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Peak Dealership Performance® Newsletter
Number 11

Value Proposition: Three Reasons to do Business with You!

Want to try an interesting experiment? Walk around your dealership and ask staff members who interact with the buying public, "Why should I do business with you? The dealer down the road is cheaper."

You'll probably get many stammering responses. Unfortunately that's not the way to win business today.

How you perform in this situation is crucial. But before you can, you must do the difficult intellectual work of delineating what it is you do that positively sets you apart from other businesses.

  • Do you save the customer time, energy and effort?
  • Can you teach them something about motorcycling?
  • Do you have stand out characteristics or people?
  • Have you created a "no stress" retailing environment?
  • Do you create social opportunities?
  • Have you created ways to recognize your customers?
  • Do you provide legendary customer service?

If you haven't done so already, get together with a few other dealership people and brainstorm between three to five existing or possible ideas for each of these questions.

Then put these ideas into action and you'll begin to earn more business. You do really need to separate yourself from others not just in words, but in actions.

Just as important then codify what you do into three concise points which you'll be able to teach everyone on staff. This will be your "dealership response" to this question, i.e. everyone answers this question the same way.

Why three points? People love to think in triads (threes). Psychologists aren't exactly clear why but it is an aspect of the human condition. So ... use it.

Also you should tell the customer that there are three reasons why people do business with you. Why? Well first of all it speaks to triads as we mentioned above. Second, people love lists! And they will be more apt to listen to your responses.

Here's an example of how this might work.

"Why should I do business with you? The dealership down the street is cheaper!"

  • "Great question! And one you should ask before buying a motorcycle (or any other purchase decision)."
    (You want to validate their question. It is a good one, and people will be more likely to listen to your response once you have demonstrated you are listening to them.)
  • "There are really three reasons why most people decide to do business with us." (Here's the list idea.)
  • "First. We have nothing but factory trained technicians and provide priority turn around for customers who purchase their motorcycles here; you'll be a member of our VIP club.
  • Second. We are open from 9 - 9 during the week and 9 - 4 on the weekends so we are here when you need us.
  • Third. When customers buy from us, your salesperson will give you their personal cell phone number so you'll always have someone to call when you have questions about your motorcycle or need help."
  • "Do you have any other questions I can answer for you?" (This is called a transition statement enabling you to guide the conversation back to selling the motorcycle.)

Don't get hung up on the reasons I used, your list will undoubtedly be different (Every time I bring up the personal cell phone number idea in workshops typically half of the group resists the idea and half love the idea or already doing it!) and it should be. The important idea here is for you to know what separates you from others and have the ability to communicate your value proposition.

So, why should I do business with you?

5 Ways to Turn Downtime into Up Time

If I see a dealership employee playing solitaire ... I'm going to lose my mind! Times are tough. Winter is here. For many dealerships customer traffic is off. This is a precious opportunity for you to get organized, not time to play computer games.

What should you do?

  1. Prospect, prospect, and then prospect some more: Find reasons to interact with people. Non-threatening, engaging and effective.
  2. Clean your store. Customers equate the cleanliness with your store with the efficiency of your operation. Dust, vacuum rearrange, it's everyone's job.
  3. Engage in skill development: Have product knowledge competitions in your store. Walk-around contests, product presentation contests, objection handling contests. Build the skills now!
  4. Come up with a better method: Use this time to improve your processes. How do you work with service on accessorizing new bikes? How do you handle floor traffic? How do you route incoming calls? How do you develop new business? Use this time to improve.
  5. Find out what customers really want! Get 11 of your customers together for a focus group. Ask what should your dealership start doing to be more effective? What should our dealership stop doing to be more effective? What should your dealership continue to do?

When the season hits you want to be ready for it. And now is the time to prepare.

Management Moment: Avoid layoffs

Layoffs seem like the only solution. Cash flow is down and you need relief. But when you layoff good people you destabilize your business. It sends a message to remaining staff that employment with you is not secure and you may have just lost your talent to the competition.

How do you avoid it? Be honest with your people. Take a page from open book management and explain your cash flow situation. Tell them you don't want to lay anyone off and ask your team to band together to come up with solutions.

The Pike Place Fish company had this same situation. When management presented this dilemma the team took it upon themselves to call existing customers and solicit orders. They did. It worked. No one was laid off.

Before you layoff any people, give them a chance to provide you will solutions. You'll be surprised at how many creative ways your crew will come up with to legitimately increase your cash flow. They will feel more of the process; you'll develop new competencies and most importantly you won't lose talent.

Asking for Referrals: What to Say, When

There are two ways to always have more business than you can handle. One is through prospecting. The other is through referrals. Everyone knows referrals are important but few know how to ask for them.

Choose your words carefully. Don't say things like, "Hey can you help us out - do you know anyone who wants a bike?" This sounds pathetic and like you're begging for business.

Try this instead.

"We're on a crusade to grow the sport of motorcycling in our area. Do you know anyone who might be interested in riding that you'd recommend we call?"

Then don't say a word and wait for the referral. It won't work every time, but if you've done a great job for the customer it will work more often than you think!

Why does it work?

  • Many people like to part of something important like growing the sport of motorcycling.
  • It's more selfless than "I'm looking to increase my commission."
  • When you ask for their "recommendation" it pays them a compliment.

Or come up with your own verbiage. But most don't do enough with asking for referrals.

Want to Win $500?

New Dealership Superstar Contest: December 1, 2008 - January 31, 2009.

Last year we here at Peak Dealership Performance partnered with Motorcycle Product News magazine to bring you the Dealership Superstar Contest. This contest was designed to recognize sales and customer service excellence.

We'll we're getting ready to launch the contest again. This year's contest will run from December 1, 2008 through January 31, 2009. This year's contest will have categories and more grand prizes. Watch www.PeakDealershipPerformance.com for submission guides and complete contest rules.

Lori Miller
Lori Miller - Adventure Harley-Davidson
One of last year's contest winners

Contest Submission: Mike, our dealer principal, found me in a little shoe store in the local mall four years ago. He has given me this adventure to make my own from learning to ride a street bike to learning all the ins and outs of motorcycle sales.

I was the first female to sell bikes at this dealership in its 25+ years of existence and at the time the only woman selling bikes in our district. But with the support of our sales manager Jeff's training and Mike's encouragement, I took the challenge to be the best salesperson possible.

Since that time I have been salesperson of the year the past two years. It is a streak I intend to keep alive! I have been successful because I have followed our sales process, and I connect to the customers. I try to go above and beyond for every customer. Here are a few examples.

For them, I have driven three hours to close a deal for a man that dearly wanted his Screamin' Eagle Road King, but came down with the flu and couldn't make it down to the dealership. I then ended up sick with the flu myself! Another sale I helped a customer with was a little unusual. He was allowed to purchase the bike on the agreement that his wife got a diamond ring of the same value! I worked with him to find the right bike and the right ring.

Judges' Commentary: Yes, that's what it took for us to pick up the phone and call Lori during the judging. "Tell me more about this ring thing," I prodded. And she did. As Lori described the situation, we knew we had a contender. Lori helped the customer not only purchase the bike but also helped him understand cut, clarity and carats. And Lori even hooked him up with reputable diamond sellers to seal the deal. She mentioned she's seen the husband, the wife, the bike and the ring recently and all are doing well. Working at this dealership and with Lori must truly be an Adventure!

Feel free to share this info at your staff meetings, use it for training sessions, or in conversations. Co-workers not signed up? Forward this to them. Our goal is to help you be, have and do more for you and your customers.
Earn more. Stress less. Make a difference.
  1. Value Proposition: Three Reasons to do business with you!

  2. 5 Ways to Turn Downtime into Up Time

  3. Management Moment: Avoid Layoffs

  4. Asking for Referrals: What to Say When

  5. Dealership Superstar Contest - Lori Miller: Adventure Harley-Davidson

The next installment of the Dealership Superstar Program is going on right now! Send in your submission today!

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