Let’s get something straight.

A used car is not a spreadsheet.

It’s not a formula.

It’s not a clean data set.

And it sure as hell isn’t the same as the one parked next to it.

Every used car is one of a kind.

Same year. Same make. Same model. Same mileage.

And still… completely different cars.

Why?

Because cars live different lives.

One was owned by a neat freak who serviced it like clockwork.

Another was driven hard, skipped oil changes, and cleaned only when it rained.

And yet…

we’ve got dealers pricing them like they’re identical.

The Software Trap

Now let me say this upfront…

I’m in the software business.

I believe in it. I use it. I sell it.

Good software is powerful. It gives you data, speed, and consistency.

But here’s the problem…

Too many dealers have turned software into a crutch instead of a tool.

They plug in the VIN.

They look at the number.

And they stop thinking.

That’s where the money gets left on the table.

You Can’t Download Experience

No software can:

• Feel how a transmission shifts
• See the difference between “clean” and “exceptional”
• Smell smoke, pets, or neglect
• Recognize pride of ownership
• Have that good old “street savvy”

That only comes from you.

Your experience.

Your judgment.

Your time in the trenches.

You’re the one standing in front of the car.

You’re the one who decides:

“Is this rough, average… or is this special?”

Common Sense Still Wins

Here’s the truth most people don’t want to admit:

Data doesn’t price cars.

People do.

The best operators I know don’t ignore the software…

but they don’t worship it either.

They use it as a guide—then they adjust.

Up.

Down.

Or sometimes… they ignore it completely.

Because they trust what they see.

The Opportunity Most Dealers Miss

If you price every car like the market average…

You’ll get average results.

But when you recognize that a car is:

• Cleaner than the market
• Better maintained
• Harder to find
• More desirable than the comps

Now you’ve got an opportunity.

That’s where gross lives.

And it doesn’t come from software.

It comes from judgment.

Bottom Line

Software is a tool.

You are the advantage.

If you rely on the tool and ignore your instincts—you’ll underperform.

If you combine both?

Now you’re dangerous.

Final Thought

Every used car tells a story.

The question is…

Are you listening to the software?

Or are you reading the car?

You have “street smarts.” Use them. That’s all I’m gonna say, Tommy Gibbs

Absolutes build discipline.

They create clarity.

They set the standard.

But here’s the problem…

Absolutes leave no room for exceptions.

And sometimes, exceptions are necessary.

Now be careful.

Exceptions don’t just bend the rules…

they start rewriting them.

One turns into two.

Two turns into “we always do it this way.”

And before you know it, discipline is gone.

Not overnight.

Not with a bang.

Slow. Quiet. Sneaky.

Then one day you wake up and think,

“What the heck happened?”

Here’s the truth about leadership…

You can run with both absolutes and exceptions.

But only if you know what you’re doing.

Grant the exception.

Then go right back to the standard.

That’s leadership.

The problem?

Most leaders can’t pull that off.

They live in one world or the other—

Rigid… or reckless.

And at the wrong time,

both will hurt you just the same.

— That’s all I’m gonna say, Tommy Gibbs

I get the same question 15–20 times a month:

“Where can I find a good used car manager?” I’ve had 3 calls today asking that very question.

Short answer?

You probably won’t.

Think about it.

If someone is great at what they do, they’re not looking.

And if they are… there’s usually a reason.

Most of the time, when a “great” manager leaves, the truth follows them out the door.

All the inventory problems? They were always there. Now you just see them. 99% of the time the leave a hot mess in their wake.

So here’s my advice:

Stop looking outside. Start building inside.

Great leaders don’t shop for talent—they develop it.

Find someone on your team.

Strong work ethic.

Open-minded.

Tech-savvy.

A little common sense (harder to find than you think).

Then go to work.

For the next 6 months, they’re not the manager—they’re your shadow.

You move, they move. You think, they think.

First:

You do it. They watch.

Then:

They do it. You watch.

Eventually:

They do it. You step back.

And finally:

They do it… and now they’re training the next one.

That’s how real growth happens.

That’s how you scale.

When you keep bringing in people from the outside, you keep bringing people in from the outside. It’s a revolving door of insanity. That’s all I’m gonna say, Tommy Gibbs

About this time every year I make this suggestion.

I realize this may not be a fit for some of you. And yes, there are some who believe this is old school, old fashioned and outdated. But, there are some who can make this work. And if it helps someone sell a few more units, I can handle a little criticism.

Memorial Day is just a few weeks away. It’s not too soon to be thinking about putting on a Memorial Day sale.

Consider Having An Onsite Tent Sale:

1. Put the tent up as close to the road as possible. Pick the best strategic position on your lot.

2. Put tables and chairs in the tent.

3. Put ALL of your people in the tent.

4. Everybody goes in the TENT!

5. Work all deals in the TENT!

6. If at all possible, move your computers into the tent and do F&I in the TENT.

7. Hang banners from the TENT saying “TENT SALE.”

8. Promote it with Direct mail and/or with a “private invitation” only deal for Thursday before you kick off your regular ads.

9. Do anything you can to make it look like a circus.

10. Rent those jumping air things for kids.

11. Balloons and more balloons.

12. Pop Corn, Sodas, Hot Dogs.

13. Lots and lots of spiffs for your sales people and managers.

14. Do a great kick off breakfast on Thursday for your staff.

15. Don’t do it just for the sales staff; get as many of your

employees involved as you can. (Feed everybody lunch every day of the event as well.)

16. Send out memos and emails to all employees explaining in detail what’s going to be happening.

17. Rope off special parking for customers. Hire an off duty police officer or security guard to direct them.

18. Answer the phone XYZ Dealership Tent Sale in Progress.

19. Do a fundraiser at the same time for the local little league or whatever.

20. Post the event on your website.

21. Do an email blast to all your customers advising them of the sale. If your CRM system is sophisticated enough make sure you tell them you need their specific trade and will pay top dollar for it during the sale.

22. Giveaways generally don’t do much except cause people to show up to get their gift and leave, but having people register for a free car is a good way to get info on them when they show up. Pick out a $1000 or $2000 car and give it away.

23. Along that same line, give the salesman who registers the winning ticket some sort of prize. Gift card, $200, whatever floats your boat.

24. Make up a bunch of signs like real estate signs that say “Tent Sale in Progress” and put along the grass in front of the dealership.

25. If you’re close to the interstate do some signs with arrows and put them up close to the ramp. (Oh come on, the worst that can happen is they make you take them down.)

26. Rent a chicken suit or some kind of character and have them walk up and down in front of the Dealership with a placard that says “Tent Sale in Progress.”

It’s not complicated and it’s not expensive. You just have to be creative. Get some of your key people together and throw some ideas around.

That’s all I’m gonna say, Tommy Gibbs

Don’t you hate hearing…

“We’ve always done it that way”?

Here’s the truth—

Most dealers don’t say it.

They just do it.

They stack fees.

They bury charges.

They advertise one price… and deliver another.

Let me ask you something—

Would you want your mother, your father, a relative or close friend

walking into your store…

Thinking they’re paying one price…the one they saw on your website

…and getting hit with another?

Come on. You know the answer.

And now the Federal Trade Commission is stepping in.

No more games.

What you show as a price…better be what you sell it at.

Some of you are going to test the system.

Some of your are going to try and figure another way.

Some of your are going to get fined a bunch of money and wonder what the heck happened.

Some of your are smarter than that. Some of you have already made the move. Nobody had to tell you or force you to do the right thing.

Now we get back to real selling.

Sell the value of you.

Sell the value of your product.

Sell the value of your dealership.

Earn the trust.

Sell more cars the old fashion way. Because you earned it.

Funny how that works. That’s all I’m gonna say, Tommy Gibbs

Human nature is funny. When things aren’t going well, people like to complain and blame someone for their inefficiencies.

Want to know the number one complaint I hear from sales managers when I’m in dealerships?

You already know the answer.
The service department.

Sometimes they say it quietly. Sometimes they say it loudly. Usually they say it and then apologize for saying it.

Early in my career my attitude was simple:
“Stop complaining. Go to work. Control what you can control because it’s not going to change.”

Well, I’m here to tell you something.
It does need to change.
And it needs to change sooner rather than later.

Historically, dealers charged full retail from service to the used car department for the same reason they implemented packs. Sales managers worked from cost up, and that system worked very well for a long time.

But times change.

Whether people want to admit it or not, over the years the used car department has become an easy mark for the service department. And here’s a fact people don’t talk about enough: the hours per RO on a used car ticket versus a customer pay ticket is more than double.

But it’s not just the cost.
It’s the time.
It’s the speed.
Or more accurately… the lack of speed.

Almost everyone in our business today understands how crucial speed is to success. The lack of speed and efficiency in your service department is killing your ability to do volume and make the money you’re capable of making.

Creating speed and becoming more efficient should be your number one priority as you move into the selling season.

I like relating our business to sports. Pick any sport. Today’s athletes are bigger, faster, and better conditioned than ever before. The game didn’t slow down — it sped up. And the teams that couldn’t keep up disappeared.

With shrinking margins, the car business is no different.
You have to get bigger — sell more cars.
And you have to get faster — turn cars quicker and operate more efficiently.

Everyone today talks about making the customer experience easier, better, and faster. That’s great. But even if you improve the selling process, you will never reach your full potential until you fix the time and cost it takes to get a used car to the front line.

I’ve said it before and I’ll say it again.
The best thing about being a dealer or owner/operator is this:

You have the power.
You have the power to fix whatever you want to fix.

That’s all I’m gonna say.

— Tommy Gibbs

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CHAMPIONSHIP TEAMS DON’E KEEP UNDER PERFORMERS

In business, we love to say our team is family.

Sometimes they actually are family, but even when they aren’t, we still like to think of it that way. It makes everyone feel good. It creates a nice culture. Warm and fuzzy.

And if you interview any championship sports team, they’ll say the same thing.

They’ll tell you they love each other. They’ll tell you they’re family. They’ll talk about chemistry and culture and how much they care about each other.

But here’s the difference.

If someone on that team doesn’t perform, they’re off the team.

No hard feelings. No long speeches. No “but he’s been with us a long time.”

They are paid to perform, and if they don’t perform, they are replaced.

In business, we often keep people who don’t perform because they’re “family.”

We tolerate things we shouldn’t tolerate.

We lower standards we shouldn’t lower.

We carry people we shouldn’t carry.

You can love people, care about people, and still have standards.

Championship teams love each other — but they also hold each other accountable.

Good thing you aren’t running a sports franchise.

That’s all I’m gonna say, Tommy Gibbs

You’re looking for more and better salespeople. You’re looking for more and better used cars and trucks for your inventory.

The reality is, there is no simple fix for either one of these problems.

If you think hiring a rock star buyer will solve your inventory problems, you may actually make them worse. If you think hiring a full-time trainer or recruiter will suddenly fix your staffing problems, that probably won’t work out the way you think either.

Of the two, the recruiter/trainer will probably help more than the buyer. But make no mistake — these are the two toughest problems facing automobile dealers, and there is no magic solution where you flip a switch and it’s done.

Finding great people is a full-time, never-ending job. Just like coaching. Great coaches are always scouting and recruiting. If you’re waiting for the perfect ad to bring you your next superstar, you may be waiting a long time.

If you’re counting on the next job fair to deliver ten future sales stars, you’re in for a very long day.

It doesn’t work that way.

If you only hire when you “need” people, you will never find the people you need.

You and your managers should be recruiting every day — your customers, the salesperson at a retail store, your neighbor, the waiter at lunch, the enthusiastic hostess at a restaurant. One of the best General Managers I know started out working at Wendy’s.

I like college graduates, not so much for what they learned, but because they proved they can stick to something. But many of them don’t see selling cars as a step up. The real opportunity is often with the person who feels like they missed the boat and is looking for their big chance. Someone with a year or two of college, maybe a sports background — someone who knows how to get knocked down and get back up.

Now let’s talk about inventory.

Finding used cars is the same story. There is no single source that will solve your inventory problem. Trades, service customers, mining your database, auctions, online auctions, for-sale-by-owner, street purchases — you have to leave no stone unturned.

But here’s the big mistake dealers make:

They only look for cars when they need cars.

When you do that, you end up buying a lot of cars you don’t need.

Finding people and finding inventory are not events.

They are daily disciplines.

When you dabble in hiring and buying only when you’re desperate, it’s like plowing a field uphill with a mule. But when the entire management team accepts that recruiting people and sourcing inventory is part of their everyday job, your odds of success go way up.

It still won’t be easy.

Everybody wants easy.

It’s never been easy.

It will never be easy.

Stop looking for easy.

Start looking for people.

Start looking for used cars and trucks.

That’s all I’m gonna say, Tommy Gibbs

You Can’t Lead a Dead Organization

Great leaders have their thumb on the pulse of the organization.

Because without a pulse, the organization dies.

If you want to improve your leadership, you must know the pulse of your business — the people, the problems, the energy, the attitude, the momentum. You don’t learn that sitting in your office. You learn that by being in the middle of the action.

You have to see it.

You have to hear it.

You have to feel it.

To feel the pulse, you have to feel the passion.

And if you’re not feeling the passion, your pulse might be dead.

And if your pulse is dead, you can’t expect the organization to be alive.

Maybe you’re burned out.

But let me ask you a question…

How can you be burned out if you were never on fire to begin with?

You are responsible for your own fire.

Nobody else.

You don’t wait for motivation.

You don’t wait for the market.

You don’t wait for your team.

You light your own match.

And when the leader catches fire, the organization warms up pretty fast.

Real leaders have a pulse.

Real leaders feel the pulse.

Real leaders create the pulse.

Hope you’re on fire.

That’s all I’m gonna say— Tommy Gibbs

The biggest problem with the used car business?

There are no absolutes.

I constantly get questions that start with “What if…”

You know the ones:

“What if you’ve got a one-year-old truck with 15,000 miles and you over-appraised it and now you’ve got $50,000 in it?”

My answer usually sounds evasive — because it has to be.

There isn’t one answer.

My opinion on that unit today might be completely different three days from now. The market changes. The data changes. The buyers change. Every unit is different, and every day is different.

At some point, you have to trust your judgment.

Make a decision.
Execute it.
Move on.

I always tell managers: don’t second-guess yourself — but you should second-educate yourself.

Experience is tuition.
You learn by doing.
You learn by missing.

Make mistakes. Just don’t keep making the same mistakes.

And even when you do miss?

Sell it. Move on. It’s short-term inventory, not a family heirloom.

If you’re chasing perfection in the used car business, you might want to reconsider your career. Nothing here is ever perfect.

Better? Yes.
Perfect? Never.

Get over yourself and get back to work.

When I was growing up, basketball players who took a lot of shots were called gunners. They shot and shot and shot again. They also scored the most — because they weren’t afraid to miss.

A bad night didn’t stop them.
They went back to the gym and shot more the next day.

That’s this business.

Take your shots.
Improve your touch.
Stop searching for absolute answers to “What if.”

Because remember…

What if a bullfrog had wings?

He wouldn’t bump his ass every time he jumped.

That’s all I’m gonna say.

— Tommy Gibbs