Dealers: Page 125

Let’s Crawl Before We Walk

The Virginia Automobile Dealers Assn. (VADA) has backed off a proposal to create a state licensing law and governing board just for finance and insurance managers. Instead the association now urges the state legislature to license F&I staffers as dealers and their sales people are now Before second thoughts, the VADA's board approved the original plan to make the F&I licensing requirement more of

March 1, 2005

A Hot Time in Phoenix

If Phoenix is a barometer, new-car prices are returning to levels not seen in a decade or more. In a town where 120-degree summer days are par for the course, that's a hot mark. That was this columnist's impression on a visit to the fast-growing Arizona metropolis where almost every major dealer group operates on a seven-day-a-week basis and competition is as fierce as the desert coyotes howling in

By Mac Gordon • March 1, 2005

Explore the Trendline➔

Artificial Intelligence

Automakers and dealers alike are increasingly seeing the use case for AI within their operations. Explore some use cases in this trendline.

By WardsAuto staff

Look Mom, No Wires!

Congratulations! You've just installed T-1 lines at your dealership, increasing bandwidth for Internet connections. No more dial up. No more long waits for downloads. You're all set, right? Well, for a while. But bone up on the next technology revolution getting ready to overtake the business world wireless applications. It will likely come in steps. It will be common for dealerships first to have

By Cliff Banks • Feb. 1, 2005

Sweet Song of Success

For three generations and nearly 60 years, the Boch family name has been synonymous with car dealerships in Greater Boston. Andrew started the family in the business when he purchased a Nash franchise in 1945. Son Ernie took the Norwood, Mass.-centered operation to the top rank of Rambler dealers in the country by the early 1960s on the strength of his drive and his often outlandish television commercials

By Alan R. Earls • Feb. 1, 2005

Direct Hit for Direct Marketing

AutoNation Inc. is expanding its direct marketing efforts with the help of a high-tech digital printer developed by Xerox Corp. The iGen3 allows the nation's largest dealership chain to group its customers into 62 different segments, then print and send customized messages to them through direct mail. Direct Mail Express and client AutoNation are fine tuning marketing initiatives using two of the

By Cliff Banks • Feb. 1, 2005

Insurance Fraud Can Be a Real Drag, Man

Some people go to great lengths to commit vehicle insurance fraud, says Ray Albertini, special investigations director for Progressive, the third-largest auto insurer in the U.S. A common type of fraud is buying insurance coverage after a vehicle has been damaged. Less common is when someone tries to buy it at the scene of an accident. That was attempted by a motorcyclist who had wiped out. While

By Steve Finlay • Jan. 1, 2005

I Love This Business

Sen. Mitch McConnell, in a U.S. Senate tribute, calls Kentucky dealer Jack Kain a and a master of customer service. Kain, 75, this year's incoming National Automobile Dealers Assn. chairman, has been a dealer since 1952. With white hair and an easy smile, he looks like the Southern gentleman that he is. His dealership is in Versailles, a small town near Lexington, an area of horse farms. Kain sets

By Cliff Banks • Jan. 1, 2005

First Came Rate Capping

If state legislatures can enact maximum dealer loan markup what's to stop them from mandating maximum or minimum dealer discount rates? Or maximum time charges for service work or markups on over-the-counter parts? State insurance commissions regulate carriers and the rates and coverage they offer. They also regulate insurance agents by requiring them to be licensed. Dealerships sell insurance, too,

By Mac Gordon • Dec. 1, 2004

New Age of Subprime

The retail battlefront in the new millennium seems to be special finance or subprime. For the uninitiated, special finance sounds like nothing more than lenders swapping an interest rate boost for a credit score risk. Dealers often enter this arena thinking it's as simple as hiring an F&I manager who knows the credit programs of that group of banks. At first those dealers delight in doing some deals

By Peter Brandow • Dec. 1, 2004

Taking a Shot at Retail

Retired top-level DaimlerChrysler executives Tom McAlear and Tom Marinelli are in a new line of work, prompting a lot of interest and some envy from their former ranks. McAlear and Marinelli now are auto dealers. They are partners in Bossier Chrysler-Dodge-Jeep in College Station, TX, 100 miles north of Houston. Since we bought the dealership, I've had a lot of inquiries from factory people and not

By Steve Finlay • Nov. 1, 2004

What’s Alive, What’s Jive

For auto dealers, working the new-model season used to be a pretty simple affair: Hang up the New '64 Models are Here! banner, sit back and let 'em come to you. That's when there was a grand total of maybe a dozen manufacturers and, say, 70 nameplates from which buyers could choose. According to Ward's data, the '05 model year brings well in excess of 300 nameplates. Customers now have so many places

By Bill Visnic • Oct. 1, 2004

This One’s a No-Brainer

It seems like a no-brainer and it is, in Europe. So why don't dealership finance & insurance managers in the U.S. sell vehicle insurance along with existing insurance products on their menus? A licensing mandate for insurance agents who sell vehicle coverage is given as the main reason for failure to add such protection to the F&I offerings. Insurers argue that F&I managers, aren't eager to take the

By Mac Gordon • Oct. 1, 2004

Going to the Outsource

Auto dealers are increasingly outsourcing functions such as customer relationship management, loan processing, collection and new-customer acquisition and retention. That's because outsourcing frees the dealer to focus their resources and management on their core business selling. Auto dealers are finding they need to get the most from each and every customer contact. They can no longer randomly call

By ANTHONY CHASE • Oct. 1, 2004

Dealer is a Good Egg

In March of 1994, Allen Samuels accompanied Jim Yates, general manager at one of his dealerships, to the Smith County Junior Livestock Show & Auction in Tyler, TX. That night, Allen Samuels East Texas Dodge bought every grand champion animal in the auction: steer, pig, lamb, goat, and turkey. All that was left was the Grand Champion pen of chickens, owned by Charlotte Langley of a Future Farmers of

By John Fletcher • Oct. 1, 2004

Southern Dealers in Recovery

Dealers in Florida remain optimistic and resilient despite having businesses damaged, showrooms shut down and a dearth of customers following the effects of three hurricanes in six weeks. Hurricane Ivan, the most powerful storm, spawned several tornadoes along the western part of the state and kept showrooms closed as residents prepared for the worst. Thomas Dart, president of the Automobile Dealers

Oct. 1, 2004

Sell Well in Hispanic Market

Mauricio Espinosa, founder of Grupos 20, a Hispanic 20 Group benchmarking company, emphasizes the need in auto retailing for awareness of and sensitivity to the differences among people comprising the vast Hispanic market. If you are in Texas, for instance, you'd probably be correct in assuming that most of the Hispanic background is Mexican, says Espinosa. However, the market may have some Venezuelans,

Oct. 1, 2004

Why We Wrote a Book

I told a former colleague that I just wrote a book with a service manager. He joked, What can a service manager and you preach about in a book? This fellow hasn't a clue of the trials and tribulations facing a service manager in a busy dealership, and what such a manager can relate about his experiences. There are pressures from the manufacturer to satisfy all the customers all the time. Pressures

By DAVE SKROBOT • Sept. 1, 2004

What ADP Plans with New Buy

Tommy Brasher, owner of Brasher Motors in Weimar, TX, says he felt like he was kicked in the stomach when his son called him with news that Electronic Data Systems had sold its Automotive Retail Group (ARG) to Automatic Data Processing Inc. (ADP). I was certainly dismayed, Brasher tells Ward's. He was such a loyal customer he may be recognizable as one of the public faces for EDS' advertising campaign

By Cliff Banks • Sept. 1, 2004

It’s the Dealers, Stupid!

Finbarr O'Neill, CEO and chairman of the beleaguered Mitsubishi Motors North America (MMNA) cites a simple law of the automotive industry: At the end of the day, it's about profitable dealers. It's not rocket science. If you have profitable dealers, you have to screw up a lot on the factory side not to succeed. O'Neill, speaking to a Society of Automotive Analysts gathering in Troy, MI, says he's

By Steve Finlay • Sept. 1, 2004

Global Engines Take Low Marketing Road

TRAVERSE CITY, MI – Branding engines has become as commonplace as branding vehicles. Names such as Hemi, Northstar, Vortec, Triton and others are meant to send a message about the power and performance of what’s under the hood. But one engine maker is taking a low-key approach and letting the performance speak for itself. Global Engine Mfg. Alliance LLC says it will not brand its engines when they

By Kevin Kelly • Aug. 3, 2004

Fiercely Competitive

As the popularity of web-based finance and insurance aggregators grows, so does competition among the main players, DealerTrack Inc., RouteOne LLC and Bankers Integration Group, and looks to become fierce in coming months. Mark O'Neil, Mike Jurecki and Mike Dunn, the CEOs for their respective companies, are throwing sharp elbows as they posture for the lead position in the market place. The basic

By Cliff Banks • Aug. 1, 2004

Primed for Subprime

Subprime isn't anymore. Nor is it all that in today's economy. Subprime lending, also called special financing, is riding a wave that has become a high dealer delivery and profits priority in nearly all markets, experts say. In the largest population areas, says AmeriCredit's Chief Operating Officer, S. Mark Floyd, it's advisable that franchised dealers set up dedicated special-finance centers surrounded

By Mac Gordon • Aug. 1, 2004

Putting on the Ritz

Tourist attractions in New York are almost limitless,buta Manhattan car dealership is setting itself up to be yet another. After a $15 million renovation of its historic building, the Manhattan Auto Group (MAG) features lifestyle events, concierge services and facilities that may be unique in vehicle retailing. We are trying to make our facility a destination point, says Gary B. Flom, president of

By Herb Shuldiner • Aug. 1, 2004

Brands Protected as Parts Commonized

Ward’s spoke in early June with Peter Rosenfeld, executive vice president-Procurement and Supply of DaimlerChrysler Corp., as part of its annual interviews with the U.S. purchasing executives. In the interview, he discusses the proposed new supplier relationship for the upcoming Jeep assembly plant in Toledo, as well as general purchasing issues. An interview with General Motors Corp.’s Bo Andersson

By Tom Murphy and Kevin Kelly • July 2, 2004

Diversifying for Growth

The growth strategy for Webasto AG's North American business includes increasing its already dominant share of the U.S. sunroof market during the next three years and expanding into new business sectors, such as convertibles and body systems. We're not going to forget roof systems. It's our bread-and-butter, says Brett Healy, vice president-sales, marketing and strategic development for Webasto subsidiary

By Brian Corbett • July 1, 2004