the Front Row | March/April 2021

The official publication of the Washington State Independent Auto Dealers Association

March| March |April 2021

Labor & Industries Group Retrospective (Retro) Program How Should Independent Dealers Navigate Through 2021?

Freshen up and put your best foot forward in 2021

Your West Coast Remarketing Partner MAG’s Physical Auction Locations In accordance with WA State COVID-19 Guidelines, our Seattle and Spokane auctions are currently running via Edge Simulcast Only – no in-person attendance. DAA Las Vegas offers online and in-person auctions; face masks and social distancing are required.

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March/April 2021

The official magazine of the

WASHINGTON STATE INDEPENDENT AUTO DEALERS ASSOCIATION 707 Auburn Way South | Auburn, WA 98002 T: 253-735-0267 | F: 253-804-0844 staff@wsiada.com | WSIADA.COM EXECUTIVE BOARD:

Randy Fletcher, Board President In-N-Out Auto Sales | President@wsiada.com

Wasim Azzam, Board Vice-President All Right Auto Sales | VPresident@wsiada.com

J.T. Curry, Board Secretary Motors Northwest | Secretary@wsiada.com

Emil Scarsella, Board Treasurer Town & Country Auto Sales | Treasurer@wsiada.com CHAPTER PRESIDENTS:

George Henson – North Cascade Walker Motor Works | NoCascade@wsiada.com

Badie Darwazeh – North Sound Seattle Auto Haus | NoSound@wsiada.com

Wasim Azzam – South Sound All Right Auto Sales | SoSound@wsiada.com

John (Buck) Tinsley – Vancouver Buck’s Family Auto Brokers | Vancouver@wsiada.com

Vacancy – Yakima Vacancy – Tri-Cities Vacancy – Spokane AT-LARGE BOARD

AJ Hamedian, Board President (Emeritus) Excellent Choice Auto Sales, LLC | ahamedian@yahoo. com

Ken Williamson, Board President (Emeritus) John’s Auto Mart, LLC | johnsautomart@msn.com

John Biddle, Board Member Brooks Biddle | finance@brooksbiddle.com

Andrew Drager, Board Member Drager’s International, Inc | andew_drager.mac.com WSIADA STAFF

Vacant, Executive Director Colette Eilers, Receivables/Payables Rick Olson, Education Manager Mila Froman, Membership Manager Vacant, Seattle Auction Store Manager Vacant, Spokane Store Manager PUBLISHER Sygnifi Networks | SmartDealer@sygnifi.com © Copyright 2021 WSIADA

Contents 2 | Events Calendar 5 | Executive Director’s Corner 7 | Labor & Industries Group Retrospective (Retro) Program; Auction Listings 8 | Legislative Update 9 | Outlasting Coronavirus: Tips For Staying Relevant 11 | Membership Updates 12 | Service Provider Directory 13 | Freshen up and put your best foot forward in 2021 14 | Auction Discount Cards 15 | WSIADA Membership Enrollment Form 16 | Buyer’s Guides & Service Contracts In Washington State 18 | How Should Independent Dealers Navigate Through 2021?

MEMBER

19 | Read & Respond: Continuing Ed Quiz the Front Row | wsiada.com | March/April 2021 |

1

Events Calendar

Chapter Meetings: Spring Schedule: TBD

Mac Ruddell Scholarship:

Title Workshop Schedule: Virtual Classes March 25 - 9am April 22 - 9am May 20 - 9am

Final Submission Date March 22, 2021

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2 | the Front Row | wsiada.com | March/April 2021

HARNESS THE POWER OF OUR DMS PLATFORM

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the Front Row | wsiada.com | November/December 2020 |

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Miranda knows...

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If you want to properly protect your dealership ask an insurance professional who understands your business.

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Shepard & Shepard Insurance 855-396-0488 MEMBER - NIADA, OIADA, WSIADA, ISIADA, ASA Home office: Tri-Cities, WA

EXECUTIVE DIRECTOR’S CORNER

Message from our Board President

A

s we start our journey into the new year, I find myself in

the position as President of our great Washington State Independent Auto Dealer Association. I am honored to hold this position and I recognize we have a lot of work ahead of us with the legislative session heating up. We must be diligent and keep a careful eye on the many bills being introduced that could negatively affect our businesses. Please, if you see a bill that you are concerned about, feel free to contact the association or myself so we can pass it to our very experienced, and well-known lobbyist, TK Bentler, who will lobby attentively on our behalf.

We recognize we cannot do this alone, and always welcome your input. It is going to take all of us and more to protect our businesses’ wellbeing. An example of one of the bills we need to get on top of is HB 1058. This bill would allow the county council to determine tax increased for cultural and art funding without a vote from the people. We need to work together to figure out how we can make sure bills like these do not affect us in a negative light.

As many of you may have heard, we sadly lost our Executive Director, Todd Elliott, after a long fight with lung cancer.

We appreciate the work Todd did for the association and he will be missed. The association will be interviewing to fill this position and will do our best to find someone as seamlessly and progressively as possible. This alone with many other tasks are important for the survival of our businesses. Let us use this association of unity to protect our business wellbeing and work together as one.

Thank you, Randy Fletcher

President of WSIADA

the Front Row | wsiada.com | March/April 2021 |

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AUCTION LISTINGS

ASSOCIATE MEMBER UPDATES

Labor & Industries Group Retrospective (Retro) Program WSIADA Affiliated with Washington Retail Association

W

ashington Retail Association (WR) has been

partnering with Washington State Independent Auto Dealers Association (WSIADA) to offer its members additional services that will influence their bottom line. Both organizations recognize the value of combining resources and ideas when it comes to supporting the business community.

Through this partnership, members have access to enroll in Labor & Industries Group Retrospective Rating Program (RETRO). Washington Retail Association administers the program in your risk classifications.

For a current calendar view, visit WSIADA.com and select “Calendar” from the top navigation menu.

Adesa | adesa.com/seattle Tuesday: Consignment 9:30AM Alternate Tuesday: Specialty 8:30AM Thursday Night: InOp Sale 4:45PM

Adesa | Portland adesa.com/portland Thursday: Consult website

Copart | copart.com Times vary: Consult website

CTM Unlimited See website for auction dates and times: www. ctmunlimitedauction.com

DAA | Seattle | daanw.com

Friday: Dealer and Fleet/Lease 9:00AM Alternate Friday: Heavy Metal*

9:00AM (Lane 8) Monthly GSA Public Auctions:

1:00pm as scheduled” *Mechanically-challenged/cosmetically damaged/nonrunning inventory

The RETRO program is a safety and financial incentive program offered through Labor & Industries. You could turn a good safety record into a tax refund; the better your safety record; the bigger the tax refund.

Many of your peers are already enrolled earning returns on their tax premiums paid to Labor & Industries. WR’s goal is to make each member a top performer in the Group RETRO Program.

WR has a highly successful RETRO Claims Management team of experts to guide employers through the rules and regulations associated with Washington’s Industrial Insurance.

The success of members is a direct result of claims management, safety training, education, and program administration that you will receive when enrolled.

Anytime one of your employees is injured, it costs your company money. The loss can be in production, hiring and training a replacement, rescheduling work, or the loss of a job. Plus, the injury can cause your workers’ compensation premiums rates to go up.

Labor & Industries allows companies to enroll 4 times each year; once each quarter.

Let us provide you with a financial forecast which includes a return on investment in the form of a refund. For more details contact Terry Hopsecger, Director of Business Development at thopsecger@waretailservices.com or 360-200-6453.

This could be the best decision you make for your company.

Continue on page 8

DAA | Northwest | daanw.com

Weekly auctions: Thursdays at 9:00am; Monthly promotional event auctions:

Wednesday at 2pm &

Thursday at 9:00am Monthly MotorSports auctions:

Thursdays at 11:00am (Lane 8) Monthly RV auctions:

11:00am (Lane 8);

Heavy Metal auctions:

8:30am as scheduled (Lane 8); NOTE: MotorSports, RV and Heavy Metal auction dates can be found at daanwmotorsports.com

Ehli Auto Auctions | ehliauctions.com Last weekend of every month.

IAA - Insurance Auto Auctions Seattle iaai.com See website for dates and times

IAA - Insurance Auto Auctions Spokane

(509) 891-2388 See website for dates and times

Kaman | kamanauctions.com Thursday: Noon

Kaman | kamanauctions.com Thursday: Noon

Manheim | Seattle manheim.com/locations/SSAA/events Monday: OVE Event Sales Tuesday: Alternate weeks Ford Factory

(Closed sale) - 10:00am;

Crossborder Mobile Sale - 1:00pm Wednesday: General Sale Weekly 9:00am All sale dates and times are subject to change.

Please verify with the Auction or manheim.com.

Manheim | Portland manheim.com/locations/PAA/events Tuesday: Open Sale: 9:00AM the Front Row | wsiada.com | March/April 2021 |

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Continued from page 7

Improve your bottom line.

•

Qualify for refunds on a portion of your workers’ compensation premiums.

•

Lower your up-front costs by reducing and stabilizing your experience factor.

•

Improve workplace safety and reduce your premiums.

•

The better your safety record, they are higher your refund.

•

Let WR save you time, money, and risk.

As a member of the Retro Program, you will receive •

Risk Management

•

Safety Consulting

•

Safety Training

•

Ergonomic audits

•

Accident Prevention

•

Aggressive in-house claims management

•

Customized reporting and trend analysis reports by location

•

Monthly safety newsletter and calendar

Legislative Updates As of 4 March 2021

Senate Bills

Join with like businesses to maximize your refund potential and lower your risk.

•

Group premiums are pooled; if premiums exceed claim costs for the group, refunds are given.

•

Must meet underwriting guidelines to qualify for enrollment.

•

Predictive modeling in early stages of claims

•

Manage Return to Work program which is an additional financial incentive program offered by L&I.

Our goal is to make each member a top performer in the Group Retro program. The Retro program is a safety incentive program offered through Labor & Industries. You can turn a good safety performance into a refund; the better your safety performance; the bigger the refund. Many of your peers are already enrolled earning returns on their taxes paid to Labor & Industries.

House Bills HB 1539 – An Act relating to narrowing the business and occupation tax deduction, and sales and use tax credit and refund, for bad debts available to sellers.

Status: Introduction

SB 5448 – An Act relating to payment plans for certain vehicle fees and taxes

HB 1322 – An Act relating to off-road and snowmobile registration enforcement

Status: Committee Passage

Status: House Passage

SB 5444 – An Act relating to implementing a per mile charge on electric and hybrid vehicles

HB 1399 – An Act relating to reducing barriers to professional licensure for individuals with previous criminal convictions

Status: Introduction/Hearing

Status: House Passage

SB 5192 – An Act relating to supporting access to electric vehicle supply equipment

HB 1439 – An Act relating to authorizing military surplus vehicles to operate on public highways

Status: Introduction/Committee Passage

Status: Introduction

SB 5085 – An Act relating to modifying certain alternative fuel vehicle fees (electric motorcycles)

HB 1269 – An Act relating to motor vehicle transporter license plates

Status: Committee Passage

Status: House Passage

SB 5152 – An Act relating to enhancing data stewardship and privacy protections for vehicle and driver data by clarifying the allowable uses of personal or identity information, prescribing penalties for data misuse, and codifying existing data contract practices.

HB 1107 – An Act relating to expanding certain nonresident vessel permit provisions

Status: Introduction/Committee Passage

8 | the Front Row | wsiada.com | March/April 2021

HB 1496 – An Act relating to creating a more progressive tax system in Washington by enacting an excise tax on sales and extraordinary profits of high valued assets.

Status: Public Hearing

Outlasting Coronavirus: Tips For Staying Relevant Keep Innovating and Come Out Ahead After a Crisis

By Scott Steinberg

S

o much for “status quo.” As a rash of recent coronavirus-related concerns and subsequent rise of market uncertainty reminds, there are no more static or predictable patterns in today’s workplace. Affirming this principle, researchers at IBM further note that continuous change is the new norm. Ironically, according to them, it’s also more normal than new. These findings were first published more than a decade ago. Whether or not we choose to accept this wake-up call and react accordingly, well . . . that’s a different story altogether. Consider that change is now exponential, thanks to vast advances in technology and communications. In fact, the next 10 years will bring more change than the prior 10,000 years. Moreover, in a globalized, interconnected world, competition is nearly infinite. Like almost any piece of information, whatever you’re looking for — new job, new hire, new vendor, etc. — is just one click or call away.

Just one problem, as Peter Diamandis, head of the XPRIZE Foundation, charged with bringing mankind radical breakthroughs, noted at a recent lecture: Whether you’re discussing careers, lives or businesses, these shifts are no longer linear or predictable, even though that’s how men and women think. As he puts it, “Humans are not prepared to understand the rate of change” going forward.

Worse, adds University of Oregon psychology professor Dr. Paul Slovic, we’re really crappy at stepping outside of comfortable grooves and at estimating the upsides and downs with taking potential risks.

Confronted by change, it’s safe to say that we get three choices: Address it, avoid it or pretend it doesn’t exist.

But to stay relevant, especially in a world overflowing with talent, brimming with competitors, and filled with a growing number of unforeseen forces and outside events that promise to reshape our operating reality, the options are clear. Only the first of these choices presents individuals or organizations with a viable option for remaining relevant. In a world where best practices, others’ expectations and competitive landscapes are constantly shifting, value and timeliness are also moving targets. We must change and move with them as well.

How Innovators Succeed

The greatest trick the devil ever pulled wasn’t convincing the world he didn’t exist: It was convincing us that the challenges or obstacles that we face are outside of our power to control or influence.

Look up the words innovation and disruption — two of the most over-used amongst modern professionals — in the Merriam-Webster dictionary, and you may be shocked. Innovation is simply the introduction of something new — new idea, new product, new career plan, etc. — while disruption is merely a disturbance that interrupts current routines or events.

Take a second look at your shifting schedule, shifting work priorities, and shifting business or career perspective, and you may be surprised to discover that we’re all innovating and navigating through disruption daily. Technically, this means that the only thing holding most individuals and enterprises from changing, learning and adapting, i.e. staying relevant, is their own thoughts and attitudes.

In other words, if you want to keep up with the pack, let alone pull ahead of it, you’ve got to innovate — and innovation is simply a function of our willingness to change, grow and experiment. To reiterate, the problem-solving process — study the challenges you face, create a plan, take action, learn from the reactions you get, and respond accordingly — works as well for individuals as it does Fortune 500 firms.

The Secret to Getting Ahead

Every year, consulting firms study hundreds of leading innovators — companies such as Apple, Amazon and Google — to see where their competitive advantage lies. Rather than access to greater time, money, talent or resources though, all succeed for one main reason: They employ better solutions for Continue on page 10 the Front Row | wsiada.com | March/April 2021 |

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Continued from page 9

brainstorming, sharing and nurturing new ideas. They speak up, systematically pair talents and resources to projects, and act on them—nothing more, nothing less.

Malcolm Gladwell dispels the notion of entrepreneurs as ‘mavericks.’ By making calculated gambles, such as Vaynerchuk’s, he says, daring businessmen such as Ted Turner and Steve Jobs actually aren’t; they’re willing to wager more heavily, but only after carefully determining where to best place their bets.

Success seldom happens overnight. More often, for most innovators, it’s a process of incremental, or evolutionary, vs. breakthrough, or revolutionary, gains. Small wins whose total adds up to more than the sum of their parts.

Likewise, when MacArthur foundation fellow Angela Duckworth tested kids, college students and military cadets, neither IQ, ambition or aptitude proved as great a predictor of success as resilience — the ability, after trying and failing, to bounce back. And, at Harvard Today’s No. 1 source of innovation is shocking as well: University, first-year MBA candidates are now required Simply listening to customers. This likely means that you, to complete hands-on job training in addition to and the people with whom you interact on a daily basis, hands-on learning, with dynamic decision-making skills are in fact the world’s greatest force for change, and and firsthand experience seen as equally essential those in an organization most able to make a difference. complements to classroom learning.

Seeing Farther

As you can clearly see, changing, innovating and staying relevant doesn’t have to be challenging or difficult. But it does require us to stay in constant motion to keep up with competitors or shifts in the market, and to pursue constant self-reinvestments — whether in the form of new education, new contacts, or new learning and experiences — in order to get ahead.

As bestselling author Gary Vaynerchuk, who parlayed an online video series into a multimillion-dollar online retail empire reminds, even successful individuals can’t put instant gratification before long-term goals. Nor can they afford to kick up their heels. Like the rate of change present today, competition is just too fierce, and the sprint to the finish line always ongoing.

Put simply, you can’t afford to sit still or not take risks.

More to the point, coronavirus-related market concerns or no, the time to do so is here and now. Plan for bad times in good, pursue constant personal and professional growth and development, and practice using your skills — or employing new and novel ones — before that sturdy roof you built over your head begins falling down around your ears. All are vital strategies for remaining relevant.

When his own business, WineLibrary.com, was at its peak, growing 30% year-over-year for nearly a decade running, Vaynerchuk suddenly did a 180-degree turn, pursuing TV appearances, live lectures and book opportunities, to build his personal brand. The first month, the firm took its first hit in eight years. But for Vaynerchuk, it was one step back, seven forward. He has since parlayed his fame into running a highly lucrative, world-renowned communications, marketing and social media firm that works with the world’s largest consumer-facing companies.

Taking Risks

In a recent article for The New Yorker, celebrated author 10 | the Front Row | wsiada.com | March/April 2021

In other words, you don’t have to be particularly smart, talented or brilliant to innovate — just practical. Even the U.S. Army and Marine Corps. have rethought what it means to prepare warriors for every kind of battlefield based on these insights. Its Resilience Training program now teaches hundreds how to prepare for the stresses of everyday life and careers as much as combat. Key cornerstones are learn to think positively, objectively and like a freestyle musician, improvising as you go, taking cues from your environment or audience, and improving as you compose new lyrical paths.

Follow a similar path, and you’ll never be caught flatfooted and you’ll always be future-proof.

Adapting to Change

The moral of the story? Consider the obstacles before you. Create an action plan. Execute on it. Study the results. Revise accordingly.

In all cases, just keep pushing forward, think three steps ahead and don’t hesitate to regroup when you meet with setbacks. Therein lies the almost laughably secret to staying successful, and relevant, in a rapidly-changing world. Plan ahead and prepare accordingly, keep your eyes and ears open, learn as you go, and don’t be afraid to course-correct. The greatest obstacles to our success?

Our own self-imposed misconceptions, or unwillingness to budge. | AC&F | Hailed as the world’s leading business strategist, awardwinning professional speaker Scott Steinberg is among today’s best-known trends experts and futurists, and the bestselling author of “Think Like a Futurist”; “Make Change Work for You: 10 Ways to Future-Proof Yourself, Fearlessly Innovate, and Succeed Despite Uncertainty”; and “Millennial Marketing: Bridging the Generation Gap.” He is also the president and CEO of BIZDEV: The International Association for Business Development and Strategic Partnerships. His website is AKeynoteSpeaker.com.

Membership Updates Here are your latest colleagues to renew their WSIADA membership ...and we welcome to our newest members, highlighted below in bold text.

1st Choice Auto Sales 360 Auto Sales Adams Auto Sales Agri-Fix, LLC All American Motors All Recovery Services of Washington LLC Allyn’S Specialty Cars Anacortes Auto Sales LLC Austin’S Pro/Max Auto & Truck Sales Auto 206 Incorporated Auto Max USA Autos Only Burien Auto Sales Autowerx AWD Auto Sales B & B Auto Repair & Sales Ball Auto Sales & Service, Inc. Bayside Auto Sales BBL Auto Sales Bill Harris Used Cars, Inc. Boardwalk Motors Booker Auction Company Bowen Auto Brink’S Car Sales Brooks Biddle Suzuki, Inc. Bulldog Motors Buy Here Pay Here, Inc. Car Craft Auto Sales, Inc. Car Trends II, LLC Car Zone, LLC Chehalis Auto Center LLC CJ International Cars Clarkston Auto Sales, Inc. Classy Chassies Fine Used Cars Clearwater Collision & Towing, LLC Coastal RV’S & Auto Sales Columbia Auto Center Columbia Valley Vehicle Connection LLC Common Sense Motors Community First Auto Centers Cougar Investments Inc. Coumbs RV Truck Accessories Dick Hannah Honda Dick Vlist Motors, Inc. DX Rider Eastlake Auto Brokers Eastside Harley-Davidson Eldon Robbins Auto Sales, Inc. Emerald City Harley-Davidson

Emerald Valley Auto Sales European Auto Brokers Inc. Farm & Home Supply, Inc. Fife Auto Repair & Sales Fife RV Inc. First Union Auto LLC FMS Truck Sales German Auto Services, L.L.C. GGG Auto Center LLC Global Elite Motors Grand Auto Sales Grandstand Auto Sales Griot’S Motors H and H Classic Cars Inc. Highland Auto Hill’S Auto & RV, LLC Hot Rod Alley Inc. Hudson Auto Center of Bremerton I-5 Motors Impact Auto Sales, LLC J. Stout Auction JDM Car & Motorcycle, LLC Jennifer’S Greenacres Auto Sales JFK Auto Sales and Service JMC Motorsports, LLC Johnson RV JTM Group LLC Karz N More, Inc. Kersey Mobility Systems, Inc. Kirkland RV Sales Kitsap Auto Outlet Kitsap Used Cars, LLC Kleyn’S Auto Sales, Inc. Landmark Motors, Inc. Lifestyle Motor Co. Lost & Found Classic Car Co. Mainly Muscle Cars, LLC Maxx Autos Plus MC Euro, LLC McKenna Motors McMillan Brothers Auction, Inc. Medrano’S Auto Repairs and Sales, LLC Mills Motors LLC MK Motors Modern Collision Rebuild & Service Motorcars Limited Mt Si Motors Nelson Truck Equipment Co, Inc.

Northtown Auto Liquidators Northwest Auto Liquidators Northwest Rides, Inc. NW Autoxchange Obo Auto Sales LLC Olympia Auto Source Olympic Auto Works, LLC Omak Auto Plaza LLC One.7, Inc. Owen Equipment Company Owen’S Yamaha Suzuki Harley-Davidson Pacific Highway Sales LLC Paramount Motors NW Patriot Automotive Penske Truck Leasing Co, LP Phoenix Motors Quality Auto Center, L.L.C. Rallye Auto Sales Inc. Redline Motors LLC Ride Auto Sales LLC Roosales Ruddell Auto RyanS RV Town S&S Best Auto Sales LLC Seattle Auto Haus LLC Seven Auto Sales Sunnyside Automotive Group LLC Sunset Auto Wholesale Tacoma Car Sales LLC Ted Motors Co. The Auto Mart The Car Connection The Crazy Cow Auto Sales Three Rivers Marine Tom’S Car Store Inc. Topline Auto Group LLC Tri-Cities Auto Remarketing Triple C Auto Brokers Trucks & Auto Auctions Union Gospel Mission Motors Unique Motorsports Auto Sales USA Auto Sales, Inc. Vail International, Incorporated Wenatchee Autoplex Western AG Sales XCar Inc. Yakima Automotive & Collision Specialist Zag Motors

the Front Row | wsiada.com | March/April 2021 |

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Service Provider Directory WSIADA Service Providers know our industry and understand what you need as a dealer. When you’re hiring professionals, support the ones that support your Washington Independent Auto Dealers Association (let them know you saw them listed as a WSIADA Service Provider).

Accounting & Tax Services

Benefits & Health Insurance

Finance and Insurance

RH2 | Rekdal Hopkins Howard

Washington Retail Association

Drive Dealer Solutions

(425) 658-1400 rh2cpas.com Learn more on page 17

(360) 943-9198 waretailservices.com

Auctions

Bonds and Commercial Insurance

ACV Auctions

Farmers - Karen Dunn Insurance Agency

Northwest Dealer Financial Services

(800) 553-4070 acvauctions.com

(253) 964-7070 business.farmers.com/karen-dunn

Adesa Seattle

Shepard & Shepard Business Solutions

(253) 735-1600 adesa.com/Seattle

(855) 396-0488 shepquote.com Learn more on page3

Adesa Portland (503) 492-9200 adesa.com/Portland

Copart Auto Auction (253) 847-8300 copart.com

CTM Unlimited Auctions (877) 396-5808 ctmunlimitedauction.com

MAG Auctions Spokane (509) 244-4500 magauctions.com/daanw Learn more on the inside front cover

MAG Auctions Seattle (253) 737-2200 magauctions.com/daasea Learn more on the inside front cover

Ehli Auctions (253) 572-0990 ehliauctions.com

Insurance Auto Auction (IAA) Seattle (206) 658-6900 iaai.com

Insurance Auto Auction (IAA) Spokane (509) 891-2388 iaai.com

Kaman Auctions (425) 640-5111 kamanauctions.com

Yarbro Auctioneers (509) 765-6869 yarbro.com

(206) 718-7234 (Western WA) (509) 705-7597 (Eastern WA) nwdfs.com

Southwest Dealer Services (206) 571-3068 swds.net

The F&I Group (360) 710-9545 info@thefandigroup.com

Custom Signs Sign Dog

Legal Services

(253) 445-6424 signdogs.com

Davies Pearson, P.C. (253) 620-1500 dpearson.com

Dealer Management Systems Carousel Software Dennis Demattia demattia@acm.org (509) 926-8848 carouselsw.com

Frazer Computing (888) 963-5369 frazer.com info@frazer.com

Skywerks

(206) 999-6699 skywerks.com

Lending Ally Financial (888) 919-2559 ally.com/dealer Learn more on page 7

Lobel Financial Corp.

(253) 839-2600 lobelfinancial.com Learn more on page 4

Nationwide Northwest (206) 259-0203 nac-loans.com

Reliable Credit Association

Digital Marketing FusionZone Automotive (888) 863-5707 fzautomotive.com

Sygnifi Networks (833) 794-6434 sygnifi.com

321 Ignition

(253) 240-1818 ReliableCredit.com

Parts & Service AutoZone (866) 727-5317 sc53@autozone.com Learn more on page 2

(888) 725-7637 321ignition.com

DEALERS!

Manheim Seattle (206) 762-1600 manheim.com Learn more on the inside back cover

(425) 321-2825 drivedealersolutions.com

Environmental Services EnviroStars (877) 220-7827 envirostars.org

12 | the Front Row | wsiada.com | March/April 2021

If you have suggestions or ideas for new Associate Memberships, contact membership@wsiada.com and we will follow up.

Freshen up and put your Best Foot Forward in 2021

By Todd Shepard, Founder Shepard & Shepard Insurance Solutions

A

if they are focused on creating revenue for the business.

For instance, if you are huge fan of the Ford standard cab now close to 100 pickup and buy them whenever you can yet you haven’t days into 2021. The craziness sold one in six months its easy to identify you need to of 2020, though not change this strategy. It is a little different determining forgotten, is beginning to what is working on your advertising. The best way is settle into the past making room for a slightly different to begin asking every caller, every visitor this simple future (hopefully) full of promise and prosperity. Are question, “what prompted you to contact us today, how you prepared to face the changes being thrust upon us a did you hear about us?” In a short time, you will be able business owners? More specifically, do you have a PLAN to identify which ads are working and which are a waste in place to help you navigate the new normal? of money. The most important part of this process is to write everything down. As salespeople we often rely on If you’ve ever attended a sales training seminar you have our gut feelings so sometimes it takes seeing the data in undoubtedly heard the old saying, ‘if you fail to plan you black and white to realize a change is in order. are planning to fail.’ This rings true in 2021 as much or more than ever.

The next step is to adjust your plan, removing the obsolete or ineffective items and adding in the items If you have not done so in the past few months the time is and tasks proven to work. If you are wondering what now to dust off that business plan and bring it up to date. to expect moving forward, what are the best ways to If it has been years since you looked at it or maybe you market, and what needs added to your plan to ensure never actually got around to actually writing one you may success moving forward you are not alone. When you’ve want to consider it. Today’s changing times are demanding reached this point pat yourself on the back for a job well you give this part of your business some serious attention. done. It means you have assessed your strengths and If your old plan had your advertising focus on the little weaknesses, cut the waste, and identified the specific Nickel papers or other print, and even local TV and radio areas where you can either seek professional assistance you may be missing a huge group of potential buyers. or choose to dive deeper in your research.

Times have changed and they are changing daily. Having a great website is now being replaced by having a complete Your business plan is not a cost cutting budget analysis. social media presence. Colorful wording is being replaced It is a plan to help you optimize your resources to by targeted video. A live sales presentation and test create revenue more efficiently for your business. It drive is being replaced by an online touchless purchase should be referred to on a regular basis and reviewed experience. In fact a recent study indicated as high as 25% or updated every six months. If you are presented with young car shoppers prefer to shop and purchase online. an opportunity by and advertiser, the details should be This number is likely to grow among all age brackets due compared against the business plan. If it doesn’t fit, you to the higher exposure to daily online activities such as pass on that opportunity, saving the information until Zoom meetings for business and pleasure, grocery and your next six-month plan review. If it’s a good idea now it dining delivery, and more. will be a good idea in six months. If it is, you can choose to implement it then.

Where to begin? The first step is to review the most current version of your business plan and make an honest Need some guidance? WSIADA, NIADA, and those of us evaluation as to what has worked and what has not. who are affiliate members provide limitless resources to Decide if your business practices reflect your desires or help you navigate your business in 2021 and beyond. s this article goes to publication we are

13 | the Front Row | wsiada.com | November/December 2019

the Front Row | wsiada.com | March/April 2021 |

13

The last two years, the WSIADA has had the auction discounts available in digital format (Smart Dealer/WSIADA app).

Based on feedback from our membership and the auctions, the program is going back on the drawing board for some re-works, allowing us to improve it so that both auctions and our members can utilize it better in the future.

To sign up today and become a member of the association*, go to our website www.wsiada.com/memberships/dealer-member or call today (253) 735-0267 *Disclaimer: This agreement is for one-year membership with WSIADA and may not be cancelled if dealership has used any of the membership benefits. If an outstanding balance by usage of Invoice/Billing benefit is accrued during the year and exceeds $500 or past due 90 days in total, all access to WSIADA services, including education related products, will be suspended until balance is paid in full.

14 | the Front Row | wsiada.com | March/April 2021

Washington State Independent Auto Dealers Association

Dealer Member Enrollment

YES! YES!

I know that it is important to be recognized as a professional in the automotive industry!

Enclosed are my annual dues to ensure that my business has all the advantages WSIADA/NIADA provides to put me at the forefront of my profession. By completing this form, I am consenting to and giving WSIADA/NIADA, their affiliates and/or subsidiaries, my permission to contact me at the methods I have provided on this form until/unless I revoke that permission in writing. I hereby certify that (I am/we are) eligible for membership in WSIADA.

ENROLL: Member Name Business Name

Dealer No.

MEMBERSHIP CATEGORY:: Dealer Membership is [a] limited to any sole proprietorship, partnership or corporation which is engaged in buying and selling motor vehicles as a principal part of its business; and [b] member must hold a vehicle dealer’s license issued by the Washington State Department of Licensing. $450 Annual Charge (payable by debit/credit card or company check)

Billing Address City

State

Business Phone

Mobile

Zip

County Fax

Email

See reverse side of form for some of the many benefits of WSIADA membership!

PAYMENT METHOD:

CHECK No._______________ (Checks are not accepted for monthly membership payments) VISA

MC

Discover

CARD NUMBER

NAME ON CARD

AMEX

EXPIRATION DATE

CARDHOLDER SIGNATURE

CCV

BILLING ZIP CODE

Disclaimer: This agreement is for one-year membership with WSIADA and may not be canceled if dealership has used any of the membership benefits. If an outstanding balance by usage of Invoice/Billing benefit is accrued during the year and exceeds $500 or past due 90 days in total, all access to WSIADA services, including education related products, will be suspended until balance is paid in full.

DELIVER TO:

WSIADA 707 Auburn Way South Auburn, WA 98002

FAX 253-804-0844

EMAIL(as an attachment) membership@wsiada.com

ENROLL ONLINE www.wsiada.com

the Front Row | wsiada.com | November/December 2020 |

15

Buyer’s Guides & Service Contracts In Washington State following information pertains to the Buyer’s Guide usage, T he

Service Contracts and Implied Warranty from the Washington State Attorney General’s Office. The provided information is available on the ATG website for consumers and dealerships to review at any time.

Implied Warranty of Merchantability

Every vehicle sold in Washington by a dealer has an “implied” warranty that the vehicle will be fit for ordinary driving purposes. That means the vehicle must be fit for ordinary driving purposes, free of major defects, reasonably safe, and of the average quality of similar vehicles available for sale in that price range.

The duration and extent of an implied warranty is conditioned on the age, mileage and price of the vehicle as well as the nature and timing of the problem.

“As Is”

Most used vehicles are offered by dealers “as is.” If you explicitly negotiate and knowingly accept such an offer, you give up your implied warranty of merchantability.

Nothing in any law requires you to sign a waiver of your implied warranty rights under any circumstances.

You waive the implied warranty only if: 1. The dealer explicitly discussed warranty terms with you 2. You are accurately informed of the consequences of purchasing the vehicle “as is” (i.e. the waiver lists the particular qualities and characteristics of the vehicle that will not be covered).

3. You do not purchase an extended service contract; and finally, 4. You knowingly and voluntarily assume all risk for costs of repairs due to defects in the vehicle.

If you waive the implied warranty and the vehicle breaks down, you will be responsible for all repairs! If the vehicle breaks down one minute or one mile from the dealership, you will still be responsible for all repairs! Buying a vehicle “as is” means you are assuming all responsibility for the repair and maintenance of the vehicle! As an informed buyer, you should consider whether negotiating away your implied warranty rights is really in your best interests. Buying a car “as is,” you will not have any warranty and little if any recourse against the dealer if the vehicle turns out to have substantial problems.

16 | the Front Row | wsiada.com | March/April 2021

Limited Warranties

A dealer may provide you with a limited warranty that would pay a portion of the repair costs for covered components during the warranty period (typically 90 days or less). Be sure you understand the coverage and exclusions. You should insist that the dealer put all promises and representations as to quality and warranty in writing. If the dealer gives you a limited written warranty, the implied warranty cannot be waived, and you will have both the limited and implied warranties on the vehicle.

If you purchase a service contract on a used vehicle from the same dealer within 90 days of purchase, the implied warranty of merchantability cannot be waived, and you will have the protection of both the service contract and the implied warranty of merchantability (RCW 48.96.045(4)). The availability of the implied warranty or a service contract does not eliminate the need for a thorough test drive and an inspection by a qualified mechanic.

When a vehicle is sold, the seller (this may be you if you have a ‘trade-in’) must accurately complete an odometer disclosure statement which will be submitted with an application to issue the new certificate of title.

Service Contracts

You may be encouraged by the dealer to buy an extended service contract for the vehicle. If you purchase an extended service contract, the dealer is not allowed to disclaim the Implied Warranty of Merchantability; that is, the vehicle cannot be sold “as is” (see the notice requirements in RCW 48.110.075 (2)(e)(iv).

Before you visit a dealership, you should find out what service contracts are generally available in your area and compare the extent of coverage, the maintenance requirements to keep the policy in force and the cost.

You may request copies of various contracts offered by the dealership before you buy. You may cancel any extended service contract at any time and receive a refund. If you cancel within 10 days, you should receive a full refund. A full refund minus a cancellation fee must be provided to you if you cancel more than 10 days but less than 30 days of purchase and have made no claims under the contract. After 30 days from purchase, a pro-rated refund should be calculated on either time or mileage minus a cancellation fee.

By law a company offering a service contract must be registered with the Office of the Insurance Commissioner.

The name and address of the service contract obligor, the policy number and how to file a claim under the service contract must be clearly stated on the contract.

When deciding on a service contract, examine the contract itself rather than making up your mind on the

basis of a brochure or a salesperson’s statements. Check for overlapping or duplicate coverage in the service contract that you may already have under any remaining manufacturer warranty. You should consider whether saving the price of the service contract and “insuring” yourself would be more cost effective.

the Front Row | wsiada.com | March/April 2021 |

17

How Should Independent Dealers Navigate Through 2021?

By Kenny Atcheson Dealer Profit Pros

A

will cause consumers to be less trusting in general.

• Service has suffered. Many companies have used the pandemic as an excuse to offer substandard service.

If you can still offer great service in spite of the challenges, you win.

fter one of the strangest years ever, how have you

prepared for 2021? Election years are usually off the wall, but 2020 was ridiculous. Uncertainties that linger affect how a dealer plans for and navigates through 2021.

• Google introduced more machine learning and artificial intelligence. This does not have anything to do with the pandemic. Some companies have missed it. This matters because it can assist but not replace the person who runs your Google Ads if used properly.

To write off 2020 as an odd year that can’t be analyzed and decide to “just go with the plan from the end of 2019” would be a mistake. There are some things to consider for this year that were not necessarily part of the plan heading into 2020: • Some changes and issues from 2020 will linger into 2021, changing the way you do business.

• Some companies have focused more on digital marketing, communication, and sales because people don’t want to be around too many others because of COVID. However, we are still humans and there are people who want to see the car in person, talk to the salesperson faceto-face. How you do both concurrently needs to be considered for 2021.

• Americans will trust the industry even less. The pandemic, the election, corruption, the media, have caused confusion again and

• Google and Facebook no longer allow narrow geographical targeting for industries that offer financing, due to past redlining and discrimination. To make every dollar count for our clients, when using Google Ads we target high performing ZIP codes rather than a larger area. We have a different plan for 2021 for our clients due to Google’s new rules.

The savvy dealer will prepare for 2021 using all or most of the methods explained here.

Brainstorm and mastermind

Albert Einstein was a big fan of regular masterminds. He was pretty smart. Your 20 Group is a form of a mastermind group. Utilize it. Get

18 | the Front Row | wsiada.com | March/April 2021

your 20 Group members together to consider new ideas for 2021.

Although we all hope it is not like 2020, it will still be a unique year — and unique ideas are needed.

You can also use your team to brainstorm as you navigate through 2021 — not just the management team but everyone. For a brainstorming session to be effective here are a few things to do: 1. Someone (a moderator) has to be in charge at the front of the room, but it doesn’t have to be management or ownership. Keep in mind that some employees may feel nervous sharing certain ideas in front of management.

They may feel like you have shot them down in the past or they may be embarrassed.

The person running the brainstorm session should have experience doing so.

They should know how to “run the room,” engage everyone in the room and encourage participation and open sharing.

2. Contribute first but stay in control. Everyone spits out ideas and the moderator writes them down. No ideas are stupid. The list gets narrowed. The moderator helps the team determine the pros and cons of each idea. How to do something is important but also who is going to do it.

Continue on page 20

READ AND RESPOND | March/April 2021

T

he WSIADA Read and Respond quiz allows the reader to earn 1 hour of continuing education credit toward the dealership’s required annual renewal. Payment options are available for non-members of the association for notification to the Washington State Department of Licensing. A passing grade will be granted for scores of 80% or greater. If a passing grade is not granted, the reader may retake the quiz.

DEALERSHIP NAME CHECK:

DEALER#

I HAVE READ AND UNDERSTAND THE DISCLAIMER ABOVE.

Send your completed quiz to WSIADA...

MAIL: 707 Auburn Way South; Auburn, WA 98002 FAX: 253-804-0844 EMAIL: education@wsiada.com

QUIZ TAKER’S NAME

POSITION

EMAIL

SIGNATURE

DATE

BUSINESS PHONE

CIRCLE THE CORRECT ANSWER.

4: Adjusting your business plan by removing what are proven tasks that will work?

FAX

8: Targeted online advertising, such as Google Ads, focuses on which area to ensure every dollar counts?

1: A company that is offering a vehicle service contract must be registered with which office?

a. Obsolete or Ineffective items

a. Online site traffic

b. New Items

b. Zip Codes

c. Incorrect Staff choices

c. Demographics

a. Office of the Attorney General

d. Incorrect marketing choices

d. Past purchase history

b. Office of the Insurance Commissioner c. Office of Financial Management d. Office of Special Investigations

2: Many companies have used the elections as an excuse to offer substandard service? a. TRUE b. FALSE

3: Drive-through windows were created by what industry and copied by several others for faster service? a. Buy Here/Pay Here dealers b. Fast Food Restaurants c. Banks d. Barista Coffee Stands

5: Every vehicle sold in Washington State 9: When a customer waives an by a dealer has an “Implied” Warranty? implied warranty, the dealerships are responsible for all repairs if a vehicle a. TRUE breaks down? b. FALSE

a. TRUE

6: What percentage of younger shoppers now prefer to shop and purchase online rather than in person? a. 10% b. 15% c. 25%

b. FALSE

10: If a customer purchases a service contract within how many days of purchase, the implied warranty of merchantability cannot be waived. a. 10 Days

d. 40%

b. 45 Days

7: Washington Retail Association Retro program is a safety and financial incentive program offered through which agency?

c. 60 Days d. 90 Days

a. Department of Licensing b. Department of Commerce c. Labor & Industries d. OSHA

Please be advised that the information contained in WSIADA’s the Front Row is, to the best of our knowledge, current and correct. However, we caution readers not to use the information provided to them as final authority. Its purpose is to be a guide.

Any legal advice should be regarded as general information. It is strongly recommended that one contact an attorney for counsel regarding specific circumstances. Some articles may express opinions and/or suggestions for best practices. Likewise, the appearance of advertisers or their identification as members of WSIADA, does not constitute an endorsement of the products or services featured. the Front Row | wsiada.com | March/April 2021 |

19

Continued from page 18

3. After the ideas are narrowed to a manageable level, map out implementation and what that looks like. If the team is engaged throughout this entire process they are more likely to perform when it is time to implement. We’ve all had great ideas that were sure to succeed only for them to fail because of a lack of implementation.

Keep your eyes peeled and tell your team to do the same.

Around 1913 a man named Henry heard about a highly productive company in Chicago. It was a completely different industry than his, but he knew he could get great ideas completely outside of his wheelhouse. When Henry visited the Swift & Company’s Meat Packing House in Chicago, he saw how meat hung from a conveyor that moved hog carcasses past meat cutters, who then removed various pieces of the animal.

selling during this odd time? If holding a brainstorming session, ask team members to be on the lookout for great ideas totally outside of your industry. Tell them to bring those ideas to the meeting. It will stimulate creativity and a great idea may be tweaked to work for your company.

Fresh eyes

In his book, Customers For Life, Carl Sewell reveals that he hires consultants all the time even when things are going well. He knows that no matter how successful he is, he needs others to point out things that he is too close to the situation to see clearly. He also knows that the fastest way to fix something is to bring in specific expertise.

I am often personally hired to analyze marketing and advertising strategies and methods. We come up with new strategies, help the dealer save money and/or help the dealer exploit new

Henry brought that idea to the manufacturing industry to keep up with the demand for the Model T Ford on an assembly line. This enabled Ford to build vehicles so much faster than they were able to give everyone a raise while lowering the price of the vehicles.

Henry Ford is sometimes credited with creating the middle class after swiping a great idea from a completely different industry.

Drive-through windows were created by banks, then fast-food restaurants copied the idea. Now buy-here, pay-here dealers have drive-through payment windows.

Get ideas completely outside of your own industry. Look at other high-ticket sales. How are they 20 | the Front Row | wsiada.com | March/April 2021

opportunities in the marketplace.

Sometimes I point something out that should be tweaked and the dealer says, “Oh yeah, I know that. Why didn’t I already do that?” The reason is that you need fresh eyes looking at everything.

If you have your salespeople look at something, they will likely see it with the same perspective as you do — and that doesn’t help you. Or if something is known to be your baby, your employees will not want to point out any potential improvements.

Good luck in 2021!

Kenny Atcheson is the founder and president of Dealer Profit Pros and author of Marketing Battleground: How to Deploy Under-the-Radar Strategies to Explode Your Profits. Kenny teaches workshops and speaks at conventions and 20 Groups. His company offers several marketing and advertising programs, customer service and sales training. His website can be found at www.DealerProfitPros.com.

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