There are times when a call is in order to a previous customer, but the question seems to be, "What do I need to say to the customer?"  A lot of times, a renewal call is treated like a normal touching base call to keep your name in front of the customer.  That is not the case.

The reason for a renewal call is to get them back in the store and get them thinking about a new vehicle.  There are a few steps to do to make it an effective call to the customer.

1. Look at the previous deal.  Most CRM tools will store all of the pertinant information in the system and you should know if they bought or leased, what their payment is, and maturity dates.
2. Maybe do an online evaluation of their vehicle to see if they may be in an equity situation.  We all need nice trades and they are the best source to get them.
3. Check notes and history with the customer.  Make small talk before going for the appointment.  This goes back to making great notes in the system so you can refer back to them down the road.  If their son is playing soccer, make a note of it and when you call them, you can say, "Is johnny still playing soccer?"  This will make you stand out from the other salesmen.
4. Check inventory to see if you have something like what they bought from you last time or even a possible upgrade where you think you can keep their payment close to what they are paying now.

After this quick evaluation, call them.  The number one goal is to get them in to discuss options with them.  Once you get them in, go from step one of the sales process and qualify them in what they may want or need and go from there.  Get these calls done early in the month as people do tend to get busier as the month goes on.

There are times when a call is in order to a previous customer, but the question seems to be, "What do I need to say to the customer?"  A lot of times, a renewal call is treated like a normal touching base call to keep your name in front of the customer.  That is not the case.

The reason for a renewal call is to get them back in the store and get them thinking about a new vehicle.  There are a few steps to do to make it an effective call to the customer.

1. Look at the previous deal.  Most CRM tools will store all of the pertinant information in the system and you should know if they bought or leased, what their payment is, and maturity dates.
2. Maybe do an online evaluation of their vehicle to see if they may be in an equity situation.  We all need nice trades and they are the best source to get them.
3. Check notes and history with the customer.  Make small talk before going for the appointment.  This goes back to making great notes in the system so you can refer back to them down the road.  If their son is playing soccer, make a note of it and when you call them, you can say, "Is johnny still playing soccer?"  This will make you stand out from the other salesmen.
4. Check inventory to see if you have something like what they bought from you last time or even a possible upgrade where you think you can keep their payment close to what they are paying now.

After this quick evaluation, call them.  The number one goal is to get them in to discuss options with them.  Once you get them in, go from step one of the sales process and qualify them in what they may want or need and go from there.  Get these calls done early in the month as people do tend to get busier as the month goes on.

Here we are at the beginning of a new month.  We are all employed for another 30 days.  Whew!There is a myth in the autobusiness that the best car deals are at the end of the month.  I know from personal experience as a sales manager for several years, this can be so true and the general public knows it.  I got to thinking this past week in how are the deals from the first part of the month different from the last part of the month.  Why do we as sales managers pass on a deal that we will take a the end of the month?  One word comes to mind and that is goals.  Should they be different?  No.  They should be worked the same 100% of the time.  No matter how big or how small the profit is, move the metal and gain the customer no matter what part of the month it is.

In 2009 as a dealership, we missed getting the prestigeous Honda President's Award by a mere 18 units for the year.  If we would not have passed on the few deals that we did early on in the month, we probably would have gotten our award.  We as managers think to ourselves that we have a gem (whether new or used) on our lot and think, we can make more money than the customer is offering, so I will pass on this one and make it up on the next one.  We have to change that mindset and even if it is a little shorter deal than we would like, take it now, make a customer, and hope that they keep coming back for service, repeat sales, and referrals from that customer.  We can replace metal, but not a customer

My 2 cents is no matter how big or small the profit is, no matter what part of the month it is, move the unit and invest that money in something else and gain a customer now, earn their business in service and parts, and ask them for the referral.  If you don't have a referral program in place, get one and give the customer some money for sending in prospects.  The best form of advertising is word of mouth and if a customer in the beginning of the month doesn't get 'the deal' in the beginning of the month, they may tell all of their friends verbally and via social networking.

Here we are at the beginning of a new month.  We are all employed for another 30 days.  Whew!There is a myth in the autobusiness that the best car deals are at the end of the month.  I know from personal experience as a sales manager for several years, this can be so true and the general public knows it.  I got to thinking this past week in how are the deals from the first part of the month different from the last part of the month.  Why do we as sales managers pass on a deal that we will take a the end of the month?  One word comes to mind and that is goals.  Should they be different?  No.  They should be worked the same 100% of the time.  No matter how big or how small the profit is, move the metal and gain the customer no matter what part of the month it is.

In 2009 as a dealership, we missed getting the prestigeous Honda President's Award by a mere 18 units for the year.  If we would not have passed on the few deals that we did early on in the month, we probably would have gotten our award.  We as managers think to ourselves that we have a gem (whether new or used) on our lot and think, we can make more money than the customer is offering, so I will pass on this one and make it up on the next one.  We have to change that mindset and even if it is a little shorter deal than we would like, take it now, make a customer, and hope that they keep coming back for service, repeat sales, and referrals from that customer.  We can replace metal, but not a customer

My 2 cents is no matter how big or small the profit is, no matter what part of the month it is, move the unit and invest that money in something else and gain a customer now, earn their business in service and parts, and ask them for the referral.  If you don't have a referral program in place, get one and give the customer some money for sending in prospects.  The best form of advertising is word of mouth and if a customer in the beginning of the month doesn't get 'the deal' in the beginning of the month, they may tell all of their friends verbally and via social networking.

Phone ups are getting to be a key in the automotive business. The internet has changed our environment dramatically as customers used to visit at least 4-5 dealerships and that number has dwindled down to under 2 dealership visits before making a decision on a new vehicle. Also, call volume is trending down as dealers are being more transparent with options/equipment, carfaxes, and more photos of vehicles on the websites. We have to be sharp on the phone and also stand out.

I was walking through the showroom yesterday, and heard a salesman on the phone calling a customer that had inquired on a vehicle over the phone. He hadn't set the appointment, but he followed up with the customer the next day just to say thanks for the interest in the vehicle and he was there if they had any further questions. I have another salesman that will do a reverse look up on the phone number and not only follow up with them on the phone, but will also send them a postcard. I will guarantee there isn't any salesman in town that is doing that. This is all why he is as successful as he is in what he does.

Too many times, if a salesman doesn't set an appointment on the first incoming call, the customer goes to the side and is never followed up again. I have no idea of what that statistic is, but I am sure it is high.

To stand out, we have to ask the right questions and open that customer up to the whole inventory, not just that vehicle that they called in on. We have to listen to the customer in their needs and wants. If they call in on a 2 door smaller car and they said that they have 3 kids, that might not be the right vehicle for them if they are replacing a vehicle. We have to be there to be an advisor, not just a salesman.

Here are a few tips to make you better than the next guy the customer calls:

1. Get a name. Too many calls are going without asking for the customer's name.
2. Get their best contact info. Most dealers have caller id and use it. Mr. Customer, is this 555-555-5555 the best number to reach you at?
3. Open them up to your whole inventory. How many times have you listened to a phone call and they ask if the 1999 Honda Civic is available and you say no and they hang up right away? Are you specifically looking for that car, or something that gets great gas mileage at a great price?
4. Get their email. Make yourself stand out and do a quick 2 minute walk-around on the vehicle and send it to them. Make yourself stand out from the rest.
5. ASK FOR THE APPOINTMENT! Too many salespeople are scared to ask for it.
6. Give them your name and have them write it down. How many times did a customer that you didn't get logged in the CRM for some reason just come in and didn't ask for you and bought from your coworker?
7. Log them in the CRM! Protect yourself. Put in good notes. If you didn't make an appointment, call them back the next day and put them in your normal follow up routine.

So what are you doing to make yourself stand out?

Phone ups are getting to be a key in the automotive business. The internet has changed our environment dramatically as customers used to visit at least 4-5 dealerships and that number has dwindled down to under 2 dealership visits before making a decision on a new vehicle. Also, call volume is trending down as dealers are being more transparent with options/equipment, carfaxes, and more photos of vehicles on the websites. We have to be sharp on the phone and also stand out.

I was walking through the showroom yesterday, and heard a salesman on the phone calling a customer that had inquired on a vehicle over the phone. He hadn't set the appointment, but he followed up with the customer the next day just to say thanks for the interest in the vehicle and he was there if they had any further questions. I have another salesman that will do a reverse look up on the phone number and not only follow up with them on the phone, but will also send them a postcard. I will guarantee there isn't any salesman in town that is doing that. This is all why he is as successful as he is in what he does.

Too many times, if a salesman doesn't set an appointment on the first incoming call, the customer goes to the side and is never followed up again. I have no idea of what that statistic is, but I am sure it is high.

To stand out, we have to ask the right questions and open that customer up to the whole inventory, not just that vehicle that they called in on. We have to listen to the customer in their needs and wants. If they call in on a 2 door smaller car and they said that they have 3 kids, that might not be the right vehicle for them if they are replacing a vehicle. We have to be there to be an advisor, not just a salesman.

Here are a few tips to make you better than the next guy the customer calls:

1. Get a name. Too many calls are going without asking for the customer's name.
2. Get their best contact info. Most dealers have caller id and use it. Mr. Customer, is this 555-555-5555 the best number to reach you at?
3. Open them up to your whole inventory. How many times have you listened to a phone call and they ask if the 1999 Honda Civic is available and you say no and they hang up right away? Are you specifically looking for that car, or something that gets great gas mileage at a great price?
4. Get their email. Make yourself stand out and do a quick 2 minute walk-around on the vehicle and send it to them. Make yourself stand out from the rest.
5. ASK FOR THE APPOINTMENT! Too many salespeople are scared to ask for it.
6. Give them your name and have them write it down. How many times did a customer that you didn't get logged in the CRM for some reason just come in and didn't ask for you and bought from your coworker?
7. Log them in the CRM! Protect yourself. Put in good notes. If you didn't make an appointment, call them back the next day and put them in your normal follow up routine.

So what are you doing to make yourself stand out?

Gas prices, inventory and parts shortages are going to take car sales back to the basics. We are already seeing a decrease in incentives from the manufacturers as we have started to see this month as most of the plants in the US are on limited schedules due to parts shortages coming in from Japan including some of the domestic manufacturer plants. Salespeople are going to have to get back to selling themselves, the dealership, and the product and not deep discounts and special A.P.R.'s.

Dealers won't be able to offer the discounts just due to Economics 101; the basics of supply and demand. A lot of the Honda, Toyota, and Nissan dealers are really starting to see the ripple effect that is showing in their inventory levels right now and in the coming months and will really see the effects of the earthquake in the coming months. Some of the domestic makes are starting to see it also as a result of the earthquakes. Dealers have to get creative in the coming months to stay afloat with new car inventory levels being as low as they will be. The salespeople will have to start selling out of stock more and more and not be able to rely on other dealers' inventories for dealer trades.

Fuel prices are also going to affect the used car market on used SUVs and some of the more fuel efficient vehicles. Most dealers are going to be conservative on their trade values on the 'gas guzzlers' just due to the fact that gas may be pushing $6 a gallon according to some reports. Everyone is going to want to be dumping their SUVs for something more fuel efficient to lower their outgoing cash flow. Auction acquisition costs are going to go up on all of the fuel efficient vehicles just due to the gas costs and new car inventory levels being lower than normal.

Back to sales 101. We as salespeople will have to hold our ground a little more than previous years. The supply won't be there to do dealer locates for the customer. If the customer wants a red one and all you have is pink, well, you will have to sell the benefits of the pink one that you have in stock. You wont have other dealers' inventory in your back pocket and we won't be able to offer the discounts that have been available since the factory won't be supporting us as much with factory incentives since the inventory levels will be lower than normal.

When a customer is wanting to trade their gas guzzler, they have to take everything into consideration; the total cost of ownership. I am guessing that the online trade-in tools like kbb, edmunds, and Autotrader Trade-in Market Place aren't caught up with the market with as fast as gas is going up. The customer has to realize that and take into consideration the gas savings that he or she will be getting with the new vehicle that they are looking at. Break out a spread sheet and show gas savings on paper their gas savings. Of course they know in their head they will save money, but put it on paper and it has a much stronger affect on people when they see the actual savings. In some cases, they may be able to save enough money with moving to something more efficient and keep their gas guzzler for when they need it.

If there is one thing that all of you must start doing and that is building up your used car inventory. We are not sure what 2011 will bring with regards to the production of new vehicle inventory, so in case, production is not what we will hope it is, and your used inventory will play a large part in your dealership's profitability. Be conservative on this gas guzzlers and be aggressive on the fuel efficient cars since you won't be able to buy them at auctions. Work your CRM and when you need a certain car, search your CRM and call those customers that have them and try to get them in something new that you have in stock and get that used car for your lot. Also, look at the newspaper just like the old days and also look at the online ads. Most of those people are just looking to sell their vehicle. Another option is to call other dealerships that are carrying something that you specialize in. A Ford dealer may not do well with Chrysler product and visa versa. You also may want to consider spiffing the salespeople for tracking vehicles down for your used car inventory.

I think the coming months with shortage of inventory is going to bring the cream to the top in sales professionals and dealerships. The salespeople that are mining their database and finding their customers that are ready to trade whether they know it or not and selling the trade to the customer in front of them are going to be the successful ones. There will still be the walk in traffic, but they will have to work hard through the inventory issues and get their selling shoes on. Sales Managers will have to count on the most successful salespeople to get the inventory they need. Now is the time to make it happen.  Sell yourself, the dealership, and what you have in stock.

Gas prices, inventory and parts shortages are going to take car sales back to the basics. We are already seeing a decrease in incentives from the manufacturers as we have started to see this month as most of the plants in the US are on limited schedules due to parts shortages coming in from Japan including some of the domestic manufacturer plants. Salespeople are going to have to get back to selling themselves, the dealership, and the product and not deep discounts and special A.P.R.'s.

Dealers won't be able to offer the discounts just due to Economics 101; the basics of supply and demand. A lot of the Honda, Toyota, and Nissan dealers are really starting to see the ripple effect that is showing in their inventory levels right now and in the coming months and will really see the effects of the earthquake in the coming months. Some of the domestic makes are starting to see it also as a result of the earthquakes. Dealers have to get creative in the coming months to stay afloat with new car inventory levels being as low as they will be. The salespeople will have to start selling out of stock more and more and not be able to rely on other dealers' inventories for dealer trades.

Fuel prices are also going to affect the used car market on used SUVs and some of the more fuel efficient vehicles. Most dealers are going to be conservative on their trade values on the 'gas guzzlers' just due to the fact that gas may be pushing $6 a gallon according to some reports. Everyone is going to want to be dumping their SUVs for something more fuel efficient to lower their outgoing cash flow. Auction acquisition costs are going to go up on all of the fuel efficient vehicles just due to the gas costs and new car inventory levels being lower than normal.

Back to sales 101. We as salespeople will have to hold our ground a little more than previous years. The supply won't be there to do dealer locates for the customer. If the customer wants a red one and all you have is pink, well, you will have to sell the benefits of the pink one that you have in stock. You wont have other dealers' inventory in your back pocket and we won't be able to offer the discounts that have been available since the factory won't be supporting us as much with factory incentives since the inventory levels will be lower than normal.

When a customer is wanting to trade their gas guzzler, they have to take everything into consideration; the total cost of ownership. I am guessing that the online trade-in tools like kbb, edmunds, and Autotrader Trade-in Market Place aren't caught up with the market with as fast as gas is going up. The customer has to realize that and take into consideration the gas savings that he or she will be getting with the new vehicle that they are looking at. Break out a spread sheet and show gas savings on paper their gas savings. Of course they know in their head they will save money, but put it on paper and it has a much stronger affect on people when they see the actual savings. In some cases, they may be able to save enough money with moving to something more efficient and keep their gas guzzler for when they need it.

If there is one thing that all of you must start doing and that is building up your used car inventory. We are not sure what 2011 will bring with regards to the production of new vehicle inventory, so in case, production is not what we will hope it is, and your used inventory will play a large part in your dealership's profitability. Be conservative on this gas guzzlers and be aggressive on the fuel efficient cars since you won't be able to buy them at auctions. Work your CRM and when you need a certain car, search your CRM and call those customers that have them and try to get them in something new that you have in stock and get that used car for your lot. Also, look at the newspaper just like the old days and also look at the online ads. Most of those people are just looking to sell their vehicle. Another option is to call other dealerships that are carrying something that you specialize in. A Ford dealer may not do well with Chrysler product and visa versa. You also may want to consider spiffing the salespeople for tracking vehicles down for your used car inventory.

I think the coming months with shortage of inventory is going to bring the cream to the top in sales professionals and dealerships. The salespeople that are mining their database and finding their customers that are ready to trade whether they know it or not and selling the trade to the customer in front of them are going to be the successful ones. There will still be the walk in traffic, but they will have to work hard through the inventory issues and get their selling shoes on. Sales Managers will have to count on the most successful salespeople to get the inventory they need. Now is the time to make it happen.  Sell yourself, the dealership, and what you have in stock.

I had the opportunity to demo the new product that ResponseLogix released yesterday.  They have made some major improvements to the quote templates that they have had in place.  The email quotes that were being sent were in HTML format and are now going to what I would consider a micro site just for the customer.  It is also in a format where it is more user-friendly and has some more trackable capabilities to it. There are 5 sections to the email quote that is sent.

In the first section of the email that is sent is a personalized message from thedealership.  Along with the message, on the side, are links back to the dealership website for service appointment, credit application, online trade appraisal, specials, request another quote, and visit our website.

 In the second section, which has the quote itself on the particular vehicle that was requested, you can incorporate the window sticker itself along with the EPA portion of the window sticker.

The third portion incorporates the Truecar Price Report. It is like being on the site itselfand looking at where the dealer is priced at according to it. This feature can be turned on and off if you are priced above the market on any particular vehicle, which is a great option for dealers.

The forth section includes other options. You can choose one level up and one level down for a new car. For used cars, you can add up to four other comparable vehicles that you have in stock.

In the fifth section is the signature of the representative from the dealership. They do put a tracking number that is assigned to that particular lead to track analytics to make sure that there is dialogue with the customer and the salesperson.

The other portion is tracking. When the lead comes in, ResponseLogix will scrub the customer's phone number and assign a toll free number with an extension to track the phone calls. It will allow for tracking of the customer contact and falls in an analytics tool that managers have access to.

There is another component to the system where it will do certain emails to the customer if there is no contact in 72 hours or however you want to set it up. It will also send out an email after 14 days or however you want to set it up and it is like a survey type email. Are you still in the market, do you want to set up a test drive, etc.

There is one last portion and that is if the customer opens the lead and goes away from the email and goes to a site that has banner ads or tower ads, they somehow cookie the user. When they hit say CNN.com, there will be the car on the side of the page, click here to schedule your test drive. It then links back to your site.

I really feel this is a product that will take things to the next level for dealerships across the nation.

I had the opportunity to demo the new product that ResponseLogix released yesterday.  They have made some major improvements to the quote templates that they have had in place.  The email quotes that were being sent were in HTML format and are now going to what I would consider a micro site just for the customer.  It is also in a format where it is more user-friendly and has some more trackable capabilities to it. There are 5 sections to the email quote that is sent.

In the first section of the email that is sent is a personalized message from thedealership.  Along with the message, on the side, are links back to the dealership website for service appointment, credit application, online trade appraisal, specials, request another quote, and visit our website.

 In the second section, which has the quote itself on the particular vehicle that was requested, you can incorporate the window sticker itself along with the EPA portion of the window sticker.

The third portion incorporates the Truecar Price Report. It is like being on the site itselfand looking at where the dealer is priced at according to it. This feature can be turned on and off if you are priced above the market on any particular vehicle, which is a great option for dealers.

The forth section includes other options. You can choose one level up and one level down for a new car. For used cars, you can add up to four other comparable vehicles that you have in stock.

In the fifth section is the signature of the representative from the dealership. They do put a tracking number that is assigned to that particular lead to track analytics to make sure that there is dialogue with the customer and the salesperson.

The other portion is tracking. When the lead comes in, ResponseLogix will scrub the customer's phone number and assign a toll free number with an extension to track the phone calls. It will allow for tracking of the customer contact and falls in an analytics tool that managers have access to.

There is another component to the system where it will do certain emails to the customer if there is no contact in 72 hours or however you want to set it up. It will also send out an email after 14 days or however you want to set it up and it is like a survey type email. Are you still in the market, do you want to set up a test drive, etc.

There is one last portion and that is if the customer opens the lead and goes away from the email and goes to a site that has banner ads or tower ads, they somehow cookie the user. When they hit say CNN.com, there will be the car on the side of the page, click here to schedule your test drive. It then links back to your site.

I really feel this is a product that will take things to the next level for dealerships across the nation.