Here it is
June 30, 2010
TO: CHEVROLET DEALER PRINCIPAL/GENERAL MANAGER/SALES MANAGER
SUBJECT: SFE DIGITAL BONUS
I am writing to inform you of a change for Standards For Excellence (SFE) beginning in the third quarter. As you know, Chevrolet dealers have made great strides in response times during the last few months. In fact, in May, Chevrolet dealers responded to 98% of all leads with an average initial response time around two hours. This is simply outstanding, and it represents over a seven hour improvement in average response time since last September.
However, as we discussed in the recently completed five regional meetings, there is a tremendous opportunity to improve the quality of the lead responses. Frankly, the lead response quality for the majority of leads we mystery shopped just prior to our regional meetings is simply not acceptable. Improving lead response quality will no doubt drive higher close rates, which is of course the ultimate goal for our mutual business.
With this as background, now that we have created awareness of the importance of lead response, GM will discontinue the SFE Digital Bonus for Chevrolet, Cadillac, and Buick-GMC for the third and fourth quarters of 2010. At Chevrolet we now embark on an exciting period. With availability improving, we will be increasing our advertising spend dramatically as we launch the Silverado HD and exciting all new Cruze.
Although the bonus will not be in play for the balance of the year, I know our dealers will remain vigilant on lead response – both online and offline. I challenge every dealer to ensure that they are meeting and exceeding the current national Chevrolet averages for lead response, which is 98%, and an average initial response time of two hours or less. In addition, Chevrolet dealers currently have a close rate of approximately 5% of all internet leads submitted, and the best dealers are exceeding 9% close rates. If your close rates are not already at the elite 9% level, please take this opportunity to thoroughly assess your processes for lead handling and drive for improvement. If you do the math on the incremental profit each additional point of close rate would drive to your bottom line, I am sure you’ll agree this is a worthy priority. Our field teams and SFE facilitators stand ready to assist in this critical area for our mutual business.
If you need further assistance or access to additional resources, please contact your Zone Manager.
Sincerely,
Alan Batey
Vice President, Chevrolet Sales and Service
Chevrolet Division
General Motors Corporation
100 Renaissance Center
Detroit, MI 48265-1000
