Why Not Paying Attention Is Costing You Money

It’s the last few days of the month and the store is either below the number of sales they should have or they’re close to hitting a unit goal for some stair-step money. The sales manager is pushing everyone. He’s pushing the salespeople to not let any customers walk without not only a turn but also talking to a manager. He’s holding meetings to review all the deals that weren’t made during the month frantically trying to see if any can be revived. He’s listening to phone calls on their call recording service to hear if there were any phone calls that were mishandled and could be deals. He’s combing through the Internet leads to see if there were any deals that they were close on but didn’t make. Every minute of those last days matter. As stress and frustration (mixed with just a little sweat) mount, he’s fielding calls from his GM, possibly his owner and definitely his OEM rep who are continuously inquiring where the numbers are and pushing him to reach his goal, increase sales, and reduce the heat sheet. While the sales manager continues to down Red Bulls and triple-shot lattes, he’s making salespeople call everyone they’ve met this month. He’s throwing out spiffs that are higher than normal. He’s spot-delivering anything that “might” stick and throwing deals against a wall that for the first three weeks of the month he would turn away. The last day of the month comes and goes and it’s time for “the reckoning”. Maybe he made his number, maybe he didn’t. What he does know is that on the last few days of the new month, he’ll be doing it all over again.

Why did I tell this story? Because we all know that this is exactly what happens in a high percentage of dealerships across the country. Depending on ownership/management, some of the same pressures will always exist. This is the car business and no matter what you do, on those last few days of the month, more is expected.  I don’t have a magic solution to all of these problems but I believe that there are things that you can do – whether you’re a Sales Manager or an Internet Director – to avoid a few of these each and every month.

Almost every dealership does two things: use a call tracking service and buy third party leads. Both of these cost money and, in most cases, dealers might as well be lighting that money on fire. Many Sales Managers and Internet Directors don’t bother listening to their staff’s phone calls or looking at what the Internet Managers are doing with the Internet leads that they’re spending a bunch of money on. At least they don’t until those last few days of the month when, most of the time, it’s too late.

Managers should be listening to phone calls and paying attention to their Internet leads daily. I’m pretty sure that this is not an original idea. I’m also pretty sure that many managers agree and have the best of intentions to do so. However, from my experience, I also know that both the story above and the fact that these two things aren’t getting done are, in many cases, fact.

Let’s assume, for a minute, that Mr. Sales Manager truly doesn’t have the time to do some of these things. There is so much floor traffic and deals lined up to be desked that he literally doesn’t have the time to monitor everything. In these cases, the enlightened dealers will outsource some of this monitoring. The unenlightened ones will turn a blind eye… until those last few days of the month when the days magically turn longer and Tylenols transform into Tic Tacs.

For the enlightened ones that are truly under-staffed, help is available for two of the most time-consuming activities I’ve described: call monitoring and Internet lead monitoring.

The first service I would recommend is Phone Ninjas. Their service is phenomenal in not only listening to your phone calls but providing your staff training on how to handle calls through both in-store training and during each lead they review during the month. I have no idea how much the service costs but my guess is that the extra car deal or two you get every month would probably cover that expense.  You can see and hear and example of a call here. [Coaching Review]

The second service is Task Teacher by DealerKnows. This service will go into your CRM and analyze Internet leads based on a process and send you individual reports on how the Internet Managers handled the leads. The reports include valuable coaching feedback for the salespeople on how they could do better in the future and inform you of not only how well they are doing but could also help you identify deal(s) that could be saved whether they weren’t because they weren’t handled properly or because the customer had issues that were never addressed.

Dealers spend a lot of money to drive phone traffic and receive Internet leads: tens of thousands of dollars a month and, in some cases, more. If you can’t pay attention, at the very least get someone to pay attention for you….

… or you can keep buying triple-shot lattes and Red Bulls at the end  of every month while you start listening to these calls and reading these Internet leads and realize just how many deals you “could” have made had you paid attention.

[Disclaimer: I am not affiliated in any way with Phone Ninjas. In fact, the owner, Jerry Thibeau, won’t even invite me to dinner with the rest of the “cool kids” when those occasions arise. That doesn’t mean his service is bad (hence the recommendation), it just shows that, eventually, I’ll get voted off the island at tribal council. I am, however, affiliated with DealerKnows and while my recommendation could be interpreted as a pitch, it really isn’t intended to be. I recommend this service because I know it intimately and, as far as I know, it’s the only one of its kind.]

 

Buffer: What It Is and Why You Want It

When I went to BlogWorld LA, I met up with a friend of mine, James Stayton. As I’m walking around googly-eyed at the likes of Chris Brogan, Jason Falls, etc., he jumps when he sees this one guy with a “Buffer” shirt on. We go over and James starts telling this guy how much he loves Buffer and about how much he likes the new features, etc. I had never heard of Buffer so I asked the guy (who turned out to be a co-founder, Leo Wid) to show me how it worked. I signed up (as it’s free) and told him I’d check it out. At the time, the Facebook posting was still in beta, (he let me in on the very tail of that) but now, I believe, it’s live for anyone who signs up.

So, what is Buffer?

Buffer is an easy service that allows you to share information without overwhelming your networks (the networks in this article I’m referring to are Twitter and Facebook). How it does this is that they use an algorithm that determines what the best times of the day (ie. most trafficked and used) are and it schedules them for those times automatically. It also “buffers” your posts so that you aren’t sending a ton out at once and overwhelming your followers/friends. It will determine how many you should be posting and automatically schedule them for when they are most likely to be read or clicked through and it will space them out in time for you also. There is also a “Post Now” button if you don’t want to send it later.

I’ve been (and I am) a Hootsuite Pro user for a long time. I love Hootsuite but it is a pain to schedule tweets with any kind of strategy involved. I still use Hootsuite but now I use Buffer as a compliment to it so that I can share great content without having to even THINK about when I should tweet or post something and how much is too much, etc.

…and one of my FAVORITE parts of Buffer is that it allows me to use my custom URL shortener automatically! You just plug in your shortener information (in this case, I use bit.ly for my shortener -  arni.es) and it automatically uses YOUR shortener for any websites you add to your buffer. Hootsuite charges $50 per month if you want this feature!

Anyways, I don’t get this excited about a new service (God knows there are plenty of them popping up all the time.) but this one has me pumped. I’ve been using it now for a couple of weeks and I love it.

A dealership (or any business) could use this to pre-load a week’s worth of content very easily then sit back and sell some cars!

Check it out , sign up and send your first tweet by clicking HERE!

Can Your Dealership Be Too Social?

I hope dealerships realize that a social media presence is necessary these days. Hopefully, there is someone at your dealership handling this. More likely than not, this task has been assigned to someone which this is NOT their primary responsibility.

That being said, is there a thing as being “too social”?

There are many social networks out there and new ones popping up everyday. In a perfect world, dealers would have a dedicated person that could keep up with and manage them all by posting new content (preferably original) via blogs and all the social networks with their listening ears on. Most dealers, however, don’t have the budget for this type of person. It’s hard enough for ME to keep up with them all much less to ask a dealer to.

Would it be better if a dealer picked a few and concentrated on being really good at those instead of spreading themselves so thin that they aren’t managing or maintaining an active presence on them all? It’s not enough just to have a Facebook page or G+ page or Twitter account, you have to engage and keep fresh content on it.. nurture it.

Right now we have Facebook, Twitter, G+, Google Places, LinkedIn, YouTube, … and the list goes on. Now Microsoft is about to enter the game with Microsoft Socl.. yet another social network to maintain. Right now, there are 205 websites listed on Wikipedia as “social networking sites” (Yes, I counted them). You can’t effectively manage all of them (and most of them wouldn’t apply either) but you do still have to figure in managing your online reputation through sites like Yelp, DealerRater, etc as well as the location-based services out there like Foursquare.. Oh, and don’t forget about blogging!

It’s exhausting to think about, isn’t it? I promise it’s just as exhausting to actually do.

My advice: If you don’t have (or can’t afford, or don’t want to afford) a person that can actually manage this full-time, pick a few sites mixing up social, reputation management, location-based and a blog… and be good at them.

How To Be (And Make Others) Successful Selling Cars

The other day, I started thinking about all the friends I’ve made that I met because they bought a car from me. I’m not talking about acquaintance-type friends, I’m talking about people that are involved in my life, and have been for a long time.

I’ve been out of retail for about 2 years now. When I was in retail, I made a lot of money. As a commissioned salesperson, to make a lot of money you have to make profit on cars. Many people think that “making a profit” and “giving a good deal” can’t co-exist. There were times that I even felt guilty getting a hefty commission voucher. I was averaging 30 cars per month while maintaining a CSI score of 98% (and I had a high return rate on surveys).

So what was I doing right?

I always treated everyone like they had 800 credit scores. I made sure that all of my customers were happy and, if they weren’t, did everything within my power to make them so. I helped solve problems for any customer at my dealership, whether they were mine or not. I made sure that I respected all the parties involved and thanked them for their business sincerely. I followed up with them religiously to insure that they were satisfied and to recognize important occasions in their lives. I made sure my customers got not only the car they needed, but one they wanted, not necessarily the one I wanted to sell them. I truly cared about my customers and treated them all like they were my personal friends… and, guess what, many of them became just that.

While I enjoy money as much as the next person, I was never really “money-motivated.” A “good job” and recognition went farther for me. It wasn’t until I went to work for a particular manager that many of these ideals were instilled in me. He truly cares about his employees and took me under his wing. His leadership and personal attention truly made me want to work harder, sell more, and make the dealership successful. By doing that, not only did I care more about my job, the dealership and its customers, but I made more money. He inspired me to want to do a good job for him, not just for the money. Don’t get me wrong, he held you accountable. He just didn’t do it through fear as I see many retail managers do. He empowered his employees and trusted them to do their jobs. His favorite saying is “I’ll give you all the rope you need and you can either hang yourself with it or make a basket to carry all of your money.” I attribute my success in this industry to him. Without the culture and leadership he provided, I wouldn’t have achieved what I have.

Leaders can motivate in many ways. Sadly, many think the only way to motivate is through either fear, money or a combination of the two. By choosing the leadership style that he did and helping mentor me into the sales style and ideals that I adopted as a salesperson, I became successful, not only professionally, but personally. Too many salespeople (and managers) are looking for the next big voucher and not paying attention to their customers’ needs. Take care of your customers and do business right and the money will come.

So, thinking back on my retail career, as I recognized how many people I have in my life that are my friends simply because fate brought them into my dealership and I happened to assist them with their vehicle purchase, I realized that this provided me far more of an indication that I did things right than any “good job” could have and it was all possible because I had a great leader.

Carpe Diem

“Progress always involves risk; you can’t steal second base and keep your foot on first” – Frederick Wilcox

People like comfort and fear change. In today’s economy, people are afraid to take risks whether in business or in their personal lives. In our industry, change is continuous yet nobody wants to do it.
A new sales manager comes in and forgets the fact that his predecessor was probably terminated because he/she did not perform yet they are afraid to do something new to change that cycle. The definition of insanity is doing the same thing over and over and expecting different results.
Since dealership turnover of sales personnel is considered a normal part of the retail sales department in a dealership, new managers feel that the solution is changing personnel. Why? Because that is a change that conforms to expectations.
Whether the change involves processes or vendors, I guarantee that success doesn’t come without risk. If you, whether in your personal or professional life, are unwilling to take risks to achieve different results, you will fail just as the person before you did.
Our country was built on change. Most successful people in business made a change, whether that was by doing things differently or thinking outside the box.
If you’re not achieving the results you need and/or are being demanded of you, the worst thing you could do is maintain the status quo.
Be open to change. Embrace it. Think outside the box.
If you don’t know what to do, learn. If something isn’t working for you, change.
If you live in fear, you will never achieve success. Whether that is increasing sales, employee morale, or getting better results from vendors.
Do what you want to be doing, not what you are being forced to do because you are living in fear.
Carpe Diem.