Professional Community for Car Dealers, Automotive Marketers and Sales Managers
Here is this week's Used Car Market Report from Ricky Beggs, Editorial Director of Black Book. Everywhere I turned this past week I was being told of 70% to 80% sales conversions definitely indicating a booming market. One buyer even said the opening bid was many times higher than his planned top bid. And the actual…Continue
Added by John Sternal on March 10, 2014 at 8:31am — No Comments
Here is this week's Used Car Market Report with analysis from Ricky Beggs and Black Book. Judging from the overall comments Black Book received this past week and the ultimate level of adjustments based on the auction results and…Continue
Added by John Sternal on March 3, 2014 at 9:02am — No Comments
Cars, dealerships and sales people can be commodities. As a sales person, your job is to move everything you do and everything you have towards being a non-commoditized item or service. You must sell your difference.
When making a decision, customers look for deciding factors. Being able to know what the differences are and then helping the customer know what they look like, sound like and feel like is your job. Customers don’t spend an hour with you and say, “This is exactly…Continue
Added by Mark Tewart on February 28, 2014 at 9:00am — No Comments
Reading between the lines of subprime lending to infer important data about used cars.
Moody analysts Jeff Hibbs, William Black, and Mack Caldwell, published a report in late 2013 that, "Auto lenders will continue their return to higher levels of risk-taking, a trend that…Continue
Added by Scott Parrott on February 28, 2014 at 8:43am — No Comments
Many sales people tend to always be chasing the next customer and worrying about the next paycheck. The good news is that this is unnecessary and can be fixed forever in two years or less. Sales people can eliminate future sales and income anxiety once and for all.
What’s the key to creating freedom? It’s marketing. If you are a sales person who is waiting for your business to provide an endless funnel of prospects and buyers, you are living in a fantasy land. Even with a ton…Continue
Added by Mark Tewart on February 27, 2014 at 9:00am — No Comments
There is a revelation that is shocking and, quite frankly, scary. A dangerous and potentially fatal mistake is being made everyday in businesses. The mistake is the confusion between strategy and tactics. Strategy is your overall goal for your business and your overall marketing philosophy to achieve those goals. Tactics are executable actions you take to achieve those options. The good news is that once you have clarity about your strategy, and then apply emotional direct response marketing…Continue
Added by Mark Tewart on February 26, 2014 at 9:00am — No Comments
Each year at the start of football practice, Vince Lombardi, the coach of the Green Bay Packers started his season the same way. His opening statement to his players was, “This is a football.” Every year, John Wooden, the legendary basketball coach of the UCLA Bruins started his first practice of the season by demonstrating to his players how to properly put on their socks to prevent blisters. Pretty basic stuff, huh?
Notice the similarities between Wooden and Lombardi in the…Continue
Added by Mark Tewart on February 25, 2014 at 9:00am — No Comments
Has the winter of 2014 altered what kind of vehicle choices are made by drivers? Swapalease.com, the nation’s largest car lease marketplace, reports a slight change in vehicle preferences this winter, with utility vehicles replacing certain car segments in many locations.
During the previous three winters, a mix of car segments and smaller utility vehicles carried a large percentage of lease…
Added by John Sternal on February 25, 2014 at 8:04am — No Comments
What is the plan at your dealership for training your team members? If it is what I have seen at most dealerships, it’s not enough. As a matter of fact, if you are operating at the industry standard, it’s embarrassing. Dealerships that struggle always have people who are not trained enough or trained properly.
In 2011, NADA stated that the average automobile dealership in the U.S. spent $654 per vehicle on advertising. How much per car was spent for training? I don’t know the…Continue
Added by Mark Tewart on February 24, 2014 at 9:00am — No Comments
Hello and welcome to this week’s edition of Beggs on the Used Car Market with data from Black Book. Thanks for tuning in this week and also for the comments we received over the past week about the market activity.…Continue
Added by John Sternal on February 24, 2014 at 8:45am — No Comments
Swapalease.com, the nation’s largest car lease marketplace, believes a growing number of U.S. leases are being taken over for the purpose of getting shipped overseas at the end of term, particularly as fewer lessees and dealers plan to keep the leases because of the changing equity position.
In several European markets, pent-up demand is pushing up local car sales. Exports of U.S. cars have been on the rise, with brands like Ford and Honda showing increasing exports recently. In…Continue
Added by John Sternal on February 21, 2014 at 6:00am — No Comments
Why? Although there can be many reasons for dealerships that struggle, after two decades of consulting, coaching and…Continue
Used car prices are expected to fall -13.5% this year, compared to -12.8% in 2013. However, this rhythm of price drops is expected to take a pause over the next 45-60 days as buyers use their tax rebate checks to purchase used cars, known as the “tax buying season”.
If similar patterns follow last year’s trends, keep an eye on the following four segments, which may show price increases in the…
Added by John Sternal on February 20, 2014 at 8:27am — No Comments
Drive up to a dealership and you will most likely see a lot lizard. Their species is easy to spot. They tend to congregate in front of the dealership, smoking, joking, complaining and waiting to wait on someone. Notice I said waiting to wait on. These lizards are a curious species in how they tend to look for prey. The professional is a different breed. The professional tends to not wait on much or for long. The professional has goals, a work plan and is too busy taking action…Continue
Added by Mark Tewart on February 19, 2014 at 9:00am — No Comments
Robert Cialdini is a social scientist who wrote the book Influence: The Psychology of Persuasion. In the book, Cialdini describes six different influences that get people to say “yes.” In this article, I would like to review those six influences and how that relates to selling vehicles, and add one more form of influence that will assist you in getting your customer to say “yes!”
Reciprocation — Human nature creates an urge to pay back debts. These debts can be in the…Continue
Added by Mark Tewart on February 18, 2014 at 9:00am — No Comments
“In the mind of the beginner there are many possibilities, and in the mind of the expert there are few.”-Suzuki Roshi
What would you do in your sales career if you did not have limitations? Everyone has self-imposed limitations. These limitations can stem from several strong forces – environment, childhood experiences, workplace profiling, etc. Never allow anyone to pigeonhole you into who you supposedly are or who you are not.
People in your work…Continue
Added by Mark Tewart on February 17, 2014 at 8:30am — No Comments
As a sales professional, it can be an eye-opening experience when you go shopping for yourself. Weaknesses in other’s presentations can teach us lessons about how to strengthen our own. One common theme you might notice is that many people don’t seem to recognize that people don’t buy products or services. People buy from people.
People buy solutions to perceived or real problems. Good sales people assist buyers in solving their problems through emotions, visual imagery, and…Continue
Negotiating can be done in a professional manner that can increase customer satisfaction while helping to protect both parties’ interests.
Let’s first look at some of the problems that give negotiating a bad name and then look at the solutions. A lack of training in negotiating in the automotive industry has put sales people at a disadvantage. Usually, a sales person is taught how to negotiate in a learn-as-you-go method. Although all learning must be accomplished by doing,…Continue
Added by Mark Tewart on February 13, 2014 at 8:30am — No Comments
“You can’t make gross profit anymore now that we are fully in the digital age.” That is a common observation repeated every day by frustrated salespeople and managers. The reality is, that simply is not true. Gross profit is and always will be possible — if you create and practice the right elements for profit.
First of all, it is never possible to make the profit you desire without the right belief system and mindset. If you believe you cannot…Continue
Added by Mark Tewart on February 12, 2014 at 8:30am — No Comments
Do you believe in luck? Do you consider yourself a lucky person or are you waiting for your ship to come in? There is a difference between luck and randomness. You should create your own luck and remove the randomness of your results.
Recently, I conducted a sales meeting for a business. Before I gave the meeting, I entered the meeting area before the sales team arrived and I taped a $20 bill to the bottom of a chair. During the meeting, I asked everyone to stand up…Continue
Added by Mark Tewart on February 11, 2014 at 8:30am — No Comments