Too much risk and effort for too little pay and time?

[Jason (blog)]

"customer calling and walking through the door is the most likely to buy?"

lol - and the majoity of the time when they DO buy, they are really an "under-cover" internet shopper!

My experience, which most of the people in our store refuse to accept regardless of the stats: the WORSE up is the fresh un-announced walk-up who really WAS a drive-by (not someone who shopped the net first - or called the day before). Yet this is the target market that 95% of a dealerships effort is based around! The staff will ignore the phones (and their email) to race to every warm body that shows up..

 

[Pete]

I am glad everbody agrees selling is about salesmanship but for the "blissful" it is about having a market value based pay plan and value earnings for the sales work that is required.

That is wonderful that people enjoy the industry so did I, most of the time.

So you don't have a degree so you are less valuable than say a software or pharma salesperson? but work 12 hour days and weekends.

I know of those other industries and have friends in them and I will tell you auto sales requires more ability and hard work so where is the pay?

Some people might want to work below scale but I never did.
Unfortunately it took 7 dealers in 20 years but I always made sure I was at 35% and never made less than over 100k.

The one thing that was forgotten to be mentioned is that yes you have to be a pro but to be the best but auto sales requires many sacrifices that one should be compensated for other than by commission only.

I always took most of my customers with me. So when the dealer principle would call and complain, I would always correct them in saying that they are MY customers and I am the one who has the relationship.

Cut the percentage, make me pay more for health insurance, axe the demo program, etc...I looked out for me and never looking back.

The largest percentage of autosales rep's make less than $26,000 per year. I know it shows higher but once you take out the top 2% of highline rep's over 100k that is what it is.

Most don't even know of the effort in past to be unionized and do you know why? I will save that for another time.

For anybody out there that is an ISM at a store that sell 150+ cars
month and not making 100k/yr your getting shorted.

If you have less than say 5 years in the business and an ISM your probably working too cheap(but definitely can be qualified, so don't take offense).

Thanks to all and I love to rattle things up to make this blog fun and usefull

 

[Diane Uzelac]

WOW! I love that Pete likes to rattle and stir things up too!!!! I am actually stradling both sides of the fence!

 

[Angela (blog)]

About the ISM pay scales. Are you refering to an ISM that sells the vehicles as well as manage the department? Or just responding to leads and selling the vehicles? Which do you think should be making 100K or more per year?
With the many differnt roles that ISM's have depending on the dealership-I think it is tough to nail down a fair payplan.
I have been an ISM for 7 years and not making 100K. I dont sell the vehicle myself anymore, but manage the department in a store that sells about 200 vehicles per month. Any input is much appreciated.

 

[Pete]

Hi Angela,

Clarify? 200 total a month new and used combined or...

Here is what a big problem that still exists, not fully validating o elevating the position of ISM to the second in a chain of command.

Nobody seems to talk about it but the biggest threat in the auto monarch to the GM and GSM is the ISM.

Why? Smarter and get's the techonology and how it applies to selling vehicles.

I would bet to say that more authority is given to the FSM than the ISM. That's just crazy in todays business.

How many ISM have authority over working deals?

My guess? 8 out of 10 UCM have NO clue of e-selling but make 100-200-300k a year. It's a case of the dog waging the tail.

Make a % point maybe on the back because of buy rate being lower than the consumer can get walking into the bank...whoopee.

Sorry FSM's I don't mean to be little just trying to make a point here.

Most FSM's that I know make WELL over 100k for about 60-100 booked deals or so a month.

So my rule is minimul $50/car sold is a good start.

Heck, buyers make 100-250 per car to buy inventory, ridiculus and know of people making 200k.

Bottom line is that I feel and ISM should be paid also on a % of monthly net profit or gross that is pretty standard for a sales manager's position.