Twenty-One Ways to Save Money
Twenty-One Ways to Save Money
1) Cross train employees; it reduces the need for extra personal. – Mike Anthony
2) For dealers with an internal BDC, think about outsourcing it. There are several that do a great job, and once you factor in all of the costs associated with maintaining your own, outsourcing is far less expensive. – Bob Harwood
3) Review credit card processing cost reduction for service and parts. Make sure you have a proper check acceptance program in place to minimize risk. – Glynn Rodean
4) Never sign a contract that has an auto-renewal clause. – Tedd Potts
5) Review and sign every check that leaves your store. Stop unnecessary services. – Jeff Braatz
6) Review your entire operation. We started closing one hour earlier every day. We did this company wide. An hour doesn't seem like much, but spread it over several stores and you are saving on gas and electric to keep the place open and you are saving on the hourly employees as well. – Jake Lawson
7) Adopt customer-friendly procedures. Keeping customers happy can help avoid lawsuits because happy customers are less likely to call their attorney general, Better Business Bureau or consumer credit lawyer.
8) Never sign any long-term contracts, since there are usually competitors who believe in their product so much that they offer month-to-month agreements, albeit with some up-front costs to cover set-up. – Tedd Potts
9) Track advertising results. If the medium is producing (you have to track it to know), keep it; if not, eliminate it. Tracking is the key. – Kris Wright
10) Review credit bureau pricing; there are many competitive providers in the market. – Glynn Rodean
11) Put all of your vendor sourced services and items out for bid in writing. Get at least three bids per item and watch the prices drop in the face of competition. – Hal Scott
12) Require prospective vendors to e-mail their proposals. This will give you written proof of any agreement. It also saves you time. – Tedd Potts
13) Purchase oil and solvents in bulk; suppliers will often provide the smaller dispensers for free.
14) Pay every vendor you can by credit card, and use accumulated points to pay for travel expenses to train your staff.
15) Cut advertising! We are selling the same amount of cars without advertising by mining our database. – Jeff Braatz
16) Look for ad sources that guarantee results. – Raul Vazquez
17) Look for wholesale call tracking numbers and minutes. – Glynn Rodean
18) Eliminate any advertising that can’t be proven to pay for itself, including image advertising. – Tedd Potts
19) Switch to a low-priced DMS. It is easier to transition and digest a new system when business is slow. – Tedd Potts
20) If you want to keep good employees who really aren’t that busy, eliminate outside services. Review your outside services and see if your employees can fulfill those duties. If an employee isn’t as busy as he used to be, he is able to clean entryway mats, wash windows, shuttle customers, etc. – Tedd Potts
21) Call the other dealer’s floorplan lender on all dealer trades to makes sure the swap will be approved. – Tedd Potts.
More Dealer Ops

Ladies and Gentlemen, This Is a Dealership: Why the Fundamentals Still Decide Who Wins
A teaching moment by a legendary football coach happens to apply perfectly in the auto retail space. Learn what it is and how to use it to your store’s advantage.
Read More →
Timing the Market Can Hurt Long-Term Program Performance
For dealer-owned reinsurance entities, avoiding volatility entirely can mean falling behind inflation and missing market rebounds that drive long term surplus growth. Missing just a handful of strong market days can materially impact cumulative returns—an important reminder for long horizon trust and investment strategies.
Read More →
Dealer Ads and the FTC
The agency has made it clear in recent enforcement actions and warnings, in auto retail and other industries, that advertised prices must include all nonoptional costs to the consumer.
Read More →
Used Autos Supply Dwindles
The March shopping surge, despite high prices, cut into inventory by the most since the thick of the pandemic, Cox Automotive analysts calculated.
Read More →
Managing Risk Effectively Through Changing Times
The variables influencing risk pricing have changed significantly over the past five years. Being proactive and responsive to emerging trends is not optional but essential.
Read More →
Survey Reveals What Won't Fix What's Breaking Car Sales
AutoPayPlus says extra-long auto loans are trapping consumers and threatening the dealer trade-in cycle, and that the industry is leveraging the wrong tools to combat high MSRPs.
Read More →
IA American Appoints Two Execs
Senior vice presidents of the company's agent and dealer channels chosen to support general agents and help auto dealers with sales and performance.
Read More →
Cox Automotive Acquires Inspection Firm
Full ownership of Alliance Inspection Management, or AiM, meant to unlock growth for Manheim inspection capabilities
Read More →
Assurant Expands Partnership With Holman
Extended collaboration delivers training, products and performance development to 30 newly acquired Holman dealerships
Read More →
Franchises, Throughput Down in First Half
A handful of states see franchise growth through June, while EV sales per store boost overall business in U.S.
Read More →