NetForum - Message Replies

Forum: Idea Exchange

Topic: New Recruit Sales Consultant Questions

Posted by: Gordon Miller (gordonmiller14@yahoo.ca )
Date posted: Mon Jan 14 16:53:28 2002
Subject: More Questions
Message:
Hi! I have enjoyed reading this forum and I have really appreciated the responses that I've received. I have a few more questions about auto sales:
1. The dress code - is it always a suit, are some dealers more casual? Is it okay to always wear a suit & tie?
2. Probation period - is there a time that you make money for a few months before you go strictly to commission sales?
3. Pay Plans - in earlier posts there were discussions about pay plans; the problem is that I don't really understand them. Would anyone care to explain their pay plan so that I can learn exactly how they work?
4. Does an automotive sales consultant have his own office? What is the normal practice?
5. On the subject of teamwork in a dealership or "store": do the sales consultants get along or is it too competitive? I am a firm believer in teamwork and making friends where you work, so honest answers will be appreciated very much.
6. Personal emergency funds: The fall must be the best time of year to sell cars, what is the worst? How erratic can commission sales be? What would you reccommend a new sales recruit to have in savings all of the time?
Thank you all very much. If you would like to ask me any questions or have any further advice, please do not hesitate to email me personally.
Take care, Gordon Miller ( Ontario, Canada )

Subject: More answers
Reply Posted by: Michael Hargrove (mhargrove@bluinc.com )
Organization: My Success Company
Date Posted: Tue Jan 15 1:22:03 2002
Message:
Here are MY answers to your questions. I also hope you'll get other's views either written here or sent directly to you.

1. The dress code - is it always a suit, are some dealers more casual? Is it okay to always wear a suit & tie?

Dress codes vary between different dealerships and different markets. A good rule of thumb, Gordon, is to dress in a way that instills confidence in our customers about us and in turn makes us feel confident too.

2. Probation period - is there a time that you make money for a few months before you go strictly to commission sales?

Good sales people make the most money on commission. My advice, especially if we commit to really studying our craft, is to get on commission as soon as possible.

3. Pay Plans - in earlier posts there were discussions about pay plans; the problem is that I don't really understand them. Would anyone care to explain their pay plan so that I can learn exactly how they work?

These can be simple or very complex. Essentially, we get paid a percentage of the total gross profit we produce. This is something our prospective employers will need to explain in detail and to our satisfaction or we should look for another place to hang our shingle.

4. Does an automotive sales consultant have his own office? What is the normal practice?

Most dealerships provide an office or one we can share. I would suggest investing in a laptop too for follow up and customer management. Having a workspace in our home is a good idea too.

5. On the subject of teamwork in a dealership or "store": do the sales consultants get along or is it too competitive? I am a firm believer in teamwork and making friends where you work, so honest answers will be appreciated very much.

The top sales people I've had the priviledge of interviewing or working with all understand that the only real competition is ourselves, not other dealerships and not other sales people. My experience has also taught me that people who tend to work well in team environments find most dealerships supportive and good places to work. Those who don't work well with others, or are easily threatened by someone else's success, can't seem to find any dealerships that promote teamwork among sales people.

6. Personal emergency funds: The fall must be the best time of year to sell cars, what is the worst? How erratic can commission sales be? What would you reccommend a new sales recruit to have in savings all of the time?

The "best time of year to sell cars" is a myth. Don't buy into it. Some of my highest earning months as a car sales person came in the "bad times" where everyone else just laid down for the month. And mine is a common story. Of course, selling cars in four feet of snow or in 125 degree heat can pose a challenge but at least we'll know that anyone showing up then are ready to be helped out of their misery.

Commission sales probably will be erratic until we are able to develop a substantial percentage of our business from repeat or referrals. The timeframe to do that will vary from market to market and depends on how fastidious we are with our follow up of sold customers. A good rule of thumb is five years in markets of one million or less and three years in markets of three million or more.

As far as recommended savings is concerned, 10% of each paycheck should be going to our investment, savings, or retirement funds anyway. The next X amount should be going into our kids college funds, vacation fund, etc. before any bills are paid. Having three months of expenses in liquid assets (or easily liquidated assets) is a good rule of thumb for anyone. The old rule of six months is probably too much to be tied up in a low return savings account but this is a matter of personal preference, isn't it?

I hope this helps a bit and please keep in mind that this is just one man's experiences and opinions. Get as many others as you think you'll need but at some point, Gordon, you'll simply have to jump in.

Bottom Line Underwriters, Inc.
Toll Free: 1-888-My Success
Fax: (503) 638-0602
P.O. Box 1218
Lake Oswego, OR 97035
E-mail: editor@bluinc.com

Copyright © 1998 by Bottom Line Underwriters, Inc.