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Let’s Step It Up
                   September 2006
SUMMIT V
                                                                            BEST PRACTICES
                                                                                                                                                                                                           866.386.7050
                                                                                                                                                                                                           Experience real Case Studies
                                                                                                                                                                                                           that can help your dealership
            LEADERSHIP                        •        INTERNET                      •       CRM              •      MARKETING                         •      BDC          •      SALES                    immediately.
                                                                                                                                                                                                           Tuesday and Wednesday,
                                                                                                                                                                                                           November 7th and 8th
                                                                                                                                                                                                           2006, at the Venetian
                                                                                                                                                                                                           Resort and Hotel, Las
                                                                                                                                                                                                           Vegas, NV.

         Dean Evans                               David Kain                                     David                           Chip Perry
                                                                                                                                                                                                           Dealers & Managers Only!
                                                                                                                                                                     Ralph Paglia
        Vice President, Field Marketing,           President, Kain Automotive                   Thomas                               CEO and President,                  CRM/eBusiness Director,
               The Cobalt Group                   Inc. Internet & BDC Training
                                                            Specialist
                                                                                             Owner, Subaru of Dallas                  AutoTrader.com                       Courtesy Chevrolet
                                                                                                                                                                                                           Two days of intense
                    You will learn:
              - Internet Marketing that                 You will learn:
                                                                                           Case Study: How I lowered
                                                                                           my advertising expense and
                                                                                                                                 Internet Advertising Best
                                                                                                                                         Practices
                                                                                                                                                                        Case Study: How Courtesy
                                                                                                                                                                      Chevrolet’s business and CRM         learning. Dramatically
           generates high-quality leads        - Mapping out the best Internet                                                                                        teams grew to over 400 vehicle
           - Maximizing lead generation
                  from your Web site
                                                         sales process
                                                  - E-mail templates for the
                                                                                           increased my market share
                                                                                                                                        You will learn:
                                                                                                                                - How AutoTrader.com’s top
                                                                                                                                                                             sales per month               improve your results.
                                                                                                  You will learn:
              - Maximizing third-party            best short and long-term                   - About ‘Mooch Marketing’          performing dealers get their                    You will learn:
                    automotive sites
         - Metrics that matter: Focus on
                                                        communication
                                              - Phone script elements that turn
                                                                                            - Ways to advertise for free
                                                                                          -Low-cost marketing ideas that
                                                                                                                                      outstanding results
                                                                                                                                  - Take home examples of
                                                                                                                                                                        - How to grow your CRM and
                                                                                                                                                                                 Internet teams            Limited Seats,
                 return on investment              leads into appointments                                                      effective merchandising you            - What to measure, and how to
                                                    - Recruiting, hiring and
                                                  compensating for results
                                                                                                     get noticed
                                                                                         - How to run events that get you                 can put to
                                                                                                                                        immediate use
                                                                                                                                                                        collect the data...Performance
                                                                                                                                                                              metrics that matter
                                                                                                                                                                                                           Register Today!
                                                                                                       noticed
                                                                                         - How to generate car reviews in                                            - Create a true CRM Profit Center
                                                                                                  your local paper                                                      - Manage your own SEM and
                                                                                                                                                                             online ad campaigns           Case studies from
                                                                                                                                                                     - Use your BDC as a safety net for
                                                                                                                                                                            the Internet sales team        successful dealerships
                                                                                                                                                                                                           across the country.
                                                                                                                                                                                                           Classroom styles seating
                                                                                                                                                                                                           only $595. Special
                                                                                                                                                                                                           Venetian room rates for
                                                                                                                                                                                                           $209 per night.
             Sean                              Roy Reutter                               Scott Joseph                          Mark Tewart                             Tony Rimas                          Speakers and times subject to change
           Wolfington                                  Sheehy Auto Stores                        President & CEO,
                                                                                               J&L Marketing, Inc.
                                                                                                                               President, Tewart Enterprises                   Red McCombs
             Owner, BZResults.com
                                                 Case Study: Sheehy.com                                                                    You will learn:            Case Study: Grow your Internet
                                                                                            Case Study: New marketing
                                              increases leads from 400 - 2400                                                       - How to engage customers          department through a defined
          Case Study: How to use BDC/                                                     strategy focuses on steady long
                                                         per month                                                                intelligently while learning how     process, efficient staffing, and
         Internet departments to sell 100                                                term growth. Dealership’s market
                                                                                                                                    traditional “meet and greet”           strategic advertising
             - 500 extra cars a month.                                                       share increases from 8% to
                                                          You will learn:                                                           strategies can reduce sales
                                                                                          32% and grows net profits from
                                              - How to increase leads and sales                                               - How to increase professionalism,                You will learn:
                   You will learn:                                                         $170,000 to over 2.2 million in
                                                 volume without increasing lead                                               write-ups and sales by eliminating       - How to structure and staff low
            - How to set up a successful                                                            just two years
                                                              expense                                                                  “Deal Killer” questions       volume of high volume dealership
              BDC/Internet department
                                               - Improve sales and reduced cost                    You will learn:              - How to define and implement 5                     locations
        - Use the Web to promote all your
                                                     per sale at the same time            - A growth strategy to grow your     universal laws that increase sales
                    profit centers                                                                                                                                    - Create a process to support your
                                              - Improve profitability by improving        profit a minimum of 33% per year       - How to improve gross profits by
        - Use the Web to drive showroom                                                                                                                                 customers and staff efficiently
                                                the quality of leads through your         - New promotions strategy using         implementing better proposals
                   & phone traffic                                                                                                                                     - Increase ROI through inventory
                                                              own site                      personalized Web pages and         - How to reduce customer conflict
         - Sell old stock, vehicles & parts                                                                                                                              selection and lead allocation
                                                   - Increase closing ratios and                      direct mail                  and increase sales and gross
                      inventory                                                                                                                                       - Streamline online advertising to
                                                  average gross profit with profit         - How to increase your floor traffic        profit through better handling
          - Use e-mail marketing to drive                                                                                                                               maximize Web site conversion
                                                           improvement                        during your slowest days           of price, payment and negative
              more traffic for zero cost
                                                - Sell old stock units via the Web                   of the week                          equity objections




Call today to register. Seating is limited.                                              toll free: 866.396.7050                                      web: www.autosuccessonline.com
Addressing Client Concerns
                                                                                                                                                                                                           8           TomHopkins

                                                                                                                                                      Generating Energy
                                                                                                                                                                                                         10            BrianTracy

                                                                                                                                                Telling is Not Selling
                                                                                                                                                                                                          11           ZigZiglar

                                                                                         Monopolizing on Search Engine Marketing
                                                                                 Domestic Dealers Sell 300 - 500 Units With Search Engine Marketing                                                      12            SeanWolfington

                                                                                        Resolving Disputes Without Going to Court
                                                                                                                     How Binding Arbitration Can Help Reduce Risk
                                                                                                                                                                                                         14            CharlesArrambide

                                                                                                                                              Give Your Worries Up
                                                                                                                                                                                                         16            JesseBiter

                                                                                                                                                       Where’s Your URL
                                                                                                                                                                                                          17           PaulAccinno

                                                                                        10 Keys to a Winning Product Presentation
                                                                                                                                                                                                         18            JeffMorrill

                                                                       The Importance of Payments, Part 2: The Internet
                                                                                                                                                                                                         20            RaquelSmith

                                                                                                                                                                          Web Audit
                                                                  Leverage Customer Insight to Maximize Lead Generation and Accelerate Sales
                                                                                                                                                                                                         21            AllenCheek

                                                                                                            Key Performance Indicators, Part 2
                                                                                                                                                                                                         22            HeatherConary

                                                                                                                                   The Internet Sales Process
                                                                                                                                                                                                         26            DavidJohnson

                                                                                 Leadership Coming to Serve, Not to be Served
                                                                                                                                                                                                         27            SeanWolfington

                                                                                Five Keys to Successful Automotive Marketing
                                                                                                                                                                                                         28            JimmyVee & TravisMiller

                                                                                                                                              It’s Still About Selling
                                                                                                                                                                                                         30            MikeParsons

                                                                                   100 Percent Turn Over to the Business Office
                                                                                                                                                                                                         31            TonyDupaquier

                                                                                                                How to Average $3,000 to $4,000
                                                                                                                    Gross Profit per Vehicle Sold                                                        32            MarkTewart

                                                                                                            Investing the Fundamentals, Part 3
                                                                                                                                                                                                         36            TimShea

                                                                                                             Reward for Improved Performance
                                                                                                                                                                                                         37
                         12
                                                                                                                                                                                                                       RichardLibin

                                                                      An Internet Department or an Internet Dealership
                                                                                                                                                                                                         38            DavidKain

                                                                                                                                                              Are They Lying
                                                                                           Why It’s Hard to Tell and How You Can Become More Accurate
                                                                                                                                                                                                         40            PattiWood

                                                                   Marathons and Races: Which One Are You Running
                                                                                                                                                                                                         42            MichaelYork



                                                                                                                                                          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

                                                                             toll free: 877.818.6620                                                      Dave Davis, Creative Strategist & Editor                              Charlie Tierney, Sales-improvement Strategist
                                                                                                                                                          ddavis@sellingsuccessonline.com                                       cpt2@sellingsuccessonline.com
                                                                             facsimile: 502.588.3170
                                                                                                                                                                                                                                Toni Stephens, Sales-improvement Strategist
                                                                             web: www.SellingSuccessOnline.com                                                                                                                  tstephens@sellingsuccessonline.com
                                                                             helping to promote...
                                                                                                                                                                                Job 27:6
                                                                                                                                                                                I will maintain my righteousness and never let go of it;
                                                                                                                                                                                    my conscience will not reproach me as long as I live.
                     God is the source of all supply

AutoSuccess 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 this
magazine 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 in
whole 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 that
names 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.
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                                                                                                                             TomHopkins
   sales and training solution




                        Addressing Client Concerns
                      The way you address         Step #2: Feed it Back                             Step #5: Confirm the Answer
                      client concerns will        Simply re-state the concern in your own           Once you see signs that they’re agreeable to
                      have      a     powerful    words. “So your concern, John, is…”               your answer and that it makes sense to them,
                      impact on your overall      This accomplishes two things. First, you          make a simple statement of that fact. You
                      success level. In many      demonstrate that you really listened to the       could say, “That makes sense, doesn’t it?” If
cases, once concerns are addressed, the           client. Second, you have the opportunity          they agree, the concern is now behind you.
sale is made. You can go straight to asking       to get confirmation from them that you             If they show any hesitation at all, you must
for their approval on your paperwork. The         understand their concern. Having someone          go back to Step #4 and come up with a better
foundation of addressing client concerns is       understand you makes you feel closer to him       answer.
a simple, six-step process that I’ve taught for   or her. It creates a bond or common ground
many years:                                       of sorts. It warms them up to accepting your      If you feel there’s more they haven’t told
                                                  advice on the subject at hand.                    you, warmly ask, “Obviously, there’s a
Step #1: Hear Them Out                                                                              reason for your continued hesitation. Would
Let the client talk and talk and talk until you   Step #3: Question the Importance of               you mind sharing it with me?” It could be
know as much as they do about their concern.      the Concern                                       they’ve just come up with another concern
If you try to address the concern before          This step can be tricky if not handled            and are uncomfortable telling you since they
hearing all of what they have to say, you may     properly. You must gently ask if this concern     already told you above that it was their real
end up answering a concern they don’t feel        would keep them from making the decision          final concern. Always, always give your
is all that important and/or bring up another     to go ahead if it cannot be overcome. It could    potential clients opportunities to save face
concern they hadn’t even thought of.              be this concern is not all that important and     if you see that they’re feeling hesitant or
                                                  the client will dismiss it when they consider     uncomfortable in any way.
I’m sure you’ve had clients who tend to           if it would keep them from the benefits of
ramble when bringing up concerns. They            your product. If it would stop the sale, you      Step #6: Change Gears
may start in one direction with a concern,        then proceed.                                     Once the concern has been satisfactorily
but end up somewhere else. You see, raising                                                         addressed, it’s time to move on. The simplest
concerns is a defense mechanism for them.         Step #4: Answer the Concern                       method I’ve ever used is the phrase, “By the
They react to the urge to go ahead by slowing     Depending on the concern, you may be able         way…” Then, I move onto the next area of
things down with a concern. So, let them get      to do this quickly or you may have to do a        discussion, changing gears so-to-speak to
it all out before attempting to address any       little research on behalf of the client. Either   move on to the close or the next decision that
point they’ve raised.                             way, you need to demonstrate, above all else,     must be made before closing.
                                                  a sincere desire to help them. You’re working
I’ve had clients who talked themselves right      for them at this point. You’re the industry       P.D.R. (Practice, Drill and Rehearse) these
through and out of their initial concern. I       expert and the research consultant at their       steps until they become natural to you. Try
didn’t have to address it at all.                 disposal. This could also be a good time to       them with your spouse or children the next
                                                  ensure them that you wouldn’t want them to        time a concern is raised. Then, you’ll be
If you feel they’re not telling you everything,   make a decision without having all the facts,     ready with enhanced skills when you meet
encourage them to talk with phrases such as,      or a decision that might not be exactly right     your next future client.
“I see. Is there anything else that concerns      for them.
you about this decision?” or “What concerns
do you have about this…?” You want to             In answering the concern, you must consider
know all the bad stuff, all the reasons for       it as you would a close. You have to appeal to    World-renowned master sales trainer Tom
                                                                                                    Hopkins is the chairman of Tom Hopkins
hesitation they have before you move on. If       their logic, yet close them emotionally. You’re   International. He can be contacted at
you don’t, you may find yourself back at this      helping them to rationalize the importance of     866.347.6148, or by e-mail at
point again with this client.                     the concern and the value of your answer.         thopkins@autosuccessonline.com.




  8                                                                                                    www.sellingsuccessonline.com
Dear Mr. Seime
                           r,
  Congratulations
                    on another grea
 event. I’m glad                     t sales
                  to hear that you
 happy with the 6                  ’re very
                    2 units delivere
 gross profit of $                    d and a
                  201,748.00. The
that you did it o                    best part is
                  n your own, with
company. This s                    o u t a s t a ffi n g
                   aved you $50,4
see you in a few                    37.00. I’ll
                   weeks. Thanks
                                    again.


If you would like to enjoy the same results
Mr. Seimer did, call Turn-Key Events, the
#1 Do-It-Yourself sales event provider.

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                                                                                                                             BrianTracy
   sales and training solution




                                                 Generating Energy
                     You may have a              requires the development and expenditure           so that you are “early to bed and early
                     thousand        different   of energy. Energy is a critical fuel and the       to rise.” Remember, nature demands
                     goals over the course       one ingredient without which no other              balance in all things. If you are going
                     of your lifetime, but       accomplishment is possible.                        to work hard during the day, you must
                     they all will fall into                                                        take time off to rest and recuperate in
                     one of four basic           Building and sustaining your energy level          the evenings and on the weekends.
categories. Everything you do is an attempt      is imperative. Since your energy is central
to enhance the quality of your life in one or    to everything you accomplish, you should        5. Proper Breathing.
more of these areas:                             be very sensitive to things that either build      By breathing, I mean deep diaphragmatic
                                                 or deplete it. Here are six keys to building       breathing, where you fill your lungs to
The First Category is Your Desire for            and maintaining a high level of energy and         the count of 10, hold to the count of 10,
Happy Relationships.                             vitality:                                          and then exhale to the count of 10. If
You want to love and be loved by others. You                                                        you do this seven to 10 times, two or
want to have a happy, harmonious home life.      1. Proper Weight.                                  three times per day, you will be amazed
You want to get along well with the people          Carrying extra weight on your body is           at how much fresher and more relaxed
around you, and you want to earn the respect        like carrying a pack loaded with bricks         you feel.
of the people you respect.                          on your back — uphill. Excess weight
                                                    tires you out. It taxes your heart, lungs    6. Proper Attitude.
The Second Category is Your Desire for              and muscles. Extra weight forces your           Positive mental attitude seems to go
Interesting and Challenging Work.                   body to burn up more energy than it             hand-in-hand with great achievement
You want to make a good living, of course,          normally would just to maintain life            and success in every walk of life. The
but more than that, you want to really enjoy        and proper functioning.                         more positive you are, the more energy
your occupation or profession.                                                                      you have. The more positive you are,
                                                 2. Proper Diet.                                    the happier you are. The more positive
The Third Category is Your Desire for               The foods you eat have a tremendous             you are, the more positive are the people
Financial Independence.                             impact on your energy level throughout          and situations you attract into your life.
You want to be free from worries about              the day. Changes in your diet can make          The more positive you are, the easier
money. You want to have enough money                you feel fresher, more alive, more alert        it seems for you to get the cooperation
in the bank so that you can make decisions          and filled with greater vitality than you        of other people. The more positive you
without counting your pennies. You want to          can imagine.                                    are, the more effectively you perform.
achieve a certain financial state so that you
can retire in comfort and never have to be       3. Proper Exercise.                             Everything that you do counts in some way.
concerned about whether or not you have             The more regularly you exercise,             Nothing is neutral. Everything either helps
enough money to support your lifestyle.             the more energy you have, the better         you or hurts you. Everything either adds up
                                                    you feel and the longer you will             or takes away. Everything either propels you
The Fourth Category is Your Desire For              live. Regular exercise enhances your         toward your goal or moves you away from it.
Good Health.                                        digestion, reduces the number of hours       Everything counts.
Be free of pain and illness and to have a           that you need to sleep, and increases
continuous flow of energy and feelings of            your vitality in the physical, mental and
well being.                                         emotional realms.

The common denominator of these four             4. Proper Rest and Recreation.
goals, and the essential requirement for            On average, you need seven to eight
                                                                                                 Brian Tracy is the chairman and CEO
achieving each of them, is a high level of          hours of good, solid sleep each night.       of Brian Tracy International. He can be
energy. The achievement of even a small             Some people can get by on less. But you      contacted at 866.300.9881, or by e-mail at
amount of success in any one of these areas         should plan and organize your evenings       btracy@autosuccessonline.com.




  10                                                                                                www.sellingsuccessonline.com
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                                                                                                                                                ZigZiglar
   sales and training solution




                                        Telling is Not Selling
                      As a sales professional,      customer. These should be used when you are                  Learn to ask the right question in the right
                      do you spend more             sure of the answer. They are usually answered                way.
                      time telling or more          with one word … and that word is usually
                                                                                                                 Zig Ziglar is the chairman of the board of
                      time asking? If you           “yes.” For example, “Mr. Customer, if we can                 Ziglar Training Systems in Dallas, TX. This
                      were to record your           meet your demand for fair trade in amount,                   article was reprinted with permission. All
                      sales interview, you’d        will we have a deal?”                                        rights reserved. He can be contacted at
probably find you are spending more time                                                                          866.873.0026, or by e-mail at
talking than asking questions and listening.        Questions are a sales professional’s best asset.             zziglar@autosuccessonline.com.

During a sales interview, you must identify the
needs, issues and concerns of the customer.
The best way to achieve this is to ask questions.
Then connect the answers to the needs and
wants of the customer to your product.               Have you Text Messaged
Questions are the sales professional’s most
valuable tool. We need to be reminded to ask
                                                     Your Customers Today?
the right question and ask the question right.
There are several questioning types and
techniques. Let’s cover four types of
questions that you can implement today. They
are the C.O.R.D. questions. This stands for
Closed questions, Open questions, Reflective
questions, and Direct-agreement questions.
Closed Questions
These are questions that have one-word or
“closed” answers. At the beginning of the
sale call, these should be seldom used. When
using these, the sales person is not giving the
customer an opportunity to expand on the
answers. Let’s say you are trying to identify
the buying criteria of a customer. You can ask:
“In purchasing a car, are monthly payments
important to you?” The answer may be “yes.”
You may have to ask another question to
identify other important criteria. It may be
better if you had asked an open question.
Open Questions
These questions solicit “open” information.                              MarketView360 is a fast growing, leading-edge, multi-channel marketing solution
You not only gain facts, but also information.
                                                                        that is designed to more effectively and efficiently reach your customers through
These questions usually begin with who, what,
why, when, where and how. For example,                                         various mediums, including Target Email, Target Voice, Target Text Messaging,
when trying to identify buying criteria, you                             Target Mail, and much more. The result is the deployment of highly personalized,
may want to use: “What are the top criteria
you need when making this type of purchase?”                             powerful and targeted communications at the right time with the right medium.
The answer to this question gives you insights
into why these criteria are important.
Reflective Questions                                                                            Call 1.866.591.4238 or
These are questions that reflect on previous
answers. In the above conversation, the                                                visit www.marketview360.com
customer mentioned a “good, quality service
department” in one of the answers. You can                                     to find out more about Marketview360
now go back and gain additional information
with a reflective question. For example, “what
did you mean by good, quality service?”
Direct Agreement Questions                           The Most Intelligent Multi-channel Marketing System On The Planet
These questions gain agreement from the

september 2006
                                                                                                                                                        11
fs    feature solution
                                                                                                                       SeanWolfington
                                                                                                                                                     is that they can be potentially devastating         Search Engine Marketing                             template sites,” Rimas said of Red McComb’s
                                                                                                                                                     – even business ending. Impure leads have           SEM allows you to reach the majority of the         site. “Within a matter of a few clicks, we can


                            Monopolizing on Search
                                                                                                                                                     the potential to be on a federal or state “do       buyers in your market for a fraction of the         update specials and incentives.” In addition
                                                                                                                                                     not call list” and you can find yourself facing      cost of buying leads, and for much less than        to creating sales leads, the goal of the Web
                                                                                                                                                     fines of up to $11,000 per call if you process       traditional advertising. In addition, the leads     site is to market the whole dealership. Step



                                 Engine Marketing
                                                                                                                                                     these leads. Whether you’re a small dealership      that are generated are not sold to other dealers    one is to help sell a car today, but step two
                                                                                                                                                     or a large dealership group, if you’re buying       so the closing ratio and average gross are          is to promote all the other profit centers
                                                                                                                                                     leads, the question boils down to whether you       higher than leads you and other dealers buy         (service, parts, subprime, etc.) and to become
                                                                                                                                                     are in the legal “safe harbor.” These impure        from third parties. The good news is that you       a marketing center, rather than just an
                      Domestic Dealers Sell 300 - 500 Units With Search Engine Marketing                                                             leads, as defined by recently passed federal
                                                                                                                                                     laws, states if a person is on a “do-not-call”
                                                                                                                                                                                                         pay for positive results only, and it is the most
                                                                                                                                                                                                         measurable marketing medium in the history
                                                                                                                                                                                                                                                             information source.”

                                                                                                                                                     registry and you have neither an existing           of advertising.                                     Tools
                                                                                                                                                     business relationship nor their express written                                                         Red McCombs.com offers many opportunities
Understanding the Game                           The Rules of the Game                              are displayed when a searcher types in the       permission for you to call them, you could          E-mail Marketing                                    to generate leads and cultivate new opportunity.
Would increasing your online sales from 40       Search engine marketing should be part of          key phrases which you have selected. The ads     face huge penalties; it is best to steer clear of   To establish an effective e-mail marketing          “Our CRM tool identifies our most successful
vehicles per month to more than 500 vehicles     any dealership-marketing program. Research         work by bidding on keywords and phrases;         these impure leads.                                 strategy, the first step is to generate a list of    campaigns and tracks conversions,” Rimas
per month get you excited? Red McCombs           confirms that over 80 percent of prospective        the more you agree to pay per click for that                                                         pure leads. “We use multimedia informational        said. “Additionally, it automatically follows
Automotive Group in San Antonio, Texas,          Web customers begin by using search engines        keyword, the higher your site will rank in the   Pure Leads                                          mailings to communicate to our customers            up on our customers from six months all the
did just that by implementing an Internet        to locate products, services or information.       paid results. The higher the bid, the higher     The solution is getting your own “pure”             through targeted campaigns that communicate         way to six years, while communicating to our
marketing strategy alongside a Search Engine     Ensuring that your Web site is found when a        your ad is placed. Since you pay only when       leads generated internally through SEM. The         the right message at the right time during          customers though out all phases of the buying,
Marketing (SEM) program to increase their        consumer uses a search engine is a complex         someone clicks on your site, you are able to     most successful dealers have realized they          our customers’ life cycle,” said Tony Rimas,        follow-up, and service experiences. In defining
monthly sales while reducing advertising         and time-consuming effort. Because the vast        set up thousands of key phrases to increase      can generate their own leads with a higher          director of eCommerce for Red McCombs.              our marketing strategy, our management team
expenses.                                        majority of consumers now use a search engine      the probability of attracting consumers. Your    return if they go direct to the customer by         “Our CRM tool equips us with a campaign             needed to know where the most profitable
                                                 to find what they are looking for, being on the     strategy should utilize a combination of         appearing on top of their local search results      and customized template for every scenario,         Web traffic and customers were coming from.
“We realized that in order to increase our       first page of the search results is imperative if   SEO and PPC advertising to gain maximum          for the vehicles they sell. The best dealers in     such as price, trade, payments and availability.    By using our CRM, we were also able to track
sales, we needed to increase our traffic,” said   your dealership wants to see a return on your      impact.                                          the country have created their own regional         The templates we use increase the speed and         this important statistic.”
Tony Rimas, director of eCommerce for Red        investment. The two most popular ways to                                                            buying service by marketing their site              professionalism of our responses, and a bonus
McCombs. “To accomplish that, we changed         advertise Web sites are through search engine      Dealers are becoming more educated on            through search engines and multi-media e-           is that they set the stage for our employees to     People, Process, & Pricing
our marketing strategy and implemented           optimization (SEO) and pay per click (PPC)         advertising techniques that require less money   mail campaigns so they can generate more            make the initial phone call.”                       Every successful dealership includes a team
an SEM program to attract more quality           advertising. The goal of each of these methods     and generate a higher return from “more          profitable sales at lower cost.                                                                          of individuals who are passionate about what
traffic for less cost. Our new strategy drives    is to attract consumers searching for vehicles     targeted” leads that they own exclusively. The                                                       Online Marketing                                    they do. Paglia of Courtesy Chevrolet said,
more traffic, generates more sales, is easy       onto your dealership’s Web site.                   smart dealers are generating their own “pure”    Building Your Own Monopoly:                         Paglia said Courtesy Chevrolet uses targeted        “We look for people who love to serve the
to measure, and actually costs less than the                                                        leads and find that they are easier to close,                                                         banner campaigns as an effective online             customer. Once we find the right people, I
traditional advertising methods we were          Search Engine Optimization (SEO)                   generate more profit, and are less expensive.     The Regional Buying Service                         marketing medium that allows Courtesy               make it my mission to create an environment
previously using.”                               SEO involves the ongoing process of creating,                                                       Becoming your own automobile regional               Chevrolet to market directly to people living       that they’ll never want to leave, because we all
                                                 developing and coding your dealership’s            Pure vs. Impure Leads                            buying service involves having online digital       within the geographic areas around their            know the cost of employee turnover. We’ve
Your Move                                        unique Website in order to to maximize the         Every lead is not a good lead.                   marketing Web sites and SEO marketing               dealership. “Our main goal is to be where our       also learned that it’s not enough to find the
What is all the excitement about Internet        chance that its pages will appear at the top                                                        strategies that drive people to your dealership     customers are and try to capture them before        right people; you must have easy processes in
marketing? The Internet offers unique            of the “organic” or “natural” search engine        Dealers are becoming more educated on            Web site. Here are the steps to use to transform    they fall trap to third party lead providers        place for them to follow.
opportunities to create real-time, trackable     results. SEO is a gradual process that can take    advertising techniques that require less money   your dealership into a consumer regional            who sell our leads to competitors,” he said.
                                                                                                                                                                                                                                                             “It is equally important to have a pricing
interaction with customers and prospects,        weeks or months to achieve.                        and generate a higher return from “more          buying service center using SEM strategy:           Courtesy Chevrolet also allows prospects to
                                                                                                                                                                                                                                                             philosophy that every employee understands
developing an understanding of their                                                                targeted leads” that they own exclusively. The     • Know your market and compile a list of          register for a promotional offer that allows the
                                                                                                                                                                                                                                                             and ensures there is fair profit into every
individual needs and concerns from the           Search engines determine your ranking in the       smart dealers are generating their own “pure         the most popular search phrases in your         customer to be eligible to redeem the coupon
                                                                                                                                                                                                                                                             vehicle. It’s imperative to involve every
beginning of their online search.                organic search results primarily by analyzing      leads’ and are finding that they are easier           market.                                         at the dealership. “It allows us to treat these
                                                                                                                                                                                                                                                             member of the leadership team to ensure you
  • Special offers can be directed towards       your Web site for the following:                   to close, generate more profit, and are less        • Create and design alluring ad copy to           prospects just like a phone up,” Paglia said.
                                                                                                                                                                                                                                                             create a strategy that everyone can buy into,
    customers with specific interests.             • Keyword relevance—how relevant the              expensive.                                           entice consumers to click on it.                “Our business development center specialists
                                                                                                                                                                                                                                                             because the power is in the belief.”
  • Pricing strategies can reflect best              keyword phrase is used in your Web                                                                 • Bid the right amount on the right               are amazing at converting these telephone
    customer buying habits and loyalty              site’s copy                                     Impure Leads                                         position for the each phrase.                   leads into appointments.”                           Cornering the Market
    patterns.                                     • Link popularity—the quantity and                An aspect of “impure” leads, leads that are        • Adjust your bids daily to ensure you                                                                Desiring to achieve dominance in the
  • Detailed     online     product/service         quality of third-party sites that link to       hard to close or generate little gross profit,        outperform your competition.                    Templated Web Site vs. Lead                         automobile industry, smart dealers have
    information can shorten buying cycles.          your Web site                                                                                                                                                             Generating Machine             discovered that building and branding a Web
                                                                                                                                                                                                                                  So, your Web site          site, coupled with an effective SEM strategy
Ralph Paglia, eCommerce Director for             Pay Per Click (PPC)                                                                                                                                                              looks great, but is        will generate awesome results at reduced costs
Courtesy Chevrolet in Phoenix, Ariz., shifted    One of the most cost-                                                                                                                                                            your site a generating     per unit. “We reduced our cost per sale down
marketing dollars from newspaper to online       effective and most                                                                                                                                                               profit or is it just a      to about $150 per vehicle while increasing
marketing. “I took a look at how much we         immediate          ways                                                                                                                                                          hyped-up brochure?         sales by 80 to 180 units each month,” Paglia
were spending on conventional advertising        to advertise on the                                                                                                                                                              “What makes our            said. “Our results are a sign of our success and
and tracked that for a few months before         Internet today is to use                                                                                                                                                         Web      site    stand     presence in the market. It’s only a matter of
making the decision to transition away from      Pay Per Click (PPC)                                                                                                                                                              out in front of our        time before other dealers do the same.”
print, TV and radio and move toward digital      marketing.         PPC                                                                                                                                                           competitors is that it
marketing,” Paglia said. “Our return on          advertisements are the                                                                                                                                                           is customized to our       Sean Wolfington is the owner of
investment has gone up, our cost per sale has    boxes usually shown                                                                                                                                                              specs, not just one        BZResults.com. He can be contacted
dropped and our traffic and incremental sales     on the right hand side                                                                                                                                                           of those out of the        at 866.645.7730, or by e-mail at
have skyrocketed.”                               of search results and                                                                                                                                                            box, cookie-cutter         swolfington@autosuccessonline.com.




     12                                                                                                www.sellingsuccessonline.com
                                                                                                                                                                                                                                                                                                    13
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                                                                                                                    CharlesArrambide
                    leadership solution



                            Resolving Disputes Without Going to Court
                                                        How Binding Arbitration Can Help Reduce Risk
                      When you think of               arbitrate more claims than the dealer or      Successful Implementation
                      tools for reducing              finance company.                               If binding arbitration is right for your
                      risk in sales and F&I,        • Obvious      presentation      of    the      dealership, use these tips for implementing
                      binding      arbitration        agreement – The arbitration section           it successfully:
                      may not come to mind.           should be obvious in the agreement and          1. Educate yourself. Be aware of your
                      It can, however, be an          not written in a smaller font than other           state’s legal environment concerning
excellent risk-reduction tool. When properly          important provisions in the same or                arbitration.
implemented, binding arbitration provides a           accompanying document.                          2. Educate your legal counsel. Be sure
fair and efficient forum for resolving legal                                                              they are up to date on the Federal
disputes.                                          Work with your legal counsel to ensure that           Arbitration Act as well as any state
                                                   your binding arbitration agreement has the            arbitration law.
Arbitration is an alternative to going to court.   best chance to withstand any courtroom             3. Educate employees. Make sure your
It is binding when people agree in a contract      challenges.                                           sales and F&I employees know about
to arbitrate disputes and waive their right to                                                           your binding arbitration program and
traditional litigation.                            Presenting Binding Arbitration                        that it is a consistent practice in sales
                                                   to Customers                                          and F&I. They should know how
If there is a dispute, one party begins the        Binding arbitration agreements can be                 to present binding arbitration to a
arbitration process by filing a claim with          included in the buyer’s orders.                       customer and be able to answer basic
the arbitration administrator. During the                                                                questions.
arbitration hearing, the parties present their     If you use or plan to use binding arbitration,     4. Educate customers. Give customers
arguments and evidence to an independent           be certain your sales and F&I people know             a brochure that defines binding
and neutral arbitrator. The arbitrator,            how to present it properly. State that, “It           arbitration, describes the process and
usually a retired attorney or judge, weighs        means that if you have a dispute with the             lists its benefits.
the evidence and makes a decision based            dealership, you agree to go to a third party       5. Establish      binding      arbitration
on substantive law. The decision, called an        to resolve it instead of going to court.” Then        as a business practice. Make it a
award, is legally enforceable and as binding       give the customer a brochure providing                consistent business practice in your
as a court ruling.                                 detailed information.                                 dealership. Tell your employees:
                                                   At a minimum, your employees should be able           “This is the program, this is how we
The Benefits
                                                   to tell customers what binding arbitration is         are implementing it and we will use it
Binding arbitration can benefit all parties.                                                              on every deal. Monitor your program
Privacy is probably the most important             and answer basic questions. Use a frequently
                                                   asked questions and answers document to aid           and follow up on non-compliance.”
benefit, as the arbitration process is private
in all jurisdictions. In addition, because         your employees. Keep a supply of brochures       Protect Your Legacy
professionals make decisions in arbitration        on hand for customers who want detailed          Consider whether binding arbitration is right
cases, the risk of an extreme award is lower.      information.                                     for your dealership. Weigh the pros and cons,
                                                   Will I Lose a Sale?                              and talk to your legal counsel. If it is right
Arbitration is typically less expensive and                                                         for you, use a properly drafted agreement. It
faster than resolving a dispute through the        Some dealers fear that binding arbitration
                                                   agreements will cause them to lose sales.        may be just the tool you need to help protect
courts. On average, arbitration cases are                                                           your legacy.
resolved in less than nine months, while the       I have talked with many dealers who use
average civil case takes more than two years.      binding arbitration and lost sales are not an    What’s ahead?
                                                   issue.                                           Next month I will recap some of the risk
Enforceable Agreements
                                                                                                    management measures you can implement
You must use a properly drafted and                Occasionally, a dealer tells me about a          to become compliant and reduce risk.
implemented        arbitration      agreement.     customer who refused to sign a binding
Otherwise, it may not withstand courtroom          arbitration agreement. Many dealers have         This information is presented for risk
challenges. Typically, a court will look at        developed a standard business practice           management purposes only. It is not to be
five general areas when determining whether         of obtaining a signed binding arbitration        construed as legal advice or legal opinions.
an agreement is enforceable:                       agreement with every transaction. If the         Consult your legal counsel for assistance.
 • Affordability – The agreement should            customer refuses to sign the binding             Universal Underwriters Insurance Company,
    not impose unreasonable fees that              arbitration agreement, there is no deal. Tell    its affiliates, agents and employees assume
    prohibit a customer from filing a claim.        the customer you are sorry that you will         no responsibility or liability for making this
 • Accessibility – The agreement should            not be able to do business with them and         information available.
    not impose undue burdens such as               ask the customer to come back if he or she
    lengthy or unreasonable travel time on         reconsiders.
    the customer.
                                                                                                    Charles F. Arrambide is assistant vice
 • Ease of use – The agreement should be           Binding arbitration may not be right for         president and associate risk officer
    written in plain language that customers       every dealership. If you are thinking about      for Universal Underwriters Insurance
    can understand.                                using a binding arbitration program, give        Company. He can be contacted
 • Balance of fairness – The agreement             it careful consideration and talk with your      at 866.347.5019, or by e-mail at
    should not require the consumer to             legal counsel.                                   carrambide@autosuccessonline.com.


  14                                                                                                   www.sellingsuccessonline.com
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                                                                                                                                  JesseBiter
                   leadership solution




                                      Give Your Worries Up
                      Nothing can wreak           up in due time. Cast all your anxiety            in your work when you allow God to take
                      havoc on an individual      on Him because He cares for you.”                control.
                      or an organization          1Peter 5:6-7
                      like stress. In the fast-                                                    “Come to me, all you who are weary and
                      paced business world        An easy way to lower your stress level while     burdened, and I will give you rest.”
                      in which we live,           at work is to make a small adjustment to         (Matthew 11:28)
there never seems to be enough hours in the       your daily calendar. Just as meetings and
day. The convenience of e-mail and mobile         conference calls are part of your day-to-        Remove the useless clutter from your life and
phones oftentimes makes it even worse. Co-        day schedule, set aside a few moments to         schedule. Say “no” to certain tasks to avoid
workers, customers, and managers have all         connect with God during the workday. You         over-extending yourself. Forgive yourself
come to expect an instant response, adding        can schedule time to be in God’s presence        and be positive about yourself. Each of us
even more pressure to our already-hectic          through prayer, meditation or simply reading     is uniquely made by God for some special
workday. What can a leader do to keep stress      a few passages from the Bible. A brief           purpose. Low self-esteem only makes it
to a minimum and protect the overall well-        spiritual connection can do wonders to help      harder to deal with stressful situations.
being of an organization?                         you relax and ward off the negative effects of   Forgive others too. Stored resentment can
                                                  stress. Jesus Himself would often withdraw       only breed more stress.
The most important thing to understand            from the crowds to pray and He encourages
in combating stress is that no matter what        us to do the same. Let go of stress by letting   Life demands changes, whether you like them
challenges you may face, you are not alone.       in God’s peace.                                  or not. Pray for the courage of acceptance
God is all around us, even in the workplace.                                                       and the ability to adapt. And if it is hard to
It is your choice to worry. God does not want     Contrary to popular belief, it is actually       see the positive, ask God for His peace and
us to have to suffer from anxiety. God wants      okay to not always be in control. It’s truly     wisdom. Give your worries up to God.
you to come to Him and provide you with           a humbling experience to know that there
peace. All you have to do is ask.                 is something out there that is larger than       Jesse Biter is the president and CEO of
                                                  us all. Regardless of your position in the       HomeNet, Inc. He can be contacted at
“Humble yourselves, therefore, under              organization, you will find yourself more         866.239.4049 or by e-mail at
God’s mighty hand, that He may lift you           relaxed and ultimately more productive           jbiter@autosuccessonline.com.




                                                          We need them. They need us. We need you.




                                                                                                     It’s that simple.




                                                                                                                              ®

                                                                                                                              ®




  16                                                                                                  www.sellingsuccessonline.com
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                                                                             PaulAccinno
   sales and training solution


                                                        Where’s
                                                       Your URL
                       All          traditional    offer, and then invite you to the Web site for
                       marketing        efforts    details.
                       (TV, radio, print,
                       outdoor, direct mail,       Once you make marketing your URL a
                       etc.) should include        consistent strategy, you can incorporate it
                       the dealership’s Web        into any length or format. A simple formula
                       address, or URL.            is the “rule of thirds.” In the first third of the
                                                   spot announce your event or offer, in the
To illustrate the importance of getting your       second third of the spot briefly explain your
URL in all your advertising, think of it this      offer and in the final third, drive them to your
way: No matter how big, how long or how            Website for details.
many times you run an ad, you cannot fit
your entire inventory in an ad. The only             “Don’t miss the Thomas Ford
place where you have all your new and used           truckload of savings event this
vehicles available is on your Web site. Also,        Thursday, Friday and Saturday. The
when you run in general media, you have              area’s largest selection of Ford cars,
competition. Your newspaper ad is right next         trucks and SUVs. Shipments of our
to the ad of the dealer down the street. Dealers     hottest selling models are arriving
are all over the radio and commercial breaks         daily and prices are slashed to rock
on TV. The only place where you have no              bottom. We’ll even show you the
competition is on your Web site.                     invoice. Plus, get up to $5,000 factory
                                                     cash or zero percent financing. Visit
So how do you fit your URL in your                    buythomasford.com for details. You’ll
advertising? The simplest way is to add “dot         find every new Ford in our truckload
com” every time you say your dealership              event, with detailed information and
name in your advertising. See figure 1 and 2.         photos in an easy to use format. The
                                                     Ford truckload of savings event, going
  “Now during the Year End Clearance                 on now at buythomasford.com.”
  at ABCMotors.com we have our
  lowest prices of the year. Save like             And as long as you are doing that, you
  never before on every car, truck and             might as well show your Web site, show the
  SUV in stock. For complete details               vehicles, and show them how robust your
  and to view our entire inventory of              site is. Bottom line: There is always room
  new and certified pre-owned vehicles              or time to market your Web site. Just make
  visit ABCMotors.com”                             sure you sit down with your ad agency and
                                                   explain to them that it’s not an afterthought;
Another way to market your URL is to create        it’s critical.
ads that are specially designed to drive traffic
to your Web site. One technique is to use a        Paul Accinno is the president and CEO of
“Small Space Web Driver.” These ads are            WorldDealer Inc. He can be contacted at
inexpensive to run and are not much bigger         866.319.6284, or by e-mail at
than a business card. They simply make an          paccinno@autosuccessonline.com.




  Figure 1                                           Figure 2

september 2006
                                                                                                       17
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                                                                                                                                   JeffMorrill
   sales and training solution


                                                              10 Keys to a Winning
                                                              Product Presentation
                      The more value and            4. Engage the Prospect in a Conversation         better, obviously. If you’re new, then learn
                      excitement you build          No one likes lectures. Ask questions that help   a few characteristics about the brand that
                      during   the   walk-          you understand the amount of knowledge           are consistent across the model line, so you
                      around, the more              they have about the product (“So, what do        can talk about the same features/benefits
                      momentum      you’ll          you know about Subaru?”) and also how they       regardless of the vehicle you’re showing. For
                      have during closing,          intend to use it (“What kind of cargo will you   Subaru, these might be all-wheel drive and
when you need the prospect to want the car          carry back here?”). Ask questions that allow     the boxer engine. If you’re a veteran, use your
more than he wants to keep the $15,000 or           the prospect to take mental ownership (“Do       down time to expand your knowledge about
$25,000 that the car costs.                         you think your golf clubs would lay flat back     competitors’ products by reading reviews.
                                                    here or do you imagine we would need to          Beware of being a know-it-all, though, and
1. Know What Your Prospect Wants                    fold the seat down?”)                            match the complexity of your presentation to
in a Vehicle                                                                                         the prospect. The goal is not to impress the
Use the information learned during the              5. Let the Customer Feel and Touch               prospect with your knowledge, but rather to
investigating step to tailor your product           the Vehicle                                      excite and educate.
presentation (walk-around). If you didn’t           Point out the latch and let him open the
ask the following question during your              tailgate himself, let him close the doors and    9. Present For a Minimum of 10 Minutes
investigation, ask before you begin the walk-       feel the solid “thunk.”                          Oreck retail salespeople present for 10
around: “What’s the most important thing to                                                          minutes to sell a $500 vacuum cleaner. You’re
you in a vehicle?” Always follow up with            6. Tactfully Compare Your Product/               looking for tens of thousands of dollars.
“What does ________ mean to you?” because           Dealership/Experience to Others                  Your presentation should cover at least
“safety” or “performance” or “image” mean           Beware of criticizing other dealerships or       seven features/benefits. I’ve seen our best
different things to different people.               products. For those you know are comparing       salespeople give 30-minute presentations -
                                                    your product to one elsewhere, politely point    and if you are excited, know your product,
2. Know the Difference Between a                    out the advantages of buying from you. “Mr.      involve the prospect with questions, and
Feature and a Benefit                                Prospect, you can’t go wrong with a Toyota       ask him to operate parts of the car, then 30
A feature is the thing and a benefit is what the     RAV4; they build a great vehicle. However,       minutes isn’t too long. Of course you need
thing does for the prospect. “Mr. Prospect,         my customers who drive the RAV4 after            to adjust the length of the presentation to the
this six-disc audio unit keeps your hands           driving a Forester almost always come back       prospect’s attention span, level of interest,
safely on the wheel instead of fiddling with         to buy the Forester. Here are a few reasons      etc.
CDs….” You don’t need to tell someone               why….”
what a power window does, obviously, but                                                             10. Trial Close
the benefits of a feature such as all-wheel-         7. Get Excited                                   Ask trial closing questions throughout,
drive are lost on most folks who think that         A few steps down the road to the sale, you’re    such as “Do you think this vehicle has
it’s beneficial only in snow.                        going to ask your prospect to part with tens     what you’re looking for?” and “Would you
                                                    of thousands of dollars - all at once or over    feel more comfortable/cool/safe in this car
3. Move Clockwise Around the Car                    60 months. If you’re not excited about the       compared to the one you’re driving now?”
I like to start at the front of the car, offering   car, how will he be? Our moods and state         These questions help your prospect take
a peek at the engine. For a Subaru, I talk          of mind are contagious. Make sure you            mental ownership and give you the feedback
about the benefits of the boxer engine and           know enough about your product to have a         you need to make sure you find the right car
symmetrical all wheel drive. Moving to              few things you think are really neat. If you     that fits his budget.
the passenger side, I talk about airbags and        believe everybody should have all-wheel-
interior creature comforts. In the rear, I talk     drive, for example, then your enthusiasm
about utility and cargo capacity. I finish with      will influence your prospect.                     Jeff Morrill is co-owner of Planet Subaru in
                                                                                                     Hanover, Mass., and Planet Chrysler Jeep
the customer in the driver seat for a seamless                                                       in Franklin, Mass. He can be contacted at
transition to the test drive (just put on a plate   8. Know Your Stuff                               866.872.8699, or by e-mail at
and go).                                            The more you know about your vehicles, the       jmorrill@autosuccessonline.com.




  18                                                                                                    www.sellingsuccessonline.com
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AutoSuccess Sep06

  • 1. Let’s Step It Up September 2006
  • 2.
  • 3. SUMMIT V BEST PRACTICES 866.386.7050 Experience real Case Studies that can help your dealership LEADERSHIP • INTERNET • CRM • MARKETING • BDC • SALES immediately. Tuesday and Wednesday, November 7th and 8th 2006, at the Venetian Resort and Hotel, Las Vegas, NV. Dean Evans David Kain David Chip Perry Dealers & Managers Only! Ralph Paglia Vice President, Field Marketing, President, Kain Automotive Thomas CEO and President, CRM/eBusiness Director, The Cobalt Group Inc. Internet & BDC Training Specialist Owner, Subaru of Dallas AutoTrader.com Courtesy Chevrolet Two days of intense You will learn: - Internet Marketing that You will learn: Case Study: How I lowered my advertising expense and Internet Advertising Best Practices Case Study: How Courtesy Chevrolet’s business and CRM learning. Dramatically generates high-quality leads - Mapping out the best Internet teams grew to over 400 vehicle - Maximizing lead generation from your Web site sales process - E-mail templates for the increased my market share You will learn: - How AutoTrader.com’s top sales per month improve your results. You will learn: - Maximizing third-party best short and long-term - About ‘Mooch Marketing’ performing dealers get their You will learn: automotive sites - Metrics that matter: Focus on communication - Phone script elements that turn - Ways to advertise for free -Low-cost marketing ideas that outstanding results - Take home examples of - How to grow your CRM and Internet teams Limited Seats, return on investment leads into appointments effective merchandising you - What to measure, and how to - Recruiting, hiring and compensating for results get noticed - How to run events that get you can put to immediate use collect the data...Performance metrics that matter Register Today! noticed - How to generate car reviews in - Create a true CRM Profit Center your local paper - Manage your own SEM and online ad campaigns Case studies from - Use your BDC as a safety net for the Internet sales team successful dealerships across the country. Classroom styles seating only $595. Special Venetian room rates for $209 per night. Sean Roy Reutter Scott Joseph Mark Tewart Tony Rimas Speakers and times subject to change Wolfington Sheehy Auto Stores President & CEO, J&L Marketing, Inc. President, Tewart Enterprises Red McCombs Owner, BZResults.com Case Study: Sheehy.com You will learn: Case Study: Grow your Internet Case Study: New marketing increases leads from 400 - 2400 - How to engage customers department through a defined Case Study: How to use BDC/ strategy focuses on steady long per month intelligently while learning how process, efficient staffing, and Internet departments to sell 100 term growth. Dealership’s market traditional “meet and greet” strategic advertising - 500 extra cars a month. share increases from 8% to You will learn: strategies can reduce sales 32% and grows net profits from - How to increase leads and sales - How to increase professionalism, You will learn: You will learn: $170,000 to over 2.2 million in volume without increasing lead write-ups and sales by eliminating - How to structure and staff low - How to set up a successful just two years expense “Deal Killer” questions volume of high volume dealership BDC/Internet department - Improve sales and reduced cost You will learn: - How to define and implement 5 locations - Use the Web to promote all your per sale at the same time - A growth strategy to grow your universal laws that increase sales profit centers - Create a process to support your - Improve profitability by improving profit a minimum of 33% per year - How to improve gross profits by - Use the Web to drive showroom customers and staff efficiently the quality of leads through your - New promotions strategy using implementing better proposals & phone traffic - Increase ROI through inventory own site personalized Web pages and - How to reduce customer conflict - Sell old stock, vehicles & parts selection and lead allocation - Increase closing ratios and direct mail and increase sales and gross inventory - Streamline online advertising to average gross profit with profit - How to increase your floor traffic profit through better handling - Use e-mail marketing to drive maximize Web site conversion improvement during your slowest days of price, payment and negative more traffic for zero cost - Sell old stock units via the Web of the week equity objections Call today to register. Seating is limited. toll free: 866.396.7050 web: www.autosuccessonline.com
  • 4. Addressing Client Concerns 8 TomHopkins Generating Energy 10 BrianTracy Telling is Not Selling 11 ZigZiglar Monopolizing on Search Engine Marketing Domestic Dealers Sell 300 - 500 Units With Search Engine Marketing 12 SeanWolfington Resolving Disputes Without Going to Court How Binding Arbitration Can Help Reduce Risk 14 CharlesArrambide Give Your Worries Up 16 JesseBiter Where’s Your URL 17 PaulAccinno 10 Keys to a Winning Product Presentation 18 JeffMorrill The Importance of Payments, Part 2: The Internet 20 RaquelSmith Web Audit Leverage Customer Insight to Maximize Lead Generation and Accelerate Sales 21 AllenCheek Key Performance Indicators, Part 2 22 HeatherConary The Internet Sales Process 26 DavidJohnson Leadership Coming to Serve, Not to be Served 27 SeanWolfington Five Keys to Successful Automotive Marketing 28 JimmyVee & TravisMiller It’s Still About Selling 30 MikeParsons 100 Percent Turn Over to the Business Office 31 TonyDupaquier How to Average $3,000 to $4,000 Gross Profit per Vehicle Sold 32 MarkTewart Investing the Fundamentals, Part 3 36 TimShea Reward for Improved Performance 37 12 RichardLibin An Internet Department or an Internet Dealership 38 DavidKain Are They Lying Why It’s Hard to Tell and How You Can Become More Accurate 40 PattiWood Marathons and Races: Which One Are You Running 42 MichaelYork 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 toll free: 877.818.6620 Dave Davis, Creative Strategist & Editor Charlie Tierney, Sales-improvement Strategist ddavis@sellingsuccessonline.com cpt2@sellingsuccessonline.com facsimile: 502.588.3170 Toni Stephens, Sales-improvement Strategist web: www.SellingSuccessOnline.com tstephens@sellingsuccessonline.com helping to promote... Job 27:6 I will maintain my righteousness and never let go of it; my conscience will not reproach me as long as I live. God is the source of all supply AutoSuccess 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 this magazine 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 in whole 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 that names 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.
  • 5. JMsolutions™ retail tools really connect, do yours? ! aaXchange® VMS NEWDesking Menu Intelligently appraise Quickly structure and Instantly pull final customer deal vehicles – yielding professionally present from Desking to create a JMsolutions is a division of higher used vehicle total deal options – incorporating comprehensive F&I presentation – gross profits! trade-in values from increasing PVR! aaXchange. A $9.4 billion diversified automotive company ranked on the FORTUNE® 100 Best Companies to Work For® list for 2006, Get your sales in gear! its eighth consecutive year. Contact us for a live demo. ™ www.jmfe-jmsolutions.com | 888.711.3377
  • 6. sts fos ls ms sf fis TomHopkins sales and training solution Addressing Client Concerns The way you address Step #2: Feed it Back Step #5: Confirm the Answer client concerns will Simply re-state the concern in your own Once you see signs that they’re agreeable to have a powerful words. “So your concern, John, is…” your answer and that it makes sense to them, impact on your overall This accomplishes two things. First, you make a simple statement of that fact. You success level. In many demonstrate that you really listened to the could say, “That makes sense, doesn’t it?” If cases, once concerns are addressed, the client. Second, you have the opportunity they agree, the concern is now behind you. sale is made. You can go straight to asking to get confirmation from them that you If they show any hesitation at all, you must for their approval on your paperwork. The understand their concern. Having someone go back to Step #4 and come up with a better foundation of addressing client concerns is understand you makes you feel closer to him answer. a simple, six-step process that I’ve taught for or her. It creates a bond or common ground many years: of sorts. It warms them up to accepting your If you feel there’s more they haven’t told advice on the subject at hand. you, warmly ask, “Obviously, there’s a Step #1: Hear Them Out reason for your continued hesitation. Would Let the client talk and talk and talk until you Step #3: Question the Importance of you mind sharing it with me?” It could be know as much as they do about their concern. the Concern they’ve just come up with another concern If you try to address the concern before This step can be tricky if not handled and are uncomfortable telling you since they hearing all of what they have to say, you may properly. You must gently ask if this concern already told you above that it was their real end up answering a concern they don’t feel would keep them from making the decision final concern. Always, always give your is all that important and/or bring up another to go ahead if it cannot be overcome. It could potential clients opportunities to save face concern they hadn’t even thought of. be this concern is not all that important and if you see that they’re feeling hesitant or the client will dismiss it when they consider uncomfortable in any way. I’m sure you’ve had clients who tend to if it would keep them from the benefits of ramble when bringing up concerns. They your product. If it would stop the sale, you Step #6: Change Gears may start in one direction with a concern, then proceed. Once the concern has been satisfactorily but end up somewhere else. You see, raising addressed, it’s time to move on. The simplest concerns is a defense mechanism for them. Step #4: Answer the Concern method I’ve ever used is the phrase, “By the They react to the urge to go ahead by slowing Depending on the concern, you may be able way…” Then, I move onto the next area of things down with a concern. So, let them get to do this quickly or you may have to do a discussion, changing gears so-to-speak to it all out before attempting to address any little research on behalf of the client. Either move on to the close or the next decision that point they’ve raised. way, you need to demonstrate, above all else, must be made before closing. a sincere desire to help them. You’re working I’ve had clients who talked themselves right for them at this point. You’re the industry P.D.R. (Practice, Drill and Rehearse) these through and out of their initial concern. I expert and the research consultant at their steps until they become natural to you. Try didn’t have to address it at all. disposal. This could also be a good time to them with your spouse or children the next ensure them that you wouldn’t want them to time a concern is raised. Then, you’ll be If you feel they’re not telling you everything, make a decision without having all the facts, ready with enhanced skills when you meet encourage them to talk with phrases such as, or a decision that might not be exactly right your next future client. “I see. Is there anything else that concerns for them. you about this decision?” or “What concerns do you have about this…?” You want to In answering the concern, you must consider know all the bad stuff, all the reasons for it as you would a close. You have to appeal to World-renowned master sales trainer Tom Hopkins is the chairman of Tom Hopkins hesitation they have before you move on. If their logic, yet close them emotionally. You’re International. He can be contacted at you don’t, you may find yourself back at this helping them to rationalize the importance of 866.347.6148, or by e-mail at point again with this client. the concern and the value of your answer. thopkins@autosuccessonline.com. 8 www.sellingsuccessonline.com
  • 7. Dear Mr. Seime r, Congratulations on another grea event. I’m glad t sales to hear that you happy with the 6 ’re very 2 units delivere gross profit of $ d and a 201,748.00. The that you did it o best part is n your own, with company. This s o u t a s t a ffi n g aved you $50,4 see you in a few 37.00. I’ll weeks. Thanks again. If you would like to enjoy the same results Mr. Seimer did, call Turn-Key Events, the #1 Do-It-Yourself sales event provider. No Teams, No Commissions, Just Traffic!....and big $ in your pocket. CALL FOR A FREE MARKET REPORT. The Driving Force Behind EVENT SPECIALISTS ARE STANDING BY Automotive Advertising Market Exclusive 866-665-5507Copyright © 2006 Turn-Key Events and it’s licensors.
  • 8. sts fos ls ms sf fis BrianTracy sales and training solution Generating Energy You may have a requires the development and expenditure so that you are “early to bed and early thousand different of energy. Energy is a critical fuel and the to rise.” Remember, nature demands goals over the course one ingredient without which no other balance in all things. If you are going of your lifetime, but accomplishment is possible. to work hard during the day, you must they all will fall into take time off to rest and recuperate in one of four basic Building and sustaining your energy level the evenings and on the weekends. categories. Everything you do is an attempt is imperative. Since your energy is central to enhance the quality of your life in one or to everything you accomplish, you should 5. Proper Breathing. more of these areas: be very sensitive to things that either build By breathing, I mean deep diaphragmatic or deplete it. Here are six keys to building breathing, where you fill your lungs to The First Category is Your Desire for and maintaining a high level of energy and the count of 10, hold to the count of 10, Happy Relationships. vitality: and then exhale to the count of 10. If You want to love and be loved by others. You you do this seven to 10 times, two or want to have a happy, harmonious home life. 1. Proper Weight. three times per day, you will be amazed You want to get along well with the people Carrying extra weight on your body is at how much fresher and more relaxed around you, and you want to earn the respect like carrying a pack loaded with bricks you feel. of the people you respect. on your back — uphill. Excess weight tires you out. It taxes your heart, lungs 6. Proper Attitude. The Second Category is Your Desire for and muscles. Extra weight forces your Positive mental attitude seems to go Interesting and Challenging Work. body to burn up more energy than it hand-in-hand with great achievement You want to make a good living, of course, normally would just to maintain life and success in every walk of life. The but more than that, you want to really enjoy and proper functioning. more positive you are, the more energy your occupation or profession. you have. The more positive you are, 2. Proper Diet. the happier you are. The more positive The Third Category is Your Desire for The foods you eat have a tremendous you are, the more positive are the people Financial Independence. impact on your energy level throughout and situations you attract into your life. You want to be free from worries about the day. Changes in your diet can make The more positive you are, the easier money. You want to have enough money you feel fresher, more alive, more alert it seems for you to get the cooperation in the bank so that you can make decisions and filled with greater vitality than you of other people. The more positive you without counting your pennies. You want to can imagine. are, the more effectively you perform. achieve a certain financial state so that you can retire in comfort and never have to be 3. Proper Exercise. Everything that you do counts in some way. concerned about whether or not you have The more regularly you exercise, Nothing is neutral. Everything either helps enough money to support your lifestyle. the more energy you have, the better you or hurts you. Everything either adds up you feel and the longer you will or takes away. Everything either propels you The Fourth Category is Your Desire For live. Regular exercise enhances your toward your goal or moves you away from it. Good Health. digestion, reduces the number of hours Everything counts. Be free of pain and illness and to have a that you need to sleep, and increases continuous flow of energy and feelings of your vitality in the physical, mental and well being. emotional realms. The common denominator of these four 4. Proper Rest and Recreation. goals, and the essential requirement for On average, you need seven to eight Brian Tracy is the chairman and CEO achieving each of them, is a high level of hours of good, solid sleep each night. of Brian Tracy International. He can be energy. The achievement of even a small Some people can get by on less. But you contacted at 866.300.9881, or by e-mail at amount of success in any one of these areas should plan and organize your evenings btracy@autosuccessonline.com. 10 www.sellingsuccessonline.com
  • 9. sts fos ls ms sf fis ZigZiglar sales and training solution Telling is Not Selling As a sales professional, customer. These should be used when you are Learn to ask the right question in the right do you spend more sure of the answer. They are usually answered way. time telling or more with one word … and that word is usually Zig Ziglar is the chairman of the board of time asking? If you “yes.” For example, “Mr. Customer, if we can Ziglar Training Systems in Dallas, TX. This were to record your meet your demand for fair trade in amount, article was reprinted with permission. All sales interview, you’d will we have a deal?” rights reserved. He can be contacted at probably find you are spending more time 866.873.0026, or by e-mail at talking than asking questions and listening. Questions are a sales professional’s best asset. zziglar@autosuccessonline.com. During a sales interview, you must identify the needs, issues and concerns of the customer. The best way to achieve this is to ask questions. Then connect the answers to the needs and wants of the customer to your product. Have you Text Messaged Questions are the sales professional’s most valuable tool. We need to be reminded to ask Your Customers Today? the right question and ask the question right. There are several questioning types and techniques. Let’s cover four types of questions that you can implement today. They are the C.O.R.D. questions. This stands for Closed questions, Open questions, Reflective questions, and Direct-agreement questions. Closed Questions These are questions that have one-word or “closed” answers. At the beginning of the sale call, these should be seldom used. When using these, the sales person is not giving the customer an opportunity to expand on the answers. Let’s say you are trying to identify the buying criteria of a customer. You can ask: “In purchasing a car, are monthly payments important to you?” The answer may be “yes.” You may have to ask another question to identify other important criteria. It may be better if you had asked an open question. Open Questions These questions solicit “open” information. MarketView360 is a fast growing, leading-edge, multi-channel marketing solution You not only gain facts, but also information. that is designed to more effectively and efficiently reach your customers through These questions usually begin with who, what, why, when, where and how. For example, various mediums, including Target Email, Target Voice, Target Text Messaging, when trying to identify buying criteria, you Target Mail, and much more. The result is the deployment of highly personalized, may want to use: “What are the top criteria you need when making this type of purchase?” powerful and targeted communications at the right time with the right medium. The answer to this question gives you insights into why these criteria are important. Reflective Questions Call 1.866.591.4238 or These are questions that reflect on previous answers. In the above conversation, the visit www.marketview360.com customer mentioned a “good, quality service department” in one of the answers. You can to find out more about Marketview360 now go back and gain additional information with a reflective question. For example, “what did you mean by good, quality service?” Direct Agreement Questions The Most Intelligent Multi-channel Marketing System On The Planet These questions gain agreement from the september 2006 11
  • 10. fs feature solution SeanWolfington is that they can be potentially devastating Search Engine Marketing template sites,” Rimas said of Red McComb’s – even business ending. Impure leads have SEM allows you to reach the majority of the site. “Within a matter of a few clicks, we can Monopolizing on Search the potential to be on a federal or state “do buyers in your market for a fraction of the update specials and incentives.” In addition not call list” and you can find yourself facing cost of buying leads, and for much less than to creating sales leads, the goal of the Web fines of up to $11,000 per call if you process traditional advertising. In addition, the leads site is to market the whole dealership. Step Engine Marketing these leads. Whether you’re a small dealership that are generated are not sold to other dealers one is to help sell a car today, but step two or a large dealership group, if you’re buying so the closing ratio and average gross are is to promote all the other profit centers leads, the question boils down to whether you higher than leads you and other dealers buy (service, parts, subprime, etc.) and to become are in the legal “safe harbor.” These impure from third parties. The good news is that you a marketing center, rather than just an Domestic Dealers Sell 300 - 500 Units With Search Engine Marketing leads, as defined by recently passed federal laws, states if a person is on a “do-not-call” pay for positive results only, and it is the most measurable marketing medium in the history information source.” registry and you have neither an existing of advertising. Tools business relationship nor their express written Red McCombs.com offers many opportunities Understanding the Game The Rules of the Game are displayed when a searcher types in the permission for you to call them, you could E-mail Marketing to generate leads and cultivate new opportunity. Would increasing your online sales from 40 Search engine marketing should be part of key phrases which you have selected. The ads face huge penalties; it is best to steer clear of To establish an effective e-mail marketing “Our CRM tool identifies our most successful vehicles per month to more than 500 vehicles any dealership-marketing program. Research work by bidding on keywords and phrases; these impure leads. strategy, the first step is to generate a list of campaigns and tracks conversions,” Rimas per month get you excited? Red McCombs confirms that over 80 percent of prospective the more you agree to pay per click for that pure leads. “We use multimedia informational said. “Additionally, it automatically follows Automotive Group in San Antonio, Texas, Web customers begin by using search engines keyword, the higher your site will rank in the Pure Leads mailings to communicate to our customers up on our customers from six months all the did just that by implementing an Internet to locate products, services or information. paid results. The higher the bid, the higher The solution is getting your own “pure” through targeted campaigns that communicate way to six years, while communicating to our marketing strategy alongside a Search Engine Ensuring that your Web site is found when a your ad is placed. Since you pay only when leads generated internally through SEM. The the right message at the right time during customers though out all phases of the buying, Marketing (SEM) program to increase their consumer uses a search engine is a complex someone clicks on your site, you are able to most successful dealers have realized they our customers’ life cycle,” said Tony Rimas, follow-up, and service experiences. In defining monthly sales while reducing advertising and time-consuming effort. Because the vast set up thousands of key phrases to increase can generate their own leads with a higher director of eCommerce for Red McCombs. our marketing strategy, our management team expenses. majority of consumers now use a search engine the probability of attracting consumers. Your return if they go direct to the customer by “Our CRM tool equips us with a campaign needed to know where the most profitable to find what they are looking for, being on the strategy should utilize a combination of appearing on top of their local search results and customized template for every scenario, Web traffic and customers were coming from. “We realized that in order to increase our first page of the search results is imperative if SEO and PPC advertising to gain maximum for the vehicles they sell. The best dealers in such as price, trade, payments and availability. By using our CRM, we were also able to track sales, we needed to increase our traffic,” said your dealership wants to see a return on your impact. the country have created their own regional The templates we use increase the speed and this important statistic.” Tony Rimas, director of eCommerce for Red investment. The two most popular ways to buying service by marketing their site professionalism of our responses, and a bonus McCombs. “To accomplish that, we changed advertise Web sites are through search engine Dealers are becoming more educated on through search engines and multi-media e- is that they set the stage for our employees to People, Process, & Pricing our marketing strategy and implemented optimization (SEO) and pay per click (PPC) advertising techniques that require less money mail campaigns so they can generate more make the initial phone call.” Every successful dealership includes a team an SEM program to attract more quality advertising. The goal of each of these methods and generate a higher return from “more profitable sales at lower cost. of individuals who are passionate about what traffic for less cost. Our new strategy drives is to attract consumers searching for vehicles targeted” leads that they own exclusively. The Online Marketing they do. Paglia of Courtesy Chevrolet said, more traffic, generates more sales, is easy onto your dealership’s Web site. smart dealers are generating their own “pure” Building Your Own Monopoly: Paglia said Courtesy Chevrolet uses targeted “We look for people who love to serve the to measure, and actually costs less than the leads and find that they are easier to close, banner campaigns as an effective online customer. Once we find the right people, I traditional advertising methods we were Search Engine Optimization (SEO) generate more profit, and are less expensive. The Regional Buying Service marketing medium that allows Courtesy make it my mission to create an environment previously using.” SEO involves the ongoing process of creating, Becoming your own automobile regional Chevrolet to market directly to people living that they’ll never want to leave, because we all developing and coding your dealership’s Pure vs. Impure Leads buying service involves having online digital within the geographic areas around their know the cost of employee turnover. We’ve Your Move unique Website in order to to maximize the Every lead is not a good lead. marketing Web sites and SEO marketing dealership. “Our main goal is to be where our also learned that it’s not enough to find the What is all the excitement about Internet chance that its pages will appear at the top strategies that drive people to your dealership customers are and try to capture them before right people; you must have easy processes in marketing? The Internet offers unique of the “organic” or “natural” search engine Dealers are becoming more educated on Web site. Here are the steps to use to transform they fall trap to third party lead providers place for them to follow. opportunities to create real-time, trackable results. SEO is a gradual process that can take advertising techniques that require less money your dealership into a consumer regional who sell our leads to competitors,” he said. “It is equally important to have a pricing interaction with customers and prospects, weeks or months to achieve. and generate a higher return from “more buying service center using SEM strategy: Courtesy Chevrolet also allows prospects to philosophy that every employee understands developing an understanding of their targeted leads” that they own exclusively. The • Know your market and compile a list of register for a promotional offer that allows the and ensures there is fair profit into every individual needs and concerns from the Search engines determine your ranking in the smart dealers are generating their own “pure the most popular search phrases in your customer to be eligible to redeem the coupon vehicle. It’s imperative to involve every beginning of their online search. organic search results primarily by analyzing leads’ and are finding that they are easier market. at the dealership. “It allows us to treat these member of the leadership team to ensure you • Special offers can be directed towards your Web site for the following: to close, generate more profit, and are less • Create and design alluring ad copy to prospects just like a phone up,” Paglia said. create a strategy that everyone can buy into, customers with specific interests. • Keyword relevance—how relevant the expensive. entice consumers to click on it. “Our business development center specialists because the power is in the belief.” • Pricing strategies can reflect best keyword phrase is used in your Web • Bid the right amount on the right are amazing at converting these telephone customer buying habits and loyalty site’s copy Impure Leads position for the each phrase. leads into appointments.” Cornering the Market patterns. • Link popularity—the quantity and An aspect of “impure” leads, leads that are • Adjust your bids daily to ensure you Desiring to achieve dominance in the • Detailed online product/service quality of third-party sites that link to hard to close or generate little gross profit, outperform your competition. Templated Web Site vs. Lead automobile industry, smart dealers have information can shorten buying cycles. your Web site Generating Machine discovered that building and branding a Web So, your Web site site, coupled with an effective SEM strategy Ralph Paglia, eCommerce Director for Pay Per Click (PPC) looks great, but is will generate awesome results at reduced costs Courtesy Chevrolet in Phoenix, Ariz., shifted One of the most cost- your site a generating per unit. “We reduced our cost per sale down marketing dollars from newspaper to online effective and most profit or is it just a to about $150 per vehicle while increasing marketing. “I took a look at how much we immediate ways hyped-up brochure? sales by 80 to 180 units each month,” Paglia were spending on conventional advertising to advertise on the “What makes our said. “Our results are a sign of our success and and tracked that for a few months before Internet today is to use Web site stand presence in the market. It’s only a matter of making the decision to transition away from Pay Per Click (PPC) out in front of our time before other dealers do the same.” print, TV and radio and move toward digital marketing. PPC competitors is that it marketing,” Paglia said. “Our return on advertisements are the is customized to our Sean Wolfington is the owner of investment has gone up, our cost per sale has boxes usually shown specs, not just one BZResults.com. He can be contacted dropped and our traffic and incremental sales on the right hand side of those out of the at 866.645.7730, or by e-mail at have skyrocketed.” of search results and box, cookie-cutter swolfington@autosuccessonline.com. 12 www.sellingsuccessonline.com 13
  • 11. sts fos ls ms sf fis CharlesArrambide leadership solution Resolving Disputes Without Going to Court How Binding Arbitration Can Help Reduce Risk When you think of arbitrate more claims than the dealer or Successful Implementation tools for reducing finance company. If binding arbitration is right for your risk in sales and F&I, • Obvious presentation of the dealership, use these tips for implementing binding arbitration agreement – The arbitration section it successfully: may not come to mind. should be obvious in the agreement and 1. Educate yourself. Be aware of your It can, however, be an not written in a smaller font than other state’s legal environment concerning excellent risk-reduction tool. When properly important provisions in the same or arbitration. implemented, binding arbitration provides a accompanying document. 2. Educate your legal counsel. Be sure fair and efficient forum for resolving legal they are up to date on the Federal disputes. Work with your legal counsel to ensure that Arbitration Act as well as any state your binding arbitration agreement has the arbitration law. Arbitration is an alternative to going to court. best chance to withstand any courtroom 3. Educate employees. Make sure your It is binding when people agree in a contract challenges. sales and F&I employees know about to arbitrate disputes and waive their right to your binding arbitration program and traditional litigation. Presenting Binding Arbitration that it is a consistent practice in sales to Customers and F&I. They should know how If there is a dispute, one party begins the Binding arbitration agreements can be to present binding arbitration to a arbitration process by filing a claim with included in the buyer’s orders. customer and be able to answer basic the arbitration administrator. During the questions. arbitration hearing, the parties present their If you use or plan to use binding arbitration, 4. Educate customers. Give customers arguments and evidence to an independent be certain your sales and F&I people know a brochure that defines binding and neutral arbitrator. The arbitrator, how to present it properly. State that, “It arbitration, describes the process and usually a retired attorney or judge, weighs means that if you have a dispute with the lists its benefits. the evidence and makes a decision based dealership, you agree to go to a third party 5. Establish binding arbitration on substantive law. The decision, called an to resolve it instead of going to court.” Then as a business practice. Make it a award, is legally enforceable and as binding give the customer a brochure providing consistent business practice in your as a court ruling. detailed information. dealership. Tell your employees: At a minimum, your employees should be able “This is the program, this is how we The Benefits to tell customers what binding arbitration is are implementing it and we will use it Binding arbitration can benefit all parties. on every deal. Monitor your program Privacy is probably the most important and answer basic questions. Use a frequently asked questions and answers document to aid and follow up on non-compliance.” benefit, as the arbitration process is private in all jurisdictions. In addition, because your employees. Keep a supply of brochures Protect Your Legacy professionals make decisions in arbitration on hand for customers who want detailed Consider whether binding arbitration is right cases, the risk of an extreme award is lower. information. for your dealership. Weigh the pros and cons, Will I Lose a Sale? and talk to your legal counsel. If it is right Arbitration is typically less expensive and for you, use a properly drafted agreement. It faster than resolving a dispute through the Some dealers fear that binding arbitration agreements will cause them to lose sales. may be just the tool you need to help protect courts. On average, arbitration cases are your legacy. resolved in less than nine months, while the I have talked with many dealers who use average civil case takes more than two years. binding arbitration and lost sales are not an What’s ahead? issue. Next month I will recap some of the risk Enforceable Agreements management measures you can implement You must use a properly drafted and Occasionally, a dealer tells me about a to become compliant and reduce risk. implemented arbitration agreement. customer who refused to sign a binding Otherwise, it may not withstand courtroom arbitration agreement. Many dealers have This information is presented for risk challenges. Typically, a court will look at developed a standard business practice management purposes only. It is not to be five general areas when determining whether of obtaining a signed binding arbitration construed as legal advice or legal opinions. an agreement is enforceable: agreement with every transaction. If the Consult your legal counsel for assistance. • Affordability – The agreement should customer refuses to sign the binding Universal Underwriters Insurance Company, not impose unreasonable fees that arbitration agreement, there is no deal. Tell its affiliates, agents and employees assume prohibit a customer from filing a claim. the customer you are sorry that you will no responsibility or liability for making this • Accessibility – The agreement should not be able to do business with them and information available. not impose undue burdens such as ask the customer to come back if he or she lengthy or unreasonable travel time on reconsiders. the customer. Charles F. Arrambide is assistant vice • Ease of use – The agreement should be Binding arbitration may not be right for president and associate risk officer written in plain language that customers every dealership. If you are thinking about for Universal Underwriters Insurance can understand. using a binding arbitration program, give Company. He can be contacted • Balance of fairness – The agreement it careful consideration and talk with your at 866.347.5019, or by e-mail at should not require the consumer to legal counsel. carrambide@autosuccessonline.com. 14 www.sellingsuccessonline.com
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  • 13. sts fos ls ms sf fis JesseBiter leadership solution Give Your Worries Up Nothing can wreak up in due time. Cast all your anxiety in your work when you allow God to take havoc on an individual on Him because He cares for you.” control. or an organization 1Peter 5:6-7 like stress. In the fast- “Come to me, all you who are weary and paced business world An easy way to lower your stress level while burdened, and I will give you rest.” in which we live, at work is to make a small adjustment to (Matthew 11:28) there never seems to be enough hours in the your daily calendar. Just as meetings and day. The convenience of e-mail and mobile conference calls are part of your day-to- Remove the useless clutter from your life and phones oftentimes makes it even worse. Co- day schedule, set aside a few moments to schedule. Say “no” to certain tasks to avoid workers, customers, and managers have all connect with God during the workday. You over-extending yourself. Forgive yourself come to expect an instant response, adding can schedule time to be in God’s presence and be positive about yourself. Each of us even more pressure to our already-hectic through prayer, meditation or simply reading is uniquely made by God for some special workday. What can a leader do to keep stress a few passages from the Bible. A brief purpose. Low self-esteem only makes it to a minimum and protect the overall well- spiritual connection can do wonders to help harder to deal with stressful situations. being of an organization? you relax and ward off the negative effects of Forgive others too. Stored resentment can stress. Jesus Himself would often withdraw only breed more stress. The most important thing to understand from the crowds to pray and He encourages in combating stress is that no matter what us to do the same. Let go of stress by letting Life demands changes, whether you like them challenges you may face, you are not alone. in God’s peace. or not. Pray for the courage of acceptance God is all around us, even in the workplace. and the ability to adapt. And if it is hard to It is your choice to worry. God does not want Contrary to popular belief, it is actually see the positive, ask God for His peace and us to have to suffer from anxiety. God wants okay to not always be in control. It’s truly wisdom. Give your worries up to God. you to come to Him and provide you with a humbling experience to know that there peace. All you have to do is ask. is something out there that is larger than Jesse Biter is the president and CEO of us all. Regardless of your position in the HomeNet, Inc. He can be contacted at “Humble yourselves, therefore, under organization, you will find yourself more 866.239.4049 or by e-mail at God’s mighty hand, that He may lift you relaxed and ultimately more productive jbiter@autosuccessonline.com. We need them. They need us. We need you. It’s that simple. ® ® 16 www.sellingsuccessonline.com
  • 14. sts fos ls ms sf fis PaulAccinno sales and training solution Where’s Your URL All traditional offer, and then invite you to the Web site for marketing efforts details. (TV, radio, print, outdoor, direct mail, Once you make marketing your URL a etc.) should include consistent strategy, you can incorporate it the dealership’s Web into any length or format. A simple formula address, or URL. is the “rule of thirds.” In the first third of the spot announce your event or offer, in the To illustrate the importance of getting your second third of the spot briefly explain your URL in all your advertising, think of it this offer and in the final third, drive them to your way: No matter how big, how long or how Website for details. many times you run an ad, you cannot fit your entire inventory in an ad. The only “Don’t miss the Thomas Ford place where you have all your new and used truckload of savings event this vehicles available is on your Web site. Also, Thursday, Friday and Saturday. The when you run in general media, you have area’s largest selection of Ford cars, competition. Your newspaper ad is right next trucks and SUVs. Shipments of our to the ad of the dealer down the street. Dealers hottest selling models are arriving are all over the radio and commercial breaks daily and prices are slashed to rock on TV. The only place where you have no bottom. We’ll even show you the competition is on your Web site. invoice. Plus, get up to $5,000 factory cash or zero percent financing. Visit So how do you fit your URL in your buythomasford.com for details. You’ll advertising? The simplest way is to add “dot find every new Ford in our truckload com” every time you say your dealership event, with detailed information and name in your advertising. See figure 1 and 2. photos in an easy to use format. The Ford truckload of savings event, going “Now during the Year End Clearance on now at buythomasford.com.” at ABCMotors.com we have our lowest prices of the year. Save like And as long as you are doing that, you never before on every car, truck and might as well show your Web site, show the SUV in stock. For complete details vehicles, and show them how robust your and to view our entire inventory of site is. Bottom line: There is always room new and certified pre-owned vehicles or time to market your Web site. Just make visit ABCMotors.com” sure you sit down with your ad agency and explain to them that it’s not an afterthought; Another way to market your URL is to create it’s critical. ads that are specially designed to drive traffic to your Web site. One technique is to use a Paul Accinno is the president and CEO of “Small Space Web Driver.” These ads are WorldDealer Inc. He can be contacted at inexpensive to run and are not much bigger 866.319.6284, or by e-mail at than a business card. They simply make an paccinno@autosuccessonline.com. Figure 1 Figure 2 september 2006 17
  • 15. sts fos ls ms sf fis JeffMorrill sales and training solution 10 Keys to a Winning Product Presentation The more value and 4. Engage the Prospect in a Conversation better, obviously. If you’re new, then learn excitement you build No one likes lectures. Ask questions that help a few characteristics about the brand that during the walk- you understand the amount of knowledge are consistent across the model line, so you around, the more they have about the product (“So, what do can talk about the same features/benefits momentum you’ll you know about Subaru?”) and also how they regardless of the vehicle you’re showing. For have during closing, intend to use it (“What kind of cargo will you Subaru, these might be all-wheel drive and when you need the prospect to want the car carry back here?”). Ask questions that allow the boxer engine. If you’re a veteran, use your more than he wants to keep the $15,000 or the prospect to take mental ownership (“Do down time to expand your knowledge about $25,000 that the car costs. you think your golf clubs would lay flat back competitors’ products by reading reviews. here or do you imagine we would need to Beware of being a know-it-all, though, and 1. Know What Your Prospect Wants fold the seat down?”) match the complexity of your presentation to in a Vehicle the prospect. The goal is not to impress the Use the information learned during the 5. Let the Customer Feel and Touch prospect with your knowledge, but rather to investigating step to tailor your product the Vehicle excite and educate. presentation (walk-around). If you didn’t Point out the latch and let him open the ask the following question during your tailgate himself, let him close the doors and 9. Present For a Minimum of 10 Minutes investigation, ask before you begin the walk- feel the solid “thunk.” Oreck retail salespeople present for 10 around: “What’s the most important thing to minutes to sell a $500 vacuum cleaner. You’re you in a vehicle?” Always follow up with 6. Tactfully Compare Your Product/ looking for tens of thousands of dollars. “What does ________ mean to you?” because Dealership/Experience to Others Your presentation should cover at least “safety” or “performance” or “image” mean Beware of criticizing other dealerships or seven features/benefits. I’ve seen our best different things to different people. products. For those you know are comparing salespeople give 30-minute presentations - your product to one elsewhere, politely point and if you are excited, know your product, 2. Know the Difference Between a out the advantages of buying from you. “Mr. involve the prospect with questions, and Feature and a Benefit Prospect, you can’t go wrong with a Toyota ask him to operate parts of the car, then 30 A feature is the thing and a benefit is what the RAV4; they build a great vehicle. However, minutes isn’t too long. Of course you need thing does for the prospect. “Mr. Prospect, my customers who drive the RAV4 after to adjust the length of the presentation to the this six-disc audio unit keeps your hands driving a Forester almost always come back prospect’s attention span, level of interest, safely on the wheel instead of fiddling with to buy the Forester. Here are a few reasons etc. CDs….” You don’t need to tell someone why….” what a power window does, obviously, but 10. Trial Close the benefits of a feature such as all-wheel- 7. Get Excited Ask trial closing questions throughout, drive are lost on most folks who think that A few steps down the road to the sale, you’re such as “Do you think this vehicle has it’s beneficial only in snow. going to ask your prospect to part with tens what you’re looking for?” and “Would you of thousands of dollars - all at once or over feel more comfortable/cool/safe in this car 3. Move Clockwise Around the Car 60 months. If you’re not excited about the compared to the one you’re driving now?” I like to start at the front of the car, offering car, how will he be? Our moods and state These questions help your prospect take a peek at the engine. For a Subaru, I talk of mind are contagious. Make sure you mental ownership and give you the feedback about the benefits of the boxer engine and know enough about your product to have a you need to make sure you find the right car symmetrical all wheel drive. Moving to few things you think are really neat. If you that fits his budget. the passenger side, I talk about airbags and believe everybody should have all-wheel- interior creature comforts. In the rear, I talk drive, for example, then your enthusiasm about utility and cargo capacity. I finish with will influence your prospect. Jeff Morrill is co-owner of Planet Subaru in Hanover, Mass., and Planet Chrysler Jeep the customer in the driver seat for a seamless in Franklin, Mass. He can be contacted at transition to the test drive (just put on a plate 8. Know Your Stuff 866.872.8699, or by e-mail at and go). The more you know about your vehicles, the jmorrill@autosuccessonline.com. 18 www.sellingsuccessonline.com