I Dare You…

For some of you this isn’t going to be pleasant. Or at least it may not be if you do what I’m going to suggest.

Regardless of your position in the dealership, owner, new car manager, BDC manager, used car manager or even if you’re not a manager, go click on your website… right now, yes right now go look at your website.

Even if you think your website looks great, I dare you to go look at it. (Don’t be chicken.)

Click on the used car section and tell me what you see. Take it a step further and scroll through a few used cars…keep scrolling…

1. How many photos per car do you see?
2. How many lousy pictures do you see?
3. How many are taken outside?
4. How many have shadows?
5. How many have a factory photo?
6. How many have no photo?
7. How many don’t have a price?

Depending on what you just looked at there’s a good chance you are saying, “What the heck are we doing? No wonder we’re not selling enough used cars. No wonder we’re not making much gross per car.”

Can we all agree that somewhere between 80 and 90% of all customers who shop for used cars look on the Internet? If that’s even close, how do you think you’re gonna drive traffic with photos that look like what you’ve just viewed? (Did you see any with snow on them?)

The concept of a photo booth has been around for years now. Progressive organizations that understand the real world have a photo booth.

You won’t come close to maximizing your sales until you maximize your exposure. You will never maximize your exposure by taking photos outside.

I’m exposing you by daring you to look at your website. If you don’t like what you see, then fix it. That’s all I’m gonna say. Tommy Gibbs

Things Come In Threes

In 1983, against long odds, Jim Valvano led his underdog NC State Wolfpack basketball team to the NCAA basketball championship. He’s also very much remembered for his inspirational 1993 ESPY Awards speech given just eight weeks before he died of cancer.

His motto was, “Don’t Give Up . . . Don’t Ever Give Up.” In that speech he said there are three things we should do every day:

1. Laugh.
2. Think. You should spend some time in thought.
3. Cry. You should have your emotions moved to tears, could be happiness or joy.

His point was if you laugh, you think, and you cry, that’s a full day.

Matthew McConaughey won the best actor award at the Oscars this past week. He said he needs three things in his life to survive:

1. Someone to look up to. I would also suggest you need someone to look up to. It might be God, someone in your family, business or someone who’s mentored you.

2. Someone to look forward to. In his case, and yours as well, he looks forward to his family. What do you have going on in your life that you look forward to? Is it accomplishing the next great challenge?

3. Someone to chase. He chases his hero. He said he was chasing himself in 10 year increments. That too makes sense. We all need something or someone to chase. Being in the chase makes us better.

Laughing, thinking, crying, having someone to look up to, something to look forward to and something to chase is what fuels the passion of life. That’s all I’m gonna say, Tommy Gibbs

60 Day Losses

I’m gritting my teeth as I write this. I really am. Some of you are still struggling with the 60 day concept. I guess talking about 45 days isn’t going to win any friends and influence my enemies, so I’m going to just chat about 60 days.

I’m always concerned when I’m teaching a workshop that those in attendance may think when I’m talking about 60 days that I’m saying that they need to dump cars at 60, take the losses and move on.

I’m gonna scream this so get ready. I’M NOT TALKING ABOUT DUMPING A BUNCH OF CARS AT 60 AND LOSING MONEY. Will you have to dump a few at 60? Yes, but darn few. (Especially if you follow my “Life Cycle Management Process.”)

I’m taking about finding a retail buyer before we even get to 60.

Do you think keeping it past 60 is really going to help your situation? Do you thinking keeping them past 60 days is gonna help your average gross profit? Do you think you’re gonna have a great ROI after 60 days? Do you think you need to keep it because you can’t replace it? What I wanna know is, what are you thinking?

I’ll tell you what I’m thinking. I’m thinking I’m hoping that you will one day change your thinking. That’s all I’m gonna say, Tommy Gibbs

The 12 Burdens (Opportunities) Of Leadership

Evan Longoria is an all-star third baseman for the Tampa Bay Rays. Having been an excellent player for a number of years he has become their leader both on and off the field.

In a recent article he and manager Joe Maddon discussed some of the burdens Evan faces as the leader of the team. I’ve never thought of leadership as carrying burdens; I’d rather think of it as the opportunities of leadership:

1. Being up when you are down.
2. Picking others up when they are down.
3. Doing the right thing when it’s easy to do the wrong thing.
4. Being respectful when your instinct is to do the opposite.
5. Getting after it when you feel drained.
6. Making changes when staying the course is comfortable.
7. Doing what you have asked others to do.
8. Speaking softly when you’d rather make a lot of noise.
9. Making a lot of noise when you’d rather speak softly.
10. Showing up early when you know you can come in late.
11. Making tough decisions that others can’t and won’t make.
12. Delegating authority so others may learn and grow.

What great opportunities you have as a leader. That’s all I’m gonna say, Tommy Gibbs

Do You Know Where Your Children Are?

If you have children, I’m thinking it’s a safe bet to say that when they were small you always knew where they were. I would further bet that if they weren’t with you that you knew who they were with.

Not only did you know who they were with, but you knew what clothes they had on and you knew what they had to eat for their last meal. If they had a booboo on their finger you applied a band aide and checked it regularly.

I’m appalled at how many used car managers don’t actually know where their children (used cars) are, let alone know what they are wearing.

Often when I’m reviewing inventory with a used car manager I’ll ask them to tell me about certain cars in their inventory.

On some of the cars I’ll ask them where is it? They will say “It’s in the inventory.” No, I’ll say, “Where is it? Where is it parked?” Typical comments, “I’m not sure”, “I think it’s out back”, “I think it’s in the service department”, “I think it’s in clean up”, “I think someone is driving it”, “I think it’s sold.”

Grab this, grab it fast. You’re not being paid to think. You’re being paid to know. The great used car managers know where every car is every moment of its life with their store.

The great used car managers know where all their children are regardless if they have a 40 car inventory or a 400 car inventory.

They just know. You wanna know why they know? They know because they care. They know because they are great parents. They know because the more they know about where their children are, the more they can protect them.

They can protect them from the evils of the world such as becoming aged, poor ROI, and slow turn. Let the parenting begin. That’s all I’m gonna say, Tommy Gibbs

Skiing On The Edge

I was watching the downhill skiing at the Olympics this past week and couldn’t help but notice that as the skiers went through the corners how much they were actually on the edge of the skis. Being on the edge of the skis is what gives them speed. Being on the edge is what gives them the edge.

In your business being on the edge gives you speed. If you are going to have the “speed edge” you cannot have fear. Having the fear of being on the edge is what may be holding you back.

When you ski on the edge you’re going to fall. It’s hard to tell how far you can go until you fall once in a while. Falling helps you find the “real edge.” Finding the “real edge,” is what makes you better and actually gives you the edge.

Not being on the edge is skiing on the flat part of the ski. Being on the flat part of the ski slows you down. Are you skiing on the flat part of success?

Every once in a while you need to let it hang out on the edge. Let the skiing on the edge begin. That’s all I’m gonna say, Tommy Gibbs

Controlling The Controllable

Odd as it may seem, we often put a lot of energy and wasted effort into trying to control the things we don’t have control over and miss a real opportunity to control the things we can control.

I often like to compare the car business to the coaching field. Coaches never have total control over the game, but they do have control over the things they do to prepare for the game. You can take control by preparing the team.

Great coaches study the game 24/7/365. If you don’t live, eat and sleep the car business, then you will never be able to control what you can control.

Successful coaches understand that to control the game they have to teach the game. They make an investment in time and resources to ensure the team understands the plan and how best to execute it.

Your mission as a coach is to create an ongoing environment that demonstrates you are committed to training and developing your staff at all levels; “Controlling what you can control.”

You cannot control the price of gas, the stock market or the world economy. You can control the speed by which you turn your used car inventory.

Knowing and understanding the necessity of utilizing speed to control your inventory is a major step toward controlling what you can control. That’s all I’m gonna say, Tommy Gibbs

Are You Pushing It?

This video clip shows people really pushing it. Pushing it to the next level. They are pushing it to the extreme. What about you? Are you pushing it? Are you even close to pushing it to the extreme? Are you satisfied with the status quo?

When you come to work each day, is it the same old same old? If it is the same old same old, have you looked in the mirror lately or are you blaming others for “it” not getting pushed?

I send you these emails to help push you along. The reality is you’re the one that needs to do the pushing. Start pushing, that’s all I’m gonna say, Tommy Gibbs

Video-People Pushing It

Used Car Stress

“A psychologist walked around a room while teaching stress management to an audience. As she raised a glass of water, everyone expected they’d be asked the “half empty or half full” question.

Instead, with a smile on her face, she inquired: “How heavy is this glass of water?” Answers called out ranged from 8 oz. to 20 oz. She replied, “The absolute weight doesn’t matter. It depends on how long I hold it. If I hold it for a minute, it’s not a problem. If I hold it for an hour, I’ll have an ache in my arm. If I hold it for a day, my arm will feel numb and paralyzed. In each case, the weight of the glass doesn’t change, but the longer I hold it, the heavier it becomes.”

She continued, “The stresses and worries in life are like that glass of water. Think about them for a while and nothing happens. Think about them a bit longer and they begin to hurt. And if you think about them all day long, you will feel paralyzed – incapable of doing anything.” Remember to put the glass down.” Author unknown.

Used cars are the same way. The longer you hold them the more stress they create. Even your worst decision becomes lighter when you unload it early.

There are dealers around the country with a lot of stress in their used car department. Either the Dealer, the GM, the General Sales Manager or Used Car Manager has decided they can deal with the stress. Maybe they can “deal with it.” But, dealing with it at what cost?

How much money is it costing them? If you extracted the water out of your inventory and subtracted it from your bottom line, how good would you really look?

Some of you are sitting there kinda smug thinking, “Not a problem at my store, we don’t have aged units.” You know what I’m thinking? I’m thinking you are darn smart and I’m really, really proud of you.

For those who aren’t feeling all smug. Enjoy your stress. You earn it one day at a time. That’s all I’m gonna say, Tommy Gibbs

Warning From New Orleans

I’m writing this from New Orleans at the NADA Convention. I was also here in 2009 and it’s a much different environment this week than it was back then. To say the dealers were depressed in 2009 is an understatement. Everything I’ve seen thus far at the convention is optimistic almost to a fault.

Many dealers are coming off an all time record profit year and optimism has never been higher. It’s easy to become complacent and have a certain amount of self-assured confidence that you are a rock star, on a roll, and you can do no wrong.

It’s a fact that dealers make the most money when they are coming off of tough times. The reason for that is pretty simple. When things are tough, dealers get back to the basics and grinding it out. As business gets better, they are in a great position to make a lot of money because they have cut all the fat out.

But the better and better business gets, dealers tend to add this and that to the expense line and get further and further away from the basics.

I know you’re a “Smart Leader” because you read my stuff. And because you’re a “Smart Leader,” you know that to get to 4 to 6% net to sales you need to continue to evaluate everything you are doing, every dime you are spending, and every process “you think” you have in place.

Are you as efficient as you can be? That’s all I’m gonna ask, Tommy Gibbs