by doc » Wed Nov 07, 2001 2:35 pm
Greg,
Totally agree. Carmax and Autonation are running similar systems as you have mentioned but the main difference that I see is that they integrated this system at the corporate level. The Corporation has helped design, pilot, and execute the new plans. In essence they formed a partnership.
The only reason that it WILL work (and in many cases already has) is because the Corporation is forcing their dealerships to comply. You know, doing what any other corporation would do in any other Industry but our own. There are too many dealers/groups around that have more than one store yet allow each store to run their own agenda.
What I mean is: Separate advertising, separate pay plans, separate internal structures.
Unless the stores were right next-door, very few try and keep lost customers within the company. Personally, I dont know how any true business man really thinks that each of his individual locations has the resources to be competitive on their own. Wouldnt the combined resources (Budget, monies, affiliations, etc) of the Corporation benefit each dealership more than that of its own. Hell that is what Autonation, carmax, etc are doing isnt it?
An example: I lost a deal on a Mercury Sable to a potential sell on the Accord a few stores down. I was able to convince this customer to look into a Camry, which was comparable, and I assured her I would give her the same great offer that I did on the Sable. She was so impressed that I was able to accommodate her even though I did not sell that line that she took a little extra time to go look at my Camry. Good thing too for we sold her.
In the last few years have I rarely seen a desk manager/GSM/GM send a customer or suggest a product from one of their other stores?
Point: Good products and technology are great, however if youre not prepared to make investments such as these on a corporate level then they will fail. There is too much animosity and greed b/w GM's and other GM's of stores within same group, Departments within same store, and managers and sales associates within same departments. When the breakdown starts at the top then it doesn't matter what great idea you have, product, or advise, then it will ultimately fail.
Again, find a way to convince dealers to stop thinking like mom & pop dealers and start looking at themselves as a corporate force fighting to stay alive amongst bigger, stronger, and more dominant companies then you'll be able to sell ideas like this.
Right now there are not enough Dealers that will support what it would take because it means re-writing most internal operating procedures. You know the one that no one really knows anyway. Except this time force it, hold people accountable to it, and base all decisions on it. Don't just type it up, put it in a book, and pull it out upon request. Live it, learn it, and adhere to it at all costs. Since this is what needs to be done it is not up to the Managers, GSM/GM's, or even the consultants paid to teach people these things.
THE RESPONSIBILTY LIES IN THE HANDS OF THE PRINCIPLES. Only they are able to change this Industry, and they alone have the power to change the future of their companies. Their managers will buck, bitch, and complain. So what.
As a wise GM once told me, "One employee will not make or break this company".
If staff doesn't support it then replace them. Train the new staff from the beginning the way things need to be done. Eventually the complaints will cease, business will continue as normal, and hopefully it will help some dealers stay alive a little longer and still turn record profits. Where as right now, many are falling short of expectations.
So I leave you with this for all of our readers.
When did the Internet come about? And in that time how much of this Industry has changed or been effected by the Internet?
Finally, if there was that much change already, in the infancy stages, and within such a short amount of time how long will it take for your dealerships to feel the pinch. After they begin feeling the pinch how long will they be able to stay alive? If they can stay alive, how long will it take to catch up to be competitive again?
IMHO every principle today needs to think about these questions. Stop worrying how much something costs, or whether it will be useful.
Instead say, Thats ALL it costs to make me more successful, and We will make it work and commit our selves to making it work. Dont base the future of your company on whether your people are going to utilize something, or whether it is going to stir the waters amongst management. Choose the best path for your company for the long run. Not for today, tomorrow, or months end. But for next year, next decade, etc.
Choose wisely for time is running out and this Industry is about to be rocked upside down. As if no one has seen evidence of that yet. lol.