I recently had the opportunity to participate on a Program called Profitability MD.
Dave Mulvaney and Matt Hudgins were the hosts, they help business owners make more money, have more freedom and enjoy the journey all at the same time.
Here is a link to that session.
Click here – to view.
If you are ready to stop leaving hundreds of thousands of dollars on the table, call and I will explain how I have made it work in other dealerships and how we can make it work in yours.
July 1, 2018 – the 1st half of the year is in the books. Do you want the 2nd half to be the same as the 1st?
Creating a Game Plan, A Road Map, a definite Work Plan for the month is a way to design your outcome.
You examine your mix of sales, are their segments such as used trucks you may be missing opportunities? You look at the sources of opportunities – Floor/Phone/Internet Social Media/Repeat/Referral. You take into consideration the working days, the amount of opportunities you have for the upcoming month. These are factors we consider when we project for the upcoming month.
As you build your forecast, look for the opportunities you may have missed, maybe only 1 or 2 used and you feel a growth opportunity lies here. And, FORECAST in small increments, 10% over previous month. But remember, a GOAL is MANDATORY so whatever you forecast – you accomplish. Then the following month another 10% and then another 10%. By December you will have grown your sales by 60%. What would a 60 increase in sales do for your income?
If you have questions or would like a copy of my “Forecasting Worksheet”, call or drop me a note.
6633 Buckhorn Tr * Loves Park, IL 61111 * (815)978-5038 * email@example.com
“Begin with the end in mind?” So let’s start with a few very important questions.
1. How much profit will you make in 2016?
2. How many new units will you sell in 2016?
3. Per month?
4. By model?
5. Ave. G.P. per model?
6. How many used units will you sell in 2016?
7. Per month?
8. Ave. G. P.?
9. F. & I. per new per used?
10. How much service business / G. P. / Effective labor rate???
11. Per month
12. How much parts business / G. P. / all profit areas???
13. What expenses items do you need to watch in 2016?
14. By month / by department?
15. Are you going to include department managers in watching those expenses? If so, HOW?
You may have noticed I didn’t ask: “How much profit do you WANT to make in 2016. The reason is it’s about planning, preparation, accountability, ownership.
About 2 months ago I started sharing with my clients one of the “keys” I feel that will need to be improved in 2016 is Leadership and coaching skills. For many of my clients I provided video sessions from some of the BEST Leadership trainers available today.
About a month ago I asked many of my clients to start creating a: “Game Plan for 2016”. I helped them layout month-by-month sales for 2015 and then asked them to project 2016 again month-by-month.
I asked them to begin improved manager meetings to include managers in these GOALS, to include them in identifying expense items that needed addressing in order to hit the profit objective. We designed sheets for the individual managers to use so we could create TEAMWORK to attain these GOALS. The design of the sheets was also to improve “peer pressure”, (team communications) similar to not wanting to be at the bottom when you attend a 20-Group meeting.
2015 is ending up top be a very good year for most dealers. The projections are for 2016 and maybe 2017 to be even better. But my question is: “Are you going to be as good as the rest? Better than the rest? Not quit as good as the rest?” Why not be the BEST you can be.
Design 2016. I am attaching the forecasting sheets we used to help forecast month-by-month sales for 2016. GM has new SFE/EBE monies and if you hit them every month it will have a tremendous impact on your new profit. Will you be forecasting those numbers? Will you be watching them everyday? Will you be discussing them regularly with your management team? You can design your profit for 2016 step by step.
Also available for you is a monthly outline for your managers meeting. What to focus on each week – How to get them to OWN there objectives and expense items.
Also available for you are the action sheets we have designed that require managers to identify 1-2-3 items each month that they can improve and 1-2-3 items each month they need to be more efficient in. (nice way of saying expense control). This is where the “peer” pressure comes in because they are identifying these items in front of all of the other managers and during the month and at the end of the month no one wants to be LAST. Maybe you should have a MONKEY like many 20 Groups give the bottom person.
You can design your profit for 2016 step by step. The industry projections are it is going to be a very good year, are you designing yours – letting it fall into place – letting the manufacturer be the influencer? Take the time to decide today what your profit is going to be and then put together a step-by-step plan to attain that amount.
My goals are to make the Internet Departments I work with the most efficient they can be. Here are some of the items I will be working on and with in 2016 to create our Digital Game Plans.
➢ Best 3rd part ROI’s
➢ Data Mining – service and sales
➢ Video Game Plan – video viewership is up 74% over last year. You Tube website is second only to Google – it is more viewed than any other website in the world. Perfect our You Tube Channels
➢ Create Vehicle Review videos * Create Feature videos * Create “How To” videos Operate accessories, specific options (GPS – MP3/I-phone operations/etc.)
➢ Create FAQ pages to include What the question is – answer – Next Step
➢ GEO fencing – if you don’t know what it is learn quickly, before your competition
➢ Constant phone training – in and out bound calls
Those are just a few of the items I plan on working on with my clients this year in order to “e the Best we can be”. You can design your profit for 2016 step by step.
My hopes are this may spark a “light” within you to do the things “only you can do” but they require a time commitment from you. 2015 has been a very good year. 2016 is again going to be a very good year. We have no guarantee how many more good ones we have before the cycle turns downward. Don’t make this a good year – make it a Super Great year.
Plan your future step my step. If I can be of help – the nest step would be to pick up the phone and call: 815-978-5038. That’s my cell – I will answer and we can decide if I can help you attain YOUR goals.
Your best chance of engaging an Internet lead is within the 1st few days. In this I have shared all of the “tricks” I have learned watching – participating in webinars, along with “hands-on” work in dealerships.
Call: in-coming / out-going / voice messages
Templates: the newest ideas to reduce spamming
Schedules: best chance for immediate contact as well as ideas for long term suggestions
Plus, I share a lot of training “fundamental” that usually don’t make it to the Internet department or the BDC guaranteed to help you increase sales.
Click here to view: The First 5 Days – Handling an Internet Request
Are you planning for Maximizing Profits for 2015?
In the past 30 days, I have attended an Internet Conference in Las Vegas, viewed eight webinars and read in excess of 30 articles on “new and improved ideas”, techniques and products; all related to what’s working BEST with the Internet TODAY.
What is my conclusion? Everything is working, yet nothing is working. So, not to worry you – I do HAVE THE ANSWER.
First, let’s look at some of the latest statistics:
Here are some statistics you have probably heard just to confirm:
* 90% of the people shopping for automobiles are at one time going online and viewing things via the internet.
* Phone-ups currently are 4-1 over lead submission.
* The average person is visiting approximately 1.5 dealerships.
Now, here are some stats you probably did not know!
DAYS TO SOLD
Day 1 – 14%
Day 2 – 18%
Day 3 – 12%
Day 4 – 6%
Day 5 – 4%
Days 6/10 – 14%
Days 10/30 – 19%
Days 30+ – 12%
Since I started specializing with the Internet, I have been teaching the importance of having a “long-term” schedule to identify and engage potential clients and I am still an advocate of that; however, I am changing my emphasis to the first 5-days, with an accelerated push at that time and then automating things, with just a couple of calls. Let’s consider the logic.
DAYS TO CONTACT
Day 1 – 67% 99% of Sold’s were contacted within the first 5 days
Day 2 – 19%
Day 3 – 8%
Day 4 – 2%
Day 5 – 1.5%
Day 6 – .5%
Then, the next question to come up should be what method is being used to ENGAGE there people? 72% of the people were contacted by phone and 28% were engaged via email. This tells me that strong emphasis needs to be placed in order to get the right person to speak with you on the phone. Question: “Does your first email response ask to have a telephone conversation for additional details? It should – even if the prospect did not provide a number, ask them to take the time to call – you will both be better satisfied!
So, considering the statistics and remembering that I told you I had the answer….. so here it is. THE ROAD TO THE SALE today, whether you want to admit it or not, starts online! How much time does your sales manager spend with your BDC, Internet Sales People, whomever you have responding to these opportunities? I was taught that the best management style in a dealership is performing “one-on-ones” daily with the salespeople, I still believe that, but if your main sales manager is not performing “one-on-ones” daily with your people responding to your Internet leads everyday you are missing opportunities. They should be making certain that multiple calls are being daily in the first five days in an endeavor to contact new leads Additionally, there should be at least four hours between attempts. Are they viewing the emails being sent? Are they discussing the messages being left? Are they monitoring how many out-going dials are being made everyday? If you are not doing these things daily, you are probably not selling 11% of the overall leads you get.
54% WILL PURCHASE WITHIN THE 1ST 5 DAYS
33% WILL PURCHASE BETWEEN DAYS 6 – 30
12% WILL PURCHASE 30+ DAYS
As a closing note…. I speak with dealers and managers who tell how expensive it is to bring someone in to train, help set these processes in place and setup schedules to follow and my question back is always: “How expensive is it NOT TO ENLIST THE ASSISTANCE OF AN INTERNET PROCESS SPECIALIST AND HOW MUCH NET PROFIT ARE YOU ALLOWING YOUR COMPETITORS TAKE AWAY FROM YOU WHO HAVE THE PROPER PROCESSES, PROCEDURES AND PHONE TECHNIQUES TO PROPERLY HANDLE TODAY’S CUSTOMER?”
Scott Hembrough of Hembrough Business Systems worked with Cannon Auto Group in Lakeland, Flordia – a 2nd generation dealership that was struggling from bouncing back from the financial slow down the entire auto industry suffered from.
Scott helped with Internet, phone training, overall dealership processes and listen to the credit Danny Cannon gives Scott regarding the dealerships profitability.