3 Rules for Better Showroom Traffic Control

Showroom traffic control is a vital aspect of successfully operating a car dealership and depends heavily on a dealership's sales process.  Dealers spend thousands of dollars every month to get people to come into the store.  Therefore, it’s critical for dealers to have an effective sales process in place.  Here are 3 important rules to follow to increase sales and gross profits by establishing processes for showroom control.

• Rule #1: Understand the customer’s vehicle needs and financial situation up front…to decrease the number of “pencils” and increase your bottom line.

• Rule #2: Get a manager involved in the process UP FRONT!

• Rule #3: Carefully manage your customer’s perception of the situation

By understanding your customer’s situation, getting your best people involved in the transaction up front, and managing your customer’s perception you will optimize your sales process, increase your gross profits and give your customers the perception and the vehicle you want them to drive away with.

Steve Dozier is Sales Director at DMEautomotive and can be reached at info@dmeautomotive.com or 1-866-714-9449.  Click here to read the article in it's entirety.

UAW Fund: $45 Billion For Investing
Outgoing UAW President Ron Gettelfinger says automakers should give back concessions, but the real center of labor power could be the newly established VEBA trust, funded by revamped automakers, with $45 billion to invest (does not include UAW stake in Chrysler and GM), possibly the largest such fund in the world.
Wall Street Journal, June 15, 2010

VW to Reduce U.S. Price, Boost Size of Revamped Jetta
The 2011 Volkswagen Jetta to hit the U.S. market, in October, will be about 3.5 inches smaller and cost about $1,700 less, competing with Honda Civic and Toyota Corolla. VW plans to move more production to North America with less reliance on the euro-dollar by 2013.
Bloomberg.com, June 15, 2010

GM Touts Sales, Residual Value Performance of 2010 Cadillac SRX
GM execs are pleased with sales and the projected resale value of the 2010 Cadillac SRX. Sales are up almost 500 percent Jan-May over same period 2009, claiming the largest gain in midsize luxury crossover segment. Average transaction price up about $2,300.
AutoRemarketing, June 15, 2010

How Will Mercury Discontinuation Impact Used Values?
As Ford moves to wind down the Mercury brand, dealers and Mercury owners are concerned about the effect on residual values. Consumers did not perceive that there was a premium factored into the brand when Plymouth was discontinued. Apparently the same holds true for Mercury, confirming Ford's decision.

GM: Chevy Nickname Will Live on Despite Contrary Reports
A seemingly innocent memo to GM marketing associates encouraged GM employees not to use the nickname "Chevy" in place of the full name, "Chevrolet."  The term Chevy has been commonplace in the American vernacular and used in the automaker's own advertising for decades.

AutoTrader.com: Used, CPO Prices Maintain Hike
Autotrader.com says prices of used vehicles, including certified unit, continued to gain ground in May. Asking prices of models most viewed climbed in year-over-year comparison. The Ford F-150 is the most popular model on the site, and its price was up 12%.

Free Reporting Service from Auto Data Direct

Auto Data Direct is the first to provide a free vehicle reporting option to the National Motor Vehicle Title Information System INMVTIS) for the auto recycling and insurance industries. Allows users to satisfy federal reporting requirements by uploading junk, salvage and total loss vehicle data to the national database. For more info visit www.ADD123.com.

Time to Discover Dealer Services Corp

Dealer Services Corporation, the leading independent floor plan finance company for the used vehicle industry is America’s largest independent inventory finance provider for used automobiles and other diversified products sold by automotive dealers. DSC provides flexible and cost effective inventory financing solutions to dealership operations. For more info visit www.discoverDSC.com.

Dealer.com Named Top Small Company

Dealer.com, global leader in online marketing solutions for auto dealers, is one of 20 North American companies named a “Top Small Company Workplace” by Inc. magazine and Winning Workplaces. “We are very proud to be recognized by Inc. magazine as a top small company workplace,” said Mark Bonfigli, CEO of Dealer.com. Visit Dealer.com and read full 2010 Top Small Company Workplaces report at www.inc.com.

Maximize Your Used Vehicle Department Profitability
By Tom Wittkamp
 
It's no secret that used vehicle sales are becoming an increasingly important profit center for dealerships today. However, the success of your pre-owned vehicle department depends on using solid data to drive stocking decisions and defined processes to market and control inventory.

Our new Used Vehicle Management solution can help your dealership to:
•  Achieve trade appraisal completeness, accuracy, and process compliance.
•  Improve trade appraisal success, which will help you sell more vehicles.
•  Expedite used vehicle buying and selling decisions through the use of an optimal inventory model.
•  Achieve an effective inventory mix – "Stock what sells and dump what doesn't."

Once you have implemented quality appraisal and stocking processes, our on-site consultants can help you drive even greater success to:
•  Implement an effective aging policy and pricing strategy.
•  Drive inventory turn practices that maximize gross profit potential.
•  Maximize used vehicle profitability through best practice reconditioning, lot management, and vehicle locator processes.

This combination of technology and process, ingrained in your staff by seasoned consultants, will provide your dealership with a foundation for success designed to drive used vehicle profitability.

Tom Wittcamp is an instructional designer for Reynolds Consulting Services with over 30 years of experience in education and instructional design in the automotive industry. Please visit www.reyrey.com for more information.

Choosing the right tires and properly maintaining them are effective ways to enhance your vehicle's performance and improve road safety. Since June 6-12 was National Tire Safety Week, leading tire manufacturer Michelin wants to remind consumers of the benefits of choosing the right tires and of simple, cost–effective ways to contribute to tire safety. After all – your tires are the only part of your car in contact with the road.So click here and then click on the image for tips on keeping your customers and their loved ones safe!

Futuresource Held in London June 15-17
Zero Emission Vehicle Zone planned

We're heading toward an electric vehicle world, there is no doubt, and perhaps the future is now! A brand new interactive demonstration arena dedicated to low and 'zero emission' vehicles and plant is set to feature at this year's Futuresource conference and exhibition, which is being held at ExCeL London June 15-17.

Visitors will not only be able to see the latest green machines in action in the ZEV zone, but also test their driving skills on a range of electric vehicles.

The world's first all-electric 360 materials handler, the Solmec 106ZE, will be one of the attractions to feature in the ZEV Zone at Futuresource 2010.

Hawaii -- The Mecca Where Everything Electric Began

The former king of Hawaii (long before it became a U.S. state) claims electricity was installed in the Royal Palace seven years after Thomas Edison invented the first light bulb. If you're ready to accept that, then you're on track for knowing how intent Hawaii is in having 50,000 electric cars on its roads by 2015 (and 200,00 by 2030). If anyone can do it, Hawaii can. Why? Because it has to import all of its energy (51 million barrels a year), people don't drive very far (afterall it's an island) and it will be the first U.S. state to receive units of Nissan's Leaf. There's a lot more to this fascinating story. Click here and click on the image to learn more!