Automotive Marketing Professional Community for Car Dealers, OEM and Suppliers
Keith Shetterly was kind enough to send me a copy of a ZAG Certified Dealer Welcome Kit from the same company that provides the TrueCar Dealer Program. It is in the form of a PDF file, so I am attaching it for you to download and review. We would like to get some discussion and commentary regarding the ZAG affinity marketing customer referral program, as well as the TrueCar pricing and data presentation tools that are incorporated into the ZAG program for dealers. These documents have been redacted to prevent any negative repercussions to the dealer who provided them.
Please review these documents and then post your comments below...
Taking info from a DMS and using it against us dealers is BS! I'm with Jerry on this one. ZAG and True Car and pack sand. I will never do business with them, and make sure every dealer I know doesn't as well. The sad thing is their are so many dealers out there that don't even know who is pulling what from the DMS... Time to wake up people and stop letting vendors just take all the info they want... Just my $.02
Great post Ralph. Thanks for sharing. We have real salesman that know how to build value in great product. People still sell cars.
When Carsdirect was receiving a fee/vehicle sold, the state of California required a brokerage license. Anyone astute to know if this Zag/Truecar model is requires the same?
Also, in the state of California, if a dealer uses the word 'invoice' w/o customer initiating the inquiry, penalties will prevail.
I have mixed feelings with the TRUEcar contreversy. First of all the dealers set the price on Zag not Zag. It is just like the Costco auto buying program. Where I see a problem is the lack of integrity with dealers not Zag, negotiating from the pricing that they set in the program.
This could be a great tool for dealers if they would build value in the program, like Costco does. What I do with the program, is ask the customer for pricing certificate, make it sound like the best price possible and they are fortunate to get that price, and make the appointment. When they get to the dealership, I make them present the priciing certificate and I have special worksheets with the logos of the company that they came in on. It adds to the integrity of the progam. Plus, I don't negotiate from the price that I set, not ZAG.
We sell between 20-30 cars a month off of the program and I welcome the new leads when they team up with Yahoo.
I welcome all of the doom and gloom dealers to drop off of the program, then I can raise my prices on ZAG and have more leads for my sales people. Remember people sales cars and it is all how you present and work the program. I have been working with ZAG when they started off with Capital One, and it is unbeleivable how much they have grown.
If ZAG is manipulating the market by getting into our DMS it is because of the way the doom and gloomers are running their sales departments. The biggest problem with the Car business today is that we have forgotten how to become merchants. I see an opportunity to sell a car in everything that I do.
Get back to being sales people. It is all in the presentation.
@ George: You must not be a Group 1 store?
No we are not. Pus, we are a Honda store.
So you are going to risk losing all of your co-op advertising money from Honda by staying on the program?