{"version":"1.0.0","episode":{"title":"The Margin Problem Dealers Rarely Audit: Credit Cards (And 3 Practical Fixes) | Eric Cohen, CEO at Merchant Advocate","url":"http://getcarcurious.com/episodes/the-margin-problem-dealers-rarely-audit-credit-cards-and-3-practical-fixes-eric-cohen-ceo-at-merchant-advocate","audioUrl":"https://chrt.fm/track/C6AG88/traffic.megaphone.fm/CREUR9208527819.mp3","description":"Today I’m joined by Eric Cohen, CEO at Merchant Advocate. \n\nWe break down why credit card processing is one of the most overlooked expense lines in dealerships, how 60–70% of stores are overpaying, and which “non-negotiable” fees are actually negotiable. \n\nEric explains where the hidden charges live, how to audit statements properly, and why transparency matters more than ever in a largely unregulated space. The payoff: real strategies dealers can use to reclaim margin without cutting people or growth.\n\n\n\nThis episode is brought to you by:\n\n\n1. Flai Technologies Inc - Your best people know how to turn an opportunity into an appointment—but they can't be everywhere. Flai is an AI communications platform that handles calls, texts, and emails before your team takes care of customers. Every call gets answered. Every lead gets followed up. Appointments get booked. Flai works with some of the largest dealer groups in the US, and some dealers have seen appointments double. They're offering free pilots to CDG listeners till January 31. Book a meeting @ http://useflai.com\n\n\n\n2. Ikon Technologies delivers a connected vehicle program for dealers that maximizes Customer Lifetime Value by driving sales efficiency and securing non-cancellable PVR on your front end while delivering an average of 50 additional customer-pay ROs every single month for your service bays. At NADA 2026 in Las Vegas, visit Stand 1763 West to see the benefits for yourself and take your chance to roll the dice to win a Rolls Royce (terms and conditions apply; no purchase necessary). Plus, as an exclusive offer for listeners, mention “Car Dealership Guy” when you sign up at NADA to have your entire initial installation fee waived—book your demo today @ http://ikontechnologies.com/CDG\n\n\n\n3. Merchant Advocate - Merchant Advocate saves businesses money on credit card fees WITHOUT switching processors. Find out how they can help your dealership with a FREE analysis. Click on @ http://merchantadvocate.com/cdg for more.\n\n\n\nCheck out Car Dealership Guy’s stuff:\n\n\n\nFor dealers:\n\nCDG Circles ➤ ⁠⁠https://cdgcircles.com/⁠⁠\n\nIndustry job board ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://jobs.dealershipguy.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nDealership recruiting ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://www.cdgrecruiting.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nFix your dealership’s social media ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://www.trynomad.co⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nRequest to be a podcast guest ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://www.cdgguest.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\n\n\nFor industry vendors:\n\nAdvertise with Car Dealership Guy ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://www.cdgpartner.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nIndustry job board ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://jobs.dealershipguy.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nRequest to be a podcast guest ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠http://www.cdgguest.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\n\n\nTopics:\n\n00:14 What are the top dealer concerns today?\n\n04:43 How do credit card processing fees work?\n\n07:44 What are the best optimization strategies?\n\n14:03 What are the most common hidden fees?\n\n16:56 What is the Merchant Advocate's unique approach?\n\n21:40 What is your most impactful client success story?\n\n\n\nCar Dealership Guy Socials:\n\nX ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠x.com/GuyDealership⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nInstagram ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠instagram.com/cardealershipguy/⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nTikTok ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠tiktok.com/@guydealership⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nLinkedIn ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠linkedin.com/company/cardealershipguy⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nThreads ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠threads.net/@cardealershipguy⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nFacebook ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠facebook.com/profile.php?id=100077402857683⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠\n\nEverything else ➤ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠dealershipguy.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠"},"annotations":[{"startTime":405.9,"endTime":407.9,"type":"term","title":"dealer markup","url":"/glossary/dealer-markup","quote":"...So you have the markup, you have the credit card processor markup, right?","canonicalId":"term:dealer-markup","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Dealer markup refers to the additional amount that a dealership adds to the manufacturer's suggested retail price (MSRP) of a vehicle. This markup can vary based on demand, inventory levels, and the dealership's pricing strategy.","simplifiedExplanation":"Dealer markup is when a car dealership charges more than the price suggested by the manufacturer. This can happen if a car is in high demand or if the dealership wants to make more profit."}},{"startTime":407.9,"endTime":409.9,"type":"term","title":"credit card processor markup","url":"/glossary/credit-card-processor-markup","quote":"...you have the credit card processor markup, right?","canonicalId":"term:credit-card-processor-markup","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Credit card processor markup refers to the fees that a dealership incurs when processing credit card payments. These fees can vary based on the payment processor and can impact the overall cost of a vehicle purchase.","simplifiedExplanation":"Credit card processor markup is the extra fee that businesses, like car dealerships, pay when customers use credit cards to buy something. This can add to the total cost of buying a car."}},{"startTime":419.9,"endTime":421.9,"type":"term","title":"hidden fees","url":"/glossary/hidden-fees","quote":"...the negotiable part is on the markup and the hidden fees...","canonicalId":"term:hidden-fees","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Hidden fees are additional charges that may not be clearly disclosed during the car buying process. These can include processing fees, dealer fees, and other costs that can significantly increase the final price of the vehicle.","simplifiedExplanation":"Hidden fees are extra costs that you might not see when buying a car. They can make the car more expensive than you initially thought."}},{"startTime":421.9,"endTime":425.9,"type":"term","title":"Visa MasterCard fees","url":"/glossary/visa-mastercard-fees","quote":"...and the fees that look like Visa MasterCard fees because they're spelled and listed similar to a Visa MasterCard fee...","canonicalId":"term:visa-mastercard-fees","priority":0.5,"confidence":0.85,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Visa and MasterCard fees refer to the transaction fees charged by credit card companies for processing payments. Dealers may list these fees in a way that makes them seem like standard charges, but they can also be a source of profit for the dealership.","simplifiedExplanation":"Visa and MasterCard fees are charges that businesses pay when customers use credit cards to buy something. Sometimes, dealers might add these fees in a way that makes them look like regular costs."}},{"startTime":511.9,"endTime":513.9,"type":"term","title":"non-negotiable","url":"/glossary/non-negotiable","quote":"...a rep might say is non-negotiable actually really are.","canonicalId":"term:non-negotiable","priority":0.5,"confidence":0.85,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"In car sales, non-negotiable items are charges or fees that the dealer claims cannot be changed or discussed. However, many of these items can actually be negotiated if the buyer is informed.","simplifiedExplanation":"Non-negotiable means something that can't be changed or discussed. In car buying, some fees are said to be non-negotiable, but you might still be able to negotiate them if you know what to ask."}},{"startTime":655.9,"endTime":656.9,"type":"brand","title":"Mercedes","url":"/glossary/mercedes","quote":"...if they're, you know, a Honda dealer versus a Mercedes dealer, right?","canonicalId":"brand:mercedes","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Mercedes, officially known as Mercedes-Benz, is a luxury automotive brand known for its high-quality vehicles and advanced technology.","simplifiedExplanation":"Mercedes is a luxury car brand that makes high-end vehicles known for their quality and technology."}},{"startTime":655.9,"endTime":656.9,"type":"brand","title":"Honda","url":"/glossary/honda","quote":"...if they're, you know, a Honda dealer versus a Mercedes dealer, right?","canonicalId":"brand:honda","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Honda is a well-known automotive manufacturer that produces a variety of vehicles, including sedans, SUVs, and motorcycles.","simplifiedExplanation":"Honda is a car company that makes many different types of vehicles, like cars and motorcycles."}},{"startTime":659.9,"endTime":661.9,"type":"concept","title":"parts and services","url":"/glossary/parts-and-services","quote":"...But, you know, parts and services where a lot of the transaction happens...","canonicalId":"concept:parts-and-services","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Parts and services refer to the maintenance and repair services offered by dealerships, which can be a significant source of revenue for them.","simplifiedExplanation":"Parts and services are the repairs and maintenance that car dealerships provide to keep vehicles running well."}},{"startTime":1129.9,"endTime":1132.9,"type":"term","title":"MSRP","url":"/glossary/msrp","quote":"...what's tissue or what's cost or what's, like, there's a million different things and add-backs and buy-backs and incentives, right?","canonicalId":"term:msrp","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"MSRP stands for Manufacturer's Suggested Retail Price. It's the price that the manufacturer recommends that the dealer sell the vehicle for, which can serve as a starting point for negotiations.","simplifiedExplanation":"MSRP is the price that the car maker suggests dealers sell a car for. It's like a guideline for how much you should expect to pay."}},{"startTime":1132.9,"endTime":1134.9,"type":"term","title":"dealer fees","url":"/glossary/dealer-fees","quote":"...there's a million different things and add-backs and buy-backs and incentives, right? All these things.","canonicalId":"term:dealer-fees","priority":0.5,"confidence":0.85,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Dealer fees are additional charges that a dealership may add to the price of a vehicle, which can include documentation fees, preparation fees, and other costs associated with the sale.","simplifiedExplanation":"Dealer fees are extra costs that car dealerships might add on top of the car's price. These can include things like paperwork fees or preparation costs."}},{"startTime":1134.9,"endTime":1136.9,"type":"term","title":"incentives","url":"/glossary/incentives","quote":"...add-backs and buy-backs and incentives, right? All these things.","canonicalId":"term:incentives","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Incentives are special offers or discounts provided by manufacturers or dealers to encourage customers to buy a vehicle. These can include cash rebates, low-interest financing, or special lease offers.","simplifiedExplanation":"Incentives are discounts or special deals that car makers or dealers offer to help sell cars. They can make buying a car cheaper or more attractive."}}],"speakers":[{"id":"s1","name":"Car Dealership Guy","role":"host"}],"transcripts":[{"url":"http://getcarcurious.com/episodes/the-margin-problem-dealers-rarely-audit-credit-cards-and-3-practical-fixes-eric-cohen-ceo-at-merchant-advocate/transcript.vtt","type":"text/vtt"}]}