The debate on whether to post prices on vehicles has raged almost since Buy Here – Pay Here was invented. The number of dealers who actually post prices seems to ebb and flow like the tide based on the current status of that debate. In today’s business climate of increased transparency and ever-increasing regulatory scrutiny, the debate is again in full swing. Most dealers who argue against posting prices on
Buy Here – Pay Here operators across the country have been debating over the last few years whether to embrace the latest innovations in technology or to stick with the traditional way of operating their businesses. It has been almost 15 years since the first payment protection devices hit the market. Since then, new technologies that can be adapted to BHPH seem to appear almost weekly. There is GPS, auto
Part 1 – Sales Promotions Properly designed promotions are more fun than advertising. Promotions should involve your employees, your customers, friends, family, neighbors, etc. All promotions should be done in a festive atmosphere. Plan the promotions so that as many customers as possible are included. Try to avoid promotions that have just one winner. It is very difficult to get people excited about one grand prize. People are more likely to
Collections are the most exciting activity at a Dealer Controlled Financing dealership. If your employees have properly worked the other processes at your dealership, then collections can be easy. The dealership can maintain a larger portfolio without increasing personnel expense. If your dealership is charging the highest interest rates allowed, extending contracts beyond the expected life of the vehicle, or treats customers like they are doing them a favor by
From the FTC Business Center Blog By Tony Rodriguez and Jessica Lyon January 10, 2013 – 2:00pm Just saying you’re not a consumer reporting agency isn’t enough You know that phrase “If it quacks like a duck. . . “? It’s applicable in the Fair Credit Reporting Act context, too. If a company meets the legal definition of a “consumer reporting agency,” it’s a consumer reporting agency. Including a disclaimer
Do you want to improve your sales, increase collections and protect your dealership by enhancing compliance? Of course you do. The key to doing all of the above is being consistent. Sales Do you use a step-by-step sales process or do your sales people just kind of wing it with each customer? If you don’t have a step-by-step process, how do you know what is being said to your customers
In the last two installments, we looked at how poorly most dealerships handle incoming sales calls and some tips at getting the information you need from each call. In this segment I want to talk about five things you should never do or say during that first call. 1. Fill out the application Completing the actual credit application is something that needs to be done in person. You can’t look a
As promised, here is the next installment of our blog posts on handling incoming sales calls. In my last post, we looked at how poorly the average dealership handled these calls and how much money was being lost by not taking advantage of these opportunities. In this installment, we will talk about what should be your goal for every call and techniques for reaching those goals. Your first goal with
Good Morning, ABC Motors. How can I help you? I saw an ’02 Malibu on your lot yesterday. How much is it? I’m sorry, we already sold that car. Uh, OK. Thanks. Goodbye. How many sales calls at your dealership sound like this one? More than you think according to numerous studies. A J. D. Powers study of inbound sales calls to auto dealerships found that: Only 11%
I often begin our Collections training class by asking the students what the most important collection tool is at their dealerships. I get answers ranging from the telephone to the tow truck but I have never had a student give me the right answer. The correct answer is the application. That’s right, if you want to successfully collect the loans or leases you make to your dealer controlled financing customers,
