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The First Pencil

Kathi Kruse and Mike theCarGuy Correra

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Kathi Kruse and Mike The Car Guy Correra are best friends, with many many years of retail experience in the car biz. "We decided to get together and talk about the things that are important to us in the auto industry, and hope you’ll come along for the ride. We’ll cover auto industry stuff, dealership profitability, and digital platforms, all with a dose of humor and our love for 80s/90s music. Join us!"
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Many dealerships pour time and money into chasing likes, comments, and shares — but what happens when all that engagement doesn't move a single unit? In this episode, we unpack the myth that social media popularity equals sales success. Learn why focusing on vanity metrics wastes resources and how to shift your…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Let’s talk about the scary stuff—aka uncertainty. If you’ve been in the car business for more than a minute, you’ve seen your share of storms. We’ve weathered recessions, inventory shortages, interest rate hikes—you name it. And we’ll get through this round too. But seriously... can someone hit pause on the mad…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Marketing budgets are getting tighter, but the pressure to bring in leads hasn’t let up. In this episode, we break down how dealerships can stretch their marketing dollars further, cut the fluff, and focus on what actually drives traffic and sales. Whether you’re a GM, GSM, or marketing manager, you’ll pick up …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ What happens when beloved brands make moves that contradict their core identity? In this episode, we dive into Southwest Airlines’ quiet removal of its ā€œFirst Bag Flies Freeā€ policy and Elon Musk’s increasingly controversial influence on Tesla. From customer trust to brand erosion, we unpack how decisions at th…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ We are back from hiatus and Mike’s got a new job! Kathi shares a story to introduce today’s topic around customer experience. Mike tells us how one simple relationship turned into four car deals and counting. He also shares a pretty epic real-time 5 star review story from a dealership non-customer. Here’s the l…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ This week, we circle back to a subject that is near and dear to us: Google My Business, aka Google Business Profiles. These profiles are super helpful in local SEO/search and adding photos regularly is a best practice. SearchLab has just completed a car dealer study and let’s just say, the industry is losing ou…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Instagram's recent decision to remove the ability to search by #hashtags marks the end of an era for social media users. In this episode, we reflect on the impact of losing this once-powerful discovery tool. We also explore a growing trend among tech companies — prioritizing features no one asked for, while pha…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ How does a manufacturer create and sustain a vehicle brand that customers love? Kathi and Mike discuss manufacturer brands and re-branding (ie: Jaguar + more) and how others have fared in the past (from a dealer and dealership management perspective). Music: The Pogues: FairyTale of New York w/Kirsty MacColl Am…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike are happy that more dealers are talking about the power of video, even if it’s nearly 15 years after we began urging dealers to welcome it. Mike’s blog post: Sales Management by C.P.A. The Jam: About a Young Idea ā€œModern music, emphasis on Mod. The Who kissed by Motown with a dash of the Clash.ā€ …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi returns from a great Used Car Week conference and shares a few tidbits. Then, we spend most of our time discussing this trend of companies forcing their staff to share and promote their employer on their personal social media feeds…without compensation. Ed Zitron’s Web Summit Remarks: Ed Zitron - Why Are …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike take a detour from our regular topics to call out hate. Neither of us can stand what we witnessed at Madison Square Garden over the weekend and we feel we must speak up. Both of us were shocked to see a so-called automotive influencer on the stage spewing hate, whether or not he says he wasn’t do…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Both of us are sad. The open web is no longer and while it’s not just his doing, Google’s Head of Search, Prabhakar Raghavan was certainly the catalyst to its demise. Organic traffic as we know it is gone. Yes, posts and information from actual experts has been replaced by SEO spam, spam bots and the ā€œAI Overvi…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike discuss the latest issues with Threads’ AI moderation, which has gone ā€œCRACKERSā€ and rings the same bell as the experience Kathi continues to have with Facebook/Meta ads. We are tired of billionaire tech-bros. Social Selling is still a great way to generate your own leads. Classic Cars of Beverly…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ What did we do before social media to build a customer-centric culture? How did we get potential buyers to know about how unique the dealership was...and why customers should buy from us? Mike shares a real-life experience (that’s totally doable today) of surprising and delighting a customer so much that her co…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ We promised you an update in the ongoing Facebook ads issues that Kathi (and others) are having and while it’s utterly disappointing, you won’t be disappointed in the story/update. If you’re having ad issues, we’d love to hear from you. Then, the Wordpress framework runs over 40% of the world's websites (includ…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Not only are some dealers failing customers but they are failing themselves. The things we are witnessing now - the behaviors and lack of oversight - can only lead to trouble. We went a little long on this episode but it’s a subject that is near and dear to us as car people. Music segment: Everything But The Gi…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi shares her experience fresh from evacuating the horse rescue after the Airport Fire got too close for comfort. Then, we talk about the concerning data around car loan delinquencies, how we got here and what might be in store for banks, dealers and customers. Music segment: The Doors anniversary of getting…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ This week, Kathi and Mike cover the ground-shift that has happened and is happening with two of the largest companies on earth, Google and Facebook. Both platforms are under pressure to grow even bigger and all of us users are being left out in the cold, including millions of small business websites that have s…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Carrying the subject matter over from last week’s pod, Kathi and Mike cite examples where appreciation, recognition and specific training can go a long way for service advisors, who are the ā€œsalespeople in the service dept.ā€ Music segment: August 27th Anniversary of the B52s second album, ā€œWild Planetā€ Private …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ In this special episode, Kathi goes solo in a conversation with her long-time friend, Laurie Down, an amazing customer service manager (who is currently working as a successful Service Advisor). If you’re in the car biz, especially in Fixed Ops, you’ll enjoy hearing Laurie's real-time stories that reveal her cr…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ We explore the trials and tribulations of attempting to advertise with Facebook. Warning: the endeavor may make you cough with frustration (like Kathi). Then, we discuss dealership customer experience, particularly in the Service Dept. How are dealerships going to succeed in competing with independent repair sh…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike explore the advantages of email (hint: there are many) but only with a strategic, consistent approach. "Email blast" is a term we've all heard but it's effectiveness is dubious. Spamming has a totally different meaning today than it did even 2 years ago and it’s easy to waste resources. Let's do …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Do short skirts equal leads? Does hiring actors to pretend they’re employees send the right message to car buyers? Does anyone else think this trend is not worthwhile? (ie: Does it pencil??) Kathi and Mike discuss the poorly-conceived trend of dealers posting on TikTok and Instagram going for ā€œviralā€ clicks (wh…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ We miss Klout. Do you remember it? Social media nostalgia: it’s difficult to understand how we got here today, but boy, it sure used to be fun. Discussing fake followers and reviews: Fact - It’s always a bad idea. Highlighting Rand Fishkin’s insights on the decline of clicks, attribution, and traditional digita…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike share our insights on the latest of several disappointing changes to the Google Business Profile platform. Google Places > Google Maps > Google Local > Google My Business > Google has failed us all. Google has a new core update coming in a ā€œcouple of weeks.ā€ Let’s hope it corrects the myriad of i…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike talk about the micro-actions we take everyday on social and other platforms that provide value to others. Dealers tend to only care about leads and sales, which are uber important, but there are other metrics in mix that can guide where we spend our resources. Also, we are in the midst of an AI b…
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šŸ‘‰Get Kathi’s ebook: ā€œA Beginner’s Guide to AI for Automotive Retail šŸ‘ˆ This week, Kathi and Mike cover: The CDK fallout and who it’s falling on: updates on what’s happening in real time with the real people on the front lines Zero-Click Search: what it is and what it really means for anyone who isn’t a big brand. Google Business Profiles - are they …
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šŸ‘‰Get Kathi’s ebook: ā€œA Beginner’s Guide to AI for Automotive Retail šŸ‘ˆ At our core, we are car people. We are upset to witness what’s happening to our fellow car people at CDK dealerships. This fact is the driver for this week’s episode. While the CDK cyber attack is causing major disruption to sales, service and parts, there will be even more chall…
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šŸ‘‰Get Kathi’s ebook: ā€œA Beginner’s Guide to AI for Automotive Retail šŸ‘ˆ This week we chat about Kathi’s trip to Vegas for NIADA where she spoke about online reputation management. Then we share our thoughts on the CDK outage debacle and what it means for dealership personnel. (of course, the debacle was not over at the time of taping) Mike recommends…
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šŸ‘‰Get Kathi’s ebook: ā€œA Beginner’s Guide to AI for Automotive Retail šŸ‘ˆ Let’s talk about the recent changes Google is making to search. It’s a wild ride and it’s not at all over yet. Music segment: Siouxsie Sioux B-day Beach Boys documentary (thumbs down) 100 ft Wave documentary šŸ‘‰Get Kathi’s ebook: ā€œA Beginner’s Guide to AI for Automotive Retail šŸ‘ˆ Go…
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šŸ‘‰Get Kathi’s ebook: ā€œA Beginner’s Guide to AI for Automotive Retail šŸ‘ˆ Why women dislike service departments = Failure to meet their needs The National Institute for Automotive Service Excellence states that women represent between 65% and 80% of automotive service customers. This means the female customer experience is directly related to service d…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Beyond the obvious homage to Bon Jovi in this episode's title - in honor of the new Bon Jovi documentary - Kathi and Mike discuss the fallout/repercussions of the last 3-4 years of dealer markups. Of course the market often required markups due to supply chain issues and low inventory, but what comes next is th…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kindness is the oil that takes the friction out of life. It can also be the difference between you and the competition. Kathi and Mike share some real time stories about employees that have gone the extra mile, and in the process made themselves memorable. We also share some examples of what happens when poor m…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Spring is always a good time to review and reflect on what’s working for you, what’s not, and what needs more attention. Kathi and Mike share a few ā€œSpring Cleaningā€ stories and best practices at the dealership. Music segment: Alanis Morrisette on David Letterman: You Oughta Know Milli Vanilli documentary The b…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ This week, Kathi and Mike share insights on Rand Fishkin’s SparkToro’s website traffic sources study. Some surprises, great data. Then we talk about the valuable company assets known as social media business pages. It’s no longer simple or easy to retrieve them if you don’t have login credentials so we share ou…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ As we witness every social media channel changing and shifting, so goes the user experience and behavior on each one. Kathi and Mike try to make sense of the current state of social platforms, how to navigate the changes and what we can expect for the foreseeable future. One thing that doesn’t change? The need …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Mike gives us a breakdown of the goings-on at the National Automobile Dealers Association convention from his view as an exhibitor. As introverts, we both share certain traits (that are completely normal BTW) that make large groupings of people (like conferences, conventions) sometimes hard to navigate and are …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike are back with an episode to catch you up on what’s hip and what’s not in the world of using AI. We both come from dealerships so our perspective is different from that of a vendor’s. There’s a lot to learn and say about this exciting new tool but for now, here’s what we’re seeing as a practical w…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ The 2023 Cox Automotive Service Study reveals a significant shift in consumer preferences regarding vehicle service providers and customer experience. While dealerships historically led as the preferred choice, they are now facing increasing competition from general repair shops. This change is driven by a decl…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ We’re back after a short hiatus. Thanks for listening! In this episode, Kathi and Mike reminisce about their journey through automotive social media and online reputation management. Music: RIP Shane MacGowan/The Pogues FairyTale of New York (1988) The Dubliners and The Pogues (1987) The Irish Rover Here’s one …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Mike just got back from the Digital Dealer Conference in Las Vegas. We have thoughts. Twitter, the platform we’ve loved for 14+ years, is officially dead. While both of us are still there, we are down to about 5% of the amount we used to be. Many sane users have been looking for a place to go. We’ve tried most …
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ For some reason, Kathi and Mike have both been witnessing a lot of disturbing customer treatment lately. This week, we share a few stories and then discuss how that’s a losing proposition in today’s retail environment. Then, we discuss why it’s important to have a written social media policy and some training t…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ One of the most important parts of social media strategy is to monitor comments. It can be as simple as taking a few minutes out of your day to review comments and respond where appropriate, or advanced as using online marketing and data analytics tools. All of it will provide valuable insights into customer se…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ We can all agree that change is hard, right? It’s super easy to retreat into the comfort of old habits (we’re all guilty of it!). Change is often accompanied by uncertainty, discomfort, and even fear and so resisting seems like the easier route. But when we view large and small shifts as opportunities rather th…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ You should consider your social media profiles as company assets. Don’t run the risk of losing them by giving outsized access to vendors. You wouldn’t give a vendor keys to the store so they can work on the vending machine, right? Mike got a new mic! Music segment: The Cure Elvis Costello Got a question (or two…
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šŸ‘‰Sign up for Kathi’s newsletter herešŸ‘ˆ Kathi and Mike believe delivering the very best customer experience is crucial to dealership profitability. When it comes to selling cars, not all customers are created equal. Some approach the dealership with a lack of trust and the expectation of an adversarial buying experience. Sometimes, people are just sh…
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Kathi and Mike are car biz veterans. We strive to make the car biz a better place. Mike shares his less-than-5-star dealer service experience and as with all things dealership customer related, we are inspired to share content ideas for service dept personnel and the marketers who love them. Kathi shares her experience running the Hanaeleh horse re…
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Throughout this podcast, Kathi and Mike have shared techniques and tips on how to make social media effective throughout the entire sales process. It works well in building a pipeline, nurturing leads, giving and getting referrals and achieving sales goals. The more things change, the more they remain the same. You can’t close the sale without conn…
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Car prices are coming down and dealers’ vehicle supply is going up. The problem now is that loans are harder to come by. Millennials and Gen Z can’t afford their car loans and it seems to be getting worse. Delinquency rates on auto loans are hitting record highs: in May 2023, the number of severe delinquencies matched that of 2006, when Cox Automot…
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Now that many of us are starting from scratch on a few new social networks, Kathi and Mike discover that when you’re forced to start over with a clean slate, it’s easy to lose sight of the exceptional talents each of us have. ā€œStinkin’ thinkinā€™ā€ gets the better of all of us sometimes so we wanted to share our own tips and tricks for not letting imp…
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