ADP Lightspeed, Stag-Parkway Get Connected

Salt Lake City, Utah-based ADP Lightspeed, a premier provider of dealer management software (DMS) systems, recently announced its enhanced interface with Stag-Parkway’s purchase order (PO) system.
According to a press release, this new integration allows dealers to send orders directly and track status from within the LightspeedEVO DMS.

The direct interface connects inventory and ordering systems within LightspeedEVO to Stag-Parkway’s processing, allowing dealers to send POs without re-keying information. With this direct connection, dealers can now track the status of orders from the initial order, through processing to delivery, within the DMS.
This tool helps dealers improve their ordering process along with staying up to date on order delivery times, said Chris Hauck, product manager for Atlanta-based ADP Lightspeed.

“We understand the need to streamline the parts ordering process,” Hauck explained. “Teaming up with one of the most trusted names in the RV industry is a big step in refining the process. We are very excited about our interface with Stag-Parkway’s order processing.”

“ADP’s focus on improving their customers’ experience using Lightspeed EVO is absolutely consistent with our customer service approach. We think finding program and process efficiencies that improve accuracy and speed provide significant performance upsides for dealerships and others in the supply chain,” said John Spaulding, senior vice president of marketing for Stag-Parkway.

The Stag-Parkway parts ordering interface upgrade is available to all dealers on LightspeedEVO with version release 5.3. There are no additional service fees for downloading or using the new interface.

ADP Lightspeed is a part of ADP Dealer Services, which provides integrated computing solutions to more than 25,000 auto, truck, motorcycle, powersports, and recreation vehicle dealers throughout the United States, Canada and Europe. ADP, with nearly $9 billion in revenues and 550,000 clients, is one of the largest providers of a broad range of premier mission–critical, transaction processing and information-based business solutions in selected markets on a global basis.

For more information, visit www.adplightspeed.com.

ADP: Finding Ways to Create Loyal Customers

Editor’s Note: The following article is one in a series of industry-related articles provided by Hal  Ethington and ADP Lightspeed.

What does it take to create loyal customers?

Before the Great Recession it seemed liked all you had to do was turn on your “open” sign. Sure you had to take care of your customers, but if he went somewhere else there were always more coming in.

Then the crisis hit. The past few years have proven that loyal customers are as valuable as rare metals, and just as difficult to find. Even during the roughest times, you had the old reliables, they walked through your doors and slapped money on the counter. They are your lifetime customers, thick and thin. Thanks to these customers, your doors are still open.

Now things are starting to turn around. More door swings, more sales, more customers, each one, a new opportunity to build dedicated customers. The kind that you can rely on. So what are you doing to make sure they stick? Are you just hoping they’ll stumble back, eventually?

Things have changed. There is more competition, and they are willing to cut their prices deeper. Every customer has infinite opportunities to price shop on the internet (haven’t heard of the internet, search it on Google). Somehow you need to convince your customers that you are worth coming back to, even if your prices are higher. So how do you do it?

We turned to the purchase history of 3 million first-time Parts customers over 2009 and 2010 to find the answers. The goal: see how to get first-time customers to return, and more often.

64% of the customers came once, bought something from the parts department and never came back. This group found your business through a friend, your marketing or the internet and decided to come in. They walked out the door, and did not return. One and done.

You spend a lot of money on your building, marketing and staff to get new customers. It would seem that the war is won once they finally cross the threshold and make a purchase. But that is just the beginning. It’s your job to make sure they want to come back, and bring their friends.

Losing 64% of the first-time customers really hurts when you put it into perspective of dollars lost. On average, each over-the-counter transaction in our survey was worth $96. That means that if the “one and done” customers came back just one more time it would add $170,000 in parts sales per dealer. That’s a chunk of change. So how do you get to it?

The answer lies in the 36% that became repeat customers.

Of the roughly 3 million customers, there were about 1 million that came back, and not just once. The new loyal customers came back three times on average in a single year. Every time they visited, they spent an additional $96 and some repeat customers spent $2,000 or more on parts and accessories in a year.

So what’s the key? How do you get customers out of the “one and done” bin to the “loyal customer” pool? The answer: Get them back… quick.

The first time customers that turned into repeat customers returned to the dealership within two months of their first purchase. The average time between their first and second purchase was 62 days. Once the first purchase happens the clock starts ticking. The first two months is the incubation time for loyal customers, or the black hole for the duds. The good news? You can influence the outcome.

Once you get a new customer in your doors you need to give them a reason to come back, soon. If you see that they are a first time customer, go above and beyond to make them feel welcome. Invite them to next week’s event. Get their email and put them on the newsletter list. Give them $10 off their next purchase, if they come back within a month.

Use all the tools at your disposal to get them back. One of the biggest misconceptions in our industry is that marketing tools are only for the Sales department. If there are any departments that would benefit from a CRM, newsletters and email blasts, it’s the Parts and Service departments.

The sales team sees a customer once every three to four years. The Parts and Service Department wants to see that same customer at least 12 times in that same time frame. If you’re not using marketing tools to draw customers in on a consistent basis through birthday discounts, manufacture specific specials or preventative maintenance reminders, then everyone is losing customers, including the Sales department.

First-time customers need to be nurtured. Tie the excitement they feel from the outdoors, to the excitement in your store. That takes more than just good customer service. It takes effort in reaching outside your walls and pulling them back in.

Those two months after their first buy are vital to forming loyal customers. Don’t miss your opportunity to build lifetime customers.

Survey: Rising Counter Sales in Down Market

Editor’s Note: Following are excerpts from an article by Hal Ethington and distributed by ADP Lightspeed. The story refers to a study of 800 dealers that included powersports, RV and marine products. The majority of the info came from the powersports industry. The firms reported $2.3 billion in counter sales in the period 2009-2010.

The study shows that both sales and ticket count overall decreased significantly in 2010. Contributing to this decline was a drop in ticket count from 17.2 million to 16.5 million, or 750,000 counter tickets. Average ticket actually increased by 40 cents during this same time period.

While the collective industry decreased, other dealers actually increased in sales (the “Up Group”). Some 300 dealers were up over 2009.

Isolating the 300 dealers who grew in 2010, we find they added $40.6 million in sales over 2009. How did they do it? Two factors: First, these dealers wrote 360,000 more counter tickets in 2010, and second, they added $2.48 in sales to their average ticket. The Up Group increased their average ticket so much that it compensated for a decrease from other dealers making the average positive.

While the top producers above were adding millions in sales, 500 dealers were experiencing significant decreases in their Parts Counter Sales (the “Down Group”). These dealers dropped a collective 1,106,000 counter tickets, and lost an additional $.97 on each ticket when compared to 2009. These two factors resulted in a revenue drop for them of $85 million.

The following chart illustrates the difference in performance between these two groups:

This chart shows the principal differences between the Up Group and the Down Group. Those that were Up added 360,000 customers to their traffic count. The Down Group lost 746,000 . The Up Group added $2.48 to each ticket, and the Down Group gave up 97 cents.

Even more significant is when you look at the top 100 of the Up Group. These 100 up-dealers did $88 million in parts sales in 2009. For 2010, they jacked that up to $112 million. 27% increase in revenue during one of the toughest years we have ever seen. And we wanted to know more.

So we tore it apart and checked out rate and volume separately. On the rate side, we found that while the 500 dealers who were down in 2010 had lost about $1 per ticket in sales, the 100 up-dealers had tacked on $3.62 per ticket in sales. For their 1.6 million counter tickets, that earned them and additional $6 million in sales.

I don’t know exactly how they did it, but they found ways to get people to buy more every time they visited while others wondered if the doors were unlocked. They faced the same changes and the same environment as everyone else, but they discovered ways to overcome.

Yes, on average 2010 was actually worse than 2009 for parts. Overall traffic was down and parts were hard to come by at times, but in the midst of all that was 2010, 38% of dealers found a way to rise above. Look for them next time you start talking about 2010. They probably won’t be loud about their success, but you’ll recognize the smiles.

ADP Lightspeed Announces Integrated E-mail

ADP Lightspeed, a provider of dealer management programs for recreation sports dealerships, has announced its development of e-mail integration in its LightspeedEVO product for future release. This integration allows dealers to e-mail directly out of the Parts, Sales and Service modules in the LightspeedEVO DMS (Dealer Management System), according to a news release.

The e-mail integration tool allows dealers to send invoices, updates on service, receipts and purchase orders in electronic messages directly out of LightspeedEVO. Dealers have the ability to set up system preferences for populating data into form e-mails and selecting the auto populating fields. These fields pull in the customers’ specific information (name, invoice number and unit information) automatically.

“E-mail integration truly improves dealers’ ability to communicate effectively and quickly with their customers,” said Kris Denos, director of research and development at ADP Lightspeed. “With immediate communication linked to actions performed in EVO, such as closing a repair order, and the ability to send invoices electronically, dealers can improve customer service and responsiveness drastically.”

E-mail integration is included with the purchase of LightspeedEVO and will be available to dealers currently on the system for download in version 5.3 due for release this spring. System preferences must be set to enable e-mail communication.

ADP Lightspeed ADP Lightspeed, based in Salt Lake City, Utah, is a part of ADP Dealer Services, which provides integrated computing solutions to over 25,000 auto, truck, motorcycle, powersports and RVdealers throughout the United States, Canada and Europe. ADP, with nearly $9 billion in revenues and 550,000 clients, is one of the largest providers of a broad range of premier mission – critical, transaction processing and information-based business solutions in selected markets on a global basis. For more information visit www.adplightspeed.com.

ADP Lightspeed Offers Credit Checks on DMS

ADP Lightspeed, a provider of dealer management systems (DMS), today (Oct. 28) announced integration that allows dealers to run credit checks within the LightspeedEVO Dealer Management System. Credit Check gives dealers the ability to submit customer information to all three credit bureaus without have to re-enter information, according to a news release.

“In today’s difficult financing environment it is critical to handle deals correctly to secure the financing customers need. With integrated Credit Check, LightspeedEVO allows sales and F&I representatives to pull credit information early on in the deal process. This provides the sales representative the ability to make critical adjustments that will help increase the chances of a closed sale and makes it easier for F&I management to determine an appropriate lender,” the release stated.

“Savvy dealers know they can make more money if they understand financing,” said Chris Hauck, product manager at ADP Lightspeed. “It is important for the customer and the sales team to understand what is achievable. This vital information helps dealers speed up the sales process and avoid disappointing customers with finance declines.”

Along with the ability to check customer credit scores, the information can also be passed through a credit gateway for contracting companies to search for financing. Since the information is pulled directly out of the sales deal, there is no need to re-enter or handwrite finance deal information.

The Credit Check integration will be available for dealers using LightspeedEVO later this fall. For more information on the Credit Check integration or ADP Lightspeed’s Marine Dealer Management Software visit www.adplightspeed.com.

ADP Lightspeed Redesigns Rental Software

ADP Lightspeed announced Thursday (Oct. 7) its newly redesigned Rental Management Software within LightspeedEVO, the company’s RV Dealer Management System (DMS). The changes now allow dealers to rely on the single software solution to manage complete rental operations, according to a news release.

Complex services, functions and operations within rental departments have made it difficult to find a single source to track units, campgrounds and reservations using one system. Having operational activities tracked separately creates missed opportunities, confusion and unnecessary costs.

“Rental management teams at have been frustrated due to the inability for a single solution to provide a clear view of operations,” said Chris Hauck, product manager at ADP Lightspeed. “We worked closely with RV rental businesses across the country to identify holes in tracking and found ways to change our software to fill them. The result is a complete solution that manages every aspect of RV rental operations.”

Hauck mentioned three areas where ADP Lightspeed’s development team put particular focus:

• Multiple Unit Rentals – Track multiple units (i.e. RV, generator, towing equipment etc.) within a single rental.
• Flexible Billing – Adjust billing options to seasonal, hourly, daily and other intervals to fit customer preferences and match services provided.
• Rental Transfers – Easily change reservations with graphical drag and drop functionality.

The redesigned Rental Management Software integrates with the company’s Parts, Service, Sales, CRM and Accounting packages and will be available later this fall. To find out more contact ADP Lightspeed at (800) 521-0309 or visit www.adplightspeed.com.

ADP Lightspeed, based in Salt Lake City, Utah, is a part of ADP Dealer Services, which provides integrated computing solutions to over 25,000 auto, truck, motorcycle, heavy equipment, powersports and recreational vehicle dealers throughout the United States, Canada and Europe. ADP, with nearly $9 billion in revenues and about 560,000 clients is one of the world’s largest providers of business outsourcing solutions.

Gregory Smith Takes Helm at ADP Lightspeed

ADP Lightspeed, a premier provider of Dealer Management Systems (DMS), has announced that Gregory Smith, previously the head of the ADP Dealer Services Business Intelligence unit, has stepped in to direct its operations.

Smith replaces Laurn Rice who will now direct sales operations within ADP Lightspeed, according to a news release.

In his 30-year business career, Smith has held executive positions in operations, marketing, sales, strategy, parts and service, training and supply chain management for automotive manufacturer and technology companies. Since joining ADP Dealer Services, he has led strategic development and marketing, and formed a new Business Intelligence business unit to help dealer and manufacturer clients improve performance and profitability.

“It is a pivotal time in the RV industry, and dealers need comprehensive solutions to maximize every opportunity,” said Smith. “ADP Lightspeed provides technology tools and industry information that have helped dealers maximize profitability. I hope to add my years of experience to the expert team at ADP Lightspeed to continue to create industry-leading systems focused on improving dealer performance.”

As the vice president/general manager, Smith leads a team of over 150 associates who develop, install, train and support a wide range of dealership solutions — which in addition to the dealership management system — include websites, CRM, finance products and integrated network phones.

A Well-Run Shop: Get Control of Your Store

Hal Ethington

Editor’s Note: This is another in a series of management papers about using resources correctly. It was written by Hal Ethington and distributed by ADP Lightspeed.

I knew he was the owner. Not because I had seen his face a thousand times on ads. Not because the name on his shirt matched the sign out front, and not because he had a half-dozen important-looking papers in his hands.

No, it wasn’t any of that. It was more the look on his face when he realized that he was caught. It came in the instant he saw me on his appliance sales floor, when, in a split second he figured out three things. First, he had a live customer in the showroom. Second, his salespeople were nowhere in sight, and third, there was no one but him to handle the traffic.

And he was not happy about these last two items. But he knew I had seen him, so he set the papers on the counter, and walked toward me.

But the body-language was all wrong. First, there was the quick look left and right to see if there wasn’t somebody who could handle this customer. And then the resigned shoulder-set when he knew he would have to do it. There was no smile, no out-stretched hand, no eager sales greeting. He was obviously still worried about those papers, now lying on the counter, face down.

We talked a few moments. I needed a new dishwasher for the kitchen, and he made a good effort to get into it, but all the while, his eyes were darting to the office, to the phones, and to the front door. The sales people were still nowhere to be found and we both quickly concluded our conversation. I felt like an intruder. He felt imposed upon.

So I left. But with a complete understanding how he felt. And the memories flooded back: The constant battle between the business, and the public; The customer, and the paperwork; The money, and the time; The interruptions — the constant interruptions.

And if you feel the same way, maybe you need to look closer at your operation. If you are called, time and time again, to cover, to resolve, to fix, to figure out, to find and explain — maybe you’re not running your business. Maybe, it’s running you.

But it doesn’t have to be that way. There can be calm in the retail environment. And that calm can easily promote the current of excitement and action that is a RV store.

It’s systems. It’s preparation, and it’s management. With it you’re a well oiled machine. Without it, well, let’s just say, you look bad. Real bad.

And your customers notice. Lack of a proper greeting, perceived sleights, prolonged waiting, poor service, promises forgotten or not kept—they notice all of this. They vote with their feet. And you are left wondering why your sales floor is empty.

In the coming weeks, we will be talking about getting control of your store. We will look at each department and each of your business systems, to see what makes a well run shop, and to see what ends up in public disaster.

I don’t personally know that fellow Dan, at that appliance store. But I do know that he has been in business, at the same location, with his name on the sign, for about 30 years. And I’m guessing that my poor experience there was a rare occurrence, and that he was just caught in a bad moment. I’ll be going back there when I am ready to buy, and we’ll give it another shot.

You may not be so lucky.

Stay tuned.

ADP Lightspeed to Help Dealers Grow Business

ADP Lightspeed has announced its new white paper and webinar series titled “Find More.”

Following the success of the “Find Hidden Cash” series, which targeted missed cash opportunities in dealer  operations, the “Find More” series will focus on ways to profitably grow business.

“These past few months have started a trend,” said Hal Ethington, senior analyst for ADP Lightspeed. “Customers are coming back, inventories are turning and some dealers are taking advantage. It feels as though everyone has been keeping their heads down while daily opening the doors, but now is the time to profitably build your business. It is time to start growing again.”

The “Find More” series will include monthly white papers, webinars and industry studies like the “Find Hidden Cash” series. Information collected through ADP Lightspeed Data Services and its partners will be utilized to demonstrate opportunities from growth in revenue, efficiencies and profitability.

“This year’s theme will be ‘smart growth,’” Ethington continued. “Everyone wants to see growth return, but want to avoid pitfalls that plagued our industry previously due to focusing on revenue instead of profit. This time dealers want to grow their business in a way that will improve their bottom line instead of just being busier and the “Find More” series shows ways to do it.”

Monthly alerts for the white papers, webinars and other data-focused information are available by request. To sign up for the alerts visit www.adplightspeed.com.

ADP Lightspeed, based in Salt Lake City, Utah, is a part of ADP Dealer Services, which provides integrated computing solutions to over 25,000 auto, truck, motorcycle, powersports and recreational vehicle dealers throughout the United States, Canada and Europe. ADP, with approximately $8 billion in revenues and 550,000 clients, is one of the largest providers of a broad range of premier mission–critical, cost effective transaction processing and information-based business solutions in selected markets on a global basis.

RVBusiness Launches 3rd Top 50 Dealer Awards

RVBusiness magazine is launching the Third Annual RVBusiness Top 50 Dealer Awards — a quality-focused program that sets the bar for best business practices in the RV industry. A gala reception and dinner at the Rio All-Suite Hotel & Casino in Las Vegas will announce the winners Oct. 6 during the annual RV Dealers International Convention/Expo.

This year, RVBusiness expanded the awards to include recreational park model manufacturers, reflecting how significant their contributions have become in a rapidly changing marketplace. The awards name 10 Blue Ribbon retailers, and one organization receives the Dave Altman Award, the equivalent of RVBusiness’ “Lifetime Achievement Award.”

RV manufacturers nominate the best and most professional dealers for aftermarket parts stores, sales lots, service work, F&I departments and personnel matters in addition to civic and charitable contributions. Affinity Group Inc. (AGI), the parent company of RVBusiness and the nation’s largest provider of outdoor clubs, services, media and events to the North American RV and outdoor enthusiast market, then invites nominated dealers to submit applications. Applications are independently reviewed by a panel of industry experts, none of whom are directly associated with RVBusiness or Affinity.

RVBusiness recognizes the Top 50 award winners in the October edition, on RVBUSINESS.com, and in dealers’ local and regional newspapers. Winners also receive RVBT50 window decals, rights to use the RVBT50 logo in their advertising, plus exposure to millions of active RV enthusiasts in the pages — and on the websites — of Affinity’s RV-focused consumer magazines, including Trailer Life, MotorHome, Highways, Coast to Coast and Camping Life.

Supporting the RVBusiness Top 50 Dealer Awards this year are the following “Leadership Alliance” sponsors: ADP Lightspeed, Bank of the West, Blue Ox, Cummins Onan RV Generators, Freightliner Custom Chassis Corp., RV America Insurance, RV Trader Online and Protective.

“We felt that the pursuit of professionalism and top-notch consumer care finds an even more receptive ear this year than it did during the dregs of the recession, and the Dealer Awards sets the bar for best business practices,” said RVBusiness magazine Publisher Sherman Goldenberg. “Looking around at the state of the industry, we realize just how much we have to be thankful for. The current upbeat atmosphere within the commercial sector beats the heck out of where we all were at this time last year.”

RVBusiness previously announced special celebrity guest, conservative Republican columnist and bestselling author, Ann Coulter, as the keynote speaker during the award ceremony. Coulter will talk about a variety of hot political topics including the “Tea Party” movement and related conservative themes.

The Con/Expo is sponsored by the U.S. Recreation Vehicle Dealer Association (RVDA) and the Recreation Vehicle Dealers Association of Canada (RVDA Canada). Tickets for the dinner are $139 ($119 for RVDA members, Con/Expo exhibitors and Top 50 dealer guests), and are available at the convention or at RVBusiness.com.

About the Top 50 RV Dealers Program:

The program’s purpose is to showcase credible role models and establish best business practices benchmarks at the retail level of the RV industry in terms of staff training, performing warranty and service work, managing aftermarket stores, superior consumer care and being good citizens of their respective communities. The dealerships were selected among those nominated as the best by the nation’s RV manufacturers. The program was founded and coordinated by RVBusiness magazine with additional support provided by the Leadership Alliance.

About Affinity:

Affinity, www.affinitygroup.com, is the nation’s largest provider of outdoor clubs, services, media and events that service the safety, security, comfort and convenience needs of the North American recreational vehicle (RV) and outdoor enthusiast market. By providing information, insights, and resources, the company champions the fun, freedom, and adventure of recreation in motion. The company works to enhance its customers’ recreational experiences and build the communities that share and promote their fun and adventurous lifestyles.

« Previous Page — Next Page »