TCPA Violations can cost you BIG!

By Tom Hampton

TRUE fact, 95% of texts are read in 90 seconds or less after you send it. Texting is unquestionably an integral tool to engage consumers in 2020, HOWEVER, it is not without extensive legal and regulatory risks.

In order to survive and thrive, businesses must be mindful and play by the rules set forth by the Telephone Consumer Protection Act, known as the TCPA founded in 1991. Car dealerships directly put their business at legal and financial risk each time they text, be it to correspond with a lead, with a customer, for collections, or sending inventory pics…the list goes on! TCPA penalties START at $500 and can go up to $1500 per text sent.

Example:

A customer submits a complaint that 5 texts were sent to without their permission. At a minimum, fees will start at $2,500, likely much more, as well as setting the way to a full investigation looking for compliance violations, often adding more fines.

How can the average dealer keep track of all the texts sent by the entire team, on top of the 5,000 other things they are currently doing? The solution is very simple and so cost effective it is scary! For less than one average auction fee and no long-term contracts, you are covered-7-ways-to-Sunday, 24/7/365.

Just like having a DMS to keep all your paperwork records and compliance, this is also a tool to keep your texting compliant! Did I mention that with this service, you see it all! No more guessing what your employees are texting to prospects, customers, or account holders! No more getting blind-sided by customers who say…’your salesman told me if I did this…. then y’all would do that for me!’

SOLUTIONS are what we do at Car Guys Agency. Effective, affordable solutions for your dealership. Give me a call or visit www.carguysagency.com

TRICKLE TO TREND

We all know that our industry is irrevocably linked to the new car industry and will FOREVER be subject to “trickle-down”  

Two and half years ago the consumer, through social media, brought FIRE to the F&I Departments and our industry felt it in our outside finance sources tightening their belts – We sold less cars and are still recovering from it.  

NOW-HEAR-THIS. The next wave of major trickle-down is HERE.  

PRICE is dead!!! TRANSPARENCY & VALUE are coming!  

Your client knows MORE about your car than you do in most instances. Consumers are now spending upwards of 15 hours of research using the same tools we do. They research reliability, dependability, serviceability, trade values, depreciation, current market values, and a bazillion other things.  

Then my friend; they research YOU.   

Most of you still cling DESPERATELY to price when ALL your efforts should be in VALUE! Look up Simon Sinek on YouTube. Man has some great things to learn. His concentric circles are one of the BEST I have ever seen to convey and teach what customers REALLY want.  

It’s simple folks –  

  1.  WHY are you the best person on the planet to buy a used car from?  
  1.  HOW MANY people agree!? 

What incentive are you enticing buyers with? 90-day warranties don’t cut it. A couple of suggestions,  

  • Give 1 year free GPS Security Tracking*  
  • Free oil changes for a year (3k miles= 4 per year) 

Look at what you do from the customer’s point of view. Houston area alone has over 4,000 dealers – How do you stand out?  

The only thing standing between you and wild success is LIMITED Knowledge and LIMITING Beliefs. Both can be modified. Although knowledge is plentiful, it can be tricky to interpret and implement. As far as Limiting beliefs, MOST simply fade away when YOU choose to do things differently.  

Habit and complacency are the top two killers of dealerships that I have ever found over the last 50 years. Now – what are you going to do and what are you going to change? – most importantly WHEN?   

Create-a-great-day!
Tom Hampton

*Visit us online to get more information on our selection of GPS Units!