So, feeling kind of smug these days about your new car business? Production is up, inventories are better and you’re selling more. Ford’s doing well. Chrysler, Jeep and Dodge have never been better. GM has some great products. The imports are getting back to full capacity. Incentives are starting to crank up. Luxury vehicles are doing well as those with money are starting to turn it loose.
Nice time to be a new car dealer isn’t it? Is the new car drug giving you a nice high? Feeling really good aren’t you? I’m thinking your new car drug addiction has gotten a grip on you once again.
I wrote an article a few years ago about new car drug addiction. Many of the points I made in that article are starting to once again come full circle.
New Car Addiction can be a serious problem. Many have beaten this addiction, at least temporarily, but it’s on its way back into our business.
New car addiction tends to take total control of the brain’s actions and leaves the user in a state of confusion, and more often than not, with a poor bottom line. Yes, you can make money with new cars, but you make even more when your team understands how to get new and used to work together in harmony.
CNN reports that hundreds of dealers suffer from new car addiction every year and have been known to do almost anything to fuel the habit, including increasing their floor plan limits when the drug pushers (your new car franchise) offer them special deals to take more of the drug in order to support this addictive habit.
During the last few years, many of you, out of necessity, have created a serious focus on used, fixed and expense reduction. Many of you have made the most money in the history of your business by getting off the "hard stuff." You should be fearful of the temptation of sniffing new car leather. New car leather has a special chemical in it that excites your "ego cells" and the next thing you know you can’t even spell "uxed kars."
The new car addiction is knocking on your door and your ego is screaming at you to climb up on the roof and shout "I’m number 1 in new cars sales, I’m number 1 in new car sales." What you should be shouting is "I’m number 1 in new cars sales, the factory loves me, but I ain’t making any money."
I stated in my past newsletters that there is nothing really all that new out here in the world of information found in cyberspace and beyond. Most of the things I write you already know. There are probably some things I write that annoy you because you already know them, and you don’t like to be continuously told something you already know.
I understand that feeling, but if we are honest with ourselves we all know how easy it is for the "Evaporation Factor" to kick in. The next thing you know you are wondering what the heck happened to all the good disciplines you know to be true.
So one last time; you’re going to be tempted to fall back into an addictive "New Car Drug" mode. You’ve come a long way, you’ve seen the light and the light is used cars, fixed operations and expense control. Don’t stumble back into the dark world of addictive "New Car Drug" abuse. That’s all I’m gonna say, Tommy Gibbs