en???gauge

Plug into the Matrix

winter 2002

Maximizing Matrix

Tools for ASMs

Setting the Standard

Center of Success

Everyone Wins

University of Toyota mission???focus on continuously improving associate and dealer performance through lifelong learning.

Customer-Focused Lifelong Learning

Each new model introduction opens the door of opportunity for building relationships with a new generation of Toyota customers. Accordingly, the imminent launch of the 2003 Matrix underscores the importance of ensuring that every Toyota associate has the skills to address the many needs of our customers.

A new model launch also points to our University of Toyota mission, which focuses on continu- ously improving associate and dealer performance through lifelong learning. To achieve this mis- sion, we provide learning that addresses business needs, measures results, supports individual growth and is accessible. The key to each of these learning elements is providing all students with exceptional value for time spent in the classroom. That value is derived from supplying new skills that can be taken back and used at your dealership. These skills improve how you do your job as well as enhance your ability to understand and address the many needs of your customers.

This issue of en???gauge features three new one-day ASM courses, each with a distinct customer focus in approaching specific steps of the service process. To ensure this customer focus and meet the distinctive educational needs of ASMs, the courses were developed with input from Toyota customers, dealer associates and field personnel. Each course emphasizes relevant ASM skills such as: interpersonal, organizational/time management, communications and customer-

FEATURES

11ASM Tools

The University of Toyota intro- duces three new courses designed specifically to provide ASMs with the tools they need to enhance communications, maxi- mize their time and boost sales.

focused selling.

The bottom line is that education pro- vides ASMs with tools that make their job easier to do and more rewarding. Improving the ASM???s efficiency and productivity also improves the entire service process, which

enhances the customer???s experience and

increases overall customer satisfaction.Bryan Bergsteinsson I urge all ASMs to take advantage of

DEPARTMENTS

Programs

14Setting the Standard

Image counts. Here are some easy ways to impress your cus- tomers and build enhanced customer satisfaction and retention.

16You???re Invited to???

The ???Toyota Thanks You??? Event is a program dedicated to increasing customer loyalty and retention while boost- ing dealership profits.

18Body Shop Bananza

Toyota Certified Collision Centers solve staffing shortages by connecting with grad- uates of a promising new training program.

skills at the recent 2002 Camry Walk- around Competition.

Special thanks to Gibson Musical

Instruments for loaning en???gauge

magazine

Les Paul Studio guitars for use in this edition.

1

these new opportunities to hone your skills and develop your talents. And I encourage every Toyota associate to renew your per- sonal commitment to continued profes- sional growth through lifelong learning. Whether it???s improving our skills through

a new course or the lessons that can be learned from each new customer who walks through the door, lifelong learning is some- thing we should all be thinking about???and

can benefit from on a daily basis.

Bryan Bergsteinsson

Group Vice President,

University of Toyota

continued from page 4

the Matrix is only the beginning. Built for active lifestyles, the Matrix offers standard seating for five and exceptionally versatile utility. The front passenger seat and the second-row seats fold flat to extend storage capability, creating an expansive cargo area. A standard cargo floor sliding track system will let Matrix owners load and unload with ease. Cargo nets are standard too, further maximizing storage versatility. In addition to the adapt- ability and capacity of an SUV, Matrix also provides the interior space, head room and comfort of a five-passenger vehicle.

POSITIONED TO PLEASE

???Our objective is to build an aggressive position for Matrix as a ???category buster??? that???s distinguished by three distinctively targeted

model grades,??? says Mary Rose, National Manager, Vehicle Operations Car Group, Toyota

Motor Sales, U.S.A., Inc. ???Forty-seven percent of buyers will be young families wanting the affordable utility offered by our stan- dard grade. We anticipate another forty-four percent of buyers to select the more expressive, well-appointed Matrix XR, which tar- gets young couples who lead an active lifestyle and want a vehicle that reflects their personality.???

The sportiest of the Matrix models, the XRS grade, is expected to attract a significantly larger percentage of singles and males than the other two grades. With a more spirited, aerodynamic appearance, it features color-keyed front/rear spoilers and side rocker panels, ground- effects styling, and 17-inch wheels and tires. Definitely trendsetting and a head-turner, the XRS is targeted to entice approximately nine percent of Matrix buyers with its fun-to-drive, powerful personality.

Beyond the broad array of emotions, images and personalities pre- sented by the trio of model grades, this versatile vehicle offers buyers even more opportunities to select the Matrix configuration that suits them best. For example, the standard and

XR grades will be offered with a choice of either front-or four-wheel drive; and either a five-speed manual or electronically con- trolled automatic four-speed transmission.

The standard Matrix engine is the 130-horsepower four-cylinder found in the Corolla, featuring Toyota???s VVT-i (Variable Valve Timing with intelligence) technology and Ultra Low Emission Vehicle (ULEV) certification. The front-wheel drive Matrix XRS shares the same six-speed manual transmission and VVTL-i (Variable Valve Timing and Lift with intelligence) engine that???s in the Celica GT-S, producing 180 horsepower at 7,600 rpm and 130 lb.-ft. of torque at 6,800 rpm.

> The Dimensions:

2003 Matrix

???The Matrix also establishes a strong Web pres- ence on interactive music-oriented sites,??? contin- ues Higgins. ???The sites include a virtually seamless interface to our music/video mixer site, helping to increase awareness and capture consumer contact information. Street marketing teams dispatched to locations like concerts, clubs and college campus- es further enhance awareness, where we can dis- tribute Matrix information and our Web address. We also ran a high action pre-launch commercial announcing Matrix on 6,000 theater screens across the country, again with a goal of driving people to our Web site.???

In addition, Matrix was the official vehicle for the 2001 Gravity Games in Providence, Rhode Island. This year???s event featured 250 athletes from 17

countries, competing in 16 extreme events includ- ing street luge, wakeboarding, downhill skate- boarding and freestyle motocross. Toyota???s event presence included on-site access to the Matrix micro-site. Moreover, an edited version of the Matrix theater video was featured on NBC broad- casts of the Gravity Games.

If you happen to pick up a copy of the Sport Compact Car magazine this month, you???ll find Matrix???in all its modified splendor???on the cover. This decidedly accessorized Matrix was on display at the fall SEMA (Specialty Equipment Manufacturer???s Association) Convention in Las Vegas, Nevada. Look to the article, ???Maximizing Matrix,??? for available accessories and features of the Matrix. e

Distinctive and

futuristic, the

interior and

exterior design

of the Matrix

projects an

unquestionably

youthful image.

2 0 0 3 T O Y O T A M A T R I X

Maximizing

Matrix

Built for active lifestyles, the Matrix is remarkably versatile with many exciting accessory options to choose from. It???s an entirely new breed of vehicle that combines sleek styling with multipurpose functionality and is customizable to individual tastes. In other words, the Matrix is whatever you want it to be.

Attention sales consultants, ASMs and parts specialists: The Matrix??? rear cargo area was specifically designed to accommodate a variety of accessories that complement the active lifestyles of young Matrix buyers. Take a look!

THE MATRIX TRACK SYSTEM

The new Track System was developed especially for the Matrix and offers a wide array of opportunities for accessorizing. Special tracks span the floor of the cargo area and travel up the back of the rear seats. When the rear seats are folded flat, the tracks are also flat, maximizing the vehicle???s cargo area and utility. Tie-down knobs ease the transition from one accessory configuration to another. Available accessories include:

???Cargo Net. Don???t you hate it when your stuff rolls around while you???re driving? The Cargo Net is your answer???it???s easy to install and even easier to use.

???Rear Seat Storage Bag with First Aid Kit. Saddlebag storage pock- ets attach to the back of the rear seats. One side comes with a Toyota first aid kit. The other large pocket provides additional stor- age. It attaches to the Matrix Track System for ease of installation.

???Pet Screen.* Perfect for those days when you want to keep Fido in his seat, this screen attaches to the Matrix Track System for easy installation.

???Removable Tailgate Table.* This multifunctional platform can be used in the vehicle as a cargo tray attached to the Matrix Track System, allowing it to slide in and out for assistance in loading or unloading (100 lb. capacity). The cargo tray has built-in tie down knobs and spider net to keep your valuables in place while driving. It converts into a table; simply remove the

tray and attach the legs. In seconds you have a table with four built-in drink holders.

It???s perfect for picnics, tailgating, hobbies and anything else

you can think of.

Note:* Additional accessories are being explored to take advantage of the Matrix Track System and

may differ from pictured.

continued on page 10

>

continued from page 9

> An Ashtray is available as a dealer-installed accessory for cus- tomers who want the convenience of a built-in ashtray that com- plements the dash.

The Auto-Dimming Mirror helps regulate the effect of oncoming lights from the rear to enhance

driving comfort, safety and con- venience. In addition to the auto- dimming feature, the mirror dis- plays the outside temperature digitally.

Both Carpeted and All-Weather Floor Mats featuring the Matrix logo help protect the original car- peting. The Carpeted Mats are color-coordinated and have an aggressive ???nib??? underside and internal stiffeners for optimum durability. The rugged All- Weather Mats, constructed of heavy-gauge rubber, are designed for owners who work hard and play hard. The deep rib- molded configuration helps trap mud, snow, sand and dirt, and the non-skid backing with posi- tive retention clip helps prevent the mat from slipping.

Front-End Masks provide a sporty look and help protect the

Heavy-duty and dirt-blocking Mudguards help protect rocker, door and quarter panels from splatters, as well as damage from road debris. Durable, resilient molded rubber construction helps retain shape for lasting good looks and vehicle protection.

A Rear Bumper Protector helps prevent the bumper from nicks and scratches when loading and unloading cargo at the hatch area.

For increased security, the

Vehicle Intrusion Protection (VIP) RS3200 Security System is full- featured and affordable, offering peace of mind and added con- venience. With the immediate sounding of the horn, the system discourages intruders in the attempt of forced entry. The remote transmitter provides effortless keyless operation by arming/disarming the system, door locking/unlocking, a Glass Breakage Sensor (GBS), a trunk release, a starter disabler and more. (The RS3200 Plus is available when the factory remote keyless entry system is already installed.)

Wheel Locks help discourage theft of alloy or steel wheels. They feature a channel/cut lock

A simulation using Lego trucks and toy parts helps to illustrate time management decisions and how these decisions will affect the day.

ASM Tools

vehicle???s finish from chips,

scratches and minor road debris. Distinguished with the Toyota logo, Front-End Masks are constructed of top-grade leather-grain vinyl and have a soft backing to retain a smooth, wrinkle-free fit.

pattern and matching key. In

addition, they???re weight-balanced and specially designed for the vehicle. Their hardened steel construction features no moving parts and triple nickel-chrome plating. e

Using a game board with the option of fol- lowing two different paths demonstrates that foreseeing possible obstacles at the begin- ning of the day will help prepare you to make good time management choices and decisions.

The ASM???s ???To Do??? list is, without a doubt, an awesome one. Everything from taking care of a long line of waiting customers early in the morning to exceeding each one of those customers??? expectations in the afternoon is the responsibility of the ASM.

To make their job easier, the University of Toyota has recently developed three new courses designed specifically to help ASMs complete all their tasks and exceed the expectations of both their management and their customers.

???In addition to a multitude of daily tasks, an ASM must also meet the ever-increasing requests of their customers,??? says Sharon Whitson, Fixed Operations Curricula Development Senior Administrator, University of Toyota, Toyota Motor

Sales, U.S.A., Inc., Torrance, CA. ???These new courses are specifi- cally tailored for the ASM, with each course focusing on a par- ticular aspect of the ASM???s job.

continued on page 12

>

New ASM Courses at a Glance

To provide maximum flexibility in scheduling, each of the following three new courses has been designed for independent delivery, none assuming the others as prerequisites. For more information, check with your District Service and Parts Manager or regional office.

Course I: ASMs in the

Service Process

This course is an overview of the 7-step service process. Through activity-based, small-group role-plays, ASMs interact throughout the day and practice these skills:

[1]Writing repair orders that

meet the needs of the customer and technician

[2]Managing multiple customers

[3]Explaining repairs and their cost to the customer, ensuring the customer clearly understands the service provided

[4]Communicating effectively with customers and internal team members

Course II: Managing

your Workday

This course focuses on the ASM???s time- related challenges. It offers unique hands-on, group decision-making activi- ties which parallel the daily time man- agement challenges of the ASM at each step in the service process, such as:

[1]Tracking appointments and vehi- cle status throughout the day using a production schedule

[2]Pre-planning and prioritizing each day???s activities at the end of the previous workday

[3]Dispatching work based on latest start time

[4]Monitoring work in progress in order to secure customer authori- zations and meet promise times

Course III: Customer Focused

Service Sales

This course focuses on selling in a con- sultative way to help meet the needs of the individual customer and increase sales. The students will participate in a variety of role-play activities and prac- tice customer-focused selling skills by:

[1]Identifying appropriate sales opportunities at each stage in the service process

[2]Using the LACE communication technique to understand cus- tomer needs

[3]Learning to effectively use the Toyota maintenance schedule, dealer service menus and vehicle history files to identify mainte- nance needs

[4]Following up after service to en- sure customer satisfaction while also reminding customers of maintenance recommendations

12 en???gauge

en???gauge 13

departments

programs

Setting the Standard

Simple Steps for Big Results

Interior Protection Products

Items such as steering wheel covers, merchandise bags and seat protectors can be purchased from Plastical Industries at 1-800-527-6283.

Distinguish yourself from

Consumers form impressions when they visit a business establishment. They notice

the ???big??? things???the way they???re treated, the merchandise and the prices. But they also notice ???smaller??? things, like the appearance of per- sonnel and the attention to neat- ness and care. Yet, these smaller things aren???t small; they can have

a significant impact on customers??? perceptions.

This is particularly true in the automotive industry where cus- tomers are entrusting perhaps their most prized possession to a dealer- ship for service and parts.

Customers want absolute profes- sionalism from the people serving and performing the work for them. Here are three easy ways to instill confidence and brand recognition to help keep your service and parts customers coming back to your dealership.

Technician Shirts

and Pants

Dressed for Success

To purchase dress for success clothing, contact Automotive Marketing Associates at 1-888-242-7636.

SAFEGUARDS FOR SATISFACTION

Using vehicle protection products during service work increases cus- tomer satisfaction and retention. Toyota Interior Protection Products (TIPP) are designed to protect vehi- cles from accidental spills and

scrapes, as well as tracking in dirt and even leaving fingerprints. Imprinted with the Toyota logo,

these products also enhance brand identity, something clear plastic articles can???t

aftermarket outlets that may not have a cohesive look and image.

>Dealer

Daily, Parts and

14 en???gauge

ASM Shirts

and Pants

provide. Seat protectors, floor mats, steering wheel covers, Toyota parts bags

for use in your retail parts center, and more are available.

The products and a descriptive brochure are avail-

able from Plastical Industries at 1-800-527-6283.

COMPREHENSIVE VEHICLE INSPECTIONS

Another excellent way to instill trust and customer retention is to conduct service clinics and use the Toyota Quality Inspection Form, available from the MDC (M/N 00422-quali-inspe). This handy tool makes it easy for ASMs and technicians to deliver consis- tent Toyota service quality.

DISTINGUISH YOURSELF

These products are proven opportu- nities to enhance customer satisfac- tion and retention as well as brand recognition. Distinguish yourself from aftermarket outlets that may not have a cohesive look and image. Take these simple steps to impress your customers now! e

Service

Marketing

Directory

For more information, visit Dealer Daily, Parts and Service Marketing Directory. You???ll find descriptions of all pro- grams available to dealers to increase sales, prof- itability, and customer satisfaction and retention.

en???gauge 15

departments

programs

THE ???TOYOTA THANKS

YOU??? EVENT AIDS IN

DEVELOPING DEALER-

SHIP AND CUSTOMER

RELATIONSHIPS BY

EDUCATING THE

DEALERSHIP AND

CUSTOMERS ALIKE.

You???re Invited to???

???increase service and parts business, boost repeat and referral vehicle sales, build customer loy- alty, improve overall profitability and distinguish your dealership presence in the community.

new-owner event attendees visiting the dealership at least once verses 71.5% of non-atten- dees. At the dealership level, these statistics are transformed into tangible, rewarding experi- ences that welcome new own- ers into the Toyota family and build customer loyalty.

Michelle Drapeau, Toyota Events and Recognition Manager, Toyota Motor Sales, U.S.A., explains:???For customers, the event makes it clear that the dealership remains commit- ted to them even after the sale. For dealers, it???s an opportunity to tell customers,???Thank you for your business,??? and to create a foundation for a trusting rela- tionship that will encourage new owners to return.???

WHAT ARE YOU WAITING FOR?

each product sold; it is also the dedicated employees commit- ted to dealership excellence.

The ???Toyota Thanks You??? Event aids in developing dealership and customer relationships by educating the dealership and customers alike. So if you are eager to increase profits and repeat customer business, look no further. The ???Toyota Thanks You??? Event does just that!

Interested? Please enroll online today on the www.toyotanewownerevent.com website or via Dealer Daily, www.dealerdaily.toyota.com. Click on ???News and

> Testimonials

???We???ve had new car care clinics here for about twelve years, but the ???Toyota Thanks You??? program has definitely elevated our presentation to a higher level. We use all the materials???from invitations, signage and posters, to name tags, tracking reports and the opening video. Customers are definitely impressed with the presentation and always learn something new.???

Theresa Keenan Male

Customer Relations Manager, Metro Toyota,

Cleveland, Ohio

???This program is extremely user-friendly and can be easily modified to suit individual dealership personalities. We???ve been using the program since we opened a year ago and it???s an excellent way to build customer loyalty. We strive for the cozy small-town garage, independent shop atmos- phere. This is a tremendous venue for actually demonstrating that to our customers.???

Ed Meyers

Parts and Service Director, Tracy Toyota,

Tracy, California

???We recognize this program???s value to our guests and appreciate the support that Toyota provides. This event gives a large dealership like Longo Toyota a small-store feel and enables one-to-one interac- tion between our managers and our guests. The event is a lively, informative and fun experience that

WE???LL SHOW YOU HOW!

The ???Toyota Thanks You??? Event is a program dedicated to informing, engaging, acknowl- edging and thanking each cus- tomer for buying a Toyota. The objective is to ensure and main- tain customer loyalty so new and Toyota Certified Used vehicle

buyers will continue returning to your dealership for all their auto- motive accessories, services and repairs. To introduce dealers to this program,Toyota has created a comprehensive event kit that includes: an event planner with fully-scripted presentations and visual aids that dealers can cus- tomize to their markets. Customer invitations and monthly Web-based reports are part of the base program. Toyota further supports dealers by mail-

ing invitations to owners of new and Toyota Certified Used Vehicles. The 90-minute pro- gram contains four components:

???Great Service covers Toyota???s superb warranty coverage and vehicle maintenance and service requirements.

???Competitive Prices advo- cates the value your dealer- ship embodies by comparing services and prices with local competitors.

???Toyota Quality demon-

strates reasons why cus- tomers should choose the quality, fit and finish of Genuine Toyota Parts over aftermarket parts and offer a tour of the Toyota Parts Center, if applicable.

???Helpful People emphasizes the ability and experience the service department and technical staff have through service demonstrations on actual vehicles.

THE RESULTS ARE IN:

The distinction between other car dealerships and a Toyota dealership is not only the unsurpassed caliber of quality, value and innovation in

Information,??? then click on ???Web Sites??? under the ???New Vehicles??? tab located at the top of the screen or call Program Head- quarters at 1-800-783-2021. e

demonstrates Longo???s and Toyota???s commitment to build lifetime relationships with Toyota owners.???

Tom Rudnai

Vice President and General Manager, Longo Toyota,

El Monte, California

???Many dealerships want to invite new owners back, but may feel the administration is too much work or the presentation aspect too difficult. The ???Toyota Thanks You??? program does it all for you in a highly professional manner that turns every new-owner event into a special occasion. In fact, once a dealer signs up for the program, all they have to do is get the tables and chairs, make sure someone orders the food and decide who???s going to talk about

Event Kit Includes:

An event planner with fully-scripted presentations and visual aids that deal- ers can customize to their markets. Customer invitations and monthly Web- based reports are part of the base program. Toyota further supports dealers by mailing invitations to owners of new and Toyota Certified Used Vehicles.

From a national standpoint, event data yields impressive statistics. First-year event totals resulted in 84.4% of Toyota new-owner event attendees vis- iting the dealership at least once as compared to 56.4% of non-attendees. Second-year results were 94.6% of Toyota

what. Moreover, the kit itself is a great value. For example, compared to what you could get with other direct mail companies, invitations are mailed first-class with a professional appearance at a low cost. And the dealership is provided invitation lists by salesperson to facilitate follow-up. You couldn???t find this kind of value anywhere else.???

Jamie Fox

Cincinnati Region Service and Parts Business

Development Consultant, Cincinnati, Ohio

departments

programs

>Reaching Out to High Schools

While the UTI/Toyota Collision Repair Technician Training Program targets high school graduates, Toyota is also col- laborating with high schools to deepen the pool of entry- level employees. As part of the Automotive Youth Educational System (AYES), Toyota is encouraging bright students to pursue careers in automotive technology. The program provides a frame- work for dealerships to work with local schools and stu- dents in a collaborative set- ting. For more information, visit www.ayes.org to see how your dealership can begin tapping the next gener- ation of technicians today.

Body Shop Bonanza

Taking care of Toyota collision repair customers

certification in Damage Analysis and Estimating. They also are ASE-certified in the following areas:

[1]Paint and Refinishing

[2]Non-Structural Analysis and Damage Repair

[3]Structural Analysis and Damage Repair [4]Mechanical and Electrical Components

FIVE YEARS IN ONE

The program is intended to provide benefits to both participants and to the dealerships that hire them.

Graduates start their career armed with a solid and practical education. ???It is estimated that in the one year students are at UTI, they gain what it would take them five years to learn if they were

simply working in the field,??? according to Rick Jazwin, Director of Industry Develop- ment, UTI. Students will receive training in Toyota-specific courses and work on Toyota vehicles using Toyota-approved equipment. All instructors teaching Toyota courses are ASE-certified in the specialty they teach. In addition, instruc- tors teaching Toyota-specific courses have successfully com- pleted training at one of Toyota???s training centers.

For their part, dealerships get the opportunity to hire skilled employees who have complet- ed a comprehensive curriculum and are I-CAR-and Toyota-certi- fied. In addition, dealerships can use hired I-CAR-certified graduates toward their I-CAR Gold Class rating.

Although training is provid- ed at UTI???s Houston campus, participating students seek employment in a variety of markets throughout the United States. Toyota funneled

the program???s initial graduates to participating Toyota Certified Collision Centers. This pipeline of excellent employment candidates provides another compelling reason for dealership collision repair facilities to become certified.

If your collision repair center is not yet certified, now???s the time to get started. If it is already a Toyota Certified Collision Center, the UTI/Toyota partnership provides an excellent opportunity to solve your staffing needs. To get more information on the Toyota Certified Collision Center program, please call (310) 974-5553.

For information about hiring a UTI graduate, contact Steve Sweet, Toyota Technical Education Network Field Operations Supervisor at (310) 974-5551. e

New program

builds pipeline to

skilled entry-level

employees

Faced with a serious shortage of skilled entry- level collision repair technicians, many Toyota

dealerships are turning to a new source to

meet their staffing needs. The first graduates of an innovative program between Toyota and the Universal Technical Institute (UTI) recently started careers at several Toyota Certified Collision Centers after a 51-week training course.

The Toyota/UTI Collision Repair Technician Training Program features a comprehensive cur- riculum at the state-of-the-art Houston campus. Graduates complete a series of 16 I-CAR courses in addition to Toyota-specific classes.

???We???re very excited about our partnership with UTI,??? says Rick Lester, Dealer Fixed Operations

Personnel Development Manager for T-TEN. ???It represents a major step forward in meeting the need for highly skilled and highly trained techni- cians for Toyota and Lexus dealerships in the colli- sion repair industry.???

UTI, which has produced skilled automotive graduates since 1965, collaborates with nine auto manufacturers at 22 campuses and facilities across the country. To attract high-quality candidates, UTI representatives recruit students from more than 8,000 high schools in the U.S. including Alaska and Puerto Rico.

UTI???s Toyota collision repair training takes place in a recently upgraded 60,000-square-foot facility. Students earn Automotive Service Excellence (ASE)

Interested in a proven strategy that will make your dealership???s collision repair shop more effi- cient, profitable and customer-friendly? Make it a Toyota Certified Collision Center.

Access to promising entry-level graduates through the UTI/Toyota program is just one of certification???s many benefits. Results from cen- ters after certification show several other tangi- ble advantages, including:

Increased labor and parts sales and profits:

Labor gross profits jumped an average of 8.6% while parts gross profits rose 8.3% at certified centers.

Enhanced body shop financial performance:

Paint and materials gross profits increased 15.2% while overall net profits soared 27.5% at certified centers.

More customer satisfaction: Customers rated quality of service and repairs higher and were 10.4% more likely to recommend the center after certification.

The Toyota Certified Collision Center designa- tion increases a shop???s chance to capture busi- ness that otherwise would go elsewhere. It also increases customer confidence in repairs due to consumer recognition that certification ensures a commitment to excellence.

Toyota certification begins with a two-day on- site evaluation and consultation followed by a detailed financial and operational business analysis as well as a review of management practices, production procedures and marketing strategies. Certification also includes:

???Customized vendor support focused on your shop???s needs

???National marketing exposure to major insurance companies

???Regional roundtable meetings and workshops

???Detailed monthly report of key body shop indicators

???Eligibility for co-op body shop advertising

???Follow-up on-site visits by Toyota consultants

???Toyota Certified Collision Center signage and marketing materials

???Monthly CSI tracking and reporting

???Eligibility for Toyota Production System installation and licensing

???To get the certification process rolling, call (310) 974-5553.

Toyota service customers say dealerships do many things well. That???s the good news; however, there are several areas that still need to be improved, according to a recent survey. Customers

waiting too long to be served and ASMs failing to properly explain repairs are examples of two critical concerns that carry major impli- cations for Toyota service departments. Customers??? satisfaction with service departments has a strong impact on their future intention to purchase or lease vehicles of the same make from the same dealer. Overall, Toyota dealerships faired well in the 2001 J.D. Power and

Associates Customer Satisfaction Index (CSI) Study. Toyota???s rank im- proved five positions over last year, up to 19th place overall in 2001.

But the study revealed several opportunities for dealership improve- ment. While maintenance scores climbed, Toyota???s repair index results dropped mainly due to customer perceptions about dealership user friendliness and service quality. Many customers also cited disappoint- ment with the service initiation process.

The J.D. Power survey provides only a snapshot of Toyota dealerships, but the results are worth studying by individual service departments.

Determining whether the areas of concern apply to your dealership???and taking steps to rectify them when they do???is the key to earning lifetime customer loyalty. A proactive approach to consumer concerns will increase customer satisfaction and ultimately boost dealership profitability.

With a growing number of Toyotas on the road, dealership service departments will enjoy increasing demand in coming years. Taking a hard look at your department through your customers??? eyes will allow you to meet that demand while providing the satisfaction your cus- tomers deserve. e

User Friendliness

In addition to dealership personnel friendli- ness, this category includes whether dealer- ships show consideration for customer time. It also covers fairness of charges and whether dealerships value their customers. A dealer- ship???s respect for customers??? time and appreci- ation for their business are not taken for granted by today???s customers. They want to see and hear it from the dealership through- out the service process.

Service Initiation

This covers the amount of time customers spend waiting to speak to someone and whether dealership personnel see customers within a reasonable amount of time upon arrival. Imagine today???s hurried and time- constrained Toyota customer anxiously tapping her foot waiting to talk to an ASM.

Service Quality

This includes the thoroughness dealerships show in filling customer requests along with the availability of parts for service. The old rule of ???under-promise and over-deliver??? applies here.

Service Advisor

This crucial part of the customer experience highlights whether ASMs treat customers with courtesy and respect. Did the dealership fulfill all commitments made to customers? Customers also raised questions on how well ASMs clarified customer needs and whether they advised cus- tomers about their service needs.

In-Dealership Experience

This category covers dealership comfort and amenities and how they affect how well dealerships enable customers to spend time while vehicles are serviced. Good customer interface is crucial, but what about your wait- ing rooms? What do they say about how highly you value your customers??? time and business?

ASM Handling Skills

As the most visible members of service departments, ASMs hold the keys to customer satisfaction. Successful ASMs treat customers with respect, fulfill commitments and clearly address customer concerns and questions.

Extensive ongoing training is available to help ASMs perfect cus- tomer-handling skills through the University of Toyota, including a series of new ASM courses. In addition, Toyota continues to encour- age dealerships to emphasize the importance of ASM certification.

Overall Service Capacity and Staffing

Many customers expressed concerns regarding staffing prob- lems due to excessive time spent waiting to speak to an ASM or failure to deliver vehicles in a timely manner.

In general, the recommended ratio of ASMs to daily repair orders ranges from 1:18 to 1:20. Forms to help you assess your staffing are available in the Service & Parts Operations Guide.

Another issue was the layout or signage at service departments. Clearly marked lanes and clear signs directing customers through your department can help customers contact ASMs quicker.

Dealership Operating Procedures

Being unable to receive service department attention in a rea- sonable time or problems with vehicle cleanliness at point of delivery both suggest a need to review dealership procedures.

Many dealerships have enjoyed success implementing and refin- ing appointment systems to control the flow of customers and

to maximize the time customers have with ASMs. The Service & Parts Operations Guide provides a wide array of recommendations on implementing a good appointment system.

A proper delivery system can increase customer satisfaction by ensur- ing that customers understand the work performed and receive an expla- nation about all parts and labor charges on their completed repair orders.

departments

customer relations

WHEN TOYOTA INTRODUCES AN IMPORTANT NEW VEHICLE,

10 CUSTOMER RELATIONS REPRESENTATIVES ARE SELECTED TO

PARTICIPATE IN A WALK-AROUND COMPETITION. ASSOCIATES

COMPLETE INTENSE PRODUCT KNOWLEDGE TRAINING, STUDY

ALL THE SPECIFICATIONS AND WORK WITH PRODUCT SPECIALISTS

TO LEARN ABOUT NEW TECHNOLOGIES.

Everyone Wins

A Walk-around Competition for the Toyota Customer Assistant Center

>Six Points

Contestants highlighted the Camry???s numerous attributes using Toyota???s six-point walk- around, including: Left Front??? styling, aerodynamics and safety; Front???engine/drive- train, ease of maintenance and warranty; Right Side??? steering/suspension, body construction and passenger entry; Rear???styling, trunk capacity and convenience; Left Side???tires/wheels, brakes and fuel capacity/ ratings; Interior???comfort, layout and equipment.

When a car as popular as the Camry undergoes a complete transformation and launches

with the most extensive, fully integrated marketing effort in automotive history, con- sumers have questions. Many questions. Searching the Internet for information is increasingly common, yet too impersonal for some customers. Others prefer visiting a Toyota dealership and having questions per- sonally answered by a sales associate. Another option is the Customer Assistance Center (CAC) at Toyota Motor Sales, U.S.A., Inc., Torrance, CA. The CAC has skilled cus- tomer relations representatives ready to answer questions, explain features, discuss

ride quality???and direct consumers to their nearest Toyota dealership for a test-drive.

???Whenever Toyota introduces an impor- tant new vehicle, we select 10 customer rela- tions representatives???one from each team???to participate in a walk-around com- petition,??? says Cynthia Farrington, Customer Relations Team Leader. ???Associates complete intense product knowledge training, study all the specifications and work with our product specialists to learn about new tech- nologies such as Variable Valve Timing with intelligence (VVT-i).???

Most recently, the extensive training cul- minated in the 2002 Camry Walk-around Competition. Performed for a panel of

judges, representatives completed 20- minute sales presentations which were graded on content, questions asked and how well the vehicle was detailed, including appropriate trim level for the customer???s needs. Contestants were specifically recruit- ed for their intimate knowledge of the vehi- cle. Serving as judges for the 2002 Camry Walk-around Competition held on the TMS campus were experts from the Vehicle Operations Group, Public Relations, the University of Toyota and Product Planning. In the audience were non-competing Customer Relations Representatives on hand to support their teammates as they show- cased their sales techniques.

???Being in the spotlight was definitely a big change from talking to customers over the phone,??? says Jennifer Harb, Customer Relations Representative, who captured first- place. ???It was a great experience that will make taking calls about the new Camry easy, because I won???t have to run to pull information from our technical resources. I know the specifications. I can use Toyota???s six-point walk-around format to explain the interior and exterior dynamics. Plus, I can relate my own experiences from driving the Camry and the features that are my person- al favorites, which will help drive customers to the dealerships.???

Like her fellow contestants, Harb says she

tures and benefits of the new SE grade. Plus, I explained Toyota???s quality and safety focus.

???It definitely put the sales associate???s job in perspective,??? continues Galindo. ???Being able to call up all the information and selling the right features to the right person isn???t easy. I also feel very proud to work for Toyota where the technical people and engineers work so hard to provide what the customer wants.???

Third-place winner, Susan Farr, Customer Relations Representative, agrees:???I was impressed with the off-switch for the Daytime Running Lights. Prior models, which did not offer the flexibility of turning off the Daytime Running Lights, were found to irritate our cus- tomers for some time. Another excellent sell-

inform customers and direct them to deal- erships. Another valuable benefit of walk- around competitions is that different team members compete each time so each of our teams now has an expert on Prius, Sequoia and Camry. We???ll soon have a Matrix expert as well because a different team member will go to the next competition.???

As an extra bonus, the competition fea- tured the new Camry commercials between presentations. ???It was a tremendous learn- ing opportunity for our department,??? says Farrington,???and we owe a big thanks to the corporate managers as well as the Lexus Call Center associates who filled in for us so everyone could attend.???

>The Contestants

concentrated on the IANA??? (Identification, Assessment, Negotiation and Action) skills that all Customer Relations Representatives constantly use in order to gather informa- tion from customers. For purposes of the competition, IANA enabled the presenters to identify the demographics of their ???cus- tomer??? in order to sell the most appropriate of the 2002 Camry???s three model grades.

???My ???customer??? was a young, upwardly mobile professional woman,??? says second- place winner Elizabeth Galindo, Customer Relations Representative. ???I probed to identify that she was looking for something youthful and sporty. At the same time, my customer wanted a car to transport her clients com- fortably and safely, so I highlighted the fea-

ing feature for my ???customer??? was the multi- stage deployment air bag. She was short in stature, so I explained how the multi-stage deployment offered her better protection.

???The competition was a little nerve-rack- ing because I had never sold a car before or given a presentation that was videotaped,??? says Farr. ???But I just concentrated on finding out what my customer was looking for, then mentally shuffled through all the informa- tion I???d learned to emphasize what would best sell her on the Camry. I especially felt it was important to provide the type of infor- mation she couldn???t find in the brochure or on the Internet.

???The great thing about these events,??? Farr continues,???is how it improves our ability to

All contestants received a framed photo and certificate, along with a video of their presentation. The top three finishers were presented with attach?? cases and a week- end rental car of their choice. ???But, in a sense, everyone wins,??? says Farrington, ???because it educates the participants as well as the audience and creates a great deal of enthusiasm for the vehicle. The excitement of the experience is contagious and this enthusiasm is transferred to the callers, which eventually sends more customers into the dealerships.

After all, Camry???s been the best-selling car for four years running,??? adds Farrington. ???We want to do all we can to help achieve num- ber five!??? e

departments

parts

Center of Success

Giant new parts facility keys distribution improvements

IT???S AS BIG AS 18 FOOTBALL FIELDS AND COULD PROVIDE PARKING FOR 8,700

CAMRYS. BUT THIS IS NO PARKING LOT. INSTEAD, IT???S THE NORTH AMERICAN

PARTS CENTER, KENTUCKY (NAPCK), WHICH WAS CREATED TO SPEED DELIVER-

IES OF NORTH AMERICAN-PRODUCED PARTS TO DEALERSHIPS WHILE BECOM-

ING A CRUCIAL DISTRIBUTION POINT FOR TOYOTA???S WORLDWIDE EFFORTS.

well as from Toyota???s Georgetown, Kentucky plant which produces Avalons, Siennas and Camrys. The parts range from small nuts and bolts to fenders, bumpers and engines. Most suppliers feeding parts to the Hebron, Kentucky location are located in the Midwest or on the East Coast.

Fully operational as of September 2001, the mam- moth $65 million parts facil-

ity offers some impressive statis- tics:The 843,000-square-foot cen- ter is Toyota???s largest parts pro- curement and distribution facility under one roof. It houses 25,000 part numbers and has three mil- lion pieces in stock worth $45 mil- lion.The warehouse is capable of receiving or shipping one pallet load of parts every 30 seconds, which translates into 30 truck- loads of parts per day.

But the real promise of NAPCK extends well beyond the numbers. The location was cre-

ated to better serve the nation- al network of Toyota and Lexus dealerships and, ultimately, to improve customer satisfaction. The parts center breaks down huge orders before shipping pieces to 20 regional centers that directly serve dealerships, improving both the efficiency and speed of parts movements.

Already, the center is achiev- ing its desired effect as the fill rate for North American-sourced parts has jumped. Before the site???s opening, 15 percent of

line items needed to be back- ordered. Today, that proportion has been sliced to five percent.

NAPCK???s sister facility, the North American Parts Center, California (NAPCC) will continue to be the primary distribution center for parts produced on the West Coast and imported from Japan. Together, the two plants represent one third of a three- pole international distribution center system. Similar locations in Nagoya, Japan and Brussels, Belgium comprise the remainder of Toyota???s worldwide parts dis- tribution framework. The North American Parts Operations (NAPO) group, which was created in 1993 to improve parts-sourc- ing capabilities and to establish efficient parts distribution on this continent, oversees the two American centers.

>Main Entrance

>Plenty of Room

Some facts and figures about Toyota???s newest parts center:

At the dealership level, that means repairs happen quicker, cars return to service sooner and customers feel more satisfied with the service experience.

The site was built to accom- modate Toyota???s growing com- mitment and presence in the North American market. As Toyota???s North American manu- facturing capacity grows, the amount of parts purchased from U.S. suppliers also increas- es. The new facility receives, inspects and stocks parts from 375 North American suppliers as

The new Kentucky site replaces a much smaller cross- docking facility in Perrysburg, Ohio. While most of the new center???s parts are sent to 13 dis- tribution centers located in the continental United States and Canada, many parts also are shipped overseas. Material is routed to parts distribution cen- ters in Hawaii, Puerto Rico, Guam, Saipan and American Samoa. The facility also ships parts to facilities in Japan and Europe, underscoring the global nature of Toyota???s production capabilities.

While NAPCK uses custom-

designed racks, workstations, carts and platforms, it does not rely on extensive high-tech equipment or robots to move parts. Instead, the main resource to ensure the site???s accuracy and efficiency is a workforce of 340. Associates at the plant were selected from more than 13,000 applicants.

In addition to being a key supply point for the national network of Toyota and Lexus dealerships, the new parts cen-

ter underscores Toyota???s com- mitment to the U.S. market. Domestically built vehicles account for 63 percent of Toyota sales in North America and North American-built parts generate about $1.2 billion in annual sales.

The next time your dealership receives a shipment of parts, there is an excellent chance that they passed through Hebron, Kentucky on their way to you. e

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