autosuccess; courtesy chevrolet awarded ecrm dealer of the year

8/8/2019 AutoSuccess; Courtesy Chevrolet Awarded eCRM Dealer of the Year

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January 200

Happy New Year


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F&I Training

Sales Training

Menu Training

Service Drive

Training

Sales Management

Training

Legal Seminars

Used Car Management

Training

It is sure to make myself and my

dealership more gross and retain

high CSI and customer loyalty. Knapp Chevrolet

[email protected] (800) 967-3633 www.afasinc.com

Visit us at the NADA Convention in February Booth 563


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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 [email protected]. Subscription rate is $75 per year.

AutoSuccess welcomes unsolicited editorials and graphics (not responsible for their return). All submitted editorials and graphics are subject to editing for grammar, content and page length. AutoSuccess provides its contributing writers latitude in expressing advice and solutions;

views expressed are not necessarily those of AutoSuccess and by no means reflect any guarantees. AutoSuccess accepts no liability in respect of the content of any third party material appearing in this magazine or in respect of the content of any other magazine to which thismagazine may be linked from time to time. Always confer with legal counsel before implementing changes in procedures. All contents copyrighted by AutoSuccess Magazine, a Division of Systems Marketing, Inc. All rights reserved. Reproduction 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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By Design or DefaultCustomer Pay Labor and Parts Profit Training

Targeted Web Video and Your Ad Strategy, Part 1

eCRM Dealers of the Year

What Have We Done to Our Sales People

Kings ToyotaThe Biggest Showroom in the Universe

Stop Negotiating in the Business Office

Customer Segmentation:Increasing Retention and Profitability

Getting a Head Start:Planning Your Direct Mail Marketing for the New Year

How to Start Off Winning

Key Performance Indicators, Part 5

Brand Yourself

Never Ask a Question If You Dont Already Know the Answer

Arouse Emotion, Dont Sell Logic

Personal Development is Personal,and Commitment is Key

Sell Whatcha Got

MelissaRimoldi

JeffMorrill

BrianTracy

PatrickLuck

DavidKain

DeliaPassi

RichardLibin

DavidThomas

JimYoung

JesseBiter

SteveLaPenta

PhilSura

PatrickLuck

HeatherConary

DixonJudd

God is the source of all supply

EricMlon

AlanRamTraining Essential to Telephone Success

The Art of Recruiting

MichaelYork

A New Years Resolution:Break Up Your Unplowed Ground

TonyDupaquier

James 4:10

Humble yourselves in the sight of the Lord, and He shall lift you up.

Courtney Paris, Sales-improvement [email protected]

Brian Ankney, Sales-improvement [email protected]

Brian Balash, Sales-improvement [email protected]

Toni Stephens, Sales-improvement [email protected]

Cori Frye, Sales-improvement [email protected]

3411 Pinnacle Gardens DriveLouisville, Kentucky 40245

toll free: 877.818.6620facsimile: 502.588.3170web: www.SellingSuccessOnline.com

Patrick Luck, Editor & [email protected] Givens, Vice [email protected] Williams, Creative [email protected] Davis, Creative Strategist & [email protected]

helping to promote...

Increase Your Online Profits by Rewriting Your UsedCar Managers Job Description

TomHopkins

Continuous Learning

100

Car Sales 101: A Case Study MarkTewart

Six Steps to a Great Presentation at Your Next Meeting, Part 1 PattiWood

Four Pillars of Prospecting DirkZeller


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Our staff atAutoSuccessis dedicated to address-ing the specific needsof new car and lighttruck dealerships byproviding cutting-edge,solution-based resolu-tions to aid dealers inbecoming more suc-

cessful, and ultimatelyto establish the resultsthey desire: increased profits. In the process ofproviding research-based innovative solutions,the AutoSuccess team incorporates the input ofhundreds of dealers nationwide.

In an effort to recognize the outstanding digitalmarketing initiatives and campaigns among thenations most successful dealers, AutoSuccesshonors those dealers who have effectively lev-eraged the power of the Internet and CRM toharness substantial results. What our researchhas shown is that the nations top performingdealers are harnessing their knowledge, experi-

ence and resources toward this marketing phe-

nomenon. This revolutionary medium has en-abled dealerships to generate substantial returnson their investment by utilizing the innovationof the Internet and CRM to promote all profitcenters within their dealership from new andused sales, to F&I, to parts and service.

Dealers are spending more and more money onmass advertising that has increased in cost and

decreased in effectiveness. The most frustrat-ing part of this equation is that dealers cannotmeasure the return on their advertising invest-ment. That is why many successful dealers areshifting their ad spending from mass advertis-ing to targeted digital marketing that has a bet-ter return and is more measurable.

Another trend that has influenced dealer ad-vertising is the influence the Internet is havingon how customers are beginning their buyingprocess. Statistics consistently show a grow-ing increase in the number of customers whohave used the Web to research information atsome point during the process of purchasing a

vehicle. CSI surveys reveal that these custom-

ers know and expect more from their deathan ever before.

Therein lays the challenge and the opportuty. Smart dealers are meeting and exceedthese customers expectations. Top perfoing dealers have used the Internet to incretheir retail sales by 20 to 25 percent andimprove the profitability of their F&I, Servand Parts Departments as well. Although ferent dealers strategies vary, there are soessential elements that most successful deapossess. AutoSuccess looks for the followfive key elements to determine the winnerthe eCRM Dealers of the Year Awards:

WELL-DEFINED STRATEGY: A detamarketing plan with clear objectives to atttraffic to their site, phones and showroom. HIGH-IMPACT WEB SITE: A customfriendly site that is innovative, engaging informative, and that promotes all profit cters of the dealership. POWERFUL CRM TOOL: A fully tomated prospect management tool that wmanage and measure all of their leads and drquality traffic to the phones and showroom INNOVATIVE MARKETING: Effecmedia-enriched e-mails and phone scriptscontact prospects. PEOPLE & PROCESS: Well trained

dedicated Internet specialists to sell appoments and well-equipped sales consultantbuild value in the dealership and the vehicl PRECISION MEASUREMENT TRACKING: Measurable results and aumated reports to track metrics in order to ctinually refine processes and improve result

Winning entries tell a great story of markechallenges, demonstrate excellence in marking strategy and objectives, show measuraresults and describe the unique lessons learfrom their marketing campaign or progrThe end result is a smarter marketing stratthat uses intelligent digital marketing tools training to sell more cars for less cost.

by Patrick Luck

Tasca.com

Walser.com

Sheehy.com

RickCase.com

RedMcCombs.com

ParagonHonda.com

HerbChambers.com

HouseofCourtesy.com

DaveSmithMotors.com

HarveyAutos.com


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What better way for one

of the nations fast-

est growing dealers

to spend his spare

time than behind

the wheel of a modi-

fied 07 Shelby Mus-

tang making 3,500

hp and accelerating

to 210 mph in just

3.7 seconds! Thats

no ordinary car; its a

National Hot Rod As-

sociation Top Alcohol

Funny Car piloted

by Bob Tasca III.

Likewise, Tasca Automotive Group is no ordi-

nary dealership. The Tasca Group has grown

from a small one-rooftop store to a multi-fran-

chise auto group in the New England area.

Tasca Automotive Group is now operated by

third generation Tasca family members led by

auto enthusiast/pilot Bob Tasca III. Their con-

tinued growth and success can be attributed to

the Tasca Way of doing business which fo-cuses on customer satisfaction.

The scope of Customer Relation Management

has evolved into more than just the face to face

encounter on the showroom floor. Through the

power of the Internet and digital marketing,

fully automated CRM tools are providing the

opportunity for todays successful dealerships

to take customer satisfaction to a new level.

Not only are the Tasca Customer Satisfaction

Indexes among the highest in the nation, thetechnology of their automated CRM tools have

been instrumental in increasing online sales

by more than 84 units per month. Our online

presence is a whole new way to communicate

with our client base. Our philosophy at this

dealership for more than 20 years has been to

rely on repeat and referral business, and our

CRM provides a better way to serve our cus-

tomers, explains Bob. Heres what an effec-

tive CRM tool should provide:

1. Customized marketing lists for targetedprospects2. Media enriched customized bulk e-mailcampaigns

3. Automated delivery of graphic and multime-dia digital presentations via e-mail4. Integration of optional promotional and cus-tom features5. Management of calls, appointments and pro-cesses

6. Automated and measurable results

More and more successful dealerships are

ing the Internet to communicate with their c

tomers because it is effective, convenient

inexpensive. Our customers love our bu

mails, adds Bob, These customized, mumedia mini-commercials are loaded with in

active features that keep the customer enga

while obtaining the information they are se

ing. When it comes down to it, whatever w

doing is working!

Tasca Auto GroupAccelerating from eCRM to eSatisfaction with 63% Customer Loyalty

THE BOTTOM LINE

Tasca.com awarded E-Dealer Of The Year three consecutive years.

Tasca is the largest Ford Motor Company dealer in New England.

Tasca has partnered with BZ Results to make the shift to digitamarketing and to sell an additional 80 + units per month.

Tascas customer loyalty rating is above 63 percent and their CSI isamong the highest in the nation.

Tasca uses automated CRM technology to improve customer service.

Tasca Auto Group thrives on repeat and referral business.

Our Digital Marketing System turns traffic into leads while pviding the kind of online experience that fits with the Tasca Wa- Bob Tasca III


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Walser Automotive has

joined the revolu-

tion, implement-

ing a centralized

eStrategy in 12

franchises. Estab-

lished in 1956,

Walser Automotive

has grown into a

network of top qual-

ity dealerships across

Minnesota who are

committed to offering

the best service in

the industry. Whatmakes the Walser Group unique is their ne-

gotiation-free philosophy, which they call

the Walser Way.

Walser Automotive has a fundamentally dif-

ferent approach to the car buying experience.

The core principle of the Walser Way is to

give the absolute lowest price up front no

negotiating, no waiting. The same policy ap-

plies to every new and pre-owned vehicle.

The Walser Way empowers the customer and

associate by giving them both the sovereign

control to make the deal. It is up-front. It is

honest. And it is simple. Everyone pays the

same low pricefast, fair and easy.

Walser Automotive knows the importance

of having the right people and the right pro-

cess in place. Since implementing a new

Digital Marketing Strategy within the last

year, owner Andrew Walser explains, Thegreatest accomplishment since hiring our

new Digital Marketing Consultant is that we

have centralized a consistent process in all

of our 12 franchises. We understand the im-

portance of process and execution, and as a

result have built a great foundation in terms

of percentages and closing ratios. Currently

we are setting appointments on 32 percent of

our leads with an 80 percent show up rate.

Thats generating a 15-17 percent conver-

sion ratio on our total leads. We even have a

couple of stores in the mid 20s! Thats quite

a bit higher than the national average of 5

percent.

Without the right people and the right pro-

cesses in place, the greatest technology in

the world is a wasted investment. Newcom-

er to the arena of Top eCRM Dealers of the

Year, Walser Automotive has spent this past

year creating goals and perfecting proces

Andrew Walser is passionate about his co

mitment to centralizing processes and

ecuting on them. Even with the spectac

results they have seen thus far, 2007 is s

to hold great promise for this extraordin

results-driven dealership group. With

right tools, people and processes in place,

only thing left to do is make it happen.

The Walser GroupExecuting Success: Increasing Closing Ratio to 20 Percen

We understand the importance of process and execution, and as a result habuilt a great foundation in terms of percentages and closing ratios.- Andrew Walser

THE BOTTOM LINE

Walser Automotive has implemented a new Digital Marketing Strategy.

Walser Automotive knows the importance of having the right process.

The BDC staff successfully sets appts on 32 percent of leads at Walser.com

Walser Automotive has increased closing ratios up to 20+ percent in twofranchises.

The Walser Way is a negotiation-free philosophy. Everyone pays thesame low price.

Walser Automotive conversion ratio is 10 to 15 percent higher than the

national average.


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Since implementing theirnew digital market-

ing strategy a fewyears ago, SheehyAutomotive has

steadily increasedtheir leads, and arenow up to the 700percent mark! Thisproves that a clearstrategy, completewith the right people,process and tools de-signed to utilize the

Internet to improvebusiness is not just apassing fad with tem-porary results, but the

way of the future forautomobile retailers. Lets take a look at howa large volume dealership group in the highlycompetitive DC area transformed their averageInternet department into a whole new profitgenerating center.

Sheehy Automotive, with 18 franchises within13 dealerships across Maryland and Virginia,had immediate results following the imple-mentation of their strategy. In the initial twomonths, their BDC had increased leads by 230percent which translated into an additional 279units in one month. They are now generating

3,449 leads per month and have exceeded theirgoal of 300 sales per month with an all-timehigh of 414 sales from the Internet Department.Not only has Sheehy maintained their steadygrowth, theyre decreasing their cost per salein the process.

Sheehy Automotive began with a business planthat outlined what they needed to do to use theWeb to grow their business. Roy Reutter, In-ternet director at Sheehy, indicated that in thebeginning they were relying on third partylead providers for their leads and sales. Wequickly realized that we needed more than just

a Web site and a few third-party lead provid-ers, explains Reutter. We worked with a re-sults-oriented automotive Internet consultingfirm to build a complete strategy including theredesign of our Web site, staffing and trainingthe team, implementing a process, establishingpricing, and fine-tuning lead management,"Reutter added.

On the topic of marketing, Reutter reflects, Ifyou cant generate traffic you might as wellnot have a Web site. Search Engine Optimiza-tion in conjunction with multi-media buzzmailcampaigns blended with traditional marketing

media has enabled us to increase traffic andsales at a lower cost than ever.

With Internet marketing, everything is mea-surable. Performance metrics help track yourdealerships performance and the return onyour investment. Its important to have theright CRM tool that will integrate and automatedata so that your strategies can be updated andrevised when needed. Reutter added that themeasurability of ROI on the Internet is unparal-leled in the car business. In tracking their new

marketing strategy, they have seen the avercost per sale drop from more than $500 per sto about $130.

The most important metrics to track

Number of visitors to Web site

Conversion Ratio

Closing Ratio

Average gross profit

Cost per sale by lead source

Sheehy AutomotiveContinued Success Increased Results up to 700 Percent

We worked with a results-oriented automotive Internet consulting firm to builcomplete strategy including the redesign of our Web site, staffing and training team, implementing a process, establishing pricing andfine-tuning lead managment. - Roy Reutter, Internet Director at Sheehy

THE BOTTOM LINE

Sheehy sold 414 units online in just one month.

After launching the new Web site, Sheehy went from 400 to 1,350 leads inonly 60 days, and today it generates more than 3,400 leads per month.

The closing ratio for the leads from Sheehy.com is three to four timeshigher, and the cost per sale is about $130 per car.

Sheehy.com is designed to drive phone and showroom traffic, and theWeb site is now its No. 1 source of phone leads.

Sheehy's Web site vendor positions it on search engines and helps mar-ket the Web site online and through multimedia e-mail campaigns.

www.Sheehy.com has been recognized as one of the top eCRM Dealers

of the Year for three years in a row.


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Rick Case sold his firstcar at the ripe ageof 14 years old. Itwas an old fixer-upper which

he purchased,tweaked, and thenresold for a profit.Rick claims hemade more on thatone car than hehad made all yearas a paper deliveryboy. And so the leg-

end began. By 1965Rick had opened hisfirst Honda vehiclefranchise, and estab-

lished his stature ashaving a keen eye for how innovation canlead to opportunities.

Today the Rick Case Automotive Group,comprised of 14 dealerships throughout FortLauderdale, Atlanta and Cleveland, is enjoy-ing tremendous growth in its eCommerceinitiatives, doubling their Internet sales from250 to more than 500 units per month whilecutting their cost per sale from $340 per carto only $210.

How has the Rick Case Automotive Group

achieved incremental sales and a boost inprofitability during this growth period? Onekey to recent success at the Rick Case Auto-motive Group was their switch in technologyand training vendors. The group put togethera new eCommerce strategy that combines thepower of search engine marketing, searchengine optimization, and e-mail campaignsto increase traffic. Their new e-marketingstrategy, complete with new Web site tech-nology and design, helped generate an aver-age of 5000 leads per month. Theyre evenselling an additional 250 units per month outof their eCommerce Department.

Rick and Rita share their Marketing BestPractices:

1. Build the right Web site: www.RickCase.com is more than just a Web site; its a Vir-tual Dealership which serves as our own re-gional buying service. Our site along withinnovative SEM strategies drives more qual-ity traffic to the dealership which increasesleads, reduces reliance on third-party leadproviders, and lowers costs.2. Implement the right balance of SEO/SEM: To attract todays shoppers, we rely on

SEO/SEM and our technology partner whoemploys two Google Certified experts tohelp generate more high quality leads. Weuse mix of organic SEO, which costs less buttakes time to establish, and SEM which pro-vides more immediate and predictable results.SEM ads are purchased through competitivebids and are easier to budget.3. Establish a strategy to populate e-maildatabase: Holding our team accountablein both sales and service, we have seen oure-mail address capture rate increase nearly

30 percent. All leads go to our lead manament tool, which makes it quick and easyexecute campaigns at any time.4. Create effective, low-cost e-mail capaigns: With our new CRM tool we reach hundreds and even thousands of prpects and existing customers. Were ablecreate unique mini-commercials that gthe customers attention and prompt themcome in or contact the dealership. If tdont contact us, our highly trained Cteam follows up until they do.

"RickCase.com has unique features such as Virtual Test Drives which provide tcustomer with a multimedia vehicle tour that highlights the unique features of vehicle theyre interested in. - Rick Case, Owner

Rick CaseeCommerce Dept. Sells Additional 250 Units per Month

THE BOTTOM LINE

Rick Case used eCommerce strategy to increase sales from 250 to 500+in just 9 months.

Rick Case Automotive Group is comprised of 14 dealerships throughoutFort Lauderdale, Atlanta & Cleveland.

RickCase.com and new eMarketing strategy generate an average o5,000 leads per month.

The Rick Case Automotive Group used their new e-marketing strategyto cut cost per sale from $340 per car to only $210.

The Rick Case Automotive Group uses SEO and SEM to dominate searchengine results.

Rick Case uses their CRM system to communicate special offers to en

tire customer database.


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Everything is bigger inTexas, including the

results from RedMcCombs digitalmarketing initia-tives. Successfulim p le m e n t a t i o n

of digital market-ing strategies is thekey to success forthe nations top per-forming dealerships.Capitalizing on thepower of digitalmarketing, Red Mc-Combs.com is leadingthe way to success byestablishing Red Mc-Combs as one of thelargest dealerships in

the country. Aftersuccessfully estab-

lishing their presenceon the Web, www.RedMcCombs.com enabledtheir eCommerce Department to increase salesvolume from 40 vehicles to over 500 vehiclesper month! Tony Rimas, director of eCom-merce, provides a summary of what it takes toachieve phenomenal success with digital mar-keting.

FIVE KEYS TO SUCCESSFUL IMPLE-MENTATION OF DIGITAL MARKETING

1. The Right Vision: With the help of a quali-fied automotive Internet specialist, define aclear vision of your dealership goals and spe-cifically how you plan to get there.2. The Right Strategy: Devise a plan that in-volves commitment from the top. In order toeffect change throughout the dealership, youneed management commitment and direct in-volvement from the dealer to the managementteam.3. The Right Technology: Your digital mar-keting strategy should include a cutting-edge,

media enriched Web site and a fully automatedCRM tool to create a 24 hour profit center.4. The Right People: In order to get the rightresults, you need to staff your team with edu-cated, well trained specialists who are passion-

ate about what they do.5. The Right Process: Devise a step-by-stepaction plan to maintain a successful CRM strat-egy. Monitor and measure all of the dealershiplead and prospect activity.

Having the right combination of people, toolsand processes in place will make it happen.Some dealers think they will get results with

only a great Web site, and thats not the cTony Rimas explains: Initially we had a prnice Web site, but we werent getting the reswe wanted. We hired BZ Results who provius with a complete digital marketing solut

including a high-end, custom Web site, seaengine marketing, custom multi-media e-mcampaigns, a CRM tool that automates follup and the training to tie everything togetOur DMS system continues to provide RMcCombs with everything we need to attrsell, and create loyal customers. The proo

in our results.

THE BOTTOM LINE

Since implementing its new Digital Marketing System, Red McCombscontinues to sell an additional 500 cars a month.

With the right people, tools, and processes, Red McCombs has increasedgross profits from $60k per month to over $750k per mo.

Red McCombs uses e-mail marketing campaigns and search engineplacement to increase sales and lower costs.

Red McCombs increased its closing ratio from 3 percent to 19 percenby automating much of its follow-up.

Red McCombs uses Search Engine Optimization to dominate searchengine placement.

Award winning RedMcCombs.com is generating more quality leadswhile building customer loyalty.

Our Digital Marketing System continues to provide us with consistent sults, increased sales and customer satisfaction at a lower cost per sa- Tony Rimas - eCommerce Director Red McCombs

Red McCombsA Texas-Sized Legend: Selling 500 Online Units per Month


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The last three years havebeen quite an ex-

perience for Para-gon Honda/Acuraand partners Brian

Benstock and PaulSinger. Not onlydid the dealershipincrease their ownWeb site sales by aspectacular 1,000percent, they also in-creased their overallsales by over 200 per-

cent according to theirfactory reports. Resultslike these have earnedwww.ParagonCars.

com the Golden Web

Award and three-peat eCRM Dealer of the Year. Whats the keyto their success? In the latter part of 2003, Ben-stock and Singer decided to completely changetheir marketing strategy to leverage the powerof the Web and CRM and take the dealership tothe next level. After the first four months weleft the newspaper and saved over $100,000 inadvertising. The best part is that while our ad-vertising expense decreased our sales increasedby almost 200 percent, said Benstock.

Below Benstock and Singer share their own top10 tips for building an unbeatable e-commerceand CRM strategy and the secrets to Paragonsphenomenal success.

Paragon 9 Keys to Success:1. Start with a Plan: Launching a new Web site,a CRC and an eCommerce marketing strategycan be overwhelming. With the help of technol-ogy partner, we created a detailed action plan forevery step.2. Technology: Find a total system that includesa high-end custom Web site, a suite of multi-me-dia e-mails to drive traffic and a prospecting andCRM tool that automates much of the e-mail

activity. Our Web site generates measurable re-sults: www.ParagonAuto.com.3. Marketing: Traffic exploded immediatelyupon implementing our new system thanks tothe use of advanced search engine placement andbulk e-mail marketing. We select from hundredsof multimedia campaigns to send thousands ofbuzzmails every month to generate measurabletraffic at no additional cost.4. Referral Services: Track your closing ratioand cost per sale by lead source and you caneliminate the poor performing lead providers.We found that the leads from our Web site havethe best closing ratio compared with other lead

sources, although we did keep AutoTrader and a

couple others.5. People: We staff our CRC with people whoseonly job is to sell the appointment and allow thesales person to sell the car.6. Process: Weve been able to increase saleswithout a drastic increase in staff and overheadbecause 75 percent of our follow-up process isautomated with a prospect management tool.7. Pricing: Selling cars on the Internet is notabout giving cars away. If we do not ask fora fair profit we wont get one so we aim to becompetitive while maintaining a fair profit.

8. Training: Training holds the key to sustairesults. To launch our new system, we cducted a managers strategy bootcamp and tsystematically trained everyone in the CRCthe best phone, follow-up and sales skills thedustry has to offer.9. Measure/Manage: Set up automatic repon everything you need to improve your bness: the number of leads by source, resporate and time, appointment percent, show pcent, closing percent, cost per lead, cost sale, etc.

Paragon HondaKeys to Success Generate 200% Sales Increase While Lowering Costs

After the first four months we left the newspaper and saved over $100,000 in vertising. The best part is that while our advertising expense decreased our saincreased by almost 200 percent. - Brian Benstock

THE BOTTOM LINE

Paragons overall sales have increased by almost 200 percent incremen-tally year to date over last year according to their factory reports.

Paragons digital marketing strategy made them No. 1 in Certified Pre-Owned in their region and No. 3 in the US.

Honda Motors Corp reports that Paragons closing ratio increased from9 to 25 percent which translates into a 300 percent higher closing ratiothan the national average.

Paragon has decreased their cost per sale from $500 to $100 per unit.

Paragons eMarketing has increased the traffic on their site from 4,000to 20,000+ new visitors per month.

Paragon has seen a 300 percent increase in the effectiveness of theie-marketing tools which has been the key driver to their overall growth in

new & pre-owned sales.


17/66

As a young boy, HerbChambers used to

ride his bike to alocal dealership

just to look at new

Buicks. Little didhe know that he wasdestined to becomethe largest automo-bile dealer in NewEngland grossingover $1.4 billion insales just last year.

An article was recentlywritten for The BostonGlobe about how HerbChambers passionfor high performance

autos fuels his lovefor the automobile

business. The article featured Chambers col-lection of 15-20 fabulous new and vintage carswhich he loves to drive, and was appropriatelyentitled, What Herb Chambers Drives. Withthe tremendous success that Herb Chambershas accomplished, owning 23 dealerships atlast count, a more fitting topic would be, Whatdrives Herb Chambers?

Herb Chambers purchased his first car deal-ership in 1985 in New London, Connecticut,and within a span of a few years has grown hisenterprise into one of the largest in the coun-try. What drives Herb Chambers is his undy-ing commitment to provide the highest quality

service to his customers, and to operate profes-sionally managed dealerships committed to be-ing leaders in the market areas they serve.

How does Herb Chambers sell an additional600-700 vehicles over the Internet alone andcontinue to provide the highest-quality serviceto his customers? The answer is revealed inthe question through the power of the Internet.Herb Chambers knew early on that the Internetwould revolutionize the way consumers buy

vehicles. Once he found the right technologypartner, HerbChambers.com began to lever-age the cutting-edge technology of innovativehigh-impact Web sites and digital marketingtools like animated multi-media e-mails into

all its dealerships in order to make good on hiscommitment to provide the highest quality ser-vice to their customers.

Herb Chambers utilizes the ever-evolving tech-nology of Search Engine Marketing and SearchEngine Optimization to ensure top rankingamong the worlds most popular search en-gines like Google, Yahoo and MSN. An ef-fective SEM/SEO combination customized totheir needs makes HerbChambers.com highly

visible on the Internet with listings aheadtheir competitors.

To tie it all together, HerbChambers.com reon their fully integrated, fully automated CR

Tool for measurement and reporting. Ycannot manage what you cannot measurexplains Jay Gubala, group eBusiness dirtor. We measure everything and hold regumeetings to discuss our progress and to fiways to fine-tune our processes. The custoized reports give us the information we nethe number of leads by source, response rappointment percentage, show percentaclosing percentage and cost per sale, aGubala.

We measure everything and hold regular meetings to discuss our progress andfind ways to fine-tune our processes. The customized reports give us the informtion we need, the number of leads by source, response rate, appointment perceage, show percentage, closing percentage and cost per sale. - Jay Gubala

Herb ChambersSelling Additional 600-700 Vehicles Online

THE BOTTOM LINE

Herb Chambers is the largest Dealer in New England.

HerbChambers.com sells an additional 600-700 units per month online.

www.HerbChambers.com is a nationally acclaimed award-winning site.

HerbChambers.com utilizes SEM/SEO to dominate the market.

Herb Chambers was named 2005 and 2006 eCRM Dealer of the Year.


18/66

In 1955, on the outskirtsof town off of EastCamelback Road,the dreams oftwo individualsbecome a reality.

Edward Fitzgeraldtogether with hispartner, R. MitchelMcLure, estab-lished a dealershipthat was destined to

become one of thelargest automobilefranchises in the Unit-ed States. It all beganin an old farm house

which served as theshowroom and office, with a tiny shed outback that doubled as a makeshift garage andmake-ready area. In spite of such a mod-est beginning, Courtesy Chevrolet, locatedin Phoenix, Arizona is now leveraging thepower of the Internet to dominate the marketin the Valley of the Sun.

Courtesy Chevrolet Vice President andDealer Operator William Gruwell has beena partner in the business since 1981. Uponthe passing of Fitzgerald in 2000, Gruwell

became a partner with Mrs. Fitzgerald, andtoday they employ over 400 staff members,all of which have helped to build CourtesyChevrolet into the icon of success that it istoday. In recent years, William Gruwellssons, Mark and Scott, have worked in sales,and are now used and new car sales manag-ers, respectively.

The Business Development Center at Cour-tesy Chevrolet, under the direction of RalphPaglia, sets the pace in the automobile indus-try today because of their awesome success

in digital marketing. The foundation of theBDC at Courtesy Chevrolet is a success-fully implemented Search Engine Marketingstrategy along with a cutting-edge technol-ogy rich Web site. Together the combina-tion promotes and drives all of their profitcenters within the dealership. Paglia usestargeted banner campaigns as an effectiveonline marketing medium that allows Cour-tesy Chevrolet to market directly to peopleliving within the geographic areas aroundtheir dealership. Our main goal is to bewhere our customers are and try to capture

them before they fall trap to third party leadproviders who sell our leads to competitors,Paglia adds. Our ROI has gone up, our costper sale has dropped, and our traffic and in-

cremental sales have skyrocketed. In onemonth alone, HouseofCourtesy.com gener-ated an additional 384 units with a cost persale ranging from only $125 to $200.

When asked to name the single most impor-

tant factor in launching a successful BDScott Gruwell tells us, If you cant genertraffic, the BDC will be an expensive fure. Courtesy relies on CRM tool buzzt

for e-mail marketing and search engine mketing to generate more traffic. Our ndigital marketing strategy and high-end mdia-enriched Web site designed by BZ sults have increased our leads by more t

400 percent, adds Gruwell.

Courtesy ChevroletExcusing the Competition: Selling Additional 384 Units in One Month

Our new digital marketing strategy and high-end media-enriched Web site haincreased our leads by more than 400 percent.- Scott Gruwell

THE BOTTOM LINE

Courtesy Chevrolet uses HouseofCourtesy.com to promote all of theprofit centers within the dealership.

Courtesy Chevrolets BDC helped sell 384 extra cars and generate $582kin one month.

Courtesy Chevrolet consistently recognized as one of the top Chevydealers in the United States.

Courtesy Chevrolet was named one of the Top 10 eCRM Dealers of theYear 2004, 2005 and 2006.

Courtesys Web site and BDC took them from 40 sales to 384 sales aftera two-year period.

Courtesys cost per sale ranges from $125-$200 since installing their

new marketing and BDC system.


19/66

Dave Smith is breaking

the mold. Dave

Smith Motors is

located in Kellogg,

Idaho, a small ruralmining town with a

population of 2,400.

With technology cre-

ated in-house, Smith

is using the power

of the Internet to in-

crease sales and prof-

its - and increase they

did. His efforts have

yielded Dave Smith

Motors the recognition

of being the larg-

est Dodge ChryslerJeep Dealer in the world for the third year, and

the largest GMC Dealer in the Northwest. Dave

Smith Motors is selling over 400 Internet-lead

vehicles a month with CRM technology that

he developed and implemented. But for Ken

Smith, president of the dealership, size doesnt

matter. His aggressiveness and creative mind

has helped the dealership he took over from

his father grow to a $250 million business in a

county of only 14,000 people.

In the early 1980s Dave Smith developed the

one-price system and continues today with

this hassle-free buying philosophy. Smith

draws customers from as far away as Alaska,

California and Colorado because they all get

the same bargain-basement deal - no haggling

over discounts. When the company first got

started with the Internet and CRM, its approach

was to sell at a price lower than MSRP-plus,

so it started its own pricing system. The com-

panies had about 10 computer programmers at

one time punching numbers to automate pric-

ing to give customers an immediate, automated

price. They decided that they wanted to beahead of the competition and ahead of the mar-

ket technologically as long as they could. Ken

says, When the Internet came about around

1992 we decided we wanted to be the dealer

in the Internet field. At the time we started, we

werent doing much Internet business, and we

werent sure where it would take us. But we did

know that if we could be first into it and could

keep updating our Internet sites and keep on

progressing with it, we might succeed.

Thats why we developed our own system, be-

cause at that time there werent any lead-gener-

ating/follow-up systems available on the mar-

ket. I then put in a full-out press on developing

a Web site and then started developing our

Lead Rocket. Today its a completely different

system than what wed originally developed.

Dave Smith Motors system also has a CRM

tool to help track leads. It requires site visitors

to provide extensive information before they

can submit the request, which helps get bet-ter-quality leads. Lead Rocket time and date

stamps the leads, and then turns them over

to the Internet team manager who distributes

them among the 25 dedicated Internet sales as-

sociates. Overflow leads go to the other sales

associates in the main showroom.

Lead Rocket also helps management track C

All sales associates must maintain a minim

of 95 percent customer satisfaction score.

Dave Smith Motors, they expect high sco

which means associates have to take c

of the customer. As an intranet system, L

Rocket lets anyone within the dealership se

electronic messages throughout the store. T

system features in-house classified ads, lists

accessory prices and phone numbers for all eployees. And, because the system is tied i

their phone system, they know who the ca

is when they phone and which sales associ

theyre working with.

Dave Smith MotorsNo. 1 Dodge Chrysler Jeep Dealer

THE BOTTOM LINE

Dave Smith Motors is the worlds largest Dodge Chrysler Jeep Dealer forthree consecutive years.

Their Web site helps them sell more than $600,000 a month in acces-sories.

Their system includes a CRM tool to capture information and stay incontact with the customer.

Dave Smith Motors is the largest GMC Dealer in the Northwest.

Dave Smith Motors has used the Internet and CRM to help grow its op-eration into a $250 million business.

The dealership has a team of dedicated Internet sales associates to

handle all inbound leads.


20/66

Within the last year,

Harvey Autos has

increased its on-

line sales by 70-80

additional units permonth, a healthy

increase from sell-

ing only 5-8 units

per month just a few

short months ago.

This significant in-

crease is due to the

implementation of a

new digital marketing

strategy. This small

dealership in Bossier

City, Louisiana is

now on their way tostaking claim of being the largest on-line sales

dealership in Louisiana.

Harvey Autos hired an Internet marketing con-

sulting firm with automobile expertise to de-

sign and create their site based on the needs and

interests of consumers in their region. Gloria

Williams, eCommerce director, explains, Our

technology partner provided us with a cutting-

edge Web site fully equipped with state of the

art features. Our new Web site serves as a digi-

tal marketing center that drives traffic straight

to our showroom. We used the tools and train-

ing provided by our new partners to establish

HarveyAutos.com as the primary Internet buy-

ing service for our region. Our new Web site is

key to generating Internet leads, phone traffic

and showroom traffic while promoting all of

our profit centers within the dealership.

Harvey Autos needed to find an effective way

to lead their new-age customers to their Web

site instead of to their competitors Web sites.

Gloria adds, We also take advantage of ad-

vanced Search Engine Marketing to promoteour Web site. SEM ensures that we get listed

ahead of competitors on the popular search en-

gines. I dont know exactly how the formula

works, but I know its effective. We have seen

our leads more than double and our phones are

ringing off the hook!

Results are what effective Web sites are all

about. Our Web site has consistently con-

verted five to six times more visitors into leads

over our previous site. Because our site was

created by experts who understand the car busi-

ness, it builds value in our dealership. Another

nice feature is Virtual Test Drive which gives

the consumer a multi-media tour of the vehicle

they are interested in. Whether the customer is

a high-speed or dial-up user, the tours engagethe consumers and intimately connect them to

the vehicle. Other features that our customers

comment on are the unique Why Buy buzz-

mails or Trade In Tutorial micro Web sites

that can be sent to our customers with links to

our specials, coupons and contact forms that

keep the customer engaged in the buying

cle, added Williams.

Now that the BDC Team at Harvey Auto h

good handle on Internet and incoming phopportunities, the game plan is to grow ad

tional opportunities with Search Engine M

keting. Their goal is for 100+ units alone fr

the BDC Department and are expanding

department with another staffer to help w

the load.

Our technology partner provided us with a cutting-edge Web site fully equipped w

state of the art features. Our new Web site serves as a digital marketing center t

drives traffic straight to our showroom. - Gloria Williams, eCommerce Director

Harvey AutosBecoming No. 1 Online Dealer in State by Selling 70+ Additional Units/Month

THE BOTTOM LINE

Harvey Autos uses mass Search Engine Marketing to attract new buyersbecause it is inexpensive and produces a high return.

Harvey Autos has trained their people on a successful process to increase their appointments and show ratios.

Harvey Autos uses a customer management system to manage andmeasure all of their customer activity.

Harvey Autos uses their CRM tool to automate their e-mail and followup activity.

Harvey Autos uses Internet marketing to improve their profits in sales &service departments while reducing overall advertising costs.

Harvey Autos has dominated the search engines to create a regiona

buying service at www.HarveyAutos.com.


21/66


22/66

Arouse Emotion,Dont Sell Logic

TomHopkinssts fos ls ms sf fis

sales and training solution

22 www.sellingsuccessonline.com

What is the emotionalprocess that leads tothe purchase of a new

vehicle? It begins witha new development inthe buyers self-image.

That is, the buyers see themselves in a new

way as the owners of that new car, truck,van or SUV and all the status it affordsthem.

If the projected vehicle purchase is smallin relation to the buyers income, the self-image change need only be small. But if thepurchase is a large one, the change in self-

image that makes the purchase possible will

be large. Such a change can come about veryquickly, though. It can take place within afew minutes, or even within a few seconds.

Champion automotive sales people are adeptat spotting these changes in self-image as

they occur during sales presentations. Theyare quick to reinforce the buyers realizationthat they can have, enjoy, deserve, need andare worthy of the marvelous new vehiclethey like. Do that, and they wont just like it;theyll want it, need it and realize they cantget along without it then theyll buy it.

First, be genuinely interested in doing yourbest for them. Once they see that youreon their side, theyll begin to like you andtrust you. Then, they will tell you whattheyre seeking to accomplish. Rise abovethe limitations of your own tastes and

preferences. Recognize that whats right foryou isnt right for everyone, and make anintense effort to see the world through yourcustomers eyes.

Second, use your expertise to guide yourcustomers to the best solution, which your

inventory provides, for them.

Third, wait for positive stimulus from yourcustomers. If you believe theyve found

something that helps them satisfy their needs,

reinforce their image about that purchase.Avoid worn-out phrases theyve heard a

thousand times. Stay away from the wordsclients stopped believing years ago.

Concentrate on your customers. Saysincere and positive things that reflect their

uniqueness, and youll not only make sales,youll create clients wholl send you referralsand buy from you again.

The key is to be disciplined to wait forpositive input. Unless you do that, youll findyourself going on and on about something

they dont like, and before you know it,

youre caught in a web of obvious insincerity.Stick to the facts.

The mere fact that youre a sales person willarouse their negative emotions and theyllwant to emotionally fight you. You need

to get their emotions focused on their ownneeds and desires in relation to the vehicletheyre interested in. Then, youll build theiremotions to where they will have convincedthemselves of the decision to own.

To get a thorough education in the emotions

that sell, watch television commercials,

especially those aimed at children. Logicin sales is a gun without a trigger. You cantwirl it all you care to, but you cant fire it.Emotion is the trigger. You can hit the targetwith it. Every time you generate anotherpositive emotion, youre pulling the trigger

on another accurate shot at closing the sale.

No skill that you can acquire in sales willenhance your earning power more thanlearning how to arouse emotions in yourbuyers in ways that are positive to the sale.The exact words that you use will depend on

your offering, your personality, your buyersand market conditions.

Some clients will see a new feature such as

the GPS systems and find no reason to have

it other than the fact that suddenly they wantit. Its the latest and greatest. None of their

friends have it. They start to feel excited,important and rich in thinking that theyllbe ahead of the crowd by being the first intheir group of friends to own it.

Or, they might be feeling the pull to get itbecause their friends already have it andcant stop talking about how cool it is or howmuch time it has saved them.

As you work at developing the skills to evokeemotions in your customers, always keep

that concept in mind. You can destroy sales

as rapidly as you can create them through theclumsy use of, or the lack of control over,the emotional setting. Also remember thatyour actions, manners, words (how you saythem), your grooming and your clothes areall things that trigger emotions in your future

clients whether you want them to or not.

Theres no way around it. People willreact emotionally to you. It is importantnot to have them react with fear, anger ordisgust. To see some sales people approachclients as though they had just fallen off the

garbage truck, youd swear that they dont

realize that future clients have feelings, too.Clients suffer the effects of fear when asales person comes on too strong; clients getangry when a sales person patronizes them;clients feel disgust when a sales person isnon-professional. Play the odds. Always

be professional and keep their emotions inmind when meeting new people. Do that andyoull close more sales.

World-renowned master sales trainer Tom

Hopkins is the chairman of Tom HopkinsInternational. He can be contacted at866.347.6148, or by e-mail [email protected].


23/66


24/66

Continuous Learning

BrianTracysts fos ls ms sf fis


Throughout thedeveloped world, wehave moved from an

era of manpower to anera of mind power. Wehave moved from the

use of physical muscles to the use of mentalmuscles. Today, the chief sources of valuein our society are knowledge and the abilityto apply that knowledge in a timely fashion.In the information age, knowledge is king,and those people who develop the ability toacquire new and better forms of knowledgethat they can apply to their work and to theirlives will be the movers and shakers in oursociety for the indefinite future.

When you learn and practice the techniques

for rapid learning, when you join the learningrevolution, you will learn how to unlock theincredible powers of your mind. You willlearn how to become smarter and faster thanever before. You will learn how to become amaster of your fate, rather than a victim ofcircumstances. You will learn how to takecomplete control of your present and futuredestiny so that you can accomplish andachieve anything you want in life.

Knowledge is doubling every two to threeyears in almost every occupation andprofession, including yours. This means that

your knowledge must double every two to threeyears for you to just stay even. People who arenot aggressively and continuously upgradingtheir knowledge and skills are not stayingin the same place; they are falling behind.You see this demonstrated all over the placewith massive lay-offs, declining wages andgrowing insecurity in the workforce. You seeit in the increasing bewilderment and despairon the part of people who are being displacedfrom low-skill jobs which have either movedoverseas or disappeared altogether. We arein the midst of a societal revolution whereunionized industrial workers are becominga smaller and smaller percentage of our

workforce each year.

As recently as the 1950s and 60s, it wascommon to believe that you finished yourschooling, got a job with a large company andstayed with that company for the rest of yourlife. This was based on the old paradigm oflearning. In this old paradigm, life was dividedinto three parts. First were your learningyears, during which you got your education,however extensive or limited. Then came yourearning years. This was the period of timeduring which you worked for a living. Afterthat came your yearning years. This was the

period of retirement which would be paid forby Social Security, savings and pensions.

Today, with workforce requirements changingso rapidly, you must continually be askingyourself, What is my next job going to be?You must also be asking yourself, on a regularbasis, What is my next career going to be?

Imagine for a moment that your entirecompany or industry vanished overnight andyou had to start all over again in an entirelynew business doing an entirely different

job. What would it be? And dont think thisquestion is speculative or that it applies tosomeone else. It is a question that you willprobably have to deal with, perhaps far soonerthan you expect. In thinking about your new

job and your new career, here is the mostimportant question of all: What do I have tobe absolutely, positively excellent at doing, inorder to earn an excellent living in my new

job and my new career?

The solution to almost every problem inthe world of work is to learn and practicesomething new and different. When you learnhow to use the incredible power of your brainto absorb and apply new ideas and information,you will be able to lead the field and rise to thetop of any profession or occupation.

Heres another question for you: What isyour most valuable asset? In terms of cashflow, what is the most valuable thing youhave? Well, unless you are very rich, or havea family trust account, your most valuableasset is your earning ability. It is yourability to apply your knowledge and skill in atimely fashion to get results for which otherswill pay.

All your education, knowledge, experience,reading, training and work have contributedtoward building up your earning ability.According to the research, the so-calledrich are almost invariably people who

started from common beginnings, often withgreat disadvantages, and then overcame thosecircumstances by investing an enormousamount of time and effort on developing theirearning ability. And you can do the samething, starting today, or at any time.

Management consultant Peter Druckersays that the truly educated person todayis a person who has learned how to learncontinuously throughout life. Tom Peters saysthat continuous learning may be the only realsource of sustainable competitive advantagefor individuals and corporations. And Peter

Senge, who wrote The Fifth Dimension,says that only learning organizations, thoseorganizations that are capable of taking in new

information, adapting it and using it fasterthan their competitors, will survive in the fast-changing, competitive world of tomorrow.

The more you know, the better you will beat solving problems and getting results forwhich people will pay you. The more youknow, the more freedom and opportunity youhave. The more you learn and the faster youlearn it, the more rapidly you move upwardand onward in your career and in every otherarea of your life.

Between where you are and where you wantto go, there is almost always a gap, and in

almost every case you will find that you canbridge this gap with knowledge and skills. Inorder to get from where you are to your goals,you have to learn and practice something newand different. You have to learn new skills andabilities. You have to learn new attitudes andmethods. You have to learn new techniquesand practices. If you want to be a better parent,you must learn and practice better parentingskills. If you want to be a better spouse, youmust study and practice relationship skills. Ifyou want to earn more money, you have todetermine what it is that people will pay moremoney for, and then get busy learning and

practicing those behaviors.Specific knowledge and specific skills willbecome obsolete with the passing of time,but learning how to learn is a permanent skillthat you can use all the days of your life. Thepeople who join the learning revolution, andwho learn how to learn faster, like those peoplewho first learned how to operate computers,or learned how to become excellent in theirfields, will be able to earn more in one or twoyears of work than the average person earns inperhaps five or 10 years.

By joining the learning revolution, you will

enhance every area of your life. You will beable to help your spouse and your childrenunlock and realize more of their individualpotentials. You will be a better friend inhelping your friends use more of theirabilities. And you will be a better manager,developing the skills that will enable you toget far more out of yourselfandother peoplethan ever before.

Brian Tracy is the chairman and CEOof Brian Tracy International. He can becontacted at 866.300.9881, or by e-mail [email protected].



25/66


26/66


Kings ToyotaThe Biggest Showroom in the Universe

PatrickLucks fos ls ms sf fis

special feature

january 2007

While rain, snow, heatand cold are enemies ofmost dealerships, KingsToyota in Cincinnati,Ohio, found a wayaround the weather

hey moved their new car lot indoors.

We were out of space at our old facility,id Gerry Carmichael, the general managerKings Toyota. While looking for an answertheir problem, an unusual opportunity

esented itself when the Kroger grocery storecated near the showroom closed.

addition to the potentially huge sales floord increased visibility from Fields Erteload one of Cincinnatis major streets theea of total climate control also appealedthe Southwestern Ohio dealership, where

mperatures and humidity in summer are aspressive as the cold and snow are in winter.

armichael said the idea of taking over the,000 square-foot facility and creatingmething special made sense on a lot offferent levels.

ot that there werent challenges to thatsion at first. The first hurtle was wrestlinge lease away from Kroger, Carmichaelid. The second hurtle was getting Toyota toree to the plan. They were sort of iffy aboute whole proposition. When you looked atis place when it was the old Kroger, it wasnd of run down.

armichaels vision eventually won Toyotaer, though, in time to face the largestallenge. The biggest hurtle was Deerfield

ownship, and getting the buy-in of the localthorities, he said. Lets face it havingr dealerships out on the main drag isntery townships dream come true.

Kings Toyota eventually overcame theobjections, though, and on July 28, 2006, thenew facility, boasting 150 vehicles under oneroof, officially opened.

Customer reaction has been off the charts,Carmichael said. People are really impressed,and in our surveys with Toyota, people aregiving us glowing reviews. I think what theylike the most is that its very comfortable. Wetry to keep things low-key so customers dontfeel like people are jumping all over them. Itsa very relaxed atmosphere.

The central lounge area contributes to thatfeeling. It offers free Starbucks coffee,snacks, a large-screen TV, videogames tooccupy children, and computers for customers

who want to do research before they buy.

The dealership also has four 106 high-definition televisions at various points inthe showroom, and they serve a multitudeof functions. The televisions segregate theshowroom between hybrids, trucks, cars andSUVs, Carmichael said. In normal mode,the screens show general infomercials aboutToyota products. At each station, a salesperson can put in a DVD if a customer wantsto see information about a specific model,he said. Thanks to directional speakers, noone outside the monitors zone can hear thepresentation. The customer can sit down andget a great presentation every time, he said.

Not that the monitors are all business in atown proud of its NFL team. Last Sundaywe turned on the Bengals game on all fourmonitors, said Linda Caruso, one of thedealerships new car managers. The gamekept the atmosphere relaxed and inviting. Wehad to wait to sell cars because the customerswere watching the game, and it was nice forthe employees who were here to be able tokeep an eye on the game, she said.

The size of the facility has allowed KingsToyota to offer services that it never wouldhave been able to accommodate in a smallerarea, including offering a dedicated accessorycenter, a large indoor clean-up area and anine-vehicle indoor delivery area.

The delivery area is surrounded by the financeoffices, and is designed to keep the customersmind at ease. The nice thing is that if yourea customer sitting in there doing your finalpaperwork, youre looking out at your car,which takes a lot of stress away, Carmichaelsaid. It makes for a really nice situation.

The 150 cars kept on the showroom floorshowcase the vehicles Toyota offers in all theirvariety, including colors and options. And,since the area is already secure, the cars can bekept unlocked, allowing customers to examinethe interiors freely in climate-controlledcomfort. Instead of desks for individual salesstaff, tables are spread throughout the flooramongst the vehicles, each equipped with theinformation the sales people need to answerquestions or start the sales process.

The average Toyota buyer is very educated,and know what they want when they comein the door, said Brad Cohen, another newcar manager for Kings Toyota. The last partof the decision is the color they want andthe equipment. They may know they want aCamry, but they might not know which Camryor what level of accessories they want. Thisgives them the opportunity to look and see.

The normal barriers are brought downhere, Cohen said. When we sit down with acustomer after the buying process, thats oneof the things that they stress how easy and

comfortable it was.

We have 40 sales people here, Carusosaid, but because they can all spread out,sometimes we look out and say Do we haveanyone out there? Thanks to a state-of-the-art phone system, designed by Toshiba andSpectraLink, employees stay in touch.

This system is one of the first in the country,Carmichael said. Nobody needs to be lockedto a desk anymore. Everyones mobile.

Kings Toyotas former location has beenconverted into a used vehicle facility, which

had been combined previously. Probably themost pleasant surprise of the whole deal ishow much its helped our used car facility byseparating them, Carmichael said.

This has translated directly into new sales forboth lots. We saw a 26 percent increase innew car sales right off the bat, which wevebeen able to maintain, and weve seen abouta 14 percent increase in used car sales,Carmichael said. We sell an average of 400new cars since weve been here, up fromabout 300 sold before the move.

One test the dealership met was that since thenew and used facilities were now separate, theprocess of getting trade-in cars appraised hadto be revamped. Getting that whole processmapped out has been one of the biggestchallenges we faced, Carmichael said.When the car comes in, we have a lot techtake the car over to the used vehicle facility tohave a manager appraise it while the customeris looking here, and then bring it back. Theappraisal is ready by the time theyre ready totalk. Were big on the pre-appraisal process.

In addition to on-site sales, the move hasalso helped generate added sales online.We delivered 61 vehicles last month, saidJohn Gonzales, the dealerships Internet salesmanager. We jumped 35 percent since wemoved in here. Its been kind of crazy.

In addition to increased visibility awareness the dealership now has tToyota showroom in the nation credits his departments work ethincrease in online sales. Toyota reanswer to online inquiries within but I require my guys and myself twithin an hour. A lot of dealershanswer or it takes them two or threethat time, the lead is cold and dead.

Weve already been one of the largedealers, but now you can see thcustomers can see were one of t

dealers, Cohen said.

People want to work for a winning Kings Toyota is attracting sales profrom all over the area. Weve neverof turnover, and weve had a lot ofsales people come to work here, Csaid. At this point, were overwhrequests from sales people who wanto work here. You can stand out freeze, or you can come in here wherand comfortable. That was true lastas well. Do you want to be out in 9weather with 100 percent humidity?

Retention is very good, but it wbefore, Caruso said. We have salwho have been here for years. Aboof our staff has been here long termthird has been here for a while, andthird have been added because of th

So whats been the reaction froToyotas competitors? Theres a heard from a couple of people, Csaid. Kings envy.

Gerry CarmichaelGeneral Manager

Linda CarusoNew Car Manager

Brad CohenNew Car Manager

JohnInternet Sa

1

2

3

4

1;KingsToyotaExterior2;ResearchComputersforCustomers3;Central

LoungeforCustomersandChildren4;Show

roomEntrance

5;106High-DefinitionTelevision6;Oneof

Many,150Vehiclescanbedisplayed7;

DeliveryArea8;FinanceOfficeSurrounding

DeliveryArea

5

7

6

8


27/6628 www.sellingsuccessonline.com

Increase Your Online Profits by RewritingYour Used Car Managers Job Description

DavidKainsts fos ls ms sf fis

marketing solution

Perhaps the greatestmystery to me whenit comes to managing

Internet operations ata dealership is why theused car manager is not

in the middle of the mix. Over the past severalyears it has become apparent to me that dealerswho have their used car managers activelyinvolved in online marketing and sales havebenefited more than other dealerships. Thisdoes not mean that most used car managersare not working hard and using imaginativeideas to market and sell their vehicles ofcourse they are. I just think if they apply theseefforts in the online world, their rewards insales and profits will be even greater. Letsreview two key tasks and how the Internetcan increase results in both areas.

Inventory AcquisitionThere is no more important task the usedcar manager has than that of inventoryacquisition. Yes, sales people sell cars, butyou cant sell what you do not have (well,most of the time anyway), and the used carmanager is typically charged with finding andpurchasing or trading for the vehicles that areeventually sold by the sales team. For yearsthe pre-owned inventory at our dealershipwas dependent on the next potential trade-in or the Thursday auction. I can remember

telling plenty of prospects that I would begoing to the auction on Thursday with a listof vehicles I needed to buy and I would beglad to hand-pick one for them while Iwas there. Prospects truly appreciated thisapproach and on many occasions I actuallywas able to match their needs to an actualvehicle, but more times than I care to countI came home empty handed and frustratedboth myself and the prospect. Prospectsappreciated the full-service approach andstill do today. This is still a solid approach,but with todays open inventory architectureof the Internet, the customer can pretty well

complete this task themselves - unless theyfind it is better to work through a trusted andreliable dealership with an Internet-orientedused car manager.

Imagine saying to a Saturday-morningprospect that you are going to the auctionnext Thursday and to wait until then to see

if by chance we find a vehicle that fits theirneeds. I would feel more confident if theused car manager came in on a turnover andcompleted an interview with the prospect,found out their likes and dislikes and thenasked them for a few minutes while theychecked out their Inventory Networkfor vehicles they were looking for. TheInventory Network is in actuality the sameInternet that the prospect can access eachand every day. The difference is the prospectlacks the experience and the confidence inmany cases to do what a used car managercan do in minutes. Once a vehicle that fits thebill is located then the presentation can besomething as simple as We have found onethat closely matches what you are looking forat one of the dealers in our network. We willgo over all the details with you now and makesure it is what you would purchase if it meetsyour condition requirements. If the prospectlikes the vehicle and you can agree on aprice, then the next step is similar to locatingor swapping a new vehicle. We will go andinspect the vehicle and make sure it meetsour condition criteria and only if it does willwe bring it here for you to test drive. All weneed now is to write it up, get your depositand schedule a time for you to come back to

see the vehicle.

This is happening all over the country withdealerships who use the Internet as a catalystto sales, and it can take place at everydealership that decides they want to activelyuse the Internet to their advantage. Someactive Internet dealers have gone so far asto set up networks with other dealers wherethey purchase inventory of this nature for aset margin, while others are using serviceslike lanelogic.com.

Inventory Display

A huge advantage of the Internet is the factthat your display area is virtually unlimited.Once a dealer uploads their inventory to theirown Web site, Cars.com, AutoTrader, eBay

or any number of quality online classifiedsites, their inventory is on display formillions of potential prospects. At this point

it is a beauty contest, and often times thedealers who provide the best display get tothe prospect first because their vehicles lookand sound the best in the listings. Compareit to searching for a house online. If a realestate agent provides quality photos and aquality description, even if the price is a bithigh, many prospects will want to schedulean appointment to see if it is as nice as itlooks and sounds. I have said many timesabout homes that if it really matches thedisplay then I would be willing to pay more.I am certain your online prospects are sayingthe same thing. Given that most used carmanagers are responsible for their inventorydisplay, I would recommend tasking themwith making their online display the best inthe market. Its not hard to do as you willfind out with a quick look around the leadingonline classified sites. Most dealers do noteven write a description because the VINdecoder does it for them. Imagine your salesperson as a walking and talking VIN decoder

if they simply recited the equipment to theprospect, they would likely not peak theirinterest and sell the vehicle. Make yourdescriptions come to life and engage yourused car manager to put the same effort intodescribing it as they do when they return

from the auction and show off the car to thegeneral manager or dealer.

Its as Simple as it SoundsNo rocket science here just help yourused car manager achieve their goals andyour goals by engaging the Internet in theireveryday tasks. Its happening all around youand I dont think you will want to miss out onthe benefits.

David Kain is the automotive Internet

training specialist at Kain Automotive, Inc.He can be contacted at 800.385.0095, orby e-mail at [email protected], or visit www.kainautomotive.com.


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Receive a daily feed of consumers in your targmarket that had their credit checked for auto loan approval within the last 24 hours. Tharight, these consumers have just had their crechecked within 24 hours, specifically for auto loan approval!

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Sell Whatcha Got

JeffMorrillsts fos ls ms sf fis


New Cars

You can neveravoid dealer swaps

completely, but youneed to minimizethem, because:

While youre waiting to swap, yourcustomer may cancel and/or find abetter deal elsewhere.

Swaps take a ton of administrativetime from your managers and officestaff.

Other dealers dont care for their carslike you do, so swapped cars come inwith scratches, missing keys, etc.

When called for a swap, otherdealers cherry pick your inventory,

occasionally forcing you to do anotherswap next week for the rare car yougave up today.

More cost in fuel and drivers, and moreheadaches: In eight years, accidentshave totaled two of our brand new carson swaps.

Heres how to manage the most commonreason for swaps - color.

Early in investigating, ask your

prospect if she prefers light or darkcolors, rather than whats yourfavorite color? This gives you moreflexibility.

When asked, What colors does itcome in? answer, We have thefollowing colors in stock.

When asked if you have a color thatyou dont stock, resist the temptationto answer with the overeager but wellget you anything you want. Manyfolks will take a second- or third-choice color if you dont go out of yourway to promise the first choice.

Have phrases ready for when you needto switch someone off a first-choicecolor. Examples:

White is what most folkschoose when they cant getsilver.

Black is impossible to keep

clean. Wouldnt you prefer alighter color?

Silver is great for resale

because its acceptable to almosteveryone.

You get the best deal on thein-stock vehicle because thereare no expenses associated withswapping it in.

You like the interior color, right?Well thats what you see whenyou drive.

In the end, if you cant avoid the needto swap, make sure you get a second-choice color from the customer soyour deal doesnt fall apart if you cantget the first.

Used Cars

There is no feasible way to swap for a usedcar, so if you fail to sell whatcha got, youwont sell anything at all.

If you dont have exactly what aprospect wants, avoid telling her thatyoull give her a call when the perfectcar comes in. The perfect car willnever come in. While waiting foryour call, your prospect will buy animperfect car elsewhere.

Identify the objection(s) to your carand overcome them. If you cantovercome the objection, then put theobjection into context. You wanteda late-model, low-mileage Outback,automatic transmission, with a clothinterior. The one I have in stock hasa leather interior. But youve found agreat sales person, a great dealershipwhere you feel comfortable, anda great car at a great price that haseverything you want except one thing.Do you reckon youre about as close tothe perfect car as youre gonna get?

Discount. Discounting should be

the last resort, because it costs a lotcompared to good sales technique,which is free. However, if you cantfind the perfect car, then maybe youcan find the perfect price. If wecould save you $500, would that makeyou feel better about taking the leatherinterior?

Jeff Morrill is co-owner of Planet Subaruin Hanover, Mass., and Planet ChryslerJeep Dodge in Franklin, Mass. He can becontacted at 866.872.8699, or by e-mail at

[email protected].

Thecomp

etition

Kick Off Presidents' Day And

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30/6631january 2007

TonyDupaquiersts fos ls ms sf fis

f&i solution

Stop Negotiatingin the Business Office

The business officeis not the place tonegotiate. The benefits

and services that aresold there shouldnot be subjected to

negotiations; however, in too many instances,there is a need for payment relief.

Extending the term of the loan is one wayto offer payment relief. Although a lowerpayment will be achieved with a longer term,this technique is usually not in the customersor the stores best interest. Cash down fromthe customer is your best bet and the first placeyou should go with a customer who needspayment relief. Once the customer tells youthat they would like some of the benefits you

are offering, but they need a lower payment,calculate how much cash would be requiredto achieve that payment. Cash is king in ourindustry. I know that every sales person walksin your office telling you they have no moneydown; however, you are the best closer in thedealership, and you have the ability to havethe customer put additional money down.

Let your customer know that their personalinvestment in their new vehicle has fourprimary benefits. They are: lower payment,the ability to build equity, a faster tradecycle and lower loan cost. After you tellthem the benefits of cash investment, ask thecustomer which is most important to them.The majority will say lower payments. Yourreply to the customer is this, Since you toldme that having a lower payment is importantto you, an additional investment of ____ willput you closer to the payment you desire, andyou can have the benefits you want.

You must isolate what is important to thecustomer, because if the customer does notsee the benefit, it is only an expense. Althoughcash is king, not every customer will haveadditional investment available.

The product most often sold in the businessoffice is the service contract. Unfortunately,it is also the product that is most-oftennegotiated. Many business managersprice a service contract from cost-up. Thisleaves minimal profit after negotiations. Irecommend starting at the recommendedretail price. Starting at full retail allows forrelief while still holding acceptable profit.

Another avenue of payment relief is creditdisability coverage. Since credit insurancerates are set by the state, price is not negotiable.Always offer your customer coverage withthe shortest retroactive period available. Once

the customer has agreed to participate in thebenefit in principle, all you have to do is meetthem with the payment. In most states, you

have the ability to sell a 14-day and a 30-dayretro period disability program. If the 14-dayretro period is cost prohibitive, move theprogram to a 30-day retro period.

Remember: When payment relief is needed,start by illustrating the benefits of cash

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investment. You will enjoy increased grossprofit and product penetrations when thecustomer sees the benefit of cash investment.

Tony Dupaquier is the director of F&ITraining for the Automotive TrainingAcademy. He can be contacted at866.856.6754, or by e-mail [email protected].



PhilSura

Targeted Web Video andYour Ad Strategy, Part 1

sts fos ls ms sf fis

marketing solution

Step I. Getting the

Customer to Your

Web Site is Critical

The vast majorityof customers usethe Internet to look

for automotive options in the market.Customers are attempting to determinewhere they should invest their time. Evenif auto shoppers are inspired by a half-pagenews print ad, they will still likely use theInternet to gain additional information aboutthat specific dealership by visiting the Website before coming into the dealership. Thedealers that have a strong presence with thesearch engines spend time and money toaccomplish this. All dealers should have an

understanding of the basics of search engineoptimization and search engine marketing inorder to stay competitive.

In Internet marketing, search enginemarketing, or SEM, is a set of marketingmethods to increase the visibility of a Website in search engine results pages (SERPs).The main methods of SEM, as defined toWikipedia (http:// www.wikipedia.org), are:

Search engine optimization attemptsto improve rankings for relevantkeywords in search results byimproving a Web sites structure andcontent.

Pay-per-click advertising usessponsored search engine listingsto drive traffic to a Web site. Theadvertiser bids for search terms, andthe search engine ranks ads based ona competitive auction as well as otherfactors.

Search engine optimization (SEO) is asubset of search engine marketing, and dealswith improving the number and/or qualityof visitors to a Web site from natural (aka

organic or algorithmic search engine)listings. In effect, SEO is marketing byappealing to machine algorithms to increasesearch engine relevance and, ultimately, Webtraffic. This is analogous to foot traffic inretail advertising.

Step II. Getting the Customer to Move

From a Passive Position to an Active Party

Once the customer visits your site, how doyou communicate your message? Does yourWeb site stand out from every other dealerssite, or does it have the same look as every

other dealers site in your market? Are youcommunicating your latest campaign orevent on your site? How do you display your

actual inventory online? Does a customerget inspired to visit your dealership whenthey see your site? You may have the mostimpressive retail facility in your communitybut if you have a boring Web site, customersmay never see your operation.

Video content allows you to create a strongeremotional message for the customers whoare taking the time to visit your operationonline. Video on your Web site does twothings: (1) More information is retainedand (2) the customers will stay on your

site for a longer period of time. Examplesof dealer Web videos include testimonials ofhappy customers, a message from the owner,a tour of the facility and video virtual toursof the new and used cars. Professionallyproduced video content on your site will helppush the customer from a passive position of

simply browsing the site to a customer morelikely to get engaged in the next step of thesales process. Possibilities for the next stepinclude calling the dealership, sending an e-mail to the dealership for more informationor visiting the dealership in person.

Smart dealers today must develop a strategyto display both their new and used inventorythrough Web video. New car Web videos orvirtual tours can be created by repurposingOEM running footage and can then befeatured on the dealers Web site. This

approach can give a Web car buyer whois researching new car options on the Webthe ability to get information about a new

car from the dealers site without having toleave the site and go to a manufacturers site.Keeping customers on your site is critical,and this is a great way to do it.

In selecting a company to provide newcar videos, it is important that you workwith a company that also has the ability toincorporate and highlight not only footageabout the new car but who can also highlightyour dealerships brand message as well.

Used car virtual tours are important, as well.Some leading vendors of these services can

create these video walkarounds from thedigital pictures. Each video walkaround mayinclude an overview of the features of thatspecific used car, with background music,and a call to action at the end urging thebuyer to come into your dealership or to callor e-mail for a test drive. The call to actionpushes the customer to take the next stepof visiting the dealership or e-mailing foradditional information.

These used car virtual tours are then linkedto a dealers used car display page. Most ofthe major Web site providers are allowingvideo content to be added directly to the usedcar display page. A video icon informs thecustomer of the units that have a virtual tour.

Used car virtual tours can also be linked to athird party such as CarSoup. Data shows thata car with a video tour is likely to be clickedon four times more than a car with onlypictures. These virtual tours can be sent as alink to a customer making an inquiry. Thinkof the impact that video has on a customer.Video is more dynamic, more emotionallyengaging and more interactive. Rememb

autosuccess; courtesy chevrolet awarded ecrm dealer of the year

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