Archive for December 29th, 2011
Jim Ziegler Guidance: Ten Areas We Need to Concentrate on to Bring This Monster to It’s Knees…
1. Government investigation of ALL Data Aggregators taking consumer information from dealers’ DMS. Sadly enough, dealers who do business with TrueCar are exposed to liability charges. Cut off all access to unecessary data, no matter who takes it from the dealers DMS and make it illegal to “resell identifiable consumer data” and “transactional data”.
2. If anyone takes financial transactional data, they expose the dealer that allowed it to violations, especially if it is passed on to other vendors or shared.
3. Educate Consumers to what they’re doing with their information…
a. You buy a car from a dealer, do you really want your personal information, and maybe
even your financial information, passed along and sold and shared by “God knows who?”
b. These People Charge the Dealer $300 which the dealers have to build into the deal
c. Your Privacy and the Security of your Information could theoretically compromise your identity if you do business a company that takes data from the dealership.
4. Educate Investors and potential investors they could possibly be mislead if anyone is telling them this is a safe investment because of all of the dealers pushing back, associations pushing back, and government regulators in many states coming after TrueCar’s business model as NOT compliant, in some cases they’re saying it is Not Legal.
5. AMEX, USAA and all of their affiliates do not want the bad consumer relations this push back is creating with their members and customers.
6. Cancel your dealership’s Affilation with TrueCar. Tell people with certificates YOU don’t honor TrueCar and you feel the company is NOT reputable. Educate consumers as to perceived data exposure if they buy from a TrueCar dealer.
7. Make the dealers selling at huge losses take all of those deals. Big problem right now is too many Nissan Dealers and others are taking huge losers to get the factory money. The TrueCar reverse-auction business model will continually push those numbers down until the factory money is non-existent. Consumers need to hear from many dealers, “We don’t do TrueCar”
8. Keep calling your National and State Dealer Associations demanding they get involved and stay involved… No excuses.
9. Get the Manufacturers into the game. If GM, Ford, Toyota, and other majors change the rules about how we advertise and do business to protect the dealers, we can cut off their ability to set pricing. So keep it up at every dealer meeting. Call your Dealer Council Members and protest to your factory reps.
Tell the manufacturers, if they want showroom and facility improvements, we need the ability to make fair profits.
10. Tell everyone you know. Educate other dealers and industry people. Watch the Painter interviews…I believe this the first time a vendor has publicly announced they intend to bring down the dealers and hijack our business, taking our profits and starving us out with our own data. Painter has said manufacturers and dealers should bankrupt and he, in his God-like way” will control distribution.
When their Yahoo Deal kicks in we need to stand firm and “Just Say No” we don’t honor TrueCar deals.