Latest / Auto Collabs / Ten Thousand Hours with Sarah Carter

Transcript

Ten Thousand Hours with Sarah Carter · Auto Collabs

• 0:00
  One of the fun things about doing this podcast is that we get to talk to people and meet them for the very first time [laughs] [upbeat music] This is Auto Collabs. When they drop into the Zoom call.
• 0:17
  And we can sometimes just do very little homework. So obviously, I jump to LinkedIn and I said, like, "Okay. Who, who is Sarah Carter? Uh, you know, who is Sarah Carter and what does she do?"
• 0:27
  [laughs] And I find out all of a sudden that there are a lot of shared people that you follow.
• 0:31
  And then you get a sense for the person, um, you know, and how they at least, the trajectory by which they approach the world. And so, that was kind of where I started this.
• 0:39
  And then when we, you know, start the conversation and get into it, we just had a whole lot of fun talking about things that had nothing to do with automotive. Absolutely.
• 0:47
  And [laughs] You know, and, and one of the things, you know, I did the LinkedIn scoop thing as well.
• 0:51
  And one of the things that I think is really interesting, and, and I hope we get into, is the fact that, uh, Sarah, who's coming on and hanging out with us today, started at a company like Auto by Tel.
• 1:04
  Which, if you know Auto by Tel, like, at least current day, it's kinda one of those third-party lead providers- [laughs]... that, nah, you know, I don't wanna say too much about. But that's kind of the attitude.
• 1:16
  And then you go all the way to- Enough said... like, an upstart, which is, like, v- working with only the most progressive, dialed-in dealers in a digital and showroom perspective.
• 1:28
  So for someone to span the, the, a 20-year, uh, uh, engagement with Auto, there's got to be just a wide swath of learning and understanding the industry. Um, and, and I love that about so many people in Auto.
• 1:42
  They just, like, there's so many touch points you have across the industry. Like, rarely do you find someone that's, like, 20 years hard with the one person. [laughs] You know? Sending faxes.
• 1:51
  [laughs] And just, still, to this day. You know what I'm thinking about? To your point about meeting people for the first time, you remember that month that we were, like, all in on the metaverse in the industry?
• 2:02
  [laughs] And, uh- It was a good month. It was a great month I've, I've ac- the thought has crossed my mind. Have any of us met this person? No? Okay.
• 2:10
  I'm considering coming to these calls where we're meeting somebody for the first time dressed like a banana. [laughs] Because I wanna prepare people for what the metaverse is gonna be like.
• 2:20
  [laughs] Where we're having conversations sitting across a desk.
• 2:23
  Like, we're buying fake real estate sitting across the desk from someone that's dressed like Donkey Kong, just to see what the real-world reaction would be like. And of course, I think Sarah could handle that.
• 2:34
  She seemed really cool when we got to sit down with her. Have we sat down with her yet? That's left to be unsaid. [laughs] But we hope you enjoy- [laughs]... this conversation with Sarah Carter. [upbeat music] Okay.
• 2:51
  So pre-show, you said you were in Northwest Montana, which of course is close to where I grew up in- Ah... British Columbia, Canada. Uh, and then of course Alberta, Canada.
• 3:01
  So my question to you is have you ventured into the Kootenays, Fernie? Maybe, have you, have you made it to the Okanagan? Have you done those ski resorts? We have not, no. So, uh, we have, we have some room to...
• 3:14
  Well, COVID obviously also compromised the ability to get up there. Um, and it, with it recently opening, that's, that's our intention. So a beautiful country, though. Beautiful country.
• 3:24
  Two thing, two things just happened. [laughs] Michael Cirillo said eight words that, [laughs] that I don't really understand if they're actually words. They sound very Ca- they're very Canadian. Oh, yes.
• 3:34
  The Kootenays- Yes... it just sounds like a very Canadian name. The Akdyžúwa Pułúmáš, right? Well- And then Sarah said, "They compromised the ability to..."
• 3:43
  You know, and I was like, that just sounded so structured compared to Cirillo being like, "Alebhleh bubalah." [laughs] It was so clutch. [laughs] That's so much fun. So you're an outdoors family, it, it seems like.
• 3:57
  [laughs] And, [laughs] and, and, and- It's a great start... Cirillo just, like, to- This is a great start This is a great start.
• 4:02
  [laughs] This is the way that, this is the way that all podcasts everywhere should start- [laughs]... with people bending over in laughter. That's the way that it should be.
• 4:10
  Um, but, uh, so, so, you know, what is, what's kinda like, your, your mode of adventure when you are out and about, and, and in the great Pacific Northwest? It's a, it's a bike, it's a snowboard, it's, you know, hiking.
• 4:24
  Uh, we're definitely an outdoorsy family. And I have three... Well, actually, I'm the only female, so I have four boys in- including, [laughs] including my significant other, [laughs] who's amazing.
• 4:34
  And, uh, yeah, actually more responsible than I am, so. [laughs] I'm joking. Um, but we're- [laughs] It's like, no, it's not really. [laughs] We're a good team. We're a good team. So, but yeah.
• 4:42
  Are you stick, are you, like, stick-to-the-trails skiers? Like, s- or, or do you like to venture off into the backcountry?
• 4:49
  We do like to venture off into the backcountry, um, now that the kids are getting, you know, older. Um, and they're on the team, so they, they far outperform us- Oh... at this point already, so. Ah. Yeah. We, I, I...
• 5:01
  And the thing is too is, you know, with age, things get a little bit harder when you fall or when you, you know. So right now, I'm like, man, you know, maybe I should've gone back to skiing, 'cause I skied early on.
• 5:11
  But that said, I can't imagine anybody who's, I mean, they, I don't wanna, you know- Here we go. Yeah. I'm not gonna go there It's like the iPhone, Android thing. [laughs] Right? Right. Gotta be careful.
• 5:20
  But- Blue bubbles, green bubbles again. [laughs] Here we are. Yep, yep. So, but yeah, we love- Ki- Kyle and Paul, have, have either of you s- are you skiers, snowboarders? Um, no. I have skied, but I am not a skier.
• 5:33
  I, I have skied. It's been decades. Same. Yes. Th- there have been skis on my feet and, uh- [laughs]... have gone down a hill, whether, you know, elegantly or not. [laughs] So gracefully or not.
• 5:46
  I don't, I don't anticipate going in that direction. Sarah, I have a confession. Like you said, all I can think of is ACL tears at this point, 'cause I'm at, I'm at that point.
• 5:53
  I have a confession, and I feel- [laughs] He's a skier... humorous confessing. I think I know what you're gonna say. [laughs] He's gonna say he's a skier. No, I- 'Cause it's easy... no.
• 6:01
  No, it gets worse than that, I'm afraid. Neither. Neither, right? [laughs] I grew up seven minutes-From a world-class ski resort. [laughs] And I've never skied or snowboarded in my life. Michael, I don't know about this.
• 6:16
  [laughs] You're perfect for it too, Cirilo, 'cause you have a low center of gravity. [laughs] Right? So fall isn't that bad. Right.
• 6:25
  All right, Sara, so speaking of low center of gravities, you're in automotive, you're with Upstart Auto Retail, and you have a storied history.
• 6:33
  That didn't connect at all, but we had to get out of Cirilo just being low center of gravity here.
• 6:38
  [laughs] Um, I w- I'd love to hear, because, you know, my, my, like, my relationship with you as a person is basically the last five minutes of knowing that you are an outdoors person and that you've been, you have a storied history across automotive.
• 6:54
  Everything from marketing companies to digital retailing technology, to even being a part of helping a, a state, uh, association. Uh, and I found all that through LinkedIn.
• 7:06
  But there's gotta be some really cool stories in there.
• 7:10
  So, um, take us back to kind of those early days in, in automotive and, and, uh, how, how kinda things built up from, from, from jumping in with a company like Auto by Tell. Yeah.
• 7:22
  No, that's, um, it's ob- I, I think of that often now, especially 'cause I'm coming up on 20 years. I'm like, man, this is... We've seen a lot of change in our space.
• 7:31
  And, um, you know, Auto by Tell, when I came on with Auto by Tell, um, you know, I was working in the Pacific Northwest, and I, I actually helped them retention market, so all over the Western US at one point working for them.
• 7:43
  And, you know, it wasn't long before that they were faxing leads, you know? So, you know, obviously, um, lead generation had advanced by the time I got into the space in '03.
• 7:55
  Um, but I remember, you know, as a field representative and, and being young at that, you know, younger at that time, um, I had a Trio and I, and then I printed my MapQuest.
• 8:06
  So, like, when I went into a new market from a retention perspective and was working with some of our partners, I literally had to print maps. I couldn't get them on the phone.
• 8:13
  And the Trio- [laughs] You couldn't get a doc to load to look at it, you know? It was like, wow, this is incredible. So, and that kind of branched into internet sales process training.
• 8:22
  So that was, I u- you know, for quite some time between Auto by Tell and Izmo, I actually, you know, did in-store training.
• 8:28
  And it was basic, you know, process, response times, you know, some of the things that, you know, obviously everyone in the retail environment, you know, values and understands and knows and, and it's just, it's second nature now.
• 8:41
  But at that time it was much different. So it's just, it's crazy to think how, how much our industry has changed. Well, do you think it's second nature now? I mean, r- really.
• 8:49
  Like, if you had to take, like, a, a, a purview of the automotive industry.
• 8:53
  You know, I know that, you know, Upstart is, like, a forward-thinking brand and has a lot of innovative dealers as a part of their, as a part of the, the, the dealer network.
• 9:01
  But, like, as a whole, going back, you're like, Auto by Tell, faxing, and not pulling up documents and printing map, map prints and then training people on internet processes. Like, have we gotten there?
• 9:15
  Or as an industry, are we still kinda like, you know, still trying to figure out what you were doing in '03, '04, '05? I, you know, to some extent, yes and no.
• 9:25
  I think, you know, obviously the OEMs have put in more mandates in regards to or benefits and, and rewards to some of the basic aspects of process and response.
• 9:34
  Um, but I will say I think in the context of the communications, the, um, consistency of the communications, I would say probably not as much second nature. So good catch and good call out.
• 9:46
  [laughs] Is that there are aspects of it- She's an optimist. She's an optimist. Yes. [laughs] I am absolutely an optimist. I, I, uh, so, uh, yes and no. Yes and no. But, uh, yeah.
• 9:57
  You know, it's a conversation we still have today. It's something that we, you know, we do in-store train- in-store training for all of our partners.
• 10:03
  Um, and it is something that does, you know, leadership always is aligned with that, but obviously you're training sales team members and so forth, and it is new to them. What do you think...
• 10:14
  So I, I also did a little LinkedIn profile scouring, and always like, oh, who are the same people we follow, right? So I saw Gary Vaynerchuk in there and Simon Sinek in there. Yeah.
• 10:22
  Um, oh, who's the, there's another one that kind of registered with me. I'll think about it in a second. Um, so kind of get a little idea at least on how you think in some areas and maybe process the world.
• 10:32
  Um, thinking about, you know, the specific trajectory that you have in your career and the reach that Upstart has and, and the, hon- honestly, the opportunity to, to actually leverage further into the industry, what principles do you think are the ones you particularly, personally and with Upstart can lead by?
• 10:49
  So I'm, like, not going real tactical, but I'm going, like, a little bit higher strategy. What principles are you bringing to the game? Yeah. No, that's great.
• 10:57
  I think, you know, obviously there are, one of the biggest things in life, obviously, you just wanna have purpose and you wanna be adding value, and you wanna, you know, really make a difference in, in our space and our community.
• 11:07
  And having been a part of this community for years, obviously, um, and being so grateful to dealer, you know, the dealer, um, the dealer base, the dealer world, franchise dealers, um, because I wouldn't be here without any of them.
• 11:19
  [laughs] Likewise. Right? Hear, hear. Um, [laughs]
• 11:22
  So in that respect, I think, you know, and, and it's a philosophy of Upstart, um, and, and a reason why, you know, I came to Upstart, um, just over a year ago, is, you know, it was this drive to always do the right thing, um, even when it's hard.
• 11:34
  And that's actually a m- you know, it's part of our, you know, mission statement and motto is, and it's reinforced all the time. Um, and I think that's important because, you know, we need to be transparent.
• 11:43
  We need to build trust with our partners. We need to add value. Um, it not only gives us purpose, but it gives purpose to everything that we, we do as a, as a team, as a community, um, in this space.
• 11:55
  You know- We, we were j- Go ahead, Ta. Well, no, so this word keeps coming up, and it's the word community, and we've started talking about it a lot.
• 12:03
  But people describe our industry as that, that are inside the industry-M- more often than I... Like, I never hear someone be like, you know, the, the f- the franchise, um, Burger King- Hospitality community... community.
• 12:21
  Yeah. [laughs] You know? [laughs] Maybe, I don't know.
• 12:23
  Maybe, maybe other, maybe other verticals describe themselves that way, but I think, I, I think, I'm, like I'm just listening and hearing more people describe our industry as one big community, one big family.
• 12:36
  Um, and, and I think that, it, you know, when you do think, like, doing the right thing, even when it's hard, providing value, like, that's something that communities naturally have embedded in them.
• 12:48
  Um, I'd love to hear, like, your perspective on, like, when you felt that as...
• 12:54
  When, when you started to feel personally that it was this community, that it wasn't just, like, a, a career path that you were a part of, but you actually were a part of a bigger thing that you needed to make sure that you were always recognizing and impacting.
• 13:08
  Yeah. No, I, that's a great question. I think, you know, you know how they say obviously, like, 10,000 hours to, to really, I think, to become, not expert, but, you know, well-versed in understanding- Yeah... the space.
• 13:19
  So, you know, early in my career I would have, you know, said abs- you know, it, it, it, that community environment wasn't there because I, I d- I, I don't wanna say I wasn't adding value.
• 13:27
  I think I was adding value, but I also just had, didn't have the experience or the expertise.
• 13:32
  And then as I transitioned, I would say probably, you know, I was almost 10 years into it, um, working for, you know, Showroom Logic, um, started early on there.
• 13:43
  Um, that's when I really saw the value and the purpose and the ability that I was able to, through stories of my experiences working with partners and, and, um, helping them to reach new levels, uh, that's when I started to see, you know, see it as a community.
• 13:57
  Um, it's a people business also.
• 13:59
  And too, you, over time that's how you, you know, you're creating your network, you're, y- you become, you know, over the years you're at events together, you're working together side by side, remotely.
• 14:09
  Um, so I think that's where that sense of community has come from, is I think when you become more well-versed in the space and you really can, you know, have purpose, A, but also be adding value consistently to customers and pros- prospective customers or just people in the space and our peers.
• 14:23
  Um, because in 20 years too, you know, still have a large group that I've either worked with in the past as well on this side, um, and/or crossed paths with. So FTC, there's been a lot of conversation around this lately.
• 14:38
  And... [laughs] Yes there has. So now- Watch out. He just pulled a grenade out of his belt. Hang tight. But hold on. Okay, I wanna hold this here. He's gonna s- I may-... slowly roll it across the table to you.
• 14:51
  [laughs] No, I, I think, so, so we talked about this this morning in our morning show, um, and it's gonna be a, a really significant point of focus because with the, the rules that are being proposed, um, you're, you're seeing kind of a lot of consumer response and a lot of YouTube influencers and other people stepping up on behalf of, you know, the s- so-called consumer advocacy.
• 15:12
  Um, which, which can be, like, very demeaning and very, I don't know, very snarky, et cetera. Uh, which happens to be very offensive to people who know a lot of dealers- Yeah...
• 15:22
  and people like us who see it as a community. And we know how hard we work to make things better for the consumer day in and day out. Yeah. Um, what...
• 15:34
  I would just say what is your response to that, but I kinda know the answer to that question. Um, how do you think that Upstart and the work you're doing there can actually help dealers to change that perception? Yeah.
• 15:48
  Um. Well, sorry guys. Um- Time to go. I know, right? [laughs] Gotta turn it off. Um- Pick up dry cleaning. [laughs] Oh, I wish. Wish without even... No, I'm just kidding. Yeah. [laughs] Um, [laughs]
• 16:01
  I don't even know what's coming next. Um, [laughs] but I probably should look. No. Um. Just a 10-minute warning. Yeah. [laughs] Right? I'm like, "Did I prep?" Uh, so in any case, yeah, sorry.
• 16:11
  Back to, back to the question. I think- [laughs]...
• 16:12
  you know, the, the, the thing that I, among the things that I value working for, you know, a very progressive, innovative organization who's, you know, fairly, you know, decent in size and obviously has the ability to pivot and be agile, is that, um, when our, our dealer partners are sharing, and/or prospective partners are in the conversations and we've got the information and the knowledge base of, of what's coming and what we need to adapt to, um, like something like f- the FTC safeguards and the, the updated compliance r- and regulation, you know, ADA compliance, you name it.
• 16:47
  Is that, um, with that agility we're able to adapt to what our, our partners and prospective partners are needing. Um, I was, you know, I, I was looking for that too.
• 16:57
  I mean, the, the, I think, you know, having been in the business now for almost 20 years and really wanting to provide s- you know, state-of-the-art products and solutions that actually are, are, you know, bring value, um, I absolutely saw that in Upstart.
• 17:09
  And, uh, it's proven to be true.
• 17:11
  And in fact, if, you know, we talk to, you know, partners, prospective partners and/or those that we're, you know, innovating with, um, they see it as well and, um, obviously take, you know, matters very seriously in regards to a lot of what's coming.
• 17:24
  And that's why when you said that, Paul, I'm just like, "There's been a lot of it lately." [laughs] A couple- I'm sure... a couple things. I feel for everyone on this one. [laughs] Well, and as a- Well, so-...
• 17:33
  as, and as a platform that is managing communications, managing transactions, managing... Like, as a platform Upstart, and, uh, y- and e- especially because you're in the fintech game, right? Yeah.
• 17:45
  There's, there's, like, a whole onus on that partner relationship with the dealer that you have to communicate that, that you're doing and that you're a part of.
• 17:54
  And you're making sure and protecting the dealer and storing all of this information.
• 17:58
  I'm sure there, there's, like, a heavy lift from a technology partner like yourselves from a development perspective that, that has to pay attention to this- Oh, well-...
• 18:07
  because you're, you're a partner with the dealer in making sure that they are, they're ready for these type of things, right?Oh, 100%.
• 18:14
  But, you know, I will say, and that's, I think, the advantage that Upstart has had, and then, too, looking at our team, 'cause I don't wanna, uh, I need to call out our team. They, they've done amazing work here.
• 18:24
  But we, being we are essentially part of the financial world and were prior to the acquisition, um, with Prodigy, uh, these were, a lot of these, you know, a lot of the policies and procedures and the teams were already there.
• 18:37
  So, I mean, we have a legal team. We have a compliance team. So that was just, you know, so valuable in, in helping us to be quick on things when, when we saw these changes. Um, so yeah.
• 18:47
  So, uh, you know, grateful for that, and they're taking it very seriously, and, and we have a lot of resources. It makes me think of, uh, Dennis Rodman. Have you guys seen the Last Dance documentary?
• 18:58
  Like, the dude's crazy. Ooh, he is crazy. And the, the do- the documentary highlights that. But one of the things he's...
• 19:04
  I mean, you, you could argue he was the best rebounder in, in NBA history because of the sheer amount of preparation that he put into anticipating the rebound.
• 19:14
  Like, this guy could, um, he would just practice for hours having people throw up balls.
• 19:19
  He could tell you the trajectory and the velocity of the ball hitting the rim or the backboard, where it would go, and he was always one step ahead, and that's certainly something that I'm, that's coming to my mind as I'm listening to you speak.
• 19:29
  Like, we have this team in place. We, we've got compliancy teams. We're able to position and anticipate where things are headed.
• 19:38
  And to the point of all of these conversations, I, I kinda liken that to, well, that's the preparation that's gonna help us anticipate where things are going further. So I think that's, that's just...
• 19:48
  I, I mean, that's something that stands out to me, and it's very comforting to know that there's, uh, people with experience navigating this stuff, and that the dealers aren't left to their lonesome. Oh, man. Yes. Okay.
• 19:59
  You know, one question I get a lot, and, and now that we're getting into kinda, like, you know, the, the Upstart product and what you guys are doing from a fintech perspective, one question I get a lot from dealers or marketers or, or people that are kinda looking in the area,
• 20:13
  uh, y- I think a year and a half ago I looked and there were, at that point I had a spreadsheet of, of 34 digital retailing providers, right?
• 20:19
  They were out there in the space and, and it seemed like every week there was a new entrant into the DR space, and that's, that's definitely slowed down as, like, uh, you know, the, the digital push and the pandemic has, has decreased.
• 20:30
  There's n- less new entrants. But even still, there's, there's still over 30 providers working in the showroom retailing and digital retailing space.
• 20:39
  And so setting yourself apart is similar to, like, a dealer setting themself apart from eight other Nissan dealerships in the area. It's, it's, it- Right... you know, creating a unique value proposition is not easy.
• 20:50
  And, you know, so I'd love to hear from you just, like, not, you know, there's, like, table stakes in, in, in digital retailing that I think that we've all just kind of come to recognize, like, if someone's not doing this on the website or in the show, then, then they haven't won.
• 21:05
  What are, what are the things that, that set you apart as, as a partner to dealers in this, like, customer relationship management, you know, perspective, and, and how you give dealers the ability to execute on a day-to-day basis?
• 21:20
  Yeah. No, that's a great question, 'cause yes, it definitely is, um, a competitive space, and we do have a lot of, uh, you know, a lot of, uh, providers out there, uh, valuable providers.
• 21:30
  Um, that said, I would say, you know, just thinking three, um, would obviously be configurations. We have a highly configurable product. I use, um, I use that because I know, you know, we...
• 21:42
  strategies and processes within single points to large dealer groups is, are gonna be very, you know, variant. Um, and there's different philosophy or strategies. So our, our systems can essentially be very configurable.
• 21:54
  Um, I would also say integrations, because we don't wanna reinvent the wheel on many tools that dealers utilize, so we actually, um, can speak in a push-pull environment, from CRM to valuation tools to acquisition tools, um, which is something that's very unique in our space.
• 22:10
  You know, also the lending. I think lending, you know, and the AI machine learning aspect and how we can help streamline that for our partners and drive efficiency to...
• 22:18
  And, and all of these things are essentially, you know, to help dealers drive efficiency, but the end result is the customer, the guest, right?
• 22:25
  We wanna create a solid consumer experience that buyers want from, from our space, and that's where we really focus. And I, you know, one thing I didn't mention, so let's make it four,
• 22:37
  um, would also be the in-store application of what we offer. I mean, it's, it's a full solution to drive efficiency for customers coming in the store or in a virtual environment. So you can either...
• 22:47
  You can do, uh, you can do the purchase where the customer wants to, whether it's service, in the service department, outside, offsite, you name it, um, we have the resources.
• 22:57
  And, and again, the configurability allows for a l- you know, uh, various adoption formats or processes. You know, I know that, uh, this word integration gets thrown around a lot in our industry. Uh, it's like- Mm-hmm...
• 23:09
  AI and integration, two trigger words- Yep... that make some people squirm and some people celebrate and all that type of stuff.
• 23:15
  And, and so I'd love for you to, 'cause you said this, that you said push-pull, and I would love t- for you to explain a little bit maybe deeper for those that, uh, hear the word integration and some companies use that as like, "Oh, we integrate with your CRM," and which means they l- they send the lead in ADF to a CRM- Maybe...
• 23:33
  right? And then there's- Yeah...
• 23:34
  then there's, like, deeper level API integrations that are, that are tying in, like, rich data and, you know, uh, and multiple different aspects to be able to present someone with a, with a, with an, with a payment.
• 23:47
  But can you dig into specifically, like, the push-pull integrations that you guys are utilizing to, to execute some of this transactional data? Yeah, absolutely.
• 23:57
  So from the CRM standpoint, what we do, obviously when a customer comes in, or the first, you know, the first point of contact-And when capture-- we capture PII or when the dealership captures PII, we will push that in ADF XML because, of course, we don't know if that customer is already in the CRM.
• 24:12
  After that, what happens is it attaches in the notes section, and then it's-- we're also pulling the customer profile information from the CRM into the iPad in an in-store environment.
• 24:21
  So, um, it i- when I say push, pull, it's essentially we're sending everything into the CRM, and we're, uh, uh, essentially eliminating that duplication, so to speak, that we hear so much about.
• 24:32
  And then, of course, as well, giving the sales team, as well as the customer, easy access to pick up right where they left off because all of that is in the CRM and pulling that back into the system so that they can seamlessly drive that car experience or car purchasing experience.
• 24:47
  All right. As the resident, uh, least technical person on this podcast- [laughs] How would you explain that in, like, a sentence or two for some of the other listeners who probably are still smarter than me?
• 25:01
  Yeah, so essentially what we do is we allow our partners to pick up right where the customer left off because the systems are talking to each other so that they don't have to go into multiple tools to get the info.
• 25:13
  Which is really hard to do, right? Mm-hmm. Obviously. And if you can make it feel like it was easy- Yeah... right, and solve that problem, right?
• 25:22
  That's why, that's why everyone else says like, "Why can't you just make it do that?" And you're like, "Well, all the stuff that you just said before I asked that question is why."
• 25:30
  [laughs] I would like to underscore how big of an undertaking this is because i- in coming from Canada to the United States, it has been absolutely shocking to me that I've seen people paying for their groceries with checks.
• 25:48
  [laughs] Like, I haven't seen a check in 23 years. [laughs] And, 'cause, like, in Canada, obviously given our population, all, all financial systems are connected. Like, everything's connected to the Bank of Canada.
• 26:02
  It is like Apple banking or- They give it all to the government first, and the government gives them back some of it. They give it all to the government- Right? [laughs]...
• 26:07
  and then the government makes you think you're getting things for free. [laughs] But, like, y- you know, with chip read- like, everything is interconnected.
• 26:15
  I remember I was talking to our bank when, when we set up our bank account down here. I'm like, "So you guys do the online... Like, you can pay your bills online and all that?" She's like, "Yeah, of course.
• 26:24
  What we do is we write a check on your behalf and then send it to the, the supp-" [laughs] I was like, "What? You what?" Like- Oh, gosh... is it the 1870s? What is happening?
• 26:37
  [laughs] Whereas in C- Canada, it's all interconnected.
• 26:40
  So something as simple as what you're saying I, I really wanna kinda shine a spotlight on because it's not only a huge undertaking, especially in the Wild West, uh- [laughs]...
• 26:49
  of America, but the simplicity of being able to give that customer, um, the ability to just pick up where they left off is huge. Can I ask you one question just to forecast a little bit?
• 27:01
  I'm, I'm always intrigued- This'll be, this will be the last question, Michael. Make it a good one. No pressure. [laughs] What, what kind of snowboard do you have? [laughs] Probably, probably, like, just-
• 27:11
  We, we know you don't care about that. No, I wouldn't. You, you could say a name brand, and I'd be like, "Cool. Can I get that at Walmart?" Um- Right. I'm curious about forecasting.
• 27:23
  Obviously, as we, as we move deeper into the era of giving consumers the ability to purchase online- Mm-hmm... w- what's the forecast look like?
• 27:32
  What, what are you anticipating the percentage of car shoppers will look like maybe three, five, seven, 10 years out even of like, "Hey, we, we believe that this percentage of the market is going to want a fully online transaction that we're gonna be able to facilitate"?
• 27:50
  Yeah. Well, I mean, I think we'd be at a much higher rate right now if we, uh, you know, had all the tools and resources that, you know...
• 27:57
  A- and there are, you know, we do have partners who do, you know, essentially just that.
• 28:02
  Um, but it's also g- letting consumers know or bringing awareness in our, in our world of, you know, the franchise world, um, non, the non-Teslas and Carvanas of the world.
• 28:12
  Um, that said, I think I saw something come out. And yeah, I don't know if you guys saw it. It was from cars.com. It was a CNBC short clip. And I believe they said it was almost 21% of car buyers are buying online.
• 28:23
  And the thing is, you know, with inventory shortages, people are having to go farther, so they are doing those transactions online, going on site, or having the vehicle transported.
• 28:31
  So we're seeing, you know, through COVID and the inventory shortage, consumers are adapting this much faster. And if, if in fact we're looking at the 21% are completing deals online, it's doubled in the last year. Wow.
• 28:42
  So at what pace are we gonna continue? And, and obviously market, m- the market will continue to drive that, I think, between the inventory shortage and essentially this macro situation.
• 28:51
  We don't, you know, really know where we're going. I won't say we'll know where we're... We don't know where we're going. We, but we have some, some guesses, I guess, [laughs] or some, um, out there. Educated.
• 28:58
  Very educated guesses probably. Yes. Um, so I just, you know, I think that will continue to drive it.
• 29:03
  Um, and I think we'll continue to see better and better or stronger and stronger adoption, especially with, you know, younger generations, um, who are, like you were talking, Michael.
• 29:11
  I, I studied in Germany back in '98, '99, and everything was electronic at that point there. And I came back, and we were in this, you know- Wow. [laughs]... analog world. And, and it didn't happen for many years.
• 29:22
  And it still, you know, as you were saying, it still, still doesn't necessarily happen. [laughs] Wow. It's easy to forget. Well, Sarah, thank you so much for spending some time with us.
• 29:31
  We know you have a, a zillion things to do, and we really appreciate the fact that you, uh, took a little time out of your day to share with us and the Auto Collabs community.
• 29:38
  On behalf of Kyle Mounts here, Michael Cirillo, and myself, thanks for joining us today. Thank you so much, everyone. I really appreciate it. Michael, Paul, Kyle, so nice to, to be here with you.
• 29:46
  [upbeat music] I've heard this, uh, said before, this 10,000 hours thing, to become an expert or become a, you know, a, a, a master in your field.
• 30:01
  And I love that she brought up that, that it wasn't, it's not just 10,000 hours to become an expert or become a master, but it almost takes that long to understand the dynamics of the industry that you're in.
• 30:14
  And I think that we need to take note of that as an industry, recognizing that there are some people that have just come into our industry that, that we're trying to convince like, "No, this is good. This is great.
• 30:24
  This is good," but it, it, it's gonna take time.
• 30:26
  And it, and it's gonna take time not just internally but externally for us to, like, re-[clears throat] build up this confidence in the culture and perception of our industry, whether...
• 30:36
  And, and not just that, but the communication of things like digital retail or, or the acceptance of these things that, that it takes anyone 10,000 hours to get there.
• 30:45
  So how much do we have to communicate both internally and externally is kind of the question that I'm left after hearing Sara kind of walk through her journey toward understanding the scope of automotive retail.
• 30:58
  Yeah, I'm just shocked actually by the fact that, number one, Michael's bank writes checks on his behalf, [laughs] physical checks on his behalf. Unbelievable. But talking about that level of...
• 31:10
  It's easy in America to think that, you know, like, we're very tech advanced, 'cause we have all these modern conveniences and we have all this conversation, and entrepreneurship is a main focus of culture, right?
• 31:20
  It's all over television and YouTube and, you know, Instagram profiles. Entrepreneurship, entrepreneurship.
• 31:26
  And then, then to realize that there's all this advancement going on, and has been going on in other places, all of a sudden you start to realize why, why it's still so difficult to connect all of these systems together, because you realize the legacy that we're still operating on in a lot of basic areas, like even check writing- Mm...
• 31:44
  like, goes really deep and really wide. Dude, it goes further than that.
• 31:48
  When you buy a car in Canada, maybe it's not the same for all providers down here, but when you buy a car in Canada, you are not leaving the dealership without, um, your banking information.
• 32:00
  It all gets connected into the system. They're like, "Your first, your first car payment will come out on the 15th of the following month." Wow. And away you go. It's like a loan closing. It's like a loan closing, dude.
• 32:11
  Mm-hmm. When we bought our car here- Right... we left the dealership, and my wife and I, it, it might've been like three or four days- [laughs] Now what?...
• 32:18
  and we're like, we didn't, we didn't give them any of our banking... How are they gonna get the payment?
• 32:23
  And like a month and a half later we got an email from, or not an email, a letter in the mail from GM Financial being like, "Here's how you can set up your payments." I'm like, "What in the heck is this?" Wow.
• 32:32
  And they didn't even give you a QR code to go to it. You had to type in gmfinancial.com- That's right... forward slash- Backslash... setupaccount, forward slash- Dude, I'm even-...
• 32:40
  activate, forward slash- I'm telling you guys- [laughs]... it, it's, for, for me as an outsider- [laughs]... coming into this ecosystem, I'm like, it is so archaic.
• 32:48
  By the way, if your bank has the initials WF and- [laughs]... rhymes with Elle's- Belle's... ward- Largo... yellow. Largo. [laughs] Then just so you know, they're writing checks on your behalf, too.
• 33:00
  It's the most archaic thing ever. [laughs] It's unbelievable. It's unbelievable. Well, we know that companies like Upstart and Sara are pushing back on the archaic nature of, uh, of retail, of technology in our industry.
• 33:15
  Can't wait, uh, to see, uh, many of you and her at ASOTU CON soon. Uh, on behalf of Michael Cirillo, Paul Jay Daly, and myself, this has been Auto Collabs. We'll see you next time.
• 33:26
  Sign up for our free and fun to read daily email for a free shot of relevant news in automotive, retail, media, and pop culture. You can get it now at asotu.com. That's A-S-O-T-U dot com.
• 33:39
  If you love this podcast, please leave us a review and share it with a friend. Thanks again for listening. We'll see you next time.
• 33:46
  [upbeat music] Welcome to Auto Collabs. [laughs] Welcome to Auto Collabs. [laughs] Why are we recording?
• 34:02
  Are we rolling yet? Not yet.