Auto Dealer Monthly Magazine is the daily operations publication serving the retail automotive industry. This automotive publication serves dealer principals, officers and general managers with the latest best practices.
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over the curb / parting thoughts Leveling the Playing Field for Independents An 18-year former dealer principal with focus on Special Finance since 1989, Greg Goebel is CEO of Auto Dealer Monthly, LLC, the parent company of Greg Goebel Training & Consulting. He is a leading industry consultant, trainer, author and speaker serving retail automotive dealers. Contact Greg at 941.685.9629. Greg@AutoDealerMonthly.com B y now you have seen our cover and know this issue acknowl- edges the top independent dealers in the United States. I want to congratulate the Top 50 Independent Dealers recognized in this year's awards for their amazing accomplishments. This issue also gives me occasion to get on the soapbox for independent dealers in general. My email and phone messages are perpetually dotted from independent dealers commenting, complaining, or ranting about real or perceived second-class treatment from finance companies and vendors from all corners of the country. Having owned three stand- alone independent locations in addition to franchise stores during my career, I can certainly validate those feel- ings as well as sympathize with the independent dealer. Certainly a few of the elite independent dealers on this list have achieved pseudo- franchise-dealer status from most finance companies and vendors serving the industry, 50 but without a doubt, they are the exception and not the norm. I am not about to say that all the indies in the country should be lumped together and given the same status as franchise dealers, but many should be given the ability to earn that same status. In 1995, I had the privilege to create the first independent dealer 20 group program while still a dealer and on the executive committee of the National Independent Auto- mobile Dealer Association. One of the groups I created nine years ago after I retired from retail still exists today, and I moderate it through NCM Associates. Having seen independent retail dealer data in their monthly composites now for 17 years, I can say with certainty that not only are many independ- ent retailers as sophisticated, or more sophisticated, than franchise dealers, many also are better entrepreneurs and more profitable. For an independent dealer, without the benefit of com- petitive floor plan financing, retail financing and even educational resources, to outsell and out-earn fran- chise dealers demonstrates their abilities. Then, consider their inventory. I often chuckle to myself when a franchise dealer tells me they can't buy pre-owned inven- tory in their market when I know an independent not far down the street buying 10 to 30 cars a week in the same market. Again, it shows how well an independent dealer can operate. Certainly, not all independent dealers are created equal. Having been heavily involved in NIADA for many years and having met dealers from all over the country, I know that for every success story there is at least one horror story. You see, these same savvy dealers also are frequently cash-starved (I didn't say unprofitable) and the need for cash has certainly caused some to make operational decisions that are frowned on. I know some franchise dealers who have done the same thing. While I have campaigned for many years for equal oppor- tunities to be extended to deserving independent dealers, I am smart enough to know that I am not going to change the world by myself, and any change will be slow in coming. That said, I implore the finance compa- nies and vendors to not lump all independent dealers together. You are not going to find a more loyal customer than an independent dealer. They are generally very appreciative of the opportu- nities extended to them to give them a chance to compete on a level playing field. Certainly, any addi- tional costs incurred to vet the deserving independents should be washed out by the long-term loyalty provided by them. As we celebrate the top independent dealers in this issue, the magazine has been commissioned by one of our supporters – DealerTrack – during the month of July to help them gather information on digital and electronic services needed by the independent dealer market. If you would like to partici- pate, please email me at and we will email you a link to participate. In the meantime, congratula- tions once again to our very deserving award winners. Congratulations as well to the independent dealers across North America who serve their communities every day, competing with franchise dealers, not often on a level playing field. Until next month, Great selling! Greg Goebel Publisher