September 30, 2013
Need to Know

kbb_logo22 KBB: Dip in September Sales Expected

New-vehicle sales fig­ures for Sep­tem­ber are expected out tomor­row, but Kel­ley Blue Book antic­i­pates the num­bers will not be as strong as they were in August.

Get the details on the Kel­ley Blue Book fore­cast for the month of Sep­tem­ber. [More]

Kelley Blue Book
lentz_jim22 Lentz: Auto Market to Flatten Late in 2014

Based on the pent-up demand for new cars fol­low­ing the reces­sion, Toy­ota North Amer­ica CEO Jim Lentz sees the vol­ume of new car sales falling off.

Find out more about what Jim Lentz fore­casts for the near future in auto sales. [More]

Detroit Free Press
department_justice22 Price-Fixing by Japanese Companies Affects U.S. Automakers

An inves­ti­ga­tion by the U.S. Depart­ment of Jus­tice resulted in 9 Japan­ese com­pa­nies accused of ille­gally fix­ing auto price parts, accord­ing to Attor­ney Gen­eral Eric Holder.

Find out more about the inves­ti­ga­tion and the ensu­ing fines that were imposed. [More]

The Detroit Bureau
TODAY: Spinella Says Incentives Will Drag Down Resale Values; Building a Stronger Service Department; More 
Video news that moves people and ideas

NADA Chairman: How CFPB Guidance Could Hurt Consumers

In an inter­view on “Aut­o­Fo­cus with David Hyatt,” NADA Chair­man Dave West­cott renews a call for more trans­parency from the Con­sumer Finan­cial Pro­tec­tion Bureau.

westcott-david NADA Chairman: How CFPB Guidance Could Hurt Consumers
heather-mackinnon-skype Service Reviews: An Opportunity for Growth
HEATHER MACKINNON VP of National Accounts, DealerRater
manson-gregg Plugging the Revenue Holes in Your Service Dept.
GREGG MANSON Field Services, Xtime
WARNING: Stay Ahead of the CFPB
  “The CFPB Thinks Auto Consumer Credit is Broken”

The Con­sumer Finan­cial Pro­tec­tion Bureau is going to have a huge impact on deal­ers. Make sure that your F&I Dept. knows how to stay in compliance…

Click here to watch video
VIDEO: Compliance is Smart
  Compliance: Avoid the CFPB’s Wrath

Look­ing to avoid the wrath of the CFPB? An eval­u­a­tion of some of your deals with a focus on con­sis­tency in your approach could find oppor­tu­ni­ties to improve in com­pli­ance and dis­cover poten­tial areas for profit.

Click here to watch video

Dealer Pain Points

50-Person-with-Hamburger Time Wasters That Kill Service Profits

Do you put the ketchup on a burger before you cook it? Of course not. There’s a sequence to prepar­ing the burger and adding the fix­ings. Ser­vice and parts depart­ments have their own sequence but some are out of whack. And when that hap­pens it eats into the store’s profitability.

Watch this video and we’ll show you how improve pro­duc­tiv­ity and prof­its with advice on how to ensure you’re struc­tured for success.

Service-Department-Wide-Shot-1024x576 Mismanaging Workflow Hurts Bottom Line

To the aver­age con­sumer, one ser­vice tech is the same as another. Savvy ser­vice man­agers know bet­ter and uti­lize per­son­nel to pro­duc­tively man­age a work­flow that requires dif­fer­ent tal­ent and skill levels.

The chal­lenge for ser­vice man­agers is sim­i­lar to one fac­ing coaches of sports teams: putting the right play­ers on the field and in the right posi­tions to succeed.

Click here to learn more.

Tech-working-on-car-1024x576 Used Car Manager Headache: Waiting for Reconditioning

Why do some deal­er­ships ignore their deal­ers’ invest­ments? Trade-ins sit and sit, wait­ing to be reconditioned.

The used-car man­ager, who needs those vehi­cles ready for retail because he’s des­per­ate for inven­tory, just can’t seem to get anyone’s attention.

What’s the solution?

You’ll find a few when you watch this video.

Doing It Right  


Con­sumer behav­ior and the pur­chase process have intro­duced changes to auto­mo­tive mar­ket­ing and media attri­bu­tion, but deal­er­ships are look­ing at old met­rics in old ways, accord­ing to

Fol­low­ing these 7 “dig­i­tal sins” could mean a dealer is wast­ing media dol­lars and elim­i­nat­ing adver­tis­ing options that could help influ­ence shoppers.

Solu­tion: aims to posi­tion deal­ers to reach the right audi­ence, build aware­ness, drive con­sid­er­a­tion and ulti­mately improve con­ver­sion rates. Train­ers, Ed Woelfle and Jack Sim­mons, work together to high­light seven com­mon mea­sure­ment chal­lenges, and pro­vide tips to align processes and media buy­ing deci­sions with the behav­iors of today’s car shop­per in a webi­nar titled “The Seven Dig­i­tal Sins of Attri­bu­tion”.

Webi­nar reg­is­tra­tion is free. Read on!

Behind the Numbers  

CNW Research Pres­i­dent Art Spinella sees new vehi­cle incen­tives com­ing back up that will even­tu­ally hit used vehi­cle val­ues as automak­ers com­pete to increase their mar­ket share.

In a recent video inter­view, Spinella points to Ford putting up to about $12,000 on the F-Series pickup – with about two thirds com­ing from man­u­fac­turer cash back and the other third com­ing from dealer and regional incetives.

Deal­ers are in a posi­tion where they have to dis­count more and give more on trade-ins to close deals, he said.

Other remar­ket­ing experts appear to dis­agree with Spinella’s warning.

Tom Kon­tos and NADA Used Car Guide saw incen­tive spend­ing drop in August and so far haven’t issued warn­ings on incen­tives spend.

Per­haps there’s a dif­fer­ence in how CNW Research and Auto­data define and track incen­tives? Read on for more………..

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.

ReviewsThe Importance of Service Reviews

As one of the busiest areas in the deal­er­ship, it can be chal­leng­ing to fit ser­vice reviews into the daily processes of the ser­vice depart­ment. How­ever, when done cor­rectly, it can pay big div­i­dends – in one dealership’s case a 50 per­cent increase in ser­vice traf­fic and profit.

One dealer that has tack­led this prob­lem head on, Bozard Ford Lin­coln, of St. Augus­tine, FL  started a rep­u­ta­tion man­age­ment pro­gram approx­i­mately three years ago and now has built over 1,000 reviews. In that time the deal­er­ship has boosted sales from under 100 to 317 vehi­cles per month; and ser­vice has enjoyed a 50 per­cent RO count increase.

Jeff King, Gen­eral Manager/VP with Bozard Ford Lin­coln sees a clear cor­re­la­tion between online reviews and sales and ser­vice busi­ness.

Keep read­ing for his sug­gested best prac­tice tips!

Smart Thinking - Pass It On  

At Issue:

The one chal­lenge all busi­nesses face is cre­at­ing loyal cus­tomers. With­out loyal cus­tomers, your efforts at cus­tomer acqui­si­tion quickly go from grow­ing your busi­ness to replac­ing defect­ing cus­tomers in a never-ending cycle

Where Can Auto Deal­ers Turn for Advice?

Behav­ioral Sci­en­tist James Kane has stud­ied the brain, and what trig­gers loy­alty in peo­ple, and he has come up with three trig­gers auto deal­ers need to be aware of.

Michael Gorun, man­ag­ing part­ner and founder of Per­for­mance Loy­alty Group Inc., says there is a ‘sci­ence’ behind cus­tomer loy­alty that auto­mo­tive deal­er­ships need to under­stand. Drill down fur­ther to find out what trig­gers cus­tomer loy­alty and add to your bot­tom line growth.

Build a Stronger Service Department  

At Issue:

Suc­cess in the Ser­vice Depart­ment of an auto­mo­tive deal­er­ship cen­ters around the inter­face between you and your cus­tomer. In the process, there are 6 ele­ments that must be con­sid­ered essen­tial to sat­is­fy­ing your cus­tomers and assur­ing they will return time and again.

What Ele­ments Make Up a Suc­cess­ful Cus­tomer Interaction?

Lance Boldt, Vice Pres­i­dent and Co-Founder of AutoNetTV Media, Inc., brings together impor­tant ele­ments to pull together to make your Ser­vice Depart­ment cus­tomer friendly. Drill down fur­ther to put these ideas to work in your deal­er­ship Ser­vice Depart­ment today!

Dealer Resources 
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vAuto's Provision™ suite of inventory management tools is the auto industry's leading solution to help dealers increase used vehicle sales, profitability and return on investment.
Dataium is the largest aggregator of Internet automotive shopping activity. With its Cloud Intelligence® platform, the company collects, analyzes, and indexes billions of online automotive shopping events from over 20 million active auto shoppers monthly.
NADA University
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Xtime is the leading provider of hosted Customer Relationship Management (CRM) systems for automotive services departments that seek to increase service revenue and customer retention.
Turn-key automotive Internet marketing on one platform.
NextGear Capital
We are the largest independent inventory finance provider for used automobiles providing inventory financing to dealership operations in the areas of Retail, Wholesale, Rental, and Salvage.

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