Tennessee Dealer News - May 08 by TNIADA

DEALER Official Publication Of The Tennessee Independent Automobile Dealers Association

The Certified Master Dealer Course Gives A Clear Picture Of What Your Dealership Should Look Like also in this issue

Going Somewhere? Start At The End. plus

Where Do I Catch The Fish?

DEALER NEWS

Tennessee

Jan | Feb June May

2008

PRSRT Standard U.S. Postage

PAID

DALLAS, TEXAS Permit No. 2079

TN Dealer News is published bi-monthly by the National Independent Automobile Dealers Association Services Corporation, 2521 Brown Blvd., Arlington, TX 76006-5203; phone (817) 640-3838. Periodicals postage paid at Dallas, TX and at additional offices. POSTMASTER: Send address changes to NIADA State Publications, 2521 Brown Blvd., Arlington, TX 760065203. The statements and opinions expressed herein are those of the individual authors and do not necessarily represent the views of the Tennessee Independent Automobile Dealers Association or the National Independent Automobile Dealers Association. Likewise, the appearance of advertisers, or their identification as members of TNIADA or NIADA, does not constitute an endorsement of the products or services featured. Copyright 2008 by NIADA Services, Inc. All rights reserved. Visit the TNIADA Web site at www.tniada.com. For advertising information contact: Troy Graff (800) 682-3837 or troy@niada.com. For information on how to become a member of TNIADA, please contact Darryl Noble at (615) 506-4968 or dnoble@tniada.com.

State Publications Manager/Sales: Troy Graff • troy@niada.com State Publications Editor: Cecily Holland • cecily@niada.com State Publications Production Manager: Christy Haynes • christy@niada.com State Publications Graphic Artist: David Sommer • david@niada.com Printing: Southwestern ColorGraphics Printing & Mailing Specialists

contents FEATURES

Going Somewhere? Start At The End! Beginning with the end in mind is a major key in discovering your success. MICHAEL YORK

Where Do I Catch The Fish? Market your customers and consistently and find out how this can generate leads for your salespeople. GEORGE DANS

Jigsaw Puzzles Are Easier To Put Together When You Have A Picture To Look At The Certified Master Dealer Course offers independent dealers the chance to have a clear picture of what a successful used car operation should look like. JOE LESCOTA

TNIADA HIGHLIGHTS 6 26 27 30

Letter From The Executive Director Auction Directory Auction Calendar Membership Application

PROFIT BUILDER

National Independent Automobile Dealers Association www.niada.com • www.niada.tv NIADA Headquarters: 2521 Brown Blvd. • Arlington, TX 76006-5203 (817) 640-3838

BOARD OF DIRECTORS 2008 Darryl Noble Executive Director P.O. Box 2219 Lebanon, TN 37088 Cell: (615) 506-4968 Office: (866) 5-TNIADA Fax: (615) 443-7486 dnoble@tniada.com lnoble@tniada.com

Sam Chaple Manheim’s Nashville Auto Auction 8400 Eastgate Blvd. Mt. Juliet, TN 37122 Phone: (615) 773-3808 Cell: (615) 533-2298 Fax: (615) 773-3803 sam.chaple@cox.com Mickey Dorsey Friendly Auto Group P.O. Box 6056 Cleveland, TN 37320 Phone: (423) 892-1770 Fax: (423) 892-1771 mdorsey@blallc.net

David Andrews – President City Auto Sales 4932 Elmore Road Memphis, TN 38128 Phone: (901) 377-9502 Phone: (901) 333-0103 dsa@cityauto.com Danny England – Vice President Danny England Motors P.O. Box 1620 New Tazwell, TN 37825 Phone: (423) 626-9500 Fax: (423) 626-9543 Cell: (423) 526-7190 dannyenglandmotors88@hotmail.com John Niven, Jr. – Secretary Auto Agency, Inc P.O. Box 382664 Germantown, TN 38183 Phone: (800) 325-5440 Phone: (901) 756-8557 niven@bellsouth.net

I N D E X

T O

Don Flanders Guardian Warranty 1800 Colonial Shores Dr. Hixson, TN 37343 Phone: (423) 596-7601 Fax: (423) 842-3906 donflan@comcast.net

Tony Moorby 141 Woodward Hills Place Brentwood, TN 37027 Cell: (615) 714-7991 Fax: (615) 866-5511 tonymoorby@aol.com Moss Miller Miller Automotive 1006 S. Highland Jackson, TN 38301 Phone: (731) 427-9797 Fax: (731) 427-4445 mossmiller@bellsouth.net David Wilson Wilson’s Auto Sales 6500 Maynardville Pike Knoxville, TN 37918 Phone: (865) 688-2781 Fax: (865) 688-8188 dwilsonauto@bellsouth.net

J.T. Livezey West Tennessee Motor Co. 413 East Court St. Dyersburg, TN 38024 Cell: (901) 484-4840 Office: (731) 286-0006 Fax: (731) 285-3611 jtlivezey@yahoo.com

A D V E R T I S E R S

ABC - Nashville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 ADESA Atlanta . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 ADESA Knoxville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Aircept/ Cal Amp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 AuctionACCESS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 AUTOSAVE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 AutoTrader.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Back Cover CAR Financial Services, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Cars.com . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Inside Front Cover Credit Acceptance Corporation . . . . . . . . . . . . . . . . . . . . . Inside Back Cover Dealer Funding, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Frazer Computing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Georgia-Carolina Auto Auction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Guardian Warranty Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Manheim Nashville . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Manheim Tennessee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 McNutt Auto Transport Service . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Preferred Warranties, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 United Acceptance Corporation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Westlake Financial Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

Executive Director’s Letter Here we are again at the start of another summer. Lisa and I have been busy through the spring getting geared up for our annual TNIADA Dealer Expos. If you weren’t able to attend any of them last year, please take the time to stop by this summer.

We will be at Manheim’s Nashville Auto Auction on May 14, East Tennessee Auto Auction (Tri-Cities Area) on June 5, ADESA Memphis on July 29, Chattanooga Auto Auction on August 12 and ADESA Knoxville on October 10. These expos are designed to help you, the dealer, make more money! We will have various vendors participating at each event including several finance sources, warranty companies, reconditioning companies, software developers, website designers – just to name a few. The best part about meeting these vendors through TNIADA is that we have already “tested the waters” and feel confident that these people will conduct business in a way that would benefit your business. There will also be food and prizes at each event. Our board is dedicated to finding ways to help the independent dealer; these Dealer Expos are a great way for us to do that. Watch for ads at each auction mentioned above, it is free and you will not walk away empty handed. Keep your eye on your mailbox to; we will have an extensive legislative update in our next magazine as there are many changes that will go into effect soon. As always, if you have any questions please contact me at (615) 506-4968. We appreciate your membership! Darryl Noble Executive Director

Tennessee Motor Vehicle Commission

TMVC Advertising Rules Over the past couple of months two questions have been asked again and again regarding the Motor Vehicle Commission’s advertising rules, so I thought it would be a good idea to answer them here. Do the Commission’s advertising rules apply to my web site and internet advertising? Yes - MVC Rule 0960-1-.12(1)(a) states that “all advertising, in any form of media, including a notice, sign, poster, display, circular, pamphlet, or letter, on radio, the Internet, via an on-line computer service, or on television, must conform to all applicable provisions of this chapter in addition to any other applicable Tennessee state or federal laws and regulations.” Do document preparation fees need to be included in the advertised price? Yes, and they must be disclosed – MVC Rule 0960-1-.12(4)(a) requires the advertised price to include all costs and charges and any additional fees payable by the purchaser of the vehicle advertised and separately describe and disclose any additional fee included in the price. The advertised price should not contain the cost of optional equipment selected by the purchaser or state and local taxes, tags, registration and title fees. The advertising rules for the Motor Vehicle Commission are located in the Tennessee Motor Vehicle Commission’s Rule 0960-1-.12. A link to all of the Commission’s rules can be found on the Commission’s web site http://tennessee.gov/commerce/boards/mvc/ Patrick Merkel Attorney Tennessee Motor Vehicle Commission 6

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

Going Somewhere? Start at The End! B Y

M I C H A E L

If suddenly you arrived at the place you’ve wished for, dreamed about, or worked so hard to get, would you recognize it? Do you know what it looks like? How different is it from where you are now? Have you taken the time to really see it in your mind’s eye? If not, what would keep you from going right past it? Or missing an opportunity to end up there? In 1989 I first discovered Stephen Covey’s book The Seven Habits of Highly Effective People. All of those habits have proven their merit over time, as has the book. It remains today one of the top-selling success books of all time. Perhaps the most practical, maybe even the most powerful, of those habits I’ve witnessed from that day to this is Dr. Covey’s advice to “Begin with THE END in mind.” Whether a blueprint for a building or a vacation planner for your next trip, it works. Begin with THE END in mind. That’s how to arrive at any destination you desire. It’s been said many different ways over the years, but that’s still my favorite way to say it. Start any project or goal by thinking about where you want to end up, cool, effective and successful. Epictetus got the ball rolling toward THE END of the second century when he wrote, “First say to yourself what you would be, then do what you have to do.” Isn’t that beginning with THE END in mind? I choose…THIS! Now how can I become that? Or how can I get there? Or how can we make it happen? The answer is in the question. And in knowing what success looks like when you arrive there. Saying to yourself what your own “body of work” might look like and then beginning the process to arrive there one day. Working hard on you, your strengths, your skills, your values and how you can bring that value to the marketplace until you arrive at THE END you have in mind.

NAAA Reports Annual Auction Statistics 256 members or 83 percent of its North American auction members, participated in the study. The National Auto Auction Association recently announced results from its 11th annual auction industry survey and found that sales of used-vehicles at its North American member auctions came in at 9.54 million units, valued at $88.8 billion. According to the report, 59.6 percent of vehicles entered by NAAA's North American members were sold. Among these sold vehicles, half were dealer-consigned, the study highlighted. Additionally, more than a third (35 percent) were fleet/lease/repossessed vehicles. Meanwhile, 13 percent consisted of factory vehicles and 2 percent came from other sources. Officials indicated that these results point toward an ongoing trend toward full-service, one-stop auctions. According to the study, 98 percent of auctions provide detail shops and 99 percent offer transportation services, either in-house or sublet. Also, 82 percent provide body repair and paint services. Ninety percent have some degree of mechanical services and 91 percent offer dealer financing. Information in the NAAA report was gathered through Larson Allen, of Arlington, Virginia. Officials pointed out that 256 members or 83 percent of its North American auction members, participated in the study. "These numbers reflect the most accurate picture available of the NAAA's overall North American membership comprising the wholesale auto auction industry," the organization highlighted. For more information, visit www.naaa.com. 8

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

Y O R K

Beginning to write hand-written notes to say thank you. Beginning to write notes to yourself in a journal of your very own. Beginning to read a book that someone (you consider successful) has recommended. Beginning to write a book when all you have is the title, or just one idea that the book is built around. Beginning to write down your goals. Beginning to stand out or become more memorable at work.

Epictetus got the ball rolling toward THE END of the second century when he wrote,

“First say to yourself what you would be, then do what you have to do.” Beginning your new library. Beginning is cool. Commit to beginning and set out in the direction of whatever you would like to become. Beginning with THE END in mind is a major key in discovering your success. And understanding when you do that the real payoff (the arriving) is in THE BECOMING. What you will become on your way to THE END. True success? The great and successful know it lies in your personal commitment to go there. All the way to THE END. On that path, I wish you well. You guessed it…THE END. Editors Note: Join Author, Consultant, and AutoSuccess Magazine columnist Michael York for his upcoming FREE TELESEMINAR: “BIG LIFE and BETTER WORK: How to become an UNCOMMON SELLING PROFESSIONAL that managers and children love!” Phone lines are limited. Register now at www.MichaelYork.com Michael York wrote the book on Becoming Uncommon... He is a professional speaker and business consultant who speaks to over 50 audiences each year as well as leading the Dealer MASTERMIND and monthly coaching for dealers through his WINNERS CIRCLE program. His columns appear regularly in national publications and online. Get more on Michael at www.BetterDealers.com

1011 Adesa Parkway Lenoir City, TN 3771 865/988-8000 865/988-5674 Fax

Lic. #2637

S A L E D AT E S Tuesday Night 5:30 PM & Friday Morning 8:45 AM •

6 Lane Auction

•

Buy Online at ADESA.com

•

Pick up and delivery Service Provided

F E AT U R E A C C O U N TS Capital One, PAR North America, RSA, Regions Bank, Independent Bank, C & F Finance, Tennessee Valley Federal Credit Union, Auto Credit of Knoxville, National Kidney Foundation, Automotive Remarketing, GCB Acceptance, National City Bank, Sunrise Acceptance, Enterprise Rent A Car, Citifinancial, Insurance Auto

STAFF

Auction, Budget Sales and Leasing and First Tennessee Bank.

General Manager – Greg Koepfer Controller – Alan Duff Fleet Lease/Marketing Manager – Paula Willocks General Sales Manager – Tim Dalton Office Manager – Debbie Angle Transportation Manager – Jason Oody

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

f e a t u r e

s t o r y

YO U H AV E TO R E AC T TO C H A N G E FA S T E R T H E N YO U R C O M P E T I TO R O R YO U R C O M P E T I TO R W I L L P U T YO U O U T O F B U S I N E S S .

Where Do I Catch The Fish By: George Dans If you don’t go fish where the fish are, then how will you catch fish? Isn’t marketing the same way? Far often we spend too much money to bring in new suspects or prospects yet we don’t get that many to come in do we? Something must be wrong. Have you ever thought about why your customers aren’t coming back? Yep, brand loyalty is gone, sort of like dinosaurs, extinct. Why is that? Well if you don’t follow up with your customers or aggressively market to them, um, I think your customers won’t market to you or follow up with you. Sorry, hard truth. This business has changed so dramatically in the last hours hasn’t it? Subprime became the word of the year. Well what does this mean for you or to your dealership? You have to react to change faster then your competitor or your competitor will put you out of business. It’s happening right now. Every dealership is in a battle to steal your customers right now. If you don’t protect them or guard them with ongoing marketing or follow up strategies, then I am afraid you will soon be out of business and I mean profitable business. You didn’t get in this business for the long hours and short pay program did you? I didn’t think so. There are some easy to do strategies that will help you sell more cars in today’s selling arena. I would like to share those with you in this article.

Real World Strategies The first place that you should spend your energy or resources is with your already existing customers. Every time you sell a car that is actually the beginning of the sale isn’t it? Most salespeople and dealerships are missing the boat or yacht on this one. We think, oh well, they will remember us next time. How many deals have you lost with that old time thinking? A ton. I would start an email marketing plan as soon as you can or an instant message service or marketing plan to your customers that you have already sold a car too. George have you lost your mind? Yes, years ago, but I still have some of it. Don’t most people read their emails everyday? Then how come you aren’t emailing them? Marketing is powerful but you have to market with what is working and right now the word conformity moves to the front of marketing. That means that you have to conform to what is working or what is in style today. Yes I know you can still wear leisure suits, but you will stick out and won’t fit in. But you say, well that’s me, I need my own look and I will do things my way. You can, but you are out of date. Don’t attempt to push the market or force people to do things your way. Conformity in marketing today is doing what is working, email

marketing is so important. Start collecting email addresses, and once or twice a month start emailing your sold and your working customers. Keep your name in front of people who have already bought from you and those that haven’t bought from you, because someday they will buy, but the only question is from whom. Will it be you? Far too often we want to go fishing to a new spot, we buy all the gear, the boat, the bait, and we look for a new place to fish because we have new gear. Why not go back to the fishing place where you caught all the fish last time? Why not fish through your current data base of sold and unsold customers. Why not market to them with emails or at least do a newsletter. That way its personal and the newsletter will at least make it inside their house won’t it? How many times have you seen or have you thrown out marketing advertisements before they even get inside the home? If you personalize your mailings, or your newsletters, you will at least get in the door. That’s half the battle isn’t it? Couldn’t you just take out a pen or pencil, write up a rough newsletter, take a jpeg photo of yourself, write out 5 reasons why your customer should come back and buy from you. Take it to your local printer and say, “Can you make me a newsletter?” You don’t have to be computer fancy here. Get somebody to do it for you. Help is only a drive away, a phone call or an email. “Repetition is the mother of learning”, said John Wooden, UCLA Basketball Coach. I think we can take that and rewrite it to, “repetition is the mother of marketing” Studies have shown for marketing to be effective, there has to be a repetitive nature to it. I’ve heard you have to at least market and advertise at least 21 times for your consumer to notice it and take action. That’s why advertising in the newspaper is too expensive. Repetition is so important today due to the over exposure of media, plus your customers are finding ways to not pay attention to advertising. I can prove it, IPods, internet, online media, TiVo, dvr and so on. People don’t even listen or watch normal media anymore; you have to jump on the new ways to reaching your customers and then consistently send out the same message over and over and over. Marketing isn’t a one time thing, it’s a consistent message that must be followed through on a timely schedule where your customers will actually look for your message. Branding is the key to marketing. Some of the greatest branding marketers are McDonalds, Coca Cola, Pepsi, Ford, Chevrolet, BMW, and Rolex. There are many more, however their message and

colors are pretty much the same and are consistent. Look at BMW, their slogan is “The Ultimate Driving Machine” remember Timex, “ It takes a licking and keeps on ticking”, Panasonic, “Slightly ahead of its time”, Coke, “The real thing.” Think of ways you can brand yourself with a name and colors. I knew a salesperson whose last name is Camper. His newsletter read, Happy Camper. Customers would come in and say, where is the Happy Camper? That’s brand equity and conformity.

Where Do I Go And Fish? We talked earlier about fishing in your database, lets wrap up this article with where are the other fish or prospects and suspects. If you deal with subprime customers, then you should go where subprime customers go. Let’s look at that and see how we can improve your traffic at your dealership. WHERE ARE THE CUSTOMERS? 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

Check to cash business’s Apartment complex’s Rent to own furniture Newspaper, customers selling their cars Bus Stops – public transportation Pay roll check cashing Friends, referrals, neighborhood Insurance agencies, car washes, body shops, Dealerships that don’t do special financing Canvass neighborhoods that cater to that type of buyer

Selling cars isn’t that easy after all is it? If it was, then most would be selling 20-30 cars a month. There are two parts to selling a car, there is now business, which means, sell right now, the other part is marketing to increase your lead generation. So those are the two parts of selling. You have to market to your customers consistently and then generate leads to come in. Do that and you will sell more cars. As I close this article, here are 5 more marketing tips to help you sell more right now. Oops I can’t believe it, I ran out of space for this great magazine, email me at george@georgedans and I will send you those very valuable profitable tips, so get on your computer and email me right now. Until then, market more, ask for more, sell more, and enjoy life more. George Dans consults with dealers and key decision makers on how to fulfill their dealership vision of sales success and profitability. george@georgedans.com

R E A L WO R L D S T R AT E G I E S • R E A L WO R L D S T R AT E G I E S • R E A L WO R L D S T R AT E G I E S • R E A L WO R L D S T R AT E G I E S • R E A L WO R L D S T R AT E G I E S •

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

f e a t u r e

s t o r y

T H E C M D C O U R S E T E AC H E S D E A L E R S C R I T I C A L T H I N K I N G S K I L L S E S S E N T I A L TO RU N N I N G A M O R E P RO F I TA B L E U S E D C A R D E A L E R S H I P

Jigsaw Puzzles Are Easier To Put Together When You Have A Picture To Look At. By Joe Lescota Have you ever sat down to do a jigsaw puzzle either by yourself or with a child? It starts out as a fun idea until you get a little bit frustrated by the fact your patience just might be wearing a little bit thin because of the slow progress that you’re making. The pieces are small and the pieces are many and so many small pieces look alike. Well it helps to take a glance at the cover of the box doesn’t it? When you see what the overall picture looks like you get that, “ah ha, so that’s where it goes,” feeling. The picture at that point was your bench mark. It’s no different than attempting to put a new disassembled toy or equipment together without an instruction sheet. It’s mind boggling and extremely frustrating. You might eventually get it put together without the picture but how much faster would you have completed the task had you just had a picture to look at? The above scenarios pretty much sum up our used car business. We have a tremendous amount of pieces of our business to deal with on a daily basis and each day the dealer has to figure out where those pieces fit. If you’re really lucky, by the time the day is over, you have all the pieces and not one piece is missing to complete a successful business day. Then tomorrow, someone dumps a whole new jigsaw puzzle out of the box and you get to do it all over again. The problem is, too many independent used car dealers don’t have a successful picture or a clear enough picture to look at in order to put the puzzle together quickly and accurately. The Certified Master Dealer course is that picture. The CMD course offers independent dealers the opportunity to have a clear, concise picture of what a successful used car operation should look like. It’s called benchmarking. Benchmarking gives dealers a road to success to follow each and every day. A road that leads to more sales, less capital tied up in frozen inventory, more gross and more net profits. The CMD course teaches dealers critical thinking skills essential to running a more profitable used car dealer-

ship. It’s not about theory or philosophy. It’s about time proven methods used by successful franchised and independent used car retailers throughout the U.S. and Canada. CMD is about learning to use the data a dealer currently has and needs to have in order to make the best business decisions leading to success. What dealer wouldn’t want to learn how to reduce their floor plan expense, their advertising expense and their personnel expense, the leading causes of low or no profitability? The course itself, while intense and packed with valuable financial and managerial information only represents a portion of what is learned in the classroom. Dealers who attend the CMD course also get an opportunity to learn from other CMD candidates by sharing creative ideas both in and out of the classroom. Becoming a Certified Master Dealer doesn’t fix all of your problems, but becoming a CMD sure puts you on the fast track to solving many of your current challenges. I certainly understand the challenges of attending a CMD course. The course after all is four days in length. I understand that when business is good and you’re swamped, there’s no time for training and education. I also understand that when times are financially tough you must put in the extra time because you’re concerned about leaving your business. I understand that there is never a good time for training and education because there is only time to put out fires, time to worry about how you are going to improve sales and profitability, time to figure out what you’re going to do with that aged inventory and time to figure out what the picture of the jigsaw puzzle looks like. It’s crazy but I even hear dealers say they aren’t willing to pay the fee to become a CMD. So I ask, what is it costing you not to be a CMD? What is the cost of not having the data and education that would allow you to be more effective in the market place? Any prudent used car dealer would never say, “reconditioning is an expense”. Instead they

would say, “reconditioning a vehicle before putting it on the lot is an investment”. The same can be said for the CMD course. It’s not an expense. It’s an investment in yourself, your employees and your customers. I bought an ax one time. It was one of the finest tools I owned. I was very proud of the fact that it could cut through trees on my property like a hot knife going through butter. I loved using that ax. It made me feel powerful and in control. The more trees I cleared the more proud I felt. But as I continued to clear the land of these unwanted trees I began to feel tired and quite frankly old and out of shape. On the third day of my tree clearing project my wife came out and found me sitting on the ground sweating profusely and exhausted after cutting only half as many trees as I had in the previous two days. I looked up at her and said, I think I’m getting too old for this. I said either I’m getting weaker or these trees are getting tougher. My wife looked down at me and said, “Joseph, I’ve been watching you from the kitchen window for two and a half days now and you’ve been working yourself to death and you’ve done more than I ever expected you could do but, she said, I have yet to see you take the time to even once sharpen your ax. She said, maybe it’s not you that’s worn out, it might be the blade of your ax. Dealers, let the CMD course be your picture to putting your jigsaw puzzle together and take four very valuable and precious days out of your hectic life to sharpen the blade of your ax so you may once again effectively cut down the competition.

Joe Lescota Chairman of the Automotive Marketing Department at Northwood University

S O I A S K , W H AT I S I T C O S T I N G YO U N OT TO B E A C M D ? • S O I A S K , W H AT I S I T C O S T I N G YO U N OT TO B E A C M D ?

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

f e a t u r e

s t o r y

P E R S I S T E N C E I S P E R H A P S T H E M O S T C O M M O N D E N O M I NATO R O F S U C C E S S F U L L I V I N G .

The Five Keys To Success By Mark Tewart Do you want to be more successful? You can achieve are not at your peak level of enthusiasm will enable greater success if you begin to follow certain secrets you to make corrections quickly. Without the filters that blow open the doors that are closed for you you can become a zombie simply going through the now. I am comfortable in saying that all people have motions until you or someone else makes you some closed doors that limit their achievement. What aware of your lack of enthusiasm. are the doors that I am talking about and how can Key #3 Emotion- Do you live with emotion? You you open them? The doors are a metaphor for the don't have to be a drama queen to live emotionally. gateways to successful achievement. The keys are Emotions are about feelings. Successful people tend the secrets that unlock them and allow you to move to live in the moment. Stress, fatigue and worry forward faster and with less conflict toward your detract from the joy of living in the moment. "Worry dreams than ever before. is paying interest on a debt not yet due." Everyone Key #1 Energy- Everyone needs physical, mental, experiences levels of depleting emotions that emotional and spiritual energy to propel them toward their goals. It's often been said that "fatigue makes cowards of us all." What do you do that gives or robs you of energy? Make a list of 10 common actions in your day. Next to each, put a plus or a minus according to whether it gives or depletes energy. The mind, body and spirit go hand in hand. If one source is constantly drawing energy it will affect the energy in the Persistent pursuit other area. Do you ever feel of goals and dreams so depleted mentally that physically you are just going creates a powerful through the motions? Create sense of living an action plan to eliminate or unmatched by greatly reduce all things that anything else. deplete your energy. Decide what your tolerance is. Successful and satisfied people create levels of tolerance for themselves and create a false and overwhelming sense of reality. others who come in contact with them. How many times have you heard of people with Key #2 Enthusiasm Ethos- Loosely translated near death experiences who now live with a greater means, "The Breath of God." This means enthusiasm sense of awareness and emotion? Colors become is contagious. It's hard to get others excited unless brighter, jokes become funnier and experiences you are excited. Nobody is excited all the time. We become richer. Your level of attainment in all have our ups and downs. What anchor do you emotional living will increase your connection to have that will immediately connect you to the others. To enrich your chances of success, you have enthusiasm that you need to achieve the successful to enrich others. level of living that you want? Just by having a Key #4 Humor- Nothing can bond people built-in and pre-arranged filter that detects when you quicker than humor. Nothing can change your

attitude, emotions, enthusiasm and outlook more than humor. Humor releases endorphins in the brain and creates a feeling of euphoria. Humor is an instant-on switch for changing your actions and outlook toward everything you face in your day. Experiencing humor is powerful. Being a conduit of humor for others is power multiplied exponentially. Key #5 Persistence Persistent = consistent. Persistence is perhaps the most common denominator of successful living. Successful people keep moving when others quit. It's been said that most of success is just showing up. Persistence is the key to showing up when other have quit. History is full of examples and testimonials to the power of persistence. Failure only occurs at the time when you quit. Those who live successfully know the power of persistent pursuit. Persistent pursuit of goals and dreams creates a powerful sense of living unmatched by anything else. Persistence becomes a life force that creates self confidence for those who execute the power of persistence on a daily basis. In a world where the strong survive, persistence equals the playing field and gives the edge to those who apply its power. Combining all the keys to success will create a sense of urgency needed for success. Examine the current level of each of the five keys to success in your life and create a personal game plan for successful living.

Mark Tewart founded Tewart Enterprises Inc., in 1993. Tewart Enterprises Inc is a training, consulting/coaching and products company. www.tewart.com

TO E N R I C H YO U R C H A N C E S O F S U C C E S S , YO U H AV E TO E N R I C H OT H E R S â&#x20AC;˘ TO E N R I C H YO U R C H A N C E S O F S U C C E S S , YO U H AV E TO E N R I C H OT H E R S

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

NIADA

•••••••••••••••••••••••••

LEGAL, LEGISLATIVE & REGULATORY UPDATE FOR APRIL 2008

••••••••••••••••••••••••••••••••••••••••••• By Keith Whann NIADA General Counsel the Federal Odometer Act. The maximum penalty for a single violation of the Act was increased from $2,200 to $3,200 and is now in effect. OTHER ACTIVITY OF INTEREST Should the Goal for Carbon Emissions Be Less Than Zero? Researchers worldwide have been asking themselves that question and working on technologies to reach that goal. The end result would be the ultimate green business, one that produces fuel whose emissions are more than offset by carbon dioxide stored during production. Such a business would be successful if Congress were to put a tax on emissions or start a trading plan that makes carbon credits valuable. For some experts, it’s not a question of whether businesses will go carbon neutral, or even carbonless negative, but when. CASE OF THE MONTH J. M. & J. L. Schwalm, was filed in the United States Bankruptcy Court in Florida. The facts show that the debtors bought 2 new cars on November 13, 2005 for their personal use. Both cars were purchased from the same dealer using the same form of Retail Installment Contract. The dealers assigned the contracts to the lenders Bank of America and GMAC. The debtors filed a joint petition for relief under Chapter 13 on May 29, 2007, within the 910 dayperiod referenced in what has become known as the “hanging paragraph” at the end of Section 1325(a) of the Code. Bank of America filed proof of claim asserting a current balance of $27,730.78 while the debtors Chapter 13 plan provided for a total secured claim of only $15,000. GMAC also filed a proof of secured claim in the amount of $20,275.38 while the debtors’ plan provided for a total secured claim of only $15,600. The debtorscontend that the total amount financed the cost of filling your gas tank reached another new record averaging on the Retail Installment Contracts included the neg$3.23 a gallon for regular unleaded gasoline and $3.83 a gallon for diesel. ative equity from trade-ins, plus premiums for gap coverage, and the cost of a service contract. In short, the debtor’s contention access the registry or call consumers with whom they have an "established was that the “hanging paragraph” does not apply. business relationship" nor does it effect customers who have given dealers The court found that the debtors negotiated packaged financing in written permission to call them at a designated phone number. compliance with the state motor vehicle finance laws and the Federal Truth in FEDERAL REGULATORY ACTIVITY Lending Act and Regulation Z. The Court stated that under these laws, the NHTSA Publishes 2008 Insurance Cost Information Booklet items complained of were of “close nexus” to the vehicle and lawfully The National Highway Traffic and Safety Administration has released its permitted to be included in the “amount financed” in a motor vehicle retail 2008 insurance cost information booklet that includes comparative information installment contract, therefore giving the two creditors “purchase money regarding differences in vehicle collision loss experience that could affect auto security interests”. Accordingly, the Court held that the debtors attempt to insurance costs. Copies of the booklet can be obtained at www.NIADA.com. bifurcate these items for purposes of a loan cram down was not permissible. Penalties for Odometer Law Violations Adjusted for Inflation NHTSA has adjusted for inflation the maximum penalties for violations of With consumer confidence in the economy dropping to an all time low as worries of a possible recession linger, the cost of filling your gas tank reached another new record averaging $3.23 a gallon for regular unleaded gasoline and $3.83 a gallon for diesel. FEDERAL LEGISLATIVE ACTIVITY Dealer-Customer Calls Not Affected by "Do Not Call" Extension Consumers who have placed phone numbers on the "Do Not Call" registry since it took effect in 2003 will not need to re-enter their numbers five years later to avoid receiving unwanted solicitations. The newly enacted legislation removed the five-year limit on the time numbers can remain on the registry. The legislation has no effect on a motor vehicle dealers’ ability to

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008

“

TNIADA President

President’s Letter By David Andrews What a great time to be a member of your TNIADA Association. As a group we had the best year in our history. At the close of 2007 our membership has grown to 375 members. This is quite an accomplishment. It puts us in position to hit our goal of 500 members in 2008. We also had numerous other achievements in 2007. Several of the highlights are: 1.

New office space at ABC Nashville.

Established relationship with the TMVC.

5 vendor fairs.

Rebuilt your TNIADA web site.

Formed Chattanooga Regional Board

Honda Odyssey with TNIADA logo.

Established three business partner relationships.

Co-hosted a seminar with OVE.com

Monthly Board Meetings.

Your Board of Directors has already started the year off with an aggressive agenda. At the February board meeting we approved the nomination of four new board members. We would like to welcome them to your association. The new board members are: 1.

J. T. Livezey

Moss Miller

Mickey Dorsey

David Wilson

These new members give dealer members representation for all parts of our state. I would also like to give you our top ten goals for your association for 2008: 1. Increase membership to 500. 2. Create remaining Regional Boards. 3. 4 vendor fairs. 4. Annual Meeting and Vendor Conference in October. 5. 6 membership drives with our auction partners. 6. Update our website. 7. New display booth. 8. Launch our “New Dealer” education seminars. 10. Increase our business partners. Your Board of Directors appreciates your membership. We are here to help our dealer members be successful. Please feel free to call any of us for assistance. Here’s to forecasting a great year for your association and each of our dealer member’s businesses for 2008. With best regards, David Andrews President TNIADA

T E N N E S S E E D E A L E R N E W S | MAY/JUNE 2008