Volume 17 January 2009 Messenger...

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Messenger Volume 17 January 2009 OEC onnection Selling OE parts at a competitive price against aftermarket parts is SOP for many wholesalers. In a past OEConnection-sponsored body shop focus group, 100% of participants unanimously voiced their preference for OE over aftermarket parts. According to Bill Lopez, OEConnection Product Manager, Collision Solutions, “For years, automakers have offered dealers reimbursements or bonuses when specific OE parts are sold to shops beating out the aftermarket competition. Those programs have been challenging to put into practice because of the difficulty in quickly determining exact parts on a program – and knowing how low of a price to sell the part – yet still make a profit. After years of helping parts departments improve productivity and increase customer satisfaction, OEConnection recently entered the service arena by introducing an electronic maintenance menu program. This new online application – ServiceAdvantage – has been met with great excitement from dealers! Almost 1,000 dealers are already enrolled and reaping the benefits of this easy-to-use program. A newsletter for professionals in Dealership Fixed Operations. Right part. Right place. Right time. Online Service Menus for GM Dealers Fact 1: Service advisor tire inspections can reveal evidence of worn tires. Fact 2: Customers’ worn tires can result in selling new tires. Fact 3: While cars are on lifts, further inspection can mean diagnosing additional problems leading to additional repairs. Lesson 101: Inspect more tires – diagnose more problems — sell more service, parts and tires. Vehicle Repair 101 – Inspect More Tires The Secret to Growing Your Business in 2009 — SEE PAGE 4 continued on page 3 continued on page 5 CollisionLink Helps Wholesalers Beat the Aftermarket Competition! continued on page 2

Transcript of Volume 17 January 2009 Messenger...

Page 1: Volume 17 January 2009 Messenger OEConnectionmarketingsite.oeconnection.com/media/1626/2009_01-dealer.pdf · Messenger Volume 17 January 2009 OEConnection Selling OE parts at a competitive

MessengerVolume 17

January 2009

OEConnection

Selling OE parts at a competitive price against aftermarket parts is SOP for many wholesalers. In a past OEConnection-sponsored body shop focus group, 100% of participants unanimously voiced their preference for OE over aftermarket parts. According to Bill Lopez, OEConnection Product Manager, Collision Solutions, “For years, automakers have offered dealers reimbursements or bonuses when specific OE parts are sold to shops beating out the aftermarket competition. Those programs have been challenging to put into practice

because of the difficulty in quickly determining exact parts on a program – and knowing how low of a price to sell the part – yet still make a profit.

After years of helping parts departments improve productivity and increase customer satisfaction, OEConnection recently entered the service arena by introducing an electronic maintenance menu program. This new

online application – ServiceAdvantage – has been met with great excitement from dealers! Almost 1,000 dealers are already enrolled and reaping the

benefits of this easy-to-use program.

A newsletter for professionals in Dealership Fixed Operations.

Right part. Right place. Right time.

Online Service Menus for GM Dealers

Fact 1: Service advisor tire inspections can reveal evidence of worn tires.

Fact 2: Customers’ worn tires can result in selling new tires.

Fact 3: While cars are on lifts, further inspection can mean diagnosing additional problems leading to additional repairs.

Lesson 101: Inspect more tires – diagnose more problems — sell more service, parts and tires.

Vehicle Repair 101 – Inspect More Tires

The Secret to Growing Your Business in 2009 — SEE PAGE 4

continued on page 3

continued on page 5

CollisionLink Helps Wholesalers Beat the Aftermarket Competition!

continued on page 2

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Contact Us4205 Highlander ParkwayRichfield, Ohio 44286phone: 330-523-1800fax: 330-523-1700toll-free: [email protected]

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In this IssuePage Topic1-2 CollisionLink Helps Wholesalers Beat the Aftermarket Competition!

1 & 5 Online Service Menus for GM Dealers

1 & 3 Vehicle Repair 101 — Inspect More Tires

3 How-To: Get Started with Tire Replenishment Tool

4 The Secret to Growing Your Business in 2009

6 Let’s Make a Deal — An Idle Deal!

7 On the Internet

7 Hardware and Software Upgrades at OEConnection

8 NADA in N’Awlins

For comments, feedback, or suggestions on this newsletter’s content or value, and to submit product feature suggestions, please contact the newsletter editor:

Janice Schenk, Senior Marketing Specialist 888-776-5792, x1891 [email protected] subscribe to any of OEConnection dealership or distributor products, contact:

Nancy Dustin, Manager, Direct Sales 888-776-5792, x1918 I [email protected]

For information about OEConnection products and services for your auto manufacturer, contact:

James Rose, Jr., VP Emerging Markets & OEM Initiatives 888-776-5792, x1840 I [email protected] address, email, telephone, fax number and parts and service manager changes to: [email protected] or call 888-776-5792, x1946

For product and technical questions, call Customer Care at 888-776-5792, x2

Contributing Writer: Beth Starling

These automaker-sponsored programs are now processed in CollisionLink, making it easier and faster to sell more OE parts and to get reimbursed from automakers.” “With these new features, a counterperson sees immediately which parts are on a program and at what price they can sell the OE parts against the non-OEM,” said Ike Herman, C o l l i s i o n L i n k Implementation Manager. “So many shops now expect these offers that they don’t order their aftermarket until hearing from the dealership. In addition, dealers don’t have to request shop estimates nor retain transaction paperwork any more with CollisionLink being a program record.”

How CollisionLink’s price-matching and beat-the-competition work: As usual, CollisionLink displays aftermarket parts along with OE equivalents in the Upsell Opportunities tab. The new feature flags OE parts that have a beat-the-competition opportunity, along with net shop cost and the automaker reimbursement. Dealers must participate in the automaker program and also be enrolled in CollisionLink to take advantage of these features. Here are several programs and features now managed in CollisionLink.

General Motors – Bump the Competition: Over 950 GM parts can now appear on the CollisionLink Upsell Opportunities tab, along with the lowest selling price and the largest reimbursement amount. Shop orders are flagged if OE are available against aftermarket at competitive pricing.

Chrysler – Conquest Program: Chrysler Conquest dealers now see select Chrysler parts in CollisionLink that qualify for reimbursement, plus a bonus. (Pilot program for select dealers).

Ford – Truckload and Steel the Sale Programs: Ford Collision Truckload parts and the 55 highest volume Ford sheet metal parts are now flagged in CollisionLink so dealers are alerted to additional discounting flexibility to help sell more Genuine Ford parts against aftermarket!

Beat the Aftermarket Competition! — continued from page 1

“A counterperson sees immediately which parts are on a program and at what price they can sell the OE parts against the aftermarket.”

Ike Herman CollisionLink Implementation Manager{ }

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Get Started with Tire Replenishment Tool2354

Go to Tools Tire Replenishment Select Automaker

Settings — Enter shipping address

Select Distributors — Your distributor not on D2DLink? Call OEConnection at 888-776-5792, x3

Other Parts In My Inventory — Choose stocked tires to replenish

Stocking Guide —

a. Apply target stocking quantity

b. Select tire distributor

c. Check auto order

d. Check show stocking status

Optional — Create Order — For manual tire orders

How Parts Managers can help Service Departments sell more tires!1. Work with Service Managers to create seasonal promotions — especially during winter driving.2. Offer Service Advisors spiffs to sell additional tires. 3. Offer Service Advisors a login to D2DLink to view on-hand tires for no-wait sales. 4. Ask Service Advisors to track missed sales and tires not sold because of alternate or second choices – include the reason. Include tires that are not stocked for phase-in purposes.5. Look for automaker, tire manufacturer and tire distributor promotions. Follow those promotion rules by stocking the right tires, and/or create a service staff flyer to help promote specials and earn parts department points/credit.

6. Provide Service Advisors with tire recommendations for when tires are on national or distributor backorder. According to Carol Mandato, OEConnection Tire Replenishment Tool Associate Product Manager, i“Dealers are seeing real results with TRT helping them stock the right tires and the right number of tires. Setup takes about an hour of analysis and 30 minutes of data entry. Then it takes about 20 minutes each month to review and tweak the stocking guides or look for phase-in or phase-out tires. The simplicity of TRT, when used with the auto order and show stocking status features, helps busy parts managers

dedicate time to business-building activities.” George Clarke, Parts Manager at Town & Country Ford in Bessemer, Alabama talks about the success his dealership is having with tires. He states, “It wasn’t until we adopted automated replenishment that tire sales became a profitable and pleasant enterprise. Today, we sell $13,000 to $16,000 worth of tires monthly, stock 215 different tire sizes and brands, and I spend less than an hour each month on tire management. Plus, we’ve invested the same amount in tire capital while gaining a 3% sales uplift from a broader, more marketable coverage.”

Inspect More Tires —

continued from page 1

How-To:1

1

2

3

4

5

(GM and Ford dealers only)

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The Secret to Growing Your Business in 2009

What can you – as the head of a parts

department – do to make every day

more profitable? More efficient? More

productive for your team? Perhaps

the dealership mandated expense

reductions – or a hiring freeze. The

economy is making everyone question

every dollar spent. How is 2009 going

to be different for your dealership?

What’s the secret? For three dealers

it’s using DMS Connect integration –

which automatically puts OEConnection

sales transactions into their ADP

DMS. See how this technology

is helping these dealerships do more

business with the same or less staff.

Dan Hutton: “We’re filling almost

50% of our parts orders now online

with CollisionLink and DMS Connect.

We process orders in CollisionLink

instead of our ADP system, and then

once the sale is final, at the touch of a

button the order feeds both our DMS

and sends the completed order to our

shop customers. The team and I only

check the parts that are flagged as

needing attention. Tom O’Brien is

now processing over a half million

dollars in wholesale business each

month with just 3

people – it used to

take 5 or 6 people to

do that same volume.

This technology is

definitely what’s going

to help our dealership

do more with less in

2009.”

Steve Hofer:

“CollisionLink and

DMS Connect, combined with adding

a second monitor for each workstation –

means our team productivity is

substantially higher. There was a one-

time setup of shops in CollisionLink

to ensure each got the right DMS

discount, and now, when the orders

come in online, they’re faster and

more accurate. Once filled, one

button sends them automatically

into our DMS. We’re gradually

converting shops to online ordering

with a goal of going paperless

within the next year. I answer

directly to the dealership owner,

and when I can say that we’re

processing more orders with the

same amount of people, that’s a

good thing.”

Tom Finley, Parts Manager, Bachman Chevrolet, Louisville, KY:

“We save between 2 and 15 minutes

per order using DMS Connect for D2D

Express and CollisionLink transactions,

depending on the number of parts per

order. All the D2D Express shipping

information goes right into the DMS

automatically using DMS Connect.

CollisionLink online orders are more

accurate, processed faster, phone lines

are freed up, and the team is much

more productive. And of course the

only way to grow your business is

to grow your customer base. Our

dealership processes about 100

OEConnection online transactions

each week. I estimate that using DMS

Connect we save an average of 4

minutes per order equating to 6.6

hours per week. That’s found time for

my guys to proactively find new

customers and call current customers

to grow the business.”

{

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Dan Hutton, Parts Manager Tom O’Brien Chrysler, Jeep, Dodge Greenwood, IN

Steve Hofer, Parts Manager Park Chrysler, Jeep Burnsville, MN

}OEConnection online sales orders automatically pass to a dealer’s DMS using DMS Connect. Order data entry is eliminated, accuracy improves, quotes are automatically created, and then at the touch of a button, convert that quote into an invoice! Part details, pricing, customer and employee numbers all pass to the DMS in an instant.

The Key to Being More Efficient

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CollisionLink User Tip:

1. Provide two monitors to wholesale salespeople — for up to 30% increased efficiency. • SalespeopleworkCollisionLinkordersononescreenandseethe EPC on the other. VIN-scrubbing means more accurate, faster order fulfillment. Complete orders automatically transfer to the DMS using DMS Connect. No opening and closing windows, no walking to the printer.• Noneedtoprintorders.Gogreen!Savemoneyonprinters,ink, paper and printer maintenance. No need to save printed copies either, because CollisionLink keeps a historical record of all past online orders.

D2D Express User Tips: 1. Use D2D Plus – Inventory Updating to refresh morning receipts and sales for more accurate afternoon sales opportunities.2. Increase your dealer delivery radius to get more orders so you can deliver more parts (GM and Hyundai only).

Erik Ochs from Angleton Auto Center in Angleton, TX saw imme-diate benefits from ServiceAdvantage when he started using the program with his advisors. “It’s so easy to get MI/MII, factory-recommended services and dealer-recommended services all in one,” he said. On creating presentable menus for customers, Jayson Migonis from Bremen Chevrolet in Bremen, IN said “I’m very satisfied with ServiceAdvantage. It works perfectly for printing vehicle- specific menus for our customers with all the factory- and dealer-recommended services. We’re able to have an easy-to-read printed menu and an estimate for them when they pull into the drive, which helps increase customer satisfaction and retention.” Ochs agrees. “Presenting these professional, customer-specific menus to my customers helps

them understand that everything we do is professional. They realize we’re a well-run organization, and these menus help make that positive first impression. They’ve helped me establish a very good rapport with my customers.” Dealers know the importance of presenting a consistent message from all advisors, and they’re finding that ServiceAdvantage helps with this. Service Managers can track menu usage ensuring that all advisors are using ServiceAdvantage to present recommended maintenance to customers. In a business that’s all about building trust, dealers find great value in providing reliable and dependable service to customers — and ServiceAdvantage helps them do just that.

For a limited time, OEConnection is offering a 60-day free trial of ServiceAdvantage. Dealerships can take a test-drive creating and printing menus for 60 days – so there are no worries! For more information on ServiceAdvantage, contact an OEConnection representative at 888-776-5792, ext. 3 or visit www.OEConnection.com/Service to learn more and enroll in ServiceAdvantage.

Online Service Menus for GM Dealers — continued from page 1

• Quickly and accurately deliver vehicle- specific maintenance menus to every customer• Customized, professional presentation with dealership- and factory- recommended services• Develop consistency and customer trust — which leads to increased customer satisfaction and retention• Service staff can see every sales opportunity to help sell services that each vehicle needs{ }ServiceAdvantage Highlights

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Anatomy of the D2DLink ScreenEvery day, over 12,000

auto dealerships across

the U.S. and Canada use

D2DLink to locate, buy

and sell parts — more

than 4.5 million times

per month, equating to

300 times per minute.

Here’s a reminder of

D2DLink features.

Let’s Make a Deal — An Idle Deal!

Just like Monty Hall, OEConnection

parts facilitators are ready to help dealers

make a deal. An idle parts deal that is.

DiscountPartsHUB.com and D2D Plus

online idle inventory reduction products

have been in the marketplace for several

years, and now two OEConnection Parts

Facilitators, Matt Chase and Rick Flora,

are chartered with helping dealerships

buy and sell discounted parts – all at no fee to the dealerships. Matt and Rick monitor online

transactions closely. Daily OEConnection

reports display dealers with potential

orders – either buying or selling. Rick

said, “We try to encourage parts managers

to take just a few minutes out of their busy

day to review transactions. We regularly

call dealers who don’t even know they

have buying opportunities waiting for

them, so they can evaluate if OFFERS IN

opportunities are purchase worthy.”

Each night, OEConnection automatically

matches idle and fast selling parts

among dealers. Dealers with matches

get on-screen notifications.

Matt said, “Some dealers

tell us they save thousands

of dollars each month in

parts purchase prices,

buying other dealers’ idle.

And of course the sellers

are reducing their idle at

the same time. We only

make a difference when

dealers succeed!”

Do you want to reduce

idle or buy parts at

a discount? Want help

monitoring your sales or

buying opportunities? Call

OEConnection parts facilitators to help

guide the way. Call 888-776-5792 –

Matt, ext. 1613, Rick, ext. 1817.

See and locate all part numbers from supersession history

See all dealers with this part discounted

This dealer’s inventory was updated this morning!

Click to search this dealer’s “StoreFront” bargains

Set up to 50 FAVORITE suppliers

See the last day inventorywas updated

If blue, see the PDC available quantities

When contactingthe dealer to buythis part, mention that it’s discounted on D2DLink!

{ }2008 Customer Satisfaction Survey Results

OEConnection idle reduction tools helped dealers reduce idle by 27.5%

Rick Cutaia, Parts Manager

Rick Hendrick Dodge

Charleston, South Carolina

Buy the part online

You may have this part in stock

See other dealers’ advertising message

Rick Flora

Matt Chase“Buying parts on DiscountPartsHUB adds

instant profit to our bottom line. That’s a

win-win for both the dealership as well as me

personally — being paid on department net.

And with the amount of parts we buy each

month, no transaction fees are phenomenal,

which adds even more to the bottom line.”

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As part of OEConnection’s ongoing improvement efforts, hardware and software upgrades continue. In September, OEConnection’s major hardware upgrade replaced

older servers with newer, faster and more advanced computers. Software optimization continues weekly, and is handled by

OEConnection software engineers.The result of these hardware upgrades and software optimizations are: •Partlocateresultsareupto50%faster •CollisionLinkorderspeedisupto63%faster.And yes — our staff did stopwatch timings before and after the changes — to detail the exact results of our

improvements. In addition to the speed increases for OEConnection programs, these hardware and software

upgrades mean OEConnection products handle peak usage faster and better and have greater capacity and scalability to

enable future growth. Have you noticed the improvement? If so, tell us! [email protected], or call 888-776-5792, x1891.

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OEConnection Products

On the Internet:D2DLink: Fast, easy, and accurate online parts locating and fulfillment to help dealerships buy and sell more OE and alternate parts, accessories, and authorized tires.• Rapid Parts Search – locates from within a DMS.• Automatic or manual replenishment (TRT/MRT) of tires and Motorcraft (Ford) parts from authorized distributors.

LinkIQ: Internet-based data analysis tools to help dealerships and auto manufacturers drive increased sales.

D2D Express: Dealerships help fill a manufacturer’s emergency-needed backordered parts.

D2D Plus: Products and services to enhance D2DLink.• Idle & Reporting: Online tools to help reduce idle inventory.• PartsMatching:Sellersandbuyersfindbulk parts at a discount.• Advanced Selling: Automatic idle inventory sales offers to potential shoppers.• StoreFront: Dealership-customizable web page showcasing complete parts inventory to D2DLink dealers.• InventoryUpdating:Mid-dayandSaturday updating.• BinLabels:Receivebinlabelsmonthlyfor D2DLink parts.

CollisionLink: Fast, easy, and accurate online fulfillment of collision shop wholesale parts orders.

RepairLink: Fast, easy, and accurate online fulfillment of fleet and repair shop mechanical parts orders.

ServiceAdvantage: Electronic service maintenance menus customized for each dealership, customer and vehicle.

Discount Parts Hub.com: website available for all makes and models of auto dealerships to buy and sell discounted OE parts.

DMS Connect: Integration of OEConnection online sales transactions with a dealership’s management system.

When contactingthe dealer to buythis part, mention that it’s discounted on D2DLink!

Go Green!Learn about NADA’s green campaign, green customer checkups, read about participating in the EPA’s Energy Star program.

www.nada.org/green

Read Pat McCready’s article about how 3D Collision Centers use technology and CollisionLink to improve shop productivity, reduce parts returns, and want their dealers to take parts orders online.

www.bodyshopbusiness.com/Article/36819/go_high_tech.aspx

Hardware and Software Upgrades at OEConnection

“Moving from Parts Stocking to Parts Marketing” Fixed Ops Magazine article — written by OEConnection Vice President, Ted Fellowes.

www.OEConnection. com/article- partsmarketing

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Each year, OEConnection exhibits at NADA, the National Automobile Dealers Association. Look for us again this year in booth #2241, right in the middle of the long and narrow Ernest J. Morial

Convention Center. Held three weeks earlier than usual this year, January 24-27, 2009, New Orleans promises a renovated, revitalized, dynamically renewed city. NADA’s 140-plus workshops and over 500 exhibitors on the expo floor means there is something for everyone at the NADA Convention, including new options for learning how

to increase business during this difficult financial market. Look for OEConnection’s signature promotion, with Ewa Mataya Laurance, world champion billiards and trick shot player. Take

a quick tour of OEConnection’s software and then play Ewa (pronounced Ava) in a game of 9-ball or she’ll teach you a trick shot. And then one lucky

dealership will win a guest appearance of Ewa for a dealership promotion, or event of their choice! And of course there’s New Orleans food, entertainment, jazz and the French Quarter! You won’t want to miss it!

4205 Highlander Parkway Richfield, OH 44286

RETURN SERVICE REQUESTEDPRSRT STD

US POSTAGE PAIDCLEVELAND, OHPERMIT NO. 2385

NADA in N’Awlins — Here We Come!

January 24-27, 2009 Ernest J. Morial Convention Center New Orleans{ }

Ewa Mataya Laurance