How important is your local car dealer? Let's reflect.

[Jeff Kershner]

NOTE: I had the remove the videos, the script was causing some browser issues. You can find the videos here http://www.msnbc.msn.com/id/8004316

DealerRefresh readers,

In case you didn’t catch NBC’s news tonight, I thought you might like this story. Why is it we had to get to where we are today for the media to do a positive story about Car dealers and their contribution to the fabric of the American community? There is a positive almost inspirational message in a mostly gloomy story about the “demise” of the local car dealer.

Sometimes they don’t know what they’ve got till it’s gone.

Best Regards,

Todd Fellmer

Thanks Todd! - Jeff

 

[Jeff Kershner]

Todd, thanks for the link to this video. I'm so happy to have a medium available to publish and push out a message like this.

This kind of shit straight up brings tears to my eyes. I know it's time to purge out the weak but it hits hard being in this business and seeing good dealers go through such a rough time.

Jeff

 

[Alex Snyder (blog)]

It is hard to think of all the charity causes that will take a hit through this mess. One thing most of us have more of now is time. It is amazing what little you can give in time to help a charity. You'd be amazed what kinds of things each charity group needs - there is probably something you can help them with in a matter of minutes.

 

[Kevin Frye]

I think this is a reflection of global economics reaching down to the auto industry. Each dealership must become more efficient and cost effective to continue to compete and grow, and those who do not are ruthlessly driven out. Similar to what we have seen with how the imports are faring against the domestics, especially in the smaller, fuel-efficient vehicles where the imports have a significantly lower labor cost (read: efficiency). Remember when "Buy American" was the motto? With a global economy, that is now becoming a thing of the past. "Local" dealers now are competing with dealerships hundreds of miles away, and the consumer is willing to travel to where they perceive/find the better deal. Sad? Perhaps - but inevitable... Hope I didn't contribute to your tears Jeff - Kevin Frye/eCommerce Director/Jeff Wyler Automotive Family

 

[andwrig]

It's nice to see some good news about car dealers. Unfortunately it had to come at a time like this. Macroeconomics are dictating now and it is going to change the landscape in dealer world. I'm optimistic though that we will come out of this stronger, leaner and more efficient.

 

[Audrey Knoth]

Don't blame the news media for not providing positive stories about car dealers and the industry in the past ... the industry has never invested resources into building positive reputation and recruiting independent third-party advocates to speak on its behalf. Positive stories don't happen randomly ... they are driven by positive messaging. This is classic public relations that most other large industries routinely embrace. Think about the pharmaceutical industry and how it has a big push on its programs to provide free or low-cost prescriptions to the needy. I've never understood why the auto industry, both from the manufucturer's standpoint and the retail standpoint, never invested in a consistent public relations program. In the past, there has been no shortage of resources to craft such a program and it would have required just a fraction of what the industry spends on advertising. It's ironic, given that we all know that car dealers tend to be the largest contributors to charity in their communities, as this video highlights. The industry is paying the price now, which you can see in the virulent public sentiment against the heads of the big three "begging for a bailout." Will the crisis cause the industry to reinvent itself from a PR standpoint?

 

[Jeff Kershner]

Very nice Audrey, you are right about that.

"Will the crisis cause the industry to reinvent itself from a PR standpoint?"

I would have to say yes, but I also think it might depends on how long this wave lasts.

 

[Pete]

Jeff, it's time for the innovative to take charge. What I would like to see is employee purchased dealerships and even factories. It's not a new model but has proven in the past to be a success. If from every level, sales to production had a stake in what was in the best interest in totality of how to operate a company what do you think would happen?

 

[Mike Keesee]

Pete,

In response to your last comment. I used to be a regional manager for Auto Extra.com. I flew into Tennessee one week and one of the reps took me to a dealership www.cityauto.com The people that work there are all partners. Different owners and sales people who are also owners that sell their inventory together. Check it out it might be what you are talking about here.

 

[Pete]

Mike,
Thanks. That is a great example for pre-owned. It's time to structure some new car dealers in the same way. It will take time though because some dealers don't want to admit that the franchise is now worth $0.
So wait till the smoke clears...it truly is a new economy that is emerging.