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Kyle Mountsier: 0:00This is In the Dirt with ASOTU
Paul Daly: 0:05
I knew a sound guy once that when he would see somebody do that he would be like come in for a second and then he would he would brighten their head. How do you like it as if the microphone was personified? He took it that personally totally
Glenn Lundy: 0:18
totally is as I was flicking it. I was like, Is that why flicking this nice? Sure. SMB seven because
Paul Daly: 0:24
you do weird things when you're on location and we are in on location. Yes, we are In The Dirt. Yeah, the one and only Glenn Lundy at his 800% elite
Glenn Lundy: 0:33
retreat. That's what's up.
Paul Daly: 0:35
And we're in Atlanta Georgia at actually this place called I fly where you get inside like the the big plastic tube and the gigantic fans blow you up in the air like you are skydiving.
Glenn Lundy: 0:47
Yeah. Or you could just say where you skydive and you take a nice close picture of it and you send it out and it looks like you're really skydiving but it's much safer. Is that how super docile you break down? Do you don't have to tell them how we build the plane? Right? It's just the destination. Yeah, destination is always Yeah, diving baby. Do the
Paul Daly: 1:05
photos. Do they? Like Dubbin like the sky and the kayak and a plane in the distance? Like you just jumped out of a perfectly good airplane. You could you could tell but they don't.
Kyle Mountsier: 1:17
We're actually watching. It's kind of fun. We're actually watching live. Right now someone's flying right now. And they're kind of it's kind of interesting, because they're kind of getting carried like a baby. But they're not because they're getting pushed down at the same time. It's a very interesting engagement.
Paul Daly: 1:31
You said interesting. I said awkward would be my word. Who is who is that? I don't know where that guy looks like.
Glenn Lundy: 1:39
I will say is that Kevin that show? Snyder? There you go.
Paul Daly: 1:42
Well, okay, we were watching before we came in, we were watching the people who are experienced like the club members. And they're like UPS literally, oh, yeah, perfectly positioned upside down. And now that I'm looking watching the amateur and I'm like, oh, that's what it looks like when you don't know what you're doing.
Glenn Lundy: 1:56
They do say on the sign though, that you're gonna come in like a baby, you're gonna walk away Superman, as they say, and there's like a baby like a baby. Well, I
Kyle Mountsier: 2:04
just, that's actually the new 800% Club's slogan, it's come in, like, maybe walk out like Superman, you
Glenn Lundy: 2:10
know, like it, I like it. That's gonna make us a shirt. That's perfect.
Kyle Mountsier: 2:15
You know, this, it's actually it's really interesting, because that's actually a big part of what I think that you you kind of do. And I not that everybody kind of comes in as babies with as 800% club because we got some supreme power or powerful operators here. But there's this kind of like, Hey, you got to come in test the waters understand that maybe there's some things you don't know. And on the other side of it, there's opportunity that maybe you didn't even know was there on the other side. Like, walk us through how you take an operator. That's probably that. I mean, there's some Patrick Abads here, right, like Liza Myers Borches and others that I know, that come in with super strong track records have grown their stores have grown organizations, and getting them to kind of like, unlock that next level. What's, what's some of that walkthrough?
Glenn Lundy: 3:01
Yeah, I think that every dealer if you talk to any dealer in America, probably around the world. And ask them if there's more. They're there in their store. Every single one of them would say yes. Right. They feel like there's more there. But they don't always necessarily know how do we get that extra squeeze out of the lemon? Right. I think most dealers in this country anyway, they're good dealers, right? You don't see dealers folding or going out of business every day. We see a lot of them being acquired, as a recent
Paul Daly: 3:33
right, willfully acquired, hopefully, not not out of a fire sale. That is correct. Because like, they're like, Hey,
Glenn Lundy: 3:39
this is good. Yeah, but for the most part we have good, you know, most dealerships do a good job. It's how do we take good and turn that to great. And that's what we tried to do here in 800% Club, we had an opportunity to experience an anomaly in this industry with 800% growth out of a store, a tiny store in a tiny town with only 9600 people. And now we have the opportunity to show some of that awareness of hey, if we do things, it's little tweaks, right, what I find is most dealers are one or two small tweaks away from being able to grow 800% It's
Paul Daly: 4:14
not an overhaul. What are some of the most common tweak monitoring because dealers you're listening to this? What are the what are the what are the most common ones that you see?
Glenn Lundy: 4:21
I'll give you two. Okay. The first one is we got to change the way we start our day. And the reason I always start with that one is that that's my near and dear, that's near and dear to my heart. And so most dealerships if you walk into them, we all know what it looks like at 830 in the morning, right? Some people are coming in a little bit late. Some people may be on time. They're talking about playing Fortnite last night. Some are a little hungover. They're figuring out what we're going to eat for breakfast, all of those things right. Cirillo just walked in the building, right so we're doing all all of those things first thing in the morning so what we found is really efficiencies don't start in a dealership till like 11am Right guys drinking monster Your energy, Red Bulls, and all of that. Whereas if we can get a disciplined routine that our employees find value in and are excited to be a part of, we can start two and a half or two hours earlier than the rest of the industry. And our people make better decisions the night before, because they know they're going to be a part of that in the morning. So if you change the way you start your day in your business, it makes a massive impact on the bottom line. The second thing that I'll share with you guys is really our formula. It's our secret, right? This is the secret don't tell anyone? No, we won't us, we're not recording
Kyle Mountsier: 5:32
our recording, we're announcing this on a podcast. So nothing like that, right?
Glenn Lundy: 5:37
I'm gonna go. And you guys can go buy your own dealerships. And you can apply this in the dealership, and you'll be really successful. All right, that's the golden ticket. The Golden formula is the 8531 formula. Okay, the 8531. Formula eight leads, equals five appointments, equals three shows equals one sale. That is the formula. Now, the proper placement of that formula is what matters most. One sale per salesperson per day. When we when we go from there, when we when we think the lowest denominator is one, how do I get one sale per salesperson per day? Well, that's gonna take three shows, to guarantee that one salesperson sells one car that day, right, which takes five appointments to guarantee three shows, which takes eight leads to get five appointments, nationally speaking. Yeah. So when you go off of that simple formula, 8531. Now we go, okay. Well, we have, we don't have enough leads for every salesperson to sell one car every day that they're at work. So what do we got to do to generate more leads? Well, maybe it's an inventory issue, maybe it's a pricing issue, maybe it's a vendor issue, maybe it's your marketing, maybe you got your money in the wrong place, maybe you should be on Facebook instead of on the radio, right? Whatever it is, you can look at that, once we have enough leads for everybody to sell one car a day, every day their work, then we look at our conversions, and we go, Well, we got the leads, but we're not setting enough appointments. Maybe you need a BDC. Maybe it's a personnel issue. Maybe you need better scripts, maybe you need to hire somebody to help, right? Whatever it is, if we've got the leads, and we've got the appointments, but they're not showing, maybe we have a management issue, maybe there's some issues around our, our pricing or marketing, maybe it's our reviews, right? So this one little simple formula, if you build to an 8531, if you can build to where you're getting eight leads per salesperson per day, five appointments, three shows and one sold, you can scale as big as you want. You know,
Kyle Mountsier: 7:40
what's nuts about that, and what I've experienced, and I had a different, slightly different formula, similar kind of structure when I was in the stores. But what I recognized is that once you do that, that's really that's still only depending on the ecosystem, and the dealership, or the locale, that's still only 50 to 60% of your overall business, right? Because when you think about like, what leads turn into what sales is percentage of business, so when you get all of that, right, the scale also happens on the other side as well on showroom capacity or service and everything kind of like expands with
Glenn Lundy: 8:18
no doubt, right? No, no, no doubt. And if you actually do the math on those numbers, and we've been really seen it the last couple of years, like for the most part, if you get three people in your store, you're gonna sell more than one of them. Right, right. So that formula is really a, it's a mindset, bare bones guaranteed. It's a guaranteed formula, we're gonna get this if we build to here. And everything that you get on top comes from developing a great culture, hiring the right people, all of those things. So it doesn't have to be one sale per eight leads. It could be two, it could be three, it could be four, as you continue to expand all of those things around it.
Paul Daly: 8:55
There's, there's a lot of people in this building right now. And this is the first 800 Elite event I've been to. And you get your people together three times a year, we get together three times a year. Yep. Why? What is the value of getting people out? Because there are lots of coaches and consultants. There are a lot of conferences that people go to and they're all different shapes and sizes. What is the magic formula that you feel happens when you get dealers out of their store?
Glenn Lundy: 9:20
Well, no offense, you guys can't get mad at me not. You do a lot of what I'm about to say do it that sounds good and do so when I first stepped out, I noticed or I shouldn't say I noticed as a GM of a dealership. The one thing that I wanted was information, and I wanted relationships and networks in places where I can get that information. And when I wanted it was speed, right? I wanted it was speed and I wanted it like now that's basically what I wanted. And what I noticed is my vendor partners or people that I were working with, they would come out fly in the night but For, I'd have to fly him in, I put them in a hotel, then they come to the dealership, then I feel like I gotta like, hang out with them all day, right until five or six or 7 ligated. And then I'm like, well, they flew all this way. Now I gotta take them to dinner. So then I take them to dinner, right? And then we send them out the next day. And to be honest, we probably could have done that whole thing in
two hours, half an hour's gonna
Glenn Lundy: 10:22
call actually, or a half an hour zoom call, right to be honest. And so we built 800% club with the GMs and the owners time in mind, how can we serve them the information they need as fast as humanly possible. And we pretty much do all of that virtual right if I don't step foot in most of the dealerships in our 800% Club. With that said, though, the networking piece, and the human interaction piece is required in order to build especially in 2022. If you don't have community, it's way more difficult, right? So we bring the dealers outside of their heat cases, phone calls, emails that they're getting, sir, hold on, can I interrupt for just a second all day, barging into their office like,
Paul Daly: 11:05
no one ever. Specifically, like meetings over, side punches all the things today, but we
Glenn Lundy: 11:17
get them out of that environment. And we get them into an environment where they can absorb, they can network, they can grow. Like what we're doing right here. Yes, we're flying and doing skydiving. But if you look in the video, look in the background, what do you see, you see a couple of dealers chatting out there. What are you doing? What are you doing here? Right. And so everybody's picking each other's brains. So every minute is an investment. And that's why we do these retreats every four months, get you out of the store, give you a ton of information, give you one specific topic to really think about and go back and give you the network of people to make sure you can be successful.
Kyle Mountsier: 11:50
Well, he said that he said the word. The Golden word that we believe is gonna be our new buzzword, the C word it's community.
Paul Daly: 12:01
That this thing? No, I don't know what. I'm sorry. We didn't. We didn't push this. But we put colorful buttons in front of Glen Lundy. And he pressed them. Not all of them. But some of them. Yeah, yes. Yeah. Well,
Kyle Mountsier: 12:19
and what I think is really key about this, and I'm seeing this more and more is that these kind of like alternate 20 groups, you know, the 20 group was kind of the first push that like NADA, and NCM, all kind of push that, hey, we got to get dealers out of their element into an ecosystem to talk amongst themselves. But a lot of times what happens in those 20 groups is you kind of get this like, here's the fit, right? It's a whole bunch of Ford dealers, or it's a whole bunch of big dealers. And when you were kind of introducing everyone, you were like, there's an independent over there. There's a multistore rooftop dealer group over there, there's a single rooftop selling 600 cars over there. And everybody is kind of like different dynamics across the country. There's no like, one kind of silver bullet that someone could say, because we are a Ford store in a major metro with multi rooftops like that there's no kind of formula. That's right. It's a formula outside of that, that you've actually brought together a community for. That's more intent on like, that's a thing that we all believe, and we're going to gather around that. And then we're gonna turn turn turn the corner. Yeah,
Glenn Lundy: 13:20
I mean, look at just in this room right here, right? Like if we look out like so you got Kelly back there. Kelly's running 26 stores now. 20. He's got 23 stores. They're doing 40,000 cars a year, something like that. 35,000 cars a year. Right. So you got that much? Yeah, nothing much. Right. So he's got all different brands and you got Patrick over here. He's got Toyota and he's doing 600 cars a month behind him as John Paul Guidry. John Paul's got an independent store in Louisiana doing between 80 and 100 units right as a used car store. Then he got Frosty over here, he's got Roper Kia. They're doing 300 cars a month over between, he's got that in a little used car store. And then you got Aaron Lang all the way from Canada school. My guy over here delta Canadians have found each
Paul Daly: 14:01
other and then we got Michael Cirillo working on a piece of pizza.
Kyle Mountsier: 14:08
Ladies and gentlemen, that'll be the next nine episodes of In the Dirt with ASOTU because we just named all of the people that are coming on the podcast. Thank you Glenn Yes, there
Glenn Lundy: 14:17
you go. Right. But I believe not just in the auto industry. Like if we get for real. I believe that one of the biggest problems with humanity today is that people are too siloed. They hang out with people that look like them walk like them talk like them, and they think like them and think like them, and they don't seek understanding from those. It's not seeking agreement. It's seeking understanding. So with 800% Club, we're like, let's throw out this. Put everybody in a siloed box model because to be honest, how do you learn this? How do you learn to sell 800 cars, if everybody in your 20 Group selling between 50 and 150? You don't? You can't right? So we like to expose our dealers to all different aspects of that and Every dealer that's a part of the group adds value because they are an expert at what they do. And so now we get a full rounded from Canada, all the way down to Florida or wherever to Cali. And to me, it's a picture of what humanity should look like. Because we should be spending time together people that don't look like us walk like us talk like us think like us. seek understanding so we can all get better.
Paul Daly: 15:21
Well, there are a lot of people here that want to spend some time with you in person. They're used to seeing you on the Zoom call. We're gonna let you go. Thanks for spending a few minutes maybe we'll grab you again toward the end of the event, but you know where to find me. There are a couple days ahead of ahead of us with 800 club in full effect. Let's go then. Let me think so appreciate you go.
Glenn Lundy: 15:37
I don't want to break.
Kyle Mountsier: 15:41
Thank you for listening to In the Dirt with ASOTU. We love the automotive industry and the people who make it run day in and day out. We would love to connect with you more through our daily dose of fun, a free email that you can sign up for at asotu.com That's a s o t u.com. We put our heart and soul into it every day. Thanks again for listening. Join us next time for more Conversations In the Dirt with ASOTU.