October 8, 2013
Need to Know

gm_app_online22 Will GM Dealers Begin Selling Cars Online?

Gen­eral Motors’ soft­ware, avail­able to its 4,300 deal­ers, will pro­vide a high-profile test of whether the auto maker can bet­ter cater to the needs of online-savvy con­sumers – online.

Find out more about the pos­si­bil­ity and what could stand in the way. [More]

Wall Street Journal
self_driving_cars22 Insight into the Quest for Driverless Cars

A fully autonomous vehi­cle is at least more than a decade away, but there is no doubt that computer-controlled vehi­cles will some­day become a reality.

Writer Dan Neil takes a look at the fron­tier of mak­ing cars drive them­selves. [More]

Wall Street Journal
government_shutdown22 Extended Government Shutdown Could Affect Automakers

The week-old fed­eral gov­ern­ment shut­down could force automak­ers to delay the launch of some of their new model vehi­cles for next year, as gov­ern­ment plays a role in launch approvals.

Learn more how the issue as it affects 2014 vehi­cle launches for automak­ers. [More]

NBC News
TODAY: How to Get the Most Floor Planning Dollars; Smart Tech to Sell Used Cars; Turn Salespeople into Consultants; More 
Video news that moves people and ideas
ODell_Shane_NextGear Capital

Driving Faster Turn Time and More Revenue

NextGear Capital’s Shane O’Dell says…..

1. Deal­ers are suc­cess­fully turn­ing inven­tory in 30–45 days or less, and they’re using a lot of data.
2. They’re get­ting bet­ter rev­enue on each trans­ac­tion.
3. Deal­ers turn­ing inven­tory at the right time are sell­ing a lot of vol­ume, using data, and are mak­ing more revenue.

See video on what this floor plan­ning expert advises about turn­ing inven­tory the right way….

ODell_Shane_NextGear Capital Driving Faster Turn Time and More Revenue
SHANE O’DELL Chief Operating Officer, NextGear Capital
coats-jeff-aug2013 What is a Valid Lead?
JEFF COATS President and CEO, Autobytel
leavitt-howard-niada-2013 Cost Per Up and Good Money Bets
HOWARD LEAVITT President, AutoRaptor CRM
VIDEO: Successful Holiday Sales
  Holiday Greeting Cards Drive Winter Traffic

Hol­i­day cards strengthen cus­tomer affin­ity with your deal­er­ship. They also demon­strate your appre­ci­a­tion for cus­tomer loy­alty, and cre­ate top-of-mind aware­ness that dri­ves addi­tional traffic…

Click here to watch video
VIDEO: Sourcing and Inventory Today
  Know Your Turn Times to Borrow Wisely

Find out what sourc­ing and inven­tory look like today, and how know­ing your turn times helps you to bor­row wisely.

Click here to watch video

Dealer Pain Points

Parts The Survivalist Parts Manager

Unless you’re a sur­vival­ist, you don’t have a year’s sup­ply of food in your house. Why tie up the money and some of the food inven­tory could spoil.

But does your parts man­ager have sur­vival­ist ten­den­cies? Is your parts depart­ment over­stocked with parts that are on the costly road to obsolescence?

Click here to learn more.

Cash Is Your Cash Stuck in “Park”?

Run­ning a deal­er­ship would be a lot eas­ier if only your cash moved as fast as the vehi­cles you sell. Some of your cash is going nowhere fast. Where is it?

Stuck in “park,” sit­ting on your used-car lot. It only takes a few wrong turns for your used-vehicle inven­tory to put a sig­nif­i­cant dent in your cash flow.

Click here to learn more.

salessuccess_1_6_2009-4_35_pm.jpg Boosting Be-Backs and Closing Ratios

Deal­ers have lived the adage, “If at first you don’t suc­ceed, try, try again.” But is your sales depart­ment giv­ing up after the first try? Some­times prac­tices and pro­ce­dures, or the lack of them, pro­duce the same result.

Man­agers and employ­ees need to know that the store’s success—and their jobs—depend on get­ting a sec­ond chance with peo­ple who didn’t buy on their first visit.

Click here to learn more.

Doing It Right  

The auto­mo­tive indus­try is very unique in that it is one of the few indus­tries where com­mer­cial loans are abun­dant and rel­a­tively easy to qual­ify for.

Whether you are just start­ing, out or you are look­ing to shift your busi­ness into the next gear, it is likely you will be able to find the cap­i­tal you need to stock your deal­er­ship. Although there is a good chance you will be able to acquire a floor plan line of credit, the size of that line of credit will vary depend­ing on your busi­ness needs and your over­all port­fo­lio snapshot.

Floor Plan 101: The Basics

First and fore­most, to qual­ify for a floor plan you need to have credit. Specif­i­cally, you should have a his­tory of uti­liz­ing and repay­ing debt. Bad credit and hic­cups on your credit his­tory aren’t always deal-breakers, but they will likely reduce the amount you qual­ify for. Addi­tion­ally, there is a good chance that credit issues will have a neg­a­tive impact on your pric­ing struc­ture. The good news is that over time, with good per­for­mance cou­pled with adher­ence to the terms and con­di­tions, you can even­tu­ally over­come these setbacks.

It is also impor­tant that you are not over-extended. If your credit cards are all maxed out, that is a poten­tial red flag even if you have not paid late. Han­dling your avail­able credit respon­si­bly is essen­tial, so be sure to main­tain a sub­stan­tial amount of avail­able credit.

Keep read­ing to get started!

Behind the Numbers  

Now is a good time to be sell­ing fuel effi­cient vehi­cles – ethanol cred­its could push increased gaso­line prices – and car shop­pers would be look­ing for a solution.

It’s com­ing from ethanol cred­its that are shoot­ing up in price this year – and have become a very attrac­tive Wall Street investor mar­ket for JP Mor­gan and other finan­cial insti­tu­tions mak­ing big prof­its from the credits.

For oil com­pa­nies and refin­ers, those prices have hit hard and they say the cost has to be passed on to con­sumers through gaso­line sta­tion pump prices.

Lately it’s become a bat­tle ground for oil pro­duc­ers and automak­ers ver­sus the US Envi­ron­men­tal Pro­tec­tion Agency and ethanol pro­duc­ers over whether gaso­line should go up from 10% ethanol blend (E10) to E15.

Read more about the bat­tle going and what it could mean for gaso­line prices……

Build a Better Dealership

salesMaking Sales People Consultants in a Demanding Workplace

What’s it like to ser­vice cus­tomers who walk into the show­room and want to pur­chase a car?

There’s a lot more that goes behind it these days – pair­ing the customer’s mobile device to the car’s info­tain­ment sys­tem; offer­ing extended ser­vice con­tracts and after­mar­ket prod­ucts; explain­ing why the CPO unit is more costly than the com­pa­ra­ble late-model used car; and answer­ing sophis­ti­cated ques­tions about dealer invoice and trade-in values.

It can be over­whelm­ing for sales rep­re­sen­ta­tives and dealer man­age­ment. Mar­cus Hands, a sale per­son at Jeff Gor­don Chevro­let in Wilm­ing­ton, NC, said it well: “Some­times I’m even afraid I’ll stum­ble over my words when I’m explain­ing things.”

Read all about the demand­ing issues that are required for new and late-model used cars and what’s needed in staff training.

vehicle-inventoryAbility of Dealers to Process & Manage Inventory Images Expanded

Authen­ti­com has pur­chased the “Auto­mo­tive Tech­nol­ogy Port­fo­lio”, namely Car­pod, DMSi and VIN Explo­sion, from Utah-based Ryan­Tech, Inc. 

With the inte­gra­tion of RyanTech’s Tech­nol­ogy into Authenticom’s ser­vice offer­ings, Authen­ti­com now has the abil­ity to process inven­tory images and enhance the inven­tory man­age­ment expe­ri­ence for auto dealers. 

“We are excited about the inte­gra­tion of RyanTech’s Tech­nol­ogy into Authenticom’s ser­vice offer­ings and look for­ward to the syn­er­gies that we can cre­ate and lever­age together,” com­mented Steve Cot­trell, Founder and Pres­i­dent / CEO of Authen­ti­com. “The addi­tion of this tech­nol­ogy will pro­vide greater oppor­tu­ni­ties to grow our foot­print and, most impor­tantly, sup­port our clients,” adds Cottrell.

Read more …

Smart Thinking - Pass It On  
Used Car Dealers: Take Advantage of Technology
Brian Geitner summarizes the post-recession marketplace

At Issue:

While a dif­fi­cult mar­ket forced out many used car deal­ers over the last five years, a new crop of deal­ers has recently emerged. These deal­ers are turn­ing to tech­nol­ogy to drive their busi­nesses and main­tain a com­pet­i­tive edge.

Tech­nol­ogy solu­tions can enhance a dealer’s suc­cess­ful busi­ness prac­tices by pro­vid­ing a con­sis­tent means for obtain­ing mar­ket data.

Brian Geit­ner, pres­i­dent of NextGear Cap­i­tal, shares his thoughts on greater oppor­tu­ni­ties for used car deal­ers. Drill down fur­ther for insight in the role of tech­nol­ogy in the used-car dealer mar­ket­place.

Learning More About Big Data  

The Sit­u­a­tion:

What IT peo­ple nowa­days call “Big Data” is what CEOs and lead­ers – includ­ing Dealer Man­agers – describe as Data Invest­ment Man­age­ment, and Britisher Sir Terry Leahy is con­sid­ered the God­fa­ther of Big Data. Why? Because he made it work in favor of his com­pany to increase prof­its by at least 25 percent.

What does this mean for Auto Dealerships?

With the acqui­si­tion of sophis­ti­cated soft­ware that deal­er­ships use today, an enor­mous amount of cus­tomer data is being accu­mu­lated – but it is hardly being put to use.

Sir Terry Leahy, for­mer CEO of British retail com­pany Tesco, says busi­nesses change slowly, but cus­tomers change quickly. As they change, you change. Drill down to get valu­able tips on how to uti­lize the cus­tomer data you already have to retain cus­tomers and acquire new ones.

Dealer Resources 
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Partnering with AutoTrader.com alone gives your inventory unparalleled online exposure.
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AutoUSA Internet Sales Solutions brings the best-in-class tools to increase Internet sales and lower costs for automotive dealerships.
IMN is the digital marketing company that delivers branded newsletters and content for more than 3,000 organizations worldwide, combining custom, vertically-oriented content with advanced publishing technology and services.
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.
Turn-key automotive Internet marketing on one platform.
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One Source, Endless Possibilities, 24/7.

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