As Troubled Lenders Head for the Sidelines, Credit Unions are Leveraging New Strategies for Growing Market Share and Managing Portfolio Risk

 

ALAMO, Calif. and LOS ANGELES (October 14, 2008) – A new partnership announced today will make it easier for credit unions to increase the size and scope of their auto lending business and more effectively and efficiently manage portfolio risk.

 

An agreement between Global Debt Network Automotive (www.gdnauto.com) and CU Lending Solutions, LLC, (www.culendingsolutions.com) opens the door for credit unions to expand their auto loan business into fast-growing non-prime segments and extend their reach and income stream beyond their local geography by selling and buying seasoned auto loan portfolios.

 

More than 40 million used cars are sold in the U.S. each year, with some 8 million of them to low- and moderate-income car-buyers, according to the Consumer Task Force for Automotive Issues.  That number is expected to increase dramatically as a struggling economy and higher gas prices drive car-buyers to purchase less expensive, more fuel-efficient used cars.

 

As the new-car lending market declines, credit unions increasingly are seeking ways to serve this fast-growing segment of car-buyers.  A recent study by the National Credit Union Foundation affirms that, “Non-prime auto lending represents a substantial nearby opportunity for not-for-profit credit unions to expand their markets, build net income, and attract new loyal members by giving them a substantially better deal.”

 

“As more Americans seek out used vehicles, dealerships need new financing partners to help them serve a much larger universe of customers and offer a far more diverse set of loan products than they have in the past,” said Mike Sheridan, founder and president of GDNAuto, the first nationwide online loan portfolio transaction platform.  “At the same time, credit unions and finance companies are discovering there are ways they can serve this population and do so quite efficiently and profitably by selling their seasoned loans or balancing their risk by purchasing loans from other geographies.  Global Debt Network a convenient online marketplace where dealerships and lenders and investors can turn to help meet their business goals.” 

 

CU Lending Solutions works with credit unions and finance companies custom-develop, build and operate auto lending businesses that deliver sustained value.

 

“Increasingly, credit unions are more comfortable reaching out to serve this population of borrowers because they have access to an array of tools, services and resources that help them connect with new dealerships and better manage the financial and operational risk associated with indirect, non-prime loan portfolios,” said Frank Mercer, president and CEO of CU Lending Solutions LLC.  “This partnership extends the market reach of both companies and provides auto dealers and lenders with an efficient way to originate more loans and convert the seasoned loans they have originated into cash to fund their operations.”

 

Developed and tested in collaboration with automobile dealers, dealer associations and portfolio buyers, GDNAuto uses an innovative dashboard-style control panel that enables loan originators to list and price the seasoned loans they want to sell to pre-screened banks, credit unions and other investors.  Using GDNAuto, dealers can take control of their seasoned portfolio sales by setting their preferred terms, selecting the buyer with the purchase terms that match a dealer’s needs, and monitoring the status of the entire process – instantly.  GDNAuto even helps dealers manage the due diligence paperwork and facilitates closing and funding – all within a confidential, secure environment.

 

Banks, credit unions, hedge funds and other pre-qualified investors use their own secure GDNAuto filtering tool to specify the types of loans they want to buy. Investors can review dealership portfolios, select the loans they want and submit a bid for consideration.  Once approved, GDNAuto expedites the due diligence process and tracks every aspect of closing and funding to ensure a seamless transaction.  Since GDNAuto was launched in June 2008, more than 90 buyer and seller members have registered and more than $60 million in auto loans have been listed.

 

For more information or to create a GDNAuto account, visit www.gdnauto.com or call 1-866-559-4339.  For details about CU Lending Solutions, LLC, visit www.culendingsolutions.com.

 

About Global Debt Network, Inc.

Based in California with offices in Alamo, Calif. and Los Angeles, Global Debt Network, Inc. is a privately held company that simplifies auto finance by offering GDNAuto, the first nationwide online loan portfolio marketplace where automobile dealers, banks, credit unions, hedge funds and other financial institutions can come together to securely evaluate, price, sell and purchase asset-backed debt.

 

About CU Lending Solutions, LLC

CU Lending Solutions is a premier lending strategy and operations firm that helps credit unions and finance companies develop, build and operate strong auto lending businesses that deliver sustained value.  The privately held company is based in San Diego and has offices in Tampa, Fla.

Most web based software stores data that you supply with them for your to manipulate inside of their systems. It makes life easier for the users of the software. But whose data is it? It belongs to to the individual that caused the data to be input. Web based CRM and ILM tools are the biggest ones used in our industry. While some are client based, you have to install software on your computer to interface with their system, most of the data is stored on someone's system that you do not control. In the event of software managed locally on your corporate mainframe you control you still need to make sure that your data is protected. We have all heard the stories of credit card processing companies, the Veteran's Administration and others having internal and external data compromises. Not only do you need to have trusted people managing this information you must make sure that you maintain physical back ups of all of your proprietary data. Back it up and store it somewhere besides on your local machines. There are many online data storage companies that can help with this in addition to having physical hard copies on tools such as cds, usb drives and external hard drives. Don't think there is much risk in not doing it? Finding out the hard way will be more devastating than learning to set up the process for the tools that you use...

The DrivingSales blog platform as of this date is in the top .23 of 1% of all blogs according to www.technorati.com. If you are using a blog and have not claimed it with technorati you are missing an opportunity to drive SEO benefit and additional traffic to your blog. Technorati is one of the many blog search engines and aggregation services and claiming your blog there is as simple as creating a profile and following their steps to have your blog spidered and indexed by them.  This post will actually serve as the publishers blog claim by sending a link to our Technorati Profile. Speaking of claiming blogs.  If you are an auto industry professional who would like to have their own blog on the platform at DrivingSales send an email to contactus@driginsales.com and our blog manager will get you set up right away.

VinSolutions is looking to help dealers cut cost and is showcasing their do it yourself inventory management software and hardware at the 5th Digital Dealer Conference. According to VinSolutions the do it yourself segment is growing and their products will help dealers cut expenses and increase ROI. Here is the full release Grapevine, Texas, October 7, 2008 – VinSolutions, a leading Web-based automotive software provider, is showcasing their Do-It-Yourself (DIY) and Inventory Management module at the 5th Digital Dealer Conference and Exposition in Grapevine, Texas. Running from October 6th through 8th, dealers can meet VinSolutions’ upper management, salesmen and trainers for one-on-one demonstrations of the VinCamera, VinBuddy, CRM, ILM, Inventory Management and Web site design products. “The thing I like best about coming to this conference is the chance it gives us to actually show dealers in person how great our products are,” said Mike Dullea, VinSolutions’ CSO. “Since our software was designed by people who were in the car business for years, we know our products meet the needs of real people working real car deals.” The DIY market segment is growing. Upgrades in technology have made do-it-yourself activities easier, and as dealers look for ways to cut back on expenditures, taking their own inventory photos makes a lot of sense. VinSolutions has stepped up their efforts to provide dealers with a turn-key DIY product. The VinCamera offers dealers a way to match vehicle stock numbers from their DMS directly with photos they shoot on their lot. Simply plug the camera into the dealership’s computer system and the photos upload automatically in the Inventory Management module. Right now dealers need to use every advantage they can to cut cost, maximize efficiencies, and convert leads to sales. Selecting and using the right CRM, ILM and Web site design allow dealers to do just that. The down turn in auto sales brought on by the softening of the nation’s economy has many dealers battening down the hatches in an effort to ride out the tough times ahead. Running an efficient operation is key to survival. “Even though the nation’s economy is soft right now, we’ve just come off of the best third quarter in our company’s history,” said Doug Kinney, VinSolutions’ CEO. “We owe that success to the results our clients get from using our fully-integrated products. Efficiency equals savings.” Using VinSolutions’ suite of products, dealers can handle everything from taking pictures of their inventory to pushing a deal to finance without ever having to sign a long-term contract or chase down contacts from multiple companies to handle their needs. One contact, one company, one commitment. It doesn’t get much more efficient than that. About VinSolutions (www.vinsoltuions.com): An industry-leading developer of Internet-based customer relations management (CRM) and Internet lead management (ILM) software, VinSolutions provides 24/7 dealership sales and marketing information to their clients anywhere Internet access is available. In addition to CRM, ILM and inventory management products, VinSolutions builds custom dealership Web sites, uploads inventory photos, offers their clients quality training and consulting services, as well as valuable customer support. VinSolutions is GM, Ford, Chrysler, Audi and Subaru certified and has working relationships, alliances and integrations with several automotive software service providers such as CARFAX, Kelley Blue Book, AutoSoft, Inc., Autodata, RouteOne and DealerTrack.

AAA Mid Atlantic, the fifth largest triple A chapter, has teamed up with Zag to provide shoppers with upfront pricing on new and used vehicles through a select group of auto dealers. This marks a change in the traditional AAA program that in the past only provided model specific information with an introduction to a local AAA certified dealer. Here is the full release: WILMINGTON, Del. and SANTA MONICA, Calif. (Oct. 6, 2008) — AAA Mid-Atlantic today unveiled an auto buying program, powered by Zag, that helps members secure great, up-front prices on new and used cars before ever walking into the dealer’s showroom. AAA Mid-Atlantic is the fifth largest AAA-affiliated club in the nation with 3.8 million members in five mid-Atlantic states and the District of Columbia. The exclusive Zag (http://www.zag.com) partnership marks a new direction for AAA Mid-Atlantic and other large affinity groups seeking better value and better service for their members. Zag’s program connects consumers with a nationwide network of pre-qualified dealers who have agreed to provide guaranteed no-hassle, upfront pricing. The AAA Mid-Atlantic auto buying portal – accessible at http://aaamidatlantic.zag.com/main.html – now, for the first time, offers members access to used car inventories. Prior to partnering with Zag, AAA Mid-Atlantic managed and operated its auto buying program internally similar to other large AAA clubs across the country. These programs have traditionally only focused on providing members new car product information and introductions to a local dealer. “The Zag relationship represents a major departure for our organization – one that we’re delighted to be able to make,” said Ed Tobler, Managing Director of Automotive Services Administration & Products at AAA Mid-Atlantic. “When we determined that our members would benefit if we removed ourselves from the car-buying equation, we began to look for a company for which facilitating the process is a core competency. Zag’s demonstrated capabilities were clearly head and shoulders above the competition. They are simply doing it better than anyone else.” “AAA Mid-Atlantic is a respected organization in its region, and a true leader among AAA clubs nationally,” said Scott Painter, Zag CEO. “It’s the first AAA club to offer upfront pricing to its members. AAA is arguably one of the most trusted brands in the automotive industry and AAA Mid-Atlantic is a pioneer among the AAA community in actively seeking out the best possible solution and savings for their members. We are proud to be able to serve the members and look forward to expanding our program. Not only will AAA Mid-Atlantic members be able to see an upfront price prior to making any form of commitment, they will also have access to all available public and private incentives and monthly payments. “Zag’s platform will also generate more warranty and insurance sales for AAA through an integrated and real-time quoting engine that gives members additional AAA product information as they research vehicles,” said Painter. “All of these are firsts in the AAA community, and we are excited to partner with AAA Mid-Atlantic.” Zag technology will provide AAA Mid-Atlantic members with no-haggle, upfront pricing on every make and model, as well as research tools for shopping for new and used cars online. In addition, the Zag partnership will enable AAA Mid-Atlantic to track the exact number of cars sold through its auto buying program, which Zag will manage for the club. Zag supports AAA’s other auto-related products and services, integrating them for a truly comprehensive AAA-approved auto purchasing process. “Because we have chosen to partner with Zag for our auto buying program, AAA Mid-Atlantic members can now expect to have a genuinely better car buying experience,” Tobler said. “The Zag/AAA Mid-Atlantic program will help strengthen AAA’s brand by providing technology that will give members what they want from their auto buying program – that is, a great, upfront price and a better experience overall,” Painter said. “It’s a win-win situation for all involved – dealers will gain access to motivated, in-market buyers, and car buyers will gain peace of mind from receiving that upfront price that is guaranteed from the participating dealer.” About AAA Mid-Atlantic AAA Mid-Atlantic is the nation's fifth largest auto club with 3.8 million members in Delaware, Maryland, New Jersey, Pennsylvania, Virginia and the District of Columbia, providing automotive, travel, personal insurance and financial services. AAA has represented motorists and travelers for more than 100 years. Nearly 27 percent of U.S. drivers are AAA members. For more information, please visit www.AAA.com. About Zag Zag (www.zag.com) has created a better way to buy a car. Zag operates a robust auto shopping, research and pricing technology platform that saves buyers money by concentrating group buying power, while providing a superior car buying experience by connecting buyers with select dealers that provide great upfront pricing and a no-hassle delivery process. Zag provides its platform on a private-label basis to affinity buying groups, such as USAA, 14 AAA motoring clubs, Overstock.com, Parenting.com, and Capital One Auto Finance. Zag is fully operational for 68 percent of U.S. households and serves more than 93 percent of in-market car buyers. Zag’s investors include Anthem Venture Partners, Capital One Auto Finance, GRP Partners, Arcturus Capital, Callaway Cars and the Skoll Fund. The company’s approach to car buying and selling is garnering awards – Entretech gave Zag its 2008 Entrepreneurship Award for emerging companies, InfoWorld designated Zag’s platform as one of the 100 most innovative corporate IT solutions for 2006, and Entrepreneur Magazine named Zag in its 2006 “Hot 100” list of the fastest-growing companies. Zag is based in Santa Monica, Calif. Zag Media Contact: Ken Greenberg Edge Communications, Inc. 818-990-5001 ken@edgecommunicationsinc.com AAA Mid-Atlantic Media Contact: David Weinstein AAA Mid-Atlantic Public & Gov't Affairs Hamilton, NJ 08691 (o) 609.570.4130 (c) 609.306.2523

Overland Park, KS, September 18, 2008 – VinSolutions, a leading provider of Web-based automotive software, announced today it has completed an integration with Kelley Blue Book’s InfoDriver™. As a result, VinSolutions’ clientele now have point-and-click access to data supplied by KBB’s expanded and redesigned data syndication solution. Subscribing dealers can access the data from VinSolutions’ MotoSnap CRM or from their inventory management module.  

“The newest iteration of Kelley Blue Book’s data syndication products makes acquiring Kelley Blue Book vehicle information easier than ever before,” said Brad Prickett, Kelley Blue Book’s Director of Syndication Product Management. “The real power of this product is the combination of rich content in a flexible format. By incorporating Kelley Blue Book values in VinSolutions products, their customers now have quick access to accurate and timely vehicle values that are widely recognized by car shoppers.”

Incorporating 82 years’ worth of trusted KBB data into their software application, VinSolutions confidently supplies their clients with reliable used car data, vehicle trade-in, private party, wholesale, and suggested retail values. Whether subscribing users click on the Blue Book Valuation box from their MotoSnap CRM, or on the KBB Lookup box in their inventory management system, accurate vehicle valuation information is ready for immediate use. 

“The direct link to reliable data that KBB’s InfoDriver™ provides saves our clients time, and we believe the quick access to trade-in values and suggested retail pricing for customer trade-ins gives our subscribing dealers an added advantage,” said Doug Kinney, VinSolutions’ CEO. “We’re pleased we are able to incorporate this powerful tool into our product lineup.” Dealers who choose to add this service to their existing CRM or inventory management solution will be able to print KBB suggested retail pricing on their used vehicle window stickers, and display comparisons between KBB and dealer-assigned prices on their VinSolutions Inventory Gallery or in their vehicle comment sections. For more information visit www.vinsolutions.com. 

About VinSolutions (www.vinsolutions.com):

An industry-leading developer of Internet-based customer relations management (CRM) and Internet lead management (ILM) software, VinSolutions provides 24/7 dealership sales and marketing information to their clients anywhere Internet access is available. In addition to CRM, ILM and inventory management products, VinSolutions builds custom dealership Web sites, uploads inventory photos, offers their clients quality training and consulting services, as well as valuable customer support. VinSolutions is GM, Ford, Chrysler, Audi and Subaru certified and has working relationships, alliances and integrations with several automotive software service providers such as CARFAX, Kelley Blue Book, AutoSoft, Inc., Autodata, RouteOne and DealerTrack.  

About Kelley Blue Book:

Since 1926, Kelley Blue Book, The Trusted Resource^®, has provided vehicle buyers and sellers with the new and used vehicle information they need to accomplish their goals with confidence. The company’s top-rated Web site, www.kbb.com, provides the most up-to-date pricing and values, including the New Car Blue Book^® Value, which reveals what people actually are paying for new cars. The company also reports vehicle pricing and values via products and services, including software products and the famous Blue Book^® Official Guide. Kbb.com is rated the No. 1 automotive information Web site among both new and used vehicle shoppers, and half of online vehicle shoppers visit kbb.com. Kbb.com is a leading provider of new car prices, car reviews and news, used car blue book values, auto classifieds and car dealer locations. No other medium reaches more in-market vehicle shoppers than kbb.com.

If you have industry news that you wish to have featured here on www.drivingsales.com please submit it to contactus@drivingsales.com

In response to their worst ever monthly decline in sales in four decades Toyota Motor Sales USA is offering 0% financing on 11 models through November 3rd. They will be offering 36 to 60 month terms. This is the first time that Toyota has offered these types of incentives to "take aim" at the credit market squeeze which is slowing the US markets.

PRESS RELEASE: Toyota Announces Zero-Percent Offer

TORRANCE, Calif., Oct. 2 /PRNewswire/ -- Toyota Motor Sales (TMS), U.S.A., Inc., today announced a zero-percent interest rate offer on eleven Toyota models for qualified buyers. Expiring November 3, 2008, the loan offer varies by model, with terms ranging from 36 to 60 months.

Taking aim at the credit squeeze which has sidelined many of today's new-car buyers, the attractive offer is unprecedented for Toyota.

"Not only do we have the inventory of today's sought after fuel-efficient models, but we have the capacity through Toyota Financial Services to finance or lease them," said Toyota Division General Manager Bob Carter.

The Toyota models qualifying for this offer are: Matrix, Corolla, Camry, RAV4, Highlander, FJ Cruiser, 4Runner, Sequoia, Sienna, Tacoma and Tundra.

A nimble, constantly evolving online marketing strategy helps keep CarsDirect dealer partner Auction Direct USA on the cutting edge of the Internet – and on top of the competition

A drive to innovate permeates every department of Auction Direct USA. The Victor, NY-based chain of used car superstores has built a thriving business largely on being different.

The differences stood out from the first day Auction Direct USA opened its doors in 2005. Specializing in late-model, low-mileage used cars and trucks, the company offers no-haggle prices on every vehicle and a three-day, 500-mile money back satisfaction guarantee. It established an exclusive 85-point quality inspection process, operates certified service departments, and encourages a relaxed atmosphere that emphasizes personalized customer service. Early success allowed Auction Direct USA to open additional stores in Raleigh, N.C. and Jacksonville, Fla. over the next two years. More locations are in the planning stages.

Further setting Auction Direct USA apart is the way the company approaches and utilizes the Internet to drive sales. From the beginning, management placed a much larger emphasis on Internet marketing operations than a typical dealership, and encouraged innovation by giving the IT team free reign to explore new ways the Internet can be leveraged to bring customers through the door.

“We use everything we possibly can on the Internet. We use auto channels like CarsDirect, blogs, social networking sites, mobile websites – everything,” says Eric Miltsch, IT/Web Director at Auction Direct USA. “And we have top-quality talent, solid IT infrastructure, and support from management to really make the most of our efforts. A lot of traditional dealerships can’t say that.”

Listing inventory on CarsDirect’s Used Car Channel is a major component of Auction Direct USA’s online marketing strategy, primarily because the site – which lists more than 1.5 million used vehicles for sale around the country – offers unique features that connect with consumers.

“The fact that we are designated as a CarsDirect ‘Trusted’ dealer is great benefit for us,” Miltsch says, referring to CarsDirect’s exclusive program in which it certifies dealers that confirm their support for the CarsDirect Used Car Buyer’s Bill of Rights. “It starts things on a positive note by giving customers peace of mind right away.”

Auction Direct USA staff also take advantage of the ability to upload unlimited photos and videos of each piece of inventory on the CarsDirect Used Car Channel, giving customers as much information as possible about each vehicle. As a result, CarsDirect has consistently been the top referrer of leads to Auction Direct USA. CarsDirect also provides a high click-thru rate to Auction Direct websites.

“We also consistently see impressive conversion rates from CarsDirect – usually almost double the rates we’re seeing from other similar services,” says Miltsch. “It shows us that CarsDirect attracts targeted traffic made up of consumers that are really finding what they’re looking for.”

The company also plans to work with CarsDirect to evaluate future advertising opportunities on the newly introduced Internet Brands Automotive Network, a collection of more than 90 leading automotive community websites, including AudiWorld.com, Ford-Trucks.com, and ScionLife.com. Internet Brands – the parent company of CarsDirect – offers a broad range of advertising options across the Automotive Network that connects dealers with buyers targeted by make and model. The ability to target ads so specifically is a natural fit for used dealers like Auction Direct USA who sell a wide cross-section of recent makes and models.

Auction Direct USA’s success with CarsDirect is part of its aggressive, progressive online marketing program that constantly evolves along with the Internet. In addition to a rich media weekly e-mail newsletter that goes out to customers and prospects, Auction Direct USA dabbles in almost all of the concepts and technology that have collectively come to be known as “Web 2.0.”

In early 2007, Auction Direct USA launched a blog called WhyBuyUsedCars.com. The blog differs from most dealership blogs by taking a general auto enthusiast focus and featuring postings on industry news, car shopping and maintenance tips, and fun features like the “Kool Whip of the Week.”

“A lot of car blogs are boring,” says Miltsch. “We think interesting content, humor, and even a little controversy is what attracts readers and keeps them coming back.”

The blog has been a key brand builder for the company, attracting thousands of readers each month and driving traffic to the main Auction Direct USA website.

Auction Direct USA also maintains presences on social networking sites including Facebook, MySpace, and Twitter. Keeping active on the sites allows customers to interact with the brand without having to leave their preferred site. Miltsch says the company’s social networking efforts have paid off by keeping customers up to date on company events (primarily via “tweets” on Twitter) and by driving traffic to the site by regularly updating Facebook and MySpace profiles, which keeps Auction Direct USA active on customers’ social networking event feeds.

“Using these sites has added a truly social aspect to our online efforts,” says Miltsch. “It’s like walking into a never-ending cocktail party and constantly meeting new people and potential customers. They become more than customers; they become friends of the company.”

Miltsch and his team have taken the extra step of personally interviewing AuctionDirect USA’s Twitter followers to establish brand confidence, drive traffic, and gain further insight on automotive consumer behavior. The company recently introduced TweetandGreet.com, a social networking initiative that allows Auction Direct USA’s Twitter followers to be profiled on TweetandGreet.com by sharing their thoughts on fun car-related topics, such as memories about their first cars and describing their dream cars.

While the fast-moving nature of the Internet can mean that today’s hot sites and online marketing techniques could soon go the way of dial-up Internet and floppy discs, Miltsch says he’s confident he and his team will adapt as necessary

“To really be successful with online efforts, you have to have a genuine passion for the Internet and technology. We have that passion, and we’re thrilled we’re able to use it to help the company grow and thrive.”

If you have an industry related press release you wish to have published at www.drivingsales.com please forward it to contactus@drivingsales.com

Blogging is something that is often misunderstood or misused.  Blog is short for "weblog" the the original premise was that of an online diary which could be shared openly with the world or only with selected individuals.  Now people use them for many different purposes.  SEO, attracting clients and customers, activism, news or anything else they want to publish.  The purposes and applications are endless.

Companies are using blogs to attract new customers.  We have even observed website vendors using them as their primary marketing portals.  They allow you to get your word out in a very permissive fashion and their ease of search engine optimizations is child's play.

Just recently one of our blogger's here at DrivingSalescom had a national media source, US News and World Report, reach out to her because her blog was easy to find and gave the reporter from this venue the information they were looking for in preperation for an article about the recent automotive credit crunch.  We got some free expoure and media outreach, we are not sure of the outcome yet, due to he power of how well blogs optimize in the search engines.

Some interesting facts about our blogs and website traffic

The www.drivingsales.com blogs are in the top .25 of 1% of all blogs according to www.technorati.com
Our website traffic is in the top 5% of all websites according www.alexa.com

The question is not if you are going to blog but when are you going to get started?

If you are an industry professional who would like to take advantage of having a blog that reaches over 70,000 automobile industry professional contact Paul Rushing at contactus@drivingsales.com

It’s an honor this week to present Eric Miltsch, IT and web director for Auction Direct USA, with a brand new iPhone 3G.  Eric’s winning strategy - “Drive Traffic, Lead Conversion and Units Sold; Guest Engagement,” strikes at the heart of what so many of us are trying to achieve every day.  Relevant, proven, tactical – Eric’s Strategy is right in the wheelhouse of what DrivingSales Strategies are all about, so it’s no wonder it got such an overwhelming response from our members.

In addition to being the IT and web director at AuctionDirect, Eric is an active member and blogger on DrivingSales.  He brings a unique perspective to reaching consumers online using many forms of social media, including networking platforms, which he blogs about in his company blog - WhyBuyUsedCars.com, in addition to his Eric Miltsch Blog on DrivingSales.com.

This week I caught up with Eric in between his super busy schedule at the store to notify him of his win and to learn more about where all his great ideas come from. Jared Hamilton (JH): Thanks again for your contributions in our latest Strategies contest, Eric.  Tell us a little about yourself.

Eric Miltsch (EM): I'm originally from Rochester, NY and still live here with my wife Susan and two sons Parker and Cooper. I graduated from Rochester Institute of Technology (RIT) with a marketing communications degree with an emphasis on the technical side. The tech aspect always intrigued me; I was a retail stockbroker and a trader concentrating mostly on tech stocks for nearly 10 years. Understanding the technology and how it impacted a business was a must. Eventually, the opportunity to work with a close friend presented itself and we began helping companies create their online presence. Website development, online marketing and even technology consulting - whatever the client needed to improve their business. 

JH: Tell us a little bit about what you do at AuctionDirect and how long you've been with them.

EM: I was fortunate enough to get involved with Auction Direct USA over two years ago when they approached me to help with their first website redesign. After a couple of months the new website was launched and at the same time the perfect relationships were also created. At the time, Auction Direct USA needed assistance with other elements within their online and IT worlds and I was happy to help offer them the solutions. This eventually led to me become their IT | Web Director. (And also led me to no longer sleeping as I knew it.)

I watch over our IT network and everything we're doing online; I've enjoyed every moment here - especially seeing everything develop from the beginning. I get to do what I love every single day and continue building our business. 

JH: What interested you in what we're doing on DrivingSales.com and how long have you been a member?

EM: It was when you and I spoke on the phone earlier in the year; you were nearing the launch of DrivingSales. I knew this would be a great destination spot for the industry. An extra push to participate came from Paul Rushing as well. There is so much information yet to be shared about our changing industry, the tools being used and the experiences people have had with them. I'm always looking to learn, and share that knowledge with other industry professionals. DrivingSales is a great spot for that now.

JH: We are now past 1,300 thousand members – it’s amazing. What are your favorite tools and what are some of the benefits you've seen?  And, how do you think the network is benefiting others in our industry?

EM: The ability to connect and interact with the other members is a key element; providing Web 2.0 functionality to the people within the industry is a perfect way to demonstrate its power first hand. I'm a huge advocate of the power of social media with regards to its ability to build a community, develop a brand and provide a conversion solution. DrivingSales.com has the ability to do all of these on so many levels if the users embrace the tools being made available to them.

JH: What do you think is most important to help dealerships in the current economic environment?

EM: I'm a firm believer the dealership needs to have its online strategy communicated from the top down to every level. I'm very lucky in that our CEO and COO are huge proponents of leveraging the strength of the Internet.

JH: What do you think are the most important benefits of social networking, and what are your thoughts about social media in general?

EM: Dealers need to shift their strategies as online shoppers continuously change their shopping and buying habits. Social media strategies enable dealerships to expand their online footprint and help provide their guests the information they are truly looking for while online. Retailers need to react to their consumers’ desires; the automobile industry is no different.

JH: Tell us a bit about what AuctionDirect offers.

EM: Auction Direct USA Used Vehicle Superstores provide its guests with the most unique automotive shopping experience possible. Our model operates on a customer driven philosophy, which understands consumers deserve a better shopping experience - in the showroom and online by providing the lowest prices and the best selection of quality used vehicles. Every Auction Direct USA Certified Vehicle is marked with the lowest in market "Buy it Now" price on the window. Customers appreciate the no-negotiation atmosphere and truly enjoy their car buying experience. The entire online experience was created with that in mind as well: Engaging, innovative and useful.

JH: Thanks so much for being an active member and blogger on DrivingSales, Eric. Pleasure talking to you. EM: Likewise!

Eric can be reached at Auction Direct USA by phone at (585) 742 - 8000 or via email at emiltsch@auctiondirectusa.com

And be sure to check out AutionDirectUSA.com, WhyBuyUsedCars.com, or follow AuctionDirect on Twitter