The longer I’m in this business the more I scratch my head when I come across dealers that allow their managers to keep units past 60 days. I’m not talking about one or two here and there. I’m talking about a consistent pattern of multiple aged units.
There’s no way that they don’t know that it doesn’t work.
So, why do they do it? The only thing I can figure is they just don’t have a commitment to having a disciplined organization and/or they don’t understand the math.
I’m not going to bore you with the whole ROI calculation story, but want I do want to point out to you is by and large you don’t make much money on anything you have that’s over 30 days old.
So, how do you think you’re making money on all that stuff you keep past 60 days? Have you ever thought about tracking it?
Maybe they just don’t know how to say no, when a manager asked if they can keep it a little longer.
Here’s the best tip I’m ever going to give you. The next time a manager asks if they can keep it a while longer, hold up your hand, palm facing away and say “Just talk to the hand.” That’s all I’m gonna say, Tommy Gibbs