September 26, 2013
Need to Know

nada_dealers22 Auto Dealers Take CFPB Issues to Washington

More than 400 fran­chised auto deal­ers weighed in with Wash­ing­ton law­mak­ers over CFPB reg­u­la­tions while attend­ing NADA’s annual Wash­ing­ton Conference.

Deal­ers speak out on efforts to alter the auto financ­ing mar­ket­place. [More]

NADA Front Page
california_rebates22 California Votes to Extend Rebates, Build Infrastructure

The Cal­i­for­nia leg­is­la­ture has approved mea­sures to extend rebates for elec­tric vehi­cles and to help develop up to 100 hydro­gen fuel­ing sta­tions over the next decade.

Get the details on these sig­nif­i­cant moves toward alter­na­tive fuel mea­sures. [More]

Detroit News
akerson_dan222 GM’s Akerson Touts Strong Financial Results

“Good things hap­pen when you build great cars and trucks…,” GM CEO Dan Aker­son said in a state­ment, as Moody’s Investor Ser­vice raised GM’s cor­po­rate rat­ing reflect­ing sus­tained profitability.

Find out why Moody’s decided to upgrade GM’s invest­ment credit rat­ing. [More]

Detroit Free Press
TODAY: Making Full Use of Customer Data; Converting TV Spend to Social Media; Financing Level Highest Since 2006; More 
Video news that moves people and ideas

Don’t Apply the Technology Wrong Way

Get­ting an han­dle on inter­nal data and ana­lyt­ics can tell you where deal­er­ship processes are weak or strong — and help guide your busi­ness to where it needs to go.

williams-mike Don’t Apply the Technology Wrong Way
MIKE WILLIAMS VP of Mobile and Direct Sales, Black Book
manson-gregg Plugging the Revenue Holes in Your Service Dept.
GREGG MANSON Field Services, Xtime
dowd-skip The Future of Chat Will Change Car Sales
SKIP DOWD SVP of Automotive Solutions, Contact at Once
VIDEO: Establish Trust, Build Loyalty
  Dealing with the Credit Challenged

When track­ing credit-challenged cus­tomers, extended grace peri­ods and pay­ment reminders are a great way estab­lish trust and build loyalty.

Click here to watch video
VIDEO: Subprime Landscape Keeps Changing
  Many Players Enter Market as Demand Grows

As new car sales increase due to pent up demand, more sub­prime play­ers are enter the mar­ket and the land­scape of finance is con­stantly changing.

Click here to watch video

Dealer Pain Points

autorepairman_1_13_2009-8_14_am Process Makes Perfect

Prac­tice makes per­fect, but even the best peo­ple will deliver spotty results unless they’re fol­low­ing a well-defined process.

In the ser­vice depart­ment, get­ting the process off to a good start is crit­i­cal to a prof­itable end­ing.

Click to learn more.

hire wire act The High Wire Act — In Parts

Run­ning a parts depart­ment is a lot like per­form­ing a high-wire act. A slip-up on the high wire can be deadly. Slip­ping up in parts will kill your profits.

You need bal­ance — enough of the right parts to meet demand while avoid­ing over­stock issues that can crimp cash flow.

Click to learn more.

top secret Are You the Best-Kept Secret in Town?

The aver­age con­sumer thinks deal­er­ship ser­vices cost more, and that’s usu­ally not true. You’re com­pet­i­tive in a vari­ety of ser­vices but there’s no reward for keep­ing it a secret.

Take steps to improve ser­vice sales.

Click here to learn more.

Doing It Right  

New vehi­cle financ­ing is at the high­est level since track­ing began in 2006. A record 84.5 per­cent of con­sumers who acquired a new vehi­cle in the sec­ond quar­ter obtained either a loan or a lease to fund the purchase.

“Loans have become more acces­si­ble in recent years, and we’ve seen a steady growth in the per­cent­age of con­sumers financ­ing their vehi­cles,” said Melinda Zabrit­ski, senior direc­tor of auto­mo­tive credit for Exper­ian Auto­mo­tive. 

Find­ings from the lat­est Exper­ian Auto­mo­tive State of the Auto­mo­tive Finance Mar­ket report include:

• Of all new vehi­cles financed, leases accounted for an all-time high of 27.64 per­cent dur­ing the sec­ond quar­ter, up from 24.4 per­cent in Q2 2012.

• The dif­fer­ences in financ­ing attrib­utes, such as aver­age monthly pay­ment, credit score and financ­ing term. For exam­ple, the aver­age monthly lease pay­ment was $408, com­pared with $457 on a new vehi­cle loan.

• Non­prime, sub­prime and deep-subprime new vehi­cle loans increased to 27.45 per­cent mar­ket share in Q2 2013, up from 25.41 per­cent in Q2 2012.

• For used vehi­cles, non­prime, sub­prime and deep-subprime loans accounted for 57.31 per­cent mar­ket share in Q2 2013, up from 56.46 per­cent in Q2 2012.

Learn more about the Exper­ian Auto­mo­tive 2013 Q2 findings.

Behind the Numbers  

For deal­ers and automak­ers plan­ning their TV adver­tis­ing spend for Q4 and into 2014, it may start drift­ing away from local TV and cable stations.

Face­book is test­ing videos that play auto­mat­i­cally on web­sites and on mobile devices.

The 1.15 billion-member social net­work wants to set up an attrac­tive venue for lucra­tive, television-like video ads.

The videos will be silent when they appear in a Face­book user’s news­feed, but expand and play the audio when clicked.

TV ads on social media will poten­tially become a major avenue for reach­ing con­sumers who’ve left tra­di­tional media – the chal­lenge will be engag­ing them and not turn­ing them off alto­gether from Face­book and other social media sites.

Check out what’s hap­pen­ing with major social media sites break­ing into the huge TV adver­tis­ing space.…

Build a Better Dealership

car_woo_capture_leads22Would You Like a Leg Up on Closing More Online Leads?

The Sit­u­a­tion:

Chal­lenged by a highly com­pet­i­tive mar­ket in 2012, Volk­swa­gen of Down­town LA was look­ing for ways to cap­ture more of the mar­ket share of online customers.

Look­ing for a Solution:

As part of its plan to aggres­sively con­quest Inter­net buy­ers, the deal­er­ship brought vet­eran Inter­net Sales Direc­tor Dave Erick­son on board.

Luck­ily for Volk­swa­gen of Down­town LA, their newly-hired Inter­net Sales Direc­tor knew exactly what to do! There isn’t a deal­er­ship in the world that can’t use more sales per month, so it’s a given that your dealer man­ager will take the time to drill down fur­ther and find out what one deal­er­ship did to increase sales imme­di­ately and consistently.

buyer2_personas22Dealers: Make Full Use of Your Customer Data

At Issue:

Dealer Man­agers can be over­whelmed by look­ing at hun­dreds – if not thou­sands – of cus­tomer records.

The Back­story:

In the real-world, cus­tomer data is nei­ther con­sis­tent nor com­plete. Some­times mar­ket­ing man­agers stare at pages of spread­sheet tables, try­ing to make sense of all the cus­tomer data they hold, and won­der­ing quite where to start to make sense of it all. Such data is nor­mally gath­ered from dif­fer­ent places and is often poorly treated by sales and after­sales folk who see man­ual data entry as a time-consuming waste of time.

Ian Tom­lin, Mar­ket­ing Direc­tor of NDMC Con­sult­ing, uses “con­sumer sci­ence” to estab­lish buyer per­sonas for your deal­er­ship cus­tomers. Drill down fur­ther to under­stand how lump­ing deal­er­ship cus­tomers into var­i­ous lev­els help you under­stand and make bet­ter use of your cus­tomer data.

Smart Thinking - Pass It On  

At Issue:

The three objects you’re most likely to grab as you leave the house today are prob­a­bly your keys, your smart­phone and your wal­let. But if some forward-thinkers have their way, within a short time you’ll just be grab­bing the keys and phone. Dig­i­tal wal­lets – a the­o­ret­i­cal promise since the incep­tion of chip-based smart bank cards – may be about to go main­stream.

“For mobile and online trans­ac­tions, we are absolutely see­ing a move as con­sumers try to avoid pulling out their phys­i­cal wal­let,” says Lemon Wallet’s Jenna Wyer.

For mobile and online trans­ac­tions, retail­ers are see­ing a move to software-driven tech­nol­ogy as con­sumers try to avoid pulling out their wal­lets. Drill down fur­ther to learn what direc­tion con­sumer behav­ior is head­ing as the upcom­ing hol­i­day sea­son approaches.

The CFPB and Compliance  

At Issue:

Com­pli­ance asso­ci­ated with man­dates issued by the Con­sumer Finan­cial Pro­tec­tion Bureau are cre­at­ing quite an indus­try stir nowa­days – mak­ing the Red Flags Rule enforced by the Fed­eral Trade Com­mis­sion require auto­mo­bile deal­ers to develop and imple­ment a writ­ten iden­tity theft pre­ven­tion program.

Zurich Auto­mo­tive is Help­ing Deal­ers Stay Compliant

To help ensure that your deal­er­ship gets and stays in com­pli­ance, Zurich Auto­mo­tive is rec­om­mend­ing seven steps for Red Flags Rule Compliance.

Auto­mo­tive deal­er­ships need to be par­tic­u­larly care­ful about the han­dling of auto loans and leas­ing con­tracts under the new Con­sumer Finance Pro­tec­tion Bureau reg­u­la­tions. Drill down fur­ther for some great and timely infor­ma­tion to pro­tect your deal­er­ship from vio­la­tions and penalties.

Dealer Resources 
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Turn-key automotive Internet marketing on one platform.
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