Monday, May 21, 2018

Eight Steps to Selecting and Buying the Right New Car for You

1.  Consumer Reports 

Subscribe to Consumer Reports, go to the library and read past issues, or check out Consumer Reports online. There are other objective sources of information on cars, but this is the best. They accept no advertising from anybody and their sole goal is rigorously and objectively testing merchandise that consumers buy. You can very quickly find the best make car for the model and style you want to buy. Consumer Reports rates cars by performance, cost of operation, safety, and frequency of repair.


2. Test Drive the Car You Have Chosen 

This step requires that you visit a car dealership. Remember that this doesn’t have to be the dealership you buy from. You obviously must see, touch, feel, and drive the car that you think you want to buy. A new car is a very personal thing and just because Consumer Reports loved it doesn’t mean that you will. Be sure that you test drive the car at all speeds in all road types that you normally drive. Drive it in the city but also on the expressway.


3. Carefully Choose the Accessories You Want 

There are some accessories that enhance the value of your car and some that don’t or may even lower it. You should accessorize a car comparably to its class. If you are buying a lower priced economy car, you should not load it up with leather seats and an expensive sound system. If you do, you won’t recoup much of what you spent on these accessories in its resale value. On the other hand, if you are buying a luxury car, don’t skimp on items people look for in luxury cars like a navigation system or a moon roof.


4. Carefully Choose your Car’s Color 

This is more important in determining a car’s resale value than accessories. If you want to maximize the trade-in value of this car, choose a popular color. White, silver, black, and beige are the 4 most popular colors. Sports cars and convertibles are exceptions and red is often the most popular color. The difference in trade-in value between the right color and the wrong color can be several thousands of dollars.


5. Arrange Your Financing 

Now that you know exactly what kind of a car you are going to buy, you can check with local banks and credit unions to find the best interest rate. Don’t commit until you have chosen the dealer you will buy from. Manufacturers sometimes offer very low special rates and dealers can sometimes offer a lower rate than your bank or credit union.


6. Shop Your Trade-in 

If you are trading in a car, take it to 3 dealerships for the same make and ask them how much they will pay you for your car. A Chevy dealer will pay more for a used Chevy and a Toyota dealer will pay more for a used Toyota. If you live near a CarMax store, get a price from them too. They have a reputation of paying more money for trade-ins than most dealers. Don’t commit to the highest bid, but give the dealer you buy from a chance to beat that price.


7. Shop for the Best Price on the Internet 

Go to the manufacturer’s Web site. The addresses are all very intuitive. Ford is www.Ford.com, Honda iswww.Honda.com, and Toyota is is wwwToyota.com. You can type in your zip code and get the Web sites of all your local dealers. Depending on how far you are willing to drive to pick up your new car, request price quotes from as many dealers as you like, but be sure you get at least 3 quotes. When you have chosen the lowest price, verify that this price is “out-the-door” with only tax and tag, GOVERNMENT FEES ONLY, added. You can also check with third party sources like www.TrueCar.com. TrueCar is preferred because they prohibit their dealers from adding any dealer fees or dealer installed accessories to the TrueCar price.


8. Offer Your Favorite, or Nearest, Dealer the Right to Meet this Price 

If you have been dealing with one dealership for a long time and have had good experiences with their service department, you should give them a chance to meet your lowest Internet price. Of course, you can take your new car to them for service even if you don’t buy it from them.

You will notice that there were no steps listed above which suggested that you look in your local newspaper’s auto classified section, look at car dealers’ TV or online ads, or believe their direct mail “too good to be true” offers. When you fall for this, the dealer is in control. When you follow my eight steps, you are in total control.

Monday, May 14, 2018

Costco’s Auto Buying Program... Costco’s Achilles Heel?


Have you ever heard of the “Affinity Development Group” based in San Diego? Neither had I until I did a little investigating. The web page graphic you see displayed above is from their web page, not Costco. Affinity is a separate company that makes their money by marketing products and services for other companies with well-known brand names like Costco. I’ve been a member of Costco for many years and my dealership has been a participant in the Costco Auto Buying program for almost as many years. Until recently, I thought that Costco was the authority behind the Costco Auto Buying program and responsible for its implementation and oversight…not so…Its owned, operated, and managed by the Affinity Development Group.

This revelation came when I complained to Costco about the lack of transparency and apparent deliberate deception by Costco dealers that Costco was referring their members to for auto purchases. I spoke to an executive Vice President of Costco, Rick Dergaradebian, who seemed very concerned that Costco members were unknowingly paying higher prices for cars in the Costco Auto Buying Program than the Costco price sheets indicated they should be paying. He had Rick Borg, Executive VP, Program Operations at “Affinity Development Group” call me.

Rick Borg and I had a lengthy conversation, heated at times, about my allegations. I explained to him that I have mystery shopped dozens of Costco approved auto dealers and my allegations derive directly from my discoveries about how they treat Costco members. I’m not accusing Rick Borg, Affinity, and certainly not Costco of deliberately deceiving Costco members into paying higher prices than indicated on the Costco pricing sheet that each dealer must have. These prices are approved by the Costco Auto Buying program (Alliance) and I presume Costco’s intent is to offer its members lower prices than they could otherwise obtain. Rick Borg and I agreed that most car dealers do not deal honestly and transparently with their customers and they presumably are not dealing honestly and transparently with the Affinity Development Group aka Costco Auto Buying Program either. Rick Borg did say that Affinity does mystery shop its dealers and had found no evidence of deception, but when I asked him how many car dealers Affinity mystery shopped in South Florida, he couldn’t answer me. Rick Borg’s Affinity Development Group implements the Costco Auto Buying program in all 50 states and state laws are different in each state with respect to “Dealer Fees” which is the crux of the problem. Rick Borg admitted that I probably know more about the Florida dealer fee law than he did…he’s correct. He thought a dealer was required by Florida law to charge every customer a dealer fee if he charged just one…NOT TRUE. He didn’t know that most dealers in Florida charge multiple dealer fees all by different name and amounts and that’s legal. He seemed to know that Florida law required that all dealer fees be included in the advertised price of the vehicle, but he didn’t believe that the Costco price sheet shown to customer to induce them to buy was an advertisement. I do think it’s an advertisement.

Rick stated that Costco Auto Program dealers are required to state the amount of their dealer fee at the top of the first page of the official Costco price sheets. He admitted that they don’t include the dealer fee in the price. In my experience from mystery shopping, most Costco members never see the Costco price sheet, but take the salesman’s word for the Costco price. I’ve studied a copy of my dealership’s official Costco price sheet and I see no place to list a dealer fee (I do not charge a dealer fee). Rick Borg admitted that Schumacher Chevrolet (who I mystery shopped) did not all list all three of his dealer fees at the top of his Costco price sheet, only one. I haven’t seen that price sheet and, as I say, I see no provision or reference to dealer fees on my price sheet. I’m not sure how Schumacher Chevrolet do state their dealer fee; in fact, I’m skeptical that they do.

Rick Borg and I left it that we would work together to improve the transparency and honesty in the way Costco dealers sold cars to Costco members based on the promised price on the Costco price sheet. Here is what I propose:

1. The vehicle price stated on the official Costco Auto Buying Program Members Only Price sheet must be the final out-the-door price plus government fees only.


2. The Costco member must sign the Costco Auto Buyer Member Only Sheet ensuring that he did see the Costco member only price of the car he or she is buying.


3. All dealer fees by any name and any amount must be included in the Costco Auto Buying Program Members Only Price.


4. All dealer installed accessories must also be included in the Costco Auto Buying Program Members Only Price.


5. The Costco Auto Program Dealer must email or fax the final vehicle buyer’s order indicating the out-the-door price charged the Costco customer plus government fees only on every transaction directly to Costco and Affinity Development Group.


6. The Costco Auto Program Dealer will allow only Costco Authorized Dealer Contacts named in the official Costco Auto Buying Program Members Only Price Sheet to sell a vehicle to a Costco member. This name must be displayed on the vehicle buyer’s order furnished to Costco on every transaction.


7. Every Costco Auto Program Dealer will be mystery shopped at least once every 3 months.


8. Any Costco Auto Program Dealer that receives more than one failing shopping report in a 12-month period will be canceled.

I urge Costco’s Mark DerGarabedian to personally oversee the changes in the Costco Auto Buying Program. The success of the Costco Auto Buying Program is solely due to the trust Costco members have in the Costco name brand. Costco, to me and all its members, means honesty, transparency, consistently low prices, quality, 100% return policy, and total customer satisfaction. My wife, Nancy, and I shop at Costco frequently and order online. I normally comparison shop price when I deal with other stores, but I know that Costco marks up nothing over 15%. Just this last week I bought a supply toothpaste from Costco for $20 less than advertised on Amazon as “Amazon’s Choice”. If Costco has a product we want, we buy it from Costco…no place else.

Unfortunately, at this time, I can’t say the same thing about the Costco Auto Buying Program. Car buyers should shop and compare the Costco Auto Buying Program Members Only Price with at least 3 competing dealers before buying a car. Hopefully this situation will be corrected and this will no longer be necessary.

Earl Stewart

www.EarlStewartCode.com

cell 561 358-1474

Monday, May 07, 2018


OPEN LETTER TO AUTO MANUFACTURERS:

FROM: EARL STEWART

Dear Auto Manufacturer,

I’ve owned and operated a Toyota dealership in Lake Park (near North Palm Beach), Florida since 1975. If you wonder who I am and why I’m writing you, Google “Earl Stewart” and “dealer fee”, click on www.EarlOnCars.com, and buy a copy of Confessions of a Recovering Car Dealeron Amazon.

I have a solution to the image problem the car buying public has with most of your dealers. As you know, the way your dealers retail the vehicles you manufacture has caused them to be distrusted and disliked by most of their customers. The Gallup Company has polled U.S. vehicle buyers every year since 1977 in a survey entitled Honesty and Ethics in Professions. For all 41 of those years, car salespeople have ranked last, or near last, among all the professions. Click onhttp://news.gallup.com/poll/1654/honesty-ethics-professions.aspx.

I understand why you’ve been unable improve the honesty and ethics in the way your dealers retail your vehicles. Over many years car dealers, the National Auto Dealers Association (NADA) and their state organizations have lobbied “franchise protection” laws in all 50 states into effect that protect car dealers from their manufacturers. These state franchise laws make it difficult or impossible to terminate a franchise agreement or add another franchised dealer near an established dealer, despite “bad behavior” by the established dealer. The franchise laws require you to treat each of your dealers as an “independent businessmen” that can make their own decisions with respect to advertising and sales practices.

I’ve been a car dealer since 1968 and I know that many car dealers would rather sell cars in an honest, ethical, and transparent way; however, they hesitate for fear of losing sales to those among their competitors that employ dishonest advertising and deceptive sales practices. They see that bait and switch advertising and deceptive sales practices “work” (especially on the less educated and vulnerable members of our society). I, too, was one of those dealers I've been criticizing now for many years. However, I changed. I changed for many reasons but the best reason for me and for why other dealers might also change is this: The knowledge and sophistication of the American consumers, especially millennials, has soared since the beginning of the 21st century. Car buyers are much smarter, more demanding, and have access via the Internet, Google, and the social media to the knowledge explosion.

My proposition to you is to employ the Earl Stewart brand and way of retailing cars to the vehicles you manufacture. Check out my dealership, www.EarlStewartToyota.com. I outsell all your dealers between Orlando and Cocoanut Creek (near Ft. Lauderdale) on the East coast of Florida while maintaining extremely high customer satisfaction. I do this by posting and advertising my lowest price on every new and used car. I offer a 100% unconditional money back guarantee on every car sold. Every customer has my personal cell phone number (561 358-1474) and the cell phone numbers of all of my managers. Every department in my dealership has a red hotline phone hardwired to my cellphone which reaches me 7 days a week. I employ a rigid code of behavior for all my employees. You can read the Earl Stewart Code by clicking on www.EarlStewartCode.com. When I sell or service a car my customers return to me at a higher percentage than virtually every Toyota dealer in the Southeast and the USA... you know this as "customer retention."

Mr. Auto Manufacturer, verify my claims, call me, visit my dealership and if I speak the truth, let me do what I do for your brand of vehicle. Putting the Earl Stewart brand on your make will result in an immediate and significant increase in sales, customer satisfaction and your dealer’s image, especially in the South Florida market.

Sincerely,

Earl Stewart

561 358-1474

Monday, April 30, 2018

If You Can’t Find an Honest Service Department, Find an Honest Service Person

Servicing your car might be just as scary as it was buying it. However, buying a car is something you only do every few years. During the time between buying cars you will bring it in for service maybe a dozen times (and that doesn’t even count repairs).

Car dealers make more money servicing your car than they do selling you one. The more service they sell you, the more money they make. Today's automobiles are of far better quality than they used to be and are much less likely to need repairs. Increasingly, basic maintenance is all you really need to do for your car. Also, many manufacturers are providing free maintenance for the first two or three years. This new dynamic is a threat to the car dealers’ most profitable departments…service and parts. Many car dealers are compensating for this by selling you more service than you really need.

Did you know that virtually every employee in a service department gets a percentage of the total amount of service he sells? The guy that writes up your service order when you drive in is on commission. They are service “salesmen” but they don’t like to be called that. Their title is usually “service advisor” or “assistant service manager”. The mechanic that fixes your car is on commission. The service manager that supervises the mechanic and the service salesman is paid on commission. The dealer and service manager expect the service salesman to “up-sell” you. This is typically accomplished with a “free inspection” purportedly to find maintenance and repairs that you “didn’t know you needed” and was probably not mentioned in your owner’s manual. After the service salesman sells you as much service as he can, the mechanic’s role is to find anything that needs to be fixed on the car that the service salesman or you were unaware of. He then calls the service salesman and tells him about the additional repairs you “need” …the second “up-sell”. I recommend that you stick to what your car’s manufacturer recommends for maintenance in your owner’s manual. When your service salesman tells you what he recommends, be sure that the manufacturer recommends it too. There are some exceptions to this, based on certain local environmental conditions, but very few. Always question any service not recommended by your owner’s manual. When a repair is recommended that you were unaware of, get a second opinion from another service department, especially if it’s an expensive repair. Be especially leery of transmission and radiator flushes. They’re not recommended by auto manufacturers but very popular with car dealer service departments; their high-priced and unnecessary.

Now, don’t get me wrong; just because people are paid on commission doesn’t make them dishonest or uncaring. However, if there’s a “rotten apple in the barrel” he will take advantage of a commissioned pay plan to maximize his earnings. There are very few companies with zero “rotten apples”. A good company does its best to ferret out the rotten apples but it’s a constant battle. In fact, there are companies that have more rotten apples than not. When you have a department or company where everybody is on commission, it takes an awfully altruistic manager to fire a top-producerbecause his paycheck enhanced by that individual. The more his “rotten apple” sells the more money the supervisor earns. This applies also to the “supervisor’s supervisor, all the way up to the guy that owns the company. The higher up the ladder you go, the harder it is to identify these more passive, unseen rotten apples that “aid and abet” the front-line apples. The head guy usually has what many CEO’s insist on…DENIABILITY. You hear a lot about that in government scandals. The press always wants to know, “Who knew what and when did they know it?” Everybody remembers Watergate where the rotten apples extended from the bottom of the barrel all the way to the top. It took Bob Woodward and Carl Bernstein over several years to follow the tracks all the way to the top of the barrel.

Often, there are people in all companies that are honest and caring for their customers. The point of this article is that you’re better served to look for that good person than only a good company. There is no surefire way to do this, but I can suggest a few methods. Clearly, you’re more likely to find a good service salesman in a company that has a good reputation. You find good companies by personal experience, recommendations by friends, and ratings by various services like Google (most reliable), Yelp, Dealer Rater, and BBB. If you read the reviews, often the individuals are mentioned. If you’ve dealt with this company before, others in that company, like the salesman sold you the car, can refer you to a particularly good service salesman. All manufacturers measure the customer satisfaction index of every service salesman. Insist on seeing these scores and find out how the service salesman ranks among his peers, both in the company and the entire region. Finally, always make an appointment to see that service salesman you’ve chosen. If he’s on vacation or not available for other reasons, wait for your service until he can see you.

Finally, when you find yourself a “good apple” for a service advisor, don’t keep it a secret. Tell your friends and tell the service manager and the owner of the dealership. When you do this, you’re doing your friends, the service advisor, the service manager, and the owner a great favor. You’re also spreading the word that treating customers with honesty and compassion is good for business.

Monday, April 16, 2018

Never Go Car Shopping Alone

I receive phone calls, texts, and emails from car buyers who have usually “already bought a car”. The “horse is out of the barn” and they want me to give them advice on how to get it back. Most of these car buyers went car shopping and bought their car alone. Most of the complaints involve verbal promises by the sales person, not committed to writing. Bringing at least one other person when you’re car shopping doesn’t negate the importance of getting all promises in writing, but substantially lowers the chances of a car salesman trying to pull a fast one. The salesman and his manager know that, in court, two people’s word trumps that of one.

A woman wrote me a letter in response to one of my columns. Her husband had recently passed away and this was the first car she had bought on her own. The dealer did not have the model car with the accessories she wanted and was unable to locate one at another dealership. She did not want to decide without seeing the actual car she wanted to buy but the salesman and manger talked her into signing a buyer’s order, assuring her that she was under no obligation to buy. They also included two accessories that she did not want because they said that “the manufacturer required it”. I’ve heard of distributors ordering cars with certain accessories from the manufacturer which essentially makes them “standard”, but never “$250 floor mats” which was one of the accessories she mentioned. I get a lot of emails, phone calls, and letters from people who made a bad deal in their car purchase and want to know how they can get out of it. This is one of the less egregious, but I chose it because it was a simpler and shorter example.

There is strength in numbers when shopping and negotiating to buy a car. In fact, this applies to any serious decision in life. You might be the sharpest, shrewdest negotiator on the block, but your odds of striking a better deal and not get taken advantage of are enhanced when you have others on your side. Personally, I make a habit of always having at least one partner when I am engaged in a serious, adversarial decision-making process. When meeting with those on the other side, I make it a point to arrive with at least as many people as they have present. One reason is the psychological factor. When you are in an office by yourself with two or three others, it can be intimidating. Another reason is that you always have people on your side to corroborate what was said. If a salesman or a sales manager makes a verbal promise that can be corroborated by a friend or two, it is far less likely to be broken. It will also hold up in court, if it must come to that. Of course, the better solution is to see that all promises are committed to writing.

Buying a car, especially a new car, is more often than not, an emotional decision. Having a friend or two with you can help you make more of an analytical, logical decision. Another point of view is always useful when making an important decision. Also, having one or two friends with you slows down the process to a level more easily absorbed and understood by you. A friend will often think of a question you should have asked but forgot.

Ideally you should bring someone with you who is skilled in negotiation and experienced in buying cars. However, if you don’t know someone like that, somebody is better than nobody.

Please understand that asking a friends, family member, or associates to join you in the purchasing of a car is not a sign of weakness; on the contrary, it’s a sign of intelligence and a sign of understanding how to stack the deck in your favor in a negotiation.

By the way, most car dealers are unhappy when prospective customers bring in advisors and friends. Naturally they feel that way because they recognize their chances of making a fast, very profitable sale are diminished.

Monday, April 09, 2018

Buying a Car When You Have Bad Credit

There are fewer things more sensitive or embarrassing than having to share your personal credit problems with a stranger. Having credit problems can also put many buyers in a weakened and defensive position when buying a car. Many people with bad, or too little credit feel like the car dealer is somehow “doing them a favor” by selling them a car and getting them financed. Some car dealers will lead you to believe that your credit is worse than it is to put you on the defensive. If they can make you believe that they’re doing you a favor by getting you financed, you’re less likely to complain about the price of the car, the interest rate, and even the type of car you buy.

Make no mistake about it. A car dealer is probably making more money selling a car to a person with bad credit a car than one with good credit. If you have a credit problem, go about buying a car with the same care and due diligence as if you had the very best credit. Shop and compare your financing, your interest rate, and your trade-in allowance. Get at least three quotes on each of these.

Lenders who specialize in lending to those with bad credit are known as “special finance” lenders. Many of these lenders charge the dealer a large upfront fee, as much as $2,500. Legally, the dealer is not supposed to add this fee to the price of the car you buy but, in the real world, the price of the car is usually higher as the result of this fee. Dealer also add high priced but worthless warranties to the price of the cars with the excuse that the lender requires it. This is a lie: it’s illegal for lenders to require a warranty to finance a car. In addition to an upfront fee, the interest rates are very high from special finance lenders. Because they anticipate a much higher amount of repossession losses, they must make more on each transaction. Don’t automatically accept a dealer’s opinion that you must finance through such a lender. There are many conventional banks, credit unions and auto manufacturer lenders these days that loan to people with bad credit. Their interest rates are lower and they don’t charge large upfront fees.

There is much fraud in special finance lending. Credit applications are falsified to show more time on the job, higher incomes, etc. W-2 forms and check stubs are counterfeited. Buyer’s orders show accessories and equipment that do not really exist on the car. Hold checks or promissory notes are misrepresented as cash down payment. Co-signers signatures are forged. Confederates pose as employers, answering cell phones or pay phones to verify employment. These falsifications are performed by finance managers, salesmen, brokers for special finance lenders (who are paid on commission) and the customers themselves. If you sign a credit application, be sure that you know all the information on that application is accurate. Be sure that you understand and agree to all parts of the transaction including down payments, accessories on the car, etc. Never be a party to falsifying information to a lender to obtain a loan. This is a federal crime.

Advertisements aimed at people with bad credit usually exaggerate with claims like, “We finance everyone”, “Wanted, good people with bad credit”, “No credit, no problem”, and, my favorite, “No credit application refused” (it doesn’t say your loan won’t be refused, just your application). My advice is to ignore these kinds of ads and these kinds of dealers. Their strategy is to take advantage of people with bad credit who they believe will buy any car, pay any amount of interest, and any profit to the dealers if the dealer can get them a loan.

It is common practice in Florida to encourage the car buyer to drive the car home immediately upon signing all the papers. In some states like New York this is not permitted until all the car has been registered with the state in the new owner’s name. The reason for this immediate delivery (commonly referred to as the “spot delivery”) is to discourage and possibly even prevent the buyer from changing his mind. Taking possession of the car is a legal consideration making the purchase more binding. I recommend that you not rush the purchase or the delivery. For one thing you want to be sure that the car is exactly the way you want it…clean inside and out, all the accessories properly installed, no dings, dents or scratches, and that you have a complete understanding of how to operate all the features of the vehicle.

More important than anything above, is to be sure the car does not have an outstanding safety recall from the manufacturer. Independent used car dealers, especially those who specialize in folks with bad credit, have become the home for dangerous used cars with unfixed safety recalls. Many new car dealers, like the AutoNation stores, wholesale all cars with unfixed Takata airbag recalls. These cars are bought at auction by used car dealers like DriveTime, OffLeaseOnly.com, CarMax, and thousands of others smaller used car dealers. These cars are retailed to people with bad credit who don’t ask the right questions because they are “grateful” to find financing. ALWAYS CHECK THE VIN OF THE USED CAR YOU BUY AT WWW.SAFERCAR.GOV.

I mention the risk of the “spot delivery” in this column on buying a car with bad credit because it can be especially harmful to someone whose credit is denied after the car has been delivered. You will most likely be required to sign a “Rescission Agreement” before you drive the car home. This is a quasi-legal document which requires you to return the car if your credit is denied. You will probably be told that your credit will be approved, but sometimes the dealer is wrong. The rescission agreement will have a charge for time and mileage that you have put on the car you are driving. Usually this is a very high charge from 25 cents per mile plus $50 per day and higher. It can take weeks for a special finance lender to rule on a credit application. If your credit is denied you could owe the dealer thousands of dollars which the down payment you made might not even cover.

As frightening as all the above may sound, the one single thing you can do to prevent bad things from happening when you purchase a car is to choose your car dealer very carefully. How long has he been in business? What is his track record with the Better Business Bureau, the County Office for Consumer Affairs, and the Florida Attorney General’s Office? Ask friends, neighbors, or relatives who have dealt with this car dealer what their experiences have been like. Choosing a good dealer with integrity will resolve 95% of all your concerns.

Monday, April 02, 2018

HOW TO COMMUNICATE BETTER WITH YOUR CAR DEALER (and be taken more seriously)

As many of you know, I communicate directly with my customers. Some would say to a fault. I don’t have a secretary or administrative assistant. My dealership’s telephone receptionist never asks the caller “who’s calling” or “may I ask the nature of your call?” and she puts my calls (and the calls to all my employees) right through. If I am not in my office, she puts them through automatically to my cell phone…7 days a week. I also have five red phones in five locations of my dealership…the showroom floor by the receptionist, the service customer waiting lounge, outdoors in the service drive, the used car department and in the body shop waiting lounge. Each phone has a picture of me with the message, “Customer Hotline to Earl Stewart. The Buck Stops Here. Have We Not Exceeded Your Expectations? Please Let Me Know. Simply Pick Up the Receiver and Wait For Me To Answer.” As if all this wasn’t enough, I put my personal cell phone number on my business cards and pass them out to my new customers at our bimonthly New Owners Dinner.

I say all this, not to brag (or maybe just a little). It might surprise you that I am not deluged with phone calls. I get quite a few, but considering I sell 400-500 cars a month and service thousands of cars each month, I doubt if I average more than 25 calls per day. Most of them are positive, complimentary calls. I believe one reason for this is that my employees are motivated to work harder to satisfy my customers because they know, if they don’t, I’m going to hear about it very quickly. Another reason is that my customers are remarkably respectful of the fact that they can call me and do not take advantage of it. When you extend your trust to people, they almost always respect that and do not take advantage.

Of course, you are not going to find a lot of car dealers who do what I do. But here is how you can improve your communications in other ways that will allow you to get problems solved and promises kept. Always ask for the business card of every person you deal with. If they don’t have a card, be sure to get their name. This improves your service right away because the person is no longer anonymous. Ask the person for his cell phone number. There was a time when it was considered wrong to call someone on his cell phone, but that was before cell phone rates became so cheap and the cell phone became universal. If this is a critical person you are dealing with, ask for his home telephone number too. Here is a little trick that I use when I do this. I always start out by giving them my cell phone and my home phone number. Then I say, “and may I have yours?” I can’t remember ever having been refused. If someone you are doing business with refuses to give you his cell phone number, maybe you should wonder why.

Also, make it a point to be introduced to this person’s manager. Get the manager’s business card and as many contact numbers as he is willing to share with you. When you do this, you have put the salesman or service advisor on notice that if he doesn’t return your phone calls you will be calling his boss. If you really want to have an edge, ask to meet the general manager and/or owner of the dealership. Get his telephone numbers. Now you will have everybody’s attention when you come into the dealership to transact business. Also, when you have their cell phone number, you can also text them which is less invasive than a phone call.

If you are a “computer person”, collect email addresses from everybody you deal with. Email is not as timely as a telephone, but it has the advantage over the telephone because it is “on the record”. When you make a request of a person by email, he can’t deny it because you have a copy of the message. I know that with Microsoft Outlook email, I get an acknowledgement every time somebody opens an email that I sent them. Furthermore, you can copy as many people as you like with an email. You can send copies that the primary recipient knows about or make them blind copies that he can’t tell were sent. Someone is a lot more likely to act on your request when he knows that it is a matter of record and his boss was copied with the email.

If you can force yourself into the habit of getting names, telephone numbers, and email addresses from everybody you deal with and their managers, conducting business with your car dealer (or any other business) will be much smoother and trouble free.