TRUE CAR and ZAG Cyber Bandits, Parasites or Good for the Car Business?

Jim Ziegler asks...

I am hearing a lot of discussion about True Car and ZAG.  I continually scratch my head and wonder if  desperate dealers are doing the marketing limbo "How Low Can You Go?" 

Are we so bad at what we do that we have to line up and pay vendors to lose money? AND, who is giving these people access to your data that is used against you? 

 

Who owns these companies and what might be their ulterior motive?  Sometimes I ask questions to which I already know the answer. 

 

Am I wrong?


What do you think... JIM

 

 

Jim Ziegler's Guidance and Recommended Action Plan:

Ten Areas We Need to Concentrate on to Bring This Monster to It's Knees...

  1. Government investigation of ALL Data Aggregators taking consumer information from dealers' DMS. Sadly enough, dealers who do business with TrueCar are exposed to  liability charges. Cut off all access to unecessary data, no matter who takes it from the dealers DMS and make it illegal to "resell identifiable consumer data" and "transactional data".
  2. Educate Your Fellow Dealers; If anyone takes financial transactional data, they expose the dealer that allowed it to violations, especially if it is passed on to other vendors or shared.
  3. Educate Consumers to what they're doing with their information...
    a. You buy a car from a dealer, do you really want your personal information, and maybe even your financial information, passed along and sold and shared by "God knows who?"
    b. These People Charge the Dealer $300 which the dealers have to build into the deal
    c. Your Privacy and the Security of your Information could theoretically compromise your identity if you do business a company that takes data from the dealership.
  4. Educate Investors and potential investors they could possibly be mislead if anyone is telling them this is a safe investment because of all of the dealers pushing back, associations pushing back, and government regulators in many states coming after TrueCar's business model as NOT compliant, in some cases they're saying it is Not Legal.
  5. AMEX, USAA and all of their affiliates do not want the bad consumer relations this push back is creating with their members and customers.
  6. Cancel your dealership's Affilation with TrueCar. Tell people with TrueCar certificates that YOU don't honor TrueCar and you feel the company is NOT reputable. Educate consumers as to perceived data exposure if they buy from a TrueCar dealer. Make sure that each consumer knows that using TrueCar actually increases their vehicle cost by $300 to $400.
  7. Make the dealers selling at huge losses take all of those deals. Big problem right now is too many Nissan Dealers and others are taking huge losers to get the factory money. The TrueCar reverse-auction business model will continually push those numbers down until the factory money is non-existent. Consumers need to hear from many dealers, "We don't do TrueCar"
  8. Keep calling your National and State Dealer Associations demanding they get involved and stay involved... No excuses.
  9. Get the Manufacturers into the game. If GM, Ford, Toyota, and other majors change the rules about how we advertise and do business to protect the dealers, we can cut off their ability to set pricing. So keep it up at every dealer meeting. Call your Dealer Council Members and protest to your factory reps. Tell the manufacturers, if they want showroom and facility improvements, we need the ability to make fair profits.
  10. Tell everyone you know. Educate other dealers and industry people. Watch the Painter interviews... I believe this is the first time a vendor has publicly announced they intend to bring down the dealers and hijack our business, taking our profits and starving us out with our own data. Painter has said manufacturers and dealers should go bankrupt and he, in his God-like way "will control distribution..."
    When the TrueCar-Yahoo Deal kicks in we need to stand firm and "Just Say No" we don't honor TrueCar deals.

Read this article as a reference: http://www.autonews.com/apps/pbcs.dll/article?AID=%2F20110831%2FFIN... 

AND, if you doubt the mission... read this...  http://www.zag.com/websiteASSETS/whitepapers/ZAG-WhitePaper3.pdf

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Comment by Stick Bogart on November 30, 2011 at 7:56pm

Larry Muirhead Bogart here, post your video on my site  I will host it front and center.   call me 602-865-9382  LibriumMedia.com

Comment by Stick Bogart on November 30, 2011 at 7:51pm

Jerry  nobody  can get your video removed from our Video media site. I will post your video on my HOME PAGE FRONT AND CENTER Grant Cardone and the Alpha Dawgg  know all about my web site.  You have my number call me.

Comment by Michael Deville on November 30, 2011 at 7:24pm

Copyright infringement is using a Honda in the AD, to help their cause.

Comment by Keith Shetterly on November 30, 2011 at 5:59pm

KILL THE BEAST JERRY!  Copyright infringement.  That's all they got???  You did fair use on a product review of pages they put on the web; a decent 1st Amendment lawyer would hand them an embarrassing loss . . . then, again, how embarrassed they may well be already from tossing copyright infringement at you like Liberace threw a lace doily.  

Comment by Jerry Thibeau on November 30, 2011 at 5:52pm

Sorry I've missed the fun today, had a busy day.  So yes it's true, the folks at True Car had my YouTube video pulled.  See the message I got below:

Not to worry, I will make a better one and this one won't be pulled.

 

Kill The Beast!

Comment by Keith Shetterly on November 30, 2011 at 5:41pm

@ LARRY HAHAHAHAHAHAHAHAHAHAHAHAHA

Comment by Larry Muirhead on November 30, 2011 at 5:39pm

OUR ZAG REP JUST CALLED ME.  I WAS ACTUALLY WORRIED HE WAS GOING TO SHUT ME DOWN LIKE THE VIDEO THEY KILLED OFF.

Comment by Keith Shetterly on November 30, 2011 at 5:36pm

Pretty hot thread for the end of the month!  :)

Comment by Jim Kristoff on November 30, 2011 at 5:30pm

Another blog on the TrueCar subject........as it appeared on LinkedIn....

 

http://jeremyalicandri.files.wordpress.com/2011/11/truecar.pdf

Comment by Jim Kristoff on November 30, 2011 at 5:28pm

OR.......this part.......

 

Will NADA & the Auto Industry Step-up to the Plate?

In addition to the steps that could, in theory, be enacted by the manufacturers to stop TrueCar’s attempted commoditization and disruption of our industry, it’s also time for the manufacturers to let the dealers know, we don’t want you sharing information with TrueCar.  Manufacturers should be informing dealers to cease/desist the sharing of DMS information with TrueCar – information collection that is being assisted by DealerTrack (thanks to a recent equity deal). Moreover, NADA, should take a more proactive role in protecting the dealer network. Painter has declared his assail on new car dealers, and has raised over $200MM in the process, I think it’s time for the industry to take him seriously.

 

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