Dealer Solutions Magazine November 2015

VOLUME 8 ISSUE 11

Bill Wittenmyer

introduces Service1One, the smartest and most comprehensive fixed operations software solution available in today’s market.

ELEAD1ONE 1

Database Equity Leads Equity Letters & Email Blasts Service Drive Equity Leads In-House B.D.C. Conquest Marketing Dealership & Departmental Analytics New & Used Inventory Control Live Financial Statement Daily

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PUBLISHER MICHAEL OQUENDO EDITOR-IN-CHIEF DAVID VILLA CREATIVE DIRECTOR JERILYN OQUENDO ADVERTISITNG DIRECTOR CHRIS FRITCHER 4

EDITOR JOSH FONTAINE

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“MAKING MONEY IN USED VEHICLE SALES”

BY KEN ROSENFIELD

LEADERSHIP: KEEPING COMMITMENTS

BY DAVE ANDERSON

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“JUMPING OFF THE BRANDWAGON” PT II

BY DAVID VILLA

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“JUST PRESS RECORD” 60 SECONDS

BY MAT KOENIG

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“THE PINEAPPLE GUY”

BY BRIAN BARLOW

“HOW TO WRITE BLOGS THAT PEOPLE WILL ACTUALLY READ AND SHARE”

BY MICHAEL A. CIRILLO

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“WHERE’S OUR TRAFFIC?”

BY DAVID CRIBBS

“VIDEO THE SALESPERSON AND DEALERSHIP DIFFERENTIATOR”

BY JIM PLANKEY “CHURN AND BURN”

BY CLINT BURNS

THE UNCONVENTIONAL GUIDE TO PERSONAL BRANDING

BY LAURA MADISON

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They call him

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hey call him “The Pineapple Guy,” and he thinks your commercials suck! Meet Brian Barlow CEO and Creative Director of Pineapple Advertising, he’s on a mission and he’s single-handedly plotting a crusade to change car dealership advertising forever! You’ll find Barlow most days with his head in the clouds – literally flying from state to state urging dealers to stop advertising and start engaging with better creative, better decisions with a greater focus on non-traditional “creative” ad spend. About 10 years ago Barlow was hired by mid-size auto group to rebrand and redistribute their advertising scheme, Barlow did and within 6 months Barlow was on the speed dial of many dealerships wanting access to his creative mantra. “I don’t think like a car dealer, I think like a consumer. I want to be engaged, I want to laugh, I want feel something, I want you to earn my decision and 98% of businesses, particularly car dealers, don’t know how.” Barlow has a formula and it doesn’t involve “now’s the best time to buy” or “we have the best price, best selection, best service” or “biggest event ever this weekend!”

“That’s old school advertising – dealers don’t think TV is working, it’s not for them and it’s because of them. They don’t give the viewer anything to watch,” cries Barlow, who is now in his tenth year and has become one of the most sought after speakers in the auto industry with his in your face, brutally honest visual presentations usually given in a t-shirt and jeans. His passion unmatched, his results undeniable by his work.

The Pineapple Guy doesn’t wear suits, ties or anything else that suggest he’s putting on a sales clinic. His style is just that, his. “I tell prospects and the like all the time that if your marketing person is in a suit or wearing a tie and he’s giving you creative advice, turn the other way.”

Barlow also recalls walking into a dealership in Wichita, KS a few years ago: “As soon as I walked in, the managers and owners start-

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ing laughing at us – I, of course, was a little concerned but played it off. I later learned they had previously discussed wanting their next ad guy to be a guy wearing jeans and a t-shirt, we were hired.”

The main ingredient to Barlow’s successful formula and platform is the storytelling aspect of marketing. Barlow has created his own platform which he speaks about called “advertising is a four letter F word” - you’ll have to engage with Barlow to find out what that word is, but we can tell you Barlow’s method of storytelling is what makes him and Pineapple so unique. They create commercials that engage by how they shoot, how they edit, how they incorporate music and how they engage that particular demographic. Pineapple work is in a class all by itself which is why Barlow is in demand nationally. He won’t share his 3 tier formula for print but we can tell you after knowing Barlow, watching him speak and seeing his work any dealership looking to take the next step in their advertising needs to consult Barlow.

His biggest success story remains a campaign called “the credit cruncher” - “it was for a ‘buy here pay here’ dealership, they wanted to do the typical your approved and bad credit is good credit advertising – “I told them no, not if I was involved and moments later, I sang the credit cruncher creative as they all thought I was crazy, they were right and so was I.” Today Barlow continues to challenge dealerships everywhere – his demand; stop approving “free tv station produced” commercials and start engaging customers with substance and tactical thinking.

“Old school advertising is dead – there’s only 3 mediums you need to have in your engagement plan to get the most out of your ad dollars, otherwise your dealership is wasting money, wasting opportunity and wasting away.” That’s Barlow in a nutshell, the truth, the formula and the hook.

Contact information: Email: barlow@dealersolutions.info Twitter: @PickPineapple

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ost dealerships today make a significant portion of their net profit in used vehicle sales. The gross profits in this department can be more than double, than new vehicle grosses. In the US, Certified Pre Owned Sales are up 10.3% year to date over August of last year. And used vehicle sales still far outnumber new vehicle sales historically.

As in all retail sales functions, the money is made when the inventory is purchased, not when sold! Why are the highest paid managers in the retail world the buyers? They are paid to acquire the inventory that sells the quickest, with the highest profit potential!

Same is true for used vehicles. With today’s technology, it is not rocket science to stock those units which sell the fastest with the highest gross profits. Then the trick is to apply the least amount of cost to those sales. The key is stock “Quality Inventory”! Many dealers subscribe to VAuto to assist in the pricing of their used vehicles in stock. It is also a great tool to analyze what is selling in the local markets as well. But the most useful tool is you own Data Processing System coupled with the analytical skills that lie between the chair and the keyboard.

Using the vehicle sales history file, it is easy to create a matrix to review the following sales characteristics of your own inventory: -Days in Stock -Gross Profit -Make/Model Number -Vehicle Color -Vehicle Option Codes -Beacon score of customer -Number of demo rides prior to sale -Reconditioning Costs -How vehicle was acquired (Trade in, Auction, other) This data can tell you a lot….and should become the “Buying Bible” for acquiring your inventory. This shows what you sell best and where your product knowledge lies. Maybe a better advantage than what your competitors are doing as they may only be looking at what is selling best in the market, but not particularly what your dealership sells best…could be the differentiating factor that adds dollars to your bottom line and not put you in price wars over the same vehicle that everyone else is trying to sell.

Another key element in used vehicle sales management is wholesale activity. Our most profitable dealers still maintain a high wholesale to retail ratio. In most cases, almost 2:1! Why? Because not all trade ins may be in the right sales mix for what you need for quality inventory.

The old saying “There is a butt for every seat” does not work anymore. So keeping the inventory fresh with fast moving vehicles is the key to profits. Consider developing an “up and out policy” to keep the days supply low. If a unit has not been test driven in 45 days, there is a reason, time to move it out.

One way to place some ownership on the managers and buyers is to use a pay plan matrix that has incentives on buying vehicles that move fast. Incorporate a day’s supply policy and limit into the pay plan. An up and out policy at 45-50 days with the actual loss taken will make believers out of them. Use of the old school “bruise accounts” is a waste of time in today’s environment. Need to keep the department realistic and hold everyone accountable. To balance good buying habits, pay higher percentages for the higher gross profits.

With respect to keeping costs down, place ceilings on reconditioning costs, if the number is too high, get approvals for making the additional investment. Advertise heavily on product and value through more efficient media. Consider adding service contracts and loyalty programs in serving the used vehicles and spread some of that cost to the back end.

The basic point is, be smart in planning what the quality inventory stocking should be, you could end up doing more with less. Controlling costs through smart pay plans that are win/win and advertising effectively should add to the bottom line in this department

Making Money in

Used Vehicle Sales

Ken Rosenfield Contact information: kenr@dealersolutions.info @KenRosenfield

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Leadership

Keep Your Commitments Dave Anderson

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n several of my seminars I cover the importance of building a rock solid character, and go over key traits to develop in that endeavor: remaining teachable, accepting responsibility, honesty in words and deeds, maintaining a strong work ethic and more. However, the section that creates the most squirms and losses of eye contact is when I discuss the non-negotiable leadership requirement to keep one’s commitments.

Following are seven principles concerning keeping commitments that give you a chance to evaluate your proficiency in the vital area of keeping commitments, because you can rest assured that those you work with are measuring your leadership by whether you do, or don’t.

If you make a commitment you are expected to keep it, regardless of the cost. The last four words of the preceding sentence is what causes most folks to compromise their integrity. They’ll keep their commitment as long as it doesn’t cost more than they thought it would, take longer than they estimated, or create undue inconvenience. But that doesn’t cut it. If you say you’re going to do it, you need to do it. Period.

Be careful which commitments you make. Because of the prior point, you can’t afford to make commitments thoughtlessly, cavalierly, or in a hurry. Nor should you allow yourself to be pressured into a commitment by either a customer or coworker because if you agree to do it, you will be expected to do it. Thus, commit wisely and don’t let your mouth write checks the rest of you can’t cash.

If you’ve failed to keep commitments, the people you let down haven’t forgotten. Just because they don’t bring it up, doesn’t mean they’re over it. Stephen Covey, quoting Freud, said it well: “Unexpressed feelings never die they’re buried alive and rear their heads later in meaner and uglier ways than before.”

If you’ve failed to keep commitments you need to make it right. Go address it with the person as soon as possible. Admit that you recognize you failed to do

what you said you’d do, apologize, ask forgiveness, promise to do better in the future, and make restitution if necessary and possible. By the way, these steps are just as relevant to your friendships and family life as they are to your work world.

When your words and deeds are inconsistent you break trust and lose influence with followers, peers, and higher-ups. Frankly, no one wants to follow a leader they can’t count on, don’t believe, or who has made a habit of “talking right and walking left.” Failing to keep your word will demoralize followers and peers to the point where you’ll rarely get second mile performances from them; it will also make your higher-ups realize you’ve probably gone as far as you’re going to. After all, no one wants to give more opportunities or responsibilities to one who can’t handle what he or she already has.

If you’re not faithful in small things, don’t expect to be trusted with more. Don’t let yourself off the hook by rationalizing that the commitments you fail to keep are “small” things, and that you come through on the big ones. It doesn’t work that way. All commitments matter, because your word should count in small things as well as large. Any higher-up would be an absolute fool to give more resources, opportunities, or responsibilities to someone who isn’t faithful in the smaller matters they’ve been given.

even though you’re being paid to be there at that time.

While anyone can have an occasional emergency that creates a freak tardiness, if you’re known for being late you have a serious problem. I’d fire you in a heartbeat, because anyone late to work in my business violates four of our five core values: integrity, teamwork, urgency and attention to detail. If your company has similar values, you and anyone else coming to work late is violating them—and in strong cultures that should be a big deal. Perhaps Zig Ziglar said it best, “Being late is the arrogant choice.”

If any of these seven points made you uncomfortable, it’s probably because it has something to teach you.

Take it as a nudge to work on this aspect of your character. Our character is never “done.” We all have areas to improve. But since character is built one right decision at a time—and lost one compromise at a time—stop wimping out concerning keeping commitments and do what you said you’d do, how you said you’d do it, and by when you said you’d do it, or don’t say it at all.

Being late to work counts as not keeping your commitments. This is the one that creates the most squirms in my classes. Unless when you were hired you were told you could come and go as you pleased, I’m guessing you agreed to be at your post by a certain time each day. When you’re not there, you’ve broken your word.

Don’t think it’s just the “five minutes,” because it’s not that simple. Although I personally find the five minutes late appalling and irresponsible, what’s worse is that you didn’t keep your word to the people who hired you and you’re letting down customers and teammates who may need you. And why? Because even as a grown adult you can’t get your act together to make sure you’re where you’re supposed to be when you’re supposed to be there, when you promised to be there, and

Contact Information: davida@dealersolutions.info @DaveAnderson100

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Jumping off the “Brandwagon” Pt. II by David Villa

Step Four: Evaluate Your Service

Here we have an incredible opportunity because this is the area that has no limitations. If you are a true entrepreneur this statement should awaken you. Entrepreneurs love to be in control. In control of their destiny that is. Providing amazing service is not only within our control, it is 100% in our control. We can elevate anyone’s experience at any time. We can add elements of service at any time. This is by far the easiest and arguably the most effective branding technique available to us. There are many brands that are known for this one area alone. Think about the last great experience that you had as a consumer. Whatever that may have been there is one thing for sure. It’s one place that you will find the “be-back” bus. The experience was what branded that particular person or company. We make countless purchase decisions based on the service that we receive from particular people, places or products. Imagine creating such a branding experience that your customers are not only committed to your brand, but consciously choose not to take the risk of going elsewhere for fear of a lesser experience. That is the comfort of provision that great branding brings.

Step Five: Capitalize on Market Trends

Recognizing market trends can prove invaluable when building a brand. Keeping up with current news, social and economic trends allows us to adjust our marketing campaigns to further distinguish our brands. When the wellknown “Cash for Clunkers” government assistance campaign rolled out we immediately modified our direct mail pieces to capitalize on the branding created by our government. Monitoring these market trends not only gives us an edge when it comes to getting the attention of the consumer but we are able to leverage the exposure at the expense of virtual ad budgets. We can accomplish the same thing by

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monetizing trending words, phrases or images. The words and phrases increase exposure through SEO and allow us increased visibility online. This is the one area of marketing where “brandwagoning” may be acceptable. Another area of marketplace trends to capitalize on is the reaction that your competitors are having to economic impacts. When times get tough the general trend is to retreat. This provides an opportunity. Once again, distinguishing your brand by responding to economic shifts differently than your competitors further separates you and or your brand. In times of uncertainty, be certain. When others may be scaling back or slowing down, this is the time to create distance between you and your competitors. If the market is calling for lower prices, don’t budge; you may even consider an increase. In challenging times, people look harder at value, not pricing.

This is an opportunity to bring more to the consumer. If others are scaling back they will fall short in service as well, especially when compared to your brand as you ramp up your activity. The byproduct of this kind of activity is that it provokes curiosity in your product resulting in more opportunities and at better margins. And when we can thrive in the lean times we will unstoppable in heathy times.

Self-Branding Self-branding can be viewed from two different perspectives. You could see it as very challenging, after all it’s just you, right? I mean really, what can one person possibly do to stand out as the actual brand? Another perspective would be that one person has no boundaries; he/she can literally go any direction. His/her vision can be completely uninhibited by others, creating an unimaginable freedom to brand themselves in their own unique way. Can you guess of which one I may be a fan? I am guessing by the fact that you are reading this book that you are a fan of the second, as I am. This perspective brings absolute freedom when it comes to branding. Your imagination and your actions are

your only limitations. There are two distinct challenges that self-branders face. The first is living in the land of obscurity.

Even our most popular friends aren’t very well know when we consider the vastness of the market place. We will need to jump up and down and wave the flag. The good news is we now live in a time that has made this type of opportunity to be noticed easier than ever. We can literally put ourselves in front of people all over the world with our handheld devices.

Everywhere we look there are opportunities to engage with audiences and we are right to take advantage of these amazing opportunities. However, I have to sound the alarm again on this one. Jump! Jump from the “brandwagon”. This will be especially challenging for the self-brander. Although we want to sing it, we have to be able to bring it. As equally powerful as the individual attention that we may achieve by marketing, will be the spotlight that is placed on us to deliver.

This will be our second biggest challenge. When I spoke earlier about examining your product, as a self-brander you are the bigger part of the product or service that you offer therefore, you will want to examine yourself. What is it that you are willing to do and what are you capable of doing that could be a benefit for your customer? As an individual you can create experiences that only you can bring to the table.

You also have the unique ability to tailor the experience moment by moment to maximize the consumer’s experience. As I mentioned earlier your only limitations will be determined by your imagination and actions. The action that you take will define your brand. Here’s the best news that I can give you.

If you get this part right, you will create a successful brand.

Corporate Branding Corporate branding can be viewed from two different perspectives. You can see it as very challenging. After all, you are relying on a team of people and competing on a stage filled with major players, right? Sound familiar? As you can guess, I am going to migrate to another perspective. Corporately we have huge advantages, more people to lend to our cause (you remember, the ones that you surrounded yourself with that exchanged the box for the koolaid) and typically more resources to help us distinguish ourselves. Leveraging these resources effectively is the difference maker on the corporate level. Cultivating an environment that breeds innovation by encouraging team members to contribute to the overall vision is leveraging the talent that you have.

Every team member should be acutely aware of our branding mission and not only be passionate about the pursuit, but also understand the value of his/her role in that pursuit.

Avoid hiring those who are looking for a job and search for those who are looking for a purpose. There is nothing like the

feeling of owning a business and having others come along beside you that are driven to accomplish the same goals.

Corporate brand building requires one thing that just can’t be handicapped. Corporate brand building requires leadership.

There is no way around this one. I often hear from clients “I can’t do this because I can’t get my guys on board”. I’m sorry but I want to throw up when I hear that. “Excuse me?

Can I speak to a leader please?” Of course, I handle it a little different than that when I am speaking with potential clients but you get the picture. The truth is that they are right. They can’t do it. You will find it impossible to build your brand corporately without your staff being on board. This is where leadership is a must. Either we lead effectively or we don’t lead. And as a leader you cannot afford to surround yourself with those who will choose moment by moment if they are in or out? Recently, I asked a very successful leader of multi-million dollar company and an amazing brand marketer “What do you say to those who say I can’t get my people to buy in?” He replied, “I’m probably not the guy that you want to ask that question to. I would rather do it alone with no staff than have someone on my staff not drinking the koolaid.” I agree. The good news is that although at times they will seem elusive, there are plenty of quality people that will recognize the value of a great company and come along side you in your corporate quest.

Brand Loyalty Brand loyalty is the ultimate recognition of building a brand.

Brand loyalty is achieved when the consumer clearly knows that any other choice would provide less of an experience for them. However, the only way that we can gain this competitive edge is to actually have the customer experience that very feeling. Providing that type of product or service is your challenge. My suggestion is jump off the “brandwagon” and begin building your brand. Begin by thinking benefits, defining your brand, examining your product and service, and capitalizing on current market trends. When you see clients that inconvenience themselves or pay more just to take advantage of your product or service you will know you are on the right path.

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Where’s our Traffic?

By David Cribbs @deskingdeals

Historically, dealers have hovered around the 20-30% closing ratio. Now we are hearing stats that say buyers are only visiting 1.2 dealers before purchasing. Our initial thought when hearing this may be “Impossible”. After all, we have not suddenly reached the 80-90% closing ratio that it seems we would have to have across the board to support this statistic.

And although our showroom closing ratio may be significantly higher than past years, our true closing ratios really aren’t any higher. To make sense of the stats, we have to look a little further.

You see, in the past buyers drove around to 4-5 dealerships before choosing where to purchase, which supports that 20-30% closing ratio. Today, the buyers are driving around online looking for an attractive place to click, creating online traffic for about 5-7 dealerships before choosing where to purchase, and once they narrow it down they are more often ready to buy. Our real traffic is online, and even if every customer that drove to our brick and mortars bought a car our closing ratios would be misleading.

Where’s our traffic? We already know. The question, is now that we know where the customer is how do we become the one dealer or even the .2 dealer if the customer meets the “Sales Prevention Team” at the first dealership? We all have a difficult time watching a customer walk off of our lots without purchasing, especially when we know their destination is the next store but it doesn’t sting quite as much when we can’t physically see them. Losing customers online should be no less painful for us than if they were on our blacktop.

The first rule to attracting customers is to become attractive. What are customers finding attractive online that leads them to choosing your store? Are you providing a simple process online that leads the buyer to the next step? Most of us are fairly confident that if given the shot in person we can make the sale. How confident are you in your virtual store’s capabilities? Do you really have the edge there? Look, I’m not selling website services, I’m truly concerned that you are one click short of keeping your buyer on the on the virtual lot. That’s where you’ll find your traffic not just visiting but attempting to choose where they would like to buy.

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Did you know...

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he tire is a very necessary component which directly impacts the daily safety and performance of any vehicle on the road. In the early days, tires were bands of leather, then iron (later transitioning to steel), placed on wooden wheels, for carts or wagons. Skilled workers known as “Wheelwrights” would heat the tire in a forge, place it over the wheel and quench it, resulting in the metal contracting tightly around the wheel strengthening the finished product. Later on solid rubber tires became available but they provided a rough ride and were widely considered a high wear item. The first pneumatic (or air filled) tire was made in 1888 by John Boyd Dunlop in an effort to prevent his son from having headaches as he rode his bicycle. In October of 1888 Dunlop filed for a patent. In 1892 Dunlop’s patent was denied, because it was discovered that years earlier, in 1845 the pneumatic tire concept was drawn and submitted by a Robert William Thomson. Coincidentally, the vulcanization of natural rubber was patented in 1844 by Charles Goodyear and by none other than Robert William Thomson. In spite of this setback, Dunlop is widely credited with realizing that rubber is an excellent compound that could withstand the wear and tear of being a tire while retaining its resilience. Later Dunlop worked with Harvey du Cros and hired inventor Charles Kingston Welch and acquired many other rights and patents to protect his business interest. Later milestones in the tire evolution included the invention of synthetic rubber by Bayer laboratories in 1920 and the development of the radial tire method of construction by Michelin in 1946 (both inventions significantly improved performance and longevity while the later improved fuel economy). However, it wasn’t until 1968 when an influential American magazine (Consumer Reports) acknowledged the superiority of the radial construction over the bias-ply tire which set off a rapid decline in Michelin’s competitor technology. Radial tire construction now encompasses 100% of the U.S. market. Today, over 1 billion tires are produced annually in over 400 tire factories. In 2004, $80 billion of tires were sold vs. $140 billion in 2010 (a 34% growth rate adj. for inflation). In closing, the evolution of the tire has resulted in tremendously improving a vehicle’s safety, performance, and fuel economy over the last 100+ years. It is virtually impossible to do an article on tires without mentioning these three helpful tips (so here it goes): -Remember to keep tires inflated at the tire manufacturers’ recommended rate -Rotate & Balance tires every other change (or every oil change if synthetic oil is used) -Align tires as needed (noted when vehicle tends to veer on its own) These preventative steps will go a long way to getting the maximum value from a tire purchase which translates into saving money.

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60 SECONDS TO SUCCESS JUST PRESS RECORD MAT KOENIG

Every month I hear questions from Dealers and their Sales People regarding the best way to use video to reach more customers and I love it.

But, did you know that video isnʼt just for the people outside of your dealership?

A lot of leaders miss out on the full potential of video because theyʼre only focused on a small part of the value. How can you use video internally? Itʼs simple, just use the app for a really cool video email program like AutoVideos (www.konig.co/followupvideos)…shameless plug but it is awesome, or you could use another tool…you could send a video to someone on your team just to tell them “great job” or “I really appreciate everything that you do for me and for your customers.” You’d be amazed at how far that will go! Once they get that email, theyʼll show everyone else.

Once others see it, theyʼll want to impress you and earn that video high five too! Another thing to think about is the motivational power that video has. Imagine spending 30 seconds before pulling out of your driveway in the morning and recording a motivational video for your sales team with some kick ass music jamming out, and telling them “Weʼre going to rock today because I know we have the best people in the entire country!!!! Letʼs rock & roll folks!” That way, they get it before they get to work. Sure, you may feel a little silly but who cares?!?

Itʼs not about you! Itʼs about the people you serve! Video is a powerful medium to show the people that you serve, how much they really mean to you. You have the power to motivate, inspire, and lead people right in the palm of your hand. All you have to do is press record.

Bio: Mat Koenig is an Automotive Industry Veteran, prolific speaker and the author of multiple books on sales and personal growth. He is the CEO of KonigCo & Buscador de Auto helping connect Dealers with Buyers in English and Spanish. For more information on Mat Koenig and his companies visit www.konig.co/mat

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3G

4:08 PM

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888.356.5338 | eleadsales@eleadcrm.com | www.elead-crm.com

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Build

Trust.

Neutralize the sense of mistrust of your service department with Service1One technology. Provide your customers with a clear vision of the process from the moment the appointment is booked to the moment a repair order is complete.

Increase the proďŹ tability of your service department by creating a transparent process your customers can trust with the Service1One suite of software.

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Š Data Software Services, L.L.C. 2015

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888.356.5338 | eleadsales@eleadcrm.com | www.elead-crm.com Š Data Software Services, L.L.C. 2015

om

2015

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JIM PLANKEY

(844) 415-1052 3104 Cherry Palm Dr. Tampa, Fl 33619

VIDEO

THE SALESPERSON & DEALERSHIP DIFFERENTIATOR As Grant Cardone says: “Money follows attention.” Video grabs your customers’ attention.

For the early adopters, a video isn’t anything new; many dealerships embraced this technology years ago. Early adopters include McGrath Lexus of Westmont, Continental Acura and Audi of Naperville, Smart Toyota Scion, Madison and a few dealerships the readers of this article could name.

These dealerships understood that video engages consumers who are focused on purchasing a vehicle.

Mailology

[meyl-lol-uh-jee]

The art and science of Direct Mail

My partner, Tom Gallaher and I are pleased to see that the automotive industry is finally embracing the power of video.

In the past, salespeople didn’t have an intuitive solution that allowed them to shoot and process a video on the fly without the time burden of post editing. We are seeing an increase of individual salespeople searching the web; reaching out to companies like ours with automotive centric apps to help them professionally respond to their internet leads with video. These trend setters want to set themselves apart from the rank and file, and eliminate the white noise responses most leads get from some sales/internet/BDC departments. They are turning to fast, easy-to-use video, requiring no post editing, allowing salespeople to email or text content directly to the prospect. Video is the differentiator.

Dealerships’ service departments are starting to look at video as an ASR (Additional Service Repair) opportunity to share with their service customers. Video creates transparency, transparency creates trust, trust allows a customer to reach into their wallet at a higher percentage for the current transaction and spend more money, because they understand the repair and feel that the service they are receiving is based upon a real need, reinforcing that trust.

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Kevin Frye from Jeff Wyler Automotive Family, made an interesting comment after his review of the DD19 conference about video solutions being made available to automobile dealerships: “…These solutions provide dealers with the ability to create quick videos to send to your shoppers. We are also seeing more of these solutions which enable dealers to shoot REAL video of their inventory to post online (not stitched photos). Has the time come for dealers to hire a full-time inventory specialist that is responsible for photos, video and well written descriptions of their inventory?”

Video solutions have come a long way. Flip cams have come and gone, and mobile devices have powerful processors, high-capacity memory and high-resolution 12 – 16 megapixel cameras. Whether you decide to use iOS, or Android, there are wide-angle lens housings to help you provide a higher quality video. Cinema Mount and Beast Grip work well with iPhone 6, 6S, Samsung S5, S6 and other Android devices.

As dealerships move in the direction of taking control of their New and Pre-owned merchandising, these tools will allow the full-time inventory specialist the ability to stage the vehicle once, providing real video and high resolution photos efficiently, while providing engaging content, leading to higher conversions.

James Plankey is the Co-Founder of Autos On Video.

Autos On Video provides dealerships nationwide with inventory video, photo, human voice over, syndication, and social media video solutions for sales and service. Jim can be reached at jim@autosonvideo.com, or 312.800.3233.

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How to Write Blogs that People Will Actually Read and Share

By Michael A. Cirillo

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logging is one of the most underutilized inbound marketing strategies within the automotive industry today. There are very few dealers who are doing it, and those that are, use it as another way to promote vehicles. Outside of the automotive industry, blogging is still one of the most effective organic, inbound marketing activities for the world’s top online marketers. There is real ROI that can be sourced to blogging when it’s done the right way.Sadly, it can be overwhelming to get started. Not knowing what to write about, or how to stay consistent usually gets the best of us and we put blogging on the shelf.I know because I’ve been there. I’ve spent hours in front of a blank word processor just letting the blinking cursor taunt me.

I’ve put blogging on the shelf more than once. Looking back, I share the same regret as other top online marketers. We wish we would have started blogging sooner. It has had a tremendous positive impact on my business, has increased my reach and has helped separate my company from the competition in many ways.But enough about me, let’s talk about you. You

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have an incredible opportunity to differentiate in your marketplace. You can become the credible authority. You can build relationships of trust through blogging for your dealership. Acknowledging some of the reasons why you might be hesitant to dive in, let’s explore some of the elements of blogging that work extremely well for myself and others.

1. Know Your Audience Something businesses traditionally struggle with is trying to go broad with their messaging. To be effective at marketing your store or brand, you need to focus on being valuable to somebody, not worthless to everybody.Most dealers view their customer base as, “People who purchase vehicles”. Your market runs deeper than that, though. There are more segments involved, not just “people who purchase vehicles”.They are seniors and young families, students and civil servants, construction workers and minorities. Each segment of consumers

base as, “People who purchase vehicles”. Your market runs deeper than that, though. There are more segments involved, not just “people who purchase vehicles”.They are seniors and young families, students and civil servants, construction workers and minorities. Each segment of consumers have specific needs and wants. Each vehicle you sell can solve those specific needs.Rather than trying to address the needs of every consumer at once, get specific. Blog about a topic that only one or two would find interesting.

2. Write Compelling Headlines If you want people to click on your blog posts, write a compelling headline. Headlines are much like email subject lines.

If they suck, it doesn’t matter if you wrote the best content of your life, it won’t get read.Instead of writing a blog post titled, “Check out our 2015 Honda Odyssey” (which I’ve seen more times than I care to admit), try going with something like, “The top 5 Reasons Why Young Families Prefer the Honda Odyssey”. One of those two headlines will garner more clicks.

The other will get passed over completely. Focus on creating headlines that stand out.

my agency titled, “What Wikipedia Can’t Teach Your About Blogging.” I took 5 of the 19 Videos and included them in this post.Moving on, I wrote another repurposed post for Medium titled, “If You Can Only Write One Type Of Blog Post, Make It This One.” In this post, I included 1 of the five videos from my previous post.Each post came with its own Facebook, LinkedIn, Twitter, and Instagram post. I was also able to get subject matter for a live Periscope broadcast. To sum up every piece of repurposed content, I was able to get three blog posts, 9 Social posts, and a live broadcast. ALL from one blog. I actively use each of these blogging tips to produce blog posts that people will actually read and share. They work extremely well during the creation process and can help your store rise above the clutter and THRIVE online.

3. Provide Transparent, Valuable Content Your content should never be a sales pitch. It should enrich and enhance someone’s life. As I mentioned, you need to be valuable to somebody, not worthless to everybody. The content is not about you. It’s about people. People that are searching for answers and solutions.When the content of your blogs is open and transparent; when the aim is to help provide a solution for someone, you become the credible source of information.You will forever own the relationship of providing reliable information, and the market will begin to trust you. If you’re going to write a post about how the “Honda Odyssey is preferred by young families,” have legitimate reasons to back up the claim. Don’t just spout off about how your dealership is better than everyone else because that’s not what readers clicked to learn about.When readers find your content helpful, it encourages them to share it.

4. Save Time by Repurposing Your Content Trying to come up with fresh new content can be extremely overwhelming. If that’s what you’re currently doing, I sympathize with how stressful it must be to try and remain consistent.You can save a load of time by repurposing your content. Repurposing is a simple strategy that I use to take one piece of content and turn it into many.Here’s an example of how it works:Recently I wrote an article titled “The 19 Best Content Marketing YouTube Videos.” In that article, I included (as the title suggests) links to the 19 Best Content Marketing YouTube Videos.From there, I wrote a repurposed post for

Contact information: Email: mcirillo@dealersolutions.info Twitter: @MichaelACirillo

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your dealership in the course of 1 year. That’s insane. Especially when you know that NADA shows the average weekly earnings of new-car dealership employees to be $1058.

TURNOVER How It ’s Effecting Your Bottom Line For those of you who did not attend the Driving Sales Executive Summit, one of the topics that generated the most discussion was related to turnover. Of course, we all know that our industry has some of the highest turnover (almost 66% annually), but do you know how that effects your bottom line? I’ll show you.

According to Harvard Business Review, “In skilled and semi-skilled jobs, the fully loaded cost of replacing a worker who leaves (excluding lost productivity) is typically 1.5 to 2.5 times the worker’s annual salary.”

Perhaps you already knew this, but have you examined the cost when multiplied by a 66% annual turnover rate? Considering that according to NADA statistics new-car dealers, on average, employed 64 people per dealership, that would mean at a 66% turnover 24 rate you would have around 42 people moving in and out of

So how does this affect your bottom line?

If the cost of replacing a worker is 1.5 to 2.5 times the annual salary, which we know to be $55,016 on average, then replacing roughly 42 people every year is costing between $3.5 million and $5.8 million for your dealership.

GOOD NEWS!

There is a simple solution to bring that cost down substantially. The article that generated buzz at DSES challenged the common assumption that labor rates equal labor costs. The Harvard Business Review article said plainly that “managing labor costs isn’t a crazy idea, of course. But stingy pay and benefits don’t necessarily translate into lower costs in the long run.”

“Your team wants to FEEL that you care about them.”

However, the greatest thing you can do to decrease your turnover is to create a powerful and inviting company culture. Offering great pay plans and benefits are great FACTS, but your team wants to FEEL that you care about them.

The good pay and benefits are only part of the picture. People will still leave if there is no driving culture at your company that shows you care about their success. It’s as simple as that. Give your time; invest in their success by training and implementing processes that will ensure an optimal environment for success.

By improving the culture of your dealership it will improve the ability for the entire sales team to succeed, not just one or two. A managed sales floor is the simplest form equalizing opportunity and allowing for not only a better customer experience, but also true accountability. In the end, your dealership will be exponentially more successful and enjoyable for your employees and your customers.

C l i n t B u r n s ,CEO/C h a i r m a n

of

The Next Up

With more than two decades of experHere’s the thing though, it isn’t just pay. tise in every area of dealership operaIt is also benefits and company culture. So tions, Clint has championed the push for don’t just spiff more often, or give a few rais- excellence in guest services across the es and think your turnover will disappear. automotive industry.

People also want to know that you care From his early involvement as the Founder of Dealer Development Soluenough to work with them on retirement by offering plans and contributing to them. tions, one of the first CRMs in the space, to his current role as the CEO of The They want to know you care about their Next Up, Clint is a leading expert in the health and family life. retail sales process (RSP) nationwide.

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E D I U G L A N O I T G N N I E V D N N O A C R B N L U A E N TH O S R E P TO

by Laura Madison

Personal branding is a buzz-phrase in today’s online marketing culture. It is being touted as the way to become more hirable and to differentiate yourself in the corporate America, but the automotive industry is beginning to recognize it for a different use— business development and increased sales. A personal brand in the automotive world has one end-game: to sell more cars. Personal branding isn’t about divorcing the dealership or not promoting it, it’s about ownership of personal sales success. It’s about salespeople being proactive about their living. Here are five unconventional steps for salespeople to begin to use a personal brand to increase visibility and sales.

Take Wild Action

I came to this first unconventional step by taking wild action myself. When I began my personal branding and social selling efforts I understood very basically that customers do a lot of research and shopping online, so it made sense to me that that’s where I needed to be visible to them. The Internet space is where I needed to capture prospective clients’ attention, and then lure them in to see me directly.

And that’s about all the thought and planning I put into it.

I immediately sprung into action on multiple social platforms to begin to piece this social selling puzzle together.

The reality of wild action is: you don’t know yourself, what connects with your

clients, or what’s effective, until you start tinkering. Tinker a bit wildly at first to see what garners results and what resonates with your online audience—it will help illuminate a unique personal branding path to help you move forward.

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Don’t Get Cheesy The automotive sales professional’s instinct is to return to his plaid-jacket roots and jump online with a persona, a tagline, and a logo. Auto-marketing beginners often believe you need these traditional ingredients to begin to convert off social media; they create their online persona, set their profile photo as the logo they paid to have made, and then wonder why they don’t see results.

You know what’s better than a logo for a profile photo? Your face.

The most powerful way to convert off social is to make a human connection with prospective and past clients. Focus your efforts not on become a caricature car salesman but on the you-ness that makes you You.

Learn As You Go

Many salespeople resolve to begin creating a personal brand only to then spend too much time, and expend too much effort, in the planning phase. Too much planning or aiming for perfection can suffocate a personal brand before it ever even fully forms. Begin with wild action, learn what works best for you, and continuously hone those efforts. You’ll learn more and more as you move ahead and as you reflect on the effectiveness (or ineffectiveness) of previous efforts.

Give Up on Something You Don’t ‘Get’

It may take a little patience to see a return on a personal branding effort. But if, for the life of you, you can’t fall in step with a social platform, like Twitter for example, give it up. Different mediums are going to work better for some people than others. The salesperson with quick wit might enjoy success writing copy that converts on Facebook while the salesperson with artistic DNA will find more success sharing photos on by a visual platform, like Instagram. For me, this question-mark-platform was Pinterest. I never quite got it and after trying unsuccessfully to convert clients off Pinterest over time, I finally gave it up and dedicated more of my time to video and YouTube.

Beware the V Word

Every post on social media, every action step and every strategy should move you closer to your end-game: selling more cars. Increasing visibility with prospective clients online is your goal, but too often somewhere between photo sharing and videos going semi-viral, vanity rears its dreadful head. The goal of a visible personal brand is not to gain celebrity. The goal is to convert. Don’t fall down the personal branding rabbit hole, seeking attention from people who will never purchase a vehicle from you. Keep the end-game in mind and be wise about what activity truly garners results.

Laura Madison is the National Director of Sales for Alan Ram’s Proactive Training Solutions and owner of LauraDrives.com.She is a former a car salesperson, “Laura Toyota,” best known for her use of social media and personal branding. Laura’s has been featured in Automotive News, Advertising Age and Edmunds.com for her unique marketing and self-promotion efforts.

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