It sucks.

In a bulletin issued by the federal trade commission on June 23, 2022 the FTC Proposes Rule to Ban Junk Fees, Bait-and-Switch Tactics Plaguing Car Buyers

As auto prices surge, agency launches rulemaking to protect consumers’ pocketbooks and level the playing field for honest dealers regarding: Ban bait-and-switch claims: The proposal would prohibit dealers from making a number of deceptive advertising claims to lure in prospective car buyers. This deal deception can include the cost of a vehicle or the terms of financing, the cost of any add-on products or services, whether financing terms are for a lease, the availability of any discounts or rebates, the actual availability of the vehicles being advertised, and whether a financing deal has been finalized, among other areas. Once in the door or on the hook, consumers face the fallout of false promises that don't pan out.

Ban fraudulent junk fees: The proposal would prohibit dealers from charging consumers junk fees for fraudulent add-on products and services that provide no benefit to the consumer (including “nitrogen filled” tires that contain no more nitrogen than normal air).

Ban surprise junk fees: The proposal would prohibit dealers from charging consumers for an add-on without their clear, written consent and would require dealers to inform consumers about the price of the car without any of optional add-ons.

Require full upfront disclosure of costs and conditions: The proposal would require dealers to make key disclosures to consumers, including providing a true “offering price” for a vehicle that would be full price a consumer would pay, excluding only taxes and government fees. It would also require dealers to make disclosures about optional add-on fees, including their price and the fact that they are not required as a condition of purchasing or leasing the vehicle, along with disclosures to consumers with key information about financing terms. Access the full bulletin here https://www.ftc.gov/news-events/news/press-releases/2022/06/ftc-proposes-rule-ban-junk-fees-bait-switch-tactics-plaguing-car-buyers?fbclid=IwAR0fyI_swROjp0UXvPgy_Ml4rRxF8qrOvfQzRz5iZGNFU_mgn0Fxx7LVoMI&fs=e&s=cl

In this episode we discuss a subreddit that demonstrates the serious denial about where our industry is heading. Call or text if I can help 708-RED-LINE

Have you ever listened to your sales calls and wondered why your people sound so terrible? It’s because you didn’t hire them based on their ability to communicate on the phone! This is an example of an outgoing greeting I use to ID BDC and Sales talent. Since 90% of appointments that set, show and deliver are set on the phone, it only makes sense to screen potential new hires based on their phone presence! There are some aspects of the job that are trainable but others are not. This technique has helped me identify thousands of A game players over the years while reducing wasted time meeting with folks who just don’t have what it takes to be rockstars on the phone! If you need people, process and more profitability, I can help … call/text 708-RED-LINE

In this episode Richard Cunningham joins in to discuss the state of the union in automotive retail, implications of some of the proposed FTC regulations and Ethics in auto.

On todays podcast we have Tiffany Soucie-Howren, the COO and Co-Founder of MarkUps.Org. We discuss how the website evolved into the household name it’s become in just 6 months and some of the practices that dealers may be engaging in that may be putting them at risk of alienating their customers. If customer retention is important to you, you’re definitely going to want to check this one out!

Colin Thomas and Dominic Cergnul who both have extensive experience building and managing Business Development Center initiatives across the country discuss Quality VS quantity in the BDC and shifts in dealers BDCs over the past few years.

You can’t out manage a poor recruiting strategy!

Your deposit last month was short

Today, the 750 employees of Off Lease Only, LLC found themselves unemployed . After nearly 20 years in business, OLO in an internal memo stated 1. What is Off Lease Only announcing today? Is Off Lease Only going out of business?

Yes, Off Lease Only ("OLO" or the "Company") has initiated an orderly wind down of its business.

Over the coming weeks, we will be taking various steps to responsibly shut down our operations and liquidate our assets. We anticipate the wind down will take approximately 30 days to complete.

2. How did Off Lease Only end up in this situation?

As most of you know, unprecedented changes to the automotive retail landscape over the last few years resulted in unanticipated challenges and competitive pressures for independent used vehicle dealers. We have been significantly impacted by the scarcity of inventory and inflated prices stemming from disruptions in the supply chain. Elevated pricing and rising interest rates have further deteriorated conditions in the automotive retail market, weakening consumer demand and affordability. Industry headwinds coupled with the decreased affordability of used cars has put us in an incredibly difficult position that we must start winding down our operations.

Our leadership team has been working tirelessly to reduce our costs and expand our access to inventory, so that we could compete more effectively, and implement prudent cost management in the current environment. However, despite our efforts and achievements, we are unable to overcome these challenges.

3. Are these decisions related to business performance?

Yes, we have been impacted by the unprecedented changes in the used automotive retail landscape over the last few years that resulted in significant challenges and competitive pressures for independent vehicle dealers. We have been significantly impacted by the scarcity of inventory and inflated prices stemming from disruptions in the supply chain. Elevated pricing and rising interest rates have further deteriorated conditions in the automotive retail market, weakening consumer demand and affordability. Industry headwinds coupled with the decreased affordability of used cars has put us in an incredibly difficult position that we must start winding down our operations.

4. Will there be layoffs as a result of this announcement?

Unfortunately, as part of the wind down process, we have had to make the difficult but necessary decision to eliminate all of the positions in our Company. For all of our associates, September 7, 2023 is the last official day of work at the Company. However, for most associates September 6, 2023 is their last physical day with the Company. A small transition team will be asked to continue to support Off Lease Only wind down for a temporary period beyond September 7, 2023, but these arrangements will ultimately be eliminated as well at the conclusion of the wind down.

5. How does this announcement impact day-to-day operations at Off Lease Only?

We have ceased sales operations and will be closed to the public effective immediately.