Gross Per Vehicle Retail
Why is it important?
How does it impact your paycheck?
Should gross PVR be consistent or fluctuate?
Gross PVR is important because as a tracking metric it tells you:
Gross PVR does impact your paycheck.
However, salespeople, you are not paid on gross PVR. You are paid on Total Gross.
In other words:
The more cars you sell X Higher PVR = the more $$$ you make.
Your paycheck is a combination of your gross PVR and the number of units you sell.
Your gross PVR should be all over the place.
It should fluctuate wildly.
When there is a tough deal, short deal, you should still make the deal.
(Which will result in low, or even very low, gross PVR.)
When there is money to be made, CAPITALIZE ON IT!
Averages are made up of highs and lows.
Remember: Maximize every opportunity. Take every penny available to be made and move on.
Volume is not the enemy of gross.
Gross is not the enemy of volume.
The enemy of both gross and volume is not following your Sales Process. Follow the Sales Process in the Excellence Roadmap. Follow all of the steps of the sales, with every customer, every time. And you will have both gross and volume.
Today starts a four-week series.
Today begins a 31-day challenge.
Take this challenge and you will learn how just 3 minutes a day will change the way you think.
So, what is the challenge?
It is the Proverbs Challenge.
Proverbs is a short book in the Bible. In fact, it is 31 chapters – one for each day of the month. It is full of wise sayings that are used to help you become better today then you were yesterday. And, no, you do not have to be a Christian to benefit from reading Proverbs.
It’s that simple. Spend 3 minutes a day reading Proverbs.
It will change the way you think.
Remember: Your thinking drives your actions which determine your results.
When you remind yourself about what is true and what is right,
your results will be true and right.
You know down payment determines monthly payments.
When you get payment options from the desk, make sure your deal sheet
includes different options for down payments.
Use down payment options during your Logic Statement.
Give your customers the options and let them choose which works best for them.
In the Logic Statement, you are planting the seed…
If you want a lower monthly payment, how do you get it? Put more money down.
And it’s ok to pay a higher monthly payment and keep your money.
With down payments, work off of your deal sheet, give options, let the customers
choose their downpayment and monthly payments.
Tip: Use Re-Sell Re-Ask when your customer tries to work you on the payment amounts.
We are all dependent on each other. Every department. Every person.
So, how do you make things better? How can you inspire positive change?
You cannot expect others to change if you are unwilling.
We all struggle with this. And we all can be better.
Here is how you can take responsibility and be a positive change:
One of the ways to be better today than you were yesterday is during your 15 minutes
a day of self-improvement.
Think about the day before and ask yourself…
Be the person who makes a positive change.
Be the person who is a benefit to others.
Use the law of averages (& your Sales Process) to maximize your closing %.
10% of buyers will buy regardless of what you do.
10% of buyers will not buy regardless of what you do.
80% of buyers you can positively impact by using your Sales Process.
A word of caution…
Don’t let the 10% of buyers who will buy regardless of what you do give you
a false sense of security (that you don’t need to follow your Sales Process).
Don’t let the 10% of buyers who will just not buy dictate how you handle the majority
(you will end up lowering your gross, undervaluing trades, etc.).
DO NOT change your thinking or your process because of these people.
The Sales Process you study every day on the Excellence Roadmap is designed for the 80%.
It is designed to maximize your results with the buyers you can influence.
What you do, and how well you do it, with the 80% determines your results.
Following the Sales Process with 100% of your customers will lead to increased
closing %, increased gross PVR, decreased overpaying for trades.
You will build a bank of Excited, Loyal, Lifetime Customers
who give you repeat and referral business.
Every buyer deserves your 100%.
Every buyer deserves your excellence.
Play to win today and every day.
Are you a dealership ambassador?
What does that even mean?
It means you take responsibility for every customer – even if they are not your buyer.
It means you own every single interaction with every person who walks onto your lot.
If a customer calls or comes into the showroom and it is ‘their’ consultant’s day off,
(they are out to lunch, in training, whatever), take care of that customer!
Step up your game. Be a benefit to the customer and to each other.
Always look for ways to take care of the customer in front of you.
What is the difference between an objection and a condition?
Objection – Any reason for not moving forward with the deal
(usually a fear that can be overcome).
Condition – Something that is absolutely required to move the deal forward.
The Trial Close, in your Excellence Roadmap training, is also called the Velvet Hammer. It is an incredibly simple and comfortable way to overcome any objections your buyer might have. It helps you overcome your buyer’s fears and gets them comfortable saying “yes” to buying the car. From you. Today.
There are 3 types of objections: price, product, and postponement.
When a customer has a postponement objection.
For example, “I have to check with my bank first“,
do NOT make the mistake of trying to sell your financing right then and there.
It’s an easy mistake to make, but don’t do it!
Make the objection the close.
“If the bank gives you the check, is this the car you definitely want?“
The Trial Close gets buyers to commit to buy. You can sell them on your financing
AFTER you find out if it’s the car they want (pending financing).
The Trial Close is about getting a commitment on the car.
Get the commitment, then bring your customer inside.
Always game plan with your management team on how to handle
and overcome specific objections.
Nothing is good or bad until it is compared to something else.
How you draw comparisons, what you use as your benchmark, is extremely important.
We are always comparing ourselves to someone else.
It’s hard to not make these comparisons.
Let me tell you something, these comparisons do NOT measure excellence.
Start asking yourself…
Am I pursuing excellence?
Am I working with excellence?
Start internalizing who you are. Start comparing who you are now to who you want to become.
If you’re pursuing excellence every day, if you’re working to become better today than you were yesterday, that’s the comparison you need to make.
Let’s be honest. Buying anything is about compromise.
So, how do you get your buyers to compromise?
Most people, your customers included, are looking for the whole package. So, how do you get buyers to justify modifying or changing their criteria when the car on your lot only meets most of the items on their mental checklist?
You have to know your buyer. You have to know:
Tip: This is why mastering the Understand Goals step of your Excellence Roadmap training is so important.
When you master the Understand Goals step, you get to know your buyer. This gives you the opportunity to find something on the lot they can drive home today.
Your attitude is contagious.
How do you cultivate an attitude of gratitude?
How do you form an attitude of gratitude?
Gratitude is not a natural human state. You have to work at it.
You have to put gratitude in your mind every day.
One of the easiest ways to do this is to write down 3 things you are thankful for every day.
That might sound simple, but do this, every day, and you’ll be amazed at how your outlook on life changes. How your attitude improves when you become grateful for what you have.
Take a minute. Look around at your life. You are blessed. You have so much to be thankful for.
Count what you are thankful for and you will take on an attitude of gratitude.
Remember: Your attitude is contagious.