OCTOBER 2022 • MIDATLANTICAUTODEALERSUNITED.ORG Fall DealershipAvoidingSessionLegislativePreviewthePitfallsofCompliance Dealers AssociationIndependent Automobile MidAtlantic RegionalPennsylvania | Maryland|Delaware DEALER NEWS MIDATLANTIC UNITEDDEALERSAUTOMIDATLANTIC HIGHLIGHTING17102PAHarrisburg,St.,FrontNorth1501 PENNSYLVANIA • MARYLAND • DELAWARE 5 Biggest Mistakes Sales Reps Make on the Inbound Sales Call 8 Steps to Maximize Your Social Media Presence PLUS How an Inviting Lot can Attract Better Customers
Kerri Rotunda • kerrir@corryade.com Corry Auto Dealers Exchange, Corry, PA
James Makia • james@exclusivemotorcarsmd.com Exclusive Motorcars, Randallstown, MD
This is the 2022 Notice of the annual President’s Meeting of members to elect directors and officers of the MidAtlantic Regional Independent Automobile Dealers Association (MARIADA). MARIADA includes Pennsylvania (PIADA), Maryland (MDIADA), and Delaware (DEIADA) chapters. All MARIADA members are invited to attend and vote.
Noah Melamed- President Ticket to Ride Auto, Lancaster, PA nmelamed@yourttr.com
13 | How an Inviting Lot can Attract Better Customers
Steve Worley • worleymotors@hotmail.com
Tom Brandis • tombrandis@netscape.net Advantage Auto Sales & Credit, Quakertown, PA
Gregg Pachik • gregg.pachik@manheim.com Manheim Philadelphia, Hatfield, PA
8 | 5 Biggest Mistakes Sales Reps Make on the Inbound Sales Call
22 | Used Car Market ‘Exceptionally Strong’
Lisa Cohowicz • lisac@nepautoauction.com North East Pennsylvania A/A, Scranton, PA
Chris Smiley - Advisor Mountville Motor Sales, Columbia, PA rcsmiley@comcast.net
20 | Why You Are Doing Your Automotive Advertising Completely Wrong.
Tom Hodges, Vice-President Tom Hodges Auto Sales, Hollywood, MD tom@tomhodgesauto.com
Dan McNamee • dtlcars@aol.com Daniel Thomas Auto Sales, Croydon, PA
Worley Motors, Enola, PA
John DeFilippo - Treasurer DeFilippo Bros. Motorcars, Prospect Park, PA john.m.defilippo@gmail.com
A well-built social media presence will help you create connections by showcasing your dealership presence in the community and creating a positive perception of the purchase experience beyond simple and ineffective inventory listings.
Michael Mansour, Vice-President Car Connection, Inc., New Castle, PA mike@carconnection1.com
Kevin Luring • k.luring@yahoo.com ADESA PA, York, PA
Dan Limongelli, Vice-President Jo Dan Motors, Plains, jodanmotors@gmail.comPA
Zimmerman • jay@zimmermansauto.com Zimmerman’s Auto Sales, Mechanicsburg, PA WOULD YOU LIKE TO RECEIVE A DIGITAL EDITION OF THE MIDATLANTIC DEALER NEWS MAGAZINE? Email shannon@piada.org OCTOBER 2022 | CONTENTS
George Smouse • gasmouse@zoominternet.net Smouse Trucks & Vans, Mt. Pleasant, PA
12 | Avoiding the Pitfalls of Dealership Compliance
Here are some of the reasons your compliance program might not be working as well as it should be.
The used-vehicle market remains exceptionally strong; however, wholesale prices cooled slightly in July 2022.
FEATURES 2 | President’s Message 4 | Executive Director’s Message 5 | Legislative Update 14 | The CarLawyer© 18 | Auction Directory 22 | Membership Application 24 | Order Form for Dealership Supplies (PA & MD) MIDATLANTIC INDEPENDENT AUTO DEALERS ASSOCIATION SPONSORS q DEPARTMENTS
6 | Notice of the Annual President’s Meeting
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 1 The official magazine of the MIDATLANTIC INDEPENDENT AUTO DEALERS ASSOCIATION PENNSYLVANIA • MARYLAND • DELAWARE 1501 North Front St., Harrisburg, PA 17102 (717) midatlanticautodealersunited.org238-9002 Copyright 2022
Jeff Dreier • dreierauto@hotmail.com Dreier Auto Sales, Shavertown, PA
17 | 8 Steps to Maximize Your Social Media Presence
Clint Weaver- Secretary America’s Auto Auction Harrisburg, Mechanicsburg, clint.weaver@americasautoauction.comPA
There are a lot of things you can do, and most of them won’t cost you a thing except for a little creativity and some time.
Are your auto ads not attracting new leads? Here are a few of the common mistakes dealers make and what to do instead.
Jay
Bert Straub, President - Elect 1st Choice Auto LLC, Fairview, PA bertcstraub@gmail.com
The inbound sales call is your dealership’s hottest lead. These consumers are the closest to buying a car, yet it’s where dealerships experience most of their profit loss.
April Hollobaugh • ajautosalestitusville@gmail.com A&J Auto Sales, Titusville, PA
Beth Melamed, Vice-President Ticket to Ride Auto, Lancaster, PA bmelamed@yourttr.com
The property where 1st Choice Auto resides was originally a residential property that was remodeled for commercial rental. The site was upgraded with hardwood flooring, new windows, two offices plus a workroom, a kitchen space, conference room, and lobby area. The outside received new siding, a concrete customer parking area with a handicap-accessible ramp, and shaved asphalt for the retail sales vehicles.
of the Year! n Please Welcome MARIADA’s 2022-23 President Bert Straub
2 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 BERT STRAUB, PRESIDENT MIDATLANTIC REGIONAL IADA MANAGER, 1ST CHOICE AUTO, FAIRVIEW,LLCPA Telephone: 215 -860-6510 Website: www.aatins.com Langhorne, Pennsylvania Auto YourInsuranceDealer/GarageSpecialistsOne-StopShopforAutoDealerInsurance * Garage and Automobile Liability * * Dealer Physical Damage * * Garagekeepers * * Work Comp * * Quick Quote Turnaround *
“We would like 1st Choice Auto to have the reputation of being a local, family-run, small business that you can trust,” explains Straub.
department and realized his true passion was selling cars. He became a licensed salesperson for the state of Pennsylvania in 1985, where he started out selling motorcycles and ATVs. His connections with other salespeople in the business led to working for a local franchise dealer. He soon became an F&I manager and helped launch a large used car store. “After 10 years of franchise work, I went to work with a smaller independent dealer to have some time to enjoy my family,” says Straub. Eventually, the demands of growing that particular small dealer business outpaced his efforts, and Straub felt led to enter the banking end of the business and was hired at Citigroup. There, he handled the pass-through with Citi Financial until the 2008 financial crisis. Afterward, he was hired by Credit Acceptance in Southfield, MI, as a market area manager. “This proved to be a great learning experience,” says Straub. As the company was transitioning its business model, Bert and Linda used that opportunity to open their own dealership in 2015. They quickly became very involved in their Independent
Since opening in 2015, 1st Choice Auto, LLC has been family-owned and operated. Its founder, Robert “Bert” Straub, along with his wife, Linda, built the foundation of their business by being an ethical, moral, and trustworthy dealership. Bert started his career over 40 years ago pumping gas at a local station. His love of cars and the desire to grow fueled his drive to learn more about the industry. He moved to managing the local Mercedes-Benz dealership parts
With customer loyalty of repeat or referral customers nearing 63%, the company has achieved just that. With an average of $1.1 million annually in retail sales and $70,000 in wholesale sales, 1st Choice Auto doesn’t need to be the highest volume dealer in “sales”, but they strive to be the dealership that puts the customer relationship first. They specialize in subprime sales and helping customers improve their credit, whether that be in the form of purchasing a car or assisting customers with estate beneficiaries of a vehicle.
Bert is also an active community member outside of his business. He contributes a flat rate per vehicle sale to various needs in the community. He is the leader of a men’s group that contributes time and effort to ongoing service projects within the community, has been involved in numerous food and clothing drives, and donates time to the Alzheimer’s Foundation. Through the Fairview school district, he also hosts a program for special needs students where they can learn job skills on-site at 1st Choice Auto. He also feels very honored to have had the opportunity to speak on several podcasts and share his experience at the Autovate conference in Texas regarding vendor
Robert Straub on being named the Pennsylvania State Quality Dealer
Congratulationsproducts.to
Auto Dealers Association. “They were integral with our start up success and, with their help and guidance, we’ve been able to maintain compliance, stability, and a wonderful reputation locally.”
JOHN ODORISIO EXECUTIVE DIRECTOR
q EXECUTIVE DIRECTORS MESSAGE
I am learning everyday and have had the privilege of meeting some terrific people including MARIADA staff and Board of Directors, business partners and MARIADA members.
MIDATLANTIC REGIONAL IADA CMYCYMYCMYMCK
While I still have much to learn, my goal is and will remain to bring value to you as a MARIADA member.
You may be asked for your input for the convention. If so, please let us know the do’s and don’ts and what you would like to see your convention look like.
One way we can do that is by restarting our annual convention. We have not had one for a few years due to COVID but are focused on hosting again in 2023.
MARIADA members,
Thank you again for your support!
I cannot let this article pass without mentioning the great job Shannon Becker did for MARIADA over the last 16 years!
Shannon has left us to pursue another career. Her dedication, knowledge, customer service and engaging personality will be sorely missed!
MidAtlanticDealerNews-OCT2022-PRINT.pdf 1 9/9/22 2:35 PM
WHY WAIT? You can get DEALER TITLES processed ON THE SPOT or within 24 hours! You can get SALVAGE TITLES processed ON THE SPOT or within 24 hours! You can get your RETAIL PAPERWORK processed ON THE SPOT or within 24-48 hours! At our offices! M-F: 9am-2pm 1501 North Front Street, Harrisburg, PA 717-238-9002
It has been a busy first two months for me as your Executive Director!
September 12, 13, 14, 19, 20 & 21; October 24, 25 & 26; November 14, 15 &
HOUSE
in a reasonable expeditious and unencumbered manner.
- THEFT OF SECONDARY METAL/ DETACHEDCONVERTERCATALYTICTHEFT
• This legislation requires the notification of vehicle lien holders or lessors in a timely manner of the impoundment of a vehicle with their lien on it, and to allow the lien holder or lessor to recover the vehicle
ABANDONED VEHICLES
• Outlook: Although things could change, we expect the Senate Transportation Committee to consider this bill in September. PennDOT remains opposed to this legislation so that could delay consideration of the bill and keep it from getting to the Governor.
By Tyler Burke, Associate, Milliron & Goodman Government Relations
• This legislation further provides for identification requirements for sale of scrap materials to scrap processors and recycling facility operators. It also creates a new process for scrap processors or recycling facilities before purchasing a catalytic converter.
• Status: This legislation is currently in the House Transportation Committee.
PIADA will be sure to keep you updated as we move through the Fall legislative session. n
Fall Legislative Session Preview
HOUSE BILL 2372 (SCHMITT-R)WHOLESALE VEHICLE AUCTIONS
• This legislation authorizes a wholesale vehicle auction, or salvor, to remove vehicles abandoned by dealers after 3 business days of the vehicle remaining without consent. It would also authorize the auction to charge and collect storage fees as well as the releasing or recovering costs of the abandoned vehicle.
• This legislation adds catalytic converters to the definition of “secondary metal.” Under this legislation, a person commits the offense of theft of secondary metal (i.e., catalytic converters) if the person unlawfully takes or attempts to take possession of, carries away or exercises unlawful control over any secondary metal with intent to deprive the rightful owner thereof.
• Status: This legislation is now before the full House for consideration.
• Outlook: The Department of Transportation (PennDOT) opposes this legislation since the existing process prohibits a vehicle to be legally scrapped, salvaged, or sold without having a title in hand. Rep. Culver has instructed the House Transportation Committee staff to work with PIADA to simplify the legislation and focus on enforcement by providing stronger penalties, limiting storage fees, and speeding up the flow of paperwork by shortening mail times through use of fax or e-mail. PennDOT will continue to look at electronic processes as they upgrade their systems. Therefore, we do not expect this legislation to be ready until the new year with a commitment by the committee to consider it early in the next legislative session.
• Outlook: We anticipate the House to consider this legislation in September. If the House acts quickly, we hope to get this issue considered by the Senate and across the finish line before the end of the session.
SENATE
September 19 (Non-voting), 20 & 21; October 17 (Non-voting), 18, 19, 24, 25 & 26; November 15
Regardless16
• Status: This legislation passed the House, 109-90 on June 22, 2022. The bill is now before the Senate Transportation Committee.
The Pennsylvania General Assembly will reconvene in legislative session this September. Since it is an election year (November 8th), with half of the state Senate, the full state House, and Governor’s office up for election, we do not anticipate a heavy workload or any controversial issues considered this Fall. Although the House and Senate may cancel session days, the announced session schedule is as follows:
HOUSE BILL 2064 (CULVER-R) -
HOUSE BILL 1092 (KAUFMAN-R)SCRAP MATERIAL THEFT PREVENTION ACT
• Status: This legislation is now before the full House for consideration.
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 5
of the schedule, PIADA will be working diligently to continue advocating for our members. Below is a list of legislation that PIADA will be working on this fall:
q LEGISLATIVE UPDATE
• Outlook: We anticipate the House to consider this legislation (or as an amendment to a different bill) in September. If the House acts quickly, we hope to get this issue considered by the Senate and across the finish line before the end of the session.
HOUSE BILL 2290 (ISAACSON-D)
NOTICE OF THE ANNUAL PRESIDENT’SMEETING MIDATLANTIC REGIONAL INDEPENDENT AUTOMOBILE DEALERS ASSOCIATION
PamelaDealerSwitalskiTitles
John ExecutiveOdorisioDirector (717) john@piada.org317-3098
The annual meeting is to elect one-third of the Board for three-year terms, and officers for one-year terms except for the President and Chairman. The Association Bylaws and Robert’s Rules of Order shall be the governing documents for the meeting. Members are invited to attend and vote. Nonmembers are invited to attend and learn about our organization that is dedicated to helping your business and advocating for our industry to legislators and regulators. The Members meeting will be followed by a meeting of the newly elected full Board of Directors of the association.
If we may be of assistance to your dealership, please give us a call. We have an array of experience at the office and we look forward to sharing our time with you.
Online Registration (717) 238-9002 barb@piada.orgx27
The Hershey Hotel
TammyReceptionistFarmer (717) 238-9002 ext. receptionist@piada.org10
(717) 238-9002 ext. pamela@piada.org15
The Annual President’s Meeting is scheduled for Thursday, October 6, 2022, 10:00 AM
This is the 2022 Notice of the annual President’s Meeting of members to elect directors and officers of the MidAtlantic Regional Independent Automobile Dealers Association (MARIADA). MARIADA includes Pennsylvania (PIADA), Maryland (MDIADA), and Delaware (DEIADA) chapters.
100 Hotel Road, Hershey, PA 17033
All MARIADA members are invited to attend and vote.
GET TO KNOW YOUR TEAM MID-ATLANTICAT
HeatherAccountingLevesque (717) heather@piada.org238-9002
6 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
Nicole Autry Dealer Set-Up Unit (717) nicole@piada.org317-1966
Cynthia MembershipSlemonsSpecialist (717) 238-9002 cynthia@piada.orgx16
Jessica Lutz
Title Call Center (717) jessica@piada.org238-9002
Barbara Stake
1A Bad First Impression
Witheffectively.that
Did you know the inbound sales call is your dealership’s hottest lead? These consumers are the closest to buying a car, yet it’s where dealerships experience most of their profit loss. That’s right. Most opportunities are lost on this call. More than 60% of these people will end up shopping elsewhere.
Theirsalespeople!defenses
INBOUND PHONE LEADS ARE ON THE RISE, BUT PERFORMANCEPHONEISNOT
But, according to CallSource, one-third of dealers are missing out on 1 in 5 of these calls to competitors. The survey found that 39% of dealers reported a 5% – 10% increase in inbound phone calls and 49% reported an increase of 15% or more. In addition, the majority of dealers (89%) found that having a process for handling inbound calls is important; however, only 40% are confident they are managing incoming calls
When I first started taking sales calls, I wanted to provide the best customer service possible. I thought all I needed to do was sit
you. Once they drum up the courage, they’ll pick up the phone. Why courage you ask? Because most people don’t like dealership
Shoppers are interviewing you. They have more choices than ever which means that today you won’t get a second chance to make a great first impression. They’ll just hang up and call the next dealership. Think about the last time you had to call a business. You most likely decided if you liked that person or not within the first few seconds. Those very first words the shopper hears should be nothing short of amazing.
The 5 Biggest Mistakes Sales Reps Make on the Inbound Sales Call
in mind, this blog will help to address the 5 BIGGEST mistakes sales reps make on inbound sales calls so you can spot them, and the right processes can be put in place at your dealership to correct these mistakes.
A survey recently released by CallSource found a significant spike in inbound phone calls to car dealerships within the last year.
are way up. So, when your salesperson answers like it’s the hundredth call of the day, “Sales, Dan here,” they are not setting the tone for a great call.
“The inbound sales call is your dealership’s hottest lead? These consumers are the closest to buying a car, yet it’s where dealerships experience most of their profit loss.”
THE 5 BIGGEST MISTAKES SALES REPS MAKE ON INBOUND SALES CALLS
Today, the typical car shopper spends 1416 hours online researching and comparing before ever picking up the phone to call
Today’s shoppers have more choices. On that first call, the customer is interviewing you and hoping that you will validate the online information that led them to your dealer in the first place. They are also deciding if they like you or not and if they want to do business with you. Sometimes they decide within the first few seconds! So, when it comes to inbound sales calls, all of your sales reps must have this skill set down COLD.
8 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
2No Control or Direction in The Conversation
By Susan Gaytan, Director of Dealer Engagement & Training, Alan Ram’s Proactive Training Solutions
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 9
Let’s face it, the new car market has evolved, and today’s shoppers may not have the luxury of snagging the exact car they want off the lot without shopping at a few dealerships first or perhaps even waiting months to receive it. Did you know that today’s shopper is willing to switch on the color, trim level, model, and even make?
5 Ignoring the Trade Appraisal/ Potential Purchase
Your sales staff’s primary job is to APPEAL to the shopper and to attract more shoppers to come into the dealership. The best salespeople in this business know how to get excited and it’s that transfer of enthusiasm that is essential to selling successfully.
Oncedealership.the shopper steps foot into the dealership, their shopping experience goes from a logical one to an emotional one. And they just might find something they like entirely different from what they were expecting to buy.
Susan Gaytan, Director of Dealer Engagement & Training at Alan Ram’s Proactive Training Solutions brings over twenty years of automotive experience and dealership management expertise to her role. She is responsible for integrating training solutions and helping dealerships maximize the effectiveness of training. Susan began her experience in the auto industry at the age of 21 as a receptionist, but her Spanish skills helped her get quickly promoted to Customer Relations Manager, responsible for dealer client retention as well as dealership staff training. She then took on the duties of inventory & used car management in charge of all wholesale processes and procedures from allocation, purchase, appraisal, inspection and assigning ad price. She ended her dealership showroom career as a Certified F&I Manager. Susan is a National Certified Trainer and Facilitator of Management ByFire! and In-Dealership Events.
I now realize that I knew way more about the process than the shopper did. And so does your staff. Sales calls should not sound like an interrogation. Your salespeople are not order takers; they are professional sales advisors. They should be advising and guiding the caller through the shopping journey.
The inbound sales call is your dealership’s hottest lead. In today’s highly competitive market, it is important to do everything possible to convert more of those calls into showroom visits. Build relationships every step of the way. Train your staff to gain a better understanding of these calls and how to increase their success. Learn how to nurture those leads from that first call through to the sale and beyond, creating loyal advocates and raving fans of your dealership. n
The shopper’s trade vehicle is just as important, if not more important, as the vehicle itself. It’s a big factor in the shopper’s final numbers. But more than that, shoppers are very connected to their cars. And it can be a big factor in their final decision.
People are switching more than ever today. In fact, more than 82% of these shoppers will end up buying something entirely different. It is the dealership’s job to convert the shopper into the showroom before
to your dealership no matter where they shop around or what they end up buying. And it doesn’t matter what their car is – low miles, high miles, frontline ready, balding tires. Get them in first and then management will decide where it goes. Whether they buy a car from your dealership or not – and you hope they do — but even if they don’t, bring customers in regardless of if they buy from your
4 No Excitement or Enthusiasm
there patiently and answer every question the customer had to the best of my ability.
Believe it or not, most shoppers want to be led – and they want an advisor they can trust and rely on to guide them. Even the most aggressive shoppers prefer someone who can take control of the experience and guide them through an efficient sales process. Your reps should always be prepared, script in hand if needed, knowing the right questions to ask each and every time.
3Narrowing Down the Shopper Too Soon
The problem is that the average salesperson will not bring up the trade, due to lack of understanding, training, or perhaps because there is a fear about talking price. Getting excited about seeing the shopper’s trade in person is the smartest thing a salesperson can do. It gives the shopper a sense of unknown hope that will have them coming back
they switch. In the majority of sales calls I listen to, sales reps are focused only on that single vehicle. They think they have a deal. Instead, they are narrowing down the chances of converting that shopper into a real buyer- unless of course you’re the one lucky dealership in town to have that car.
Sadly, about 60-70% of the calls I hear today have just as much excitement as the call I had with my dentist about my upcoming root canal. Buying a car is a big deal for most people and can be quite intimidating. It is the second biggest purchase that most people will make in their lifetime. It’s a sign of achievement for many working women, as well as minority families and first-time buyers. These calls should not be treated as if the salesperson is taking a food order. They need to get excited and sell the sizzle! Today, the best salespeople sell the experience of coming into the dealership. That’s the differentiator today. People will ultimately do business with people they like.
MID-ATLANTICTHROUGHOUTDEALERSTOLOCATIONSSERVETHE KEYSTONE PENNSYLVANIA 488 Firehouse Road Grantville, PA 717-469-790017028|Fax 717-469-2842 Joey Hughes, GM Shirley Kennedy, Office Manager / Dealer Services Mondays, 11 AM PENNSYLVANIA 1190 Lancaster Road Manheim, PA 717-665-357117545|Fax 717-665-7521 Joey Hughes, GM Randy Derr, AGM Kevin Gantz, AGM Tim Doyle, AGM Andy Mekulsia, Commercial Accounts Manager Deni Hostsetter, Dealer Services Exotic Highline Sales every Thursday at 11 AM, Friday is regular sale stating
2280 Bethlehem Pike
Tuesdays, 9:30 AM
other stating at 9 AM
Wednesdays, 9 AM
717-469-2842 Services
Shawn Byers, AGM
BALTIMORE-WASHINGTON
Chad Spearman, GM
Tom McDonald, GM
TRA Sale, Tuesday 12 PM
TRA Sale Wednesday, 11:30 AM
PHILADELPHIA
PITTSBURGH
Tuesdays, 9:30 AM
Troy Moyer, Commercial Accounts Manager
7120 Dorsey Run Road Elkridge, MD 21075
410-796-8899 | Fax 410-799-0512
Cranberry Twp., PA 16066
Manager Services
Scott Mulligan, AGM
PENNSYLVANIA
724-452-5555 | Fax 724-452-1310
717-665-7521
Justin LaScola, Manager Client Service Dealer
Audrey England, AGM
215-822-1935 | Fax 215-822-8140
Charles Polina, GM
Zak Hanna, Senior Manager Client Service
Steve Soprano, Dealer Sales Manager
Hatfield, PA 19440
Gregg Pachik, Dealer Services Manager
21095 Route 19
consistent checks and follow-up, employees will resort to what they’ve always done, what they’re comfortable with. Make sure employees understand the changes and the long-term benefits to them and the dealership. They need to know that management supports these changes and is committed to enforcing them. Have regular meetings with your employees and designated compliance personnel to ensure new policies are being implemented. If your people have not been properly trained and supervised, even the best programs will fail. It is vital to have all employees on the same page when it comes to compliance issues.
It’s not enough to put compliance proce dures in place; you have to make sure they stay in place. Policies change frequently, and compliance means being aware of the changes and revising your own program accordingly. For example, how often has your dealership revisited its Safeguards policy since the FTC Financial Information Safeguards Rule took effect in 2003? If your answer is “never” or “not sure,” then it’s definitely time to reevaluate your proce dures and bring them up to date to coincide with your current operations. Don’t wait until you receive a subpoena or an inquiry from the FTC to determine whether your current policies are up to par. Be proactive!
By Carrie Burch, Regional Sales Manager for iA American Warranty Group
Lack of Follow-Through
How long has it been since you checked on your compliance policy?
Avoiding the Pitfalls of Dealership Compliance
Compliance Complacency
Withoutbreak.
You Don’t Know What You Don’t Know
Protection Bureau (CFPB) updates? Ultimately, it is the dealership that is re sponsible for employee actions and that will be subject to civil and criminal penalties.
12 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
Do your employees know the law? In the big, complicated world of compliance, ig norance is not bliss, and claiming “I didn’t know” will not suffice in an FTC inquiry. Many dealership employees have never been properly trained in compliance mat ters, so they simply rely on doing business the way it’s always been done. Or, even if they were trained at one time, do they stay informed of all Consumer Financial
Violations are costly and time-consum ing, and they can jeopardize a dealership’s hard-earned reputation. The FTC website (www.ftc.gov) contains recent stories of dealerships facing legal action and hefty fines (from a few thousand dollars to a few million!) as the result of questionable prac tices. Knowing and understanding the laws, following through with the policies you put in place, and keeping them up to date can save you a lot of time and aggravation down the road. n
It’s no secret that compliance laws seem to be changing more and more frequently these days, making it increasingly difficult to adhere to government regulations and making a dealership compliance policy an imperative. However, many dealers con tinue to view compliance as a one-time adjustment they can make and then for get about. Without proper follow-up, a compliance policy on its own offers little protection against costly violations. Here are some of the reasons your compliance program might not be working as well as it should be.
Here are some of the reasons your compliance program might not be working as well as it should be.
How often have you put a new policy in place only to find in a deal audit months later that the policy has gone by the way side or was never implemented at all? You may have dedicated the time and resources up front, but let’s face it, old habits are hard to
CLEANLINESS
WHAT MAKES AN INVITING LOT?
Thesekind.three areas are just the start. You’ll want to take each of them to a new level in order to stand out and attract better customers.
And any investment in truly professional signage will last for years to come. While it may cost something now it will pay huge dividends in the long run, as you attract better customers and more sincere buyers, so you sell more cars. NIADA has supported the independent used auto dealer community for more than 75 years. Check out the NIADA and join today (niada. com) to become a part of one of the most professional and established automotive organizations in the country. n
NIADA DASHBOARD FEATURE
When you think of real estate and businesses, you think of curb appeal. The curb appeal is what the house or business looks like on the outside, from the curb, and as prospective buyers walk up. The same principle applies to used car lots. An inviting car lot, one with a great “curb appeal”, attracts better customers. It shows them that your dealership is a safe and inviting place to shop.
• Your lot needs to be clean and free of trash, junk, dirt, and debris of any
PROFESSIONAL SIGNAGE
That trust comes from the signage you use to draw them in. It doesn’t mean you can’t have fun with a pun or a joke of the week. Instead, it means those things should be done with signs that are professionally designed, in good repair, and that use colors that attract attention. Your sign is a part of your curb appeal. Use it wisely.
front sidewalk near the street to the parking lot itself. If you have landscaping, make sure it is free of trash, and bushes and plants are healthy, trimmed, and well maintained. Make sure any grassy areas are mowed and trimmed, as well.
UNIQUE MERCHANDISING
But what makes a more inviting lot? Well, there are a lot of things you can do, and most of them won’t cost you a thing except for a little creativity and some time.
• Your inventory needs to be organized in some kind of system the potential buyer can figure out.
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 13
Creativity often shows up in good merchandising. For example, if you have several models of the same vehicle in different colors, place them next to each other in a row, showcasing the variety you have in this model.
How an Inviting Lot can Attract Better Customers
What makes a lot more inviting than another? The most important thing is the visual appeal, and that means some system of organization, no matter what that looks like for your particular lot. For customers to feel welcome, your lot needs to:
• Be easy to navigate. It should be simple for them to get to the vehicles on the lot, walk around them, and view all of your inventory.
If you have to, hire landscaping services. Also, be sure that the sidewalks and paved areas of the lot are swept or blown free of dirt regularly. Be sure that your office and any other buildings are neat and wellmaintained. These, and the vehicles you sell, are the first things that a potential buyer sees.
You can also organize vehicles by make, the gas mileage they get, or even by the type of vehicle: trucks in one section, sedans in another, electric vehicles in another section. Think of how your customers shop for vehicles and arrange them in a way that makes that process as easy as possible.
Don’t be afraid to try different things.
The first thing a customer will notice is the cleanliness of your lot. This means from the
Watch how customers move around the lot, and make changes based on their behavior and the application of your creative ideas.
While a spray-painted sign on cardboard might do for selling your old truck on Craigslist, it lacks appeal on a professional car lot. Buyers are warier than ever before, and they want to know that you are a dealer that can be trusted.
WAYS TO MAKE YOUR LOT INVITING WITHOUT SPENDING A FORTUNE
When you look over the list above, it is easy to see how you can make most of these changes with little to no expense. Cleaning up and using unique merchandising techniques simply require some thought, and they can even be fun.
They also see the vehicles on your lot. Your vehicles should also be washed regularly and look good on the outside. Be sure the exteriors of vehicles are in good repair, because dents, broken items, or even bad paint jobs can quickly turn customers off. Once the exterior looks neat and clean, it’s time to get creative.
On August 11, the FTC issued an advance notice of proposed rulemaking seeking
DOJ and CFPB Remind Creditors of SCRA Protections for Military Families.
The CARLAWYER©
14 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
reports without a permissible purpose and without their permission in connection with unauthorized applications for credit cards and lines of credit, violated the CFPA and TILA by opening deposit accounts and issuing lines of credit and credit cards without consumers’ permission, and violated the TISA by opening deposit accounts without consumers’ permission and without providing the required disclosures. This conduct, as alleged by the CFPB, likely caused substantial injury in the form of fees, negative effects on consumers’ credit profiles, the loss of control over personal identifying information, and the expenditure of consumer time and effort.
questions.FEDERAL DEVELOPMENTS
CFPB Enters into Consent Order over Credit Cards and Lines of Credits Issued and Accounts Opened Without Consent, Applications, and Disclosures. On July 28, the CFPB entered into a consent order with U.S. Bank National Association, resolving allegations that the bank issued credit cards and lines of credit to, and opened deposit accounts for, consumers without their knowledge and consent and without required applications and disclosures, in violation of the Consumer Financial Protection Act, the Fair Credit Reporting Act, the Truth in Lending Act, and the Truth in Savings Act. The CFPB contended that the bank’s imposition of sales goals on bank employees as part of their job descriptions and the bank’s implementation of an incentive-based compensation program that rewarded employees for selling these products and services led employees to open these unauthorized accounts. Specifically, the CFPB alleged that U.S. Bank violated the FCRA by using consumers’ credit
On July 29, the DOJ and the CFPB issued a joint notification letter reminding autosecured creditors and leasing companies of their responsibilities to recognize important legal protections for military families under the Servicemembers Civil Relief Act. The letter is designed to ensure that auto creditors and leasing companies are aware of key provisions in the SCRA, including: (1) prohibiting vehicle repossessions during the servicemember’s military service without a court order, even if the servicemember financed or leased the vehicle prior to entering military service; (2) allowing servicemembers to terminate motor vehicle leases early and without penalty after entering military service or receiving qualifying military orders for a permanent change of station or deployment; and (3) limiting interest rates incurred prior to military service to no more than 6% per year, including most fees.
Here’s our monthly article on selected legal developments we think might interest the auto sales, finance, and leasing world. This month, the developments involve the Consumer Financial Protection Bureau, the Department of Justice, the Federal Trade Commission, and the Federal Deposit Insurance Corporation. As usual, our article features the “Case(s) of the Month” and our “Compliance Tip.” Note that this column does not offer legal advice. Always check with your lawyer to learn how what we report might apply to you or if you have
FTC Issues ANPR on Commercial Surveillance and Data Security Practices.
public comment on the prevalence of commercial surveillance and data security practices that harm consumers and whether new rules are needed to protect consumers’ privacy and information. The FTC defines “commercial surveillance” as “the business of collecting, analyzing, and profiting from information about people.” In the FTC’s press release, Commissioner Lina Khan notes that “[f]irms now collect personal data on individuals at a massive scale and in a stunning array of contexts. The growing digitization of our economy—coupled with business models that can incentivize endless hoovering up of sensitive user data and a vast expansion of how this data is used—means that potentially unlawful practices may be prevalent. Our goal … is to begin building a robust public record to inform whether the FTC should issue rules to address commercial surveillance and data security practices and what those rules should potentially look like.” The FTC is seeking comments on numerous concerns stemming from commercial surveillance, including lax data security by companies, potential harm to children, companies requiring consumers to sign up for surveillance as a condition for service, change in companies’ privacy terms after consumers sign up for a product or service without providing the consumers meaningful choice to accept those updated terms, data inaccuracy, bias and discrimination, and dark patterns. Comments on the ANPR are due by October 21, 2022. In addition, there is an opportunity for the public to share input on the ANPR during a virtual public forum on September 8, 2022.
The terms of the settlement require U.S. Bank to pay a $37.5 million penalty to the CFPB and forfeit and return all unlawfully charged fees and costs to harmed consumers.
CFPB Issues Circular on Insufficient Data Protection or Information Security. On August 11, the CFPB issued Circular 202204 to confirm that financial companies can violate the prohibition on unfair acts or practices in the Consumer Financial Protection Act when they have insufficient data protection or information security. According to the circular, “[i]n addition to
By Eric Johnson, Partner in the law firm of Hudson Cook, LLP, Editor in Chief of CounselorLibrary.com’s Spot Delivery®
COMPLIANCE TIP
other federal laws governing data security for financial institutions, including the Safeguards Rules issued under the GrammLeach-Bliley Act, ‘covered persons’ and ‘service providers’ must comply with the prohibition on unfair acts or practices in the CFPA. Inadequate security for the sensitive consumer information collected, processed, maintained, or stored by the company can constitute an unfair practice in violation of 12 U.S.C. 5536(a)(1)(B). While these requirements often overlap, they are not coextensive. Acts or practices are unfair when they cause or are likely to cause substantial injury that is not reasonably avoidable or outweighed by countervailing benefits to consumers or competition. Inadequate authentication, password management, or software update policies or practices are likely to cause substantial injury to consumers that is not reasonably avoidable by consumers, and financial institutions are unlikely to successfully justify weak data security practices based on countervailing benefits to consumers or competition. Inadequate data security can be an unfair practice in the absence of a breach or intrusion.”
FTC Declines to Extend Proposed Dealer Rule’s Comment Deadline. The FTC recently declined to extend the comment period for its proposed rule addressing purported unfair and deceptive conduct by motor vehicle dealers in connection with the advertising, sale, financing, and leasing of vehicles. The deadline for public comment remains September 12, 2022. Specifically, the proposed rule, which
Our Case of the Month sheds light on how important it is for a dealer to live up to its end of the bargain and pay the required fees to administer the arbitration, if required by the purchase agreement or retail installment contract. The ultimate decision was pro-dealer, but think how much time, effort and money the dealer had to spend in responding to discovery, filing and answering motions and appealing the trial court’s decision to deny class certification. The dealer would’ve been better off by just having paid the arbitration fees. Make sure you read the terms of your arbitration agreement (you are using an arbitration agreement with a proper waiver of class action clause aren’t you?) and that you’re complying with your responsibilities under the agreement. n
CASE(S) OF THE MONTH Dealership’s Breach of Arbitration Agreement by Failing to Pay Arbitration Administration Fees Did Not Render Entire Arbitration Agreement, Including Class Action Waiver, Unenforceable: A woman bought a used vehicle from a car dealership and signed a Motor Vehicle Retail Order containing an arbitration agreement. The arbitration agreement contained a provision that waived the buyer›s right to pursue a class action in an arbitration setting or in court. The buyer made a demand for arbitration with the American Arbitration Association, alleging that the dealership and its owner overcharged her for title and registration fees and sold the vehicle for more than the advertised price. The dealership failed to pay the required fees to AAA to administer the arbitration. Therefore, AAA declined to administer the case. The buyer then filed a class action
Eric (ejohnson@hudco.com) is a Partner in the law firm of Hudson Cook, LLP, Editor in Chief of CounselorLibrary.com’s Spot Delivery®, a monthly legal newsletter for auto dealers and a contributing author to the F&I Legal Desk Book. For information, visit www.counselorlibrary. com. ©CounselorLibrary.com 2022, all rights reserved. Single publication rights only to the Association. HC# 4877-3260-6256.
FTC Increases DNC Registry Fees. On August 26, the FTC issued a final rule to update the fees charged to entities accessing the National Do Not Call Registry, effective October 1, 2022. The first five area codes are free, and exempt organizations may obtain the entire list for free. The cost of accessing a single area code will increase by $6 to $75. The maximum charge to any single entity for accessing all area codes nationwide will increase by $1,723 to $20,740. The fee for accessing an additional area code for a half year will increase by $3 to $38.
was issued on June 23, 2022, would: (1) prohibit dealers from making certain misrepresentations in the course of selling and leasing, or arranging financing for, vehicles; (2) require dealers to provide accurate disclosures regarding vehicle pricing, including optional add-on fees, and vehicle financing during sales negotiations and in their advertising; (3) require dealers to obtain consumers’ express, informed consent for any fees or charges and require dealers to inform consumers about the price of the vehicle without any optional add-on product or service; (4) prohibit dealers from charging for any add-on product or service that provides no benefit to the consumer; and (5) impose certain recordkeeping requirements on dealers to help ensure compliance with the proposed rule’s disclosure requirements.
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 15
complaint against the same parties under New Jersey laws and regulations. The trial court denied the defendants’ motion to compel arbitration of the claims pursuant to the arbitration agreement in the MVRO. The trial court also denied the buyer’s motion for class certification, concluding that the class action waiver in the arbitration agreement precluded her class action claims. The Superior Court of New Jersey, Appellate Division, affirmed the trial court’s denial of class certification. The appellate court found that the defendants’ material breach of the arbitration agreement by failing to pay the required fees did not render the entire arbitration agreement unenforceable. Accordingly, because the buyer was clearly informed of the class action waiver that applied in both court and arbitration, the waiver survived the defendants’ breach of the arbitration agreement and remained applicable to the buyer’s claims. See Cerciello v. Salerno Duane, Inc., 2022 N.J. Super. LEXIS 105 (N.J. Super. App. Div. July 20, 2022).
FDIC Issues Guidance on Multiple RePresentment NSF Fees. On August 18, the FDIC issued guidance to FDIC-supervised institutions to address potential consumer compliance risks associated with assessing multiple non-sufficient funds fees arising from the re-presentment of the same unpaid transaction. The guidance also lists certain risk mitigation practices that financial institutions have taken to reduce the potential risk of consumer harm and avoid potential violations of law regarding the charging of multiple re-presentment NSF fees. In addition, the FDIC shared its supervisory approach where a violation of law is identified and full corrective action is expected.
Ensure your staff knows how to protect consumer information Eto nsure your staff knows how to protect consumer information to comply with the FTC requirements, avoid inadvertent exposure cof omply with the FTC requirements, avoid inadvertent exposure of your customer's information, government enforcement yactions, our customer's information, government enforcement actions, lawsuits, and bad lpress. awsuits, and bad press. Brought to you by MidAtlantic Regional IADA. Powered by Bthe rought to you by MidAtlantic Regional IADA. Powered by the Dealer Education DPortal. ealer Education Portal. Visit Visit https://www.midatlanticautodealersunited.org/ https://www.midatlanticautodealersunited.org/ Or scan the QR Code for info and Oregistration r scan the QR Code for info and registration S a f e g u a r d Ss a f e g u a r d s C o m p l i a n c e C o u r s Ce o m p l i a n c e C o u r s e Keep Your Dealership Compliant with Kthe eep Your Dealership Compliant with the FTC's Safeguards FRequirements TC's Safeguards Requirements Only $75 for the Qualified Individual Take Advantage of the SAFEGUARDS COMPLIANCE Course Evo UL - Continuous Protection! 1-800-553-7031 | AdvantageGPS.com/Evo-UL • One-Time Purchase • No Monthly Fees - Ever! • Unlimited Usage Adv-MARIADA-EvoUL-3.625x10-090222.indd 1 9/2/22 9:34 AM
Social media makes expanding your dealership reach easier than ever. Most often dealers limit content to a specific vehicle or series of vehicles which is minimally effective.
Photos that show customers having a fun time shopping and purchasing a car will create positive emotions much better than focusing on price savings or other traditional forms of advertising. Ask a question in your post to encourage follower
8 Steps to Maximize Your Social Media Presence
2Assign
Todd Shepard is the founder of Shepard & Shepard Insurance Solutions and regular contributor to several IADA publications. For information on insuring your dealership, visit shepquote.com.
7Review
your platform. With so many social media platforms available, getting started can be intimidating. Begin by choosing one platform to focus on and grow from there. Start with Facebook or Google, which have the largest user base. Consider connecting your Facebook and Instagram accounts together where one post will share across both media platforms.
1listings.Choose
partnerships and seek participation. Tag participants, vendors, and others you do business with, calling them out by name or complimenting them on their work or service. Most will engage by commenting or sharing your post with their followers. Avoid dealer jargon or posting a sales pitch. Not everybody who reads your posts will be familiar with acronyms nor is everyone focused on price and discount. Focus instead on the ‘social’ aspect of social media.
customer to give you a 5-star review. Do you know what your customer is doing as they wait to do paperwork? They are most likely on the phone using social media! Send them a link to your Google review page and ask them to give you a 5 Star review. There is never a better time to guarantee a positive review than when they are actively in the process of purchasing. n
By Todd Shepard, Founder of Shepard & Shepard Insurance Solutions
4Use
consistent. Set a goal to share on social media regularly. Consistent posting helps cultivate followers that share your content. That said, be cautious of over posting. Avoid posting multiple times per day. It’s exhausting and tends to turn off your prospects. A couple of posts per week is all it takes to create interest. Be committed. The pay-off is worth the effort.
8create?Askevery
When creating content for social platforms, a better goal is to focus on making a connection. A well-built social media presence will help you create connections by showcasing your dealership presence in the community and creating a positive perception of the purchase experience beyond simple and ineffective inventory
Consider that one thing you want someone to know about your dealership after viewing your post.
6engagement.Highlight
5Encourage engagement. When planning a sale or event, think about how you’ll use social media to showcase it. Tell a story (more pictures than words) that shows your dealership commitment to quality service and selling clean vehicles.
roles. The first step in creating content is capturing it. Designate someone at your dealership to be the photographer. Quality photos tell your story better than words or discount price
other business social media to find inspiration. What content do you engage with on social media? What captures your attention and holds your interest? How can you apply that to content you
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 17
3ads.Be
people working, transport trucks delivering fresh inventory, employees being involved in the community, or sharing a moment of laughter. Post as many photos as you can on your Google page showing how fun and easy it is to buy from your dealership. This is a great time to tidy up your showroom and your sales lot, add some fresh paint, and show photos of how clean and inviting your dealership is.
photos that tell a story. Try using images that show action and activity aside from just listing vehicles. Show
1040 Commercial Ave., P.O. Box 406 East Petersburg, PA 17520 717.569.5220 / Fax: 717.569.3109
AUCTION DIRECTORY
Specialty Sale every 4th Wed 8:30 AM adesa.com
2nd Tuesday Monthly 11:00 AM
GMThursdaysFactory Sale Bi-weekly Tuesdays 10:00 AM adesa.com
Friday 9:00 AM
Tuesday 10:00 AM nepautoauction.com
Wednesday 5:00 PM lehighvalleyautoauction.com
ADESA PA
Fax: 717.266.7650
AMERICA’S AA - LANCASTER
GARDEN SPOT AUTO AUCTION
TRA Sale - Tuesday 12:30 PM
Weekly Sales Wed. 9:00 AM INOPS 8:30 AM americasautoauction.com
P.O. Box 317, 12141 Route 6 West Corry, PA 814.664.772116407/Fax: 814.664.7724
BLOOMSBURG AUTO AUCTION
MANHEIM BALTIMORE-WASHINGTON
Thursday 9:45 AM
Tuesday Frontline Sale, 9:00 AM
Tuesday 1:45 PM greater-erie.com
Tuesday 10:00 AM gardenspotautoauction.com
Thursday 12:30 PM americasautoauction.com
NEW ADESAJERSEYAUCTION OF NEW JERSEY
55 E. Buffalo Church Rd. Washington, PA 15301 724.225.1777 / Fax: 724.225.7223
7700 Avonia Road, (Exit 16 of I-90 & PA Route 98) Fairview, PA 16415-0916 814.474.3900 / 877.474.GEAA Fax: 814.474.4969
Thursday 8:30 AM at Clayton Station
Tuesday Sale, 9:30 AM
MANHEIM PENNSYLVANIA
Robert Rd. & Apple St., Ephrata, PA 17522 717.738.7900 / Fax: 717.738.7930
3880 Lehigh St., Whitehall, PA 18052 610.435.5554 / Fax: 610.435.5557
Wednesday 9:00 AM manheim.com
I-83 Ex. 28 (Old Ex. 12), 30 Industrial Rd. York, PA 717.266.661117406/
TRA/Salvage, 1:00 PM manheim.com
Thursday 8:00 AM at Bel Air in Belcamp bscamerica.com
1190 Lancaster Rd., Manheim, PA 17545 717.665.3571 / Fax: 717.665.9265
Exotic Highline Sales every other Thursday - 9:00 AM
Tuesday 9:00 AM pittautoauction.com
Wednesdays 9:00 AM; INOPS 8:30 AM
2280 Bethlehem Pike, Hatfield, PA 19440 215.822.1935 / Fax: 215.822.8140
LEHIGH VALLEY AUTO AUCTION
21095 Route 19, Cranberry Twp., PA 16066 724.452.5555 / Fax: 724.452.1310
NORTH EAST PENNSYLVANIA AA
570.207.CARS / Fax: 570.207.1860
1100 S. York St., Mechanicsburg, PA 17055 717.697.2222 / Fax: 717.697.2234
7120 Dorsey Run Rd., Elkridge, MD 21075 410.796.8899 / Fax: 410.799.0512
Thursday 10:00 AM
NEW ADESAYORKBUFFALO
Ford Factory Tuesday Monthly 9:00 AM
Office: M-Tu: 8-5, W: 8-4, Th: 9-4, F: 9-3 ADESA.com/Buffalo
Office M-W: 9-4:00; TH: 9-5:00; F: 8-5:00 adesa.com
3 Lanes Dealer Consign, Fleet/Lease corryade.com
CORRY AUTO DEALERS EXCHANGE
GREATER ERIE AUTO AUCTION
MANHEIM PHILADELPHIA
Exit 178 of I-80, Lock Haven, PA 17745 800.248.8026 / Fax: 570.726.7841
Route 51 S. Perryopolis, PA 15473 724.736.4445/ Fax: 724.736.0466
Wednesday 10:00 AM bloomaa.com
Topline Sale 9:00 AM monthly
Office: MTF 8-5:30 W-Th 8-6:00 cpaautoauction.com
CENTRAL PENNSYLVANIA AA
758 Franklin Road, Mercer, PA 16137 724.662.4500 / Fax: 724.662.8716
Thursday 8:45 AM harrisburgautoauction.com
AMERICA’S AA - PITTSBURGH
ADESAPENNSYLVANIAMERCER
Tuesday 9:30 AM
Wednesday 9:00 AM manheim.com
PERRYOPOLIS AUTO AUCTION
MANHEIM PITTSBURGH AA
378 Hunker Waltz Mill Rd. New Stanton, PA 15672 724.925.4700 / Fax: 724.925.4701
MANHEIM KEYSTONE
Consignment Sale Thursdays 8:45 AM
730 Rte. 68, P.O. Box 188 Bordentown, NJ 08505 609.298.3400 / Fax: 609.298.4489
Friday 9:45 AM perryautoauction.com
ADESA PITTSBURGH
488 Firehouse Road, Grantville PA 17028 717.469.7900 / Fax: 717.469.2842
200 N. Main, Manville, NJ 08835 908.725.2200 / Fax: 908.725.3446
Office: M-Th 8:30-5:00; F 8:30-1:00 manheim.com
12200 Main St., Akron, NY 14001 716.542.3300 / Fax: 716.542.3547
AMERICA'S AA - HARRISBURG
BSCMARYLANDAMERICA/BEL AIR AUTO AUCTION
P.O. Box 200, 4805 Philadelphia Rd. Belcamp, MD 21017 410.879.7950 / Fax: 410.893.1515
Sale Tuesday 9:00 AM Boat & RV Sale
860 N. Keyser Ave., Scranton, PA 18504
Every Friday Sale 8:30 AM manheim.com
18 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
25 Ridge Road, Bloomsburg, PA 17815 570.784.2306
Every Monday 11:00 AM manheim.com
MANHEIM NEW JERSEY AA
ADESA LONG ISLAND
MANHEIM ROCHESTER 20 Cairn Street, Rochester, NY 14611 manheim.comsara.fico@coxautoinc.com585.328.2277
5300 Lockport Road Lockport, NY deeregunner@hotmail.com716.549.480014094
ROCHESTER- SYRACUSE AUTO AUCTION
Ally Financial Open Sale –EVERY
Feel free to ring PIADA for any of your Pennsylvania titling needs. (717) 238-9002 YOUR OUT OF STATE RETAIL WORK
1826 State Route 414, P.O. Box 129 Waterloo, NY 13165 rsautoauction.comsprankie@rsautoauction.com315.539.5006
Heavy Truck & Equipment Sale First Thursday of the Month 11:00 AM manheim.com
MOUNTAINVIRGINIASTATE
BUFFALO AUTO AUCTION
5930 State Rte. 31, Cicero, NY 13039 adesa.com/syracuse315.699.2792
AUTO AUCTION Route 2, Box 835, Shinnston,
425 Patchogue Yaphank Rd. Yaphank, NY adesa.com/longIsland631.205.500011980
GM Financial Open Bi-weekly. Simulcast in all statelineauto.comlanes.
MARIADA
MANHEIM ALBANY
WV 26431 304.592.5300 / Fax: 304.592.3510 Monday 10:30 AM Office: mtstateaa.com9:00-5:00
459 Route 146, Clifton Park, NY 12065-0440 manheim.comjay.waterman@manheim.com518.371.7500
Every Thursday 9:00 AM
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 19
MARIA’S TAG & TITLE is excited to share a recent partnership with Maria’s Tag & Title. We know how vital it is for your dealership to operate efficiently to maximize profits, which is why we now offer members a great solution for out of state retail work. Maria’s Tag & Title is a direct resource for processing out of state deals for vehicles sold to customers residing in Maryland, Delaware, DC, West Virginia, Virginia, North Carolina, and now New York! Dealers may outsource as much or as little as they prefer. contact the Association at (717) 238-9002.
For full details, please visit mariada.org/mtag or
MANHEIM NEW YORK AA 2000 Dealer Drive, Newburgh, NY 12550 845.567.8400 / Fax: 845.567.8410
FRIDAY, 9:20 AM
ADESA SYRACUSE
WEST
STATE LINE AUTO AUCTION 830 Talmadge Hill Rd. S. Waverly, NY 607.565.815114892/Fax: 607.565.3915
Ford Factory Closed Sale Bi-Weekly 10:00 AM
By Jason Girdne, CEO of Tecobi
A whopping 87% of American consumers dislike something about the process
Are you still relying on “traditional,” old-school advertising methods for your dealership? That’s your first mistake. Just like everything else these days, car buyers are in one place: online. They are doing their research online, they are checking out dealerships and prices online, and they are talking to their friends online about what kind of car they want to buy. So, where should you be advertising? The answer is online - not in the newspaper, not on TV and certainly not on billboards.
I have a hot take for you: the clicks and impressions you get on your Facebook ads don’t really matter. The amount of clicks you get doesn’t really affect how many cars you sell. Focus on the KPIs that really matter: how many leads you are getting, how many appointments you are setting, how many of those appointments actually show up and how many of those appointments turn into sold cars for your dealership. n
Are your auto ads not doing a very good job of attracting new leads? I have bad news for you: you are doing your automotive advertising completely wrong. But don’t take it personally. Most car dealerships all have the same problems with ads. These are a few of the common mistakes that we see on a regular basis with automotive advertising for car dealerships:
WORRYING ABOUT CLICKS, IMPRESSIONS AND ENGAGEMENT
It’s important not to get too bogged down with targeting. Cast a wide net in your geographic area with your ads. Why? Targeting is a waste of time and a waste of possible leads. At a minimum, without targeting, you can help build brand awareness for your dealership on Facebook and Instagram. Worry about placing your leads in the right place in the sales funnel later on.
A common mistake with automotive advertising is placing misleading ads in order to entice leads into coming into the dealership. However, these misleading ads create distrust among clients and ultimately won’t get you a sale. Plus, customers are savvy these days and most likely will realize that if something seems too good to be true, then it probably is. That is why it’s important to never lie about prices or deals simply to get customers in the dealership.
YOU’RE STILL RELYING ON OLD-SCHOOL CAR DEALERSHIP ADVERTISING
CAR MISREPRESENTATIONDEALERSHIP
Why You Are Doing Your AutomotiveAdvertising CompletelyWrong. Are your auto ads not attracting new leads? Here are a few of the common mistakes dealers make and what to do instead.
TOO MUCH TARGETING
There is another reason why you need to advertise your dealership online: an extra step. If someone sees your ads in the other places, an additional step is needed to contact you - like picking up the phone and calling, which we know most people are not going to do in 2022. But when you advertise online, all the interested lead has to do is click a button to automatically fill out a form and they’re done.
of buying a vehicle at a traditional car dealership, and a big reason behind that is the stereotype that car dealers are untrustworthy or slimy.
20 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 | 21ALL LANES www.nepautoauction.com VIEW OUR PRE-SALE & POST SALE RESULTS ONLINE Leading the Industry #nepautoauction #winwin GSA Sale - TBA CONTRACT HOLDER Volume sellers CALL NOW for your catered pricing Volume sellers CALL NOW for your catered pricing FOR MORE INFORMATION, PLEASE CALL 1-888-282-2606 OR (570) 207-CARS 860 North Keyser Avenue, Scranton, Pennsylvania 18504 NO RISK NO FEE UNTIL SOLD Exceeding your expectations every time! 90% SOLD! OfferingSOLD! 500 Vehicles Per WeekOffering 500 Vehicles Per Week Drivers Rollbacks • Tow Trucks • Car Carriers WHATEVER IT TAKES! We list cars on Liquid Motors. Call for details. Get Results Here
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Wholesale prices at the industry level fell 3% in July, which was one of the softer performances for the period in the past 20 years. Historically, wholesale prices fell by approximately 1.5% in July. On the retail side, used prices remain near historic highs, as recorded in April 2022. Compared with June 2022, used retail prices grew a slight 0.2% in July, reaching $31,955 per unit.
Or
378 Hunker Waltz Mill Rd., New Stanton, PA 15672
The used-vehicle market remains exceptionally strong; however, wholesale prices cooled slightly in July 2022. As a result, the J.D. Power Valuation Services Used Vehicle Price Index declined 3.5 points to 216.4. Despite the decline, July’s price level was only 7.1 points lower than its all-time high in December 2021. Additionally, prices in July were 18.8% higher than July 2021 and 31.1% higher through the first seven months of the year vs. the same period in 2021.
Following the overall industry trend, both mass market and premium segment prices experienced declines in July. On the mass market side of the market, passenger car prices are generally still the strongest. Small, compact, midsize and large car prices declined from 2.3% to 3.1%, while pickup and SUV segment prices fell between 2.3% to 3.7%. Premium segment prices were softer than their mainstream counterparts, as prices declined from 2.6% for compact car to 9% for large car. n
ADESA - PITTSBURGH AA
ORDateMail
Carly Bishop• 724.925.4700
Used Car Market ‘Exceptionally ByStrong’UsedCarNews
Sales continue to increase at used car dealerships year over year.
or Special Member Corp. Partnership Sole Proprietorship LLC Number of Employees Street
_______ County
To assist our lobbying effort, your party affiliation is requested. Democrat Republican Independent Decline to answer PIADA yearly dues are $399.00 and MDIADA & DIADA are $299.00 (which include $60 NIADA dues). You will receive all NIADA benefits including a discount prescription drug card, Used Car Dealer maga zine, and dealer advocacy to officials in Washington, D.C. (Contributions or gifts to PIADA PAC are not deductible as charitable donations for Federal tax purposes; however, the $399 dues payments are deductible by members as an ordinary and necessary business expense.)
card: Card type: Visa MasterCard American Express Discover Name on Card Card SecurityNumberCode ___________ Expiration Date DatePrintedSignatureNameReceived by
MANHEIM PHILADELPHIA AA
Monday, September 19, 2022
COURSE REGISTRATION PIADAContactCompanyMember? Yes No DIN # E-mail CityBusinessAddressAddress State_______Zip Code________ Phone (____) ___________________Fax (____) Number Attending ______ NAMES OF ATTENDEES: Card Type: VISA MasterCard Discover American Express Name on Card: Card # Security Code ______ Exp. Date_____ Signature Fax (We’d prefer fax) to 717.238.3870 Or Mail to: PIADA, 1501 North Front
22 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022 20 | JANUARY 2022 MIDATLANTIC DEALER NEWS MidAtlantic IADA Membership Application DO IT QUICK! Call 717.238.9002 and Say “I Want to Join!” & we’ll take the info over the phone (M-F 8:30-4:30)
NORTHEAST PENNSYLVANIA AA
DINOwner/President(s)Dealership# Address Zip Dealership Anniversary (mm/yy)______ Fax (____)
1100 S. York St., Mechanicsburg, PA 17055 • Clint Weaver • 717.697.2222
Monday, April 25, 2022
Contact PIADA chapter today: Email Cynthia@piada.org or call 717.238.9002.
Monday, May 16, 2022
Lisa Cohowicz • 570.650.2781
2280 Bethlehem Pike, Hatfield, PA 19440
Monday, March 14, 2022
GARDEN SPOT AA
Robert Rd. & Apple St., Ephrata, PA 17522 • Kristi Kohl • 717.738.7900 Street, Harrisburg, PA 17102 $129
Additionally on the used retail side, sales volumes at franchised dealers reached nearly 1.1 million units in July, up approximately 44,000 units from June. The increase was driven by popular SUV and truck segments. For example, light duty large pickups, midsize SUV and compact SUV sales contributed to more than half of the sales gain recorded last month vs. June. Additionally, dealers continue enjoying the fruits of used-vehicle operations. In July, the used-to-new ratio remained elevated in favor of used, with that ratio reaching 118.8%--up one percentage point from June. Also, used vehicles continue moving off dealer lots very quickly, as daysto-turn held steady at 40 days for the fourth consecutive month.
MySignaturecheck(s) in the amount of: PA Dealer $399.00 MD/DE Dealer $299.00 Plus a voluntary PAC fund contribution to PIADA PAC of $25 or more. (Must be individual check, not a corporate check. Corporate checks for PAC fund contributions are not permitted by PA law.) Plus a $20 donation to the MidAtlantic Regional IADA Scholarship Fund. please charge this amount to my credit MARIADA Rep. to: MARIADA, 1501 North Front St., Harrisburg, PA 17102. If using a credit card, you may fax this application to PIADA at 717.238.3870.
Ph.WebsiteE-mail(____) ___________________
AMERICA’S AA – HARRISBURG
Charles Polina 215.822.1935
Arcaro & Genell Restaurant, 443 South Main St., Old Forge, PA 18518
1-800-366-2141 | 88 Auction Road | Manheim, PA 17545 | www.dealergoodies.com ONLINE AUTO DEALER SUPPLIES AND SELLING AIDS! deals Detaildealergoodies.com!atSeminars!BasicOctober18thAdvancedOctober19th
_______ $ _______
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$ _______ $ _______
$ ________
Rental Agreements $32.00 $64.00 $ $
MARYLAND FORMS
DESCRIPTION QUANTITY $MEMBER $NON-MEMBER MEMBER EXT NON-M EXT
Fraud Hotline Poster $14.00 $28.00 $ $
$
$ _______ $ _______
Deal Jackets $30.00 $60.00 $ $ Fees Chart (wall mount) $14.00 $28.00 $ $
“As is” Supplemental Statement $24.00 $48.00 $ _______
____
6%
enclosed for Non-Secure forms $ TOTAL AMOUNT DUE $ _________ MemberDealerDealership#(required) Yes No Contact Name AddressEmail(FEDEX& UPS WILL NOT DELIVER TO P.O. City_______________________________________________StateBOX) ______Zip Phone ______________________________Fax Card Type: VISA MasterCard AMEX Name on Card Exp. Date________ Card Number _____________________________________ Security Code________ Make checks payable to: PIADA or fill out payment information below: Card Type: VISA MasterCard AMEX Discover Name on Card Exp. Date________ Card Number _____________________________________ Security Code________ We cannot process orders until payment is received. Signature ____________________________________________ Date For questions you may contact Cynthia Slemons at 717.238.9002 ext. 16 or Cynthia@piada.org . MIDATLANTIC IADA = PIADA + MDIADA + DEIADA Contact Shannon at 717.238.9002 x 18 Shannon@piada.org www.piada.org • www.mdiada.org • www.deiada.org FOR INFORMATION ON MEMBERSHIP... Pennsy lvania| Maryland|Delaware Dealers Association MidAtlantic Regional Independent AutomobileJOIN TODAY! Shipping Cost: 1 – 4 packs = $10.00 5 – 10 packs = $15.00 Over 10 packs – Please call ahead for pricing.
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forms order $ 6% Mar
_______ $ _______
Temp Tag Log Book $15.00 $30.00 $ $
Test Drive Agreements (100 per pack) $28.00 $56.00
Sales Tax
Lease Agreements $78.00 $156.00 $
TOTAL
Power of Attorney Disclosure Forms $18.00 $36.00 $ $
Notice to Co-Signer $28.00 $56.00 Trade-In Appraisal $28.00 $56.00
$ $
Consignment & Sales Agreement Form $25.00 $50.00 $
Please North 717.238.3870 per $36.00 Buyers Guide (100 per pack) $28.00 $56.00
pack) $18.00
Restricted Power of Attorney (100 per pack) $10.00 $20.00
$
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$
Customer Delivery Check List $28.00 $56.00 $ $
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Odometer Mileage Statement $18.00 $36.00 $
Lease Spot Delivery Agreement $28.00 $56.00 $
Secure Power of Attorney $50 00 $50 00 $ _______ $
Secure Power of Attorney Log Book $15.00 $30.00 $ $
Customer Proposal $28.00 $56.00 $ $
Total Non-Secure yland
____
Deal Jackets (100 per pack) $24.00 $48.00
Goodwill Repair Acknowledgement $28.00 $56.00 $ $ Insurance Coverage Acknowledgement $28.00 $56.00
make checks payable to PIADA, 1501
with credit card information. *All orders MUST be accompanied by a method of payment. *Must provide DIN if applicable. PhoneCity_______________________________________________StateAddressContact_______________________________________________DateDealership______Zip_____________________Fax____________________ *DIN Card Type: VISA MasterCard AMEX Name on Card Exp. Date________ Card Number _____________________________________ Security Code________ All forms come in packs of 100 unless otherwise noted. SECURE FORMS QUANTITY PRICE TOTAL $ DUE Secure Power of Attorney (3 part-50 per package) $20.00* $ ________ Secure Dealer Reassignment (1 part-100 per package) $20.00 $ Total Secure forms order $ 6% Mar yland SalesShippingTax TOTAL enclosed for Secure forms $ ________ NON-SECURE FORMS QUANTITY $MEMBER NON-$MEMBER TOTAL $ DUE Cash Sales Contracts (100 per pack) $47.00 $94.00 $ ________ Odometer Mileage Statement (100
Damage Disclosure $28.00 $56.00 $ _______ Delivery Confirmation $28.00 $56.00 $ $
Buyers Guide Plastic Holders (50) $40.00 $80.00 $
24 | MIDATLANTIC DEALER NEWS | MIDATLANTICAUTODEALERSUNITED.ORG • OCTOBER 2022
PENNSYLVANIA FORMS DEALERS CAN ORDERDEALERS CAN ORDER
No Purchase Required Disclosure $24.00 $48.00 $ $
Buyers Guide Window Form (Spanish) $18.00 $36.00 $
Interpreter Confirmation of Translation $25.00 $50.00 $ $ Key Tags (250) $32.00 $64.00 $ $
Limited Warranty $26.00 $52.00 $ _______ $
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$ _______
_______ $ _______
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$ _______
Pennsylvania Sales Tax $ $ Shipping $ per pound + Special Shipping $ at cost. Total w/o shipping $_________
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Buyers Guide Window Form $20.00 $40.00 $
$
Installment Sales Contract (100) $150.00 $300.00 $
Notary Receipt Pad $15.00 $30.00 $ $
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Title Release Authorization $15.00 $30.00
ADP FORMS
$ _______ $ _______
Subtotal
Check one: AS IS IMPLIED
$ ________
Front St., Harrisburg, PA 17102 (call in to receive shipping cost to include in payment) or you may fax orders to
$ ________
_______ $ _______
Used Vehicle Record $15.00 $30.00
Retail Buyer Order Form $32.00 $64.00 $
$ $
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$ _______ $ _______
_______ $ _______
$ FTC
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