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New Years: A Time for Resolutions and Improved Business Practices

By Ron Henson on Dec 27, 2012

 

As a new year approaches and everyone is thinking about resolutions, I humbly offer the following list as possibilities for Dealership Operators:

 

  • Resolve to sell more from stock rather than managers arranging dealer trades all day long.  Are you ordering the correct New Car inventory if dealer trades are a daily activity?
  • Resolve to hold your sales staff accountable for product knowledge on your product as well as key competitors.  (Manager’s responsibility)
  • Resolve to find the balance between holding respectable gross on new cars and maintaining world class CSI. Remember: CSI = Customer Supplies Income
  • Resolve to assure that your Variable Ops departments and Fixed Ops Departments work as a team. 
  • Resolve to have the GM or Dealer Principal personally complete a physical inventory monthly.  Your flooring source will love this!
  • Resolve to commit to a sustained and consistent training program for your team.  Daily training = A Healthier Bottom Line
  • Resolve to tell your Admin Team how much you appreciate them at least once a week.
  • GM’s and DP’s: Resolve to work the desk, the parts counter, the service drive, and YES, the wash bay at least once per quarter.  Amazing things happen when the Head Honcho rolls up his sleeves and gets in the trenches.
  • Resolve to commit to Digital in your sales, training, advertising, service business, EVERYTHING!  The dealers who cast their nets where the fish are (Online) are the ones who will thrive in market share in 2013.

As a long time car guy myself, I certainly don’t presume that I have all of the answers to market share dominance.  However, some of these may be a step in the right direction.

Happy New Year!

Comments

Great suggestions, Ron! It's nice to see you writing on DS.com. As a veteran GM, I know you have a lot of practical knowledge to pass along. I'm not a Dealership Operator, but there are a few suggestions above that I'll adapt into my own resolutions. I love the idea of continued education and daily training especially. Good stuff. Thanks!

Dec 27, 2012

Thanks Tommy!

Dec 27, 2012

  • Certified Professional Coach CPC, ELI-MP | Certified Personal Brand Strategist
  • dScore: 0

I love it! Spoken from a true leader.

Dec 27, 2012

Renee, you're the best!

Dec 27, 2012

Ron, your tips for overall improvement are "right on"! I am forwarding your post to ALL the GMs and DPs in our organization.

Dec 28, 2012

Hi Diane. I am thrilled that you found them to be helpful. This is certainly the best time of year to initiate change and to commit to a paradigm shift. Thanks again!

Dec 28, 2012

Great resolutions Ron! Especially the one about making sure you have the correct inventory on the lot, and preventing dealer trades. Thanks!

Dec 29, 2012

Hi Lindsay. I am not so far removed from my days at the dealership to not remember my frustrations at having 300 new vehicles in stock and having sales consultants asking for dealer trades all day. I remember several occasions when a sales consultant would approach the desk manager to do a locate for a vehicle that we already had in stock! Get off your butts and walk the inventory every morning! :-) Thanks for the post and Happy New Year!

Dec 31, 2012

So true Ron - salespeople need to know their products. In this case, morning lot walks should be just as much of your routine as getting your first cup of coffee.

Dec 31, 2012

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