You say you want marketing news and commentary? Well, you came to the right place. The Big Fat Marketing Blog is updated daily by the editors of Chief Marketer, Direct, Promo and Multichannel Merchant. Opinions? Oh yeah, we got em'. Don't say we didn't warn ya'.

Are All Car Dealers Morons?

Here’s a story on poor customer service you may enjoy.


Recently I began the painful process of looking for a new car. A SUV, actually, to replace our 2002 Chevy Suburban, as with 4 kids and a dog, my family does not fit into a traditional car. My wife narrowed her choices to another Suburban or a Toyota Sequoia. This is post “cash for clunkers” and I assumed they would want to dump these gas guzzlers fast.


I forgot to never assume.


I reach out to four (4) Chevy dealers and three (3) Toyota dealers and I can not even get a call back. I go online, try that method, totally ignored. After my 4th or 5th attempt, I finally reach one dealer for each product who will only negotiate if I come to the dealership and when I get more specific, they ignore me and don’t return my calls.


As I write this I still have not made any headway. Car dealers still don’t seem to understand that their model is broken and even worse, treat me, and I am sure many of you, like we are annoying them by wanting to buy their products. NOT a wise way to create raving fans.


Customer service can be a “game changer” in marketing in any economic climate, especially a down economy, yet these automobile dealers just don’t get it. Pay attention to customer service. It will heed you well. Your bottom-line will prove it.

16 Comments to “Are All Car Dealers Morons?”

  1. Wouldn’t you think auto dealers would have figured it out by now? I guess old habits are too ingrained. I bought my car (Toyota Solera) through CostCo which had a pre-arranged deal with a local dealer and it was painless. No haggling and what I believe to be a very good deal (I’ll never know for sure). I even arranged financing through CostCo. I bought my kitchen counters through them too and, again, the buying process was painless - the guy came to my house. I think CostCo provides a terrific service in many areas beyond its store items.

  2. And we are suppossed to feel bad for them during these tough times after decades of lousy service and dishonesty. Let them feel the pain they have bestowed on us…

  3. well, there’s actually a little method to their madness. getting phone-shopped is NOT the way to sell cars. they need to get your body into the showroom where they can read the signals, see what you came in driving, and capture your attention. they could spend (waste) a lot of time answering calls & questions from shoppers who will NEVER come in and be buyers . . .

  4. Tom misses the point. 20 - 25 years ago the dealer had all the power becuase that was the only place to buy a car, you were forced into using his process. When things change (mostly the internet) information is available to the wider market and the dealer losses the control he’s relied on for more than 60 years.

    CostCo, Carmax and others will take all the call in business you want to send them.

  5. If you believe calling anyone a Moron and publish it for others to see, then I think you are the Moron. No one deserves to be insulted just because you did not get the treatment or response you demanded.

    Grow up and be a nicer person!

  6. I think the headline here is “Are All Car Dealers Morons?” not “Is (insert a person’s name here) a Moron.”

    I for one believe all car dealers think all consumers are morons, but that’s another story for another day…

  7. I am sorry to hear that you had bad experience but I can assure you that there are a number of good dealerships that take care of customers every day. It’s not fair to bundle everyone into the box. We’re not all morons. It would be like me saying that every lawyer was bad, etc…..

    The dealership body deserves some of the bad press because typically a franchise is handed down from a parent to a son or daughter and most of those aren’t good business decisions. Good business practices were never learned from the first generation which means that it will probably be the “same ol same ol” for the next generation. In fact, there is a term for a kid being passed the business. We say they have a PHD (Pappa Had a Dealership).

    Personally, my dealership group would rather handle phone calls and internet leads. It allows us find the best customers with the highest intent to purchase, handle objections, and streamline the process when they reach the dealership. That helps us control employee expense and ad costs. In fact, 40% of our overall sales come from our Internet Lead Management teams, which employs only 13% of our salespeople. You do the math.

    Send a lead our way. Give us a call. we’ll keep the light on for ya…

  8. You called for prices. I did go in for prices, twice, to the same dealer, different salesmen. Had a pretty good idea what I wanted, gave the specs. Never called back with a price, twice. Went with another brand, whose salesman was very helpful, even though my husband was difficult. Got what we wanted at the price we were expecting. (It’s always too much, I guess.)

  9. We work with car dealers daily and I’ve found that the vast majority of responsive and “get the big picture” where marketing, sales ad service is concerned - especially those who operate in smaller communities.

    I think David has hit the nail on the head … most dealerships would rather take calls and internet leads - you may travel a little further but my guess is the deal and and service will be worth the effort.

  10. As David M rightly points out, we should not generalise and put all Dealers in the same box. I have worked and continue to work for a number of Auto OEMs and can truly say there are some very good and responsive operators out there.
    Conversely there are some real slackers who sit back and wait for handouts - incentives, customers, etc.
    It is the same wherever you go in the world, be it US, Australia, Asia, Europe, you will find the same issues.
    All I can suggest is shop around until you find that consumer focused Dealer!

  11. Thanks for all your comments. Among the Chevy and Toyota dealers are the #i dealers in my area. Since the post my wife did visit the Chevy dealership and together we visited the Toyota dealership. Neither would provide numbers — still have not.

    My wife did get a follow up letter from the Chevy dealership — it had her name printed on it twice. They sent it with the second time they listed her name crossed off in pen. Honest to goodness. What confidence that builds.

  12. That is why I suggest my friends use a service I know that does all the work. I recently went to a Mercedes dealership here in South Charlotte. The “moron” was not only not listening to me and tried steering me to cheaper cars, but never followed up. Would I waste my time looking at 100k cars if I can’t afford one. I told him what I needed him to find me. He wanted my # but my life is full of conference calls and meetings. The last thing I want is more phone calls. I asked him to email me when they had what I wanted. A GOOD SALESPERSON would have emailed me that it was nice to meet me and he would let me know when they had my black SL located before I was even home. I have yet to hear from him. I know he isn’t selling so many cars that he doesn’t need my business.

  13. I feel your pain and have had it up to here with most dealership.

    In fact, I’ve had it up to here with a number of retailers. They just don’t get it.

    What they are finding out is this. Either you respect the customer’s preferred process and way of doing business or you are out of business.

  14. I think there are two issues at play.

    First, your assumption that you’re entitled to a great deal on a gas guzzler is completely flawed. Just as the car dealers are living by the old rules, so are you. Now that production capacity has been scaled back to match demand, there’s no need to liquidate inventory. In fact, it might even shock you to learn that production on big SUVs has been scaled back so far that they’re often selling for full price.

    Second, car dealers just came off the best month in a year. The salespeople you’re calling just cashed the fattest commission check they’ve had in AT LEAST 18 months. They’re sitting pretty, and in no mood to deal with anyone shopping for a discount. I’m not defending this practice mind you (there’s never an excuse for poor customer service), but I strongly disagree that this lack of effort is symbolic of a failed model.

    This is about a salesperson who is flush with cash and a consumer who is living in the past - there’s no need to make a judgment about an industry.

  15. When a certain enormous US automaker just completely “reinvented” themselves as part of their bancruptcy (so thoroughly, it took them over 2 weeks) they introduced a new senior executive who to oversee “customer experience” from now on. This industry veteran made an interesting speech. Among other things he said was something to the effect that the automaker “has heard consumers’ grumblings about the traditional dealership model.” But, after years of experience, they had determined that it was the best model, and whether or not consumers liked it, they were stuck with it.

    I’m afraid that as painful as recent events have been, the auto industry is still more or less oblivious.

  16. October 1st, 2009

    “General Motors posted a 45% drop in September U.S. light-vehicle sales, while Chrysler’s sales fell 42%. Ford saw a much more modest drop of 5.1%. Among Japanese auto makers, Toyota said its September U.S. sales declined 16% from a year earlier, while Nissan saw its results fall 7% and Honda said its sales slid 23%. The auto industry was hurt by the expiration of the U.S. government’s “cash-for-clunkers” rebate program.”

Leave a Comment

Acceptable Use Policy

authimage
Enter the word as it is shown in the box above.
If you can't see the word, refresh the page.

Are All Car Dealers Morons?

Here’s a story on poor customer service you may enjoy.


Recently I began the painful process of looking for a new car. A SUV, actually, to replace our 2002 Chevy Suburban, as with 4 kids and a dog, my family does not fit into a traditional car. My wife narrowed her choices to another Suburban or a Toyota Sequoia. This is post “cash for clunkers” and I assumed they would want to dump these gas guzzlers fast.


I forgot to never assume.


I reach out to four (4) Chevy dealers and three (3) Toyota dealers and I can not even get a call back. I go online, try that method, totally ignored. After my 4th or 5th attempt, I finally reach one dealer for each product who will only negotiate if I come to the dealership and when I get more specific, they ignore me and don’t return my calls.


As I write this I still have not made any headway. Car dealers still don’t seem to understand that their model is broken and even worse, treat me, and I am sure many of you, like we are annoying them by wanting to buy their products. NOT a wise way to create raving fans.


Customer service can be a “game changer” in marketing in any economic climate, especially a down economy, yet these automobile dealers just don’t get it. Pay attention to customer service. It will heed you well. Your bottom-line will prove it.

16 Comments to “Are All Car Dealers Morons?”

  1. Wouldn’t you think auto dealers would have figured it out by now? I guess old habits are too ingrained. I bought my car (Toyota Solera) through CostCo which had a pre-arranged deal with a local dealer and it was painless. No haggling and what I believe to be a very good deal (I’ll never know for sure). I even arranged financing through CostCo. I bought my kitchen counters through them too and, again, the buying process was painless - the guy came to my house. I think CostCo provides a terrific service in many areas beyond its store items.

  2. And we are suppossed to feel bad for them during these tough times after decades of lousy service and dishonesty. Let them feel the pain they have bestowed on us…

  3. well, there’s actually a little method to their madness. getting phone-shopped is NOT the way to sell cars. they need to get your body into the showroom where they can read the signals, see what you came in driving, and capture your attention. they could spend (waste) a lot of time answering calls & questions from shoppers who will NEVER come in and be buyers . . .

  4. Tom misses the point. 20 - 25 years ago the dealer had all the power becuase that was the only place to buy a car, you were forced into using his process. When things change (mostly the internet) information is available to the wider market and the dealer losses the control he’s relied on for more than 60 years.

    CostCo, Carmax and others will take all the call in business you want to send them.

  5. If you believe calling anyone a Moron and publish it for others to see, then I think you are the Moron. No one deserves to be insulted just because you did not get the treatment or response you demanded.

    Grow up and be a nicer person!

  6. I think the headline here is “Are All Car Dealers Morons?” not “Is (insert a person’s name here) a Moron.”

    I for one believe all car dealers think all consumers are morons, but that’s another story for another day…

  7. I am sorry to hear that you had bad experience but I can assure you that there are a number of good dealerships that take care of customers every day. It’s not fair to bundle everyone into the box. We’re not all morons. It would be like me saying that every lawyer was bad, etc…..

    The dealership body deserves some of the bad press because typically a franchise is handed down from a parent to a son or daughter and most of those aren’t good business decisions. Good business practices were never learned from the first generation which means that it will probably be the “same ol same ol” for the next generation. In fact, there is a term for a kid being passed the business. We say they have a PHD (Pappa Had a Dealership).

    Personally, my dealership group would rather handle phone calls and internet leads. It allows us find the best customers with the highest intent to purchase, handle objections, and streamline the process when they reach the dealership. That helps us control employee expense and ad costs. In fact, 40% of our overall sales come from our Internet Lead Management teams, which employs only 13% of our salespeople. You do the math.

    Send a lead our way. Give us a call. we’ll keep the light on for ya…

  8. You called for prices. I did go in for prices, twice, to the same dealer, different salesmen. Had a pretty good idea what I wanted, gave the specs. Never called back with a price, twice. Went with another brand, whose salesman was very helpful, even though my husband was difficult. Got what we wanted at the price we were expecting. (It’s always too much, I guess.)

  9. We work with car dealers daily and I’ve found that the vast majority of responsive and “get the big picture” where marketing, sales ad service is concerned - especially those who operate in smaller communities.

    I think David has hit the nail on the head … most dealerships would rather take calls and internet leads - you may travel a little further but my guess is the deal and and service will be worth the effort.

  10. As David M rightly points out, we should not generalise and put all Dealers in the same box. I have worked and continue to work for a number of Auto OEMs and can truly say there are some very good and responsive operators out there.
    Conversely there are some real slackers who sit back and wait for handouts - incentives, customers, etc.
    It is the same wherever you go in the world, be it US, Australia, Asia, Europe, you will find the same issues.
    All I can suggest is shop around until you find that consumer focused Dealer!

  11. Thanks for all your comments. Among the Chevy and Toyota dealers are the #i dealers in my area. Since the post my wife did visit the Chevy dealership and together we visited the Toyota dealership. Neither would provide numbers — still have not.

    My wife did get a follow up letter from the Chevy dealership — it had her name printed on it twice. They sent it with the second time they listed her name crossed off in pen. Honest to goodness. What confidence that builds.

  12. That is why I suggest my friends use a service I know that does all the work. I recently went to a Mercedes dealership here in South Charlotte. The “moron” was not only not listening to me and tried steering me to cheaper cars, but never followed up. Would I waste my time looking at 100k cars if I can’t afford one. I told him what I needed him to find me. He wanted my # but my life is full of conference calls and meetings. The last thing I want is more phone calls. I asked him to email me when they had what I wanted. A GOOD SALESPERSON would have emailed me that it was nice to meet me and he would let me know when they had my black SL located before I was even home. I have yet to hear from him. I know he isn’t selling so many cars that he doesn’t need my business.

  13. I feel your pain and have had it up to here with most dealership.

    In fact, I’ve had it up to here with a number of retailers. They just don’t get it.

    What they are finding out is this. Either you respect the customer’s preferred process and way of doing business or you are out of business.

  14. I think there are two issues at play.

    First, your assumption that you’re entitled to a great deal on a gas guzzler is completely flawed. Just as the car dealers are living by the old rules, so are you. Now that production capacity has been scaled back to match demand, there’s no need to liquidate inventory. In fact, it might even shock you to learn that production on big SUVs has been scaled back so far that they’re often selling for full price.

    Second, car dealers just came off the best month in a year. The salespeople you’re calling just cashed the fattest commission check they’ve had in AT LEAST 18 months. They’re sitting pretty, and in no mood to deal with anyone shopping for a discount. I’m not defending this practice mind you (there’s never an excuse for poor customer service), but I strongly disagree that this lack of effort is symbolic of a failed model.

    This is about a salesperson who is flush with cash and a consumer who is living in the past - there’s no need to make a judgment about an industry.

  15. When a certain enormous US automaker just completely “reinvented” themselves as part of their bancruptcy (so thoroughly, it took them over 2 weeks) they introduced a new senior executive who to oversee “customer experience” from now on. This industry veteran made an interesting speech. Among other things he said was something to the effect that the automaker “has heard consumers’ grumblings about the traditional dealership model.” But, after years of experience, they had determined that it was the best model, and whether or not consumers liked it, they were stuck with it.

    I’m afraid that as painful as recent events have been, the auto industry is still more or less oblivious.

  16. October 1st, 2009

    “General Motors posted a 45% drop in September U.S. light-vehicle sales, while Chrysler’s sales fell 42%. Ford saw a much more modest drop of 5.1%. Among Japanese auto makers, Toyota said its September U.S. sales declined 16% from a year earlier, while Nissan saw its results fall 7% and Honda said its sales slid 23%. The auto industry was hurt by the expiration of the U.S. government’s “cash-for-clunkers” rebate program.”

Leave a Comment

Acceptable Use Policy

authimage
Enter the word as it is shown in the box above.
If you can't see the word, refresh the page.

About

You say you want marketing news and commentary? Well, you came to the right place. The Big Fat Marketing Blog is updated daily by the editors of Chief Marketer, Direct, Promo and Multichannel Merchant. Opinions? Oh yeah, we got em'. Don't say we didn't warn ya'.

Social Media

  • Share

Calendar

September 2009
M T W T F S S
« Aug   Oct »
 123456
78910111213
14151617181920
21222324252627
282930  

Your Account

Subscribe

Subscribe to RSS Feed

Subscribe to MyYahoo News Feed

Subscribe to Bloglines

Google Syndication