Issue link: https://read.dmtmag.com/i/379417
7 increase, with front-end gross profit up near 50 percent, all compared to last year. The F&I department's performance is even more drastic, with product penetration doubling year over year and F&I PVR at 2.5 times the amount that was brought in a year ago. The profit-building Priority Maintenance Program from RpmOne has provided Mullins with plenty of return, like many of the company's offerings. "They spent a week inside the store with our team, and we'll have weekly meetings and webinars that last 45 minutes," Mullins said. "They'll offer things like if you do 20 contracts or more, they reduce what they charge you for the training. If you do 30, it's another cut, and if you do 40 contracts a month, it doesn't cost you anything. So on their dime, they're flying a guy in every month to spend a couple of days. And it's not just limited to the business office or the sales department. They get involved with parts and service, too." Mullins knew his store needed an assist with operations, and believes he couldn't have found a more ideal partner. "It was perfect timing," he said of RpmOne's assistance. "It was a perfect storm, if you will. We were coming off three or four bad years where we had trimmed down from 72 people on staff and were open seven days a week to having about 34 people and being open five or six days a week. We found a lot of opportunity in PVR solutions they offered, especially when the business office was just horrid. We felt the reason was we were running so thin that our sales managers were spinning paper as well. We were doing everything we could to keep this big ship afloat. What we found is that if my sales manager is out closing a deal and the customer's says 'Look, this is every penny I've got; I'll sign on the dotted line,' and that same face is then sitting across the desk from you signing paperwork, and you pitch an extended warranty or a priority maintenance or GAP, they look at you at tell you, 'I already told you; I don't have another nickel.' You have put a fresh face in front of the customer. So we hired a business manager." Mullins continuously refers to the dealership-wide approach that RpmOne takes in providing their array of solutions. "The word tracks they provide for all areas of the dealership have worked great," he said. "It doesn't matter if you're selling widgets, watercraft or cars, there is a method to the madness. You get a script; you learn the script; you inflect your own personality, but you don't deviate. You pitch 100 percent of the products 100 percent of the time, and it's amazing how well it works. It really is. You can grow the business. What I love about it is we don't sell anything that isn't the right thing for the customer. If we put GAP on a bike or suggest GAP, it's going to be a protection, heaven forbid, if something happens. Priority maintenance, we've got some nice bells and whistles, free pickup and delivery, a loner program. There are a lot of things that come with the products we sell that makes it kind of a no-brainer. You use the menus they provide and it works. I'll be honest, compared to this time last year, we have increased our storewide net dealer profit tenfold. RpmOne came in and did their Business Development Assessment in January. That's a good story to tell." Mullins likens the addition of RpmOne to his store to having the knowledge of a 20 group within reach. "A lot of the guys who come in and do the BDAs do have 20 group backgrounds. They can tell you that the average metric store that does your kind of volume is averaging $1,400 on the front side and $600 on the back. We were at $900 on the front and $150 on the back. We knew we had some opportunity, but the things that stuck out were front end gross and the Per Vehicle Retailed in the business office. More importantly, it has been a cultural shift for us dealership-wide." 7 increase, with front-end gross profit up near 50 percent, all compared to last year. The F&I department's performance is even more drastic, with product penetration doubling year over year and F&I PVR at 2.5 times the amount that was brought in a year ago. The profit-building Priority Maintenance Program from RpmOne has provided Mullins with plenty of return, like many of the company's offerings. "They spent a week inside the store with our team, and we'll have weekly meetings and webinars that last 45 minutes," Mullins said. "They'll offer things like if you do 20 contracts or more, they reduce what they charge you for the training. If you do 30, it's another cut, and if you do 40 contracts a month, it doesn't cost you anything. So on their dime, they're flying a guy in every month to spend a couple of days. And it's not just limited to the business office or the sales department. They get involved with parts and service, too." Mullins knew his store needed an assist with operations, and believes he couldn't have found a more ideal partner. "It was perfect timing," he said of RpmOne's assistance. "It was a perfect storm, if you will. We were coming off three or four bad years where we had trimmed down from 72 people on staff and were open seven days a week to having about 34 people and being open five or six days a week. We found a lot of opportunity in PVR solutions they offered, especially when the business office was just horrid. We felt the reason was we were running so thin that our sales managers were spinning paper as well. We were doing everything we could to keep this big ship afloat. What we found is that if my sales manager is out closing a deal and the customer's says 'Look, this is every penny I've got; I'll sign on the dotted line,' and that same face is then sitting across the desk from you signing paperwork, and you pitch an extended warranty or a priority maintenance or GAP, they look at you at tell you, 'I already told you; I don't have another nickel.' You have put a fresh face in front of the customer. So we hired a business manager." Mullins continuously refers to the dealership-wide approach that RpmOne takes in providing their array of solutions. "The word tracks they provide for all areas of the dealership have worked great," he said. "It doesn't matter if you're selling widgets, watercraft or cars, there is a method to the madness. You get a script; you learn the script; you inflect your own personality, but you don't deviate. You pitch 100 percent of the products 100 percent of the time, and it's amazing how well it works. It really is. You can grow the business. What I love about it is we don't sell anything that isn't the right thing for the customer. If we put GAP on a bike or suggest GAP, it's going to be a protection, heaven forbid, if something happens. Priority maintenance, we've got some nice bells and whistles, free pickup and delivery, a loner program. There are a lot of things that come with the products we sell that makes it kind of a no-brainer. You use the menus they provide and it works. I'll be honest, compared to this time last year, we have increased our storewide net dealer profit tenfold. RpmOne came in and did their Business Development Assessment in January. That's a good story to tell." Mullins likens the addition of RpmOne to his store to having the knowledge of a 20 group within reach. "A lot of the guys who come in and do the BDAs do have 20 group backgrounds. They can tell you that the average metric store that does your kind of volume is averaging $1,400 on the front side and $600 on the back. We were at $900 on the front and $150 on the back. We knew we had some opportunity, but the things that stuck out were front end gross and the Per Vehicle Retailed in the business office. More importantly, it has been a cultural shift for us dealership-wide." BRANDS: Can-Am, Honda, Kawasaki, Sea-Doo, Star Motorcycles, Yamaha ALSO: Honda Power Equipment, Yamaha Generators "I'll be honest, compared to this time last year, we have increased our storewide net dealer profit tenfold. RpmOne came in and did their Business Development Assessment in January. That's a good story to tell." Owner Kirby Mullins 10514S-PSB-RPMOne Dealer Case Study.indd 7 8/29/14 10:30 AM