Now that’s a great example of an oxymoron isn’t it?
Menu step-selling is now proliferating Business offices across the
country with great success mainly in response to the increasing
number of products that are now being sold. One of step-selling’s
drawbacks is that many Business Managers do not present all of
their products using this sales process because their customers
grow impatient and the turn over is cut short. One of the
advantages of menu selling is that all of the products are
presented at once giving the customer every opportunity to
purchase. This concept of step-selling using a menu was developed
as a result of the myriad of financial protection plans that are
now available and in response to those Business Managers who insist
on step-selling their products.
One of the most common strategies that is now being used is to
step-sell loan & lease protection plans using a menu table. This
strategy and tool can be utilized during the credit application,
immediately after the credit application, after either an extended
warranty or a vehicle protection presentation or at the delivery
An example of a “Financial Protection Plans” table menu is provided
on page 3 to give you a better idea. The customer is presented with
all of the protection plans as payments and asked which ones they
would like to register.
Dealers need to maintain a healthy book of business with their
lenders. Statistics on repossessions and delinquencies for each
dealership are reviewed and used to help manage approval rates.
Business Managers and salespeople can help improve their
dealership’s approval rates by coaching their customers on the
importance of maintaining vehicle payments and how to improve their
credit scores. Some dealers call this procedure “the riot act.”
Pro-active dealers have even developed a “Credit Recovery” manual
that they provide each of their non-prime customers at delivery
laying a foundation for future prime sales.
How about sharing some sales tips with your sales team at your next
meeting? Here are a few ideas:
►When fielding a sales call, don’t answer, “Sales - this is Jim Norton speaking. How can I help you
Answer a sales call like this, “It’s a great day at Future Motors. I’d love to help
The second response is an assertion
rather than a question which will make your salespeople sound
unique and engage more customers.
►Jackie B. Cooper once gave this advice at a workshop: “Never forget your customers and never let your
customers forget you.”
He said that if you practice that
philosophy, you’ll have a very profitable career. One of Canada’s
top salespeople today adopted that strategy and practices it by
simply booking all of his clients’ service appointments - he speaks
and sees them all the time.
►Pick one of your oldest used vehicles in stock and find a walk
around video on YouTube to show them. Visit auto123.com and show
your salespeople how they can find all of the specifications of
that vehicle. Your Used Vehicle Manager will appreciate your
research and effort as well.
►Introduce leasing as a concept comparing it to buying fruits:
"Wouldn't it be great to buy bananas without having to pay for the
peel as well?"
► If a customer tells you that they don’t have enough time, just
respond in the following way: "No problem - just let me know when
you have to leave." Since the time issue is just a defence
mechanism, the objection is dismissed allowing the salesperson to
move through their sales process. Your team will love you!
► Have your salespeople share these statistics to “WOW” their
customers. “In a recent June 2012 IIHS report revealed that ESC
(Electronic Stability Control) has been found to reduce fatal
single-vehicle crash risk by 49 percent, fatal single-vehicle
rollovers by 75 percent for SUVs and by 72 percent for cars and
reduces single-vehicle crashes of cars by 32 percent and
single-vehicle crashes of SUVs by 57 percent. NHTSA estimates that
ESC has the potential to prevent 72 percent of the car rollovers
and 64 percent of the SUV rollovers that would otherwise occur in
Increase your asset value by sharing tips that can help your
salespeople sell more cars and not just more rust proofing.
Have a copy of Revenue Canada’s tax regulations regarding writing
off a lease payment.
Use this information to rationalize extra product sales: “Most
people in your situation will maximize their write-offs and
register all the protection plans they can.”
This is a hidden treasure for many dealerships yet, most are either
unaware or ignore the opportunity. Most dealers/managers believe
that calling these customers is an exercise in futility as there is
usually negative equity to have to deal with. The reality is that
if the customer has not incurred any further derogatory credit, has
maintained their job stability and made their payments on time,
they will be eligible for a far lower interest rate solution. Even
with consolidating some negative equity, most customers are able to
step into a newer vehicle with lower kilometers and more warranty
for about the same monthly payment or less - this is terrific news
and it costs you nothing to call.
You can’t just tell customers that they need an extended warranty,
you need to show them. Wherever possible, graphically show your
customers proof of need. Other ideas would include:
→ Showing a graph illustrating the probability of using an extended
→ Showing at least 3 repair orders from your service
- A $500 to $1000 repair
- A $1000 to $2000 repair
- A large one over $3500
→ A chart showing the rising cost of repairs
→ a flip chart with a clear plastic cover showing all of the
comprehensive coverage allowing you to peel it back to show what is
not covered—this is a powerful tool
→ use rebuttals and analogies that relate to a customer’s personal
life and how they cope with unforeseen and unexpected surprises
One of the keys to overcoming cost and value objections is to
address them in your presentations by inserting rebuttals so that
when you attempt to close a warranty sale, the customer’s concern
about the need or cost of the warranty has already been
I had 113% insurance penetration on my deals.
I sold 3 customers his & hers’ WalkAway™ protection
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