Henry Day Ford
New salespeople
Just like most dealers at this time of the year, we are short on salespeople and we need to start ramping up for the spring and summer months. We were already a bit understaffed last month and I just lost 2 more in the last week (one quit and one was promoted).
We usually don't have that hard of a time getting qualified applicants but it has been more challenging this time. We typically just run an ad or two and offer a $500 recruiting bonus to our staff for bringing somebody on board. It has always worked in the past but we aren't getting that much action this time around.
Just wondering if anyone has something new that I can try that has proven to be effective? I'm open to trying something new in order to get the right guys in place. Any recommendations?
Henry Day Ford
New salespeople
Just like most dealers at this time of the year, we are short on salespeople and we need to start ramping up for the spring and summer months. We were already a bit understaffed last month and I just lost 2 more in the last week (one quit and one was promoted).
We usually don't have that hard of a time getting qualified applicants but it has been more challenging this time. We typically just run an ad or two and offer a $500 recruiting bonus to our staff for bringing somebody on board. It has always worked in the past but we aren't getting that much action this time around.
Just wondering if anyone has something new that I can try that has proven to be effective? I'm open to trying something new in order to get the right guys in place. Any recommendations?
No Comments
Henry Day Ford
Out of state deals
We have had some issues lately with out of state deals when it comes to taking care of their licensing and registration fees. We have had several customers either assume or claim that someone told them that we were going to pay for all of their licensing and registration fees. As you guys know, the customer usually wins and we had to pay for their fees that weren't set up in the deal as a result of the miscommunication.
I would assume most dealers handle out of state deals the same way that we do. We account for the sales tax in the deal and send that money to the dmv of the state where the customer lives. We do our best to explain that the taxes are going to be handled but they need to take care of their state fees when they go to the dmv and register the vehicle.
Because we keep getting put together lately, I was thinking that we need to put together an addendum or something for the customer to sign that states the customer is responsible for taking care of their state fees when they register the car. I figure by having that separate contract, we could avoid any future problems. So... Does anyone have a similar contract that they use at their dealership? Does it work? If you have something in line with what I'm planning on putting together, is there any way you could email what you use to me to give me some ideas of what to put on it? Any input would be much appreciated. My email is bgibby@henrydayford.com.
1 Comment
Bozeman Motors Inc.
Hello Bryant, Not sure if this will work for you but this is how we handle out of state deals. In the state of Montana we we operate we do not have sales tax. However we do sell a lot of cars and trucks to Wyoming, Idaho, Washington, Oregon, North Dakota etc. We put it all on the customer, we tell them that when they register the vehicle in their respective state that they will then be charged any state or local taxes that are required. We have a generic form that they sign and we have not had any issues. Not sure if this will help but this is what we do. Good luck to to you, James
Henry Day Ford
Out of state deals
We have had some issues lately with out of state deals when it comes to taking care of their licensing and registration fees. We have had several customers either assume or claim that someone told them that we were going to pay for all of their licensing and registration fees. As you guys know, the customer usually wins and we had to pay for their fees that weren't set up in the deal as a result of the miscommunication.
I would assume most dealers handle out of state deals the same way that we do. We account for the sales tax in the deal and send that money to the dmv of the state where the customer lives. We do our best to explain that the taxes are going to be handled but they need to take care of their state fees when they go to the dmv and register the vehicle.
Because we keep getting put together lately, I was thinking that we need to put together an addendum or something for the customer to sign that states the customer is responsible for taking care of their state fees when they register the car. I figure by having that separate contract, we could avoid any future problems. So... Does anyone have a similar contract that they use at their dealership? Does it work? If you have something in line with what I'm planning on putting together, is there any way you could email what you use to me to give me some ideas of what to put on it? Any input would be much appreciated. My email is bgibby@henrydayford.com.
1 Comment
Bozeman Motors Inc.
Hello Bryant, Not sure if this will work for you but this is how we handle out of state deals. In the state of Montana we we operate we do not have sales tax. However we do sell a lot of cars and trucks to Wyoming, Idaho, Washington, Oregon, North Dakota etc. We put it all on the customer, we tell them that when they register the vehicle in their respective state that they will then be charged any state or local taxes that are required. We have a generic form that they sign and we have not had any issues. Not sure if this will help but this is what we do. Good luck to to you, James
Henry Day Ford
Year end bonus?
We have gone back and forth on year end bonus' over the last few years. We currently pay our sales consultants a year end bonus based on them acheiving a certain level of sales for the year. We also pay them an extra bonus for CSI if they are in the top 10 percent. I'm curious to know what other dealerships pay in terms of an annual bonus for their salespeople.
Also, we currently don't pay a year end bonus to any of our sales managers or finance managers. They used to get an annual bonus that was linked in to their monthly one-on-ones and their average scores from those reviews. It wasn't a ton of money, but at least it was something that they could look forward to at the end of the year. Again, I was wondering if the norm is to pay year end bonus' to sales managers and finance managers? If so, what type of bonus do you pay out and how is it earned?
1 Comment
Franklin Chevrolet
We pay out a bonus on the 10th-15th of December. We pay the sales rep $12.00 for every car sold for the month and keep track until the end of the year. We expense the money monthly and if anyone quits it just becomes available for other bonuses. I believe we started this when we increased the DOC Fee back several yrs ago. It's not a lot of money, but we have some that get close to 3k a yr off of it... This bonus has endured for years with no complaints.
Henry Day Ford
Year end bonus?
We have gone back and forth on year end bonus' over the last few years. We currently pay our sales consultants a year end bonus based on them acheiving a certain level of sales for the year. We also pay them an extra bonus for CSI if they are in the top 10 percent. I'm curious to know what other dealerships pay in terms of an annual bonus for their salespeople.
Also, we currently don't pay a year end bonus to any of our sales managers or finance managers. They used to get an annual bonus that was linked in to their monthly one-on-ones and their average scores from those reviews. It wasn't a ton of money, but at least it was something that they could look forward to at the end of the year. Again, I was wondering if the norm is to pay year end bonus' to sales managers and finance managers? If so, what type of bonus do you pay out and how is it earned?
1 Comment
Franklin Chevrolet
We pay out a bonus on the 10th-15th of December. We pay the sales rep $12.00 for every car sold for the month and keep track until the end of the year. We expense the money monthly and if anyone quits it just becomes available for other bonuses. I believe we started this when we increased the DOC Fee back several yrs ago. It's not a lot of money, but we have some that get close to 3k a yr off of it... This bonus has endured for years with no complaints.
Henry Day Ford
DocuSign
The owner of our store recently bought a house and used a company called DocuSign when he signed several of the documents during the process of the transaction. He was so impressed with how convenient the singing went that he is insisting we get signed up with them.
I looked into the comany and signed up for a free 14 day trial. I did a practice run and I've gotta say it seems like a really cool tool. The only issue is that I am trying to figure out what forms I can use and at what points it will be beneficial to use them. If financing is being done on the car deal, I'm sure that banks wont accept signatures from Docusign on the contracts that they require.
I'm just wondering if there is anyone out there that uses Docusign at their dealership? If so, what forms do you guys use it for and in what circumstance?
No Comments
Henry Day Ford
DocuSign
The owner of our store recently bought a house and used a company called DocuSign when he signed several of the documents during the process of the transaction. He was so impressed with how convenient the singing went that he is insisting we get signed up with them.
I looked into the comany and signed up for a free 14 day trial. I did a practice run and I've gotta say it seems like a really cool tool. The only issue is that I am trying to figure out what forms I can use and at what points it will be beneficial to use them. If financing is being done on the car deal, I'm sure that banks wont accept signatures from Docusign on the contracts that they require.
I'm just wondering if there is anyone out there that uses Docusign at their dealership? If so, what forms do you guys use it for and in what circumstance?
No Comments
Henry Day Ford
Sales vs. Accessories
I consider our accessories department a necessary evil at our dealership because I know we can’t do without it and I know we can’t get rid of it due to the fact they generate extra profit for the dealership. With all that said, I would still love to get rid of it!
As a sales manager, I get paid on the front and back end profit of each deal. I don’t get paid a dime on what the accessories department does. My main complaint is our accessories manager gets a chance to sell his crap before the customer gets into the finance office and sometimes the accessories that are included into the financing make it to where our finance managers can’t be as profitable as we need them to be. I find that I am purposely sabotaging the accessories manager’s opportunity to sell product by lying to him and telling him the deal is maxed out. I do that so our finance department has more than enough room to sell their back end products and still have a buyable deal with the banks. My other complaint is he is constantly pissing off our customers and tanking my salesguys’ surveys.
Anyway, the point of all this is that I think there has to be a better way to set this up to where I don’t hate dealing the accessories department. I get the argument that he needs to talk to the customer before they go into the finance office so the accessories can be put into the financing but that is the part that bugs me the most. Maybe the solution is to make it where salespeople and sales managers get paid extra on deals where accessories are sold. Or maybe there is an alternate way to get the accessories financed. Who knows! Any ideas you guys have would be great because I’m sure that they are better than the current process that we have!
1 Comment
Mitchell Mazda & Lincoln
There's two ways I can think of making this better for you. The first way would reward sales managers and/or salespeople by spiffing them some flat amount per accessory. An example would be $25 per set of running boards sold and $20 per DVD unit. The other way is to allow the sales managers and salespeople generate front profit above the cost of accessory and include it in their deal, thus making a higher commission. I guess it really comes down to how the upper management and owners view these options. I do think that for ultimate success of the accessory department, there has to be a shared goal, spiff, or commission between everyone who is servicing the customer. Anything short of this will further wedge the sales and accessory departments and neither will see there full potential. Good luck.
Henry Day Ford
Sales vs. Accessories
I consider our accessories department a necessary evil at our dealership because I know we can’t do without it and I know we can’t get rid of it due to the fact they generate extra profit for the dealership. With all that said, I would still love to get rid of it!
As a sales manager, I get paid on the front and back end profit of each deal. I don’t get paid a dime on what the accessories department does. My main complaint is our accessories manager gets a chance to sell his crap before the customer gets into the finance office and sometimes the accessories that are included into the financing make it to where our finance managers can’t be as profitable as we need them to be. I find that I am purposely sabotaging the accessories manager’s opportunity to sell product by lying to him and telling him the deal is maxed out. I do that so our finance department has more than enough room to sell their back end products and still have a buyable deal with the banks. My other complaint is he is constantly pissing off our customers and tanking my salesguys’ surveys.
Anyway, the point of all this is that I think there has to be a better way to set this up to where I don’t hate dealing the accessories department. I get the argument that he needs to talk to the customer before they go into the finance office so the accessories can be put into the financing but that is the part that bugs me the most. Maybe the solution is to make it where salespeople and sales managers get paid extra on deals where accessories are sold. Or maybe there is an alternate way to get the accessories financed. Who knows! Any ideas you guys have would be great because I’m sure that they are better than the current process that we have!
1 Comment
Mitchell Mazda & Lincoln
There's two ways I can think of making this better for you. The first way would reward sales managers and/or salespeople by spiffing them some flat amount per accessory. An example would be $25 per set of running boards sold and $20 per DVD unit. The other way is to allow the sales managers and salespeople generate front profit above the cost of accessory and include it in their deal, thus making a higher commission. I guess it really comes down to how the upper management and owners view these options. I do think that for ultimate success of the accessory department, there has to be a shared goal, spiff, or commission between everyone who is servicing the customer. Anything short of this will further wedge the sales and accessory departments and neither will see there full potential. Good luck.
No Comments