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Steven Shaw's ADM Blog (16)

The Dealer Principle - Part 2

The trust we build or loose in the sales transaction is then transferred to the service process. Dealerships should begin to build the service department into their sales process. Customer should be offered an opportunity to talk with the service manager and ask questions about service. The service manager should be the individual that explains the new car warranty to the customer. This will eliminate the chance of confusion and misleading statements by the sales department. If we are truly… Continue

Added by Steven Shaw on September 14, 2009 at 7:00am — No Comments

The Dealer Principle! Part 1

The problem with Dealerships is Trust. Customers have a sense of wonder and excitement in thier hearts most of the time they come to purchase an automobile from the new car dealership. Many customers dream of that new Mustang on the showroom floor. They fantasize about the roar of the engine starting and revving up by pressing the accelerator. Our customers begin to lose trust in us about the time they enter our establishments. They want to… Continue

Added by Steven Shaw on August 30, 2009 at 7:00pm — No Comments

Lee Harkins is training Service Advisors to Stop Selling the Business

Pssst, I want to tell you a Secret. But you cannot tell anyone. Please keep this under wraps. M5 Management Services™ President and CEO Lee Harkins has gone slightly crazy. He is advising clients to stop selling the business. If the word gets out M5™ will be out of business in its first year of performance coaching and training. I am asking you not to tell other managers or dealers of this secret going on in our organization.

Lee Harkins whose client list reads like a who’s who of… Continue

Added by Steven Shaw on August 18, 2009 at 7:30pm — No Comments

We should be OUTRAGED about customer defection1

As an industry, as a collective group of car dealers, we all should be outraged to see our customers fleeing to the independent shops. Let’s face it; the new car customer is our customer to keep. Each and every day we send another customer, two, three or three thousand fleeing from our dealerships to the independent shop. Why is it that our customers a running in droves from our dealerships?

I will tell you the answer!

It is simply trust!

Our customers do… Continue

Added by Steven Shaw on July 19, 2009 at 5:00pm — No Comments

When Doors Close, New Ones Certainly Open

View from the 101

To My Staff at the LA Auto Gallery


As I leave the dealership to pursue new challenges and opportunities in my life, I wanted to take a moment and say thank you to everyone for allowing me to practice my trade in your dealership. It is important for us to recognize that we… Continue

Added by Steven Shaw on June 1, 2009 at 12:11pm — 1 Comment

Orphan Owners are going to kill GM and Chrysler

Has anyone really thought about the defection that is occurring here in the automotive dealership world? Our customers are defecting in MASS to the independent shops already. Did the manufacturers really think that customers are going to stay loyal to a brand when they cannot even get service for the cars?

My local dealership has gone away. Now what do I do?
Do the experts at… Continue

Added by Steven Shaw on May 26, 2009 at 12:54pm — 1 Comment

Lee Harkins says “Stop Selling the Business”

I asked Lee for his BEST ADVICE for a Service Advisor or Manager today.

What can a service advisor or manager do today to have an impact on their life immediately?

Lee stated, “Service advisors who want to be successful today should stop trying to sell the business.”

I said, “Stop selling the service? Please explain!”

Lee laughed and replied, “I did not say stop… Continue

Added by Steven Shaw on May 19, 2009 at 9:00am — No Comments Rolls Out ROAMSers Community is introducing ROAMSers, the most exclusive dealership community on the Internet. ROAMSers is dedicated to the dealership service and parts professional. Join us today. Interact with the who’s who in the business. Service Advisors and Service Managers alike can find relevant information on improving their performance in the fixed… Continue

Added by Steven Shaw on May 3, 2009 at 6:26pm — 1 Comment

Prime Time for Safety First, Saftey Inspection That Is...

In last week’s blog, I was talking about my experience so far with MPi.

During their training, they proposed that we deviate from one of the first rules I was taught about being a service advisor - Always discuss the prime item (ie what the customer came in for) first. I was trained as a service advisor at Dave Mungenast, Alton… Continue

Added by Steven Shaw on April 20, 2009 at 10:18am — No Comments

Sell the Sizzle

What a week. Service Managers I think you can identify with me on this one. A normal day for me goes like this:

1. Walk the Parking Lot everyday, touch every car and write on the windshield

2. Hold a production meeting everyday, talk about FRH

3. Hold a service advisor sales meeting everyday, talk about sales

4. Follow up on the Work In Process (WIP), close tickets

5. Review the Forecast VS. Actual, look at… Continue

Added by Steven Shaw on April 13, 2009 at 10:40am — 1 Comment

Truth in 24 – An Inspiration

I find myself in the mist of the most amazing cars in the world; the European Car World. My dealership sells Porsche and Audi as well as Italian supercars Ferrari and Maserati. I suspect that many of you will differ from my opinion here today. However my blog today is about AUDI. In my humble opinion the Audi is the most… Continue

Added by Steven Shaw on March 28, 2009 at 1:39pm — No Comments

The Networks are Stealing Our Customers

The independents do it better?

What? Who are these people making false claims to our customers. This is a rallying cry to everyone in our industry. Let’s get off our asses and show the independent guys what we are made of. The new car dealership does it far better than any independent shop can ever claim. Let’s start by comparing the shops…

• Your dealership has the highest skilled and trained technicians.


Added by Steven Shaw on March 21, 2009 at 1:30pm — 2 Comments

WHAT? Harkins Divorces ATcon...

...and gets the management team in the settlement!

Lee Harkins and a part of his executive team at ATcon decided it was time to move. They have formed a new professional performance enhancement coaching firm called M5™ Management Services, Inc.

M5™ Management Services, Inc., specializes in advancing fixed operations of auto dealerships around the world. The M5™ team is made up of Lee… Continue

Added by Steven Shaw on March 3, 2009 at 10:28am — No Comments

Ask and Ye Shall Receive, 20% off

My dealership needs a minimum twenty percent reduction in costs to ensure our survival in the market place.

Like many dealerships, we were looking to reduce our expense structure. After months of watching the numbers come in and working hard to improve the bottom line, we decided on a new strategy. This new strategy is a wholesale reduction of variable and some fixed expenses.

Our General Manager drafted a letter… Continue

Added by Steven Shaw on February 23, 2009 at 1:48pm — 2 Comments

The Cure for Everything is Effective Labor Rate - ELR

Since my last exercise I have had so much response regarding increasing ELR. Immediately questions arise about customer satisfaction and decrease in production. I suggest that we can have it all. We just need to train our service advisors how to sell effectively. I have made a career of walking the parking lot touching the car and keeping my WIP to a minimum. I also have traveled and worked with hundreds of service advisors. We always look for ways to… Continue

Added by Steven Shaw on February 18, 2009 at 9:30am — No Comments

I stayed home from NADA and made $100,000

Well you did it. You made the trip to New Orleans. You partied hard. You had fun. You walked those aisles of vendors. You sat through seminars on many different topics. Tell me you learned something. If you tell me yours, ill tell you mine. Ill tell you about my weekend at The Auto Gallery.

We held a good ole fashion service clinic. We said to all our customers “Spend 30 Minutes with the Car… Continue

Added by Steven Shaw on January 29, 2009 at 10:54am — 4 Comments

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