Cheap Enought?

One of my favorite things to do when working with dealers is to discuss their oldest used vehicles in stock.

If the oldest unit is 55 days old or 155 days old, 99.9% of the time they all have a storyline tied to them.

The conversation will often evolve to where the used car manager will say “We have it priced #1 in the market, it’s a nice car and I don’t know why it hasn’t sold.”

Some of you won’t like my response. But, my response is based on reality. And the reality is, if it’s priced #1 in the market and it still hasn’t sold…it’s not cheap enough.

We’re not talking about a fresh piece. We’re talking about your oldest unit in stock. And, it may have a flaw you failed to identify soon enough.

There’s a butt for every seat. That butt will show up when you make it cheap enough.

That’s all I’m gonna say, Tommy Gibbs

Hello Speedy

I’m not talking about turning your used cars faster. I’m talking about picking up how fast you walk. The tempo of your gait says a lot about you.

If you want to energize your team you first have to energize yourself.

If you know me, you know I’m not a very patient person. One of the things that drives me nuts is when people waddle along on a moving sidewalk.

If you’ve ever traveled through the Atlanta airport, I’m sure you’ve seen the moving sidewalks that come to an end, you get off, walk about 25 feet and get onto another one.

I was recently on one with a group walking like a buffalo herd that had just eaten a massive meal. After the exit, I decided to see if I could out-walk them on the side while they walked on the moving sidewalk. Of course, I won.

When you pick up your speed, you energize yourself. When you energize yourself, you energize your team. Speed and energy go together.

Slow walkers tend to think slow and move slow. Not only are they slow, but they are also slowing down everyone around them. By and large, they aren’t going anywhere. It’s obvious that wherever they are going isn’t important or they’d be in more of a hurry to get there.

People who walk fast want to get somewhere fast. But more than that, fast walkers are people that have high energy and are go-getters. Fast walkers are confident, courageous, and all about having a no-fuss in life.

They expect other people to keep up with them and they have a low tolerance for those not in a hurry to get things done.

They often don’t tolerate a lot of words, and if they do, they want you to spit it out fast and get on with it.

Think fast.
Talk fast.
Move fast.
Be fast.

That’s all I’m gonna say, Tommy Gibbs

You’re Not Ready-You Never Are

That’s different than not being prepared.

You’re never ready.

But, no one is ever ready for the next step.

You’re not ready for college.

You’re not ready for life.

You’re not ready for marriage.

You’re not ready for the next promotion.

You’re not ready for your next business venture.

Just because you’re not ready doesn’t mean you don’t prepare.

Not being prepared means you haven’t studied enough.

You haven’t read enough.

You haven’t sought the right mentors.

You haven’t listened enough.

You haven’t asked enough of the right questions.

You haven’t explored the Internet enough.

Not being prepared means you just haven’t done enough,

That’s all I’m gonna say, Tommy Gibbs

Who Wants The Ball?

One of my favorite basketball drills as both a player and a coach was a drill where two players are lined up, side-by-side with the coach standing in between.

They are spaced about 10 feet apart all facing in the same direction. The coach will roll the ball on the floor and on the sound of the whistle the two players will scramble to see who can come up with the ball. Floor burns on the knees and arms are guaranteed.

One of the reasons my nose is crooked is the result of hitting someone’s head while going after the ball. But, I got the ball, broken nose and all. It’s not always about talent. It’s about wanting the ball.

In sports, business, and life you’ve got to want the ball. As a leader, one of your goals should be to have people on your team that want the ball with every ounce of their souls.

Far too often we have team members, including managers, who wouldn’t dare get a floor burn. They stand there and watch the ball roll.

You will often hear them complain that nobody will give them the ball.

If you want the ball, let it be known you want it, and then go get it.

That’s all I’m gonna say, Tommy Gibbs

Why Change?

Why do we always keep changing things around here?

Why can’t we get it right?

These are questions people often ask when change happens in your organization.

Those are legitimate questions when you’re having people changes.

Changing people once in a while is part of being in business. Too frequent people changes will keep you on a roller coaster to nowhere. If you’re the leader and you’re having too many people changes, the common denominator is looking at you in the mirror.

That said, there are times when if you can’t get people to change, then you do need to change the people.

If you’re struggling when changing processes, selling systems, pay plans, procedures, etc. then it’s likely the culture needed to move you to the next level hasn’t been properly developed.

Besides establishing the right culture, the clearer you can be about the specific change you’re hoping for the more likely it is you’ll actually achieve it.

Getting buy-in is critical to enacting successful changes.

Of course, you may have the power to change anything you want, but that doesn’t mean you should always use it.

You’re not running a democracy, you’re running a business. But…

Most changes should start with a “trial balloon.” Toss it in the air with those that are going to have the greatest influence on the implementation and those who will be impacted the most.

It doesn’t mean you go with the wind.

It doesn’t mean you’re wishy-washy.

It simply means you’re figuring out how hard and how much groundwork you will need to lay in order to have the best chance for a successful change.

The most successful changes you will ever implement are when people think it was their idea.

The least successful changes you will ever attempt to make are when people think it was your idea.

When you’re through changing, you’re through.

That’s all I’m gonna say, Tommy Gibbs

Are You Mediocre?

Being able to inspire people can be complex and tricky. There are times when people in leadership positions actually un-inspire their team more than they inspire.

Even with good intentions, we often overthink whatever it is we’re trying to improve. Keeping it simple and real is always the best approach.

“A mediocre person tells. A good person explains. A superior person demonstrates. A great person inspires others to see for themselves.” Harvey Mackay.

Keeping It Simple:

1. Challenge them with reasonable objectives. Not too easy, not too hard. The key is the objectives have to be achievable. Achieved success will lead to even greater achievements.

Success breeds success. It’s great to be an optimist. It’s even greater to be a “realistic optimist.” Tossing out “pie in the sky” numbers doesn’t challenge people; it defeats them and they eventually just ignore them.

2. Show encouragement by leading from the front and pushing from the rear. Cheer and cheer some more. Sometimes you have to show them “how” and sometimes you coach them “how.” You do that by being in the “now moment.” Never miss an opportunity to coach people up.

3. Watch what you say and how you say it. Saying the right things, in the right way, at the right time can do wonders. Choose your words carefully. Remember the whole world is watching and listening to everything you say and do.

4. Show them that you care in a sincere way. It has to be real. There’s nothing more powerful than a leader that truly cares. You either care or you don’t. You can’t fake it.

I’m pulling for you. That’s all I’m gonna say, Tommy Gibbs

A Better Selling System

Finally, a new and exciting selling process is introduced. It has 6 amazing steps:

1. Sell Yourself-You can’t sell a car until you make a friend. Selling yourself can be confusing to some. It’s really very simple.

The more you take an interest in the other person the more they will like you. The more you take an interest in the other person the more you will learn about them. Some call it “fact-finding,” some call it “qualifying.” Call it what you want, but remember you don’t sell yourself by talking about yourself. You sell yourself by asking the right questions and listening.

2. Sell the House-How much are you and your staff talking about your dealership during the selling process? Are the key points about what your dealership is all about being put on the table? What are your defining principles? What’s the history and culture of your dealership?

3. Sell the Product-Never in the history of the car business has it been so important to know your product. Are you constantly reviewing product knowledge? When was the last time you did a walk-around presentation? Do you and your sales staff walk the lot and know your inventory from one end to the other? Does the team know as much as the customers know about the benefits and features of each model?

4. Write the Best Deal You Can-Even if you’re a one price dealer, the deal still has to be presented. Even ridiculous offers need to be served up. Once a person puts their name on the dotted line they are much more likely to adjust their thinking as you present a counter offer.

5. T.O.-the Golden Rule should be “never let a customer leave without checking with a manager first.” It’s the most fundamental of all selling processes. Sales would increase by another 10 to 20% if this fundamental process was followed.

6. Follow Up-the mentality should be follow them till they buy or die.

So there you have it. The most amazing selling system ever invented, which by the way was the selling system I was introduced to back in 1972. Has the business changed? Of course, it has. Do we shape the selling system a little differently today? Of course, we do.

But the fundamentals of the business never change:

1. Sell Yourself
2. Sell The House
3. Sell The Product
4. Write The Best Deal You Can
5. T.O. The Customer
6. Follow Up

That’s all I’m gonna say, Tommy Gibbs

The Frog & The Plan

My father passed away this past year at the ripe old age of 96. One of his famous sayings was, “plan your work and work your plan.”

He lived by that motto by keeping a yellow pad close by so he could write his “to do” list each day and cross them off as he accomplished each task.

It was his equivalent to the Franklin Planner & Task List before there was a Franklin Planner or Task List.

If you want to improve your performance, make a list either very early in the morning or late in the evening for the upcoming day, and make sure you note the “Frogs” on that list.

Mark Twain had a saying “if it’s your job to eat a frog, it’s best to do it first thing in the morning. And If it’s your job to eat two frogs, it’s best to eat the biggest one first.”

One of the best ways to ramp up your performance is to get the most difficult issues off your plate first thing in the morning.

Often there are things you don’t want to do because they are messy and uncomfortable such as a customer complaint, employee issue, screwed up paperwork, or a decision on a used car that you know is going to cost you money.

The sooner you do it, the more productive your day will be.

I’ve got some frogs to eat. That’s all I’m gonna say, Tommy Gibbs

Are You Running

It’s January and we’re off and running.

Actually, some of you are running, some of you are walking. The runners have been training hard for the last few months. The walkers have been talking about training hard.

The runners were getting into shape back in November and December by laying down “the plan” for 2021. The walkers were thinking they needed to get in shape and get a plan for 2021.

Runners are never happy. I’ve never seen a runner smile. Walkers are well, walkers. They often smile because they are dreaming of the things they would like to do. Whatever they are dreaming stays in their dreams.

The runners have a firm plan going into 2021. The walkers have a “kind-a-sort-a” plan going into 2021. Walkers talk about a plan, runners actually execute the plan.

Walkers are afraid if they make a plan they might have to change it. Runners know there are mud puddles and they just have to jump over a few to get where they want to go.

Runners like challenging their leadership skills by changing the plan.
Walkers are afraid of change and would rather go with the flow than rock the ship.

Runners love Dave Anderson’s book “If You Don’t Make Waves You Will Drown.” Walkers would rather read “Winnie the Pooh” and dream about Pooh Bear.

When I do a workshop, I recommend, suggest, and urge those in attendance to write out an action plan for the next 90 days using the top 3 or 4 processes from the workshop. At the end of 90 days re-write the action plan adding 3 or 4 more processes to it.

Any time you’re planning, there should be 30 day, 90 day, 180 day, and 365-day action plans. The weather and the terrain are going to change and you need to be ready for a change.

Walking along whistling a happy tune will make you feel good for that one little moment in time.

Running hard with a flexible plan will exhilarate your soul and brain and will allow your team to leap tall buildings with a single bound for a long time to come.

Runners take money to the bank. Walkers go to the bank to borrow money so they don’t go out of business…yet.

Becoming a runner means harder training, greater commitment, and disciplines that most people don’t have and will never have.

That’s why there is so much room at the top. Some will, most won’t.

It’s very simple to go from being a walker to a runner. Just do it. That’s all I’m gonna say, Tommy Gibbs

P.S. Do you need help getting your inventory under control once and for all? I can help and will do it for free. Just reach out.

Haircut?

When I’m in town I work out at a small 24-hour gym on Treasure Island in a little strip mall.

Three doors down from the gym is a real barbershop.

Looks and feels like one from yesteryear complete with the barber’s pole that can be traced back to the Middle Ages.

The other morning, I couldn’t help but notice the barber was sitting in his barber’s chair staring at the front door. Immediately it flashed through my mind that’s what I often see in dealerships today.

I see two types of people staring at the door.

1. Salespeople staring at the door waiting for that special up that the dealership has been so kind to advertise for. (Will we ever fix this?)

2. Management staring at two doors.

A. The old school door.
B. The you might fail door.

The might fail door can be pretty scary. Every once in a while, you walk over, crack the door, and take a peek. Your body starts shaking with fear because of what you’re seeing.

You’re seeing volume going south and of late you’re starting to see your front gross heading the same way. It’s interesting how quickly the market of supply and demand can change on you.

When you focus on your retail sales number over the last 30 days, you’re in much better control of the laws of supply and demand.

You’re seeing today’s pay plans not working, and you’re seeing today’s new hires leaving as fast as Superman and a speeding bullet.

They aren’t buying into your hours and your selling processes which aren’t much different than they were 25 years ago.

And, they hate your pay plan.

Aside from being prettier, the physical work environment is about the same. You still have desks and you’ve fancied them up by putting computers on them. It’s sort of the lipstick on a pig theory. When the customer walks in, they still see a pig.

You’re also seeing the approach of some of the public companies and bigger dealer groups by changing their hiring practices and hours and adding iPads, sofas, and kiosks in the showroom.

You’re starting to wonder if you’ll still be around 10 years from now.

But you’re making a profit so why change? You need to change while you can afford to change.

You’re sort of like that barbershop. The only thing that’s changed for the owner is the chair is a little different and there’s no strap to sharpen the straight razor with.

That’s a really nice chair you’re sitting in. Enjoy your seat.

That’s all I’m gonna say, Tommy Gibbs

P.S. It’s that time of year when you’re dealing with used car writedowns. If you are going to write down your inventory let me coach you through it. It costs you nothing for me to help you.