Gross Deception: A Tale of Shifting Markets, Shrinking Margins, and the New Truth of Used Car Profitability

by Dale Pollak

Overview

A journey of discovering and correcting a hole in the used car universe.

Dale Pollak, innovator and leader of the automotive sales and management industry, will once again, have you rethinking how to manage the used car business. More than a how-to business book, Gross Deception is a story of finding a problem in the reliance on gross profit and the trials to create a solution. This thoughtfully written book not only shows you the trial and error of potential answers, but also how to apply the answer that culminated from years of work.

Referred to as ProfitTime, Dale's solution includes both the “New Math of Used Vehicles” and the “Investment Score” system, helping you to know the ROI and net profit potential of every vehicle.

With Dale’s ProfitTime solution you will:

• Invigorate your cash flow

• Increase your sales volume

• Introduce new metrics

• Initiate value-based management

• Identify market shifts

Through metric and methodology, Gross Deception will restructure how you view a car’s time on the lot.

Product Details

ISBN-13:	9780999242735
Publisher:	vAuto Press
Publication date:	02/04/2020
Pages:	208
Product dimensions:	5.50(w) x 8.50(h) x (d)

About the Author

Dale Pollak was born into the car business. His father started as an independent used vehicle dealer before owning a Buick-American Motors-Jeep-Renault dealership. After graduating from the Kelley School of Business at Indiana University, Dale joined the family business, as he and his father opened Pollak Cadillac.

Years later, during the rise of the internet, Dale founded vAuto and led his company to become the premier inventory management solution provider for franchise and independent dealers. He also pioneered the Velocity Method of Management®, which has been adopted by thousands of dealers. With those successes under his belt, Dale and vAuto joined the family of Cox Automotive, where he now serves as executive vice president. At Cox, he drives innovation across multiple divisions to help dealers increase efficiencies, sales volumes, and profitability. 

Dale has written four books, a best-selling series detailing the Velocity Method and Like I See It.

Table of Contents

Acknowledgments ix

Preface: Gross Deception and the New Truth of Used Vehicle Profitability xi

Introduction: A Second, Profit-Powered Wind for Dealers in Used Vehicles 1

Chapter 1 Margin Compression Leaves a Mark 9

Chapter 2 A Stretch of Serious Soul-Searching 15

Chapter 3 A Revelation: A Troubling Cost to Market Problem 21

Chapter 4 The New Math of the Used Car Business 31

Chapter 5 Balancing the New Math Equation 35

Chapter 6 Pushback on the Balanced New Math Equation 45

Chapter 7 Balancing the New Math Equation: From Hockey to Figure Skating 51

Chapter 8 A Question of Time and Money in Used Cars 59

Chapter 9 A Hole in the Used Car Universe 69

Chapter 10 Strange Bedfellows: Bananas and Used Vehicles 75

Chapter 11 A New Algorithm and a Holy S**t Moment 81

Chapter 12 A Composite of Investment Distress and Indifference 89

Chapter 13 Who's Going to Jump on the Grenade? 97

Chapter 14 A Trifecta of Insights to Make Investment-Smart Acquisitions 103

Chapter 15 The Makings of the ProfitTime Moniker 117

Chapter 16 Understanding the "Why" behind ProfitTime 121

Chapter 17 ProfitTime in Practice-Fixing Your Inventory Investment Inversion 133

Chapter 18 Parameters of Proper ProfitTime Pricing 143

Chapter 19 Attuning Your ProfitTime Pricing Strategy to Your Market 153

Chapter 20 A Quick Point on Platinum Vehicle Pushback 161

Chapter 21 Using ProfitTime to Make More Investment-Minded Acquisitions 165

Chapter 22 ProfitTime's Change Management Opportunity 173

Epilogue: A Broader View of ProfitTime in Progress-and a Promise 181

About the Author 191