Mike Johnson,
Durand Chevrolet ~ Michael Chevrolet
By Sandi Jerome
When I first met Mike Johnson about six years ago, one of the first things I noticed was that he had a PC on his desk, and it was hooked up to his Reynolds + Reynolds system. Over the years, it seems that he was always one step ahead of me. When I got my first PalmPilot, Mike already had one. When I figured out how to download the vehicle inventory using it, he had already done that as well. He started using Microsoft Excel and Microsoft Access to track demographics by zip code, analyze performance by periods, and compare his results to other dealers while most of us were still struggling with ERALink. Many of you might think, "Wow, what a great system administrator, how can I hire him?" But forget about it; Mike is the dealer.
Mike originally bought Durand Chevrolet in Durand, MI, in 1991 and added Michael Chevrolet in Richmond, MI during 1998. Both of those stores are on Reynolds + Reynolds. He has recently added another dealership, which is on ADP. Michael Chevrolet is being relocated to a market and location that will potentially quadruple the volume of the store. This, in effect, will give Mike a larger Metro size store for the price of a smaller store plus new construction costs. The new facility will be open in December 2000. Included in this new facility will be state-of-the art security, phone, and customer retention technology.
After watching Mike's successes over the past few years, I've come to know him as a "turn around" dealer. He takes broken dealerships and with a combination of leadership, technology, and determination, he transforms them into gems. This interview was conducted via e-mail between us; in fact other than a brief meeting at a conference last year, we haven't spoken or called each other for years. The amazing thing is that we have kept in close contact via e-mail. I just counted over 200 e-mails since 12/12/1997. On that date, he sent me my first encrypted database file. I'd have to go to my long-term CD storage to find all of our e-mails, but it goes to show that technology works.
Mike, what background or technology skills did you have before you became a dealer?
I've always spent a lot of time playing with gadgets and rebuilding my personal PC whenever it would crash (or whenever I crashed it trying to make it work faster!).
What technology are you responsible for in the dealership?
Literally, everything from A-Z. My employees know that I'm fairly well versed with technological issues and come to me with all of their problems. I'm usually rebuilding or repairing someone's personal computer at least once a month.
What type of leading edge technology do you use?
Our security system can be activated or deactivated by telephone. If the alarm goes off, I can log onto a web site from anywhere on the planet and "peek" inside the building using the cameras to see if anything is going on. I can then activate or deactivate the alarm.
We have a computer system connected to our phone system (Call Commando), which uses caller ID, and matches the number with a name and address through a web-based national telephone database. It also tracks and monitors all incoming and outgoing calls by extension. If we miss a call or get a hang-up, we can literally track down who it was and call them back. It also allows us to accurately measure our advertising results, as well as track our sales ups. It is interfaced with our CRM software (CRS - Customer Retention Software) that downloads customers from our R+R system into Microsoft Access for our Business Development Center. From Hunter Systems, we have devices in the service write-up area that checks the alignment and gives computer readout of all cars simply by rolling over some grids in the floor. Most of my employees use PalmPilots, wireless headsets, and card entry doors that eliminate having to issue keys to employees.
I just visited your web site for Michael Chevrolet; it's very attractive, well-designed, and loads quickly. How do you get your new and used inventory updated daily?
The site is programmed to dial into the Reynolds + Reynolds system and update itself daily.
Who maintains your web site?
Sadly...it's me! Which is why I don't sleep at night!
Do you have an Internet sales manager or do you process the leads yourself?
I get the leads, give a quick response, and pass them along to the person who is responsible for follow-up.
Has your web site been effective?
As witnessed by the collapse in the majority of the .com companies, the Internet has truly turned out not to be the apocalypse we all had originally thought. Our experience is that for large ticket items, people still want to come to the brick and mortar businesses to purchase. It is, to a large degree, a method to price shop and get information. We sell 4-5 cars per month directly; God only knows how many are indirectly sold as a result, but the site does get lots of traffic.
Do you subscribe to any lead generators?
No, it's against my religion. If they want to be car dealers, tell them to belly up their entire net worth, put their butts in the frying pan, and do it like the rest of us! Why should I pay them to steer people to me that would have eventually shown up on my doorstep anyway?
Now that you have both ADP and R+R, what are your thoughts?
First, these systems are archaic, illogical and not very user friendly. I know a lot about computers and yet am unable to navigate around the R+R. They should move their platform to a networked PC Windows NT or 2000 based system with point and click icons and user-friendly help files on the system. They need some competition to raise their awareness like the imports did with the American manufacturers back in the 80s.
What technology do you think dealers still need?
Mostly technology that is relative to communicating with our customers. Why do most dealers pay outside companies to send letters to their customers? We should also have technology to track and measure our telephone efficiencies. I'd like to see phone pops with all customer info on every employee's desk. Then when a customer calls, everyone will immediately know who he is and his value to our company. We should have technology that allows us to track our phone ups like we track our walk-in traffic. Do you know how many sales calls we get a day and what happens to them? My people do.
Back To Table of Contents • Digital Dealer Home Page • e-mail
