Jake Cronin, CEO of Ciro, shares insights on transforming dealership sales through conversation recording technology. He discusses how capturing sales interactions can enhance performance, improve compliance, and foster honesty in sales practices. With anecdotes from his experience, Cronin highlights the significant impact of data-driven decision-making in dealerships, comparing it to Google Analytics for physical showrooms. The conversation also touches on the importance of training and self-improvement for sales teams, emphasizing that recording conversations can lead to substantial increases in sales performance.
Today I’m joined by Jake Cronin, CEO and Founder of Siro. The untapped profit potential hiding in F&I, winning strategies to secure consent to record customers, using data to diagnose dealership challenges—and more.
This episode is brought to you by:
1. BizzyCar – CDG’s Recall Tracker powered by BizzyCar monitors 70M+ vehicles with open recalls, packed with insights: timelines, fix status, campaign numbers—everything you need to bring lost customers back. Transform your recall management today @ https://cdgrecalls.com/
2. Lotlinx - Get the best possible market advantage on every vehicle transaction. Optimize operations and boost profits using artificial intelligence (AI) and machine learning. Learn more @ https://lotlinx.com
3. Siro - Siro helps dealers unlock the full value of every sales conversation. By combining AI with in-person sales tech, Siro captures, analyzes, and activates showroom interactions so managers and reps can make smarter decisions, faster. Learn more at https://www.siro.ai/
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Topics:
00:22 How will Series B funding help?
01:29 What inspired Jake's sales journey?
04:14 Cero: Google Analytics for showrooms?
06:23 Implementing Cero in dealerships how?
13:35 Overcoming sales team skepticism?
18:39 Fixing fixed ops problems?
19:52 Data insights boost sales how?
21:26 Quantifying Cero's ROI?
35:18 Future of in-person recording?
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How will Series B funding help?
What inspired Jake's sales journey?
Cero: Google Analytics for showrooms?
Implementing Cero in dealerships how?
Overcoming sales team skepticism?
Fixing fixed ops problems?
Data insights boost sales how?
Quantifying Cero's ROI?
Future of in-person recording?
Select text to request an explanation
Honesty is not the word most closely associated with sales.
The incentives are wrong, sometimes people end of the quarter, end of the month, like do this
little thing to close a deal.
Well, now that stuff all gets caught, there's no sweeping stuff under the rug, so it makes
the world of sales more honest, while also juicing performance, making people better
at their craft.
Today I'm joined by Jake Cronin, CEO and founder of Ciro.
After cutting his teeth selling cutco knives door-to-door, Jake had an aha moment.
Fast forward to today, he's now leading a team that's quietly transforming how dealerships
sell products and services across every major department in a dealership, and it all starts
with hitting the record button.
A big thank you to our sponsors for making today's episode possible, Lotlinks, Busycar,
and of course, Ciro.
And now let's get into the show.
Jake Cronin on the CDG podcast.
Jake, welcome.
Thank you for having me.
Excited to be here.
I'm excited to chat about something that I swear to God, you probably hear this a ton.
People tell you like, oh, I had this idea.
It's so simple yet so hard to execute.
But I really did.
But we'll talk about that.
It's a funny story, so we'll get into the details.
I got to start by saying congrats on raising your Series B. That's a very big milestone
and I believe over $50 million for what you're working on here, so how's that
been like?
I can only imagine life is very different since the days you were selling door to door, as
they say.
Yeah, there's a lot to say in that question.
The first thing, it feels great, but probably for the wrong reasons, it feels great because
everyone comes out the woodwork to congratulate you, which is awesome, but it's such a vanity
metric.
What we're doing is building software to change people's lives, and that is so disconnected
from raising venture capital.
When you raise a big Series B, or like any big venture round, it's kind of like taking
on a loan.
It's like, this is a money we're taking because of what we promised for the future.
So we haven't actually done the thing yet, but we're celebrating now.
So that's always the funny thing and an important thing to remind yourself as a founder.
The work is all ahead.
But it does feel good.
And it changes how we think about our finances.
Well, so before we get into your story and what you're working on today, which I think
is, again, it's a pretty remarkable type of solution, were you ever in sales yourself
prior to today literally building products that empower salespeople?
Were you ever in sales prior to that?
Formally, yes.
So I'd say every founder is doing sales.
That's the main job, no matter whether you're building products, doing customer success, whatever.
It's all a sales role under the hood.
But I got the idea for Ciro through a sales role.
Back when I was 18, 19 years old, I was selling Cutco knives.
Have you ever heard of Cutco?
I haven't heard of Cutco, and people probably listen to what I was saying.
This guy doesn't know about Cutco, but I do know that I'm aware of that industry
that there are some knives that are sold exclusively or I'll let you share more info on that.
Yeah, exactly.
There were like 100,000 high school and college students every year.
It's like a massive recruiting apparatus, and they get folks to sell these kitchen
knives to their friends, family, neighbors, friends of friends, and you grow from there.
And I did that before college.
And what was crazy was I was making more money selling those kitchen knives than
I made later at McKinsey as a business analyst.
It's like, wow, like I had no high school degree or actually barely got my just got my high
school degree, no higher education, no special qualifications for this role.
It was making really good money.
And that opened my eyes that you don't need a higher degree or to be
pre-professional or to become a doctor or banker to make a great living.
There are so many other ways to work the U.S. economy.
So that planted the seed.
The other learning, though, was that sales is really hard, especially when you're
managing a team and you can't see these folks perform.
It's like you have folks who are out and about selling and not doing good enough
a job.
Maybe they're not closing the sale.
Maybe they're not representing your brand well.
And you don't know exactly what they're saying.
All you're coaching them based off of is that she said, she said,
not the actual game film.
So that's where the seed or the kernel of the idea for Ciro came from,
which is like, hey, you know, if we can capture these conversations,
the most important data that you probably have as a business is your
conversations with your customers.
If we can capture that and use it to make smarter decisions as a business
leader, do smarter management as a sales manager, or perform better as a
frontline rep, whether you're a sales rep, whether you work in service,
whether you work in FNI, that's got to be incredibly valuable.
And here we are five years later and that's driving a lot of impact
for a lot of businesses.
So tell me about this analogy.
The first thing I thought of when I started reading about your company
was we have Google Analytics for our websites, right?
And every dealer is familiar with it, uses it.
And it wasn't like that five years ago or even 10 years ago, whatever.
But Google Analytics is like, it's our lifeblood.
How do you respond if I say like, is this like Google Analytics
for my showroom, essentially?
I have my virtual showroom and then I have my physical showroom.
Have you ever used that analogy before?
I never have, but it's ringing true.
Google Analytics for my showroom.
It's exactly right in that you have this data finally captured
and you can make decisions based on it.
Actually, I'll have a little story because this is just connected
to my head.
We had this one sales rep in this four dealership
and we rolled out zero.
This sales rep had been complaining to their manager
that they keep getting customers interested,
but they don't close on the spot.
It's like no one's actually closing.
Everyone's interested, no one's closing.
They brought up with their sales manager to no avail.
Two weeks into rolling out zero,
we were looking at the data, the Google Analytics
for your in-person conversations
and it validated what they're saying.
It's like, yeah, you're getting the I'm not interested
or so I need to think about it, objection, 2x too often.
You're getting the I need to think about it twice as often
as everyone else in your education.
So what do we do about that?
Okay, you click one, one click in.
Now we're looking at the exact conversations
for this sales rep and we see that before they make
any attempt to close the deal,
they're just going to the customer and saying,
hey, you don't have to make an incision today.
You can call or text me later.
Before they make an attempt to close,
of course everyone's saying, yeah,
I'm gonna think about it.
That's basically what you told me to do.
I'd be an idiot if I made a decision right now
because you told me that I shouldn't.
So sales manager coached them on it.
Very next month, they had the best month
of their career, personal best.
Because sometimes it's just a small dwell
that gets you there.
Just like you're looking at your Google Analytics
and it's like, oh wow, like this one piece
of the funnel just needs a little tweak
and it can make a big impact.
Okay, so take us one step back.
How did you, I'm curious,
how did you even discover this opportunity in automotive?
My next question is gonna be about the tactics.
How do you actually do this?
Cause I'm really curious to know how that happens.
But let's just start with the opportunity.
And again, I was reading, I read on your material.
I looked at some of the dealers you work with.
Like you're using the right nomenclature, the words.
It sounds like someone that has
an intimate understanding of the industry.
So that's what, let's just start with my first question.
How did you get exposed to the opportunity in automotive?
Yeah, it's, I'd say it pulled us in.
So we've been doing this for five years.
We've got tens of thousands of sales reps
who have benefited tremendously from using Unisero.
Millions and millions of conversations recorded.
But every vertical we serve is unique every industry.
We've got a variety of like B to B industries.
We've got B to C.
We've got HVAC technicians.
We've got pest control sales reps.
A lot of variety.
Auto was actually a family friend pulled me in
and was like, hey, I see what you're doing.
You should do that at my dealership.
And so I go, let's take a look.
And you get lots of folks saying this.
People will say, people will pull me into all sorts
of different use cases that don't make sense.
Someone's like, hey, I need to, I want to,
I need to have a sense of conversation with my boss.
Can I use Sierra to help me with that?
And it's like, probably, but like,
it's not the perfect use case.
But, you know, dealerships listened a bit,
listened a bit more carefully
and actually it seems like a great fit.
And now we've been exploring
or entering the industry this year
and it's a perfect fit.
It's like a glove on a hand.
Okay, so the natural next question
is how the hell do you do this?
So how are you tracking?
Like give us the full spectrum
of how this actually works in the dealership.
It starts with how you record the conversations.
This is the part that's like,
it's so hard to imagine until you see it.
It's like, oh, duh, you record on your smart device.
You got a phone, you're recording on your phone.
If you have a tablet, you're recording on your tablet.
It can be in your hand, it can be in your pocket.
You're just recording on your normal device
like you were in a voice memo.
And by the way, when you say recording,
this is completely passive.
So like my phone has like something in the background
running recording what I'm saying.
Yes, the same way that you would start voice memo
and just have it sit there,
that's the same thing going on here.
And then of course, one thing that comes up
is you have this like, is this legal?
Is the very next thing that people wonder?
This was the first concern that we had this idea.
Wow, this would be so useful.
Wait a minute, is that legal?
Yes, it is.
The same laws that apply to phone calls
almost exactly apply to in-person recording.
So yes, there, well, I guess I'll say this.
Yes, it's important to ask for consent
from the other party.
It's legally required in 11 states
and there are two where it's a bit of a gray area.
So let's say 13 states,
you're legally required to get consent.
We encourage everyone to always say like,
yes, I record my in-person conversations
for quality and training.
The same way that every phone call or conversation
is recorded for quality and training.
So you're recording on your phone,
you get the opt in from the customer,
you notify them, yes, this thing's being recorded
and then that's it.
And then you just continue on with your day,
whether you're in the FNI office,
whether you're getting it up when they walk in,
you're recording the conversation.
And then all the other stuff, the interesting stuff happens,
I guess in the back end and once you finish the recording,
how you use the analytics.
Okay, so let's talk more about the recording.
Like practically speaking, I feel like it hurts to trust.
Like if someone walks into my office
and I'm like, I'm recording this right away.
The first thing I say, it's like, it's a little,
I feel like it's not tactful.
Like how does it, what are dealers really doing though?
Like tell me like, are dealers actually,
or are they just putting a sign in their office?
Like how are dealers actually recording these conversations?
One thing I'll lob into this, that question is,
some reps also have concerns about recording.
It's like, wait a minute.
I don't want to record for my, for even big brother.
I don't want the manager, I want the dealer principal
listening in on what I'm saying.
So there's also like that concern.
Yeah, there's pushback from people
that are maybe for some reason, I mean, bad performers
or I mean, whatever to meet the reason
that they just don't want it.
But I would argue that you probably don't even want
those people on your team
because why would they not want to improve their craft?
So that's a whole nother issue.
Yeah.
And I'd say it's not that if someone doesn't like the idea
at first that you gotta let them go.
A lot of people, there will almost always be people
at any medium-sized or larger company,
people who feel squeamish about the idea.
But by the end of the onboarding,
when they see how much value everyone else is getting out,
getting out of the tool, they're in.
So people get concerned.
That's a good point.
Once you see like, oh my gosh, I am way behind the times.
How is everyone else getting this upgrade?
And I'm just opting out of this upgrade.
But your point of like, okay,
what are people actually doing to record?
How awkward is it?
Yeah, like how is it actually being done?
Yeah.
The thing is, it's hard to convey it
without you seeing it in person.
But I'll give you two quick,
one anecdote and then an explanation.
The anecdote is our first vertical was pest control.
So people going mostly early 20s,
going through a neighborhood, knocking every door,
trying to bug people, pun intended I guess,
for to sell them pest control.
So you're a stranger, you knock on the door,
someone shows up, and then you know what this,
this one sales rep would just say the first words
out of their mouth, hey, I'm recording this conversation
for quality control, and then blah, blah, blah,
go into their pitch.
And customer right away-
What the hell out of here?
Like get out of here.
Well, sometimes they say get out of here,
slam the door, but usually it's,
hey, I'm recording this conversation for quality control,
okay, and then they keep going and customers hears it,
hears it, acknowledges it, and it's totally fine.
The point behind the point is,
there are very tactful ways to tell someone
that they're being recorded and to get consent.
Some people will talk about,
hey, I use my digital note-taker
to make sure I have a full follow-up for you afterwards.