Talking Business with Mark and John

This week we had the opportunity to speak with Tony Foon, an expert in the automotive industry, to discuss the challenges of attracting and retaining qualified technicians and mechanics. Tony emphasized the importance of creating a clear career path for technicians to show them that this can be a lifelong career, not just another job. Tony discussed the need to get new technicians working with tools and vehicles as soon as possible, rather than having them do menial tasks like cleaning that could drive them away from the field. With the rise of electric vehicles, it will be crucial for technicians to obtain the proper certifications and training to service these cars, which also presents opportunities for career growth. Tony advocated for government incentives like subsidized salaries and tool allowances for new technicians in apprenticeship programs to make the field more attractive. He also noted the importance of increasing technician pay to levels comparable with other trades so that talented individuals choose to pursue this career path. Finally, Tony spoke about the need to prioritize mental health and wellness for technicians and within dealerships. This demanding, hands-on work can take a significant physical and emotional toll, so providing resources and a supportive environment is key to long-term success and job satisfaction for technicians. Overall, it was an insightful discussion about both the challenges facing the automotive industry in recruiting and retaining top talent as well as some potential solutions and best practices to build a sustainable workforce for the future. The key takeaways focused on creating clear career opportunities, offering incentives and fair pay, providing training for emerging technologies, and supporting the wellbeing and work-life balance of technicians.

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This week we dive deeper into understanding the complex challenges involved in managing a police vehicle fleet. We explore a range of topics including the specific requirements police vehicles must meet to suit the needs of law enforcement. We review the different types of police vehicles that comprise a fleet, from patrol cars to special-purpose units. We discuss how police vehicles differ from regular vehicles. What makes a police vehicle uniquely suited to police work? Are police vehicles performance-modified or computer-chipped to enable higher speeds than regular vehicles? We also examine whether purchasing a used police vehicle can be worthwhile and the potential advantages of doing so. We touch on modified vehicles like breathalyzer vans, prisoner transport vans, and mobile command centers for crisis situations. We look at the biggest challenges facing police fleets today and consider what the future may hold, including the possible role of new technologies like electric or hydrogen-powered vehicles. Managing a police fleet requires balancing performance, functionality, cost, and efficiency. This week we gain valuable insight into how police forces meet the demands of protecting public safety through careful police vehicle selection and fleet management. Please join us for this informative overview of police fleet operations.



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Are we right or are we wrong? What do you think the numbers will be for the Australian Automotive New Car Market in 2022. Let us know what you think are the factors that will influence the market in 2022 for new and used car sales and give us your comments below. We would love to hear from you. Mark and John discuss factors that will impact budgets for 2022 and do a review of the automotive market. We challenge you, the listeners, to tell us what you think will be the main factors that will impact new and used vehicle volumes for 2022 budget. We discuss in detail exchange rates, production shortages, supply constraints and factors that will impact consumer demand such as disposable income, inflation and buying habits such as overseas trips. We also look into new trends such as car subscription and electric vehicles. We delve into the agency model and various new distribution models. We review and put a peg in the the sand of where they think new vehicle volumes will be, how this will impact used vehicle volumes and where a dealer should focus on the aftermarket part of the business. We discuss technical skill shortages and how this will impact the aftermarket part of the business.

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In this interview, we speak with Drew Schnehage, CEO of Innovation Group, about fleet management and accident and claims management services. Drew explains why understanding data and developing actionable business insights is critical to achieving substantial cost savings for fleet managers. This video is valuable for any company in the automotive repair or paint industry, as well as those looking to start a successful automotive business or manage a fleet of vehicles like agricultural equipment, rentals, boats, caravans, delivery vehicles or company-owned vehicles. Drew also provides useful tips for choosing fleet management software. Drew discusses Innovation Group’s best-in-class motor collision repair network, which provides high-quality repairs through valuable partnerships with repair shops that understand fixing vehicles properly. He highlights their expert claims specialists, who have experience working with OEMs, rental companies, insurers, brokers and major Australian fleets and fleet management companies. This experience helps them control costs for clients through greater efficiency and a repair network that offers lower costs than non-network repairers. Drew also notes that they leverage meaningful data insights to track and improve performance, as well as inform future strategies. In addition, Drew outlines their roadside and accident assistance, services to ensure vehicles are repaired to industry standards, rental vehicle provision, recovery support, third-party proactive cost control, driver risk management, driver profiling, driver training, benchmark reporting and road safety initiatives. Overall, this interview provides a helpful overview of fleet management and accident claims services for businesses looking to improve in these areas. Drew offers valuable perspectives and advice for achieving substantial cost savings and better managing driver and vehicle risks.

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Mark Palavestra and John Sinclair sit down with Andrew Myers from DTS Experience to discuss strategies for making effective outbound car sales calls. Andrew explains why many car sales consultants struggle with consistent outbound calling and offers advice on how to develop habits and systems to overcome this common hurdle. Andrew emphasizes the importance of making a firm commitment to a certain number of calls per day or week, tracking progress, and sticking to it. This level of discipline and persistence is key to achieving sales goals over the long-term. He advises consultants to start with small, manageable call quotas and gradually increase them as making calls becomes routine. Throughout the conversation, Andrew shares insights drawn from his extensive experience in car sales strategy, goal-setting, leadership, dealership management, profit improvement, and mentoring other sales professionals. He stresses that while outbound calls can be daunting at first, they get easier over time and are instrumental for bringing in new business. With the right mindset and consistent effort, consultants can thrive at this critical component of the sales process. Andrew provides thoughtful perspective on how car sales consultants at all levels can become more proactive, disciplined, and successful at outbound calls. His guidance can help motivate and equip viewers to make outbound outreach a consistent part of their sales strategy.

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In this episode of Talking Automotive With Mark and John Podcast, hosts Mark Palavestra and John Sinclair interview David Hawkins, Chief Revenue Officer of Loyalty Logistix. David discusses the importance of gaining a granular understanding of customer data to improve key metrics like retention and loyalty. David explains that successful digital companies are data-driven, relying on analytics to uncover insights. In automotive, areas like customer retention and service renewals have traditionally lacked the in-depth analysis that lead management receives. Analyzing detailed customer data can reveal influential factors that determine future success, even if they’re not immediately apparent. David poses several key questions for dealers to consider, such as: •What is your success rate for re-purchasing new and used vehicles by model, age, and other factors? There may be clear links between invoice value and loyalty that you can leverage. •How can you increase parts and service spending per vehicle in operation by targeting older vehicles with fixed-price programs? •How can you boost accessories spending per vehicle with statistical recommendation campaigns based on what other customers purchased? •What are your customer retention rates for service vs non-service work? When do your customers typically defect to other providers? By improving processes, optimizing campaigns, and measuring ROI, dealers can gain valuable insights into their customers and boost profitability. With a data-driven approach, even small changes can have a big impact.

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IIn this insightful audio, we sit down with Kevin Abood, a seasoned expert in the car dealership industry, to discuss innovative business ideas that can significantly improve profitability and drive car sales growth in automotive dealerships. Kevin dives deep into the key areas that demand attention when it comes to boosting business performance. He emphasizes the importance of understanding the figures and benchmarking key ratios within a car dealership, as this serves as the foundation for identifying areas in need of improvement. Furthermore, Kevin shares invaluable advice on how to bring about behavioral changes within the organization and effectively engage and motivate employees, particularly car sales consultants. By implementing strategies that foster a positive work environment and encourage continuous learning and development, dealerships can enhance their sales force's performance and ultimately drive profitability. When it comes to increasing car volume, Kevin stresses the significance of exploring all available opportunities, including aftermarket servicing of cars and parts. By diversifying revenue streams and capitalizing on these additional avenues, dealerships can expand their customer base and create new revenue streams. Retaining gross and maximizing profit in car sales is another area of expertise for Kevin. He delves into effective strategies that dealerships can adopt to ensure they retain a healthy profit margin, while also maximizing the incentive money offered by the original equipment manufacturer (OEM) and the manufacturer. By tapping into these incentives, dealerships can further bolster their profitability. The discussion also touches on the importance of car fleet business and how it can contribute to the overall success of an automotive dealership. Kevin sheds light on the advantages and challenges associated with fleet sales and offers valuable insights into capitalizing on this segment of the market. Lastly, Kevin shares his expert advice on turning around an auto business that may be struggling. Drawing on his wealth of experience, he provides actionable strategies and recommendations to help businesses navigate challenging times and regain their footing in the industry. Join us as we gain invaluable insights from Kevin Abood on how to improve profitability, drive car sales growth, and navigate the ever-evolving landscape of the car dealership business. This audio is a must-listen for anyone looking to succeed and thrive in the automotive industry.

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In this insightful video, Mark and John delve into the world of automotive marketing, specifically highlighting the importance of identifying a dealer's prime marketing area. They shed light on the crucial factor of attracting customers from outside this area and explore the associated costs. One key aspect they emphasize is the limited distance customers are willing to travel for various services. On average, customers are inclined to drive only 20 minutes for routine maintenance and a slightly longer duration of 35 minutes when making a vehicle purchase. This understanding forms the foundation for their discussion on optimizing marketing strategies. Mark and John advocate for a concentrated approach, urging dealerships to channel all their marketing efforts within this prime marketing area. They stress that this targeted focus, whether through digital marketing, public relations, or social media campaigns, can yield the most efficient use of a dealer's marketing funds. By honing in on the specific geographical region where customers are most likely to engage with the dealership, Mark and John demonstrate how dealers can effectively reach their target audience and maximize their return on investment. With a professional tone throughout, this video provides valuable insights and actionable recommendations for automotive marketers looking to optimize their marketing efforts.

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We sat down with George Norris, Founder and Director of Norris Management, to discuss leadership, management, and the future of the automotive industry. George has over 25 years of experience as an executive coach, strategist, and leadership advisor. George sees the biggest challenges for OEMs and dealers as developing strong, visionary leadership and learning how to motivate and empower employees. Success comes from crafting a clear corporate strategy and vision, then executing on it through accountability, communication, and management skills. Critical people skills for leaders include creating a shared vision, delegating properly, and motivating staff through both intrinsic and extrinsic rewards. The future of the auto industry will depend on how businesses adapt to changes in technology, consumer preferences, and the overall economy. Strong, flexible leadership and management will be key. George recommends focusing on key business ideas like digitalization, globalization, and meeting customers' needs. Leaders must turn strategic plans into action. This requires managing staff, resources, and timelines to achieve key performance indicators and business objectives. George has advice for leaders on implementation through goal-setting, problem-solving, and creating an open, collaborative work culture where employees feel empowered and motivated. Overall, George Norris provides insightful perspective on leadership, management, strategy, and the automotive industry based on his extensive experience as an executive coach and advisor. His guidance can help leaders and businesses better navigate challenges and change.

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We talk to Santo Amoddio, Managing Director at Glass's Information Services Australia, about the future of automotive residual values and what impacts them. Santo discusses how trends like electric vehicles, autonomous driving and car-sharing programs will shape the automotive industry and residual values in the coming years. He explains how residual values directly impact new and used car sales by influencing the total cost of ownership and payments for consumers. Strong residual values can support new car sales by lowering overall ownership costs. Santo goes into the details of how residual values are determined based on a variety of factors like the overall supply and demand of vehicles, the popularity and desirability of makes and models, current economic conditions, and pricing actions taken by automakers. He notes that the decisions manufacturers make around production volumes, options and trim levels, incentives, and vehicle redesigns can positively or negatively impact the residual values of their models. There are several actions automakers can take to improve the residual values of their vehicles according to Santo. These include producing vehicles that align with current consumer preferences, keeping incentives and discounts in check, and effectively managing the timing of new model releases. By taking a strategic, data-driven approach to these areas, manufacturers can build desirability for their brands and support stronger residual values over the long run. Overall, this discussion with Santo provides valuable insights into the nuances behind automotive residual values and how various industry factors and players can shape them. Strong residual values remain crucial for the success and profitability of automakers and their dealer networks. Careful management of factors within their control can help maximize residual values and gain a competitive advantage.

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