The Carolinas Independent Auto Dealers Association (CIADA) recently awarded its Quality Dealer of the Year Award to M&M Auto Sales in Lumberton, N.C., during a ceremony following the association's annual Expo.
Brothers Chris Moore and Jerry Padrick Jr., who took over M&M Auto Sales from their father about 25 years ago accepted the CIADA’s top award.
The dealership was chosen from a group of several candidates that the CIADA judged on a variety of factors, such as contributions to the auto industry, the association and local community.
Michael Darrow of The Auto Finders in Durham, N.C., and a past Quality Dealer of the Year, nominated M&M Auto Sales.
"Jerry and Chris are an inspiration to all dealerships across the Carolinas and the country," CIADA executive director John Brown said in a news release.
"M&M Auto Sales walks the walk. It is truly a pleasure to recognize dealers in the Carolinas who achieve greatness. I look forward to having M&M Auto Sales compete for the National Quality Dealer award at the NIADA Convention in June 2018."
Next year, the dealership will represent the Carolinas as CIADA's nominee for the National Independent Automobile Dealers Association’s top award in Orlando, Fla.
"It is an honor to be recognized by one of the top IADAs in the country. We are very humble people, and we just do the right thing for our customers," said Padrick Jr. in the news release. “We surround ourselves with the best employees, and we learn from others in the community. We just treat others like we would want to be treated when you buy a car.”
In addition to serving as coaches for local youth baseball and soccer in their community, Moore and Padrick are also involved with Robeson County 4-H, the Relay for Life and active in their church, according to the CIADA.
eAutoAppraise recently announced that since joining the Mazda Digital Certified Program, its trade-in platform has been newly integrated to now allow dealers with a Mazda Certified website to use the company's technology to offer their customers vehicle appraisals via their websites.
All Mazda dealers who have enrolled with a Certified Website Provider have access to the new integration with the layout of their sites, the company said.
"We are proud and honored to be part of the Mazda Digital Certified Program and we look forward to helping Mazda dealers across the country increase their lead conversion and sales," eAutoAppraise managing partner Barry Brodsky said in a news release.
To provide dealers with high-quality leads, eAutoAppraise features both a value trade-in and sell-your-vehicle format that works with the CreditMiner platform to produce permissible full file bureau data.
Additionally, the platform’s technology is fully responsive and works on all devices, according to eAutoAppraise.
For more information about the Mazda Digital Certified Program click here.
With two Category 4 hurricanes striking the United States during the past two weeks, the National Automobile Dealers Association offered 10 inspection tips for prospective buyers to spot flood-damaged vehicles.
As what’s left of Hurricane Irma cut through Georgia and Alabama on Monday, the impact left a day earlier in Florida was significant.
According to updates posted on its website, ADESA did not open its Florida facilities in Tampa, Sarasota, Orlando, Ocala and Jacksonville on Monday. ADESA Atlanta was set to close at 1 p.m. on Monday. ADESA Birmingham opened on Monday, but officials said the Alabama facility was operating with a limited staff.
While ADESA said its Orlando operation still was planning to have its dealer consignment sale on Tuesday, and its regularly scheduled consignment sale in Atlanta on Wednesday was still scheduled, the company emphasized that dealers and consignors should monitor its website for potential changes.
No matter how dealerships might be acquiring inventory in the coming weeks, NADA urged used-car managers and operators to watch for potentially damaged vehicles by taking these steps it listed on its website:
1. Check a vehicle’s title history using the National Insurance Crime Bureau’s VinCheck, the National Motor Vehicle Title Information System or a commercially available vehicle history report service, such as Experian or Carfax, etc. Reports may state whether a vehicle has been flood damaged.
2. Examine the interior and the engine compartment for evidence of water and grit from suspected submersion.
3. Check for recently shampooed carpeting.
4. Look under the carpeting for water residue or stain marks from evaporated water not related to air-conditioning pan leaks.
5. Inspect for interior rust and under the carpeting, and inspect upholstery and door panels for evidence of fading.
6. Check under the dash for dried mud and residue, and note any mold or a musty odor in the upholstery, carpet or trunk.
7. Check for rust on screws in the console and in other areas water would normally not reach unless the vehicle was submerged.
8. Look for mud or grit in alternator crevices, behind wiring harnesses and around the small recesses of starter motors, power steering pumps and relays.
9. Inspect electrical wiring for rusted components, water residue or suspicious corrosion.
10. Inspect other components for rust or flaking metal not normally found in late-model vehicles.
NAMAD gets involved in hurricane relief
In light of historic hurricane disasters in Texas and Florida, the National Association of Minority Automobile Dealershas spearheaded the NAMAD Disaster Relief Fund to assist employees and families of NAMAD members in these affected areas.
In a member-wide call to action, NAMAD has asked members to contribute $2,000 for each dealership they own to this crucial Fund.
“The response has been amazing,” NAMAD chairman Irving Matthews said in a news release. “We have already collected more than $400,000 towards our goal of raising $1 million. Even our dealerships in the affected areas have donated, despite the potential for huge financial losses.
“All of the monies raised will be distributed to NAMAD member dealer employees and their families to help them deal with the loss of income, housing and stability hurricanes Harvey and Irma have created,” Matthews continued. “Like millions of Americans coast to coast, we've made a commitment to help those in need, and help jumpstart the rebuilding process.”
NAMAD acknowledged it will take months for the most severely damaged businesses to rebuild. This, too, prolongs the crisis for affected families.
“NAMAD calls on the insurance industry to be expedient in processing claims for losses during Hurricanes Harvey and Irma,” NAMAD president Damon Lester said. “We also thank automobile manufacturers for accelerating vehicle removal and staging so damaged inventory can be replaced as quickly as possible.
“Texas and Florida represent two major markets for new vehicle sales in the U.S., and NAMAD and others are doing our part to assist those in need,” Lester said. “If all companies that support the automobile industry react and respond with immediacy and purpose, we can, more quickly, put Hurricanes Harvey and Irma in the history books.”
SpinCar announced Monday that it has joined the CDK Global Partner Program and is now part of a marketplace made up of 300 partner companies that offer more than 400 different applications for auto dealers.
“We are very excited to be a part of the CDK Partner Program as we continue on our mission to provide innovative tools and services to automotive dealers,” SpinCar chief executive officer Devin Daly said in a news release. “This program allows CDK dealers to experience our product suite to its fullest.”
In addition to its Mobile Capture Application, which is designed to boost photographer efficiency and promote higher inventory coverage, SpinCar’s 360-degree Walkaround has delivered dealerships and OEMs 42 percent more leads on average and increased consumer engagement by 56 percent, according to the company.
“We’re pleased to continue expanding the CDK Partner Program with SpinCar’s platform,” said Howard Gardner, CDK Data Services vice president and general manager. “SpinCar is a welcome addition to the Partner Program’s group of vehicle merchandising applications.”
For a full list of vendors and applications currently available through the CDK Global Partner Program, visit cdkglobal.com/partners.
Dominion Dealer Solutions is now an approved vendor for Mazda North American Operation’s (MNAO) new Digital Certified Dealer Website and Advertising Program.
Franchised dealerships can now enroll in the Mazda Digital Certified Program and choose from one of Dominion’s selection of website and digital advertising packages.
Dominion’s three website packages include Essential, Excel and Eclipse.
Mazda dealers can also select from different website accelerators such as: My Payment’s lead generation tool, fully-managed search engine optimization, fixed ops content and monthly custom display banner creation.
In addition to a reporting dashboard for various analytics data, the website packages come with a designated digital marketing manager who oversees the needs of Mazda dealers and works to resolve any issues.
“Not only are our websites responsive, but so are our people,” Dominion director of OEM partnerships Ryan Kelly said in a news release. “Dealers appreciate the white glove treatment they receive, the high level of customization, the marketing coordination and cross-product collaboration they get from our seasoned automotive veterans.”
Additionally, MNAO dealers enrolled in the Digital Certified Program can select from Dominion’s digital advertising programs such as: Essentials Search, Eclipse Search with Remarketing, Elite Search, Social Predictive Inventory, Social Dynamic Retargeting and Social Fixed Ops Lifecycle.
AutoAp has developed a new assessment survey that provides dealers with a current safety recall liability score and specific recommendations regarding needed improvements to reduce safety recall liability at their dealerships.
With the report, dealers can gain an understanding of how they compare to the industry average and dealers with effective safety recall management processes.
“Dealers tell us how quickly they are able to lower their liability with the specific recommendations provided in our report. They’ve also said they had no idea they weren’t really covered,” AutoAp chief executive officer Mark Paul said in a news release.
“With all of the safety recall compliance requirements facing dealers today, it is extremely important for dealers to honestly assess how they are currently managing safety recalls. We are pleased to offer this industry-first recall management assessment tool, giving dealers an easy way to quantify their current recall liability and move towards best practices,” he continued.
The assessment includes six questions and is available to franchised dealers through the end of the year.
“Establishing a baseline for current recall management effectiveness, dealer principals can begin their critical process examination and learn where improvements need to be made. David Nathanson, managing partner at motormindz said in the release. “Ignoring ineffective recall management practices guarantees that a dealer will remain at high risk. I applaud AutoAp for making this available for all dealers. It is timely and extremely valuable.”
For access to the online assessment click here.
automotiveMastermind technology users can now choose to deliver prescreen credit offers via Equifax’s real-time credit-based solution PowerLead Offer, the company announced Thursday.
The behavior prediction technology provider has partnered with Equifax to integrate PowerLead Offer data to generate personalized, micro-targeted prescreen offers for dealers' customers.
PowerLead Offer can be used with browsing shoppers visiting the dealership or customers having their vehicle serviced.
“Every dealer wants to increase sales and customer satisfaction and in teaming up with Equifax we are able to quickly and easily help dealers fulfill that goal,” automotiveMastermind chief executive officer and co-founder Johannes Gnauck said in a news release.
“We want to provide dealers with every tool available, and now they will be able to identify which consumers are likely to buy based on results from BPS and PowerLead Offer, providing them with a firm offer of credit for financing a replacement vehicle,” he continued.
Thirty-six percent of dealer partners who have already used the integrated technology have identified an over 20 percent increase in new sales opportunities, according to Mastermind.
“There’s a myriad of reasons why consumers hesitate to engage in the traditional retail auto shopping model,” said John Giamalvo, vice president and auto dealer leader at Equifax. “Fortunately, sophisticated tools like PowerLead exist to help dealers get ahead of shoppers with a high propensity to buy by providing firm credit offers. We are very happy to join forces with automotiveMastermind, in their proactive platform, to help dealers get in front of the future of car buying.”
Additionally, to access PowerLead via Mastermind, dealers must also begin a relationship with the Equifax Offer service. Interested dealers can contact Mastermind to initiate the onboarding process.
The weather-related developments connected to the used-vehicle industry arise seemingly by the day now that it’s near the height of hurricane season.
While the National Auto Auction Association Standards Committee made an adjustment to the NAAA arbitration policy, Group 1 Automotive described what shape that dealer group finds itself in the aftermath of Hurricane Harvey.
Meanwhile, Texas Automobile Dealers Association president Bill Wolters reiterated the urgent need to help dealerships and their employees impacted by flooding.
And now, Hurricane Irma is churning through the Caribbean as one of the strongest storms ever observed by federal officials with the possibility of it striking Florida and other parts of the Southeast in the coming days.
NAAA on flood damage disclosure
According to a statement sent during Labor Day weekend, NAAA officials explained that currently, a flood damage disclosure (from sellers to buyers) was only required for vehicles selling under the following sale light combinations:
• Green light only
• Green/yellow light
• Yellow light only
For vehicles sold under the red light a disclosure was not required. But effective on Tuesday until further notice, NAAA indicated sellers will now be responsible for any/all flood damage disclosures to buyers when selling regardless of sale light, which includes the red light.
Officials also said the time period for flood damage via auction inspection is now extended from the “B & C” to “30 days from sale date.” They added the time period for flood damage via DMV and/or insurance company records will remain the same at “120 days.”
“The NAAA Standards Committee strongly urges all selling and buying clients to inspect the vehicles prior to the transaction to avoid arbitration issues,” officials said. “See NAAA.com’s reference page for flood damage inspection best practices.”
NADA Foundation still in need
While some dealers might be looking for inventory, of immediate concern in some portions of the Lone Star State centered on what was shared by Wolters, who implored the industry to give to the NADA Foundation’s Emergency Relief Fund.
“NADA created the Emergency Relief Fund to give immediate funds to these employees to help them bridge the gap until they can get their lives back together," said Wolters, who represents 1,300 franchised dealerships in Texas, in a news release. "We need those thousands of dealerships across the country to pull together to help these dealership employees get back on their feet. We really, really need everyone to step up and help us get through this.”
The National Automobile Dealers Association elaborated more about the situation in another video.
The NADA Foundation is calling on dealers, dealer association groups and others to donate online to its Emergency Relief Fund, which is dedicated exclusively to providing financial assistance to dealership employees.
Dealership employees who sustained personal property damage caused by the hurricane and flooding can apply for financial assistance.
Since 1992, the NADA Foundation’s Emergency Relief Fund has provided more than $6 million to 9,200 dealership employees and their families across the country.
For more information, call (703) 821-7102.
Update from Group 1
Over at Group 1, leadership maintained that the company’s top priority is supporting its nearly 3,000 employees in the greater Houston and Beaumont areas of Texas.
Executives acknowledged that approximately 500 of their associates suffered significant property losses from flooding and storm damage. The company is assisting these employees by providing disaster pay and further financial support from the Group 1 Foundation.
Despite damage to some facilities and inventory due to record-breaking flooding in the region, Group 1 determined that preliminary assessments indicate all facilities are intact and fully operational. Group 1’s Houston stores reopened last Wednesday. The company’s Beaumont stores reopened on Thursday.
The dealer group said total damages associated with the storm are estimated at approximately $15 million. This amount includes insurance deductibles for damaged inventory and facilities, disaster pay for employees, and financial support for team members whose homes flooded.
“Our top priority is supporting our employees in the areas affected by Hurricane Harvey. The size and scope of this disaster is almost beyond comprehension and the losses many of our employees and their family members have suffered is staggering. Our hearts go out to all of those affected by this devastating storm,” Group 1 president and chief executive officer Earl Hesterberg said in a news release.
“Beyond helping our employees, we are also moving quickly to get our stores fully online to support the community’s needs for replacement vehicles,” Hesterberg continued. “Through some extraordinary efforts by our team, we have all of our stores in both Houston and Beaumont open. And while we did sustain some inventory losses, given that we have over 15,000 units in stock in the impacted area, we are proud of the proactive efforts taken by our dealership teams that greatly protected our new and used inventory. Their actions preserved over 98 percent of our available inventory, which allows us to rapidly assist customers in need of replacement vehicles and service.
“The company’s third quarter results will be impacted by both the non-recurring costs highlighted above, as well the impact of the business disruption for an entire week across the Houston region, which represents Group 1’s largest revenue-generating market,” he went on to say.
Roaring Irma
As Texas tries to recover from Harvey, Florida already declared a state of emergency because of Irma, which on Tuesday afternoon was classified as a Category 5 storm with sustained winds of 185mph.
Irma is approaching the strongest storm readings ever recorded by federal officials, which determined Hurricane Allen topped out at 190mph in 1980 as it swept through the Caribbean and Gulf of Mexico before colliding with south Texas.
With places like Puerto Rico already squarely in Irma’s path, officials in the Sunshine State mobilized its National Guard as all 7,000 Florida members will be reporting for duty on Friday morning. The state is also leveraging its connection to regional guard resources where another 30,000 troops, 4,000 trucks and 100 helicopters could be made available, if needed, according to a news release issued by the office of Gov. Rick Scott.
“With Hurricane Irma now a Category 5 storm, we must do all we can to prepare our families and communities for any potential impact from this major weather event,” Scott said. “We do not know the exact path of this storm, but weather can change in an instant and while we hope for the best, we must prepare for the worst.”
Editor's Note: Video in window above courtesy of NADA.
General Motors dealerships can now partner with automotiveMastermind to access its technology, the company announced on Tuesday.
The company's technology shows dealers which customers are ready to buy and the reasoning behind their decisions. Its data now includes Chevrolet, Buick, GMC, and Cadillac.
With the addition of GM, the behavior prediction technology provider now has 15 brands utilizing its predictive analytics technology.
"As General Motors' vehicle lineup continues to evolve through 2018 — from the new Buick Regal TourX to the GMC Terrain and Chevrolet Traverse — we can help dealers now precisely target those potential buyers," Mastermind chief executive officer and co-founder Marco Schnabl said in a news release.
Mastermind said it captures thousands of data points from dealer management systems and combines it with what's known as big data.
The big data includes information from social media profiles, financial records, product and consumer lifecycle information and socio-demographics.
"We are looking forward to bringing the success we've had with Cadillac dealers — helping them sell more than 7,000 vehicles in the first half of 2017 — to, Chevrolet, Buick and GMC and are confident the Mastermind technology will help them successfully target and convert the best possible buyers into loyal customers," Andrew Gillman, vice president of sales and marketing for Mastermind, added in the release.
Additionally, Mastermind provides dealerships’ sales teams with highly personalized marketing campaigns and customer-specific motivational talking points on the desktop.
The used-vehicle industry appears to be in better position to welcome extra demand stemming from destroyed units strewn within the path of Hurricane Harvey.
But can individuals who lost so much in Houston and elsewhere in the Gulf region handle the potential extra cost of securing new transportation? That’s what experts are now considering.
During a conference call with the media on Friday, Autotrader executive analyst Michelle Krebs said, “Affordability is going to be an issue. These poor people are going to be challenged financially if they’ve lost homes and don’t have insurance and they’ve also lost their car. That’s something we’ll have to watch carefully.”
Krebs mentioned that while there are plenty of off-lease units in the wholesale space — nearly new units less than 4 years old — she pointed out that vehicles that are 4 to 8 years old and are “much affordable are in much tighter supply.”
Cox Automotive chief economist Jonathan Smoke quantified Krebs’ point with some specific figures, stating during the same call that there are roughly 20 million less units that are between 4 and 8 years old than those nearly new, off-lease vehicles.
Still Smoke noted that at least there are used vehicles available in the auction lanes. After Superstorm Sandy in October 2012, that was not necessarily the case.
“When you think about when Sandy impacted New York, more of that (demand) ended up into new-vehicle sales because at that time there weren’t very many used or relatively new vehicles because we were coming out of the Great Recession and the lowest vehicle production period, from 2009 through 2011. That pushed people a bit more toward new,” Smoke said.
Whether they’re buying used or new vehicles, Kelley Blue Book senior analyst Alec Gutierrez acknowledged vehicle shoppers and owners in the Houston market gravitate toward SUVs and trucks. Affordability and the dire situation might lead to some changes as Gutierrez mentioned that midsize and compact car inventories on the new-car side are each at or near 100 days’ supply.
“These are folks who are looking to get back on the road as quickly as possible so they can put their lives back together and get to their work if it wasn’t impacted,” Gutierrez said. “(Midsize and compact sedans) are affordable basic transportation. You might see some folks switch their preferences to find an affordable unit.”
