Hello, there, it’s christian youngren, with kaizen automotive, consulting bringing you more best automotive practices.
In this edition, we’re going to show you how you can ask some sensitive financial information surrounding your guest trade-in, all in a natural organic way, by simply using your appraisal form now, if this is your first time to our channel, and you want to improve your automotive Selling skills learn how to use psychology to close more car deals and receive unbiased dealership vendor product and service reviews, make sure you go ahead and subscribe and then turn on the bell.
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I think it’s safe to assume that just about every dealership in the free world has some type of an appraisal form an evaluation slip whatever you want to call it that they use during this step in the automotive sales process.
Now, speaking of the appraisal, step in the automotive sales process, it’s an excellent opportunity to do several things now.
Maybe you remember, but a couple weeks ago we did a video on how to use the appraisal step to actually mold your guest perceptions when it comes to their expectations about what to expect for their trade-in now i’ll leave you a link to that above today.
I want to talk about how to use the appraisal step to ask some sensitive questions, some questions that may be considered taboo things you wouldn’t want to ask early on in the sales process.
However, at the appraisal, part of the sales process – it’s natural and it’s the right thing to ask – in fact, it would be silly not to ask these questions.
So what are some of these questions? Well, one of them would be the payoff now, as i’m filling out.
My appraisal form it’s it’s natural for me to ask how much their payoff is.
Have you checked on your payoff if, if they don’t know we’ll call and get the payoff, but that would be a natural time to ask for the payoff, an unnatural or a time that actually might be a turn off and a taboo time to ask that question? Would be early on in the sales process during the meet and greet or even the investigation or even the presentation i mean until we know the guest has selected a vehicle.
It’s really irrelevant at this particular point.
Another question i’d like to steer clear of prior to the appraisal.
Part of the process is the payment.
What are your currently monthly payments? You’re making now? I know some sales people out there like to know both the trade and they like to know the payment early on they’ve asked that as a investigative question.
Why? Because they don’t want to quote-unquote, put the guests on too much cars, so they’re, trying to quickly in their head calculate if there’s negative equity or if they’ve got some positive equity and then they’re.
Assuming that the guests, probably not going to want to go a lot higher than the payment they’re making or they’ll just flat out, ask the guests how much of a payment they want to make, which again, i think you’re going to get low balled and i think You’re going to set yourself up to to go ahead and chase a payment that the guest is asking you to be at, however, they’ve got certain needs and wants that they want on this next vehicle and trying to match those.
Two up can be very difficult.
So i’d much rather go ahead and just find out their needs and wants find the vehicle that i feel is perfect for them or they feel is perfect for them, because, let’s face it, they’re the ones, selecting it and then seeing how the payment lands there and Then using some different techniques to possibly find some different areas of budget to go ahead and help them find this vehicle and make this vehicle a little more affordable.
Another question i ask right after i ask the what type of payments are you making is gosh how’d? You get it like that now.
The reason that’s a great question is because you didn’t say guess: that’s a super low payment for that vehicle or gosh.
That’s a super high payment.
You just said: gosh how’d, you get it like that and then you can be quiet and let them go ahead and fill in the blanks they may say yeah.
You know, i know that is a pretty good payment on a ford explorer.
I mean 400 a month.
We thought was a really good good payment, but we went ahead and put 5000 down and we went to 72 months and we had a clear trade or they maybe they’re trading in we’ll say a ford focus and they’re making 400 payments on that.
So when we say how’d you get it like that they go.
Oh gosh, yeah, you know what i got divorced.
I had a bunch of negative equity because he or she stuck me with this vehicle, so i went ahead and traded it in and i just this is the only thing i can really get at that particular time.
So again you find out some pretty good information.
The next thing i want to know is when they purchased that vehicle, so how long ago was it and then you’d follow up depending on the answer with say, for instance, they tell you they bought the vehicle a year and a half ago guys she said gosh, You know i mean you’re in you’re, trying to trade fairly quickly.
Let me ask you: was there some life changes that made this vehicle? Just not fit your needs and wants anymore, or was it perhaps you just didn’t like the vehicle, so you find some good information out there.
The other question that you want to ask is when’s their next payment due now.
That’s just simply to know when they’re currently making their payments.
I guess, when they’re used to making that payment and plus, if they’re, making a 400 payment and the guests say maybe has 500 to put on well, they could possibly.
If they’ve got a payment coming in four or five days, they could put the payment of 400 down as well, so now they’ve got 900 and then maybe they just go ahead and just kind of cap it off with an even thousand.
So now we’ve got some money down when the guest only had 500.
Now we’ve got a little more down.
Did you buy it new or used another good question to know the answer to because you can follow it up with gosh? Is that the normal pattern? Do you guys normally buy new vehicles, or is that the normal pattern do you normally buy used vehicles – and you may know this already, but if you don’t it’s a great time to go ahead and i guess double check or just make sure you’ve got that info.
If they’ve got a new vehicle and they’ve never purchased new in the past, and i definitely want to make sure i tell them about what i call the peace of mind, package peace of mind, package i’ll, go ahead and leave you a link to that video we’ve Got a video above here i’ll put: that’s got an answer to that, but the peace of mind package is simply the full warranty.
So, for instance, if we’re talking about maybe a forward chevy um, a three or thirty six thousand mile warranty, i think the ford’s got a five year, sixty thousand mile powertrain warranty and it’s also got a five year.
Sixty thousand mile roadside assistant package, and while these warranties are valuable, they’re, not free, they come with the vehicle they’re part of the price of the vehicle so to to go ahead and show value.
We need to make sure they know about those, because, if they’ve always bought used in the past, they probably bought, as is or with some limited warranties.
Now, if they’re moving over to use for the first time, we definitely want to make sure that we don’t already know this.
We want to make sure that they’ve got some peace of mind about that used vehicle.
So we tell them about type of warranty that is available on that vehicle or that you offer on that vehicle or at least the inspection process and how that vehicle was looked at.
So they feel like it’s a sound vehicle and it’s going to go ahead and last another question: that’s a great one to ask is how much did you finance? Do you remember how much you financed last time and the reason why again, that’s a good question to ask is if there’s been four or five years since they purchased that vehicle, the payoff may be less or your hope is to pay off a lot less than The original amount financed, however, the original amount financed is good to know because say, for instance, they are making payments of 400 a month on a 2500 amount financed.
Well, after you present the figures, and you come to the conclusion that they’re roughly going to finance around 40 000 on this vehicle for them to expect another 400 payment is kind of going to be something.
That’s not going to be in the realm of possibility right.
The law of mathematics just is going to win out and it’s going to be difficult for you to fit that square peg into the round hole.
I mean again, you can’t fight the law of mathematics in some situations.
Now.
The last question that i like to ask the last couple questions i like to ask center around to help set me up for some different closes and help find some different ways to maybe find some budget for the guests, so they can go home in the car.
They really want so one of those questions that i like to ask to help set me up for another close would be what have you done in the last 12 to 24 months, maintenance wise to the vehicle repairs to the vehicle, and the reason for that is Because i want to be able to possibly do a maintenance close, which will help me find a little bit more budget for the guests, and that way they can afford this monthly payment on the current vehicle they’re looking at, and then i want to ask about fuel Economy, are you happy with your current fuel economy now most guests, even if that isn’t the overriding factor of why they’re purchasing this vehicle? It’s still important, i mean who doesn’t want to get a vehicle that’ll help fit their needs say.
For instance, i want a truck because i want to build the haul things in the back and i want i want to have a truck because i just think it looks cool and it’s one of those things that i think the style and appearance is nice.
Well, i’d still like to get good gas mileage, so knowing those types of things what we can do is set ourselves up for a gas mileage close and that will help find some more dollars in their payment and find some more dollars in their monthly budget.
I’ll leave links to both of those payment closes up above.
I think it’s all actually on one video, so i’ll just leave it above.
The very last question i’d like to ask is just a simple one that you may have already asked earlier in the process, but it’s kind of a double check.
So it’s something that i like to ask at the very very end, and that is, would you buy it again? Why why? Why not good question to ask good information to know so a lot of people ask that as an open-ended investigator question – and maybe you did, but if you haven’t asked, is a good time to ask right now: well there you have it how to gain some sensitive Financial information about your guests trade-in, while picking up a few pieces of information that could help you with some different clothes, some ways to find money in their budget that maybe they didn’t think about that way.
They can go home in the car.
They really want.
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