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Auto Recycling eNewsletter

 

For immediate release - February 2004

 

Written and published by Ron Sturgeon, AutoSalvageConsultant.com, email to email Ron Sturgeon

To register for future free issues, visit http://www.autosalvageconsultant.com

Don’t forget to watch for our management articles monthly in Recyclers Power Source Magazine, or posted at our web site.

 

This Month’s News

 

Ebay! Learn More About How to Leverage it and Yncrease Your Sales!

 

My good friends Chip Collins (owner of Chrysler Heaven) and Mike Gibson (a consultant with autosalvageconsultant.com, also owner of Pickup and Van Heaven) will be teaching a course on this topic at the URG conference in Denver. You don’t want to miss this one.

 

Copart’s New Bidding Product

 

As I reported before, Copart has now installed their new VB2 product at 100% of their sites. I previously asked for information on how it was affecting recyclers’ purchases. I  got only a limited number of responses, but the jury still seems to be out. Some reported an increase in prices, but then it subsided. Most  say they are having trouble buying enough salvage and they believe VB2 is causing increased competition. Several responded that they were doing much more work to determine what they really needed, but were getting enough at prices they could pay, with no material change on their cost of goods sold.

 

LKQ’s Stock Levels Off

 

The stock has been trading in a range of $17.25 to $19.00, up from the offering price of $14.00.

 

URG and IT Announce Dates for Their Auto Recycling Conventions

 

Two of my staff consultants, Mike Gibson and Tammy Sturgeon, along with myself, will be speaking at the URG conference, April 23-24, 2004 in Denver. Topics we will be addressing will include:

 

·        The Five Biggest Problems the Average Recycler Faces Today

·        $60,000 a Month in Sales - $150,000 a Year Net Income - 3 Employees

·        Operating Metrics: Essential Tools Needed to Stay on Top of One or Several Facilities

 

For more information, contact URG at 303-367-4391. Registration is very inexpensive.

 

How’s Business?

 

Are you using the web effectively? WWW.car-part.com offers many products that are very inexpensive. They will host your site, and allow on line searches of your inventory.

 

Getting your website listed and properly categorized by the major Internet directories (Yahoo, Google) can be critical for success in online sales. To do this, you have to make sure that certain words appear on your site so search engines will associate those words with your E-store when they do their indexing.

For example, if you're selling auto parts online, you should certainly include the words "salvage" and "used auto parts". And yes, include the word “junkyard”. Even if you find it offensive, consumers till use it.  But there are other, less obvious, words that people frequently enter when they're looking for auto parts.

To find the right words for whatever it is you're selling online, visit the Overture website (http://www.content.overture.com/d/USm/ays/). You'll find a "Search Term Suggestion Tool" that allows you to test potential keywords that your customers might use -- and you'll see many times each one of those words (and related phrases) have actually been used for searches on the major directory websites in the past 30 days.

AutoSalvageconsultant.com was formed in 2001 to help recyclers improve their businesses. With over 50 years of experience in three staff members, the group is THE definitive source for recyclers’ management and training needs. Mike Gibson and Tammy Sturgeon joined the team in 2003, and bring a wealth of experience to the team, plus more resources, as there have been more requests for help than Ron could meet. The founder, Ron Sturgeon is past owner of AAA Small Car World.  In 1999, he sold his six Texas locations, with 140 employees, to Greenleaf.  In 2001, he founded North Texas Insurance Auction, which he sold to Copart in 2002.  In 2002, his book “Salvaging Millions” was published to help small business owners achieve significant success, and was recently reprinted.  In June 2003, he joined the new ownership and management team of GreenLeaf.  He also manages his real estate holdings and investments. You can learn more about how to help your business at www.autosalvageconsultant.com  He can be reached at 5940 Eden, Haltom City, TX 76117, (preferably) email Ron Sturgeon or 817-834-3625 ext 6#.