Mobile Electronics Magazine July August 2022 by Mobile Electronics

July/August 2022

me-mag.com

DETERMINED BY DESIGN

WHEN TWO LONG-TIME COLLABORATORS FACED THE SAME ISSUES, THEY JOINED FORCES AND BUILT A SOLUTION: VANGUARD AUTOMOTIVE DESIGN

RETAILERS TALK TRENDS, SEEK INSPIRATION Post-KnowledgeFest Orlando, retailers discuss recent trends in business and the essential part that continued education plays in the future of the 12-volt industry.

WHAT’S THE DEAL?

Titan Motoring shares tips and strategies on expanding into dealership work.

Volume 54 Issue 7/8 ADVERTISING SALES

sales@mobile-electronics.com

EDITORIAL Rosa Sophia MANAGING EDITOR

978.645.6466 rosas@mobile-electronics.com Chris Cook E D I T O R - AT - L A R G E

CREATIVE LAYOUT AND DESIGN

12 FEATURES

ARTICLES

12// What’s Happening: Industry Trends

20 Retail News

On the heels of KnowledgeFest Orlando, retailers discuss how the show has inspired them—and recent trends witnessed in the day-to-day.

30// Real World Retail: United to Build

For Nick Apicella and Chris Gliemann, merging businesses to create Vanguard Automotive Design provided a much-needed solution to overwhelming demand.

DEPARTMENTS 4

Editor’s Forum

Feedback

48// Tech Today: The Future of Mobile Electronics

As an industry, we may be on a course of elimination without intervention.

2 Mobile Electronics July/August 2022

mobile electronics association

Chris Cook PRESIDENT

978.645.6434 chrisc@mobile-electronics.com Richard Basler

ON THE COVER:

DIR. TECHNOLOGY SOLUTIONS

978.645.6449 richb@mobile-electronics.com Tony Frangiosa CHAIRMAN OF THE BOARD, MEA

Seeking change? Herb Brown shares insights on professional and personal growth, including relationship-building, service and perhaps most importantly—a willingness to look within.

Thinking about expanding into dealership work? Titan Motoring shares five essentials for a business to consider before getting started.

Published by

52 Installs

40// Learning From Leaders: Keys to Fulfillment

44// Strategy and Tactics: Doing Business With Dealerships

Contributing Editors Jamie Sorcher and Laura Kemmerer

AD INDEX

After about six months in business, Vanguard Automotive Design in Stony Point, NY is already seeing a high volume of business as it draws the attention of its target demographic using primarily social media outreach. The appointment-only bespoke facility offers specialty high-end service to its nationwide client base. facebook.com/me-mag

Alpine Electronics. . . . . . . . . . . . . . . . . . . . . 29 AudioControl. . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Escort. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 Firstech - Momento . . . . . . . . . . . . . . . . . . . 57 Harman - Infinity. . . . . . . . . . . . . . . . . . . . . . 23 HKI USA - Ground Zero. . . . . . . . . . . . . 36, 37 Kenwood. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Kicker . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 KnowledgeFest-Las Vegas. . . . . . . . . . . . . . 11 KnowledgeFest-Dallas. . . . . . . . . . . . . . . . . . 15 MECP. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55 ME-TV. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Pixel Technologies. . . . . . . . . . . . . . . . . . . . . . 9 SiriusXM. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Snap Finance. . . . . . . . . . . . . . . . . . . . . . . . . 47 Sony. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17

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E D I T O R ’ S

F O R U M

ROSA SOPHIA • MANAGING EDITOR

LIFE IS A LEARNING EXPERIENCE

Industry events offer both networking and educational opportunities, yet not everyone takes advantage. The question is, why not? When I enrolled in automotive school, I had to take a life skills class before entering automotive technology courses. I fought hard, insisting it wasn’t necessary. I had already transferred credits from a previous degree program where I’d been studying psychology. What could I possibly learn from this? My instructor was a business expert and lecturer named Hector Hernandez, author of a book called You Don’t Need Talent to Succeed: But Everything Else Counts. He handed out a workbook which was meant to help us explore our dreams and motivations. Looking back, I can see how a lot of what we discussed in class—whether intentionally or unintentionally—touched on the importance of a healthy work and life balance. After taking the class, I realized I had enjoyed it. We discussed some already-familiar topics, but Mr. Hernandez offered a different perspective. A new angle. His charisma and enthusiasm inspired me, and I saw the way it inspired my classmates.

FEELING RESISTANT? CONSIDER YOUR MOTIVATION.

IF YOU KEEP AN OPEN MIND, YOU’LL ALWAYS LEARN SOMETHING NEW.

It’s my personal feeling that regrets are just things we’ve failed to learn from. Keeping an open mind, exploring motivations and seizing opportunities—even when we think we’ve done it all—can lead to truly memorable experiences. The truth is, we never know what opportunities life will bring. Life is its own classroom, but this shouldn’t be the reason we turn away other educational opportunities. Instead, it should be the reason we embrace education. If you think you can’t possibly learn anything new at an industry event, think again. The simple act of being present can teach us more than we ever thought possible. With the rapid pace of change we’re seeing in today’s vehicles, it’s even more essential to get involved. Network and share with your peers. Teach. Bring nuggets of information back to the shop. Commit to educating yourself beyond the classroom. Today, I have happy memories of that class—memories I gathered once I let go of my initial negativity. I wish I still had the workbook, but I left it behind during a move. Not only am I grateful for the experience, I’m grateful for what came after. For the April 2016 issue of Mobile Electronics magazine, I interviewed Mr. Hernandez for a business feature on marketing. It was a great conversation. It brought me back to that small desk in the auditorium-style classroom at Lincoln Tech in Mangonia Park, Fla. where I listened to Mr. Hernandez talk about maintaining a positive mindset and seizing opportunities. Education, in itself, is an opportunity. Will you seize it? Why not?

“

Part of embracing change and exploring new things involves being willing to look at one’s own motivations.

While working on this issue, I interviewed retailers who attended KnowledgeFest Orlando. Some of them expressed disappointment that more retailers and technicians from Florida hadn’t attended. Perhaps business owners felt the shop was too busy and they couldn’t get away. Some of the retailers I interviewed suggested that maybe some people feel they’ve been in the industry for so long there’s nothing new to explore. Part of embracing change and exploring new things involves being willing to look at one’s own motivations. When I think back to that first class at Lincoln Tech, my resistance was pure ego. I felt certain my previously acquired credits should have sufficed, and I was resentful and irritated when I learned it was a requirement. As the class went on, though, I grew more comfortable. It wasn’t so bad, and maybe I was learning something after all. This was one of many experiences which led me to ask, “Why am I reacting this way? What’s my motivation?” Asking these questions requires deep honesty with oneself, but being willing to do this can help open doors and reveal new opportunities.

4 Mobile Electronics July/August 2022

Recently, I spoke with Jayson Cook of Columbus Car Audio & Accessories and asked him why he felt it was important for retailers and technicians to continue attending trainings. He said he always learns something when he goes to KnowledgeFest. He told me that just because he teaches, doesn’t mean he’s all-knowing. And while this may be an obvious point, sometimes we forget there’s still more to learn. And if we aren’t present and open to it, we just might miss the chance.

”

 feedback

NEVER STOP GROWING

How can businesses continue to draw in clients? Retailers share advice on growth, raising awareness and learning to listen. “Here’s some advice for fellow retailers: Never stop expanding, growing and changing. The industry never stops, so why would you?” - Randy Leibenson, Car Audio Depot, Modesto, Calif.

“The biggest thing I’ve learned is that Google and reviews are your best friend. We also put our name on everything.” - David Holden, Soundworx, Summerville, SC

6 Mobile Electronics July/August 2022

“Listen to what the customer is asking you for. Sometimes they ask for more than you can or will provide. This may be a case in which you have to move on to the next customer. This isn’t always a bad thing. The first customer will appreciate this and will be back for something else if it’s handled correctly. Because if you try to provide something you can’t, this will turn into a lost customer altogether—and it probably won’t end well.” - Bobby McCune, Wizard Car Audio Plus, Anniston, Ala..

“Separate yourself from [other businesses] by speaking differently about what you do. There’s no value over the phone. There’s no value unless you separate yourself.” - Jayson Cook, Columbus Car Audio & Accessories, Columbus, Ohio

 stats TM

Mobile Electronics

Industry Retail Industry Retail Sales Report Sales Report

mobile electronics association

The Mobile Electronics Association reports specialty retailer performance for the second quarter of 2022 as compared to 2021. Here are the findings.

SECOND QUARTER (Q2) 2022 vs. 2021

AVERAGE TRANSACTIONS PER STORE PER MONTH – 254 vs. 331 IN 2021 – DOWN 23% AVERAGE DOLLARS PER STORE PER MONTH – $38,217 vs. $44,219 IN 2021 – DOWN 14% FIRST QUARTER (Q1) 2022 vs. 2021

Q2 DOWN

18%

AVERAGE TRANSACTIONS PER STORE PER MONTH – 281 vs. 326 IN 2021 – DOWN 14% AVERAGE DOLLARS PER STORE PER MONTH – $38,846 vs. $39,340 IN 2021 – DOWN 1% Q1 DOWN

2022 vs. 2021 BY MONTH

JANUARY WAS UP

FEBRUARY

FIRST HALF 2022 vs. 2022 vs. 2019

WAS UP

MARCH

MAY

WAS DOWN

APRIL

WAS DOWN

18%

JUNE

WAS DOWN

27%

WAS DOWN

AND UP

COMPARED TO 2021

AS COMPARED TO 2019

10% 21%

Key Observations • • • • •

The average dollars per transaction have increased 13% from first half of 2022 as compared to first half of 2021. The number of transactions has decreased 19% from first half of 2022 as compared to first half of 2021. The first six (6) months of the year saw increases in January and February. The first six (6) months of the year saw greater inventory stability with head units beginning to fill shortages. After all this, despite economic pressures, the industry is still experiencing growth when compared to 2019 (pre-pandemic) and that is poised to continue for the near to foreseeable future.

 helpful stuff

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WHAT TO WATCH: The Fast and the Furious 10, AKA Fast X WWW.THEFASTSAGA.COM/FAST-SAGA/FF1 “Fast X” is headed to theaters for a May 2023 release as the 10th film in the series, but the cars pictured have all recently been seen at Los Angeles Airport. Now is the perfect time to catch up on all the prior films so you’re ready. Directed by Louis Leterrier, from a script written by “The Fast and the Furious” director Justin Lin and Dan Mazeau, “Fast X” has a cast that includes Vin Diesel and Dame Helen Mirren as well as Michelle Rodriguez as Letty, Tyrese Gibson as Roman, Ludacris as Tej, Jordana Brewster as Mia, Charlize Theron as villain Cipher and Nathalie Emmanuel as Ramsey. Lin has confirmed the last installation to be a two-part movie. The first film debuted in 2001 and the most recent film, “Fast 9,” was out in 2021. You’ll see hundreds of vendors with cool gear and off-road builds of every shape, description and value. There’s also live music, food and more.

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 what’s happening

APPLYING THE KNOWLEDGE On the heels of KnowledgeFest Orlando, retailers discuss how the show has inspired them, and the recent trends they’re seeing in-store. WORDS BY ROSA SOPHIA

12 Mobile Electronics July/August 2022

his past June, the industry gathered for KnowledgeFest Orlando. Attendees agreed one of the most important parts of the event is the social interaction. Dean Beyett and Fernando Lopez of Five Star Car Audio in Clearwater, Fla. taught a class on photography techniques, hosting a contest in which attendees took photos of a toy car. The class voted on the best photo, and the winning photographer got to take the car home. When it comes to photography, Beyett said, “Try not to be like everyone else. Look at what they’re doing, and don’t do that.” About 45 people attended the class, which he noted was a good number for a Friday morning. “We wanted to get people thinking about how they’re going to promote their presence at KnowledgeFest.” It’s important, he explained, to show clients what a

business is doing to improve. “The stores are closed and they’re here. That’s why we wanted to teach in the morning—to get people taking pictures, showing their clients why they’re here, and to differentiate themselves from competitors by showing their commitment.” It’s something many people often don’t consider, he noted. Just being able to talk to others in the industry is what he and Lopez really look forward to. “This trip, I had a car we needed information on, and I knew some guys who worked on that type of car. I got a first-hand account of what they’d seen, what they experienced, what they liked and didn’t like,” he explained, adding that the input helped him decide how to move forward.

KNOWLEDGEFEST ATTENDEES DISCUSS INDUSTRY TRENDS Jayson Cook of Columbus Car Audio and Accessories in Columbus, Ohio co-taught “The DNA of a Sales Pro” with Elias Ventura and Jason Kranitz, a class that continues to be popular with attendees. Cook said they opened it differently this time, originally aiming for a roundtable discussion, but the class wanted to see the presentation. “There was a lot of engagement and a lot of questions asked,” he said. Back home in Columbus, Cook said car audio sales have been up, and more clients are seeking amp and subwoofer installs. “I think we’ve been doing more upgrades in general, whether it’s a full system with DSP, or just a DSP amp integration for better overall sound. For some reason, it’s really booming right now.” While he noted that marine audio is also a big hit in his area, the shop is currently working on a lot of full car audio systems. “That’s abnormal for this time of year,” he added, noting that CarPlay and Android Auto is still trending up. Jon Lackey of Boulevard Customs of Lakeland, Fla. agreed that CarPlay and Android Auto has also continued to be popular at his store. Much of the upgrades in recent years likely have to do with being unable to get a new car, he added. “Money is tight, so they’re fixing up what they already have,” Lackey said.

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 what’s happening

John Larson of Minn.-based Sound Connection spoke with Installer Institute at the show about future trainings. He noted that KnowledgeFest is incredibly valuable, but attendees must continue to invest in their education.

“They are willing to spend money on that.” He noted that window tint is always strong in Florida. Additionally, truck accessories are a big category at Boulevard Customs. “We have yet to do one marine jobs this year, though,” he added. “We usually do 20-plus boats in a year.” Lackey theorized the price of fuel might have something to do with the change, citing the cost of towing the boat to the water. “I could be off. There could be other shops who are very busy with marine audio.” However, he noted, he’s witnessed similar changes in categories relating to other recreational vehicles, too. “People with side-by-sides aren’t coming by. We’ve done more motorcycles—which is still only two or three this year. We haven’t sold any radar detectors yet, either. All the extras have been really minimized.”

14 Mobile Electronics July/August 2022

“The numbers are about the same, but we’re getting less jobs. The customers are more affluent. Instead of a basic radio and speakers, they’re getting a full system.” - John Larson, Sound Connection, Waite Park and Brainerd, Minn.

Minn.-based Sound Connection—a business with two locations in Waite Park and Brainerd, respectively—has seen a recent change in both customer count and revenue. Owner John Larson said the stores are seeing about half the traffic they used to, but the clients are spending twice as much. “The numbers are about the same, but we’re getting less jobs,” he explained. “The customers are more affluent. Instead of a basic radio and speakers, they’re getting a full system.” Marine audio revenue has also gone up. Customers are spending about four to $8,000 on a boat, versus the $1,500 to $2,000 they spent in the past. Larson isn’t exactly sure why the changes occurred. “I think it’s just a natural progression of the economy,” he said. “People who have the money are spending it. Clients who would’ve spent smaller amounts of money are possibly stockpiling it. We’ve had more boats, UTVs and campers, but not as much car audio.” The Brainerd location, he added, is surrounded by lakes and resorts. In the last few years, he said, it seemed like everyone was acquiring a boat, a camper, a UTV or a motorcycle—possibly to

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 what’s happening

RETAILERS ASK THOSE WHO DON’T ATTEND TRAININGS:

“WHY NOT?”

After speaking with manufacturers at KnowledgeFest, Beyett reflected on the difficulty in trying to get some businesses to see the value in industry events. As a Florida-based shop, Beyett said he noticed a lack of attendance from other businesses in his state. Lackey echoed Beyett’s concerns. “I was on the KnowledgeFest roundtable discussion. We talked about what we thought, what we’d change and the response,” he explained, adding, “I’m disappointed in terms of not enough Florida shops attending.” Lackey noted his shop was one of a small group that attended from Polk County. “Have the initiative to be better,” he stressed. Beyett noted the abundance of training opportunities in northern areas: “There’s DAS, Go Fast—the kind of training we never really did down here.” He said that while they’ve had plenty of dealer trainings, KnowledgeFest is different and much bigger. “We try to promote any event we’re attending. We film videos at the show so people will see what they’re missing.” A common response, Beyett added, is that a shop is too busy to go. “So, you’re not willing to invest a two-day or three-day weekend on learning something and meeting people face-to-face?” he said. “I can’t understand that.” Cook said he feels some people don’t focus on education because they think they’ve been doing it so long that they don’t need any training. But, he said, “That’s how you get stagnant. Not enough shops are taking advantage of training events. I think it’s imperative for shops to attend if they want to grow. Otherwise, you’re treading water. To grow your business, you have to train more.”

16 Mobile Electronics July/August 2022

Jason Kranitz (left) and Kevin Hallinan both continue to teach well-attended trainings at KnowledgeFest, introducing attendees to the fundamentals of fabrication and sales processes, respectively.

spend more time outdoors, and less time around other people. Beyett said Five Star Car Audio is booked out for several months. “People still want radios, and they’re more plentiful now, which is nice.” However, he noted, inventory issues aren’t over just yet. “Here, we stock every brand. When one brand is out, the others aren’t. By diversifying the brands, we sell Alpine one month, Kenwood another. We’ve done well with this because we stock so much product.” The majority of shops he’s spoken to, he added, are still busy and trying to get caught up. When people mention a slowing down of business, he said, “I think what they’re talking about is that big boom we had. It’s not slowing down in the sense that there’s no traffic. It’s just that people who are coming in are more purposeful. The traffic is thinner, but the volume is good.” Lopez theorized that with the recent increase in travel, perhaps people “are finding more stuff to do than car audio.”

ATTAINING KNOWLEDGE, REFRESHING THE BASICS Industry veterans who’ve been attending KnowledgeFest for years agree that there’s always something to learn or refresh. Cook said he learns something every time he attends a training. “If you’re not learning something, you’re in the wrong mindset,” he noted. “Some people think they’ll be handed a magic guide, everything you need to know. That’s not the case. We share strategies, but what I do might not work for another shop.” Cook advised attendees of any training event to go back and review their notes. “Try to apply something each day or week that you gained from a training. Take it small. Don’t try to change everything at once.” When he teaches, Cook said he’s always impressed with the feedback. In Orlando, “The DNA of a Sales Pro” drew about 28 people on Sunday afternoon. He agreed with Beyett and Lopez in terms of the importance of interaction between and

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 what’s happening

after classes: “It’s a low-pressure setting. People have their guard down and they’re more likely to ask questions,” he said, adding that at least one attendee asked him for advice on how to pay salespeople. “It was a unique situation and we talked at length about it.” Reflecting on what he learned personally, Cook said he always picks up something in Kevin Hallinan’s sales trainings. “The longer we do this, the more we forget the basic stuff that got us where we are now,” he said, noting that it’s important to refresh these basics. “One thing that stood out to me is the more you’re talking, the less likely you are to close the sale,” he added. “You can talk yourself out of a sale. You’re trying to educate the client.” During his own training classes, Cook reminds attendees, “If

18 Mobile Electronics July/August 2022

a client wants to know the details, they’ll ask. If they came in, there’s a reason, and you have to capitalize on that and listen.” In the future, Larson said Sound Connection will be investing more energy into boats. Additionally, the business has been expanding its truck accessories category. The team is also looking to get a pontoon boat with a full wrap, and a dock slip at a local lake. All 13 employees will have a chance to take the boat out on weekends. “We’ll light it up and just be a presence on the lake,” Larson said, adding that he hopes passersby will see what the business can offer and remember them. When it comes to KnowledgeFest, Larson said he was able to bring new installers and salespeople to Orlando. “They got a chance to see what’s out there. A lot of it had to do with RTAs and

tuning. It was really helpful for them to see AudioControl and Ken Ward showing everyone what’s going on from the factory in a vehicle,” he explained. However, there’s plenty more to do. “They’ll have to go back and study more,” he said. “It was a great general overview of information. Here’s what you need to be aware of, now go home and invest in more education.” While there, he and his team also spoke with representatives from Installer Institute and Kingpin University. KnowledgeFest, he said, always makes him reevaluate his entire store from top to bottom. “When I come back, I always notice I’ve slipped up and let something go that I shouldn’t have. It reinvigorates me and helps me reset,” he said, adding, “I get a new perspective whenever I return from an event.”

COME SEE THEM IN ACTION AT THE SHOW. AND ASK ABOUT OUR MEA SHOW SPECIALS.

CALL: 720-583-3835 // EMAIL: mototv@mototvnetwork.com

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 retail news

New Counter Spotlights Customer Service for

AMP CUSTOMS WORDS BY LAURA KEMMERER

Sometimes you need to renovate the space that greets your customers—new display cases, even a new counter can add something to the experience. For AMP Customs, freshening up the shop’s front space added something special. According to Brian Kleinsmith, owner of AMP Customs, the previous counter the shop used hadn’t been sufficient. After speaking with Jody Culbertson of 5 Axis Innovations, Kleinsmith learned the company offered cost-effective solutions. “I started with a Memphis promotion

20 Mobile Electronics July/August 2022

where you’d buy a certain amount, and you’d get a display for a particular cost. I did that, and then I ordered a head unit display,” he said. About four or five months ago, AMP Customs incorporated the new customized counter from 5 Axis. “They had it built especially for us. It changed the whole dynamic of the showroom. People are really responding to it,” Kleinsmith added. Though he’s not sure if the counter has had an impact on his bottom line, it’s certainly been a conversation-starter. “When people come in, they expect a high-end facility, and the counter helps invite

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 retail news

ice-breaking conversations, just to tell a story. I’m sure it helps make sales a little bit easier.” The counter draws the attention of potential clients with its attractive RGB light display. The counter itself has made things more efficient, with shelving and a useful printer location. Additionally, it allowed AMP Customs to incorporate a second credit card terminal, which allows the team to help more than one customer at a time. “We only had one before.” Additionally, the main focus of the facility is a Diamond Audio display which showcases the high-end Italia Edition. He noted that any displays are mainly for visual impact, as product demonstrations are best carried out in demo vehicles. “Then people can actually hear it in a real-life environment,” Kleinsmith added.

22 Mobile Electronics July/August 2022

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 On The Show Floor

R E D N U E SUN TH te e Sta d n i h s un te the S floor boas n i d e ather The show leases. g y r t ndus Orlando. nd new re i e h t a st e, In Jun wledgeFe products o g for Kn time-savin f lots o

RDV AUTOMOTIVE TECHNOLOGY PRESENTS A LINE OF INTEGRATION PRODUCTS RDV Automotive Technology is an integration company offering products to add wireless CarPlay, Wireless Android Auto, front and rear camera inputs and phone mirroring to vehicles that didn’t come with those features. RDV made its first debut at KnowledgeFest Orlando.

24 Mobile Electronics July/August 2022

MOBILE ELECTRONICS CERTIFIED PROFESSIONAL (MECP) PROGRAM The MECP program is the only internationally recognized credential that certifies 12-volt installation technicians and salespeople. To learn more and to begin the path to certification, visit: www.mecp.com.

PAC LOC PRO ADVANCED T-HARNESS OR LPH FOR SHORT The Loc Pro Advanced T-harnesses were created for installers by installers, to make amplifier integration and installation easier by offering access to hi-level speaker output signals from the vehicle’s factory radio without cutting any OEM wiring. These T-harnesses can be used to easily connect to a line output converter, DSP with hi-level input or an amplifier with hi-level inputs. LPH harnesses are designed to work with non-amplified OEM audio systems and are available for most of the popular vehicle platforms from such as GM, FORD, Dodge, Chrysler, Jeep, Nissan and Toyota. Many more to come.

SONY XAV-AX4000 WIRELESS CARPLAY/ ANDROID AUTO RADIO An anti-glare 6.95-inch diagonal touchscreen and updated interface design provides intuitive control over music, communications and more. The Wireless Apple CarPlay and Android Auto connectivity, iDatalink Maestro compatibility, plus a 14-band EQ with time-alignment gives the user the features they want, and provides technicians the tools they need to make it sound great.

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 On The Show Floor

ALLIANCE AUDIO AMPLIFIERS This new brand was launched this year. It is exclusively distributed by E.D.A. (Elite Distributor Alliance). ALLIANCE Audio is an opening price point brand that delivers incredible power, performance and price points that retailers need and consumers demand. The line features seven small footprint amplifiers (two 4-channel, and five mono block) that deliver outstanding profit potential. The mono amplifiers are all 1 Ohm stable and include a bass knob. With RMS power ranging from 75x4 all the way to 1000x1, ALLIANCE Audio amplifiers are ready to deliver incredible power at aggressive opening price points. Visit www. ALLIANCEAudio.com for more information.

TERM-PRO TERM-LAB SPL METER Term-Pro offers the Term-LAB Magnum System—an SPL meter— and Term-PRO enclosure design software, used to assist in designing subwoofer enclosures, tools which are used by car audio companies, retailers and end-users.

12 VOLT DASHBOARD ALL-IN-ONE PRODUCT DATABASE Created by retailers, for retailers: The 12v Dashboard is a platform that professionals can use to look up any vehicle to find all the necessary information on dash kits, wiring harnesses, vehicle integration pieces and much, much more. If a client is interested in a Compustar remote start, for example, the salesperson can easily retrieve all the necessary data in one place. Instead of having to reference numerous websites, the salesperson will save time and ensure they find the correct parts. This is a one-stop reference tool designed to help retailers close sales.

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RACE SPORT LIGHTING WIRELESS SOLAR CAB LED LIGHTS Race Sport Lighting presents an affordable solution for truck owners who are looking for a wireless solar cab lighting system. This product only requires 45 minutes to an hour of labor, and there’s no need to drill holes or run wires. The activation button only needs to be pressed once. The product has both a vibration sensor and a light sensor. After about 30 seconds without sensing any vibration, it will turn off. The solar panel on top keeps the battery charged. Typical battery life on a single charge is about eight hours. The product is currently available in amber.

CHASING HALO LED 7-INCH HEADLIGHTS AND 4-INCH FOG LIGHTS KIT WITH PRO CONTROLLER This kit makes it easy to upgrade to chasing halo headlights and fog lights. Included are a pair of 7-inch chasing RGB LED headlights, a pair of 4-inch chasing LED fog lights, and a Pro Controller. The headlights have an output of 4200 lumens for the high beam and 3200 lumens for the low beam. This kit offers more than 170 pre-programmed modes for patterns with 16 million different colors. The Pro Controller has two wireless control options—an included remote control or a free app for a smartphone or tablet, allowing users to change colors, sync to music, and more. This lighting set also works with other Heise Chasing RGB lighting products, allowing an entire system to use the same app and remote.

AXXESS INTEGRATE AXDSPX-TY2 PACKAGE FOR SELECT TOYOTAS AXXESS from Metra Electronics provides easy-to-install packages that include a DSP, a vehicle-specific T-harness and a bass knob for level control of a subwoofer amp. The DSP features six inputs, 10 individually assignable outputs with a 31-band graphic EQ on each channel, as well as high, low and bandpass filters. The AXDSPX-TY2 fits select Toyotas from 2010 to 2018.

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 On The Show Floor

NEW KENWOOD EXCELON MOTORSPORTS SERIES OF AMPLIFIERS KENWOOD eXcelon Motorsports bring the eXcelon level of sound quality and performance to the outdoor environment. Maximum precision is achieved with top-end components for true musical indulgence. Element-resistant features such as conformal coated circuit boards, stainless-steel parts, and more ensure eXcelon Motorsports products are ready for your outdoor adventures! We stand firmly behind KENWOOD eXcelon Motorsports products with a 2-year warranty. There is a Class D 4-Channel Power Amplifier, a 5-Channel and a Mono Amplifier. The XM802-5 Class D 5-Channel Power Amplifier is pictured here.

JVC KW-Z1000W 10.1-INCH FLOATING DIGITAL MULTIMEDIA RECEIVER This receiver from JVC offers wireless Apple CarPlay, Android Auto, Bluetooth and it’s iDatalink Maestro-ready. It also has HDMI mirroring for smartphones, and optical bonding technology to maintain high visibility. Additionally, it enables users to add a reverse (rear-facing) camera, front camera and an additional two blind-spot cameras, further enhancing driver safety and convenience.

DS18 PRESENTS

NEW BRONCO SERIES OF PRODUCTS On display at KnowledgeFest was a new line of DS18 products designed to fit 2021 and up Ford Broncos. The company will be coming out with door panels for the Bronco, a bar for rear pods or speakers, and a subwoofer enclosure for a 12-inch subwoofer that mounts on the tailgate. The door panels—Bro-FD—fits 6.5-inch speakers with a one-inch super-tweeter. The rear— Bro-BD—also fits a 6.5-inch speaker and a 1½-inch dome tweeter. The rear-mounted bar is called Bro-Tube and can mount up to four tower speakers. Finally, the tailgate enclosure is called the Bro-Bass.

28 Mobile Electronics July/August 2022

A LEGACY O F

T U N I N G

E X C E L L E N C E

PXE-0850X

PXE-X09

“Alpine’s processors have the power to create a fully active system on a budget, providing a high level of performance at unheard price points.” - Zach A. from Palm City, FL

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real world RETAIL

30 Mobile Electronics July/August 2022

UNITED TO BUILD For Nick Apicella and Chris Gliemann, merging businesses to create Vanguard Automotive Design provided a muchneeded solution to overwhelming demand. WORDS BY ROSA SOPHIA

hen two business owners realized they were facing similar issues, they decided to solve the problem by combining their efforts—leading to the creation of Vanguard Automotive Design. Nick Apicella has been in the industry for about nine years. His business partner, Chris Gliemann, has been working in 12-volt for 22 years. They’d already been helping each other on various projects. About six months ago, they decided to take things a step further. According to Gliemann, it arose from increasing demand and a lack of good help. “As things grew, we realized teaming up

as one company might be the solution,” he explained. “We toyed with the idea for about two years. It was very difficult for me to run a business by myself. Nick had one employee and was doing the same thing.” Now, Vanguard Automotive Design specializes in high-end car audio, automotive electronics, detailing, paint protection and accessories, and more. The team is also working on creating reproduction parts, according to Apicella, who said, “We’re developing a Bronco kit for lighting and accessories that we’ll sell online.” Additionally, the business is seeking to grow its marine audio category.

real world RETAIL

MAXIMIZING STRENGTHS AND DELEGATING TASKS

Rather than a showroom, the appointment-only shop features a lounge for customer comfort. There are no displays or demo boards. Tucked away on a side street, Vanguard prefers not to advertise to the general public. Instead, their clients find them from all over the country. Cars come from California, Texas, Florida, Virginia, South Carolina, Vermont and Maine, to name a few. The shop is currently booked out for three months, and the most popular sound systems take

32 Mobile Electronics July/August 2022

around three weeks to complete. Smaller jobs may take only a few days, while other projects are quite lengthy. The business specializes in a particular style, according to Apicella and Gliemann. “We’re a specialist boutique. I would say we’re a bespoke shop—a tailor-made kind of business. We cater to clients who are looking for things they can’t just buy off a shelf,” Apicella said, adding, “We specialize in things that don’t exist.”

When the two combined their businesses, they rented a location very close to Apicella’s previous store location in Stony Point, NY. The new building, he added, is one they found somewhat by accident. During a photography session with a 911 Porsche 918 Spyder, Apicella was approached by a curious passerby. “We did a sound system and a laser system in the car,” he said. “The day before, we’d been driving up and down the street. Radenso sent us a Dragon Eye gun to test it for the customer.” The passerby had noticed. “He said he had the same car with a radar system. We talked about the shop, and I told him we were looking for a bigger location. He asked me if I had five minutes.” He followed him to a nearby empty building. “I’d seen it listed online before, but I never looked into it because it didn’t have a garage door,” he explained. The building’s owner, though, offered to make one. “That’s how it started.” One of the biggest benefits to the collaboration, Gliemann said, is that the two

UNITED TO BUILD

FAST FACTS MAIN LOCATION: Stony Point, NY NUMBER OF LOCATIONS: 1 SQUARE FOOTAGE: 6,000 TYPE: Boutique NUMBER OF EMPLOYEES: 5 MAIN FOCUS 70% Car Audio 15% Marine Audio, Lighting, Fabrication 10% PPF/Ceramic 5% Radar KEY STAFF OWNERS: Nick Apicella and Chris Gliemann TECHNICIANS: Matthew Kim, Julio Cabarcas, James Agostino

have been able to separate duties and maximize strengths. “I focus on fabrication, design and installation. Nick really excels at media, Internet marketing, photography and videos. We can both be more efficient,” he said. Gliemann is the shop manager. Apicella works mainly in sales, but also helps out in the back of the store. “Myself and Matthew Kim are both pretty skilled at audio,” Apicella said. “We’ve created a team that’s very good at everything.” While it currently has four employees, Vanguard will soon be expanding: At press time, the shop was looking forward to the arrival of a new hire. Apicella and Gliemann are also discussing bringing in a shop manager to free up Gliemann for other duties. The biggest achievement, they said, has been learning to let go of control and delegate tasks to increase efficiency. They’ve attracted “higher-end clientele,” they said, and business has never been better. “We finally have a shop that’s able to cater to our target clientele,” Apicella said, “and a facility that’s professional looking, clean, organized and has all

the tools and materials we need, laid out in an efficient, organized and presentable way.” Additionally, he added, they invested their own money into the business and didn’t take out a loan. “It took triple what we thought it would take. It took three months and six figures to get everything open.” The new space offers a lobby, office and one large main installation bay, along with a separate fabrication room. Apicella

said the team is also working on incorporating a dedicated upholstery section upstairs. However, he noted, they aren’t in a rush to complete it, and have not had to do as much upholstery as initially anticipated. “We have plenty of table space. It’s less of a priority than we thought. We also have one of the best upholsterers in the country right nearby. When we want something to be really great, we take it to him.”

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real world RETAIL

TICKET SIZES DOUBLE WITH PURCHASE OF NEW DEMO CAR Many of Vanguard’s clients already know what they’re looking for, and it’s usually a high-end sound system, radar and laser or paint protection. Often, clients have other vehicles such as sideby-sides and boats. If a client is close enough to visit in person, Apicella will

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give them a demonstration in his car—a 2019 Volvo S60 R-Design. He said he learned the importance of having the right demo car when he lost a client who didn’t get “a warm and fuzzy feeling from my old Honda Civic. It had an impressive sound system,” he added, “but it was an older car, and it didn’t relate to our demographic at all.” When the client decided to go to a

different shop, Apicella asked for his feedback. “He said even though we got along well and my car sounded great, there was something about walking into the other shop that made him feel excited. The Porsche they put him in felt nicer, and that has a subconscious effect on people.” Then, he asked the client what kind of car he should purchase. “I said I would buy it right away if it was that important,” he

UNITED TO BUILD

LONG-TIME VENDOR PARTNERS PROVIDE QUALITY AND RELIABILITY

said. “He helped me pick out my current car, which led to a huge increase in our sales potential. We wrapped it, too, so it looks a little different and clients see that.” Since switching from the Honda Civic to the Volvo, Apicella said average ticket size has gone up: “It used to be about $8,000,” he added. “Now it’s around $20,000 to $22,000. I’ve owned the car for about two years. Within months of getting the system set up, there was a distinct jump in our average ticket size for a sound system.” The car also helps sell paint protection, radar and laser and accessories. It is equipped with a Helix DSP Ultra, six Mosconi Pro amplifiers, Illusion C12 Carbon Shallow subwoofers, Focal speakers and Radenso radar and laser. Often, a client will hear what’s possible and decide to go further. “They upsell themselves. Sometimes it’s very drastic. We just had a client come to us from Wisconsin with a $12,000 budget. His bill is up to $35,000 now, of his own accord, after seeing and hearing my car and hearing Matt Kim’s car.”

Vanguard Automotive Design works with MSC America and Orca, according to Apicella and Gliemann. The shop relies on MSC America for Audiotec Fischer products. Apicella noted he’s been selling these products since before his last business, Apicella Autosound, was even incorporated. “I was always a huge fan of their products and how solid they are,” he said. Customers prefer Helix processors and amplifiers, he added, “because they don’t fail, and they integrate to a level better than anything else. We can use them in such a way that the customer doesn’t even know they’re there. There’s no sign of an aftermarket system.” Finally, Vanguard is also the distributor Accuton Automotive in North America, which Apicella said is a very high-end company. “It’s very expensive, so we don’t sell a lot, but we recently opened dealer applications for it,” he explained.

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real world RETAIL

Technician Matthew Kim owns a Tesla Model S, which serves as the shop’s demo vehicle for Accuton Automotive, a high-end speaker brand based in Germany. Finally, to help increase ticket size in the marine audio category, the shop has a demo boat. “We take it out on the river and advertise by just having a good time,” he explained. “People are attracted to that and find out what we do. We let the product sell itself. Most people think we just do cars.” With plenty of room to work on boats, Vanguard is trying to bring more attention to the category.

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CREATING SOLUTIONS Recently, the shop sent four employees to get certified in paint protection film in San Antonio, Texas. When it comes to education sessions and industry training, Apicella said he feels there should be more in-depth options available. “You have to learn something enough to do it proficiently, and that takes a lot of time,” he said. “We’re planning to offer OEM integration and DSP tuning and sound system design classes right here. It’ll be a very intensive week-long class— about 60 hours of training.”

Apicella said the class will be geared toward professional technicians who have experience and knowledge of how audio systems work, “but they might not know OEM integration and tuning fully. They might not know how to maximize sound system design to get the most potential.” The class will teach numerous aspects of sound system design, including processing, amplification, sound system types, design and equipment selection, understanding sound system measurement and tuning, equalization, phase and timing. “Then we’ll have hands-on experience for two days after the fact,” he added. While everything is mapped out, Apicella said the shop has been so busy, they haven’t taken it to the next step yet. His main reason for spearheading the endeavor? “I want to challenge myself,” he explained. “I’ve felt I’m getting stagnant and settling, and if you get stagnant, you won’t move forward. I want to push myself.” Essential to Vanguard—and to the methods Apicella wants to teach—is the concept of offering a solution rather than a product. “There’s no, ‘Listen to this component set on the demo wall. Do

UNITED TO BUILD

INTERNET PRESENCE NURTURES NATIONWIDE CLIENTELE

you like that? Cool.’ It doesn’t work anymore because cars are more complicated. Sometimes we have more room to work with, but the integration is harder,” he explained. “We look at the vehicle and the client’s needs. We come up with a plan that offers solutions to their problems.” Apicella underscored the importance of the solution-based approach, noting that the Vanguard team will come up with a few different options and present tiers. Tier one is more basic, tier two is a step up and tier three is the best. “Everything is custom-tailored,” he said. “We have some preset systems for some cars, but every car will be different and we have to account for that.” Apicella wants to pass on these various strategies to other technicians who wish to improve their skillsets and their clients’ experiences. While Vanguard Automotive Design is still in its beginning stages, Apicella and Gliemann are already discussing future growth: In five years’ time, they aim to own their own building. They might even open a second location. The long-term goal, they said, is to become known as a one-stop shop. “There should be no need to go

elsewhere,” Gliemann said. “It’s the convenience of being able to drop your car off and have [our team] facilitate your needs to a high standard.” Apicella added that the facility’s clientele will often buy a brand new car and bring it right to the shop, or have it shipped from the dealer. “They have faith we’ll take care of everything,” he said, adding, “There’s no need to bring it anywhere else.”

For Vanguard—and for Apicella Autosound in the past— boosting posts on Facebook and using paid advertisements hasn’t worked. “Our demographic is also so specific that I’m not sure Facebook is able to target it,” Apicella said. “These clients don’t care about a Facebook ad. They want to ask their friend who’s gotten work done, who also has a car collection, where to go. That’s all they trust.” The business’s solid Internet presence goes a long way to attracting clients from all over the country who ship in their vehicles. These clients usually want audio, radar and laser systems. Clients range from college-age to senior, but in general, they range from 40 to 60 years of age. “They mostly find us on Facebook and car audio forums,” Apicella explained, adding that about 85 percent of clients find them on Facebook. While Vanguard has tried YouTube, Apicella added that he’s a perfectionist when it comes to making videos. “It’s very time-consuming. When I make a video, I want it to be good and I’m never satisfied with how they look if I’m rushing,” he said.

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 Learning From Leaders

KEYS TO FULFILLMENT Seeking change? Herb Brown shares insights on professional and personal growth, including relationship-building, service and perhaps most importantly —a willingness to look within. WORDS BY JAMIE SORCHER

40 Mobile Electronics July/August 2022

erb Brown became a car audio enthusiast during college in the 90s, starting his career in the glory days of large bass amplifiers. While he didn’t know what he wanted to do professionally at the time, he said, “I was still living at home and needed to earn some money so I could buy one of these cool car stereos I was always thinking about.” A buddy of his worked at a local two-store retailer in Clearwater, Fla. Brown joined him there, getting his first taste of the 12-volt industry. He had a chance to do installations, but soon realized what he enjoyed most—sales. The company was purchasing most of its supplies from AAMP, a designer and manufacturer of vehicle solutions, Brown explained. “We were close enough that we could just drive down to pick up products

Keys to Fulfillment

when we needed them.” He became friends with the salesperson who handled the store’s account, who still works with AAMP today. At the time, Brown added, “He told me AAMP was an up-and-coming company. They were getting ready to expand into a bigger facility, and they would be opening a new facility in the Midwest. They had a goal of branching out farther than the Southeast.” This was all it took for him to meet with the CEO and founder of AAMP, Micah Ansley, to interview for a job. Brown knew many of the salespeople at AAMP at the time, he noted, adding that they all drove “pretty cool cars.” AAMP was growing rapidly. “The owner was pro-sales, enthusiastic and a service-oriented driver of the business. I really liked that. I liked the high energy and aggressive approach. It was an environment where there was always a deal to be made. There was always a negotiation to be handled. All of that appealed to me.” Although he was turned down the first time, he chose to see it as a challenge and returned for a second meeting with a different presentation. He was hired for a part-time job. “I spent my time on the phone calling businesses and talking about the accessories and everything else

that AAMP had to offer,” he said, adding, “One thing led to another, and as of last June, I’ve been with AAMP for more than 30 years.” Today, AAMP Global’s brands include PAC, Stinger, AudioControl, Echo Master, iSimple and Connects2.

Leadership Through Fast and Informed Decision-Making

When he’s not busy with AAMP, Brown makes time for one of his childhood passions. “I grew up playing baseball all the way through high school and junior college,” he said. “As a hobby, I got into officiating and umpiring baseball, so these days, I’m an umpire trainer. I help train the younger umpires who are looking to get into the profession.” Umpire work has some interesting parallels to Brown’s professional career. “The

most difficult part of an umpire’s job is not what you think,” he said, adding that it’s not always about rules. Instead, “it’s the judgment calls—where a decision must be made very quickly. That certainly plays a role in my job here at AAMP.” Until last year, when Brown took on his new role of president of North America for AAMP Global, all of his positions had all been in sales: National Sales Manager, VP of Sales and SVP of Sales. As executive vice president, Brown had the opportunity to take on more responsibilities with other parts of the company. When it comes to advising his current vice president of sales, and even salespeople with whom he’s had decades-long relationships, Brown said, “Be a shark! There is always an opportunity. There is always a deal to be made, to expand your presence in a store.”

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 Learning From Leaders

The key, he explained, is providing world-class service, product knowledge and follow-up. “Ultimately, what you’re creating is equity with that potential customer,” he said. “At some point, you will have to have something to leverage in order to expand your products with a client. It’s that value you create that is the differentiator.” Anyone can give something away, he stressed: “If we were nothing but a discount house, the story would be much different. Because we are not known in the industry as a discounter, we have to create and give our customers a reason to pay five to 10 percent more. And that reason is always product knowledge, service and technical- and solution-based approaches that create equity in the relationship.”

Create Relationship Equity and Embrace the Unexpected

When it comes to building this equity, Brown said it’s important to give salespeople autonomy, but also boundaries so they can create a bond with a customer. While he acknowledged salespeople sometimes need to go off-script, they should also have boundaries in place. He explained he has a particular way he approaches management: “It’s the same way a salesperson should approach every customer,” he said, adding that the salesperson must understand the personality of the client and craft a message and a value around the client’s priorities. The faster this can be accomplished, he noted, “the faster you will excel with that customer.” Brown explained how there are many different personalities among his sales staff, all at different levels of success. “The top performers are freethinkers and adapters, but I’ve got some brilliant account managers and role players who run everything very methodically and deliberately—and they are probably some of the best account managers in the business,” he said. “Their customers are so loyal to them, but they are not necessarily the top performers. The whole thing is about creating relationship equity.”

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Anyone interested in being in sales, he added, should accept there’s no gray area: It’s a career that people either love or hate. “Even in my days as a junior-level salesperson, I totally believed in the products we were selling,” he said. “I believed in the service I was giving customers, and I totally believed in the company backing me up for all of those things. So there was a huge level of confidence.” The most challenging aspect of sales according to Brown—and the reason why some people wind up disliking it—is the uncertainty. “You don’t know if you’re going to come into the office that day and have a $5,000 order from one of your

MOTIVATE WITH A MISSION:

AAMP’s Six Pillars According to Herb Brown INNOVATIVE:

When people think of AAMP, they think of innovative parts and innovative solutions.

COMMITTED:

We’re heavily committed to our customers, our employees and to hitting our financial targets. big customers or find there’s a return for $1,000,” he said. “I thrived on that uncertainty because I always found I could create more success than failure.”

Learn to Make Connections and Ask Tough Questions

Working in sales for the majority of his career gave him a different perspective about how intertwined sales is to all the other departments in a company. There must be a solid relationship between the sales department and the finance department, he explained, as well as the sales department and accounts receivable. “There must be good communication with the technical department,” he continued. “In many ways, the tech department serves as a secondary sales department. They’re solving problems and half the time they are suggesting additional products.” At one point, he noted, AAMP added a Customer Solutions department—essentially customer service—which became another area that tied into sales. What Brown then recognized was the importance of having an individual to stitch all these departments together to

ensure everyone was moving in the same direction. “I always wanted to be part of bringing that value to the company. Ultimately, connecting those departments created better communications and transparencies.” Since he’s been in the industry for so long, Brown said he’s sometimes sought out for career advice. “Everyone has a moment when they’re faced with challenges in their job,” he said. “Many times—and this is true for me, too—it wasn’t the job, it was me. There was something I needed to examine. There was something I needed to change.” So much is different now from when he first got started, he said. “The vehicles are different, the technology is different, and so your approach to your customers is different,” he explained, adding, “You have to be willing to change. It’s not about changing the environment—it’s about changing what you need to about yourself.” For those looking to alter direction in their career, Brown advised being honest with oneself. “Evaluate the reasons. It’s tough to look in the mirror, but sometimes that’s the only way you’re going to find the answers.”

AGILE:

If you set up a plan and have no flexibility or agility, with the way this industry is and how fast things can change, you will be left behind.

CARING:

This means caring about our employees first and foremost. Our customers are personal friends now, as we’ve been business partners for so long.

PASSION:

You can’t teach it. You either have it or you don’t. The top performers in this company are some of the most passionate individuals I have ever met.

FUN:

At the end of the day, it goes back to not wanting this to be a stuffy, corporate environment. Even though we’re one of the largest businesses in our industry, we still try to have fun.

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 strategy & tactics

DOING BUSINESS WITH DEALERSHIPS Thinking about expanding into dealership work? Titan Motoring shares five essentials for a business to consider before getting started. WORDS BY ROSA SOPHIA

Titan Motoring of Nashville, Tenn. is known for its humble beginnings as a one-man shop doing dealership work. At KnowledgeFest Las Vegas 2022, Philip Lindsley and Dan Bowman presented a discussion on scaling a business to expand into expeditor work. They noted during the presentation that some owners have expressed difficulty

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expanding when their name and image projects that of a high-end shop. In this case, they suggested starting a division for dealership work “that lends its name to what you’re chasing.” The goal, they said, is to demonstrate that the business is offering something different just for the dealerships—something special. Over the course of the class, a number of strategies and tips were discussed for getting started in dealership work or expanding to offer additional services. Here are five tips retailers can begin considering today.

#1: UNDERSTAND HOW DEALERSHIPS OPERATE

With so many moving parts at a dealership, Lindsley and his co-presenters recommended understanding the different

departments and finding the best person to approach. “People talk to salespeople, but they are in and out constantly and they don’t have power to make decisions,” Lindsley said, adding that there are a number of departments run by various managers. Titan obtains most of its jobs from inventory and service, not from the sales department. “The inventory department is getting ready to sell cars, so they want them ready,” Lindsley said. “The service side is when something has failed and customers are within their 90-day period. They can say, ‘Take it back and give me something else.’ But the dealership doesn’t want to do that. They want to keep them in that car. That’s where we come in to fix those issues.” When he first got started, Lindsley said he was unprepared. “We didn’t have

Doing Business With Dealerships

any lines of credit we were using. I didn’t have terms with my vendors. I quickly learned all those things are very beneficial,” he explained, adding, “If you do things correctly and sell, you’ll have to have these things. Use a low-interest line of credit. We’ve also offered COD discounts. If the dealer pays early pay or weekly, they get a discount.” Also, he said, most dealerships just want to give their customers a quick answer. Titan Motoring developed an abbreviated price sheet just for dealerships. “We don’t list brands on our menu,” he added. “We might have a dealer or a client request a brand, but not listing the brands solves any supply issue problems, too.”

#2: PREPARE AN ELEVATOR SPEECH

It’s important to go into the dealership with prepared language: “‘We can offer you things that will make your life easier.’ Don’t expect to be in the office with the owner, though. They might not even be in the state. If you are called into a general manager or an owner’s office one day, though, drop what you’re doing and go. Once they love you, they have the power to say you’re their only vendor.” The business representative should also be able to explain why they are better than anyone else and why they’re reliable, Lindsley said. To justify higher cost, Titan refers to its Industry Awards and specialty offerings. However, the shop also offers a dealer rate, which is less than its standard rate. In the past, Titan received zero push-back when they raised rates. “The dealer rate is a tool you can use to explain to your dealers that when they hire you, they can still make money and be profitable.”

#3: CONSIDER STAFFING: CAN THE BUSINESS MANAGE THE LOAD?

Titan Motoring has over 30 employees, including dealership runners who pick up and drop off vehicles. Almost all employees start out as drivers first. “Our insurance dictates that they have to have three years of driving experience,” Lindsley said. Employees often move up in the company: Two of the shop’s technicians started as drivers, the wrap technician started as a driver and so did Titan’s leather techs. “Some people come in wanting a job, but they have no experience. Through work, you can turn them into something. This is a great way to grow employees.” Lindsley explained that starting employees as drivers also serves as a good filter to find the right people. “You have to be smart, diligent and do the picture check-ins,” he said, explaining that the process involves taking detailed photos of the entire vehicle upon pick-up, and then uploading them to the Shop Monkey software the business uses. “If you do that, you can move up.” To expand a business into dealership work, a shop should first have enough

“Shop Monkey has all the times logged and parts ordered, noting when everything happened. The more cars you touch, the higher the chance of liability. This helps to eliminate your liability.” reliable employees to get the job done. They should also be able to manage their time well, Lindsley said. Additionally, Titan hires subcontractors whenever needed. This includes a custom exhaust shop nearby, and an expert embroider. When the business first opened, Lindsley said he spent a lot of time on the road building relationships with dealerships. Looking back, he said, “I made a lot of

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Doing Business With Dealerships

 strategy & tactics

mistakes. I wasted a lot of time going to service dealers several hours away. It probably wasn’t a smart move. If you’re wanting to grow, or you’re starting from scratch, try to limit yourself to a 20- to 30-mile radius and focus on dealers in that area.” Once the decision has been made to pursue dealership business, what’s next? Lindsley said, “Prepare for the storm.” He challenged attendees to imagine three to six dealers, with balances of $10- to $20,000. “You have to float the cost of parts and labor until you get paid in 30, 60 or 90 days. Some companies may pay late. If a company spends as much as $80,000 in a month, you have to imagine floating this when you’re servicing multiple dealers.”

#4: ADOPT TOOLS TO INCREASE EFFICIENCY

An important aspect of preparing to expand the business into dealership work is ensuring a store’s point-of-sale system has the capacity to handle it. Titan Motoring recommends a software called Shop Monkey. Before using this program, Lindsley said they were using several different programs to handle everything. “This puts it all in one place.” When a business is handling dealership work on a large scale, he explained, there are many “moving parts”—cars being picked up and dropped off, and “plenty of room for things to go astray.” Shop Monkey provides vehicle check-in and check-out. When a runner goes to pick up a car, they use the app on their phone to photograph the vehicle, noting any damage. All the details are recorded in the Shop Monkey system. “If the dealer says later on that there’s damage on the vehicle, we have a timestamped photo of the car in their parking lot, already showing the damage,” Lindsley said, adding that another example might be that a salesperson who originally handled the client is no longer available. “Shop Monkey has all the times logged and parts ordered, noting when everything happened. The more cars you touch, the higher the chance of liability. This helps to eliminate your liability.”

46 Mobile Electronics July/August 2022

Philip Lindsley and Dan Bowman discussed different types of expeditor business models during their presentation, including services a business could offer such as video packages, leather, blind spot monitoring and more.

The program also allows for two-way texting in communication with clients. The salesperson and the technician is able to see all the communication, so that everyone is on the same page. Additionally, after creating an estimate, Titan will often receive a deposit in the middle of the night. “When we’re closed, we can get $10-$15,000 in deposits.” Aiming for fast turnaround, Titan also utilizes a fleet of Kia Sols for its drivers who pick up and deliver vehicles. “Dealers love fast turnaround,” Lindsley said.

#5: TAKE A CLOSER LOOK AT OTHER CATEGORIES

The Titan team advised shops to take a closer look at the categories they offer. What services can be offered to dealerships? “If you work with leather, but you aren’t in the dealer space, chase it,” Lindsley said. “Last year, we worked on 75 F-150s in September. An experienced leather technician can do an F-150 in

leather in an hour and a half.” He told attendees to “push what makes you better. Push what you’re best at until you get better at other things.” He noted chrome delete services as a tremendous opportunity for businesses, calling it a chance to “capitalize on something you’re already doing or try something you haven’t tried yet,” as supply chains are finding it difficult to get all blacked-out parts. Businesses can also offer services such as detailing and electronics repair or diagnostics to dealerships. “A dealer will call and say they don’t know what to do,” Lindsley said. “In this industry, we have some of the most skilled diagnostic technicians in the country.” He recalled a Bentley GT with an inoperative fuel gauge: “Ray West and a few other techs figured it out. Our rate to the dealer allowed them to make money on it, too. We represent a huge savings to the dealer,” he said, adding, “Solve problems. Be the solution.”

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 tech today

THE FUTURE OF MOBILE ELECTRONICS As an industry, we may be on a course of elimination without intervention.

WORDS BY CHRIS COOK

48 Mobile Electronics July/August 2022

obile Electronics magazine has a rich history, having begun as Installation News in 1983. The publication was in step with the beginnings of an industry that now represents over 4,600 storefronts and over two billion dollars in sales for the specialty retail channel. The magazine has endured many changes, as has our industry. We have done our best to identify issues and opportunities that benefit our readers. This magazine continues the mission as the premier resource for the mobile electronics retailer and the industry at large. We hope we’ve provided the best information to assist you in strengthening your business.

The Future of Mobile Electronics advancements for indications. All of these things play a role in the future. As an industry, we continue to face challenges when it comes to finding good people, integrating into newer automobiles and overcoming supply chain issues. I feel both encouraged and somewhat distressed while listening to our retailer members. Some continue to experience increased business. Others hint at recessionary fears. Some are beginning to struggle. Still others have hope that business will continue as usual, while some are waiting for the other shoe to drop. Their concerns, coupled with news of ever-increasing fuel costs and a shortage of key staples, leave some reviewing their future. Outside of market share growth, our economy appears to have some potholes on the road to recovery. All that aside, let’s look at two key areas of technology transformation and how they may impact the future of our industry.

Over the years, Mobile Electronics magazine has been privileged to publish great editorial from many subject matter experts. In this spirit, we would like to thank all of you who’ve contributed your unique talents and understanding to make us what we are today—the Industry’s #1 Resource. I’ve learned that a good understanding of our past allows for an educated view of the future. However, we need to understand that our nation’s focus on a greener future, with the intent on being responsible stewards of the planet, could ultimately impact our industry and others in the automotive service space. This, in conjunction with the coming of

autonomous vehicles, may inevitably change our ability to access the vehicle for repair and upgrade. The changes coming may very well limit our ability to repair and upgrade in the future. As you read this, rules and regulations are being developed that could restrict any modifications to the vehicle under the guise of safety. Once implemented, any industry connected to automotive repair and upgrades will be… well, out of business.

What Does the Future Hold?

None of us can truly say what tomorrow will bring. However, we can look at past trends, today’s business, and technology

Moving from the Internal Combustion Engine to Electric Vehicles

Sales of new automobiles are down mainly due to supply issues, and there’s a strong focus toward electric vehicles as fuel pricing pressure continues. This transition could leave our industry uncertain of the future when it comes to upgrading automobiles. Our core categories for traditional mobile electronics are audio, video, security, convenience and safety. Many of these categories are now connected to each other via the vehicle data bus, and many are connected to the cloud as well. These connections are part of a much

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 tech today

“Let’s face it: We are dependent on the automotive industry and not the other way around.” larger category, referred to as Internet of Things (IoT). When it comes to lifestyle-based technology, consumers are flocking to anything in the “connected” realm, and vehicles are no different. Communication between products allows them to efficiently network and explore the world around them, opening a plethora of new opportunities. When looking at the overall IoT market, automobiles become another node on the network as they interact with each other and the infrastructure. On the surface, it may seem like a good thing. Challenges become clear when we

50 Mobile Electronics July/August 2022

dig deeper. Electric vehicles don’t have an unlimited supply of energy to operate aftermarket technologies. Any additional load will affect the range of operation. In the cockpit of these high-tech vehicles is a control center that includes the multimedia system, so there’s no opportunity to replace a traditional head unit. Additionally, the audio systems are part of a larger in-vehicle network that can be a challenge to integrate when adding technology enhancements. Added to those challenges are automakers who discourage anyone outside of their dealer networks from performing

The Future of Mobile Electronics

repairs or upgrades—including all the cool stuff our industry provides—and you have the beginnings of a transition that could end in peril for the aftermarket. The push for self-driving vehicles could really take a bite out of the future of the aftermarket. As I write, new regulations are being crafted that include rules for who can modify the vehicle. It could also dictate what can be added. In the future,

licensing may be required to work on these autonomous vehicles.

Mobile Electronics Retailers: Lean Into Your Strengths

It’s important to have an understanding of the challenges consumers will face, and an awareness of where and how to communicate options for upgrades to your clientele. You can start by looking at the

big picture of products and technologies related EVs and autonomous vehicles. Our industry may not be well-positioned to handle government intervention without trade associations coming together to make sure we, the aftermarket, are included in the future of automobile repair. For example, how will we handle the impacts of the Right to Repair acts by the State and even Federal level? Only Massachusetts has passed legislation that requires automakers to provide all information needed to diagnose, repair and upgrade a vehicle. Though it is the law in Massachusetts, automakers are to this day fighting the release of this information citing unresolved privacy issues for consumers regarding telematics. If successful, automakers will find a way to hold back the information needed to properly repair and upgrade future automobiles. Our industry—specifically retailers— doesn’t have strong ties to the automotive industry. Our influence is modest, so we need to be real about our prospects and plan accordingly. Let’s face it: We are dependent on the automotive industry and not the other way around. As we assess our future challenges, I hope the industry continues to defy the odds, providing great solutions for consumers. Our passion as an industry is built around technology and the automobile. This is what we do. Our lack of a plausible alternative may be cause for concern, and might even leave you feeling perplexed and anxious. However, it may allow you to begin the process of analyzing options for the future as an Installation Specialist. Your skills and talents cross over to many areas. Finding your next great diversification may be only one idea away. We offer some of the best products to make the automobile sound great and stay safe. We provide an experience that can only be found at the local mobile electronics specialty retailer. So, tomorrow, when you go into your store, look around and remember why you came to work today. You have the coolest stuff, and you know how to make it work to give your next customer an experience they will always remember. Just remember to keep an eye out for future challenges, and stay prepared to roll with the changes.

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 installs

52 Mobile Electronics July/August 2022

ACE OF SPADES This 1929 Ford was a focal point of the Las Vegas show floor, showing off its lighting and sound system in the Metra Electronics booth. SUBMITTED BY HARRY DRANEAS, THE BEAT CLINIC, LAS VEGAS, NEV.

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 installs

The 1929 Ford displayed at KnowledgeFest Las Vegas in February 2022 was a real head-turner, boasting an Arc Audio system with an 8-inch subwoofer enclosure built into the center console. There are three 6.5-inch kick panel pods for the speakers. The vehicle took center stage in the Metra Electronics booth, as Heise sponsored all of the rat rod’s lighting. The car has an “Ace of Spades” theme, and is owned by Steve Darnell of Welder Up in Las Vegas, Nev.

54 Mobile Electronics July/August 2022

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CHECK YOUR CERTIFICATION STATUS AT MECP.COM/VERIFICATION CONTACT US AT MECP@MECP.COM The Mobile Electronics Certified Professional (MECP) program is the only internationally recognized program of its kind. facebook.com/MobileElectronics 55 facebook.com/MobileElectronics 53

FROM THE PRESIDENT

“

If you’re seeing less customers, it’s time to strategically plan your purchases and your inventory before the sale.”

INVENTORY MANAGEMENT Understand what to buy, stock and sell. Your primary objective as a retailer is to sell products and services at a profit, allowing you to reinvest to grow your business. Your customer doesn’t want to hear that you don’t have what they want in stock. Your salesperson may lose the sale, and your technician may not have work. How do you know which products to keep in stock and what to order? How can you create a focused plan to increase profitability through strategic inventory management and product purchasing? If you’re seeing less customers, it’s time to strategically plan your purchases and your inventory before the sale. And that requires you to know what to stock and how best to buy and display it.

RESEARCH FOR PREDICTORS Start by doing an analysis of the top ten or twelve vehicles that enter your facility. If you have this data in your system, that’s great news. If not, get started today. Two lists come to mind: One, the vehicles for the sales you close, and two, those that you don’t. Tracking what you don’t close will give you a handle on missed opportunities. Knowing the vehicles allows you to plan better for reoccurring vehicle-specific products. For example, if 20 percent of the vehicles that enter your shop are similar, then you will need a certain amount of vehicle-specific product every week or every month. This allows you to take some of the mystery out of these purchases and helps you communicate with your vendor regarding a forecast for future purchases.

KNOW YOUR HISTORY BEFORE YOU BUY Regardless of how you track your inventory, you should have a full understanding of just how much inventory you have. The measurements to track are the number of weeks on hand for any given product and the total dollar amount available. Your inventory levels should be determined by your actual sales volume. There are many guidelines for how much product you should have in stock. For example, some retailers keep around four weeks of inventory for products that move well. You should also be careful to monitor overall inventory dollar levels to keep them in line with the rate of sales. Try establishing an open to buy

56 Mobile Electronics July/August 2022

number that serves as a filter to keep you from overbuying on the deal-of-the-week offer. Remember, you can’t buy more unless you sell what you have. To that end, make sure you review your dust collectors. If it has been sitting on your shelf for more than a year, and you can’t think of a way to sell it, get rid of it. That product is costing you money even if you have already paid for it. This includes your display inventory.

STRATEGIC PLANNING You must have a plan for profitability. Don’t be drawn into buying end-of-the-month deals. Don’t jump at every special offer. Learn to create systems that focus on merchandising and generating profit. Understand the best way to test your current product mix against your plan to find out whether the products you’re selling are right for your business. This should be based on knowing your business model and budget, then supporting the model you created to decide what you should sell and why should you sell it. Once you know your sales history and understand what you have in stock, make a list of the orders you could place with your vendors that could be input as a scheduled purchase order. When placing a scheduled PO, request a way out if any of the products drop below fifty percent of the forecasted rate of sale. Your vendors should be your partners in business. They appreciate the forecast, and most will do what they can to help meet your goals. Understanding what to buy, and when, is an important part of running a successful business. Think about what you will do differently on your next purchase order. Be cautious of new products on the market. New products have no history. Ask your vendor for information that supports why they feel their new product will be your next hot seller. Buy smart, buy often and buy what sells. If you’re taking a chance on something new, ask your vendor for marketing support and training for their new product. Make sure you understand it and have a plan to sell and install it. Always have a product plan—and make sure the plan supports your mission and goals. You will be glad you did.

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