December 4, 2013
Need to Know

hyundai_logo22 Hyundai Takes Top Repair Rankings Spot from Toyota for First Time Ever

CarMD reports that Hyundai has dethroned Toy­ota for the first time ever when it comes to annual repair costs on aver­age. This is a big pay­off for Hyundai, who have now spent years suc­cess­fully revers­ing their ear­li­est image with U.S. con­sumers of mak­ing cheap econ­omy cars.

Toy­ota is now in sec­ond place, fol­lowed by GM in third and Chrysler in fourth. This is great news for GM and Chrysler, who have both made rapid improve­ments in over­all qual­ity and reli­a­bil­ity. READ MORE.

The Detroit Bureau
gm_logo22 GM Enters 2014 Free of Government Control

After one of the largest bank­rupt­cies in U.S. his­tory, Gen­eral Motors Co. plans to close the books on gov­ern­ment own­er­ship and may well begin offer­ing a dividend.

Find out more about gov­ern­ment plans to sell its remain­ing shares of GM. [More]

Wall Street Journal

VIDEO: Blue Book Minute for December 2013

KBB’s Alec Gutier­rez, Sr. Mar­ket Ana­lyst of Auto­mo­tive Insights, expects another very strong Novem­ber. And full-sized pick­ups and small CUVs are still very hot.

VIDEO: Making the Sale
  Joe Verde: “Closing The Sale & Overcoming Objections”

Ready to make more money? You will when you close more sales and over­come objec­tions the Joe Verde way. “Clos­ing The Sale & Over­com­ing Objec­tions” is a vir­tual sales train­ing course on JVTN.

VIDEOS: NADA in Washington
  NADA is Fighting for Dealers

The NADA is fight­ing for deal­ers in Wash­ing­ton, D.C., on issues span­ning the spec­trum from the Estate Tax to Keep­ing Auto Loans Afford­able and Acces­si­ble to Fuel Econ­omy. Watch these great videos to learn more about what they’re doing on your behalf.

Dealer Pain Points

Do your allstars earn allstar pay Do Your All-Stars Earn All-Star Pay?

Every depart­ment has its chal­lenges. In ser­vice, maybe the mar­ket­ing isn’t work­ing. Maybe there are delays at the parts counter. Or maybe the techs aren’t motivated.

Pay­ing for per­for­mance can incen­tivize the ser­vice department.

Are you meet­ing or beat­ing NADA finan­cial per­for­mance guide­lines? Click here to learn more.

49-Tech-working-on-engine-1024x576 Poor Parts Profits? Here’s the Fix.

You can’t rack up prof­its in ser­vice with­out parts. But too many deal­er­ships have too many parts that are obso­lete and quickly declin­ing in value, if not almost worth­less. So the prof­its you pocket in ser­vice are lost to the hole in your pocket in parts.

What to do?

Watch this video to find out how to sew up that hole to ensure that your pocket for parts is profitable.

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.

Doing It Right  

Here is the Sit­u­a­tion as seen by your Dealer Digest Daily Press Corps:

Pickup up the Busi­ness sec­tion of the WSJ, Finan­cial Times, your strug­gling home town news­pa­per, or even Auto­mo­tive News– or go online –and you will see arti­cles and announce­ments in almost every daily issue about an OEM mak­ing some major change in some as aspect of their mar­ket pres­ence or orga­ni­za­tional structure..

Some Exam­ples of head­lines and fea­tured arti­cles in just the last week:

  • Nis­san Pins Hopes on a Man­age­ment Trio
  • Daim­ler Open to China Stake Sale
  • Mar­chionne Gains Room to Maneuver
  • VW Poised to rein in costs after sales growth stalls
  • Rolls-Royce & Mini Look into Mak­ing SUVs
  • Hyundai Bets on Gen­e­sis in Lux­ury Path

What does this mean to you & your deal­er­ship? READ MORE about how all these news devel­op­ments might impact your deal­er­ship, its sales, and prof­its – and maybe your job.

Behind the Numbers  

Sales of alter­na­tive fuel vehi­cles (AFVs) – hybrids, elec­tric vehi­cles, diesel, nat­ural gas, and other alt-fuels – are com­par­a­tively small when look­ing at over­all new vehi­cle sales in the US. Still, they’re grab­bing a lot of atten­tion from media and mar­ket­ing ana­lysts lately.

A recent sur­vey by found that bet­ter fuel econ­omy and cost sav­ings on gas were higher than cleaner emis­sions and bet­ter for the environment.

Phoenix International’s study on AFVs found that lux­ury SUV con­sumers have strong inter­est in AFVs.

As for brand­ing: In the Auto­Trader study, when asked which automak­ers they would iden­tify as lead­ing in the space, Toy­ota came out on top.

Eco-marketing sub-brands that automak­ers are using may not be click­ing very well for name reten­tion. You can test your knowl­edge of it with a list of brands and eco sub-brands.

Here’s the lat­est cov­er­age on how car buy­ers are per­ceiv­ing AFVs……

Build a Better Dealership

millennials_car_buying22Are You Ready to Capitalize on the Millennial Mindset?

The Back­story:

Auto­mo­tive deal­ers are being told to give up on Mil­len­ni­als, that group that encom­passes 18-to-34-year-olds, because they aren’t going to buy a car any­time soon. The truth is, you’re being mis­in­formed —because Mil­len­ni­als do what they want to do, and if they want a new car, you’d bet­ter be pre­pared to be on the front line.

The Sit­u­a­tion for Dealers:

Mil­len­ni­als have seri­ous pur­chas­ing power – about $170 bil­lion a year – accord­ing to a Com­Score report, but they aren’t fol­low­ing through on that power…yet. Auto­mo­tive deal­ers should be buy­ing into that pur­chas­ing power with strong dig­i­tal com­mu­ni­ca­tions that tap into Mil­len­ni­als where they make con­tact – through their mobile devices!

Deal­ers: Arm your­self with the strat­egy and know-how to deal with Mil­len­ni­als at the level they’re at – drill down and find out what you need to do to sell cars to the Mil­len­nial gen­er­a­tion right now!

Smart Thinking - Pass It On  

There are 159 work­shop ses­sions being offered at the con­ven­tion this year! Work­shops are led by NADA Uni­ver­sity approved experts and guar­an­tee that you will go back to your deal­er­ship with inno­v­a­tive ideas and new prac­tices. Here are sam­ples that may inter­est you:

1. Tap Into Mobile to Reach New Car Buyers

How do you build rela­tion­ships with tech­no­log­i­cally savvy, mobile buy­ers who have built a cul­ture around instant, text-based com­mu­ni­ca­tions, shop an aver­age of 18 auto­mo­tive sites in the search for a new car, and want “right now” inter­ac­tions with dealers?

In this work­shop, you will learn how mobile tech­nol­ogy appli­ca­tions are being adopted by deal­er­ships in sales, ser­vice, parts, and the busi­ness office — with sur­pris­ing effects on cus­tomer sat­is­fac­tion, employee reten­tion, com­pli­ance, and oper­a­tional processes. You will gain an under­stand­ing of cur­rent mobile trends, pri­or­i­ties for use of mobile solu­tions, and assess­ment of your dealership’s abil­ity to man­age new mobile tech­nolo­gies. You will learn spe­cific meth­ods for cre­at­ing a more-engaging cus­tomer expe­ri­ence on web­sites, mobile devices, and in mobile advertising.

John Hanger, Con­tact At Once!, Alpharetta, GA;
John Reed, Domin­ion Dealer Solu­tions, Nor­folk, VA

2. Word-of-Mouth Mar­ket­ing: Get Your Brand Out There!

Gen Y’er John Moore has helped trans­form the way busi­nesses look at mar­ket­ing and brand­ing. In this work­shop he will share action­able insights into how auto deal­er­ships can fol­low the Star­bucks and Whole Food Mar­ket blue­prints to build endear­ing and endur­ing busi­nesses through brand­ing and word-of-mouth mar­ket­ing. USA Today, Best Buy, Kraft, Lit­tle Cae­sars, Proc­ter & Gam­ble, and oth­ers have all ben­e­fited from Moore’s mar­ket­ing expertise.

John Moore, Brains on Fire, Greenville, SC

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