How to Use the Trade Walk to Maximize Gross and the Guest Experience

How to Use the Trade Walk to Maximize Gross and the Guest Experience


We all know the trade walk is a critical
step of the sale. But when you actually execute that trade
walk could be making you a ton of money or it could be costing you a ton of
money. Which are you? Hi, I’m Tim Kintz and I want to talk about
one of the most important steps of the sale, the trade walk or some of you guys may
know it as the silent walk around. I talk about it as your pre demo trade walk. I always taught, most of us were taught, I was taught 26 years ago in the car business to do my silent walk around,
my trade walk, after the demo, right? You come back from the demo. You get out of
your car, then you walk around the customer’s car. You touch all the dents, you touch the
dings. You don’t actually say anything about it and hope that they tell you all
the problems on that car. You get the mileage then and you’re pretty much
devalue the customers vehicle, right. Most you guys out there have probably
been taught that way, well it’s okay to do that, but the reality is most
of us don’t do it there and number two is, think about this, I do
a great job through the entire sales process build a rapport finding common
ground, get the customer excited, they’re at the highest level of enthusiasm and
excitement in the entire deal at the end of the demo so now I’m going to go over and start beating their car up, I’m going to start beating up their trade So now what am I doing with all their
excitement? What am I doing with all that customer enthusiasm? Am I raising it or my chipping away at
it? Yeah, aren’t I turning that customer kind of negative. I mean, now I’m starting to beat their
trade up just before I sit down to negotiate, and that really doesn’t make
that much sense, does it? Because now I’m getting ready going to
the logical part of the deal and now I’m, I’m making that customer less excited
less emotional. So, we have a better way. We have a better
way to execute the trade walk, to execute I call it your un-silent walk around and it
needs to be done pre demonstration drive ok before you go
on the demo from now on I want you guys walking the customer straight hey and here’s the best thing about
walking a trade before you go on a demo ok and, and number one is it allows
you to find common ground with that customer. I mean think about that you go over to that customers trade you
ask him a simple question, hey are y’all adding a vehicle are you going to
be replacing one they say we’re replacing one oh really is it that one right there
yeah me and that’s a great car did you buy that you or did it have a few miles on when
you got it well no no we got it well brand new me and that’s great now you’re starting to walk around that
customers car what are you gonna learn about that customer aren’t you gonna learn everything you
need to know to help sell them the vehicle and and once you start walking
around that you’ll see bumper stickers you’ll see car seats toddler seats, golf
clubs, tow hitch for their boat ski racks. You’ll learn everything you need to know. In fact,
sometimes you’re going to see it spotless and the tank is empty. What’s
that tell you? Tells me to ready to buy a car. So you
learned so much about that customer. Walking around the car then I want you
to ask them simple questions: Hey, what’s most important you on your
next vehicle that you didn’t have on your current one? and what did you have on your current
vehicle that you want to make sure you do have on your next vehicle? what’s that customer going to tell you?
aren’t they going to tell you everything you need to know to sell them to vehicle? And
you’re going to learn how they use the car. What their lifestyle is, what the
recreation is. So, now when I start presenting and demonstrating my vehicle
haven’t I found common ground? Haven’t I found out their hot buttons? So,
won’t it make it easier to create that mental ownership when I’m doing my
customized high-impact presentation demonstration with a customer on our
vehicle. So it allows you to slow the process down. Plus, think about the
customer when you walk them over to their car. Isn’t that kind of their
comfort zone? I mean isn’t that customer
comfortable walking around their car? I remember as a kid playing tag, right?
Any of you guys ever play tag? When you play tag, yeah? That one tree
that was safe base, right? As long as you were touching that tree, nobody can tag
you. You weren’t going to be it. It’s the same thing with a customer. As
long as they’re around that car they start selling you. They’re in their comfort zone. They’re in their safe place. So, now the
customers telling you all about the car. Now, if you’re walking around that car,
you’re going to do the silent walk around part. It just doesn’t need to be so silent
anymore. When you walk around that car and if you look at a car and
there’s a dent in a quarter panel ask that customer, “Have you guys had an estimate done on
that?” But most of these customers know about it. Half of them have been on online booking
out their car. Some have done done TIM. They’ve done
trade-in market place. So, they have an idea of what their car is worth anyway.
They may not know about the bald tires. But I can point some of those out. But
it doesn’t have to be silent. It doesn’t have to be old school but I want all
these things done prior to the demo. Once you start doing a pre demo, trade
walk you find that their hot buttons you find common ground. You’re able to walk around their trade
to get them kind of back to reality on their car. You gather information on fuel economy.
You find out what the mileage is, heck in real life. Here’s what you guys need to
do. You need to take out your phone, and almost all you guys in your CRM, you have
an app that you can pull up. Like right now I have DealerSocket on my phone
right here. All I have to do with that customer,
check this out, I click on the, I click on the vin scanner for trade. Ok, I scan the VIN number. Now all of a
sudden that VIN, that vehicle information, goes right into the CRM. And for some of you guys, it will push it into the auto or in the Auto Exchange or into First Look. Whatever your used car management
tool is. So now, check this out, by doing that by scanning the vin number then I’m
going to scan the customers drivers license at the same time. Now here’s what happens. I populated all
the customers personal information, I put their their name address. I have
all their vehicle information on their trade in the CRM. So, it populates it in
there. So, now we come back from the demo, guess what we don’t have to do Well, I don’t have to do a trade walk and
an neg that customer out. I don’t have to plug all the customers
information into the the crm because it’s already in there. My managers already have the information
on the customers trade. So now that speeds that whole process up.
Also in the negotiation and we all know this. We know slow kills in a negotiation. By
doing your trade walk early on pre demo, find out information on them. Their hot
buttons. All the trade information that you need. You scan it into your CRM. Their
drivers license in the CRM. Now I come back from a demo in real life. I could have that first worksheet back
to the customer within 5-10 minutes, maybe 15 minutes max of coming back from a demo. And all
I have to do is get a payoff from the customer. Maybe do a quick questionnaire
on the vehicle if it’s been in any accidents, but we already know most of
that anyway from carfax so now. Now, I’m speeding this whole process up and
we all know that customers hate how long it takes to negotiate. So, we’ve just potentially bought back 15
to 20 minutes. And now when I’m sitting down doing my negotiation, now the customer is still excited. Now the customer, you know, some of you
guys have heard the customers under the ether. Well they are, and my goal
for you guys is to be able to speed up your negotiation process is to make it
30 minutes from the point you come back from the demo too point. You set that
customer at your desk I want to have this thing wrapped up in
30 minutes, because anything past 30 minutes that’s when the ether starts
wearing off, the excitement starts wearing off. It’s, you know I always talk about this in class, it’d be like you guys having surgery, surgery is gonna last an hour, you’re either is only going to last 30
minutes. How’s that going to work out for you? yeah, no so good. That’s exactly what
happens to our customers. Our negotiation goes on and on 35, 40 minutes,
an hour, two hours, in some stores. And we wonder why the customer starts going
sideways in the middle of negotiation because they’re getting buyer’s remorse. Because it’s taking too long, they’re talking
themselves out of buying. So, by doing our trade walk early,
gathering all the information on their trade all their hot buttons, using that in my
presentation demonstration, now I’m able to streamline the negotiation. And you
will see happier customers, because we know slow kills. Let’s be more efficient in that in in
the entire sales process going to make a negotiation easier. But just remember
before you go on that demo, you walk the customers trade. It helps you find common
ground. It helps you gather information on their hot buttons and it allows you
to set up the negotiation later. So you can be more efficient and more
effective in your negotiations.

About the Author: Michael Flood

8 Comments

  1. this is great stuff. It's the perfect time to do a discovery or interview or rapport-building or whatever someone wants to call it this year to connect with the customer and help them connect with you and your vehicle your selling

  2. New to the business… starting my new position tomorrow. So much knowledge to soak in but I'm thankful for it!! Good stuff… ready to blow the roof off with sales!!

  3. You sound just like Tommy Ady.

    And you certainly have a better rap that those sleazeballs Jim Ziegler and Steve Richards.

  4. I remember him from all my Joe Verde training, he learned if not everything in the business from Joe. He's great !! Good to see him on his own. If you want to be successful learn from those who are successful. That only makes sense.

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