Ok, that makes more sense.. but I still couldn't imagine gambling for some of my salary. Also, the surveys shouldn't be the "majority" of your salary. Your pay shouldn't be determined by an inconsistent metric (ie different customers understanding a rating differently). I agree with an earlier poster, if Nissan wants it pass/fail, it shouldn't be 1-9 = fail, 10 = pass. I almost never give 10s on things, but I'm probably still a really happy returning customer if I put 8s or 9s. A 10 means perfect and I've never had a perfect sales experience (car sales or otherwise), except for the self-checkout line at the grocery store.megger5963 wrote:I don't get a spin on every car. Just Leafs. Betwen 1 and 3 a month in my market is a good month for a Leaf Salesman. We also sell other cars. Sorry I didn't clarify.Now, not that $3600/mo is much to live on, but its more than your dramatic $1200-1500/month. This is why we don't like salesmen, they "spin" (get it) the numbers to get a reaction.
the OP's example of the impact of surveys may seem extreme but I have personally witnessed people losing up to half their salary/bonuses due to having two low scores within a 30 day period.xtremeflyer wrote:Ok, that makes more sense.. but I still couldn't imagine gambling for some of my salary. Also, the surveys shouldn't be the "majority" of your salary. Your pay shouldn't be determined by an inconsistent metric (ie different customers understanding a rating differently). I agree with an earlier poster, if Nissan wants it pass/fail, it shouldn't be 1-9 = fail, 10 = pass. I almost never give 10s on things, but I'm probably still a really happy returning customer if I put 8s or 9s. A 10 means perfect and I've never had a perfect sales experience (car sales or otherwise), except for the self-checkout line at the grocery store.megger5963 wrote:I don't get a spin on every car. Just Leafs. Betwen 1 and 3 a month in my market is a good month for a Leaf Salesman. We also sell other cars. Sorry I didn't clarify.Now, not that $3600/mo is much to live on, but its more than your dramatic $1200-1500/month. This is why we don't like salesmen, they "spin" (get it) the numbers to get a reaction.
kikbuti wrote:I appreciate the original post trying to educate us about the car business. The post helped some, but missed many. Some people will never be satisfied.
Consumers want it both ways. They don't want to do the sales dance... or at least that's what they say. They say that they like the Tesla sales model or the CARMAX model. Both these sellers charge retail and won't negotiate. CARMAX charges more than retail in my experience. But when these people come to your dealership, they don't want to pay the Manufacturer's Suggested Retail Price (MSRP). They ask you for "your best price." so that they can make a decision in the comfort and privacy of their own home. If you allow them to do that, you will be among 80% of underpaid and miserable salespeople who sell only 20% of auto sales. You have a choice of either lying to them or giving them a price with a reasonable/average profit. When you give them an honest fair price, any other dealer can beat it and you lose the sale. So much for not doing the dance. The one price model will not work for the auto business. Hello Saturn. This is the modern version of the horse trading business. People have cars to trade in. Don't hold your breath waiting for it to change.
For consumers, I recommend that you put on your big boy pants, do your research, and negotiate like an educated human being. You have plenty of tools. A lot of you like TrueCar. TrueCar charges the dealer $300 to $400 on each sale, so the dealer's cost on your car is $300 to $400 higher than if you didn't use TrueCar. It may make you feel better when buying a car, but I don't see it as a sustainable business model.
For salespeople, I recommend that you perfect your dance. Do whatever trickery you can to get the customer into your showroom. Don't lie to customers. Perfect your demonstration technique. Get them in the back seat to show them how much room is in there. Shut the door and keep them in the car. Get in the driver's seat and drive away. Take them to a secluded area away from the dealership and get them out so that they can get an undistracted view of the vehicle. They will surely want to drive it back to the dealership. If they like it, ask them to buy it. Give them the MSRP and your cost. Let them decide the profit. Who cares what the profit is? You just need to get them the car that they want. Most reasonable people will agree to a profit. They're just scared little children who have no idea what they should pay. Give them the information so that they can make an informed decision and ASK FOR THEIR BUSINESS. You will be among the 20% of salespeople who sell 80% of cars.
... and quit beating up on F&I managers. If you don't want super duper undercoating or $300 wheel locks, don't buy them. Just say no. Finance, insurance, extended service contracts etc. are valuable to some people and not others. Buy what you want. Don't buy what you don't want. Stop making it about the F&I manager. It's about you, isn't it?
I used to work commission-only designing and selling off-grid AE systems, and my experience of that was exactly like your description of Tesla "salespeople". Fortunately, neither my boss or I had any desire or need to sell people something they didn't need. As above, I didn't consider myself a salesman, I considered myself in customer service. I wanted to help the customer make the best, most informed choice they could, ideally by educating them enough so _they_ could design the system themselves with me only giving advice when asked of if I thought they were making a major mistake, and save them money in the process. If I didn't think a system would work for them, I was free to say that, too. Nor was I restricted to trying to push a single company's products; we always had at least three company's products in any particular area to choose from, so I was free to mix and match to best suit the customer's needs instead of pushing a particular line.Zythryn wrote:I think you have simply been told that and don't really know the specifics of their sales model.megger5963 wrote:...
I love my job. I said that several times. I don't want to work for Tesla. Their business model demotivates salesman and leaves no room for growth. The "positive car buying experience" is a two-way street. We need your help to provide that.
The Tesla store employees I have met, and a few I know well, are more motivated than any other car salesman I have ever met.
They have, on average, a much higher level of knowledge about their own cars (granted, they only have two models, soon three).
They have set goals, but take their job as education, not sales.
I have seen "specialists" become leads, store managers, even regional managers. And of course, if owning a chunk of a disruptive company (stock) doesn't motivate you, I am not sure what would.
The excitement and enthusiasm shown by these people are unbelievable.
And...there is none of this, "let me go clear this with my manager" three times before you even get to do a dance with the finance guy.
If their business model "demotivates" sales staff, I would hate to see the Tesla staff I know when they were motivated.
One of the worst tactics that dealerships use is the "make them wait" sales model, in which they both wear you down and increase your investment of time and effort, to the point where not buying or leasing a car seems like a huge personal loss. Worse yet, this carries over into service visits. Today I went to drop my Leaf off to have the recall reprogramming done, and the Leaf Service Manager suggested I wait for the car instead, as they'd do it immediately. I said fine, I'd be back in...an hour? He agreed. An hour later the car wasn't ready. Two hours later it still wasn't ready, my pain meds were long worn off, and my blood sugar was dropping because I hadn't eaten before leaving to drop it off. I asked him what the holdup was, and 20 minutes later I was finally leaving. While I was waiting, I asked a salesman what time it was:Dealer #1: I showed at the dealership, talked to a salesman. Explained what I wanted: A straight quote on a specific model and set of features. He leaves me to "try to get the best deal from his manager." I see them through the glass, joking and having a good time. I wait for 35 minutes. I leave.