Retail Realities -- Automotive News

Pushing back on automaker stair-steps

At the end of the month, 2 dealerships do what it takes to hit their sales targets

Dave Alesso, general manager of Flemington Chevrolet-Buick-GMC-Cadillac, pumps up the staff on the last sales day of July.

It's a fight to the finish

Every month end, general managers and sales staff at dealerships across the country find themselves agreeing to money-losing deals to sell enough vehicles to meet stair-step volume targets. All to secure a big check from the automaker that many stores rely on to turn a profit. It's a race many auto retails dread.

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‘It's destructive. It's disgusting'

Steve Kalafer, who began selling cars out of a gas station more than four decades ago, argues that improvements in stair-step target programs do not make up for new-vehicle margins that have steadily eroded in recent years, in part because of the programs.

New Jersey dealer Steve Kalafer’s stores are focusing on selling used vehicles and boosting service and F&I revenue.

Solving the employee turnover crunch

LaFontaine group provides inspiration and guidance so employees succeed and stay

The family atmosphere of LaFontaine Automotive Group starts at the top with founders Mike and Maureen LaFontaine, daughter Kelley, vice president, and son Ryan, COO.

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LaFontaine is battling one of the industry’s most stubborn challenges — and winning

LaFontaine Automotive Group seems to have mastered the employment conundrum, boasting a stellar turnover rate of 16 percent annually for the group.

VIDEO: Mich. dealer’s VIP drop-off program delivers ROI

LaFontaine Automotive Group has aggressively grown its customer base by giving buyers far and wide the VIP treatment through free, off-site deliveries that include thorough tech demos and a trustworthy experience.

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New GM: 'I would never leave this place'

LaFontaine Automotive Group seems to have mastered the employment conundrum, boasting a stellar turnover rate of 16 percent annually for the group.

Paul Jordan moved his way up to general manager after starting in the Internet sales department at LaFontaine.

Nicole Welch, corporate business development center manager, LaFontaine Automotive Group

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Recession hit, and she found another 'family'

At just 5 years old, Nicole Welch, the daughter of a dealership general manager, was mesmerized by cars and numbers. When she visited her dad at work, she would pretend to crunch numbers. She's not pretending anymore.

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The guiding light, across 17 stores

As corporate controller, Marissa Hunt oversees compliance, accounting and human resources, but she also has a seat at the table as the LaFontaine Automotive Group hones its vision and considers acquisitions.

Marissa Hunt, corporate controller, LaFontaine Automotive Group

Kicking bad habits for the customer's sake

Earl Stewart says he got clean to provide a better customer experience. Other stores are catching up.

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The customer comes first, and everyone is catching on

Earl Stewart Toyota has made a name for itself by openly eschewing deceptive practices that have given car dealerships a bad name. But as more and more rival dealers change their ways, the family fears its edge may be lost.

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Hurricane looms right as store is recovering from renovation

August was supposed to be Earl Stewart Toyota of North Palm Beach’s comeback month. Then came Hurricane Dorian.

Surviving - and growing - through a renovation

Dealers often resist renovation demands -- but not this one.

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Brothers make sure construction of showy new store doesn't disrupt business

Rising up on a busy stretch of Peachtree Industrial Boulevard in the inner-ring Atlanta suburb of Chamblee is the new home of Hennessy Ford-Lincoln Atlanta. There was no arguing that it needed to happen.

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Awaiting new store, staff faces challenges, but sales are still up

At Hennessy Ford-Lincoln Atlanta, new-vehicle sales are operating out of a makeshift office inside eight connected construction trailers, the department’s temporary home since November. Meanwhile, managers and employees are doing what they can to get people through the door.

A good rapport with sales rep Crista McMullen, left, motivated Gloria Adams to buy at Hennessy, despite the construction.

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Sink profits into upgrades? Some dealers cringe

While dealerships have posted some of their biggest profits ever in recent years, many dealers are reluctant to spend on expensive building projects unless a store is too small or otherwise in obvious need of refreshing.

Navigating a transfer, from dad to daughters

Every retailer faces the question of who's in the driver's seat. Tim Smith found the answer in his daughters.

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The road map for succession planning becomes more complex

While the succession to a fourth generation of Smith auto retailers has mostly gone well, it has taken a lot of planning to keep the business in family hands through wars, recessions and several brand changes.