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Dealer Ray Mungenast: 'I'm just the voice'

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  1. Dave Duncan1:07
  2. new cars0:40, 3:50
  3. JD power4:32
  4. spending cuts6:03
  5. Lexus1:55, 3:31
  6. Acura1:50, 6:53
  7. fresh baked cookies2:13
  8. Honda5:17, 6:52
  9. market share2:33
  10. Saint Louis1:48, 4:25

Fri, 14 Dec 2012|

The Dealer Speaks With Ray Mungenast


Automatically Generated Transcript (may not be 100% accurate)

Hello I'm Leslie Alan welcome to the dealer speaks. As chair of the American international automobile dealers association. -- look at ray Monday it asked of them boys for the import dealer. If the job his late father Dave among -- senior had in 1998. In fact the group's lifetime achievement award is named for Dei -- -- -- But rage and Brothers Dave junior and hurt aren't living in the shadows. They run at 327. Million dollar enterprise. Moving more than 5000 new cars a year. And Raymond and asked -- this part of the business with a simple philosophy. A superb -- -- and good service will keep them coming back. This is the among NASCAR multifamily history wrong and begins in 1934. With my father's birth. -- among get Matt hails from a family that a natural thing blew it needs no introduction. Hi I'm Dave Duncan missed his father started selling motorcycles in 1965. And -- entered the car business. Actually was late 1966. Early 67 we opened our first automobile dealership which was at Toyota story. Don't want -- automotive family now comprises five dealerships. A motor sports store. And collision sensors there's also -- motorcycle museum which honors the legacy of the company's founder. An avid biker who died in 2006. On the lack of the thing who have been 51 year old Graeme mound in -- domain. Stands at fourteen acres in west Saint Louis county. There's the Acura store. And next door a 78000. Square foot Lexus showroom which he opened in 2009. It's twice as big as this all -- -- a nearby. And mountain NASA has gone out of his way to give the place the comforts of home. A TV lounge. A children's lounge. A -- row with coffee and fresh baked cookies. There's also a business loans to keep customers connected. And a fireside lounge quiet free of distractions. All -- a country club feel. These amenities. Are not just for show. The main thing was customer retention and and growth of market share and and also on an equal level was our employee satisfaction. The response. Overwhelming. We opened this building in November of 2000. And kind and it was probably the worst economic time that you could have opened and taken on. Financial challenge like this for our customers responded immediately. Even those times were tough -- during their vehicles and for service and buying you were pre owned vehicle when they could. If it's helped us and we've we've been profitable since they want the story. Cuba -- once service customer who tells the store over free shuttle ride to the mall. She looked around since. Why -- why would I wanna leave this place. Reminded that it was a sign that he hit the mark he had found what customers want in a facility. One of the best ways to retain customers is to have a good service department and here the Lexus door there are no fewer than 32 service -- -- Work twice as many as deep as our prior facility. We do a very good business and our customers are very happy with the so they continue to bring their cars to us even. They have 607080000. Miles long. Would close the ninety new cars being sold each month. Your service -- just don't have the number of service -- that you need so that was probably the single most. Reason for building the new facility. Was a multi -- service drive to receive our clients. And then have the days to get the cars through so customers can bring their vehicles and for service when they want. He says customer service awful means communication. Don't try to sell them everything. Is it immediately just the constant communication about their vehicle. On the day of our visit it was unseasonably warm in Saint Louis we headed for where else the fireside lounge. On the mantle a JD power award a reminder of one of the stores and best practices. Customer follow lot. It's easy to think what we know holly wanna be treated but sometimes that changes. And changes ongoing me too so we followed constantly to make sure that we're achieving. Expensive training keeps employees on tests. A state of the -- training center offers a stunning view of the show room below. That becomes somewhat of a distraction what people are contributors and perhaps. And I can't tell the story of the Monday and asked automotive family or -- mug and ask for that matter. Without mentioning one thing. And that's motor sports. This is a photo of when I was the general manager of or Honda motors works agency he was 28. And like his father a bike enthusiast. He even spent time racing in Europe. And that drives to stay in the game could serve mound -- -- well in the coming years. He says the biggest obstacle facing hit stores in fact all dealerships. I think government regulations and it may get worse before it gets better it's a very competitive market the banks are just now starting -- money. It took to some of the perspective fires again so. That's getting a little bit better but that's been huge challenge to get people financed with a fiscal cliff with a fiscal put these two. And there's the uncertainty about whether automatic tax hikes and spending cuts will hit the US next month. Not a minor concern for a luxury dealer of customers often run their. Owned businesses. The danger of the fiscal cliff is that we are. We are in an economy that is just beginning to repair itself -- it's it's wounded but it's repairing itself. That's on the way back the fiscal cliff could could just knock it completely back down is deeper and deeper as it was in recession. You know just a couple years ago. In February 8 month and half half the gavel plus to AI AEA -- -- now drop. I'm just voice and and I appreciate the opportunity to have been that -- in 2012. And among their -- operation could be growing plants are in place for a new Honda store and an Acura expansion is being considered. Thanks for watching the -- speaks take care.

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    End. It's nice to see you again Tom back. The program is titled best dealerships to work for in North America and for the thirty year Automotive News has identified stores. That are excelling in the workplace satisfaction. Talent retention and much more. 101. Dealerships have made the list in 2014. And we have the chance to visit one of that planet Subaru in Hanover Massachusetts. Near Boston. The store bills itself as it under dealership. What does that mean legend here employees are committed to collaboration. They are very protective of mother earth. And perhaps most importantly staffers provide a low pressure sales environment. It's really nice to be able to break down. The typical stereo type that customers are expecting. To when they arrived at the dealership. Lawrie global war has been selling vehicles that who grew for five years. She says it's important to offer a fresh perspective. On the car shopping experience. Via card doesn't have to be like going to get your teeth One employee took who bruise on dealership philosophy to heart he designed this sign. You'll find no sales sharks around here. We were talking about the gun dealership and one thing that is kind of that people refer to sales people is when this sort of sitting out front. Maybe smoking or what have you ready to attack is they sort of consider sharks ready to attack. And I aid that's kind of popped into my head and I realized yeah we're kind of the total opposite of that. David Gardiner sign sits near dozens of new Subaru is the potential buyer pulls into the dealership. Gartner in his other teammates sit tight we don't go on out in the loss and approached people for the most part. Because we like to let them he admits some shoppers are surprised when a sales person doesn't visit. But then they enjoyed it can take their time. And they they come on inside and down and have a better sense of what what they want. Without this being directed toward yet you want this you want that there's another low key sales tactic. Gardeners that is the store typically allows sales personnel which it calls purchase partners to work a deal from start to finish. We don't have a mantra that comes out really. Early in the process to con takeover. And so we're kind of empowered to. To work with the customers and we are educated to kind of out of a sense of what's reasonable terms of you know a discount if there is one. Meantime claimants who grooves is intentionally higher sales personnel who have no prior auto retail experience. Jamie McGuinness is on that list. I I would a year and Fiat doesn't I've been here almost two store leadership doesn't one bad habits developed and other dealerships to quote. In fact planets and environment. Not for me I was a little intimidated getting into this industry just because it was so out of my comfort zone. But I would say just to give that a shot because it's a lot of fun and every day is different and I've really enjoyed it released till the job that and since graduating from college which. Thanks a lot since its car sales. Staffers say the subtle sales approach is helping to lift sales. Planet Subaru sold a total of 1105. New and used vehicles in 2012. That number jumped to 1628. In 2013. The store expects to sell nearly 18100 units this year in well sales numbers are important. I find that it's a very cooperative environments. Rather than being cut throat and can't wait to steal that person's customer that the stuff that happened here meantime there is these strong partnership between sales in service. Technician on the And that's the most important thing because. In his visas and up to be able to walk around walk other people help solve problems and doubtful we do hear about what we offensive. Employees say the man helping to lead this winning culture is play and it's a group president Jeff We met with him on top of the 22000. Square foot facility. Which is covered with 374. Solar panels. The system powers the entire sales operate. Should we have a commitment to the environment. Which our team members really appreciate terms of working for business that shares their values. And those beliefs are playing a role in a key metric. Moral says sales department turn over here is just 10%. The National Automobile Dealers Association reports that in 2012. Industry turned over for sales consultants. Was 62%. I think fundamentally the reason why are turnovers so low and the people enjoyed working here so much. Is that the organization runs well response to their needs we pay them competitively. And we try to provide an environment where they can do right by the customers so they enjoy serving. Staffers we spoke to state has created a very transparent organization. They that moral is highly visible and approachable and above all a terrific mentor. By the way employees completed survey as part of the best dealerships to work for assessment. Thanks so much for watching we'll see you soon.