Does Your Dealership Preload Vehicles and Use Addendum Labels? - AutoSuccessOnline

Does Your Dealership Preload Vehicles and Use Addendum Labels?

Do you preload vehicles and use addendum labels? If so, there are a few things to keep in mind to accurately and professionally present options you offer your clients in this socially connected world. Before we begin, I want to clarify that I am not an attorney and you should consult your legal counsel for direction on these matters. These are just a few of the challenges I know my dealerships have encountered, and it’s always good to learn from their experience.

Read our entire issue – Click here


Recently, a few of the dealerships I work with have been asked by their applicable Secretaries of State to remove addendum labels where vehicle options were displayed as a package with just one price for that package. The best practice is to, instead, list each item or option in the package, and then itemize each item and option so the price for each is explicit and clear to the consumer. Listing the retail prices for each item and then using a package price to add to the MSRP is OK, but every option needs a value associated with it. Another pitfall to avoid is allowing a discrepancy between the “Internet price” for a car on your Website that includes discounts and rebates and the “Lot Price” found on the addendum label, with no discounts or rebates but with options pricing added. This second concern is most often covered with a Website disclaimer, but in a socially connected world, consumers may note the difference and lodge a complaint. In the end, the disclaimer isn’t always enough. The best practice is to add the addendum information to your Website alongside the Monroney window sticker pricing and check to make sure they match. 

In most state motor vehicle advertising codes, I have noted this language, “… the dealership addendum form shall not be deceptively similar in appearance to the manufacturer’s label….” Again, I am not an attorney and you should consult with your legal counsel for clarity around these matters, but it seems like a good idea to use an addendum label with your logo on it to avoid inadvertently mimicking the Monroney window stickers.

One final tip for best practices around addendum labels has to do with the prevalent use of handwritten addendum labels. There is a better way to both ensure accuracy and professional branding. Handwriting addendum labels is a laborious practice. Unless you hire your third grade teacher, handwritten addendums characteristically look unprofessional and they wind up giving your customers the impression that the information is arbitrary and negotiable. Also, handwritten labels tend to fade quickly, which only makes things worse. Type them, print them off your computer, hire a service or get a software program — but avoid handwriting your addendum labels. Marketing and branding is essential these days; present your very best with a clean, accurate and professional addendum. 

Read our entire issue – Click here

You May Also Like

Google Analytics for Dummies

GA4 can help you understand which marketing sources drove traffic to your website, allowing you to compare one to another.

Google Analytics for Dummies A Simple GA4 Guide for Non-Analytics People

A Simple GA4 Guide for Non-Analytics People

G4? GA4? Google Analytics? Are they all the same, and how do they relate to the metrics my website vendor sends me? 

First off, I don't sell any products related to analytics or analytics consulting. Our company does help our dealer partners with this area, but this article is purely intended to inform, and I don't have a dog in this fight. My product is in the digital marketing realm, so we interface a ton with analytics. Moreover, I get dozens of analytics questions every day, and there’s understandably a lot of confusion about this topic.

Riding the Wave of Innovation: How Advanced Data Tools Are Transforming Automotive Appraisals

The ability to customize appraisal tools according to specific dealership needs and market dynamics ensures that appraisals are closely aligned with strategic goals, giving dealerships a competitive edge.

Riding the Wave of Innovation: How Advanced Data Tools Are Transforming Automotive Appraisals
Selecting the Ideal Car Lift for EV Servicing

When choosing the right car lift for servicing electric vehicles there are several key factors to consider.

Key Factors in Selecting the Ideal Car Lift for Electric Vehicle Servicing- Coats
Exploring Educational Opportunities with NADA and ATD

The comprehensive NADA and ATD programs, complemented by an extensive array of resources, foster excellence and innovation within the automotive retail landscape.

Exploring Educational Opportunities with NADA and ATD
F&I 2024 Dealer Outlook: How Online Options Will Help Dealers Better Serve Customers

Dealers must find ways to maximize F&I sales opportunities, because in this highly competitive landscape, dealerships rely on the sale of these products to enhance their bottom line and remain competitive.

F&I Outlook from Protective Asset Protection

Other Posts

Critical Thinking with the Genius Club

A lack of critical thinking is responsible for the success of every con that reaches epic proportions. We must think critically to protect ourselves from evil geniuses.

Critical Thinking with the Genius Club - Remora
Hybrid Intelligence: The Seamless Fusion of Human and Artificial Minds

Learn how Hybrid Intelligence hasn’t just turned this dealership around, but has set it on a path to unprecedented growth and success in a challenging market.

TECOBI, artificial intelligence, Hybrid Intelligence,
Unlocking the Value of Your Data. Don’t Let it Go to Waste.

Explore expert Bobby Gaudreau’s insights on overcoming data challenges in auto dealerships, focusing on CRM and DMS optimization for marketing success.

Unlocking the Value of Your Data. Don't Let it Go to Waste.
Ashlee Church: #NotLikeTheOtherGuys

This dealer is following her arrow and bringing change to the auto dealer industry.

Vehicle Care RockStar Ashlee Church