Every Friday I will be doing a weekly recap of the best blogs … get ready for 90 seconds of information!

Subi Ghosh, Senior Director of Dealer Strategy at Stream Companies and Founding Board Member of Women In Automotive wrote a blog about culture. She described internal and external culture, and outlined the five pillars of culture:

1. Strategic Hiring and Placement

2. Internal Processes

3. Websites

4. Social Culture

5. Retention Marketing

Read the full Blog here!

Jason Volny, DrivingSales National Training Manager gave us a DrivingSales Success Tip about the correct timing a service walk. Hint: he says to do it before you ask the customer to buy the car.

“What I’m trying to tell you in this tip of the week is that a lot of dealerships out there (including the one I came from), used to do the service walk after the customer made a decision to buy the vehicle. I’m here to tell you, THAT DOESN’T MAKE SENSE.”

Watch the entire DrivingSales Success Tip here!

MAX Digital hosted a great webinar describing the car buying experience your customers actually want.

In short they say the traditional 12-step road to success is out… and dealers should put their focus on the customers path to purchase.

"Using the Customers Path to Purchase is how you create the experience customers want. AND the sales and profit that you want in your dealership."

Watch the full story here!

Are you ready to start selling flying cars?? Germany has agreed to allow flying car testing on their roads!

Audi and Airbus signed a letter of intent with the german government. They will start “Air Taxi” testing in the town of Ingolstadt.

You know those tariffs President trump wants to impose on foreign made cars? Manufacturers are against them, and most new car dealerships are worried that the tariffs will increase the prices of their cars. That will decreasing the amount of cars sold. BUT, VP of Marketing for Automobile Technologies, ted gaines, believes the tariffs will be great for the Used car industry.

Read the full blog here!

What was your favorite blog this week? Let me know in the comments!

Baby Boomers are on their way out. That means Millennials are the next in charge right? WRONG. There’s an entire generation in between that often gets looked over.

DDI, a company that solely focuses on creating and training leaders published a study called, The 2018 Global Leadership Forecast.

The study has a dozen different sections. One section focuses on generational leaders including Gen-X. But who are they? They are the people younger than Baby Boomers but older than Millennials born between 1965 and 1981.

GenX-ers hold 51 percent of leadership roles globally and will continue to grow into high level positions. However not much is known about them when it comes to leadership. Today that changes.

When it comes to technology, 54 percent of Gen-X leaders rate themselves as digitally savvy. That’s only two percent behind millennial leaders. And according to DDI Gen-X uses social media more habitually than any other generation!

Generation X prefers external coaching rather than coaching from within their own company.

Of Baby Boomers and Millennials, Generation X leaders are the slowest to get promoted BUT are more loyal than other generations. You could call them the are the “Middle Child” of career advancement opportunities.

So what can you do with this information to help improve genx leaders?

DDI says to encourage genx to challenge the status quo. Allow them the freedom to try new approaches and challenge old thoughts.

Leverage technology! As Gen-X is digitally savvy, giving them and teaching them new tech will help them improve their leadership.

What do you notice about your Generation X leaders? What traits stand out to you?

If Generation Z-ers aren’t on your mind yet, they will be. By 2020 they are expected to make up 25-percent of the Nations population. And that means what cars are most popular are about to change.

Currently subcompact cars are what many young people are buying. But the Gen-Z and Millenials U.S. sales of subcompact SUV’s are expected to beat the sales of subcompact cars as early as 2019.

And according to a press release by Ford, Generation Z drivers, those born in 1996 and beyond, find that subcompact SUV’s are the affordable first-car option

For instance in 2017 nearly 3 thousand 18-24 year olds in the U.S. bought a subcompact SUV. That’s up more than 5-hundred percent in just four years.

Why does that matter? Well according to one study by KBB and Autotrader, although Gen Z-ers come across as a ridesharing-only generation, 90 percent say they already own, or plan to own a own car in the future. On top of that, to own that car they will give up social media, buying new clothes, events and eating out for a year, and one third would give up their cell phone completely.

So what are the most important aspects of the car for Gen Z? First are price and gas mileage, then comes style and safety, and the very last thing Gen Z thinks about when buy a car is the brand.

Merkle, a Ford U.S. Sales analyst believes everybody wants SUV’s and Gen Z is no different saying quote, “As more new small SUV’s like Ford Ecosport become available, you’ll see the subcompact SUV segment continue to climb…”

Generation Z is the first fully connected on-demand generation. Because of that these subcompact SUV’s will have everything Gen-Z buyers want in a car like in-vehicle wifi, multiple charging ports, and a smartphone connected info-tainment system.

What have you noticed about Gen Z car buyers?

The traditional 12-step "Road to the Sale" guidelines are out, and the Path to the Customer Purchase is in.

In a DrivingSales Webinar, MaxDigital says the reason the 12-step road to the sale doesn’t work is because it focuses on the way dealerships sell cars rather than the way consumers buy cars.

"If we think about the way a consumer does a lot of commerce today online, It's they way they want to do business. We need to think differently too about the customers road to the sale. Or what we (MAXDigital) call the Path to the Purchase."

The Path to Purchase should replace the Road to the Sale according to Patrick McMullen, SVP of Strategy and Innovation at MAXDigital. The main ingredients for the “Path to Purchase” model are two things.

"They (successful dealerships) infuse trust and confidence at every point of the car buying process."

To really be succesful, your store needs to bring trust and confidence into 6 different “P” steps: Your people, your process, your product, your pricing, your payment and your protection.

"Using trust and confidence in every single one of these elements is how they (successful dealerships) get to those great results."

By embracing the Path to the Purchase McM

ullen says your dealership will see an increase in profit, "Using the Customers Path to Purchase is how you create the experience customers want. AND the sales and profit that you want in your dealership."

This has been a quick recap of our most recent webinar. you can click HERE to watch the MAXDigital webinar in its entirety.

And you can click HERE to join us in our next FREE webinar about using artificial intelligence ads and social media to ramp up your sales.

Women aren’t even represented by 1 in 5 employees inside the dealership world. And that number is even smaller when it comes to women in positions of leadership inside this industry. However, in the last few years there has been a push to create an environment of inclusion for women in the automotive industry. Today I'm introducing to you to one of the Women leading that charge.

Meet Kathy Gilbert. Currently she is the Director of Sales and Business Development at CDK Global. She is also an advocate for all of CDK’s minority and women owned dealerships. On top of that, Kathy also helped found the organization, Women in Automotive.

“I have been passionate about advocating for women from the beginning, it’s been a long time," She told DrivingSales News.

In the automotive industry for 24 years Kathy has noticed a few trends that are keeping the dealership environment the boys club that it’s always been perceived as.

“I think the number one thing is the automotive industry is a male dominated industry," Kathy said. “The culture in some dealerships is one where they don’t given women the respect they deserve.” 

But there are ways to fix these problems and make the industry a place where women want to be and want to lead. She says It all starts with the women who are already here and they need to speak up. If you’re not sure if you can speak up, or if what you have to say has value, Kathy has this advice, "be authentic. You have something to say.” 

She tells the women she mentors that sharing experiences, and thoughts, will give you trustworthiness, “Once you start talking about what you do, people believe you and you have credibility and it just works.” 

What you have to say matters, even if you don’t have all your T’s crossed and I’s dotted.

"You don’t have to know everything. What worked for you may work for someone else. You just have to be open enough to let them hear your story," Kathy said.

Finally, doubt can creep in while trying getting a seat at the table and representing yourself as a leader. But Kathy says to trust yourself and just do it.

"Once you start speaking it gives you the confidence to keep speaking. Once you step up it gives you the confidence to keep doing that. You’ve gotta get past that initial oh wait i don’t know. Once you get past that initial and you speak up, and speak your mind it get’ easier to do."

It’s a common question, are salespeople born or made? According to one automotive VP It’s a little of both. But one is more important than the other.

"I think best sales people are born with innate skills that are going to lead them to success."

Matt Weinberg is the Vice President of Customer Experience at Drive Motors. Before working for Drive Motors Weinberg spent many years in dealerships, and consulting for dealerships. During that time he hired and interviewed many sales people.

"When interviewing for salespeople I look for the five C’s: Candidness, confidence, competitiveness, communication and charisma."

He says the five C’s are characteristics all sales people must have. Some of them are learnable traits like communication. But the more important ones like confidence and charisma are innate.

"You have it or you don’t. Charisma is important because... people buy cars from people they like. If I have charisma I'm going to connect with more people and will get more sales."

Outside of the five C’s Weinberg says a good sales person will pass a test he throws into the interview to throw people off.

"What I will do later in the interview after building some rapport, I would say 'Hey Sherri you know, I enjoyed our conversation, you’re great but I’m just not seeing you as a superstar sales person.' Then I'll pause and shut up and see how they respond."

Weinberg goes on to say If a person gives up and says something like 'Okay. Thanks for the opportunity," He knows for sure that person won’t survive the sales floor. The point of this challenge is to test rejection skills.

"What I‘m looking for when I do this test is to see how will they respond to rejection and see how confident are they. You’re putting them in a tough spot. But that's the purpose. How will they respond?" Weinberg said. "If they ask questions like 'Why?' or 'What makes you think I’m not great?' Then I get huge smile because this person will be successful and didn’t crumble under rejection or questioning."

How do you hire for sales? What’s your secret question or traits you look for?

Automotive manufacturers in the United States are protesting potential tariffs and taxes on imported auto parts with the hashtag #DontTaxMyRide.

The hashtag started trending in the automotive world just before the weekend at a rally intended to dissuade the U.S. Department of Commerce on proposed tariffs by President Donald Trump.

President Trump believes foreign auto imports are a threat to national security. If the Department of Commerce agrees, a 20% tariff will be placed on all auto imports.

Association of Global Automakers and Here for America hosted the rally. Here for America is an ally of international automakers and dealers. Here for America believes these international automakers are integral to the success of today’s U.S. auto industry as they directly employing 1.29 million Americans, and indirectly affect the employment of 7 million other auto industry professionals.

More than one hundred international auto employees pulled up to the U.S. Capitol in a caravan of American made vehicles. Also present at the rally in Washington D.C. were Members of Congress from high auto-production states: Congressman Drew Ferguson (R- GA), Senator Doug Jones (D-AL) and Congresswoman Jackie Walorski (R-IN).

“Alabama’s booming automotive industry supports 57,000 jobs and is responsible for $11 billion in exports annually,” said Senator Doug Jones in a press release (D-AL). “If enacted, the proposed tariffs could not only stifle one of our fastest growing industries, but they could threaten the livelihood of millions of Americans who depend on this industry to provide for themselves and their families.”

On social media, automakers were very vocal about #DontTaxMyRide. Kia, Honda and Toyota are all against any potential tariffs. Honda employees were at the rally and on twitter said these tariffs would have a huge negative impact on sales.

Honda associates from our auto plants in Ohio, Indiana, Alabama and Georgia are in D.C. today sharing how #autotariffs would negatively impact our entire U.S. operations, from the production floor to our dealerships. #DontTaxMyRide pic.twitter.com/hliqXtzJ9a

— Honda In America (@HondaInAmerica) July 19, 2018

Toyota also got in on the action, having meetings with senators all day Friday against Tariffs.

The more than 8,000 Toyota team members at our Georgetown, Kentucky plant manufactured more than 550,000 vehicles in 2017. #Tariffs could threaten our growth & investment. https://t.co/qsw2tRSLv3 pic.twitter.com/NtVYCrHITd

— Toyota Policy (@ToyotaPolicy) July 19, 2018

The decision to put tariffs in place will happen by the end of the year if the U.S. Department of Commerce investigation concludes and says international imports are a threat to our security.

What do you think about potential tariffs? Do believe foreign auto imports are a threat to national security like President Trump says?

Today the President and CEO of the American International Automobile Dealers Association (AIADA) testified in front of the U.S. Department of Commernce in favor of the international auto retail industry and against potential tariffs.

Cody Lusks testimony was given during the section 232 Automobile and Automotive Parts Imports Investigation. This investigation is happening to decide whether or not tariffs should be placed on foreign auto imports.

His comments focused on the 577,000 jobs provided by America's 9,600 international nameplate auto dealers in their communities, the vehicles they sell to consumers, and how they would be negatively impacted by new vehicle tariffs.

Lusk told the Dept. of Commerce that imported auto parts are not something that need to be worried about. In fact, He said we should be worried if tariffs go into place, “AIADA ... strongly support(s) a pro-growth economic agenda, and believe it can be accomplished with a positive trade message, not the threat of tariffs. Trade keeps our economy open, dynamic, and competitive, and helps ensure that America continues to be the best place in the world to do business."

The reasoning behind his lack of support for tariffs is in the numbers, “As data shows, over half a million Americans stand to be adversely impacted should 25 percent
tariffs be put into place on imported autos and auto parts,” Lusk said. “A recent study by the Peterson Institute for International Economics (PIIE) found that if those tariffs go into effect, there would be a total of 195,000 American jobs lost. Additionally, should countries then retaliate in-kind and place tariffs on the U.S., the job loss would more than triple to an astounding 624,000.”

Lusk also spoke about tariffs and the effect it would have on consumers as a tax, saying taxes would severely negatively impact the auto industry as a whole, “When the cost of new autos rises by even the smallest amount, via regulation, tariffs, or taxes, auto dealers become concerned that those new costs will reduce sales,” he said. “Tariffs that take the form of taxes on consumers would significantly impact new car sales through higher prices, reduced demand, restricted choice, and new obstacles for customers seeking auto loans. Reasonably priced new cars keep American families safe on our roads, allowing them to travel to and from school, work, and community events. When Americans are priced out of safe, affordable transportation, those who least can afford it will be the first to suffer.”

In a move to grow his business portfolio, Marky Mark Wahlberg is breaking into the automotive world with a dealership in Columbus, Ohio. Yes, you read that correctly.  Mark Wahlberg, former teen pop idol, and current actor extraordinaire, will now be selling Chevy’s in Ohio.

The dealership is aptly named Mark Wahlberg Chevy. Wahlberg is partnering up with Jay Feldman, a veteran Chevy dealership owner who owns eight dealerships throughout southeast and mid-Michigan. He and Wahlberg began searching for their first dealership early in 2017 and the Columbus opportunity emerged later in the year.

Feldman and Wahlberg are no strangers. The pair have been friends for several years and recently became partners in a Wahlburgers restaurant in Cleveland. They are also the master franchise for the state of Georgia.

The Fighter actor says he’s ready to break into new industries, "I am continuously looking for ways to innovate my brand and engage in businesses I am passionate about," said Wahlberg in a press release.  "I love cars and the chance to work with an experienced, proven dealer-operator like Jay and represent an iconic brand like Chevrolet inspired me to get involved."

Owning a Chevy dealership adds to Wahlberg's portfolio of business interests that includes a movie production company, a health and wellness company, a water line with music mogul Diddy and a Wahlburgers restaurant chain that is currently franchised throughout 14 U.S. states and Canada.

"The Wahlberg brand is all about Americana," said Feldman. "Joining forces to sell and service Chevrolets with the magnetic draw of the Mark Wahlberg name allows us to do something special for the state of Ohio and the greater Columbus area."

The duo plan to open additional dealerships together in the future.

For today’s story auto manufacturers are looking to track down its next generation of employees, as a key section of its workforce ages and retires. According to a recent report from MiBiz, Benteler Automotive Corp., a supplier for automakers will see 66% of the company maintenance technicians “retire out of the workforce over the next few years.”

The retiring group of about 60 employees works for automakers at various Michigan manufacturing facilities. The proposed plan to replace them is an apprenticeship program, which is a 5-year program that works in conjunction with Kalamazoo Valley Community College.

Speaking about the plan to replace the retirees, Moses, a manager at a Benteler Auto training facility said in a statement to MiBiz, “The guy I am looking for, someone else already has him…It really takes growing your own (workforce) now to have a sustainable long-term plan for the normal attrition of retirement.” The report indicates using the apprenticeship program used to be an auto industry norm, and is now getting more and more looks as top talent can be difficult to find.