March 2011 Independent Dealer Magazine by FIADA

SINCE 1940

March 2011

www.FIADA.com

A Publication of the Florida Independent Automobile Dealers Association

Information and Insight for Florida Used Car Dealers

Around the state, FIADA is bringing dealers together and protecting your rights.

FIADA STANDS UP FOR DEALER RIGHTS Page 12

MEMBERS CAN GET FREE CE CREDIT Page 16

PERMIT NO. 38 FULTON, MO

PA I D PRST STD U.S. POSTAGE

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March 2011 — Independent Dealer — 1

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Contents March 2011

MAILING ADDRESS 1840 Fiddler Court Tallahassee, FL 32308 TELEPHONE (850) 385-2712 (800) 237-0448

FAX (850) 385-3251

For members of the Florida Independent Automobile Dealers Association

WEBSITE www.FIADA.com

EXECUTIVE COMMITTEE Jeff Gann President Greg Edwards Chairman of the Board John Cousins Senior Vice President Dino Mercurio Secretary Brandi Noegel Treasurer Jim Kagiliery Regional Vice President Frank Fuzy Regional Vice President George Hickey Regional Vice President Steve Marbais, CMD Regional Vice President Chris Leedom Regional Vice President FIADA STAFF Steve Jordan Executive Director Terry Myers Educational Instructor Sarah Langley Membership Coordinator Alex Romans Education Coordinator Christy Taylor Editorial/Advertising

POSTMASTER:

Send address changes to: FIADA • 1840 Fiddler Court Tallahassee, FL 32308 (850) 385-2712 • Toll Free: (800) 237-0448 Fax: (850) 385-3251 • www.FIADA.com The Independent Dealer is a publication of: Florida Independent Automobile Dealers Association, 1840 Fiddler Court, Tallahassee, FL 32308. The magazine is published every month in Tallahassee and distributed to Florida new, used, wholesale and lease/retail car dealers. Advertising rates are available upon request. The statements and opinions expressed herein are those of the individual authors and do not necessarily represent the views of Independent Dealer or the Association. Likewise, the appearance of advertisers, or their identification as members of FIADA, does not constitute an endorsement of the products or services featured.

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C O LU M N S & F E AT U R E S 4

Jeff Gann

Steve Jordan

Amnesty for dealers; Gather Go Get

President’s Message

Executive Director’s Message

Agency Updates

Renewal Time for Dealers The DMV provides tips for an easy license renewal.

FIADA opens the discussion on standardized service for Florida dealers.

Free Continuing Education Credit for FIADA Members

A revolutionary new product brings vehicle histories to customer’s cell phones.

22 24

Playing By The Rules

Capture the Code

Legislative Update Hon. John Grant, FIADA Lobbyist

FIADA Annual Convention Save the Date for FIADA’s 2011 Annual Convention at the Gaylord Palms Resort in Orlando, FL.

Member Testimonial Dino Mercurio, Prime Autos

UPCOMING EVENTS April 8-9, 2011 FIADA Board of Directors Meeting Renaissance Resort at World Golf Village St. Augustine, FL

July 15-16, 2011 FIADA Board of Directors Meeting Ritz-Carlton Palm Beach Manalapan, FL

March 2011 — Independent Dealer — 3

FROM THE PRESIDENT

Our Gift to You BY JEFF GA NN

ecoming an entrepreneur in America is the dream of many and has been the basis of our astounding economic rise over the last two centuries. Our economic system has provided this opportunity in a way that no other has in the world. Although the ability to start one’s own business still exists, it is certainly more challenging than ever. Rules, regulations, laws, paperwork and capital requirements have made the climb up the mountain a lot steeper. The marketplace itself also poses challenges. Want to start a hardware store? Can you compete with Lowe’s and Home Depot? How about a grocery store going head to head with a Publix? Or a small jewelry store; can it compete with Zales or Jared’s? Used automobile sales, in spite of increasing competition from emerging chain and franchise operations, appear to be one of the last bastions of self-employment. Although this is true, many going into this business for the first time are often unaware of the many requirements and complexities of being successful in it. The traditional “mom and pop” operations will find that their hat-rack will need many hooks on it. Being unable to outsource certain functions the way larger companies can, mom and pop will need basic legal, accounting, and business resource information that may simply be unattainable for various reasons. The cost is obviously one impediment, but in the information age we live in the sheer volume of it makes the task of sorting through it and finding the information pertinent to your situation quite daunting. I believe the fairly high number of people who go to dealer school and do not obtain a license may have been

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derailed by this phenomenon. It is also likely that those who do obtain their license but survive only a short time fail due to the fundamental lack of these type of resources. Of course, if you could hire lawyers to help with compliance and consultants who specialize in the automotive industry, you may be able to avoid these pitfalls. But wouldn’t it be better if you could accomplish all this for what one high powered lawyer charges for a mere hour of his time? In fact, it is quite likely that the return on this small investment will be many times over if it reduces your financial and legal risks and liabilities while increasing sales, profitability and customer satisfaction. The FIADA offers you this and much more. Times may be tough, but you will never make a more effective or powerful investment in your business than through membership. In fact, I believe that tough times make it even more important that you have access to the powerful resources that come with membership. Regardless of whether you are new to the business or have been in it for a hundred years, the FIADA has much to offer that is far in excess of the small membership dues. Don’t look a gift horse in the mouth….Feed it! Best Wishes, Jeff Gann FIADA President www.fiada.com

ASK US FOR DEALER BONDS, TOO!

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February 2011 — — Independent Independent Dealer Dealer — — 55 March 2011

EXECUTIVE DIREC TOR’S MESSAGE

FIADA and Palm Beach Tax Collector Reach Accord BY STE VE J ORDA N, F I ADA EXEC UTI VE DI REC TOR

Palm Beach County Dealers will be able to continue to use the county’s Tax Collector Offices for titling & registration services in the same way they are now…thanks to the efforts of the FIADA.

n the absence of specific rules outlining how the various Tax Collector Offices around the State service the driving public’s titling & registration services through the auto dealer community, dealers could easily be dealt another hand like the one we had in Palm Beach County recently. In January, the Honorable Anne Gannon, Palm Beach County Tax Collector, announced to the county’s dealers that her office would be “discontinuing our motor vehicle titling & registration services for automobile dealers” and that her offices will be “outsourcing titling & registration work to (a private tag agency).” As the outcry from dealers poured in, we reached out to Ms. Gannon’s office to reach a viable solution that would allow dealers to continue to use her offices as a point of entry for these services and we recently announced the conclusion to our discussions with her office with a joint memo. An abridged version is below, for a complete version of the joint memo, please visit www.fiada.com.

JOINT MEMO FROM FIADA AND PALM BEACH TAX COLLECTOR ANNE GANNON In response to the recent letter to Palm Beach County dealers from the Honorable Anne Gannon outlining titling and registration changes due to go into effect on March 1, 2011, representatives from the Palm Beach County Tax Collector’s office and the Florida Independent Automobile Dealers Association (FIADA) met to clarify how dealers in Palm Beach County can continue to use the Palm Beach County Tax Collector’s office for titling and registration after this date. Tax Collector, Anne Gannon, has since agreed to push back the implementation start date for these changes to April 1, 2011 and this joint Memorandum seeks to clarify what titling and registration options are available to dealers after this date and how they can continue to use the Tax Collector’s office locations in Palm Beach County as a point of entry for completing this time sensitive work effectively.

Beginning April 1, 2011: Under the new procedures beginning April 1, 2011, dealers can continue to process their title and registration paperwork through the Tax Collector’s Office, including its various branch locations, in largely the same way they are doing now. Dealers have several options from which to choose to complete title and registration paperwork. They can drop off completed deal paperwork at the various county Tax Collector offices, process through an EFS provider (i.e. Title Tec or CVR) at the dealership level, choose to use a private tag agency or use the Que-flow ticket system and stand in 6 — Independent Dealer — March 2011

line at the Tax Collector’s office for immediate processing of no more than two deals at one time. Dropping off Completed Deal Paperwork: Palm Beach County dealers may continue to drop off title and registration paperwork at any Tax Collector’s Office for completion later by the Tax Collector’s Office. However, in order to improve the efficiency of this process, the Tax Collector is centralizing its dealer processing to the Lake Worth Office located at 3551 South Military Trail in Lake Worth. Dealers will still be able at this time to drop off their paperwork at any branch office, with the understanding that the Tax Collector’s Office will utilize staff runners once a day to deliver the paperwork from other branch offices to the Lake Worth Office for processing, and once completed, will return the completed paperwork to the branch office for pick up by the dealers (unless the dealer prefers to drop off and/or pick up the paperwork directly at the Lake Worth Office in order to speed the process and turn around time ). For example, if a dealer drops paperwork at the North County branch office, the Tax Collector will send it to Lake Worth Office for processing, to be delivered back to the North County branch office after completion (or if preferred, the paperwork can be dropped off and/or picked up directly by the dealer at the Lake Worth office). All work will be processed in the order it is received by the Tax Collector, and as quickly as possible given the Tax Collector’s available resources and the actual demand volume at the time. www.fiada.com

EFS Clients For the Tax Collector’s EFS clients, the procedure will largely continue as before. Dealers may continue to utilize their respective agencies, and depending upon the software company used (Title Tec or CVR), the paperwork for review by the Tax Collector must be delivered to the appropriate Tax Collectors Office in West Palm Beach or Palm Beach Gardens within 24 hours of processing the work. Private Tag Agencies As a means for added convenience or enhanced customer service for an additional fee, the Tax Collector’s Office is also introducing the use of a private tag agency located in Palm Beach County as a resource that will offer dealers another option for transacting their regular or EFS title and registration work within the county. Dealers are free to choose whether to use a private tag agency based on numerous factors, and the Palm Beach Tax Collector has contracted with the “Palm Beach Tag Agency” to serve as an agent of her office to provide such services. For more information regarding the services offered by Palm Beach Tag Agency, please contact Ania Perez, Office Manager. Que-Flow Ticket System If a dealer needs immediate processing of paperwork and decides to stand in line at one of the Tax Collector offices, the dealer will be limited to processing two pieces of work per one queuing ticket. Should the dealer require processing of more than two they must obtain another queuing ticket to process the next two pieces. Overall we feel like the process in Palm Beach County and the solutions reached could serve as a good model to begin the discussions at the State level and the Department to level the playing field of dealer services through the various Tax Collector offices. www.fiada.com

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A G E N C Y U P D AT E S

Amnesty For Dealers With an Inactive MVRIS License December 31, 2010 was the deadline to renew your Motor Vehicle Retail Installment Seller (MVRIS) license. If you missed the deadline, be reassured in the amnesty program offered by FIADA and the Office of Financial Regulation (OFR). According to the Florida OFR nearly 70 percent of Florida dealers holding the two-year MVRIS license failed to renew it last year. In a joint effort with the Florida Auto Dealers Association (FADA), FIADA reached an amnesty deal with the Florida OFR to ensure that dealers who—as an oversight— did not renew their MVRIS license and are still financing car deals.

Currently, a dealer who is offering financing without an active license can be fined up to $1,000 per violation (or each contract). To avoid the fine, dealers who held an active license but failed to renew it before the deadline may now reactivate their license before June 30, 2011 and avoid paying those administrative fines. To take advantage of the amnesty program, dealers can reactivate their license by accessing the Office of Financial Regulation’s REAL System on its website at www.real. flofr.com and completing the renewal process. By Florida Statute, the cost to reactivate an inactive license

includes the renewal fee of $175 and the reactivation fee of $175 for a total of $350. Regulatory statutes mandate all inactive licenses expire after June 30, 2011. Any business that does not renew their license before this date and wants to obtain a new license will be required to reapply and be subject to administrative action including, but not limited to, an administrative fine for any unlicensed activity. For more information, or questions about using the REAL System to renew your license, call the Office of Financial Regulation at (850) 410-9895.

Drivers Have to Gather, Go and Get There are new requirements for obtaining and renewing a Florida driver license or ID card. As of Jan. 1, 2010 the Real ID Act requires additional levels of identity documentation for the security and safety of all Floridians. For the past year, anyone going to a driver license office to get a license or ID must bring original documents that prove their identity, social security number and residential address. That would include items such as a birth certificate, U.S. passport, social security card, W-2 or mortgage statement. To help people remember the new requirements and emphasize proper preparation, the Department of Highway Safety and Motor Vehicles is using the slogan, “Gather, Go, Get.” The additional security requirements affect renewals as well. License holders are allowed a one-time “green light” to renew their license by mail or over the internet, without having 8 — Independent Dealer — March 2011

to show original documents. The next renewal will have to be completed in a driver license office, however, and they must provide all requested documentation to prove their identity. These changes to obtaining a driver license or ID card are a result of the Real ID Act, which was passed by Congress in 2005 as an effort to enhance security, reduce identity theft and better current immigration enforcement. Additional requirements for proof of identity are needed for non-U.S. citizens who are seeking legal forms of identification. As a courtesy for your customers, you can find a variety of materials explaining the new requirements of the Gather Go Get program. Log on to www.FIADA.com and click on Gather Go Get. The link will take you to the DHSMV’s website that gives further information as well as printable brochures and posters to give to your customers. www.fiada.com

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March 2011 — Independent Dealer — 9

ere in the Sunshine State, independent auto dealers represent a significant part of our business communities. The Department of Highway Safety and Motor Vehicles reminds independent dealers, auctions, salvage dealers and wholesale dealers that now is the time to renew your dealer license. Renewal applications, fees and required documents must be filed to ensure the timely renewal of your motor vehicle dealer’s license. On Feb. 14, the Department e-mailed renewal notices and applications to all licensed independent dealers, auctions,

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Training Schools at www.flhsmv.gov/ dmv/L_Dealer_Trng_Sch.pdf. The following documents are required with the renewal application: Primary Location • Completed license renewal application form HSMV 86720. • $75 renewal fee for the primary location. If the completed application, all required documents, and fee are not received for the primary location by April 30th, a $100 delinquent fee is due for a total renewal fee of $175. • An original surety bond, original irrevocable letter of credit, or original

]

To ensure the proper processing of your renewal, please do not submit your application to Tallahassee. All checks must be made payable to DHSMV.

salvage dealers and wholesale dealers. A completed renewal application form (HSMV 86720, “Renewal Application for Motor Vehicle, Mobile Home, or Recreational Vehicle Dealers”) must be submitted to the local Regional Office responsible for your dealership. This form is available on the Department’s website at www.flhsmv.gov/html/forms. html. The Regional Office list can be accessed at www.flhsmv.gov/dmv/BUR_ Field_Ops_Address.pdf and the Dealer 10 20112010 10 — — Independent Independent Dealer Dealer — — March December

continuation certificate in the amount of $25,000 for motor vehicle dealers, auction dealers and independent dealers. The Dealership’s Principal must sign the surety bond and Irrevocable Letter of Credit. • A copy of Garage Liability insurance which must include at a minimum, $25,000 combined single limit liability coverage including bodily injury and property damage protection and $10,000 personal injury

protection or a general liability policy coupled with a business automobile policy which must include at a minimum, $25,000 combined singlelimit liability coverage including bodily injury and property damage protection and $10,000 personal injury protection. Signature of the insurance agent is required on all insurance policies. • Dealer License Continuing Education course certificate of completion or a pre-licensing Dealer Training Seminar for independent dealers only. • A copy of the certification from the Florida Department of State, Division of Corporations (www.sunbiz.org) showing current registration of the business and fictitious name(s). Supplemental Location • Completed license renewal application form HSMV 86720 including current business e-mail address. • $50 renewal fee. • A copy of the surety bond, irrevocable letter of credit, or continuation certificate that was filed with the renewal of the primary lot. • A copy of the certificate of garage liability insurance or a general liability insurance policy coupled with business automobile policy that was submitted with the primary location renewal application. This certification must include at a minimum, $25,000 www.fiada.com www.fiada.com

combined single limit liability coverage including bodily injury and property damage protection and $10,000 personal injury protection. Copy of the certificate of garage liability insurance or general liability insurance is required and must be signed by the insurance agent. Effective this licensing period, the Department will be issuing your renewal license on white paper with a raised embossed State of Florida stamp seal.

one of our Regional Offices, please see www.flhsmv.gov/dmv/BUR_Field_Ops_ Address.pdf. Effective March 15, your local Regional Office will be available to assist you from 8:00 a.m. to 5:00 p.m., Monday through Friday.

Valuable information on licensing procedures and requirements is available on our website at www.flhsmv. gov/html/titlinf.html under “Dealer, Manufacturer, Distributor and Importer Information. For assistance in locating

The Department of Highway Safety and Motor Vehicles salutes all of our industry partners, and we greatly appreciate your assistance and cooperation in the timely renewal of your dealer license.

IMPORTANT WEBSITES: Bookmark these helpful sites for you reference when renewing. Renewal Application and other forms, www.flhsmv.gov/html/forms.html DMV Regional Offices, www.flhsmv.gov/dmv/BUR_Field_Ops_Address.pdf Licensing Procedures and Requirements, www.flhsmv.gov/html/titlinf.html Find links to all of these resources at www.FIADA.com

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The Department has also moved to electronic communication of important notices, renewals and legislative changes to licensed dealers statewide. Therefore, it is important for you to update your renewal application with a current business e-mail address for your dealership. Please avoid using e-mail addresses of your staff on the application as notices

may not reach your dealership if the staff member no longer works at the dealership. You should immediately notify the Regional Office responsible for your dealership of any changes in your business e-mail address.

www.fiada.com

March2011 2011 — — Independent Dealer — 11 March

Rather than leaving it up to chance, FIADA begins discussions on a consistent level of statewide services for dealers.

sed car dealers have to play by a lot of rules. County ordinances, state statutes, federal regulations—the layers of government oversight can feel stifling at times. Businesses are expected to stay compliant and are well aware of the consequences that will ensue if they don’t. Naturally, you would expect government officials and state agencies to follow their own set of rules. You would hope there was some mechanism in place to ensure consistency and fairness across county lines. Surprisingly, that is not always the case. Government officials and state agencies generally have some leeway when it comes to carrying out their duties. As long as they fulfill the responsibilities that are statutorily required of them the way they do it is not as important. The lack of formal policy can leave the door wide open as to the level of services they provide, as dealers in Palm Beach County recently discovered. When dealers in Palm Beach County were told by Tax Collector Anne M. Gannon that starting in March they would no longer be able to bring batches of tag and

12 — Independent Dealer — March 2011

title work to her offices, they were upset. Instead of using the tax collector’s office as they always have, they would now be directed to take their transactions to a private tag agency and forced to pay an additional fee.

Director Steve Jordan said. “Using what happened in Palm Beach County as an example we would like to engage the Department in rule-making for titling and registration and help level the playing field for dealers and ensure a minimum level of service.”

In an effort to support members, and essentially all dealers in the county, FIADA chose to get involved. Not only did the Association feel they had a duty to protect dealers, but also they saw that by working toward a positive outcome there was an opportunity to begin a statewide dialogue about the level of services offered to dealers around the state. As it currently stands, some counties offer full-service dealer windows and allow multiple transactions to be dropped-off and picked-up later. At the same time, another county offers no services to dealers and requires everything to be processed by outside vendors. The variance is something FIADA would like to see studied and ultimately resolved by defining a consistent set of guidelines that should be followed by all offices around the state.

Jordan says that in the specific instances of tax collectors, the Department of Highway Safety and Motor Vehicles has the ruling authority to create a standardized set of expectations for how dealer tag and title work is processed. Florida statues designate tax collectors as the official agents of the Department for titling and registration, and according to Jordan, puts DHSMV in the unique position to weigh-in and offer its opinion on the level of service that should be maintained. Such a step could prevent

“In the absence of rules, this is what happens,” FIADA Executive

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March 2011 — Independent Dealer — 13

other offices from trying to deny dealers the right to use the tax collector’s office as the official tag and title processing point. In Palm Beach County, FIADA and the Hon. Anne Gannon were able to reach a positive compromise. Dealers will be allowed to continue to use the tax collector offices as a drop-off point for tag and title work, while also having the option to use the private tag agency if they choose. The process of reaching that final outcome revealed some interesting scenarios that FIADA hopes can be used as case studies for the future.

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transaction is processed, for all intended purposes the deal is complete. It has been recorded with the Department and entered into its electronic database. An EFS transaction only requires the final review and approval of the tax collector, or private tag agency, and not the processing work that goes along with a traditional deal. In the minds of dealers, the idea of a one-size fits all fee is not acceptable and something FIADA thinks should be added to the list of concerns that need to be addressed.

}

“In the end, we are here to look out for the best interests of dealers when others do not.

Jordan suggests that the process of what happened in Palm Beach County is a positive step for dealers around the state. Hon. Gannon’s —Steve Jordan, FIADA Executive Director willingness to listen The Palm Beach to concerns and County example work with dealers is brings light to appreciated by the another issue that needs clarification. In this instance, Association. In the end, everyone went home a winner. to use the private tag agency’s services dealers would pay a fee estimated to be around $20. Under the original “The solution to the problem of county-to-county outsourcing plan, all dealers would have had to pay this inconsistency is mirroring what was accomplished in Palm fee, including dealers who participate in an EFS program. Beach County. Providing multiple choices for dealers is a As an EFS participant, dealers already pay a fee to their good thing,” Jordan said. “In the end, we are here to look contracted vendors to use their services. When an EFS out for the best interests of dealers when others do not.”

Your Chance to Weigh-In On the Issues: We need your help! Join our discussion on dealer services and enhancing member benefits at our next quarterly board meetings. You do not have to be a Board Member to participate in the meeting and we want to hear what you have to say. April FIADA Board of Directors Meeting & Town Hall Meeting April 8-9, 2011 The Renaissance Resort at World Golf Village 500 South Legacy Trail St. Augustine, FL 32092 FIADA Group Rate: $139/night Reservations: 800.266.9432 14— —Independent Independent Dealer Dealer— —March March2011 2011 14

July FIADA Board of Directors Meeting & Town Hall Meeting July 15-16, 2011

Watch Your Inbox for more information, or go online to www.FIADA.com

The Ritz-Carlton Palm Beach 100 South Ocean Blvd Manalapan, FL 33462 FIADA Group Rate: $179/night Reservations: 561.533.9600 www.fiada.com

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March 2011 — Independent Dealer — 15

The FIADA Board of Directors recognizes that in this recovering economy, renewing your continuing education credits is just one more expense you are required to spend. To make it easier, for a limited time FIADA Members can now get their continuing education credits online for free.

NON-MEMBERS*

$19.

*for a limited time

For Groups:

Now is the perfect time to let your whole office brush up on their skills. As a member, you can allow an unlimited amount of students to participate in the online CE course. Title Clerks, Finance Managers and other office leaders would benefit from this course. Go online to www.FIADA.com and sign up your group.

OnSite:

Getting credit for your Continuing Education has never been easier, or faster. DMV representatives will be on hand at the FIADA on site CE classes to accept and process your license renewal applications. Check FIADA.com for dates and locations.

FIADA Online Continuing Education is:

Convenient - You have up to 90 days to complete the course. Immediate - Print your continuing education certificate after completion. Accurate - Jointly developed by FIADA and the DMV.

Go Online to www.FIADA.com, or call FIADA at (888) 587-0004. 16 16 — — Independent Independent Dealer Dealer — — March March2011 2011

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March 2011 — Independent Dealer — 17

or nearly two decades, consumers have been programmed to ask for the vehicle history report when buying a used car and even if they do not understand what they are reading, they feel safer having a piece of paper that can give them a glimpse at the car’s past life. The consumer demand has made it essential to prove the pedigree of every vehicle on the lot and now a new product promises to make it even easier for the consumer to feel confident while at the same time providing potential leads to the dealer. Auto Data Direct, Inc., a Tallahassee-based technology company that provides titling, registration and other support services for dealers, has a new product that utilizes the flexibility of a Quick Response (QR) code to access vehicle history data. Named the Dealer ADD StiQR (state title information quick response), this new program allows dealers to input a VIN number into ADD’s internet-based system and output a window sticker from a desktop printer. The StiQR will include the basic facts like make and model along with a QR code customers can access from their phone to gain immediate access to the dealer’s website, descriptive details about the car and information about the car’s history pulled straight from the National Motor Vehicle Title Information System (NMVTIS). How’s that for information at your fingertips?

WHAT IS A QR CODE? As smartphones and devices become more and more popular, this gateway to a new digital world has the potential to bring customers right to your dealership. 18 — Independent Dealer — March 2011

Smartphones and devices have become somewhat of a phenomenon in the last few years. According to a research study by technology expert comScore, over 45.5 million people in the United States owned smartphones in 2010 out of 234 million total subscribers. By the end of 2011, The Neilsen Research Company predicts more smartphones will be in use than “feature” or traditional cell phones with a number somewhere around 145 million. Why are smartphones, and devices such as the iPad and other wi-fi enabled tablets so popular? They

are portable, they are cool and they offer pocket-sized access to instant information and entertainment. With a smartphone, there is no such thing as “down-time” anymore and even the five minutes you spend waiting for a deposit at the bank can be used to surf the internet or watch a television show. The apps available for mobile phones are becoming as sophisticated and advanced as the devices themselves. One of the latest crazes is the use of QR codes. Short for Quick Response code, the QR code is a twodimensional code that can be placed www.fiada.com

“Our company has grown by listening to our customers – the dealers – and finding ways to help them better serve their customers,” said Jim Taylor, President of Auto Data Direct, Inc. “The ability for a dealer to provide this type of detailed information at the point of sale increases the consumer’s confidence in their product. The StiQR is a very effective and efficient way to get pertinent information in the hands of consumers.” For five dollars each, dealers will receive a blank sticker and two initial pulls off the NMVTIS system. Once the QR is generated, the dealer opens the final sticker using Adobe Acrobat and prints it as a normal document, meaning there is no special program or equipment to buy. “Throughout the development and testing process for this new product, we wanted to ensure that it was easy for the dealer to implement and for the consumer to use,” Taylor said. “I believe we’ve achieved both of those goals. Consumers are already accessing information at grocery anywhere (i.e., magazines, newspapers, clothing) and when scanned by the camera of a smart device will take the user to a webpage, launch an email application or connect to some other multi-media digital content for a truly interactive experience. The only requirement is to download a free barcode reader app to the device. Marketers are taking full advantage of QR popularity. Companies like Best Buy are placing them in their advertisements to link shoppers directly to the product specification and order page. Magazines and newspapers are using QR codes to drive traffic to their websites by offering additional resources or information on articles. There seems to be no limitation to the uses of the www.fiada.com

stores and other retail outlets using free QR code applications on their smartphones. When our team unveiled the StiQR at the Washington Auto Show in January, we watched children walk up to our booth and scan the code.” Customers seem more than ready to embrace this new technology. According to a study by Pew Research Center, 60% of American adults access the internet with a cell phone or other mobile device and the numbers are growing every day. The same study reports that smart phone use is growing fastest among 30 to 49-yearolds, which could be considered a prime, car-buying demographic. The live ADD StiQR has proven to have versatile uses for the dealer. For starters, sales staff can use them as an “ice breaker” to make contact with shoppers and innocently capture their information. With phone in-hand, the salesman can scan the code, share the info with the customer and offer to email them a copy for their own review. The customer walks away QR code and as they become more mainstream, they are showing up everywhere. One of the best benefits for a company using QR codes in marketing efforts can be found in the ease of making them as well as the ability to track how they are being used. There are several web-based companies that will generate QR codes for free. Some of the most popular include Google’s URL shortener (www.goo.gl), Kaywa by Datamatrix (www.qrcode.kaywa.com) and Zebra Crossing’s QR generator (www.zxing.appspot.com/generator). A simple internet search of “qr code generators” returns a long list of sites that can create a QR code with customizable features including size, file format and color.

confident in the car’s reliability and the salesman leaves with a real, working email address and other contact information. When the dealership is closed, the StiQR can also act as a “silent salesman” designed to share basic information upon the customer’s scan and again capturing email addresses if the customer chooses to send a copy of the history report to himself. Dealers have access to the scan reports and can also use the data to see which cars are being scanned and which are not, which could tell the dealer a lot about his inventory and even fine-tune what types of cars are most popular with potential buyers. The history accessed by the code is data taken straight from the NMVTIS, a U.S. Department of Justice database that contains information from 39 states currently reporting to the system. Consumers will see either green check symbols or yellow exclamation points next to brand categories like “Total Loss,” “Salvage” and “Flood,” as well as title history and insurance information. continued on page 20. Dealers who are interested in pushing the technology envelope could use QR codes to market their own businesses. Including your website’s QR code on a business card or even on your signage makes it that much easier for a customer to connect. Incorporating a QR code in your newspaper ad that links to a Google map of your business can help your customers find you easily. If you start using QR codes in marketing materials, make sure you track them. Most of the code generators can provide you with analytic information that will include how many times the code was scanned as well as the time it was scanned. All can be useful when trying to crack the code on your marketing strategy. March 2011 — Independent Dealer — 19

CAPTURE THE CODE continued from page 19. Auto Data Direct President Jim Taylor (right) gives Governor Rick Scott a preview of the SitQR product. Florida dealers are among the first to have access to this new technology that uses QR codes to link to a vehicle history.

The history is intentionally concise and visually simple to give the consumer just enough information to know they are safe to buy the car. NMVTIS reports major, critical data about the vehicle but does not include minor accidents, service history or evaluation guides. “The NMVTIS vehicle history provides data that will give the consumer piece of mind that the vehicle is safe. It will tell them if there were any Salvage records, Odometer Discrepancies or Title Brands,” Taylor said. is also working with ADD to develop a member’s only sticker that will allow FIADA dealers using StiQR to include the Association’s logo on the sticker for an extra layer of customer confidence. “As an Association we are always looking for ways our dealers can

leverage technology to sell more cars and provide better customer service,” FIADA Executive Director Steve Jordan said. “This product does that by helping customers through the sales process and making them even more comfortable with the vehicle they are purchasing.”

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The StiQR product is now available to dealers and can be purchased through the company’s website at www. ADD123.com. By entering the promo code FIADA when completing the sign-up, ADD will give a percentage of the sale back to the Association to be used for enhancement of current and future member benefits. FIADA

20 — Independent Dealer — March 2011

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March 2011 — Independent Dealer — 21

L E G I S L AT I V E U P D AT E

Start of Session BY HO NO RABLE JOHN GRA NT, F I A DA LOBBYI S T

ell, it’s that time of the year when they say, “neither life nor limb is safe when the Florida Legislature is in session.” With the usual pomp and circumstance lacing political speeches and lavish parties, the legislature convened the first Tuesday after the first Monday in March, as provided in the Florida Constitution. Legislators wasted no time in getting down to work, bringing major bills to the floor of the House and Senate the very first week of the session. There are three major issues permeating this year’s session including balancing a budget laden with a current $3.5 billion deficit, reducing the size and cost of government and the creation of jobs all while trying to cut taxes. Unfortunately, reducing the draconian increases in automobile user fees raised so high two years ago, doesn’t seem to be in the mix, although it is in the back of a lot of people’s minds and still could happen at the last minute. Last year, all of FIADA’s legislative effort was aimed at one thing, the passage of HB 631. We were successful thanks to so many of our members who helped to push it through the process. It passed, became law and not only all dealers, but all Floridians are better because of it. This year, we are ever vigilant to make sure that no changes are made to that law we fought so hard to pass. Not only did we pass substantive legislation, but with both our legislative and political involvement, people on the hill know who we are and the political “oomph” we bring to the table. We want to continue to do that this year, by letting people know we are there watching what they are doing and offering either our help or our opposition to issues and legislation that effect our dealers, either directly or indirectly. 22 — Independent Dealer — February 2011

In a continuation of our efforts to increase the profile of dealers in the state capital, we want to encourage you to set aside a day or two to come to Tallahassee and meet your legislators. Tuesday through Thursday is when most of the action takes place, and a time when you can get the most bang for your buck. If you can attend, call the FIADA office and register the dates you will be coming. We will help you coordinate your visit, suggest places to stay and brief you on the agenda for the day or days you will be there. You will get a personal early morning briefing by myself or Jen Lux who will aim you in the right direction and help plan your day and suggest legislators to visit. You will also be given material to discuss with legislators and staff. If enough dealers will participate, we will have a real impact. Also, consider bringing your children or grandchildren for a real up-front civics lesson and consider staying an extra day to see the museum, Supreme Court and the like. Our legislative staff will help you to plan your day of “civic sightseeing.” Our message this year to legislators is to cut our regulations and let the free enterprise system work. Car dealers are the epitome of small business. When government downsizes government, taxes and fees go down and more people have more money to buy items like those we sell. That’s our song and we will be singing it all session. Be one of those who comes to the capitol and joins the chorus.

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March 2011 — Independent Dealer — 23

The FIADA Annual Convention is back! Join us this year at the Gaylord Palms Resort in Orlando for a weekend of: Continuing Education Networking Golf Tournament and more!

More Info To Come! Go online to www.FIADA.com for more information.

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March 2011 — Independent Dealer — 27

Independent Dealer Magazine

28 â&#x20AC;&#x201D; Independent Dealer â&#x20AC;&#x201D; March 2011

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2010-2011 Executive Committee Are you looking for advice or suggestions? As the Association’s leadership, these men and women have volunteered to make themselves available to all members for advice, discussion and assistance.

SENIOR VICE PRESIDENT John Cousins Southeast Car Agency Gainesville, FL 352.377.7787 cousj1@aol.com

TREASURER Brandi Noegel Noegel’s Auto Sales Starke, FL 904.964.6461 brandi@noegels.com

REGIONAL VICE PRESIDENT Chris Leedom AutoMaxx Sarasota, FL 941.309.1111 jon@goautomaxx.com

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REGIONAL VICE PRESIDENT REGIONAL VICE PRESIDENT REGIONAL VICE PRESIDENT REGIONAL VICE PRESIDENT George Hickey Steve Marbais Jim Kagiliery Frank Fuzy Bond Auto Sales, Inc. Marbais Enterprises, Inc. Brightstar Financial Group, Inc. Century Motors of South FL Tampa, FL 34761 Ocoee, FL 34761 Jacksonville, FL Pompano Beach, FL 813.238.7478 407.877.7422 904.400.6190 954.785.0369 bondauto@gte.net centurymotorscar@aol.com jzk@drive100.com marbais@cfl.rr.com

SECRETARY Dino Mercurio Independent Credit, Inc. West Palm Beach, FL 561.686.8673 primeauh@bellsouth.net

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Chairman of the Board President Greg Edwards Jeff Gann Greg Edwards Enterprises Lakeshore Motors Daytona Beach, FL East Lake Weir, FL 386.323.1888 352.288.4512 lakeshoresales@embarqmail.com gregedwards@bellsouth.net

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March 2011 — Independent Dealer — 29

MEMBER TESTIMONIAL

My FIADA Story: NAME: Thomas “Dino” Mercurio, Prime Autos YEARS IN BUSINESS: 41 KIND OF BUSINESS: Retail sales, BHPH MEMBER SINCE: 1979 ACCOMPLISHMENTS: FIADA President (1997), Quality Dealer of the Year (2004), Man of the Year (2008) CURRENT STATUS: FIADA Secretary, Legislative Committee Chairman Dino Mercurio grew up in the car business. His father, Peter, and Uncle John had built very successful businesses in West Palm Beach and built a legacy that Dino would one day inherit. As a kid, learning from his father and uncle, Dino first learned of the Florida Independent Automobile Dealers Association when he would accompany them to meetings and conventions. He remembers it was fun, but he also remembers being impressed by the business and the dedication and camaraderie of the members. Even though membership in FIADA was never a question for Dino or his family, he never took it for granted. Once he became a full-time employee at Prime Autos he chose to become a full-time member in FIADA. He attended all the meetings and conventions, but he also served on the Executive Committee, as President and consecutive terms as Legislative Chair. Dino says he always been the type of person that does not want other people telling him what he can or cannot do. That was part of the reason he was eager to chair the FIADA Legislative Committee. As Chairman, Dino would have the ability to protect dealer rights in Tallahassee and look out for his own business. The Legislative Committee has had many successes over the years like successful defeat of proposed “lemon laws,” the creation of an Automobile Dealers Industry Advisory Board (which Dino also chaired) and of course last year’s passage of HB 631 which added teeth to curbstoning efforts around the state. Out of all of those, there are two things Dino says he is most proud of because of the power they have given him as a Buy Here, Pay Here dealer trying to collect on bad debts. FIADA was successful in passing legislation that created a Lienholder Task Force to study issues concerning lienholder rights. The group, comprised of representatives from buy here, pay here dealerships, finance companies, insurance companies and others was chaired by fellow FIADA member Jim Kagiliery and spent one year meeting to discuss a variety of issues. As a result of the task force’s recommendation, the Lienholder Surrender Stop was created, allowing lienholders to put a “stop” on tag renewals when there is an outstanding debt on the vehicle. Dino says he has settled over 60 accounts within the last year because of this tool.

Want to tell your FIADA Story? Email us at info@fiada.com 30 2011 30— —Independent Independent Dealer Dealer— —March February 2011

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