Would you work with this broker?

[Salesman84]

While I have no plans to become a car broker anytime soon, I've been thinking lately about how to move up from 28 cars a month to more around 40-45 at the new dealership Im starting at. And to do so I do believe I have to work on a personal brand, personal marketing, and repeat customers, and so forth to squeeze that extra out.

But then when I think of that investmet, I ask myself "Geez, wouldn't it be great if you could have all this marketing, and customers that love you, apply to ANY brand AND a larger geographic area? Why dont you become an auto broker and help them with any car they want!?"

And then I remind myself how my GM almost tore my head off everytime I did a broker deal. I learned to quickly only take the ones where I could get above average gross, the customer still comes to the dealership, and I had a talk with the broker to not kill our chances in finance or I wont be able to work with him anymore. That excluded most brokers.

It seems like most dealerships dont want to work with brokers AT ALL.

If a broker came to you, promising efficient deals (prior ISM moving about 30 cars a month), same gross as your internet team, and a proper pro-dealership prep for finance products, and still drove customers to your dealership to sign, would you work with them?

I would LOVE to be able to treat my customers right, give them good info, a fair deal, on ANY car they want. But with the respect I have for finance people (I covered finance for probably 100 deals, OMG I feel bad for those guys), and dealerships, I honestly think i can still keep it a fair deal for them too.

Would there be hope for a brokerage of that type?

 

[bzweifel]

While I have no plans to become a car broker anytime soon, I've been thinking lately about how to move up from 28 cars a month to more around 40-45 at the new dealership Im starting at. And to do so I do believe I have to work on a personal brand, personal marketing, and repeat customers, and so forth to squeeze that extra out.

But then when I think of that investmet, I ask myself "Geez, wouldn't it be great if you could have all this marketing, and customers that love you, apply to ANY brand AND a larger geographic area? Why dont you become an auto broker and help them with any car they want!?"

And then I remind myself how my GM almost tore my head off everytime I did a broker deal. I learned to quickly only take the ones where I could get above average gross, the customer still comes to the dealership, and I had a talk with the broker to not kill our chances in finance or I wont be able to work with him anymore. That excluded most brokers.

It seems like most dealerships dont want to work with brokers AT ALL.

If a broker came to you, promising efficient deals (prior ISM moving about 30 cars a month), same gross as your internet team, and a proper pro-dealership prep for finance products, and still drove customers to your dealership to sign, would you work with them?

I would LOVE to be able to treat my customers right, give them good info, a fair deal, on ANY car they want. But with the respect I have for finance people (I covered finance for probably 100 deals, OMG I feel bad for those guys), and dealerships, I honestly think i can still keep it a fair deal for them too.

Would there be hope for a brokerage of that type?

Theres is an auto group out here that has over 10 brands at one mega store location. They let their salesmen sell as many brands that the salesmen maintains OEM Certification for. The only problem I see is that online and off site training would be a nightmare once you start talking about 4+ brands but it's something you could consider if you're near a big auto mall.

To answer your OP, id work with a broker if their head was at the right place. This has never happened to me before but I wouldn't be against it. The main thing you would have to do is - don't waste my time with a ton of phone calls per deal - actually delivery me some deals. I would want to be your go to guy for my brand, I wouldn't want to have to keep going back and forth about pricing or my competitors. Basically give me a price and delivery the customer to my office if we agree on price. Like you said, leave financing alone. Also Coach them about the history of KBB , how Mr Kelley got respect because he used to buy cars , and how none of that applies to KBB anymore. Tell them how it's just a marketing cash cow, and bring up the fact that KBB WILL write a customer a check for their car through TIM.... A check that is For several thousand less than the KBB value.

 

[Jerry Thibeau]

Before the information age became I knew some very successful brokers. I can tell you it's much harder today with the wealth of information available to consumers. Your best bet is to find a large dealer group that will let you cross sell. Good luck!