Companies waste an estimated $6.6 billion on unused software in the U.S. every year. With more options than ever, finding the right software for your dealership can be a challenge. How can you cut through the clutter and make sure your software dollars are well-spent? Download your free step-by-step guide to successfully navigating the software jungle. DOWNLOAD GUIDE
Write your post hereDo you have the "RIGHT" Internet Sales Manager or BDC Director? I know I am going to get a lot of heat on this article, but it has to be said. I have worked with thousands of dealerships over the years and there have been numerous reasons given for mediocrity, and even failure. In the beginning of automotive Internet sales in the late 1990s, it was a novelty and an incremental business, but most dealerships were not able to truly harness it and make it a major profit center. However, over the years and through evolution of the automotive sales industry, and the country as a whole, there has been a lot of change — change in how people are researching, shopping, making decisions and ultimately buying a vehicle. There has even been change inside our industry by dealer principals, GMs and sales consultants. It seems that dealers are getting it. They understand that Internet sales, business development, digital marketing, and social media are all important. What I am seeing now is a scary pattern emerging. A lot of dealerships are not maximizing on opportunities right in front of them because they do not have the right person in place. The Internet sales manager or BDC director that they have in place is the wrong person for the position, and they are hurting the dealership! Here are some problems I’ve seen at dealerships: • A computer geek in the position who is not an automotive professional. There is nothing wrong with being a geek. I have a problem if they have no idea how to sell a car, and don’t have the respect of their team and employees. They can’t motivate and drive the department to success. • An IT professional is the head of an Internet sales department or business development center. Just because they are good at fixing computers or understanding technology does not necessarily make them the best choice to run a million-dollar sales department. “Internet sales” is still sales. • Instead of terminating a sales consultant from the showroom floor, they are given a “second chance” running the Internet sales department. I don’t get this one at all. If someone can not be effective on the showroom floor, why would you have that person be the head of a department where 92 percent of Americans go before they ever step foot into your dealership? • A sales consultant is promoted from the showroom to running the Internet department. Please understand just because someone can sell a car does not mean they can run a department, let alone an Internet sales or business development department. Just because they can sell cars does not mean they are capable of being a manager or a leader. There are a lot of successful sales consultants who sell 20 or 30 cars per month, but don’t work well with others. They have no concept of interdependence. • There is no Internet sales manager/BDC director at all. That is just bad, and again, makes no sense whatsoever. When 92 percent of people are going online, there needs to be major attention to this area. • A dealership’s manager also manages the Internet department. I have seen it all, my friends. The dealer principal or general manager takes on the Internet department as an “additional” responsibility instead of having a dedicated manager, or they dump the responsibility of the Internet department onto the GSM or sales manager. This is not a viable solution. Remember Basic Math The average dealership in the United States delivers fewer than 100 units per month. But the average dealership has: • A GM or GSM • One to two sales managers (new car/used car), or “closers” • An F&I manager • 10 Sales Consultants If you want your Internet or business development department to deliver units, you are going to need the right Internet manager or BDC director. Yes, you might need to fire your current Internet sales manager or BDC director. You might have been thinking about doing it for months now but weren’t sure. Let me make it easier for you. Think of your current Internet sales manager or BDC director: • Are they a family member or in a relationship with anyone else in the dealership? • Do they have any automotive sales or management experience? • Do they have an aversion to the phone? • Do they have the ability to take a “TO” from their employees, sales consultants, appointment setters, etc? • Do they have the ability or desire to proactively “TO”? • Do they have the respect of their team (or the dealership for that matter)? • Can they, or do they, lead by example? • Do they train their team? Do they know how to train their team? • Do they have “one on ones” with their team? • Do they know how to project and forecast, and not merely guess and hope? • Are they rude and or mean to their team or their customers? • Do they have Standard Operating Procedures (S.O.P.s), or do they just “wing it”? • Can they desk a deal? If you are reading this and you are a dealer or GM, do this calculation before you open the showroom tomorrow: Look at your electronic leads, phone leads and walk-in leads. Say your electronic and phone leads are 70 percent or greater of all leads. Now look at your manager running your Internet or business development department. Are you comfortable with them in charge of 70 percent of your opportunities? If not, make the change today. If you can’t promote that person as your nest general sales manager, you have the wrong person in place. If you would like a free personalized analysis of your Internet Sales Manager, contact me at the email below with “ISM” as the subject line. Sean V. Bradley is the founder and CEO of Dealer Synergy, a nationally recognized training and consulting company in the automotive industry. He can be contacted at 866.648.7400, or by e-mail at firstname.lastname@example.org.