CDK's purchase of Auto/Mate may create a major disruption in the dealer management system (DMS) industry. Here is our take. DOWNLOAD
I hated spoon deals.
Spoon deals can do some great… and really crappy things inside a sales department. Sales people rightfully love to be handed a done deal; it basically means free money! There is a downside to these deals though, they can promote laziness, unnecessarily increase expenses and can start bad feelings inside the department as managers tend to pick favorites because of friendships and then unfairly distribute the free deals.
Here is one way we found to keep the positive and rid ourselves of the negative effects of spoon deals.
Get all your managers to together and determine qualifications that they feel a sales person must have before they turn a family member to them. This may include things like being knowledgeable with the product, be good with people etc. Find ways to make these qualifications measurable such as pass off the product tests, have a minimum CSI score of X etc.
With a complete list of measurable qualifiers we went to the sales team and let them know what they had to achieve to “qualify” for spoon deals. This insured that there was a push for certification and CSI. Then each month you would rank your sales team on other measurable goals (based on your stores culture.) The ranking could be determined by sales volume in the prior month, the winner of the walk around contest or the amount of perfect scores received on the prior months CSI surveys. Once the sales people are ranked place them in order on a white board. Managers have spoons to pass out; they always choose the top sales person on the list who is present at the store. This allows the managers to pass family and friends off to be helped by qualified sales people. By creating a “spoon board” we found we distributed the deals fairly and created some friendly competition for the matrix we were trying to reward. (in our case we ranked sales people based on highest CSI for the prior month.)
Whatever matrix the dealership decides to reward, you will find your team engaged and happier because they are no longer focused on why its unfair that Johnny always got the spoons and they never do. They will be happier and motivated, which always sells more!