEof having the right people and the right pro-cess in place. Since implementing a new • Walser Automotive has implemented a new Digital Marketing Strategy.Digital Marketing Strategy within the lastyear, owner Andrew Walser explains, “The • Walser Automotive knows the importance of having the right process.greatest accomplishment since hiring ournew Digital Marketing Consultant is that we • The BDC staff successfully sets appts on 32 percent of leads at Walser.com.have centralized a consistent process in allof our 12 franchises. We understand the im-portance of process and execution, and as a • Walser Automotive has increased closing ratios up to 20+ percent in two franchises.result have built a great foundation in termsof percentages and closing ratios. Currently • The Walser Way is a “negotiation-free” philosophy. Everyone pays thewe are setting appointments on 32 percent of same low price.our leads with an 80 percent show up rate. • Walser Automotive conversion ratio is 10 to 15 percent higher than theThat’s generating a 15-17 percent conver- national average.sion ratio on our total leads. We even have a 12
  • 7. Sheehy Automotive Continued Success – Increased Results up to 700 Percent Since implementing their new digital market- ing strategy a few years ago, Sheehy Automotive has steadily increased their leads, and are now up to the 700 percent mark! This proves that a clear strategy, complete with the right people, process and tools de- signed to utilize the Internet to improve business is not just a passing fad with tem- porary results, but the way of the future for automobile retailers. Let’s take a look at how a large volume dealership group in the highly competitive DC area transformed their average Internet department into a whole new profit “We worked with a results-oriented automotive Internet consulting firm to build a generating center. complete strategy including the redesign of our Web site, staffing and training the Sheehy Automotive, with 18 franchises within team, implementing a process, establishing pricing and fine-tuning lead manage- 13 dealerships across Maryland and Virginia, ment.” - Roy Reutter, Internet Director at Sheehy had immediate results following the imple- mentation of their strategy. In the initial two media has enabled us to increase traffic and marketing strategy, they have seen the average months, their BDC had increased leads by 230 sales at a lower cost than ever.” cost per sale drop from more than $500 per sale percent which translated into an additional 279 to about $130. units in one month. They are now generating With Internet marketing, everything is mea- 3,449 leads per month and have exceeded their surable. Performance metrics help track your The most important metrics to track: goal of 300 sales per month with an all-time dealership’s performance and the return on • Number of visitors to Web site high of 414 sales from the Internet Department. your investment. It’s important to have the • Conversion Ratio Not only has Sheehy maintained their steady right CRM tool that will integrate and automate • Closing Ratio growth, they’re decreasing their cost per sale data so that your strategies can be updated and revised when needed. Reutter added that the • Average gross profit in the process. measurability of ROI on the Internet is unparal- • Cost per sale by lead source Sheehy Automotive began with a business plan leled in the car business. In tracking their new that outlined what they needed to do to use the Web to grow their business. Roy Reutter, In- THE BOTTOM LINE ternet director at Sheehy, indicated that in the beginning they were relying on third party • Sheehy sold 414 units online in just one month. lead providers for their leads and sales. “We quickly realized that we needed more than just a Web site and a few third-party lead provid- • After launching the new Web site, Sheehy went from 400 to 1,350 leads in ers,” explains Reutter. “We worked with a re- only 60 days, and today it generates more than 3,400 leads per month. sults-oriented automotive Internet consulting firm to build a complete strategy including the • The closing ratio for the leads from Sheehy.com is three to four times redesign of our Web site, staffing and training higher, and the cost per sale is about $130 per car. the team, implementing a process, establishing pricing, and fine-tuning lead management," • Sheehy.com is designed to drive phone and showroom traffic, and the Reutter added. Web site is now its No. 1 source of phone leads. On the topic of marketing, Reutter reflects, “If • Sheehys Web site vendor positions it on search engines and helps mar- you can’t generate traffic you might as well ket the Web site online and through multimedia e-mail campaigns. not have a Web site. Search Engine Optimiza- tion in conjunction with multi-media buzzmail • www.Sheehy.com has been recognized as one of the top eCRM Dealers campaigns blended with traditional marketing of the Year for three years in a row.13
  • 8. Rick Case eCommerce Dept. Sells Additional 250 Units per Month Rick Case sold his first car at the ripe age of 14 years old. It was an old “fixer- upper” which he purchased, tweaked, and then resold for a profit. Rick claims he made more on that one car than he had made all year as a paper delivery boy. And so the leg- end began. By 1965 Rick had opened his first Honda vehicle franchise, and estab- lished his stature ashaving a keen eye for how innovation canlead to opportunities.Today the Rick Case Automotive Group,comprised of 14 dealerships throughout Fort "RickCase.com has unique features such as Virtual Test Drives which provide theLauderdale, Atlanta and Cleveland, is enjoy- customer with a multimedia vehicle tour that highlights the unique features of theing tremendous growth in its eCommerce vehicle they’re interested in.” - Rick Case, Ownerinitiatives, doubling their Internet sales from250 to more than 500 units per month whilecutting their cost per sale from $340 per car SEO/SEM and our technology partner who 30 percent. All leads go to our lead manage-to only $210. employs two “Google Certified” experts to ment tool, which makes it quick and easy to help generate more high quality leads. We execute campaigns at any time.How has the Rick Case Automotive Group use mix of organic SEO, which costs less but 4. Create effective, low-cost e-mail cam-achieved incremental sales and a boost in takes time to establish, and SEM which pro- paigns: With our new CRM tool we canprofitability during this growth period? One vides more immediate and predictable results. reach hundreds and even thousands of pros-key to recent success at the Rick Case Auto- SEM ads are purchased through competitive pects and existing customers. We’re able tomotive Group was their switch in technology bids and are easier to budget. create unique mini-commercials that graband training vendors. The group put together 3. Establish a strategy to populate e-mail the customers’ attention and prompt them toa new eCommerce strategy that combines the database: Holding our team accountable come in or contact the dealership. If theypower of search engine marketing, search in both sales and service, we have seen our don’t contact us, our highly trained CRCengine optimization, and e-mail campaigns e-mail address capture rate increase nearly team follows up until they do.to increase traffic. Their new e-marketingstrategy, complete with new Web site tech- THE BOTTOM LINEnology and design, helped generate an aver-age of 5000 leads per month. They’re even • Rick Case used eCommerce strategy to increase sales from 250 to 500+selling an additional 250 units per month out in just 9 months.of their eCommerce Department. • Rick Case Automotive Group is comprised of 14 dealerships throughoutRick and Rita share their Marketing Best Fort Lauderdale, Atlanta & Cleveland.Practices: • RickCase.com and new eMarketing strategy generate an average of1. Build the right Web site: www.RickCase. 5,000 leads per month.com is more than just a Web site; it’s a Vir-tual Dealership which serves as our own re- • The Rick Case Automotive Group used their new e-marketing strategygional buying service. Our site along with to cut cost per sale from $340 per car to only $210.innovative SEM strategies drives more qual-ity traffic to the dealership which increases • The Rick Case Automotive Group uses SEO and SEM to dominate searchleads, reduces reliance on third-party lead engine results.providers, and lowers costs.2. Implement the right balance of SEO/ • Rick Case uses their CRM system to communicate special offers to en-SEM: To attract today’s shoppers, we rely on tire customer database. 14
  • 9. Red McCombs A Texas-Sized Legend: Selling 500 Online Units per Month Everything is bigger in Texas, including the results from Red McCombs’ digital marketing initia- tives. Successful implementation of digital market- ing strategies is the key to success for the nation’s top per- forming dealerships. Capitalizing on the power of digital marketing, Red Mc- Combs.com is leading the way to success by establishing Red Mc- Combs as one of the largest dealerships in the country. After successfully estab- lishing their presence on the Web, www.RedMcCombs.com enabled their eCommerce Department to increase sales volume from 40 vehicles to over 500 vehicles per month! Tony Rimas, director of eCom- merce, provides a summary of what it takes to “Our Digital Marketing System continues to provide us with consistent re- achieve phenomenal success with digital mar- sults, increased sales and customer satisfaction at a lower cost per sale.” keting. - Tony Rimas - eCommerce Director Red McCombs FIVE KEYS TO SUCCESSFUL IMPLE- MENTATION OF DIGITAL MARKETING media enriched Web site and a fully automated only a great Web site, and that’s not the case. CRM tool to create a 24 hour profit center. Tony Rimas explains: “Initially we had a pretty 1. The Right Vision: With the help of a quali- 4. The Right People: In order to get the right nice Web site, but we weren’t getting the results fied automotive Internet specialist, define a results, you need to staff your team with edu- we wanted. We hired BZ Results who provided clear vision of your dealership goals and spe- cated, well trained specialists who are passion- us with a complete digital marketing solution cifically how you plan to get there. ate about what they do. including a high-end, custom Web site, search 2. The Right Strategy: Devise a plan that in- 5. The Right Process: Devise a step-by-step engine marketing, custom multi-media e-mail volves commitment from the top. In order to action plan to maintain a successful CRM strat- campaigns, a CRM tool that automates follow- effect change throughout the dealership, you egy. Monitor and measure all of the dealership up and the training to tie everything together. need management commitment and direct in- lead and prospect activity. Our DMS system continues to provide Red volvement from the dealer to the management McCombs with everything we need to attract, team. Having the right combination of people, tools sell, and create loyal customers. The proof is 3. The Right Technology: Your digital mar- and processes in place will make it happen. keting strategy should include a cutting-edge, in our results.” Some dealers think they will get results with THE BOTTOM LINE • Since implementing its new Digital Marketing System, Red McCombs continues to sell an additional 500 cars a month. • With the right people, tools, and processes, Red McCombs has increased gross profits from $60k per month to over $750k per mo. • Red McCombs uses e-mail marketing campaigns and search engine placement to increase sales and lower costs. • Red McCombs increased its closing ratio from 3 percent to 19 percent by automating much of its follow-up. • Red McCombs uses Search Engine Optimization to dominate search engine placement. • Award winning RedMcCombs.com is generating more quality leads while building customer loyalty.15
  • 10. Paragon Honda Keys to Success Generate 200% Sales Increase While Lowering Costs The last three years have been quite an ex- perience for Para- gon Honda/Acura and partners Brian Benstock and Paul Singer. Not only did the dealership increase their own Web site sales by a spectacular 1,000 percent, they also in- creased their overall sales by over 200 per- cent according to their factory reports. Results like these have earned www.ParagonCars. com the Golden Web Award and three-peat eCRM Dealer of the Year. What’s the keyto their success? In the latter part of 2003, Ben-stock and Singer decided to completely changetheir marketing strategy to leverage the power “After the first four months we left the newspaper and saved over $100,000 in ad-of the Web and CRM and take the dealership to vertising. The best part is that while our advertising expense decreased our salesthe next level. “After the first four months we increased by almost 200 percent.” - Brian Benstockleft the newspaper and saved over $100,000 inadvertising. The best part is that while our ad-vertising expense decreased our sales increased couple others. 8. Training: Training holds the key to sustainedby almost 200 percent,” said Benstock. 5. People: We staff our CRC with people whose results. To launch our new system, we con- only job is to sell the appointment and allow the ducted a manager’s strategy bootcamp and thenBelow Benstock and Singer share their own top sales person to sell the car. systematically trained everyone in the CRC on10 tips for building an unbeatable e-commerce 6. Process: We’ve been able to increase sales the best phone, follow-up and sales skills the in-and CRM strategy and the secrets to Paragon’s without a drastic increase in staff and overhead dustry has to offer.phenomenal success. because 75 percent of our follow-up process is 9. Measure/Manage: Set up automatic reports automated with a prospect management tool. on everything you need to improve your busi-Paragon 9 Keys to Success: 7. Pricing: Selling cars on the Internet is not ness: the number of leads by source, response1. Start with a Plan: Launching a new Web site, about giving cars away. If we do not ask for rate and time, appointment percent, show per-a CRC and an eCommerce marketing strategy a fair profit we won’t get one so we aim to be cent, closing percent, cost per lead, cost percan be overwhelming. With the help of technol- competitive while maintaining a fair profit. sale, etc.ogy partner, we created a detailed action plan forevery step.2. Technology: Find a total system that includes THE BOTTOM LINEa high-end custom Web site, a suite of multi-me- • Paragon’s overall sales have increased by almost 200 percent incremen-dia e-mails to drive traffic and a prospecting and tally year to date over last year according to their factory reports.CRM tool that automates much of the e-mailactivity. Our Web site generates measurable re- • Paragon’s digital marketing strategy made them No. 1 in Certified Pre-sults: www.ParagonAuto.com. Owned in their region and No. 3 in the US.3. Marketing: Traffic exploded immediatelyupon implementing our new system thanks to • Honda Motors Corp reports that Paragon’s closing ratio increased fromthe use of advanced search engine placement and 9 to 25 percent which translates into a 300 percent higher closing ratiobulk e-mail marketing. We select from hundreds than the national average.of multimedia campaigns to send thousands ofbuzzmails every month to generate measurable • Paragon has decreased their cost per sale from $500 to $100 per unit.traffic at no additional cost.4. Referral Services: Track your closing ratioand cost per sale by lead source and you can • Paragon’s eMarketing has increased the traffic on their site from 4,000eliminate the poor performing lead providers. to 20,000+ new visitors per month.We found that the leads from our Web site have • Paragon has seen a 300 percent increase in the effectiveness of theirthe best closing ratio compared with other lead e-marketing tools which has been the key driver to their overall growth insources, although we did keep AutoTrader and a new & pre-owned sales. 16
  • 11. Herb Chambers Selling Additional 600-700 Vehicles Online As a young boy, Herb Chambers used to ride his bike to a local dealership just to look at new Buicks. Little did he know that he was destined to become the largest automo- bile dealer in New England grossing over $1.4 billion in sales just last year. An article was recently written for The Boston Globe about how Herb Chambers’ passion for high performance autos fuels his love for the automobile business. The article featured Chambers’ col- lection of 15-20 fabulous new and vintage cars which he loves to drive, and was appropriately entitled, “What Herb Chambers Drives.” With the tremendous success that Herb Chambers “We measure everything and hold regular meetings to discuss our progress and to has accomplished, owning 23 dealerships at find ways to fine-tune our processes. The customized reports give us the informa- last count, a more fitting topic would be, “What tion we need, the number of leads by source, response rate, appointment percent- drives Herb Chambers?” age, show percentage, closing percentage and cost per sale.” - Jay Gubala Herb Chambers purchased his first car deal- ership in 1985 in New London, Connecticut, vehicles. Once he found the right technology visible on the Internet with listings ahead of and within a span of a few years has grown his partner, HerbChambers.com began to lever- their competitors. enterprise into one of the largest in the coun- age the cutting-edge technology of innovative try. What drives Herb Chambers is his undy- high-impact Web sites and digital marketing To tie it all together, HerbChambers.com relies ing commitment to provide the highest quality tools like animated multi-media e-mails into on their fully integrated, fully automated CRM service to his customers, and to operate profes- all its dealerships in order to make good on his Tool for measurement and reporting. “You sionally managed dealerships committed to be- commitment to provide the highest quality ser- cannot manage what you cannot measure,” ing leaders in the market areas they serve. vice to their customers. explains Jay Gubala, group eBusiness direc- tor. “We measure everything and hold regular How does Herb Chambers sell an additional Herb Chambers utilizes the ever-evolving tech- meetings to discuss our progress and to find 600-700 vehicles over the Internet alone and nology of Search Engine Marketing and Search ways to fine-tune our processes. The custom- continue to provide the highest-quality service Engine Optimization to ensure top ranking ized reports give us the information we need, to his customers? The answer is revealed in among the world’s most popular search en- the number of leads by source, response rate, the question through the power of the Internet. gines like Google, Yahoo and MSN. An ef- appointment percentage, show percentage, Herb Chambers knew early on that the Internet fective SEM/SEO combination customized to closing percentage and cost per sale,” adds would revolutionize the way consumers buy their needs makes HerbChambers.com highly Gubala. THE BOTTOM LINE • Herb Chambers is the largest Dealer in New England. • HerbChambers.com sells an additional 600-700 units per month online. • www.HerbChambers.com is a nationally acclaimed award-winning site. • HerbChambers.com utilizes SEM/SEO to dominate the market. • Herb Chambers was named 2005 and 2006 eCRM Dealer of the Year.17
  • 12. Courtesy Chevrolet Excusing the Competition: Selling Additional 384 Units in One Month In 1955, on the outskirts of town off of East Camelback Road, the dreams of two individuals become a reality. Edward Fitzgerald together with his partner, R. Mitchel McLure, estab- lished a dealership that was destined to become one of the largest automobile franchises in the Unit- ed States. It all began in an old farm house which served as theshowroom and office, with a tiny shed outback that doubled as a makeshift garage andmake-ready area. In spite of such a mod-est beginning, Courtesy Chevrolet, located “Our new digital marketing strategy and high-end media-enriched Web site havein Phoenix, Arizona is now leveraging the increased our leads by more than 400 percent.”power of the Internet to dominate the market - Scott Gruwellin the Valley of the Sun.Courtesy Chevrolet Vice President and them before they fall trap to third party lead tant factor in launching a successful BDC,Dealer Operator William Gruwell has been providers who sell our leads to competitors,” Scott Gruwell tells us, “If you can’t generatea partner in the business since 1981. Upon Paglia adds. “Our ROI has gone up, our cost traffic, the BDC will be an expensive fail-the passing of Fitzgerald in 2000, Gruwell per sale has dropped, and our traffic and in- ure.” Courtesy relies on CRM tool buzztrakbecame a partner with Mrs. Fitzgerald, and cremental sales have skyrocketed.” In one for e-mail marketing and search engine mar-today they employ over 400 staff members, month alone, HouseofCourtesy.com gener- keting to generate more traffic. “Our newall of which have helped to build Courtesy ated an additional 384 units with a cost per digital marketing strategy and high-end me-Chevrolet into the icon of success that it is sale ranging from only $125 to $200. dia-enriched Web site designed by BZ Re-today. In recent years, William Gruwell’s sults have increased our leads by more thansons, Mark and Scott, have worked in sales, When asked to name the single most impor- 400 percent,” adds Gruwell.and are now used and new car sales manag-ers, respectively. THE BOTTOM LINEThe Business Development Center at Cour-tesy Chevrolet, under the direction of Ralph • Courtesy Chevrolet uses HouseofCourtesy.com to promote all of thePaglia, sets the pace in the automobile indus- profit centers within the dealership.try today because of their awesome successin digital marketing. The foundation of the • Courtesy Chevrolet’s BDC helped sell 384 extra cars and generate $582kBDC at Courtesy Chevrolet is a success- in one month.fully implemented Search Engine Marketingstrategy along with a cutting-edge technol- • Courtesy Chevrolet consistently recognized as one of the top Chevyogy rich Web site. Together the combina- dealers in the United States.tion promotes and drives all of their profitcenters within the dealership. Paglia uses • Courtesy Chevrolet was named one of the Top 10 eCRM Dealers of thetargeted banner campaigns as an effective Year 2004, 2005 and 2006.online marketing medium that allows Cour- • Courtesy’s Web site and BDC took them from 40 sales to 384 sales aftertesy Chevrolet to market directly to people a two-year period.living within the geographic areas aroundtheir dealership. “Our main goal is to be • Courtesy’s cost per sale ranges from $125-$200 since installing theirwhere our customers are and try to capture new marketing and BDC system. 18
  • 13. Dave Smith Motors No. 1 Dodge Chrysler Jeep Dealer Dave Smith is breaking the mold. Dave Smith Motors is located in Kellogg, Idaho, a small rural mining town with a population of 2,400. With technology cre- ated in-house, Smith is using the power of the Internet to in- crease sales and prof- its - and increase they did. His efforts have yielded Dave Smith Motors the recognition of being the larg- est Dodge Chrysler Jeep Dealer in the world for the third year, and the largest GMC Dealer in the Northwest. Dave Smith Motors is selling over 400 Internet-lead ating/follow-up systems available on the mar- Lead Rocket also helps management track CSI. vehicles a month with CRM technology that ket. I then put in a full-out press on developing All sales associates must maintain a minimum he developed and implemented. But for Ken a Web site and then started developing our of 95 percent customer satisfaction score. At Smith, president of the dealership, size doesn’t Lead Rocket. Today it’s a completely different Dave Smith Motors, they expect high scores, matter. His aggressiveness and creative mind system than what we’d originally developed.” which means associates have to take care has helped the dealership he took over from of the customer. As an intranet system, Lead his father grow to a $250 million business in a Dave Smith Motors’ system also has a CRM Rocket lets anyone within the dealership send county of only 14,000 people. tool to help track leads. It requires site visitors electronic messages throughout the store. The to provide extensive information before they system features in-house classified ads, lists all In the early 1980s Dave Smith developed the can submit the request, which helps get bet- accessory prices and phone numbers for all em- one-price system and continues today with ter-quality leads. Lead Rocket time and date ployees. And, because the system is tied into this “hassle-free” buying philosophy. Smith stamps the leads, and then turns them over their phone system, they know who the caller draws customers from as far away as Alaska, to the Internet team manager who distributes is when they phone and which sales associate California and Colorado because they all get them among the 25 dedicated Internet sales as- they’re working with. the same bargain-basement deal - no haggling sociates. Overflow leads go to the other sales over discounts. When the company first got associates in the main showroom. started with the Internet and CRM, its approach was to sell at a price lower than MSRP-plus, so it started its own pricing system. The com- THE BOTTOM LINE panies had about 10 computer programmers at one time punching numbers to automate pric- • Dave Smith Motors is the world’s largest Dodge Chrysler Jeep Dealer for ing to give customers an immediate, automated three consecutive years. price. They decided that they wanted to be ahead of the competition and ahead of the mar- • Their Web site helps them sell more than $600,000 a month in acces- ket technologically as long as they could. Ken sories. says, “When the Internet came about around • Their system includes a CRM tool to capture information and stay in 1992 we decided we wanted to be the dealer contact with the customer. in the Internet field. At the time we started, we weren’t doing much Internet business, and we • Dave Smith Motors is the largest GMC Dealer in the Northwest. weren’t sure where it would take us. But we did know that if we could be first into it and could keep updating our Internet sites and keep on • Dave Smith Motors has used the Internet and CRM to help grow its op- progressing with it, we might succeed. eration into a $250 million business. That’s why we developed our own system, be- • The dealership has a team of dedicated Internet sales associates to cause at that time there weren’t any lead-gener- handle all inbound leads.19
  • 14. Harvey Autos Becoming No. 1 Online Dealer in State by Selling 70+ Additional Units/Month Within the last year, Harvey Autos has increased its on- line sales by 70-80 additional units per month, a healthy increase from sell- ing only 5-8 units per month just a few short months ago. This significant in- crease is due to the implementation of a new digital marketing strategy. This small dealership in Bossier City, Louisiana is now on their way tostaking claim of being the largest on-line salesdealership in Louisiana.Harvey Autos hired an Internet marketing con- “Our technology partner provided us with a cutting-edge Web site fully equipped withsulting firm with automobile expertise to de- state of the art features. Our new Web site serves as a digital marketing center thatsign and create their site based on the needs and drives traffic straight to our showroom.” - Gloria Williams, eCommerce Directorinterests of consumers in their region. GloriaWilliams, eCommerce director, explains, “Our ness, it builds value in our dealership. Another keep the customer engaged in the buying cy-technology partner provided us with a cutting- nice feature is “Virtual Test Drive” which gives cle,” added Williams.edge Web site fully equipped with state of the the consumer a multi-media tour of the vehicleart features. Our new Web site serves as a digi- they are interested in. Whether the customer is Now that the BDC Team at Harvey Auto has atal marketing center that drives traffic straight a high-speed or dial-up user, the tours engage good handle on Internet and incoming phoneto our showroom. We used the tools and train- the consumers and intimately connect them to opportunities, the game plan is to grow addi-ing provided by our new partners to establish the vehicle. Other features that our customers tional opportunities with Search Engine Mar-HarveyAutos.com as the primary Internet buy- comment on are the unique “Why Buy” buzz- keting. Their goal is for 100+ units alone froming service for our region. Our new Web site is mails or “Trade In Tutorial” micro Web sites the BDC Department and are expanding thekey to generating Internet leads, phone traffic that can be sent to our customers with links to department with another staffer to help withand showroom traffic while promoting all of our specials, coupons and contact forms that the load.our profit centers within the dealership.”Harvey Autos needed to find an effective way THE BOTTOM LINEto lead their new-age customers to their Web • Harvey Autos uses mass Search Engine Marketing to attract new buyerssite instead of to their competitors’ Web sites. because it is inexpensive and produces a high return.Gloria adds, “We also take advantage of ad-vanced Search Engine Marketing to promote • Harvey Autos has trained their people on a successful process to in-our Web site. SEM ensures that we get listed crease their appointments and show ratios.ahead of competitors on the popular search en-gines. I don’t know exactly how the formula • Harvey Autos uses a customer management system to manage andworks, but I know it’s effective. We have seen measure all of their customer activity.our leads more than double and our phones areringing off the hook!” • Harvey Autos uses their CRM tool to automate their e-mail and follow up activity.Results are what effective Web sites are all • Harvey Autos uses Internet marketing to improve their profits in sales &about. “Our Web site has consistently con- service departments while reducing overall advertising costs.verted five to six times more visitors into leadsover our previous site. Because our site was • Harvey Autos has dominated the search engines to create a regionalcreated by experts who understand the car busi- buying service at www.HarveyAutos.com. 20
  • 15. sts fos ls ms sf fis TomHopkins sales and training solution Arouse Emotion, Don’t Sell Logic What is the emotional something that helps them satisfy their needs, the GPS systems and find no reason to have process that leads to reinforce their image about that purchase. it other than the fact that suddenly they want the purchase of a new Avoid worn-out phrases they’ve heard a it. It’s the latest and greatest. None of their vehicle? It begins with thousand times. Stay away from the words friends have it. They start to feel excited, a new development in clients stopped believing years ago. important and “rich” in thinking that they’ll the buyer’s self-image. be ahead of the crowd by being the first inThat is, the buyers see themselves in a new Concentrate on your customers. Say their group of friends to own it.way — as the owners of that new car, truck, sincere and positive things that reflect theirvan or SUV and all the status it affords uniqueness, and you’ll not only make sales, Or, they might be feeling the pull to get itthem. you’ll create clients who’ll send you referrals because their friends already have it and and buy from you again. can’t stop talking about how cool it is or howIf the projected vehicle purchase is small much time it has saved them.in relation to the buyer’s income, the self- The key is to be disciplined to wait forimage change need only be small. But if the positive input. Unless you do that, you’ll find As you work at developing the skills to evokepurchase is a large one, the change in self- yourself going on and on about something emotions in your customers, always keepimage that makes the purchase possible will they don’t like, and before you know it, that concept in mind. You can destroy salesbe large. Such a change can come about very you’re caught in a web of obvious insincerity. as rapidly as you can create them through thequickly, though. It can take place within a Stick to the facts. clumsy use of, or the lack of control over,few minutes, or even within a few seconds. the emotional setting. Also remember that The mere fact that you’re a sales person will your actions, manners, words (how you sayChampion automotive sales people are adept arouse their negative emotions and they’ll them), your grooming and your clothes areat spotting these changes in self-image as want to emotionally fight you. You need all things that trigger emotions in your futurethey occur during sales presentations. They to get their emotions focused on their own clients — whether you want them to or not.are quick to reinforce the buyers’ realization needs and desires in relation to the vehiclethat they can have, enjoy, deserve, need and they’re interested in. Then, you’ll build their There’s no way around it. People willare worthy of the marvelous new vehicle emotions to where they will have convinced react emotionally to you. It is importantthey like. Do that, and they won’t just like it; themselves of the decision to own. not to have them react with fear, anger orthey’ll want it, need it and realize they can’t disgust. To see some sales people approachget along without it — then they’ll buy it. To get a thorough education in the emotions clients as though they had just fallen off the that sell, watch television commercials, garbage truck, you’d swear that they don’tFirst, be genuinely interested in doing your especially those aimed at children. Logic realize that future clients have feelings, too.best for them. Once they see that you’re in sales is a gun without a trigger. You can Clients suffer the effects of fear when aon their side, they’ll begin to like you and twirl it all you care to, but you can’t fire it. sales person comes on too strong; clients gettrust you. Then, they will tell you what Emotion is the trigger. You can hit the target angry when a sales person patronizes them;they’re seeking to accomplish. Rise above with it. Every time you generate another clients feel disgust when a sales person isthe limitations of your own tastes and positive emotion, you’re pulling the trigger non-professional. Play the odds. Alwayspreferences. Recognize that what’s right for on another accurate shot at closing the sale. be professional and keep their emotions inyou isn’t right for everyone, and make an mind when meeting new people. Do that andintense effort to see the world through your No skill that you can acquire in sales will you’ll close more sales.customer’s eyes. enhance your earning power more than learning how to arouse emotions in yourSecond, use your expertise to guide your buyers in ways that are positive to the sale.customers to the best solution, which your The exact words that you use will depend on World-renowned master sales trainer Tominventory provides, for them. your offering, your personality, your buyers Hopkins is the chairman of Tom Hopkins and market conditions. International. He can be contacted atThird, wait for positive stimulus from your 866.347.6148, or by e-mail atcustomers. If you believe they’ve found Some clients will see a new feature such as thopkins@autosuccessonline.com. 22 www.sellingsuccessonline.com
  • 16. sts fos ls ms sf fis BrianTracy sales and training solution Continuous Learning Throughout the period of retirement which would be paid for Senge, who wrote The Fifth Dimension, developed world, we by Social Security, savings and pensions. says that only learning organizations, those have moved from an organizations that are capable of taking in new era of manpower to an Today, with workforce requirements changing information, adapting it and using it faster era of mind power. We so rapidly, you must continually be asking than their competitors, will survive in the fast- have moved from the yourself, “What is my next job going to be?” changing, competitive world of tomorrow.use of physical muscles to the use of mental You must also be asking yourself, on a regularmuscles. Today, the chief sources of value basis, “What is my next career going to be?” The more you know, the better you will bein our society are knowledge and the ability at solving problems and getting results forto apply that knowledge in a timely fashion. Imagine for a moment that your entire which people will pay you. The more youIn the information age, knowledge is king, company or industry vanished overnight and know, the more freedom and opportunity youand those people who develop the ability to you had to start all over again in an entirely have. The more you learn and the faster youacquire new and better forms of knowledge new business doing an entirely different learn it, the more rapidly you move upwardthat they can apply to their work and to their job. What would it be? And don’t think this and onward in your career and in every otherlives will be the movers and shakers in our question is speculative or that it applies to area of your life.society for the indefinite future. someone else. It is a question that you will probably have to deal with, perhaps far sooner Between where you are and where you wantWhen you learn and practice the techniques than you expect. In thinking about your new to go, there is almost always a gap, and infor rapid learning, when you join the learning job and your new career, here is the most almost every case you will find that you canrevolution, you will learn how to unlock the important question of all: “What do I have to bridge this gap with knowledge and skills. Inincredible powers of your mind. You will be absolutely, positively excellent at doing, in order to get from where you are to your goals,learn how to become smarter and faster than order to earn an excellent living in my new you have to learn and practice something newever before. You will learn how to become a job and my new career?” and different. You have to learn new skills andmaster of your fate, rather than a victim of abilities. You have to learn new attitudes andcircumstances. You will learn how to take The solution to almost every problem in methods. You have to learn new techniquescomplete control of your present and future the world of work is to learn and practice and practices. If you want to be a better parent,destiny so that you can accomplish and something new and different. When you learn you must learn and practice better parentingachieve anything you want in life. how to use the incredible power of your brain skills. If you want to be a better spouse, you to absorb and apply new ideas and information, must study and practice relationship skills. IfKnowledge is doubling every two to three you will be able to lead the field and rise to the you want to earn more money, you have toyears in almost every occupation and top of any profession or occupation. determine what it is that people will pay moreprofession, including yours. This means that money for, and then get busy learning andyour knowledge must double every two to three Here’s another question for you: What is practicing those behaviors.years for you to just stay even. People who are your most valuable asset? In terms of cashnot aggressively and continuously upgrading flow, what is the most valuable thing you Specific knowledge and specific skills willtheir knowledge and skills are not staying have? Well, unless you are very rich, or have become obsolete with the passing of time,in the same place; they are falling behind. a family trust account, your most valuable but learning how to learn is a permanent skillYou see this demonstrated all over the place asset is your “earning ability.” It is your that you can use all the days of your life. Thewith massive lay-offs, declining wages and ability to apply your knowledge and skill in a people who join the learning revolution, andgrowing insecurity in the workforce. You see timely fashion to get results for which others who learn how to learn faster, like those peopleit in the increasing bewilderment and despair will pay. who first learned how to operate computers,on the part of people who are being displaced or learned how to become excellent in theirfrom low-skill jobs which have either moved All your education, knowledge, experience, fields, will be able to earn more in one or twooverseas or disappeared altogether. We are reading, training and work have contributed years of work than the average person earns inin the midst of a societal revolution where toward building up your earning ability. perhaps five or 10 years.unionized industrial workers are becoming According to the research, the so-called “rich” are almost invariably people who By joining the learning revolution, you willa smaller and smaller percentage of our started from common beginnings, often with enhance every area of your life. You will beworkforce each year. great disadvantages, and then overcame those able to help your spouse and your childrenAs recently as the 1950s and 60s, it was circumstances by investing an enormous unlock and realize more of their individualcommon to believe that you finished your amount of time and effort on developing their potentials. You will be a better friend inschooling, got a job with a large company and earning ability. And you can do the same helping your friends use more of theirstayed with that company for the rest of your thing, starting today, or at any time. abilities. And you will be a better manager,life. This was based on the old paradigm of developing the skills that will enable you tolearning. In this old paradigm, life was divided Management consultant Peter Drucker get far more out of yourself and other peopleinto three parts. First were your “learning” says that the truly educated person today than ever before.years, during which you got your education, is a person who has learned how to learnhowever extensive or limited. Then came your continuously throughout life. Tom Peters says Brian Tracy is the chairman and CEO“earning” years. This was the period of time that continuous learning may be the only real of Brian Tracy International. He can beduring which you worked for a living. After source of sustainable competitive advantage contacted at 866.300.9881, or by e-mail atthat came your “yearning” years. This was the for individuals and corporations. And Peter btracy@autosuccessonline.com. 24 www.sellingsuccessonline.com
  • 17. sts fos ls ms sf fis PatrickLuck special feature Kings Toyota The Biggest Showroom in the Universe While rain, snow, heat Kings Toyota eventually overcame the Not that the monitors are all business in a and cold are enemies of objections, though, and on July 28, 2006, the town proud of its NFL team. “Last Sunday Gerry Carmichael Linda Caruso Brad Cohen John Gonzales most dealerships, Kings new facility, boasting 150 vehicles under one we turned on the Bengals’ game on all four General Manager New Car Manager New Car Manager Internet Sales Manager Toyota in Cincinnati, roof, officially opened. monitors,” said Linda Caruso, one of the Ohio, found a way dealership’s new car managers. The game “The average Toyota buyer is very educated, had been combined previously. “Probably the In addition to increased visibility and brand around the weather “Customer reaction has been off the charts,” kept the atmosphere relaxed and inviting. “We and know what they want when they come most pleasant surprise of the whole deal is awareness – the dealership now has the largest– they moved their new car lot indoors. Carmichael said. “People are really impressed, had to wait to sell cars because the customers in the door,” said Brad Cohen, another new how much it’s helped our used car facility by Toyota showroom in the nation – Gonzales and in our surveys with Toyota, people are were watching the game, and it was nice for car manager for Kings Toyota. “The last part separating them,” Carmichael said. credits his department’s work ethic to the“We were out of space at our old facility,” giving us glowing reviews. I think what they the employees who were here to be able to of the decision is the color they want and increase in online sales. “Toyota requires ansaid Gerry Carmichael, the general manager like the most is that it’s very comfortable. We keep an eye on the game,” she said. the equipment. They may know they want a This has translated directly into new sales for answer to online inquiries within 24 hours,of Kings Toyota. While looking for an answer try to keep things low-key so customers don’t Camry, but they might not know which Camry both lots. “We saw a 26 percent increase in but I require my guys and myself to respondto their problem, an unusual opportunity feel like people are jumping all over them. It’s The size of the facility has allowed Kings or what level of accessories they want. This new car sales right off the bat, which we’ve within an hour. A lot of dealerships neverpresented itself when the Kroger grocery store a very relaxed atmosphere.” Toyota to offer services that it never would gives them the opportunity to look and see. been able to maintain, and we’ve seen about answer or it takes them two or three days. Bylocated near the showroom closed. have been able to accommodate in a smaller a 14 percent increase in used car sales,” that time, the lead is cold and dead.” The central lounge area contributes to that area, including offering a dedicated accessory “The normal barriers are brought down Carmichael said. “We sell an average of 400 feeling. It offers free Starbuck’s coffee, center, a large indoor clean-up area and a here,” Cohen said. “When we sit down with a new cars since we’ve been here, up from “We’ve already been one of the largest ToyotaIn addition to the potentially huge sales floor snacks, a large-screen TV, videogames to nine-vehicle indoor delivery area. customer after the buying process, that’s one about 300 sold before the move.” dealers, but now you can see the impact;and increased visibility from Fields Ertel occupy children, and computers for customers of the things that they stress – how easy and customers can see we’re one of the largestRoad – one of Cincinnati’s major streets – the who want to do research before they buy. The delivery area is surrounded by the finance comfortable it was.” One test the dealership met was that since the dealers,” Cohen said.idea of total climate control also appealed offices, and is designed to keep the customer’s new and used facilities were now separate, theto the Southwestern Ohio dealership, where The dealership also has four 106” high- mind at ease. “The nice thing is that if you’re “We have 40 sales people here,” Caruso process of getting trade-in cars appraised had People want to work for a winning team, andtemperatures and humidity in summer are as definition televisions at various points in a customer sitting in there doing your final said, “but because they can all spread out, to be revamped. “Getting that whole process Kings Toyota is attracting sales professionalsoppressive as the cold and snow are in winter. the showroom, and they serve a multitude paperwork, you’re looking out at your car, sometimes we look out and say ‘Do we have mapped out has been one of the biggest from all over the area. “We’ve never had a lotCarmichael said the idea of taking over the of functions. “The televisions segregate the which takes a lot of stress away,” Carmichael anyone out there?’” Thanks to a state-of-the- challenges we faced,” Carmichael said. of turnover, and we’ve had a lot of top-shelf68,000 square-foot facility and creating showroom between hybrids, trucks, cars and said. “It makes for a really nice situation.” art phone system, designed by Toshiba and “When the car comes in, we have a lot tech sales people come to work here,” Carmichaelsomething special made sense on a lot of SUVs,” Carmichael said. In normal mode, SpectraLink, employees stay in touch. take the car over to the used vehicle facility to said. “At this point, we’re overwhelmed bydifferent levels. the screens show general infomercials about The 150 cars kept on the showroom floor have a manager appraise it while the customer requests from sales people who want to come Toyota products. “At each station, a sales showcase the vehicles Toyota offers in all their “This system is one of the first in the country,” is looking here, and then bring it back. The to work here. You can stand out there andNot that there weren’t challenges to that person can put in a DVD if a customer wants variety, including colors and options. And, Carmichael said. “Nobody needs to be locked appraisal is ready by the time they’re ready to freeze, or you can come in here where it’s nicevision at first. “The first hurtle was wrestling to see information about a specific model,” since the area is already secure, the cars can be to a desk anymore. Everyone’s mobile.” talk. We’re big on the pre-appraisal process.” and comfortable. That was true last summer,the lease away from Kroger,” Carmichael he said. Thanks to directional speakers, no kept unlocked, allowing customers to examine as well. Do you want to be out in 95-degreesaid. “The second hurtle was getting Toyota to one outside the monitor’s zone can hear the the interiors freely in climate-controlled Kings Toyota’s former location has been In addition to on-site sales, the move has weather with 100 percent humidity?”agree to the plan. They were sort of iffy about presentation. “The customer can sit down and comfort. Instead of desks for individual sales converted into a used vehicle facility, which also helped generate added sales online.the whole proposition. When you looked at get a great presentation every time,” he said. staff, tables are spread throughout the floor “We delivered 61 vehicles last month,” said “Retention is very good, but it was goodthis place when it was the old Kroger, it was amongst the vehicles, each equipped with the 5 John Gonzales, the dealership’s Internet sales before,” Caruso said. “We have sales people 5; 106” High-Definition Television 6; One of Many, 150 Vehicles can be displayed 7;kind of run down.” 2 information the sales people need to answer manager. “We jumped 35 percent since we who have been here for years. About a third questions or start the sales process. moved in here. It’s been kind of crazy.” of our staff has been here long term, about aCarmichael’s vision eventually won Toyota third has been here for a while, and the other 3 1; Kings Toyota Exterior 2; Research Computers for Customers 3; Centralover, though, in time to face the largest third have been added because of the move.”challenge. “The biggest hurtle was DeerfieldTownship, and getting the buy-in of the local 7 So what’s been the reaction from Kingsauthorities,” he said. “Let’s face it – having Toyota’s competitors? “There’s a term I’vecar dealerships out on the main drag isn’t heard from a couple of people,” Carmichael Lounge for Customers and Children 4; Showroom Entrance Delivery Area 8; Finance Office Surrounding Delivery Areaevery township’s dream come true.” said. “‘Kings envy.’” 1 8 4 6 26 www.sellingsuccessonline.com january 2007 27
  • 18. sts fos ls ms sf fis DavidKain marketing solution Increase Your Online Profits by Rewriting Your Used Car Manager’s Job Description Perhaps the greatest Imagine saying to a Saturday-morning or any number of quality online classified mystery to me when prospect that you are going to the auction sites, their inventory is on display for it comes to managing next Thursday and to wait until then to see millions of potential prospects. At this point Internet operations at if by chance we find a vehicle that fits their it is a beauty contest, and often times the a dealership is why the needs. I would feel more confident if the dealers who provide the best display get to used car manager is not used car manager came in on a turnover and the prospect first because their vehicles “lookin the middle of the mix. Over the past several completed an interview with the prospect, and sound” the best in the listings. Compareyears it has become apparent to me that dealers found out their likes and dislikes and then it to searching for a house online. If a realwho have their used car managers actively asked them for a few minutes while they estate agent provides quality photos and ainvolved in online marketing and sales have checked out their “Inventory Network” quality description, even if the price is a bitbenefited more than other dealerships. This for vehicles they were looking for. The high, many prospects will want to scheduledoes not mean that most used car managers “Inventory Network” is in actuality the same an appointment to see if it is as nice as itare not working hard and using imaginative Internet that the prospect can access each looks and sounds. I have said many timesideas to market and sell their vehicles – of and every day. The difference is the prospect about homes that if it really matches thecourse they are. I just think if they apply these lacks the experience and the confidence in display then I would be willing to pay more.efforts in the online world, their rewards in many cases to do what a used car manager I am certain your online prospects are sayingsales and profits will be even greater. Let’s can do in minutes. Once a vehicle that fits the the same thing. Given that most used carreview two key tasks and how the Internet bill is “located” then the presentation can be managers are responsible for their inventorycan increase results in both areas. something as simple as “We have found one display, I would recommend tasking them that closely matches what you are looking for with making their online display the best inInventory Acquisition at one of the dealers in our network. We will the market. It’s not hard to do as you willThere is no more important task the used go over all the details with you now and make find out with a quick look around the leadingcar manager has than that of inventory sure it is what you would purchase if it meets online classified sites. Most dealers do notacquisition. Yes, sales people sell cars, but your condition requirements.” If the prospect even write a description because the “VINyou can’t sell what you do not have (well, likes the vehicle and you can agree on a decoder” does it for them. Imagine your salesmost of the time anyway), and the used car price, then the next step is similar to locating person as a walking and talking VIN decodermanager is typically charged with finding and or swapping a new vehicle. “We will go and – if they simply recited the equipment to thepurchasing or trading for the vehicles that are inspect the vehicle and make sure it meets prospect, they would likely not peak theireventually sold by the sales team. For years our condition criteria and only if it does will interest and sell the vehicle. Make yourthe pre-owned inventory at our dealership we bring it here for you to test drive. All we descriptions come to life and engage yourwas dependent on the next potential trade- need now is to write it up, get your deposit used car manager to put the same effort intoin or the Thursday auction. I can remember and schedule a time for you to come back to describing it as they do when they returntelling plenty of prospects that I would be see the vehicle.” from the auction and show off the car to thegoing to the auction on Thursday with a list general manager or dealer.of vehicles I needed to buy and I would be This is happening all over the country withglad to “hand-pick” one for them while I dealerships who use the Internet as a catalyst It’s as Simple as it Soundswas there. Prospects truly appreciated this to sales, and it can take place at every No rocket science here – just help yourapproach and on many occasions I actually dealership that decides they want to actively used car manager achieve their goals andwas able to match their needs to an actual use the Internet to their advantage. Some your goals by engaging the Internet in theirvehicle, but more times than I care to count active Internet dealers have gone so far as everyday tasks. It’s happening all around youI came home empty handed and frustrated to set up networks with other dealers where and I don’t think you will want to miss out onboth myself and the prospect. Prospects they purchase inventory of this nature for a the benefits.appreciated the full-service approach and set margin, while others are using servicesstill do today. This is still a solid approach, like lanelogic.com.but with today’s open inventory architectureof the Internet, the customer can pretty well Inventory Display David Kain is the automotive Internetcomplete this task themselves - unless they A huge advantage of the Internet is the fact training specialist at Kain Automotive, Inc.find it is better to work through a trusted and that your display area is virtually unlimited. He can be contacted at 800.385.0095, orreliable dealership with an Internet-oriented Once a dealer uploads their inventory to their by e-mail at dkain@autosuccessonline.used car manager. own Web site, Cars.com, AutoTrader, eBay com, or visit www.kainautomotive.com. 28 www.sellingsuccessonline.com
  • 19. AMG has been creating original and highly successful mail pieces for over adecade. A high response rate proven by call tracking coupled with low pricingprovides you with one of the leading levels of ROI in the industry. Call now andspeak to an Account Executive who knows the Auto Industry better than most.All of our Account Executives have worked as Sales Representatives atAuto Dealerships and they know what it takes to grow your business! Receive a daily feed of consumers in your target market that had their credit checked for an auto loan approval within the last 24 hours. That’s right, these consumers have just had their credit checked within 24 hours, specifically for an auto loan approval! • Farm the prospects of your closest competitors while protecting your own leads from other dealers in your market • Get deals bought that others turned down because they were weak in special finance • We will provide a call script for your dealership • Name/Address/Phone Number included • Do Not Call List compliant • You pick the Credit Range (Ex: 475-600) to us at get s ta rted or visit t mples and o see sast a free reque
  • 20. sts fos ls ms sf fis JeffMorrill sales and training solution New Cars Sell Whatcha’ Got Here’s how to manage the most common clean. Wouldn’t you prefer a You can never reason for swaps - color. lighter color?” avoid dealer swaps • Early in investigating, ask your • “Silver is great for resale completely, but you prospect if she prefers “light or dark because it’s acceptable to almost need to minimize colors,” rather than “what’s your everyone.” them, because: favorite color?” This gives you more • “You get the best deal on the • While you’re waiting to swap, your flexibility. in-stock vehicle because there customer may cancel and/or find a • When asked, “What colors does it are no expenses associated with “better deal” elsewhere. come in?” answer, “We have the swapping it in.” • Swaps take a ton of administrative following colors in stock….” • “You like the interior color, right? time from your managers and office • When asked if you have a color that Well that’s what you see when staff. you don’t stock, resist the temptation you drive.” • Other dealers don’t care for their cars to answer with the overeager “but we’ll • In the end, if you can’t avoid the need like you do, so swapped cars come in get you anything you want.” Many to swap, make sure you get a second- with scratches, missing keys, etc. folks will take a second- or third- choice color from the customer so • When called for a swap, other choice color if you don’t go out of your your deal doesn’t fall apart if you can’t dealers cherry pick your inventory, way to promise the first choice. get the first. occasionally forcing you to do another • Have phrases ready for when you need swap next week for the rare car you to switch someone off a first-choice Used Cars gave up today. color. Examples: There is no feasible way to swap for a used • More cost in fuel and drivers, and more • “White is what most folks car, so if you fail to sell whatcha’ got, you headaches: In eight years, accidents choose when they can’t get won’t sell anything at all. have totaled two of our brand new cars silver.” • If you don’t have exactly what a on swaps. • “Black is impossible to keep prospect wants, avoid telling her that you’ll give her a call when the perfect Kick Off Presidents Day And car comes in. The perfect car will never come in. While waiting for Stomp Out your call, your prospect will buy an imperfect car elsewhere. • Identify the objection(s) to your car and overcome them. If you can’t The Competition With... overcome the objection, then put the objection into context. “You wanted a late-model, low-mileage Outback, automatic transmission, with a cloth interior. The one I have in stock has a leather interior. But you’ve found a great sales person, a great dealership where you feel comfortable, and a great car at a great price that has everything you want except one thing. Do you reckon you’re about as close to the perfect car as you’re gonna get?” • Discount. Discounting should be the last resort, because it costs a lot ition compared to good sales technique, pet which is free. However, if you can’t Th e com find the perfect car, then maybe you can find the perfect price. “If we could save you $500, would that make you feel better about taking the leather interior?” Jeff Morrill is co-owner of Planet Subaru in Hanover, Mass., and Planet Chrysler Jeep Dodge in Franklin, Mass. He can be contacted at 866.872.8699, or by e-mail at jmorrill@autosuccessonline.com. 30 www.sellingsuccessonline.com
  • 21. sts fos ls ms sf fis TonyDupaquier f&i solution Stop Negotiating in the Business Office The business office the customer has agreed to participate in the investment. You will enjoy increased gross is not the place to benefit in principle, all you have to do is meet profit and product penetrations when the negotiate. The benefits them with the payment. In most states, you customer sees the benefit of cash investment. and services that are have the ability to sell a 14-day and a 30-day sold there should retro period disability program. If the 14-day not be subjected to retro period is cost prohibitive, move the Tony Dupaquier is the director of F&Inegotiations; however, in too many instances, program to a 30-day retro period. Training for the Automotive Trainingthere is a need for payment relief. Academy. He can be contacted at Remember: When payment relief is needed, 866.856.6754, or by e-mail atExtending the term of the loan is one way start by illustrating the benefits of cash tdupaquier@autosuccessonline.com.to offer payment relief. Although a lowerpayment will be achieved with a longer term,this technique is usually not in the customer’sor the store’s best interest. Cash down fromthe customer is your best bet and the first placeyou should go with a customer who needspayment relief. Once the customer tells youthat they would like some of the benefits youare offering, but they need a lower payment,calculate how much cash would be requiredto achieve that payment. Cash is king in ourindustry. I know that every sales person walksin your office telling you they have no moneydown; however, you are the best closer in thedealership, and you have the ability to havethe customer put additional money down.Let your customer know that their personalinvestment in their new vehicle has fourprimary benefits. They are: lower payment,the ability to build equity, a faster tradecycle and lower loan cost. After you tellthem the benefits of cash investment, ask thecustomer which is most important to them. USE EMAIL, VOICE COMMUNICATION, DIRECTThe majority will say lower payments. Yourreply to the customer is this, “Since you told MAIL AND TEXT MESSAGING TO AUTOMATICALLYme that having a lower payment is important AND INTELLIGENTLY COMMUNICATE WITHto you, an additional investment of ____ will 100% OF YOUR CUSTOMERS.put you closer to the payment you desire, andyou can have the benefits you want.” ONE SOLUTION, ONE PROVIDERYou must isolate what is important to thecustomer, because if the customer does notsee the benefit, it is only an expense. Althoughcash is king, not every customer will haveadditional investment available.The product most often sold in the businessoffice is the service contract. Unfortunately,it is also the product that is most-oftennegotiated. Many business managersprice a service contract from cost-up. Thisleaves minimal profit after negotiations. Irecommend starting at the recommendedretail price. Starting at full retail allows forrelief while still holding acceptable profit.Another avenue of payment relief is creditdisability coverage. Since credit insurance The Most Intelligent Multi-channel Marketing System On The Planetrates are set by the state, price is not negotiable. 1.866.591.4238 www.marketview360.comAlways offer your customer coverage withthe shortest retroactive period available. Oncejanuary 2007 31
  • 22. sts fos ls ms sf fis PhilSura marketing solution Targeted Web Video and Your Ad Strategy, Part 1 Step I. Getting the other dealer’s site in your market? Are you approach can give a Web car buyer who Customer to Your communicating your latest campaign or is researching new car options on the Web Web Site is Critical event on your site? How do you display your the ability to get information about a new The vast majority actual inventory online? Does a customer car from the dealer’s site without having to of customers use get inspired to visit your dealership when leave the site and go to a manufacturer’s site. the Internet to look they see your site? You may have the most Keeping customers on your site is critical,for automotive options in the market. impressive retail facility in your community and this is a great way to do it.Customers are attempting to determine but if you have a boring Web site, customerswhere they should invest their time. Even may never see your operation. In selecting a company to provide newif auto shoppers are inspired by a half-page car videos, it is important that you worknews print ad, they will still likely use the with a company that also has the ability toInternet to gain additional information about incorporate and highlight not only footagethat specific dealership by visiting the Website before coming into the dealership. The Smart dealers about the new car but who can also highlightdealers that have a strong presence with the today must your dealership’s brand message as well.search engines spend time and money toaccomplish this. All dealers should have an develop a Used car virtual tours are important, as well. Some leading vendors of these services canunderstanding of the basics of search engineoptimization and search engine marketing in strategy to create these video walkarounds from the digital pictures. Each video walkaround mayorder to stay competitive. display both include an overview of the features of thatIn Internet marketing, search engine their new specific used car, with background music, and a “call to action” at the end urging themarketing, or SEM, is a set of marketingmethods to increase the visibility of a Web and used buyer to come into your dealership or to call or e-mail for a test drive. The call to actionsite in search engine results pages (SERPs).The main methods of SEM, as defined to inventory pushes the customer to take the next step of visiting the dealership or e-mailing forWikipedia (http:// www.wikipedia.org), are: through Web additional information. • Search engine optimization attempts to improve rankings for relevant video. These used car virtual tours are then linked keywords in search results by to a dealer’s used car display page. Most of improving a Web site’s structure and the major Web site providers are allowing content. Video content allows you to create a stronger video content to be added directly to the used • Pay-per-click advertising uses emotional message for the customers who car display page. A video icon informs the sponsored search engine listings are taking the time to visit your operation customer of the units that have a virtual tour. to drive traffic to a Web site. The online. Video on your Web site does two advertiser bids for search terms, and things: (1) More information is retained Used car virtual tours can also be linked to a the search engine ranks ads based on and (2) the customers will stay on your third party such as CarSoup. Data shows that a competitive auction as well as other site for a longer period of time. Examples a car with a video tour is likely to be clicked factors. of dealer Web videos include testimonials of on four times more than a car with only happy customers, a message from the owner, pictures. These virtual tours can be sent as aSearch engine optimization (SEO) is a a tour of the facility and video virtual tours link to a customer making an inquiry. Thinksubset of search engine marketing, and deals of the new and used cars. Professionally of the impact that video has on a customer.with improving the number and/or quality produced video content on your site will help Video is more dynamic, more emotionallyof visitors to a Web site from “natural” (aka push the customer from a passive position of engaging and more interactive. Remember“organic” or “algorithmic” search engine) simply browsing the site to a customer more that these videos are opportunities to brandlistings. In effect, SEO is marketing by likely to get engaged in the next step of the your operation. The voice talent should beappealing to machine algorithms to increase sales process. Possibilities for the next step professional and the introductions and closessearch engine relevance and, ultimately, Web include calling the dealership, sending an e- should “wow” a customer.traffic. This is analogous to foot traffic in mail to the dealership for more informationretail advertising. or visiting the dealership in person. Next Month: How using video can drive customer loyalty.Step II. Getting the Customer to Move Smart dealers today must develop a strategyFrom a Passive Position to an Active Party to display both their new and used inventory Phil Sura is the vice president of theOnce the customer visits your site, how do through Web video. New car Web videos or automotive division of UnityWorks!you communicate your message? Does your virtual tours can be created by repurposing Media. He can be contacted atWeb site stand out from every other dealer’s OEM running footage and can then be 866.647.0468, or by e-mail atsite, or does it have the same look as every featured on the dealer’s Web site. This psura@autosuccessonline.com. 32 www.sellingsuccessonline.com
  • 23. sts fos ls ms sf fis HeatherConary marketing solution Key Performance Indicators, Part 5 In the past four issues advertise your Web site address on items like have www.joesford.com/christmas. This of AutoSuccess, I your letterhead or invoices, it is the address page would be a separate page from the main have written about for the main site. For example, if you run Web site. It could be linked from the main Key Performance Joe’s Ford, your letterhead probably includes Web site, but it doesn’t have to be. Indicators (KPIs). www.joesford.com. These are gauges you Some other ideas for using landing pages:can use to determine how well your Web site What if you want to get an idea of how many • Assume your sales people give out ais performing. people are finding you by your Yellow Pages business card to be-back customers. ad and being motivated to visit your Web If your top sales person, Jim Smith,To calculate these KPIs, you will need a set site? You can list your Web site address as gives out a card, it could include aof your statistics from your Web site. There www.joesford.com/yellow in the ad. You link to www.joesford.com/jimsmith.are many different statistics providers out could have your Web site provider have this If the be-back customer types in thatthere (Urchin, CoreMetrics, WebSideStory, address redirect to the main site, but you address to get back to your site, theyeven proprietary solutions.) If you need help will be able to check your Web site statistics will be greeted by a friendly face thatfinding the measurements referenced in my reports to see how many customers are they recognize.article in your own statistics package reports, coming from this particular source.feel free to e-mail me. • Your dealership sends out a direct Some other ideas for using tracking mail piece that includes a contest toGetting Started with Tracking Offline addresses: win a gift card. You could include aMarketing Campaigns • Add a tracking address to each standard link to www.joesford.com/contest, soBeing able to develop, deploy and track marketing piece that your business that customers are taken directly toonline marketing campaigns is a major uses, including letterhead, envelopes, the entry form for the contest whenadvantage of having an online presence. invoices, repair orders, brochures they visit your Web site.Unfortunately, dealership marketing doesn’t signage. For example, if on repairexist in a bubble – any online campaigns orders, you include a link to www. • Does your dealership offer a preferred(Web site, e-mail, search engine), are joesford.com/ro, and you see that you card or rewards card to your customers?typically complemented or run in addition begin to get a fair amount of traffic You can include an address on theto offline campaigns (newspaper, signage, through that, can you begin to think cards for www.joesford.com/rewards.direct mail.) about what customers are looking When a customer goes to this address, for? Are they looking for information they will immediately be able to accessGenerally speaking, online campaigns are on your service warranty? Are they information regarding your rewardsmuch more popular among marketers due to looking for the name of a manager to program instead of having to searchtheir trackability. Over the course of the last whom they can send a complaint? your site for it. This can also be easilyfour months, we’ve looked at many different modified for gift cards or certificates.ways you can find and use information to see Using Landing Pageswhat customers are doing on your Web site. A landing page is the first page a customer The applications for using your Web siteOffline campaigns have typically been more sees when they are directed to your Web site to track your offline marketing efforts aredifficult to track. by a particular offline campaign. endless, and are limited only by your creativity. For more ideas on using tracking addresses orHowever, you can use your Web site to track If you are sending out Christmas cards to landing pages, you can e-mail me.how well your offline campaigns are doing, your customers with directions to visit your Next Month: Creating a system and processspecifically if they are driving traffic to your Web site for a special coupon for service for using Web site statistics to their fullWeb site or virtual inventory. or parts, you want to figure out how many advantage. people are actually reading the card andUsing Tracking Addresses being motivated to go find out what the Heather Conary is a Web developer atOne of the easiest ways to track an offline coupon is. To do this, you can have your Downeast Toyota-Scion-Buick. She cancampaign is to use a tracking address (also Web site provider set up a landing page. For be contacted at 866.386.4914, or by e-called a tracking URL). Most likely, if you the example of the Christmas cards, you’d mail at hconary@autosuccessonline.com. 36 www.sellingsuccessonline.com
  • 24. Money Guarantee DO YOU WANT THE REAL TRUTH?My Sales Event will bring you $100,000- Can you handle the real truth?$250,000 in gross profit in 5 days GUARANTEED The real truth is that it was a 13 Trillion Dollaror I will deduct the cost of advertising. You will economy last year in the US. 13 TRILLION! Now, ifexperience 200-500+ customers walk through you believe that you and your dealership can’t getyour doors in 5 days. your fair share of 13 Trillion, then you can skip theThis guarantee is small potatoes compared to the rest of this letter because my company would nottons of money that you will make from this event. be a good fit for you. If you don’t believe you canThat’s why I am so confident and can make these get your fair share of 13 Trillion Dollars, then youbold claims to you. Big dealerships, small dealer- need to keep belly aching and whining about howships, city dealerships, rural dealerships, it does bad things are.not matter. We have been able to get results However, if you aren’t willing to make excuses fortime and time again. MARK TEWART the rest of your career about economies and manu- facturers and every other boogey man you can find,What Is This All About??? Big things, big break- Tewart Enterprises then read on…throughs, big sales, big gross profits. And yes,you can do this without lying to or beating up your Tewart Enterprises Inc. produces five-day sales events for dealer-customers. That’s right! With a very good marketing plan, very good ships all across the country. We bring traffic, LOTS OF TRAFFIC,people, very good processes and understanding of proper desking with our promotions. We also bring a professional team of peopleprinciples you can get a ton of customers, sell a ton of vehicles and to help you manage the sale and make it successful. We don’t bringmake a ton of money – THE RIGHT WAY. drunks, drug addicts and derelicts. WE ARE PROFESSIONALS.For many, 2006 has not been a banner year in traffic, sales or profits. How Are We Different?In fact, for many, 2006 has been a real stinker. Many dealers and First of all, it’s our people. We have quality people. No vagabondstheir personnel have begun to believe that it is just that way and and rogues allowed. Second, we have process. Third, we haveyou can’t push a market when it’s not there. Folks, I am here to tell experience. MOST OF ALL, we are an individual and organizationalyou that those things are only opinion. development company. Our mission is to leave your dealership better than when we came in. We will assist your people in growing their sales skills, people skills and deal process skills. “We have tried other companies and Tewart Enteprises is the best.” Lonnie Robertson, Dealer – Johnson’s of Chickasha – Chickasha, Oklahoma $200,000 in 4 days at Jeff Wyler Auto Mall in Springfield, OH Opportunity distance learning program for FREE. You get our Don’t let another weak month happen. If you internet based sales training program available to would like to discuss the opportunity of what a you 24/7 for a month! ($497 Value!) Tewart Enterprises Inc. sales event can do for you: Each person can view as many modules as they CALL 888 2 Tewart (888 283-9278) want and take a test on each module and the or e-mail us at info@tewart.com with the words manager can track everyone’s usage and test “sales event” in the subject line and make sure to scores. give us your contact info in the e-mail. FREE BONUS #2 FREE BONUS The first 10 dealers who we schedule a sale with For all dealerships who schedule a sale with us in that mention this letter, I will give you my High the next 30 days, I will include one month of our Performance Sales DVD for FREE! ($597 Value) P.S. You can subscribe to my free e-mail newsletter at www.tewart.com, and make sure to come to my Workshop at the 2007 NADA Convention: 27 Marketing Secrets Guaranteed to Increase Your Traffic and Sales in 30 Days or Less.
  • 25. sts fos ls ms sf fis AlanRam sales and training solution Training Essential to Telephone Success Dealers considering to someone who sounds like a robot. We hammering on the same scenario each time setting up a BDC want sales people to have a natural-sounding they’ll simply learn what you want them to should look at the dialogue with their customers. That’s where say like parrots. The goal is for the person most effective models. the next element comes in. you’re working with to make it ALL the way The model more and through a call. Every time that person makes more dealers are using T = Training a mistake you start over until a successfulinvolves “phone people,” or, in other words, Training is repetitive application of learned conclusion.non-sales people taking every sales call. This skills. Typically in a seminar environment,is often done because a dealer believes the sales people are educated but not trained. A = Accountabilitysales people can’t do a good job on the phone. We mistakenly tend to expect the results of You can’t expect what you don’t inspect.But, when customers call, they are looking training from education. This is the equivalent With all the services available to help youfor detailed information about vehicles. Who of trying to become a good golfer by watching monitor inbound sales calls, it has neverbetter than the sales people to provide this a lot of golf on television. Sales people must been easier to hold your people accountable.information? first be educated, and then trained relentlessly in the form of role-playing. The role-playing M = ManagementWe need to train our people to do the of specific scenarios is critical. Training Every team needs a coach. With any trainingjobs that they’re hired to do. Training is needs to happen daily. Do baseball players you embark on, your management is the key.a process comprised of several elements. If take batting practice daily, or do they send It makes absolutely no sense to train yourany of these elements are missing from your their guys to a hitting seminar once a year? sales people and not train your managers.training process, your results will be short In a group, role-play different scenarios Everyone must be on the same page.lived, at best. Remember this acronym: E- with your people. Pick one person who youT-A-M. know will do a good job on the call. This The bad news is there are absolutely no person will set the “tone” for the meeting. short cuts to being successful or being goodE = Education When conducting these meetings, practice at anything. This includes your dealership’sEducation is where people learn what is the calls you get most often. If you get three effectiveness on the telephones. The goodexpected of them and why it makes sense. new car calls to every one used car call at news is that there’s plenty of hope for yourIn general, education can be conducted in a your dealership, role-play that same ratio. If people. It comes in the form of Education,classroom setting, interactively or utilizing the person you are role-playing with makes Training, Accountability and Management.books and audio materials. Provide your a mistake, start over again with that same The best exclusive you can have in yourpeople with proven scripts and word tracks. person. Don’t jump to someone else; that market is a well-trained sales staff. Train yourInsist that they learn these. Actors have scripts, just rewards bad performance. On the next people to do the jobs they were hired to do.football teams have scripts (playbooks) and call, give them a different scenario. Let’s sayso should your staff. When is the last time a you role play with “I’m looking for a 2004 For a free trial of Alan Ram’s interactivecustomer said something to you that you had Camry. What do you guys have down there training system call or e-mail me with thenever heard before? If a sales person refuses with low miles?” At some point, that sales information below.to use “your” word tracks, have them submit person makes a mistake. On the next call,the ones they would prefer to use for your change it up. “I’m looking at an ad you’re Alan Ram is the president of Proactiveapproval. “Winging it” is not an option. Of running on a Camry for $249. How is that car Training Solutions. He can be contacted atcourse, we don’t want our people to sound equipped?” This keeps your people on their 866.405.6404, or by e-mail atscripted. Your customers do not want to talk toes. You want them thinking. If you keep aram@autosuccessonline.com. 38 www.sellingsuccessonline.com
  • 26. sts fos ls ms sf fis MichaelYork sales and training solution Personal Development is Personal, and Commitment is Key Commitment is Cool Epictetus was onto something in the second And what’s even cooler century. “First say to yourself what you is how it can lead you would be; and then do what you have to to remarkable results. do.” One of the great myths of top performance and How can you become better at commitment?big success is that it’s all about motivation. Make it Personal. Here’s my short list:It’s motivational speakers and motivatingsales people and paying the price and blah, Commit to Beginningblah, blah. Beginning to do what you’ve never done to become what you’ve never been. Beginning isNews flash: Motivation is temporary. exciting. It’s an adventure to start something.Success in anything demands the constant of At least try looking at it from that uncommoncommitment - yours. perspective. The clichés of the masters aren’t all clichés. It is true that you don’t have to beCommitment is stronger than motivation. great to start something, but you do have toBut before you can commit, to anyone or start something to become great.anything, you must believe. Walt Disneyonce said of making dreams come true, Commit to Thinking“When you believe in a thing, believe in it What if Napoleon Hill were right? Think, andall the way, implicitly and unquestionably.” grow rich. What if there really was something to Sir Isaac Newton’s answer to the questionCommitments are a big part of personal on how he discovered the law of gravity? “Idevelopment - and life and work and thought about it all the time.” How aboutrelationships and getting the most from Ralph Waldo Emerson’s clue, “We becomeeach. It’s just another reason why personal what we think about all day long?” Hmmm.development is so, well, personal. Because The evidence begins to pile up when yousome of the things I’ve committed to might become a good student. Think. Deeply. Andnot hold the same personal value to you. And then capture your thoughts on paper. Beforevisa versa. you know it, you’ve got a vision and written goals on how to get there.Commitment means you resolve to do whatit takes on a consistent basis, even when you Commit to Givingdon’t feel motivated. Like today. Or maybe Giving makes you bigger than you are. Thetomorrow. What have you committed to that more you give, the more you pour out, themeans no matter how you feel you’re keeping more life will be able to pour into you. Whaton? Your marriage? Parenting? Your work? are you thankful for? What have you beenSelling? Reading? Listening? Writing? given in life? And how do you measure whatTeaching? What have you committed to? you have?The clues of success are yesterday’s wisdom Try measuring your worth not in dollars orand today’s revelation all rolled into one. possessions, but the things in your life forThey are historic clues and visionary which you would not take money. Pricelessthinking. But the reason you absolutely must things not for sale at any price.be something or see something or becomesomething is personal. And it requires a Commit to Lifecommitment on your part to arrive at your Don’t trade living for existing.desired destination. Want the rest of Michael’s List of The 10Become a History Major Commitments? E-mail me.History can give you the model to highachievement: the clues, the stories, thesuccesses, the way others did it. The onlything you shouldn’t accept from historyis why it’s never been done before. That’s Michael York is an author and professionalthe limitations of the past. And this is The speaker. He can be contacted atFuture. The impossible is done everyday, 800.668.5015, or by e-mail atsomewhere. You could be next in line for myork@autosuccessonline.com, or visitbreakthrough success. www.MichaelYork.com.january 2007 39
  • 27. sts fos ls ms sf fis JimYoung sales and training solution Getting a Head Start: Planning Your Direct Mail Marketing for the New Year Marketing in January your mail house and use the leads that work this time of the year. Trigger lead programs and February can best for you and your market. are a way to reach market buyers on a daily be tricky. Many basis and farm the prospects of your closest dealerships will competitors immediately. As always, these virtually shut down their advertising until Many of your programs yield some of the best gross profits in car sales today, so don’t leave them out ofthe last week of the year, counting on thatweek to salvage their December and propel competitors the mix.them into January. By the time the smokeclears late in the first week of January with will not have a Catch Them Sleeping If you have worked your direct mail andmonth- and year-end close out, these same plan in place lead generation programs, you will mostdealers find themselves scrambling to set upprograms for January and February. Some for the early likely have a good head start on the year. Pre-booking your programs for January anddealers even write off the first two monthsof the year as “slow times” and don’t set part of the year February will allow you to take advantage of the competition that is still sufferingup marketing efforts at all. Here are a fewsuggestions to make sure you start the year or will be out from year-end hangover. Many of your competitors will not have a plan in place forwith your marketing up and running. of the game the early part of the year or will be out of theBe Prepared entirely. game entirely. Now is your chance to make hay while they sleep. Those dealershipsDo your homework and book your direct that market only during the summer whenmail programs and be ready for January and “business is good” deserve to go hungryFebruary. If you have your mail programs Time For Sub-Prime during January and February. Use direct mailset and ready to go when January begins, Sub-Prime efforts with direct mail and lead and market farming products like triggeryou won’t be scrambling. Set your budget generation programs can be a foundation for leads to contribute to their starvation. Byahead of time. Work with your mail house your business in the early months of the year. the time other dealerships catch up, thoseto design your program for prime, sub-prime Many dealerships look at sub-prime as an customers will be driving around with yourand/or service. Select your mail pieces, leads afterthought, treating that end of the business logo on their vehicle.and times to send out mail in advance. Your as a burden and the profit it generates as amail house is only as good as you allow them lucky bonus. Particularly in the months Jim Young is the sales and marketingto be, and rushing turn-around time makes leading up to tax time, sub-prime direct mail coordinator for Allegiant Marketing Group.it tough on everyone. Take advantage of the generates the strongest response of any direct He can be contacted at 866.883.6669, or byresources you have available to you with marketing program. People don’t stop buying e-mail at jyoung@autosuccessonline.com. 40 www.sellingsuccessonline.com
  • 28. of coming Door... ired its T nt rof n the Fro P i ing k? lippBac en S the ...th outSell Millennium Products Auto Perfect by Millennium W NE With Millennium’s new Auto Perfect program, you’ve got theand Hold On to Your Profits! ultimate package of services for delivering higher front-endOnly Millennium delivers everything you’ve been looking for – sales AND increased back-end profits that won’t slip away.superior after-market products, more profit opportunities,greater customer satisfaction and FREE sales training tosell even more.FREE TRAINING!Sell Millennium products and for a limited time receive freeF&I and Dealership training in our national training instituteby Eric "Frenchy" Mèlon. CALL NOW TO FIND OUT HOW! Other services offered by Millennium: Millennium Etch • Millennium Tire and Wheel • Millennium VSC • Millennium GAP Dealers Call Direct Advance VSC • Centennial VSC • Salesperson “Road to the Sale” • F&I Training Management Boot Camp • BDC Training • Professional Sales Training (866) 652-3944 Agent territories still available, inquiries welcome. www.themillenniumclub.net
  • 29. sts fos ls ms sf fis DavidThomas sales and training solution How would you like Brand Yourself couple of extra shirts and give them to $50 to $100 per month for personal to brand yourself as key centers of influence to promote you advertising and self-promotion expenses. the “Honda Guy,” the and your product. “Mercedes Lady,” or 4. Drive what you sell. Consider using Some examples are: the “Ford Truck Guy”? valet parking at key social functions • Ad in community bulletin How would you like and tipping a little extra to park your car • High school programto be recognized and mentioned everywhere in front for some great exposure. It’s a • Church, PTA or Alumni Newsletteryou go as “The Car Person,” the automotive rolling billboard. • Classified ad“go to” guy/gal? 5. You must enjoy talking about cars. • Radio traffic spot sponsor Even after a 12-hour day at the dealership, • Charitable event or auctionBranding yourself can make you more money be enthusiastic and ready to discuss carsthan your name ever will. But do you know at dinner and social functions. This Ask yourself, “What group can I identifyhow to brand yourself? How do you become could be your best source of prospects with, that I will gain from repeatedthe expert? How do you become the topic of and referrals. association with?”conversation at social events? 6. Get involved. Give back to your community. Volunteer. Choose to Make an investment in your future sales.Here are some tips: involve yourself in an organization that Above all, ask yourself every day, “What 1. Be proud of your product and you will enjoy participating in. You will can I do to meet new people and promote my occupation. If you don’t believe in your be rewarded for your energy and efforts love of selling cars today?” product and yourself, no one else will. with exposure and recognition. 2. Eat, breathe and wear your logo. Do 7. Show appreciation. Let everyone David Thomas is the owner of Subaru you proudly wear your company brand know that you really appreciate their of Dallas. He can be contacted at on your leisure time? referrals and that you need them. 866.429.6803, or by e-mail at 3. During social events, etc, buy a 8. Budget for self-promotion. Set aside dthomas@autosuccessonline.com. CREDIT REPORTS LEAD SOLUTIONS COMPLIANCE TOOLS ID VERIFICATION Lead Prospector Solutions Know ‘em. Reach ‘em. Close ‘em. First Advantage CREDCO, the leading provider of specialized credit reports, offers Lead Prospector Solutions – a powerful suite of lead generation tools. From highly-motivated bankruptcy and subprime leads, to targeted demographic and Internet leads, we have a leads solution for every prospect so you can close more deals! 866.745.2485 CREDCOServices.com Visit our Booth NADA LAS VEGAS Feb. 3 – 6, 2007 h Scratc ! in & BOOTH #2181 W Multiple Prizes! 44 www.sellingsuccessonline.com
  • 30. sts fos ls ms sf fis MelissaRimoldi Customer marketing solution Segmentation: Increasing Retention and Profitability Ask yourself the important to understand the various behaviors, following questions: and segment them into like characteristics. • How do you currently communicate with Valuable Tips: your customers? 1. Better Allocation of Resources - First • How effective are access your database and run datayour marketing efforts? What do you like or analytics. Look at time and mileage,dislike about your marketing? service history, contact information• What do you do to retain and grow your and other metrics to help you delivercustomer base? Are you satisfied with your the right communications strategy.results? 2. Lower Marketing Costs – Ensure that you are their cure• What percentage of your customer base do more than half of the campaigns areyou have e-mail addresses for? What are you e-mail; various studies show that 83doing with them? percent prefer e-mail versus any other• What are you doing to know exactly which communication because it’s non-advertising efforts are generating repeat intrusive. Continuous e-mail append is abusiness or new leads? tremendous value to add approximately 20 percent new e-mails to your currentHere are some statistics that can help you database. This will allow you to beevaluate your current owner communication more targeted by deploying highlystrategy and service reminder program. This personalized communications that areis market research on 800 dealerships, across relevant to where your customer is at inall brands and makes. their ownership lifecycle. 3. Customer Retention – Increase theOn Average, Out of 100 Customers: benefits of immediate customer follow-• 28 customers are loyal to the dealership up after a sales and/or service event• 32 customers purchased a vehicle from transaction to gain visibility when a the dealership and never set foot into the customer is satisfied or if the customer service department needs additional follow-up to resolve• 40 customers visited the dealership one an issue. Take timely action to react or two times for service and defected and respond accordingly to recover your customer and increase customerToday, most of a dealership’s communications retention and satisfaction.programs are solely focused on the 28 percent 4. Increase Sales – Establish a tactical These kids andof your customer base, which means that you sales and marketing approach to millions moreare missing a tremendous opportunity to drive build trust and credibility through Mary Tyler Moorethe other 72 percent into your dealership. highly personalized and targeted International Chairman have JuvenileWhat we know is that if you do not capture a communications. This will help you Diabetes, a disease thatcustomer by the eighth month, you will have allocate marketing dollars to those threatens their lives every day.a less than 1 percent chance of getting them activities that produce results, increaseto come back to your dealership. response rates and lower expenses from None of them can outgrow it. reduced wasted expenses. But we’re closer than ever toBottom line, it’s important that you beginwith customer segmentation, and then Find a solution that is designed to help a cure. Please, help us maketailor your marketing efforts to your you more effectively and efficiently reach life-saving research possible.customers with like characteristics – create customers through various mediums,targeted communications. Your growth including e-mail marketing, voice Call 1.800.533.CURE or visitand profitability will depend on your ability broadcasting, text messaging, and direct www.jdrf.org.to send the right message, at the right mail. The future of marketing is beginningtime with the right medium. And, the 72 with customer segmentation and connectingpercent proves to be of greatest value, with intelligent, feature rich technology andthe highest advantage to get them to return innovation into a single solution to retain andand help increase your owner loyalty and regain customers.profits.A loyal customer with a good customer Melissa Rimoldi is the vice president forexperience is six times more likely to Business Development and Strategicrepurchase from you again. If you want Alliances at MarketView 360. She can beto influence future purchase behavior and contacted at 866.883.9262, or by e-mail atincrease owner loyalty at the same time, it’s mrimoldi@autosuccessonline.com.january 2007 45
  • 31. sts fos ls ms sf fis EricMélon leadership solution What Have We Done to Our Sales People How about this for dealers, managers and sales people have New Year’s resolution: different goals: “I will make my sales • Dealers/managers desire increased It is all about people financially profits for the department and successful. I am going business. hiring the to develop a cultureof success in my dealership. I will take • Sales people desire increased personal income. right behavior,full responsibility in the development and developing theimplementation of a bulletproof process in This lack of agreement places dealers,my dealership. I am going to win.” managers and sales people in conflict. right behaviorResult-Based Management vs. What is Required to Reach Resolution? and managingBehavior-Based Management 1. Redesign of the control system or the right behavior.The Webster’s Dictionary definition of management format that realigns“manage” is “to direct or carry on business incentives and daily work practices It is up to you toaffairs in order to achieve one’s purpose.” of the dealers, managers and sales people. make your salesHistorically, most sales departments have 2. The addressing of two major people shine.focused predominantly on managing questions.department issues. In order to truly • What does it take for themaximize the opportunities available to a sales people to balance It is all about hiring the right behavior,sales department, the performance issues their individual or developing the right behavior and managingmust rank as management’s top priority. personal needs with the demands the right behavior. It is up to you to make your or needs of customers, dealers and sales people shine. This is a defining moment.To sharpen focus on managing performance, managers? You will either define the moment, or thethe following working definition is • What does it take for the moment will define you. You control it.recommended: “Performance management” dealers/managers to balanceis managing the daily activities of each their dealership needs withsales person for effective consistent the demands or needs of theaccomplishment. customers and sales force? Eric Mélon is the vice president of First Dealer Resources LLC and corporate trainer for Millennium AutomotiveThe definition of “sales management” is To answer these questions, the two control Protection. He can be contacted atensuring the individual success of each systems or management formats must first 866.652.3969, or by e-mail atsales person. This will not happen without be described. emelon@autosuccessonline.com.performance managers.Sales Force Control Systems Result-Based Management Behavior-Based Management“Control system,” by definition, is anorganizational set of procedures for directing, Relatively little monitoring of the sales Considerable monitoring of themonitoring, evaluating and compensating its people by management. activities and results of sales people.staff. Results (units and gross) are used Aptitude, skill level, productBy accident or design, a control system to evaluate and compensate sales knowledge levels and effectiveinfluences employee behavior, ideally, in a people. accomplishment of work activity are used to evaluate and compensateway that enhances the welfare of both the sales people.dealership and employee. Sales people are left alone to achieve results in their own way, using their own strategies - held accountable for Active managers monitor, direct andThere are two major sales force control their outcomes (units and gross), but involve themselves in the activitiessystems and management formats: not for how they achieve the results and operations of the sales people. 1. One that monitors the final results of (work activity accomplishment and Managers usually have a well-defined a process. behavior). idea of what they want sales people to 2. One that monitors individual stages do and work to ensure that the sales and behaviors in a process. force effectively accomplishes the Sales people are made entrepreneurs; work activities with the appropriate responsible for their outcome, but free work behavior.Each system or management format affects to select the methods of achievement.the sales person’s thinking, motivation andbehavior. Sales people are expected to conduct daily business in alignment with the dealership vision and strategy.The central premise in a dealership is that 46 www.sellingsuccessonline.com
  • 32. sts fos ls ms sf fis DeliaPassi sales and training solution How to Start Off Winning People like to do she greeted by a friendly receptionist? Does a 12-year-old son; my daughter is just turning business with people your office or waiting room impart credibility, 13. Great and challenging years ahead I’m they like. The encounter reliability and trustworthiness - or do you led to believe,” can help you get to common stage is all about making need to revamp? ground. One financial producer shared that he them comfortable and likes injecting humor into common areas of establishing rapport. What if you are meeting her for the first interest. Women do enjoy good humor - whoWith women, this is more important than time outside of your office? Then your doesn’t? - and it quickly puts you on the sameit might seem. In fact, how you handle physical being is her first encounter with wavelength.the introduction and breaking the ice will your organization, so there’s a heavier burdendetermine if she feels comfortable enough to on you personally to be well dressed and Getting off on the right foot is the foundationmove forward to the next step. If you do not groomed. Don’t forget, women will assume for success, whether your sales processcreate the proper first encounter, you will have that the way you conduct yourself away from happens in minutes or months. How youa difficult time making up for it through the your office reflects how you behave in your initially break the ice and make a connectionprocess; you will have reduced your chances work. Being on time speaks volumes to most will mean the difference in your pocket. Let’sof converting her to a customer before you people about whether they can trust you in assume that you are a car sales person. Whenhave barely begun. business. a woman walks into your showroom, do you give her a chance to browse first or do youA first impression is formed in less than one Now greet her. Don’t forget that a clear sign of approach her upon her arrival and introduceminute. Remember that the sale begins even respect is that you shake the hand of the person yourself? Most of the time, women willbefore you say hello. It begins when she standing closest to you first and then proceed appreciate having a sales person approachenters your office building or as she opens the to shake hands with any others. Remember them fairly quickly because they tend not to bedoor and meets you for the first time. to shake her hand firmly but not hard, simply as comfortable in the dealership sales process. firm enough to denote respect and that you This is your chance to put her at ease andSo take a minute to take an imaginary walk in are truly pleased to meet her. Give everyone begin the introduction process that will makeher shoes. What immediate experience does - including her and anyone else who might be her recognize from the start that you are theshe have? Are your surroundings inviting? Is accompanying her - your card. sales person she wants to work with. Here’s an example of how you can approach her. Of course, it is assumed that you recognize the importance of appearance and manners. A “Welcome. Thank you for visiting our smile, a sincere handshake and looking her in showroom. My name is John Pederson and I the eye as you are speaking all need to take would be delighted to answer any questions place. or just discuss our products. May I ask your name?” To help you better understand what it takes to truly resonate with women, answer these Of course, we’re making the assumption that questions honestly. If you can answer “yes” to you recognize the importance of appearance all, then you are off to a good start: and mannerisms. A smile, a sincere handshake, • Are you likeable? looking her in the eye as you are speaking and • Do you make a good first impression? handing her your card during the introduction • Do you come across as warm and should have all taken place. Next is to use genuine? her name as you begin to ask her questions. • Do you smile enough? Making her comfortable and at ease with you • Do you know the protocol when as a person is critical so you can move to the meeting female prospects? next step - seeking information. • Do you typically break the ice by finding common ground? Checklist Things you must do: So now the sales process you recognize • Make a good first impression begins. Remember that for women especially, (appearance). trust results in sales, and the sooner she • Be on time. trusts you, the sooner you will close the • Maintain eye contact. sale and move forward with a viable long- • Offer your card. term relationship. According to research, • Remember to smile. association counts when it comes to women. • Be aware of your environment. They appreciate being on common ground. • Use ice breakers. Family and community associations are great conversation starters—that is one big reason Delia Passi is the president and CEO at why it is important to keep signs of family MedeliaCommunications. She can be and community involvement in your office. contacted at 866.883.4953, or by e-mail at Simple comments, such as “I hear you have dpassi@autosuccessonline.com. 48 www.sellingsuccessonline.com
  • 33. sts fos ls ms sf fis RichardLibin sales and training solution Never Ask a Question If You Don’t Already Know the Answer Anytime a customer Doing business starts with the sales Sales person: No problem. What models walks through the person’s understanding that their primary are you looking at? door of virtually any responsibility is to select the right car for Customer: I’ve been thinking about a new automobile retailer in each individual buyer. It’s all about asking pickup truck. the country, they are the right questions – questions to which, the Sales person: Great. How would you begreeted in much the same manner: “Hi. How majority of the time, the sales person already using the truck – more for fun and adventureare you doing today? Can I help you?” It’s knows the answer. or more for hauling and work-relatedno surprise then that the response is nearly activities?always the same” “No, thank you. I am A careful strategy includes questions that arejust looking.” The customer’s automatic direct but non-confrontational or pushy, and By asking specific questions, the salesresponse – a defense mechanism – kicks that deliver specific information that builds person will learn immediately aboutin. Increase your sales by being prepared in on the sales person’s ability to move the the type of car, potential uses, the styleadvance. process forward. and feeling the customer is seeking. It allows the sales person to present the rightConsider this: If the sales person had said, Ineffective Approach: solutions and to steer the customer into a“Welcome, I’m Joe Smith and my job today Sales person: Hi can I help you? demo drive. Ultimately, the demo driveis to help you select a vehicle, and get you Customer: No, thanks. I’m just looking. becomes part of the product presentation;a price. Is that OK with you?” This simple it’s not an option.change opens the door and allows Joe Smith Effective Approach:to use his well-honed sales techniques to Sales person: Welcome, I’m Joe Smith and Ineffective Approach:steer the conversation through browsing, into my job today is to help you select a car and Sales person: Do you want to take a demoa demo drive, and ultimately a sale – today, get you a price. Is that OK with you? drive?tomorrow or even next week. Customer: Sure. I’m just looking. Customer: No, not now. 50 www.sellingsuccessonline.com
  • 34. continuedEffective Approach: outcome – the manager and sales person negotiations and conflicts that typically endSales person: Let me show you some want to listen to me. without a sale. Remember, it’s not what youfeatures of the vehicle to make sure it meets say, but how you say it.your needs. Keep in mind, the sales person is an agent ofCustomer: OK. the customer and an agent of the dealership – a double secret agent. Asking the rightThis allows the sales person to then continue questions helps ensure the customer selects Richard F. Libin is president of Automotivewith the rest of the product presentation. the right vehicle. By asking questions that Profit Builders, Inc. He can be contactedAsking the right questions encourages provide clear information needed to direct the at 866.450.6853, or by e-mail atcustomers to answer in a way that gives sales process, dealerships can avoid lengthy rlibin@autosuccessonline.com.direction on how the sales person can helpresolved uncertainties, and in the end, sellthe car.Ineffective Approach:Sales person: Is the price right?Customer: No.Effective Approach:Sales person: Other than the price, is thisthe right vehicle for you?Customer: Well, actually, I don’t like thiscolor.This exchange should immediately alert thesales person that the customer has not trulyselected a vehicle. Without this crucial firststep, the price will never be right. The colorwill not be satisfactory, and the sale will notbe closed. At this point, the sales personmust go back and help the customer selectthe right vehicle.When the deal reaches the price discussionstage, most sales people negotiate pricing OUR NEW LINE UPwith their managers. This makes customersfeel abandoned and takes them out of the Will Have You Seeing Stars.loop.Ineffective Telephone Approach: The MOST FLEXIBLE SERVICE CONTRACTS in the INDUSTRYManager: Does the customer like the car?Sales person: Yes.Manager: Did he/she take a demo drive?Sales person: Yes.Customers perception: I’m not involved, I WE’RE SHOOTING FOR THE STARS, WHY AREN’T YOU?am being talked around and left out of the Call Interstate National Dealer Services today to joinpricing discussions. Plus, the manager isonly getting the sales person’s perception. ranks with hundreds of agents and dealers who have successfully aimed for the stars for over 26 years and reaped the benefitsEffective Telephone Approach:Manager: Ask the customer, “Have weselected the right vehicle?”Sales person: My manager wants to know if 866-515-INDS www.inds.comwe selected the right vehicle. WE WARRANTY THE BIG THINGS IN LIFECustomer: Yes.Customer perception: I am involved in thisconversation and have input into the finaljanuary 2007 51
  • 35. sts fos ls ms sf fis SteveLaPenta leadership solution By Design or Default Customer Pay Labor and Parts Profit Training In today’s ever- manager is worried about shop production offer their suggestions on improving your c o m p e t i t i v e hours and the parts manager is concerned business. The best part is it doesn’t cost you environment, service with the parts gross profit. Although all anything to do that. managers who these goals are worthy, they do not focus on experience continuous keeping customers loyal. Understanding Why Customers Defect growth in customer From Their Selling Dealershippay work and profitability are managers All departments need to share common Generally, the majority of customer defectionsequipped with a specific business model goals and act as one team in designing and can be attributed to the behavior, action or lackstrategy plan by design, not by default. implementing business growth strategies of interest regarding a customers concern. plans aimed at achieving three objectives: Somewhere along the line an employeeThe entire dealership management team and Vision, Value and Mission. projected an image that the dealership didn’tits employees should participate in designing Values - What the dealership believes in really care about that customer’s business.a dealership business strategy model plan. Vision - What the dealership wants to It may have been in the form a dealershipThe primary focus and objective should be to become in the future employee being rude, impolite or simply notkeep every customer returning to the service Mission - What the dealership does to make a returning a telephone call.department throughout the lifetime cycle for difference to keep customers and employeesall routine maintenance, including brakes This is why every employee in the dealershipand tires. Are You Really Listening to Your must understand and be trained in what is Customers? required to maintain and keep customersFixing Your People First Get the answers to these questions from your returning back to the service departmentThe first step in any effective training customers: after the sale of the vehicle. The averageprocess is to obtain an acknowledgement, • How can our service department make automobile dealership service departmentbuy in and commitment from the employees it more convenient for you to visit our retains about 20 percent of their customersthat the dealership’s current business model dealership? over a four- to five-year period.needs to change to meet the needs of today’s • What method of communication do youcustomers. prefer (e-mail, telephone or postal mail) Customer’s perceptions are that the when it comes time for us to remind you dealership service department is tooEmployees need to be educated and aware of your maintenance needs? expensive and inconvenient. Customers areof effective ways to keep customers loyal. • Would you consider using our dealership finding other establishments that can meetWith the proper care, customers will return when it came time to replace your brakes their maintenance needs, such as Midas,back to the dealership, for not only warranty or tires? Firestone, Jiffy Lube, and Wal-Mart. Thesework, but customer pay work, as well. • If not, would you mind if I asked why franchises are no longer strictly in the muffler you would not consider us? or tire business. They have redesigned theirOn the employees’ behalf, the dealer principal business model to become “Full Vehicle • Would you like us to perform a “Freeand management team have an obligation to Maintenance Experts.” The independents do Vehicle Inspection” on your vehicle oneducate and provide professional training to an excellent job of marketing themselves to every visit?all employees on these subjects. Employees’ your customers. • Would you like us to present alllivelihoods are dependent upon the future maintenance and/or repair items thatgrowth of the variable and fixed operations This means automobile dealerships have a may require attention on every visit,business. great opportunity to increase their customer with no obligation on your part? pay market share. In order to do so, theyThe future success and profitability of • Can you offer us any suggestions need to change their business model andautomobile dealerships depends on the ability when attempting to phone into our strategy process. Since this is a permanentto keep customers retained to the dealership dealership? market change, dealers can greatly increaseservice department after the warranty period • Would you like us to be able to provide their profits by making this change.has expired. a specific time that your vehicle will be completed for you, at the time of service The customer retention training process startsIntegrated Sales-Service-Parts-Body write up, rather than just “Drop your car with “educating and training” your customersShop Management off at 8 a.m. and pick it up at 5 p.m.”? during the sales delivery process. SomeoneEffective training starts at the top, meaning • If we could perform all your vehicle needs to inform customers that their vehiclesthe dealer principal must be committed, routine maintenance requirements in will require routine maintenance and that theinvolved and supportive in helping every 30 minutes, rather than just performing dealership would love to earn their routinemanager in every effort to prevent customer an oil change in 45 minutes, would you maintenance business.defections and grow the business. First we visit our store?need to establish what the common target • Will you continue to have your People would much rather do businessis as a team, because dealership managers maintenance performed at our dealership with the selling dealership if the serviceusually have different targets and goals. after your warranty period expires? department can meet their needs.For instance, the dealer principal may be To keep customers coming back throughout Steve LaPenta is the president of Dealerworried about department profitability, the the lifetime cycle, start asking them questions Automated Systems, Inc. He can besales manager is focusing on how many that matter to them. Ask the customer politely contacted at 866.652.3968, or by e-mail atvehicles were sold this month, the service and sincerely, and they will take the time to slapenta@autosuccessonline.com. 52 www.sellingsuccessonline.com
  • 36. move the crowd. crush the competition. count the money. J&L Marketing knows that every dealership Contact one of our Business Growth Strategists Attention: Dealers Visiting Vegas! reaches it’s potential in a different way. That is at 800.861.5461 to discuss how each of these why we offer three different roads to success programs and others can be used in your - all with intense benefits! dealership to produce amazing results! Dealers everywhere are raving about a NEW revolutionary breakthrough - instantly increasing showroom traffic 50%! 1 2 H Events Weekly Campaigns B OOT We are extremely excited to introduce this incredibly profitableCase Study: Missouri Chevrolet Dealership Case Study: Pennsylvania Hyundai Dealership 2725 traffic producing strategy to you at NADA – and we will pay you $100 cash on-the-spot just to see it! • 3-Day, high impact sales promotion (no outside sales teams). • Appointment-based sales strategy where customers call to set a • As an appreciation of past business, previous customers were invited 60- minute presentation with a member of the sales team. to the dealership to take advantage of year-end savings. • Dynamic website created for each customer. I want to do everything in my power to guarantee you show up at our NADA booth this year in Las Vegas to talk about (possibly) the • Dynamic website created for each customer. • Allowed customers to schedule appointments on their own most important breakthrough discovery J&L’s come up with in the last 15 years. • Increased response rate time, increasing response rates • Gathered valuable data for future mailings • Built database with customer information for future After spending the last few years rethinking the tired question of how to go about attracting buyers into your dealership and multiplying • Built credibility and provided additional information mailings your traffic in today’s vastly changed automotive retail climate – I’ve come up with some very startling and refreshing answers. • Produced instant internet leads with qualifying • Produced instant internet leads with qualifying information information • Drives quality appointments into the dealership during the slowest • E-mail blast times of the week. This year at the NADA Convention in Las Vegas booth 2725, we’ll be launching the first-ever J&L Move, Crush, Count Program. • Increased response rate Calling it advertising is a disservice. Calling it a marketing plan is an understatement. Calling it a direct mail program is an insult. 1,501 mailed7,500 mailed 25 respondents (1.67%) What it is is a step-by-step, totally-integrated cutting-edge system for increasing your showroom traffic by 50% almost instantly!93 respondents (1.24% during three days) 10 sold (40%) Don’t take my word for it – look at some of the case studies to the left to see what just a few of the dealers who participated in our24 sold (25.81% during three days) two-year pilot tests produced. 3Numbers do not include additional responses and number of vehicles sold from the The marketplace today is totally different than it was even two years ago. The marketing that used to work no longer does. TheInternet and phone prior to event dates. approaches we used to use no longer deliver the 20-ton mega-punch that they used to – on their own. They need to be incorporated into an all-new philosophy and all-new mindset and all-new series of actions and all-new integrated super traffic generating strategy. Hybrid Events Thousands of dealerships like yours were sent an invitation to attend booth 2725. If you did not receive your invitation, here is your last chance to get paid $100 for just 30 minutes of your time. Case Study: Tennessee Honda Dealership Call Sarah Amburn now at 800.861.5461 or e-mail her at samburn@jandlmarketing.com and schedule the day and time most • Pre-registration program for previous customers that utilized direct 11,267 mailed convenient for you at NADA. You will receive $100 cash on-the-spot just for doing so. This is for general managers and owners only! mail and personalized dynamic websites. 108 respondents (.96% during three days) • Dynamic website created for each customer. 21 sold directly from mail piece, prior to event date My highest regards, • Captured customer’s buying interests (19.44%) • Follow-up postcard 60 sold during event dates (55.56%) • Used as a reminder to customer of appointment. • Follow-up 3D mailer 81 total sold, not including follow-up Scott T. Joseph • Used as a reminder to customer of appointment. • HTML E-mail confirmations • Used to repeat customer’s information back to them and remind them of appointment. 800.861.5461 www.jandlmarketing.com
  • 37. sts fos ls ms sf fis DixonJudd sales and training solution The Art of Recruiting For anyone in a sales Some situations call for a focused, ongoing ones where someone caught fire and led a organization - meaning recruiting effort to even survive. College very successful charge. Most of the time, if a product or service sports would be one example; even the they were not the ones with the most talent has to be sold for your national champions in any college sport know or resources in the beginning of their quest future to continue - then that players graduate and move on, usually for prominence. Their competitors andyou have probably at least heard the word sooner rather than later, not to mention that gravity add additional resistance. For those“recruit” if you are not already living it. injuries will occur. If there is not a culture of us who have had the pleasure to be part of of winning supported by fresh recruits, something big, it is really exciting to witnessIt applies to literally everyone in the then the success will be short lived. Sales and participate in. Everyone wants to be onorganization, and yet too many times organizations happen to be another industry the winning team.individuals don’t understand this or the that requires a consistent commitment toorganization itself views it as an evil that recruiting in order to compete at the top. If As the New Year is upon us and the topic ofis forced upon it. Recruiting, just like every we follow the path of very successful sales market share and growth in the New Year areother aspect of sales, starts with attitude people or very successful companies then being talked about, my challenge to you isfirst. With clear goals and a business plan in this becomes more obvious. What happens this: Be the person in your world that leadsplace, recruiting can be the heart and soul to the top three? Usually they are promoted, the charge. Whether you’re an army of oneof the passionate pursuit of your goals and bought out or create their own dynasty. or one of many, grab your flag and let theobjectives. If we understand that nothing Tomorrow’s champions are being decided world know your goal to grow and dominatestays the same and that none of us can right now. Have you decided to compete at in your market. Recruiting starts withaccomplish our goals alone, then recruiting your highest level? recruiting ourselves to our own cause, then,becomes the external flag waving that rallies as we work to spread the word to others, iteveryone to our cause. The individuals and becomes more and more contagious.companies that embrace this and make it apart of their everyday activity thrive as a Recruiting Recruiting has it’s own skill sets and, whenresult, every time. In fact, great recruitingcan overcome many inadequacies. has it’s own approached with a proven system, then it becomes an art form. A system that isLook around you right now, and name the skill sets endorsed from the top down will include everyone in the organization, be measurabletop three entities in your market place. Name and, when and communicate that this is a long-termtheir top three people. Now ask yourself“Were they born at the top? How long approached endeavor, not a once-in-a-while activity. Lead by example in your organization andhave they been in the business? How longhave they been at the top?” Have you been with a proven watch as the electricity builds. Find a few success stories to follow and use them as yoursurprised to see any of them get there and system, then inspiration on your own personal journeystay there in spite of themselves? Are youin the top three in your market? The fact it becomes an to the top. Starbucks Coffee and Keller Williams Realty are two great examples ofis that no one started there, nor does anyonehave a 99-year lease on that position. Once art form. market dominance obtained by recruiting and a commitment to competing at the top.this is understood, the light bulb goes on and The moment of decision is the most criticalit becomes clear that success is no respecter The best defense against erosion over moment in the life of any top performer.of persons. Literally anyone can choose to time, burn out and competitors is to have Decide to compete at your highest level.compete at the highest level and then set a proactive, ongoing and robust recruitingout to get there and stay there. A successful effort. You have probably had the opportunity Dixon Judd is a Partner in Your Successrecruiting system will be key to this. In fact, to work at organizations that were both good at Performance Resource Group. He canit can be a huge accelerator in getting there and bad examples of this. The situations be contacted at 866.883.4916, or by e-and maintaining that position. that stand out in everyone’s mind are the mail at djudd@autosuccessonline.com. 56 www.sellingsuccessonline.com
  • 38. sts fos ls ms sf fis JesseBiter leadership solution A New Year’s Resolution: Break Up Your Unplowed Ground There is something Tilling the earth may not be a part of your day- direct Him toward those hard places in your special about Jan. 1 to-day routine, but these words universally heart that need help, He will pull the plow that gives people the relate to the lives of even the most urban of and break up old resentments and heal old feeling of a fresh start city slickers. Common sense dictates that the wounds. and a new beginning. more “land” put into production, the more As the calendar prosperous one can be. But what percentage There is one final step in preparing your fieldchanges, millions of ordinary people around of our lives is actually producing something for planting. When ground is untilled forthe globe take the opportunity to reflect on of value? Perhaps there are areas in your life many years, it often becomes covered withthe past 12 months and resolve to make that may reveal some “unplowed ground.” thorns and weeds. Pride, anger, selfishness,changes in the new year ahead. Although Faith can help to cultivate these untapped greed, addictions and other thorns have athe majority of these resolutions fall by the areas, enabling you to enjoy a more bountiful devastating effect on the crop that God wantswayside long before the groundhog even has harvest in life. to grow. These thorns must be gathered anda chance to see his shadow, the practice of burned for your new seeds to prosper.reassessment is a necessary instrument for Keeping with the agricultural analogy,making positive changes in one’s life. what exactly is involved with preparing the “The one who sows to please his sinful nature, unplowed ground in your life? The first thing from that nature will reap destruction; theIt may be hard to admit to ourselves, but one must do is to assess what had previously one who sows to please the Spirit, from thewe are all in need of change. Some people grown in these areas. Hatred, bitterness, Spirit will reap eternal life.”may say they have “no regrets” or “wouldn’t lust, greed, hedonism and others all need to Galations 6:8change a thing” about their life. But a closer be rooted out so a new crop can be plantedlook reveals that attitude is blind and self- and grow in the light. If God is the center of your New Year’sserving. There is great power in confession Resolution, it has a chance to beat the odds– to ourselves, to God and to others. Next, one must look at the hardness of – as long as you are committed. If it is God’sAccepting responsibility and acknowledging the ground to be planted. Painful past will for something to be fulfilled, He willthe need for spiritual guidance is ultimately a experiences can work to harden one’s heart. enable you to fulfill it. Happy New Year.healthy step on the road to righteousness. This may be a very difficult task, but the hardness of heart must be broken up for the Jesse Biter is the president and CEO of“Break up your unplowed ground and do not new seeds to have a chance to flourish. The HomeNet, Inc. He can be contacted atsow among thorns.” good news is that Christ is willing to do the 866.239.4049, or by e-mail atJeremiah 4:3 hard work on your behalf. As long as you jbiter@autosuccessonline.com. We need them. They need us. We need you. It’s that simple. ® ® 58 www.sellingsuccessonline.com
  • 39. sts fos ls ms sf fis MarkTewart sales and training solution Car Sales 101: A Case Study The time had come followed up with a phone call, a thank-you make gross profit or resulting income. for my wife to get a card and a dealership introduction letter. new vehicle. Let’s Show me any industry or field without take a look at the Was the sales person that made the sale doing tons of competitors. Show me any industry good, bad and ugly of extraordinary and super-human things? Was where some of the players aren’t usingher experiences. What occurred during her this sales person using special and secret price as their main weapon. Every industryvisits is a microcosm of what happens in sales techniques with magic-bullet closes? has these environments. The reality is thatautomobile dealerships every day. The sales person was executing the basics of none of those things matter. You are faced selling - THE BASICS. with MOTs (Moments of Truth) everyday.My wife decided to look at several different In those moments you either choose to winvehicle options. She visited three dealerships The good news is that nine times out of 10, or you choose to lose. Go back to the basicsto look at vehicles. At two of the three, the the basics are all that is needed. The bad and do what you know to do and are trainedsales people seemed to ignore her as she news is that so many knuckle-head sales to do. If you treat people at a higher levellooked at vehicles on the lot. Maybe it was people aren’t giving even a whiff of effort than you ever have and you remember thatbecause my wife had just been at the gym or professionalism to their jobs and their the word “sell” means “to serve,” you willand had gym clothes and a sweatshirt on customers. For the sales people who do the sell as much as you can handle. Competition– Mistake No. 1. right things, selling becomes easy because and price matters will wane. You will win you have so little real competition. So many and win big.At two of the dealerships, the sales person sales people whine, bellyache and moan and Mark Tewart is the president of Tewartnever asked my wife’s name – Mistake No. 2. groan about how competitive the market is Enterprises. He can be contacted atNone of the sales people offered a test drive and how price is the only reason people buy. 866.429.6844, or by e-mail ator much of a demonstration – Mistake Nos. The whiny sales person cries that you can’t mtewart@autosuccessonline.com.3 and 4. Only one of the sales people askedfor my wife’s number before she left so theycould follow up with her – Mistake No. 5.All three of the sales people did not treat her site traffic webes its nor spikeas she could or would buy the car by herself– Mistake No. 6. All of them made sure to r ma dmention to bring her husband back and they Ou tim lr 5 to 2 “would make me a good deal – Mistake No. 7. . ateTwo of three did not follow up after the visit .”because they did not get the phone number –Mistake No. 8. Two of the sales people tookrepeated cell phone calls during the time theywere with my wife – Mistake No. 9. > Matt Lamoureux, Acton ToyotaThe next day my wife and I just happenedto stop and look at one other vehicle she Visit us at booth 3881C at NADA 2007had not previously seen. The sales person IMN Loyalty Driver™ is a turnkey e-marketing service that drivesdid not make any of the mistakes mentioned interest, sales and customer loyalty. Customized, trackable emailabove. He greeted us promptly, he made communications provide tangible results for dealerships acrossquick rapport and he asked questions. The the country. A couple of examples:sales person treated my wife with respect • 15 test drives scheduled within the first hour after anand gave her the most attention since it was IMN Loyalty Driver e-newsletter was sent.going to be her vehicle. The sales personmade friends with my son and related well • 90 phone calls in a month as a direct result of one IMN Loyalty Driver e-newsletter.to him. The sales person gave an energeticand long presentation/demonstration. The Looking for results like these?sales person presented and negotiated the Call 866.964.6397, ext. 214 or email ASGSales@imninc.com.purchase professionally. He made the sale. Drive customers in…For sales, for life.The delivery was handled with attention todetail and my wife was made to feel specialin her purchase. My son was given a special 866-964-6397 imnLoyaltyDriver.comteddy bear at delivery. The sales personjanuary 2007 59
  • 40. sts fos ls ms sf fis PattiWood sales and training solution Six Steps to a Great Presentation at Your Next Meeting, Part 1 Want to make sure you Examples of good attention getters could take point the speaker was trying to make as they do a good job running up an entire separate article, but examples wandered from subject to subject? Or have your next meeting? include: you seen someone start with an agenda and Over the next two • Reading a sentence from that day’s then go off on a tangent, never to return? months, we’ll go over paper that relates to your topic When you are the speaker you must have one six simple steps to • A quote, not a old Ben Franklin quote, clear agenda. You need an overall plan. Whattake to make sure you get your point across but a quote from your four-year-old, is your purpose, what is the one point that youclearly and effectively. or a customer want to make? Most speakers in meetings • A success story from a particular sale make the mistake of talking on a topic rather1. Start Differently last month than speaking with a clear purpose in mind.The speaker starts the meeting with a • A prop - such as confetti money, a toy If you say, “I am going to talk about salesshouted, “Good morning! How are you this sail boat or a poster of Cancun - as an this month,” you are talking on a topic. Themorning?” A few people respond with a incentive to increase sales meeting participants don’t know what thehalf-hearted “good morning” while severalothers roll their eyes with derision. The point is. “Is he going to blast us about ourspeaker looks displeased. He admonishes Remember: Have an attention-getter that is poor sales?” they wonder. “Is it going to givethe audience with, “You can do better than novel and unique. us some feedback on our performance?” theythat. Louder!” The audience, pummeled into guess. They don’t seem to know why they arekindergartener-kid submission, responds 2. What do They Need? being spoken to on that topic, so they guess.with a louder “good morning,” peppered When preparing your presentation, ask Guessing can get them confused, or turnwith nervous laughter from those that can’t yourself what your audience needs. Not what them off. Even handing out an agenda maybelieve they made fools of themselves so just what your boss thinks they need, or, if not help. They may ask “Why is he talking onearly in the day. you are the boss, what you’re interested in at those three topics? What’s the point?” the moment, but what they truly need. ThinkThis is not how you want to start your next of what you can give them that perhaps no You need to say, “You are going to learn thepresentation. This is the same old boring one else can. If you are not sure what they three steps to bring up sales. Let’s talk aboutspeech beginning you have had since your need, ask them before the meeting. Research the three things we did well last month andsour-faced first-grade teacher stood in front shows that the needs of people are the same the two things we need to improve on forof her chalkboard. for presentations as they are during any this month.” Suddenly, the audience knows selling process. Make sure you say out loud what the point is. Ask yourself what do youDon’t start your speeches with “Good in the first five minutes the answers to the want the audience to know, see, feel or do asmorning,” “Good afternoon,” “Good common needs questions: What’s in it for a result of hearing you speak at this meeting.evening” or “Hello, my name is….” We me? How can I make practical use of this What’s the point?have heard all those beginnings before and, on a daily basis? What is the benefit for me?when an audience hears it come out of yourmouth at the beginning of your speech, Won’t this cause more work for me? Next month we’ll look at three other stepsthey expect that the next thing out of your you can take to be your best at the podium.mouth is going to be equally as tired. You Think of your audience members as channelcan certainly say “hello” and introduce surfers holding their personal remote control.yourself later to the audience, which means Imagine the audience flipping through theyou introduce yourself after you have their meeting seeing if there is anything worthattention. Start your speech, however, with their time. If you speak to their needs, theysomething that will surprise your audience stay on your station. Patti Wood, MA, CSP is a professionalso they will think, “Wow, I wasn’t expecting speaker, author and coach at Communications Dynamics. She can bethat. I wonder what else this speaker has up 3. What is the Point? contacted at 800.849.3651, or by e-mail ather sleeve? I’d better listen and find out.” Ever sit in a meeting and have no idea what pwood@autosuccessonline.com. 60 www.sellingsuccessonline.com
  • 41. sts fos ls ms sf fis DirkZeller sales and training solution Four Pillars of Prospecting For prospecting success cold calls. On another wall I posted all of distractions that take them away from in the long term, apply my objection-handling scripts, including a prospecting obligations. An inbound phone the four disciplines few options for each objection. This kept me call, a problem transaction, a sales question, that are common to prepared for any direction the conversation an incoming e-mail, a sales person who those who consistently took and allowed me to avoid fumbles. wants to talk, a broken nail – anything will achieve their goals. do. It’s called creative avoidance, and sales Knowing that body language comprises 55 people generally excel at the art.1. Set a Time and Place for Prospecting percent of the power of communication,You can’t work your prospecting around your even when communicating by phone, I kept Whether you’re just starting out or you’re aday; you have to work your day around your my intensity and focus high by standing up. top seller in your dealership, distractions neverprospecting. You have to establish the habit The headset – which I consider an absolutely just go away. In fact, the best sales people haveand engage in the discipline of prospecting essential prospecting tool – enabled me even more potential for distraction becauseon a daily basis and from a controlled to keep my hands free, so I could gesture of the volume of business, the number ofenvironment where your prospecting tools or accentuate points as if I was speaking staff people, the number of customers, andare available and readily accessible. To directly to my prospect in person. the scope of responsibilities they juggle. Theparaphrase from the 1960’s hit Batman, When making an investment in a headset, difference between prospecting avoidanceprospecting success is all about “same bat don’t get the cheapest one you can find. and prospecting success comes down to atime, same bat channel.” Spend a few hundred dollars to get one of simple question: What do you do when theIn my private office, I set up a prospecting high quality. Otherwise, you’ll end up with distractions hit? Do you postpone prospectingstation that included a stand-up area, a such poor sound quality that your prospect while you put out a fire? Do you decide tocomputer, and telephone with a headset. won’t be able to hear you clearly – hardly a make just a few calls to settle the pendingTacked on one wall were scripts for use formula for prospecting success. issue? Do you justify not starting yourwhen contacting expired listing and FSBO prospecting at the appointed time? If youprospects, past clients, those in my sphere 2. Fight Off Distractions said “yes” to any of those questions, you areof influence and prospects I reached via The truth is most sales people welcome practicing creative avoidance. 62 www.sellingsuccessonline.com
  • 42. continuedTo fight off distractions, you have to bar their you’re ready for the real thing. down to the very last one.access: 4. Review a few affirmations like: • Turn off your e-mail, so the “you’ve got • “I am a great prospector.” When you are running a race, you have to run mail” icon doesn’t tempt you. • “When I prospect, people love to talk the whole way. No one remembers who was • Ask the receptionist to take messages for with me and set appointments with ahead at the 80-meter mark of the men’s 100- inbound calls during your prospecting me.” meter race at the Olympics. The winner has to session. • “I will generate leads and complete the full circuit before he can claim • Turn off your cell phone and pager. appointments before I am through his medal. • Put a sign on the door that basically says, today.” “Don’t bother me; I’m prospecting.” Don’t drop out early; finish what you start. • Tell anyone who asks for a meeting You are now ready to start with focus, intensity during your prospecting period that you and an expectation of success. already have an appointment, because Dirk Zeller is the CEO of Real Estate 4. Be Faithful and Finish What You Start Champions. He can be contacted at you do – working to find a potential Stay faithful to your daily objectives by 866.883.9314, or by e-mail at prospect. completing all of your prospecting contacts dzeller@autosuccessonline.com.3. Follow the PlanSuccess boils down to taking the right steps inthe proper order. To get your prospecting stepsand order correct, you must have and followa prospecting plan. You must know who youare going to call and for what reason. The bestapproach is to set up each day’s prospectingplan a day in advance.If you wait to put your prospecting plantogether at the beginning of your prospectingsession, chances are too high that you willtalk yourself out of more calls than you make.Your mental process will get in the way ofaction, causing you to think things like “Theywill think I’m calling back too soon…” or“They won’t buy or sell right now…”.If you establish a plan in advance, you’llbe ready for action, rather than for doubleguessing. Follow these steps: 1. Do your research, establish your plan, and set up for the next day’s prospecting a day in advance. Before you leave your office for the day, determine the prospecting calls you are going to make on the next day. Assemble everything you will need for the calls and put the information on your desk, so it is ready for your attention as soon as you walk in the door. 2. In the morning, quickly review your calls and your daily goals. A word of caution: Don’t take too long. You could be setting yourself up for creative avoidance. 3. Spend 20 minutes before you make the call practicing scripts, dialogues and objection-handling techniques. Establish a pre-call routine and create a pattern or plan that you repeat over and over again before each prospecting session or call. As an analogy, think of how professionals warm up before performances. Whether you’re watching musicians, actors or athletes, you expect them to be fully prepared and ready to go when their concerts, plays or games begin. Follow the same rule. Warm up in advance, so that by the time you pick up the phone, practice is over, andjanuary 2007 63
  • 43. Introducing ADP Hosted Network Phone – a phone system so comprehensively self-sufficient, about the only thing it doesn’tdo is talk for you. With Hosted Network Phone, ADP takes care of everything. We provide the phone lines and the phones.We upgrade and maintain the system and software. We take care of daily needs. We even include calls to anywhere in the USand Canada. In other words, we assure that everything is taken care of, up-to-date and working properly all for one simple, fixedmonthly fee per user. That means reduced capital outlays when old technology needs to be replaced. And because it’s from ADP,Hosted Network Phone means seamless integration with ADP w.e.b.Suite™ and ADP w.e.b.CRM™ solutions.To find out more about the ADP phone system that automatically improves itself, go to www.HostedNetworkPhone.comor call 888-237-7658 and discover Results Made Easy. SMSee us at NADA, booth 2449cADP, Inc. – Dealer Services Group / 1950 Hassell Road / Hoffman Estates, IL 60169 / www.DealerSuite.com / © 2007 ADP, Inc. – Dealer Services Group / ADP is a registered trademark of ADP of North America, Inc.
  • 44. 500 Extra Sales 500 RedMcCombs.com increased their sales from 100 vehicles online per month to 500 a month and their cost per sales is lower 100 before BZ after BZ Congrats! #1 eDealer of the Year: RedMcCombs.com DIGITAL MARKETING TRAININGSearch Engine Placement CRM System Sales Process BDCCustom Websites Outsourced BDC Desking Used CarsBuild A Car eMail Marketing Phones F&IVirtual Test Drives Voicemail Marketing Internet RenewalsInventory & 360 Tours Showroom Kiosks Unsold Follow Up LeasingOnline Ads Ad Tracker Sold Follow Up Service Come Visit Us At NADA Booth #3317C Free CRM Biz Plan BZResults.com Free In-Store Consultation Free Search Engine Marketing Analysis 866.348.2703

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