September 2010 Independent Dealer Magazine by FIADA

since 1940

September 2010

www.FIADA.com

A Publication of the Florida Independent Automobile Dealers Association

Information and Insight for Florida Used Car Dealers

Check out the Convention Preview and get a sneak peek. Page 17

PERMIT NO. 38 Fulton, Mo

PA I D PRST STD U.S. POSTAGE

www.fiada.com

September 2010 — Independent Dealer —

PAID ADVERTISING — Independent Dealer — September 2010

www.fiada.com

Your convention registration will give you access to this important event as well as the 17 in-depth industry workshops and other convention activities.

September 2010 â&#x20AC;&#x201D; Independent Dealer â&#x20AC;&#x201D;

PAID ADVERTISING — Independent Dealer — September 2010

www.fiada.com

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

FAX (850) 385-3251 WEBSITE www.FIADA.com

EXECUTIVE COMMITTEE

Greg Edwards President Jim Kagiliery Chairman of the Board Jeff Gann Senior Vice President Jeff Zupec Secretary Dino Mercurio Treasurer

Contents September 2010

For members of the Florida Independent Automobile Dealers Association

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

Mario Allmond Regional Vice President Brandi Noegel Regional Vice President George Hickey Regional Vice President Steve Marbais, CMD Regional Vice President John Cousins Regional Vice President

Greg Edwards

Steve Jordan

Iven and Jenny Streckel are old-fashioned dealers in Pensacola.

FIADA STAFF Steve Jordan Executive Director Ginger White Director of Membership Recruitment & Retention Terry Myers Educational Instructor Sarah Langley Membership Coordinator Alex Romans Education Coordinator Christy Taylor Editorial/Advertising

John Grant, FIADA Lobbyist

Fast Cars and Freedom: FIADA’s Annual Convention & Expo

A sneak peek at the upcoming convention worshop with George Dans.

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.

www.fiada.com

President’s Message Executive Director’s Message The Sales Frontier Legislative Update

Unstoppable Sales in a New Economy

Times Are Changing, Are You? Mike Jackson explains how to make the most of your online presence.

Renew your Motor Vehicle Retail Installment Seller License

Convention speaker George Martinez explores this labor question.

Update From the Office of Financial Regulation Employee vs. Independent Contractor

UPCOMING EVENTS October 15-16, 2010 FIADA Annual Convention & Expo TradeWinds Island Resort St. Pete Beach, FL Reserve your hotel room today. Space is limited. Call TradeWinds today at (800) 808-9833. Register for the convention at www.FIADA.com or call (800) 237-0448.

September 2010 — Independent Dealer —

FROM THE PRESIDENT

Let Freedom Ring BY GREG ED WARDS

hhh…listen closely. Can you hear it? Off in the distance. It’s the low purr of a revving engine; music to the ears of any car enthusiast. Is there anything that could make it better? How about a little red, white and blue? I’m with you. There is nothing that can compare with fast cars and freedom. That is exactly why your Association has made Fast Cars and Freedom the theme for this year’s Annual Convention. In an election year, it’s easy to see the things that tear us apart. The Fast Cars and Freedom event is our way of bringing everyone back together. I am so excited about this big event that is now less than a month away. Our Executive Director Steve Jordan and his staff have worked extremely hard to line-up some phenomenal speakers and amazing workshops. This year will be the biggest convention event FIADA has ever organized with 17 in-depth industry workshops, 8 hours of continued education, and opportunities to network and learn from the best minds in the business. If you are interested in taking your business to the next step, then you will want to make sure you attend the convention. The FIADA Candidate Forum is a new feature to the Annual Convention program and was designed to allow you the chance to play a bigger role in the political process and to build relationships with the elected officials who govern our state. We have sent invitations to each candidate in Florida’s top races including Governor, US Senate, Attorney General, Chief Financial Officer and Commissioner of Agriculture. If you are still unsure of how to vote in November then come to the forum and hear what the candidates have to say about small business and the auto industry. It is a non-partisan event, and — Independent Dealer — September 2010

each candidate will be given equal time to share their agenda. The way you vote very much affects the way you do business so make sure you know who you are voting for and why. Additionally, by attending the FIADA Candidate Forum you will be helping to build the Association’s legislative profile. When legislators see the swell of involvement from our active membership and learn about the issues that are essential to our livelihood, then ultimately we will have better representation and protection in Tallahassee. Another must-do on the convention schedule is Keith Whann’s “Protecting Your Business as the Federal Government Expands: What Does the CFPB Really Mean for Dealers and Finance Companies?” We’ve all been following the progress of the Wall Street Reform bill and how it was ultimately signed by President Obama laying the groundwork for a new government agency (the Consumer Financial Protection Bureau) that we, as car dealers who provide financing to customers, will soon be regulated by. If you want to be prepared on how to work within the rules of this developing monolithic bureaucracy then you need to come to the convention and hear what Keith Whann has to say. If you’re worried about how you will find the time to leave work to attend the convention, then even more reason why you need to go! If you are not confident enough that things run smoothly in your absence, then you really need to attend and sit in on some of our sessions focused on increasing sales and maximizing profits. You’ll be able to bring back motivation and direction for your employees that will launch you into a whole new league. So what are you waiting for? Register today. Move ahead. www.fiada.com

EVERYTHING

UNDER THE SUN. Dealers can access thousands of vehicles of nearly every make and model 24/7.

PAID ADVERTISING

Our online auction offers a diverse selection of vehicles, thanks to a vast community of buyers and sellers that includes OEMs, banks, rental companies and dealers across the country. So you can quickly and easily find the right pre-owned car for your customer. And that saves you a lot of hassle, time and money.

www.fiada.com

See how SmartAuction can help your used car business by visiting smartauction.biz or calling 1.877.273.5572.

September 2010 — Independent Dealer —

EXECUTIVE DIREC TOR’S MESSAGE

State of the FIADA: Strong BY STE VE JORDAN

ast week, while thinking about my column for this month, I also realized I just passed the one-year mark in my tenure as the FIADA Executive Director, so I decided to google the words “State of the Union.” I found a website that provides every American presidential state of the union address since the year 1710. They are analyzed according to grade level and most frequent words used in the speech. It was fascinating. Not surprisingly, in the 1990s, the most prominent words were “work,” “people,” and “Americans.” After September 11, 2001, those words had evolved to “fight,” “terrorists,” and “security.” Most recently, there are words like “budget” and “recovery.” In each address, the President reassures the American people about the strength, stability, and short and long term goals of the country. When I was hired as the Executive Director a year ago, one of the main goals of the FIADA Board of Directors was to

Association’s business like a business. Measuring performance and refocusing on the details has become common-place. An unfortunate pitfall non-profit organizations fall into is the idea that because they are “not-for-profit” they can manage differently. In any business, profit or not, your financial statements are your blueprint for success or failure. How the lineitems are managed will tell the tale of your financial health. With this change in focus, I am pleased to say the FIADA is a sound financial organization. We have tripled our profitability and increased our total current asset base mainly by managing expenses and growing revenue. We have no short or long-term debt. We own our office building outright thanks to the foresight and thrift of past Board Members. We have increased efficiency through cash and spending controls and things that are “nice to have” vs. “have to have” are not on the list of our budget priorities. Additionally, we have added a new Budget & Audit Committee to our Board of Directors to provide financial and budgetary oversight to the financial side of the organization. Over the past twelve months, we have engaged our audit firm of Thomas Howell Ferguson in a fullscale audit of our 2007-2008 fiscal year-end financial statements and an accountant’s review of our 2008-2009 fiscal year. In December of this year, we will launch another full scale audit of our current 2009-2010 fiscal year which ends on October 31, 2010. Through these independent third party audits and accountant’s reviews, we have laid the groundwork for managing our Association’s business in the sunshine, and confidence is high. Because of our sound financial standing, we are now able to turn

A critical key factor in changing how we manage our financial position was to begin running the Association’s business like a business. shore up and improve the overall financial position of the Association. I was charged with the task of improving our cash controls, creating a culture of financial accountability with full disclosure and regaining stability even in these times of relative economic uncertainty. A critical key factor in changing how we manage our financial position was to begin running the — Independent Dealer — September 2010

www.fiada.com

our attention over the next year to continued membership growth and better membership services. With the addition of Ginger White as our new Membership Recruitment and Retention Director, we will provide an even higher level of continued service to our members. We will continue to look closely at additional member benefits that are uniquely attuned to the needs of Florida’s dealers like you: hard-workers who believe in America, capitalism, family, freedom, and the sheer fun of just selling cars. If you are looking for a place to get more involved in your industry or follow more closely what is happening at the state or federal levels of government, we have plenty of opportunities for you. You can rest assured that your membership dues are money well-managed and that they will provide you with a greater return than the $300 annual investment. If you haven’t joined the FIADA, I would encourage you to review our Code of Ethics and become a part of the elite group of independent auto dealers that is setting the pace and leading the way for auto dealers in the State of Florida. The State of our Union is strong. Join today. Move ahead.

www.FIADA.com

Partial proceeds from ticket sales help support the Florida Association of Food Banks. www.fiada.com

PAID ADVERTISING

The FIADA Special Membership Drawing is Back! Buy your tickets now.

September 2010 — Independent Dealer —

D E A L E R F E AT U R E

or sty Tayl By Chri

n the Old West a man’s handshake was his word. Whether he sold horses, cows or land he did not need Power of Attorney, triplicate forms or privacy consents. What an honest man lacked in money he made up for with integrity and in those days that was more important. That is still the philosophy at Frontier Motors in Pensacola. President and CEO Iven Streckel claims he does business the “oldfashioned” way with a handshake and a promise. The law requires him to complete forms and sign contracts, but he does not need to. He tells everyone “welcome to the home of an honest used car dealer. We are an endangered species.” From his desk in the middle of the 2,500 square foot office building, Iven can see everyone and everything. There are no walls, no hidden sales offices and no games. People notice something different when they come through the doors and are not confronted with a brigade of high-pressure salesmen. In fact, the customers at Frontier Motors are encouraged not to buy today, but rather take their time shopping and make sure they are happy with the deal. “We’ll write down what we’ll sell them the car for and then we tell them to go out and shop around. They usually come back soon after knowing they have gotten the best deal in town,” Streckel said. Low overhead is the secret. Streckel says they purposely keep 10 — Independent Dealer — September 2010

Iven and Jenny Streckel of Frontier Motors in Pensacola are proud of their reputation as honest car dealers.

The lot at 230 Beverly Pkwy. in Pensacola, FL.

things simple and easy so they can afford to sell cars at fair prices and still make good profits. Streckel and the nine person sales department sold 216 cars in July and, thanks to the down economy, continue to break their own records. “It seems that the worse the recession gets the better our business becomes,” Streckel said. Not only are they finding firsttime used car buyers who cannot afford to buy new anymore, they are also converting new car buyers into used car buyers. Helping their customers see the value of a used car has lead to plenty of sales. “We’ve got a motto that says before you buy a new car buy a one-year-old used car,” Streckel said. “You could go buy it new or you could buy it at our lot and save $5,000 on a one-year-old car.” That is the kind of advice that Streckel and business partner Ron Schneider, the general manager, give out on their weekly talk radio show. They spend an hour discussing car values and fielding calls from customers seeking advice on trade-ins and good deals. Streckel and Schneider have been doing the show for 14 years and are the number one-rated show for the station. The radio show has proven to be some of the best advertising for Frontier Motors as well. It consistently brings in people wanting to trade, sell or buy and once they close a deal they typically are converted into repeat

customers. Right now 68% of Frontier Motors’ business comes from repeat customers. Streckel ensures his customers have a positive experience by carving out $10,000-$15,000 of the monthly budget for customer goodwill. Rather than spending it on traditional advertising, Streckel sees it as a perfect marketing plan. Even though the cars are fully inspected before they are sold there is always the chance that something is going to happen when it drives off the lot. Putting new tires on or fixing an air conditioner for free is something many customers cannot imagine, but are very happy about. “When we tell them we will get it fixed for nothing, they are blown away,” Streckel said. Frontier Motors is a family business. Streckel’s wife, Jenny, is the office manager. The sales manager is his niece, Keisha. His brother runs the set-up department that gets the cars ready to go on the lot and another niece, Shawna, does title and stock-in work. Even if they are not related by blood, the rest of the Frontier Motors staff feels like family as well. They enjoy good paychecks and great hours, like closing weekdays at 6, Saturdays at 4 and not working on Sundays. “We have very happy salespeople,” Streckel said. Happy salespeople. Happy customers. That’s life on the sales frontier. www.fiada.com

A Unique Concept in Motor Vehicle Dealer Insurance Specializing in the motor vehicle dealer industry since 1986, over 2,000 dealers have trusted the experts at VDI. We are an independent agency allowing us access to a vast array of solutions and understand that not everyone “fits in the box”.

Vehicle Dealer Insurance, your best friend in the business.

PAID ADVERTISING

Kevin O’Connor • 877.876.4447 www.vdealerins.com Having spent a number of years as the approved agent of record for the Florida Auto Dealers Association, Kevin O’Connor was instrumental in the design and ongoing management of this very specialized and successful program. He currently sits on the state of Florida’s DHSMV Advisory Board as their insurance representative. He holds CIC and CRM designations and has published and spoken on numerous topics relating to the insurance needs of the automobile dealer industry. www.fiada.com

September 2010 — Independent Dealer — 11

INDEPENDENT DEALER MAGAZINE

12 — Independent Dealer — September 2010

www.fiada.com

FIND CARS. Notify Me

BUY CARS. DealerBlock

Receive e-mail alerts when we have the exact vehicles you need. No cost. No hassle.

Run Lists

Take advantage of 24 /7 buy-now pricing or special bid-now events. Any time. From anywhere.

LiveBlock

Save time and money by logging in to ADESA.com and downloading run lists before the sale. Fast. Easy.

Buy vehicles from wherever you are with live, interactive bidding. Never miss another auction.

Contact your nearest ADESA location: ADESA Jacksonville

ADESA Miami 786-515-2500 Sale day: Tuesday

ADESA Ocala 352-351-5100 Sale day: Friday

ADESA Sarasota 941-756-8478 Sale day: Friday

ADESA Tampa 813-620-3600 Sale day: Monday

904-764-1004 Sale day: Thursday

PAID ADVERTISING

www.fiada.com

September 2010 — Independent Dealer — 13

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

Halftime in Tallahassee BY HONORABLE JOHN GRANT, FIADA LOBBYIST

he first round of a contentious election year is over. It is half-time and the teams have gone to the locker room to analyze mistakes and determine how to capitalize on strengths when they take the field for the second and final period of the election game. This has been an unprecedented year with millions (some of it coming from candidates deep personal pockets) being spent to win voters support. While public interest has been high, voter turn-out was relatively low at slightly over twenty percent. At the state level, there was little contest for Governor on the Democratic side, but a high profile race on the GOP side, with political outsider Rick Scott beating Attorney General Bill McCollum, the establishment candidate. After their divisive primary, the Republican Party has found itself deeply divided and needs to unify quickly. Chief Financial Officer Alex Sink

campaigns. Your FIADA Legislative Committee backed legislative friends who were running for reelection and tried to identify future friends to be elected to open seats. Many were not on the primary ballot and face races in the General Election In the Florida Senate races, ten FIADA endorsed candidates were on the primary ballot and seven won. That was a win rate of seventy percent. In the Florida House races, twenty-eight FIADA endorsed candidates were on the primary ballot and twenty-five won, giving FIADA a win rate of eighty-nine percent. One of the House winners in a hotly contested and tight race was Rep. Rachel Burgin, who is FIADA’s Legislator of the Year and who introduced and passed HB 631. Another FIADA backed candidate who won a tough four way contest and won by ten points, was James Grant, the son of this writer, winning the House seat his dad won thirty years ago. James will be a strong supporter of small business and of FIADA in the House. He and many other FIADA candidates who won primaries, now have sixty days to come out of the locker room with a bi-partisan game plan for the second half General Election and FIADA needs to be there to put them over the goal line. Money is the “mother’s milk” of politics and the FIADA PAC needs replenishing for us to have the desired wallop in the General Election. Shortly, your Legislative Committee will be preparing the endorsements for November and will be sending out candidate checks. What they can send will be limited by what you as members can give. Please consider sending a check today to build up the PAC and help FIADA become more effective in the election process. Do something. Get involved in the political process, by helping local candidates, giving to the PAC and by voting in the all important upcoming General Election.

Do something. Get Involved in the political process by helping local candidates, giving to the PAC and by all means vote in the all important upcoming General Election. is gaining momentum and the stage is being set for a great race for Governor. Whichever party wins the Governor’s race and the US Senate race will have huge implications for the upcoming 2012 Florida presidential primary. Wouldbe candidates for President are already nosing around Florida looking for support. At the legislative level, there were some hotly contested races, but few surprises. There has been a high level of voter talk about anti-incumbency, but in the end, at least at the primary level, only one incumbent Florida legislator went down in defeat. FIADA’s Political Action Committee, was active in a number of races. They endorsed candidates, gave money, sponsored fundraisers and encouraged local dealers to become involved in local home-town 14 — Independent Dealer — September 2010

www.fiada.com

.11-+0) 61 $7;! Buy with confidence. â&#x20AC;˘ 60-day buy-back guarantee

Dealer Preferred vehicles are 5 years

â&#x20AC;˘ PSI included with every purchase â&#x20AC;˘ Full condition reportâ&#x20AC;&#x201D;with photos

or newer, have 100,000 miles or less and a clean vehicle history report.

Look for Dealer Preferred in-lane and online at ADESA.com.

5KOWNECUVKPI 9QTNFYKFG

,QKP VJG DKFFKPI .+8' QPNKPG CV #&'5# EQO

%QPVCEV [QWT PGCTGUV #&'5# NQECVKQP

Â&#x2026; #&'5# +0%

#&'5# ,CEMUQPXKNNG #&'5# /KCOK 5CNG FC[ 6JWTUFC[

5CNG FC[ 6WGUFC[

#&'5# 1ECNC 5CNG FC[ (TKFC[

#&'5# 5CTCUQVC 5CNG FC[ (TKFC[

#&'5# 6CORC 5CNG FC[ /QPFC[

#&'5# EQO PAID ADVERTISING

www.fiada.com

September 2010 â&#x20AC;&#x201D; Independent Dealer â&#x20AC;&#x201D; 15

16 — Independent Dealer — September 2010

www.fiada.com

convention highlights 17 In-Depth Continued Education Workshops

We’ve built a program that will accelerate your business into increased sales and higher profits. Choose from general industry topics on buy here-pay here, online advertising, legal and regulatory concerns and maximizing sales.

Dozens of Industry Expert Speakers

Get ready to learn from the best of the best. This year’s lineup of speakers and presenters is a who’s who of the auto industry. Join experts like Chris Leedom, Keith Whann, George Dans and many more.

8 Hours of Credit

In two days at the FIADA Annual Convention you will have all the continuing education credits you will need to renew your license.

New Value-Pricing Options

Special Events

It’s not all business in the schedule, we’ve saved some time to have some fun, too. The prestigious Annual Awards Banquet will feature the installation of FIADA’s new officers and the presentation of the coveted Quality Dealer, Man of the Year and Auction Person of the Year Awards. Close out the weekend at the Fast Cars & Freedom Dinner and be there for the big $10,000 special membership drawing.

Trade Show & Networking Expo

Enhance your existing vendor relationships and build new ones at the Trade Show and Networking Expo portion of the Annual Convention. You’re guaranteed to walk away with promising new contacts and essential industryspecific resources.

There is a registration package for every budget this year. Starting with a no-frills, education only deal for $99 to a family vacation for $349. Send your whole team and save.

Candidate Forum

Don’t miss this opportunity to hear straight talk from the prominent candidates running in state races for Governor, US Senate, Attorney General, Chief Financial Officer and Commissioner of Agriculture. With only 17 days before general election Tuesday it is an event you need to attend. www.fiada.com

September September2010 2010 — Independent Dealer — — 17

Conference Agenda THURSDAY, OCTOBER 14, 2010 7:30pm - 9:30pm

Past President’s Dinner (By Invitation Only)

FRIDAY, OCTOBER 15, 2010 7:30am - 4:00pm

Registration Desk Open

8:00am - 9:00am

Breakfast with Exhibitors

9:00am - 10:15am

General Session: Conference Opening & Welcome (1 hr of Continued Education Credit) Moving the Auto Industry Forward: Entrepreneurs & Regulators Working Together to Advance Small Business Carl Ford, DMV Director

10:30am - 12:00pm General Industry Workshops (1.5 hrs of Continued Education Credit each) Option 1. Maximizing Your Bottom Line in a Recovering Economy: How to Interpret & Use Key BHPH Benchmarks Chris Leedom, President & CEO, Leedom Group Sell Certified Pre-Owned Used Cars: NIADA Certified Option 2. Levels the Playing Field with New Car Dealers Christina Schrank, NIADA Certified, VP of Marketing Kyle Reese, NIADA Certified, Director of National Accounts Keith Whann, NIADA General Counsel Online Advertising in the Internet Age Part I: Option 3. Introductory Steps to Launching Your Online Presence Mike Jackson, President & CEO, Auto Search Technologies

12:00pm - 1:30pm Lunch with Exhibitors 1:30pm - 2:30pm

General Membership Meeting and Board of Directors Meeting

2:45pm - 4:15 pm General Industry Workshops (1.5 hrs of Continued Education Credit Each) Option 1. Unstoppable Sales in the New Economy: Conditioning Your Sales Force to Outsell Their Expectations & Yours George Dans, President, The George Dans Group Option 2. Fraud and Theft in the Auto Industry: Will Your Controls Detect Fraud and Theft at your Dealership? Jeff Barbacci, CPA, Partner, Thomas Howell Ferguson P.A. Russell Perkins, CPA, Principal, Thomas Howell Ferguson P.A Option 3. World Wide Sales on the World Wide Web: How to Measure Up with Dealers Going Global Frank Fuzy, President, Century Motors of South Florida Clayton Stanfield, Manager, Dealer Training, eBay Inc. Eddie Cawley, Director of Dealer Training, AutoTrader.com Keith Whann, NIADA General Counsel 4:30pm - 5:30pm

General Session: Legal & Legislative Workshop Protecting Your Business as the Federal Government Expands: What Does the CFPB Really Mean for Dealers & Finance Companies? Keith Whann, NIADA General Counsel

7:30pm - 9:30pm

FIADA Annual Awards Banquet & Quality Dealer Award

General Sessions and Keynotes FRIDAY, OCTOBER 15, 2010 │ 9:00am - 10:15am Carl Ford Director Florida Division of Motor Vehicles Conference Opening & Welcome Moving the Auto Industry Forward: Entrepreneurs & Regulators Working Together to Advance Small Business Come and hear from the one man who can easily make sense of it all. DMV Director, Carl Ford has been there every step of the way and will overview recent changes in the auto industry, lay the groundwork for what is coming from the DMV and answer your questions. 18 — Independent Dealer — September 2010

FRIDAY, OCTOBER 15, 2010 │ 4:30pm - 5:30pm Keith Whann General Counsel National Independent Automobile Dealers Association Legal & Legislative Workshop Protecting Your Business as the Federal Government Expands: What Does the CFPB Really Mean for Dealers & Finance Companies? Keith Whann will break the code on what the new Consumer Financial Protection Bureau means for dealers. The new monolithic CFPB is still under construction and the rules by which it will engage small business are being developed now. You need to know how your voice can be heard during this critical process.

SATURDAY, OCTOBER 16, 2010 │ 10:00am - 10:30am Steve Jordan CEO & Executive Director Florida Independent Automobile Dealers Association Dino Mercurio President, Prime Autos, Chairman of the FIADA Legislative Committee Hon. John Grant President, Florida Capitol Advocates Group, FIADA Lobbyist Legislative Workshop FIADA Legislative Update: Operational Impact of State & Federal Legislation on Auto Dealers www.fiada.com

Conference Agenda (Continued) SATURDAY, OCTOBER 16, 2010 7:45am

Registration Desk Open

8:00am - 10:00am Breakfast with Exhibitors

Option 3.

10:00am - 10:30am General Session: Legislative Workshop FIADA Legislative Update: Operational Impact of State & Federal Legislation on Auto Dealers Steve Jordan, CEO & Executive Director, FIADA Dino Mercurio, President, Prime Autos & Chairman of the FIADA Legislative Committee Hon. John Grant, President, Florida Capitol Advocates Group & FIADA Lobbyist

10:30am - 12:30pm FIADA 2010 Candidate Forum: All statewide Candidates invited to speak. See preivew and candidate line-up on page 3.

2:45pm - 3:45pm Option 1. Option 2.

Option 3.

12:30pm - 1:30pm Lunch with Exhibitors

1:30pm - 2:30pm Option 1.

4:00pm - 5:00pm Option 1.

Option 2.

Legal & Legislative Workshops (1 hr of Continued Education Credit Each) Measuring Your Labor Liability: Minimize Your Personnel Risk & Maximize Your Labor Output Cheryl Wilke, Partner, Hinshaw & Culbertson George Martinez, CPA, Managing Partner, Martinez & Associates Repos, Collections & Bankruptcy: Avoiding the Legal Pitfalls that Can Sink Your BHPH Portfolio Chuck Geitner, Hinshaw & Culbertson Lewis Kuhl, Attorney, Pathman & Lewis Bill Denius, Attorney, Killgore Peralman Stamp Ornstein Squires, PA

Option 2. Option 3. 7:30pm - 9:30pm

Sidestepping Legal Landmines: Your Retail Legal Questions Get Answered Rob Sickles, FIADA General Counsel, Partner, Hinshaw & Culbertson Mark Ornstein, Partner, Killgore Pearlman Stamp Ornstein & Squires, PA Industry Workshops (1 hr of Continued Education Credit Each) Advanced BHPH Strategies: Managing the Unique Challenges of a Large BHPH Enterprise with $5, $10, or $20 Million+ in Receivables Chris Leedom, President & CEO, Leedom Group Update from the Office of Financial Regulation Greg Oaks, Chief, Bureau of Regulatory Review—Florida Office of Financial Regulation Online Advertising in the Internet Age Part II: Optimizing Your Online Presence with SEO, Social Networking & the Latest Technologies Mike Jackson, President & CEO, Auto Search Technologies Industry Workshops (1 hr of Continued Education Credit Each) Capping the Well on Florida’s Taxes and Rolling Back Fees Hikes: Balancing the Budget without Small Business Picking up the Tab Dominic Calabro, President & CEO, Florida Tax Watch Banking Your Retail Finance Deals: Keys to Matching Your Customers with the Right Finance Company Asbel Viciedo, CMO, National Auto Lenders. Unstoppable Gross Profits: Maximize Your Sales Margins & Win the Four Square Showdown George Dans, President, The George Dans Group Fast Cars & Freedom Dinner & $10,000 Special Membership Drawing

Special Events FRIDAY, OCTOBER 15, 2010 │ 7:30pm - 9:30pm

SATURDAY, OCTOBER 16, 2010 │ 10:30am - 12:30pm

SATURDAY, OCTOBER 16, 2010 │ 7:30pm - 9:30pm

FIADA Annual Awards Banquet

FIADA Candidate Forum

Fast Cars & Freedom Dinner

The FIADA Annual Awards Banquet is steeped in tradition and this year will help celebrate 70 years of FIADA serving independent dealers. The program will feature the installation of the 20102011 Executive Committee and culminate in the presentation of the coveted Quality Dealer, Man of the Year and Auction Person of the Year Awards.

Join us at the first ever FIADA Candidate Forum, a non-partisan event that will give each candidate seeking statewide office in 2010 a chance to share their views on small business and the automobile industry. If you want to cast an educated vote in November then you need to be at the FIADA Candidate Forum on Saturday morning.

Celebrate the two things America got right: cars and freedom at this closing party. Food, music and fun for everyone. Show your patriotism by dressing in red, white and blue attire. Get your tickets ready for the Special Membership Drawing—the night will conclude with one lucky winner taking home $10,000.

www.fiada.com

September 2010 — Independent Dealer — 19

In-Depth Continued Education Workshops FRIDAY, OCTOBER 15, 2010 │ 10:30am - 12:00pm Option 1

Option 2

Option 3

Maximizing Your Bottom Line in a Recovering Economy: How to Interpret & Use Key BHPH Benchmarks This session will address how you manage the balance sheet and the income statement to maximize bottom line results. This information is derived from a database tracking BHPH dealer results since 1995. How much should you spend on advertising? Commissions? What is a reasonable loss rate? How much profit should you be making after all expenses? This session will help dealers understand their financial statements and know how to interpret and analyze the results thus resulting in increased profits.

Sell Certified Pre-Owned Used Cars: NIADA Certified Levels the Playing Field with New Car Dealers When the NIADA rolled out its shiny new NIADA Certified Pre-Owned Program – designed exclusively for independent dealers – the warranty game was changed forever. Find out how launching the NIADA CPO Program on your lot will allow you as an FIADA member to sell cars faster with higher gross margins and offer customers additional value and peace of mind. Christina Schrank VP of Marketing NIADA Certified

Online Advertising in the Internet Age Part I: Introductory Steps to Launching your Online Presence 9 out of 10 buyers use the Internet as their primary source of information about used cars. How many are checking out your website before they buy? This workshop will outline the primary steps you need to take to jumpstart or re-launch your dealership’s web presence. Learn how to leverage the web for your dealership and put it to work for you. Mike Jackson President & CEO Auto Search Technologies

Chris Leedom President & CEO Leedom Group

Kyle Reese Director of National Accounts NIADA Certified Keith Whann General Counsel NIADA

FRIDAY, OCTOBER 15, 2010 │ 2:45pm - 4:15pm Option 1

Option 2

Option 3

Unstoppable Sales in the New Economy: Conditioning Your Sales Force to Outsell Their Expectations & Yours Unless your showroom has a toll-booth running through it where customers drive by and drop in money, then you have room to improve your sales efforts. This seminar will pull back the curtain on key secrets used by the most unstoppable, highest sales volume, highest grossing independent dealers in the country that continue to break sales records… regardless of the economy and without a toll-booth.

Fraud and Theft in the Auto Industry: Will Your Controls Detect Fraud and Theft at your Dealership? Few issues can blindside your business like an unexpected loss of cash. Sluggish accounting controls can lead to a misapplied customer payment, a down payment gone missing or worse. These could be simple mistakes or signs of a deeper problem. How do you know? This seminar will provide a road-map that will lay the ground work for clear cut cash controls that will help you manage the lifeblood of your business: cash. Jeff Barbacci, CPA Partner Thomas Howell Ferguson P.A.

World Wide Sales on the World Wide Web: How to Measure Up with Dealers Going Global Unlock the mystery behind using the Internet and third-party vendors to increase your sales volume.

George Dans President The George Dans Group

Frank Fuzy President Century Motors of South Florida Clayton Stanfield Manager, Dealer Training eBay Inc. Eddie Cawley Director of Dealer Training AutoTrader.com Keith Whann General Counsel NIADA

20 — Independent Dealer — September 2010

www.fiada.com

In-Depth Continued Education Workshops SATURDAY, OCTOBER 16, 2010 │ 1:30pm - 2:30pm Option 1

Option 2

Option 3

Measuring Your Labor Liability: Minimize Your Personnel Risk & Maximize Your Labor Output The U.S. Department of Labor recently hired more than 100,000 employees to monitor and inspect the labor and employment practices of America’s small businesses. Knowing the tax consequences to both employees and contractors and how each are paid could protect you in an untimely audit. The labor attorney and CPA teaching this seminar will prepare you to answer the most critical questions about your work force, regardless of who is asking. Cheryl Wilke Partner Hinshaw & Culbertson

Repos, Collections, & Bankruptcy: Avoiding the Legal Pitfalls that Can Sink Your BHPH Portfolio Operating a buy-here, pay-here dealership can be a juggling act of regulatory oversight, legal compliance and customer satisfaction. Not to mention running a profitable business. Many dealers have fallen prey to obscure and not-so-obscure laws that regulate the auto industry and BHPH businesses. Taught by auto industry attorneys, this seminar will advise you of best legal practices and highlight case studies of dealers who learned legal lessons the hard way. Chuck Geitner Hinshaw & Culbertson

Sidestepping Legal Landmines: Your Retail Legal Questions Get Answered Retailing cars and outside financing has its own bundle of unique legal concerns. From the GrammLeach-Bliley Act, to Red Flags rules, to “whistle blower” policies, this seminar will educate dealers on the legal aspects of the retail side of your dealership. Bring your legal questions here because our attorneys are loaded with answers. Rob Sickles FIADA General Counsel, Partner Hinshaw & Culbertson Mark Ornstein Partner Killgore Pearlman Stamp Ornstein & Squires, PA

Lewis Kuhl Attorney Pathman & Lewis

George Martinez, CPA Managing Partner Martinez & Associates

Bill Denius Attorney Killgore Pearlman Stamp Ornstein & Squires, PA

SATURDAY, OCTOBER 16, 2010 │ 2:45pm - 3:45pm Option 1

Option 2

Option 3

Advanced BHPH Strategies: Managing the Unique Challenges of a Large BHPH Enterprise with $5, $10, or $20 Million+ in Receivables This session is specifically geared toward the large BHPH operation. The issues you face at $20 million in notes is much different than those at $200,000 or even $2,000,000. So how do you manage risk at this level? What unique considerations should you take into account when operating a business of this size? What are the three key areas that can threaten your business? This session will address the concerns that come along with success in the BHPH business and how to manage growth and operations at a very high level. Chris Leedom President & CEO Leedom Group

Update from the Office of Financial Regulation The Office of Financial Regulation (OFR) has prepared a “must-use” one-stop shop for dealers who need to renew their finance licenses, process payments and print certificates. This web-based system is for R.E.A.L. and known as the Regulatory Enforcement and Licensing System. OFR Bureau Chief, Greg Oaks will walk dealers through a detailed orientation of this system and answer your questions related to Motor Vehicle Retail Installment Seller Licenses or otherwise. Don’t be left holding the bag on late fees or renewal fees as the December 31, 2010 license renewal deadline quickly approaches.

Online Advertising in the Internet Age Part II: Optimizing Your Online Presence with SEO, Social Networking & the Latest Technologies Now that you have established your dealership’s web presence, what is your winning combination to drive customers to your site and get them to buy from you? In this advanced level seminar, you’ll learn that knowing how to how to use “meta-tags,” Search Engine Optimization (SEO), social media tools and keeping your content fresh could be the missing numbers you need to turn your website into a high-rolling, slot machine of sales volume that keeps paying out month after month.

www.fiada.com

Greg Oaks Chief, Bureau of Regulatory Review Finance Office of Financial Regulation

Mike Jackson President & CEO Auto Search Technologies

September 2010 — Independent Dealer — 21

In-Depth Continued Education Workshops SATURDAY, OCTOBER 16, 2010 │ 4:00pm - 5:00pm Option 1

Option 2

Option 3

Capping the Well on Florida’s Taxes & Rolling Back Fee Hikes: Balancing the Budget without Small Business Picking up the Tab Florida TaxWatch’s Dominic Calabro was recently recognized by the Florida Cabinet for being “instrumental in helping change the way Florida government works…by identifying new ways government can improve productivity while increasing value to the citizens of Florida.” In this customized seminar, Dominic will identify key line-items in Florida’s anticipated $6 Billion budget shortfall next year and crack-the-code on ways our state government can bridge the budget gap and roll back the 2009 fee increases that continue to dog Florida’s auto dealers and the driving public. Dominic Calabro President & CEO Florida Tax Watch

Banking Your Retail Finance Deals: Keys to Matching Your Customers with the Right Finance Company Auto lenders, finance companies, and banks are “Open for Business” and looking for ways to reach out to independent auto dealers. There is a deal in every customer application and knowing how the finance markets have changed and who can bank the “unbankable” will put you miles ahead of your competitors and give your customers options you never thought they had. Asbel Viciedo CMO National Auto Lenders

Unstoppable Gross Profits: Maximize Your Sales Margins & Win the Four Square Showdown Every dealership has a “closer” that the sales team goes to when an approved customer is about walk. Why do they go to this person? What is it about them that sets them apart? Are they really that good or do they simply know how to build value with your customers and follow a process? One way to know is to look at your average gross profit per car sold. This seminar will help you know if your are giving away the farm just to sell a car and what steps you can talk right away to improve your average gross profit margins. Warning: Coffee is for closers only and attending this seminar may have you jittery. George Dans President The George Dans Group

Convention Exhibitors The FIADA Annual Convention will host an exhibit hall filled with representatives from the industry’s leading companys and suppliers. Take a look at who will be there. (List of confirmed exhibitors at the time of publication). Auction123.com Auto Use AutoZone AutoDataDirect, Inc. Automotive Capital Resources AutoRaptor Auto Search Technologies AutoTrader.com Auttr.com Car Financial Services Dealer Funding LLC eBay Motors

Guardian Warranty Corporation Hinshaw & Culbertson I.C.E., Inc. Imperial Supplies Insurance Auto Auctions Ituran USA Inc. J.P. Morgan Chase Leedom & Associates Mark-One Financial National Auto Lenders NIADA Certified Northwood University

Passtime SmartAuction Tax Refund Services Tax Max The George Dans Group United Acceptance Inc. Universal Warranty Corporation Wayne Reaves Software Williams & Stazzone Insurance Agency Wilson Software Your Auction

Stay up-to-date with who will be exhibiting at the trade show by logging on to www.FIADA.com. 22 — Independent Dealer — September 2010

www.fiada.com

Convention Sponsors

Thank you to the following sponsors supporting the FIADA Annual Convention and Expo. (List of confirmed sponsors at the time of publication).

Marquis Sponsor

Gold Plus Sponsor

Platinum Sponsor

Gold Sponsor

Silver Sponsors

www.fiada.com

September 2010 â&#x20AC;&#x201D; Independent Dealer â&#x20AC;&#x201D; 23

COMPANY INFORMATION Company:__________________________________________________________________________________________ Mailing Address:_____________________________________________________________________________________ City/State/Zip:______________________________________________________________________________________ Phone:___________________________________________ Fax:_____________________________________________ E-mail:___________________________________________

Website:_________________________________________

REGISTRATION INFORMATION

1. DEALER EXPRESS REGISTRATION

Badge Name: _ __________________________________________________ [ ] $99 Badge Name:____________________________________________________ [ ] $99

For all scheduled seminars and training events, but does not include meals.

CORPORATE REGISTRATION Badge Name: _ __________________________________________________ Additional Attendee:_ _____________________________________________ Additional Attendee:_ _____________________________________________ Additional Attendee:_ _____________________________________________

All corporate registration attendees are allowed access to all events and meal functions.

[ ] $249 [ ] $195 [ ] $195 [ ] $195

3. FAMILY REGISTRATION

Badge Name: _ __________________________________________________ Spouse Name:___________________________________________________ Child Name:_____________________________________________________ Child Name:_____________________________________________________

Family Package attendees are allowed access to all events and meal functions. CE Credits and Certificates of Completion available for active FIADA members, corporate attendees and family attendees upon request.

[ ] $349 [ ] Included [ ] Included [ ] Included

TOTAL REGISTRATION FEES: $__________

PAYMENT METHOD [ ] I have enclosed a check made payable to FIADA

[ ] I will be using a credit card

Credit Card Type:

[ ] American Express

[ ] Visa

[ ] Master Card

[ ] Discover

Name (as it appears on card):____________________________________ Company:_______________________________________ Credit Card Billing Address:______________________________________________________________________________________ Credit Card Number:_ _______________________________________________ Exp Date:_ ________________________________ Authorized Signature: X__________________________________________________ CC Security Code:______________________ CANCELLATION POLICY: Refunds may be honored with a 72-hour notice. Please submit cancellations in writing.

HOTEL ACCOMMODATIONS

Please contact Tradewinds Resort directly at (800) 808-9833 and mention you are part of the FIADA Annual Convention to receive the group rate. Reservations must be made by Sept. 21, 2010 to receive the FIADA group discount of $149.00 per night, plus tax. This reduced group rate may not be available after this date. Reservations will be accepted upon a space available basis.

Or Mail/Fax registration to: FIADA • 1840 Fiddler Court • Tallahassee, FL 32308 • PHONE (800) 237-0448 • FAX (850) 385-3251 24 — Independent Dealer — September 2010

www.fiada.com

Finally, an affordable vehicle history report! Access information from the National Motor Vehicle Title Information System (NMVTIS).

Vehicle History report includes: t $VSSFOU #SBOE T

t 1SFWJPVT #SBOE T

t %BUF #SBOET 8FSF "QQMJFE t 5PUBM -PTT )JTUPSZ t 4BMWBHF )JTUPSZ t 0EPNFUFS 3FBEJOH t $VSSFOU 4UBUF PG 5JUMF 405

Check for dirty little secrets before you take ownership of a vehicle.

Auto Data Direct Services: t 'MPSJEB .PUPS 7FIJDMF *ORVJSJFT PXOFS BOE MJFOIPMEFS JOGPSNBUJPO PUIFS TUBUFT BWBJMBCMF

t 3FQP /PUJmDBUJPO -FUUFS 5PPM t 5FNQPSBSZ .FUBM 1MBUF 5SBOTGFST

t 5JUMF *TTVF %BUF

'PS NPSF JOGPSNBUJPO WJTJU PVS XFCTJUF BU www.add123.com PS DPOUBDU VT BU JOGP@BEE DPN PS DBMM Enter promo code FIADA10* to receive $25 off account activation *Offer expires October 31, 2010

t 1SJOU 0O %FNBOE 5FNQPSBSZ 5BHT

PAID ADVERTISING

t 7FIJDMF )JTUPSZ 3FQPSUT

Visit Auto Data Direct at the upcoming FIADA annual convention! Booth number 22

www.fiada.com

www.ADD123.com September 2010 â&#x20AC;&#x201D; Independent Dealer â&#x20AC;&#x201D; 25

By George Dans

ouldn’t it be great if you, as a dealer, could insulate yourself from the ups and downs of the market and be able to grow while others suffer at the mercy of the market? The only way to become Unstoppable today is to have an Unstoppable Attitude. That’s your main starting point and from there, you have to spread that attitude around your team. The other starting point is to become a management driven dealership instead of a pressure- or linear-driven dealership. In other words, if you follow the pace of the economy, I would highly recommend you call 911 or 9 “whine whine.” (I got that from my kids when they used to whine.) Management driven dealerships drive the market instead of letting the winds of the market blow them around like a butterfly in windstorm. That takes a different mindset. You have to go back to work and actually work instead of waiting for the Up bus to come back, 26 — Independent Dealer — September 2010

or your Be Back Insurance plan to pay off. “But hard work might kill me!” you say. I doubt it! Management driven dealerships have committed leaders and managers who aren’t afraid to work or to take the time to improve their people, processes and profits. They get better while the weak lie down and die. The weak roll over and use excuses like band-aids to help them through the loss of their dealership, because they wouldn’t train, develop, hold people accountable, make tough decisions, work their database, prospect, follow up, develop sales and life skills, or help set and reach goals. Pathetic I say! Dealerships today that fail do so because they won’t make people work or do their job. You hear them say, “Oh they might quit,” “They won’t do that,” “It takes too much time,” “They won’t change,” “Forget it; we did that before and it didn’t work,” “We don’t want to offend them,” or “They are nothing but babies and it’s

too hard to find good people so what’s the use?” Whenever I hear a dealership say, “I’m tired of babysitting,” I come back and tell the manager, “Well, quit working like a babysitter and become a coach, trainer and a leader!” Unstoppable sales can be done if you place activities in motion today that will guarantee you sales down the road. That easy. It’s like that old saying, if you build it they will come. With less traffic coming in today, the need to improve is at of greater importance. It’s not like the Up Bus is going to stock up on buyers and drop them off at your dealership ever again. The mouse is more powerful then the Bus. People shop with the mouse more today than they do getting their Sunday best on and driving around all day thinking about how they are going to kill time or stroke some salespeople today. Unstoppable sales can work for you in you have an Unstoppable Attitude that includes improving your Continued on page 28. www.fiada.com

PAID ADVERTISING

www.fiada.com

September 2010 — Independent Dealer — 27

UNSTOPPABLE SALES...continued from page 24. people. It takes real skills to pay the bills today. The days of calling the ad guy and spending 10 k for a weekend ad are as dead as the witch under the house. It’s over. If less people show up today, then skills have to grow up so that your closing ratio improves. Easy to say, hard to follow through with. Give a man a fish and he has a snack, teach him to fish and he eats well for the rest of his life. We really can learn a lot from the past can’t we? I believe I got that from the book called, Best Information Before Leaving Earth. Processes Unstoppable sales can happen if you have a clearly defined sales system. If you are one of those dealerships that has ten salespeople and ten different ways to sell, you are one confused dealership. Does McDonalds have ten different ways to cook a hamburger? Then why do you have different ways to sell each customer? I think McDonalds makes more than most dealers. You need one way and the ten to follow the one way. Our timeline through the sale proves it every time. You train your salespeople on the process and give them the skills to get through it. Too easy. Unstoppable Sales in the New Economy The numbers don’t lie but the salespeople do. You, as a dealer, have to get control of your numbers right now. If you don’t have a simple logging and tracking system, then you will be guessing what to do for life. Without numbers all you can do is speculate and the last thing you want to do is make decisions based on your feelings and mood at the moment. Get control of your numbers right now. Tracking removes the guess work on the way to 28 — Independent Dealer — September 2010

you take the time to manage your team’s attitude, activities and energy, then you will be Unstoppable.

your goal. “Yeah, but we can’t get them to log it.” Leadership issue. “Yeah, but we tried it and the guys whined about it so we quit doing it.” Leadership issue. “Yeah, but we have always done it this way.” Leadership issue. “We can’t even get them to show up on time.” Leadership issue. “Yeah, but…” Leadership issue. Check this out: Dealership sells 75 a month and with 20% being the closing ratio, that means that there are at least 350 opportunities on the lot. Does your log show that? Let’s look at the math here: Sold 75 Opportunities 350 Missed sales 275 Can’t buy 100 Left 175 A 20% close of 175 = 35 sales x 2500.00 front and back. The total = $87,500.00 a month x 12 Months = $1,050,000.00. What would you do with the extra money? What I can’t understand is when dealers tell us that they can’t afford to train, go to conventions, invest in their people, and develop their people so they can receive higher profits. Look guys and gals, it takes the same time to be broke as it does to be rich. If

Change is hard You change to profit by change. There has to be a profit in change. People won’t change until the pain of same is greater then the pain of change. The dealers who really didn’t change died a slow death. Today you change or you die. The death of change normally occurs when dealerships aren’t committed to the change. Too many people are afraid today to take a stand and fight for what they believe in. I am called The World’s Greatest Closer not because I close deals, but because I close people on changing. That’s my mission in life: it’s to help people change. Most want to but don’t; most say they will but don’t; most think about it, but put it on the layaway shelf; and lastly, most say, “We already gave that a try and it didn’t work out.” Whatever! Training is not an expense but rather an investment in people. It’s time to rip off the band-aids or remove the scar tissue from the last few years. Today’s dealers have got to get out of the recovery room and get into the improvement room. Do this to become unstoppable: 1. Develop an Unstoppable Attitude of Gratitude 2. Set your goals higher instead of hanging on for dear life 3. Get help 4. Train your people 5. Standardize procedures 6. Improve your tracking 7. Capture more of the traffic that is coming in 8. Have a few non-negotiables in your dealership 9. Become a CANI organization 10. Refuse to give up, let up, shut up, until God brings you up. www.fiada.com

September 2010 — Independent Dealer — 29

PAID ADVERTISING

www.fiada.com

How to make the most of your presence on the World Wide Web By Mike Jackson

Everything in life has a formula; however as the times change so do the ingredients that need to be used in the formula as well as the amounts of each that are applied. Everyone always chants “Change, Change, Change” however no one wants to show you how to change, until now. We are here to show you the “How To” that you all have been waiting for. Old sales methods applied to today’s market are simply not cutting it for most dealers wither a franchise, independent or special finance dealership. Not only have the methods changed that online shoppers are using, but the quality of the shoppers has changed too. Albert Einstein said it best with the quote: “Insanity is to do the same thing over and over and expect different results.” The time is now to cash in on change, regardless of what type. When the economy gets tough people will need to either cash in the fact that change is necessary to stay ahead of the game, or they will be left to cash in change they are left with in their business account. This article will show you how to implement change on the internet rather than just tell you that it is something that you need. 30 — Independent Dealer — September 2010

Directing where your advertising dollars are spent in today’s market is important than ever. According to a 2007 study by J.D. Power and Associates “2007 marks the first year that Internet use surpasses all other shopping methods in locating the vehicle a buyer ultimately purchases. The proportion of used-vehicle buyers who use the Internet in the shopping process and who ultimately found the vehicle they purchased on the Internet is ten percentage points greater than the number of shoppers who found their vehicle through the second-most-popular method, visiting dealer lots.” A more recent study by J.D. Power and associates in 2008 shows “In 2008 75% of vehicle buyers used the internet during their shopping process compared to 70% in 2007 the largest year over year increase in online shopping of any kind since 2001”. In 2008, 9 out of 10 people who bought used cars, used the Internet as their primary source of information. 54% of people on the internet begin their search through a search engine such as: Google, Yahoo, Bing (Msn), Ask, Lycos, Alta Vista. So, the internet is the #1 place to

advertise, and with 54% controlling the market share starting in the search engines, doesn’t it make sense to follow suit? There are only 2 ways to advertise on the internet, you can buy the placement with search engine marketing (SEM), or you can qualify there with search engine optimization (SEO). SEM V.S. SEO SEM (Search Engine Marketing) = Short Term Results! Traditionally, the only way to be found in the Search Engines was through “Pay Per Click” Marketing or what’s commonly referred to as “PPC Campaigns” or “AdWord Campaigns”. In order to run a successful PPC or AdWord Campaign, you must pay per phrase, per search engine, per click. With over 2,500 search engines online and a huge variety of phrases possible to choose from, this can be an extremely ineffective and costly way to advertise, with no definite results. Additionally, PPC & AdWord Campaigns are only present while you are paying for them. As soon as your money runs out, so does your traffic. For most dealerships, Continued on page 32. www.fiada.com

PAID ADVERTISING www.fiada.com

September 2010 — Independent Dealer — 31

INTERNET PRESENCE...continued from page 30. you are in the #1 spot you might not even be seen at all. SEO (Search Engine Optimization) = Long Term Results! When someone conducts a search in search engine, they are traditionally showcased a list of results that are displayed “Results 1 -10.” These results are referred to as “organic listing results” in the search engines, and they are the result of utilizing the right techniques to be listed at the top. No one can pay to be at the top because it is illegal for a search engine to sell ad space within the organic listings. This allows the average size Dealerships to compete alongside national franchise dealerships and “Sponsored Result” listings in Google by utilizing SEO techniques. Organic listings are commonly shared among all of the search engines, and list these results according to a particular formula that

selects the “best qualified” websites. If you can get to the top of one search engine, the rest will recognize it and follow suit. Many search engines follow suit to the listing results that Google uses being that it makes up the market share of search results. If all of the search engines emulate Google’s results, essentially they are Google, following the saying: “If it smells like a ducks, acts like a duck, and quacks like a duck, it must be a duck”. SEO is the art of designing a website to qualify with top priority, on the first page of the millions of results listed on hundreds of pages in each search. This ensures that browsers and potential customers are viewing your website and inventory first—and best of all, it costs you NOTHING to be there! Top search engine placement for your website ultimately results in organic traffic (Hits) from the search engines without the expense of SEM

PAID ADVERTISING

you end up running out of money before you run out of month. The section where sponsored results are traditionally showcased in every search engine is pushed over on the right hand side of the screen where people’s eyes are not naturally driven (we read left to right, so automatically look to the left). Even though the search engines charge an arm and a leg to be displayed within the sponsored results, some search engines like Google, are even giving there customers the ability to bypass the sponsored listings all together. Google has introduced a button on their website named “I’m Feeling Lucky” that is right next to the main “Google Search” button, that when pressed automatically takes you to the #1 organic listing result. This button bypasses results “2 – 10” as well as all of the sponsored advertisements that are displayed. Being at the top of the listing results is extremely important, and now with the help of Google and the “I’m Feeling Lucky” button unless

32 — Independent Dealer — September 2010

www.fiada.com

(Search Engine Marketing). You are there because you belong there, not because you are paying the search engines to be there. Here are some quick statistics about the vast difference between the type of results driven between SEM & SEO: • 87% of all search clicks come from organic search (SEO) —not pay per click ads. ( Jupiter Research cited in Revolution Magazine 2008) • 95% of all paid search impressions (SEM) on Google do not result in a single click. (ComScore data cited in Search Insider 2008) Follow these SEO Tips to get your dealership to the top of the search engines: A website must be created correctly in order for it to appear at the top of the search engines. There are specific

guidelines (and a little intuitiveness) that website designers implement in order to achieve this end result. Many things must be considered in creating a successfully written SEO application: 1. Properly written Meta Tags 2. Unique Meta tags for every page 3. Business location information 4. Clearly written web page content 5. Key word density 6. Page count and density 7. Links 8. Proper web publishing procedure Meta Tags The most important thing you can do for a website is write the Meta Tags (Page Titles) to follow all the search engine requirements. A Meta tag (Page Title) should not consist of more than 256 characters in length (each letter, symbol or space is considered a character). The Search Engines send out algorithms that have specific rules

for reading a website. Any site with incorrect or poorly written Meta tags (located in the source code of the site) will automatically be filtered out (disqualified) or listed towards the bottom of the results. Incorrect Meta tags could also result in your site being listed under the wrong searches, which means the wrong audience will see your listing, not those that are interested in purchasing a vehicle. Make sure you know where and who your website is pointing to. The search engines do not know how to team you up with people that are looking for your products in your area unless you tell the exactly what you have and where you are located. Unique Meta Tags Unique Meta Tags allows each page on your website to compete in a related search online. Search Engines read the tags for each page, so the Continued on page 34.

AutoRaptor CRM

www.fiada.com

September 2010 — Independent Dealer — 33

INTERNET PRESENCE...continued from page 32. more specific your tags are, the more likely it is your website or individual web pages will be listed during a search. The most common mistake that companies make is using the same Meta tags (Page Titles) on each page. When the search engines read the different Meta tags (Page Titles) of your website, it is similar to reading a book. If you were to read a book that had the same content on each page, would you continue reading it all the way to the end? Or would you put the book down? Search engines are very similar and will disregard indexing pages on your website with the same Meta tags (Page Titles). If they feel that they are being shown something that they have already seen, there is no need for them to read it again. This will also allow you to be found in the search engines by more phrases as well. Wouldn’t you like to have the page with your “Credit Application” be found when people are searching for automotive financing in your area? Wouldn’t you like the page with your inventory to be found when people are looking for the exact car on your lot? By having different Meta tags (Page Titles) on each page, you can accomplish just this task. Business Location Information You should always include the location of your business within the Meta tags, or other surrounding areas in which you want to have visibility. If you do not tell a search engine what city, county or surrounding cities that you cater too, how will they know to connect you to people from that are that are looking for your products or services in those areas. This will allow search engines to supply your listing in a local search and will increase your ranking in your areas (and make your traffic more targeted). Who doesn’t want to hunt in their own backyard. Always make sure that your address information is located on your website in text, and not a graphic. Search engines can only read words, not addresses that are imbedded in images 34 — Independent Dealer — September 2010

or flash animation (for now). Clearly Written Web Page Content Make sure that the content on your web page is written clearly so that the search engines can match what your site is about with the type of business you are in. When writing content for your webpage, you want to make sure that you include information that pertains to what you are telling the search engines that you have in your Meta tags. If you are telling them that you sell “Used Cars In Texas” in your Meta Tag (Page Title), you should have content on that page about the fact that you sell used cars in Texas. The more matching content that you have on your webpage that matches your Meta tags, the better that your website will rank and compete for those keyword searches. Key Word Density The content on your site must be written with the proper keywords that are being searched most often. If you want to be found under a specific term for your city, then hiding these terms multiple time throughout your page content is important. The more that the search engines can match the terms to your site, the search engines will know that your content is about a particular topic. You do not want to abuse this method, as if the search engines feel that you are abusing this method, they will remove you from the listing results for “spamming” and automatically pull your site from the results listings. Most search engines have the ability to scan text to determine if the text on the website follows the rules that apply to the “English Language”. You can hide these terms frequently in the text, as long as you are following correct grammatical structure. Page Count and Density The search engines take the total number of pages that your website contains and divide them by the density of the words that are searched

by the end user, and match them to percentage that matched the content of what the end user searched for. Having a good average of these terms on all of the pages of your website will ensure you have the proper density per page. Links Links that come into your website can help add additional value to your website. If another website is linking to your website, it is telling the search engines that you have valuable products and services, enough so that they are referring their customers to you. A great way to get links into your site is to contact local companies that are within the same line of industry that you are in and ask them to become a link partner with your company. A great example would be to create a page on your website for hiring, and contact the local Colleges to link to your site. Another example would be to contact auto parts store, or local repair facilities and become link partners. Not only will this help ad value to your website, but referral business is a nice extra added bonus as well. Proper Web Publishing Procedures Now that the search engines know exactly what you have, where you are located and that what you have is valuable, you must make sure that they know that you exist. Make sure that you properly publish your website to all of the search engines so that they will come to your site and conduct a review of what you have on your site. Once they know what you have, they will be able to showcase your website within the search results when a potential customer is looking for the type of products that you have. Because all of the search engines traditionally follow suit with Google, simply submitting your website to Google is traditionally enough to submit yourself to all of them. Here is an address that you can visit, where you can submit your website to Google: www.google.com/addurl/. www.fiada.com

Independent Dealer Magazine Wins Statewide Charlie Award The Florida Magazine Association (FMA) is the state association for magazine professionals and is the largest state association of its kind in the country. As part of it’s Annual Publishing Conference & Expo, FMA hosts a competition called the Charlie Awards, which recognize the “best of the best” in Florida magazines. The 2010 Charlie Awards had more than 600 entries submitted from 70 publications produced in Florida. Winning entries were evaluated by judges from across the country that specialize in magazine publication; many of whom are journalism professors. The FIADA’s Independent Dealer magazine was honored with the Silver Award for Best Cover/Association at this year’s Charlie Awards. This was Independent Dealer’s first time entering the competition. The Charlie Award went to AP Matters, the official publication of the International Accounts Payable Professionals Association. FIADA’s Independent Dealer placed second in the Best Cover category, ahead of AAA Going Places, a lifestyle magazine for members of the AAA with a circulation of over 3 million. Congratulations to FIADA Executive Director Steve Jordan and Graphic Designer Christy Taylor for their creative efforts in winning the Silver Charlie Award. A Publication of the Florida Independent Automobile Dealers Association

Insight for Information and

Florida Used Car Dealers

www.FIADA.com

January 2010

Don’t let the

idea of light

rail scare you.

Floridians still

love their cars.

PERMIT NO.

801

TALLAHASS

EE, FL

December 2009

— Independent

Dealer —

More than keeping you afloat, we’ll ensure you always have the proper tools and direction to arrive at your desired shores.

PA I D

PRST STD U.S. POSTAGE

www.fiada.com

In the days of many seeking a bail out, Martinez & Associates is the trusted Certified Public Accounting and Business Advisory firm to turn to during these troubled economic times. The personal and professional success of our clients is our main business objective. As one of the top 25 accounting firms in Central Florida, we have over three decades of experience and a distinguished list of clients who have trusted us since our inception. You could be one of them. Let us show you how important your success should be.

407.834.0777

· Business Advisory & Consulting · Tax Planning www.moacpa.com · Audit & Accounting · Individual Financial Planning 1100 Town Plaza Court · Winter Springs, Florida 32708

September 2010 — Independent Dealer — 35

Update From the Office of Financial Regulation

Renew Your Motor Vehicle Retail Installment Seller License Online, Before December 31 By Greg Oaks, Chief, Bureau of Regulatory Review, Florida Office of Financial Regulation

ecember 31, 2010 is the last day to renew your motor vehicle retail installment seller license with the Florida Office of Financial Regulation (OFR). Did you know you must now renew your license online? In January 2009, OFR implemented the second release of the Regulatory Enforcement and Licensing System (REAL System). Licensees must now renew their license online and can pay via credit card with Visa or MasterCard. Renewal licenses are issued immediately and licensees can print a new license certificate upon confirmation of payment. To access the REAL System, please go to www.flofr.com/REAL. Do you know your authorization code for the REAL System? The REAL System allows licensees complete access to manage their license

information and submit filings online. In order to access your license record, you will be required to create an online account using the REAL System Online Services. Once your account has been established, you will need to associate your license or application to your REAL System Online Account. If you do not know your authorization code, please contact the Office of Financial Regulation at 1-800-848-3792. Select option 1 and you will be transferred to the next available agent. You will be required to provide identifying information in order to obtain an authorization code over the phone. Once you have obtained the authorization code, log on to the REAL system website and select the link “Associate an Application or License to a User Account.” Enter the information required on the screen and then select “Submit.” You will be

prompted to verify that the license you have selected is your license and that you wish to associate the license to your user account. Upon associating a license to your user account, return to the Workspace page and select the link “View License(s) & Manage Details.” From here you will be able to manage your license(s). You may click the “Return to Workspace” button or the “My Workspace” link on the side panel to return to the workspace screen. Remember that renewal fees are non-refundable and licenses not renewed by midnight on December 31, 2010 will automatically become inactive. Inactive licenses require an additional payment of $175 for a total of $350 to reactive a license. Don’t delay and miss the deadline. By law, OFR cannot waive late renewal fees.

When You Need Help, Call the FIADA Executive Committee Take advantage of the FIADA mentoring program. Use this list of current officers as a directory. When you need help, these are the guys to call.

PRESIDENT Greg Edwards Greg Edwards Enterprises 833 W. International Speedway Dr. Daytona Beach, FL 32114 (386) 323-1888

CHAIRMAN OF THE BOARD Jim Kagiliery Car Now Acceptance Company 5022 Gate Parkway, Ste. 208 Jacksonville, FL 32256 (904) 338-9194

Senior Vice President

Jeff Gann Lakeshore Motors P.O. Box 63 East Lake Weir, FL 32183 (352) 288-4512

TREASURER

Dino Mercurio Independent Credit, Inc. 2008 Okeechobee Boulevard West Palm Beach, FL 33409 (561) 686-8673

SECRETARY

Jeff Zupec Insurance Auto Auction 151 West Taft Vineland Road Orlando, FL 32824-6507 (407) 438-7191

Regional Vice President Regional Vice President Regional Vice President Regional Vice President Regional Vice President

Mario Allmond Your Auction, Inc. 3010 Scherer Drive North St. Petersburg, FL 33716 (727) 572-8800

John Cousins Southeast Car Agency 310 N.E. 39th Avenue Gainesville, FL 32609 (352) 377-7787

36 — Independent Dealer — September 2010

George Hickey Bond Auto Sales, Inc. 7901 Florida Avenue Tampa, FL 34761 (813) 238-7478

Steve Marbais Marbais Enterprises, Inc. 1207 North Lakewood Avenue Ocoee, FL 34761 (407) 877-7422

Brandi Noegel Noegel’s Auto Sales 1018 North Temple Avenue Starke, FL 32091 (904) 964-6461

www.fiada.com

PAID ADVERTISING

www.fiada.com

September 2010 — Independent Dealer — 37

Employee Vs. Independent Contractor By Greorge Martinez, CPA, Martinez & Associates

eriodically, it’s critical for an employer to review the status of its workers and see if they are properly classified. An employer must withhold federal income tax, social security taxes, and federal unemployment taxes on wages it pays workers who are employees. You also may have to provide them with the same fringe benefits and retirement plan coverage available to its other employees. There may be state tax obligations as well. By contrast, these responsibilities don’t apply for workers who are independent contractors. The business simply cuts them a check for their services and sends them a Form 1099-MISC. Under the “common law” rules developed by the courts, a worker generally is an employee for federal tax purposes if the employer has the right to control and direct the worker regarding the job he is to do and how he is to do it. The employer doesn’t have to actually direct or control how the services are performed; it’s enough if the employer has the right to do so. IRS usually applies the following factors to see if the employer has the right to direct and control the worker: A worker who must comply with instructions about when, where, and how he or she is to work is ordinarily an employee. This control factor is present if the business has the right to make the worker follow instructions. However, instructions regarding government standards are given little weight, as is the absence of instructions for professionals such as attorneys, who must follow the rules of their profession. • Training a worker by teaming an experienced employee with the worker, by corresponding with the worker, by requiring him or her to attend meetings, or by using other methods, indicates the business wants the services performed in a particular method or manner. Ongoing training is a particularly strong sign of an employer-employee relationship, but orientation or information programs 38 — Independent Dealer — September 2010

•

about company policies aren’t. Integration of the worker’s services into the business operations generally shows the worker is subject to direction and control. If the services must be rendered personally, the business probably is interested in the methods used to accomplish the work as well as in the results. A business that hires, supervises, and pays assistants for a worker is exhibiting employer-like control over the worker on the job. Conversely, an independent contractor relationship is indicated if a worker is contractually obligated to hire, supervise, and pay assistants. A continuing relationship between the worker and the business indicates an employer-employee relationship exists. A continuing relationship may exist where the worker is called in at frequently recurring, although irregular, intervals. The fact that a business requires work to be performed on its premises suggests control over the worker (if the work could be done elsewhere). Work done off the premises, such as at the worker’s office, indicates some freedom from control. The importance of this factor depends on the type of services involved and whether an employer generally would require employees to do similar work on its premises. A business exhibits control over a worker if it requires him or her to perform services in a specific order or sequence. A business’s requirement that the worker submit regular or written reports indicates a degree of control over the worker. Payment by the hour, week, or month generally points to an employeremployee relationship, if this method of payment isn’t just a convenient way of paying a lump-sum agreed upon

as the cost of a job. Payment by the job or on a straight commission basis generally indicates a worker is an independent contractor. • A business exhibits characteristics of an employer if it supplies a worker with significant tools, materials, and other equipment, or ordinarily pays the worker’s business and/or traveling expenses. • A worker exhibits independent contractor status if he or she invests in facilities that aren’t typically maintained by employees (e.g., renting his or her own office). By contrast, an employee usually relies on the employer to provide the facilities needed to do the job. • A worker who can realize a profit or suffer a loss as a result of his or her services generally is an independent contractor, but a worker who can’t is an employee. The risk that a worker won’t be paid isn’t factored in. • A worker who performs more than minimal services for a number of unrelated businesses at the same time generally is an independent contractor. However, a person who works for more than one business may be an employee of each business, especially where the businesses are part of the same service arrangement. • The fact that a worker makes his or her services available to the general public on a regular and consistent basis indicates an independent contractor relationship. • The right to fire a worker is a factor indicating that he or she is an employee. An independent contractor on the other hand, can’t be fired as long as he or she produces the work that was contracted-for. There is no litmus test for exactly how many of these factors must be satisfied, nor are these factors uniformly applied. Please call our offices if you would like to arrange for an appointment to see whether your workers are classified properly. www.fiada.com

Are you set to comply with the new state law governing metal plate transfers? Beginning July 1, 2010 ALL automobile dealers will be required to notify the Department of HSMV via an electronic system when transferring a metal plate for a customer. TitleTec has been certified to offer this system to dealers. The Temporary Plate Transfer must be completed before the customer leaves your lot. If you are currently using TitleTec’s Metal Tag EFS System you are exempt from the metal plate transfer statute change.

TitleTec’s t21 core software products include: t21 EFS System

PAID ADVERTISING

Offers dealers the ability to issue metal tags and process tag transfers

www.fiada.com

t21 Fee Calculator Allows dealers to calculate accurate Title and Registration fees for their customers

t21 Temp Tags Gives dealers the ability to process Temporary Tags as well as Temporary Metal Plate Transfers

Call us toll free at 866-689-0578, or visit us online at www.titletec.com

September 2010 — Independent Dealer — 39

40 — Independent Dealer — September 2010 PAID ADVERTISING