התמלול המלא של Turning Dealership Data Into Better Decisions | John Ellis

thing," right? 27 00:04:17.519 --> 00:04:25.480 Yeah, 100%. So I know you mentioned JR. I want... Let, let's bring him in. Yeah, absolutely. Let's, let's talk a little bit more so we can hear from his perspective since he was kind of s- at the start of it all. 28 00:04:25.580 --> 00:04:33.300 JR, how are you? Welcome. Good. How about you? Good. I'm doing great. Good to meet you. Welcome. All right. So, so you were there, right? You, you were there when it started. 29 00:04:33.460 --> 00:04:46.220 Tell me about your expectation versus what you experienced. Well, it started with some manual spreadsheets, you know? Okay. And, uh, John had, uh, you know, brought some knowledge to my team. He feeds it... 30 00:04:46.300 --> 00:04:56.360 He was feeding into us on a weekly basis about things that we could look at to be more efficient in our, uh, used car market. I mean, we were, we were high performing for what we thought. 31 00:04:56.520 --> 00:04:59.520 We just didn't realize where, how far we could go. Yeah. 32 00:04:59.800 --> 00:05:11.640 So we started off with the spreadsheets and, uh, you know, John, I think, called me up one night, and he was like, "I think there's something here that we could take to a, a bigger audience that needs this type of thing." 33 00:05:11.720 --> 00:05:20.880 And he said, "You know, I'd... I consulted with some dealers during COVID, and I saw the missteps that they made and the opportunities that they left on the table." 34 00:05:21.320 --> 00:05:33.700 And I said, "Yeah, I, I, I definitely see it," because I've realized the efficiencies that we have found through fine-tuning our game, and we felt like we could take that to a bigger dealer body. Yeah. 35 00:05:34.480 --> 00:05:43.350 So how do we go from spreadsheet to where we are today? Tell me about a little bit more about that journey. Yeah. So, um, JR, uh, 36 00:05:44.300 --> 00:05:56.180 you know, ba- seeing it built in spreadsheets, we knew we had to not only be able to take the, uh, dealer missteps out of it, meaning fat-fingering the spreadsheets and then manipulating the data to make it feel good to them- Yeah... 37 00:05:56.210 --> 00:06:06.520 bring it to an enterprise level. He's got three stores, so the bigger groups can see it at that level. So we brought on a, a small team of developers, some college students. Yeah, we were boot- bootstrapped. Yeah. 38 00:06:06.620 --> 00:06:16.100 And we built it into a PHP program where the spreadsheets were still the visual, but it was all in, uh, programming, uh, code so that you couldn't manipulate the screens that you were seeing. 39 00:06:16.160 --> 00:06:24.480 You had to work with what the data was telling you- Yes... which makes adoption really bit... You know, more, um, consistent- Yes... because now it can't fake it. Right. 40 00:06:24.880 --> 00:06:37.476 Then- Once we saw that, hey, we got a proof of concept and it's working, we had about 10 or 15 rooftops that were using it, and we were getting some revenue, which we know you need, we got a bigger development team and said, "Let's take this to the enterprise level." 41 00:06:37.556 --> 00:06:49.556 So the UX changed, everything, uh, morphed into something bigger that you could take to, like, a 20 and 30 and 40 store group for visibility and exposure to, to their entire organization, not just to a store, from the stores up. 42 00:06:50.176 --> 00:06:57.056 But, uh, that's when, um, w- we thought we were great. We have everything you need. Look how beautiful it is. It works. I got proof. 43 00:06:57.616 --> 00:07:07.176 Um, and then we started realizing pretty quickly that we forgot to listen to the, all the dealer body. You know, we had one good case study, a couple others started trickling in. 44 00:07:07.196 --> 00:07:15.136 But to scale software and how expensive it is to build, you really need to be able to, um, fit a broader need- Yeah... 45 00:07:15.146 --> 00:07:24.616 across the industry, and that's what the spreadsheet started, but then of course, the dealers helped us complete. And I think we're just getting started. I mean, AI is changing everything, you know? Absolutely. Yeah. 46 00:07:24.816 --> 00:07:35.966 So how do you fill in the gap, right? You, you've identified, and what I love that I hear you saying, is that each step of the way, you had the realization that, hey, what we're doing, it needs a pivot. Mm. 47 00:07:36.016 --> 00:07:46.396 Or it needs a different direction, or we need to elevate- Mm-hmm... and change. So as we're sitting today, what's, what's the next step? Like, what it, what gaps are you filling? What problems are you solving? 48 00:07:46.436 --> 00:07:54.976 Especially, like you mentioned with AI, what's the next step for you? So- What's the next pivot? So JR says it all the time: You took me off the inventory rollercoaster. Okay. 49 00:07:55.096 --> 00:08:06.136 So great months, slow months, because keeping a managed base of inventory is our number one, uh, platform design. Uh, not only, the allocation quantity first. Yeah. Second is quality. 50 00:08:06.356 --> 00:08:17.436 Shelves have to be full to sell your shelves. Yeah. So once we make sure the dealers are consistently allocated without risk, so we keep the risk away from it. Too leveraged over, too underleveraged cau- is very costly. 51 00:08:17.446 --> 00:08:28.396 Age and water, or slower sales, however you see it on both sides of the spectrum. Our AI and our patented algorithm study the store, study the market, and study the sales forecast of the dealer. Not the pace. 52 00:08:28.456 --> 00:08:38.896 That's too late. That's legacy. Okay. And once we study all that, we teach the dealer how to buy on a weekly basis by source management as well, where to buy best to keep their c- vehicles, uh, their store level. 53 00:08:39.196 --> 00:08:45.586 Once that happens, the retail should take care of itself, right? Because the outcomes are really driven by the inventory you buy. That makes sense. 54

00:08:45.596 --> 00:08:58.716 And so once that happens, our, our, you know, our elevation went to a vehicle intelligence platform, where now we started studying seasonalities, make, model, trim, color, price, ch- uh, all the things you could do in a vehicle, to predict a future of acquisition. 55 00:08:58.756 --> 00:09:07.256 So I don't wanna buy for today. I go to the auction, I'm buying 'cause I need 40 cars today. But the, what you're really gonna be selling those probably in two to four weeks. Right. 56 00:09:07.356 --> 00:09:14.336 What does the next two and four weeks look like in a seasonal pattern? Like, are we going into the summer months? Are we going into the winter months? Let's don't make those mistakes. 57 00:09:14.376 --> 00:09:20.176 And by the way, tax season has different odometer and mileage specifications and sales volume than out of tax season. 58 00:09:20.216 --> 00:09:28.996 We study all that, and we bubble it up to give preferred vehicle buy list by season in a digital format, so you can put it inside other platforms where you go buy the cars. 59 00:09:29.496 --> 00:09:34.996 So we bring a layer of intelligence that legacy tools don't offer. I love that. JR, let me hear from you. 60 00:09:35.076 --> 00:09:40.945 So once you got off the rollercoaster, what did you find yourself doing with that time and, and having that ease of stress off your plate? 61 00:09:41.556 --> 00:09:47.076 Well, I think it allowed us, before I think we were taking a shotgun approach to everything. Okay. 62 00:09:47.296 --> 00:10:04.296 Uh, like John said, uh, you know, we would come into the, coming out of January, February, which it's, uh, you know, it's, we get rough winters, but then we know tax time's coming, so we go out and, uh, buy a load of vehicles, and then deplete too quickly, and then not fully be able to take advantage of the tax season. 63 00:10:04.876 --> 00:10:19.996 And I think now we have it, you know, we have it dialed in that it's kind of like the old Warren Buffett saying that we get scared when other people get greedy, and we get greedy when other people are scared, because we trust our data. 64 00:10:20.056 --> 00:10:28.976 We know where we're going and how we're gonna get there. I love that. I love that. Being able to trust the process, trust the technology, trust the partnership. 65 00:10:29.196 --> 00:10:35.696 You know, that's the other thing that I hear, uh, is that it's, it's about the people, the partnership, and the process, right? And I think that's a big... 66 00:10:36.036 --> 00:10:43.216 Um, speaking of people, I know there's someone else that's, that's involved. Yeah, I'd love to bring in Rob Dell. Yeah. Uh, Rob, Rob has been a, a, a customer as of late. Okay. 67 00:10:43.256 --> 00:10:51.436 So think about someone who's- Thank you, JR... think about someone who's a high performer already. Welcome, Rob. How are you? Good, man. You? Good. Doing great. Doing great. Everybody knows Rob. 68 00:10:51.736 --> 00:10:58.736 Yeah, everybody knows Rob. Rob was over there talking on the sidelines. We had to pull, we had to pull Rob in over here. [laughs] 'Cause they're stealing his secrets. Right. 69 00:10:58.836 --> 00:11:03.776 [laughs] So I'd love to hear his story with you, because Rob is a high performer already. Okay. 70 00:11:03.896 --> 00:11:12.536 So that's, you know, it's like, we don't, it, you don't have to m- be in need of saving to have Agile Auto come in and help you grow. Absolutely. The intelligence can take you to the next level. 71 00:11:12.596 --> 00:11:22.836 So Rob, uh, you know, is teaching us as much as we're, uh, teaching him about how to take dealers of his level even a level higher. I love that. So yeah, Rob, tell us more about that synergy. 72 00:11:22.936 --> 00:11:29.976 Tell us about what brought you to Agile and how that happened. Well, it was funny. So I watched it from a distance, knew who John was, but we never met, right? Okay. 73 00:11:30.016 --> 00:11:39.596 And that happens in this industry a lot with technology. Like, you can see people, you can connect, but when you meet somebody in person, so we were at an event together, and you didn't even approach me, right? No. 74 00:11:39.676 --> 00:11:48.256 And I was like, "I gotta go talk to him," right? Wow. [laughs] I was a little scared of him because he's such a high performer. [laughs] Yeah, yeah. [laughs] So I was like, "Hey, let's have a conversation." "Oh, great." 75 00:11:48.396 --> 00:11:55.886 Like, and you know, here we go. And you know, I heard you guys talking about spreadsheets, and I was like, "Let me show you all my spreadsheets- Mm... 'cause I can drown you with a spreadsheet," right? Yeah. 76 00:11:56.756 --> 00:12:07.166 And the perfect marriage there was is I understand the spreadsheet, the data, because I build it, I track it, and it just, I live and breathe by it. That's how my brain works. I'm super analytical. Yeah. 77 00:12:07.176 --> 00:12:14.616 But I couldn't communicate it to a lot of the other team members because of the visual- visualization of it, right? Mm. And that's what the platform had. 78 00:12:14.696 --> 00:12:25.076 So it was like, let's just have a conversation and see how this works, and that's how it all started, was, I mean, literally a conversation of me wanting to know more, and there we are. Yeah. 79 00:12:25.086 --> 00:12:36.492 So it was a great start so far. And, and I love, you know what I hear from both of you guys that I think is, is really powerful, and I want everybody else out there to, to recognize it as well, it's- Self-actualization. 80 00:12:36.532 --> 00:12:47.072 Mm-hmm. Self-awareness, right? Right. You understanding that, like, I live this, I breathe this, I know this, but I, I don't... I- there's a gap between me being able to communicate it, right? Right. 81 00:12:47.372 --> 00:12:52.872 You recognizing, "Hey, I've gone this far-" Mm-hmm. "... but I've gotta make a transition. I've gotta make a change,"

right? Right. 82 00:12:52.992 --> 00:13:03.252 Eliminating and, and then calling in the reinforcements, the help, the people that you feel like, "Hey, I, I, I know I've got this much, but I need the other piece," right? 83 00:13:03.652 --> 00:13:12.392 And I think that's what this industry is all about, is being able to find those pieces that help you connect the parts that you are able to identify, if you're able to be honest. 84 00:13:12.422 --> 00:13:21.032 'Cause like you even mentioned earlier about the spreadsheets. We know about, you know, like, "Oh, no," [laughs] "I did 300 cars," Right... when you did 30. Like, you- [laughs] Right, right, right. You know? 85 00:13:21.112 --> 00:13:28.952 And so the, the gross profits aren't showing what the spreadsheet's showing, right? Right. You know? Mm-hmm. Um, but I think that's a great thing and a great quality that I really wanna highlight. 86 00:13:29.272 --> 00:13:40.432 So tell me about what you discovered. Now that you are able to find someone that c- is helping you, you know, realize and communicate your vision, what's been exciting about it? What's been, like, the next thing? 87 00:13:40.672 --> 00:13:50.552 Well, and John knows, I'm very selective of who I give certain pieces of information to on my own team, right? Yeah. Now, think about that. It's not that I don't trust them, but I want them to digest it a certain way. 88 00:13:50.672 --> 00:13:59.862 Yes. So, like, number one, we would say, hey, we knew a lot of things about our inventory, 'cause I track all the trends. I track gross return on investment, all these different things. 89 00:13:59.872 --> 00:14:09.692 But on a spreadsheet, you lose stuff, right? Mm-hmm. So when you can have that data feed in a different way, and I remember we talked about this, I don't think we do well with Dodge Rams. 90 00:14:09.752 --> 00:14:19.832 You know, Ram products on our lot just, that's my opinion, and I could be right or I could be wrong. Yeah. As soon as I open up the tool, man, Rams are one of my highest performers. [laughs] How many do I have in stock? 91 00:14:20.072 --> 00:14:30.392 Zero. Yeah. Why? There's an opportunity, right? Like, so I think that's the whole point is you gotta condense all of this. I mean, like, look, I... You know how many transactions I've tracked. 92 00:14:30.452 --> 00:14:37.272 I mean, it's, for the last four or five years- It's incredible... it's tens of thousands, right? I can't, I can't digest it even though I understand it. Yes. 93 00:14:37.302 --> 00:14:48.072 So when you put it in that format, then my team will look at it, and they'll say, "Hey, we see this." Now they're seeing something I don't see. We might say we have another software, but this one says that. 94 00:14:48.132 --> 00:14:57.202 Well, then, it's teaching them to understand where that data's coming from also. Yes. And that's how you impact change and y- ultimately educate everybody. That's ultimately the goal, right? Mm-hmm. 95 00:14:57.232 --> 00:15:01.412 Education is gonna produce a better result for the whole team, so it's, it's pretty cool. 96 00:15:01.692 --> 00:15:12.512 Yeah, and, and what I hear from out of that as well that I love is, uh, not only do you increase the education, I think you also increase the commitment, right? Right. Because you're increasing their input. 97 00:15:12.572 --> 00:15:22.902 And kind of as you mentioned, once they're able to understand it, once they see, and now they are more engaged and involved- Right... and that commitment level of ownership- Right... increases, right? 98 00:15:22.992 --> 00:15:31.922 Because it's like, "No, no, I, I see this now." Right. "I can, I can understand it." Uh, y- think about, like, s- I know where I have you right now in sports. Like, I know where the three-point line is, right? Yeah. 99 00:15:31.922 --> 00:15:40.072 [laughs] So I know whether it's a three-pointer or a two-pointer. But if I don't know where the line is, right? Right. And I don't know the definitions of the game, then I end up lost. 100 00:15:40.112 --> 00:15:46.932 Well, and it's funny that you say commit 'cause essentially is what I did is make it exclusive to certain members of the team- Yeah... 101 00:15:46.972 --> 00:15:55.192 which then makes them commit even quicker, and then the empowerment is the buy-in that keeps it rolling. Make sense? That's so great. Yeah. So. It's, I love that. I love, that's great. 102 00:15:55.252 --> 00:16:00.532 So before we get out of here, gentlemen, first off, thank you both for your time. Sure. I love to ask about golden nuggets, right? 103 00:16:00.652 --> 00:16:09.272 You both have, uh, y- you know, sh- displayed and talked about things of learning, being open, trusting your team, surrounding yourself with the right people. 104 00:16:09.292 --> 00:16:12.572 But for those out there that are, that are watching, what are some things that you would take away? 105 00:16:12.652 --> 00:16:19.512 Like, if you had to give somebody a bit of advice and say, "This is what, this is the golden nugget you need," what would you say? I'll go first, but he has better ones than I do. 106 00:16:19.572 --> 00:16:31.752 [laughs] I'm gonna keep the same word I used on stage yesterday because it's what, it's what helped us so much. Stay curious. Yeah. You have to listen to the people you're serving first. It's not about selling. 107 00:16:31.792 --> 00:16:32.772 It's not about building. 108 00:16:32.832 --> 00:16:48.172 Anybody can build and sell, but if you're not c- curious enough to understand how it's fitting into someone else's world to satisfy their need, make their life easier, or, and Rob's point, you know, Rob probably didn't need Agile because he's so analytical. 109 00:16:48.532 --> 00:16:59.242 But it, he needed Agile to get the right information to the right departments and people to execute- Yeah... in a simpler way 'cause not everybody can look at a spreadsheet like Rob and understand it and execute. Yeah. 110 00:16:59.252 --> 00:17:02.912 My wife would tell you, uh, it would make her fall asleep. Yeah. She can't figure it out. 111 00:17:03.472 --> 00:17:14.372 So this translates his knowledge, his strategy, and his information to his people so they can go execute his plan, not ours, not Agile's, the plan that he put inside of Agile. Yeah. Agile just reveals the truth. 112 00:17:14.452 --> 00:17:24.632 So stay curious so you can find the Robs and say, "I don't need you. I have all the data I need," but wait a minute, there's a need deeper in your organization that I think would help you move the needle. 113 00:17:25.192 --> 00:17:26.631 That would be my takeaway. I love that. 114 00:17:27.232 --> 00:17:39.072 Yeah, and I mean, I don't know how to put it into one nugget word, but it's, like, look, it, you have to understand your business model and your strategy, and you have to be yourself, and you have to get better at, at yourself, and that's really what it comes down to. 115 00:17:39.392 --> 00:17:46.272 We could have a dealership across the street from each other, have the same inventory, and we're gonna transact. We're gonna be, have different levels of succe- success. 116 00:17:46.332 --> 00:17:58.252 So we have to just be able to digest all the data through technology to make informed decisions based on our strategy, period. 100%. And he's the best at it. I love that. Get it, yeah. I love that. 117 00:17:58.262 --> 00:18:07.442 I hope you guys see that. Synergy, right? Trust, people, communication, making the vision plain. These are all some of the things that were here and what we discussed and talked about. 118 00:18:07.452 --> 00:18:14.232 Gentlemen, I can't thank you enough for your time. Appreciate you joining us here on Unscripted. For you out there, we're here. We're continuing to go up. 119 00:18:14.292 --> 00:18:21.212 This is the year of the human at So2Con 2026, and we will see you on the next one. Take care. Thank you for listening to Unscripted. 120 00:18:21.572 --> 00:18:29.432 At So2, we're obsessed with uniting people around one big idea: that thriving people are the only path to a thriving and profitable industry. 121 00:18:29.512 --> 00:18:36.792 If that resonates with you, then head over to morethancars.com, join our email list, and explore our full list of podcasts.